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r e p o r t
Steering the Right Course through Best Practices

OUR COVER
Steering the Right Course through Best Practices
From sun up till sun down, the Philippine Ports Authority (PPA) tirelessly contributes to the country’s
national progress and economic development through facilities and services borne out of its more than
three decades of expertise in the port industry.
PPA continually strives to employ and adapt the best practices in the industry through efficient and
round-the-clock services in its nationwide network of port facilities. Hence, the theme of the annual report,
Steering the Right Course through Best Practices, captures the various elements that lead to the desired
directions of excellence and good governance that PPA consciously undertakes.
With a ship’s steering wheel as graphic element, the cover of the annual report presents PPA’s continuing
resolve to employ widely-accepted and best practices through technology-backed systems and facilities.
The design’s primary hue, the color violet, represents stability and steadfastness as interpreted in color
psychology.
TABLE OF CONTENTS
1Vision and Mission • 2Message of the General Manager
6Shipping and Trade Performance • 12Port Services
18Physical Infrastructure Development & Maintenance
24Financial Performance • 28Sustainability, Environment & People
342010 PPA Performance at A Glance • 36Port Statistics
42Independent Auditor’s Report
44Financial Statements • 48Notes to Financial Statements
60Board of Directors • 62Executive Officers/Department Managers
64PDO/PMO Managers
The PPA 2010 Annual Report cover is printed on 9 lives, 55% Recycled Silk 300gsm. The usage of 9 lives, which is made of 55%
- 100% post consumer fiber, is a sustainable solution in illustrating environmental approach without compromising printing quality.

Port of Iligan
Port of Ormoc
Passenger Terminal under
PMO Pulupandan
Port of Cagayan de Oro
VISION
By 2030, customers doing business in our
ports shall experience full and sustained Productivity,
Efficiency, Comfort, Connectivity, Safety and Security.
MISSION
We commit to provide reliable and responsive services in our ports, sustain
development of our port communities and the environment, and be a model
corporate agency of the government.
CORPORATE VALUES
Creativity: Innovation, Adaptability.
Responsibility: Accountability, Taking and
Managing Risks.
Ethics: Integrity within Moral Bounds.
Sincerity: Commitment to Fulfill Mandate
Teamwork: Synergy of Working Together
1

2
MESSAGE OF THE GENERAL MANAGER
With benign indications in the economic environment
favoring this fiscal year, I am pleased to inform you that our
organization, the PPA turned in another strong performance
as it surpassed imposed targets and hurdled risks attendant
to its operations. PPA ended 2010 with gross revenues of
P8.295 billion, 16.36 percent higher than its 2009 earnings
and a net income of P1.491 billion, albeit 7.5 percent lower
than the previous year. The top three traditional sources
which account for 74.42 percent of total revenues derived by
PPA from port operations - fees being remitted by the ICTSI
(International Container Terminal Services, Inc.), wharfage
dues and share in arrastre/stevedoring income continued
to boost PPA’s coffers. Our total asset base or resources
showed steady expansion, ending the year at P95 billion and
is expected to breach the P100 billion mark in a year or two.
Your Management is pleased to report that the robust
economic expansion in 2010 mirrored the double-digit
growth in the volume of cargo, passenger and shipcalls
at the ports. Total cargo volume rose by 11.01 percent;
shipcalls by 10.04 percent; container volume in TEUs
by 12.12 percent; and passenger by 20.12 percent . The
growth in cargo volume in particular was fuelled by the
23.91 percent increase in foreign cargoes, more than
offsetting the 2.97 percent decrease in domestic cargo.
Our major gateways with the exception of Cagayan de

Oro, Nasipit, Pulupandan and Batangas, experienced
dramatic jump in their foreign cargoes with the most
contribution coming from Surigao, San Fernando, MICT,
South Harbor, Iloilo, Limay and Davao in that order. While
stiff competition from budget airline carriers persisted
and posed a threat, a significant jump in passenger
volume was realized in 2010. The marked increase in
passengers travelling by sea likewise reinforces the
contribution of our well-entrenched nationwide Ro-Ro
links in inter-island sea travel.
In 2010, PPA invested P 3.42 billion in 74 port projects
and completed 40 projects amounting to P1.74 billion
in various port districts. The commitment to sustain
investments in infrastructure facilities shall always be
in line with our mandate and the priority corporate goal
of boosting the capacity of our ports to handle increased
volume of cargo, passengers and ship calls.
With the numeric fundamentals pointing to a much
improved overall performance, our strategic thrusts
will remain tightly hinged on sustaining efficient port
operations and management of our ports and applying
best practices in all facets of our business operations and
processes and delivery of services to our stakeholders
and clientele.
For instance, we are on the road to being fully compliant
in one of our most widely employed operational processes
– VESSEL ENTRANCE AND CLEARANCE (VEC). We are
within reach of the final stages of securing our first
ISO 9001:2008 Certificate for the Facilitation of Vessels
Entrance and Clearance Processes at the pilot Port of
Batangas. Subsequently, we are targeting for replication
this ISO certification in our other key ports nationwide.
Getting the ISO-QMS certification on the vessel entrance
and clearance process at Batangas Port and our other
key ports nationwide affirms our commitment to apply
internationally accepted best practices in port operations.
We will also continuously find ways to raise the bar
of efficiency and quality management in our port
operations particularly on the areas of safety and security
of the passengers and cargoes that pass through the
major gateways. Most of our baseports are now equipped
or are in the process of being equipped with the ISPSmandated
security-related equipment such as baggage
x-ray machines, walk-thru metal detectors, CCTVs, etc.
On the other hand, we have included the mandatory
implementation of weighbridges to ensure that vehicles
will carry only their corresponding capacity load limits.
We will not limit our efforts on securing the safety
of cargoes. The welfare of the passengers, especially
women and children transiting through our seaports
is equally paramount. Towards this end and as part
of our corporate social responsibility, we are happy to
note that PPA now has seven (7) strategically-located
halfway houses or Bahay Silungan sa Daungan or BSDs
nationwide, namely, in Manila, Batangas, Iloilo, Matnog,
Surigao, Davao and Zamboanga which which we comanage
with our partner – Visayan Forum Foundation,
Inc. or VFFI , a non-government organization focused
on migrant workers and children’s welfare and victims
of human trafficking. Our BSD operation which we
conceptualized as early as 1998 through our Gender and
Development Program (GAD) at the seaports is cited as a
pioneer effort and a best practice on curbing Trafficking
in Persons (TIP) by several international groups, among
them the United States State Department.
We are also eyeing the implementation of a Passenger
Boarding Monitoring and Control System or simply
the E-Ticketing System in our high volume passenger
servicing ports. As a participating government agency,
PPA stands to benefit from the use of a web-configured
technology-based system that will facilitate data entry,
storage, retrieval and generation of reports of on-board
accurate passenger count that is within the optimum
carrying capacity of the vessel and security verification of
passengers and cargoes that are on board the vessel. The
E-Ticketing System will hopefully address the problems
associated with overloading of passengers and provide
our sea travelling public with a safe, pleasurable and
“hassle-free” journey to their respective destinations.
There are many more areas in our entire operations
requiring the application of best practices. At the
center of our continuous improvement processes, the
nationwide MIS Computerization Program, which is now
nearing its final stages of acceptance has made possible
the widespread use of technology in the transmission,
storage, retrieval and sharing of PPA-wide missioncritical
information/data designed to facilitate short-and
long-term Management decision-making and application
to our daily work.
As we dare to challenge the status quo and overcome
barriers to achieve best practices in all facets of our
operations, we will always be inspired by our over
2000-strong workforce who has contributed more than
their share in running PPA 24/7. Looking forward to
many more years of successful operation, we shall always
consider as dominant the belief that the application of
best practices comes with a corresponding take on good
governance processes. With the proper trust and support
of our Board of Directors and the cooperation of our
stakeholders, we are confident that PPA shall at all times
stay on the right course in establishing water transport
as the main catalyst of trade and economic development.
JUAN C. STA. ANA
General Manager
Port of Bauan
3

4
SHIPPING AND TRADE
PERFORMANCE

South Harbor, Manila
5

6
SHIPPING AND
TRADE PERFORMANCE
South Harbor, Manila
Port of Iloilo Port of Iligan

Cargo, Passenger and Ship Traffic
Cargo
Trade Performance
Port of Bacolod
Stirred by the 7.3 percent growth of the country’s economy for 2010, total cargo volume handled at the ports nationwide
rose by 11.01 percent. Overall trade performance is shown in the following table.
Table 1: CY 2010 Cargo Throughput, Container, Passenger & Ship Calls
2010 2009
Inc/(Dec)
Volume %
Cargo m.t. 166,395,680 149,895,054 16,500,626 11.01
Domestic 69,796,900 71,936,419 (2,139,519) (2.97)
Foreign 96,598,780 77,958,635 18,640,145 23.91
Import 55,131,588 47,583,576 7,548,012 15.86
Export 41,467,192 30,375,059 11,092,133 36.52
Container (in TEUs) 4,497,634 4,011,531 486,103 12.12
Domestic 1,639,859 1,593,039 46,820 2.94
Foreign 2,857,775 2,418,492 439,283 18.16
Import 1,443,501 1,221,914 221,587 18.13
Export 1,414,274 1,196,578 217,696 18.19
Passenger 52,701,645 43,872,565 8,829,080 20.12
Domestic 52,638,664 43,820,426 8,818,238 20.12
Foreign 62,981 52,139 10,842 20.79
Shipcalls 346,000 314,421 31,579 10.04
Domestic 335,202 304,643 30,559 10.03
Foreign 10,798 9,778 1,020 10.43 7

8
Cargo
Total cargo throughput during the year was 11.01 percent
or 16.5 million metric tons (MMT) higher vis-a-vis 2009
signifying a more intense movement of goods passing
through the country’s ports. Foreign cargo went up by
18.64 MMT or a double-digit increase of 23.91 percent.
Domestic cargo, however, went down by 2.97 percent or
2.14 MMT.
The Exports industry is by far the most dynamic, growing
as much as 36.52 percent or 11.09 MMT during the
period. Imports, likewise, went up by about 7.55 MMT
or 15.86 percent. The higher demand for prime export
commodities such as mineral ores, nickel ores, limestone,
cold rolled coils and coco oil, etc.; and, importation of rice,
coal and other raw materials was evident in the sharp
increase of foreign cargo throughput at the various ports
led by PMOs Surigao (5.53 MMT), San Fernando (3.37
MMT), MICT (2.54 MMT), South Harbor (2.23 MMT) and,
Iloilo (1.78 MMT). Domestic cargo, on the other hand,
declined in 8 of the 24 PMOs. The decrease was highly
felt at PMOs North Harbor - 2.26 MMT (15.95 percent);
Legazpi - 2.23 MMT (47.03 percent); Pulupandan - 0.14
MMT (2.42 percent); and Batangas - 0.86 MMT (12.19
percent), among others.
Overall, six (6) PMOs did not fare well and posted
decreases in 2010, namely: PMOs Legazpi, North Harbor,
Batangas, Pulupandan, Nasipit and Cotabato.
Foreign & Domestic
Cargo Volume
(2010 vs 2009)
150
100
50
0
2009 Domestic
2010 Foreign

Container (in TEUs)
Container traffic continued its strong showing during the
year as it reached a total of 4.497 million TEUs, a notable
12.12 percent improvement from last year. In fact, import
container traffic grew by 18.13 percent while export
posted a growth of 18.19 percent. The robust traffic in
foreign containerized cargoes contributed to the upward
trend as it grew 18.16 percent.
Of the total volume of containers handled in Philippine
ports, 2.60 million TEUs or 57.83 percent passed through
the ports of MICT and PMO South Harbor (which includes
the Pasig Terminal). The combined share in foreign
container traffic of these two ports accelerated by 0.34
MMT or 16.59 percent by 2010.
All PMOs registered growth in the volume of their
container throughput with the exception of five PMOs
which reported declines in 2010 compared to 2009:
Surigao (18.86 percent); North Harbor (13.27 percent);
Dumaguete (3.47 percent); Pulupandan (3.44 percent);
and Dapitan (2.16 percent). Gainers were led by PMO
Davao (28.97 percent), PMOs South Harbor (17.80 percent)
and MICT (15.14 percent) which are the traditional major
2010 Distribution of
Containerized Cargoes
Passenger Terminal, Port of Iloilo
MICT & SH. 57.83%
Other Ports 42.17%
staging areas of
containers. The
transition from
PPA-managed to
privately-managed
terminal might have
affected business
operations in North Harbor.
Passengers
The 2010 election as well as the
continuing shift towards the use
of the SRNH route in travelling from
Manila to Visayas contributed to
the marked increase in the volume
of passengers that availed of water
transport. Nationwide domestic and
foreign traffic surged by 20.12 percent
or 8.82 million and 20.79 percent,
respectively, during the year. Growth
in passenger traffic was evident in the
PMOs of Batangas (31.59 percent);
Calapan (31.30 percent); Iligan (45.03
percent); Legazpi (34.05 percent); and
Tacloban (38.41 percent).
Ship Calls
The country’s ports serviced 346,000
vessels in 2010, a growth of 10.04
percent compared to the previous
year. Domestic and foreign ship
calls grew by 10.03 percent and
10.43 percent, respectively, an
indication of recovery and
improvement in both global
and domestic economy.
Port of Iloilo
9

10
PORT SERVICES

Port of Iloilo
11

South Harbor, Manila
12
Port of Iloilo
South Harbor, Manila

PORT SERVICES
Private Ports Operations
Permit/Clearance to Develop
As of end of December 2010, the PPA has approved
Clearance to Develop private port facilities in favor of the
following three (3) private corporations:
Table 2: APPROVED CLEARANCE TO DEVELOP, 2010
COMPANY LOCATION
1. Carlos Gothong Lines Port of Nasipit
2. H.Y. Chromite Mining
& Devt. Corp.
Brgy. Esperanza,
Loreto, Dinagat
3. Niera Corporation Brgy. Tugbo, Mobo,
Masbate
Lease Contracts
The Authority approved the 10-year contract
application of Goldwin CFS located at Blk. 168,
Railroad St., cor. 18 th and 19 th Sts., South Harbor.
Certificate of Registration (COR)/Permit
to Operate (PTO)
In 2010, the Authority issued thirty-one (31)
certificates of registration or permit to operate (COR/
PTO) to various corporations of which eight (8) were
under PDO Manila/Northern Luzon, four (4) under
PDO Southern Luzon, nine (9) under PDO Visayas,
two (2) under PDO Northern Mindanao and eight (8)
under PDO Southern Mindanao. (Table 4).
Table 4: APPROVED COR / PTO, CY 2010
COMPANY LOCATION
PDO MLA./NORTHERN LUZON
Island Integrated Offshore
Services., Inc. Cristobal St., Paco, Manila
Manila Habor Center Complex,
La Filipina Uy Gongco Corp. Tondo, Manila
Manila Habor Center Complex,
La Paz Milling Corp.
Tondo, Manila
Oilink International Corp. Lucanin Pt., Mariveles, Bataan
PNOC Alternative Fuels Corp. Batangas Dos, Mariveles, Bataan
Mall of Asia Complex,
SM Land Inc.
Pasay City
Petron Corp. Limay, Bataan
BASECO Compound,
SMC Shipping & Lighterage Corp. Mariveles, Bataan
PDO SOUTHERN LUZON
EEI Corp. Bauan, Batangas
Investment Mineral
Development Corp.
Calambayungan, Brgy, Larap, Jose
Panganiban, Camarines Norte
J.G. Summit Corp. Mabini, Batangas
Rio Tuba Nickel Mining Corp. Rio Tuba, Bataraza, Palawan
PDO VISAYAS
Central Azucarera de Bais Brgy. Luka, Tanjay, Negros Oriental
Iloilo Jar Corp. Bo. Obrero, La Paz, Iloilo City
Lazi Bay Resources
Development, Inc. Bo. Simacolong, Lazi Siquijor
Nicua Corp. MacArthur, Leyte
Orica Nitrate Phils. Inc. Brgy. Buntis, Bacong, Neg. Or.
Phil. Associated Smelting
Leyte Industrial Development
& Refining Corp.
Estate, Isabel, Leyte
Brgy. Rawis, Anibong,
Pilipinas Shell Petroleum Corp. Tacloban City
San Carlos Bioenergy Inc. Brgy. I, San Carlos City, Neg. Occ.
Brgy. Opong, Tolosa,
Tacloban Oil Mills Inc.
Northern Leyte
PDO NORTHERN MINDANAO
Global Steel Phils. Camp Overton, Iligan City
La Fraternidad, Tubay,
SR Metals Inc.
Agusan del Norte
PDO SOUTHERN MINDANAO
Craft Haven International KM. 15 Panacan, Davao City
Davao Bay Coconut Oil Mills, Inc. Brgy. Panacan, Davao City
Himmel Industries Inc. Sasa, Davao City
Insular Oil Corp. Km.10, Sasa, Davao City
Legaspi Oil Co. Sasa, Davao City
Phil. International
Baliwasan Seaside,
Development Inc.
Zamboanga City
Baliwasan Seaside,
San MIguel Corporation
Tagum Agricultural
Zamboanga City
Development Co. Inc. Panabo, Davao del Norte
13

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Cargo Handling Service Contracts/Permits/Hold-Over Authority (CHO/PTO/HOA)
PPA awarded a total of twenty one (21) CHO/PTO/HOA with varying duration of one (1) month to 15 years (long term)
during the year, as shown in table 5.
Table 5: Issued CHO/PTO/HOA, CY 2010
COMPANY LOCATION
1.
3 - MONTHS (HOA)
Sunriser Arrastre & Stevedoring Svcs. Port of Clarin, Clarin, Bohol
1 - MONTH (HOA)
2. Odiongan Integrated Arrastre & Stevedoring
Contract Svcs. Corp.
1 - YEAR
Port of Poctoy, Odiongan, Romblon
3. FTM Brokerage & Port Svcs., Inc. Anchorage Area, Dinapigue, Isabela
4. Prudential Customs Brokerage Svcs., Inc. Port of Brook’s Point, Palawan
5. United Plywood Corp. Anchorage area Molugan, El Salvador, Misamis Oriental
3 - YEARS
6. Doming Arrastre & Stevedoring Svcs. San Jose, Dinagat Island
7. Dapa Labor Svcs. Port of Dapa, Siargao Island, Surigao del Norte
5 - YEARS
8. Aurum Pacific Consolidated Inc. Port of Currimao, Ilocos Norte
9. Prudential Customs Brokerage Svcs., Inc. Port of Coron, Puerto Princesa
10. Antique Cargo Handling & Port Terminal Svcs. Port of Lipata, Culasi, Antique
11. FTM Brokerage & Port Svcs. Inc. Port Estancia, Estancia, Iloilo
12. Jagna Arrastre & Terminal Svcs. Port of Jagna, Bohol
13. Leyte Integrated Port Svcs. Inc. Port of Palompon, Leyte
14. San Vicente Arrastre & Stevedoring Svcs. Port of Hilongos, Hilongos, Leyte
15. Ubay Arrastre & Stevedoring Corp. Port of Ubay, Bohol
16. Northeastern Mindanao Handlers & Forwarders Inc. Port of Aras-asan, Cagwait, Surigao del Sur
17. Apollo Arrastre & Stevedoring Svcs., Inc. Port of Tandag, Surigao del Sur
8 - YEARS
18. Mega Equipment International Corp. Govt berths along Pasig River
SUPPLEMENTAL CONTRACT
10 - YEARS
19. Oroport Cargo Handling Svcs. Inc. Port of Cagayan de Oro
NOTICE OF AWARD ISSUED
25 - YEARS
20. Asian Terminals, Inc. Container Terminal A-1 (Phase 2), Port of Batangas
MEMORANDUM OF AGREEMENT
3 - YEAR (MOA)
21. LGU- Sarangani Port of Mabila, Mun. of Sarangani, Davao del Sur
Harbor Pilot Appointments
For 2010, PPA issued appointments for 4 chief pilots, 5 regular pilots and 4 probationary pilots at various pilotage
districts.

