HOTEL AND RESORT operator Boulevard Holdings, Inc. (BHI) on Wednesday said it has lost almost P40 million in foregone revenue since February, due to the disruption of its the operations on Boracay Island stemming from a land dispute.
However, the company assured shareholders that it is taking the necessary measures to recover part of its land which was reportedly “forcibly taken” by armed individuals associated with a former land owner. The dispute remains tied up in litigation.
“We still remain confident that in the end we shall recover the parcel… The end of October up through July next year is our high season for our resort business that we are trying to recover,” BHI Chairman, President and Chief Executive Officer Jose Marcel E. Panlilio wrote in a letter to shareholders.
He was referring to Friday’s Boracay Island Beach Resort in Aklan, a key revenue contributor which is owned and operated by subsidiary Friday’s Holdings, Inc.
“We only have less than 100 days until Christmas to unblock the barriers and set right the profit direction of BHI,” he added.
At present, the occupiers possess 60% of the property, alongside a “threatening presence of armed security guards, and construction of permanent improvements inside the premises.”
“So, now for Friday’s Boracay, just to recover what belongs to all of us at BHI, we must contend with Mrs. Mila Yap, Datu Yap and his armed men, the AMA College owner and his supposed lawyer Boy Reyno,” Mr. Panlilio wrote, referring to the defendants of the case.
The dispute has affected another ongoing resort project, Friday’s Puerto Galera, which is 65% completed.
“This is all at a standstill because of our disaster in Boracay,” Mr. Panlilio said, noting that its operator, Friday’s Puerto Galera, Inc., has P30 million in total payables, half to its main contractor and the rest to subcontractors and project manager.
“In all cases, we shall avoid getting into any bank debt,” Mr. Panlilio said.
BHI also operates Friday’s Puerto Azul resort in Ternate, Cavite.
In an Aug. 14 disclosure, BHI reported that its sales for the month of July dropped 54% year on year to P3.87 million.
BHI shares closed at 13 centavos on Wednesday, up P0.009 or 7.32%.
“We still remain confident that in the end we shall recover the parcel… The end of October up through July next year is our high season for our resort business that we are trying to recover,” BHI Chairman, President and Chief Executive Officer Jose Marcel E. Panlilio wrote in a letter to shareholders.
He was referring to Friday’s Boracay Island Beach Resort in Aklan, a key revenue contributor which is owned and operated by subsidiary Friday’s Holdings, Inc.
“We only have less than 100 days until Christmas to unblock the barriers and set right the profit direction of BHI,” he added.
At present, the occupiers possess 60% of the property, alongside a “threatening presence of armed security guards, and construction of permanent improvements inside the premises.”
“So, now for Friday’s Boracay, just to recover what belongs to all of us at BHI, we must contend with Mrs. Mila Yap, Datu Yap and his armed men, the AMA College owner and his supposed lawyer Boy Reyno,” Mr. Panlilio wrote, referring to the defendants of the case.
The dispute has affected another ongoing resort project, Friday’s Puerto Galera, which is 65% completed.
“This is all at a standstill because of our disaster in Boracay,” Mr. Panlilio said, noting that its operator, Friday’s Puerto Galera, Inc., has P30 million in total payables, half to its main contractor and the rest to subcontractors and project manager.
“In all cases, we shall avoid getting into any bank debt,” Mr. Panlilio said.
BHI also operates Friday’s Puerto Azul resort in Ternate, Cavite.
In an Aug. 14 disclosure, BHI reported that its sales for the month of July dropped 54% year on year to P3.87 million.
BHI shares closed at 13 centavos on Wednesday, up P0.009 or 7.32%.
source: Businessworld
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