2006 Annual Report 17-A

U NPRECEDENTED G ROWTH. U NMATCHED P ERFORMANCE.
2006 ANNUAL REPORT
rev.approved.indd 1
6/4/07 6:04:32 PM
Table of Contents
Chairman’s Message
2
Bullish Economy Drives Property Sector Boom
4
Our Projects
7
Eastwood City
8
McKinley Hill
14
Newport City
18
Manhattan Garden City
21
Cityplace
25
Forbes Town Center
29
Makati CBD
33
Committed to Fulfill Home Ownership Dreams
35
Focused on Business Process Outsourcing (BPO)
39
Leadership through Innovation
43
Corporate Social Responsibility
49
Financial Statements
53
Statement of Management’s Responsibility
54
for the Financial Statements
rev.approved.indd 2-1
Report of Independent Auditors
55
Consolidated Balance Sheets
56
Consolidated Income Statements
58
Consolidated Statements of Changes in Equity
59
Consolidated Cash Flow Statements
60
Notes to Consolidated Financial Statements
61
Board of Directors/Officers
102
Executive Committee
103
Corporate Information
104
6/4/07 6:05:02 PM
TO OUR SHAREHOLDERS
Chairman’s Message
M
egaworld Corporation propelled itself to record
earnings and unprecedented growth in 2006, thereby
securing its place as a prime mover in the Philippine
property sector.
Your Company’s unmatched performance last year can be
credited largely to the high level of trust and acceptance earned
by its trendsetting projects. Through the years, Megaworld has
anchored its growth strategy in providing the market with quality,
innovative and integrated real estate solutions.
Simply put, our strategy has been to put all our efforts and resources
behind the fastest-growing sectors in the Philippine economy.
As early as 1997, at the height of the Asian crisis, Megaworld
was already making a mark in mid-income housing. In 1999,
Megaworld inaugurated the first business process outsourcing or
BPO office building in the country. These initiatives gave us a
first-mover advantage in the industry’s two brightest sectors.
We at Megaworld agree that 2006 marked a watershed for the
local property sector. At the height of the Asian financial crisis,
we predicted that a recovery was inevitable for the sector, and we
have since steered Megaworld on a growth course based on such
a bullish outlook.
Our culture of innovation and achievement inspires us to keep on
growing with the opportunities presented by a stronger economy.
Even as 2006 was, in many ways, a banner year, we are positive
that Megaworld will surpass last year’s record gains to deliver the
best value for our clients and shareholders in the years to come.
OUR CULTURE OF INNOVATION AND ACHIEVEMENT INSPIRES US
Single-mindedly, we continued to focus on projects geared to
the needs of target customers in these key sectors. We knew that
success depends mainly on our ability to keep pace with the
hyper-growth that these industries will experience in the next few
years.
TO KEEP ON GROWING WITH THE OPPORTUNITIES PRESENTED BY A
STRONGER ECONOMY. EVEN AS 2006 WAS, IN MANY WAYS, A BANNER
Our performance so far has been unmatched by any other
property developer in the Philippines. In 2006, Megaworld’s net
income jumped 75 percent year on year to PhP 2.04 billion while
revenues surged 75 percent to PhP 9.37 billion. Real estate sales
almost doubled to PhP 6.16 billion. Rental income, primarily
from BPO buildings and retail projects, rose 29 percent to
PhP 707.32 million.
YEAR, WE ARE POSITIVE THAT MEGAWORLD WILL SURPASS LAST YEAR’S
RECORD GAINS TO DELIVER THE BEST VALUE FOR OUR CLIENTS AND
Your Company’s phenomenal growth last year is a testimony to
the soundness of its vision to bring its customers the benefits of
a complete, live-work-play lifestyle. We are a pioneer developer
of urban townships: large-scale communities that integrate
residential, commercial, educational, leisure and entertainment
components. Today, with six townships undergoing development
in the finest locations in Metro Manila, your Company is all but
assured of an accelerated growth and revenue record for the
balance of the decade.
SHAREHOLDERS IN THE YEARS TO COME.
We at Megaworld are well prepared for this new era of growth.
From April 2006 to January 2007, we raised about US$421 million
through a series of fund-raising activities both in the international
and local capital markets. For 2007, we have allocated PhP 12
billion to fund our various projects. This year, we are targeting
sales of PhP 15 billion, or 50 percent more than the PhP 10.3 billion
we achieved last year.
Industry analysts, property developers and the government are
unanimous in hailing 2006 as the beginning of the renaissance of
the real estate industry.
MEGAWORLD CORPORATION
rev.approved.indd 2-3
Andrew L. Tan
Chairman and President
2006 ANNUAL REPORT
6/4/07 6:05:11 PM
OPERATIONS
Bullish Economy
Drives Property
Sector Boom
T
he prospects for the Philippine property sector never looked
brighter. Only two years after signs of the sector’s recovery
became apparent, developers are now racing to meet the
growing demands of the new middle class and the booming
information technology (IT) services sector.
A confluence of factors has led to the sector’s rebirth: government
has controlled the deficit, raised revenues and clamped down on
grafters and tax evaders. These efforts have placed the Philippines in
a healthier financial position, leading to low interest rates.
At the same time, commercial banks have reduced non-performing
loans, and are now actively lending to consumer markets, which
include homebuyers.
More important, the demographics of Filipinos here and abroad are
shifting, with a new middle class emerging from the support of almost
a tenth of the Filipinos overseas. These middle-income families, in
addition to Filipinos returning to either retire or start a new business in
the country, are propelling the demand for properties upward.
In the same way that the middle class fuelled the economy through
brisk consumption-based spending, experts predict that low interest
rates will slowly but surely transform these consumers into more
discerning investors, increasing further the demand for quality property
investment in the long term.
Another factor that has brought about the recent economic growth is
the influx of foreign and domestic investments in burgeoning industries
like business process outsourcing and other IT-related services.
These industries are projected to sustain revolutionary growth on a
yearly basis partly because of the global trend of outsourcing noncore activities and partly because of the competitive labor force that
the country offers.
Megaworld positioned itself perfectly to harness the positive
developments brought about by the improving economy in 2006.
We continued to establish leadership in the residential condominium
and BPO office markets in 2006. We also beefed up our extensive
land bank and increased our recurring income stream.
In terms of marketing our successful projects, we have put in place
a comprehensive domestic and overseas sales network which relies
on the company’s credible image of providing quality residential
and office spaces, exceptional development track record and solid
financial performance.
