GGLC Express Issue - Global Gateway Logistics City

Inside this issue:National NewsPagePHL Cited as World's Top Outsourcing Center 3PH banking system maintains int’l rank 4Construction industry sees boom 5NEDA makes new push for logistics corridors 6Phl economy likely grew 6.7%-7.7% in third quarter - NEDA 7Aquino pursues Open Skies policy to attract investors 8Regional NewsWhy Clark is the future superhub? 9Albay is the first in infra boom, maintenance 13Zambales, Tarlac execs push highway project 14Mactan airport expansion to boost passenger take 15Global Gateway NewsPhilippine 2011 Tourist Initiative 16Pacquiao-Margarito Fight “The Event” 16Site Progress 18References 20

PAGE 3National NewsPHL Cited as World's Top OutsourcingCenterManila BulletinMANILA, Philippines – For the third time, the Philippineswas cited as the “world's leading global outsourcingcenter” when it was awarded the OffshoringDestination of the Year Award for 2010.The country first bagged the coveted title in 2007.The Philippines also beat other countries in the samecategory last year, making this year a back-to-backwin.The honor was given during the National OutsourcingAssociation (NOA) Awards Night, held at the ParkPlaza Riverbank Hotel in London last week.NOA said that with its abundant graduate workforce,the Philippines is becoming a veritable offshore giantfor the UK Business Pocess Outsourcing (BPO) market.GGLC NEWSLETTER EXPRESSIt is also one of the founding bodies of and primemovers of the European Outsourcing Association.The NOA Awards are held every year to give recognitionto best practices in the UK outsourcing industry.This year, there were 17 categories in contention.Other nominees in the category won by the Philippinesincluded Egypt, Sri Lanka, and Ukraine.Receiving the award on behalf of the Philippine outsourcingindustry and the Department of Trade andIndustry (DTI) were Commercial Attaché MichaelAlfred V. Ignacio and Trade of Investment RepresentativeVicente A. Casim of the Philippine Trade andInvestment Center in London.The NOA, in particular, gave full importance and recognitionto the country's 92 percent literary rate, 36-million labor force with 450,000 university levelgraduates per year – about 100,00 of them financeand accounting graduates – and the ability to understandand speak English with a neutral and understandableaccent.The country's world-class telecommunications infrastructureand unparalleled government support inthe form of income tax holidays of up to sixyears,and other fiscal and non-fiscal incentives, alsoboosted the country's chances in bagging the title.Furthermore, the board of judges gave due importanceto the flat 5 percent income tax rate on grossincome for locators of office buildings and installationsaccredited as Philippine information technology(IT) economic zones, after the initial 4-6 years ofincome tax holiday has passed.The NOA has been operating for over 20 years and isthe only well-established and recognized outsourc-More BPO seats available for growing industry of outsourcingand offshoring. Philippines was cited as the “world's leadingglobal outsourcing center” when it was awarded the OffshoringDestination of the Year Award for 2010.

PAGE 4National NewsGGLC NEWSLETTER EXPRESSPH banking system maintains int’l rankPhilippine Daily InquirerMANILA, Philippines—The Philippines placed 50thamong 57 countries ranked by the level of developmentof their financial sectors, according to the 2010Financial Development Report by the World EconomicForum (WEF).As such, the country just managed to maintain its previousyear’s ranking.In the latest report, the Philippines scored 2.97 out of7 points. This score was up by 0.14 points from its previousyear’s score of 2.83. However, scores of somecountries increased at a faster pace, thus keeping thePhilippines on the same spot.According to the WEF, “financial development” ismanifested by the presence of policies, institutionsand other factors that lead to financial intermediationand financial market efficiency. It is also shown by theaccessibility of capital and financial services.WEF, an international nonprofit organization aimed atworld development in various aspects, such as economicand social, said in the report that the scores andrankings of countries were determined based on assessmentby various stakeholders on seven areas.“The country has made strides with respect to financialintermediation, and its performance here is particularlydriven by a fairly high degree of mergers andacquisitions and securitization activities, as well asrelatively well developed bond markets,” WEF said.“Further *improvements are+ necessary in order tofully translate these strengths into broad financial access,”the group said.The only countries that the Philippines beat in the latestfinancial development ranking are: Indonesia (2.9points), Argentina (2.78), Ukraine (2.760), Pakistan(2.62), Bangladesh (2.55), Venezuela (2.55) and Nigeria(2.43).Meanwhile, countries that got the top five placeswere: the United States (5.12), the United Kingdom(5.08), Hong Kong (5.04), Singapore (5.03) and Australia(5.01).Despite the problems in the financial sectors of the USand Europe, the US and UK still landed on top of therankings. WEF said this is because the instability intheir financial sectors was offset by the accessibility offinancing and wide range of financial services in thosecountries.These areas include: institutional environment, businessenvironment, financial stability, banking financialservices, non-banking financial services, financial marketsand financial access.In the report, WEF recognized that the Philippines attainedsome improvements in its financial sector, citingdevelopments in its bond markets, and mergersand acquisitions in the banking sector that helped improveits overall stability.Nonetheless, WEF said more reforms are needed toimprove the competitiveness of the country’s financialsector.WEF recognized that the Philippines attained some improvementsin its financial sector, citing developments in its bond markets, andmergers and acquisitions in the banking sector that helped improveits overall stability.

