PSE Circular for Brokers No. 714-98

April 20, 1998 PSE CIRCULAR FOR BROKERS NO. 714-98 April 17, 1998 PHILIPPINE STOCK EXCHANGE PSE Center, Exchange Road Ortigas Center, Pasay City Attention: Ms . Grace B . de Guia Supervisor, Listings and Disclosures Group Dear Ms. de Guia : We write in response to your message of even date requesting Ayala Land, Inc. (ALI) to make an official, full, fair and accurate disclosure within 24 hours with respect to a news article which appeared in the April 16, 1998 issue of the Manila Times captioned "Ayala Land suffers 43% drop in 1st qtr income". The reported profits of ALI for the first quarter of P800 M is merely an estimate and is unaudited. The figure was initially given out in response to a stockholder query made during the annual stockholders' meeting. As informed during the meeting, ALI's books are still in the process of being closed. A format disclosure of the final net income figure, including the individual revenue components, will be made as soon as the closing process is completed. It is unfortunate that the news article focused mainly on this estimated figure and neglected to highlight ALI's ongoing and planned projects. These projects would continue to have a market despite the current situation as the property glut is in the high-end, high-rise buildings for use as office and residential condominiums. In fact, ALI is proceeding with its investment program especially in areas which are perceived to have strong market potentials. We hope this clarifies any misimpressions caused by the news article. Thank you very much. Very truly yours, (SGD.) MERCEDITA S. NOLLEDO Corporate Secretary