BOULEVARD Holdings, Inc. (BHI) said the company and its resort properties in Boracay and Puerto Galera will continue to be under a “no bank debt stance,” while it will apply a buy-and-hold strategy for its Cavite properties.
On Monday, the company published a lockdown and typhoon damage report addressed to shareholders covering how it is coping with the “hard economic times, the long lockdown for tourism, and during this typhoon season.”
“We maintain both resort properties and BHI itself under a no bank debt stance, which would have been a great risk to our assets with tourism locked down for almost [one and a half] years,” BHI Chairman and Chief Executive Officer Jose Marcel E. Panlilio said.
Its resorts are said to have “mere current suppliers debt” and updated real property and business taxes.
The company’s 1.4-hectare Fridays Boracay resort property got damaged after the onslaught of Typhoon Fabian, which lasted from July 16 to July 24. The restaurant front was damaged, BHI said.
“Our in-house security guards partially rectified the damaged tiles on Aug. 17… caused by subsequent high tides from the storms,” Mr. Panlilio said.
BHI said it assigned a contractor to professionally repair the damage after the lockdown, with estimated costs from at least P100,000 to P400,000.
Meanwhile, the company said it continues to advance cash for its Fridays Puerto Galera, Inc.’s weekly costs worth P120,000. Employees are paid 30% their compensatory rate.
“They are ready to take in guests from Metro Manila once the lockdown ends,” the company said. “Breakeven sales during operation of this hotel are P1.7 million, adding working capital and full pay.”
The company said it is hoping to make sure both resorts are ready to welcome guests once international tourism reopens.
Meanwhile, for its land bank in Ternate, Cavite, BHI said it is adopting a buy-and-hold strategy while looking for resort partners “because prices have been going up with thousands passing through daily to Nasugbu, Batangas.”
In March, BHI paid over P39 million to the Cavite province to update its real property taxes. The company said it is “surely ready for any growth opportunity” for the segment.
On Monday, shares of BHI at the stock market went up by 3.92% or P0.004 to close at P0.106 apiece. — Keren Concepcion G. Valmonte