PAGE 5National NewsGGLC NEWSLETTER EXPRESS“The very low scores in financial stability are counterbalancedby incumbent strengths in financial intermediationthat buoy their positions in the rankings.The two countries both show advantages in nonbankingfinancial services and financial markets, andthe United Kingdom also demonstrates strength inbanking financial services,” WEF said.Construction industry sees boomBusiness MalayaPrivate-public partnership (PPP) infrastructure projectsare seen taking the P500 billion construction industryto double digit growth beginning next year.Levy V. Espiritu, president of the Philippine ConstructorsAssociation, said the industry continues to be bullishof its prospects over the next three to four yearswhen most of the PPP infrastructure projects will rollout.But Espiritu said for these projects to attract more privatesector participation, policy reforms should be implementedsuch as the amendment to the buildoperate-transferlaw, redefining right-of-way acquisition(ROWA) as well as government bias toward solicitedproposals.Espiritu said this year the construction industry is projectedto grow 8 percent and even faster beginning2011, picking up to a double-digit growth rate by thesecond half."The ratio would shift back to 60 percent public and40 percent private beginning 2012 as the PPP projectscome in," Espiritu said.The PPP Coalition, which includes the Bankers Associationand the Investment Houses Association of thePhilippines, has recommended to government threeready-to-go PPP projects for implementation worthabout P92 billion .These are the CALA (Cavite-Laguna) expressway, P10.5billion; the LRT south extension, P70 billion, and; theLRT east extension, P11.3 billion.Epsiritu said these are ready to go because these haveproject feasibility studies that only need validation.But Espiritu said the PCA has been is pushing for thesolicited mode of getting private sector proponentswhich is an open, transparent and competitive way."Unsolicited proposal should not be the rule but justan exemption since it is more open to graft and corruption,"Espiritu said.He added that the government should also considerextending to six months to one year the period withinwhich Swiss challengers can present their counterofferto proposals. The group also complained that thecurrent process of ROWA slows down project implementation.The PCA expects bidding of some PPP projects to startby the first half with the awarding of contracts by thesecond half.Espiritu said private sector development projectswhich in the past three to four years have overtakenpublic projects would also continue its boom sincethere is no glut observed in this segment. Today, privateconstruction is about 60 percent of the businessand public about 40 percent.private construction is about 60 percent of the business and publicabout 40 percent.

