| | | | Message from the Chairman | | | History | | | Vision & Mission | | | Board of Directors | | | Organizational Chart | | | Conglomerate Structure | | | Other Officers | | | Board Committees | | | AOI & By-Laws | | | | | |
| Message from the Chairman
The year 2015 will be remembered as the year when Alliance
Global Group, Inc. (AGI) set records in net income and consolidated revenues as we continued our thrust to expand our geographic footprint both in the Philippines and across the globe.
We posted P21.6 billion in net income, reflecting a 3.5% improvement over the previous year, driven by sustained gains of our major businesses which include property development, food and beverage manufacturing and distribution, quick-service restaurants, and integrated tourism development. This was achieved on the back of a robust 10.9% year-on-year growth in consolidated revenues to P139 billion, the highest in our company’s history.
All our businesses delivered strong results in 2015. Megaworld Corporation recorded a 10.6% year-on-year increase in core net income to P10.4 billion, driven by its development and investment projects within its townships throughout the country. Emperador Inc. posted a 12.2% year-on-year growth in net profit to P7.0 billion as the full year contribution from its Scotch whisky business under Whyte and Mackay pushed revenues to grow to P43.6 billion. Travellers International Hotel Group, Inc. registered a net income ofP4.0 billion as it continued to build on its mass and premium mass gaming segments and raise the contribution from its non-gaming businesses. Golden Arches Development Corporation generated P760 million in net income as it benefitted from its aggressive store expansion program.
Our company’s outstanding performance is a result of our continuous efforts to innovate and remain proactive in order to keep our leadership in an increasingly challenging and competitive market. This is part of our commitment and dedication to sustain our company’s growth.
For instance, four out of five of Megaworld’s new live-workplay-learn townships launched in 2015 are located outside of Metro Manila. These are in Pampanga (for its township called Capital Town Pampanga), Bacolod (The Upper East and Northill Gateway) and Iloilo (Sta. Barbara Heights). The company has also intensified its thrust to grow its recurring income stream with more office, commercial and hotel projects to complement our residential development. Backed by its huge landbank of over 3,300 hectares, Megaworld’s move is in line with its efforts to tap various areas throughout the country where it could replicate its successes in township development. These undertakings are expected to provide the company with new sources of growth moving forward.
While maintaining its leadership in the domestic market through its premiumization strategy, Emperador is also fast-becoming a truly global liquor player. The purchase of Bodegas Fundador and other Spanish assets, coming just a year after the acquisition of Whyte and Mackay, has provided Emperador with internationally renowned brands and market access to over 100 countries throughout the world. Now, The Dalmore and Jura Scotch whiskey and the iconic Fundador brandy sit well together with Emperador’s own Andy Player premium whisky which was relaunched duringthe year. These brands complete the roster of Emperador products that cover all segments of the market and which could provide the company with another leg for growth in the near future.
Travellers International Hotel Group, Inc., which owns andoperates Resorts World Manila (RWM), remains to be the country’s most profitable tourism-entertainment and gaming company. To further enhance its position in the industry, Travellers is committed to complete its ongoing expansion programs within RWM. It’s Marriott Grand Ballroom, which became operational in 2015, is now a preferred venuefor MICE (meetings, incentives, conventions and exhibition) activities and now contributes to the group’s non-gaming revenues. It is Travellers’ intention to further grow its non-gaming component alongside its mass and premium mass segment to sustain its profitable operations even amidst intensifying competition in the gaming sector.
Golden Arches Development Corporation, which owns the master franchise for McDonald’s in the Philippines, grew its revenues by 9% year-on-year, boosted in part by its new restaurant openings, reimaging of existing ones, and the introduction of new products and enhanced services. These activities ensure that McDonald’s remains relevant and adaptable to the changing tastes, preferences and lifestyle of its consumers.
Our strong operating performance in 2015 only serves to inspire us to continue to do better to accelerate our growth trajectory and maintain our market leadership. We have already laid out the foundation and made significant investments across all our business segments, both here and abroad, in order to future-proof our growth. On that note, I would like to express my deepest appreciation to all our employees, our management team, and our business partners for their unwavering dedication and support. With our strong commitment to succeed, we look forward to setting new milestones for the Group in 2016 and beyond.
