PSE Circular for Brokers No. 1517-98

July 3, 1998 PSE CIRCULAR FOR BROKERS NO. 1517-98 July 2, 1998 Ms. Janet J. Alcala Assistant, Listing and Disclosure Group Philippine Stock Exchange PSE Center, Exchange Road Ortigas Center, Pasig City Dear Ms. Alcala : This is to advise you that the Board of Directors of the Manila Bulletin Publishing Corporation in a special meeting held on July 2, 1998 at 7:00 p.m. approved the following: 1. Acceptance of the resignation of Dr. Andrew Gonzalez as Director and President of the Corporation effective June 25, 1998; 2. Election of Atty. Neptali A. Gonzales as Director and President of the Corporation effective July 7, 1998; 3. Increase of the authorized capital stock of the Corporation by P900 million from P2.5 billion to P3.4 billion, divided into 3.4 billion shares at par value of 1.00 each. That out of the increase of P900 million, 25.33% thereof or 227,973,950 shares worth P227,973,950 shall be subscribed and fully paid by way of stock dividend worth 227,973,950 shares which is equivalent to 29.89% per share on the outstanding shares of capital stock of 762,701,400, net of Treasury shares. That in relation to said increase of capital stock and as full payment of the 25.33% subscription to said increase of P900 million, a stock dividend of 227,973,950 shares based on the subscribed and outstanding shares of the capital stock of the Corporation on the date of the meeting of the Board of Directors be, as the same is hereby declared, payable to all stockholders on the record date that shall be fixed by the Securities and Exchange Commission, utilizing for this purpose P227,973,950 out of the accumulated unrestricted surplus profits of the Corporation as of June 30, 1998. 4. Amending Article VII of the Amended Articles of Incorporation to reflect the increase of P900 million in the authorized capital stock from P2.5 billion to P3.4 billion. cdt STOCK DIVIDEND STOCK 29.89% RECORD DATE TO BE ANNOUNCED Very truly yours, (SGD.) AUGUSTO T. AFRICA Corporate Secretary