PSE Circular for Brokers No. 1320-99

June 4, 1999 PSE CIRCULAR FOR BROKERS NO. 1320-99 June 4, 1999 DISCLOSURE DEPARTMENT Listings and Disclosure Group PHILIPPINE STOCK EXCHANGE, INC. Tektite Towers, Exchange Road Ortigas Center, Pasig City Attention: Ms . Luisa W . Buenaventura Supervisor Gentlemen : RE : Article entitled "Merger of Asianbank, PBCom still uncertain" in the June 4, 1999 issue of the Manila Times We refer to the above-captioned article and to your letter of even date seeking clarification regarding the accuracy of the contents of said article. We wish to state that negotiations on the merger between Asianbank and PBCom are ongoing. The parties are currently finalizing the terms of the merger, including valuation and provisions of the shareholders' agreement. As previously stated, both parties are fully aware of and are still committed to the June 30, 1999 deadline. cdlex We trust that the foregoing sufficiently clarifies the above-captioned matter. Thank you. Very truly yours, (SGD.) ATTY. SEBASTIAN F. CAPONONG, JR. Acting Corporate Secretary