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Aboitiz InfraCapital Secures Local Development Council Backing for Iloilo Bulk Water PPP Project

INFRATALKS: Sustainable skies

Bohol-Panglao Airport Modernization And Expansion To Propel Future Growth

Laguindingan International Airport tops 300 flights per week as of May 2025

Aboitiz Group Advisory to External Stakeholders regarding COVID-19

2019 Bankers’ Night

2019 Brigada Eskwela Cebu

Franz de la Fuente

ILOILO CITY LOCAL DEVELOPMENT COUNCIL ENDORSES ABOITIZ INFRACAPITAL BULK WATER
SUPPLY PROPOSAL. Aboitiz InfraCapital (AIC) secured last May 21, 2025 Local
Development Council backing for its Iloilo Bulk Water Supply Project, a key step
toward long-term water resilience and sustainable growth in the province. In the
photo are Iloilo City Councilors Irene Ong and Rex Sarabia (3rd and 4th from
right, respectively) and Mayor Jerry P. Treñas (center). SOURCE: Office of the
Iloilo City Mayor [https://www.facebook.com/share/p/17nPfy6gND/]

Aboitiz InfraCapital, Inc. (AIC), the infrastructure arm of the Aboitiz Group
and operator of the country’s largest bulk water supply facility, secured a
decisive endorsement from the Iloilo City Local Development Council (LDC) for
its Iloilo Bulk Water Supply Project, propelling the proposal forward as a key
driver of the province’s and city’s infrastructure agenda.

> “We welcome the Local Development Council’s endorsement of the Iloilo Bulk Water
Supply Project. We appreciate the LDC’s recognition that the project supports
the local development plan. It is an important step in moving the proposal
forward to ensure water security for Ilonggos,” AIC President & Chief Executive
Officer Cosette V. Canilao said.
The LDC’s gave its approval and endorsement to the Iloilo City Council last May
21, 2025 following the granting of Original Proponent Status to AIC, and a
transparent and thorough public consultation that sought the diverse inputs of
public and private stakeholders from the city and barangay government, civil
society, as well as retail and institutional customers.

“We are a strategic investor, bringing in substantial capital and a long-term
commitment to partner with the City Government in delivering a sustainable bulk
water supply for distributors in Metro Iloilo, including the Metro Iloilo Water
District,” Canilao emphasized.

During the LDC meeting, the steep and unsustainable cost of vended water was
highlighted: up to P225 per cubic meter from tankers, and up to a staggering
P2,500 per cubic meter for every five (5)-gallon container.

“What is clear, therefore, is that the most expensive kind of water is no water
at all. What is clear from the discussion at the ExeCom (Executive Committee)
meeting is that it is the policy of the Treñas Administration to pursue all
solutions to deliver safe, consistent, potable water to all Ilonggos–not just to
uplift our standard of living, but most importantly to save lives,” said Iloilo
City Councilor Atty. Rex Marcus B. Sarabia
[https://www.facebook.com/share/p/1BNHAHZEPP/], LDC member and Chairperson of
the Iloilo City Council Committees on Appropriations & Finance and Good
Government & Public Accountability (Blue Ribbon Committee).

The Iloilo Bulk Water Supply Project proposal—developed under a transparent and
robust public-private partnership model—is designed to directly address Iloilo’s
growing demand for reliable and sustainable water access. The proposal responds
to long-standing supply challenges that have held back agriculture, industry,
and household development.

“This is a critical infrastructure investment designed to support the city’s
growing needs. Our role is not transactional; it is transformational. We are
stepping up to help build the foundation for Iloilo’s continued growth and
resilience. Any narrative suggesting otherwise does a disservice to the city and
its future,” Canilao added.

Full alignment with Iloilo City Comprehensive Development Plan

The Iloilo City Comprehensive Development Plan 2023-2028
[https://iloilocity.gov.ph/main/wp-content/uploads/2023/05/CDP2023-2028_4-13_Final-Document.pdf]
identifies the city's priority legislative requirement goals of 1) sustainable
and improved water quality and supply on major river sources, and 2)
availability and sustainable management of water and sanitation for all.

AIC’s bulk water supply project, totaling P5 billion in investment, involves
diverting 86 million liters per day (MLD) of potable bulk water from a raw
source through a water intake facility. Following a thorough treatment process,
the treated water will be delivered to different city off-takers.

The Iloilo Bulk Water Supply Project is expected to unlock benefits such as:

 * Clean, affordable water for underserved communities
 * Job generation during construction and operation phases
 * Boosted agricultural and commercial productivity
 * Reduced reliance on deep wells, promoting environmental stewardship
 * Long-term water resiliency in the face of climate-related challenges

The LDC’s endorsement following a consultative and transparent approach that
engaged public and private stakeholders alike now paves the way for next-phase
City Council approvals.

Meanwhile, AIC’s water subsidiary, Apo Agua Infrastructura, Inc., jointly
operates with the Davao City Water District the Davao City Bulk Water Supply
Project (DCBWSP). The DCBWSP is the country’s largest bulk water supply
facility, delivering 300 MLD of clean and potable water 24/7 to 96% of DCWD
households (with a 99.6% customer satisfaction rating as of end-2024).

The DCBWSP was named the Best PPP in the Philippines by the UK-based
International Finance Awards, a prime example of the transformative potential of
PPPs in driving sustainable urban development.