Overseas Filipinos drive
the demand for quality real estate
Megaworld is the largest BPO office
developer in the Philippines
2006 ANNUAL REPORT
rev.approved.indd 4-5
6/4/07 6:05:31 PM
FROM THE OUTSET, MEGAWORLD HAS TAKEN A CONSISTENTLY INNOVATIVE
APPROACH TO REAL ESTATE DEVELOPMENT. IN THE EARLY ‘90S, IT FOCUSED ON
STAND-ALONE RESIDENTIAL PROJECTS IN CERTIFIED FIRST-CHOICE LOCATIONS
IN METRO MANILA. IN RECENT YEARS, IT HAS PIONEERED THE DEVELOPMENT OF
“MEGA-COMMUNITIES” OR INTEGRATED TOWNSHIPS THAT LOCATE RESIDENCES,
WORKPLACES, COMMERCIAL CENTERS AND LEARNING INSTITUTIONS IN ONE
Our
Projects
AND THE SAME SETTING. TODAY, THESE MASSIVE DEVELOPMENTS ARE PROVING
THEIR WORTH AS COMMUNITIES THAT BRING THE MOST VALUE TO METRO-BASED
HOMEBUYERS.
rev.approved.indd 6-7
6/4/07 6:05:44 PM
OPERATIONS
Eastwood City’s vibrant
residential section
1800 Eastwood Avenue
Eastwood City
M
egaworld’s first salvo in building mega-communities is
Eastwood City, the archetypal live-work-play enclave.
Situated along the C-5 Road in Quezon City, it is
currently enjoying an upsurge in activity in its residential,
office and commercial sections.
Expansion
In September 2006, Megaworld launched an annex to Eastwood City:
Palm District. The Palm District, featuring a palm tree-lined central
park and a main thoroughfare called Eastwood Palm Tree Avenue,
adds 1.8 hectares to the 16-hectare Eastwood City.
Rising along the 10-meter-wide Eastwood Palm Tree Avenue is
Eastwood LeGrand, Megaworld’s newest residential project in
Eastwood City. Launched in October last year, the project comprises
executive studios to one-bedroom homes. Play amenities at the
seventh level include a swimming pool with in-water lounge and jet
spa, paved sunbathing deck, outdoor fitness station and a wading
pool, tot lot and playground for children.
From its vantage location in the Palm District, Eastwood LeGrand
is a leisurely walk away from City Walk I and II, the leisure and
entertainment hub of Eastwood City. LeGrand is also near the 15meter-wide Economia Road, which connects to Calle Industria and
the C-5 Road.
BPO office building spree
A showcase of Megaworld’s edge as the leading office provider for
business process outsourcing (BPO) and information technology (IT)
companies is the Eastwood City CyberPark.
The CyberPark, accredited by the Philippine Economic Zone Authority
(PEZA) as the country’s first IT park, remains the country’s BPO hub
of choice as it plays host to 62 firms belonging mostly to the BPO and
IT-enabled services sector and a 20,000-strong workforce.
To date, no less than six high-tech office projects are rising
simultaneously at the CyberPark. Slated for completion by yearend, eCommerce Plaza will host about 20,000 square meters of office space.
After 1800 Eastwood Avenue, launched in December 2006, 1880
Eastwood Avenue will offer some 30,000 square meters of leasable
space upon its completion by the second half of 2008. Global One
Center, with a floor area of about 35,000 square meters, will debut by
the first half of 2009.
e-Commerce Plaza
Global One
Center
MEGAWORLD HAS CONTINUED TOPOST DOUBLE DIGIT GROWTH.
Eastwood LeGrand
Other ongoing BPO office projects are TechnoPlaza 2, the International
Finance Center and Casa del Emperador. The buildings, targeted for
delivery from 2009 to 2011, will contribute more than 75,000 square
meters of floor area to the rapidly diminishing office inventory at the
CyberPark.
The site of the new
Palm District
MEGAWORLD CORPORATION
rev.approved.indd 8-9
Artist’s impression of 1880
Eastwood Avenue
6/4/07 6:05:58 PM
OPERATIONS
Megaworld’s continuing leadership as the largest BPO office developer
and landlord in the country is underlined by a steady stream of BPO
tenants year after year. From end-2006 until the second quarter of
2007, the following companies set up shop in the CyberPark’s fully
operational office buildings:
• DELL Philippines. A global market leader that provides
technology-based solutions, DELL runs operations from a
technologically advanced 18,517-square-meter customer
contact center at the newly opened 1800 Eastwood Avenue office
building. Its offices are equipped with world-class training labs
that simulate networked home and office environments, a health
care clinic and recreational and leisure areas for employees.
IBM Business Services
TransWorks
Cyber One, IBM Plaza,
Epixtar House
and Citibank Square
at the Eastwood
City CyberPark
• IBM Business Services. A wholly owned subsidiary of global
IT giant IBM, IBM Business Services offers specialized end-toend HR-, finance- and accounting-related support services to
different IBM subsidiaries worldwide and to IBM’s external bluechip Fortune 500 clients. The company occupies 10,237 square
meters of space at 1800 Eastwood Avenue.
• TransWorks. TransWorks is part of the BPO business of Aditya
Birla Nuvo, the flagship company of the Aditya Birla Group,
India’s first truly multinational corporation. TransWorks’ 1,575square-meter office is located at the 10th floor of 1800 Eastwood
Avenue. Here, the company provides contact center solutions,
integrated marketing services and back office administration.
• Confabia. Owned by Fountel Corporation, an investment
holding company, Confabia occupies a 743-square-meter office
at the sixth level of Cyber One. Confabia offers contact center
servicing to back-office processing and information technology
solution engineering.
Confabia
IBM Solutions Delivery, Inc. and First Asia Mobile have similarly
opened for business at the IBM Plaza while Telecom Concepts, Inc.
has set up shop at Cyber One. Meanwhile, the companies that have
expanded their operations at the CyberPark include Link2Support,
Seven Seven Global Resources, ASTEC and Arinso.
The booming BPO sector bodes well for the CyberPark’s performance
in terms of export revenues. In a recent statement, accounting firm
Punongbayan & Araullo said that it foresees the CyberPark earning
US$1 billion in export revenues by 2010. In 2006, PEZA-accredited
BPO companies at the CyberPark registered US$189 million in export
earnings, up from US$117.6 million the year before.
Link2Support
MEGAWORLD CORPORATION
rev.approved.indd 10-11
2006 ANNUAL REPORT
6/4/07 6:06:07 PM
OPERATIONS
New mall
Megaworld continues to enhance the lifestyle and leisure options at
Eastwood City, a Department of Tourism-certified tourist destination.
