PHILIPPINES: SM reported consolidated net income rose 8% to PHP23.8 billion for the first nine months of 2017

Pasay City, Philippines, 2017-Nov-09 — /EPR Retail News/ — SM Investments Corporation (SM) reported consolidated net income rose 8% to PHP23.8 billion for the first nine months of the year. Recurring net income, net of one-time items, climbed 13%. Consolidated revenues likewise grew 8% to PHP272.2 billion for the period from PHP252.7 billion in the same period last year.

“Our solid third quarter results benefitted from vibrant growth in our property and retail businesses. Property earnings were driven by nationwide mall expansion and the strong performance of residential developments. Retail also gained from footprint expansion and robust consumer sentiment, particularly in specialty retailing. We remain confident that our growth plans are on track,” SM President Frederic DyBuncio said.

For the first nine months, property accounted for 40% of consolidated earnings, banks at 38% and retail 22%.

Retail

Retail operations under SM Retail Inc. reported growth in total sales of 6% to PHP197.9 billion while net income rose 10% to PHP7.7 billion. Revenues from Specialty Retail grew 9%.

THE SM STORE opened two stores in Cagayan de Oro and in Puerto Princesa during the nine-month period. Total gross selling areas of all 59 department stores stood at over 750,000 square meters.

The Food Retail Group continued its aggressive expansion adding 21 mid-sized format Savemore stores, three SM Supermarkets and two WalterMart stores for a total of 26 new stores year to date. Most of these new stores were located in communities outside Metro Manila. Meanwhile, Alfamart increased its number of stores to 320 as of end-September from 210 at the start of the year.

Specialty Retail added 68 new stores during the nine-month period.

Property

SM Prime Holdings, Inc. (SM Prime) reported net income expanded by 15% in the first nine months of the year to PHP20.0 billion driven by additional rental revenues from mall expansions, consistent growth in same-mall-sales and higher contribution from residential sales. Consolidated revenues likewise rose 12% to PHP64.7 billion.

Mall revenues rose 10% to PHP38.6 billion. Mall rentals increased 10% to PHP32.8 billion due to expansions and new malls that opened in 2016 and 2017 while same-mall-sales sustained its 7% growth.

Consolidated revenues of SM Prime’s residential group, which includes SM Development Corp. (SMDC), expanded by 10% to PHP20.5 billion due to increase in sales take-up of ready-for-occupancy (RFO) units and construction accomplishments of SMDC. Reservation sales surged 18% to PHP42.1 billion in sales value in the first nine months.

The rest of SM Prime’s businesses which includes offices, hotels and convention centers registered revenue growth of 39% to PHP5.8 billion.

Banking

BDO Unibank earned PHP20.4 billion, up 5%, on sustained growth in its core lending, deposit-taking and fee-based businesses. Net interest income grew by 23% to PHP59.8 billion, supported by 18% growth in customer loan portfolio to PHP1.7 trillion and 15% growth in deposits to PHP2.1 trillion. Fee-based income was up 30% to PHP20.8 billion.

Balance Sheet

As of end-September 2017, total assets of SM grew 16% year-on-year to PHP942.4 billion. SM maintains a healthy balance sheet with a conservative gearing ratio of 43% net debt to 57% equity.

About SM Investments Corporation
SM Investments Corporation is a leading Philippine company that is invested in market leading businesses in retail, banking and property. It also invests in ventures that can capture high growth opportunities in the emerging Philippine economy. It looks for market leaders or those with potential to become leaders in their chosen sectors that offer synergies and attractive returns and cashflows.

SM’s retail operations are the country’s largest and most diversified with its food, non-food and specialty retail stores. SM’s property arm, SM Prime Holdings, Inc., is the largest integrated property developer in the Philippines with interests in malls, residences, offices, hotels and convention centers as well as tourism-related property developments. SM’s interests in banking are in BDO Unibank, Inc. (BDO), the country’s largest bank and China Banking Corporation (China Bank), the 7th largest bank.

For more about SM, visit www.sminvestments.com

For further inquiries, please contact:
Mr. Tim Daniels
Investor Relations
SM Investments Corporation
E-mail: tim.daniels@sminvestments.com
Tel. No. (632) 857-1039

Source: SM Investments Corporation

PHILIPPINES: SM opens new mall SM City Puerto Princesa in Palawan

PHILIPPINES: SM opens new mall SM City Puerto Princesa in Palawan

 

Pasay City, Philippines, 2017-Oct-11 — /EPR Retail News/ — With the opening of SM City Puerto Princesa in Palawan on September 15, SM has further expanded its retail footprint nationwide.

Determined to bring its mark of providing an exciting retail experience to as many Filipinos, SM launched its anchor retail brands in Puerto Princesa, one of the country’s main tourist destinations and voted as one of the best islands in the world by travel magazine Travel + Leisure. These included THE SM STORE, SM Supermarket and SM Appliance Center; as well as specialty brands Ace Hardware and Watsons with a combined floor area of over 15,000 square meters.

“SM’s maiden property and retail ventures in Palawan open opportunities for us to cater to an underserved tourist market. Under the government’s expansionary strategy, there is increased focus on regional development. This supports our overall strategy to further expand and cover as many provinces in the country to provide access to the best retail options to consumers,” SM Investments Corp. President Frederic DyBuncio said.

