Bayantel on track with debt payments

Bayan Telecommunications Philippines Inc. (BayanTel) paid its creditors about P240 million worth of interest and principal debt last month, the company's chief financial officer said. The debt-ridden phone firm of the Lopez group settles a portion of its $325-million principal debt every semester and pays interest on a quarterly basis. "Our next interest payment will be on September 30 but come December 31 we will have to pay interest plus a portion of the principal," said CFO Meldin Al Roy. BayanTel has now completed two full years or eight quarters of interest payments and has started paying principal payments in June last year. This year, the company has programmed P1.6 billion in capital expenditures to finance the operation of its wireless based local exchange facilities, voice over Internet protocol and data services. The investment is about the same level BayanTel allocated last year, according to Roy. - GMANews.TV