PAGE 6National NewsGGLC NEWSLETTER EXPRESSNEDA makes new push for logistics corridorsBusiness MalayaThe National Economic and Development Authority(NEDA) is making a new push to develop logistics corridors,starting with the Subic-Clark-Manila-Batangas(SCMB) corridor as part of a national transport plan.Initial discussions on the infrastructure planning underthe 2010-1016 Medium Term Philippine DevelopmentPlan (MTPDP) recommend the creation of "strategiclogistics corridors," initially starting off with the SCMBthen extending the same northward and then southward.The MTPDP envisions these corridors as having intermodaltransport network system to obtain efficiency."The SCMB must be developed to become a seamlessintermodal logistics corridor," documents on the initialresults of the infrastructure planning subcommitteesaid.Subic and Clark are the nearest economic industrialzones to Metro Manila, one offering a port and theother an airport.Metro Manila is linked to the two zones through roadnetworks, the North Luzon expressway and the Subic-Clark-Tarlac expressway.Linked to Metro Manila by the South Luzon expresswaydown south is Calabarzon, home to specializedindustries and processing activities. The corridorscomplement each zone’s strengths in agriculture andmanufacturing.The corridor now accounts for 80 percent of the nationalcargo and about half of yearly economic output.The documents show how an integrated multi-modallogistics and transport system could not only decongestMetro Manila but also create linkages betweenbusiness centers and nearby provinces.This, the NEDA papers said, would help facilitate theefficient flow of commodities and inputs to economicand industrial zones."The development of seamless intermodal transportand logistics systems along strategic corridors will promoteproductivity and competitiveness," the documentssaid.The NEDA points to inadequate and unstable fundingfor the construction and development of facilities asthe culprit in the deficiencies in our transport system."Assessment of the country’s transport infrastructurenetwork indicates that its quality and capacity remainlow, even if the quantity of transport compares favorablywith most Asean countries," the papers said.Subic and Clark are the nearest economic industrial zones to MetroManila, one offering a port and the other an airport.Phl economy likely grew 6.7%-7.7% inthird quarter - NEDAThe Philippine StarMANILA, Philippines - The economy likely expandedbetween 6.7 percent and 7.7 percent in the thirdquarter of the year and is on its way to posting aseven percent full-year growth this year as the industrialsector continued to fuel the recovery from a majoreconomic slump last year, the National Economicand Development Authority (NEDA) announced yesterday.

PAGE 7National NewsGGLC NEWSLETTER EXPRESSNEDA Deputy Director General Margarita Songco saidin a press conference that the continued global economicrecovery, improved consumer and businessconfidence as well as benign inflation negated the impactof the prolonged El Niño phenomenon on thecountry’s domestic output as measured by the grossdomestic product.“The continued global economic recovery, low inflationenvironment, and improvement in consumer andbusiness confidence were seen to have influenced thecountry’s economic growth. GDP growth, however,could have been limited by the negative impact of theprolonged El Niño phenomenon on the agriculture sector,”Songco stressed.She pointed out that the GDP or the value of goodsand services produced within the country likely grewby 6.7 prcent to 7.7 percent in the third quarter from0.8 percent in the same period last year.According to her, the GDP in the third quarter was fuelledby the industry and services sector as initial reportsfrom the Department of Agriculture (DA) showedthat the agriculture sector likely contracted by 5.7 percent.“The industry sector is expected to be the main growthdriver in the third quarter considering that the strongexternal and domestic demand continued to fuel themanufacturing, construction, and mining and quarryingsubsectors.The services sector, benefitting from Phl economy alow inflation environment, may also have contributedsignificantly to GDP growth in the previous quarter.The trade, private services, transportation, communicationand storage subsectors possibly supportedgrowth in the services sector,” Songco added.The Philippines booked a stronger-than-expected GDPgrowth of 7.9 percent in the first half of the year from1.2 percent in the same period last year. The country’sGDP expanded by 7.9 percent in the second quarterfrom the revised 7.8 percent in the first quarter of theyear.GDP grew by 6.7 prcent to 7.7 percent in the third quarterThe country barely escaped recession last year afterits GDP slackened to the 1.1 percent from 3.8 percentin 2009 due to the full impact of the global economicmeltdown.Economic managers through the Development BudgetCoordination Committee (DBCC) see the country’sGDP expanding between 5.0 percent and 6.0 percentinstead of 2.6 percent to 3.6 percent this year.However, Songco said the surprising GDP growth inthe first half would help exceed the high end of therevised forecast of 5.0 percent to 6.0 percent.“It’s higher than 6.0 percent which is the higher end ofthe target of 5.0 percent to 6.0 percent. It will beabove 7.0 percent for the whole year. We still have towait for the fourth quarter,” she added.The NEDA official said positive factors that would contributeto the strong GDP growth include higher remittancesfrom overseas Filipino workers (OFWs), robustcorporate earnings, as well as sustained growth inmerchandise exports and imports.Despite the stronger-than-expected GDP growth, FinanceSecretary Cesar Purisima told reporters that theDBCC would stick to the GDP growth of 5.0 percent to6.0 percent this year.

