Reaching New Heights

Professionalism • Integrit
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2 0 0 7
ANNUAL REPORT
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CONTENTS VISION
1 Financial Highlights A premier exchange with world-class standards for trading securities and raising capital that serves
2 Chairman’s Message as a strong engine for a robust economy
4 President’s Message
7 Philippine Stock Market Performance
in 2007 MISSION
13 Highlights of Operations
• Offer products and services responsive to the needs of investors and other stakeholders
34 Board of Directors
36 Executive Officers • Provide a facility for fair, accurate, complete and timely information about listed companies,
37 Department and Section Heads / while extending market education and awareness programs to investors
Officers-in-Charge
• Be a preferred venue for raising capital
38 Securities Clearing Corporation of
the Philippines Board of Directors • Practice and promote good governance within the Exchange and among listed companies
and Officers and trading participants

39 Information Required by the Securities

• Operate efficiently to optimize shareholder value
Regulation Code
42 Statement of Management’s • Adopt world-class systems and global best practices for an efficient, fair and orderly market
Responsibility for Financial Statements
• Develop a highly motivated and professional workforce, committed to serve and excel
43 Independent Auditors’ Report
44 Balance Sheets
45 Statements of Income
46 Statements of Changes in Equity
CORPORATE VALUES
48 Statements of Cash Flows
49 Notes to Financial Statements • Professionalism in delivering quality service and in meeting the highest standards of excellence
79 Market Integrity Board and Committees
• Integrity, transparency and accountability in implementing business programs and enforcing decisions
80 List of Issues as of Yearend 2007
84 List of Active Trading Participants • Teamwork in working towards a common and favorable goal for the market
91 Corporate Information
• Mutual respect in relating with fellow employees

• Inner strength in prioritizing the common good of the market instead of individual interest

• Corporate responsibility in promoting market growth hand in hand with community welfare
FINANCIAL HIGHLIGHTS
In Thousand Pesos

CONSOLIDATED % PARENT %
2007 2006 Change 2007 2006 Change
RESULTS OF OPERATIONS:

TOTAL REVENUES 993,406 563,521 76.29 755,631 458,726 64.72

Listing Fees, Maintenance and processing fees 458,925 245,399 87.01 458,925 245,399 87.01
Membership Fees 166,667 87,699 90.04 166,668 87,699 90.05
Service Fees 238,957 102,370 133.42 - -
Interest Income 112,338 113,991 (1.45) 106,006 112,172 (5.50)
Other Income 16,519 14,062 17.47 24,032 13,456 78.60

TOTAL OPERATING EXPENSES 343,405 270,938 26.75 318,244 239,174 33.06

Income from Operations 650,001 292,583 122.16 437,387 219,552 99.22
NET INCOME AFTER TAX 433,419 232,296 86.58 297,903 183,661 62.20

YEAR-END FINANCIAL CONDITIONS:

TOTAL ASSETS 2,655,941 2,261,795 17.43 2,093,713 1,867,158 12.13

Cash and cash equivalents 195,410 150,647 29.71 159,462 82,947 92.25
Short-term Cash Investments &
Available-for-Sale Securities 876,618 555,998 57.67 682,392 536,824 27.12
Long-term Available-for-Sale Securities 650,618 731,011 (11.00) 650,618 731,011 (11.00)
Property and Equipment 313,811 309,995 1.23 312,586 308,284 1.40

TOTAL LIABILITIES 631,359 515,645 22.44 242,296 158,913 52.47

Current Liabilities 267,541 178,913 49.54 242,296 158,913 52.47
Clearing and Trade Guarantee Fund 361,322 325,227 11.10 - -
Credit Ring Agreement 0 9,990 (100.00) - -

STOCKHOLDER’S EQUITY 2,024,583 1,746,150 15.95 1,851,417 1,708,245 8.38

NET INCOME STOCKHOLDERS’ EQUITY

Group Parent Group Parent

(In Thousand Pesos) (In Thousand Pesos) (In Thousand Pesos) (In Thousand Pesos)

2.5 2,024,583 1,851,417

433,419 1,746,150 2 1,708,245
500 500 2
400 400 297,903 1.5
1.5
300 232,296 300 1
183,661 1
200 200
0.5 0.5
100 100
0 0 0 0
2006 2007 2006 2007 2006 2007 2006 2007

01

2007 ANNUAL REPORT


C HAIRMAN’S
MESSAGE
Dear Shareholders and Friends,
Once again, your Board of Directors
is pleased to report that, in 2007, the
Exchange rose above the challenges that had
confronted it and posted another year of
record-breaking performance. And I am
happy to be able to share with you some
of the historical milestones we reached,
including the major programs and projects
we implemented last year.
The stellar performance of the Exchange
starts with the increased trading activity, so
dramatic that it exceeded the Php1-trillion
mark, never before achieved in its 80-year
history. The annual value turnover did not
once previously approximate Php1-trillion. In
2007, our annual value turnover breached the
Php1-trillion threshold as early as September
or with a full quarter to go before we ended
the year. No doubt such an unprecedented
increase in turnover was good not only for the
Exchange but also for our trading participants.
The PSEi, which is our main barometer of
stock price movements, enjoyed its best
yearend close, surpassing the previous all-time
high closing spot recorded way back in 1993.
Our main index likewise recorded in 2007
its fifth consecutive year of advance, which
is its longest winning streak in the history of
our stock market. Definitely the sustained
annual advance of our index provided a lot of
investors one of the best reasons to focus on
our market’s potential.
The PSE community continued to expand.
Equity raised in 2007 by listed companies
via various capital-raising activities went up
to a new all-time high of Php90.13 billion to
exceed by 57.5 percent the previous record
of Php57.23 billion, which was set in 2006.
This buildup in capital provided positive results
not only for our listed companies, but also for
ordinary Filipinos and small contractors who
derive work and business opportunities from
the use of the capital.
The market’s advance did encounter again
snags along the way. Unpopular yet worrying
military adventurism reared its ugly head
one more time; people in high places of
society were dragged to controversial
multimillion-dollar government project
proposals; and the US subprime mor tgage
market showed worrying signs of imploding.
All these adverse concerns posed like
unwanted distractions to investors and
created a drag to the market.
Still, the Exchange made a good account
of itself as the impact of these unwelcome
developments was tempered by auspicious
news emanating from government’s economic
desk. Government’s program to plug its
budget deficit remained on track, while
interest and inflation rates stayed low, to foster
one more time an overall improvement in
the bottom line of our listed companies. Our
market’s allure to investors also got an added
boost from the impressive overall expansion
of the economy. Measured in terms of its gross
domestic product, the Philippine economy in
2007 expanded by 7.3 percent – its fastest
pace of growth in 31 years.
The Board has embarked in new projects and
continues to adopt policies to further protect
investors, widen an array of products and
services, and keeps ensuring the integrity of
our market.
Heretofore, among other measures, your
Board imposed the Third Par ty Fairness
Opinion Requirement; introduced more
corporate governance best practices;
accelerated the implementation of the
Philippine Mineral Reporting Code; and played
The stellar performance of the Exchange starts with

the increased trading activity, so dramatic that it

exceeded the Php 1 -trillion mark

never before achieved in its 80 - year history.

a proactive role in the formulation of market-
friendly legislative proposals in Congress.
The Exchange passed a number of major tests
in 2007, but we expect to face more daunting
challenges ahead as worries linger regarding
the future direction of the US economy and
its impact on global markets.
We, in your Board, believe that numerous
measures that the government and our
Exchange have taken following the1997
regional financial crisis will provide our market
with solid support to ultimately weather away
the impact of similar shocks in the future.
My own personal conviction has never
changed: I remain optimistic that our market
will continue to enjoy a much bright future
with the continued support you extend to
the activities, programs and projects of
the Exchange.
In behalf of the Exchange, I extend again my
sincere appreciation to my colleagues on the
Board, and in its behalf, I extend a grateful
acknowledgement to the management, staff
and personnel, the trading participants, listed
companies, and the investing public, as well as
to all many others, who have helped us and
the Philippine Stock Exchange.