Port of Cagayan de Oro
15

16
PHYSICAL INFRASTRUCTURE
DEVELOPMENT
AND MAINTENANCE
Port of Pulupandan
Port of Iligan
Port of Cagayan de Oro

Ongoing Improvement at Port of Coron
Ongoing Improvement at Port of
Banago under PMO Pulupandan
17

18
PHYSICAL INFRASTRUCTURE
DEVELOPMENT AND MAINTENANCE
Completed and Ongoing Locally-
Funded Projects
The year 2010 saw the completion of 40 Locally-Funded
Projects (LFPs) amounting to P1.74 billion. PPA invested
a total of P3.42 billion for 74 LFPs nationwide: 10 projects
in PDO Manila/Northern Luzon; 31 in PDO Southern
Luzon; 14 in PDO Visayas; 9 in PDO Northern Mindanao;
and 10 in PDO Southern Mindanao. As of yearend,
34 projects amounting to P1.68 billion are in various
stages (i.e. ongoing/ suspended/ terminated/under
procurement).
CY 2010
Completed & Ongoing
Locally-Funded Projects
in billion
3
2
1
0
1.74 Completed
1.68 Ongoing
As in previous years, PDO Southern Luzon captured the
lion’s share of the total capital investment with a share of
34.93 percent or P1.20 billion. This is followed closely by
PDO Visayas (P1.17 billion or 34.23 percent). Completing
the distribution are PDO Manila/Northern Luzon (P446.10
million or 13.03 percent), PDO Northern Mindanao
(P415.38 million or 12.13 percent) and PDO Southern
Mindanao (P194.61 million or 5.68 percent).
Distribution of 2010 LFPs
5.68%
12.13%
34.23%
PDO Northern Mindanao PDO Manila/Northern Luzon
PDO Southern Mindanao PDO Visayas
PDO Southern Luzon
Among the big Capital Expenditure Program (CAPEX)
infrastructure projects completed within the year are the
Dumaguete Port Expansion Project and the Ubay Port
Expansion Project Phases 1 & 2. PPA also completed the
construction of the Catagbacan Cruise Ship Berth at a
total cost of P71.73 million to further boost tourism in the
Bohol Region, while the Upgrading of Existing Breakwater
Project at the South Side of South Harbor, Cagayan de Oro
Port Improvement and Ozamiz Port Expansion Projects
are ongoing as of yearend.
Dredging Operations
34.93%
13.03%
To ensure the safe navigation of large vessels calling
at the ports, PPA allotted some P546.64 million for its
CY 2010 Dredging Program. The amount covered the
removal of 1.84 million cubic meters of silts from 9 ports
nationwide and was implemented under the privatized
set-up with F.F. Cruz & Company, as contrator.

Passenger Terminal, Port of Iligan
Passenger Terminal, Port of Iloilo
19

20
Areas Covered by CY 2010 Dredging
North Harbor Entrance Channel (starting from Breakwater)
South Harbor Fairway Channel leading to Piers 9 & 13
South Harbor Fairway Channel leading to Piers 3 & 5
South Harbor Anchorage
Batangas Baseport (Phase II)
Brooke’s Point, Puerto Princesa
Cajidiocan, Romblon
Matnog, Sorsogon
Iloilo River (Phase 1), Baseport, Iloilo
MICT (carry-over, completed in 2010)
Dumaguete (carry-over, completed in 2010)
Port of Iligan
Hydrographic and
Topographic Surveys
A total of fifty-three (53) hydrographic and topographic
surveys were undertaken and completed in 2010. Thirtyfive
(35) of these surveys were programmed during the
start of the calendar year and 18 were unprogrammed
and undertaken to support port planning, project
development and identification of areas for port zone
delineation.
Repair and Maintenance Program
To maintain the serviceability and safety of existing
port facilities nationwide, PPA allocated P1 billion for its
repair and maintenance program for CY 2010. Of this
amount, P795.58 million or 79.58 percent were allotted
for repair projects, P189.66 million or 18.97 percent for
maintenance projects, P3.50 million for Head Office
engineering projects, P10.00 million or 1.00 percent for
GAD-related projects and P1.26 million or 0.13 percent for
other unprogrammed projects.
Of the 112 repair and maintenance projects pursued
during the year, 26 were completed and 42 are ongoing,
43 are under procurement and 1 project was cancelled/
deferred as of year-end. PDO Southern Luzon received
the biggest allotment of the R&M Budget at P383.11
million with 37 projects, followed by PDO Visayas
(P207.34 million, 21 projects), PDO Northern Mindanao
(P177.44 million, 25 projects), PDO Manila/Northern
Luzon (P129.03 million, 17 projects), and PDO Southern
Mindanao (P88.32 million, 12 projects).
PMO Iloilo Staff

Repair & Maintenance CY 2010 Budget
in million
P177.44
P88.32
P3.50
P10.00 P1.26
of Iloilo
P207.34 P383.11
Visayas Northern Mindanao Southern Mindanao E&A Exp
GAD Unprogrammed Manila/Northern Luzon Southern Luzon
Consultancy Services for Engineering-Related Studies
P129.03
In 2010, consultancy services for the formulation of master plans and conduct of feasibility study (MP/
FS) of priority ports for development totalling P17.01 million were undertaken. Ports covered were
those under PDO Northern Mindanao, i.e. Surigao, Cantilan, Dona Helene, Hayangabon, Jubang,
Lipata Ferry Terminal, Jimenez, Silanga, Opol and Banga-an and Sultan Naga Dimaporo.
Pre-Bidding, Opening of Technical Proposal and Financial Bid were held in December
2010. The MP/FS was undertaken to determine the long-term directions in the
development of the selected ports and to evaluate the technical soundness,
operational and economic feasibility and financial viability of any
proposed short-term improvements and/or expansion of these ports.
Complementing the MP/FS are Initial Environmental Examinations
(IEEs) of each of the study port.
In addition, consultancy services for the conduct of soil
investigation for 35 identified ports in Luzon, Visayas
and Mindanao worth P17.90 million was undertaken to
provide the needed information for foundation design
analysis and for the evaluation of alternative type
of structures. The work shall cover the drilling and
testing of soil samples. Pre-Bidding Conference,
Opening of Technical Proposal and Financial Bid
were also held in December 2010.
21

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FINANCIAL PERFORMANCE
A vessel approaching the Port of Iligan

Manager Noeme W. Calderon with staff
23

24
FINANCIAL PERFORMANCE
Revenue
In 2010, PPA’s gross revenue reached P8,295.62 million,
an increase of at least P1,166.49 million or 16.36
percent from the 2009 figure. Port revenue generated
amounted to P8,123.39 million, a substantial increase of
P1,136.62 million or 16.27 percent from last year. Fund
Management Income (FMI) also grew from P142.35
million in 2009 to P172.32 million this year, which is at
least a P29.97 million or 21.05 percent increase.
ICTSI fees contributed the bulk of PPA’s revenue
amounting to P2,760.14 million (34 percent), followed by
wharfage dues at P1,671.02 million (21 percent), vessel
charges at P1,190.93 million (15 percent), ATI Fees at
P923.57 million (11percent), arrastre/stevedoring income
at P678.07 million (8 percent), other sources of income at
P423.50 million (5 percent), and pilotage/storage fees at
P320.49 million (4 percent), and VTMS and Terminal Fees
at P226.30 million (21 percent).
Gross Revenue by PDO
Port performance in terms of revenue generation for the
year 2010 has been very satisfactory with the five PDOs
contributing to combined earnings of more than P8 billion
or 16 percent higher than the figure posted during the
same period in 2009.
Growth was spearheaded by Manila/Northern Luzon
followed by Southern Luzon and then by Southern
Mindanao with each one having grown by P744 million,
P134 million, and P123 million respectively.
Port by PDO
CY 2010, In Million Pesos
PDO 2010 2009 Deviation
Manila/
Southern Luzon
5,455.28 4,711.11 15.80%
Southern Luzon 904.00 769.66 17.45%
Visayas 499.75 437.29 14.28%
Northern Mindanao 534.08 466.61 14.46%
Southern Mindanao 724.17 597.31 21.24%
Total 8,117.28 6,981.98 16.26%
PDO Northern Mindanao and Visayas likewise
posted positive growth of P70 million and P62 million
respectively.
Overall improvement in the performance of PPA ports
appears to have been driven by the country’s increased
economic activity during the year, as spurred by electionrelated
activities and renewed trust by foreign investors.
Revenue by Source or Tariff Item
PPA derives its port revenue from wharfage, dockage, port
dues, usage fees, storage, pilotage, terminal fees, rental,
share in arrastre/stevedoring, management fees, and
other ancillary services. Revenue shares by source are
shown below.
Port Revenue by Source, 2010
(in million pesos)
Manager Edgar C. Pilar with staff
COMPARATIVE PORT REVENUE
2010 vs. 2009
Account 2010 % of Total 2009
Increase/
(Decrease)
Port Dues 383.87 4.73% 347.51 10.46%
Dockage 521.29 6.42% 443.34 17.58%
Usage Fees 273.47 3.37% 239.81 14.04%
Lay-up Fees 12.30 0.15% 1.91 543.98%
Wharfage Dues 1,671.02 20.57% 1,394.00 19.87%
Storage 289.42 3.56% 200.50 44.35%
Arrastre/
Stevedoring
678.07 8.35% 461.21 47.02%
Other Income 423.50 5.21% 352.19 20.25%
Pilotage 31.07 0.38% 23.34 33.12%
ICTSI Fees 2,760.14 33.98% 2,526.89 9.23%
ATI Fees 923.57 11.37% 769.76 19.98%
VTMS Fees 16.23 0.20% 15.13 7.27%
Terminal Fees 139.34 1.72% 211.17 -34.02%
Total 8,123.29 100.00% 6,986.77 16.27%

Expenditures
Total Expenses reached P6,327.22 million, at least P985.05
million or 18.44% higher than last year’s P5,342.17 million
expenditures. This is largely due to higher Operating Expenses
brought about by increases in Repairs & Maintenance; Personal
Services due to the implementation of the 2nd tranche of
Salary Standardization III;, and Dredging costs. Likewise,
Non-Operating expense rose by 280.34 percent due to loss on
revaluation of loans. Foreign exchange revaluation registered
positive in 2009.
Net Income
PPA’s Net Income amounted to P1,968 billion, 5.49 percent
lower than last year’s net income of P2,082 billion. PPA would
be left with a Net Income After Tax of P1.491 billion after
deducting income tax amounting to P476.54 million.
Collection Efficiency
Looking into the overall collection effort of the Authority, the
collection efficiency ratio (CER) for Prior Year accounts (PY) stood
at 87.55 percent where Receivables amounting to P858.80 million
at the beginning of the year, was reduced to P106.88 million with
actual amount collected reaching P751.92 million. This exceeded
the annual PY collection target of 60 percent. With regard to Current
Year (CY) accounts, the Authority projected 100 percent CER for
receivables of P7,420.63 million. However, a slight negative deviation
was posted with only P7,372.20 million actual collections for the
current year, or about P48.4369 million short of the target resulting to a
CER of 99.35 percent.
25

26
SUSTAINABILITY,
ENVIRONMENT AND PEOPLE

Port of Nasugbu
27

28
SUSTAINABILITY, ENVIRONMENT
AND PEOPLE
Manager Winfred G. Elizalde with Staff
Manager Leopoldo C. Biscocho and Staff

Port Safety, Security and Environmental Protection
Implementation of the International Ship and Port Facility Security
Code (ISPS)
Statement of Compliance of Port Facility
In addition to the 21 compliant ports, five (5) more PPA ports were
issued “Statement of Compliance Issued to a Port Facility” by the
Office for Transportation Security in 2010: Balanacan, Cagayan
de Oro, Iloilo, Lamao and Lucena. Efforts are underway for the
renewal of application of port with expired or expiring certificates
as of yearend.
Vessel Traffic Management System (VTMS)
The Vessel Traffic Management System (VTMS) Control
Center is a state-of-the-art vessel monitoring facility
managed and operated by PPA on a 24/7 basis. The
operation of VTMS focuses on giving round-the-clock
assistance as well as relaying information to pertinent
government agencies cases of vessel distress, accidents,
piracy and other incidents, for appropriate action. At
present, VTMS is installed at North Harbor, Corregidor in
Bataan and the port of Batangas.
In 2010, a total of 33,980 vessel voyages were monitored
from the VTMS Control Center in Bataan, of which
8,533 and 25,447 were foreign and domestic ships,
respectively. The Batangas Control Tower on the other
hand tracked a total of 30,764 vessels in 2010 with
29,508 domestic and 1,256 foreign vessels. Total vessels
monitored by the two Control Centers reached 64,744
broken down into 54,955 domestic and 9,789 foreign
ships.
Special Projects
MIS Computerization
The contractor for the PPA MIS Computerization Project
continues to resolve implementation issues as part of the
acceptance process of the computerized applications mainly
related to the Accounting and Financial Management System
(AFMS) applications developed for PPA. About 90 percent of
these applications have already been accepted and implemented
as of the end of 2010.
Manila North Harbor Modernization Project (MNHMP)
PPA is awaiting the submission of the conceptual master plan for Phase
I (Terminal 1) of North Harbor Modernization from MNHPI. This is expected
to be completed by April 2011. Upon approval, detailed engineering design
of the planned container terminal and tendering of bids will follow for Phase 1
covering Pier 14 up to the Marine Slipway. To restate, North Harbor was turned
over to MNHPI on April 11, 2010 after issues that were raised following the contract
award had been successfully addressed by the latter.
29

30
Quality Management System (QMS)
The Port Management Office of Batangas was chosen
as the pilot port for the launch and implementation of
the Quality Management System (QMS) which aims
to secure the issuance of ISO Certification for Vessel
Entrance and Clearance at the Port of Batangas. In
adherence to Executive Order No. 605 mandating the
institutionalization of the structure, mechanisms
and standards to implement a Government Quality
Management Program, the PPA Quality Policy was
crafted to consistently provide and continually improve
the quality of its port operations and services particularly
in one of PPA’s widely employed procedure – vessel
entrance and clearance - to satisfy the need of its clients
and comply with international and national statutory
and regulatory requirements. Since 2009, the QMS
Policy Procedure Manual for Batangas is already being
implemented.
The second (2nd) Internal Audit was conducted last
Dec. 13-16, 2010 to verify closure of the previous nonconformities
and observations raised during the 2009
Internal Audit and Opportunities for Improvements raised
during the Stage 1 Certification Audit. It is expected that
this would pave the way for the issuance of the ISO-QMS
certification to Batangas Port by early 2011.
Meanwhile, the same activities are also being replicated
at the ports of Cagayan de Oro, Davao, Gen. Santos, Iloilo,
Ozamiz and Zamboanga. Writeshops for the revision of
certain QMS-VEC Procedures were held in these ports
towards the end of the year.
Port Safety Health Environment Management
System (PSHEMS)
The PSHEM Code was developed by the GEF/UNDP/IMO
Regional Programme of Partnerships in Environmental
Management for the Seas of East Asia (PEMSEA),
in collaboration with the various international nongovernmental
organizations representing the port industry.
The objective is to have a voluntary standard against which
ports can measure their performance with regard to quality
management, safety and health of port workers, and
protection of the environment.
The PSHEM Code specifies requirements for an effective
port safety, health and environmental management
system (PSHEMS) to enable an organization to develop
and implement policy and objectives that take into
account legal requirements and information about
hazards associated with its activities, which have or
can have significant risk or impact to safety, health and
environment.
In line with this, PPA adopted the System to enhance
maritime safety, protection of the marine environment,
and sustainable development in the country. It is
programmed to be initially implemented at the Port of
Iloilo. Initial Status Review of the PSHEMS Workshops/
Training was conducted by yearend. Writeshop
documentation and manual preparation is scheduled to
be conducted within the 1st quarter of 2011.
E-Ticketing
The E-Ticketing System which is being spearheaded
by the DOTC is an Inter-Agency Committee (PPA, PCG,
MARINA, the Shipping Lines and other stakeholders in the
ports) is expected among others to (1) provide accurate
data/information and statistics on passengers (2) issue
E-Tickets only up to the vessels’ corresponding load
limits/maximum load capacity of passengers.
The E-Ticketing System, once in place, is expected to
provide sea travelling public with a safe, pleasurable and
“hassle-free” journey to their respective destinations.
As of year-end, consultation with shipping companies,
PCG and MARINA on the proposed implementation of
E-Ticketing was being conducted.
This system has been undergoing pilot implementation
at the Passenger Terminal Building 2 of Batangas port
since 2008 and will commence pilot testing at the
port of Calapan in 2011.
Internal Audit Program
In 2010, the Internal Control Department (ICD)
conducted six (6) Revenue Audits in various ports
nationwide, namely:
Revenue Audit, CY 2010
1. Ormoc Baseport (vessel charges)
2. PMO Ozamiz
3. Integrated Port Services of Ozamiz
4. TMO Balingoan
5. PMO General Santos
6. PMO Zamboanga
Meanwhile, audits conducted by the Internal Control
Services Staff of the respective PDOs/PMOs/TMOs/
LGUs during the year are as follows:
PDO Manila/Northern Luzon
1. Aurum Pacific Consolidated Inc.
2. Asian Terminals Inc.
3. Vitas Port Arrastre Corp.
4. LGU Basco
5. International Container Terminal Services Inc.
PDO Southern Luzon
1. Tabaco Port Cargo Corp.
PDO Visayas
1. PMO-Tagbilaran
2. Tagbilaran Maritime Services, Inc.
3. New Eagle Arrastre Services, Inc.
4. PMO-Dumaguete
5. PCBSI (Iloilo Wharf)
6. Ormoc (baseport)

