Belle Corporation

September 18, 1998 PSE CIRCULAR FOR BROKERS NO. 2186-98 SUBJECT : Belle Corporation Belle Corporation ("BEL") furnished the Exchange its Amended Quarterly Report under SEC Form 11-Q/A-1 for the period ended March 31, 1998 reflecting the following revisions on Item 2 of the Financial Information: ". . . Total assets slightly declined by 1% to P29,384.0 million as of June 30, 1998 from P29,704.3 million as of June 30, 1997. The decline was mainly due to the improved collections on Accounts Receivables and reduction in cash due to partial payment of the Long-term Debt . Total liabilities declined by 7% to P17,910.0 million as of June 30, 1998 from P19,207.9 million as of June 30, 1997. Of the Accounts Payable and Accrued Expenses as of end of the second quarter, P495 . 0 million represents Notes Payable from various banks at interest rates ranging from 18% to 21%, P238 . 7 million represents accrued Dividends on preferred shares . As of the end of the second quarter of 1998, there were no liabilities from DOSRI . Furthermore, there were no dividends declared in the second quarter of 1998 . In the second quarter of 1998, the Company paid USD21.0 million of its USD200 million unsecured Long-term Debt. The Long-term Debt consists of the two FRNs issued in 1997. The first FRN with a balance of USD125 million has interest of 1 . 80% above London Interbank Offered Rate (LIBOR) and will mature in May 2002 . The second FRN with a balance of USD54 million has interest of 0 . 95% above LIBOR and will mature in May 2001 . The Philippines is still experiencing volatile foreign currency exchange rates, high interest rates and declining stock price . The Company will continue to be affected, for the foreseeable future, by the recent economic events in the country . It is not possible to determine the future effect a continuation of the present economic slowdown may have on the Company . The financial statements do not include any adjustments that may result from these uncertainties . Related effects will be reported in the financial statements as they become known and estimable ." For your information. cdt (SGD.) REYNOLD P. ONG Vice-President, Listings and Disclosure Group