Govt’s P3-B take from gambling


THE government earns a lot from legalized gambling. For example, one company sacrificed a big slice of its revenues in favor of the government, particularly the state-owned Philippine Amusement and Gaming Corp. and the Philippine Charity Sweepstakes Office.

That company is Leisure & Resorts World Corp., whose stockholders, including the public of which it has many, have to contend with whatever is left of the company’s revenues after government takes its gargantuan share.

In the first nine months of 2015, Leisure reported having paid a total of P2.87 billion in franchise fees and taxes. The government’s take represents 43.5 percent of total revenues of P6.58 billion, leaving net revenues of P3.72 billion. In addition, it classified P48.2 million as “taxes and licenses” under operating expenses.

How about the public? Well, they have to contend themselves with Leisure’s operating income of P745.44 million, which is equivalent to 11.3 percent of total revenues.

From these numbers alone reported by one listed company, the public, which patronizes “jueteng,” could only imagine how much the government could have earned if this illegal two-number combination were legalized.

The question is, who could possibly end up as the big losers if Congress were to legalize “jueteng”? To find the answer, Due Diligencer needs a whole column if not a series of researched articles to satisfy the curiosity of the ordinary Filipinos who feel neglected by Malacanang’s temporary occupants led by their chief.

Insider trades

1. Eusebio H. Tanco is the chairman of the 11-person board of STI Education Systems Inc. As of Dec. 21, he held 1.45 billion STI shares, or 14.6 percent, of which he directly owned 1.16 billion shares. On Dec. 22, he increased his STI holdings to 1.45 billion shares, or 14.63 percent, by buying one million shares at P0.0435 each.

2. Lucio L. Co. is a member of the 15-person board of the Philippine Bank of Communications (PBC) as a stockholder owning 90.54 million shares, or 18.54 percent, as of Oct. 16, 2015. On Dec. 21, he increased his indirect ownership to 19.09 percent with his acquisition of 1.2 million shares, at P21.50 per share.  Co’s PBC shares are held by P.G. Holdings Inc., a corporate stockholder which owned 36.21 million PBC shares, or 37.67 percent, as of Oct. 16, 2015.

3. Erramon I. Aboitiz, chief executive officer of Aboitiz Power Corp. (APC), owned 61.78 million APC shares, or 0.84 percent, of which he directly owned 1.3 million. On Dec. 21, he increased his indirect holdings by buying 5.03 million shares at P40 each. With his additional acquisition, Aboitiz increased his direct and indirect ownership to 66.81 million shares, or 0.9 percent, in Aboitiz Power

Ownership profile

A public ownership report (POR) listed the public investors as stockholders of Filsyn Corp. with 66.56 million shares, or 32.27 percent.

The same POR posted on the website of the Philippine Stock Exchange showed three principal or substantial stockholders owning 129.16 million Filsyn shares, or 62.62 percent. These are Trans-Pacific Oriental Holding Co., 63.58 million shares, or 30.83 percent; Far Eastern Investment Holding Ltd., 45 million shares, or 21.85 percent; and Waldorf B.V., 20.51 million shares, or 9.94 percent.

The government-owned Development Bank of the Philippines holds 10.26 million Filsyn shares, or 4.97 percent. Its holdings resulted from the conversion of its loan to equity.

A separate posting listing Filsyn’s top 100 stockholders showed the National Development Co. at No. 7 as holder of 6.81 million Filsyn shares, or 3.3 percent. PCD Nominee Corp. holds for Filipinos 9.13 million shares, or 4.43 percent.

For the information of Filsyn’s public stockholders, here are some interesting numbers for their perusal: The company has piled up a deficit of P1.75 billion as of Sept. 30, 2015, up from P1.74 billion in the same period last year. It had a capital deficiency of P561.34 million after a applying P1.03 billion capital stock and additional paid-in capital of P143.59 million.


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