RFM Corporation

August 31, 1998 PSE CIRCULAR FOR BROKERS NO. 2015-98 SUBJECT : RFM Corporation RFM Corporation ("RFM") confirmed to the Exchange, in a letter dated August 28, 1998, reports from analysts and the newspapers of the company's plans to buyback Selecta Dairy Products, Inc. ("SLT") and Swift Foods, Inc. ("SFI") and the consequent delisting of the same from the Exchange. RFM in said letter explained that: "We write to confirm previous reports coming from analysts and the newspapers that RFM is indeed planning to take Selecta Dairy Products, Inc. (SLT) and Swift Foods, Inc. (SFI) private, and consequently delist the same from the Exchange. Presently, RFM owns approximately 90% of SFI. Similarly, RFM now owns about 90% of SLT after it transferred its milk & juice division to SLT in exchange for the latter's convertible preferred shares. The present situation have made the two issues relatively illiquid from a trading point of view. Additionally, the recent decline in local market prices of these and other Philippine issues has further limited trading volumes on a daily basis. Finally, we have decided to move for delisting also because we feel that by doing so we will refocus the investing public to RFM as the sole food & beverage issue of the Group. We acknowledge however, that we still need to deal with the remaining public minority shareholders of SLT and SFI. As such, we are considering various ways that we can address their concerns about their holdings and how they can exit from the same in an equitable manner. . . " For your information. cdpr (SGD.) REYNOLD P. ONG Vice-President, Listings and Disclosure Group