PSE Circular for Brokers No. 2208-98

September 24, 1998 PSE CIRCULAR FOR BROKERS NO. 2208-98 September 23, 1998 PHILIPPINE STOCK EXCHANGE DISCLOSURE DEPARTMENT Listings & Disclosure Group PSE Center, Exchange Road Pasig City Gentlemen : For your information, RFM Corporation and Unilever, one of the world's largest food companies, are currently discussing a plan to join forces in the ice cream business in the Philippines. This plan will involve the setting up of a joint venture in ice cream between Unilever Philippines and Selecta Dairy Products, Inc., the dairy subsidiary of RFM. LibLex RFM, as majority owner of Selecta, plans to spin off certain fixed assets of the ice cream division of Selecta into a new company that will form the core of the joint venture. Selecta will continue to operate separately its businesses in milk, juice and confectionery distribution. Unilever has submitted a preliminary non-binding indicative value for the ice cream business. The next step is for Unilever to undertake due diligence procedure, before formal approvals for a joint venture agreement are secured from the board of directors and shareholders of the two companies. Thank you. (SGD.) CRISTINA D. REYES Asst . Corporate Secretary