1. D EPARTMENT OF T OURISM Philippine Tourism: Gearing for More Fun and Progress

2. D EPARTMENT OF T OURISM Awards and Citations, 2012 Citations and Awards Organization PH – Top 12 Hottest Destinations in 2013 Conde Nast Traveller PH – One of the 15 Hottest Travel Destinations of 2013 Travel+Leisure PH – One of the 10 Best Regions to Travel in 2013 Lonely Planet PH – One of the Travel Destinations in 2013 Buceadores (Spanish Magazine) Boracay – Top Destination for Relaxation Agoda.com Boracay – 2012 Best Island in the World Travel+Leisure Boracay – Top Best Beach in Asia Trip Advisor Tubbataha – CNN Travel’s 50 Best Dive Sites CNN World Palawan – No. 4 Holiday Destination in Asia Smart Travel Asia PH – Best Diving Destination Marine Diving Fair – Tokyo Gold Award for Creative Theme Development Expo 2012 – Yeosu, Korea PH - Best Outbound Tourist Destinations in China Oriental Morning Post (Consumer Poll)

3. D EPARTMENT OF T OURISM International Visitor Arrivals, 2012 Visitor arrivals In thousands Growth Rate 11.5% 4.5% 9.9% 3.1% 19.1% 12.0% 7.6% 5.3% 5.9% 23.8% 8.4% 9.5% 3.5 M 3.9 M 4.3 M 3.0 M 3.1 M CAGR = 6.7% 10.0 M 8.2 M 6.8 M 6.8 M 5.5 M 4.3 M 3.9 M CAGR = 23.5%

4. D EPARTMENT OF T OURISM International Visitor Receipts In US$ Million CAGR = 5.2% CAGR = 29.6%

5. D EPARTMENT OF T OURISM 13 of 26 Key Markets Profile, 2012 KOREAN VISITORS Sex Male Male55.5% Female Female41.9% Median Age 34.6 Average Daily Expenditure (US$) 139.5 Average Length of Stay (Nights) 5.6 Travel Arrangements Package Package53.6% Independent Independent45.4% Purpose of Visit Holiday Holiday61.0% Business Business5.5% Others Others2.3% Activities Undertaken Shopping Shopping91.2% Sightseeing Sightseeing37.7% Beach Holiday Beach Holiday13.7% JAPANESE VISITORS Sex Male Male74.8% Female Female23.5% Median Age 39.7 Average Daily Expenditure (US$) 94.2 Average Length of Stay (Nights) 5.4 Travel Arrangements Package Package3.2% Independent Independent95.8% Purpose of Visit Holiday Holiday55.1% Business Business15.2% Visit Friends and Relatives Visit Friends and Relatives1.5% Activities Undertaken Shopping Shopping58.9% Sightseeing Sightseeing1.4% Sports Sports1.4% CHINESE VISITORS Sex Male Male53.8% Female Female44.4% Median Age 34.7 Average Daily Expenditure (US$) 55.6 Average Length of Stay (Nights) 8.6 Travel Arrangements Package Package15.7% Independent Independent84.3% Purpose of Visit Holiday Holiday58.9% Business Business7.6% Others Others1.4% Activities Undertaken Shopping Shopping91.7% Visit Friends and Relatives Visit Friends and Relatives19.4% Sightseeing Sightseeing18.7%

6. D EPARTMENT OF T OURISM 13 of 26 Key Markets Profile, 2012 TAIWANESE VISITORS Sex Male Male51.0% Female Female47.0% Median Age 34.7 Average Daily Expenditure (US$) 58.6 Average Length of Stay (Nights) 6.4 Travel Arrangements Package Package30.7% Independent Independent69.3% Purpose of Visit Holiday Holiday36.2% Business Business5.6% Activities Undertaken Shopping Shopping86.1% Sightseeing Sightseeing22.8% Visit Friends and Relatives Visit Friends and Relatives17.5% HONG KONG VISITORS Sex Male Male52.6% Female Female36.4% Median Age 38.6 Average Daily Expenditure (US$) 56.6 Average Length of Stay (Nights) 5.2 Travel Arrangements Package Package6.0% Independent Independent94.0% Purpose of Visit Holiday Holiday52.7% Business Business20.0% Visit Friends and Relatives Visit Friends and Relatives1.5% Activities Undertaken Shopping Shopping31.0% Sightseeing Sightseeing23.3% Beach Holiday Beach Holiday4.3% SINGAPOREAN VISITORS Sex Male Male72.5% Female Female27.0% Median Age 39.4 Average Daily Expenditure (US$) 91.8 Average Length of Stay (Nights) 5.1 Travel Arrangements Package Package0.3% Independent Independent99.7% Purpose of Visit Holiday Holiday42.4% Business Business35.1% Convention/ VFR Convention/ VFR2.1% Activities Undertaken Shopping Shopping26.0% Sightseeing Sightseeing23.3% Visit Friends and Relatives Visit Friends and Relatives3.4%