The additional retail brands add to SM Retail’s total of 2,357 as at end-June 2017. This comprises 58 THE SM STORES, 1,709 specialty stores, 50 SM Supermarkets, 44 SM Hypermarkets, 170 Savemore stores, 41 WalterMart stores and 285 Alfamart stores as of the given period.

“SM’s diversified retail business allows greater synergies with SM Prime’s own diverse product offerings and integrated developments. SM Retail is given room to further gain a foothold in the regions and further expand with each property expansion,” Corazon Guidote, SVP for Investor Relations at SM said.

Aside from its anchor and specialty retail brands, other SM-related brands that located in SM City Puerto Princesa are variety store chain Miniso, BDO, SM Cinema and Director’s Club and logistics company, 2GO as well as BDO.

SM Retail continues to expand across the country. For one, the food retail group under SM Markets plus WalterMart pursued its expansion both in urban and rural communities. For the SM STORE, it opened SM CDO Downtown in Cagayan de Oro this year aside from SM City Puerto Princesa. As of the first half, the total gross selling area of all 58 department stores stood at 760,000 square meters.

Revenues from SM Retail’s specialty retail stores grew 8% to PHP31.6 billion in the first half of 2017.  Specialty retail brands include Ace Hardware, SM Appliance Center, Homeworld, Our Home, Toy Kingdom, Watsons, Kultura, Baby Company, Sports Central, Forever 21 and Body Shop which continue to expand nationwide.

About SM Investments Corporation

SM Investments Corporation is a leading Philippine company that is invested in market leading businesses in retail, banking and property. It also invests in ventures that can capture high growth opportunities in the emerging Philippine economy. It looks for market leaders or those with potential to become leaders in their chosen sectors that offer synergies and attractive returns and cashflows.

SM’s retail operations are the country’s largest and most diversified with its food, non-food and specialty retail stores. SM’s property arm, SM Prime Holdings, Inc., is the largest integrated property developer in the Philippines with interests in malls, residences, offices, hotels and convention centers as well as tourism-related property developments. SM’s interests in banking are in BDO Unibank, Inc. (BDO), the country’s largest bank and China Banking Corporation (China Bank), the 7th largest bank.

For more about SM, click here: www.sminvestments.com

For further inquiries, please contact:
Ms. Corazon P. Guidote
Senior Vice President for Investor Relations
SM Investments Corporation
E-mail: cora.guidote@sminvestments.com
Tel. No. (632) 857-0117

Source: SM Investments Corporation

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5th Philippine Trust Index: SM emerged as the top trusted and most popular brand

Pasay City, Philippines, 2017-Sep-15 — /EPR Retail News/ — SM has emerged as the top trusted and most popular brand in the country based on the 5th Philippine Trust Index by the EON Group.

The PTI is EON’s multi-awarded proprietary research that looks into the levels and drivers of trust among Filipinos.

Based on a poll of 1200 Filipinos aged 18 and above from March to April 2017, SM ranked first among ten companies as the most popular and most trusted among the general and informed public. BDO Unibank, Inc. was also cited among the top 10 most popular and most trusted brands.

In a separate result, the study showed that Filipinos trust brands that they come in contact most often, whether as employees or as customers. Most of these trusted brands fall under the manufacturing and retail sectors, followed by restaurants and fast food chains.

Among this larger pool surveyed is a sample of 600 Filipinos deemed the informed public or Filipinos at least 25 years old with at least 3 years of tertiary education and who tune in to the news at least twice a week.

# # #

About EON
The EON Group is a fully integrated communications agency focused on four practice areas—Corporate and Marketing public relations, reputation management and public affairs, creative technology and experiential marketing.

For more about EON, click here: eon.com.ph

About SM Investments Corporation
SM Investments Corporation is a leading Philippine company that is invested in market leading businesses in retail, banking and property. It also invests in ventures that can capture high growth opportunities in the emerging Philippine economy. It looks for market leaders or those with potential to become leaders in their chosen sectors that offer synergies and attractive returns and cashflows.

SM’s retail operations are the country’s largest and most diversified with its food, non-food and specialty retail stores. SM’s property arm, SM Prime Holdings, Inc., is the largest integrated property developer in the Philippines with interests in malls, residences, offices, hotels and convention centers as well as tourism-related property developments. SM’s interests in banking are in BDO Unibank, Inc. (BDO), the country’s largest bank and China Banking Corporation (China Bank), the 7th largest bank.

For more about SM, click here: www.sminvestments.com

SOURCE: SM Investments Corporation

For further inquiries, please contact:

Ms. Corazon P. Guidote
Senior Vice President for Investor Relations
SM Investments Corporation
Tel. No. (632) 857-0117

PHILIPPINES: SM H1 2017 results: income grew 9% to PHP16.6 billion

Pasay City, Philippines, 2017-Aug-09 — /EPR Retail News/ — SM Investments Corporation (SM) said reported income grew 9% to PHP16.6 billion. Excluding one-time items in 2016, recurring income increased 16% in the first six months.

Consolidated revenues rose 7% to PHP181.6 billion in the first half from PHP169.7 billion in the same period last year.

“Even without the benefits of an election year, we saw sustained growth across all our core businesses, driven by the strong economy and resilient consumer sentiment. SM will continue to capture this momentum through nationwide expansion and by investing in high growth opportunities,” SM President Frederic DyBuncio said.

