Frequently Asked Questions

On the Company

1. What is Aboitiz Equity Ventures?

   Aboitiz Equity Ventures (AEV) is the publicly listed holding and investment management company of the Aboitiz Group.

2. When did AEV go public?

   AEV’s common shares were listed on the Philippine Stock Exchange in 1994.

3. What is AEV's mission?

   AEV’s mission is “To create long-term value for all its stakeholders.”

4. What are AEV’s core businesses?

   AEV has core investments in power, banking, food and transport.

5. : What are its subsidiaries?

   AEV’s investments in Power Generation include hydroelectric and oil-fired plants located in Luzon, Visayas and Mindanao. In Power Distribution, the company has investments in a number of utilities located in different parts of the Philippines, including the second and third largest in the country. All these investments are in Aboitiz Power Corporation (AP), a publicly listed subsidiary of AEV. For further information on AP, please check ,www.aboitizpower.com. In Banking, AEV is the largest shareholder in Union Bank of the Philippines, a publicly listed universal bank recognized as among Asia’s best companies in banking and finance. It also owns City Savings Bank, a leading thrift bank based in the Visayas. In Food, Pilmico Foods Corporation is one of the largest flourmill companies in the Philippines. It is one of the top 3 players in the flour industry and the leader in operating efficiency. The company, through its wholly owned subsidiary Fil-Am Foods, also operates a feed milling and swine growing operation. In Transport, the Aboitiz Transport System, another publicly listed company, is the largest, most progressive and efficient air, land and sea transport and logistics company in the Philippines. It has a joint venture with the Jebsen Group of Norway that is into international ship owning/chartering, crewing and ship management. Aboitiz Group Location of Operations

6. When does the company hold its regular annual Stockholders’ Meeting?

   AEV holds its regular stockholders’ meeting on the third Monday of May of every year. A stockholders’ briefing is also held in Manila annually. The venue and final schedule of these meetings are set in the first quarter of every year.

7. Who is AEV’s independent auditor?

   AEV’s independent auditor is Sycip Gorres Velayo & Co. Their office is located at 6760 Ayala Avenue, Makati City, Philippines.

8. Where is AEV’s common stock traded and what is its trading symbol?

   AEV’s shares of common stock are listed and traded in the Philippine Stock Exchange (PSE) under the trading symbol AEV.

9. How can I receive regular information about the company?

   To receive regular updates, please >> click here

   On dividend Payments

10. What is AEV’s dividend policy?

    AEV’s cash dividend policy is to payout approximately one-third of its consolidated net income from the preceding fiscal year.

11. How much dividends have been declared by AEV? When did AEV pay these dividends?
12. How can I find out the status of dividend payments on my shareholdings?

    A stockholder may inquire about the status of the dividend payments on his/her shareholdings by sending AEV’s stock transfer agent a duly signed written request. For a stockholder who maintains an account with his/her stockbroker (i.e. scriptless or street position), he/she may also inquire directly to his/her stockbroker.

13. Why is it that I have not received any dividends and other correspondences for quite some time now?

    It is most likely that non-receipt of dividends and other correspondences are tagged RTS (Return to Sender) and are currently under custody of the AEV’s stock transfer agent. The most common reason for the RTS is the stockholder’s movement to a new address. To update his/her mailing address, a stockholder must inform the stock transfer agent to reflect his/her new address in the official stockholders’ record. In case this has already been done, it is recommended that the stock transfer agent be contacted directly by the stockholder to inquire on other possible reasons.

14. How can I replace my lost dividend check?

    The following requirements should be submitted to the stock transfer agent. Submission of an affidavit of loss Presentation of two (2) valid IDs Payment of processing fee for the Stop Payment Order for the lost check Replacement of lost dividend checks will take place within the same day the requirements are submitted to the stock transfer agent.