First published in InfraTalks, Aboitiz InfraCapital's monthly column in The
Manila Times.
[https://www.manilatimes.net/2025/05/29/business/top-business/sustainable-skies/2122715]

AIRPORTS today are more than places where journeys begin and end. They are
catalysts of progress — fueling economic activity, connecting people and goods,
and increasingly standing as bold advocates for environmental responsibility.

Did you know that a flight taken today produces only half the carbon dioxide
produced by the same flight in 1990? According to Airports Council
International, this is a direct result of the aviation industry's deliberate and
continuing long-term effort to reduce climate impact.

Indeed, there is growing pressure for the aviation industry to decarbonize and
sustainability has gone from a "nice-to-have" to a nonnegotiable. Globally,
airports are adopting cleaner technologies and greener practices — not just for
the planet, but for their own long-term resilience. These efforts build public
trust and help future-proof our infrastructure.

Here, Philippine airports serve as lifelines. They link our 7,000+ islands, open
doors for trade and welcome millions of travelers to Filipino culture, people
and destinations. They power tourism and jobs, shape national image and
increasingly carry the weight of environmental expectations.

At the heart of this movement is the Mactan-Cebu International Airport (MCIA).
Once a modest airport serving Cebu, the MCIA has transformed into a global hub
recognized for its design, efficiency and innovation. But what makes MCIA truly
stand out is not just its growth but the way it's growing — responsibly and with
intention.

Yet long before sustainability became a buzzword, we were already walking the
talk and setting the standard toward Philippine green airport infrastructure at
the MCIA. Its terminals are designed with smart features — the iconic high
ceilings for natural ventilation, picturesque skylights that also reduce
electricity use and façades that cut down heat absorption. All of these reduce
our carbon footprint while creating a pleasant passenger environment.

In 2016, we installed our first solar panels. In 2024, we became the first and
only airport in the Philippines to earn Level 1 Airport Carbon Accreditation.
These aren't just milestones. They're part of a road map we've drawn with our
stakeholders — a shared commitment to making aviation in the Philippines greener
and more responsible.

Our sustainability blueprint addresses critical areas, primarily energy
efficiency. Aside from use of solar energy, we've also switched to LED lighting
and solar-powered streetlights, leading to energy savings of up to 75 percent.
All these efforts are supported by an advanced building management system that
continuously monitors and adjusts energy use in real time, ensuring efficiency
across airport operations.

To further optimize energy use, variable frequency drives regulate
energy-intensive systems based on demand. On the airside, we've introduced
bridge-mounted equipment (BME) and supported the shift of our ground handlers to
electric ground support equipment (e-GSE) to reduce aircraft engine idling and
minimize emissions. Just this May, we took it even further by having the first
turnaround flight of Cebu Pacific land in Cebu using BME and e-GSE units — the
country's first. To further support these green initiatives, the MCIA plans to
install common-use charging stations across the ramp area. This will enable all
airlines to access charging resources for e-GSE, promoting collaborative
sustainability and moving closer to the MCIA's vision of a greener, eco-friendly
ramp environment aligned with carbon-neutral airports worldwide.

Today, Aboitiz InfraCapital Airports (MCIA, Bohol-Panglao [BPIA] and
Laguindingan [LIA] International Airports) welcomes 16 million domestic and
international travelers, connecting them to white-sand beaches, heritage towns,
diving spots, and business centers across the Visayas and beyond.

All the things we do at the MCIA, we will also do at the BPIA and the LIA. As
the country's Green Gateway to the World, the BPIA is being primed for green
upgrades such as solar energy, smart lighting and efficient water systems. At
the LIA, we're also exploring sustainability solutions for cleaner operations.

Sustainability, however, is not just about infrastructure. It's also about
values — about fostering a culture where every decision, from design to
operations, considers long-term impact. It's about partnerships, collaboration
and standing up for what the future demands from us today. It requires policy
influence to drive real change and at the end of the day, environmental
stewardship must go hand in hand with progress.

The skies are changing, and we are ready to fly higher, cleaner and better — for
Cebu and the rest of the Philippines.

BOHOL-PANGLAO INTERNATIONAL AIRPORT: ECONOMY DRIVER. Aboitiz InfraCapital’s
upcoming takeover of Bohol-Panglao International Airport is set to elevate
Bohol’s economic growth, with planned capacity upgrades primed to boost tourism
and regional development.
The upcoming turnover of the Bohol-Panglao International Airport (BPIA) to
Aboitiz InfraCapital, Inc. (AIC) is set to boost Bohol’s economic momentum, with
planned capacity upgrades paving the way for expanded tourism and regional
growth.


Following a 6.6% Gross Domestic Product growth in 2023—outpacing the national
average of 5.5%—Bohol continues to show strong economic momentum across all
sectors, particularly in tourism-related services such as transportation,
accommodation, and food services, the Philippine Statistics Authority (PSA)
reported in December 2024.


Given these strong achievements, the upcoming enhancements to BPIA, currently
the country’s ninth-busiest gateway, are expected to be timely and strategic.


Under a 30-year concession agreement, AIC, the infrastructure arm of the Aboitiz
Group, will formally take over operations of BPIA in June 2025. Upon turnover,
BPIA will join the award-winning Mactan-Cebu International Airport in Cebu and
Laguindingan International Airport in Misamis Oriental as members of AIC’s
growing aviation portfolio.


“The modernization of BPIA is not just about upgrading infrastructure—it’s about
enabling the continued rise of Bohol as a vibrant tourism and economic hub in
the Visayas. We are proud to support the province’s aspirations through
transformative infrastructure ecosystems such as BPIA,” said AIC President and
CEO Cosette V. Canilao.


