PSE Circular for Brokers No. 1803-99

July 21, 1999 PSE CIRCULAR FOR BROKERS NO. 1803-99 PHILIPPINE STOCK EXCHANGE 4/F Philippine Stock Exchange Centre Ortigas Center, Pasig City Attention: Ms . Racquel R . Angeles Assistant Disclosure Department Gentlemen : We hereby disclose that we have received information that Standard & Poor's has assigned a B + rating to Globe Telecom Inc. ("Globe") Standard & Poor's also assigned its B rating to Globe's proposed issue of US $ 200 million senior unsecured notes due 2009. The outlook on the long-term corporate credit rating is stable. According to the information provided to Globe by Standard & Poor's, the rating reflects various challenges experienced by Globe in the Philippine cellular market and the regulatory environment. These challenges are partially mitigated by Globe's leading position in the digital cellular market, its growing quality subscriber base, capable management and anticipated strong growth in demand for all forms of telecommunications services in the country. The stable rating outlook also reflects anticipated steady growth in Globe's subscriber base that is expected to sustain positive operating cash flows over the near to medium-term. This is the first time that Standard & Poor's has rated debt of Globe. Very truly yours, (SGD.) ATTY. MA. CARIDAD D. GONZALES Vice-President Legal Services Division