PSE Circular for Brokers No. 339-00

February 14, 2000 PSE CIRCULAR FOR BROKERS NO. 339-00 JOLLIBEE ANNOUNCES 1999 4 QUARTER AND FULL YEAR RESULTS Metro Manila, Philippines, 11 February 2000 Jollibee Foods Corporation Systemwide retail sales increased 8.9% to P4.5 billion for the quarter and 10.0% to P16.0 billion for the year. cdll Consolidated total revenues rose 4.0% to P3.6 billion for the quarter and 11.2% to 12.9 billion for the year Income from Operations was higher by 7.8% at P368 million for the quarter and by 0.7% at P1.2 billion for the year. Net Income after Tax grew by 10.2% to 293 million (P0.304/share) for the quarter and by 8.0% to P932 million (0.967/share) for the year. Non-recurring charges of P127 million (P0.131/share) after tax in the 4th quarter included asset write downs related to novelty items, real estate investments and a provision for the discontinuance of operations of Mary's Chicken . In 1998 the Company had P9 million (P0.01/share) of net non-recurring gains. prcd After non-recurring charges, Net Income decreased by 37.3% to P167 million (P0.173 share) for the quarter and by 7.6% to P806 million (P0.836 share) for the full year. Chairman and Chief Executive Officer Tony Tan Caktiong commented, "1999 was a difficult year for the fast-food industry and despite the resilience of our business. JFC was not spared. Responding to the continued weakness in the Philippine economy, we have concentrated on providing our customers with better value for money and our promotional activities in this area have been quite successful in building sales. The 3rd quarter was our low point for the year and we have seen much better sales growth in the 4th quarter." In line with its long-term vision, JFC continued to expand its retail network nationwide. For the year, 50 new Jollibee stores and 33 new Greenwich outlets were opened. At year-end there were 350 Jollibee stores and 191 Greenwich outlets operational. Jollibee also had 21 stores overseas. The company has also announced a merger which will add the operations of Chowking Foods Corporation , the leader in the Oriental fast-food segment in the Philippines. At year-end, Chowking had 159 stores in the Philippines and 6 outlets overseas. The merger will be submitted for stockholder approval at a Special Stockholders' Meeting later this month. "With the addition of Chowking to the JFC family, our leadership position in the Philippine fast-food industry will be solidified. JFC will have the leading brands in three major markets segments." added Tan Caktiong. cdlex JFC announced that it intends to phase out the operations of its Mary's Chicken business, with the exact timing still to be decided. This was a result of a decision to concentrate efforts on its major core brands in the Philippines. To meet the growing needs of its retail operations, JFC will be constructing a new manufacturing and distribution facility this year. In addition, in an effort to enhance its competitive advantage in the area of supply chain management, the company is continually evaluating various means of improving its purchasing, manufacturing and distribution operations. Substantial benefits were realized in these areas in 1999. At its meeting held on Feb. 11 the Board of Directors approved a stock repurchase program with a maximum allocation of P800 million for this purpose. The amount and timing of any share repurchase will be subject to market conditions and other factors. "This program further underscores our commitment to enhancing long-term shareholder value and reflects our confidence in the long-term prospects of our company," said Tan Caktiong. The company continues to win awards for exemplary performance. For the 2nd straight year, the Far Eastern Economic Review "Review 2000 Report on Asia's Leading Companies" ranked Jollibee Foods Corporation as the Philippines' leading company. Jollibee was also cited for its high quality products and services, innovativeness in responding to customer needs, long-term vision and for being the top company that others try to emulate. Jollibee was also recognized as the "Number 1 food company in Asia" by Euromoney's 4th annual survey of Asia's best companies and as the "Overall Best Managed Company" in the Philippines by AsiaMoney . LexLib