Port Terminal of Lucena
A PPA GAD-Managed
Day Care Center
31

32
Operations Staff of PMO Cagayan de Oro
PDO Northern Mindanao
1. Iligan Merged Arrastre Services Co.
PDO Southern Mindanao
1. Sindangan Arrastre Brokerage Corp.
2. Liloy Cargo Handling Services, Corp.
3. PMO Davao
4. PMO Dapitan
5. PMO General Santos
6. PMO Zamboanga
7. Filipinas Port Services, Inc.
8. Davao Integrated Port Services Corp.
9. South Cotabato Integrated Port Services, Inc.
10. Zamboanga City Integrated Port Services, Inc.
Maintaining Corporate Stature
Community Support Program thru Gad-Focal Points
As part of its community support program, PPA implements
through its GAD Focal Points socially-directed initiatives
in support of the government program on Gender and
Development (GAD).
Organization-Focused Projects
Information and Data Bank Generation
To support the formulation of GAD-related polices, a
baseline sex-disaggregated database was started.
Personal and professional data of employees with
information on past livelihood training attended were
collected and an inventory of GAD facilities per terminal
was conducted to assess and determine the appropriate
intervention programs for gender concerns among PPA
employees. At the end of the year, this was 60 percent
complete.
Programs/Services for Employees
In 2010, PPA allotted some P23.76 million for genderresponsive
programs and services specifically intended
for the well-being of its personnel. Among these were
counseling services and legal assistance to women
employees who are victims of domestic violence, shuttle
services, Child/Day Care Centers, establishment/
maintenance of GAD Center, forum/symposia on health
concerns, Family/Children’s Day and entrepreneurial/
livelihood skills training.
As part of ensuring gender
responsiveness of PPA
policies and operational
processes, PPA also adopted
the Civil Service Commission
Guidelines on the Availment
of the Special Leave Benefits
for Women under RA 9710
(An Act Providing for the
Magna Carta of Women).
Conduct of Capacity-Building Activities
To foster better understanding and appreciation of GAD
values, issues and concerns, the PPA GAD Focal Point
facilitated the conduct of the following activities in
2010: (1) Participation in Women’s Month, Environment
Month, Maritime Week and other GAD-related fora; (2)
Maintenance of GAD library, gallery/display room; (3)
Teambuilding; (4) Seminars on Responsible Parenthood,
Trafficking and Gender Laws, Time Management,
Womenomics and others; and (5) GAD Planning
Workshops.
Client-Focused Projects
Collection of Data on Passengers and Port Workers
In 2010, ten (10) Responsibility Centers or RCs conducted
surveys to gather data on passengers and port users.
The data are necessary in facilitating a gender analysis
and identifying gender issues that need intervention. The
resultant output will be used as basis for formulating
programs/activities to improve the conditions of the
passengers and port users. Management has set aside
sufficient fund for this activity so that it can be replicated
by other PPA RCs which are similarly situated.
Provision of Gender-Sensitive Facilities/Services
for Port Users
In 2010, efforts have been undertaken for the provision of
gender-sensitive facilities/services for port users as follows:
a) Construction of women’s desk, public assistance
and information booth, public address system, and
computer/communication station;
b) PTB amenities such as breastfeeding area, family
room, kids’ playing area, interfaith prayer room,
first-aid station, telephone booth priority lanes, safe
drinking water, wheelchairs, hand sanitizers and paper
towels;
c) Operation and maintenance of Half-way houses; and
d) Provision of separate cell for women offenders
GAD Information Drive for Port Users
To develop awareness of clients and travelers on available
port facilities/amenities for women, children and
disadvantaged groups, PPA through its GAD Focal Point
has endeavoured the production of informative materials
through networking with local and foreign agencies to
establish best practices on facilities; delivery of services

for women, children and disadvantaged groups; and
information campaign through fosters and film showing
at PTBs. For instance, the Forum on Magna Carta for
Women was conducted at the Port Terminal Building of
Nasipit and anti-trafficking posters and leaflets were
given to the passengers in Iloilo. A film entitled “Ingat
sa Byahe” was shown in Port Terminal Buildings in
Batangas and Lucena.
Gender Sensitivity Training for Port Workers
In 2010, sixteen (16) RCs conducted GST training which was
participated in by employees of cargo handling operators,
porterage companies and shipping companies and their
family members. GSTs among port workers aim to develop
their self-awareness and enhance their relationship with
others to deal with conflicts and to improve teamwork.
Conduct of Activities to Maintain and Preserve the
Environment
To enhance awareness on environmental issues and
concerns and their effects on men and women living in
port communities, PPA undertook in coordination with
LGUs and other government agencies the following: clean
and green projects such as tree planting and landscaping,
conduct of eco-waste management seminar, ports and
coastal clean-ups, and construction of material recovery
facility. Likewise, activities related to health concerns
of target beneficiaries in the marginal segment of the
port communities such as medical and dental mission,
feeding program, and blood pressure watch program
were conducted.
People Development Program
In 2010, the Human Resource Department has successfully
undertaken, in cooperation with various sponsoring
institutions a total of 46 courses which produced 2,909
graduates from Head Office and Field Offices. The courses
conducted focused on various subjects ranging from Port
Management and Operations; Seminar on Emergency and
Disaster Response; Port Safety; Integrated Port Operations;
Change Management/Corporate/Governance and Mgt. Ethics;
Seminar-Workshop on R.A. 9184; Quality Customer Relations;
Gender Sensitivity Training; and, Port Safety, Health and
Environment Mgt. System (PSHEMS), among others.
During the year, 19 PPA participants were recipients of
12 foreign scholarship/training grants in the following
countries: New Zealand, Japan, Cambodia, Malaysia,
Singapore, Vietnam and USA. Courses attended were
in the areas of: business management, strategic
maintenance of port structures, regional security
and development, port management and operations,
sustainable port development and planning, maritime
transport, global network terminal, mitigating impacts of
climate change in the port industry, port facility security
and maritime safety management.
Complementing the training programs for organic
personnel, the PPA through its training arm – the PPA
Training Center or PPATC has completed the conduct of
25 courses focusing on port operations and benefiting 914
recipients.
Maintaining Global Ties
As a member, PPA lends its support to, among others,
various international maritime associations such as the
International Maritime Organization (IMO), Asia-Pacific
Economic Cooperation (APEC), ASEAN Port Authorities
(APA), and (Brunei-Indonesia-Malaysia-Philippines
East Asia Growth Association (BIMP-EAGA) by actively
participating with its counterparts in policy-making,
capacity building and dialogues on common endeavors
related to port facility standards/benchmarking, antiterrorism,
anti-human trafficking, environmental
protection, port security and safety. In 2010, PPA officials
attended 12 meetings/conferences in Thailand, Malaysia,
Vietnam, Cambodia, Singapore, Japan and London to
tackle common endeavors and to keep abreast with
global maritime trends and developments.
1. ASEAN-GTZ Regional Inception Workshop held in
Bangkok, Thailand on January 21 – 22, 2010;
2. 19 th ASEAN Maritime Transport Working Group
Meeting held in Kuala Lumpur, Malaysia on
April 20 – 22, 2010;
3. 104 th Session of the International Maritime
Organization (IMO) held in London, United Kingdom
on 07 – 11 June 2010;
4. 2 nd BIMP-EAGA Ports and Ships Security Officials
Meeting held in Tawau, Sabah, Malaysia on 22 – 25
June 2010;
5. ASEAN-GTZ Planning Workshop in connection with
the project “Sustainable Port Development in the
ASEAN Region” held in Ho Chi Minh City, Vietnam on
17 – 18 August 2010;
6. 31 st ASEAN Ports Association Working Committee
Meeting held in Yangon, Myanmar on 20 -23
September 2010
7. 33 rd APEC Transportation Working Group (TPT-WG33)
Meeting held in Tokyo, Japan on 10 – 15 October 2010;
8. Regional Expert Group Meeting on the Development
of Dry Ports along the Asian Highway and Trans-
Asian Railway Networks held in Bangkok, Thailand on
01 – 03 November 2010;
9. 105 th Session of the International Maritime (IMO)
Council held in London on 01 – 05 November 2010;
10. Better Air Quality (BAQ) Conference in connection
with the ASEAN-GTZ Project “Sustainable Port
Development in the ASEAN Region” held in Singapore
on 09 – 11 November 2010; and
11. 88 th Session of the Maritime Safety Committee be held
in London on 24 November to 03 December 2010.
12. 36 th ASEAN Ports Association Meeting held in Siem
Reap, Cambodia on 8 – 11 December 2010;
33

34
2010 PPA PERFORMANCE
AT A GLANCE
CARGO THROUGHPUT
166.40 MILLION METRIC TONS
UP BY 16.5 MILLION METRIC TONS OR
11% FROM 2009
PASSENGER TRAFFIC
52.70 MILLION
UP BY 8.82 MILLION OR 20% FROM 2009
CONTAINER TRAFFIC
4.50 MILLION TEUs
UP BY 0.49 MILLION OR 12% FROM 2009

GROSS INCOME
P8.295 BILLION
UP BY 16.36% FROM 2009
EXPENSES
P6.33 BILLION
UP BY 12.23% FROM 2009
NET INCOME
P1.491 BILLION
DOWN BY 7.5% FROM 2009
SHIP TRAFFIC or VESSEL CALLS
346,000
UP BY 10% FROM 2009
ENGINEERING
40 LOCALLY FUNDED PROJECTS
COMPLETED VALUED AT P1.74 BILLION
26 R&M PROJECTS COMPLETED VALUED AT
P760.73 MILLION
35

Completed loCally Funded projeCts
Head Office & Field Office-implemented
(For the Year 2010)
Port/Location
PDO MANILA/NORTHERN LUZON
PMO Limay
Implementing
Office
Project Description Date Started Completion Project Cost
1 Orion Port, Bataan FO Constuction of Power Transformer Pedestal Dec 28 2009 Jan 15 2010 248,579.10
2 Orion Port, Bataan FO Improvement of PTB May 7 2010 Jun 20 2010 11,251,482.62
3 Sasmuan, Pampanga
PMO North Harbor
FO Construction of Wharf Jun 24 2010 Oct 15 2010 8,389,619.55
4 Slip 0, North Harbor
PMO South Harbor
FO Roadway Nov 6 2009 May 16 2010 9,137,192.56
5 South Harbor FO Upgrading of Port Police Firing Range Nov 17 2009 Jul 30 2010 13,960,371.59
6 South Harbor (GAD Project) FO Improvements of PPA Educational & Sports Complex Apr 19 2010 Jun 17 2010 4,391,731.00
Sub-Total PDO Manila/Northern Luzon 47,378,976.42
PDO SOUTHERN LUZON
PMO-Batangas
7 Cotta Port, Lucena City FO Port Development Project Mar 26 2010 Dec 15 2010 18,675,870.81
8 Lucena Port, Quezon HO Port Expansion Project (Construction of Back-up Area) Oct 12 2009 Oct 15 2010 54,598,511.83
9 Poctoy Port, Odiongan, Romblon HO Port Expansion Project (Back-up Area, Mooring & Fendering System,
Drainage System, Port Lighting System)
Jul 24 2007 Feb 16 2010 84,553,040.93
10 Mulanay Port, Quezon FO Concreting of Rock Causeway & Construction of Back-up Area May 9 2010 Apr 9 2010 9,594,630.17
11 Nasugbu Port, Batangas FO Widening of Rock Causeway Aug 3 2010 May 10 2010 19,826,161.82
12 Nasugbu Port, Batangas
PMO-Calapan
FO Rehabilitation/Improvement of Slope Protection Structure; provision
of Deflector Wall; Concreting of Back-up Area, Disposal of underwater
obstruction
May 31 2010 Aug 14 2010 45,049,083.37
13 Calapan, Oriental Mindoro FO Provision of Additional Ticketing Booth & Public Comfort Room Apr 8 2010 Jun 27 2010 1,887,380.01
14 Roxas Port, Oriental Mindoro
PMO Legazpi
FO Expansion of Back-up Area Apr 8 2010 Jul 22 2010 19,065,000.00
15 Legazpi Port, Albay FO Concreting of Back-up Area & installation of Port Lighting System Dec 7 2009 Apr 15 2010 20,591,971.00
16 Cataingan Port, Masbate HO Port Improvement Project (Demolition Work, Construction of RoRo Ramp
& RC Platform)
Mar 5 2010 Dec 29 2010 32,454,478.49
17 Caramoan Port, Camarines Sur HO Port Expansion Project (RC Platform, RoRo Ramp, Breasting Dolphin,
Back-up Area, Port Lighting System)
Jul 26 2007 Mar 25 2010 63,431,898.43
18 Esperanza Port, Masbate HO Port Improvement & Rehabilitation Apr 29 2010 Sept 28 2010 20,091,821.26
19 Pasacao Port, Camarines Sur HO Construction of RC Pier Extension Sept 1 2009 Feb 25 2010 23,063,787.33
20 Pio Duran Port, Albay HO Port Development Project (Rock Causeway, Port Lighting System) Sept 15 2009 Jul 5 2010 59,290,907.03
21 Sorsogon Port, Sorsogon HO Port Improvement Project (Construction of Rock Bulkhead) Apr 9 2010 Jun 7 2010 25,330,853.29
22 Tandoc Port, Siruma, Cam. Sur.
PMO Puerto Princesa
HO Port Development Project (RoRo Ramp & Rock Causeway) Mar 19 2009 Jan 12 2010 51,349,323.13
23 Puerto Princesa Port, Palawan FO Concrete paving of back-up area with drainage system Jan 17 2010 Aug 14 2010 17,569,239.14
Sub-Total PDO Southern Luzon 566,423,958.04
PDO VISAYAS
PMO Pulupandan
24 Himamaylan Port, Negros Occ. FO Port Construction, Phase II Jun 18 2009 Jan 18 2010 47,734,547.33
25 Danao Port, Escalante City, Negros Occ.
PMO Dumaguete
FO Additional development/Improvement of Perimeter Fence & Perimeter
Lightings
Dec 28 2009 May 17 2010 9,221,645.30
26 Dumaguete Port, Negros Occ. HO Port Expansion Project, Phase II (Excavation/ Disposal, Reclamation,
Mooring & Fendering System, Drainage & Fencing, Port Lighting System)
Jun 17 2008 Feb 25 2010 430,753,591.28
27 Dumaguete Port
PMO Tacloban
FO Passenger Terminal Building Nov 06 2007 Feb 3 2010 52,188,064.93
28 Catbalogan Port, Western Samar HO Rehabilitation Project (Rehabilitation Works) Feb 4 2010 Jul 3 2010 35,827,466.13
29 Tacloban Port, Leyte
PMO Tagbilaran
FO Three Phase Primary Line & Installation of Transformer for PMO
Operations Bldg.
Feb 11 2010 Jul 15 2010 576,423.68
30 Catagbacan Port, Bohol HO Cruise Ship Berth (Rehabilitation, Widening & Extension of RC Pier w/
Breasting Dolphin)
Apr 8 2009 May 21 2010 71,726,919.13
31 Talibon Port, Bohol HO Improvement Project (Parking, Basement & Back-up Area, Port Lighting
System)
Feb 4 2010 Dec 29 2010 38,812,368.45
32 Ubay Port, Poblacion, Bohol HO Port Expansion Project, Phase I (Construction of Back-up Area; RC Pier;
RoRo Ramp; Dredging & Disposal Work; Mooring & Fendering System;
Provisional item; Port Lighting System)
Mar 20 2008 Mar 9 2010 233,048,645.73
33 Ubay Port, Poblacion, Bohol HO Port Expansion Project, Phase II (Construction of Back-up Area of about
17,574 sq.m. including Rock Bulkhead, Fill Materials & RC Curb)
Nov 16 2009 Jul 26 2010 138,681,967.42
Sub-Total PDO Visayas 1,058,571,639.38
PDO NORTHERN MINDANAO
PMO Cagayan de Oro
34 Cagayan de Oro Port
PMO Nasipit
FO Passenger’s Shed (Covered Walkway) Feb 20 2010 Aug 20 2010 4,651,514.93
35 Masao Port, Agusan del Norte
PMO Surigao
FO Rehabilitation of Lighting System Dec 2 2009 Jan 21 2010 985,101.04
36 Surigao Port, Surigao del Norte FO Construction of Port Manager’s Quarter Aug 27 2010 Nov 18 2010 4,462,882.39
37 Surigao Port, Surigao del Norte FO Construction of Gate & Guardhouse Dec 18 2009 Mar 12 2010 3,009,579.19
Sub-Total PDO Northern Mindanao 13,109,077.55
PDO SOUTHERN MINDANAO
PMO General Santos
38 Gen. Santos Port, Makar Wharf FO Security Fence at Newly Constructed Wharf Jan 28 2010 Sept 4 2010 2,278,391.19
39 Gen. Santos Port, South Cot. HO Paving of the Newly Constructed Back-up Area; Paving of the Newly
Reclaimed Area
Sept 3 2009 Dec 10 2010 51,761,487.91
40 Mabila Port, Saranggani FO Concreting of Rock Causeway Nov 21 2009 Jun 15 2010 5,072,932.80
Sub-Total PDO Southern Mindanao 59,112,811.90
GRAND TOTAL 2010 1,744,596,463.29
36

ongoing loCally Funded
projeCts For 2010 (Carry-Over & New Projects)
Head Office & Field Office-implemented
As of 2010 Year End, in pesos
p h i l i p p i n e p o r t s
a u t h o r i t y
a n n u a l
r e p o r t
Port/Location
PDO MANILA/NORTHERN LUZON
PMO Limay
Implementing
Office
Project Description Date Started Completion Project Cost Status
1 Dingalan Port, Aurora
PMO San Fernando
FO Rehabilitation of Rock Causeway Oct 14 2010 Apr 11 2011 16,279,475.05 Ongoing-42.82%
2 Sual Port, Pangasinan HO Port Development Project (RoRo Ramp on-fill & Rock Causeway) Feb 12 2010 Feb 6 2011 80,352,839.67 Suspended
3 Casiguran Port, Aurora
PMO South Harbor
HO Development of Back-up Area Nov 16 2010 Nov 10 2011 36,458,949.78 Ongoing-5.05%
4 South Harbor, Manila HO Upgrading of Existing Breakwater, South Side (Phase II) Sept 3 2009 Feb 24 2011 265,629,689.00 Ongoing-87.95%
Sub-Total PDO Manila/Northern Luzon
PDO SOUTHERN LUZON
PMO Batangas
398,720,953.50
5 Bauan Port, Batangas HO Construction of RC Pier May 13 2010 June 8 2011 25,942,235.16 Ongoing-79.84%
6 Poctoy Port, Odiongan, Romblon HO Port Expansion Project, Phase II (RoRo Ramp & Breasting
Dolphin, Reclamation)
Nov 20 2009 May 1 2011 40,850,532.46 Ongoing-91.01%
7 Mauban Port, Quezon HO Port Improvement Project (RoRo Ramp, Breasting Dolphin & RC
Platform)
Mar 4 2010 Apr 10 2011 32,797,551.71 Ongoing-59.96%
8 San Andres Port, Quezon HO Port Improvement Project (RC Pier, RoRo Ramp & Breasting Dec 31 2007 Jul 9 2010 78,375,102.06 Terminated-
Dolphn; Rock Causeway & Back-up Area; Port Lighting System)
99.20%
9 San Andres Port, Quezon HO Phase 2-RC Pier, RORO Ramp & Breasting Dolphin; Rock
Under Procure-
Causeway & Port Lighting System
ment
10 San Jose Port, Batangas HO RC Pier, RoRo Ramp & RC Wharf; Back-up Area & Rock
Causeway, Port Lighting System)
May 19 2010 Oct 14 2011 148,336,887.36 Ongoing-54.56%
11 San Juan Port, Batangas
PMO Calapan
HO Improvement Project (RoRo Ramp & Breasting Dolphin,
Back-up Area, PTB)
Apr 30 2010 Apr 24 2011 48,639,199.66 Ongoing-89.98%
12 Abra de Ilog Port, Occ. Min. HO Port Expansion Project (Back-up Area, Widening & Access Road,
Port Lighting System)
Oct 15 2009 Mar 18 2011 75,322,879.61 Ongoing-85.08%
13 Bulalacao Port, Oriental Min. HO Port Development Project, Phase II (RoRo Ramp; Rock Causeway) Mar 25 2010 May 1 2011 70,838,651.52 Ongoing-60.47%
14 Calapan, Oriental Mindoro FO Provision of Covered Walk Nov 22 2010 Mar 21 2011 2,751,347.00 Ongoing-86.82%
15 Roxas Port, Oriental Mindoro FO Provision of Covered Walk Nov 22 2010 Dec 29 2010 689,200.00 Ongoing-95.00%
16 Roxas Port, Oriental Mindoro
PMO Legazpi
FO Provision of X-Ray Facilities Nov 22 2010 Jan 21 2011 1,316,494.00 Ongoing-95.00%
17 Pantao Port, Albay HO Upgrading & Rehabilitation of Port (RC Wharf, Back-up Area) Oct 20 2009 Feb 25 2011 91,114,815.00 Ongoing-88.32%
18 Pio Duran Port, Albay FO Construction of Roro ramp & R.C. platform Dec 22 2010 Jun 21 2011 12,496,136.43 Ongoing
Sub-Total PDO Southern Luzon
PDO VISAYAS
PMO Iloilo
629,471,031.97
19 Basiao Port, Ivisan, Capiz
PMO Ormoc
FO Additional Improvement of Basiao Port Nov 19 2010 Aug 15 2011 28,575,426.21 Ongoing-54.73%
20 Hilongos Port, Southern Leyte
PMO Tacloban
FO Widening of Causeway & Reclamation May 24 2010 May 16 2011 48,634,407.74 Ongoing-94.70%
21 Babatngon, Leyte
PMO Tagbilaran
FO Port Development May 24 2010 Mar 16 2011 8,839,158.67 Ongoing-93.29%
22 Loay River Quay, Bohol FO Port Development May 24 2010 Aug 17 2011 27,510,910.36 Ongoing-69.90%
Sub-Total PDO Visayas
PDO NORTHERN MINDANAO
PMO Cagayan de Oro
113,559,902.98
23 Balbagon Port, Mambajao, Cam. FO Port Improvement Feb 20 2010 Apr 20 2011 27,042,882.62 Ongoing-63.98%
24 Cagayan de Oro Port, CDO
PMO Nasipit
HO Improvement Project (RC Wharf Extension, Relieving
Platform, Back-up Area)
Apr 13 2010 Oct 4 2011 187,898,070.18 Ongoing-52.40%
25 Masao Port, Agusan del Norte
PMO Ozamis
FO Construction of Transit Shed Dec 19 2009 Dec 9 2010 21,890,358.26 Ongoing-94.33%
26 Ozamiz Port, Ozamis City
PMO Surigao
HO Port Expansion Project (Back-up Area, Port Lighting System) Nov 24 2009 Jun 15 2011 150,033,820.63 Ongoing-46.61%
27 Sta. Monica Port, Surigao del Norte FO Improvement of port facilities/Concrete causeway May 26 2010 15,408,298.60 Suspended
Sub-Total PDO Northern Mindanao
PDO SOUTHERN MINDANAO
PMO Davao
402,273,430.29
28 Pantukan Port, Compostela Valley FO Port Development (Construction of RoRo Ramp & Rock
Causeway)
Dec 4 2009 Nov 21 2011 29,760,654.89 Ongoing-8.50%
29 Tagpopongan Port, Samal,
FO Port Development (Construction of RoRo Ramp,
Dec 8 2009 Aug 11 2011 37,797,602.52 Ongoing-53.68%
Davao del Norte
RC Wharf & Rock Causeway)
30
PMO Dapitan
Dapitan Port, Zambo. del Norte HO Passenger Terminal & Operations Building-Construction
of two-storey building with Roof Deck
Under Procurement
31
PMO General Santos
General Santos Port, Makar Wharf FO Construction of Waste Water Treatment Plant Mar 5 2010 Aug 2 2010 12,079,691.35 Ongoing-95.05%
32 Glan Port, Sarangani Province
PMO Zamboanga
FO Port Improvement 26,042,032.32 Ongoing-11.20%
33 Zamboanga Port, Zamboanga del Sur FO Concreting of Damaged Paving Blocks at Marshalling Yard &
Rehabilitation of Drainage System
Mar 11 2010 Mar 8 2011 23,053,297.01 Ongoing-97.44%
34 Zamboanga Port, Zamboanga del Sur FO Construction of Fence and ISPS Delineation Area Mar 2 2010 Dec 22 2010 6,762,863.00 Ongoing-96.26%
Sub-Total PDO Southern Mindanao 135,496,141.09
Grand Total 1,679,521,459.83
37