PAGE 10Regional NewsGGLC NEWSLETTER EXPRESSVictor Jose Luciano recalls how last July, flights of majorairlines from the Ninoy Aquino International Airports(NAIA 1,2,3) had to be diverted to the DMIA dueto poor visibility caused by a deadly mix of badweather and air pollution.Some of the airplanes were carrying dignitaries, anumber of whom expressed their appreciation for theDMIA option besides NAIA.It became one more proof not only of the viability ofDMIA as an alternative international airport, but as amajor spoke in a burgeoning hub. It has come a longway indeed from that time nearly two decades agowhen Mt. Pinatubo’s eruption had the Americansscrambling to vacate the Clark Field military air base in1991. They never came back, and all that lahar couldonly turn the Clark Freeport Zone into a virtual ghosttown.Well, it’s certainly risen from the ashes, thanks to along-drawn effort that has involved Chicho Lucianosince he joined the team that took over Clark in 2001.For many years, the 2,400-hectare DMIA became anairport with no planes to speak of.CIAC was dormant for several years, and was becominga drain to CDC. Everyone felt it was such a pity thatthe existing infrastructure would just go to waste.Before they left, the Americans had constructed a runwaythat could accommodate an emergency landingof a space shuttle. It actually became the only airportoutside the continental US that could take a spaceshuttle. And yet, as a military airport, its runway’sphysical structure remained light, since it was meantfor fighter jets.When CIAC tried to test it for bigger cargo planes,they realized the need to upgrade the structure. CDCand CIAC couldn’t rely on the national government forfunding. A government bank managed to extend aloan, in a way affirming the credibility of CIAC’s andCDC’s officials.Luciano recalls that it was then Trade and Industrysecretary Mar Roxas who helped create an investorfriendlyenvironment in Clark.“It was hard to bring back what was before, whenplanes came and went every minute. No one wantedto invest. There were lots of problems, lots of renovationsto be done. There were investors but nobodycontinued beyond maiden flights,” Luciano recalls ofhis first days in office.“We took over an airport with no activity. There wasnothing — hardly any infrastructure. There was the oldterminal building, the runway and the taxiway, butthere was no radar.”The CIAC had been formed as early as 1995 as a separatecompany from Clark Development Corp. A yearprevious, Clark Airport was designated as the country’sfuture premier international gateway. But along theway, the focus was transferred to NAIA 3, so whateverreconstruction that was ongoing at Clark was abruptlystopped.“King Bedan” Chicho Luciano, president and CEO of Clark InternationalAirport Corporation (CIAC)

PAGE 11Regional NewsGGLC NEWSLETTER EXPRESSIt was Luciano who was designated to chair the negotiationswith the “first among the firsts,” the UnitedParcel Services or UPS, which led to the signing of alease agreement on the creation by UPS in Clark oftheir intra-Asia hub.Luciano recounts: “When UPS had its maiden flight onApril 5, 2002, residents of Mabalacat, Pampanga wentup to the roof of their houses and clapped their hands.To think it was around 11 at night. Nakakatindigbalahibo.“They liked to play golf, and our weather was perfectfor them, especially during their winter,” Luciano says.“They played golf in Mimosa and even in HaciendaLuisita. They liked the tourism potential.They were very happy. We created golf packages.Next thing we knew, they brought in their families.Now, what to do with the wife and kids? I broughtthem to Subic for the beach. So Clark and Subic werein tandem already. To think there was no SCTEx then.”Asiana spent US$3 million to promote Clark amongKoreans. In October 2003, Asiana started its charterflights to DMIA. Initially, there were only twice-a-weekflights from Seoul to Clark and vice versa. During winter,it increased to 11 flights a week. Soon, Asiana hadto put up an office inside Clark.UPS made it to DMIA with the push from Mr. LucianoBut it was understandable since it had been more thana decade since they saw planes coming and going.They wanted to relive the past.” The policies mappedout for investors became friendlier. At the DMIA, anyinvestor could come in and settle down at cheaperrates than at NAIA.The next move was to bring in commercial passengerairlines. If they could invite just one, at least, CIAC believedthat by word of mouth, many would follow.The first airline Luciano thought of was Asiana Airlines,a rising Korean airline company that he had served asa top executive when its Philippine operations startedway back in 1994.As CIAC president, Luciano went back and forth toSeoul for a series of negotiations. His personal friendshipwith the Asiana group chairman helped; it waslike meeting an old friend. He invited Asiana officials toClark.“Ngayon, grabe na,” exults Luciano. There’s already aKoreatown in Clark. In the course of seven years, nagboomsa Koreano ang Clark. And Asiana is now thesecond biggest airline in Korea. The Philippine markethas contributed substantially to that.”In the Aquino administration, there is more hope tocontinue what CIAC started, Luciano believes.The case of the diverted flights last July strengthensthis hope, especially since the skies over Clark seem tosignify summertime all year round.Various locators at the Clark Freeport Zone, led by abig Kuwaiti investor, have endorsed his extension inoffice as president and chief executive officer of CIAC.Cited are Victor Jose Luciano’s professionalism, hisconsistency in his policies, and the respect he hasearned from businessmen.A letter of endorsement was sent to President BenignoAquino III by Sheikh Ahmad Dawood Salman AlSabah, a member of Kuwait’s ruling and royal family,who has been instrumental in assisting KGL InvestmentCo. in financing a $2-billion aviation-orientedlogistics and business park project at Clark.

