COCKTALES | Aboitizes make twice more money, but get a fifth of Zobels' pay

Victor C. Agustin

The Aboitizes, long described as the Ayalas of Cebu, may have eclipsed Ayala Corp in market capitalization and profitability, but their holding company, Aboitiz Equity Ventures, still trails Ayala Corp when it comes to the intricate art of executive remuneration.

The Aboitiz holding company cleared a P23.9 billion profit last year, as against the P10.6 billion made by the Zobel holding company.

Despite spinning twice more money, AEV chief executive Erramon Aboitiz and four top executives last year took home P71.95 million in combined compensation, one-fifth of the P398-million pay check of Ayala chairman and CEO Jaime Augusto Zobel and his team.

The Aboitiz salary scale is even more modest than that of another Spanish-Filipino holding firm, A. Soriano Corp, even though the latter has been reduced to a ghost of its 20th-century glory.

For 2012, Anscor rewarded its chairman and chief executive Andres Soriano III and four other top officers P84.59 million on the back of a P1.49 billion profit, mainly passive income from investments.

Even in the boardroom, the Aboitizes behave more like the economical Cebuanos in doling out perks to their directors, who happen to be part of the extended Aboitiz-Moraza clan.

For example, chairman and second cousin Jon Ramon Aboitiz gets P150,000 for every board meeting, which is held every month, while directors receive P100,000 each. There are no year-end bonuses for board members and there are not even stock options for its officers.

Over at Ayala Corp, each director is entitled to P1.2 million in annual retainer fee, in addition to P200,000 for every board meeting. And Ayala's stock options for its directors and officers are, to quote the company slogan, pioneering the future with their industry-leading package.

Take for example John Philip Orbeta, who heads Ayala's support services group including human resources, corporate communications and communications technology departments. The 51-year-old ex-Watson Wyatt executive already has accumulated 376,914 common shares through options since joining the management committee in 2005.

As of Thursday's prices, Orbeta's pile was already worth a retirement-inducing P235 million.

Soriano sails on
And speaking of Andres Soriano III, the former San Miguel chief executive has ditched his award-winning and beloved Alegre despite the 21-meter performance yacht having been built only in 2008.

Instead, Soriano has acquired a newer and sleeker version from the same builder, Mills Design of Ireland; he even gave his new maritime joy an old, familiar name, Alegre.

The new boat will see action next month at the 2013 Rolex Capri Sailing Week Volcano Race, the start of the sailing season in the Mediterranean. Soriano, incidentally, won the same grueling race in 2011 with his old Alegre.

PNoy uncles need help 
For the nth time, the PNoy uncles and aunts running the Central Azucarera de Tarlac have postponed the holding of annual stockholders' meeting for their failure to find independent directors to serve the financially-challenged refinery.

From the original January 29, the annual meeting has had to be postponed to February 26, then to April 12 and May 10 and now to June 25.

Reason for the new postponement? The continuing failure to find replacements for independent directors George Weber-Hoehl and Renato Padilla, according to the company's regulatory filings.

The scarcity of suitable nominees comes despite the installation of PNoy's eldest sister, Ma. Elena Cruz, as treasurer to help sort out the refinery's finances.

The management of the Hacienda Luisita-based refinery was passed on to PNoy uncle, former Tarlac congressman Jose Cojuangco Jr., after long-time chief executive, elder brother Pedro Cojuangco, passed away in 2011.
Cory Aquino-era environment secretary Fulgencio Factoran Jr., who had served as
independent director of the Hacienda Luisita-based refinery for a number of years, has a short, swift advice on how to turn the sugar mill around.

According to Factoran, the Cojuangcos should allow their cousins, the Lopas, to manage the refinery or consider a more pride-swallowing alternative, that is, to sell out to the tandem of cousin Eduardo Cojuangco Jr. and San Miguel president Ramon Ang.

"They have more business sense," Factoran said.

Money talks
o Cebu Pacific has secured landing rights in Melbourne's second airport, Avalon, with the Gokongwei airline planning to launch a service in time for the fourth-quarter peak travel season.

o The high-end Singapore restaurant chain, Crystal Jade, is opening a branch in The Fort Friday, after the roaring success of its more affordable brand, the breathlessly named Crystal Jade La Mian Xiao Long Bao, at Greenhills. Rather than dim sum and noodles, the Fort branch, also owned by franchise partners Mike Munoz and Edward Hwang, will serve lobster dishes at a pocket-biting P6,500 a kilo and bird's nest soup at tongue-scalding P1,780 per person.

o Economist Bernardo Villegas, who rose to fame during the late Marcos years railing against crony capitalism only to resurrect post-Edsa as nominee director of the Romualdez-controlled Benguet Corp, is leading a business delegation to the United States this week along with Benguet chief executive Benjamin Philip Romualdez to drum up investments for the country. 

Heard through the grapevine
A Taiwanese firm, Medtecs International, has gathered enough cojones to sue the top Philippine Navy brass right in their home base in Taguig for alleged infringement of Medtecs' trademark camouflage textile.
E-mail Vic Agustin at cocktales_tv5@yahoo.com.