AIC is set to implement a ₱4.53-billion investment plan that includes the
expansion of BPIA’s passenger terminal building, installation of modern aviation
systems, and enhancements to airside and landside facilities.


Within 1–2 years of takeover, AIC aims to boost BPIA’s current capacity from 2
million to 2.5 million passengers annually, with future expansions pushing
capacity to 3.9 million passengers per year by 2030.


The modernization of BPIA will complement Bohol’s economic priorities previously
identified by the Bohol Provincial Planning and Development Office, which
include sustainable tourism, climate-smart agriculture, and micro-enterprise
growth.


According to the same PSA report, Bohol’s transportation and storage sector grew
by 20.4% in 2023, while accommodation and food services surged by 27.9%,
underscoring the province’s readiness for increased tourist arrivals and
business activity.


“This project reinforces our goal of elevating airport experiences while
contributing to local economies. We look forward to bringing our proven track
record at MCIA to Bohol and working with stakeholders to unlock the full
potential of the province’s ‘Green Gateway to the World’ and deliver unique
Boholano hospitality in our service,” said AIC Vice President and Head of
Airports Business Rafael M. Aboitiz.


Moving forward, BPIA’s transformation is expected to serve as a critical enabler
of growth for Bohol and Central Visayas.


Overall, BPIA, MCIA, and LIA are part of AIC’s broader strategy to develop and
manage infrastructure assets that deliver topnotch Filipino hospitality, better
and smoother travel, and seamless connectivity across the Philippines.


As a unit of the Aboitiz Group techglomerate, AIC is leveraging its expertise in
infrastructure and technology to drive sustainable growth in the country’s
aviation sector.

LAGUINDINGAN INTERNATIONAL AIRPORT: NOW 300+ LOCAL FLIGHTS WEEKLY. Laguindingan
International Airport (LIA), now operated by Aboitiz InfraCapital Laguindingan
Airport Corporation, is now handling over 300 domestic flights weekly, according
to latest data.Laguindingan International Airport (LIA), operated by Aboitiz
InfraCapital Laguindingan Airport Corporation since May 2025, is now handling
over 300 domestic flights weekly, underscoring the airport’s tremendous
potential as the “Golden Gateway to Mindanao” and beyond.

Based on May 2025 data, LIA–the country’s sixth-busiest gateway and Mindanao’s
second-busiest after Davao City’s Francisco Bangoy International Airport–now
caters to a total of 337 flights per week to some of the country’s most
attractive destinations, namely Manila, Cebu, Iloilo, and Davao.

In particular, Cebu is highly accessible via the award-winning Mactan-Cebu
International Airport, (operated by Aboitiz InfraCapital Cebu Airport
Corporation), where travelers can easily fly to 29 local and 13 international
destinations.

Access to and from MCIA has vastly improved recently, thanks to landmark
initiatives such as Cebu Connect and CEB+.

Cebu Connect is MCIA’s premier transfer service system, designed to facilitate
efficient and seamless airport transfers within MCIA, thereby reducing layover
time and maximizing comfort and convenience for travelers.

With Cebu Connect, passengers from LIA can now enjoy seamless connections to
international destinations via MCIA, bypassing the need to transit through
Manila. Reduced connection times make transfers faster and more convenient,
positioning MCIA as a strategic hub for both domestic and international travel.

CEB+ supports MCIA’s vision as the country’s “Main Tourism Transfer Gateway” by
streamlining airport-to-seaport connectivity. For passengers arriving from LIA,
CEB+ offers a seamless transfer experience with a quick 5-minute shuttle from
MCIA to Mactan Wharf—enabling immediate boarding to key island destinations
across Central Visayas.

Amid all these exciting flight connections, Aboitiz InfraCapital (AIC) is
currently undertaking the development and modernization of LIA over the short-
to medium-term beginning April 2025, following the awarding of a 30-year,
P12.75-billion concession agreement last October 2024.

This includes plans to incorporate necessary infrastructure to cater to
additional international connections.

A revamped and more accessible Flight Information Display System (FIDS) -
featuring improved visibility, better accuracy, and intuitive displays - is also
in place. With the new FIDS, tracking flight status, gate assignments, and
boarding times is now easier and ensures a seamless airport experience for
passengers.

Aside from the LIA, AIC will manage the concession to upgrade, operate, and
maintain Bohol-Panglao International Airport (BPIA), the country's ninth-busiest
gateway, with official takeover scheduled for June 2025.

The proposed P4.53 billion project for BPIA also involves expanding the
passenger terminal building, installing essential equipment, and modernizing
airside and landside facilities within a 30-year concession period.

MCIA, LIA, and BPIA are part of AIC’s broader strategy to develop and manage
infrastructure assets that deliver topnotch Filipino hospitality, better and
smoother travel, and seamless connectivity across the Philippines.

As a unit of the Aboitiz Group techglomerate, AIC is leveraging its expertise in
infrastructure and technology to drive sustainable growth in the country’s
aviation sector.

Aboitiz Eyes

Hedcor, the run-of-river hydropower arm of Aboitiz Renewables Inc., turned over
more than PHP5.7 million in community shares to its host communities in Bukidnon
in northern Mindanao.
“These annual shares are a vital resource for us. This year, we’re focusing on
education, healthcare, and environmental programs that will have a direct impact
on our communities,” said Governor Neil Roque. “Hedcor’s ongoing partnership
gives us the confidence to plan long-term and invest in what matters most to our
people.”