But we can never be complacent. In fact,

even as we enjoyed a banner year in 2007,
we also noted a worrying sign in the level of
net foreign buying. In 2007, that level slowed
down by 18.9 percent to Php55.57 billion
from Php68.49 billion in 2006. We take the
fresh uncertainties and the drop in net foreign
buying as being cue for your Exchange to
likewise adopt specific programs that are as
responsive to the challenges ahead.

We, of course, urge all other capital market

stakeholders to support the Exchange,
especially now that it implements a new
02 / 03
strategic program that will serve as our road JUSTICE JOSE C.VITUG
map in our journey for the next five years. Chairman

2007 ANNUAL REPORT

PRESIDENT’S
MESSAGE
Dear Shareholders and Friends,
The year 2007 marked the end of our
LEAP-A-MILE Program, the acronym for the
three-year strategic road map that had served
as the guide of our Exchange in its search for
more growth areas from 2004 to 2007. We in
your management now take pride in reporting
that, during the last year of the LEAP-A-MILE
Program, our Exchange enjoyed a bumper crop
of historical highs. Let me cite some highlights.
Stock prices, as tracked by our PSEi, jumped
by another 21.4 percent in 2007 and closed
the year at 3,621.60 points. In the process,
the PSEi erased the previous all-time yearend
high of 3,196.08 that was recorded way back
in 1993. At the same time, the PSEi notched
its fifth straight year of increase, the longest
consecutive annual growth of the main index
in the recorded history of our stock market.
Annual value turnover, which never before
hit the Php1-trillion mark, also chalked up a
new all-time high as it reached Php1.34 trillion
in 2007 or 133.7 percent more than the
Php572.63 billion set in 2006.
Proceeds from public offerings and other
means of pooling capital for listed companies
jumped by 57.5 percent and reached a new
all-time high of Php90.13 billion in 2007.
The yearend level of the listed companies’
market capitalization reached Php7.98 trillion
or 11.2 percent higher than the Php7.17-
trillion previous yearend record high in 2006.
The market capitalization of domestic firms
went up by 27.3 percent to Php4.27 trillion
to beat the previous yearend high of Php3.35
trillion in 2006.
The dramatic surge in stock market activities
pushed the revenue and income figures of
your Exchange to their own historic highs.
Consolidated net income in 2007 jumped by
86.6 percent to Php433.42 million from
Php232.30 million in 2006. Operating
revenues also soared to a new record of
Php993.41 million or 76.3 percent more than
the Php563.52-million level in 2006. Listing,
membership and service fees contributed
to the huge jump in the earnings of
the Exchange. The Securities Clearing
Corporation of the Philippines (SCCP),
which is our wholly owned subsidiary,
immensely benefited from the dramatic
jump in trading floor activity. SCCP’s net
income more than tripled and reached a
record Php144.92 million in 2007 from
Php46.7 million in 2006. SCCP’s Board
of Directors decided on another first: It
declared cash dividends, equivalent to
Php10.00 per share, or for a total of
Php9.4 million.
With our record income, the Board of
Directors of your Exchange declared a cash
dividend of Php8.80 per share. It marked
the fifth year in a row that your Board has
declared cash dividends to its shareholders.
The book value of PSE’s stock jumped to
Php132.5 per share, while its market price
climbed to Php1,020.00 per share in 2007
from Php280.00 in 2006.
The remarkable feat reaffirms the resilience
of our Exchange to thrive even in the midst
of adverse local and global issues. From
the global arena, these adverse factors
included concerns about the stock markets
in China. This par ticular apprehension at
one time forced our market to suffer its
worst single-day point loss. Then worries
regarding the subprime loan mor tgage
market in the US temporarily dragged our
index below the 3,000-point mark. The
dizzying rise in global oil prices also added
to global market woes.
 2005 2006 2007
NET INCOME 120 232 443
REVENUE 382 564 993
ASSETS 1,975 2,262 2,656

(in million Php)

2800
2400
2000
1600
1200
800
400
0
2005 2006 2007

Equally worrying were some domestic
controversies that hounded the government.
They included a new impeachment petition
leveled against President Gloria Macapagal-
Arroyo, as well as allegations of corruption in
high-levels of the government over an abortive
multi-million-dollar broadband project of the
government. Before the year ended, a group
of accused military rebels added their own
distraction by pulling yet another headline-
grabbing disturbance in a posh hotel right in
the country’s financial capital of Makati City.
But once again improvements in the country’s
macro-economic fundamentals, along with
reassuring reforms from within our Exchange,
helped shield our market from the unwelcome
developments.The government managed to
control its budget deficit, thereby keeping interest
and inflation rates low. Our listed companies
benefited again from these developments, as
shown by their increased profitability. As of the
third quarter of 2007, their combined income
04 / 05
went up by 24.4 percent to Php203.58 billion
from Php163.62 billion a year ago.

2007 ANNUAL REPORT

Proceeds from public
offerings and other means
of pooling capital for listed
companies jumped by 57.5
percent and reached a new
all -time high of
Php90.13 billion
in 2007
We started using in 2007 the Advanced
Warning and Control System (AWACS),
the fully automated surveillance system
that we earlier acquired to discourage, if
not altogether stop, stock market violations.
AWACS will help immensely in assuring the
integrity of our market; thereby enhancing the
level of protection we extend to investors and
nurturing a culture of compliance among our
market participants.
Our Exchange further tightened its
enforcement of disclosure rules, while adding
new ones to increase the level of transparency
of our market. Actions along this line included
an order issued by our Exchange for 14
companies with negative stockholders’ equity
or net capital deficiencies to submit their
respective business or rehab plans under pain
of being sanctioned.
We in your management have drawn up a
new seven-point strategic blueprint to guide
the growth of our Exchange for the next five
to ten years. We will include in the blueprint
the necessary tools to attain our vision of
the PSE as a Premier Exchange. The tools
shall include new products and services, our underwriters, our clearing partners,
more efficient trading and listing rules, more the government and, more importantly, the
aggressive marketing plans, as well as our game investing public for their support for our past
plan for the passage of more market-friendly programs and projects as well as for new ones
pieces of legislation. we will undertake for 2008 onwards.
At the end of every good year, we in your
management would often ask ourselves:
Could we sustain our market’s advance for
another year? We had asked ourselves that
same question at the end of the banner year
in 2006, and while bracing for work that was
then ahead of us in 2007. As we look back
to the year 2007, we can see clearly that our
Exchange performed above expectations one
more time.
As we once again brace for the challenges
ahead, the same question races through our
mind. But once again, we in your management
express optimism that we can overcome the
challenges ahead, provided our stakeholders will
continue to support our programs and projects.
Once again, I would like to thank all our FRANCISCO ED. LIM
shareholders, our trading participants, our President and CEO
management and staff, our listed companies, March 2008
 PHILIPPINE STOCK MARKET
PERFORMANCE IN 2007

