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Sunday, August 3, 2025

San Miguel: The Beer That Built an Empire


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San Miguel Corporation's journey is a compelling saga of a local legend transforming into a global giant. This isn't just the story of a beer company; it's a narrative of bold vision, strategic reinvention, and a relentless drive to build a nation, one industry at a time.


The Beer That Started It All


The story begins in 1890, in the heart of Manila's Intramuros, where Don Enrique MarĂ­a Barretto founded the San Miguel Brewery. The first brewery in Southeast Asia, it was a testament to early ambition. San Miguel's flagship product, the Pale Pilsen, was an instant hit, winning awards and being exported as far as Guam and Hong Kong by 1895. The company's pioneering spirit was evident early on; by the 1920s, it was already bottling Coca-Cola and diversifying into ice cream, long before the term "diversification" was a business buzzword.


From Beer to a Bigger Vision


The company's growth eventually outgrew the confines of a simple brewery. In 1964, it officially became San Miguel Corporation, reflecting a burgeoning portfolio that couldn't be boxed into "beer." The company's expansion was rapid and strategic. It acquired Ginebra in 1987 and Pure Foods in 2001, along with launching Magnolia Chicken. This expansion covered Filipino tables from drinks to dinner, cementing its place in the daily lives of millions.


San Miguel's global ambition also took flight. By the 1980s, it was exporting beer to 24 countries and operating breweries in Hong Kong, Indonesia, and China. It became the first non-U.S. company licensed to bottle Coca-Cola in 1927, an early sign of its global aspirations. By 2001, San Miguel was already a significant contributor to the Philippine economy, accounting for up to 4.5% of the government's tax revenue.


Ramon Ang Takes the Wheel


The most dramatic turning point came in 2008 when Ramon Ang, who had joined as COO in 2002, unveiled a high-stakes plan to pivot the company into power, fuel, and infrastructure. This wasn't merely a scaling up of the business; it was a complete reinvention of the company's identity. Under his leadership, SMC's revenue skyrocketed from P168 billion in 2008 to over P1 trillion by 2018.


This new vision saw San Miguel acquire a controlling stake in Petron, upgrading its refineries and securing energy dominance on multiple fronts. The company also delved into the power sector, acquiring four major power facilities across Luzon and becoming one of the country's top electricity producers.


Building the Philippines, One Road at a Time


San Miguel's transformation from a beer company to a nation-builder is perhaps best exemplified by its foray into infrastructure. San Miguel Infrastructure is now behind major expressways like TPLEX and Skyway Stage 3. Its most ambitious project to date is the Bulacan Airport, a full-scale international airport worth P735.6 billion, funded entirely with zero government money.


The company's influence expanded beyond the Philippines with "The Petron Malaysia Play." In 2011, San Miguel bought ExxonMobil's downstream oil business in Malaysia for $610 million. This deal gave SMC a Malaysian refinery and over 500 fuel stations, significantly boosting Petron's regional footprint.


More Than a Beer Company


Today, San Miguel's legacy is no longer just in bottles; it's in roads, power grids, and airports. Over 60% of its revenue now comes from industries unrelated to beer or food. San Miguel is a rare breed: a Filipino company that builds the nation while simultaneously playing on a global field. Its story is a powerful testament to how a local legend, with the right vision and leadership, can become an unstoppable regional giant.

The Price of Corruption: Magalong Blows Whistle on Public Works Plunder


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BAGUIO CITY, Philippines –

In a chilling revelation that lays bare the rot within the nation’s infrastructure pipeline, Baguio City Mayor Benjamin Magalong has exposed a staggering truth: only 30% of public works budgets are left for actual implementation after politicians allegedly siphon off the rest through kickbacks.


With unflinching candor, the former police general turned reformist mayor did not mince words. Speaking before a crowd of concerned citizens, Magalong declared that 70% of public funds earmarked for development projects are being systematically bled dry by corruption—leaving only scraps to build the very roads, bridges, flood control systems, and schools meant to uplift Filipino lives.


“Ang natitira na lang sa mga proyekto ay trenta porsyento,” Magalong said grimly. “Ang pitumpung porsyento, napupunta sa kickback, sa kurapsyon.”


