SUBIC BAY FREEPORT—“Let us all practice Kaizen. Let us not be contended with what we have achieved. Let us always aim to surpass our achievement.”
This was the appeal of Subic Bay Metropolitan Authority (SBMA) Chairman Roberto Garcia to employees of the agency and stakeholders of the Subic Bay Freeport during his State of the Freeport Address (SOFA) recently.
Kaizen, Garcia explained, is a Japanese word that means continuous improvement.
Garcia said that even as the SBMA posted an impressive performance in 2013, it should aspire for even greater accomplishments in order to remain competitive as a trade and tourism hub.
In delivering his third SOFA as head of SBMA, Garcia reported that the positive investment promotion performance of the agency in 2013 has paved the way for a financial boost for 2014.
He pointed out that in 2013, the SBMA board of directors approved a total of P27 billion in terms of investment pledges, which was 800 percent more than the P3 billion recorded in the previous year.
Topping all other investment pledges in 2013 was the Korean firm Resom Resort, which committed P21.4 billion out of the total P27 billion pledges.
The rest of the top 10 new investors for 2013 were: PTT Philippines Trading Corp., with a P1.9-billion commitment; FFC Subic Seafoods Corp., P848.9 million; Johanna-Subic Seafood Corp., P795.6 million; Glowbal Outlets Philippines, Inc., P212.2 million; Simon & Stanley Int’l Trading & Dev’t Co., Inc.; P215.6 million; APG Int’l Aviation Academy Inc., P135.5 million; Alpha Primero Services Manufacturing, Inc., P84.7 million; Associated Freight Consolidators, P83.1 million; and Platinum Skies Aviation, Inc., P80 million.
Garcia also said that the SBMA will be developing more areas for investment this year following the turnover by the municipal council of San Antonio, Zambales of the 10,000-hectare San Antonio Economic Development Area for conversion into an additional secured area of the Subic Bay Freeport Zone.
Aside from this, the SBMA has also worked out with the local government of Subic, Zambales for the free port expansion into a 650-hectare coastal land in the municipality that will be ideal for shipbuilding and ship repair.
Both territorial expansion projects will be utilized to accommodate the growing investment proposals being received by the agency, Garcia said.
Meanwhile, Garcia also reported that the SBMA posted last year a net profit of P1.079 billion, its highest in its entire 21-year history. The SBMA’s 2013 gross revenue of P2.09 billion and earnings before interest, taxes, depreciation and amortization (EBITDA) of P992 million likewise became the highest in the agency’s history.
“These paved the way for a financial boost for 2014,” Garcia added.
Recently, the SBMA board approved the agency’s budget for capital expenditures worth P620 million to further improve infrastructures and facilities in the Subic Bay Freeport, as well as to further promote investment and tourism.
Garcia said the 2014 capex schedule was approved based on the strength of the agency’s record-breaking financial performance for 2013.
With these in place, Garcia challenged SBMA employees and Subic stakeholders to help surpass what was achieved in 2013.