FOOTWEAR
Feng Tay unit stays shut
Footwear supplier Feng Tay Enterprises Co (豐泰企業) yesterday said that operations at its Vietnamese subsidiary, Vietnam Dona Standard Footwear Co, would remain suspended until Sunday as the unit complies with local disease prevention measures. On July 17, Nike Inc supplier Feng Tay had to temporarily suspend operations at four of its Vietnamese subsidiaries — Dona Victor Footwear Co, Dona Pacific (Vietnam) Co, Vietnam Dona Orient Co and Dona Victor Molds Manufacturing Co — for about one week due to COVID-19 lockdowns. On Thursday last week, the firm also had to suspend operations at Vietnam Dona Standard for one week due to a lockdown. Vietnam is grappling with its worst COVID-19 outbreak. As the virus situation remains serious, the firm said that it would continue to enhance prevention measures while operations are halted.
Apparel
Pou Chen payout approved
Pou Chen Corp (寶成工業), the world’s largest manufacturer of branded athletic and casual footwear, last week said that its shareholders approved a plan to distribute a cash dividend of NT$0.5 per share at an annual general meeting in Changhua County’s Fusing Township (福興). Based on last year’s earnings per share of NT$1.64, the cash dividend represents a payout ratio of 30.49 percent. Pou Chen chairman Chan Lu-min (詹陸銘) told shareholders that he remains confident about the outlook for the athletic and casual footwear industry, but that the COVID-19 pandemic continues to pose a risk for the company. Other risks include uneven recoveries around the world, changes in consumer behavior, the US government’s economic policies and volatility in global markets, Chan said. Pou Chen reported revenue of NT$249.95 billion (US$8.9 billion) last year, down 20.2 percent from a year earlier.
MANUFACTURING
Yuen Foong to pay NT$4
Yuen Foong Yu Consumer Products Co (永豐餘消費品實業), which manufactures and sells toilet paper, sheets for masks and other products, yesterday said that its shareholders approved a plan to distribute a cash dividend of NT$4 per share, which represents a payout ratio of 65.36 percent based on last year’s earnings per share of NT$6.12. The company, a unit of YFY Inc (永豐餘控股), posted revenue of NT$10.15 billion for last year, with net income of NT$1.49 billion. Company shares are traded on the Emerging Stock Board, but the firm plans to transfer to the main board after receiving permission from the Taiwan Stock Exchange last month.
BANKING
Lender boosts ‘baby benefit’
Taiwan Cooperative Bank (合作金庫銀行), the nation’s largest lender by number of branches, yesterday announced that it would enlarge the benefit package it offers to employees who have children, in a bid to encourage its workers to have bigger families. The bank said that the subsidy would increase from NT$60,000 to NT$100,000 for the first child, from NT$80,000 to NT$120,000 for the second and NT$100,000 to NT$150,000 for the third. Those who give birth to twins would receive between NT$300,000 and NT$220,000, it added. The bank said that it aims to provide a family-friendly work environment for employees, and to establish a comprehensive leave system, with paid prenatal, maternity, antenatal and paternity leave, as well as maternity and parental leave without pay.
Stephen Garrett, a 27-year-old graduate student, always thought he would study in China, but first the country’s restrictive COVID-19 policies made it nearly impossible and now he has other concerns. The cost is one deterrent, but Garrett is more worried about restrictions on academic freedom and the personal risk of being stranded in China. He is not alone. Only about 700 American students are studying at Chinese universities, down from a peak of nearly 25,000 a decade ago, while there are nearly 300,000 Chinese students at US schools. Some young Americans are discouraged from investing their time in China by what they see
MAJOR DROP: CEO Tim Cook, who is visiting Hanoi, pledged the firm was committed to Vietnam after its smartphone shipments declined 9.6% annually in the first quarter Apple Inc yesterday said it would increase spending on suppliers in Vietnam, a key production hub, as CEO Tim Cook arrived in the country for a two-day visit. The iPhone maker announced the news in a statement on its Web site, but gave no details of how much it would spend or where the money would go. Cook is expected to meet programmers, content creators and students during his visit, online newspaper VnExpress reported. The visit comes as US President Joe Biden’s administration seeks to ramp up Vietnam’s role in the global tech supply chain to reduce the US’ dependence on China. Images on
New apartments in Taiwan’s major cities are getting smaller, while old apartments are increasingly occupied by older people, many of whom live alone, government data showed. The phenomenon has to do with sharpening unaffordable property prices and an aging population, property brokers said. Apartments with one bedroom that are two years old or older have gained a noticeable presence in the nation’s six special municipalities as well as Hsinchu county and city in the past five years, Evertrust Rehouse Co (永慶房產集團) found, citing data from the government’s real-price transaction platform. In Taipei, apartments with one bedroom accounted for 19 percent of deals last
US CONSCULTANT: The US Department of Commerce’s Ursula Burns is a rarely seen US government consultant to be put forward to sit on the board, nominated as an independent director Taiwan Semiconductor Manufacturing Co (TSMC, 台積電), the world’s largest contract chipmaker, yesterday nominated 10 candidates for its new board of directors, including Ursula Burns from the US Department of Commerce. It is rare that TSMC has nominated a US government consultant to sit on its board. Burns was nominated as one of seven independent directors. She is vice chair of the department’s Advisory Council on Supply Chain Competitiveness. Burns is to stand for election at TSMC’s annual shareholders’ meeting on June 4 along with the rest of the candidates. TSMC chairman Mark Liu (劉德音) was not on the list after in December last