Andrew L. Tan
Chairman and Chief Executive Officer
Alliance Global Group, Inc. and Megaworld Corporation
|
History
AGI was incorporated in the Philippines on October 12, 1993 and began operations in 1994 as a glass container manufacturer after it acquired a glass manufacturing plant in Canlubang, Laguna. After its listing on the PSE in 1999, the Company obtained approval from the Philippine SEC to broaden its primary business and become a holding company. That same year, the Company began acquiring a diverse group of businesses, primarily in the real estate and food and beverage industries, as set out below:
- In August 2000, the Company's wholly-owned subsidiary, AGB, acquired McKester Pik-Nik International Limited and took over the international trade and distribution business for several branded consumer products.
- In February and October 2001, the Company acquired two Philippine-based real estate companies, Tradewind Estates and First Centro, Inc., respectively.
- In June 2003, the Company bid for and was awarded approximately 25 hectares of the land in Fort Bonifacio, Taguig, Metro Manila, now known as McKinley Hill, that were owned by the Bases Conversion and Development Authority ("BCDA"), a Government agency organized to arrange for the disposal of Government-owned land occupied by military bases. The Company subsequently entered into a joint development agreement with Megaworld in July 2003 to develop this property.
- In March 2005, AGI entered the quick service restaurants industry through the acquisition of 49% of the common shares in GADC, a company owned and controlled by Mr. George Yang, the then-Chairman and President of AGI, from McDonald's Restaurant Operations, Inc. ("MRO").
- In February 2007, AGI acquired EDI, a company that had previously acquired the brandy manufacturing assets and related brands of Consolidated Distillers, which is owned and controlled by the Tan Family.
- In February 2007, AGI acquired an additional 26% of the shares in Megaworld, a company founded by Mr. Andrew Tan in 1989, in which it already owned 21% of the shares through its wholly-owned subsidiary New Town Land Partners, Inc. Megaworld was listed on the PSE on June 15, 1994.
- In February 2007, the Company was reorganized to consolidate various businesses controlled by Mr. Andrew Tan, who had been appointed Chairman and Chief Executive Officer of the Company in September 2006.
|
Vision & Mission
We are priming ourselves for international competitiveness in the new century by consistently delivering products and services that meet the quality standards of markets both here and abroad. Through continuing research and innovation, we will enhance the company's ability to gain customer satisfaction and goodwill and build on our market franchise.
As a world-class Filipino conglomerate, we will be an active partner in national economic development through the pursuit of excellence in our core businesses and investment in industries that offer more room for profitability and growth.
As a matter of policy, we will always adapt to the dynamics of the market. Through export development and competitive pricing, we will enhance our competitiveness in an ever-expanding marketplace.
We will constantly strive to enhance shareholder value by making our products and services desirable, accessible and affordable to the target consumers in the Philippines and abroad. Through a continuing reward program, out stockholders will be entitled to an immediate share in the company's gains in the form of stock or cash dividends.
|
Board of Directors
Andrew L. Tan
Mr. Tan, 67 years old, Filipino, has served as Director since 2003 and Chairman of the Board and Chief Executive Officer since September 2006. Previously, he was Vice-Chairman of the Board from August 2003 to September 2006. He pioneered the live-work-play-learn model in the real estate development through the Company’s integrated township communities, fueling the growth of the business process outsourcing (BPO) industry, food and beverage, and quick service restaurants industries. He also holds positions in the following other listed companies:
| Listed Company |
Position |
Date First Elected |
Date Last Elected |
No. of Terms/Years |
| Emperador Inc. |
Chairman |
Aug 2013 |
May 16, 2016 |
3 |
| Megaworld Corporation |
Chairman and President |
Aug 1989 |
Jun 17, 2016 |
27 |
| Travellers International Hotel Group, Inc. |
Director |
Jul 2008 |
Jun 10, 2016 |
8 |
| Global-Estate Resorts, Inc. (subsidiary of Megaworld) |
Chairman |
Jan 2011 |
Jun 30, 2016 |
5 |
| Empire East Land Holdings, Inc. (subsidiary of Megaworld) |
Chairman |
Jul 1994 |
Jun 14, 2016 |
22 |
Mr. Tan is concurrently the Chairman of the Board and President of Megaworld Land, Inc., Megaworld Globus Asia, Inc., Megaworld Newport Property Holdings, Inc., Mactan Oceanview Properties and Holdings, Inc., Richmonde Hotel Group International Limited, The Bar Beverage, Inc. and Yorkshire Holdings, Inc. He is also the Chairman of Alliance Global Group Cayman Islands, Inc., Alliance Global Brands, Inc., Emperador Distillers, Inc., Suntrust Properties, Inc., Adams Properties, Inc., Consolidated Distillers of the Far East, Inc., and Townsquare Development, Inc. and sits in the boards of Eastwood Cyber One Corporation, Megaworld Cayman Islands, Inc., Forbes Town Properties & Holdings, Inc., Gilmore Property Marketing Associates, Inc., Megaworld Central Properties, Inc., Raffles & Company, Inc., , The Andresons Group, Inc. He is also the Vice-Chairman and Treasurer of Golden Arches Development Corporation and Golden Arches Realty Corporation and a Director and Treasurer of Andresons Global, Inc. Mr. Tan graduated Magna Cum Laude from the University of the East with a degree of Bachelor of Science in Business Administration.