Part of the Energy Regulation (ER) 1-94 program of the Department of Energy,
community shares are funds received by host communities accounting for one
centavo for every kilowatt-hour (PHP0.01/kWh) generated by a residing power
plant. The PHP5.7 million represents the communities’ share from Hedcor’s Manolo
Fortich 1 and 2 hydro facilities during the second half of 2024.

Broken down, the Province of Bukidnon received PHP2.18 million, while the
municipalities of Manolo Fortich and Impasugong were given PHP2.18 million and
PHP1.37 million, respectively.

“This is the kind of impact we work for—where clean energy doesn’t just power
homes but also empowers communities,” said Noreen Vicencio, Aboitiz Renewables
First Vice President and General Manager for its Hydro Business Unit.

> Every kilowatt we generate is a building block for a more sustainable and
inclusive future.
In line with this, Hedcor was recognized as one of Manolo Fortich’s top
taxpayers for fiscal year 2024 in the Manufacturer/Producer (Non-Essential)
category during the town’s 108th founding anniversary celebration. The award,
presented by Mayor Rogelio Quino, further highlights Hedcor’s contributions to
local development as a responsible corporate citizen.

“Hedcor continues to be a strong ally in our journey toward growth and
progress,” said Mayor Rogelio Quino. “This recognition shows what we can achieve
when the public and private sectors share a common vision.”

Hedcor was recognized as among the top taxpayers in Manolo Fortich under the
Manufacturer/Producer (Non-Essential) category during the town’s 108th founding
anniversary. Mayor Rogelio Quiño (4th from left) presented the award to AVP for
External Relations John Michael Rico (4th from right) and Mindanao External
Relations Manager David Tacder (center).Hedcor operates 22 run-of-river
hydropower facilities, with two located in Bukidnon. Companies within the Hedcor
Group are wholly owned subsidiaries of the Aboitiz Power Corporation through
Aboitiz Renewables.

Over the years, Hedcor has been a partner in delivering renewable energy to the
grid, while also actively contributing to the welfare of the communities where
it operates. Hedcor contributes to AboitizPower’s purpose of Transforming Energy
for a Better World through its business operations and CSR initiatives.

Power

Hedcor's Clean Energy Impact Of PHP5.7M For Bukidnon Community

Earl Gio Manuel

INDUSTRY-ACADEME PARTNERSHIP. Aboitiz Construction and Batangas State University
have officially partnered to provide students with industry-aligned internships,
job placement support, and collaborative research opportunities through a
Memorandum of Understanding signed on May 8.Aboitiz Construction formalized its
partnership with Batangas State University (BSU) through a ceremonial signing of
a memorandum of understanding (MOU) last May 8, signifying a shared commitment
to advancing industry-academe collaboration.

The partnership aims to provide Batangas State University students with
internship opportunities that offer hands-on industry experience and develop
relevant workforce skills. It also seeks to align academic programs with current
industry needs, facilitate career placements through job fairs, and foster
research collaboration through capstone projects that contribute to innovation
and industry advancement.

The agreement was signed by representatives from both institutions. Representing
BSU were Dr. Tirso A. Ronquillo, University President; Dr. Teodorica G. Ani,
Director for External Affairs; and Dr. Camilo C. Alulod, Assistant Director for
Local Partnerships. From Aboitiz Construction, the signatories included Ms.
Raizza L. Manuel, Senior Assistant Vice President for People and Corporate
Shared Services and Mr. Martin John Morales, Corporate HR Assistant Manager.

“By working closely with Batangas State University, we are investing in the
future workforce while also opening doors for young talents in the region to
grow and thrive with us. This partnership also allows us to collaborate on
meaningful programs that benefit both the academe and the industry,“ Aboitiz
Construction’s Senior AVP for People and Corporate Shared Service Raizza Manuel.

This partnership also includes collaboration under the Expanded Tertiary
Education Equivalency and Accreditation Program (ETEEAP), which allows qualified
individuals to earn academic degrees based on relevant work experience and prior
learning. Among the programs offered through ETEEAP are Bachelor of Science
degrees in Industrial Engineering, Instrumentation and Control Engineering, and
Computer Engineering—providing additional pathways for professional growth and
career advancement.

This initiative aligns with Aboitiz Construction’s massive transformative
purpose of building for business to prosper and communities to thrive. With
construction projects located in Batangas, such as the expansion of the Aboitiz
InfraCapital’s LIMA Estate, the company recognizes the value of partnering with
academic institutions in the region to help nurture local talents and support
education-to-employment pathways.

Following the signing, both parties will continue to collaborate on academic
initiatives such as internships, job fairs, and career talks, strengthening the
bridge between education and employment in the province.

Construction

Aboitiz Construction Strengthens Industry-Academe Collaboration In Batangas State U

UnionBank continues to raise the bar in digital innovation to empower customers
with faster financial access through its enhanced Personal Loan—providing funds
in as fast as five minutes upon approval, the fastest turnaround time among
traditional banks.*

Designed to meet the needs of today’s fast-paced lifestyles, UnionBank’s fully
digital loan process gives customers access to fast, flexible financing for
major milestones—from upgrading their dream home, pursuing higher education,
making home improvements, to supporting a growing family—anytime and anywhere.