Cargo throughput (in m.t.)
By Port District/Port Management Office
At Berth/Anchorage
38
PDO/PMO GRAND TOTAL
2010
2009
GRAND TOTAL
DOMESTIC FOREIGN DOMESTIC FOREIGN
PDO MNL/NORTHERN LUZON 70,316,061 24,861,197 45,454,864 61,687,825 26,667,432 35,020,393
Manila - N. Harbor 16,146,329 11,929,164 4,217,165 17,406,085 14,183,402 3,222,683
Manila - S. Harbor 12,958,525 5,374,364 7,584,161 10,734,949 5,385,457 5,349,492
- M.I.C.T. 18,266,554 913,378 17,353,176 15,639,479 822,314 14,817,165
Limay 16,314,686 6,274,691 10,039,995 14,670,054 5,929,723 8,740,331
San Fernando 6,629,967 369,600 6,260,367 3,237,258 346,536 2,890,722
PDO SOUTHERN LUZON 26,882,615 10,614,469 16,268,146 29,820,142 13,328,832 16,491,310
Batangas 18,724,059 6,175,429 12,548,630 20,807,830 7,032,623 13,775,207
Calapan 1,558,560 1,558,560 0 1,279,234 1,279,234 0
Legazpi 2,230,180 1,482,714 747,466 4,210,246 3,712,950 497,296
Puerto Princesa 4,369,816 1,397,766 2,972,050 3,522,832 1,304,025 2,218,807
PDO VISAYAS 23,768,003 16,030,126 7,737,877 20,771,261 15,301,624 5,469,637
Dumaguete 1,919,351 1,696,120 223,231 1,676,118 1,517,029 159,089
Iloilo 7,724,638 3,376,511 4,348,127 5,757,577 3,191,403 2,566,174
Ormoc 4,368,848 2,276,490 2,092,358 3,949,240 2,104,973 1,844,267
Pulupandan 6,045,063 5,675,037 370,026 6,267,092 5,815,762 451,330
Tacloban 1,688,880 1,328,378 360,502 1,346,944 1,184,671 162,273
Tagbilaran 2,021,223 1,677,590 343,633 1,774,290 1,487,786 286,504
PDO NORTHERN MINDANAO 28,823,840 9,751,271 19,072,569 22,823,025 8,702,033 14,120,992
Cagayan de Oro 6,229,040 5,028,157 1,200,883 5,698,752 4,186,894 1,511,858
Iligan 2,493,573 1,569,548 924,025 2,446,272 1,679,738 766,534
Nasipit 2,466,396 1,599,869 866,527 2,818,802 1,449,656 1,369,146
Ozamiz 1,022,834 916,300 106,534 865,597 834,954 30,643
Surigao 16,611,997 637,397 15,974,600 10,993,602 550,791 10,442,811
PDO SOUTHERN MINDANAO 16,605,161 8,539,837 8,065,324 14,792,801 7,936,498 6,856,303
Cotabato 56,544 56,544 0 70,036 70,036 0
Dapitan 617,480 413,477 204,003 585,120 415,651 169,469
Davao 10,624,929 4,120,627 6,504,302 9,299,841 3,813,631 5,486,210
General Santos 2,668,433 1,580,445 1,087,988 2,520,255 1,454,737 1,065,518
Zamboanga 2,637,775 2,368,744 269,031 2,317,549 2,182,443 135,106
TOTAL 166,395,680 69,796,900 96,598,780 149,895,054 71,936,419 77,958,635

passenger traFFiC
By Port District/Port Management Office
At Berth/Anchorage
PDO/PMO GRAND TOTAL
DISEM-
BARKED
p h i l i p p i n e p o r t s
a u t h o r i t y
2010
EMBARKED
GRAND TOTAL
a n n u a l
r e p o r t
DISEM-
BARKED
2009
EMBARKED
PDO MNL/NORTHERN LUZON 1,863,037 913,921 949,116 1,938,251 1,003,890 934,361
Manila - N. Harbor 821,983 375,750 446,233 821,565 420,222 401,343
Manila - S. Harbor 1,004,780 522,028 482,752 1,116,662 583,644 533,018
- M.I.C.T. 0 0 0 0 0 0
Limay 36,254 16,129 20,125 24 24 0
San Fernando 20 14 6 0 0 0
PDO SOUTHERN LUZON 16,513,171 8,357,922 8,155,249 12,634,440 5,980,585 6,653,855
Batangas 6,826,589 3,543,981 3,282,608 5,187,821 2,270,312 2,917,509
Calapan 5,604,719 2,808,733 2,795,986 4,268,677 2,125,982 2,142,695
Legazpi 3,800,785 1,863,689 1,937,096 2,835,355 1,422,150 1,413,205
Puerto Princesa 281,078 141,519 139,559 342,587 162,141 180,446
PDO VISAYAS 17,688,740 9,001,991 8,686,749 15,416,793 7,750,136 7,666,657
Dumaguete 3,207,250 1,649,272 1,557,978 2,867,827 1,472,288 1,395,539
Iloilo 2,585,835 1,293,915 1,291,920 2,276,740 1,121,538 1,155,202
Ormoc 2,315,381 1,164,399 1,150,982 2,049,001 1,031,080 1,017,921
Pulupandan 3,270,403 1,649,690 1,620,713 2,935,436 1,460,020 1,475,416
Tacloban 2,511,202 1,276,006 1,235,196 1,814,376 908,252 906,124
Tagbilaran 3,798,669 1,968,709 1,829,960 3,473,413 1,756,958 1,716,455
PDO NORTHERN MINDANAO 10,576,589 5,527,332 5,049,257 8,150,251 4,111,714 4,038,537
Cagayan de Oro 2,178,430 1,098,723 1,079,707 1,663,946 842,037 821,909
Iligan 3,301,809 1,855,614 1,446,195 2,276,667 1,062,302 1,214,365
Nasipit 315,284 172,175 143,109 281,626 139,951 141,675
Ozamiz 3,468,781 1,702,946 1,765,835 2,798,180 1,476,152 1,322,028
Surigao 1,312,285 697,874 614,411 1,129,832 591,272 538,560
PDO SOUTHERN MINDANAO 6,060,108 3,049,838 3,010,270 5,732,830 2,877,354 2,855,476
Cotabato 57 36 21 1,216 387 829
Dapitan 584,519 307,751 276,768 498,887 265,152 233,735
Davao 1,329,277 674,660 654,617 1,571,942 803,674 768,268
General Santos 108,285 51,612 56,673 114,106 54,032 60,074
Zamboanga 4,037,970 2,015,779 2,022,191 3,546,679 1,754,109 1,792,570
TOTAL 52,701,645 26,851,004 25,850,641 43,872,565 21,723,679 22,148,886
39

number oF shipCalls
By Port District/Port Management Office
At Berth/Anchorage
40
PDO/PMO GRAND TOTAL
2010
2009
GRAND TOTAL
DOMESTIC FOREIGN DOMESTIC FOREIGN
PDO MNL/NORTHERN LUZON 23,093 17,645 5,448 22,341 17,368 4,973
Manila - N. Harbor 4,967 4,436 531 5,043 4,602 441
Manila - S. Harbor 7,810 5,709 2,101 7,650 5,822 1,828
- M.I.C.T. 1,942 103 1,839 2,042 105 1,937
Limay 7,474 6,939 535 6,924 6,435 489
San Fernando 900 458 442 682 404 278
PDO SOUTHERN LUZON 96,853 95,321 1,532 88,168 86,806 1,362
Batangas 43,990 42,922 1,068 40,331 39,264 1,067
Calapan 22,800 22,800 0 22,122 22,122 0
Legazpi 23,814 23,706 108 20,617 20,547 70
Puerto Princesa 6,249 5,893 356 5,098 4,873 225
PDO VISAYAS 132,904 132,250 654 117,195 116,697 498
Dumaguete 37,019 36,962 57 34,937 34,892 45
Iloilo 22,751 22,534 217 19,266 19,140 126
Ormoc 13,313 13,140 173 12,082 11,900 182
Pulupandan 25,962 25,883 79 24,009 23,938 71
Tacloban 10,854 10,745 109 8,422 8,364 58
Tagbilaran 23,005 22,986 19 18,479 18,463 16
PDO NORTHERN MINDANAO 53,189 52,354 835 48,875 48,123 752
Cagayan de Oro 14,868 14,551 317 12,542 12,175 367
Iligan 14,305 14,180 125 14,296 14,186 110
Nasipit 1,083 1,063 20 1,103 1,076 27
Ozamiz 13,809 13,781 28 13,659 13,650 9
Surigao 9,124 8,779 345 7,275 7,036 239
PDO SOUTHERN MINDANAO 39,961 37,632 2,329 37,840 35,647 2,193
Cotabato 272 272 0 461 461 0
Dapitan 3,201 3,166 35 2,640 2,617 23
Davao 20,741 18,908 1,833 22,234 20,546 1,688
General Santos 1,464 1,127 337 1,504 1,107 397
Zamboanga 14,283 14,159 124 11,001 10,916 85
TOTAL 346,000 335,202 10,798 314,419 304,641 9,778

number oF Containers handled (in T.E.U.)
By Port District/Port Management Office
At Berth/Anchorage
PDO/PMO GRAND TOTAL
p h i l i p p i n e p o r t s
a u t h o r i t y
a n n u a l
r e p o r t
2010
2009
GRAND TOTAL
DOMESTIC FOREIGN DOMESTIC FOREIGN
PDO MNL/NORTHERN LUZON 3,158,023 747,649 2,410,374 2,877,638 810,118 2,067,520
Manila - N. Harbor 553,548 553,548 0 638,263 638,263 0
Manila - S. Harbor 988,268 101,764 886,504 838,950 86,608 752,342
- M.I.C.T. 1,612,886 89,542 1,523,344 1,397,594 82,932 1,314,662
Limay 3,321 2,795 526 2,831 2,315 516
San Fernando 0 0 0 0 0 0
PDO SOUTHERN LUZON 38,182 37,091 1091 18,946 18,749 197
Batangas 5,737 4,646 1091 1,649 1,452 197
Calapan 0 0 0 0 0 0
Legazpi 740 740 0 1 1 0
Puerto Princesa 31,705 31,705 0 17,296 17,296 0
PDO VISAYAS 246,873 246,873 0 238,492 238,492 0
Dumaguete 20,453 20,453 0 21,188 21,188 0
Iloilo 99,374 99,374 0 90,850 90,850 0
Ormoc 7,416 7,416 0 6,721 6,721 0
Pulupandan 92,709 92,709 0 96,013 96,013 0
Tacloban 15,788 15,788 0 13,258 13,258 0
Tagbilaran 11,133 11,133 0 10,462 10,462 0
PDO NORTHERN MINDANAO 256,379 236,648 19,731 222,786 193,461 29,325
Cagayan de Oro 170,975 151,244 19,731 149,189 119,864 29,325
Iligan 21,940 21,940 0 15,380 15,380 0
Nasipit 34,250 34,250 0 29,804 29,804 0
Ozamiz 27,687 27,687 0 26,531 26,531 0
Surigao 1,527 1,527 0 1,882 1,882 0
PDO SOUTHERN MINDANAO 798,177 371,598 426,579 653,669 332,219 321,450
Cotabato 0 0 0 0 0 0
Dapitan 6,156 6,156 0 6,292 6,292 0
Davao 584,669 212,129 372,540 453,348 181,227 272,121
General Santos 140,027 85,988 54,039 130,907 81,578 49,329
Zamboanga 67,325 67,325 0 63,122 63,122 0
TOTAL 4,497,634 1,639,859 2,857,775 4,011,531 1,593,039 2,418,492
41

independent auditor’s report
The Board of Directors
Philippine Ports Authority
Bonifacio Drive
Port Area, Manila
Report on the Financial Statements
We have audited the accompanying financial statements of the Philippine Ports Authority (PPA), which comprise the statement of
financial position as at December 31, 2010, and the statement of comprehensive income, statement of changes in equity and statement
of cash flows for the year then ended, and a summary of significant accounting policies and other explanatory information.
Management’s Responsibility for the Financial Statements
Management is responsible for the preparation and fair presentation of these financial statements in accordance with state accounting
principles generally accepted in the Philippines, and for such internal control as management determines is necessary to enable the
preparation of financial statements that are free from material misstatement, whether due to fraud or error.
Auditor’s Responsibility
Our responsibility is to express an opinion on these financial statements based on our audit. We conducted our audit in accordance
with Philippine Standards on Auditing. Those standards require that we comply with ethical requirements and plan and perform the
audit to obtain reasonable assurance whether the financial statements are free from material misstatement.
An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in the financial statements. The
procedures selected depend on the auditor’s judgment, including the assessment of the risks of material misstatement of the financial
statements, whether due to fraud or error. In making those risk assessments, the auditor considers internal control relevant to the
entity’s preparation and fair presentation of the financial statements in order to design audit procedures that are appropriate in
the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the entity’s internal control. An audit
also includes evaluating the appropriateness of accounting policies used and the reasonableness of accounting estimates made by
management, as well as evaluating the overall presentation of the financial statements.
We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our qualified audit opinion.
Basis for Qualified Opinion
Expenditures incurred for major repairs and maintenance and for acquisition of certain items of property and equipment amounting to
P49.56 million and P2.4 million, respectively, were not capitalized but were instead recognized in profit or loss for the period, while the
loss of P17.02 million incurred in the derecognition of certain items of property and equipment was not recognized in profit or loss for
the period. The accounting treatment for the above-mentioned transactions and events is contrary to Philippine Accounting Standard
No. 16 on Property, Plant and Equipment (PPE) and resulted in the understatement of PPE by P51.96 million, net overstatement
of expenses by P51.96 million and understatement of loss on derecognition of property and equipment by P17.02 million or net
understatement of income of P34.94 million.
The validity of recorded liabilities in the total amount of P21.27 million is doubtful as these are not properly supported with
documents.
42
Republic of the Philippines
COMMISSION ON AUDIT
Commonwealth Avenue, Quezon City, Philippines

Qualified Opinion
p h i l i p p i n e p o r t s
a u t h o r i t y
a n n u a l
r e p o r t
In our opinion, except for the effects and the possible effects on the financial statements of the matters described in the Basis for
Qualified Opinion paragraphs, the financial statements present fairly, in all material respects, the financial position of the Philippine
Ports Authority as at December 31, 2010, and of its financial performance and its cash flows for the year then ended in accordance with
state accounting principles generally accepted in the Philippines.
Emphasis of Matter
We draw attention to Note 49 to the financial statements which describes the uncertainty related to the outcome of the various
lawsuits involving the Authority.
Other Matter
As part of our audit of the 2009 financial statements, we also audited the adjustment described in Notes 9 and 27 that were applied to
amend the 2009 financial statements. In our opinion, such adjustments are appropriate and have been properly applied.
Report on the Supplementary Information Required Under Revenue Regulations 15-2010
Our audit was conducted for the purpose of forming an opinion on the basic financial statements taken as a whole. The supplementary
information on taxes, duties and license fees in Note 48 to the financial statements is presented for purposes of filing with the Bureau
of Internal Revenue and is not a required part of the basic financial statements. Such information is the responsibility of management.
The information has been subjected to the auditing procedures applied in our audit of the basic financial statements. In our opinion,
the information is fairly stated, in all material respects, in relation to the basic financial statements taken as a whole.
COMMISSION ON AUDIT
DIARALCASAN B. IBRAHIM
Supervising Auditor
June 29, 2011
43

statement oF FinanCial position
December 31, 2010
(With Comparative Figures as of December 31, 2009)
(In Philippine Peso)
ASSETS
Current Assets
44
Notes 2010
As Restated
2009
Cash on Hand and in Banks 6 2,602,511,853 2,631,730,631
Receivables - Net 7 1,048,221,739 1,045,491,495
Inventories 8 128,314,048 130,483,931
Prepayments 9 449,528,860 414,884,987
Other Current Assets 10 72,838,471 205,338,127
Total Current Assets 4,301,414,971 4,427,929,171
Non-Current Assets
Property and Equipment - Net 11 87,521,901,017 86,616,988,316
Investments in Securities 12 2,173,209,147 916,048,743
Notes Sinking Fund 13 835,924,367 548,409,944
Other Non-Current Assets 14 380,378,832 1,220,069,271
Total Non-Current Assets 90,911,413,363 89,301,516,274
LIABILITIES AND EQUITY
Current Liabilities
95,212,828,334 93,729,445,445
Accounts Payable 15 2,982,448,396 2,327,034,294
Payables to Other Government Agencies 16 601,145,599 1,802,518,940
Current Portion of Foreign Loans Payable 17 788,167,167 728,292,112
Other Current Liabilities 18 549,987,846 362,343,557
Total Current Liabilities 4,921,749,008 5,220,188,903
Non-Current Liabilities
Loans Payable - Foreign 19 8,297,850,502 8,554,895,762
Loans Payable - Domestic 20 500,000,000 500,000,000
Corporate Notes 21 2,000,000,000 2,000,000,000
Retirement Payable 22 430,497,299 379,426,612
Total Non-Current Liabilities 11,228,347,801 11,434,322,374
Deferred Credits 23 113,032,871 145,904,150
Equity 78,949,698,654 76,929,030,018
See accompanying Notes to Financial Statements.
95,212,828,334 93,729,445,445

