What: SM is increasing its focus in provincial areas where local economies are growing faster.

Why it is important: SM is optimistic and reaching more communities as they invest in the future growth of the Philippines and see tremendous potential.

Over 80% of SM's new retail stores are in provincial areas where local economies are growing faster and a good chunk of growing overseas remittances flow into. SM Retail currently operates over 3,300 department stores, groceries, and specialty retail stores.

SM Prime Holdings Inc. also opened four malls in 2022, further expanding into the provinces. SM Prime has 58 malls in the provincial areas and 24 malls in Metro Manila.

SM Development Corporation is also set to grow and expand in the provinces which should help narrow the housing gap. Additionally, SM also continues to invest in the tourism potential of the Philippines through its hotels and convention centers.

SM invests in growth through expansion to reach more communities

What: SM Investments is among the six SM companies recognized as the top-performing companies in the Philippines as part of the ASEAN Asset Class.

Why it is important: The ACGS, hosted by the Institute of Corporate Directors Philippines, is an initiative to recognize the valuable efforts of publicly listed companies in the region to elevate the standards of corporate governance in their respective industries.

SM Investments Corporation (SM Investments), SM Prime Holdings Inc., BDO Unibank Inc. (BDO), China Banking Corporation (China Bank), 2GO Group Inc., and Belle Corporation were recognized among the top-performing companies in the Philippines as part of the ASEAN Asset Class.

Six SM companies cited in ASEAN Corporate Governance Scorecard Awards

What: French group Fnac will close 10 stores at Manor, representing almost all of its shop-in-shops in the German-speaking part of Switzerland. Also, Decathlon is putting an end to the operation of its 3 points of sale in Manor stores.

Why it is important: The partnership with Fnac, launched with Manor in 2021, included the opening of 27 stores at Manor nationwide. 17 points of sale within Manor will be kept.

The 10 Fnac stores, to close between April and the end of June, saw lower footfall compared to French-speaking Switzerland. Decathlon shop-in-shops will close at the beginning of February 2023. Each partner remains open to other forms of short- and long-term collaboration, according to Decathlon.

Fnac and Decathlon to close stores at Manor

What: European Investment Bank and El Corte Inglés have signed a financing agreement of up to €74 million that will enable the company to strengthen its energy efficiency and digital transformation plan up to 2024.

Why it is important: The investment plan will be key to El Corte Inglés' innovation. The investments financed will enhance business processes in many areas and also assist the company in expanding its cybersecurity capabilities.

The agreement will help the Spanish company achieve its energy-saving targets and its goal of producing renewable energy for its own use. El Corte Inglés' energy efficiency plan includes improved refrigeration, lighting, and air conditioning in its department stores and network of facilities; it is expected to save up to 176 GWh of energy and generate around 12 GWh of renewable energy a year.

The support from EIB for the plan is in line with the European Green Deal, the REPowerEU initiative, and the EU Fit for 55 package.

El Corte Inglés secures EIB support for energy efficiency and innovation plans with a loan of up to €74 million

What: Shaken by the collapse of the ready-to-wear brand Camaïeu and sportswear retailer Go Sport in receivership, the staff representatives at Hermione People group & Brands (HPB) are mobilizing to find out more about the 25 affiliated Galeries Lafayette stores financial and strategic situation.

Why it is important: This procedure aims at obtaining explanations from the management about the situation of the 25 Galeries Lafayette affiliates, acquired in 2018 and 2021 by Financière Immobilière Bordelaise (FIB), the parent company of the HPB group. An expert report is expected by mid-February. The staff representatives also sent a letter expressing their concern to the management of the Galeries Lafayette group.

HPB Whistleblowing for the 25 affiliated Galeries Lafayette

What: After 20 years at Maus Frères group including 4 years leading Manor, Jérôme Gilg will be replaced by Roland Armbruster starting 1 February.

Why it is important: Armbruster will be responsible for further strengthening the differentiation and attractiveness of the department store. In addition to the development of the product range, his priorities will include the expansion of digitalisation and the simplification of processes, with the aim of creating more agility while strengthening the service provided to customers.

