PSE Circular for Brokers No. 1825-98

August 5, 1998 PSE CIRCULAR FOR BROKERS NO. 1825-98 August 4, 1998 Philippine Stock Exchange 4/F Philippine Stock Exchange Center PSE Center, Exchange Road, Ortigas Center, Pasig City Metro Manila Attention: Disclosure Department Listing and Disclosure Group Gentlemen : In compliance with the disclosure requirements of the Philippine Stock Exchange, we advise that, by its Decision dated July 31, 1998, the Supreme Court affirmed the earlier resolution of the Sandiganbayan lifting the writs of sequestration issued by the Presidential Commission on Good Government (PCGG) against 111,415 shares of stock of Philippine Telecommunications Investments Corporation (PTIC) registered in the name of Prime Holdings, Inc. (PHI). At the time of the issuance of the writs of sequestration on May 9, 1986, PHI owned approximately 46% of PTIC's outstanding shares and PTIC, in turn, owned approximately 24% of PLDT's voting shares. The Supreme Court ruled that the writs of sequestration are deemed automatically lifted on account of (1) the failure of the PCGG to observe its rule requiring the signature of at least two commissioners before any writ of sequestration can be issued; and (2) the failure of the PCGG to commence the proper judicial action against the affected private parties within the period prescribed by the Constitution. Very truly yours, PHILIPPINE LONG DISTANCE TELEPHONE COMPANY (SGD.) ENRIQUE D. PEREZ Secretary