Sergio R. Ortiz-Luis, Jr.
Mr. Ortiz-Luis, Jr., 73 years old, Filipino, has served as Vice Chairman and Independent Director since September 2007. He is the President of Philippine Exporters Confederation, Inc. (“PHILEXPORT”) and Honorary Chairman-Treasurer of the Philippine Chamber of Commerce & Industry. He is concurrently the Vice-Chairman of the Export Development Council, and a member of the board of the Employer’s Confederation of the Philippines, Philippine Estate, Manila Exposition Complex, Inc., Holy Angel Memorial Park and Philippine International Trading Corp., Calapan Ventures, Inc. and Jolliville Holdings Corporation. He is also an Independent Director of Forum Pacific, Inc. He was a past President of the Rotary Club of Greenmeadows, Quezon City, a Senator of the Philippine Jaycee Senate, and a member of the League of Corporate Foundation and the Council of Advisers of the Philippine National Police. Mr. Ortiz-Luis, Jr. has broad experience in business management/administration and in the export sector. He obtained his Bachelor of Arts and Bachelor of Science in Business Administration and Masters of Business Administration from the De La Salle College and was awarded Honorary Doctorates in Humanities and Business Technology by the Central Luzon State University and Eulogio Rodriguez Institute of Science and Technology, respectively.
Kingson U. Sian
Mr. Sian, 55 years old, Filipino, has served as President and Chief Operating Officer of the Company since February 2007. He also holds position in the following other listed companies:
| Listed Company |
Position |
Date First Elected |
Date Last Elected |
No. of Terms/Years |
| Emperador Inc. |
Director |
Aug 2013 |
May 16, 2016 |
3 |
| Megaworld Corporation |
Director/Executive Director |
Apr 2007 |
Jun 17, 2016 |
9 |
| Travellers International Hotel Group, Inc. |
Director and President |
Jun 2008 |
Jun 9, 2016 |
7 |
| Travellers International Hotel Group, Inc. |
Chief Executive Officer |
Oct 2014 |
Oct 2014 |
|
He is concurrently President and Director of Forbestown Properties Holdings, Inc., and Eastwood Cyber One Corporation and a Director of Alliance Global Group Cayman Islands, Inc. He is also Chairman and President of Prestige Hotels & Resorts, Inc. and is the Chief Operating Officer of Megaworld Land, Inc. Mr. Sian was formerly a Vice President of FBP Asia Ltd/First Pacific Bank in Hongkong from 1990 to 1995 and, prior to that, was connected with Citicorp Real Estate, Inc. in the United States from 1988 to 1990. He graduated from the University of the Philippines with the degree of Bachelor of Science in Business Economics. He obtained his Master’s Degree in Business Administration for Finance and Business Policy from the University of Chicago.
Winston S. Co
Mr. Co, 58 years old, Filipino, has served as Director since 1998. He previously served as Vice Chairman of the Board from November 1999 to August 2003 and Chairman from June 1998 to October 1999. He holds position in the following other listed company:
| Listed Company |
Position |
Date First Elected |
Date Last Elected |
No. of Terms/Years |
| Emperador Inc. |
President and Director |
Aug 2013 |
May 16, 2016 |
3 |
His field of expertise is in finance and marketing of consumer products. He is concurrently Chairman and President of New Town Land Partners, Inc. and Chairman of Anglo Watsons Glass, Inc. He is also a Director and President of Emperador Distillers, Inc., and a Director of Alliance Global Brands, Inc., Forbes Town Properties & Holdings, Inc., McKester Pik-Nik International Limited, Raffles & Company, Incorporated, and The Bar Beverage, Inc. and Senior Vice President of The Andresons Group, Inc. Mr. Co is a Magna Cum Laude graduate of Jose Rizal College with a Bachelor of Science in Commerce. He is a member of the Philippine Association of National Advertisers and Philippine Marketing Association.
