PSE Circular for Brokers No. 3103-99

December 7, 1999 PSE CIRCULAR FOR BROKERS NO. 3103-99 December 6, 1999 PHILIPPINE STOCK EXCHANGE, INC. (PSE) Philippine Stock Exchange Center Exchange Road, Ortigas Center Pasig, Metro Manila Attention: Ms . Grace B . de Guia Assistant Manager Gentlemen/Mesdames : Pursuant to SEC and PSE's disclosure requirements, we are reporting to your good office the following: LibLex a) The Management designated Mr. Fredesuendo G. Ong as Vice President for Marketing and Mr. Mario S. Lucas as OIC VP Finance and HRMD, both effective December 1, 1999. llcd b) Petron Corporation and Petron Employees Association National Association of Trade Union (PEA-NATU) has signed a Collective Bargaining Agreement (CBA) today covering the period September 1, 1999 to December 31, 2002. Under the CBA, the company is committed to grant a salary increase of 12% for the first 12 months for those who are on the active payroll as of September 1, 1999 and additional 4% for those on the active payroll upon signing. The aforesaid increase shall cover the period from September 1, 1999 to December 31, 2000 (16 mos.). From January 1, 2001 to December 31, 2002 salary increases shall be based on the management approved salary administration program, which is performance based merit increase, plus corporate productivity based incentives Rewarding Excellence Through Alternative Pay (REAP). We trust that we have sufficiently complied with your disclosure requirement. Very truly yours, (SGD.) LIBERADOR V. VILLEGAS Corporate Secretary