PSE Circular for Brokers No. 210-98

February 24, 1998 PSE CIRCULAR FOR BROKERS NO. 210-98 PRESS RELEASE METRO PACIFIC BOARD APPROVES INCREASE IN CAPITAL TO PESOS 30 BILLION Metro Pacific Corporation ("Metro Pacific") announced today that its Board of Directors has approved a proposal to increase the company's authorized capital stock from Pesos 10 billion to Pesos 30 billion, and to recommend such proposal for approval by the shareholders of Metro Pacific in a special stockholders' meeting to be held for this purpose. The increase is in preparation for a rights issue, announced earlier this year, that is anticipated to raise an amount of Pesos 14 billion. The number of new shares to be issued will depend on the terms of the issue, which are to be decided in conjunction with underwriters. The increase in the authorized capital to Pesos 30 billion is designed to provide for flexibility with respect to the terms of the rights issue and will also allow for further capital issues in the future. pred First Pacific Company Limited, acting through its Philippine affiliates, has expressed its full support for the rights issue and, subject to finalization of terms, it has stated its willingness to subscribe to its proportional share of any such issue, or to take up the full issue should other shareholders not wish to participate in the offer. The rights issue proceeds will be used primarily to retire a significant portion of existing head office debt and to support the capital expenditure program of Smart Communications, Inc. The increase in the authorized capital is subject to regulatory approval and ratification by the stockholders at a special meeting to be arranged for 8 April 1998. 24 February 1998 Philippine Stock Exchange Compliance and Surveillance Department Tektite Tower, Exchange Road Ortigas Center, Pasig City Attention: Ms. Ma. Isabel T. Garcia Head, Listing Department Gentlemen: Re: Metro Pacific Corporation SEC Form 11-C In accordance with your requirements, we would advise the Exchange that the Board of Directors of Metro Pacific Corporation today approved a proposal to increase the company's capital stock from Pesos 10 billion to Pesos 30 billion. The proposed increase will be effected through the creation of 20 billion new common shares of Peso 1 each. The proposal will be recommended for approval by the shareholders of Metro Pacific Corporation at a special stockholders' meeting to be held for this purpose on 8 April 1998. The Board of Directors has fixed the close of business on 10 March 1998 as the record date for the determination of stockholders entitled to notice of and to vote at the Special Stockholders' Meeting. LLphil Very truly yours, (SGD.) CHRISTOPHER H. YOUNG Director