7. D EPARTMENT OF T OURISM 13 of 26 Key Markets Profile, 2012 AMERICAN VISITORS Sex Male Male54.5% Female Female45.1% Median Age 41.0 Average Daily Expenditure (US$) 98.6 Average Length of Stay (Nights) 14.5 Travel Arrangements Package Package0.8% Independent Independent99.2% Purpose of Visit Holiday Holiday54.5% Visit Friends and Relatives Visit Friends and Relatives9.2% Business Business8.1% Activities Undertaken Shopping Shopping47.4% Sightseeing Sightseeing26.0% Beach Holiday Beach Holiday10.0% CANADIAN VISITORS Sex Male Male49.8% Female Female49.9% Median Age 39.6 Average Daily Expenditure (US$) 79.8 Average Length of Stay (Nights) 16.3 Travel Arrangements Package Package3.0% Independent Independent97.0% Purpose of Visit Holiday Holiday64.0% Visit Friends and Relatives Visit Friends and Relatives6.5% Business Business3.9% Activities Undertaken Shopping Shopping53.0% Sightseeing Sightseeing38.1% Beach Holiday Beach Holiday9.5% AUSTRALIAN VISITORS Sex Male Male62.3% Female Female17.2% Median Age 39.9 Average Daily Expenditure (US$) 96.6 Average Length of Stay (Nights) 15.0 Travel Arrangements Package Package2.3% Independent Independent97.3% Purpose of Visit Holiday Holiday64.3% Business Business11.6% Visit Friends and Relatives Visit Friends and Relatives6.4% Activities Undertaken Shopping Shopping60.1% Visit Friends and Relatives Visit Friends and Relatives40.8% Beach Holiday Beach Holiday12.2%

8. D EPARTMENT OF T OURISM 13 of 26 Key Markets Profile, 2012 UNITED KINGDOM VISITORS Sex Male Male63.2% Female Female36.3% Median Age 39.3 Average Daily Expenditure (US$) 74.2 Average Length of Stay (Nights) 15.1 Travel Arrangements Package Package2.9% Independent Independent97.1% Purpose of Visit Holiday Holiday63.9% Business Business11.4% Visit Friends and Relatives Visit Friends and Relatives3.2% Activities Undertaken Sightseeing Sightseeing46.3% Shopping Shopping46.1% Beach Holiday Beach Holiday14.1% GERMAN VISITORS Sex Male Male64.9% Female Female34.4% Median Age 40.2 Average Daily Expenditure (US$) 78.9 Average Length of Stay (Nights) 15.7 Travel Arrangements Package Package2.7% Independent Independent97.3% Purpose of Visit Holiday Holiday86.9% Business Business10.3% Visit Friends and Relatives Visit Friends and Relatives3.9% Activities Undertaken Sightseeing Sightseeing49.2% Shopping Shopping45.4% Scuba Diving Scuba Diving16.0% OVERSEAS FILIPINOS VISITORS Sex Male Male31.5% Female Female68.3% Median Age 39.0 Average Daily Expenditure (US$) 40.4 Average Length of Stay (Nights) 23.4 Travel Arrangements Package Package0.0% Independent Independent100% Purpose of Visit Holiday Holiday52.2% Visit Friends and Relatives Visit Friends and Relatives8.0% Others Others7.5% Activities Undertaken Shopping Shopping62.4% Sightseeing Sightseeing30.4% Beach Holiday Beach Holiday14.4%

9. D EPARTMENT OF T OURISM Foreign Markets, 2012 and 2013 Markets20122013 Korea1,031.1551,252,789 USA652,626860,248 Japan412,474445,364 China250,883260,000 ASEAN375,189546,701 Australia191,150260,055 Taiwan216,511271,696 Hong Kong 118,666169,169 Markets20122013Canada123,699150,778 United Kingdom 113,282134,959 Germany67,02378,169 India46,39066,297 Russia28,27039,666 Scandinavia54,93578,437 Others590,558931,664 Total4,272,8115,545,993

10. D EPARTMENT OF T OURISM Domestic Travellers Domestic Travellers In thousands 30.3 M 37.5 M 40.7 M* 25.0 M 24.4 M CAGR = 6.1% 56.0M 51.7M 47.0M 44.7M 40.7M 37.5M CAGR = 10.6% * Estimate Total974,39719.6% 702,79814.1% 613,27912.3% 396,2898.0% 359,3207.2% 338,9926.8% 290,8455.9% 281,2435.7% 200,2954.0% 184,3623.7% 171,8233.5% 152,3773.1% 151,4543.0% 150,0673.0%