Roland Armbruster, currently CEO of Gruppo Coin, has over 20 years of experience in the retail industry. He has held various management positions, including CEO, COO, Director of Strategy and Head of Business Development during his professional career, which included stints at KaDeWe, Karstadt, De Bijenkorf and Breuninger.

Jérôme Gilg exits Manor, Roland Armbruster to take over

What: El Corte Inglés laid the foundations for a new stage in 2022, with new leadership and an accelerated reorganization of its retail along with its agreement with Grupo Mutua which contemplates going public before 2028.

Why it is important: The leap, made without another of the company's shareholders, will see the continuation of El Corte Inglés reinforcing its team to focus on transformation, operations, technologies and people while power will also be diversified and supported by a delegated executive commission.

The agreement with the insurer, Grupo Mutua, which was made with 8% of the group's capital for 555 million euros, contemplates going public before 2028.

El Corte Inglés prepared for the stock market in 2022

What: Breuninger has started its digital customer loyalty program "Beyond Breuninger" in Austria.

Why it is important: After an introductory phase, the program is to be rolled out successively to other markets, with the main focus on creating a stronger connection between the store and customers by offering them the ability to collect points and gain advantages as they level up in the program.

With each new level there are advantages such as particularly exclusive product capsules, access to events, cooperation advantages or special services, and access to various monetary benefits such as the Breuninger Bonus (various coupons and other price advantages).

Breuninger launches loyalty program in Austria

What: El Corte Inglés has become the first department store in the world to get a Michelin star thanks to chef Dabiz Muñoz.

Why it is important: Just six months after opening RavioXO in El Corte Inglés' Gourmet Experience at its Castellana's location, the restaurant earned its first Michelin star awarded to chef Dabiz Muñoz who started working with the department store group 10 years ago.

The new Michelin star in Madrid is the second restaurant that chef Dabiz Muñoz has opened inside an El Corte Inglés store. A new StreetXO location is currently under construction and will open in a new location in the coming weeks.

El Corte Inglés becomes the first department store with a Michelin star

What: Seven of SM's companies have received top taxpayer awards from Pasay City.

Why it is important: SM Development Corporation (SMDC) topped the Business Taxes category in first place followed by The SM Store at the third spot, SM Prime Holdings Inc. claimed sixth place, with Super Shopping Market Inc. and SM Investments Corporation ranked eighth and ninth in the same category, respectively.

For the Real Property Taxes Category, SM Prime, placed first on the list while SMDC, Shoemart Inc., and SM Retail notched the third, sixth, and seventh spots, respectively.

The awards are among the highlights of the 159th founding anniversary of the City of Pasay which recognized the Top Taxpayers for both Business and Real Property Taxes Categories whose support and contribution has been unwavering support to the development of the sector.

SM companies receive top taxpayer awards

What: Ulrike Möslinger, former manager of the gourmet department, will succeed Philippe Hugot as director of Galeries Lafayette in Berlin.

Why it is important: Ulrike Möslinger replaces Philippe Hugot, who is leaving the company after eight years, as Managing Director.

Hugot has held the position of director since 2015. Möslinger has been with Galeries Lafayette since 1997, briefly leaving for two years before returning to head the gourmet department and sit on the management board.

Galeries Lafeyette in Berlin appoints new director

What: El Corte Inglés backtracks and cancels the sale of two of its assets in the market, a store in Puerta del Sol and Torre Titania, both in Madrid, as a response responds to the success of its divestment plan in non-strategic assets.

Why it is important: With this plan, accompanied by the closure of some of its non-strategic shopping centres, the group seeks to consolidate its recovery and the good progress of its business in the last year when it registered a profit of 120 million euros and increased its sales by 22%.

El Corte Inglés cancels sale of its assets

What: SKP opens its most ambitious project to date; the third location for the franchise in China, opening on Tuesday, hosts more than 1,300 brands, many of which are new to the provincial capital of Sichuan.

Why it is important: SKP Chengdu sets out to be unlike its surrounding buildings as the mega shopping complex is designed to look like a park and is measured as the world's largest building by floor space, with 33 crafted landscapes and scenic spots and only a few shops visible on the ground floor level as almost 99% of the mall is hidden underground.