4200
JANUARY MARCH MAY / JUNE AUGUST OCTOBER NOVEMBER
PSEi breaks 3,000- Exports record 27.3% PSEi hits 3,449.18 to PSEi drops below 3,000- PSEi reaches new record Oil soars to
threshold; Standard & growth, its fastest in break the ten-year level on US subprime high of 3,873.50; US Fed record US$99 per
4000 Poor’s forecasts higher seven years standing all-time high of worries cuts key rates for the barrel
economic growth for the 3,447.60 3rd time
Philippines GDP growth recorded at
GDP grows by 6.9% in 7.5% in 2nd Quarter
3800 1st Quarter, highest in
17 years

3600

3400

3200

3000
FEBRUARY APRIL JULY SEPTEMBER DECEMBER
PSEi records biggest drop March Inflation slows Massive sell-off in US ADB raises its Philippine PSEi closed the year
in 10 years following down to 2.2%, its lowest stock market triggered growth forecast to 6.6% 21.4% higher from
2800 a huge sell-off in the since April 1987 by housing and credit from 5.4% in 2007 previous year’s close; BSP
Shanghai stock market market concerns and US Fed cut interest
rates for the 4th time
in 2007
2600
JAN FEB MAR APR MAY JUN JUL AUG SEP OCT NOV DEC

The last all-time high of the PSEi came on October 8, 2007, when the

closing level of the PSEi reached the 3,873.50-point mark. At

the end of 2007, the PSEi gained 639.06 points -- or 21.4 percent

more than its level in 2006 -- and closed at 3,621.60 points, the

highest yearend level in the history of the local stock market.

06 / 07

2007 ANNUAL REPORT


STOCK MARKET
PERFORMANCE
PSEi Performance
The year 2007 saw the Philippine stock
market rewriting 12 times the PSEi’s all-time
high mark as local stock prices surged behind
favorable developments in both the domestic
and international fronts. The PSEi’s record-
setting run started on May 18 when it closed
at 3,449.18 points to topple the previous
all-time high record of 3,447.60 points, which
previously stood unchallenged for over a
decade or since February 3, 1997. The last
all-time high of the PSEi came on October
8, 2007, when the closing level of the PSEi
reached the 3,873.50-point mark. At the end
of 2007, the PSEi gained 639.06 points -- or
21.4 percent more than its level in 2006
-- and closed at 3,621.60 points, the highest
yearend level in the history of the local stock
market.
The economy grew to its fastest pace in
31 years, with the gross domestic product
(GDP) expanding by 7.3 percent in 2007.
The continued strong performance of the
services and industry sectors, along with
higher consumer spending and construction
expenditures, fueled the economic expansion.
Moreover, the government managed to
raise revenue collections by 16 percent
and control the growth in expenses by 10
percent to keep its 2007 budget deficit to
just Php12.4 billion, which was way below the
programmed level of Php63 billion for the
year. The feat prompted international credit
rating agency Moody’s Investor Service to
upgrade its outlook for the Philippines from
“Stable” to “Positive.”
The stock market also benefited from the
steady decline in interest rates during the
entire year. The Bangko Sentral ng Pilipinas
(BSP or Philippine central bank) adjusted the
key overnight borrowing and lending rates
four times during the year. As a result, BSP’s
borrowing rate in 2007 fell to 5.25 percent
from 7.5 percent in 2006; and its lending rate,
to 7.25 percent from 9.75 percent. The tame
inflation rate and the decision of the US Fed
to cut its key discount rate allowed the BSP to
ease its own monetary policy.
Meanwhile, the average rate of the
bellwether 91-day Treasury bills (T-bills) also
fell from 4.827 percent in 2006 to 3.672
percent at the end of 2007. In the auction
held on April 2, 2007, the 91-day T-bills
fetched just 2.860 percent to set a record
low in the country’s history.
The country’s headline inflation rate remained
benign as it averaged only 2.8 percent for the
year, compared to 6.2 percent in 2006. The
increase in prices of major commodity groups,
such as food and energy, was slow with the
inflation rate dipping to a 20-year low of 2.2
percent in March.
At the foreign exchange market, the peso
also provided another bright spot in the
economic horizon as the local currency
surged by 15.7 percent to close the year
at Php41.4 from Php49.13 to the U.S.
dollar in 2006. Among Asian currencies,
the peso posted the second-fastest rate
of appreciation against the U.S. greenback.
Among these currencies, only the Thai baht
upstaged the peso. Remittances from overseas
Filipinos remained at an impressive level in
2007 to sustain the local currency’s rally.
Under the favorable business climate,
corporate profits also posted significant
gains in 2007. The combined net income of
listed companies during the first nine months
increased by 24.4 percent to Php203.58 billion
from Php163.62 billion in the same period
last year. (The figures were collated from 231
out of the 241 domestic companies, whose
interim financial reports for the said period
were with the PSE as of December 18, 2007.)
The local stock market was not spared,
however, from adverse global developments.
On February 28, the PSEi shed off 263.84
points or 7.9 percent, its largest drop in nine
years, after the Shanghai stock market’s key
index shrank by 9.2 percent on reports that
Beijing was imposing measures to temper its
fast-growing economy and stock market.
But the biggest development that cast a
shadow over world markets was the turmoil
in the US sub-prime market, which fueled
fears of a possible slowdown of the US
economy. To help avert this, the US Federal
Reserve cut interest rates four times in 2007,
with the federal funds rate reduced to 4.25
percent at the end of the year from 5.25
percent at the start of 2007.
Crude oil prices also soared to record highs
in 2007, fueled by concerns over tight supplies
and a weak US dollar. US crude oil futures at
the New York Mercantile Exchange (NYMEX)
registered a new record high on November
21, when crude oil for January contracts
reached an intra-day high of US$99.29 per
barrel. Oil prices closed the year at US$95.98
per barrel or 57.2 percent higher than the
previous year’s close of US$61.05.
Gold prices at the NYMEX also ventured
into record-breaking ground, when it closed
at US$723.00 per ounce on September 19,
2007 to surpass the previous all-time high of
US$721.50 per ounce set on May 11, 2006.
Gold prices continued to surge and closed
the year at US$838.00 per ounce or 31.3
percent higher than the previous year’s close
of US$638.00.
New Listings
In 2007 the PSE welcomed 11 new
companies to its roster of listed firms
with nine of them under taking an initial
public offering (IPO) and two opting to
list their shares by way of introduction.
Last year’s IPO firms were Pacific
Online Systems Corporation (LOTO);
National Reinsurance Corporation of the
Philippines (NRCP); Phoenix Petroleum
Philippines, Inc. (PNX); Aboitiz Power
Corporation (AP); GMA Network,
Inc. (GMA7); Anchor Land Holdings,
Inc. (ALHI); i-Remit, Inc. (I); Splash
Corporation (SPH); and Oriental Peninsula
Resources Group, Inc. (ORE). Total capital
raised from these IPOs reached Php18.91
billion. The companies that listed by
way of introduction were Vista Land &
Lifescapes, Inc. (VLL) , and eTelecare
Global Solutions, Inc. (ETEL). VLL later
offered to the public a block of primar y
and secondar y shares.
Follow - on Offerings
Seven listed companies conducted follow-on
offerings to raise Php49.03 billion in additional
capital. The amount was 64.9 percent higher
than the Php29.74 billion in additional capital
from the six follow-on offerings in 2006. Aside
from VLL, the companies that conducted
follow-on public offerings in 2007 were
Filinvest Land, Inc. (FLI); Rizal Commercial
Banking Corporation (RCB); Union Bank of
the Philippines (UBP); Alliance Global Group,
Inc. (AGI); Philippine National Bank (PNB); and
TKC Steel Corporation (T).
Total capital raised in 2007 from initial and
follow-on public offerings, stock rights offerings
and private placements reached a new all-
time high of Php90.13 billion, surpassing by
57.5 percent the old annual record high of
Php57.23 billion set in 2006.