The property business contributed the most to consolidated net income at 42%. This was followed by banks with 36% and retail with 22%.

Outside of the core businesses, SM continues to build its portfolio of investments in complementary businesses that will help capture the high growth of the Philippine economy. Among its equity investments portfolio, Belle Corporation benefited from increased growth in the tourism sector, reporting consolidated net income growth of 93% to PHP1.8 billion.

Retail

SM Retail reported sustained growth in total sales of 6% to PHP131.6 billion, while net income rose 6% to PHP5.2 billion.

Net margin stood at 4.4%. At end-June 2017, SM Retail had a total of 2,357 stores, comprising 58 THE SM STORES, 1,709 specialty stores, 50 SM Supermarkets, 44 SM Hypermarkets, 170 Savemore stores, 41 WalterMart stores and 285 Alfamart stores.

The Food Retail Group pursued its aggressive expansion in both urban and rural communities nationwide, adding 15 mid-sized format Savemore stores, two SM Supermarkets and two WalterMart stores. Meanwhile, Alfamart increased its number of stores by 75 as of end-June from 210 at the start of the year.

THE SM STORE opened one store in SM CDO Downtown in Cagayan de Oro in May 2017. As of the first half, the total gross selling area of all 58 department stores stood at 760,000 square meters.

Revenues from SM Retail’s specialty retail stores grew 8% to PHP31.6 billion. Specialty retail brands include Ace Hardware, SM Appliance Center, Homeworld, Our Home, Toy Kingdom, Watsons, Kultura, Baby Company, Sports Central, Forever 21 and Body Shop.

Property

SM Prime Holdings reported consolidated net income of PHP14.4 billion, up 14%. Consolidated revenues increased 10% to PHP43.2 billion from PHP39.2 billion in the same period last year.

Mall revenues, which consist of rentals, cinema and event ticket sales and amusement revenues, accounted for 60% of total revenues and rose 10% to PHP25.7 billion in 2017. Mall rental revenues alone grew 10% to PHP21.8 billion from additional retail space of 1.1 million square meters of gross floor area added since 2015.

During the first half of 2017, SM Prime opened SM CDO Downtown Premier in Cagayan de Oro, S Maison at Conrad Manila in Pasay City and SM Cherry in Antipolo, Rizal, bringing total Philippine operating malls to 63 with a GFA of almost 7.8 million sqm. Including the seven malls in China, SM Prime has a total GFA of 9.1 million sqm.

SM Prime’s residential group recorded 5% higher revenues of PHP13.9 billion in the period, which accounted for 32% of total revenues, largely due to higher construction accomplishments of SM Development Corporation (SMDC) projects that were launched since 2014. SMDC’s reservation sales surged 22% to PHP27.6 billion in the first half, translating to a 8% improvement in unit sales to 8,699 units.

The Commercial Properties Group, which contributed 3% of total revenues, posted a 14% increase in revenues to PHP1.5 billion.

Hotels and convention centers revenues soared 73% to PHP2.2 billion in the first half, largely from the opening of Conrad Manila in 2016.

Banking

BDO Unibank, Inc. (BDO) reported its first half net income at PHP13.3 billion driven by the growth in loan portfolio, low-cost deposits and higher recurring fee-based service income. Excluding one-time gains from the consolidation of BDO Life in 2016 recurring income in 2017 grew by 16%.

Net interest income grew 22% in the six-month period to PHP38.6 billion. Customer loans increased 17% to PHP1.6 trillion while total deposits rose to almost PHP2.0 trillion, supported by the 17% growth in current account and savings account (CASA) deposits.

China Banking Corporation reported net income growth of 10% to PHP3.6 billion for the first half, driven by strong growth in its lending business and core recurring income.

Net interest revenues grew 16% to PHP9.2 billion year-on-year. Gross loans expanded 22% year-on-year to PHP401.7 billion while total deposits grew 20% to PHP554.0 billion.

Balance Sheet

As of end-June 2017, total assets of SM grew 17% to PHP916.3 billion. SM maintains a healthy balance sheet with a conservative gearing ratio of 43% net debt to 57% equity.

SM increased its investments in its subsidiaries in the first half with the PHP60 billion stock rights issue of BDO in January 2017 and PHP15 billion for China Bank in May 2017, as well as its acquisition of stakes in logistics company 2GO Group and Philippines Urban Living Solutions, the operator of a dormitel chain under the brand, “MyTown”.

About SM Investments Corporation

SM Investments Corporation is a leading Philippine company that is invested in market leading businesses in retail, banking and property. It also invests in ventures that can capture high growth opportunities in the emerging Philippine economy. It looks for market leaders or those with potential to become leaders in their chosen sectors that offer synergies and attractive returns and cashflows.

SM’s retail operations are the country’s largest and most diversified with its food, non-food and specialty retail stores. SM’s property arm, SM Prime Holdings, Inc., is the largest integrated property developer in the Philippines with interests in malls, residences, offices, hotels and convention centers as well as tourism-related property developments. SM’s interests in banking are in BDO Unibank, Inc. (BDO), the country’s largest bank and China Banking Corporation (China Bank), the 7th largest bank.