The retail endeavour by SKP aims to be one of the world's largest and most impressive luxury fashion retail centres while honouring Chengdu's nature and community. More than 75% of the buildings have 1.5 metres of soil above them to help accommodate and assist with vegetation. The building was designed by the same architecture firm behind their Beijing transformation, Sybarite. The Chengdu location covers 500,000 square meters with five floors and spaces spanning 12 metres below ground. Multiple metro lines also pass under SKP Chengdu, including line 18 which connects directly to the Tianfu International Airport. The retail and shopping space is divided into four areas: the luxury-filled Chengdu SKP; the younger-positioned and highly experiential Chengdu SKP-S; K Avenue, where major luxury flagships are located, and G Avenue, with some of the most in-demand restaurant brands.

BHG has invested $725m in the project, which combines a transit hub, parks and high end shopping. More than 1,300 brands are set to be in SKP Chengdu; for more than 200 of them, it will be their first store in Sichuan with 3 more projects are on the way: Wuhan, Guangzhou and Hangzhou.

SKP unveils shopping complex in Chengdu SOURCE 1

SKP unveils shopping complex in Chengdu SOURCE 2

What: The Grands Magasins Company (Société des Grands Magasins -SGM) announced in 2021 the acquisition of seven Galeries Lafayette stores in France, sharing collaborative plans to modernize architecture and offerings.

Why it is important: The goal is to identify and exploit unoccupied areas (reserves, basement, etc.) to install brands or signs in shop-in-shop, as well as bring in complementary players to address a wider audience of shoppers: young students looking for co-working space, athletes looking to train and customers looking for accessible brands.

The renewal of the offer will be felt within the points of sale starting in 2023, while the majority of work is planned for next summer. SGM did not reveal the amount of financing the group has allocated for the transformations.

SGM officially took over the units in Angers, Dijon, Grenoble, Le Mans, Limoges, Orléans and Reims in May 2022, totalling 80,000 square meters.

Galeries Lafayette buildings to receive makeover

What: El Corte Inglés is installing 15 ephemeral Christmas market spaces in various cities in Spain and Portugal offering gifts, decorations and gastronomy products.

Why it is important: El Corte Inglés is complementing the Christmas offer of its department stores with its ephemeral Christmas markets which offer products and family activities.

The flagship Christmas market is the one that the company has installed on Paseo de la Castellana in Madrid, which has 50 booths, including food trucks and stalls selling gifts and toys. The other cities in which El Corte Inglés has installed markets are Valladolid, Valencia (with two spaces), Alicante, Murcia, Cartagena, Barcelona, Girona, Tarragona, Málaga, Granada, Jaén, Porto and Lisbon.

El Corte Inglés sets up Christmas markets across Spain and Portugal

What: Through their Share A Toy campaign, The SM Store is once again acting for underprivileged kids.

Why it is important: Shoppers can donate preloved or new toys at any SM Store and Toy Kingdom branches nationwide up to Dec. 31, 2022. For every donation made, shoppers get a P100 discount voucher.

The SM Store toy campaign for underprivileged kids

What: SM Prime's Hans T. Sy was recognized for his contribution to nation-building and resilient support of the country through sustainability and disaster risk reduction at The Outstanding Filipino (TOFIL) Awards 2022 held on December 12 in Manila.

Why it is important: Also dubbed the Filipino equivalent of the Nobel Prize, Sm Prime's Hans T. Sy TOFIL Award not only honours his personal strength of character and integrity but his success in integrating sustainability and resiliency into the framework of the SM Group's operations

Under Sy's leadership, SM has been a major player in disaster relief efforts and community assistance with initiatives such as the SM Yolanda Housing Program and COVID-19 vaccination programs. As well, Sy helped form the ARISE Philippine Network, which fosters more public-private sector partnerships for capacity building, technological innovation, and sustainability in underserved communities.

SM Chairman Hans Sy recognized at The Outstanding Filipino Awards

What: As SM pursues expansion and growth, it contributes to increasing economic activity and growing business resilience that support hundreds of thousands of micro, small and medium enterprises.

Why it is important: SM acts as a marketplace to over 90,000 MSMEs partners, helping them navigate mainstream retailing by providing SM's retail store space as platforms to help master their entrepreneurial skills and grow their businesses; and provide holistic support through marketing advice, financial access as well as promotion and advertising.

