Approval by the Board of Issuance of 60,000,000 common shares and Increase in Capital stock of Armstrong Holdings, Inc. ("AHI") from P240,000,000.00 to P740,000,000.00

November 10, 1999 PSE CIRCULAR FOR BROKERS NO. 2859-99 November 9, 1999 DISCLOSURE DEPARTMENT Listings and Disclosure Group 4/F Philippine Stock Exchange PSE Center, Exchange Road Ortigas Center, Pasig City Gentlemen: RE : Approval by the Board of Issuance of 60,000,000 common shares and Increase in Capital stock of Armstrong Holdings, Inc. ("AHI") from P240,000,000.00 to P740,000,000.00 Please be informed that in a meeting of the Board of Directors held on November 9, 1999, the following resolutions were approved: 1. In order to fund AHI's capital requirements relative to its Internet-based electronic trade and commerce activities and projects, the Board of Directors of AHI approved the investment of Mr. Dante Tan in the aggregate amount of P560,000,000.00 by way of original subscription to the Company's capital stock as follows: a) Issuance of 60,000,000 common shares with a par value of P1.00 each from the unissued authorized capital stock of AHI; b) Increase in authorized capital stock of AHI from P240,000,000.00, consisting of 240,000,000 common shares with a par value of P1.00 to P740,000,000.00, consisting of 740,000,000 common shares, of which the entire increase in capital stock of P500,000,000.00, consisting of 500,000,000 common shares, shall be subscribed by Mr. Dante Tan and 2. Corresponding amendment to Article Seventh of the Articles of Incorporation of AHI. 3. Calling for a special stockholders meeting on December 20, 1999 to approve the increase in the authorized capital stock of the Corporation and amendment to the Articles of Incorporation. The record date of such stockholders meeting has been set on December 1, 1999. We trust that the foregoing is sufficient for your purposes. Thank you. Very truly yours, (SGD.) FRANCES T. YUYUCHENG Corporate Secretary