State-run Taiwan Cooperative Financial Holding Co (合庫金控) is to benefit from extra rental income after moving into a new headquarters complex in Taipei that allows it to lease extra office space.
The bank-focused conglomerate might gain more than NT$200 million (US$6.65 million) in rental income per year after securing tenants for a 12-floor office building on Changan E Road that is part of its complex, company spokesman David Hu (胡光華) said.
The complex consists of three new buildings with 32,500 ping (107,438m2) of floor space, Hu said.
The firm has occupied the first building’s 20 floors and set aside the second seven-story building as social and conference space, Hu said, adding that it is seeking tenants for the third building with help from brokers.
The third building could generate NT$130 million annually in rental income, while the firm’s former headquarters could contribute an extra NT$50 million, property officials said, adding that another building nearby would generate further rental earnings.
Net income totaled nearly NT$9 billion in the first seven months of the year and might rise 6 percent from the NT$14.1 billion recorded last year, analysts said.
Taiwan Cooperative chairman Jason Liao (廖燦昌) said he has asked all subsidiaries to assess the effects of the US Federal Reserve’s planned unwinding of its balance sheet and accounting rule changes next year.
Main subsidiary Taiwan Cooperative Bank (合庫銀行) holds NT$50 billion to NT$60 billion of foreign government bonds, which would drastically change in value once the Fed offloads its assets, Liao said, adding that the holdings report mild gains thus far.
The Fed’s balance sheet changes would create a big headache for domestic life insurance companies as they have heavy exposures to foreign government bonds, Liao said.
As for real-estate financing, Taiwan Cooperative Bank said that it welcomes urban renewal projects and would not introduce a cap on related lending.
State-owned Bank of Taiwan (臺灣銀行) in July set aside NT$100 billion for renewal financing, while Land Bank of Taiwan (土地銀行) said it would grant 100 percent loans for the redevelopment of dangerous buildings.
“Taiwan Cooperative Bank will not set limits, but renewal lending demand is sluggish due to lengthy review,” Liao said.
The company is waiting for regulatory approval to reconstruct an old office building, but has failed to gain headway for the past three years, he said.
Land and construction financing generates higher yields than mortgage operations.
In addition, the bank has actively increased lending to firms in the “five-plus-two” industries the government is promoting, with related loans making up 50 percent of new outstanding loans, Liao said.
BYPASSING CHINA TARIFFS: In the first five months of this year, Foxconn sent US$4.4bn of iPhones to the US from India, compared with US$3.7bn in the whole of last year Nearly all the iPhones exported by Foxconn Technology Group (富士康科技集團) from India went to the US between March and last month, customs data showed, far above last year’s average of 50 percent and a clear sign of Apple Inc’s efforts to bypass high US tariffs imposed on China. The numbers, being reported by Reuters for the first time, show that Apple has realigned its India exports to almost exclusively serve the US market, when previously the devices were more widely distributed to nations including the Netherlands and the Czech Republic. During March to last month, Foxconn, known as Hon Hai Precision Industry
Taiwan Semiconductor Manufacturing Co (TSMC, 台積電) and the University of Tokyo (UTokyo) yesterday announced the launch of the TSMC-UTokyo Lab to promote advanced semiconductor research, education and talent development. The lab is TSMC’s first laboratory collaboration with a university outside Taiwan, the company said in a statement. The lab would leverage “the extensive knowledge, experience, and creativity” of both institutions, the company said. It is located in the Asano Section of UTokyo’s Hongo, Tokyo, campus and would be managed by UTokyo faculty, guided by directors from UTokyo and TSMC, the company said. TSMC began working with UTokyo in 2019, resulting in 21 research projects,
Ashton Hall’s morning routine involves dunking his head in iced Saratoga Spring Water. For the company that sells the bottled water — Hall’s brand of choice for drinking, brushing his teeth and submerging himself — that is fantastic news. “We’re so thankful to this incredible fitness influencer called Ashton Hall,” Saratoga owner Primo Brands Corp’s CEO Robbert Rietbroek said on an earnings call after Hall’s morning routine video went viral. “He really helped put our brand on the map.” Primo Brands, which was not affiliated with Hall when he made his video, is among the increasing number of companies benefiting from influencer
Quanta Computer Inc (廣達) chairman Barry Lam (林百里) yesterday expressed a downbeat view about the prospects of humanoid robots, given high manufacturing costs and a lack of target customers. Despite rising demand and high expectations for humanoid robots, high research-and-development costs and uncertain profitability remain major concerns, Lam told reporters following the company’s annual shareholders’ meeting in Taoyuan. “Since it seems a bit unworthy to use such high-cost robots to do household chores, I believe robots designed for specific purposes would be more valuable and present a better business opportunity,” Lam said Instead of investing in humanoid robots, Quanta has opted to invest