Group 5
ABM 11-4
SAN MIGUEL CORPORATION
PROFILE
HISTORY
Established in 1890, La Fabrica de Cerveza de San Miguel, Southeast Asia’s first
brewery produced and bottled what would eventually become one of the bestselling beers
in the region. Within the span of a generation, San Miguel Beer would become an icon
among beer drinkers.
By 1914, San Miguel Beer was being exported from its headquarters in Manila to
Shanghai, Hong Kong and Guam. A pioneer in Asia, San Miguel established a brewery in
Hong Kong in 1948, the first local brewer in the crown colony.
Today, San Miguel Beer–the Company’s flagship product–is one of the largest selling
beers and among the top 10 beer brands in the world. While brewing beer is the
company’s heritage, San Miguel subsequently branched out into the food and packaging
businesses.
From the original cerveza that first rolled off the bottling line, San Miguel Corporation
has since expanded its portfolio to produce a wide range of popular beverage, food and
packaging products which have–for over a century–catered to generations of consumers’
ever changing tastes. It has also diversified into heavy industries including power and
other utilities, mining, energy, toll ways and airports.
The Company’s manufacturing operations extend beyond the Philippines to Hong Kong,
China, Indonesia, Vietnam, Thailand and Malaysia. Its products are exported to major
markets around the world. Continuing a tradition of product quality, San Miguel is
capitalizing on its unique strengths in brands and distribution to weave its products more
deeply into the fabric of everyday life. Not just in the Philippines but in the Asia-Pacific
region.
PRODUCTS
San Miguel Corp. engages in the manufacture and sale of beverage, food, packaging
products, oil refining and marketing and also developing infrastructures.
The BEVERAGES segment produces and sells both alcoholic and non-alcoholic
beverages.
The FOOD segment includes production and sales of poultry and feeds, and livestock
farming. It also involves in the processing, marketing and selling of basic meat,
refrigerated, processed, and canned meat products, manufacturing and marketing of flour
and flour-based products, dairy-based products, bread fill desserts, cooking oil, and
coffee and coffee related products.
The PACKAGING segment involves manufacturing of glass containers, glass molds,
polyethylene terephthalate (PET) bottles and preforms, PET recycling, plastic closures,
corrugated cartons, woven polypropylene, Kraft sacks and paper boards, pallets, flexible
packaging, plastic crates, plastic floorings, plastic films, plastic trays, plastic pails and
tubs, crate and plastic pallet leasing, metal closures and two-piece aluminum cans, woven
products, industrial laminates, and radiant barriers.
The FUEL AND OIL segment comprises refining and marketing of petroleum products
through Petron Corporation (PETRON).
The INFRASTRUCTURE segment constructs and develops roads, highways, toll roads,
freeways, skyways, flyovers, viaducts, and interchanges.
SCANDALS
● The Securities and Exchange Commission (SEC) affirms P769.3-million fine on
San Miguel for late reporting on its acquisition of a stake in Manila Electric
Company (MERALCO) in 2011
● A marine conservation group filed a writ of kalikasan case on Tuesday, saying
San Miguel Corporation's ₱734-billion airport project in Bulacan will affect
Manila Bay's marine life and migratory bird population.
● Global Witness’s new report uncovers corporate greed driving systematic attacks
against Filipino citizens, when they stand up to destructive coal, agribusiness,
mining and tourism projects – projects with connections to San Miguel
Corporation and others.
● Allegations on San Miguel Corporation that it issued a P500-million check to
Senator Antonio Trillanes IV to support his vice presidential bid.
● Workers of its own filed labor cases against the corporation because of non-
payment on their over time.
IMPORTANCE IN PHILIPPINE ECONOMY
Today, San Miguel Corporation is one of the region’s largest diversified conglomerates.
Its businesses span a variety of industries making a workforce of 24,000 employees,
creating over 150,000 indirect job downstream, (which somehow helps in the
unemployment problem in the Philippines) and contributing an estimated of 5-6% of the
Philippines’ Gross Domestic Product (GDP). GDP growth rate is an important indicator
of the economic performance of a country and without that amount of percentage they
contribute is really a great loss in Philippine economy.