PAGE 12Regional NewsGGLC NEWSLETTER EXPRESSThe project, called Global Gateway Logistics City(GGLC), is being developed by Peregrine DevelopmentInternational, a Kuwait-based American company,whose president Dennis L. Wright has also endorsedLuciano’s extension of service.But the process would perk up even more once Filipinobusiness and political leaders “really begin to geton board,” Wright said. He cited inroads, with the interestshown by Metro Pacific and San Miguel Corp. inprojects such as a high-speed rail to Clark. MedicalCity will be one of the first Filipino signature locatorsin Clark by yearend.With regards the DMIA, it has already received an“Airport of the Year”” award for airports with lessthan 15 million passengers annually. This was at the2008 Frost & Sullivan Asia Pacific Aerospace and DefenseAwards held in Singapore, where the followingcitation was read:Land-use plan of Global Gateway Logistics CityNow two years into its design-engineeringconstructionphase on a 177-hectare area in Clark,GGLC is one of the biggest direct foreign investmentprojects in the Philippines. Upon its completion, it willhave 4.2 million square meters of floor space and createmore than 100,000 jobs.In a letter to Executive Secretary Paquito Ochoa, thePeregrine president wrote: “We hope you will recognizethe need for the business sector at Clark to seethe government’s commitment to maintaining consistentpolicies, procedures and interface.” He added thatthe decision to develop GGLC at Clark was based inlarge part on the personal dedication and knowledgeof Luciano and his staff.Wright is particularly optimistic about Clark’s greatpromise. He has written several Cabinet secretariesabout the effort to attract another big Kuwaiti investmentgroup to invest in both Negros Navigation andthe GGLC, and how his group’s determination to sellClark as the place to invest in has been recognized bysuch companies as Texas Instruments, Singapore Airlinesand Samsung.From humble beginnings of serving only charterflights, the recipient’s recent growth has been nothingshort of remarkable. It has positioned itself to becomethe future primary airport serving the surroundingmajor cities. The recipient’s performance in 2007 hasraised its profile amongst the industry and has createda strong platform for its expansion plans towards thecoming years.”Upon receiving the award, Luciano said the citationcame at a time when the DMIA was experiencing anunprecedented growth in aviation-related projectsand passenger volume.The expansion of the existing DMIA Terminal 1 hasbeen realized. The new two-story Terminal 1 now hastwo aero bridges, a Flight Information Display, CCTV, X-ray machines, escalators and elevators, baggage conveyors,five airline ticketing offices, additional immigrationcounters, and a concessionaires area. Internationalpassenger traffic at the Clark airport has beenincreased to 700,000 annually.The liberalized policy for international passenger airlineshas allowed the entry of Asiana Airlines, Air Asiaof Malaysia (recognized as the biggest “budget” airlinein Asia, and which now has 14 weekly flights betweenClark and Kuala Lumpur and Kota Kinabalu), Tiger Airwaysof Singapore, and now Jin Air, also of Korea. Atotal of 28 specific air rights have been securedthrough bilateral Air Service Agreements.