These MSMEs make up 99.5% total business enterprises in the Philippines and generate over 5.3 million jobs or 62.7% of the country's total employment.

SM Supermalls' Start-Up Market program in high-traffic malls also helps budding online entrepreneurs to put up kiosks in SM malls without the burden of costly rental fees and construction costs.

SM supports MSME communities

What: 2GO Group, Inc., a subsidiary of SM Investments Corporation, has delivered back-to-back profitable quarters with a Q3 net income of PHP 166 billion.

Why it is important: 2GO's strong performance was driven by a normalization of economic activity in the Philippines leading to a demand for more transportation and logistics services to move goods and people across the country.

Shipping revenues rose 68%, freight rose 47% and travel grew 259%. Logistics and other services grew by 28%. Overall, the revenues of 2GO grew 20% during the first nine months of 2022.

SM's 2GO posts 52% increase over Q2

What: The SM Group, in partnership with WWF-Philippines, will gather some of the country's most prominent corporate leaders to create a unified vision for climate change at the UNITED FOR CLIMATE: Sustainability Forum PH 2022 on November 28 at the Conrad Manila.

Why is it important: The forum creates a platform for the private sector to craft a united vision and action plan, so the companies can align their efforts to address some of the most important issues facing the world and specifically in the Philippines.

Corporate leaders will gather for fireside chats that allow them to share insights and ideas about how companies can practice sustainability, engage their stakeholders, and find solutions that protect the environment, serve the community and improve business efficiency.

The forum will be the start of several sector-wide discussions on innovative climate strategies and practical approaches to climate change.

UNITED FOR CLIMATE builds a community of leaders that is committed to driving ambitious climate action in the Philippines to take synchronised steps towards the goal of sustainability.

The SM Group gathers to create a unified vision for climate change

What: Manor is reopening in Lausanne as it presents a new concept for beauty, jewellery and accessories.

Why it is important: Manor is betting on younger generations to strengthen itself as a beauty destination by focusing on diversity and modern collaborations with trendy, niche brands and established international brands to offer customers exclusive and unique experiences.

Covering close to 1,250 square metres, the beauty department will include new exclusive brands, a variety of beauty services, pop-ups and shop-in-shops along with the reopening of the largest Sephora corner in Switzerland. A changing event space and exclusive services in 'Le Studio' will partner with different brands.

Manor reopens in Lausanne with new concept

What: Enrique García López is set to replace Ricardo Goizueta as the new online director while the group advances its portfolio reorganization through store closures.

Why it is important: García López will oversee the customer and online business areas and will report directly to José María Folache following the retirement of Ricardo Goizueta.

The group will continue with the closure of some of its shopping centres and plans to cease operations in some establishments in Seville, Madrid, Valladolid and Córdoba. The Méndez de Álvaro centre will be demolished and converted into two office buildings, while the group is negotiating the sale of its centre on Constitución street in Valladolid. The group has already closed two other establishments in Córdoba and Seville.

El Corte Inglés replaces online director and continues store closures

What: Nearly 95% of independent shareholders voted in favour of Sogo's operator, Lifestyle International, to delist the company as part of a privatization scheme.

Why it is important: While the privatization is said to not bring any material change to the existing business and will continue to employ its existing employees, Thomas Lau Luen-hung plans to diversify the business model and make new investments when possible.

Lau had initially proposed the privatization plan in August, offering to buy 376.8 million shares at an offer price with a 62.3% premium over the stock's price, however trading was halted for the announcement.

After 18 years as a listed entity, Lifestyle International's chairman will buy out all independent shareholders as part of a privatization scheme which will be completed on December 20. The company's shares closed 4.5% higher at HKD 4.90 on Monday before the voting result, close to the privatization offer of HKD 5 per share.

Sogo department store operator set to delist in December

What: The campaign announcement is accompanied by a video which utilizes Galeries Lafayette's GoforGood brands and nine employees as muses to reinterpret five department store positions as art.

Why it is important: As many retailers struggle to attract and maintain talents, Galeries Lafayette is taking a unique approach by using its GoforGood products and employees to build an enticing Employer Brand campaign that shows their appreciation and desire to involve everyone from the associate to executive level.

Galeries Lafayette launches Employer Brand campaign