PSE Circular for Brokers No. 2239-99

September 8, 1999 PSE CIRCULAR FOR BROKERS NO. 2239-99 September 7, 1999 PHILIPPINE STOCK EXCHANGE, INC . PSE Center, Exchange Road Pasig City Attention: Ms . Grace B . De Guia Assistant Manager, Disclosure Department Gentlemen: Please be advised that at the meeting of the Board of Directors of Wellex Inc.(WIN) held late this afternoon, September 7, 1999, the following matters were acted upon by the Board in the manner indicated. 1. The Board ratified and confirmed the implementation of the vending-in of the Plastic City Industrial Corporation (PCIC) into WIN, as earlier disclosed, through the acquisition by WIN of 30,543,847 shares in PCIC with an aggregate book value as of March 31, 1998 of P2,530,252,285 in exchange of the issuance by WIN of 2,530,252,285 WIN shares with an aggregate par value of P2,530,252,285. The shares exchange, as advised in our earlier letter to you dated August 12, 1999, will enable WIN to acquire the assets and operations of various plastics companies under PCIC, in line with the thrust of WIN to transform itself into a holding company for various manufacturing operations. The implementation of the shares exchange is awaiting approval by the Securities & Exchange Commission of WIN's current application for an increase in its authorized capital stock of P3.5 Billion. 2. Likewise, in line with the aforesaid change in strategic thrust by which the company will no longer pursue the real estate business, the Board authorized Management to continuously seek opportunities to convert its undeveloped real estate assets into more liquid investments. Specifically, the Board approved a proposal for the execution of a third-party mortgage on the company's undeveloped real estate assets as collateral for an affiliate loan in the amount of up to P500.0 million, in consideration of company being granted the opinion to convert such undeveloped real estate assets into liquid investment in shares of stock, at such valuation and other terms as the Board shall approve. Very truly yours, WELLEX INDUSTRIES, INC. By: (SGD.) ARTHUR R. PONSARAN Corporate Secretary