TABLE 1. Selected PSE Market Indicators

2007 vs. 2006
MARKET INDICATOR 2003 2004 2005 2006 2007 % CHANGE

PSE INDEX (PSEi), YEAREND CLOSE 1,442.37 1,822.83 2,096.04 2,982.54 3,621.60 21.4%

TOTAL VALUE TRADED (in billion Php) 145.37 206.57 383.52 572.63 1,338.25 133.7%
AVERAGE DAILY VALUE TRADED (in billion Php) 0.59 0.84 1.56 2.32 5.48 136.6%

FOREIGN BUYING (in billion Php) 86.17 121.88 206.88 348.97 680.33 95.0%
FOREIGN SELLING (in billion Php) 89.97 104.05 183.35 280.48 624.76 122.7%
NET FOREIGN BUYING (in billion Php) -3.80 17.84 23.53 68.49 55.57 -18.9%
SHARE OF FOREIGN INVESTORS IN TOTAL TRADING 60.6% 54.7% 50.9% 55.0% 48.8% -11.3%

CAPITAL RAISED (in billion Php) 1.72 2.05 51.88 57.23 90.13 57.5%
INITIAL PUBLIC OFFERINGS (in billion Php) 0.19 1.11 29.83 19.02 18.91 -0.6%
ADDITIONAL LISTINGS (in billion Php) 1.53 0.94 22.06 38.20 71.23 86.5%

MARKET CAPITALIZATION, YEAREND 2,973.83 4,766.26 5,948.38 7,172.87 7,978.54 11.2%

DOMESTIC FIRMS (in billion Php) 1,313.52 1,629.12 2,129.60 3,352.03 4,267.75 27.3%
FOREIGN FIRMS (in billion Php) 1,660.31 3,137.15 3,818.79 3,820.84 3,710.79 -2.9%

NO. OF LISTED COMPANIES, YEAREND 235 234 236 239 244 2.1%
DOMESTIC 233 232 234 237 242 2.1%
FOREIGN 2 2 2 2 2 0.0%
NO. OF LISTED ISSUES, YEAREND 316 312 309 313 314 0.3%
DOMESTIC 314 310 307 311 312 0.3%
FOREIGN 2 2 2 2 2 0.0%

Trading Transactions market caused investors to withdraw from

On September 27, 2007, the local stock market
set a new record when -- for the first time in its
80-year history – cumulative value turnover for
the year hit the Php1-trillion mark. Eventually,
value turnover for the whole of 2007
reached Php1.34 trillion or 133.7 percent
higher than the previous year’s Php572.63
billion. Average daily value turnover surged
to Php5.48 billion or more than double last
year’s Php2.32-billion average.
Foreign Trading
Foreign investors were net buyers for the
fourth straight year. Cumulative foreign net
buying for the year actually reached as high
as Php78.86 billion in July. However, this
figure went down towards the latter part
of the year as concerns on the slowing US
the market. By the end of the year, the
net foreign buying amounted to Php55.57
billion or 18.9 percent lower than the
Php68.49 billion in 2006. Foreign buying
totaled Php680.33 billion; and foreign selling,
Php624.76 billion. The share of foreign to
total market trades decreased to 48.8 percent
from 55.0 percent a year ago.
Domestic Trading
Local stock market investors were also
significantly more active in 2007. Total
buys from domestic investors amounted to
Php657.93 billion, an increase of 194.2% from
the Php223.66 billion recorded in 2006. The
value of stocks sold by local investors went up
08 / 09
by 144.2 percent to Php713.49 billion in 2007
from Php292.15 billion the previous year.

2007 ANNUAL REPORT

Market Capitalization
Domestic market capitalization went up by
27.3 percent to Php4.27 trillion, surpassing
the previous yearend high of Php3.35 trillion
that was tallied in 2006. Likewise, total
market capitalization, which includes foreign
companies Manulife Financial Corporation
and Sun Life Financial, Inc., set its own yearend
record high at Php7.98 billion to beat by 11.2
percent the previous yearend record level of
Php7.17 trillion in 2006. The services sector,
which registered a market capitalization of
Php1.16 trillion, accounted for the biggest share
of domestic market capitalization at 27.2 percent.
Performance of Sector Indices
All sector indices of the PSE went up in 2007
with the mining and oil sector leading the
advance by posting an 85.0 percent year-on-
year growth. The services sector expanded by
27.5 percent, the holding firms sector by 17.6
percent, the property sector by 16.6 percent,
the industrial sector by 12.2 percent, and the
financials sector by 5.0 percent.
The industrial sector cornered the biggest
share of value turnover at Php335.01 billion
or 25.0 percent of the Php1.34-trillion total in
2007. Next came the property sector, which
accounted for 20.2 percent of total value
turnover; holding firms, 14.9 percent; services,
18.3 percent; financials, 13.6 percent; and
mining and oil, 7.6 percent.

TABLE 2. Annual Growth Rate of All Shares and Sector Indices

INDEX 2006 2007 % CHANGE

ALL SHARES 1,860.34 2,216.75 19.2%

FINANCIALS 822.85 864.37 5.0%
INDUSTRIAL 3,940.47 4,422.22 12.2%
HOLDING FIRMS 1,731.27 2,036.59 17.6%
PROPERTY 1,261.67 1,470.57 16.6%
SERVICES 1,491.03 1,901.40 27.5%
MINING & OIL 4,527.68 8,375.10 85.0%

TABLE 3. Market Capitalization and Value Traded by Sector (in billion Php)
MARKET CAPITALIZATION VALUE TRADED
2006 2007 % CHANGE % SHARE 2006 2007 % CHANGE % SHARE

FINANCIALS SECTOR 575.14 684.54 19.0% 16.0% 107.82 181.73 68.6% 13.6%
BANKS 547.11 626.66 14.5% 14.7% 105.56 165.03 56.3% 12.3%
OTHER FINANCIAL INSTITUTIONS 28.03 57.88 106.5% 1.4% 2.26 16.70 638.3% 1.2%

INDUSTRIAL SECTOR 734.76 861.90 17.3% 20.2% 113.14 334.38 195.5% 25.0%
ELECTRICITY, ENERGY, POWER & WATER 271.60 416.16 53.2% 9.8% 70.04 242.79 246.6% 18.2%
FOOD, BEVERAGE & TOBACCO 350.81 323.94 -7.7% 7.6% 29.60 68.34 130.9% 5.1%
CONSTRUCTION, INFRASTRUCTURE & ALLIED SERVICES 89.56 95.68 6.8% 2.2% 5.82 13.41 130.2% 1.0%
CHEMICALS 16.22 14.60 -10.0% 0.3% 1.67 4.65 178.3% 0.3%
DIVERSIFIED INDUSTRIALS 6.58 11.52 75.2% 0.3% 6.00 5.19 -13.5% 0.4%