The Fastest Way to Fund Your Dreams
UnionBank Personal Loan is designed for modern customers who value speed,
simplicity, and security. With its fully digital processing system, eligible
borrowers can enjoy immediate cash disbursement after approval—no long waits, no
unnecessary paperwork.

Borrowers can access up to PHP2 million with no collateral or guarantor
required, empowering them to pursue their goals with ease.

"At UnionBank, we’re redefining what customers should expect from their
financial partners," said UnionBank Cards and Consumer Loans Head, Mukul
Sukhani. "With our all-new Personal Loan, we’re offering not just speed, but a
seamless, empowering experience to help customers achieve their dreams faster."

Flexibility Tailored to Your Life
Recognizing that every customer journey is unique, UnionBank Personal Loan
offers flexible repayment terms of up to five years, allowing borrowers to
choose a payment plan that fits their budget and lifestyle.

Whether you're investing in your future or managing life’s major events,
UnionBank ensures your financing experience is easy, empowering, and
stress-free.

100% Online Application
From loan application to approval, UnionBank Personal Loan is fully accessible
online. Customers can submit documents, track their application status, and
receive approval—all through UnionBank’s secure digital platform.

This seamless process eliminates the need for branch visits and cuts down wait
times significantly.

Fund Your Dreams—FAST
Experience the future of personal financing today. Apply for UnionBank’s all-new
Personal Loan through https://www.unionbankph.com/r/plweb and make your biggest
dreams a reality, faster than ever.

For more information, visit www.unionbankph.com [https://www.unionbankph.com] or
follow UnionBank on Facebook, X (formerly Twitter), Instagram, and YouTube for
the latest updates. For any concerns, you can contact us through our Customer
Service Hotline at (+632) 8841-8600. Union Bank of the Philippines is regulated
by the Bangko Sentral ng Pilipinas: https://www.bsp.gov.ph.

*Subject to approval based on terms and conditions, including but not limited to
having a UnionBank Savings Account.

Banking and Financial Services

Your Dreams Can’t Wait: UnionBank Launches Fastest Personal Loan Yet

Samantha Aquino

The animal feed manufacturing industry demands precision and efficiency,
particularly in ingredient formulations. Traditionally, formulations are
manually entered into systems, making the process tedious and prone to errors.
This not only hampers scalability but also leads to costly external
installations. As a result, manual processes often cause delays and
inconsistencies, ultimately affecting overall production efficiency.

Formula precision at Aboitiz Foods is more than just a technical requirement, it
reflects the company’s commitment to delivering safe, high-quality, and
performance-driven feed products. In an effort to streamline its processes and
embrace digital transformation, the BITS (Business and IT Solutions), Robotics,
Automation & Integration (RAI) team developed a tailored solution for Gold Coin
Medan, Indonesia: The Bestmix Weigher app.

This innovative app streamlined and modernized the weighing process by allowing
users to upload formulation data directly to the app, saving hours of manual
work. Previously, operators were required to input data manually, recipe by
recipe—each one containing up to 500 lines. This tedious process took around 15
minutes to complete per formulation and was vulnerable to manual errors.

Since the implementation of the Bestmix Weigher App, the overall manufacturing
process has become more efficient. What once took around 15 minutes of manual
data per formulation can now be completed in under a minute. The app can also
generate comprehensive reports, providing insights into production processes and
helping teams optimize performance.

“The Weigher App is very helpful in our day-to-day activities,” shared Enry
Cipto Hutabarat, Production Supervisor at Gold Coin Medan. “There’s no more
double input, and we can access the system from anywhere within our local
network. This really helps us ensure the accuracy of our reports,” he added.

The innovative solution reflects one of Aboitiz Foods’ brand
attributes—"Integrating for Efficiency," which pertains to continuous
improvement and cross-collaboration among team members and facilities throughout
Asia. By streamlining operations, Aboitiz Foods enhances service to its
customers, upholds high-quality standards, and reinforces its competitive edge
in a rapidly evolving industry.

Since the app is built in-house by Aboitiz Foods’ BITS team members, the Bestmix
Weigher app can be easily configured and deployed across multiple facilities
without added installation costs.

Aboitiz Foods BITS and Gold Coin Medan Team Members working on the prototype of
the appThe development of the Bestmix Weigher App is also a strong example of
another Aboitiz Foods value behavior—pursuing shared wins. The project brought
together teams from the Philippines and Indonesia, allowing them to combine
their expertise, overcome language and technical challenges, and work in sync to
create a solution.

“The Medan team was very welcoming and collaborative. Even though we had to work
through a language barrier, their support made all the difference,” said Jonan
Toquia, Lead Software Engineer at BITS. “It was inspiring to see how committed
everyone was to making the project a success.”

By embracing smarter, more connected systems, Aboitiz Foods is creating
solutions that not only enhance processes today but also position the
organization to thrive in an evolving industry landscape.

Team members Nico Grospe, Jonan Toquia, Cynthia Racaza, Hajiri, and Edi Harianto
testing the app in Gold Coin MedanThe Bestmix Weigher App reflects Aboitiz
Foods’ ongoing commitment to integrating smart solutions into daily operations
by bridging traditional systems with modern, data-driven tools. As part of the
Aboitiz Group’s Great Transformation, this initiative brings to life two of the
Aboitiz A+10 Behaviors: being Innovative and Synergistic. It also reinforces
Aboitiz Foods’ commitment to becoming a techglomerate—harnessing the power of
technology to transform how we work, enhance our service, and empower our people
to thrive in an ever-evolving industry.

