Philippine Amusement and Gaming Corporation

PAGCOR turns over P7-B in cash dividends and remittances to national government

Wednesday | June 5, 2013 | 1:50 PM

AS PROOF of its unrelenting efforts to help the government in its nation-building initiatives, the Philippine Amusement and Gaming Corporation (PAGCOR) recently turned over a total of over P1.4 billion in cash dividends to the national coffers. The amount, plus the P5.7 billion making up the national government’s 50% share from PAGCOR’s total income from December 2012 to April 2013, brings the agency’s total remittances to the National Treasury to over P7 billion to date.

PAGCOR turns over P7-B in cash dividends and remittances to national government
President Benigno S. Aquino III with PAGCOR Chairman & CEO Cristino Naguiat, Jr. and President & COO Jorge Sarmiento during the turnover of the agency’s P1.4-billion dividends. The amount was released by PAGCOR during the “GOCC Dividends Day” at the Rizal Hall of the Malacañang Palace on June 3, 2013. PAGCOR also remitted P5.7 billion to the National Treasury representing the national government’s 50% share from the agency’s gross income from December 2012 to April 2013. (Photo by: Benhur Arcayan / Malacañang Photo Bureau)

The turnover took place during the “GOCC Dividends Day” at the Rizal Hall of Malacanang Palace on June 3, 2013. A total of 38 GOCCs remitted cash dividends and other forms of contributions to the National Treasury during the event.

President Benigno Aquino III personally received the turnover of the contributions from PAGCOR Chairman and CEO Cristino Naguiat, Jr. and the heads of the other GOCCs. The total remittances from the 38 agencies reached close to P28 billion which the President noted was significantly higher than the P19.2 billion collected in 2012.

PAGCOR was among the eight GOCCs included in the “Billionaire’s Club” which remitted billions of pesos in dividends to the government. The turnover was in compliance with Republic Act 7656 enjoining all government owned and controlled corporations (GOCCs) to “declare and remit at least 50 percent of their annual net earnings such as cash, stock or property dividends to the national government.”

Chairman Naguiat cited that the P1.4 billion cash dividends given by PAGCOR to the government represents 50 percent of its net income for 2012. It will be recalled that PAGCOR made history last year when it turned over cash dividends amounting to P1 billion to the national government for the first time in the state-owned gaming firm’s 26 years of existence.

In his keynote address during the event, President Aquino lauded PAGCOR’s contribution to government coffers and also highlighted the gaming firm’s role as a partner in pushing for the country’s progress.

“Mula nang inayos natin ang timpla sa kanilang pamamahala, hindi lang natin napigilan ang pagsingaw ng kanilang pondo dahil sa kapeng napakarami, aktibo na rin nating katuwang ang Pagcor sa pagpapatayo ng mga classrooms sa iba’t ibang sulok ng bansa,” Aquino said referring to PAGCOR’s nationwide school building project.

Under Naguiat’s leadership, PAGCOR was able to fund high-impact projects that are geared towards the improvement of the welfare of the Filipino youth. The agency has so far allocated P3-billion for building thousands of classrooms in public schools nationwide. It has also provided a P100 million funding for the “Pnoy Bayanihan” project which produces armchairs out of confiscated logs and donated to public schools. Another big ticket CSR project of the agency is the P20 million Kasibulan grassroots football program which hones the skills of thousands of young Pinoy football enthusiasts nationwide.

Naguiat’s management has been doing its best to surpass the agency’s annual income targets and accomplishments as part of its mandate to help raise much-needed revenues for the government. “We are happy to note that in less than three years of our administration, PAGCOR has already generated over P107 billion in gross revenues from July 2010 to April 2013. Of this amount, at least P54 billion was remitted as our contributions to nation-building,” he added.

For his part, Governance Commission for GOCCs (GCG) Chairman Secretary Cesar Villanueva praised the GOCCs for complying with the GOCC Governance Act.

“Though this week marks only the second year of the passage into law of the GOCC Governance Act, the Philippine government corporate sector has already taken great strides since its enactment through the GCG. The GOCC Dividends Day not only recognizes the accomplishments of the GOCCs, but also the determination of the Aquino Administration to pursue the much needed reform of the government corporate sector, to ensure that the GOCCs are financially viable and to symbolize that the National Government is its biggest shareholder,” Villanueva said.

Also present during the event were Senator Franklin Drilon, Finance Secretary Cesar Purisima, Treasurer of the Philippines Rosalia de Leon, DOTC Secretary Joseph Emilio Abaya and Budget Secretary Florencio Abad.

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