HOLDING FIRMS SECTOR 616.55 793.32 28.7% 18.6% 71.01 199.54 181.0% 14.9%

PROPERTY SECTOR 472.90 638.26 35.0% 15.0% 90.43 271.19 199.9% 20.3%

SERVICES SECTOR 890.79 1,162.77 30.5% 27.2% 154.65 244.75 58.3% 18.3%
MEDIA 24.28 69.57 186.5% 1.6% 2.20 24.69 1024.7% 1.8%
TELECOMMUNICATIONS 743.43 912.91 22.8% 21.4% 129.44 164.08 26.8% 12.3%
INFORMATION TECHNOLOGY 12.42 19.96 60.7% 0.5% 3.35 14.58 335.6% 1.1%
TRANSPORTATION SERVICES 61.42 103.15 67.9% 2.4% 12.96 23.79 83.6% 1.8%
HOTEL & LEISURE 8.13 11.44 40.6% 0.3% 2.47 4.05 63.8% 0.3%
EDUCATION 11.45 10.05 -12.3% 0.2% 0.94 0.71 -23.5% 0.1%
DIVERSIFIED SERVICES 29.66 35.70 20.4% 0.8% 3.30 12.85 289.3% 1.0%

MINING & OIL SECTOR 61.58 122.44 98.8% 2.9% 34.78 105.78 204.2% 7.9%
MINING 42.74 99.11 131.9% 2.3% 31.63 100.58 218.0% 7.5%
OIL 18.84 23.33 23.8% 0.5% 3.15 5.20 65.1% 0.4%

SMALL AND MEDIUM ENTERPRISES (SME) BOARD 0.32 4.51 1302.5% 0.1% 0.05 0.18 255.1% 0.0%

TOTAL DOMESTIC ISSUES 3,352.03 4,267.75 27.3% 100.0% 571.87 1,337.56 133.9% 100.0%

DOMESTIC ISSUES 3,352.03 4,267.75 27.3% 53.5% 571.87 1,337.56 133.9% 99.9%
FOREIGN ISSUES 3,820.84 3,710.79 -2.9% 46.5% 0.76 0.69 -8.5% 0.1%
TOTAL MARKET 7,172.87 7,978.54 11.2% 100.0% 572.63 1,338.25 133.7% 100.0%
TABLE 4. 2007 Market Activity
SECTOR NO. OF ISSUES ACTIVELY TRADED GAINERS LOSERS UNCHANGED

FINANCIALS 33 28 21 7 0
INDUSTRIAL 66 49 34 14 1
HOLDING FIRMS 58 50 45 5 0
PROPERTY 44 42 34 6 2
SERVICES 83 70 33 17 20
MINING AND OIL 28 27 22 4 1

SME BOARD 2 2 1 1 0

TOTAL 314 268 190 54 24

TABLE 5. Top 25 Price Gainers

RANK NAME OF ISSUE STOCK CODE SECTOR 2006 CLOSE (in Php) 2007 CLOSE (in Php) % CHANGE

1 LODESTAR INVESTMENT HOLDINGS CORPORATION LIHC HOLDING FIRMS 0.95 16.00 1,584.2%
2 PACIFICA, INC. PA HOLDING FIRMS 0.0200 0.2050 925.0%
3 VIVANT CORPORATION VVT HOLDING FIRMS 0.83 7.00 743.4%
4 DIVERSIFIED FINANCIAL NETWORK, INC. DFNN SERVICES 2.30 14.50 530.4%
5 STA. LUCIA LAND, INC. SLI PROPERTY 0.30 1.60 433.3%
6 NIHAO MINERAL RESOURCES INTERNATIONAL, INC. NI MINING & OIL 3.60 18.75 420.8%
7 CONCRETE AGGREGATES CORPORATION CA INDUSTRIAL 7.00 36.00 414.3%
8 TKC STEEL CORPORATION T INDUSTRIAL 2.12 9.00 324.5%
9 MINERALES INDUSTRIAS CORPORATION MIC HOLDING FIRMS 1.54 6.10 296.1%
10 ARIES PRIME RESOURCES, INC. APR HOLDING FIRMS 0.85 3.20 276.5%
11 THE PHILIPPINE STOCK EXCHANGE, INC. PSE FINANCIALS 280.00 1,020.00 264.3%
12 EVER-GOTESCO RESOURCES & HOLDINGS, INC. EVER PROPERTY 0.0625 0.2200 252.0%
13 ETON PROPERTIES PHILIPPINES, INC. ETON PROPERTY 1.12 3.90 248.2%
14 PREMIERE ENTERTAINMENT PRODUCTIONS, INC. PEP SERVICES 0.35 1.20 242.9%
15 ISLAND INFORMATION & TECHNOLOGY, INC. IS SERVICES 0.0550 0.1700 209.1%
16 THE PHILODRILL CORPORATION OV MINING & OIL 0.0104* 0.0310 198.1%
17 JOLLIVILLE HOLDINGS CORPORATION JOH HOLDING FIRMS 0.63 1.80 185.7%
18 PRIME ORION PHILIPPINES, INC. POPI HOLDING FIRMS 0.1900 0.51 168.4%
19 DIZON COPPER SILVER MINES, INC. DIZ MINING & OIL 3.00 8.00 166.7%
20 FEDERAL RESOURCES INVESTMENT GROUP, INC. FED INDUSTRIAL 4.00 10.50 162.5%
21 GEOGRACE RESOURCES PHILIPPINES, INC. GEO MINING & OIL 0.71* 1.80 153.5%
22 GOTESCO LAND, INC. “B” GOB PROPERTY 0.1350 0.33 144.4%
22 POLAR PROPERTY HOLDINGS CORPORATION PO PROPERTY 1.80 4.40 144.4%
24 SEMIRARA MINING CORPORATION SCC MINING & OIL 18.25 44.00 141.1%
25 MACROASIA CORPORATION MAC SERVICES 2.10 5.00 138.1%

*PRICE ADJUSTED FOR CORPORATE ACTIONS DURING THE YEAR.

TABLE 6. Top 25 Price Losers

RANK NAME OF ISSUE STOCK CODE SECTOR 2006 CLOSE (in Php) 2007 CLOSE (in Php) % CHANGE

1 PAXYS, INC. PAX SERVICES 19.75 5.90 -70.1%

2 CENTRAL AZUCARERA DE TERLAC CAT INDUSTRIAL 6.80 2.08 -69.4%
3 RFM CORPORATION RFM INDUSTRIAL 2.04* 0.69 -66.2%
4 PHOENIX PETROLEUM PHILIPPINES, INC. PNX INDUSTRIAL 12.75** 7.10 -44.3%
5 CENTRO ESCOLAR UNIVERSITY CEU SERVICES 9.30 5.50 -40.9%
6 IONICS, INC. ION SERVICES 2.16 1.42 -34.3%
7 SAN MIGUEL PURE FOODS COMPANY, INC. “A” PF INDUSTRIAL 60.00 40.00 -33.3%
8 GMA HOLDINGS, INC. - PHIL. DEPOSIT RECEIPTS GMAP SERVICES - PDR 11.00** 7.40 -32.7%
9 PRIME MEDIA HOLDINGS, INC. PRIM HOLDING FIRMS 0.95 0.65 -31.6%
10 PHILIPPINE REALTY & HOLDINGS CORPORATION RLT PROPERTY 0.66 0.47 -28.8%
11 BHI HOLDINGS, INC. BH HOLDING FIRMS 210.00 150.00 -28.6%
12 UNIVERSAL ROBINA CORPORATION URC INDUSTRIAL 19.25 14.00 -27.3%
13 VULCAN INDUSTRIAL & MINING VUL MINING & OIL 1.40 1.02 -27.1%
14 GMA NETWORK, INC. GMA7 SERVICES 10.50** 7.70 -26.7%
14 NATIONAL REINSURANCE CORP. OF THE PHILIPPINES NRCP FINANCIALS 4.50** 3.30 -26.7%
16 PNOC EXPLORATION CORPORATION “B” PECB MINING & OIL 23.00 17.50 -23.9%
17 SAN MIGUEL CORPORATION “B” SMCB INDUSTRIAL 77.50 59.50 -23.2%
18 MANILA BROADCASTING COMPANY MBC SERVICES 1.30 1.00 -23.1%
19 CHEMREZ TECHNOLOGIES, INC. COAT INDUSTRIAL 5.40 4.20 -22.2%
20 SEAFRONT RESOURCES CORPORATION SPM HOLDING FIRMS 1.54 1.20 -22.1%
21 INFORMATION CAPITAL TECHNOLOGY VENTURES, INC. ICTV SME BOARD 4.00 3.15 -21.3%
22 ALLIANCE TUNA INTERNATIONAL, INC. TUNA INDUSTRIAL 1.88* 1.48 -21.1%
23 PACIFIC ONLINE SYSTEMS CORPORATION LOTO SERVICES 13.25** 10.50 -20.8%
24 FILINVEST LAND, INC. FLI PROPERTY 1.71* 1.36 -20.6%
25 PHILIPPINE BANK OF COMMUNICATIONS PBC FINANCIALS 69.00 55.00 -20.3%
10 / 11
*PRICE ADJUSTED FOR CORPORATE ACTIONS DURING THE YEAR.
**FOR NEWLY LISTED COMPANIES, THE CLOSING PRICE DURING LISTING DATE WAS USED AS THE PREVIOUS CLOSE.