Today, its popular commercial block, comprising the pedestrianfriendly City Walk 1 and 2, is making way for the opening of Eastwood
City Mall by the second quarter of 2008.
The four-story mall has a gross leasable area of 30,000 square meters.
The ground level hosts global retail stores, cafés and restaurants; the
second level, a mix of international and local brand-name shops and
dining places; the third level, a home essentials center, toy stores
and shops catering to mothers and children; and the top level, three
cinemas, a video arcade and a technological hub.
Complementing the mall’s retail offerings are a supermarket, an
atrium for indoor events, five levels of parking at the basement and an
outdoor bird and botanical sanctuary.
The Eastwood City Mall connects three of Eastwood City’s upcoming
luxury residences at the podium levels: the twin-tower Eastwood
Parkview, One Central Park and Eastwood Park Hotel and Residential
Suites. Eastwood City Mall is also a short walk away from City Walk
1 and 2.
City Walk 1
Eastwood City Mall
City Walk 2
rev.approved.indd 12-13
2006 ANNUAL REPORT
6/4/07 6:06:19 PM
The first two clusters of
McKinley Hill Garden Villas Phase 1
OPERATIONS
The McKinley Hill Village is the site
of Mediteranean-inpired homes
McKinley Hill
T
he McKinley Hill township in Fort Bonifacio is a classic
example of Megaworld ‘s grand plans to put its thumbprint on
the landscape of Metro Manila. The 50-hectare live-work-playlearn community is easily the developer’s most ambitious undertaking
yet since its landmark Eastwood City project in Quezon City.
Megaworld is allocating PhP 18 billion for the construction of
McKinley Hill’s residential projects, PhP 12 billion for its BPO offices
and PhP 3 billion for its retail section up to
2014. Over the next five to seven years, the
company expects to generate approximately
PhP 60 billion in revenues from a clientele that
includes homebuyers, investors, embassies,
educational institutions and commercial
locators.
Burgeoning residential block
McKinley Hill Village, the first residential
phase consisting entirely of high-end
subdivision lots, was completed in April
2005. Megaworld has since proceeded at
full throttle in building up McKinley Hill’s
residential section.
In addition to lots and low- to medium-rise villas, Megaworld’s
residential offerings at McKinley Hill include high-rise condominium
units such as The Stamford Executive Residences. One Stamford was
launched in December 2006 and is already sold out. Along with
studio units, it features play amenities at the roof deck level and a
retail area at the ground floor. Two Stamford debuted in March 2007,
and is now 32 percent taken up. In the offing is Three Stamford,
the last of the three-tower series. The Stamford targets prospective
BPO employees at the nearby McKinley Hill
CyberPark.
Expected to raise PhP 2.7 billion in revenues
for Megaworld is its latest residential project:
The Tuscany Private Estate. Launched in May
2007, the 1.5-hectare community along Upper
McKinley Road is inspired by Tuscany, the
grape-and-olive-growing region of Italy. The
project features seven Tuscan-Mediterranean
residential clusters, its own amenity area, a
park and a four-story edifice reminiscent of the
Ponte Vecchio, the oldest and most famous
bridge in Italy’s Florence. Already, reservations
have reached the 59 percent mark.
Upper McKinley Road
In October 2006, Megaworld launched two five-story clusters that
host 40 limited edition executive studios at Phase 1 of McKinley Hill
Garden Villas. These clusters join the existing two four-story clusters
at the site. With the brisk demand for the limited edition units, Phase
2 of the project was unveiled in January 2007, comprising 117 garden
villas in four six-story clusters. As of to date, the units are sold out.
LOREM CLITA
KASD GUBERGREN, NO SEA TAKIMATA.
The four-level Ponte Vecchio of The Tuscany Private Estate
New IT ecozone
Giving credence to Megaworld’s stepped-up BPO office development
program is the McKinley Hill CyberPark, modeled on Megaworld’s
successful Eastwood City CyberPark. McKinley Hill’s 15-hectare
corporate block will host initially over 200,000 square meters of office
space over the next five years.
Phase 2 of the Garden Villas
The three Stamford towers
Phase 2 of the Garden Villas
2006 ANNUAL REPORT
rev.approved.indd 14-15
6/4/07 6:06:34 PM
OPERATIONS
One World Square anchors the McKinley Hill CyberPark
Work is complete for One World Square, the first office tower to rise
at the site.
The 11-story, 28,866-square-meter One World Square features unit
and floor layouts designed to give BPO companies the flexibility to
expand their floor space on demand. The office floor areas vary from
700 square meters at the top four floors to 2,000 square meters at the
sixth and seventh floors to 4,000 to 5,000 square meters at the second
to fifth floors. To date, One World Square is substantially leased out.
In March 2007, Enderun Colleges held its own groundbreaking rites
for a 1.7-hectare school project. Set for completion by October next
year, it will be Enderun’s main campus in the Philippines after its
first center at the Ortigas business district. Enderun, which boasts
academic consulting support from Les Roches Swiss Hotel Association
School of Hotel Management, offers topnotch training in the global
hospitality industry.
Other entities set to locate at McKinley Hill are the Korean Embassy
and the Korean International School.
Meanwhile, Two World Square hosts a 1,500-square-meter floor area
on each floor of its twin towers. This can be expanded to as much
Meanwhile, Megaworld broke ground for the McKinley Commercial
as 3,000 square meters to meet the tenants’ needs. The two towers
Center in April 2007. This will be on top of a town center and other
offer a total leasable space of about 38,000 square meters. Today,
community amenities such as parks, an event center and campuses.
foundation works are done, and the
project is slated for completion by the
Transportation system
Groundbreaking ceremonies for the
first quarter of 2009.
To support the growth of McKinley Hill as
McKinley Commercial Center
a community, Megaworld is investing in
In the pipeline is Three World Square,
a public transport system. The company
with a total leasable area of close to
has earmarked up to PhP 500 million for
33,000 square meters.
the establishment of CityLink, which will
service the transportation needs of the
In April 2007, the PEZA issued its
township.
official proclamation of McKinley Hill
CyberPark as an IT economic zone.
A fleet of 15 luxury buses will comprise the
Among the package of incentives
CityLink system. Initially, the bus route will
available to CyberPark locators are
run from C-5 Road and Upper McKinley
income tax holidays of up to eight years,
Road—the main artery connecting
exemption from duties and taxes on
McKinley Hill to the existing McKinley
capital equipment, permanent residence
Road—and thence to the Makati central
status for foreign investors, employment
business district and Eastwood City in
of foreign nationals and the remittance of earnings from investments.
