PSE Circular for Brokers No. 3050-99

December 1, 1999 PSE CIRCULAR FOR BROKERS NO. 3050-99 SECURITIES & EXCHANGE COMMISSION SEC FORM 11-C CURRENT REPORT UNDER SECTION 11 OF THE REVISED SECURITIES ACT (RSA) AND RSA RULE 11(a)-1b(3) THEREUNDER 1. November 29, 1999 Date of Report (Date of earliest event reported) 2. SEC Identification Number 24986 3. BIR Tax Identification No. 000-275-073 4. Pacific Cement Company, Incorporated Exact name of registrant as specified in its charter 5. Surigao, Philippines Province, country or other jurisdiction of incorporation 6. (SEC Use Only) Industry Classification Code 7. Km. 11, Surigao City, Surigao del Norte 8400/1227 (With Office address: 29/F Chatham House Postal Code 116 Valero cor. Herrera Sts. Salcedo Village, Makati City) Address of principal office 8. (632) 887-1111 Registrant's telephone number, including area code 9. Not Applicable Former name, or former address, and former fiscal year if changed since last report 10. Securities registered pursuant to Sections 4 and 8 of the RSA Title of Each Class Number of Shares of Common Stock Outstanding Common Stock. @ P1.00 par value 268,256,740 11. Indicate the item numbers reported herein: Item No. 9 Item 9. Other Events The Restructuring Agreement for the restructuring of the Company's Existing Loans with its 3 major creditor banks namely Rizal Commercial Banking Corporation (RCBC), Land Bank of the Philippines (LBP) and China Banking Corporation (CBC) amounting to P745.457 Millions (RCBC P270.754 M, LBP P292.954 M, CBC P181.749 M) has been signed on November 23, 1999 based on the following premises: The Company represents that it could still viably operate and be able to fully settle the Existing Loans; In recognition of the pressing need to ensure the unhampered operations of the Company so that funds may be generated to settle the Company's obligations, the Lenders have agreed to restructure the Existing Loans of the Company which calls for, among other things, (i) the rescheduling of the repayment of the outstanding principal obligation on the Existing Loans, (ii) capitalization of the overdue and accrued interests in respect of the Existing Loans as of December 31, 1998; (iii) the capitalization of interests for the year 1999 in respect of the Existing Loans: and (iv) conditional waiver by the Lenders of the payment of all penalties due on the Existing Loans. To manifest its sincere desire to settle the Restructured Loans, the Company has agreed to mortgage all its free assets, including, but not limited to, the Surigao plant, under the terms of the Mortgage Trust Indenture executed on November 25, 1994 by the Company in favor of Rizal Commercial Banking Corporation as Mortgage Trustee, in trust for the pari passu benefit of the Lenders. cdlex Based on the above premises are the terms and conditions among others of the debt restructuring: cdll Tenor : Seven (7) years, inclusive of two (2) years grace onprincipal repayment, reckoned from January 1, 1999. Principal Repayment : Repayment of principal will be in twenty (20) quarterly amortizations, starting at the end of the ninth (9th) quarter from January 1, 1999, and based on the following amortization schedule: Year Quarter Percentage (%) of Loan Amount 1 1 to 4 2 5 to 8 3 9 to 12 5.00% (1.25% each quarter) 4 13 to 16 10.00% (2.50% each quarter) 5 17 to 20 20.00% (5.00% each quarter) 6 21 to 24 30.00% (7.50% each quarter) 7 25 to 28 35.00% (8.75% each quarter) 100.00% Interest Payment : Interest shall be payable quarterly in arrears, commencing at the end of the fifth (5th) quarter from January 1, 1999. Interest from the first (1st) to the fourth (4th) quarter shall be capitalized. Interest Rate : Interest shall be computed based on the following rates: Year Quarter Interest Rate (%) Per Annum 1 1 to 4 16% 2 5 to 8 16% 3 9 to 12 16.5% 4 13 to 16 18% 5 17 to 20 19% 6 21 to 24 20% 7 25 to 28 20% SIGNATURE Pursuant to the requirements of the Revised Securities Act, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized. LibLex PACIFIC CEMENT COMPANY, INCORPORATED (SGD.) GRETA T. DE RAMOS Treasurer