Katherine L. Tan
Ms. Tan, 65 years old, Filipino has served as Director and Treasurer since February 2007. She also holds positions in the following other listed companies:
| Listed Company |
Position |
Date First Elected |
Date Last Elected |
No. of Terms/Years |
| Emperador Inc. |
Director and Treasurer |
Aug 2013 |
May 16, 2016 |
3 |
| Megaworld Corporation |
Director |
Aug 1989 |
Jun 17, 2016 |
27 |
| Megaworld Corporation |
Treasurer |
Aug 1989 |
Jun 1995 |
6 |
She is concurrently Chairman and President of Andresons Global, Inc. and Choice Gourmet Banquet, Inc., Director and President of The Andresons Group, Inc., Consolidated Distillers of the Far East, Inc., and Raffles & Company, Inc., and Director and Treasurer of Alliance Global Brands, Inc., Yorkshire Holdings, Inc., New Town Land Partners, Inc., and Emperador Distillers, Inc. Ms. Tan graduated from St. Scholastica’s College with a degree in Nutrition.
Kevin L. Tan
Mr. Tan, 36 years old, Filipino, is currently the Executive Director of the Company and a director since 20 April 2012. He holds position in the following other listed companies:
| Listed Company |
Position |
Date First Elected |
Date Last Elected |
No. of Terms/Years |
| Global-Estate Resorts, Inc. |
Director |
Jun 24, 2014 |
Jun 30, 2016 |
2 |
| Empire East Land Holdings, Inc. |
Director |
Jun 09, 2015 |
Jun 14, 2016 |
1 |
Mr. Tan has over 11 years of experience in retail leasing, marketing and operations. He currently heads the Commercial Division of Megaworld Corporation, which markets and operates the Megaworld Lifestyle Malls, including Eastwood Mall and The Clubhouse at Corinthian Hills in Quezon City, Venice Piazza at McKinley Hill and Burgos Circle at Forbestown Center, both in Fort Bonifacio, California Garden Square in Mandaluyong City, Newport Mall at Resorts World Manila in Pasay City, and Lucky Chinatown Mall in Binondo, Manila. He is a Director of Emperador Distillers, Inc., and of Alliance Global Brands, Inc., Anglo Watsons Glass, Inc., Yorkshire Holdings, Inc., The Bar Beverage, Inc., Emperador Brandy, Inc., New Town Land Partners, Inc., and Consolidated Distillers of the Far East, Inc. He holds a degree in Business Administration major in Management from the University of Asia and the Pacific.
Alejo L. Villanueva, Jr.
Mr. Villanueva, 75 years old, Filipino, has served as an Independent Director since August 2001. He also holds position in the following other listed companies:
| Listed Company |
Position |
Date First Elected |
Date Last Elected |
No. of Terms/Years |
| Emperador Inc. |
Independent Director |
Aug 2013 |
May 16, 2016 |
3 |
| Empire East Land Holdings, Inc. |
Independent Director |
Jun 2007 |
Jun 14, 2016 |
9 |
| Suntrust Home Developers, Inc. |
Independent Director |
Oct 2012 |
Oct 27, 2015 |
3 |
He is concurrently Director of First Capital Condominium Corporation, a non-stock non-profit corporation. He is also the Chairman of Ruru Courier Systems, Inc. and Vice Chairman of Public Relations Counselors Foundations of the Philippines, Inc. He is a professional consultant who has more than twenty years of experience in the fields of training and development, public relations, community relations, institutional communication, and policy advocacy, among others. He has done consulting work with the Office of the Vice President, the Office of the Senate President, the Commission on Appointments, the Securities and Exchange Commission, the Home Development Mutual Fund, the Home Insurance Guaranty Corporation, Department of Agriculture, Philippine National Railways, International Rice Research Institute, Rustan’s Supermarkets, Louis Berger International (USAID-funded projects on Mindanao growth), World Bank (Subic Conversion Program), Ernst & Young (an agricultural productivity project), Chemonics (an agribusiness project of USAID), Price Waterhouse (BOT program, a USAID project), Andersen Consulting (Mindanao 2000, a USAID project), Renardet S.A. (a project on the Privatization of MWSS, with World Bank funding support), Western Mining Corporation, Phelps Dodge Exploration, and Marubeni Corporation. Mr. Villanueva obtained his bachelor’s degree in Philosophy from San Beda College, summa cum laude. He has a master’s degree in Philosophy from the University of Hawaii under an East-West Center Fellowship. He also took up special studies in the Humanities at Harvard University. He studied Organizational Behavior at INSEAD in Fontainebleau, France. He taught at the Ateneo Graduate School of Business, the UST Graduate School, and the Asian Institute of Journalism.