statement oF Comprehensive inCome
For the Year Ended December 31, 2010
(With Comparative Figures as of December 31, 2009)
(In Philippine Peso)
REVENUES
p h i l i p p i n e p o r t s
a u t h o r i t y
Notes 2010
a n n u a l
r e p o r t
As Restated
2009
ICTSI Fees 28 2,760,143,493 2,526,887,668
Wharfage Dues 29 1,671,023,309 1,394,003,399
Share in Arrastre/Stevedoring Income 30 1,601,639,218 1,230,974,879
Dockage Fees 31 521,291,362 443,338,689
Port Dues 32 383,871,349 347,506,688
Storage Charges 33 289,422,380 200,501,075
Port Usage Fees 34 273,473,539 239,813,135
Terminal Fees 35 139,336,910 211,168,990
Vessel Traffic Management Service Fees 36 16,234,724 15,130,260
Pilotage 37 31,065,731 23,339,822
Lay-Up Fees 38 12,297,495 1,907,294
Other Income 39 406,414,307 334,738,800
OPERATING EXPENSES
8,106,213,816 6,969,310,699
Personal Services 40 1,313,540,451 1,242,469,260
Maintenance and Other Operating Expenses 41 3,988,847,768 3,597,940,082
5,302,388,219 4,840,409,342
PROFIT FROM OPERATIONS 2,803,825,597 2,128,901,357
OTHER INCOME/(EXPENSES)
Fund Management Income 42 172,321,940 142,350,268
Other General Income 43 16,952,837 17,449,706
Foreign Exchange Gain(Loss) on Revaluation 44 (533,373,996) 295,763,460
Financial Expenses 45 (491,460,392) (501,761,120)
Gain on Sale of Disposed Assets 141,073 -
(835,418,538) (46,197,686)
NET INCOME BEFORE INCOME TAX 1,968,407,059 2,082,703,671
INCOME TAX EXPENSE 46 476,543,671 469,866,369
NET PROFIT 1,491,863,388 1,612,837,302
See accompanying Notes to Financial Statements.
45

statement oF Changes in equity
For the Year Ended December 31, 2010
(With Comparative Figures as of December 31, 2009)
(In Philippine Peso)
CAPITAL CONTRIBUTION 24
National Government Contribution
46
Notes 2010
As Restated
2009
Balance at Beginning of Year 4,312,337,376 4,312,418,376
Derecognition of Land (Batalay- Legaspi) - (81,000)
Balance at End of Year 4,312,337,376 4,312,337,376
Donated Surplus 25
Balance at Beginning of Year 845,327,671 845,077,671
Donations Received from Mindanao
Development Authority 95,960 -
Donations Received from LGU and
Other Entities - 250,000
Balance at End of Year 845,423,631 845,327,671
APPRAISAL SURPLUS 26
Balance at Beginning of Year 57,635,542,897 57,623,437,073
Adjustments in Assets Appraised Values (650,400) 12,105,824
Balance at End of Year 57,634,892,497 57,635,542,897
RETAINED EARNINGS 27
Balance at Beginning of Year 14,135,822,074 14,033,813,395
Prior Year’s Adjustment 529,359,688 212,115,749
Net Profit During the Year 1,491,863,388 1,612,837,302
Dividends Paid During the Year - (200,000,000)
Provision for Additional Dividends - (1,522,944,372)
Balance at End of Year 16,157,045,150 14,135,822,074
TOTAL EQUITY 78,949,698,654 76,929,030,018

statement oF Cash Flows
For the Year Ended December 31, 2010
(With Comparative Figures as of December 31, 2009)
(In Philippine Peso)
CASH FLOWS FROM OPERATING ACTIVITIES
p h i l i p p i n e p o r t s
a u t h o r i t y
a n n u a l
r e p o r t
2010 2009
Collection of Port Revenues 7,691,706,150 6,761,069,712
Receipt of Fund Management Income 172,321,940 142,350,268
Receipt of Other Income 423,367,144 19,355,257
Receipt of Depository Liabilities 62,227,402 5,800,158
Refund (Payment) of Guaranty Deposits, Net 441,625 (120,192)
Payment of Operating Expenses (2,313,238,322) (2,598,636,464)
Remittance of Trust Liabilities (529,866,126) (984,459,106)
Payment of Accrued Interest (156,436,748) (52,614,514)
Receipt (Payment) of Miscellaneous Liabilities/Deferred Credits, Net (32,871,279) 4,978,541
Net Cash from Operating Activities 5,317,651,786 3,297,723,660
CASH FLOWS FROM INVESTING ACTIVITIES
Net Inflows (Outflows) from Investments (1,544,674,827) 23,441,815
Payments for Construction in Progress (2,074,441,405) (1,897,565,801)
Acquisition (Disposal) of Property and Equipment, Net (148,571,511) 1,053,934,831
Net Cash Used in Investing Activities (3,767,687,743) (820,189,155)
CASH FLOWS FROM FINANCING ACTIVITIES
Proceeds from Term Loan - 500,000,000
Loan Repayments (728,292,111) (745,265,687)
Dividend Payments (880,505,789) (200,000,000)
Calamity Loans Collected(Granted), Net 31,867,167 (78,672,406)
Net Cash Used in Financing Activities (1,576,930,733) (523,938,093)
EFFECT OF EXCHANGE RATE CHANGES ON CASH ON HAND AND IN BANKS (2,252,088) (847,057)
NET INCREASE (DECREASE) IN CASH ON HAND AND IN BANKS (29,218,778) 1,952,749,355
CASH ON HAND AND IN BANKS AT BEGINNING OF THE YEAR 2,631,730,631 678,981,276
CASH ON HAND AND IN BANKS AT END OF THE YEAR 2,602,511,853 2,631,730,631
47

notes to FinanCial statements
1. AGENCY BACKGROUND
48
The Philippine Ports Authority (PPA) was created by virtue of Presidential
Decree (PD) No. 505 dated 11 July 1974, revised by substitution on 23
December 1975 by PD 857. Its functions are to coordinate, streamline,
improve and optimize the planning, development, financing,
construction, maintenance and operations of ports or port system for
the entire country. Subsequent amendments under Executive Order
(EO) Nos. 523 & 546, issued on 16 November 1978 and 23 July 1979,
respectively, as well as Letter of Instruction (LOI) dated 11 April 1981
further enhanced PPA’s corporate powers to be more responsive
to the requirements of optimum port utilization, development and
operation. In Executive Order No. 159 dated 13 April 1987, corporate
autonomy was reverted to the PPA to insure the rapid development of
port or the port system directly under it and authority was granted to
execute port projects under its port program. The PPA is not exempted
from payment of all taxes, duties, fees, imports and other charges
imposed directly or indirectly by the Republic of the Philippines and its
instrumentalities.
The PPA is a government-owned corporation attached to the
Department of Transportation and Communications for policy and
program coordination. The corporate powers of the Authority are
vested to its Board of Directors composed of nine (9) members. Its top
management is headed by a General Manager and three (3) Assistant
General Managers, one each for Engineering Services, for Operations
and for Finance, Legal and Administrative Services. Delivering the front
line services are five (5) Port District Offices (PDOs) and twenty-four
(24) Port Management Offices (PMOs) and about twenty three (23)
base ports and sixty four (64) terminals ports. A Port District Manager
heads each PDO, exercising supervision over PMOs that are headed by
PMO Managers.
As of December 31, 2010, the PPA has a total of 2,219 employees,
composed of 443 Head Office personnel and 1,776 filled positions at
the PDOs and PMOs.
The major accomplishments of the PPA for CY 2010 are as follows:
• Billion pesos worth of projects were pursued in line with the PPA’s
vision of developing at least 10 ports that would meet international
standards. The development of SONA Ports and Roll-ON Roll-OFF
(RORO) ports were PPA’s priority on capital expenditures for the
year. Implemented were 30 locally-funded projects, 16 of which
were completed during the year and the remaining are still ongoing.
• Implementation of maintenance and repair projects on 108 port
facilities, 23 of which were completed, 42 were on-going and the
rest are still physically unstarted.
• Implementation of dredging projects which covered 11 port areas/
channels under the 2010 Revised Harbor Maintenance Program, of
which three (3) were completed, six (6) are still on-going while the
remaining two (2) are for implementation in year 2011.
• Generation of P8,288.44 million in revenue which was P1,159.33
million or 16.26% higher than the previous year.
• Awarding of 13 contracts to various Cargo Handling Operators
(CHOs) either thru bidding or renewal of expired contracts.
• Implementation of PPA ISO-Quality Management System (QMS)
project for the Ports of Batangas, Cagayan de Oro, Davao, General
Santos, Zamboanga, Ozamis and Iloilo, in support and compliance
of Executive Order No. 605 dated 23 February 2007. For the Port of
Batangas, second internal audit was recently carried-out to verify
closure of the previous non-conformities and observations raised
during the 2009 Internal Audit and Opportunities for Improvements
raised during the Stage 1 Certification Audit. For Cagayan de Oro
Port, training on Basic Quality and Productivity Improvement Tools
for QMS has been conducted in November 2010. Meanwhile, the
Ports of Davao, General Santos, Zamboanga, and Ozamis revised
their policy and procedure manuals based on the comments and
observations raised by the Head Office. For the Iloilo Port, the
Head Office is currently undergoing review and evaluation of its
QMS Policy Procedure Manual.
• Continued implementation of the following special projects:
o MIS Computerization Project
o Manila North Harbor Modernization Project
o Vessel Traffic Management System
o International Ship and Port Facility Security Code
o Shore Reception Facility
o E-Ticketing
o Formulation of Standards for Port Development and
Maintenance
2. PPA COMPUTERIZATION PROJECT
The Authority had embarked into its Management Information System
Computerization Project, otherwise known as the PROMPT (Providing
Reliable Operations and Management of Ports Thru Technology). The
project covers the automation of all aspects of the business processes
of the PPA. Components of the project, consisting of the Port
Operations Management System (POMS), Real Estate Management
System (REMS), and Legal Support System (LSS), were rolled out for
use at different offices of the PPA in year 2007. The other components,
namely, Accounting and Financial Management System (AFMS) and
Projects and Engineering Management System (PEMS) were rolled
out for use in 2009. In 2010, the last two components, namely, the
Electronic Procurement (eProc) and Executive Information System
(EIS), passed the MISD testing process and will be scheduled for users
training and roll out in the year 2011.
As of December 31, 2010, the total cost incurred for the project was
P1.11 billion which includes payments to contractor, consultants,
softwares, IT hardware/equipment, furniture and fixtures, and
administrative expenses.
3. THE MANILA NORTH HARBOR MODERNIZATION PROJECT
In line with PPA’s policy of implementing an integrated program for
planning, development, financing and operation of ports, the public
bidding for the Manila North Harbor Modernization Project was
conducted. The 25-year contract for the exclusive development,
management, operation and maintenance of North Harbor, comprising
of Pier 2 up to the Slipway, including Isla Puting Bato, was awarded to
the Manila North Harbour Port Incorporated (MNHPI) on 18 October
2009. As agreed upon, the contractor is authorized to collect cargo

handling and storage charges, cranage fees, terminal fees and other
port charges. In consideration, the MNHPI shall remit to the Authority
a fixed fee of six billion eight hundred eighteen million eight hundred
fifty five thousand pesos (P6,818,855,000) for a period of 25 years. The
management of the PPA at Manila North Harbor, on the other hand,
shall continue to collect charges such as Usage Fees, Wharfage and
Vessel Traffic Management Services Fees.
4. PPA CONCESSION ARRANGEMENT WITH ASIAN TERMINALS, INC. (ATI)
On 13 March 1992, PPA entered into a contract with ATI granting the
company sole and exclusive management and operation of cargo
handling services at the South Harbor of Manila up to 13 March
2007. Subsequently, a Compromise Agreement was executed on 18
September 1995. On 2 March 1998, a Supplemental Agreement was
executed extending the contract with ATI up to 18 May 2013 renewable
for another 25 years.
In consideration of the extension of its contract term, ATI committed
to invest not less than $300 million over the next 10 years from the
effectivity of the Supplemental Agreement.
Breakdown of the investment commitment under the First
Supplemental Agreement in the amount of $300 million is as follows:
Description In Million US$
Infrastructure $ 204.80
Equipment 79.00
IT & Communication Requirements 16.20
$ 300.00
Summary of Investments/Implemented Projects submitted by ATI
shows that the cost of rehabilitation, improvements and procurement
of equipment made by ATI from 1998 to 2010 amounted to $139.095
million broken down as follows:
Infrastructure $ 73.361
Equipment 57.830
IT & Communication Requirements 7.904
$ 139.095
On 19 October 2007 the Third Supplemental Contract was executed to
further extend the contract up to 18 May 2038. The Contract includes
the following provisions pertaining to ATI’s investment commitment:
The Contractor shall implement the projects for rehabilitation,
development and expansion of the South Harbor facilities in
accordance with the Investment Plan, as may, from time to
time, be revised or updated pursuant to the Third Supplemental
Contract.
Any excess funds from a specified project and any unused funds
for projects not implemented by agreement of the parties shall
be utilized for developments pursuant to the Investment Plan
as may be agreed by the parties.
All infrastructure and other improvements constructed and
all equipment purchased by the Contractor pursuant to the
Investment Plan and the Third Supplemental Contract as well as
the Existing Contract shall be owned by the Contractor until the
expiration of the Extended Term. Thereafter, the Contractor shall
transfer on an “as-is” basis the said facilities and equipment to
the Authority through a deed of assignment without payment of
any compensation, free from any liens and encumbrances.
p h i l i p p i n e p o r t s
a u t h o r i t y
a n n u a l
r e p o r t
The Contractor is committed to invest P120,000,000 for additional
works and other costs related to the construction of the Head Office
building of the Authority.
Under the Third Supplemental Contract, the Summary of Investments
to be implemented from Year 2009 to 2022 follows:
Particulars
Infrastructure
In Million US $
Equipment IT Total
International Containers 126.685 123.075 8.987 258.747
International Gen. Cargo 6.473 1.930 .362 8.765
Domestic Cargo 17.061 15.180 .706 32.947
150.219 140.185 10.055 300.459
Also included in the PPA concession arrangement with ATI is the
construction cost of the new PPA Corporate Office located at Bonifacio
Drive, South Harbor, Port Area, Manila. The new PPA Head Office
building and air-conditioners installed therein reached an estimated
amount of P451.29 million while the office furniture, fixtures and
equipment totaled P37.30 million.
5. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Basis of the Financial Statements
The Philippine Ports Authority adopted the New Government
Accounting System (NGAS) accounts prescribed under COA Circular No.
2004-02, and presented the financial statements in accordance with
state accounting principles generally accepted in the Philippines.
Head Office and Branch Office Accounts
The PPA financial statements include the accounts of the Head
Office and the different Port Districts and Port Management Offices
of the Authority. Branch accounting is maintained to account for the
transactions between and among PPA offices. The reciprocal Head
Office Subsidy Account takes the customary capital account at the
PDOs and PMOs, while the PDO/PMO Subsidy Account maintained
at the Head Office indicates the amount invested by the Authority in
its field offices. Financial statements are prepared periodically by the
PDOs and PMOs and submitted to the Head Office for preparation of
the combined financial statements.
Recognition of Income and Expense
The Authority uses the accrual method of accounting wherein income
and expenses are recognized as they are earned or incurred.
Income Tax
For income tax purposes, net profit less tax credit on investment in
fixed assets is declared. The tax credit is allowed under Section 25 of
PD 857 dated 28 December 1975. The Bureau of Internal Revenue
ruled that there is no express legal basis by which the PPA shall
claim as deduction in full its investments or capital expenditures
and, simultaneously, recover its cost as depreciation allowance. The
PPA opted for the special deduction or tax credit on investment in
fixed assets or capital expenditures during the year instead of the
depreciation expense as allowable deduction in the computation of the
Regular Corporate Income Tax (RCIT).
Pursuant to Section 27(E) of the 1997 National Internal Revenue Code,
as amended, the prescribed Minimum Corporate Income Tax (MCIT),
which is equivalent to two percent (2%) of gross income, is paid if higher
than the RCIT.
49

50
Foreign Exchange Transactions
Transactions in foreign currencies are recorded using the exchange rate
in effect at the date of the transactions. PPA Memorandum Circular
No. 16 dated 6 October 2006 prescribed that the 15-day average
Bangko Sentral ng Pilipinas (BSP) guiding rates prevailing at the time
of issuance of the invoice computed by the Commercial Services
Department shall be used in determining the peso value of the dollardenominated
port charges due to PPA. Meanwhile, the remittances
of cargo handling operators are converted into pesos using the BSP
guiding rate prevailing at the time of payment in conformity with their
contract agreements with the PPA.
PPA Finance Memorandum Circular No. 01-2003 provides that the
monetary asset or depository account and liabilities denominated
in foreign currencies should be restated using the BSP guiding rate
of exchange as of reporting date. Foreign exchange differences are
treated as follows:
a) For loans identified with completed projects and those used to
acquire invoiced assets, the gain or loss is recognized in profit or
loss for the period.
b) For loans related to assets still in-progress, the foreign exchange
difference is capitalized and included in the carrying amount of
the Fixed Asset-In Process.
c) For other foreign currency transactions, i.e. deposits in foreign
currency, the gain or loss is recognized in profit or loss for the
period similar to item a.
Provision for Doubtful Accounts
Receivables are valued at face amounts minus allowances set up for
doubtful accounts and for any anticipated adjustments which, in the
normal course of events, will reduce the amount of receivables from
the debtors to estimated realizable values.
PPA Finance Memorandum Order No. 02-2009 dated 22 April 2009
prescribes the rates on provisions for doubtful accounts, as follows:
Age (Days) of
181- Over
Dormant
with
Nil Chance
A/R Trade
Rate of
1-30 31-90 91-180 365 365 of Collection
Allowance 5% 10% 20% 40% 60% 100%
Inventories
Inventories of spare parts, except for PPA dredgers, accountable forms,
supplies and materials, are valued at cost, net of Value-Added Tax
(VAT), using the moving average method of costing.
In conformity with COA Circular 2005-002 dated 14 April 2005, semiexpendable
items with estimated useful life of more than a year
but small enough to be considered as property and equipment are
considered part of the inventory upon acquisition. Items issued during
the year are treated as expense, charged to profit or loss of the current
year.
Pursuant to PPA Memorandum Circular No. 35-2003 dated 8 December
2003, spare parts needed for PPA dredgers which are under contract
with F. F. Cruz and Company should be sourced first from the stock pile
of the Authority and shall be valued at the prevailing market price upon
issuance to the Contractor.
Investments
Investments in the form of Treasury Bills and Treasury Bonds and
Land Bank of the Philippines-issued bonds are valued at cost including
withholding taxes.
Property and Equipment
Property and equipment of the Authority are carried in the books
at appraised values except for additions in between the periods of
appraisal which are recorded at acquisition cost net of Value Added Tax
(VAT). Appraisal of assets is done by an independent appraiser once
every five years pursuant to the Authority’s loan covenants with the
World Bank. Upon retirement or disposal, both the assets’ cost and
appraisal increment and their related accumulated depreciation are
removed from the accounts and any resulting gain or loss is recognized
for the period.
Depreciation is computed based on the carrying value of the property,
net of ten percent (10%) residual value, using the straight-line method
over the estimated useful lives of the assets in accordance with PPA
Memorandum Circular No. 37-2005 issued in conformity with COA
Circular No. 2004-003.
Infrastructure projects are valued following the Construction Period
Theory. The costs of on-going projects and accounts payable on the
projects are based on actual physical accomplishment reported by the
Engineering Office.
Land that forms part of property and equipment is acquired either
thru:
• Purchase
• Transfer by the National Government consistent with Section 30
and Section 10B (i) of PD 857.
• Reclamation of port areas pursuant to Section 6.b (x) of PD 857.
Land purchased by the Authority is covered with Transfer Certificate
of Title, while property transferred from the National Government
and land reclaimed from the sea are covered by Proclamations and
Executive Orders. To date, a total of 41 ports have been issued with the
covering Executive Orders/Proclamations granting PPA administrative
jurisdiction over the pieces of property. Executive Orders for 66 ports
are for signature at the Office of the President, while 233 Executive
Orders covering other Port Zone Delineation Projects of the Authority
are for preparation and approval.
6. CASH ON HAND AND IN BANKS
The breakdown of this account is as follows:
2010 2009
Cash in Bank 2,574,743,169 2,591,341,479
Cash-Collecting Officers 27,356,383 37,468,455
Cash-Disbursing Officers 275,745 2,739,794
Cash-Other Officers 136,556 180,903
2,602,511,853 2,631,730,631