Quezon City. The CityLink will be the first bus system to traverse C-5
Road.
Expanding institutional block
McKinley Hill’s institutional section has attracted a number of prestigious
Eventually, the CityLink route will extend to all six of Megaworld’s
entities that attest to the community’s world-class character.
mega-projects, with a bus terminal to
be set up in each project. Priority
The Chinese International School Manila held topping-off rites for its
will be given to the residents,
four-story school building in January 2007. The project is slated for
employees, tenants and guests of
completion by June 2007, in time for the academic year 2007-2008.
these communities.
The institution is the first English-Mandarin bilingual school in the
country that uses an American system of education.
To ensure the passengers’
satisfaction, the CityLink bus
In February 2007, the British Embassy broke ground for its 1.2-hectare
staff will be trained in first aid,
office project at the site. The three-story building is set for completion
transport security and customer
in September 2008.
complaints management.
The Chinese International School Manila
PEZA Director-general Lilia de Lima (right) and Megaworld Chair
and President Andrew Tan at the ceremony recognizing McKinley
Hill CyberPark as an IT ecozone
rev.approved.indd 16-17
British Ambassador to the Philippines Peter Beckingham (center)
leads the groundbreaking rites for the new British Embassy
2006 ANNUAL REPORT
6/4/07 6:06:49 PM
OPERATIONS
The Residential Resort hosts Manila’s
first-ever luxury resort homes
The Newport City scale model
Newport City
N
ewport City’s master plan features the same live-workplay concept that is the heart and soul of Megaworld’s
groundbreaking township developments. Moreover,
the project is being groomed to become one of the
most exciting hotel-and-golf resorts in the region. The sprawling
25-hectare community overlooks the
18-hole Villamor golf course at the
Villamor Air Base near Terminal 3
of the Ninoy Aquino International
Airport in Pasay City.
Montecito and Sarasota are set for completion by March and August
2010, respectively.
A focal point of Newport City is a themed commercial hub, a stone’s
throw from the homes of The Residential Resort. Construction of the twostory Newport Commercial Center will
begin by the last quarter of 2007. The
project will host a variety of shopping,
dining and entertainment outlets.
Meanwhile, Newport City’s hotel project
broke ground in March 2007.
The Residential Resort at Newport
City is the community’s flagship
residential project. It is divided into
three Mediterranean-inspired phases:
Montecito, Sarasota and Pinecrest. In
all, there are 16 buildings, each nine
to 10 stories high.
Newport City is envisioned as a pillar of
Megaworld’s BPO office development
program as well. The Newport City
CyberPark, an integral part of the township,
is a magnet for businesses that stand to
Construction kicks off for the Newport
benefit from the project’s close proximity
Corporate Plaza One
to the Ninoy Aquino International Airport.
Montecito, with six buildings, was
In April 2007, Megaworld broke ground
introduced in October 2005. Sarasota,
for Newport Corporate Plaza One, the
with five buildings of its own, made its bow in March 2006.
anchor office project at the CyberPark. The eight-story building hosts
Both phases have been well received by the market. The last
20,000 square meters of leasable office space, and is well equipped to
phase, Pinecrest, launched five more buildings in February
meet the requirements of BPO and other technology companies.
2007. Today, its executive studios and two-bedroom homes are
25 percent taken up.
The project is set for completion by the last quarter of 2008.
Newport City enjoys close proximity to the
Ninoy Aquino International Airport
Artist’s impressions of the Newport Commercial Center
Newport Corporate Plaza One
2006 ANNUAL REPORT
rev.approved.indd 18-19
6/4/07 6:07:05 PM
Manhattan Parkway Residences
OPERATIONS
Manhattan Garden City
T
he five-hectare, 20-tower Manhattan Garden City is Megaworld’s
breakthrough project at the heart of the Araneta Center. Touted
as the country’s first-ever transit-oriented development, it offers
unsurpassed convenience to the metro’s key destinations with its
direct link to the LRT-2 and MRT-3 mass train systems. Since both systems
also connect to the LRT-1, the project offers a truly mobile lifestyle in a
highly strategic urban location.
Manhattan Parkway, the project’s three-tower first phase, hosts executive
studios and one-bedroom units. Megaworld launched the first tower in
July 2006, the second tower in January 2007 and the last tower in May
2007. The first tower is sold out, and market prospects are equally bright
for the remaining towers.
The showroom at the Gateway Mall offers a preview of the
Manhattan Garden City lifestyle
Manhattan Garden City enjoys a direct link to the
MRT-3 and LRT-2 stations at the Araneta Center
MEGAWORLD CORPORATION
rev.approved.indd 20-21
2006 ANNUAL REPORT
6/4/07 6:07:15 PM
OPERATIONS
Manhattan Parkview Residences
Through its overseas marketing arm, Megaworld International, the
developer is launching the three-tower second phase in California,
U.S.A., in June 2007. Manhattan Parkview’s executive studios to
three-bedroom homes will be marketed in the cities of Sacramento,
Vallejo, Milipitas, Union City, Torrance and Carson.
The Parkway and Parkview towers will be linked to the project’s
upcoming phases by a four-story-high, 729-meter-long garden
walkway—a first in Philippine real estate. Meanwhile, the homes of
Manhattan Garden City are complemented by an impressive array of
recreational amenities to create a truly privileged lifestyle. On top of
all this are the benefits that accrue from the project’s accessibility to
the Araneta Center’s shopping, dining and entertainment hubs.
The project offers one-step access to the
Araneta Center’s leisure destinations
MEGAWORLD CORPORATION
rev.approved.indd 22-23
2006 ANNUAL REPORT
6/4/07 6:07:22 PM
Artist’s rendering of the amenity area at The Olympian
OPERATIONS
The Olympian at Cityplace
The scale model of Cityplace
Cityplace
C
ityplace emerges as the largest development of its kind in
Manila’s Chinatown in the last 25 years. The residentialcum-hotel-and-retail project pays tribute to Binondo’s rich
heritage as a melting pot of Malay, Spanish and Chinese
influences.