PAGE 13Regional News NewsGGLC NEWSLETTER EXPRESSThe current 50 international flights per week includethose run by Cebu Pacific to Hong Kong, Bangkok, Singaporeand Macau, as well as Spirit of Manila toTaipei.Among other big aviation-related projects invited byLuciano have been the SIA Engineering MRO facilityand Miascor catering services.Such has been the effort leading to the entry of investors,as pushed by CIAC, that stakeholders in Clark areunanimous in endorsing Luciano’s leadership.Among these are Frank Sauceda, president of LuenThai Philippines. The L&T International Group Phils.,Inc. has been in the Clark Freeport Zone for 15 years,the biggest as a garments manufacturer that producersinternational brand apparel, such as for Ralph Lauren,Dillard’s and Levi’s.Joining the positive chorus are George D. Sorio, representingMetro Clark ICT Council (MCICTC) and the NationalICT Confederation of the Philippines; Danilo L.Cerdena, president of the Pampanga Agents TravelSociety (PATS); Belen Guzman, president of the Allianceof Travel & Tour Agencies of Pampanga (ATTAP);and Joselito C. Mercado and Simon Morley, presidentand chairman, respectively, of the Clark Investors andLocators Association or CILA, which represents the entireinvestment group in Clark Freeport Zone.The last-named organization wrote: “Mr. Luciano’squalification is unparalleled; his generous commitmentand assiduous dedication to the success of CIAC and allsurrounding investments come as a bonus.Clark Freeport Zone calls for modern and intelligentleadership; as investors we need a strategic businesspartner who is able to perform and support ourgrowth.”Indeed, hooray for Chicho Luciano, another King Bedan.And hooray for the future of Clark as super-hub.Albay is first in infra boom, maintenanceBusiness MirrorTABACO CITY—It was a dream come true when anewly elected congressman declared he would makehis district No. 1 in the Bicol region in terms of infrastructureprojects.Today, Albay’s First District is not only first; since2007, it has also been consistently No. 1 in terms ofroad maintenance, according to the rating by the Departmentof Public Works and Highways’ Bureau ofMaintenance conducted every semester.The Albay Planetarium with Mayon Volcano in the backgroundAlbay district engineer Manuel Azurin said the FirstDistrict under Rep. Edcel Lagman is now concentratingon so-called vertical projects: the concreting of theremaining barangay roads and flood control, sayingnational, provincial and municipal roads are almostcompleted.Azurin said the boosting of infrastructure projects inthe First District started in 1987 when thenundersecretaryEdcel Lagman of the Department ofBudget and Management was elected congressman.He worked to make the First District the topdistrict in the region during his second and third termsin office.

PAGE 14Regional NewsGGLC NEWSLETTER EXPRESSLagman was succeeded in 1997 by his daughter KriselLagman-Luistro for two consecutive terms after theformer ran, but lost in a Senate race. Today Lagman isback on his second term as minority floor leader withLuistro as mayor of Tabaco City.Tabaco became a city in 2002 following its infrastructureboom.Lagman coordinator Ronald Burce, an engineer, saideven the small San Miguel Island in Tabaco City whichhas five barangays now have a hospital. He added thatthe Tabaco port, which is the only port that accommodatesforeign vessels, has been reconstructed accordingto international standards.Burce added that teachers in villages are now proud toteach with their newly added and well-maintainedschool buildings, concreted barangay roads andbridges.He added that the First District has the Mayon SkylineInternational Hotel built up the foot of Mount Mayonand a planetarium located at barangay Buang overlooksthe First District of the province.Documents showed that in the past semester, Albay’sFirst District again won for having the best maintainedroads and bridges with zero potholes. Former Albaygovernor and now congressman Fernando Gonzales(Albay Third District) said he admired the First Districtfor having the best-maintained roads in Bicol and expressedthe hope that his district would follow suit.Zambales, Tarlac execs push highway projectBusiness MirrorPALAUIG, Zambales—The long-dreamed of highwaythat would connect the provinces of Zambales andTarlac and boost economic development in the CentralLuzon region will be realized soon with the blessingsof President Noynoy Aquino.Gov. Hermogenes Ebdane Jr. announced this lastweek as he led the mass induction of winners in therecent barangay and Sangguniang Kabataan electionsin this municipality.“It would undoubtedly be to President Noynoy’s creditif the project is completed under his term since theZambales-Tarlac road project has been considered asearly as 1901 during the time of the Americans,” headded.“We shall make a request to the President to prioritizethis, with the hope that he would make this his legacyproject,” Ebdane added, pointing out that Aquino hailsfrom Tarlac.Ebdane also said that he has met with Tarlac Gov. VictorYap on Wednesday, paving the way for an agreementto push through with the project and requestPresident Aquino to make the planned highway a governmentpriority.Gonzales did not hide his displeasure against his districtengineer Efren Manalo and assistant district engineerBernardo Levina.The Albay Engineering District used to handle the implementationof projects for the province’s three districtsin 2001 when Albay’s third engineering districtwas created by law. In 2007 Rep. Al Francis Bicharaalso sought the creation of a separate Albay secondengineering district which resulted in the creation ofthe task force pending final approval for his engineeringdistrict.Toll roads for economic growth