For more about SM, click here: www.sminvestments.com

For further inquiries, please contact:

Ms. Corazon P. Guidote
Senior Vice President for Investor Relations
SM Investments Corporation
E-mail: cora.guidote@sminvestments.com
Tel. No. (632) 857-0117

Source: SM Investments Corporation

PHILIPPINES: SM opens its second SM mall in Cagayan de Oro

PHILIPPINES: SM opens its second SM mall in Cagayan de Oro

 

Pasay City, Philippines, 2017-May-12 — /EPR Retail News/ — SM Prime Holdings, Inc. (SM Prime), one of the leading integrated property companies in Southeast Asia, opens its newest mall, the SM CDO Downtown Premier, on May 12, 2017. The new mall will add almost 178,000 square meters (sqm) of gross floor area (GFA) to the total retail footprint.

“SM Prime is one with the government in creating more opportunities that highlight the economic growth potential of Mindanao. The opening of SM CDO Downtown Premier, which is at the gateway of Northern Mindanao, is our second SM mall in Cagayan de Oro, and fifth in Mindanao which reflects our commitment and confidence to this part of the country,” SM Prime President Jeffrey C. Lim said.

SM CDO Downtown Premier, which is 87% leased awarded, will raise the malling experience in Cagayan de Oro as it will offer top amenities that Kagay-anons can enjoy. These include Cyberzone, SM Food Hall, SM Bowling Center, 5-level carpark building, 4 digital theaters, 2 Director’s Club, 1 Large Format Cinema, an 800-seater Sky Hall just like in SM Aura Premier in Taguig City and an al fresco dining and entertainment Sky Garden just like in SM North EDSA in Quezon City. The mall will also feature more popular stores such as Ace Hardware, BDO, Chinabank, Forever 21, Miniso, Our Home, Pet Express, SM Appliance, Sports Central, Surplus Shop, Toy Kingdom, Uniqlo and Watsons.

To top it all, SM CDO Downtown Premier complex will also have an eight-level office building that will cater to Business Process Outsourcing (BPO) companies.

Set to be Cagayan de Oro’s premier shopping address, SM CDO Downtown Premier is located at the bustling central business district of the city and easily accessible to the financial, commercial, residential and learning institutions.

Beyond the Lifestyle

SM Prime continues to give primary importance to sustainability and in integrating disaster resilience into its properties. As such, SM CDO Downtown Premier mall will have a water catchment beneath, which will be able to hold 13,650 cubic meters of rainwater to help lessen the flooding in the area.

SM Prime is scheduled to open four more malls in the Philippines namely SM Cherry Antipolo in Rizal, SM Center Tuguegarao Downtown in Cagayan, SM City Puerto Princesa in Palawan and SM Center Lemery in Batangas this year. By the end of 2017, SM Prime will have 65 malls in the Philippines – 22 of which are in Metro Manila, 33 in Luzon outside of Metro Manila, five in the Visayas and five in Mindanao – and seven malls in China with an estimated combined GFA of 9.3 million sqm.

SM Prime remains committed to its role as a catalyst for economic growth, delivering innovative and sustainable lifestyle cities that enrich the quality of life of millions.

For further information, please contact:
Alexander Pomento
Vice President, Investor Relations
SM Prime Holdings, Inc.
E-mail: alex.pomento@smprime.com

Source: SM Prime Holdings, Inc.

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PHILIPPINES: SM wins four awards at the PRSP Gabi ng Parangal 52nd Anvil Awards

PHILIPPINES: SM wins four awards at the PRSP Gabi ng Parangal 52nd Anvil Awards

 

Pasay City, Philippines, 2017-Mar-17 — /EPR Retail News/ — SM won four awards during the Public Relations Society of the Philippines’ (PRSP) Gabi ng Parangal 52nd Anvil Awards held last March 10, 2017.

SM Investments Corporation was awarded for its website redesign project, 2015 Annual Report and Environmental Social and Governance (ESG) Report. SM Foundation, on the other hand, received a silver Anvil for its School Building program.

SM’s second ESG Report in 2015 with the theme, “Creating a Sustainable Future”, earned a Gold Anvil Award for “manifesting SM’s committment to sustainability and underscored its alignment with the United Nation’s Sustainable Development Goals.”

SM also bagged a Silver Anvil Award for its website redesign project which introduced “a more current and global aesthetic, improved content and organization and increased functionality and navigability.”

The SM 2015 Unified Annual Reports, with the theme, “Sustaining Growth, Delivering Value”, clinched a Silver Anvil Award “for providing accurate and comprehensive disclosure of SM’s financial performance, growth plans and strategies in key social investments, environment, governnance policies and initiatives.”

The Anvil is presented to the outstanding public relations tools and programs that have met the high standards set for each category.  PR practitioners, industry communications specialists, academicians and business persons attended the event.

Read more about SM Investments’ 2015 Annual Report and ESG Report here: http://www.sminvestments.com/annual-reports

Contact:
Ms. Corazon P. Guidote
Senior Vice President for Investor Relations
SM Investments Corporation
E-mail: cora.guidote@sminvestments.com
Tel. No. (632) 857-0117
www.sminvestments.com

Source: SM Investments Corporation

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PHILIPPINES: SM reached out to more local investors during its retail investor seminar

PHILIPPINES: SM reached out to more local investors during its retail investor seminar
PHILIPPINES: SM reached out to more local investors during its retail investor seminar

 

Pasay City, Philippines, 2016-Sep-10 — /EPR Retail News/ — SM Investments Corporation (SM) reached out to more local investors as it underscored Philippine corporate growth.