New face of Chinatown
Cityplace, a symbol of the changing face of Chinatown, offers a
discriminating Filipino-Chinese clientele two residential towers—
a 37- and 39-story tower—for its Phase 1. These host luxurious
condominium homes ranging from executive studios to four-bedroom
suites. A rare treat for residents is a sprawling, almost 15,000-squaremeter play area at the seventh level. With more than 300 ornamental
trees and shrubs, the community stands out as a nature-rich setting in
the heart of Binondo.
At The Olympian, the second phase of Cityplace, the executive
studios to four-bedroom homes come with an exclusive recreational
area featuring a 20-meter lap pool with in-water lounge, gym, outdoor
fitness station, function area, a children’s playground and pool and
landscaped gardens.
Homeowners enjoy quick access to a three-level retail complex
below the residential floors. A stroll away from home is Chinatown
Walk, a car-free, 20-meter-wide promenade lined with palm trees and
a variety of specialty shops and dining places. It is envisioned to be
one of the most prominent landmarks in Manila.
MEGAWORLD CORPORATION
2006 ANNUAL REPORT
Artist’s impression of The Olympian’s transfer lobby
rev.approved.indd 24-25
6/4/07 6:07:34 PM
OPERATIONS
In a soft launch in February this year, Megaworld presented the
project’s new showroom to the public. Located at the junction of San
Fernando and Sto. Cristo Streets in Binondo, the showroom features
executive studios to three-bedroom model units, ranging from 36.5 to
138 square meters in size.
Modern educational complex
In accordance with a memorandum of agreement that it signed with
the City of Manila in April 2006, Megaworld developed a 2.1-hectare
property in San Nicholas, Manila, into a modern educational complex.
Megaworld launches Cityplace’s new showroom in Binondo
The complex is home to the new Raja Soliman and Jose Abad Santos
High Schools.
In April 2007, Megaworld turned over to Raja Soliman High School a
four-story and a five-story building with a total of 105 classrooms—20
percent more than its previous 87 classrooms.
Two four-story buildings were also turned over to Jose Abad Santos
High School in April 2007. The school’s 74 classrooms almost
doubled to 111.
Megaworld also completed two buildings of two stories each at
the educational complex in April this year. One will serve as an
administration office and the other as an English language proficiency
center with eight classrooms. Meanwhile, construction is under way
for a 414-unit residential project for teachers and other non-teaching
personnel.
In line with its commitment to support the Department of Education’s
Adopt-a-School Program, Megaworld has agreed to provide college
scholarships and educational training grants to deserving students.
Megaworld supports the Jose Abad Santos
High School’s scholarship program
The new, modern educational complex
The interiors of the Cityplace model unit
2006 ANNUAL REPORT
rev.approved.indd 26-27
6/4/07 6:07:49 PM
OPERATIONS
Forbes Town Center
T
he five-hectare Forbes Town Center is located at the Global
City, hailed as the country’s newest business district.
Bordering the Manila Golf and Country Club, it is the only
project in the area that offers the longest stretch—almost half
a kilometer—of spectacular golf course views.
Two residential sections make up Forbes Town Center. The first
comprises the three Bellagio towers that provide front-row views of the
golf course. The second hosts the seven buildings of the Forbeswood
residences. The six towers of Forbeswood Heights encircle a 5,500square-meter central park studded with various play amenities, while
the new Forbeswood Parklane overlooks the Forbes Town Park and
Lagoon.
The Bonifacio Global City in Taguig
Only a handful of residential units remain at Bellagio I. Bellagio II,
topped off in May this year, is 92 percent sold. Bellagio III is 53
percent taken up.
Meanwhile, the first three towers of Forbeswood Heights—Agoho,
Bauhinia and Cambridge—are finished, with turnover almost done.
The remaining Dorchester, Evergreen and Florida towers are 88
percent complete.
The second tower of Forbeswood Parklane was launched in March
2006. To date, 75 percent of its executive studios to two-bedroom
homes have been snapped up by buyers.
A community attraction at Forbes Town Center is a high-end retail
strip called ForbesTown Road, inspired by Singapore’s Bugis Junction.
Currently, it is home to McDonald’s, UCC Coffee, Sakae Sushi and
Crepes & Cream.
The six towers of Forbeswood Heights enclose an impressive play area
Forbes Town Park and Lagoon
Bellagio 1
Bellagio 2
Forbes Town Center offers the
longest views of the Manila golf course
Bellagio 3
MEGAWORLD CORPORATION
rev.approved.indd 28-29
6/4/07 6:08:07 PM
OPERATIONS
UCC Coffee
McDonald’s
Crepes & Cream
MEGAWORLD CORPORATION
rev.approved.indd 30-31
Sakae Sushi
2006 ANNUAL REPORT
6/4/07 6:08:23 PM
Artist’s rendering of Greenbelt Chancellor’s
amenity area
Greenbelt Chancellor hosts Megaworld’s
first-ever pre-furnished homes
OPERATIONS
Makati CBD
W
ith six mega-developments simultaneously under way
in Metro Manila’s most strategic areas, Megaworld
continues to stake a claim on a prized urban location:
the Makati central business district.
Greenbelt Chancellor, located along Rada Street in Legaspi Village,
is the latest of Megaworld’s high-rise residential projects to rise in
the nerve center of Makati after Greenbelt Parkplace and Greenbelt
Radissons.
Launched in May 2007, Megaworld’s first-ever pre-furnished
residential project offers executive studios to three-bedroom suites
that come with a home entertainment system, air-conditioning,
modern kitchen and utility appliances and furnishings for the living
and/or dining areas and bedrooms.
Recreational amenities such as a lap pool, fitness center, spa and
landscaped gardens are provided at the seventh-level play deck. A
retail arcade is located at the ground level of the building.
While construction of the PhP 1-billion, 35-story Greenbelt Chancellor
is scheduled to begin by the fourth quarter of 2007, pre-selling of
its residential units has reached the 50 percent mark. The project is
scheduled for delivery by October 2010.
View of the Greenbelt leisure district
The interiors of a Chancellor home
MEGAWORLD CORPORATION
rev.approved.indd 32-33
6/4/07 6:08:38 PM
MEGAWORLD RECOGNIZES THAT HOUSING IS A VERY BASIC NEED.
OUR RESIDENTIAL PROJECTS OFFER FILIPINOS THE OPPORTUNITY TO
OWN THE HOME THEY’VE ALWAYS WANTED. THESE PROJECTS ALSO HELP
MEGAWORLD TO BETTER SERVE THE NEEDS OF A STRONG MID-INCOME
Committed to Fulfill
Home Ownership Dreams
HOUSING SEGMENT.
rev.approved.indd 34-35
6/4/07 6:08:46 PM
OPERATIONS
An OFW family
H
ardworking Filipinos go abroad today to establish a home
and build their children’s future. Megaworld helps OFW
families fulfill their dreams of owning homes by building
value-for-money condominium units in key locations
around Metro Manila.