2007 ANNUAL REPORT

TABLE 7. 2007 Top 25 Companies by Value Traded (Regular Market)
VALUE TRADED
RANK NAME OF COMPANY COMPANY CODE SECTOR NO. OF TRADES (in billion Php)

1 PHILIPPINE LONG DISTANCE TELEPHONE COMPANY TEL SERVICES 43,113 118.82

2 AYALA LAND, INC. ALI PROPERTY 46,378 72.58
3 METROPOLITAN BANK & TRUST COMPANY MBT FINANCIALS 40,459 61.35
4 PNOC ENERGY DEVELOPMENT CORPORATION EDC INDUSTRIAL 48,245 48.88
5 MEGAWORLD CORPORATION MEG PROPERTY 67,104 47.37
6 AYALA CORPORATION AC HOLDING FIRMS 38,771 46.93
7 MANILA ELECTRIC COMPANY MER INDUSTRIAL 78,135 41.24
8 GEOGRACE RESOURCES PHILIPPINES, INC. GEO MINING & OIL 177,659 35.12
9 BANK OF THE PHILIPPINE ISLANDS BPI FINANCIALS 33,390 34.05
10 SM INVESTMENTS CORPORATION SM HOLDING FIRMS 23,675 32.18
11 GLOBE TELECOM, INC. GLO SERVICES 20,021 31.18
12 SM PRIME HOLDINGS, INC. SMPH PROPERTY 30,225 27.81
13 FILINVEST LAND, INC. FLI PROPERTY 66,874 25.92
14 BANCO DE ORO-EPCI, INC. BDO FINANCIALS 32,955 23.18
15 ROBINSONS LAND CORPORATION RLC PROPERTY 20,654 20.92
16 ALLIANCE GLOBAL GROUP, INC. AGI HOLDING FIRMS 29,522 20.40
17 PHILEX MINING CORPORATION PX MINING & OIL 52,297 18.45
18 BENPRES HOLDINGS CORPORATION BPC HOLDING FIRMS 53,489 17.85
19 FIRST PHILIPPINE HOLDINGS CORPORATION FPH INDUSTRIAL 20,287 16.88
20 MANILA WATER COMPANY, INC. MWC INDUSTRIAL 24,982 16.07
21 UNIVERSAL ROBINA CORPORATION URC INDUSTRIAL 19,932 14.82
22 INTERNATIONAL CONTAINER TERMINAL SERVICES, INC. ICT SERVICES 13,354 14.36
23 FIRST GEN CORPORATION FGEN INDUSTRIAL 17,967 14.20
24 RIZAL COMMERCIAL BANKING CORPORATION RCB FINANCIALS 33,287 13.99
25 VISTA LAND & LIFESCAPES, INC. VLL PROPERTY 10,558 12.27

TABLE 8. 2007 Top 25 Companies by Trading Frequency (Regular Market)

VALUE TRADED
RANK NAME OF COMPANY COMPANY CODE SECTOR NO. OF TRADES (in billion Php)

1 GEOGRACE RESOURCES PHILIPPINES, INC. GEO MINING & OIL 177,659 35.12
2 MANILA ELECTRIC COMPANY MER INDUSTRIAL 78,135 41.24
3 MEGAWORLD CORPORATION MEG PROPERTY 67,104 47.37
4 FILINVEST LAND, INC. FLI PROPERTY 66,874 25.92
5 MINERALES INDUSTRIAS CORPORATION MIC HOLDING FIRMS 59,715 8.73
6 BENPRES HOLDINGS CORPORATION BPC HOLDING FIRMS 53,489 17.85
7 PACIFICA, INC. PA HOLDING FIRMS 53,244 7.78
8 PHILEX MINING CORPORATION PX MINING & OIL 52,297 18.45
9 PNOC ENERGY DEVELOPMENT CORPORATION EDC INDUSTRIAL 48,245 48.88
10 NIHAO MINERAL RESOURCES INTERNATIONAL, INC. NI MINING & OIL 47,840 8.32
11 AYALA LAND, INC. ALI PROPERTY 46,378 72.58
12 PHILIPPINE LONG DISTANCE TELEPHONE COMPANY TEL SERVICES 43,113 118.82
13 ATLAS CONSOLIDATED MINING & DEVELOPMENT CORP. AT MINING & OIL 42,456 11.42
14 METROPOLITAN BANK & TRUST COMPANY MBT FINANCIALS 40,459 61.35
15 AYALA CORPORATION AC HOLDING FIRMS 38,771 46.93
16 APC GROUP, INC. APC HOLDING FIRMS 36,943 4.69
17 PETRON CORPORATION PCOR INDUSTRIAL 34,376 10.99
18 PICOP RESOURCES, INC. PCP INDUSTRIAL 34,151 3.81
19 LEPANTO CONSOLIDATED MINING COMPANY LC MINING & OIL 33,826 6.62
20 BANK OF THE PHILIPPINE ISLANDS BPI FINANCIALS 33,390 34.05
21 RIZAL COMMERCIAL BANKING CORPORATION RCB FINANCIALS 33,287 13.99
22 BANCO DE ORO-EPCI, INC. BDO FINANCIALS 32,569 3.80
23 SINOPHIL CORPORATION SINO HOLDING FIRMS 30,382 5.75
24 EMPIRE EAST LAND HOLDINGS, INC. ELI PROPERTY 30,225 27.81
25 SM PRIME HOLDINGS, INC. SMPH PROPERTY 29,522 20.40

TABLE 9. Top 25 Companies by Market Capitalization (Common Shares), yearend 2007

MARKET CAP. MARKET CAP.
RANK NAME OF COMPANY COMPANY CODE SECTOR (in billion Php) (in billion US$)