|
Organizational Chart
Click chart below to view larger image
|
Conglomerate Structure
Click structure below to view/download PDF format
|
Other Officers
Dina D.R. Inting
First Vice President – Finance
Ms. Inting has served as First Vice President for Finance since January 1996 and at present its Compliance Officer and Corporate Information Officer. She is currently director of ProgreenAgricorp, Inc. and Compliance Officer and Corporate Information Officer of Emperador Inc. She gained an extensive experience in the fields of audit, comptrollership, treasury, finance, branch operations and personnel management from her previous employments. She is a Cum Laude graduate of Bachelor of Science in Commerce major in Accounting, Honors Program, at the Philippine College of Commerce (Polytechnic University of the Philippines), holds a certificate in Organizational Development from the Ateneo de Manila University, and is a Certified Public Accountant.
Dominic V. Isberto
Corporate Secretary
Mr. Isberto has served as the Corporate Secretary since September 14, 2007. He is the Corporate Secretary and Assistant Corporate Information Officer of Global-Estate Resorts, Inc. He is also the Corporate Secretary of Emperador Inc., Twin Lakes Corporation, Eastwood City Estates Association, Inc., Suntrust Properties, Inc. and Fil-Estate Properties, Inc. He also serves as Assistant Corporate Secretary of Adams Properties, Inc. Mr. Isberto has experience in litigation and banking and corporate law. He has a degree in Management Engineering from the Ateneo de Manila University and obtained his Bachelor of Laws degree from the University of the Philippines.
Rolando D. Siatela
Assistant Corporate Secretary
Mr. Siatela has served as Assistant Corporate Secretary since August 30, 2002. He is a Director of Asia Finest Cuisine, Inc. He is the Corporate Secretary of ERA Real Estate Exchange, Inc., ERA Real Estate, Inc., Oceanic Realty Group International, Inc., and Suntrust Home Developers, Inc. He concurrently serves as Asst. Corporate Secretary of Megaworld Corporation, Emperador Inc., Global-Estate Resorts, Inc. (formerly Fil-Estate Land, Inc.), and Suntrust Properties, Inc. He was employed as Administrative and Personnel Officer with Batarasa Consolidated, Inc. and served as Assistant Corporate Secretary and Chief Administrative Officer of The Andresons Group, Inc.
|
Board Committees
The Company's Audit Committee is responsible for ensuring that all financial reports comply with internal financial management and accounting standards, performing oversight financial management functions, pre-approving all audit plans, scope and frequency and performing direct interface functions with internal and external auditors. This Committee has three members, two of whom are independent directors. An independent director serves as the head of the committee.
Audit Committee Members
- Alejo L. Villanueva Jr. (Independent Director) - Chairman
- Sergio R. Ortiz-Luis, Jr.(Independent Director)
- Andrew L. Tan
Compensation And Remuneration Committee
The Company's Compensation and Remuneration Committee is responsible for establishing a formal and transparent procedure for developing a policy on executive remuneration and for fixing the remuneration packages of corporate officers and directors, as well as providing oversight over remuneration of senior management and other key personnel ensuring that compensation is consistent with the Company's culture, strategy and control environment. This Committee consists of three members, including at least one independent director.
Compensation and Remuneration Committee Members
- Alejo L. Villanueva Jr. (Independent Director) - Chairman
- Winston S. Co
- Kevin Andrew L. Tan
Nomination Committee
The Company's Nomination Committee pre-screens and shortlists all candidates nominated to become a member of the Board of Directors in accordance with qualifications prescribed by law and the Company's Manual of Corporate Governance. This Committee has three voting members, including at least one independent director.
Nomination Committee Members
- Alejo L. Villanueva Jr. (Independent Director) - Chairman
- Kevin Andrew L. Tan
- Winston S. Co
|
|