Megaworld assures OFWs that their hard-earned money is put to good
use when they invest directly in real estate. By locating its residential
units in key areas, Megaworld gives children of OFWs access to
institutions of learning to meet their educational needs.
The strength and skills of overseas Filipinos are evidenced by their
contribution to the country’s economy. Remittances from OFWs hit an
all-time high of about US$12.8 billion by end-2006. Colliers Jardine
estimated that 25 percent of this amount or about US$ 3.2 billion was
invested directly in real estate.
Megaworld International officials ink an accord for a new
representative office in Hawaii
For the first two months of 2007, remittances of OFWs totaled US$ 2.2
billion, sustaining a double-digit growth rate of 22.6 percent from the
same period in 2006.
To directly assist OFWs in their investment decisions, Megaworld
established overseas sales offices in 40 locations in the US, Asia and
Europe. Owing to the positive response of the OFWs to Megaworld
offerings, the company intends to grow the number of sales offices by
half to reach 60 in the next five years.
The major sources of OFW remittances were the United States, Saudi
Arabia, Italy, Japan, Hong Kong, the United Kingdom, the United
Arab Emirates and Singapore. There are about eight million overseas
Filipinos, equivalent to about 10 percent of the Philippine population,
including three million who are permanent residents overseas.
Year
Levels
Growth Rate
2001
6,031,271
-0.32
2002
6,886,156
14.7
2003
7,578,458
14.17
2004
8,550,371
12.82
2005
10,689,005
25.01
2006
12,761,308
19.39
2007*
14,100,000
10.39
Remittances coursed through banks
*Projected
Source: Bangko Sentral ng Pilipinas
MEGAWORLD OFFERS OFW FAMILIES A RANGE OF PRODUCTS WELL
SUITED TO THEIR NEEDS; BUT MORE THAN THAT, THE PROPERTY
DEVELOPER ENVISIONS HOME OWNERSHIP AS A WAY FOR OFWs
TO CHANNEL EARNINGS TO LONG-TERM INVESTMENTS.
Introducing Megaworld’s projects to overseas clients
BY PROVIDING PROPERTIES THAT OFFER A LIVE-WORK-PLAY
LIFESTYLE AND HAVE THE POTENTIAL TO APPRECIATE IN VALUE
OVER THE LONG TERM, THE COMPANY OBLIGES OFW FAMILIES
TO SET ASIDE MONTHLY MORTGAGE FEES.
WITH THE OPPORTUNITY TO INVEST WHAT IS EARNED, OFW
FAMILIES ARE GRAVITATING TOWARD REAL ESTATE. IN 2006,
MEGAWORLD EARNED THE TRUST OF MORE OFWs, POSTING A
26 PERCENT INCREASE IN SALES FROM THE SECTOR. REVENUES
GENERATED FROM MEGAWORLD’S INTERNATIONAL MARKETING
EFFORTS ACCOUNT FOR 15 PERCENT OF THE COMPANY’S SALES.
OFWs
- REMITTANCES: 22% GROWTH RATE
- 10% GNP CONTRIBUTION
- 8 MILLION OVERSEAS FILIPINO WORKERS
- 2,600 DEPLOYED EVERYDAY
- 10% OF FILIPINO POPULATION
MEGAWORLD CORPORATION
rev.approved.indd 36-37
2006 ANNUAL REPORT
6/4/07 6:08:57 PM
THE RAPIDLY EXPANDING BUSINESS PROCESS OUTSOURCING (BPO) SECTOR,
ONE OF THE FASTEST-GROWING PROPERTY SUB-MARKETS TODAY, PLAYS
A MAJOR ROLE IN CREATING A ROBUST ECONOMIC AND INVESTMENT
ENVIRONMENT IN THE PHILIPPINES. CONFIDENT ABOUT THE SECTOR’S
GROWTH PROSPECTS, MEGAWORLD CORPORATION, THE LEADING BPO
OFFICE LANDLORD IN THE COUNTRY, IS AGGRESSIVELY EXPANDING ITS
PORTFOLIO OF BPO OFFICE SPACE TO MEET THE HUGE DEMAND OF BPO
Focused on
Business Process Outsourcing
(BPO)
COMPANIES FOR A 24X7 WORK ENVIRONMENT.
rev.approved.indd 38-39
6/4/07 6:09:05 PM
OPERATIONS
The Eastwood City CyberPark supports the
24x7 operations of various BPO companies
C
(Top to bottom)
Megaworld’s
fully operational
BPO office buildings
at Eastwood City
This sector did not even count as a factor during the property boom
a decade ago. Today, BPO not only generates a high level of
employment, investment and demand for office space but also creates
demand for mid-income housing through lease and purchase from the
BPO workforce.
ontact centers currently lead the BPO boom in the
Philippines. The country, ranking third behind India and
China and slightly ahead of Malaysia, generated revenues
of US$2.1 billion from the BPO sector in 2006. This sector
is projected to earn US$12.4 billion and employ 920,000 people by
the year 2010.
Megaworld pioneered BPO office development and is now the leading
office developer in the country. In addition, it is the largest BPO office
space landlord.
BPO services such as backroom office operations and shared financial
and accounting services, engineering design and software development
provide clients of BPO companies with savings of as much as 30 to 40
percent. The availability of English-speaking, technically capable and
service-oriented manpower makes the Philippines an ideal location
for firms engaged in BPO.
To support the requirements of BPO firms, Megaworld has built more
than 325,000 square meters of office space since 1996 and is looking
to build around 500,000 square meters of BPO office space over the
next five years.