1 MANULIFE FINANCIAL CORPORATION MFC FINANCIALS 2,430.25 58.70

2 SUN LIFE FINANCIAL, INC. SLF FINANCIALS 1,280.55 30.93
3 PHILIPPINE LONG DISTANCE TELEPHONE COMPANY TEL SERVICES 599.28 14.47
4 AYALA CORPORATION AC HOLDING FIRMS 234.12 5.65
5 GLOBE TELECOM, INC. GLO SERVICES 207.76 5.02
6 SM INVESTMENTS CORPORATION SM HOLDING FIRMS 207.75 5.02
7 SAN MIGUEL CORPORATION SMC INDUSTRIAL 186.84 4.51
8 AYALA LAND, INC. ALI PROPERTY 185.76 4.49
9 BANK OF THE PHILIPPINE ISLANDS BPI FINANCIALS 166.32 4.02
10 BANCO DE ORO-EPCI, INC. BDO FINANCIALS 139.27 3.36
11 SM PRIME HOLDINGS, INC. SMPH PROPERTY 127.27 3.07
12 METROPOLITAN BANK & TRUST COMPANY MBT FINANCIALS 98.50 2.38
13 PNOC ENERGY DEVELOPMENT CORPORATION EDC INDUSTRIAL 97.50 2.36
14 MANILA ELECTRIC COMPANY MER INDUSTRIAL 91.32 2.21
15 PILIPINO TELEPHONE CORPORATION PLTL SERVICES 88.27 2.13
16 INTERNATIONAL CONTAINER TERMINAL SERVICES, INC. ICT SERVICES 87.14 2.10
17 JG SUMMIT HOLDINGS, INC. JGS HOLDING FIRMS 78.17 1.89
18 MEGAWORLD CORPORATION MEG PROPERTY 77.41 1.87
19 ALLIANCE GLOBAL GROUP, INC. AGI HOLDING FIRMS 57.51 1.39
20 PETRON CORPORATION PCOR INDUSTRIAL 53.44 1.29
21 JOLLIBEE FOODS CORPORATION JFC INDUSTRIAL 52.80 1.28
22 VISTA LAND & LIFESCAPES, INC. VLL PROPERTY 51.15 1.24
23 CHINA BANKING CORPORATION CHIB FINANCIALS 50.87 1.23
24 HOLCIM PHILIPPINES, INC. HLCM INDUSTRIAL 49.68 1.20
25 FIRST GEN CORPORATION FGEN INDUSTRIAL 48.19 1.16
The yearend level of the listed companies’ market
capitalization reached Php7.98 trillion or 11.2 percent
higher than the Php7.17-trillion previous yearend record
tallied in 2006.
Vista Land & Lifescapes, Inc. , listing ceremony
HIGHLIGHTS OF OPERATIONS
MARKET ENDS 2007 WITH MORE RECORD-BREAKING STATISTICS
The Exchange once again shattered several
stock market records in 2007 as reforms
emanating from the government and from
within the PSE pushed the market to new
highs. The PSEi, which is the main barometer
of local stock price movements, posted its
highest closing level at 3,621.60 points to
erase the previous all-time high yearend
level of 3,196.08 set way back in 1993. The
yearend level of the PSEi in 2007 was also
21.4 percent higher than its 2,982.54-point
level at the end of 2006.
Annual value turnover, which never before hit
the Php1-trillion mark, also chalked up a new
all-time high as it reached Php1.34 trillion
in 2007 or 133.7 percent more than the
Php572.63 billion set in 2006. Average daily
value turnover jumped by 136.6 percent to
Php5.48 billion from Php2.32 billion in 2006.
The yearend level of the listed companies’
market capitalization reached Php7.98-
trillion or 11.2 percent higher than the
Php7.17-trillion previous yearend record
tallied in 2006. The market capitalization
of domestic firms went up by 27.3 percent
to Php4.27-trillion to beat the previous
yearend high of Php3.35-trillion in 2006.
Proceeds from public offerings and
other means of pooling capital for listed
companies went up to a new all-time high
of Php90.13 billion in 2007 or 57.5 percent
more than the old annual record high of
Php57.23 billion in 2006.
Individual stock offerings once again made
their own way to the 2007 record books of
the Exchange. The Php10.37 billion proceeds
from Aboitiz Power Corporation’s sale of its
Aboitiz Power Corporation listing ceremony
primary shares emerged the biggest amount
ever raised by a local power-generating
company via an initial public offering (IPO).
The Exchange also added to its roster of
listed firms the country’s biggest reinsurer
when National Reinsurance Corporation of
the Philippines completed its own Php2.82-
billion IPO. The Exchange likewise added
to its roster of listed firms the country’s
largest homebuilder (in terms of number
of licenses from the Housing and Land
Use Regulatory Board), when Vista Land &
Lifescapes, Inc., listed its own shares. Phoenix
Petroleum Philippines, Inc., also became
the first oil company to go public since the
implementation of Republic Act Number
8479, otherwise known as the Downstream
Oil Industry Deregulation Act of 1998.
12 / 13
2007 ANNUAL REPORT
TABLE 10. Initial Public Offerings in 2007
COMPANY CODE LISTING DATE OFFER PRICE (in Php) NO. OF SHARES OFFERED OFFER PROCEEDS (in Php)

PACIFIC ONLINE SYSTEMS CORPORATION LOTO APR-12 8.88 39,800,000 353,424,000.00

PRIMARY OFFERING 11,800,000 104,784,000.00
SECONDARY OFFERING 28,000,000 248,640,000.00
NATIONAL REINSURANCE CORP. OF THE PHILIPPINES* NRCP APR-27 3.80 741,902,600 2,819,229,880.00
PRIMARY OFFERING 741,902,600 2,819,229,880.00
PHOENIX PETROLEUM PHILIPPINES, INC. PNX JUL-11 9.80 36,250,000 355,250,000.00
PRIMARY OFFERING 29,000,000 284,200,000.00
SECONDARY OFFERING 7,250,000 71,050,000.00
ABOITIZ POWER CORPORATION* AP JUL-16 5.80 1,787,664,000 10,368,451,200.00
PRIMARY OFFERING 1,787,664,000 10,368,451,200.00
GMA NETWORK, INC.* GMA7 JUL-30 8.50 1,050,479,000 8,929,071,500.00
PRIMARY OFFERING 182,692,000 1,552,882,000.00
SECONDARY OFFERING 867,787,000 7,376,189,500.00
ANCHOR LAND HOLDINGS, INC.* ALHI AUG-08 8.93 86,667,000 773,936,310.00
PRIMARY OFFERING 86,667,000 773,936,310.00
I-REMIT, INC. I OCT-17 4.68 140,604,000 658,026,720.00
PRIMARY OFFERING 107,417,000 502,711,560.00
SECONDARY OFFERING 33,187,000 155,315,160.00
SPLASH CORPORATION SPH NOV-15 8.98 223,848,107 2,010,156,000.86
PRIMARY OFFERING 188,848,107 1,695,856,000.86
SECONDARY OFFERING 35,000,000 314,300,000.00
ORIENTAL PENINSULA RESOURCES GROUP, INC. ORE DEC-19 2.68 300,000,000 804,000,000.00
PRIMARY OFFERING 300,000,000 804,000,000.00

TOTAL INITIAL PRIMARY OFFERING PROCEEDS 18,906,050,950.86

TOTAL INITIAL SECONDARY OFFERING PROCEEDS 8,165,494,660.00
TOTAL INITIAL OFFERING PROCEEDS 27,071,545,610.86

TABLE 11. Listings by Way of Introduction in 2007

COMPANY CODE LISTING DATE ISSUE PRICE (in Php)

VISTA LAND & LIFESCAPES, INC. VLL JUN-25 2.46

E-TELECARE GLOBAL SOLUTIONS, INC. ETEL NOV-20 400.00

TABLE 12. Follow-on Public Offerings in 2007

COMPANY CODE LISTING DATE OFFER PRICE (in Php) NO. OF SHARES OFFERED OFFER PROCEEDS (in Php)