7. RECEIVABLES
This account includes the following:
2010 2009
Receivables-Trade
Accounts Receivable 846,880,662 838,646,229
Notes Receivable 29,088,731 29,770,293
Interest Receivable 559,990 508,117
876,529,383 868,924,639
Less Allowance for Doubtful Accounts (77,274,265) (115,617,133)
Other Receivables
799,255,118 753,307,506
Due from Officers & Employees 129,083,223 186,682,901
Due from Operating Units & Other Funds 47,074,074 38,805,092
Due from NGAs, GOCCs & LGUs 24,310,371 28,720,373
Miscellaneous Receivables 82,090,876 56,281,881
282,558,544 310,490,247
Less Allowance for Doubtful Accounts (33,591,923) (18,306,258)
248,966,621 292,183,989
1,048,221,739 1,045,491,495
Accounts Receivable - Trade refers to the amounts due from port
users/customers arising from trading or business transactions that
are expected to be collected within the allowable credit period.
Notes Receivable represents the realizable value of promissory notes
issued by port users to cover the assessments of their restructured
accounts, payable within specified repayment period.
Interest Receivable is comprised of interest and penalty charges
imposed on unpaid accounts due from port users.
Due from Officers and Employees includes calamity loans granted to
PPA officers and employees, receivables for tax deficiencies, and cash
advances for travel granted to PPA Officers and employees.
Due from Operating Units & Other Funds covers the net income of
Special Take-Over Units (STUs) that are due for remittance to the
Port Management Offices of the Authority, the revolving funds of
field or terminal offices and unsettled cash advances for various port
development projects.
Due from NGAs, GOCCs, & LGUs consists of the amounts due from
various departments, bureaus, corporations and local units of the
government. Included is a cash advance amounting to P4.20 million
issued by PMO Cagayan de Oro to the provincial government of Camiguin
for land acquisition and relocation expenses of families affected by port
development projects at Benoni. The account also includes accrued
interests on investments in Treasury Bills and on bank deposits.
Miscellaneous Receivables represent the amount due from
accountable officers and employees for refund of overpayments and
audit disallowances which have become final and executory.
The Allowance for Doubtful Accounts provided in conformity with the
rates prescribed in PPA Finance Memo Order No. 02-2009 dated 22
April 2009 as determined according to the number of days the Accounts
Receivable had remained outstanding follows:
No. of Days
Past Due Accounts Amount of
Past Due Rate
Receivable
Provision
1-30 5% 8,259,400 412,970
31-90 10% 9,395,855 939,586
91-180 20% 12,740,354 2,548,071
181-365 40% 18,409,907 7,363,963
Over 365 60% 101,245,470 60,747,282
Dormant 100% 5,262,393 5,262,393
77,274,265
p h i l i p p i n e p o r t s
a u t h o r i t y
8. INVENTORIES
a n n u a l
r e p o r t
This account includes inventory balances of office supplies, accountable
forms, spare parts, construction materials and other supplies
and materials. The book value of spare parts for PPA dredgers in
the custody of the Head Office Harbor Maintenance Department
amounting to P102.85 million for CY 2010 and P103.14 million for CY
2009 substantially comprised the balance of the account.
9. PREPAYMENTS
As Restated
2010 2009
Advance Payment to Contractors 194,315,625 199,930,177
Prepaid Taxes 150,527,568 66,657,062
Prepaid Insurance 22,980,647 26,204,868
Procurement Service 14,291,617 23,519,721
Other Prepayments 67,413,403 98,573,159
449,528,860 414,884,987
This account includes the following:
Advance Payment to Contractors not exceeding 15% of the total contract
price are granted pursuant to Republic Act 9184. The advances, which
are repaid thru deductions from progress payments to Contractors,
are secured with irrevocable letters of credit of equivalent values from
commercial banks, bank guarantees or surety bonds.
Prepaid Taxes consist of the amounts of expanded or creditable
withholding taxes deducted by port users from wharfage and rental
of real property and other port facilities. Section 76 of the National
Internal Revenue Code allows cash refund of the amount withheld
or the use of the covering tax credit certificates against future tax
liabilities.
Other Prepayments pertains to deferred charges such as excess income
tax payment, excess output VAT payment, and feasibility study charges.
Deferred tax asset recorded this year resulted from overpayment of
income tax for CY 2009 income amounting to P76.50 million (based on
Income Tax Return filed on January 5, 2011). This amount was, however,
reduced to P41.90 million at year end due to application as a tax credit
in the annual income tax return filed for CY 2010. The account also
includes prepaid interest and other prepaid expenses.
The account balance for 2009 was restated to reflect the adjustment
for the overpayment of Income Tax for the said year in the amount of
P76.50million.
10. OTHER CURRENT ASSETS
The breakdown of this account is as follows:
2010 2009
Miscellaneous-Input VAT 63,621,456 195,675,487
Guaranty Deposits 8,980,255 9,421,880
Others 236,760 240,760
72,838,471 205,338,127
51

52
Miscellaneous-Input Value Added Tax (VAT) pertains to the carried over balance of VAT paid by the Authority for acquired goods and services that may
be applied as tax credit or deducted from the remittance of Output VAT.
Guaranty Deposits consist of the amounts deposited with contractors/suppliers to guarantee performance of obligation, such as deposits with
Meralco, PLDT, lessors of buildings occupied by the Authority, and others.
11. PROPERTY AND EQUIPMENT
This account is composed of the following:
Land
Buildings
and Other
Structures
Construction
in
Progress
(Amounts in Thousands)
Motor
Vehicles
Machinery
and
Equipment
Office
Equipment
Other
Fixed
Assets TOTAL
At December 31, 2009
Cost 59,484,221 36,196,258 2,687,404 199,410 286,526 1,388,562 1,352,949 101,595,330
Accumulated Depreciation - (13,300,504) - (117,496) (128,803) (472,146) (959,392) (14,978,341)
Net Carrying Value
Year Ended December 31, 2010
59,484,221 22,895,754 2,687,404 81,914 157,723 916,416 393,557 86,616,989
Opening Carrying Value 59,484,221 22,895,754 2,687,404 81,914 157,723 916,416 393,557 86,616,989
Additions 914,752 1,448,543 2,418,542 1,373 39,753 220,757 - 5,043,720
Disposed/Retired/Completed/Transferred (82,268) (78,896) (2,290,625) (2,721) (6,603) (29,917) (273,509) (2,764,539)
Depreciation for the Year
Adjustment on Prior
- (1,339,169) - (12,405) (23,970) (127,918) (54,412) (1,557,874)
Years’ Depreciation
Closing Net
- (109,800) - 2,199 8,024 39,286 243,896 183,605
Carrying Value
At December 31, 2010
60,316,705 22,816,432 2,815,321 70,360 174,927 1,018,624 309,532 87,521,901
Cost 60,316,705 37,565,905 2,815,321 198,062 319,676 1,579,402 1,079,440 103,874,511
Accumulated Depreciation - (14,749,473) - (127,702) (144,749) (560,778) (769,908) (16,352,610)
Net Carrying Value 60,316,705 22,816,432 2,815,321 70,360 174,927 1,018,624 309,532 87,521,901
The value of land includes the cost of entry of Judgment from the Supreme Court En Banc in G.R. Nos. 154211-12, 158252, 166200, 168272, 170683
and 173392 amounting to P255 million which will be paid in 2011 to the owners of property covered by Batangas Port Development Project Phase II.
The latest appraisal of fixed assets was conducted in 2006.
The value of Construction in Progress corresponds to the percentage of completion of each project as reported by the Engineering Office as of
December 31.
Depreciation expense on port structures amounting P1,289,229,403 accounted for 82% of the total depreciation during the year of P1.57 billion.
The account includes various fixed assets currently being utilized by Asian Terminals, Inc. (ATI) and still in the books of PMO South Harbor. The list of
assets, their costs, accumulated depreciation and carrying amounts follows:
Reproduction As of December 31, 2010
Cost Accumulated Carrying
Asset Type/Description
CY 2006 Depreciation Amount
ATI Hiring Hall (formerly Port Police Division/Port Eng’g. Office, Rotation Hall, Blk 155 7,300,000 3,796,000 3,504,000
Concrete and Asphalt Pavement, CY 01 66,745,000 38,712,100 28,032,900
Concrete Yard, CY 02 19,032,000 11,038,760 7,993,240
Concrete Yard, CY 03 (Stalag)
Water Line Distribution System, Pier 5*
3,795,000 2,201,100 1,593,900
Warehouse No. 1 Block 170 (formerly Metroport) 23,600,000 12,272,000 11,328,000
Warehouse No. 2/ATI Operations & Eng’g. Center, Blk 141 (formerly Metroport) 16,700,000 13,694,000 3,006,000
Warehouse No. 3/ATI Eng’g. Workshop Blk 142 (formerly Metroport) 11,080,000 5,761,600 5,318,400
Warehouse No. 1-B, Blk 109 32,670,000 23,522,400 9,147,600
No. 2 Pier 13, Shed E 12,408,000 8,933,960 3,474,040
No. 9 Pier 9, Shed B 25,220,000 18,158,400 7,061,600
Gate 4 Entrance Shed & Security Booth 1,135,000 1,021,500 113,500
ATI GSD Workshop (formerly Marina Motorpool Shop & Shed, Blk 177) 15,390,000 10,311,800 5,078,200
Pier 3 328,254,000 190,511,360 137,742,640
Pier 15 (old) including rehabilitation and other works 349,728,000 207,265,360 142,462,640
Pier 13 380,259,000 197,814,660 182,444,340
RO-RO Ramp, Pier 13 9,277,000 8,349,300 927,700
Pier 9 (old) including rehabilitation and other works 331,674,000 249,199,880 82,474,120
Pier 5 (old) including rehabilitation and other works 386,880,000 167,051,320 219,828,680
Note:
2,021,147,000 1,169,615,500 851,531,500
* Water line distribution system includes Pier 3, Pier 5 and Pier 9. 36,774,000 33,096,600 3,677,400

12. INVESTMENTS IN SECURITIES
This account represents funds earmarked for various infrastructure
projects and for the retirement benefits of PPA personnel that were
invested in the following:
2010 2009
Treasury Bills 1,825,936,343 817,095,558
Treasury and LBP Bonds 347,002,804 98,683,185
Others 270,000 270,000
2,173,209,147 916,048,743
The holding period of the T-bills, with interest rates of 4.35% to 4.60%,
ranges from 348 to 364 days. The Land Bank bonds consist of 25-year,
6% bonds that are tax-free; whereas the Treasury bonds with holding
period of 974 and 1,032 days and interest rate of 8.5% and 5.25% will
mature in March 2011 and January 2013.
13. NOTES SINKING FUND
In accordance with the Sinking Fund Management Agreement covering
the issuance in year 2007 of P2 billion Corporate Notes, the PPA shall
establish and maintain a Sinking Fund with the Bureau of Treasury
(BTr), the Sinking Fund Manager, for the purpose of redeeming the
Notes upon maturity in 2015. The amount of P262.013 million shall
be payable annually on every anniversary of its issue. The Fund
accumulated to P835.92 million and P548.410 million as of December
31, 2010 and 2009, respectively, inclusive of interest earned.
14. OTHER NON-CURRENT ASSETS
This account consists of the following:
2010 2009
Non-Operating Assets 232,727,700 287,085,898
Receivable from MNHPI 102,506,548 102,506,548
Restricted Cash Deposits 22,030,546 743,573,384
Deposits with the BTr 18,748,154 18,748,154
Receivable from the PNR 18,000,000 18,000,000
Items in Transit 3,061,712 66,936,756
Others 1,304,172 1,218,531
398,378,832 1,238,069,271
Less Allowance for Doubtful Accounts 18,000,000 18,000,000
380,378,832 1,220,069,271
Non-Operating Assets to a large extent is comprised of the costs of
projects implemented by the Department of Public Works and Highways
(DPWH) thru the issuance of cash advances to its accountable officers
amounting to P109.58 million, and another P10.80 million issued in 1977
which have remained unsettled to date. The accounts are subject of a
previous request to the Commission on Audit for closure/derecognition
in the books. Evaluation of the request cannot be completed pending
completion and submission by management of additional supporting
documents. Resubmission of the request, together with the required
documents was done by Management in August 2010. The account
also includes the carrying values of serviceable assets but no longer
used in port operations and the value of unserviceable assets awaiting
disposal.
Receivable from MNHPI represents the balance on advances made by
the Authority in payment of the past service benefits of port workers
at the Special Take-Over Unit (STU) United Dockhandlers Inc. (UDI) of
PMO North Harbor. As stipulated in Section 3.02-b of the Contract
for Development, Management, Operation and Maintenance of the
Manila North Harbor signed 19 November 2009, the amount shall be
reimbursed in five years at P20.6 million per year, starting on the
fourth year, by the winning bidder, the Manila North Harbour Port, Inc.
(MNHPI).
p h i l i p p i n e p o r t s
a u t h o r i t y
a n n u a l
r e p o r t
Restricted Cash Deposits pertain to the funds held in escrow which
are either kept in fixed-term deposits at the BTr, Land Bank of the
Philippines and the Development Bank of the Philippines. These funds
are earmarked for the partial settlement of claims involving Case No.
5447 concerning land expropriation in Batangas and claim for real
estate tax at the Port of Iloilo.
Deposits with the BTr account pertains to the balance of the
Special Account kept with the Bureau of Treasury in pursuant to
the requirements of PD 1234. Collections remitted, as well as
reimbursements of PPA advances for project expenditures financed by
foreign loans, are deposited to this account through the then Central
Bank of the Philippines. The account is similarly covered with request
for write off in PPA books since it is inactive for several years and is
no longer found in the books of the Bureau of Treasury. The use of
this account was discontinued with the issuance of Executive Order
No. 159.
Receivable from the PNR account pertains to the balance of a P20
million loan that was granted to the Philippine National Railways for
the rehabilitation of existing railways from the Manila International
Container Terminal (MICT) in Port Area, Manila to the Food Terminal,
Inc. (FTI) in Taguig, Metro Manila. The outstanding balance of P18
million remained unsettled despite series of negotiations with the
PNR. Thus, officials of PPA-Legal Services Department and the Office
of the Government Corporate Counsel (OGCC) decided to submit the
case for arbitration before the OGCC/DOJ. The account is provided with
a 100% allowance for uncollectibility.
15. ACCOUNTS PAYABLE
This account is composed of the following:
2010 2009
Trade/Business Payables 2,739,668,960 1,921,991,429
Due to Officers and Employees 196,867,637 265,871,357
Accrued Interest Payable 45,402,624 46,341,955
Intra-Agency Payables 509,175 92,829,553
2,982,448,396 2,327,034,294
Trade/Business Payables are obligations incurred in the procurement
of goods and services from private suppliers and entities arising from
the conduct of business operations. It also includes set up of payables
amounting to P255 million representing the expropriation case of
property for Batangas Port Development Project Phase II which was
finally resolved by the Supreme Court and will be totally settled in
2011.
Due to Officers and Employees consists of liabilities set-up for the
payment of services rendered by employees i.e., salaries, overtime,
bonuses and incentives, allowances, reimbursement of official
expenses, and other claims due to PPA personnel.
Accrued Interest Payable pertains to the amount of interests due for
payment on foreign loans acquired from various creditors.
Intra-Agency Payables are liabilities of one PPA office to another such
as those covered with Authority to Pay (ATP) and amounts due to
Special Take-Over Units.
16. PAYABLES TO OTHER GOVERNMENT AGENCIES
This account is comprised of inter-agency payables involving the
mandatory deductions withheld from salaries of personnel that
are due for remittance in payment of taxes, employees’ insurance
premium contributions, and loan amortizations. Also included are
liabilities for advances made by other government agencies for specific
purposes.
53

54
Due to the BTr balance in CY 2009 was restated due to dividends for CY
2008 and 2009 of P712,919,626 remitted and taken up in CY 2010.
As Restated
2010 2009
Due to the BTr 470,287,912 1,551,310,931
Due to BIR 80,230,795 173,202,752
Due to Other National Government Agencies 27,169,682 7,846,175
Due to Gov’t Service Insurance System 12,818,357 16,944,080
Due to Local Government Units 4,981,733 1,422,706
Due to Other GOCCs 4,551,753 50,312,467
Due to Pag-IBIG 979,049 1,259,906
Due to Philhealth 126,318 219,923
601,145,599 1,802,518,940
17. CURRENT PORTION OF FOREIGN LOANS PAYABLE
The amount represents maturing obligations on long-term debts or
the principal amortization on foreign loans due for repayment on the
following year.
18. OTHER CURRENT LIABILITIES
2010 2009
Trust Liabilities 193,902,544 143,554,198
Depository Liabilities 138,270,388 76,042,985
Current Portion-Retirement Payable 35,157,714 35,367,591
Performance/Bidders Bonds Payable 30,202,499 29,642,878
Tax Refund Payable 3,881,429 4,258,246
Other Payables 148,573,272 73,477,659
549,987,846 362,343,557
Trust Liabilities consist substantially of retention fees withheld from
suppliers and contractors to guaranty the performance and delivery of
contracted goods and services, and deductions on salaries of personnel
for Pantalan Union dues, and Employees’ Cooperative.
Depository Liabilities are deposits other than those required to
guaranty the performance of contracts.
Other Payables include liabilities for the relocation of informal
settlers.
19. LOANS PAYABLE - FOREIGN
Below is the breakdown of the account:
Loan
Account
Interest
Rate
No. of Years
& Maturity
Loan
Amount
Outstanding Balance
In Peso
%
Date
In Foreign Currency
2010 2009
ADB-875 6.53 20.0 Oct. 2012 $ 43,083,327 ¥1,385,079,094 P 520,216,578 P 700,711,514
JBIC-PH-P40 3.00 20.5 June 2010 1,529,753,393 11,193,000 - 5,662,539
JBIC-PH-P61 3.00 20.5 Sept. 2013 169,794,479 33,120,000 13,349,016 16,755,408
JBIC-PH-P84 3.00 20.5 Jan. 2018 61,381,669 25,449,000 12,067,317 12,874,649
JBIC-PH-P91 3.00 20.5 Jan. 2018 169,158,544 70,108,000 33,243,564 35,467,637
JBIC-PH-P122 2.70 20.5 June 2021 5,497,049,624 3,083,679,000 1,513,067,434 1,560,033,206
JBIC-PH-P172 2.30 20.5 Mar. 2027 502,889,141 429,240,000 217,492,229 217,152,516
JBIC-PH-P187 2.20 20.0 Sept. 2028 13,788,000,000 12,307,554,000 6,265,970,071 6,226,391,569
JBIC-PH-P187A 2.20 31.0 Sept. 2038 767,000,000 970,514,000 503,569,595 490,983,033
KFW-D1-P2 2.00 20.0 Dec. 2011 306,775 30,677 890,158 2,045,100
KFW-D2-P2 2.00 20.0 Dec. 2011 2,388,410 226,668 6,151,707 15,110,703
9,086,017,669* 9,283,187,874
Current Portion (788,167,167) (728,292,112)
*equivalent to $ 207.042 million
20. LOANS PAYABLE - DOMESTIC
This account pertains to the first tranche released in 27 May 2009 of
a P1.0 billion, two-tranche loan facility acquired from the Philippine
Veterans Bank to finance the construction of port facilities. The
domestic loan has a fixed interest rate for the first three years based
on the three-year PDST-F rate at the date of drawdown for each
tranche, plus a spread of ½% (0.50%). Thereafter, interest will be repriced
annually based on the one year PDST-F rate plus a spread of
½%. Interest is payable quarterly and computed on a 360-day calendar
period. The loan has a term of seven years from the date of release
inclusive of three years grace period. The principal is payable in eight
equal amortizations starting on the seventh semi-annual payment
date. The release of the second tranche of P500 million has been
extended up to 31 March 2011.
21. CORPORATE NOTES
The PPA entered into an Issue Management and Underwriting
Agreement with the Development Bank of the Philippines in 2007, for
the issuance of a P2.0 billion seven-year Corporate Notes with fixed
interest rate of 7.783%, payable every quarter. The first tranche of
the Corporate Notes guaranteed by the Republic of the Philippines
amounting to P1.0 billion was released on 18 July 2007. The second
and third tranches amounting to P500 million each were released on
14 March 2008 and 13 May 2008, respectively. The taxes and other
charges incurred in the issuance of the notes were recognized as
expense in the period of release.
22. RETIREMENT PAYABLE
This account represents the amount earmarked to cover the present
money value of the retirement gratuity of PPA personnel qualified to
retire under Republic Act (RA) 1616, wherein the Agency is mandated
to pay lump sum amount to the retirees, including the present money
value of accumulated leave credits of personnel based on their basic
salaries as of reporting date, as follows:
P 8,297,850,502 P 8,554,895,762

