Amendments to the Rules Fixing the Minimum amount of Paid-up Capital Stock of Pre-Need Plan Issuers

May 31, 1991 SEC-BED * MEMORANDUM CIRCULAR NO. 03-91 TO : All Concerned SUBJECT : Amendments to the Rules Fixing the Minimum amount of Paid-up Capital Stock of Pre-Need Plan Issuers For your information and compliance, hereunder quoted are the amendments to the Rules fixing the minimum amount of paid-up capital stock of pre-need plan issuers: "Henceforth, any corporation applying for a license to act as issuer of pre-need plans must have a paid-up capital of at least TEN MILLION PESOS (P10,000,000.00), in cash or property and an additional FIVE MILLION PESOS (P5,000,000.00) for every additional type of plan it is going to sell or offer for sale." Issuers of pre-need plans who are currently registered and/or licensed as such but with paid-up capital of less than P10,000,000.00 may be allowed to continue to operate as such but are hereby required to build up said minimum paid-up schedule: December 31, 1991 P4.4 M December 31, 1992 P5.8 M December 31, 1993 P7.2 M December 31, 1994 P8.6 M December 31, 1995 P10.0 M The FIVE MILLION PESOS (P5,000,000.00) per type plan requirement shall be complied with on or before December 31, 1991. All required paid-up capital in cash or property, herein treated shall at all times be kept unimpaired. The Securities and Exchange Commission shall pass upon the acceptability of properties to be contributed as part of paid-up capital. In no case, however, shall properties not related to the pre-need plans sold or proposed to be sold be allowed as paid-up capital. (SGD.) ROSARIO N. LOPEZ Chairman