15. How can I replace a stale-dated dividend check?

    The following requirements should be submitted to the stock transfer agent. Presentation of the stale-dated checks Presentation of two (2) valid IDs Payment of check replacement fee

    On Taxation

16. What is the applicable tax rate for dividends?

    For an individual shareholder who is either a Filipino citizen or alien resident of the Philippines, cash and property dividends received are subject to a final withholding tax rate of 10%. For a non-resident alien individual engaged in trade or business in the Philippines, cash and property dividends received are subject to a 20% tax on the gross amount. For a non-resident alien individual not engaged in trade or business in the Philippines, cash and property dividends are subject to a 25% tax on the gross amount. This, however, is subject to the applicable preferential tax rates under tax treaties executed between the Philippines and the country of residence or domicile of such non-resident foreign individual. Cash and property dividends received by another domestic corporation or by a resident foreign corporation are not subject to tax while those received by non-resident foreign corporations are subject to tax at the rate of 35%. This rate, however, may be reduced to 15% if the country of domicile of the non-resident foreign corporation allows a credit equivalent to 20% for taxes deemed to have been paid in the Philippines. The foregoing (a) is based on laws in force as of the date of posting of this information (b) is subject to changes in law occurring after such date (c) does not purport to be a comprehensive description of all of the tax considerations that may be relevant to a decision to invest in the shares of the company and (d) does not purport to deal with the tax consequences applicable to all categories of investors, some of which may be subject to special rates. Investors are advised to consult their own tax advisers concerning the tax consequences of their investment in the companyÕs shares

17. If I sell my shares, what are the applicable taxes on the proceeds?

    If the sale is made through the PSE, a resident or non-resident shareholder is subject to a stock transaction tax at the rate of 0.5% of the gross selling price, unless an applicable tax law or treaty exempts such sale from said tax. This tax is required to be collected by the selling stockbroker on behalf of its client. If the sale is made outside the PSE, the resident or non-resident shareholder is subject to a capital gains tax. The applicable tax rates are as follows: 5% on gains not exceeding P100,000 and 10% on gains over P100,000. These tax rates may not be applicable if a treaty exists, which exempts such gains from tax or provides for preferential rates. The transfer of shares of stock is subject to a documentary stamp tax of P0.75 for each P200 par value or a fractional part thereof of the share of stock transferred. The foregoing (a) is based on laws in force as of the date of posting of this information (b) is subject to changes in law occurring after such date (c) does not purport to be a comprehensive description of all of the tax considerations that may be relevant to a decision to invest in the shares of the company and (d) does not purport to deal with the tax consequences applicable to all categories of investors, some of which may be subject to special rates. Investors are advised to consult their own tax advisers concerning the tax consequences of their investment in the companyÕs shares

18. If the share of stock was transferred from a deceased stockholder, what is the applicable tax on the transfer?

    The transfer of shares of stock upon the death of an individual shareholder to his heirs by way of succession, whether such shareholder is a citizen of the Philippines or an alien, regardless of residence, is subject to an estate tax at progressive rates, ranging from 5% to 20%, if the net estate is over P200,000. Estate tax, however, shall not be collected in respect of intangible personal property, such as shares of stock: (a) if the decedent at the time of his death was a citizen and resident of a foreign country which at the time of his death did not impose a transfer tax of any character, in respect of intangible personal property of citizens of the Philippines not residing in that foreign country, or (b) if the laws of the foreign country of which the decedent was a citizen and resident at the time of his death allowed a similar exemption from transfer or death taxes of every character or description in respect of intangible personal property owned by citizens of the Philippines not residing in that foreign country The foregoing (a) is based on laws in force as of the date of posting of this information (b) is subject to changes in law occurring after such date (c) does not purport to be a comprehensive description of all of the tax considerations that may be relevant to a decision to invest in the shares of the company and (d) does not purport to deal with the tax consequences applicable to all categories of investors, some of which may be subject to special rates. Investors are advised to consult their own tax advisers concerning the tax consequences of their investment in the companyÕs shares

19. If the share of stock was transferred by way of gift or donation, what is the applicable tax on the transfer?

    Individual and corporate shareholders, whether or not citizens or residents of the Philippines, who give or donate shares of stock are liable to pay Philippine donors’ tax on such transfer of shares, ranging from 2% to 15% of the net gifts during the year exceeding P100,000. Donor’s tax, however, shall not be collected in respect of intangible personal property, such as shares of stock: (a) if the donor at the time of the donation was a citizen and resident of a foreign country which at the time of donation did not impose a transfer tax of any character, in respect of intangible personal property of citizens of the Philippines not residing in that foreign country, or (b) if the laws of the foreign country of which the donor was a citizen and resident at the time of donation allowed a similar exemption from transfer of every character or description in respect of intangible personal property owned by citizens of the Philippines not residing in that foreign country. The foregoing (a) is based on laws in force as of the date of posting of this information (b) is subject to changes in law occurring after such date (c) does not purport to be a comprehensive description of all of the tax considerations that may be relevant to a decision to invest in the shares of the company and (d) does not purport to deal with the tax consequences applicable to all categories of investors, some of which may be subject to special rates. Investors are advised to consult their own tax advisers concerning the tax consequences of their investment in the company’s shares.