Food

Precision In Every Batch: How An Improved Weighing App Is Making A Difference

By Ginggay Hontiveros-Malvar, Chief Reputation and Sustainability Officer,
Aboitiz Group and President, Aboitiz Foundation
This article originally appeared on the author's Tribune.net column 'On the
G(ood) Side'.
[https://tribune.net.ph./2025/05/18/beyond-reports-sustainability-creates-value]


--------------------------------------------------------------------------------

In the world of business, what’s measured gets managed and what becomes public
gets done.

At the Asian Development Bank’s 58th Annual Meeting in Milan, I had the
privilege of joining global leaders to discuss a topic central to the Aboitiz
Group’s transformation
[https://aboitizeyes.aboitiz.com/post/adb-global-panel-features-glimpse-into-aev-sustainability-disclosures]
: How robust sustainability disclosures can unlock meaningful progress not just
for companies, but for the communities and countries they serve.

Our journey at Aboitiz Equity Ventures began like many others—with compliance.
Nearly 15 years ago, we started disclosing our sustainability efforts primarily
to satisfy regulatory requirements and manage risk. But what began as a
box-checking exercise evolved into a strategic imperative. We soon discovered
that disclosure, when done transparently and purposefully, serves to clarify key
focus areas, uncover gaps, and shed light on the path forward.

Disclosures became both a mirror and guide. They challenge us to go beyond
reporting activities and instead set measurable, time-bound targets aligned with
our purpose: to advance business and communities. The shift from risk management
to value creation entailed putting sustainability at the heart of our
governance, operations and culture.

We established the OneNewAboitiz Sustainability Framework to bring together and
elevate our initiatives across various industries ranging from power and banking
to food and infrastructure. We formalized multi-layered governance across the
boardroom and business unit levels and empowered an entire system of
sustainability champions among over 40,000 employees. ESG stopped being a silo
and became part of how we operate.

But as I shared at the ADB forum, we must also recognize that meaningful
disclosure is costly and complex, especially for small and medium enterprises in
our value chain. This is where collaboration plays a key role. At Aboitiz, we’re
committed to building alliances across sectors, from advising government policy
through the Private Sector Advisory Council to participating in international
conversations that shape global standards.

We’re also partnering with companies, non-profits and government agencies
through the CarbonPH Coalition to move beyond traditional carbon sequestration.
Together, we’re integrating science-based forest regeneration, inclusive
community development, and long-term climate resilience into our projects.

Being part of global conversations helps us stay on top of new practices, tools,
and ideas. At the ADB meeting, I had the chance to see how global standards like
the International Sustainability Standards Board are changing the game when it
comes to ESG disclosures. I also learned how some companies are making sense of
hundreds of data points by turning them into smarter, more useful dashboards.

While sustainability disclosures are certainly important, what truly matters is
what we do next. The real impact happens when we turn data and reports into
concrete actions that reflect our commitments. That’s how companies move from
intention to meaningful progress. And by sharing our resources and working
together, we can extend the impact of our efforts beyond our own organizations
to communities.

Beyond Reports, Sustainability Creates Value

Dear Fellow Stakeholders,
2024 had been a transformative year for AEV as we continued to execute on our
diversification strategy. We acquired a 40% stake in Coca-Cola Bottlers
Philippines, Inc. (CCBPI), which we later renamed to Coca-Cola Europacific
Aboitiz Philippines, Inc. (CCEAP), through a joint venture with The Coca- Cola
Company’s largest bottler by revenue globally, Coca-Cola Europacific Partners
(CCEP). This marked our entry into the fast- moving consumer goods (FMCG)
sector, which further strengthened our push to increase revenues coming from the
consumer market. AboitizPower entered into a joint venture agreement with
Meralco PowerGen Corp, to purchase a 40% stake in Chromite Gas Holdings, Inc.,
which in turn, purchased a 67% stake in two liquified natural gas (LNG) plants
and a gas terminal from San Miguel Global Power Holdings Corp. This is
AboitizPower’s first foray into the LNG space.

Aboitiz InfraCapital (AIC), on the other hand, continued to execute on its
portfolio strategy. In February 2024, it commenced commercial operations of its
bulk water supply business under Apo Agua Infrastractura, Inc. in Davao City.
With a capacity of 300 million liters per day, it stands as the largest facility
of its kind in the Philippines. In addition, AIC was awarded two new regional
airports - the Laguindingan and Bohol-Panglao airports. With these two new
additions, along with Mactan-Cebu International Airport, AIC is well on its way
to building its airport portfolio.

All of these investments happened under a favorable macroeconomic environment.
With the downtrend in domestic inflation rates, the Bangko Sentral ng Pilipinas
(BSP) cut policy rates by 75 basis points from 6.50% to 5.75% 40 Aboitiz Equity
Ventures Inc. allowing the local economy to achieve a full- year GDP growth of
5.6%.

AEV’s beneficial EBITDA (earnings before interest, taxes, depreciation, and
amortization), which represents our proportional share in the EBITDAs of our
subsidiaries and affiliates, rose 32% to PHP64.5 billion in 2024, from PHP48.9
billion in 2023. AboitizPower remains to be the largest contributor, accounting
for 60% of our total beneficial EBITDA. On a year-on-year basis, growth was
mainly driven by our Food and Beverage segment, whose EBITDA more than doubled
to PHP13.9 billion in 2024.

