PSE Circular for Brokers No. 1204-98

June 1, 1998 PSE CIRCULAR FOR BROKERS NO. 1204-98 May 29, 1998 Disclosure Department Listings and Disclosure Group 4/F Philippine Stock Exchange Center PSE Center, Exchange Road Ortigas Center, Pasig City Attention: Mr . Reynold P . Ong Vice-President Listings and Disclosure Group Gentlemen : We advise that at their annual meeting held today, the stockholders of Solid Group, Inc. (SGI) approved an investment of SGI in Destiny, Inc. (Destiny) through the transfer of its electronics-related assets, in exchange for and in consideration of such number of shares of stock of Destiny, and under such terms and conditions as the Board of Directors may deem proper. Destiny is a corporation organized and existing under Philippine law which by itself or through subsidiaries, will engage in the business of providing multi-media services in the Philippines by bringing cutting-edge technology in multi-media right into the homes of the average Filipino, utilizing its HFC cable network, space relay and repeater stations. During the meeting, the financial advisors of SGI gave a presentation of the general plans and the tentative terms of the assets-for-shares swap. It was emphasized that the plans were still tentative and are subject to further studies and, among other things, obtaining the approvals of the appropriate regulatory agencies. The stockholders also authorized the Company to enter into management contracts with some of its subsidiaries and affiliates regarding the management of the latter. These subsidiaries and affiliates include: Solid Corp. SSEC, Inc. Solid City Industrial & Commercial Corp. Clark Plastics Manufacturing Corp. Solid Electronic Services, Inc. Solid Distributors, Inc. Ascop, Inc. Solid Manila Corp. Solid Electronic Corp. AA Electronics Corp. Kita Corp. Solid Video Corp. Solid Laguna Corp. The following were elected directors for the current year: Joseph Lim Elena S. Lim Washington Sycip Susan L. Tan Vincent S. Lim David S. Lim Jason S. Lim George R. Tan James Uy The organizational meeting of the Board of Directors will be held next week. Very truly yours, (SGD.) ROBERTO V. SAN JOSE Corporate Secretary