    On the Shares of Stock

20. My name was erroneously printed on my stock certificates. How can this be corrected?

    The stockholder should surrender the certificates to the stock transfer agent, together with the following requirements: Affidavit of error in name Original stock certificates Presentation of two (2) valid Ids Subject to verification to be done by the stock transfer agent. Processing will take one working day provided that all documentary requirements are submitted.

21. How can lost certificates be replaced?

    The following requirements should be submitted to the stock transfer agent: Affidavit of loss, duly signed by the stockholder. Should indicate the complete details of the stock certificate, i.e. certificate number and number of shares. In case the stockholder did not keep a record, required details may be obtained through the stock transfer agent. Affidavit of publication and sample/cut-out of the published notice (publication of notice should be made once a week for three (3) consecutive weeks in a newspaper of general circulation) Lost certificates will be replaced one year after the last day of publication. For immediate replacement, the stockholder must secure a bond good for one year covering at least 200% of the current market value of the shares concerned. Proof of payment should also be attached.

22. How can I transfer shares of stock of a deceased stockholder?

    If the deceased died without a will, the following are the requirements that have to be submitted to the stock transfer agent. Certified true copy of the Deed of Extrajudicial Settlement duly annotated by the Registry of Deeds Affidavit of publication and sample/cut-out of the published notice Publication of notice should be made once a week for three (3) consecutive weeks in a newspaper of general circulation Certificates will be issued under the name of heirs two years from the last date of publication of the Extrajudicial partition For immediate replacement, a stockholder must secure a two-year heir’s bond covering at least 200% of the current market value of the shares concerned issued by a duly accredited bonding company. Proof of payment should also be attached. Certified true copy of the death certificate Proof of payment of the estate tax Proof of payment of documentary stamps BIR clearance or CAR (Certificate Authorizing Registration) Original stock certificates Specimen signature card and photocopy of two (2) valid IDs validated by the broker or a bank officer where the heir maintains a deposit account If the deceased died with a will, following are the requirements in the transfer of shares: The will has to be probated in court. The order from the court would then be the basis for the distribution of the properties to the heir. Letters of Testamentary (to determine who is the Executor/Administrator) Certified true copy of the death certificate Proof of payment of estate tax Proof of payment of documentary stamps BIR clearance or CAR (Certificate Authorizing Registration) Original stock certificates Specimen signature card and photocopy of two (2) valid IDs validated by the broker or a bank officer where the heir maintains a deposit account

23. How can I sell my shares?

    A stockholder who wishes to sell its shares can transact through any of the stockbrokerage houses, which are members of the Philippine Stock Exchange.

    On the Stock Transfer Agency

24. Who is AEV’s stock transfer agent?

    AEV’s stock transfer agent is Securities Transfer Services, Inc. (STSI), which acts as the principal record-keeping agent for the company’s common stock. For inquiries, please call or write: Mr. Antonio Galvez Securities Transfer Services, Inc. Ground Floor Benpres Building Exchange Road cor. Meralco Avenue 1600 Pasig City Tel No. (63-2) 490-0060 Fax No. (63-2) 631-7148 STSI keeps the record of every outstanding AEV stock certificate and the name of the person to whom it is registered. When a stock is transferred from one person or entity to another, the transfer agent transfers the ownership of the stock and records the transaction. The transfer agent also handles the payment of dividends that the company may declare from time to time.

25. How do I change the address on my account?

    You may submit your request in writing. Click the link for the Proforma letter of change of address form and specimen signature cards to be accomplished in two. Please send the following to: Mr. Antonio Galvez Securities Transfer Services, Inc. Ground Floor Benpres Building Exchange Road cor. Meralco Avenue 1600 Pasig City Tel No. (63-2) 490-0060 Fax No. (63-2) 631-7148 Please allow five (5) working days for processing.