SM, with subsidiaries SM Prime Holdings and BDO Unibank, recently concluded retail investor seminar in partnership with CitisecOnline.com in Cebu, Cagayan de Oro, Davao and Manila which drew thousands.

“Investor education is very important to SM and we do our part by going around the country to share the long-term growth plans of the group. Historically, foreign investors dominated our minority investor base who gained immensely from the strong share price performance of SM and its listed subsidiaries. We want to encourage more local investors to likewise gain from the business acumen of the Sy family,” Cora Guidote, SM Senior Vice President for Investor Relations said.

Since listing in the stock market in 2005, SM’s share price grew by a compounded annual growth rate of 17.4%. As a result, market capitalization grew to PHP 819.1 billion as of end-August from PHP 127.2 billion in 2005, reflecting the support of investors, particularly those of foreign institutional funds over the last 11 years.

A PHP 10,000 investment, bought during IPO would be PHP 46,920.82 if sold as of December 2015, notwithstanding cash dividends declared during those years.

SM has earmarked between PHP 70 to PHP 80 billion every year in an aggressive expansion bid in the Philippines, fueled by the local economy’s strong momentum. Supporting this capital commitment, SM posted an 11% growth in consolidated net income of PHP 15 billion in the first six months of the year.

For further information, please contact:
Ms. Corazon P. Guidote
Senior Vice President for Investor Relations
SM Investments Corporation
E-mail: cora.guidote@sminvestments.com
Tel. No. (632) 857-0117
www.sminvestments.com

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PHILIPPINES: SM and Michael Martinez to hold 3-day skating camp

Pasay City, Philippines, 2016-Jun-06 — /EPR Retail News/ — Michael Martinez is back. After turning his focus towards gruelling competitions and religious training abroad for an entire year, Michael has returned to his home country to fulfill his dream of imparting his knowledge and skills in the rink to young skaters. “It has always been my hope to begin a formal program in the Philippines in which I could help raise more Filipino figure skaters ready for the international arena,” says Martinez.

In collaboration with SM Lifestyle Entertainment, Inc. (SMLEI), Martinez and SM Skating will be holding a 3-day camp on June 15-17 at Mall of Asia and June 30 – July 1 in SM Seaside City Cebu. “We at SM Skating would like nothing more than to support Michael in his dream to develop budding skaters into Olympic athletes,” notes SMLEI Sports and Development Head CJ Suarez, “We hope to have this camp in place annually during Michael’s off-ice seasons. We are also creating full-production, free ice shows starring Michael and the 2015 Philippine national champs. There will be a meet and greet after each show. We hope that this doesn’t only create an interest in the sport, but also create a bigger spark in skaters to give them a push towards training harder for the gold medal.” The ice show and meet and greet will take place in Megamall on June 18 and July 2 in SM Seaside City Cebu.

After the last leg of the camp and ice shows in July, Michael will head back to the United States to prepare for the next competition season in August.

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About SM Skating
Starting as a leisure rink built by the inspired Henry Sy Sr. whose interest was piqued by the grace and class of figure skating, the SM Skating Rink possesses the only Olympic sized ice skating rinks in the entire country. Aside from being a venue for events and leisurely skating, the SM Skating Rink also provides lessons for Figure Skating, Ice Hockey, and other sports on ice. Proving right of Henry Sy Sr.’s vision of a tropical country excelling in a winter-based sport, the SM Skating Rink has been home to world class figure skaters, such as Michael Martinez, who internationally compete in prestigious championships such as the Winter Olympics in Sochi. This year, the SM Skating Rink will introduce more sports and activities to learn on the ice, and events that will cater to the existing and new winter-based sports.

For more information contact:

Stephanie Henares
SM Lifestyle Entertainment, Inc.
Stephanie.henares@smsupermalls.com

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SM and Michael Martinez to hold 3-day skating camp

Filipino Olympian figure skater Michael Martinez has returned to hold a 3-day skating camp, and to perform ice shows with succeeding meet and greets for his supporters.

Philippines: SM celebrates 30th anniversary of SM City North EDSA mall

Pasay City, Philippines, 2015-12-15 — /EPR Retail News/ — SM City North EDSA, one of the most iconic shopping malls in the country, has been an epitome of how SM malls have transformed to meet the shifting needs and demands of consumers in a dynamic Philippine retail environment.

From a footprint of only 125,000 square meters on opening in 1985, SM’s very first mall has grown in size to almost 498,000 square meters, housing more stores, concepts and ideas in keeping with today’s consumer trends and preferences.

Speaking before SM’s retail partners during the 30th anniversary of SM Supermalls last October, SM Prime Holdings President Hans T. Sy said that the retail landscape in the last thirty years “has become more global and competitive where technology has forever changed the way we live and do things.”

Opened in November 1985,  SM City North EDSA is SM Founder Henry Sy’s first shopping mall and now the largest in the Philippines.

“Ever the visionary, my father thought of building malls when he saw the shopping center development in the US during his business trips abroad in the 1950s and 1960s. That was the time when ‘burbs’ or suburbs were being built in the outskirts of big cities with a shopping mall as the center. He saw this development from the east to the west coast and knew this would happen in the Philippines,” Sy said.