11. D EPARTMENT OF T OURISM Develop and market competitive tourist products and destinations Improve market access, connectivity and destination infrastructure Improve institutional governance and human resources 2 3 4 5 12 7 8 9 10 16 14 17 18 23 22 19 1 6 25 27 24 26 32 30 33 34 35 36 37 31 29 28 40 39 38 43 46 44 42 49 50 51 47 48 60 61 63 59 55 53 56 57 54 58 70 69 75 72 74 73 76 78 65 64 67 68 77 11 13 15 20 21 45 52 62 66 71 41 LEGEND : 1 EXISTING Tourist Development Areas 1 EMERGING Tourist Development Areas International Airport Principal Airport - Class 1 Principal Airport – Class 2 Community Airport - Sea Port Tourism Cluster Strategic Directions 20 Tourism Clusters 78Tourism Development Areas Areas 289 Tourism Sites 9 International Gateways Gateways 20 Domestic Gateways Gateways

12. D EPARTMENT OF T OURISM Nature Tourism Tourism Cultural Tourism Sun and Beach Tourism Cruise and Nautical Tourism Leisure and Entertainment Tourism MICE & Events Tourism Health,Wellness, and Retirement Tourism Diving & Marine Sports Tourism Education Tourism Product Portfolio

13. D EPARTMENT OF T OURISM Room Capacity, 2012 Destinations Available Room Number of Establishments Northern PH 71,8042,248 NCR NCR31,790320 Central Luzon Central Luzon15,024489 Other Regions Other Regions24,9901,439 New Accommodation Facilities in 2012 NameRooms Fairmont Hotel and Raffles Suites 549 Quest Hotels & Conference Ctr Cebu 427 Calyx Center – Cebu 221 Bellevue Resort - Bohol 159 Tunes Hotel – Cebu 150 Luxent Hotel – Quezon City 116 Dohera Hotel – Cebu 100 Microtel Accropolis – Quezon City 84 Hotel Expansion Program in Select Destinations Name Additional Rooms Aklan (Boracay Island) 1,599 Bohol (Panglao Island) 1,250 Metro Manila 1,123 Cebu/ Lapu Lapu/ Mandaue 646 Central PH 61,9783,220 Western Visayas Western Visayas15,200635 Central Visayas Central Visayas27,4471,306 Other Regions Other Regions19,3311,279 Southern PH 28,9221,405 Northern Mindanao Northern Mindanao8,113380 Southern Mindanao Southern Mindanao9,613404 Other Regions Other Regions11,196621 Total PH 162,7046,873

14. D EPARTMENT OF T OURISM Room Projection in 2016 Destination Clusters Island Grouping Room Demand in 2016 Northern PH 80,493 Central PH 82,179 Southern PH 20,461 Total PH 183,134 Critical Cluster Destinations Room Demand Available Room In the Pipeline Room Gap Metro Manila & CALABARZON 54,81837,3117,33010,177 Central Visayas 41,40227,4472,12411,831 Bicol15,8048,5491307,125 Cordillera9,8516,8551062,890 Manila will still need the most rooms between now and 2016 Manila will still need the most rooms between now and 2016 Key demand cities outside of Manila are: Cebu, Panglao, Bicol, Cordillera Key demand cities outside of Manila are: Cebu, Panglao, Bicol, Cordillera Current accommodation development in the pipeline covers only 40% of room requirement Current accommodation development in the pipeline covers only 40% of room requirement Room Supply (Available + Pipeline - Excess) Available in 2012 In the Pipeline Excess Room Total Room 71,8048,20615,54264,468 61,9785,1295,68561,422 28,9221,68610,71719,891 162,70415,02131,943145,782 Room Gap In Critical DestinationClusters16,025 20,757 570 37,352

15. D EPARTMENT OF T OURISM Congestion Taxes & Fees Budget Terminal New Terminal Premier Gateway Connectivity and Destination Infrastructure Secondary Gateways Safety Modular Terminal Modular Capacity Airport Terminal.ppt Modular Capacity Airport Terminal.ppt Modular Capacity Airport Terminal.ppt Priority Airports ClusterAirports Metro Manila NAIA Central Visayas Mactan-Cebu Western Visayas Kalibo/ Iloilo Central Luzon Clark Davao Gulf Davao Palawan Puerto Princesa Cagayan de Oro Laguindingan Laoag-ViganLaoag New Airports Central Visayas BoholBicolDaraga