2010 2009
Balance as of January 1 414,794,203 359,455,254
Less Payment of Retirement Gratuity and
Terminal Leave Benefit During the Year (49,197,621) (42,463,908)
Add Provisions for the Year
Accumulated Leave Credits
21,686,620 22,644,267
Retirement Gratuity
78,371,811 75,158,590
Total Retirement Payable December 31 465,655,013 414,794,203
Less Current Portion (35,157,714) (35,367,591)
Retirement Payable – Non-Current Portion 430,497,299 379,426,612
23. DEFERRED CREDITS
This account includes the amount of income received before it is
earned or realized, such as Output Vat on income earned that is due for
remittance to the Bureau of Internal Revenue and amounts received in
advance on leased property.
2010 2009
Output VAT 91,835,401 86,102,505
Deferred Credits to Income 14,314,441 53,011,269
Other Deferred Credits 6,883,029 6,790,376
113,032,871 145,904,150
24. CAPITAL CONTRIBUTION
EO No. 513, amending PD 857, increased the authorized capital of the
Authority from P3.0 billion to P5.0 billion.
Government Contribution to the Authority as initial paid up capital
consisted of:
a) The value of assets (including port facilities, quays, wharves, and
equipment) and such other property, movable and immovable
contributed or transferred by the Government and its agencies
valued at the date of the contribution or transfer after deducting
the loans and other liabilities of the Authority.
b) The initial cash appropriation of P2.0 million out of the funds of
the National Treasury and further sums, including working capital
contributed by the National Government.
25. DONATED SURPLUS
Donated Surplus represents the amount of cash or property received
as donations from entities other than the National Government.
26. APPRAISAL SURPLUS
Appraisal increase, which is the difference between historical cost
and the appraised value of fixed assets, is added to the carrying
value of property and equipment. Appraisal Surplus corresponds to
the cumulative amounts of appraisal increases determined by hired
independent appraisers in the conduct of appraisal of PPA Fixed Assets,
once every five years. The last appraisal was conducted in 2006.
27. RETAINED EARNINGS
This account represents the recorded cumulative net profit of the
PPA from the start of its operation, net of the dividends paid to the
BTr. Pursuant to Section 5 of RA 7656 dated 9 November 1993, the
Authority declares and remits fifty percent (50%) of its annual earnings
as dividends to the National Government.
p h i l i p p i n e p o r t s
a u t h o r i t y
a n n u a l
r e p o r t
Net Income for 2009 was restated due to excess payment of income
tax for CY 2009 taken up as prepaid taxes in 2010. In 2009, Financial
statement disclosed an income tax of P546,369,843 while the final
Income Tax Return showed that the amount due is P469,866,369
only with a difference of P76,503,474. Also, Provision for Dividends
as reflected in the Financial Statement was restated to reflect
understatement of Dividends Payable taken up in 2009. In 2009,
Dividends Payable taken up is only P810,024,746 for 2008 and none for
2009 in 2009 Financial Statements. In 2010, adjustment on Dividends
Payable of P712,919,626 was taken up, P89,179,362 for 2008 and
P623,740,264 for 2009.
28. ICTSI FEES
In 1988, the Authority entered into an agreement with the International
Container Terminal Services, Inc. (ICTSI), a consortium of Andres
Soriano Corporation (ANSCOR), E. Razon, Inc. (ERI), and Sealand Orient
International (SOI), for the management, operation and development
of the Manila International Container Terminal (MICT) at the Port of
Manila, subject to the direct control and supervision of the Authority.
The contract provides that the contractor shall remit to the Authority
in Philippine Pesos an amount equivalent to Three Hundred Thirteen
Million Seven Hundred Fifty Six Thousand ($313,756,000) US Dollars in
one hundred (100) quarterly installments, payable in advance not later
than the fifth (5th) day of the first month of every quarter without the
need for demand. The U.S. dollar equivalent of the Philippine peso
shall be based on the reference rate of the Bankers Association of the
Philippines or the equivalent reference rate at the time the payment is
made.
In addition to the Fixed Fee, the contractor shall share with the Authority
variable fee equivalent to 20% of its “GROSS REVENUE” which, as defined
in the contract, shall include all income generated by the Contractor
from the MICT from every source and on every account except interest
income, whether collected or not, to include but not limited to Harbor
Dues, Berthing Fees, Wharfage, Cargo Handling Revenues, Cranage
Fees, Stripping/Stuffing Charges and all other revenues from Ancillary
Services.“
A renewal of the agreement was made on 20 April 2005 which provides
for an extension of the contract period for another 25 years reckoned
from 19 May 2013. Further, the agreement requires that the contractor
shall:
1. Provide additional investment of not less than US$125 million for
the construction and development of new facilities which shall be
completed not later than 18 May 2013;
2. Pay lump sum fee of P670 million on 20 May 2013;
3. For the extended term, the Fixed Fee shall be US$600 million
payable in 100 quarterly installments, to be paid in advance not
later than the 5th day of the first month of every quarter without
the need for demand;
4. The variable fee during the extended term shall be 20% of the gross
revenue earned at the MICT.
29. WHARFAGE DUES
This refers to the charges levied on loaded/unloaded cargoes whether
imports, exports, inbound, outbound, or transshipments. The
computation is based on metric ton for non-containerized cargoes and
per box for containerized cargoes.
55

30. SHARE IN ARRASTRE / STEVEDORING INCOME
56
This account represents the government share on the receipts or
earnings of cargo handlers from arrastre and stevedoring service.
Arrastre refers to the set of shore-based cargo handling activities that
includes, but is not limited to, the receiving or loading of cargoes to/from
ship’s tackle with the use of dock gang and cargo handling equipment.
On the other hand, stevedoring service covers the discharging and
loading of containers, loaded or empty, from the vessel to the dock/
apron and vice-versa, and the opening and closing of hatch covers, lids
and supporting beams.
31. DOCKAGE FEES
Dockage or berthing fee is the amount assessed against a vessel
engaged in international (foreign) trade for berthing. It is levied on
cargo vessels based on the number of days of stay for the purpose
of discharging and/or loading cargo; and on non-cargo vessels for the
purpose of loading and/or taking passengers or for taking fresh water
supply or receiving bunker fuel.
32. PORT DUES
Vessels engaged in foreign trade, including those engaged in barter
trade, that enter any port, whether private or government-owned, for
loading and discharging cargoes, embarking/disembarking passengers,
bunkering or taking provisions or repairs and changing members of the
crew are charged with port dues based on the vessel gross revenue
tonnage (GRT). It is a one-time charge assessed against vessels
anytime that they call at the port.
33. STORAGE CHARGES
Storage fees are charges on cargoes that remain in the cargo sheds,
warehouses or in the open storage area of any government-owned
port beyond the “free storage period” allowed. Increase or decrease
in storage revenue can be attributed to the growth or decline in the
number of shippers/port users availing of storage services.
34. PORT USAGE FEES
Vessels engaged in coastal domestic trade that berth or temporarily lay
up or drop anchor at any government port are charged a port usage fee
based on gross revenue ton (GRT).
35. TERMINAL FEES
The account consists of the amount charge on vehicles for the use of
the port facilities and services which is collected by the PPA on a per
sea–leg journey at the port of loading or embarkation.
36. VESSEL TRAFFIC MANAGEMENT SERVICE (VTMS) FEES
PPA Administrative Order No. 03-2006 dated 16 June 2006 authorized
the collection of the Vessel Traffic Management Service (VTMS) Fee.
It includes fees collected/assessed in all international and domestic
vessels entering, departing, navigating, operating, and anchoring/
mooring within the VTMS covered areas.
37. PILOTAGE
This represents the government share on the service rendered or
required to be performed by the harbor pilots to maneuver vessels to/
from the ports as required or as deemed necessary in each pilotage
district.
38. LAY-UP FEES
This pertains to the amount assessed against vessels engaged in
coastal (domestic) trade that are authorized to temporarily lay-up and
anchor at any port.
39. OTHER INCOME
Breakdown of this account is shown below:
2010 2009
Permits and Licenses
Permit Fees 8,253,734 7,208,388
Other Permits and Licenses 6,746,773 5,053,074
Fines and Penalties-Permits & Licenses 961,523 1,450,771
15,962,030 13,712,233
Service Income
Fines and Penalties-Service Income - 3,343,185
Seminar Fees 97,200,898 299,160
Other Service Income 1,113,660 1,309,617
98,314,558 4,951,962
Business Income
Rent Income-Buildings, Warehouses
&Guesthouses
161,673,052 174,893,132
Reefer Services
24,036,388 20,304,385
Sale of Water 16,541,474 47,857,582
Sale of Power 16,947,645 13,696,670
Printing and Publication Income 16,366,271 11,160,182
Net Income from STUs 16,240,711 18,163,022
Parking Fees 3,462,502 3,820,179
Fines and Penalties-Business Income
Rent Income-Operations/Rental of
3,326,558 11,247,168
Crane/Cargo Handling Equipment 2,289,698 123,936
Other Business Income 2,110,367 3,159,775
Income from Dormitory Operations 1,073,569 847,656
Truck Scale 619,983 485,131
Others 27,449,501 10,315,787
40. PERSONAL SERVICES
292,137,719 316,074,605
406,414,307 334,738,800
The breakdown of expenses incurred for PPA employees follows:
2010 2009
Salaries and Wages
Other Compensation
558,916,343 484,937,676
Other Bonuses and Allowances 284,331,818 316,356,234
Overtime and Night Pay 60,339,146 51,784,306
Year-end Bonus
52,307,640 54,163,921
Personnel Economic Assistance Allowance 51,944,887 15,354,887
Representation Allowance 14,810,861 14,256,273
Cash Gift 13,952,182 7,476,693
Transportation Allowance 11,656,917 11,106,321
Clothing/Uniform Allowance 9,018,594 10,113,860
Honoraria
4,877,916
-
Productivity Incentive Allowance
938,000 3,998,000
Additional Compensation 797,903 37,730,187
Hazard Pay
196,498 199,476
Longevity Pay
126,018 120,787
Subsistence/Laundry/Quarters Allowance - 3,600
505,298,380 522,664,545

2010 2009
Personnel Benefits Contribution
Life/Retirement Insurance Premium
Contributions 66,908,410 57,148,240
PHILHEALTH Premiums 6,390,644 5,829,350
PAG-IBIG Premiums 2,714,230 2,857,029
ECC Contributions 3,279,759 3,394,718
79,293,043 69,229,337
Other Personnel Benefits
Rice Allowance 52,837,471 53,022,955
Retirement Benefits 81,663,223 77,975,802
Monetized Leave 21,726,814 22,679,905
Medical Allowance 5,116,013 5,064,815
Meal Subsidy 1,805,303 1,827,150
Children’s Allowance 920,453 921,226
Other Benefits 5,963,408 4,145,849
41. MAINTENANCE AND OTHER OPERATING EXPENSES
This account consists of:
170,032,685 165,637,702
1,313,540,451 1,242,469,260
2010 2009
Maintenance & Other Operating Expenses
Repairs and Maintenance 760,731,614 341,543,528
Dredging Expense 606,242,583 569,824,706
Security Services 214,658,692 192,677,178
Utility Expenses 151,530,706 162,679,271
Other Professional Services 126,308,269 114,603,814
Awards and Indemnities 110,835,520 232,890,224
Taxes, Insurance and Other Fees 70,725,240 66,709,913
Auditing Services 51,057,580 44,291,818
Supplies and Materials Expense 50,959,115 80,504,922
Printing and Binding Expense 49,425,300 6,241,250
Janitorial Services 37,313,693 31,881,638
Communications Expense 27,818,682 22,528,595
Traveling Expense 24,716,710 22,932,570
Training and Scholarship Expense 20,624,843 20,907,530
Consultancy Services 16,998,669 7,862,226
Representation Expense 11,323,727 10,591,805
Rent Expense 8,163,110 11,308,919
Intelligence Expense 8,000,000 8,000,000
Rewards and Other Claims 3,904,554 556,000
Subsidies and Donations 1,607,146 29,822,350
Advertising Expense 1,089,769 1,268,866
Membership Dues & Cont. to Organizations 754,304 581,693
Subscription Expense 571,829 602,735
General Services 473,833 294,432
Transportation and Delivery Expenses - 179,214
Miscellaneous Expenses 8,500,240 8,508,104
2,364,335,728 1,989,793,301
Non-Cash Expenses
Depreciation Expense 1,557,874,705 1,571,632,180
Final Tax 34,532,864 29,360,866
Bad Debts Expense 32,070,426 6,910,159
Loss on Assets 34,045 243,576
1,624,512,040 1,608,146,781
3,988,847,768 3,597,940,082
Dredging Expense represents cost incurred in dredging the harbors to
the required depth through removal of silts. It also includes expenses
in the maintenance of basins and navigational channels, cost of minor
repairs of dredging equipment, spare parts, salaries and wages of
p h i l i p p i n e p o r t s
a u t h o r i t y
a n n u a l
r e p o r t
casual and contractual employees, incidental traveling expenses and
other related costs.
On 15 October 2001, a contract was entered into by and between the
PPA and F.F. Cruz & Co., Inc. (FFCCI) for the Rehabilitation, Operation
and Maintenance of the PPA Dredging Fleet under the Rehabilitate and
Maintain Scheme. Under the contract, the private dredging contractor
shall rehabilitate, operate, and maintain the six (6) dredge vessels (
PHILPORTS D-I to D-VI) and the two (2) supply boats (PHILPORTS A-I
and A-II) and shall undertake the maintenance dredging at various ports
in the country that are included in the PPA Port System. The contract
started on 6 November 2001 and shall be valid for ten (10) years. The
Authority will pay FFCCI the cost of the actual volume dredged per year
within the contract period. The contract has a guaranteed minimum
annual dredging volume of 2,000,000 cubic meters.
Repairs and Maintenance consists of expenses in bringing to normal
condition the following assets:
2010 2009
Land Improvements 704,213,455 317,631,502
Furniture, Fixtures & Equipment 26,264,143 8,023,690
Buildings and Structures 20,296,694 6,578,767
Motor Vehicles/Other Transport Equipment 9,957,322 9,309,569
760,731,614 341,543,528
Awards and Indemnities pertain to amounts awarded by courts
or administrative bodies to persons affected by the destruction of
property/death/injury, as well as the monetary service/loyalty awards
given to officials and employees for attaining several years of service
to the PPA. It also includes the corporate Christmas package given to
all officers and employees pursuant to PPA Memorandum Order No.
76-2008.
Utility Expenses cover the costs of water, electricity, and gas for
illumination consumed at office buildings, grounds and other port
structures.
Taxes, Insurance and Other Fees represent the amounts incurred for
taxes, duties, licenses, vehicle registration fees, fidelity bond premiums
of accountable officers, and insurance premiums for motor vehicle and
other property.
Intelligence Expense pertains to expenses incurred for highly sensitive
activities as approved by the President of the Philippines.
Final Tax pertains to the tax deducted on the interest income earned on
investments in securities.
42. FUND MANAGEMENT INCOME
This account covers interest earned from various deposits and
investments in T-bills, bonds and other marketable securities.
43. OTHER GENERAL INCOME
This account consists of:
2010 2009
Interest Income 5,653,025 3,539,903
Insurance Income 597,849 318,562
Miscellaneous Income 10,701,963 13,591,241
16,952,837 17,449,706
57

44. FOREIGN EXCHANGE GAIN (LOSS) ON REVALUATION
58
In accordance with Philippine Accounting Standards (PAS) 21, balances
of foreign currency-denominated accounts (i.e., foreign loans and
dollar deposits) are revalued at year-end to reflect their actual values
at reporting date. The difference is recognized in profit or loss. The net
effect of gains and losses as a result of foreign exchange fluctuations
during the year compared to last year follows:
2010 2009
Gain(Loss) on Revaluation of Outstanding
Balances of Foreign Loans
Gain(Loss) on Revaluation of Balance of
(531,121,908) 296,610,517
Foreign Currency Deposit Accounts
Net Foreign Exchange Gain(Loss) on
(2,252,088) (847,057)
Revaluation (533,373,996) 295,763,460
The following are the peso equivalent per Bangko Sentral ng Pilipinas
guiding rates of exchange that were used in determining the outstanding
balances of foreign loans and dollar deposits as of reporting date:
Currency 2010 2009
United States Dollar ($) 43.8850 46.3560
Japanese Yen (Y) 0.5374 0.5059
European Euro (€) 58.0335 66.6646
45. FINANCIAL EXPENSES
This account is composed of financial charges as follows:
2010 2009
Interest Expense – Loans/Borrowings 391,336,219 395,930,998
Other Financial Charges 93,262,599 113,369,728
Loss(Gain) on Foreign Exchange 6,511,933 (10,199,217)
Documentary Stamp Expenses 290,291 2,588,230
Bank Charges 59,350 71,381
491,460,392 501,761,120
Other Financial Charges include payments to the BTr for guarantee
fees on the PPA Corporate Notes guaranteed by the Republic of the
Philippines (Note 21) and management fees and other expenses as
Fund Manager of the Corporate Notes Sinking Fund (Note 13).
Loss(Gain) on Foreign Exchange represents the amount recognized as
actual gain/loss from foreign currency transactions. This consists of
(a) the difference between the actual amount billed and settled at the
time of debt servicing of the foreign loan and its recorded book value
and (b) the difference between the peso equivalent of the amount of
withdrawal from dollar bank deposits at actual rates prevailing at the
time of withdrawal as against its carrying value using the adopted
booking rate.
46. INCOME TAX
The Statement of Comprehensive Income for 2010 reflects a Net Profit
After Tax amounting to P1,491.86 million. For this year, PPA is subject
to the payment of Income Tax based on 30% Regular Tax Rate as this
is higher than the Minimum Corporate Income Tax which is computed
at 2% of Gross Income after deducting investments in fixed assets or
capital expenditures during the year. For the three quarters of 2010,
PPA already remitted to the BIR P441.94 million for income tax. The
current tax expense for the year is reported at P476.54 million. The
P34.60 million tax deficiency was offset from the deferred tax asset of
previous year’s excess income tax payment.
47. CONTINGENT ACCOUNTS
In compliance with the provisions of PAS 37 - Provisions, Contingent
Liabilities and Contingent Assets, Contingent Assets and its contra
account Contingent Surplus were excluded among the accounts
presented in the Statement of Financial Position. Depending on the
outcome of events, income or surplus that may be realized on contingent
assets amounts to P1,022.38 million and P988.41 million in 2010 and
2009, respectively. The account consists mainly of contested accounts
receivable with expected income from increased rates on lease of land
and other PPA port facilities. It is the policy of the Authority and as
embodied in the lease agreements that rental rates are automatically
adjusted based on the appraised value of the property. This adjusted
rate on lease serves as the basis of computation of charge in the invoice
issued to the lessee.
48. Supplementary Information required by BIR UNDER RR No. 15-2010
On 25 November 2010, the BIR issued Revenue Regulations (RR)
No. 15-2010 prescribing additional procedural and/or documentary
requirements in connection with the preparation and submission
of Financial Statements accompanying the Tax Returns. Under the
said RR, it is required that, in addition to the disclosures mandated
under the Philippine Financial Reporting Standards, and such other
standards and/or conventions as may be adopted, the Notes shall
include information on taxes, duties and license fees paid or accrued
during the taxable year.
In compliance with the requirements set forth by RR 15-2010, the
information on taxes, duties and licenses fees paid or accrued during
the taxable year are as follows:
1. VAT Output Tax
PPA is a VAT registered company with Vat Output Tax declaration
of P815,858,722 for the year based on the amount reflected in the
Sales Account of P6,800,229,536.
The Authority has zero-rated sales of P1,220,422,555 pursuant to
the provision of R.A. 7716 as amended by R.A. 8241, R.A. 8424 and
R.A. 9337 and RR 16-2005.
2. VAT Input Tax
The amount of VAT Input Tax claimed is broken down as follows:
Beginning of Year 198,259,267
Current Year’s Domestic Purchases/Payments
Goods for Resale/Manufacture or Further Processing -
Goods Other Than for Resale or Manufacture 23,929,109
Capital Goods Subject to Amortization 1,669,334
Capital Goods Not Subject to Amortization 370,394
Services Lodged Under Cost of Goods Sold -
Services Lodged Under Other Assets 362,509,947
Total 586,738,051
Less Claims for Tax Credit and Other Adjustments (535,391,479)
Balance at End of Year 51,346,772