The growth in AEV’s beneficial EBITDA translated to a 15% year-on-year growth in
our core net income to PHP25.5 billion. However, after booking a PHP7.5 billion
impairment on our 45% stake in Republic Cement and Building Mtaerials, AEV’s net
income stood at PHP18.1 billion, down 23% from PHP23.5 billion in 2023. This
translates to an earnings per share of PHP3.24 in 2024 and a return on
shareholders’ equity (ROE) of 7%.

AEV’s consolidated balance sheet remains well-positioned for opportunistic
expansions. We ended 2024 with total cash levels of PHP80.8 billion, down from
PHP112.3 billion, following the settlement of our acquisition of 40% of CCEAP in
February and our participation in UnionBank’s stock rights offering in May.
Despite the decline in cash, growth in investments and property, plant, and
equipment led to an increase in our consolidated asset base, which rose to
PHP893.0 billion from PHP833.9 billion in 2023. Total liabilities increased by
8%, primarily driven by higher debt availments to fund our ongoing expansions in
the power and infrastructure segments. Despite this increase, our net
debt-to-equity and debt-to- equity ratios remained stable at 0.8x and 1.0x,
respectively.

On March 7, 2025, the Board of Directors of AEV approved a cash dividend of
PHP1.54 per share. This is equivalent to 33% of AEV’s core net income in 2024,
with an implied dividend yield of 4.6% on the day of its announcement.

Meanwhile, the beneficial EBITDA of AboitizPower rose by 13% to PHP73.3 billion
in 2024. EBITDA growth was fueled by higher gross margins in power generation
and higher energy sales across the distribution utilities. The double-digit
beneficial EBITDA growth in 2024 drove core net income 5% higher to PHP33.7
billion. This translated to an earnings per share of PHP4.70 and an ROE of 20%.

On March 7, 2025, the Board of Directors of AboitizPower also approved a cash
dividend of PHP2.35 per share. This is equivalent to 50% of its net income in
2024 and implied a dividend yield of 5.7% on the date of its announcement. This
is the highest dividend per share that AboitizPower has paid out in the
company’s history.

FUND RAISING 
In 2024, AEV, together with CCEP, secured a PHP24 billion, 10-year term loan
with the Bank of the Philippine Islands to fund our acquisition of CCEAP. Beyond
this, the Parent focused on servicing its outstanding debt.

AboitizPower, on the other hand, secured a total of PHP22.2 billion of loans, of
which PHP13.2 billion was used to fund its renewable energy pipeline, while
PHP9.1 billion was used to refinance the maturing financial obligations of its
distribution utilities.

ESG ASSESSMENTS 
Sustainability remains at the core of AEV’s Great Transformation. The company
continues to rank in the upper quartile among global peers in the same category
and, in September 2024, placed first among Philippine companies in the
Industrial Conglomerate Sector of the 2024 S&P Global Corporate Sustainability
Assessments.

Likewise, AboitizPower ranks at the 73rd percentile in the Electric Utilities
Sector of the 2024 S&P Global Corporate Sustainability Assessment, with a score
of 50/100—a one- point decline from the previous year. It also received an ESG
Risk Rating of 27.3 (Medium) from Sustainalytics, placing the company ahead of
its local peers assessed within the same industry.

RISK FINANCE 
In 2024, the Group focused on managing the rise in premium costs. On top of
continuing to leverage on the Group’s diverse portfolio and scale to secure
competitive coverage, AEV, including all of its SBUs, conducted bespoke risk
studies to better understand exposures, engaged in strategic business
discussions with lead insurers through a series of roadshows, and explored
maximizing local insurer’s capacities and alternative risk transfer solutions in
order to optimize risk transfer costs.

AEV’s captive insurance company, Archipelago Insurance, continues to play a
vital role in retaining risk for programs where industry pricing does not align
with the risk management practices of our SBUs.

In 2024, AboitizPower established its own captive entity, Potentia International
Pte Ltd, enabling Archipelago Insurance to re-allocate its coverage to the
Group’s non-power SBUs, strengthening the Group’s commitment to proactive risk
management and sustainable risk financing.

THANK YOU 
To our valued shareholders, we deeply appreciate your unwavering confidence and
trust. We are poised for an even more transformative year in 2025 as we focus on
simplifying operations, prioritizing efficiency, and ensuring that our SBUs
operate smarter and more collaboratively. With a diverse portfolio spanning
power, banking, food, real estate, infrastructure, and fast-moving consumer
goods, we are committed to delivering sustainable, long-term value to you, our
shareholders, and to the nation.

Sincerely yours,

--------------------------------------------------------------------------------

 [https://aboitiz.com/corporate-governance/aboitiz-integrated-report]

AIR 2024: Message From The CFOs

Following the formalization of the strategic partnership between ATRAM Group
(ATRAM) and Union Bank of the Philippines (UnionBank) on May 8, 2025, Deanno J.
Basas was appointed as President of UnionBank Investment Management and Trust
Corporation (UBIMTC) by the UBIMTC Board of Directors. He will concurrently
remain as the Chief Experience Officer of ATRAM Trust Corporation (ATC), the
trust and fiduciary services entity of ATRAM.

Prior to this appointment, Basas held the position of President at ATC until
2022 and subsequently led ATRAM Digital as CEO, where he spearheaded the
company's digital transformation. He brings over 30 years of local and
international experience in treasury trading and asset management to his new
role.

