FEBTC'S Major Shareholders Stand Firm

June 21, 1999 PSE CIRCULAR FOR BROKERS NO. 1447-99 CUISIA AND ESPIRITU DENY SELL-OUT FEBTC'S MAJOR SHAREHOLDERS STAND FIRM FAR EAST BANK AND TRUST COMPANY (FEBTC) CHAIRMAN JOSE L. CUISIA, JR. AND PRESIDENT AND CHIEF EXECUTIVE OFFICER OCTAVIO V. ESPIRITU YESTERDAY DENIED THE PHILIPPINE DAILY INQUIRER STORY STATING THAT THE BANK'S MAJOR SHAREHOLDERS ARE UNLOADING THEIR SHARES. CUISIA AND ESPIRITU SAID THAT IN A SPECIAL MEETING OF THE BANK'S MAJOR SHAREHOLDERS, THERE WAS CONSENSUS ON "FEBTC'S BASIC STRATEGY OF ACQUIRING OTHER BANKS AND THAT THEY STAND FIRM IN PURSUING THIS STRATEGY OF GROWTH AS A UNIFIED GROUP". THE PHILAMLIFE GROUP HAS BEEN FEBTC'S PARTNER FOR 39 YEARS. THE LARGEST SHAREHOLDER OF THE BANK, SAKURA BANK LTD. OF JAPAN, HAS BEEN A STRATEGIC PARTNER FOR THE LAST 25 YEARS. SAKURA BANK HAS ALREADY DENIED THE RUMORED SELLOUT OF ITS STAKE IN AN ARTICLE WHICH APPEARED ON THE PHILIPPINE DAILY INQUIRER LAST JUNE 09, 1999. CUISIA AND ESPIRITU EMPHASIZED THAT "IT IS THE DECISION OF THE MAJOR SHAREHOLDERS TO STAY TOGETHER IN THIS ACQUISITION STRATEGY." LexLib IN ATTENDANCE AT THE SPECIAL CONSENSUS MEETING HELD LAST MONDAY WERE FEBTC CHAIRMAN AND PHILAMLIFE PRESIDENT AND CHIEF EXECUTIVE OFFICER., JOSE L. CUISIA, JR.; FEBTC VICE CHAIRMAN AND PHINMA CHAIRMAN AMBASSADOR RAMON DEL ROSARIO, SR.; SAKURA BANK LTD., REPRESENTATIVES, SHINSUKE SHIMIZU AND MITSUHO KARAKIDA; JG SUMMIT HOLDINGS, INC. PRESIDENT JAMES L. GO AND ROBINA GOKONGWEI-PE; SM GROUP OF COMPANIES CHAIRMAN HENRY SY, SR.; MANUEL E. CACHO , MARIANO M. CACHO, JR. AND ENRIQUE C. FERNANDEZ OF THE CACHO GROUP; SOCIAL SECURITY SYSTEM PRESIDENT AND CEO CARLOS A. ARELLANO AND IFC REPRESENTATIVE VIPUL PRAKASH, WASHINGTON SYCIP AS ADVISOR TO THE BOARD, O. V. ESPIRITU AS PRESIDENT AND CHIEF EXECUTIVE OFFICER, AND SENIOR EXECUTIVE VICE PRESIDENT AND CHIEF OPERATING OFFICER VICENTE L. PANLILIO.