3. Documentary Stamp Tax (DST)
The first tranche of P500 million, representing half of the P1.0
billion Domestic Term Loan, was released in 2009. The second
tranche was programmed for withdrawal in CY 2011. There was no
availment in CY 2010, hence, there was no payment nor accrual of
DST for the said year.
4. Other Taxes and Licenses
Local
Community Tax 10,500
Business Tax/Mayor’s Permit/Other 23,197,344
Other Taxes and Licenses 1,720,240
National
BIR Registration Fee 75,328
LTO Vehicle Registration 803,937
5. Withholding Taxes
25,807,349
Tax on Compensation and Benefits 139,930,787
Creditable Withholding Taxes 91,582,419
Final Withholding Taxes 160,741,298
6. Final Assessment Notice
392,254,504
PPA has no final assessment notice from any BIR Regional Office.
49. PENDING LAWSUITS
The Authority is involved as a party litigant in several lawsuits still
pending for resolution that could materially affect its financial position.
Among these lawsuits are the following:
• Aboitiz Transport System Corp. (ATSC) vs. PPA – A damage suit
amounting to about P1.2 billion was filed against the Authority
by ATSC claiming that the PPA forced Aboitiz to transfer from
North Harbor to South Harbor, Manila resulting in ATSC incurring
increased operating expenses. The lawsuit is pending at the
Regional Trial Court
• MIPTI vs. PPA Civil Case No. 96-37673 – This is the case against
PPA for taking over the operations of the Manila International
Container Terminal (MICT). The Regional Trial Court (RTC) ruled
against the agency and ordered it to pay P700 million to Manila
International Port Terminal Incorporated (MIPTI). However, on
23 September 2010, the Court of Appeals affirmed RTC’s decision
with modification on the amount of damages and cost of MIPTI’s
properties which were taken over by PPA. The Court of Appeal’s
determined amount for damages, attorney’s fee, and unrealized
profit reached P96,148,792. This amount does not include the
amount of back rental for equipment which has to be determined
by the Court and other litigation cost.
To date, the Court of Appeal’s decision has been elevated to the
Supreme Court for final decision/adjudication.
p h i l i p p i n e p o r t s
a u t h o r i t y
a n n u a l
r e p o r t
• United Harbor Pilots’ Association of the Philippines (UHPAP) vs.
PPA et al – UHPAP is questioning the PPA’s authority to impose
a 10% government share on their gross income. This case is
pending at the RTC and the Association is demanding return of all
fees collected since the beginning of their operation estimated at
a total of P98.0 million. The case is still pending at the RTC and is
unlikely to be settled in 2011.
• Amelia Aquino vs. PPA – PPA officers particularly Section Heads/
Chiefs whose representation and transportation allowances
(RATA) were disallowed by the Commission on Audit filed a case
claiming that they are entitled to receive the RATA they refunded;
therefore, these should be returned to them. Those promoted
to Division/Department Managers receiving RATA based on the
rates provided in the General Appropriations Act (GAA) demand
that they be given 40% of basic salary and RATA similar to the
other managers who were already receiving 40% of basic salary
before the implementation of the Salary Standardization Law.
This case is still pending at the Court of Appeals.
• Benny Espinosa, in his capacity as Owner/General Manager of VS
General Services vs. PPA and Christian Santillan, Port Manager
of PMO Iloilo – Espinosa is claiming for damages worth P23.0
million because the PPA took over his company as a Special Take-
Over Unit (STU). This is still pending at the RTC and unlikely to be
settled within the coming year.
• Barangay 650, Zone 68, etc. versus PPA et al and Barangay 651,
Zone 68, etc. vs. PPA et al and MMDA, et al – These two cases
involved the relocation of squatters from the two barangays by
the Metro Manila Development Authority (MMDA). The cases are
still pending at the RTC and both parties are at the presentation
of evidence phase. In both cases, the payment for damages
demanded is at P8.0 million each or a total of P16 million.
• Antonio Altas, et al vs. Iloilo River Wharf Port Services, et al – This
refers to claim of the workers of Iloilo River Wharf Port Services
for profit sharing since the PPA took over the management of
the Iloilo River Wharf Port Services and converted it into a Special
Take Over Unit. The Labor arbiter awarded P15.10 million as the
profit share. The case was elevated to the Court of Appeals.
• Banago Port Stevedoring vs. PPA – The stevedoring company
operates at a private port in Pulupandan. The company is
claiming that it overpaid PPA by P3.0 million. The case is still
pending at the Court of Appeals. It is unlikely that this will be
settled within the year but unfavorable decision is expected in the
future.
• COLA Cases – These are two cases filed by PPA employees for the
payment of COLA back pay and the continuous payment of COLA
to incumbent including former employees. Both decision of the
RTC were not favorable to PPA. The agency filed a petition for
certiorari, while PANTALAN (employees’ union) filed its comments
to the petition. This case is now pending at the Supreme Court.
• Arnel Dilay Diaz vs. PPA – This is a legal case involving claim for
damages on the property asserted owned by Mr. Diaz which was
affected when the Authority implemented the construction of
the Batangas Port Development Project Phase I. The case is still
pending at the Regional Trial Court.
59

60
BOARD DIRECTORS
JOSE P. DE JESUS
Chairman, PPA Board of Directors
Secretary, Department of Transportation and Communications (DOTC)
Government Posts
• Executive Director of the Career Executive Service Board under
the Civil Service Commission during the administration of
President Marcos
• Director and Senior Vice President for Operations and later on as
President, Development Academy of the Philippines
• Undersecretary, Department of Education, Culture & Sports under
President Corazon Aquino
• Secretary for the Department of General Services, Presidential
Coordinating Assistant for Human Resources and Public Welfare
and Chairman of the Presidential Task Force on Post-Earthquake
Rehabilitation, under President Corazon Aquino
• Public Works Secretary under President Corazon Aquino and during
the time of President Fidel V. Ramos.
• Appointed Secretary, DOTC by President Benigno S. Aquino III
Private Positions
• Vice-President of the Private Development Corporation of the
Philippines President and Chief Operating Officer of
Meralco Corporation.
• Member of the board of management of the Asian and Pacific
Development Center (APDC)
• Member of the Board of Directors and later as Executive
Vice-President of the Philippine Long Distance Co.
• Chairman of the privatized Manila Waterworks & Sewerage System
• Chairman of the Manila North Tollways Corporation
GREGORY L. DOMINGO
Member, PPA Board of Directors
Secretary, Department of
Trade and Industry (DTI)
Government Posts
• Appointed as Undersecretary of the Industry and Investment Group,
DTI President Arroyo
• Appointed as Secretary, DTI by President Benigno Aquino III
Private Positions
• Started out in various financial institutions in Philadelphia,
Pittsburgh and New York, such as the First Boston, Drexel Burnham
Lambert and Mellon Bank
JUAN C. STA. ANA
Vice-Chairman, PPA Board of Directors
General Manager, Philippine Ports Authority
Government Posts
• Project Officer & Coordinator of the Human Settlements
Regulatory Commission
• Division Manager of the Regulatory and Legal Affairs Division and
later as Manager of the Port Operations Services Department,
Port District Manager of PDO Manila, Acting Assistant General
Manager for Operations, PPA
• Executive Director of the Office of Transportation Cooperatives
under the Department of Transportation and Communications
• Corporate Board Secretary to the Manila International
Airport Authority, Philippine National Lines, Philippine National
Railway, Toll Regulatory Board and the Maritime Industry Authority.
• Member of the Board of Philippine National Lines,
Philippine National
Railway, Toll Regulatory Board and the Maritime Industry Authority.
• Appointed by President Benigno S. Aquino III in July 2010 as
General Manager of PPA
Private Positions
• Senior Vice President of F.F. Cruz & Co., Inc.
• Executive Vice President of F.F. Marine Corp.
• Vice President of F.F. Shipping Corp.
• Vice President, Freyssinet Filipinas, Inc.
• Vice President, Filmetrics Corp.
• Vice President, Philipps Technical Consultants Corp.
• President, Forex Hongkong, Forex Britania, Ltc., Forex Singapura
• President, Sta. Ana Aggregates Corp
• Served as member of the Board of Directors to
St. Bernard Service Corp., Pantranco South Express Transport Corp.,
Fil-Transit Bus Corp., Manila City Bus Corp. and Pasvil Liner
CESAR V. PURISIMA
Member, PPA Board of Directors
Secretary, Department of Finance
(DOF)
Government Posts
• Secretary of the Department of Trade and Industry under
President Arroyo
• Secretary of the Department of Finance under President Arroyo
• Chair and Board Member of National Power Corporation, Land Bank
of the Philippines, and Monetary Board (Bangko Sentral ng Pilipinas)
• Appointed as Secretary of DOF by President Benigno Aquino III
Private Positions
• Member of Global Board of Andersen Worldwide
• Head, Asia Pacific Assurance Practice of Andersen Worldwide and
ASEAN Operation
• Member, the Global Executive Board of Ernst & Young
• Member, Management Association of the Philippines, Philippine
Institute of Certified Public Accountants, Philippine-France
Business Council, Philippine-Thailand Business Council and the
MakatiBusiness Club

RAMON J.P. PAJE
Member, PPA Board of Directors
Secretary, Department of Environment
and Natural Resources
Government Posts
• Junior Forester, Bureau of Forest Development (now Forest
Management Bureau) and later as Assistant Secretary for
Management Services and Director for Human Resources
Development and Undersecretary for Field Operations and
Programs Development, DENR and concurrent Executive Director of
the Minerals Development Council under the Office of the President
• Appointed Secretary of DENR by President Benigno Aquino III
Awards & Distinctions
• Ten Outstanding Young Men (TOYM) from the Philippine Jaycees
• Outstanding Professional of the Philippines from the Professional
Regulation Commission
• Outstanding Alumnus in Government Service from the University of
the Philippines at Los Baños
• Dr. Jose Rizal “Huwarang Pilipino Awardee” for public service
given by the Parangal ng Bayan Awards Foundation
CAYETANO W. PADERANGA, JR.
Member, PPA Board of Directors
Director-General, National Economic
and Development Authority NEDA)
Government and Private Posts
• Deputy Director General and later as Acting Director-General before
being appointed by President Corazon Aquino as Secretary of Socio-
Economic Planning and Director-General
• Appointed as Secretary of Socio-Economic Planning and Director-
General by President Benigno S. Aquino III.
• Served as Chairman/Vice-Chair/Economic Adviser/Board Member
of a number of government and private corporations as well as
private/corporate/educational foundations and other private
organizations (more than 50) such as the Philippine Chamber of
Commerce and Industry, Monetary Board (Bangko Sentral ng
Pilipinas), Asian Development Bank, Bank of the Philippine Islands,
Philippine Stock Exchange, ASEAN Foundation, among others.
Ms. Noemi L. Saludo
Private Sector Representative,
PPA Board of Directors
• Past President - Port Users Confederation of the Philippines
• Former and First Woman President – Philippine Chamber of
Commerce and Industry
• President – Pinkerton Computer Consultants, Inc.
• Chairperson and President – Philippine Integrated Exporters, Inc.
• Chairperson – Common Bonded Warehouse Operators, Inc.
• Founder – Bahay ng Diyos Foundation
• Awardee- Agora Award of the Philippine Marketing Association
ROGELIO L. SINGSON
Member, PPA Board of Directors
Secretary, Department of Public Works
and Highways (DPWH)
Government Posts
• Systems Analyst and later as Assistant Director/Resident Manager,
Development Academy of the Philippines
• Presidential Staff Director, Director IV, Assistant Executive Secretary
and Presidential Assistant I, Office of the President
• Vice Chairman/Executive Vice President and later Chairman/
President of the Bases Conversion Development Authority
• Senior Vice President of Fort Bonifacio Development Corp.
• Chairman of the Board of John Hay Poro Point Development Corp.
• Board Member for the Subic Bay Metropolitan Authority,
the National Power Corporation and the Metropolitan Waterworks
& Sewerage System
• Appointed as Secretary, DPWH by President Benigno Aquino III
Private Positions
• Senior Vice President of Citadel Holdings, Inc.
• President & Chief Executive Officer of Maynilad Water Services
EMERSON M. LORENZO
Member, PPA Board of Directors
Administrator, Maritime Industry
Authority (MARINA)
Government Posts
• Instructor and researcher specializing in economic and transport
geography and later as faculty member of the UP Department
of Geography
• Senior Research Assistant and later as Director in June 1993
• IMO Consultant for two (2) ASEAN projects
• Appointed as MARINA Administrator by President Benigno Aquino III
Atty. FRANCISQUIEL O. MANCILE
Corporate Board Secretary/ Manager,
Legal Services Department, PPA
Government Posts
• Senior Corporate Attorney and later as Chief Corporate Attorney,
Division Manager and Acting Department Manager of the
Legal Services Division, PPA
• Acting Port Manager of PMO Legaspi
61

62
EXECUTIVE OFFICERS
Juan C. Sta. Ana
General Manager

Raul T. Santos
Assistant General Manager,
Operations Office
Tomas B. Carlos
Assistant General Manager,
Engineering Services Office
DEPARTMENT MANAGERS
Office of the
General Manager
Ma. Asuncion Hiyasmin H. De Los Santos
Internal Control Dept.
Elizabeth C. Follosco
Management & Information
Systems Dept.
Amelia M. Aquino
Strategic Planning Dept.
Operations Office
Roberto C. Aquino
Port Operations &
Services Dept.
Emma L. Susara
Commercial Services
Dept.
Madeleine C. Abada
PPA Training Center
Jesus V. Tolosa
Port Police Dept.
David R. Simon
Assistant General Manager,
Finance, Legal and
Administration Office
Engineering
Service Office
Carlito M. Castillo
Facilities Construction &
Maintenance Dept.
Rolando K. Perez
Harbor Maintenance Dept.
Romelo T. Mascariña
Project Development Dept.
Hector E. Miole
Assistant to the General Manager,
Corporate Affairs
and Special Projects
Finance Legal and
Administration Office
Rosalia G. Banson
Controllership Dept.
Virginia G. Quina
Treasury Dept.
Lilian T. Javier
Human Resource Management Dept.
Virginia S. Valero
Administrative Services Dept.
Francisquiel O. Mancile
Legal Services Dept.
63

64
Port District Office/
Port Management Office Managers
Constante T. Fariñas, Jr. PDO Manila/Northern Luzon
Edgar C. Pilar PMO South Harbor
Winfred G. Elizalde. PMO North H º arbor
Silverio D. Mangaoang, Jr. PMO San Fernando
German P. Tuguigui PMO Limay
Hector E. Miole PDO Southern Luzon
Leopoldo Biscocho, Jr. PMO Batangas
Rosenda G. Sumagaysay PMO Legazpi
Adelaida C. Hernandez PMO Puerto Princesa
Victor A. Arellano PMO Calapan
Fernando B. Claveria PDO Visayas
Renato T. Tolinero PMO Dumaguete
Luis A. Cuison PMO Iloilo
Dominador D. Licayan PMO Tacloban
Enrique H. Fuentebaja PMO Pulupandan
Glenn G. Cabañez, Jr. PMO Ormoc
Manuel A. Boholano PMO Tagbilaran
Efren B. Bollozos PDO Northern Mindanao
Necitas G. Layola, Jr. PMO Cagayan de Oro
Noeme W. Calderon PMO Iligan
Oscar M. Beluan PMO Nasipit
Isidro V. Butaslac, Jr. PMO Surigao
Efren A. Quiñones PMO Ozamiz
Christian V. Santillan PDO Southern Mindanao
Christian V. Santillan PMO Davao
(concurrent)
Liberto C. De La Rosa PMO General Santos
Liberto C. De La Rosa PMO Cotabato
(concurrent)
Roger B. Asprer PMO Dapitan
Leonilo E. Miole PMO Zamboanga
Port of Cagayan de Oro

Head Office
Bonifacio Drive, South Harbor, Port Area, Manila 1018
Telephone No.: (0632) 527-8356 to 83
Fax No: (0632) 527-4855
Webpage: www.ppa.com.ph
Port District Office of Manila/Northern Luzon
PNR Building, South Harbor,
Port Area Manila 1018
Telephone No.: (0632) 525-5264
Fax No.: (0632) 301-9042
Email: ppa_manila@ppa.com.ph
Port District Office of Southern Luzon
MARSMAN Building,
Muelle de San Francisco St.,
South Harbor, Port Area, Manila 1018
Telephone No.: (0632) 301-9577
Fax No.: (0632) 301-9679
Email: pilosoluz.msd@gmail.com
Port of Iloilo
Concept, Design, Photography and Printing:
Mode Matrix Manila, Inc.
Port District Office of Visayas
CIP Complex, Cebu City 6000
Telephone No.: (032) 232-3401 to 04
Fax No.: (032) 232-1990
Email: ppa07@bukid.cvis.net.ph
Port District Office of Northern Mindanao
Port Area, Agora Gate,
Cagayan de Oro City 9000
Telephone No.: (088) 856-2819
Fax No.: (088) 856-2820
Email: pilonomin@yahoo.com
pilonomin@philwebinc.com
Port District Office of Southern Mindanao
Km 10, Port Area, Sasa, Davao City 8000
Telephone No.: (082) 233-2080 to 82
Fax No.: (082) 234-0079
Email: ppasomin@pldtdsl.net
ppasomin@mozcom.com
Prepared by:
Monitoring and Evaluation Division,
Strategic Planning Department
Tel. Nos.: 527-4755 & 301-0545
Email: amie@ppa.com.ph

w w w . p p a . c o m . p h
Bonifacio Drive, South Harbor
Port Area, Manila, 1018 Philippines
P.O. Box 436, Manila, Philippines
Tel. No. (0632) 527-8356, Fax: (0632) 527-4855