CyberServices Revenue
(Estimates in US$m based on workforce forecast)
2004
820
Customer Contact
Growth
Back Office
120
Growth
Software Development
180
Growth
Medical Transcription
60
Growth
Animation
60
Growth
Engineering Design
17
Growth
Other Data Transcription
20
Growth
Legal Transcription
2
Growth
Digital Content
2
Growth
Total
1,300
Growth
2005
1,430
74%
180
50%
220
22%
80
33%
80
33%
26
53%
31
55%
3
50%
6
200%
2,100
62%
2006
2,290
60%
320
78%
270
23%
190
138%
130
63%
39
50%
43
39%
5
67%
11
83%
3,300
57%
2007
3,330
45%
580
81%
350
30%
350
84%
180
38%
68
74%
60
40%
8
60%
22
100%
4,900
48%
2008
4,050
22%
990
71%
460
31%
590
69%
260
44%
109
60%
85
42%
12
50%
45
105%
6,600
35%
2009
5,070
25%
1,680
70%
600
30%
1,000
69%
350
35%
164
50%
110
29%
17
42%
84
87%
9,100
38%
2010
5,670
12%
2,700
61%
740
23%
1,610
61%
450
29%
230
40%
143
30%
22
29%
168
100%
11,700
29%
Knowledge workers at the
Eastwood City CyberPark
• 380,000 UNIVERSITY GRADUATES YEARLY
- 70,000 IT/COMPUTER SCIENCE & ENGINEERING
- 100,000 COMMERCE/BUSINESS-RELATED
• 94% LITERACY RATE, 70% ENGLISH FLUENCY
• HIGHLY TRAINABLE LABOR WITH STRONG
CUSTOMER ORIENTATION
• DOUBLING OF INVESTMENTS IN 2006
• HEAVILY SKEWED TO US MARKET
• PROSPECTIVE MARKETS: EUROPE, JAPAN
AUTRALIA AND KOREA
MEGAWORLD CORPORATION
rev.approved.indd 40-41
6/4/07 6:09:18 PM
MEGAWORLD IS MORE THAN JUST A COMPANY THAT IMPROVES ON THE
WAY THINGS ARE DONE IN THE PROPERTY SECTOR. IT HAS DISTINGUISHED
ITSELF AS AN INNOVATOR AND HAS ALWAYS BEEN AHEAD OF THE
COMPETITION IN SEIZING AND CREATING NEW MARKET TRENDS.
rev.approved.indd 42-43
Leadership through
Innovation
6/4/07 6:09:27 PM
OPERATIONS
Megaworld and Security Bank officials
at the contract signing ceremonies for HOMELITE
Mortgage Financing:
Lower Payments, Longer Tenor
Attract more Buyers
O
ne of the most noteworthy developments in 2006 was
the aggressive push made by banks to provide home
mortgage financing. Numerous banks launched new
home mortgage schemes last year.
Megaworld’s HOMELITE is a mortgaging scheme that makes owning
a home easier and more economical. This is part of Megaworld’s
efforts to provide more people with the benefits of a complete, wellconnected lifestyle through township communities.
The 20-tower Manhattan Garden City
IN 2007, MEGAWORLD WILL
ALSO OFFER HOMELITE
HOMELITE, an offering brought about by the company’s tie-up with
Security Bank, is exclusively offered initially to buyers of Manhattan
Garden City.
FINANCING FOR BUYERS OF ALL
With an extended tenor of up to 25 years and the lowest fixed rates in
the market, HOMELITE benefits most first-time buyers as well as those
who want to invest in property.
DEVELOPMENTS, A MOVE
THE COMPANY’S RESIDENTIAL
EXPECTED TO INCREASE SALES.
In 2007, Megaworld will also offer HOMELITE financing
for buyers of all the company’s residential developments, a
move expected to increase sales.
Prospective clients at the
Manhattan Garden
City showroom
MEGAWORLD CORPORATION
rev.approved.indd 44-45
6/4/07 6:09:48 PM
Greenbelt Radissons
The Eastwood City skyline
OPERATIONS
Megaworld: Resilient and Bullish
in Economic Growth
M
egaworld was formed in 1989. It entered the real estate
market in conditions similar to those that obtained in
2006. At that time, the economy was starting to move in
the right direction, and we intended to fill the need for
better living conditions through the development of residential units.
Then a small player with little resources, Megaworld used its
entrepreneurial spirit to survive in an industry dominated by “giants.”
This spirit enabled Megaworld to create innovative products and
services that met the needs of Filipinos.
Megaworld’s residential projects tower over
the Forbes Town Center
Paseo Parkview
Greenbelt Parkplace
From a small player, Megaworld became a key player and a leader
in the market. To date, we have launched more than 200 residential
buildings, office towers, commercial centers and a hotel, with a total
floor area of more than two million square meters.
We expect to have another banner year in 2007 as we target to grow
our reservation sales by 50 percent to PhP 15 billion or about 6,000
residential units.
Megaworld is relentless in its pursuit of more opportunities in this
period of unprecedented growth.
Market saturation is not a likely scenario in the medium term as the
industry needs to cope with ever-increasing demand. The population
is growing at an increasing rate, and the need for housing has reached
critical proportions. The economy is also showing signs of sustained
improvement.
Even as Megaworld is bullish in these times of growth, it has proven
resilient during times of crisis, continuing to invest even when
other real estate players scaled down their expansion plans. It is
the entrepreneurial Megaworld spirit that makes the best of both
challenges and opportunities.
2006 ANNUAL REPORT
rev.approved.indd 46-47
6/4/07 6:10:05 PM
VISION
THE MEGAWORLD FOUNDATION AIMS TO PROVIDE SOCIETY WITH A NEW GENERATION OF PROFESSIONALS WHOSE DRIVE FOR
EXCELLENT PERFORMANCE EQUALS THEIR DEDICATION FOR COMMUNITY SERVICE. THEIR KNOWLEDGE AND SKILLS APPLIED TO THE
FIELDS OF ENGINEERING, ARCHITECTURE, INTERIOR DESIGN AND INFORMATION TECHNOLOGY, COMBINED WITH THE URGENCY TO
BE OF SERVICE TO SOCIETY, WILL GREATLY CONTRIBUTE TO THE COUNTRY’S INDUSTRIAL ADVANCEMENT.
THE FOUNDATION ALSO STRIVES TO CONTRIBUTE TO THE COUNTRY’S DEVELOPMENT BY SUPPORTING ORGANIZATIONS THAT
PROMOTE ALLEVIATION OF POVERTY, PEOPLE EMPOWERMENT, SOCIAL JUSTICE, GOOD GOVERNANCE AND ENVIRONMENTAL
CONSERVATION.
MISSION
THE MEGAWORLD FOUNDATION SPONSORS ACTIVITIES THAT WILL PROMOTE THE PRACTICE OF ARCHITECTURE, ENGINEERING,
INTERIOR DESIGN AND INFORMATION TECHNOLOGY INITIALLY AND OTHER RELATED FIELDS EVENTUALLY THROUGH STRATEGIC
ASSISTANCE AND INCENTIVES TO DESERVING HIGH SCHOOL GRADUATES AND COLLEGE STUDENTS INTERESTED TO TAKE UP THE
ABOVE COURSES.
