Threatened freeze on Philippine ventures
Hutchison Whampoa chairman Li Ka-shing yesterday threatened to make no further investments in the Philippines if the company loses out in its attempt to develop and operate the Subic Bay container terminal.
The strongly worded statement came after Hutchison Ports Philippines - a unit of Hutchison Whampoa - filed a suit against the Philippine government to stop the Subic Bay Metropolitan Authority from seeking new bids for the container terminal project.
'It is a very unfair decision,' Mr Li said at a press conference to announce the interim results of his two flagship companies - Hutchison and Cheung Kong (Holdings).
'If we lose the legal suit, we will never re-tender the port project.' 'We will not invest further in the country for a long time,' he said.
The civil suit filed by Hutchison arose after President Fidel Ramos in early January rescinded a contract awarding a 25-year lease to Hutchison a year ago to build and operate a 160,000-hectare port facility.
Last August, the Subic Bay Metropolitan Authority declared the Hutchison-led venture the winning bidder for the Subic port project.
But the authority was forced to re-evaluate the tender after President Ramos reinstated the bid late last year.
But the authority again chose Hutchison after the re-evaluation.
Mr Ramos again stepped in the fray in January this year, which led to Hutchison filing the suit.
The case continues.