This is not just a statistic. It is a dagger to the heart of every taxpayer. It is the reason for crumbling roads, delayed flood-control systems, substandard classrooms, and unfinished healthcare centers. This is why Metro Manila drowns in floodwaters, why provincial bridges collapse with every typhoon, and why promises of progress remain hollow campaign slogans.


A Rot That Starts from the Top

Magalong’s bombshell adds to the growing chorus of reformists and whistleblowers who have, for decades, sounded the alarm about the systemic corruption embedded in the procurement and bidding processes of the government. What sets his claim apart, however, is the scale—a staggering 70% lost to greed and backroom deals.


The implications are devastating. A P100 million road project, for instance, might only receive P30 million worth of actual labor, materials, and machinery. The remaining P70 million? Disappearing into the pockets of elected officials, colluding contractors, and bureaucratic middlemen.


“This is why projects collapse a year after inauguration,” said an anonymous civil engineer familiar with DPWH projects. “What can you build with 30%? Everything becomes compromised—steel, concrete, manpower. The public pays the full price, but gets a third of what they deserve.”


Culture of Silence, Web of Complicity

Despite the public outcry over the years, corrupt infrastructure practices continue with near impunity. Why? Because the system is rigged to protect itself.


Magalong’s disclosure hits at the heart of this impunity: an entrenched network of politicians, contractors, auditors, and even some local government officials, bound not by public service but by mutual silence and shared profit. Whistleblowers are marginalized or silenced. Honest officials are either isolated or pushed out.


And the worst part? The public has grown desensitized. Apathy has replaced outrage, as scandals become headlines for a day—then fade into the oblivion of unprosecuted crimes.


Infrastructure or Illusion?

The Duterte and Marcos administrations both touted a “Build, Build, Build” and “Build Better More” program respectively—massive infrastructure drives meant to usher in a golden age of connectivity and economic progress.


But Magalong’s revelations now throw a dark shadow over these flagship initiatives. How many of these projects are, in reality, no more than cash cows cleverly disguised as progress?


Transparency advocates are now calling for full audits of ongoing infrastructure projects—especially those fast-tracked without public bidding under emergency powers.


A Nation at the Crossroads

Mayor Magalong has long been known for his principled stance—first as a top police officer who investigated the Mamasapano tragedy, then as a city leader who refused to back down against political pressure. With this latest exposĂ©, he places himself once again at the frontlines of the battle for accountability.


But will the nation listen?


The people must now confront a grim but necessary question: How much longer will we let corruption steal the roads we drive on, the schools our children study in, the hospitals that could save our lives?


Because when only 30% is left for the public, we are paying full price for broken dreams.


Accountability Must Begin Now

Magalong’s allegations demand more than shock—they demand action:


A Senate investigation into corruption in DPWH and other infrastructure-related agencies.


Public disclosure of project budgets, actual expenditures, and contractors involved.


Real protection and incentives for whistleblowers.


Independent audits by private engineering associations and civil society organizations.


Unless these are implemented, Magalong’s truth-telling will become yet another unheeded warning in a long history of governmental betrayal.


The Wazzup Pilipinas founder Ross Flores Del Rosario urges the media, watchdogs, and citizens alike to echo Magalong’s call and demand systemic change. “Transparency is no longer optional. If only 30% of our resources are truly reaching the people, then we are living not in a democracy—but in a looted republic.”


The time to reclaim the missing 70% is now. Or else, we may soon have nothing left at all.

Drowning in Neglect: Architect Felino “Jun” Palafox Exposes the Real Reasons Behind Metro Manila’s Never-Ending Flood Crisis


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Metro Manila doesn’t just flood—it drowns in a deluge of bad decisions.


Every monsoon season, residents of the National Capital Region brace for the inevitable. Streets transform into rivers, homes are swallowed by muddy water, and lives grind to a halt under the weight of calamity. The people have become numb to it, but one man refuses to accept it as normal: Architect Felino “Jun” Palafox Jr., the country’s foremost urban planner, who has been sounding the alarm for decades.