SM North EDSA was completed by Henry Sy, Sr. amidst one of the most turbulent times in Philippine history.  Sy recounted that when his father started building SM City North EDSA in 1983, people thought it was a crazy idea as it happened during a political crisis where interest rates rocketed to as high as 45%. More so, the location of the mall was right smack in the middle of a marshland on North EDSA.

“They said that SM City would not succeed, but the mall was an instant success. And the rest they say is history,” Sy told retail partners.

Creating shared value

SM City North EDSA proved to be highly successful and transformative for its host communities.  With new business opportunities, the mall hastened economic activity and infrastructure development to and from Manila and nearby provinces as it was touted as an important regional destination.

Proof of its impact, the value of property in the area showed exceptional growth. Data from the Bureau of Internal Revenue show that from an initial zonal value of Php2,500 per square meter in 1990, land values around the mall soared to Php40,000 per square meter in 2000. It also opened employment opportunities, both direct and indirect, generating approximately over 6,000 jobs from SM, its agencies and tenants. Since its opening, it has consistently been one of the top tax payers in the Quezon City.

Business sustainability is also at the forefront of the mall’s operations throughout the years where its environmental programs can be summed up into three main areas:  (1) awareness (2) conservation and preservation and (3) disaster risk reduction.

For its awareness programs, SM Prime invites its tenants to learn more about environmental conservation and preservation by holding its annual Green Retail Agenda. SM City North EDSA shuts off its lights to participate in EARTH HOUR, the world largest celebration to raise awareness on environmental issues.

Through its energy conservation efforts, SM currently is the selected location for the 1.5 megawatts of solar energy through its 5,760 solar panels which offset 1,200 CO2 which is equivalent to planting 6,000 trees a year. The mall also uses LEDs for lighting.

Along with other SM malls, it also implements a water conservation program which recycles about 30% of total consumed water. The recycled water is used for the malls’ cooling towers, toilet flushing and grounds keeping.

It also participates in the Tenant Solid Waste Management Program which requires all tenants to segregate their waste. Through the “Trash to Cash” program, the mall invites its customers to bring their trash to the mall and exchange it to cash.

During times of calamity, SM City North EDSA partners with SM Foundation in distributing relief packs and opening its doors to serve as a safe refuge for affected families in the area.

The mall’s high visibility and foot traffic was also instrumental in the success of its tenants who have, in turn, been loyal partners of SM as it continues to expand in the country.

“Some of you helped us make malling a phenomenon when we built SM Megamall in 1991. Many of you grew with us as we experienced malling milestones: our foray into the provincial areas when we opened SM City Cebu which was followed by an aggressive expansion program to key cities around the Philippines. You were with us when we sought to make the SM Mall of Asia the premier destination mall in the region and when we ventured into more upscale projects like SM Aura Premier and the Mega Fashion Hall,” Sy told retail partners.

A dynamic mall

From its original shoe-box design, SM City North EDSA evolved to become the country’s largest mall that draws an average foot traffic of 420,000 shoppers a day.

Through the years, the mall has gone through several redevelopments which began with the Car Park Plaza in 1988, the SM Annex in 1989, the Block in 2006, The Annex and Interior Zone in 2008, the Sky Garden in 2009 and The Northlink in 2010.

Complementing these developments, SM built new spaces for various concepts such as for business process outsourcing (BPO) companies and other private offices. One is The North Link, a six-story building and The SM Cyber West Avenue, a fifteen-story building which will be linked via bridge way to the SM City North EDSA mall and the nearby MRT station. Complementing the integrated approach is Grass Residences, a five-tower residential condominium building which stands on a five-hectare property within the SM City North EDSA Complex.

Even today, Sy said that SM City North EDSA will continue to grow “like a vibrant city as it adds more office spaces and a hospitality complex, a unique combination of high end retail, dining and green spaces, highlighted by a series of five cascading office towers connected by pedestrian sky bridges.

With SM City North EDSA as the flagship, SM continues to build malls and lifestyle cities, at a rate of four to five malls a year. Its recent lifestyle city development, SM Seaside City in Cebu, fashioned after SM Mall of Asia, promises to bring the shopping, dining, entertainment, working and the living experience to a whole new level in the Southern Philippine region.

“We have changed the Filipino lifestyle forever. Our malls are indeed as they are called—cities, places where families and friends gather together to shop, eat out, have fun, and even do their business transactions and hear Mass. We have become part of the lives of millions of Filipinos,” Sy said.

SOURCE: SM Investments Corporation

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Philippines: SM celebrates 30th anniversary of SM City North EDSA mall

Philippines: SM celebrates 30th anniversary of SM City North EDSA mall

SM Vice Chair Teresita Sy-Coson awarded for her vision and management excellence by BizNews Asia

Pasay City, Philippines, 2015-12-11 — /EPR Retail News/ — SM Investments Corporation (SM) Vice Chair Teresita Sy-Coson was awarded for her vision and management excellence by BizNews Asia, one of the country’s most influential weekly business and news magazines.

BizNews Asia’s citation for Sy-Coson stated that she led SM and BDO Unibank, Inc. into becoming “huge, profitable, market dominant and pace setting conglomerates without losing their focus on consumer welfare and the betterment of society and the environment.”

Sy-Coson is the Chair of BDO. Aside from SM and BDO, she has been been largely involved in the development of Shoemart, the retail business which her father, Henry Sy, Sr. built.