Corporate Social
Responsibility
GOALS AND OBJECTIVES
THE MEGAWORLD FOUNDATION AIMS TO MAKE ITS SCHOLARSHIP SERVICES VISIBLE AND AVAILABLE TO EMPLOYEES OF
MEGAWORLD AND ITS SUBSIDIARIES. IT ALSO STRIVES TO EXPAND ITS SCHOLARSHIP PROGRAM TO SCHOOLS THROUGHOUT THE
REGION. AS AN ORGANIZATION, IT ASPIRES TO SERVE AS A MEDIUM FOR EMPLOYEES TO BE OF SERVICE TO SOCIETY THROUGH THE
USE OF THEIR SKILLS AND CAPABILITIES.
rev.approved.indd 48-49
6/4/07 6:10:14 PM
OPERATIONS
Giving Back to Society
M
egaworld is as concerned with building society as it
is with building innovative real estate property. At
Megaworld, we aim to match the pace of growth of
our revenues and net income with the contributions we
make in building the country’s social capital.
One way that Megaworld gives back to society is through the
Megaworld Foundation, which aims to provide Philippine society
with a new generation of professionals who strive for excellent
performance and are dedicated to serve their community.
The Foundation also aims to contribute to the country’s development
by supporting organizations that promote alleviation of poverty, people
empowerment, social justice, good governance and environment
conservation.
In addition to the Foundation’s activities, Megaworld’s most tangible
contribution to Philippine society is providing infrastructure to support
key sectors that fuel Philippine economic growth.
By providing Filipinos with homes and an opportunity to responsibly
invest their money in quality real estate property, Megaworld is
enhancing the Filipino’s values of preparing for the future and
cultivating the discipline of property and investment management.
Through its development of office space for growth industries such as
BPOs, Megaworld is opening an array of economic and employment
opportunities for the world-class Filipino worker.
THE MEGAWORLD FOUNDATION WAS ESTABLISHED IN 1999
AS MEGAWORLD CORPORATION’S SOCIO-CIVIC ARM. IT
INITIALLY OFFERED SCHOLARSHIP GRANTS TO ENGINEERING
AND ARCHITECTURE STUDENTS OF THE UNIVERSITY OF THE
PHILIPPINES AND MAPUA INSTITUTE OF TECHNOLOGY, WHERE
IT SPONSORED 70 COLLEGE SCHOLARS FROM FIRST TO FOURTH
YEAR.
IN 2000, THE FOUNDATION INCLUDED THE FOLLOWING
SCHOOLS IN ITS SCHOLARSHIP PROGRAM: UNIVERSITY OF STO.
TOMAS, UNIVERSITY OF THE EAST, FAR EASTERN UNIVERSITY,
PAMANTASAN NG LUNGSOD NG MAYNILA AND THE
POLYTECHNIC UNIVERSITY OF THE PHILIPPINES.
Education Secretary Jesli Lapus and Megaworld Chair and President
Andrew Tan (5th and 6th from right) shake hands after Megaworld
becomes an official partner of DepEd’s Adopt - a - School campaign
SINCE 1999, THE FOUNDATION HAS ALSO GIVEN FINANCIAL
ASSISTANCE AND SUPPORT TO DIFFERENT ORGANIZATIONS
THAT AIM TO PROMOTE SOCIAL JUSTICE AND IMPROVE THE
LIVES OF THE FILIPINOS.
Gawad Kalinga
IN 2005, THE MEGAWORLD FOUNDATION MADE THE
LEADERSHIP GRANTS A PART OF ITS SCHOLARSHIP PROGRAM
AS ITS WAY OF SUPPORTING THE COUNTRY’S FUTURE LEADERS.
THE LEADERSHIP GRANTS ARE GIVEN TO STUDENTS WHO EXCEL
IN BOTH ACADEMIC AND EXTRA-CURRICULAR ACTIVITIES.
Maria Lena Buhay Memorial Foundation
MEGAWORLD FOUNDATION’S SPONSORSHIPS/ DONATIONS FOR 2006
MEGAWORLD FOUNDATION SCHOLARSHIP GRANT
Total Number of Scholars for S.Y. 2006-2007
Leadership Scholars: 16
Megaworld Scholars: 91
Overall Total: 107
Supported Schools and Universities:
•
•
•
•
•
•
•
•
•
•
•
•
•
University of the Philippines-Diliman
Ateneo de Manila University
Adamson University
Far Eastern University
Lyceum of the Philippines
Mapua Institute of Technology
Pamantasan ng Lungsod ng Maynila
Polytechnic University of the Philippines
University of the East
University of Santo Tomas
Technological Institute of the Philippines
Technological University of the Philippines
Elizabeth Seton School
March
• ACPAPP Foundation, Inc.
• Filaid Foundation, Inc.
• Virlanie Foundation, Inc.
April
• The Catholic Mass Media Awards
May
• The Philippine National Red Cross
• PGH Medical Foundation, Inc.
June
• Gawad Kalinga
July
• Philippine Business for Social Progress
August
• The One ALGON Place Foundation, Inc.
• Children’s Hour Philippines, Inc.
• Alessandra P. Araullo
September
• St. Odilia Eye Foundation
October
• Maria Lena Buhay Memorial Foundation, Inc.
• Assisted in Gawad Kalinga’s Global Expo 2006: “The Power of We”
November
• Children’s Joy Foundation, Inc.
December
• Bicol Learning Development Center Foundation, Inc.
• Philippine Coast Guard Auxiliary 105th Squadron
Philippine Business for
Social Progress
Philippine General Hospital
MEGAWORLD FOUNDATION’S SPONSORSHIPS FOR 2007
January
• Partnered with Department of Education’s Adopt-a-School Program
• Jose Abad Santos High School English Month
• Poster-making Contest at Raja Soliman High School
MEGAWORLD CORPORATION
rev.approved.indd 50-51
Children’s Hour
6/4/07 6:10:29 PM
STATEMENT OF MANAGEMENT’S RESPONSIBILITY FOR THE FINANCIAL STATEMENTS
REPORT OF INDEPENDENT AUDITORS
CONSOLIDATED BALANCE SHEETS
CONSOLIDATED INCOME STATEMENTS
CONSOLIDATED STATEMENTS OF CHANGES IN EQUITY
Financial
Statements
CONSOLIDATED CASH FLOW STATEMENTS
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
rev.approved.indd 52-53
6/4/07 6:10:37 PM