PAGE 15Regional NewsGGLC NEWSLETTER EXPRESSThe two executives also made a helicopter inspectionof the project site on Wednesday to thresh out differencesbetween designs made by planners from thetwo provinces.“We agreed that both the Tarlac and Zambales segmentswould meet at the Camp O’Donell area andthen connect to the Subic-Clark-Tarlac Expressway(SCTEx),” Ebdane.“This way, we could prevent extraneous cost whilemaximizing accessibility for Zambales and Tarlac inrelation to other areas in Central Luzon.”Ebdane also noted that construction of the proposedhighway had actually started from both the Zambalesand Tarlac sides in the past years, but was temporarilyhalted after the Mount Pinatubo eruption in 1991.He said the proposed highway would also provide analternative route to central Zambales in case of flashfloodsthat sometimes occur in towns still affected byvolcanic wastes that course down Pinatubo during therainy season.The ongoing construction of the Sta. Cruz-Mangatarem highway would soon connect northernZambales to eastern Pangasinan and boost trade inthat area, Ebdane said.Mactan airport expansion to boost passengertakeBusiness MirrorHe also noted that President Aquino’s father, the latesenator Benigno “Ninoy” Aquino Jr., has also proposeda similar project to connect Tarlac to Zambales as earlyas 1963.“As you can see, this is a project that is mutually desiredby Zambales and Tarlac and mutually beneficialtoo,” the governor said. Ebdane expressed optimismthat the project will be completed soon because thegovernment has recently allotted P50 million to completethe road link that would cut through the Zambalesmountain range.“Once the funds were released, tuloy-tuloy na ’yan.The project would push through finally,” he said, addingthat the Department of Public Works and Highways(DPWH) has already spent P15 million last year to clearportions of the jungle for the highway.Ebdane said earlier the Zambales-Tarlac road project ispart of his administration’s priority program. He saidthe proposed highway would not only open up Zambalesto trade and tourism opportunities in the region,but would also facilitate the development of the transportationsystem in the coastal province.International air-transport in SouthTHE construction of two additional passenger bridgesat the Mactan-Cebu International Airport is on scheduleand should cater to additional airline and passengertraffic by late 2011.Mactan-Cebu International AirportAirport general manager Nigel Paul Villarete said theP178-million project, initiated by his predecessor, willcontinue along with other initiatives of the previousadministration.“The increased capacity will greatly help in providingcomfort for the passengers,” Villarete said.The airport reported a huge 30-percent increase ininternational passenger arrivals, hitting the 1-millionmark in October 2010.