16. D EPARTMENT OF T OURISM Night Landing Connectivity and Destination Infrastructure Air Seats Market Access Domestic Gateways Travel Formalities Terminal Upgrade Navigational Aid Priority Airports ClusterAirports Central Visayas Tagbilaran Leyte-Samar Tacloban, Borongan, Catarman Siargao-DinagatSiargao Bicol Daet, Pili, Legaspi, Naga, Masbate BatanesBatanes Marinduque- Romblon-Mindoro Marinduque, Tugdan, San Jose Agusan River Butuan Zamboanga Zamboanga, Dipolog CotabatoMlang

17. D EPARTMENT OF T OURISM Airports Attractions/ Tourist Sites International Cruise (Manila, Cebu, P. Princesa) Inter-Island Road Access Waste Management Connectivity and Destination Infrastructure Central Terminals Seaports Land Transport Destination Infrastructure Tourist Centres Franchises Water Supply Power & Others

18. D EPARTMENT OF T OURISM Air Seat Entitlements and Utilization, 2012 Markets Seat Entitlements PHForeign Korea1,482,0001,482,000 Japan1,856,4001,856,400 China702,000702,000 Taiwan522,600522,600 Australia312,000208,000 Singapore2,280,0442,280,044 Hong Kong 1,367,6001,367,600 Canada109,200109,200 Malaysia354,640354,640 United Kingdom 218,400218,400 Germany109,200109,200 India109,200109,200 Indonesia156,000156,000 Thailand355,680355,680 Viet Nam 312,000312,000 Total10,246,96410,042,964 Entitlement Untilization PH%Foreign% 1,177,80079.47%1,339,62490.39% 533,62428.75%247,52013.33% 617,76088.00%182,93626.06% 239,35845.80%178,20434.10% 250,06880.15%95,36845.85% 882,54438.71%721,13631.63% 958,88070.11%897,46865.62% 109,200100.00%00.00% 355,680100.29%346,84097.80% 00.00%00.00% 00.00%00.00% 99,11290.76%00.00% 147,36894.47%00.00% 313,97688.27%158,60044.59% 122,30439.20%00.00% 5,807,67456.68%4,167,69641.50%

19. D EPARTMENT OF T OURISM Target, 2012 - 2016 Indicators20122013201420152016 International Tourism Visitor Arrivals (mil) Visitor Arrivals (mil)4.65.56.88.210.0 Length of Stay (nights) Length of Stay (nights)8.08.08.08.08.0 Average Daily Expenditure (Pesos) Average Daily Expenditure (Pesos)4,431.04,914.05,431.05,939.96,470.0 Visitor Receipts (Pesos bil) Visitor Receipts (Pesos bil)156.0205.4269.9350.4455.0 Domestic Tourism Domestic Travellers (mil) Domestic Travellers (mil)40.744.147.751.756.1 Domestic Trips (mil) Domestic Trips (mil)162.7176.2191.0206.9224.2 Length of Stay (nights) Length of Stay (nights)4.74.74.74.74.7 Average Daily Expenditure (Pesos) Average Daily Expenditure (Pesos)2,469.02,580.02,593.02,739.02,922.0 Domestic Receipts (Pesos bil) Domestic Receipts (Pesos bil)1,152.01,298.61,409.21,607.11,852.1

20. D EPARTMENT OF T OURISM Economic Impact Projection, 2012 - 2016 Indicators20122013201420152016 Gross Domestic Product Total Visitor Receipts (Pesos bil) Total Visitor Receipts (Pesos bil)1,308.01,504.01,679.11,957.52,307.1 Tourism GVA (Pesos bil) Tourism GVA (Pesos bil)650.8748.3835.4974.01,147.9 Share to GDP (%) Share to GDP (%)6.26.77.07.88.7 Employment Tourism employment (mil) Tourism employment (mil)4.24..95.46.37.4 Share to National Employment (%) Share to National Employment (%)11.613.014.216.218.8

21. D EPARTMENT OF T OURISM Thank you!

22. Projected Arrivals in International Gateways, 2016 Airports Inbound Foreign Passengers Manila3,631,695 Mactan-Cebu2,483,991 Clark1,723,222 Kalibo-Iloilo821,806 Davao401,381 Laguindingan364,873 Puerto Princesa 198,327 Laoag134,739 Others239,966 Total10,000,000  Airport Development and Promotion  Immigration Officers/ Equipment Total Foreign Passengers Movement Percent Share 7,263,39036.3% 4,967,98224.8% 3,466,44417.2% 1,643,6128.2% 802,7624.0% 729,7463.7% 396,6542.0% 269,4781.4% 479,9322.4% 20,000,000100.0%