Communications firm earmarks $12M for backhaul infra

MANILA, Philippines - Listed hlding firm ISM Communications Corp. has earmarked $12 million to finance the construction of a backhaul facility to support the broadband service of subsidiary Eastern Telecom Philippines, Inc. (ETPI). The amount is part of the firm’s $20-million capital expenditure this year, ISM President Eric Recto said. A backhaul facility allows data to be sent to the network backbone using a high-capacity line. "We have programmed to spend $20 million this year, most of which will be used to build a backbone or a backhaul facility," Mr. Recto told reporters. ISM also needs to upgrade facilities, he told stockholders at an annual meeting Thursday. The backhaul facility, which will serve as the channel for Eastern Telecoms’ broadband signal, will be completed by September. The cable project runs from Nasugbu in Batangas to Metro Manila, where the firm’s corporate clients are located. ISM, which started acquiring shares of ETPI in 2006, now owns 78% of the broadband Internet provider. - A.B.L. Lorenzo, BusinessWorld