PSE Circular for Brokers No. 3107-99

December 7, 1999 PSE CIRCULAR FOR BROKERS NO. 3107-99 December 6, 1999 Philippine Stock Exchange PSE Center, Exchange Road Ortigas Center, Pasig City Attention: Ms . Grace B . de Guia Asst . Manager, Disclosure Dept . Dear Sirs: We bring to your attention the following disclosure regarding the status of the sale of A. Soriano Corporation's investment in AsianBank Corporation. A. Soriano Corporation (Anscor) has agreed in principle to sell its 41% stake in AsianBank Corporation (AsianBank) to Philippine Savings Bank (PSBank), the savings bank subsidiary of the Metrobank group. This sale transaction excludes AB Capital and Investment Corporation (ABCIC), Asianbank's investment house subsidiary as well as ABCIC subsidiaries which include Anscor Hagedorn Securities, Inc. These companies will be retained by the original shareholders of AsianBank. The terms and conditions of this transaction are still being negotiated by the parties. The move to sell AsianBank was triggered by the Bangko Sentral ng Pilipinas' requirement to progressively increase the capitalization of universal banks. The sale will increase the cash position of Anscor which will enable the Company to invest in new ventures. With the sale of AsianBank, the major shareholders of AsianBank which include Anscor, will continue to focus their attention towards further building up ABCIC. Anscor believes that through ABCIC, it has a continuing role to play in the financial markets particularly in the capital markets, where ABCIC has established a leading presence. Very truly yours, (SGD.) ERNEST K. CUYEGKENG Senior Vice President and Chief Financial Officer