RFM benefits from El Nino

RFM benefits from El Nino

MANILA (AFP): Philippine food giant, RFM Corp. expects to
enjoy a 25-percent hike in net profits next year despite the
continuing economic slowdown and will even benefit from one of
its contributing factors, the El Nino phenomenon.

RFM said in a statement that its net profits in 1998 are
targeted to hit one billion pesos (US$28.5 million) while its net
profits in 1997 are estimated to go as high as 800 million pesos,
up from 503 million

The government has been forced to scale down economic
projections for 1997 and 1998 due to the Asian financial crisis
that broke out in July and the El Nino atmospheric phenomenon
which has caused a prolonged dry spell expected to last till May.

"We are confident that 1998 will be a good year for food and
beverage," the company statement said, noting that this sector
had shown itself more resilient during past crises periods.

The extended dry spell brought about by El Nino is also
expected to boost consumption of its softdrinks, ice creams and
juices, the company added.