PAGE 16Global Gateway NewsGGLC NEWSLETTER EXPRESSDomestic passenger movements also posted a solid 8-percent growth at 3.4 million.The airport has an average of 320 international flightsa week and 1,750 domestic flights.Planners are currently creating a long-term masterplanfor the 30-year-old airport with a $1.3-million assistancefrom the Korean International CooperationAgency (Koica).The masterplan is set for completion in September2011. Villarete said the masterplan should present amore concrete land use plan for the airport propertyas well as provisions on expanding the present terminalbuilding which is already congested.Ambassador Gaa with Mr. Chuck WestripCebu is connected with direct regular flights to Narita,Incheon, Hong Kong, Singapore and Doha, among others.Philippine 2011 Tourist InitiativeLast November 23, 2010, Mr. Chuck Westrip, PeregrineVice President for North America and Europe met thePhilippine Ambassador in Washington DC, USA His ExcellencyAmbassador Willy C. Gaa.Ambassador Gaa has been assigned to the PhilippineEmbassy in Washington, D.C. as Ambassador Extraordinaryand Plenipotentiary effective July 25, 2006.The meeting was the American kick off of the newPhilippine 2011 Tourist Initiative which aims to promoteFilipinos throughout America to go back to thePhilippines for vacations and reunions to support theTourist Program.Mr. Westrip made mention on the upcoming visit ofUS ASEAN Trade Mission to Clark and Subic. He alsocited the 177-hectare masterplanned mixed use AviationOriented Logistics and Business Center of ExcellenceGlobal Gateway Logistics City project inside theClark Freeport Zone to Ambassador Gaa which he fullysupported.Delegates of Philippine 2011 Tourist Initiative with AmbassadorGaaPacquiao-Margarito Fight “The Event”Filipino pound-for-pound king Manny “Pacman” Pacquiaocaptured a record eighth title giving pride to theFilipinos as he won his World Boxing super welterweightcrown against Mexican boxer Antonio Margaritoby unanimous decision Saturday night (Sunday inManila) November 14, 2010.Global Gateway Logistics City sponsored a payperviewat Holiday Inn Clark to watch the Filipinoboxer Manny Pacquiao .

PAGE 17Global Gateway NewsGGLC NEWSLETTER EXPRESSEmployees, locators, investors and friends attended towatch the fight. It was indeed “Manny being the bestfighter in the world.Congratulations!Congressman Manny “Pacman” PacquiaoMr. Mark Williams and wife Ms. Laura Williams with friend andMr. Mike RussellApplause for Manny Pacquiao!Staff of Sen. Angara with Mr. Dennis Wright and Mr. Mark WilliamsToast for success!Waiting for a knockout punch from “Pacman”The Holiday Inn Grand Ballroom was filled with around 400 guestto watch and enjoy the sumptuous food served by Holiday Inn

PAGE 18Global Gateway NewsGGLC NEWSLETTER EXPRESSSite ProgressFormworks set-up prior to concrete pouring of concreteencasement for electrical pipesBackfiling works and top base preparationOngoing RC pipe laying with collar applicationConcrete pouring activities at storm drain manholeextensionGravel Bedding preparation on saturated areas prior toRC pipe layingOngoing RC pipe laying and gravel bedding preparation

PAGE 19GGLC NEWSLETTER EXPRESSGlobal Gateway NewsHappy Birthday!Sir Marvin and Girlie EvangelistaNovember 13 & November 21Birthday Girl,Girlie E.Love my Harley-Davidson cap :)Best part of it is……. EATING! lol

ReferencesPHL Cited as World's Top Outsourcing Centerhttp://www.mb.com.ph/articles/285355/phl-cited-worlds-top-outsourcing-centerConstruction industry sees boomhttp://www.malaya.com.ph/11052010/busi7.htmlPH banking system maintains int’l rankhttp://business.inquirer.net/money/topstories/view/20101104-301481/PH-banking-system-maintains-intl-rankNEDA makes new push for logistics corridorshttp://www.malaya.com.ph/11232010/busi16.htmlPhl economy likely grew 6.7%-7.7% in third quarter - NEDAhttp://www.philstar.com/Article.aspx?articleId=632770&publicationSubCategoryId=66Why Clark is the future superhubhttp://www.philstar.com/Article.aspx?articleId=634043&publicationSubCategoryId=87Mactan airport expansion to boost passenger takehttp://www.businessmirror.com.ph/home/regions/4580-mactan-airport-expansion-to-boost-passenger-takeAlbay is first in infra boom, maintenancehttp://www.businessmirror.com.ph/home/regions/4531-albay-is-first-in-infra-boom-maintenanceAquino pursues Open Skies policy to attract investorshttp://www.philstar.com/Article.aspx?articleId=631350&publicationSubCategoryId=66Zambales, Tarlac execs push highway projecthttp://www.businessmirror.com.ph/home/regions/4469-zambales-tarlac-execs-push-highway-project