Possible Tie-Up with Desarollos Eolicos (D.E.)

August 12, 1998 PSE CIRCULAR FOR BROKERS NO. 1875-98 August 11, 1998 PHILIPPINE STOCK EXCHANGE, INC. Disclosure Department Listings and Disclosure Group 4/F Philippine Stock Exchange Center PSE Center, Exchange Road Ortigas Center, Pasig City, Metro Manila SUBJECT : Possible Tie-Up with Desarollos Eolicos (D . E . ) Gentlemen : The following is our official, full, fair and accurate disclosure on the foregoing subject of your fax message dated August 10, 1998. Sometime in May 1998, Mr. Jose Llamas, a representative of Desarollos Eolicos (D.E.), a subsidiary of Abengoa S.A., accompanied by Mr. Salvador Co, European desk Chief of the board of Investments (BOI), met with Mr. Benjie Cariaso, Jr., Vice President & Project Development Officer of AEV regarding the possibility of a wind energy project in the Philippines. The talks were exploratory in nature since D.E. would still conduct a wind survey in the Philippines. This survey would take at least a year to accomplish. AEV has deferred further talks on the matter until after D.E. has completed its survey and presented the same to AEV. llcd Thank you. Very truly yours, ABOITIZ EQUITY VENTURES, INC . By: (SGD.) JESUS A. SANTIAGO Corporate Secretary