PLDT board OK’s incentive plan for management

PLDT, INC. on Wednesday said its board approved a “Transformation Incentive Plan” for key officials and executives, which would grant additional compensation if the telecommunications giant achieves its annual profit targets in the next three years.

In a disclosure to the stock exchange, PLDT said the bonus will be given in the form of its common shares of stock. Up to 860,000 “performance shares” will be awarded under the plan.

“( The plan) is intended to provide incentive compensation to key officers, executives and other eligible participants who are consistent performers and contributors to the achievement of the long-term transformation strategy and financial goals of the company,” PLDT said.

The company said the performance shares will granted in three phases, “on the condition that pre- determined consolidated core net income targets are successfully achieved over three annual vesting periods from Jan. 7, 2017 to Dec. 31, 2019.”

PLDT Chairman and CEO Manuel V. Pangilinan in August said the company is keeping its guidance for full year recurring core income at P21.5 billion.

For the first half of 2017, PLDT reported its recurring core income, which excludes gains from assets sales, EBITDA adjustments and related tax adjustments, inched up 1% to P11.9 billion.

PLDT is focusing on its digital pivot this year, as its traditional voice and text services continue to be under pressure.

As part of its strategy, PLDT is aiming to sustain the growth momentum of its Home and Enterprise businesses; stabilize its mobile phone business and return it to growth; and improve quality and coverage of networks.

PLDT allocated P46 billion in capital expenditure this year for its ongoing comprehensive network modernization and expansion program, which will see an increase in fixed line spending. It is planning to deploy technology to achieve fiber-like speeds over copper, and to service 4.4 million homes with fiber by end 2017. —