PSE Circular for Brokers No. 2047-98

September 3, 1998 PSE CIRCULAR FOR BROKERS NO. 2047-98 September 2, 1998 THE SECURITIES AND EXCHANGE COMMISSION SEC Building, E. Delos Santos Avenue Mandaluyong City Attention: Director Linda Daoang Money Market Operations Department PHILIPPINE STOCK EXCHANGE, INC. 4/F, Philippine Stock Exchange Centre Exchange Road, Ortigas Center Pasig City Attention: Ms . Janet J . Alcala/Ms . Grace B . De Guia Disclosure Department Gentlemen : Ayala Land, Inc. (ALI) wishes to announce that by mutual agreement with Fine Properties, Inc. (FINE), they have agreed to indefinitely suspend the transaction which was the subject of their letter of intent dated March 19, 1998, by which ALI was to acquire a portion of FINE's holdings in C&P Homes, Inc. (C&P). In reaching this decision, ALI, together with FINE, has determined that the current price of shares of C&P in the stock exchange preempted the transaction from proceeding since it is no longer indicative of the true value of the company. However, ALI remains committed to pursue future opportunities for business partnership and cooperation with C&P, particularly in C&P's core businesses of low-cost and socialized housing. Discussions are currently and actively ongoing to define the terms under which such a partnership might be undertaken. LexLib For your information. Very truly yours, (SGD.) MERCEDITA S. NOLLEDO Senior Vice President, Treasurer & Corporate Secretary