Manila airport row

MANILA: The Philippines’ Supreme Court ordered the government on Wednesday to pay $510.3 million in compensation to a consortium that built Manila’s biggest air terminal.

Manila airport Terminal 3 had been the subject of a legal dispute since the government seized it in 2004, citing breach of contract and failure to conform with safety standards.

The builders consortium — which also includes Germany’s Fraport AG and Philippine International Air Terminals Co — had sought compensation and the row has been seen as a test of how the country handles foreign investments.

The total compensation represents the airport’s $327 million replacement cost when government took over in 2004 plus $243 million in interest until December 2014.