Romulo, Mabanta, Buenaventura, Sayoc & De Los Angeles

March 6, 1998 Romulo, Mabanta, Buenaventura, Sayoc & De Los Angeles 306 Floor, Citibank Tower Citibank Plaza 8741 Paseo De Roxas Makati City Attention : Attys . Ricardo J . Romulo and Jose Luis G . de Dios Gentlemen : This refers to your letter dated February 2, 1998 requesting clarification to our previous letter dated January 22, 1998 relative to the leasing scheme described in your letter dated November 24, 1997. LexLib For purposes of clarification, please be advised that the leasing scheme described in your letter dated November 24, 1998, may be exempted from the provisions of the Financing Act, provided that the following conditions imposed by the Commission in its Meeting of January 15, 1998 are complied with: a. That the leasing scheme referred to in your letter is not undertaken on a regular basis but is merely done as an incident in the conduct of its trading business (isolated cases); b. That the name of the company that intends to implement the leasing scheme shall be disclosed to the Money Market Operations Department (MMOD);and c. That the company shall submit a letter to the MMOD of this Commission authorizing the latter to audit the company's books to find out whether such activity is indeed an isolated activity and to determine whether the leasing scheme remains to be exempt. Very truly yours, (SGD.) SONIA M. BALLO Director Corporate and Legal Department