BizNewsAsia was founded in 2001 by Antonio “Tony” Lopez, one of the most senior, multi-awarded, and experienced Asian journalists.  The magazine has a pass-on circulation of 350,000 readers.

The Entrepreneurship Excellence Awardees for vision and management also included: Ramon S. Ang, president and vice chairman of San Miguel Corp.; Felipe L. Gozon, chair and CEO, GMA Network, Inc.;  Edmund Gaisano Sr., chair, Gaisano Capital; Andrew Tan, chair-CEO, Alliance Global, Inc.; Manuel B. Villar Jr., chair, Vista Land; Edgar “Injap” Sia, chair-CEO, DoubleDragon Properties, Inc.; Amable R. Aguiluz V, founder, AMA Group of Companies; and Zenaida Tantoco, chair-CEO, Stores Specialists, Inc.

Shown in the photo are former President Fidel Ramos, SM’s Mrs. Coson and BizNews founder, chairman and president Tony Lopez.

SOURCE: SM Investments Corporation

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Photo courtesy of BizNews Asia

Photo courtesy of BizNews Asia

Philippines: SM showcases its third largest mall in the country: newly opened SM Seaside City Cebu

Pasay City, Philippines, 2015-12-1 — /EPR Retail News/ — Newly opened SM Seaside City Cebu is SM’s third largest mall in the country measuring 430,000 square meters in gross floor area and is one of the Philippines’ most picturesque, showcasing not just architectural excellence but also resilience in design.

Due to its proximity to the Mactan Channel, the mall draws marine inspiration from the “nautilus”. The sea creature’s unique shape and logarithmic pattern guided the building’s architectural shape and design. The nautilus, a spiral shell with pale, pearly chambers, is one of the finest examples of natural beauty and elegance.

Arquitectonica’s Peter Brannan, Managing Director for Asia says translating this design into mall features meant not only providing the usual retail, service and transport facilities. “It also has to act as the social hub, much like the marketplaces or town squares in the old, traditional communities,” Brannan said.

This prompted Arquitectonica to propose “community” features such as a landscaped roof deck that can act like a “Central Park” called the Sky Park.

The design also includes a central courtyard with a 150-meter modern bell tower which can be the centerpiece of community events like fiestas or New Year Event countdowns. Add to this the “Cube” sculpture at the facade of the mall which is an anagram for “Cebu”, serving currently as one of the more popular “selfie” spots for shoppers and tourists. Nearby at the complex is the Chapel of San Pedro Calungsod with a hundred walls, which has emerged as one of the City’s favorite wedding destinations.

Now in operation, the mall makes this communal spirit much more apparent. “We understand that Cebuanos have a very strong sense of community, so we wanted to make sure we gave them a venue in which they could celebrate this communal spirit,” Brannan said. The Sy family envisoned the 30-hectare SM Seaside City complex as a regional destination, bringing together local and foreign tourists from all walks of life mainly from the Visayas and Mindanao regions.

Beyond beauty is sustainability

Beyond the mall’s aesthetics, SM believes that investing in sustainability safeguards the welfare of the customers, the tenants, and the malls’s host communities. SM Prime Holdings, Inc. President Hans T. Sy said during his speech at the UNISDR General Meeting in London in November that depending on the location and assessment of SM’s projects, around 10% of capital expenditure is allocated to disaster resilience which requires making the mall structure resistant to risk from potential disasters. “My experience has proven that investing in resilience of our company’s assets makes good business sense,” Sy said.

For its Seaside mall, Architect Fides Hsu, Vice President of SM Engineering, Design and Development Corp. said SM Prime hired design experts who gave extra attention to the challenges of weather, especially typhoon and flooding given its location by the sea. SM Prime backfilled soil onto the reclaimed property specifically on the roads so that the whole complex where the mall sits is elevated by approximately 4.5 meters from the city roads. Due to its elevation, a lower carpark level was created to accommodate 1,700 vehicles. Furthermore, all necessary electrical and mechanical equipment are located on the roof deck.

In terms of seismic design or provisions for earthquakes, the building structure of SM Seaside was designed in compliance with Philippine building regulations such as the 2010 National Structural Code of the Philippines (NSCP), the Uniform Building Code (UBC 97), and the International Building Code (IBC 2010).

The mall also uses water treatment facilities that recycle used water by 90% and re-use this for the cooling tower, toilet flushing and irrigation.

To reduce energy consumption, the mall’s airconditioning uses a Building Management System (BMS) and high efficiency chillers. In addition, all storefront windows and skylights of the mall use double glazed low e-glass which prevent heat from penetrating by as much as 78%. Furthermore, the whole mall is equipped with LED lights, while mall escalators have an “auto start and stop” feature that is activated when in use or otherwise. Elevators are inverter type systems that save power of up to 30%.

“Even way back in the mid 80s when SM started building its malls, Mr. Hans T. Sy has been responding to issues of sustainability and disaster risk resilience. The older malls of SM, for example, have long been using the BMS and variable frequency drives for airconditioning that control mechanical motors to maximize usage of power,” Hsu said.

SM is committed to help protect the environment, more so, its host communities by acting as a temporary refuge during times of calamities. “SM Prime places crucial importance on disaster resilience, not as an additional cost, but as part of our core business strategy. It allows us to serve our communities better, to be competitive, and to increase value. But most of all, disaster resilience ensures the safety of our customers and the communities where we operate,” SM Prime’s Sy said.

