Expiration of tax holiday cuts MPTC's net income

The expiration of its tax holiday dented the first half net income of Metro Pacific Tollways Corp., which operates the North Luzon Expressway and Subic-Clark-Tarlac Expressway. In a statement to the Philippine Stock Exchange on Thursday, MPTC said its core earnings slipped four percent to P752 million. "The tax holiday period has expired for the toll operations in December 2010...This was partly offset by higher toll revenues reported by the Manila North Tollways Corp. and the higher profit contribution of Tollways Management Corp.," MPTC said. Reported net income attributable to parent also dipped four percent to P561 million. "Through traffic volume could be lower than expected given the sharper increases in fuel prices and MNTC's income tax holiday already expired, MPTC still expects a strong financial performance this year with the increase in toll rates and a modest traffic volume growth, " said Ramoncito Fernandez, MPTC president and chief executive officer. -- CMA/OMG, GMA News