PSE Circular for Brokers No. 2183-98

September 18, 1998 PSE CIRCULAR FOR BROKERS NO. 2183-98 September 17, 1998 Philippine Stock Exchange, Inc. PSE Center, Exchange Road Ortigas Center, Pasig City, MM ATTENTION: Mr . Reynold P . Ong, VP Listings and Disclosure Group RE : P0.80 Cash Dividend on Outstanding BPI Common Shares Dear Sirs : Further to our letter of 17 June 1998 on above subject, we wish to inform you of our receipt on 17 September 1998 of BSP's letter dated 17 September 1998 approving subject cash dividend on the outstanding Common shares of the capital stock of the Bank of the Philippine Islands. In accordance with our Board's resolution, the said cash dividend is payable to BPI Common shares stockholders of record as of 02 October 1998 (the 15th day from BPI's receipt of said BSP approval), distributable on 17 October 1998 (the 15th day from the said record date of 02 October 1998). LLphil Attached for your files, is a photocopy of the above-mentioned BSP letter dated 17 September 1998. Thank you. CASH DIVIDEND CASH P0.80/share EX-CASH September 28, 1998 RECORD DATE October 2, 1998 DATE PAYABLE October 17, 1998 Very truly yours, (SGD.) CARLOS B. AQUINO VP & Corporate Secretary September 17, 1998 Mr. Xavier P. Loinaz President BANK OF THE PHILIPPINE ISLANDS BPI Building Ayala Avenue corner Paseo de Roxas Makati City 0720 Dear Mr. Loinaz: This refers to your letters dated June 19 and July 2, 1998 (copy of each attached), relative to the approval by the Bank's Board of Directors on June 17, 1998 of the declaration of a cash dividend of P0.80 per share on the total outstanding and/or subscribed Common shares (806,489,038 shares) of the Bank's capital stock. We interpose no objection to the dividend declaration provided the following conditions are met: 1. The Bank shall comply with the requirements on legal reserves/liquidity cover under BSP Circular No. 1354 dated September 11, 1992, as amended by BSP Circular No. 18 dated March 23, 1994, as follows: a. The Bank shall have sufficient legal reserves for deposits and deposit substitutes; and liquidity cover for government funds as of the time it sought BSP approval of the declaration of dividends up to the payment date of the dividend; b. The Bank shall not have incurred net weekly deficiency in its required legal reserves for deposit and deposit substitutes; and any deficiency in its liquidity floor for government funds during the last two (2) months immediately preceding the date of request for approval of declaration of dividends up to dividend payment date. 2. The Bank shall provide sufficient cover for its foreign currency deposit liabilities at all times; 3. The Bank shall have complied with all the foregoing requirements before the actual payment of herein cash dividends; and 4. The record date for such dividends shall not be set earlier than thirty (30) days after declaration, as required under BSP Circular No. 18 dated March 23, 1994. Very truly yours, (SGD.) ANDRES I. RUSTIA Director