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For further information, please contact:
Ms. Corazon P. Guidote
Senior Vice President for Investor Relations
SM Investments Corporation
E-mail: cora.guidote@sminvestments.com
Tel. No. (632) 857-0117
www.sminvestments.com

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View of the Sky Park atop SM Seaside City from an architect rendering

View of the Sky Park atop SM Seaside City from an architect rendering

SM and BDO support the Forbes Global CEO Conference to be held for the first time in the Philippines, October 12-14, 2015

Manila, Philippines, 2015-10-7 — /EPR Retail News/ — SM Investments Corporation (SM) and BDO Unibank, Inc. (BDO) are jointly supporting the Forbes Global CEO Conference to be held for the first time in the Philippines from October 12-14, 2015.

SM and BDO, represented by its Vice Chair and Chairperson respectively, Teresita Sy-Coson, will be in attendance as one of the speakers during the three-day conference, joining 49 other prominent global business leaders and entrepreneurs.

“We look forward to the discussions to be generated from the forum which will provide fresh perspectives on the evolving global business environment and the kinds of leadership that can potentially emerge under such a dynamic landscape,” SM Vice Chair and BDO Chairperson Teresita Sy-Coson said.

The conference theme, “Toward a Winning Vision”, focuses on visionary leadership and looks into how companies can best conceive and articulate a winning vision to drive their businesses forward, one that is based on their core competencies, values and purpose. The discussions aim to gather insights on topics such as the world economy, investment strategies, energy, technology and innovation, emerging markets, leadership, succession and philanthropy.

Aside from SM and BDO, the 15th annual Forbes Global CEO Conference is co-hosted by International Container Terminal Services, Inc. and San Miguel Corporation. Corporate Sponsors include Berjaya Corporation, Vista Land, Biomax Technologies, FICOFI and Weber Shandwick Worldwide.

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About SM Investments
SM Investments Corporation (SM) is one of the leading conglomerates in the Philippines with highly synergistic businesses in retail, banking and property development. SM has evolved into one of the most highly respected companies in the country owing to its progressive approach in business and its comprehensive sustainability programs for its host communities through SM Foundation and SM Cares.

SM’s retail operations enjoy a strong brand franchise consisting of THE SM STORE and its food retail chains namely SM Supermarket, SM Hypermarket, Savemore and WalterMart stores. SM’s property arm, SM Prime Holdings, Inc., is among the largest integrated property developers in the Philippines with interests in mall, residential, commercial and tourism development. SM’s interests in banking are in BDO Unibank, Inc. (BDO), the country’s largest, and in China Banking Corporation (China Bank), the fifth largest private bank. Combined, these two banks have a network of over 1,000 branches nationwide.

About BDO
BDO is a full-service universal bank which provides a wide range of corporate, commercial and retail banking services. These services include traditional loan and deposit products, as well as treasury, trust banking, investment banking, private banking, cash management, leasing and finance, remittance, insurance, retail cash cards and credit card services.

It has one of the largest distribution networks in the Philippines, with over 900 operating branches and over 2,700 ATMs nationwide. It also has a branch in Hong Kong as well as 27 overseas remittance and representative offices in Asia, Europe, North America and the Middle East.

BDO ranked as the largest bank in terms of total assets, loans, deposits, and trust funds under management based on published statements of condition as of June 30, 2015. For more information, please visit www.bdo.com.ph.

SM and subsidiaries recognized for excellence in good corporate governance by Hong Kong publication Corporate Governance Asia

Pasay City, Philippines, 2014-10-27— /EPR Retail News/ — Leading Philippine conglomerate SM Investments Corporation(SM) and its subsidiaries were recognized for excellence in good corporate governance by Hong Kong publication Corporate Governance Asia (CG Asia).

The 10th Corporate Governance Asia Recognition Awards acknowledges the companies who have taken serious steps to institutionalize Corporate Governance into their businesses.

SM Vice Chairperson and BDO Chairperson Teresita T. Sy-Coson and SM Prime Holdings, Inc. President Hans T. Sy were both cited for the Asian Corporate Director award.

SM Investments Corporation, BDO Unibank, Inc. and SM Prime Holdings, Inc. were awarded with Asia’s Icon on Corporate Governance. China Banking Corporation was cited as one of among Asia’s Outstanding Companies on Corporate Governance.

Ms. Sy-Coson said, “We would like to thank Corporate Governance Asia for these awards and for acknowledging the many initiatives we have taken over the years to further strengthen corporate governance across the SM group of companies. While good corporate governance is deeply engrained in the SM culture, we are committed to continue improving our standards because we believe that it can only serve to ensure long-term sustainability of all our businesses.”

The awarding ceremony was held on October 24, 2014 at the Renaissance Harbour View Hotel in Hong Kong.

CG Asia is the most authoritative journal on Corporate Governance in the region. Published quarterly, it provides news and analysis on corporate governance issues, boardroom practices and shareholder activism since seeing print in 2002. CG Asia is read by 9,000 executives from Asia’s major public companies, regulators, institutional investors, fund managers, lawyers, accountants, academics, government financial institutions.

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For further information, please contact:
Ms. Corazon P. Guidote
Senior Vice President for Investor Relations
SM Investments Corporation
Email : cora.guidote@sminvestments.com<
Tel. (632) 857-0117