International Container Terminal Services, Inc. (ICTSI) will be appropriating US$73 million of its retained earnings for use as additional working capital in its domestic and foreign expansion projects in 2015.
In a disclosure to the Philippine Stock Exchange, ICTSI also said that its Board on December 29 approved the conversion of the port operator’s deposit for future stock subscriptions in its subsidiaries into equity and advances.
These subsidiaries include Abbotsford Holdings, Inc. (P450.94 million); IW Cargo Handlers, Inc. ($1.991 million); ICTSI Subic, Inc. ($837,587); ICTSI Warehousing, Inc. (P730.837 million); and Subic Bay International Terminal Corp. or SBITC ($768,419).
Earlier, ICTSI said it had allocated $35 million (P1.6 billion) for the expansion of its flagship port, Manila International Container Terminal (MICT), to immediately address growing volumes at the Port of Manila. Projects include the development of Yard 7 into a full rubber-tired gantry (RTG) facility, with a completion date of 2015.
Complementing the new yard is the development of a 21-hectare inland container depot (ICD) in Laguna with an earmarked funding of $30 million (P1.4 billion). Earlier, Christian Gonzalez, ICTSI Vice President and Asia Pacific Region Head, said the first phase of the ICD is set to open in February 2015.
ICTSI has also ordered six new RTGs for deployment at either MICT or ICTSI’s Subic operations as demand dictates.
Meanwhile, SBITC general manager Roberto Locsin earlier said they are investing in equipment to keep pace with volume growth at its New Container Terminals (NCT) 1 and 2 in Subic Bay port.
By end-November last year, Locsin said a total of three additional reach stackers will join three existing ones and three empty handlers.
Also for delivery are supporting chassis, forklifts, and other equipment. In addition, new terminal tractors are arriving, bringing the total to 16 by January 2015.
ICTSI has a portfolio of 29 container terminal operations in 21 countries across six continents.
