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PLDT Analysis

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PLDT Analysis
PHILIPPINE LONG DISTANCE TELEPHONE COMPANY

Araneta, Mae Chazzel B.
Joquino, Kristianne Gem C.
Wong, Shirwen S.
BSAT-3

August 14, 2014

COMPANY PROFILE
Philippine Long Distance Telephone Company (PLDT) was founded on November 28, 1928. It is the leading telecommunications service provider in the Philippines. Through its principal business groups – fixed line, wireless and others –PLDT offers a wide range of telecommunications services across the Philippine’s most extensive fiber optic backbone and fixed line and cellular networks. PLDT is listed on the Philippine stock exchange (PSE: TEL) and its American depositary shares are listed on the New York stock exchange (NYSE:PHI). PLDT has one of the largest market capitalizations among Philippine-listed companies.
When PLDT was incorporated and given the franchise to establish and operate telephone services in the country on November 28, 1928, a typhoon had just ravaged Eastern Visayas, Bicol peninsula, and Samar. The ability to communicate amongst loved ones and across the country became crucial. Sadly, phone networks then were like disconnected intercom systems and you could only call people within your own small city. Filipinos were disconnected from neighboring towns, disconnected from friends in the other island and, needless to say, disconnected from the rest of the world. It was under this scenario that the law was signed giving birth to PLDT. What the new law hoped to achieve was to interconnect these "intercom" systems into a seamless nationwide network that would facilitate communication and delivery of services to the people, as well as spur economic development in the countryside. The first president of PLDT was Theodore Vail Halsey while Major J.E. Hamilton Stevenot, who represented the American firm general telephone and electronics corp. (GTE), was elected executive vice president and general manager. Under the American owners of PLDT, many small phone companies in

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