In a city drowning not just in water but in apathy, Palafox’s voice rises like a warning siren—one that, tragically, continues to fall on deaf ears.


The Blueprint of a Disaster

According to Palafox, the recurring floods in Metro Manila are not acts of God but the consequences of man’s ignorance, greed, and failure to plan. “This is not climate change alone—it’s character change, leadership failure, and a loss of foresight,” he says.


Let’s be clear: Metro Manila is not merely waterlogged. It is suffocating beneath the ruins of what should have been a modern, resilient metropolis. Palafox lays out the damning reasons why:


1. Natural Waterways Turned Into Concrete Graves

Once crisscrossed by clean rivers and esteros, Metro Manila has become a graveyard of natural drainage systems. Palafox reveals that countless rivers, creeks, and lakes have been illegally occupied by informal settlers, and, in some cases, by government projects and private developers that paid no respect to the natural flow of water.


"Nature has a memory," Palafox says. "It will always take back what is hers."


2. A City Built on Flawed Foundations

Metro Manila is not just overpopulated—it’s poorly planned. Palafox is blunt: “We built on floodplains, we ignored topography, we allowed buildings where water should’ve flowed.” He laments that many development decisions were made without consulting professional urban planners, or worse, went against their recommendations.


The result? A city designed for failure, where rain doesn’t just fall—it stays, stagnates, and strikes back.


3. Drainage Systems from a Bygone Era

Imagine using a cellphone from the 1970s in today’s hyper-connected world. That’s the kind of logic we’re applying to Metro Manila’s decades-old drainage systems. Designed for a much smaller population and milder rainfall, the city’s outdated pipes and canals are no match for the wrath of today’s supercharged monsoons.


Palafox warns: “You can’t solve 21st-century problems with 20th-century infrastructure.”


4. Concrete Over Green: The Death of Absorption

What used to be open parks, trees, and grassy lots are now parking spaces and condominiums. “We have paved over our future,” Palafox laments. Without green spaces to absorb rain, water has only one path—straight into our streets and homes.


Every lost tree, every razed field, is another nail in the coffin of Metro Manila’s flood resilience.


5. Reclamation Projects: Sinking for the Sake of Progress

Palafox has long opposed the aggressive push for reclamation along Manila Bay, calling them “an invitation to disaster.” These projects block tidal flows, disrupt marine ecosystems, and cause flooding to rebound inland with greater force.


“We are creating land for the rich by drowning the poor,” he says with chilling clarity.


6. Choked by Our Own Waste

Floods in Metro Manila are as much a garbage problem as they are a rainfall problem. Clogged esteros, canals, and drainage lines are overflowing not just with water, but with plastic, junk, and untreated waste.


Palafox does not mince words: “We’re drowning in our own garbage—and no one is being held accountable.”


7. Politics Over Planning

Perhaps the most frustrating truth Palafox lays bare is this: the problem is not a lack of plans. The blueprints exist. The solutions are known. But they are ignored, shelved, or replaced every time a new administration takes office.


"We suffer from a fatal discontinuity of governance,” he asserts. “Urban planning is not a political platform—it is a life-saving necessity."


8. Climate Change: The Final, Rising Wave

Though he emphasizes that most of the flooding is preventable, Palafox also acknowledges that climate change is magnifying everything. Stronger typhoons. Heavier rainfall. Unpredictable weather. Metro Manila, already crippled by bad planning, is now facing a monster that knows no boundaries.


“We built a fragile city. Now the planet is testing it,” Palafox warns.


From Warnings to Action: Will We Listen?

Palafox has presented dozens of master plans for Metro Manila and other vulnerable cities. He has proposed flood control parks, urban forests, elevated walkways, and disaster-resilient communities. But most of these plans gather dust in government drawers while floods continue to ravage the nation’s capital.


His final message? “We don’t lack master plans. We lack leadership, integrity, and the courage to do what’s right—even if it’s unpopular.”


As another rainy season looms and Metro Manila holds its breath, one thing remains painfully clear: we’re not just victims of floods—we’re victims of our own failure to prepare.


And if we continue to ignore the wisdom of people like Felino “Jun” Palafox, the next deluge may be the one we can’t recover from.

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