PSE Circular for Brokers No. 1652-98

July 17, 1998 PSE CIRCULAR FOR BROKERS NO. 1652-98 July 15, 1998 Disclosure Department Listing and Disclosure Group 4/F, Philippine Stock Exchange Center PSE Center, Exchange Road Ortigas Center, Pasig City Attention: Mr . Reynold P . Ong Vice President Gentlemen : Pursuant to the rules on corporate disclosure, we wish to inform you that the Urban Bank Group has made an offer to Philippine National Bank (PNB) to purchase and acquire up to 100% of the issued and outstanding shares of stock of its subsidiary, Century Bank, a full-service commercial bank based in California, U.S. A. Century Bank has 6 branches in Los Angeles and San Francisco and has total assets of approximately US$150 million. LexLib The proposed acquisition of Urban Bank is in line with its globalization and institutional development program. Specifically, it expects to strengthen its trade-finance business and further enhance its Private Banking operations. We trust that you will find the foregoing in order. Very truly yours, (SGD.) CORAZON M. BEJASA Corporate Secretary (SGD.) FRANCES P. AQUINO Assistant Corporate Secretary