THE BIG buzz in business circles remains the Meralco crisis. Everyone wants to know what will happen — will the Lopezes keep the power company or will Winston Garcia and the GSIS succeed in heading it? What’s with all the sweetheart deals, system losses, highway robbery charges, power struggle and squabble about proxies? Every day brings with it a new development to this boardroom battle.
Stockbroker Monique Lecaros of SB Equities Inc. says, “On a long-term standpoint, the possibility of the Lopezes losing control of Meralco really is disturbing for shareholders as it raises doubts over whether any group out there would be competent enough to run the company. The public, on the other hand, seems to welcome government’s purported move and claims of ‘protecting public interest.’”
Indeed, from the looks of it, the man on the street just wants electricity charges to be lowered given the skyrocketing prices of everything else, from rice to gasoline. That’s why, given the opportunity, Winston Garcia will be perceived a hero if he gets to fulfill his vow of bringing down electricity charges within two months of assuming the helm of Meralco.
But there’s something about the government making moves to take over private business that makes me uneasy. Winston Garcia said on TV that Manolo Lopez will give up Meralco “whether he likes it or not.” Amando Doronila calls it a “seizure of assets without guns and soldiers.” A chilling thought.
June 6th, 2008 at 3:34 pm
It is indeed that now lopezes control the vital industryof the country which is outrageous and they dont care about the people. Now is thetime for them to be out from the business they have…They are the one who cartel this businesses.. Pakitang tao lamang ang sinasabi nila na tumutulong sila sa mga tao.. tama lang dapat na kunin ni dating pangulong marcos and kanilang mga ariarian dahilan sa kanilang kasakiman sa kayamanan. They are the thiefs, who holdup the people masses in broaday light as rep. amado bagatsing stipulate in his previous letter. They must be charged of cheating the public people for charging their losses to the people.. This is the first in Philippine History, that there were people who are like these…. Sana karmahin ang mga taong ito na nagsasamantala sa mga taong mahirap na pinahihirapan pa.. Repeal the Epira law which favors the filthy business man like these.. Dapat kasuhan din sila ng money laundering law… dahil hindi naman nila pinaghirapan ang perang kinita nila kundi sa pandaraya nila… Tinatawagan ko ang mga mambabasa at mga nakikinig na IBOYCOTT ang mga business ng mga Lopeses na ito na isa sa mga nagpapahirap sa mga nakakarami na mas lalo pang mahirap…..ABS-CBN must be boycott……….
June 6th, 2008 at 3:18 pm
In 2006, Meralco earned P3.7 B while Tranco, the government power transmission company, earned P19 B. Who is greedy?
In 2007, Benpres, the mother company of Lopez Group, earned P5.9 B while government owned or controlled corporations (GOCCs) lost P27 B. Who is the better manager?
By the way, ABS-CBN was never in rehabilitation.
June 6th, 2008 at 11:33 am
I agree that it is wrong to assume that the Lopezes have the skill to run Meralco. I also agree that they have had bad investments like the Maynilad but mainly because before it is turned over to them, it was completely in bad shape and they also got the bad part of the bargain. But from what I know, it is already earning before it was transferred to its new management.
Is Winston Garcia or the government capable of running Meralco? Before you answer this, take a look first at the management performance of the Lopezes vis a vis GSIS and the government. Look at GSIS? Look at the government owned and controlled corporations under their watch. Meron pa bang progressive and profitable?
June 5th, 2008 at 4:47 pm
I think it’s completely wrong to think that only the Lopez group has the skill to run Meralco.
If we lock ourselves in this destorted thought. It will be like saying there is no chance for change anymore.
In real business, no one ever has the monopoly of managment skills.
No one is also indespensable.
What is stopping us from change is the fear of change itself.
A real investor or stockholder should be more concerned that his investment be given a good chance of growing.
The Lopez group have had several bad investments, Bayantel & maynilad.
Not even ABS-CBN is out of rehabilitation yet.
This is reson enough to question their managment style in Meralco.
But the real problem is the Lopez are holding on to Meralco for other reason other then running a business profesionaly & w/ social responsability since it’s also a Public Utility.
June 5th, 2008 at 1:49 pm
Meralco under the management of the Lopezes appears to hold on to lead the company inspite of the public clamor to lower exorbitant rates brough about by ridculous, unwarranted, immoral imputed charges of some of the components of system losses. Meralco’s management should have moral conscience and realize that these charges affect the very poor of the society. Their apparent greediness may led to the management’s downfall let alone deteriorate the profitablity of the company. The management does not have absolute or monopoly of knowhow to run a business. There is somewhere and someone out there who are more knowledgeable than them to run such kind of business. What is happening to the Meralco’s management is that they are overhelmed with greediness to accumulate profit at the expense of the consumers who are hostage to using electricity. As such , the management capitalize this situation in the guise of good corporate governance to immorally improve their profitability??? As a consumer I have nothing to do whether the company is not making enough profit. The bottom line here is since electricty is vital industy it should be run by the government in order to ensure the consumer and businesses as well continuing use of it and not to be hostagae by the people running on it. I don’t care whether there would be corruption in running on it that is another issue that has to be dealt seperately by the government.