The appointment follows the approval of the following transactions by the
Monetary Board of the Bangko Sentral ng Pilipinas (BSP) in April 2025:
• UnionBank will acquire a 27.5% equity stake in ATR Asset Management, Inc.
(AAMI), ATRAM's mutual fund management arm.
• AAMI will acquire 100% ownership of UBIMTC, UnionBank’s wholly owned
subsidiary for investment management and trust services.

These transactions pave the way for the proposed merger of UBIMTC and ATC,
subject to further regulatory approvals, with ATC as the surviving entity. The
timeline for the merger is yet to be finalized.

This strategic partnership leverages UnionBank’s advanced digital capabilities
and ATRAM’s deep wealth management expertise. The collaboration aims to enhance
financial solutions, broaden access to investment opportunities, and foster
greater financial inclusion across the Philippines.

Updates regarding significant developments will be released as they become
available. For official updates, please visit www.atram.com.ph
[http://www.atram.com.ph] and www.unionbankph.com [http://www.unionbankph.com].

Deanno J. Basas Appointed President Of UBIMTC
Following ATRAM and UnionBank Strategic Partnership

The last decade has been marked by unprecedented transformation for the Aboitiz
Group. It is not a buzzword but actual lived experiences for every team member
in our organization, most especially for those on the frontlines. One compelling
real-world example of this is at CitySavings' Mandaue Branch, where the
company's Project Amaze was first rolled out. As one of the pilot locations, the
branch was both a testing ground and a testament to what’s possible when change
is embraced with openness, teamwork, and resilience.

As the featured GT Storyteller for our CitySavings SuperDuperCon episode, Ana
May “Maymay” Ranas, Branch Operations Head, proudly shared her team’s honest,
on-the-ground journey through the highs, the challenges, and the breakthroughs
of adapting to a new system. From streamlining complicated processes to
empowering team members to take ownership and lead, this story shows that 
transformation isn’t just about new tools but the people who bring those tools
to life.


--------------------------------------------------------------------------------

> Our loans team used to jump between three different systems just to process a
loan application. Now it’s all in one place, which makes our processing time
faster and even better. 
Hi everyone! I’m Ana May Ranas, Branch Operations Head from [CitySavings]
Mandaue branch. I’m really excited to tell you about our experience as one of
the first branches to roll out Project Amaze. Honestly, when I first heard the
news, I was both nervous and excited to be part of something new.  Now that
we’ve been immersed in this project for a while, I want to share what it’s
really been like being part of this big transformation.

Like a lot of branches, we have  been struggling with processes that just got
more and more complicated over time. Tons of manual paperwork, long queues, and
systems that didn’t talk to each other—it was frustrating for the team and for
our customers as well.

Anna May with her team from CitySavings Mandaue Branch celebrating National
Teachers' Day in 2023.I still remember that Monday morning when the Project
Amaze implementation team walked in. Some of us were hopeful, others were
skeptical—wondering, “Is this going to help?” or “Baka dagdag trabaho lang ’to,”
and “Eto na naman,” that familiar thought about the birth pains of
transformation.

And surprisingly, we started seeing changes and we are hopeful that the work
flow will be lighter. More manageable.

Our loans team used to jump between three different systems just to process a
loan application. Now it’s all in one place, which makes our processing time
faster and even better. Other activities which used to be done by the operations
team such as scanning of documents, sending of billing, etc. are now lifted and
shifted to the Loans Services Group. In fact, one of our branch service
associates, Chiara, shared with me that she now has more time to focus on
servicing clients which results in better customer interaction. We still render
overtime and sometimes go home late, but we look forward to the day when this
project is fully implemented so we can focus on a better work-life balance.

“Some of us were hopeful, others were skeptical.” Anna May bared the sentiments
of how people may initially approach transformation: “Is this going to help?” or
“Baka dagdag trabaho lang ’to.”Of course, it hasn’t been perfect. Change never
is.

On the third week of the project implementation, our systems had syncing issues,
and that really tested us. During one of our morning briefings, it was suggested
by Jessie, our teller, “What if we just go back to the old system? At least it
worked!”

But we pushed through. We found workarounds, supported each other, and stayed
open about what was working and what wasn’t.

And over time, all those little changes—the improved processes, the shift in
perspective on what operations need to focus on—they added up. Slowly things
felt different but we are looking ways that . We now look forward to a better or
even amazing customer experience for our clients.

As a leader, what I’m really proud of is the transformation of my team.

Our team is more engaged. People are smiling, the team is taking work ownership,
and the best part? Some of the operations team members who were most hesitant at
the start are now leading the way, suggesting even more improvements.

Looking ahead, there’s a lot to be excited about.

Since we are the pilot branch for Project Amaze, we will be putting together a
mentorship plan so our team can help other branches go through their own
transformations. And now that we’re not tied down by inefficient processes, we
can focus on building deeper connections with our customers.  We can further
market our products and services to the whole community and not just focus on
transactions but become real financial solutions experts for our clients.

Being part of this pilot hasn’t always been easy, but it’s been worth it.
Watching our team grow, adapt, and thrive through change has been the most
rewarding part of all. So for those of you getting ready to start your own
Project Amaze journey: keep an open mind, stay curious, and trust the process.
You might be surprised by just how much it can change not just what you do, but
how you feel about doing it.

Thanks for listening, and thanks for letting us share a bit of our story from
Mandaue. Good day to everyone!

After the CitySavings SDC episode last May 14, Anna May took the opportunity to
grab a photo souvenir with Aboitiz Group CEO Sabin Aboitiz.

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