FILINVEST LAND, INC FLI FEB-06 1.60 5,400,000,000 8,640,000,000.00

PRIMARY OFFERING 3,700,000,000 5,920,000,000.00
SECONDARY OFFERING 1,700,000,000 2,720,000,000.00
RIZAL COMMERCIAL BANKING CORPORATION* RCB MAR-29 27.00 210,000,000 5,670,000,000.00
PRIMARY OFFERING 210,000,000 5,670,000,000.00
UNION BANK OF THE PHILIPPINES* UBP MAY-10 59.00 85,500,000 5,044,500,000.00
PRIMARY OFFERING 85,500,000 5,044,500,000.00
ALLIANCE GLOBAL GROUP, INC.* AGI JUN-18 5.75 3,130,435,000 18,000,001,250.00
PRIMARY OFFERING 1,800,000,000 10,350,000,000.00
SECONDARY OFFERING 1,330,435,000 7,650,001,250.00
VISTA LAND & LIFESCAPES, INC.* VLL JUL-26 6.85 3,115,082,338 21,338,314,015.30
PRIMARY OFFERING 2,120,000,000 14,522,000,000.00
SECONDARY OFFERING 995,082,338 6,816,314,015.30
PHILIPPINE NATIONAL BANK PNB AUG-01 59.00 160,811,091 9,487,854,369.00
PRIMARY OFFERING 89,000,000 5,251,000,000.00
SECONDARY OFFERING 71,811,091 4,236,854,369.00
TKC STEEL CORPORATION T NOV-23 9.68 235,000,000 2,274,800,000.00
PRIMARY OFFERING 235,000,000 2,274,800,000.00

TOTAL FOLLOW-ON PRIMARY OFFERING PROCEEDS 49,032,300,000.00

TOTAL FOLLOW-ON SECONDARY OFFERING PROCEEDS 24,123,168,384.30
TOTAL FOLLOW-ON OFFERING PROCEEDS 73,155,468,384.30

*INCLUDES DATA FOR EXERCISED OVER-ALLOTMENT OPTION.

Intensified Promotion of
Corporate Governance
Practices
In coordination with the Securities and
Exchange Commission (SEC), the Exchange
adopted several measures to promote good
corporate governance practices among
listed companies. The Exchange issued
Memo for Brokers (MFB) No. 392-2007
in support of SEC memorandum circular,
requiring all publicly listed companies to
participate as respondents in the corporate
governance survey being conducted by
the Institute of Corporate Directors (ICD)
under its Corporate Governance Scorecard
Project. Under MFB No. 0524-2007, the
Exchange now requires all listed companies
to periodically report to the Exchange their
compliance with their respective Manual of
Corporate Governance. Under the same MFB,
the Exchange also requires listed companies to
comply with the following:
• report to the Exchange any deviation from
their Manual of Corporate Governance,
with detailed explanations for any deviation;
• devote a portion of their annual reports
on compliance with corporate governance
standards; and
• maintain an active website wherein they
should upload the disclosures made to
the SEC and the Exchange, as well as their
corporate governance reports.
Pursuant thereto, the Exchange conducted
up to the third week of March 2008 a
verification on the number of listed companies
that maintain such web sites. Based on the
initial survey, 168 listed companies reported
that they maintain web sites. Upon PSE’s
verification, only 149 of these web sites were
found to be active or operational. Another 79
listed firms did not have web sites at all.
Also, 110 listed firms submitted respective
certifications on their compliance without
deviation from the corporate governance
manual, while 84 others submitted respective
certifications on their compliance with
deviations. At least 53 other listed companies
did not submit any certification on their
compliance with the Manual of Corporate
Governance. Results of the verification are
included as tables in this Annual Report.
The Exchange expanded the functions of SUMMARY OF 2007
the Risk Management Office by creating the CAPITAL RAISING ACTIVITIES
Corporate Governance Office. Likewise,
the Exchange expanded the functions of the
Board-level Compensation and Remunerations
Php 5.55 BILLION
Committee and renamed it the Corporate PRIVATE PLACEMENTS Php 18.91 BILLION
Governance Committee, with the mandate to IPO (PRIMARY OFFERINGS)
Php 16.64 BILLION
take charge of corporate governance issues. STOCK RIGHTS OFFERINGS
Adoption of the Philippine
Mineral Reporting Code
The Exchange approved the adoption of the
Philippine Mineral Reporting Code (PMRC)
in July or six months after the exposure to
the public of the draft PMRC. Considered an
Php 49.03 BILLION
internationally accepted standard in the mining FOLLOW-ON (PRIMARY OFFERINGS)
industry, the PMRC sets out the minimum
requirements, recommendations and guidelines
for public reporting of exploration results,
mineral resources and ore reserves. The formal
launching of the PMRC was held last August
24. Mining professionals, led by officials from
the Chamber of Mines of the Philippines,
formally endorsed the PMRC to the Exchange,
the SEC and the Mines and Geosciences
Bureau (MGB). The PSE’s Board has
authorized the Management Committee to
adopt and promulgate implementing guidelines
and take such actions as may be necessary for
the effective implementation of the PMRC. The
Exchange, together with the SEC, the MGB
and the mining professional organizations, is
currently formulating the guidelines for the full Tie-up with SEC, ICD and Ateneo Law School in support of
implementation of the PMRC. corporate governance
With the full implementation of the PMRC,
the Exchange requires a mining company,
applying for an IPO, follow-on offering or stock
rights offering, to submit PMRC-compliant
reports, if the proceeds will be allotted for
specific mining activities. Proceeds from the
applicant firm’s IPO, follow-on offering or
stock rights offering must be placed under
escrow and administered by a escrow agent,
who shall see to it that. disbursements are in
accordance with the timetable and intended
use of the funds. Lastly, the applicant firm is
required to disclose disbursements made out
of the proceeds.
Launch of PMRC
Seminars on Revised
Disclosure Rules
As the Exchange continues to introduce
improvements to its rules, it has become
necessary for the Exchange to hold a regular
seminar every year to re-orient and update
14 / 15
2007 ANNUAL REPORT
the corporate information officers (CIOs) of
listed companies. The seminar also allows the
Exchange and the listed companies to interact
and share insights on how to implement or
comply with the rules. The Exchange held one
such seminar in December for 244 CIOs from
145 listed companies.
Requirement for Listed
Companies with Negative
Stockholders’ Equity
In line with PSE efforts to improve the quality
of issues in its board, the Exchange required
14 companies with negative stockholders’
equity or net capital deficiencies to submit
MARKET REGULATIONS
The Exchange acquired the Advanced Warning
and Control System (AWACS), a state-of-the-
art computerized surveillance system designed
to protect the integrity of the stock market,
after a successful run of a series of tests of
its capabilities, key system functions and its
ability to interface with the Exchange’s trading
system. To prepare the PSE’s surveillance
personnel for the enhanced surveillance
function, the Exchange, together with
representatives from the Market Regulation
Department of the SEC conducted a series of
workshops and technical discussions relevant
to AWACS’ usage and implementation. In
addition, an improvement of the technology
infrastructure was undertaken to further
ensure and strengthen the data and physical
security of AWACS and surveillance data.
The outstanding features of AWACS include
circular trading detection, market replay
and reconstruction, time-sliced analysis of
orders and trades, graphical alerts tracker,
holding pattern graphs, market movement,
alerts and case management, among others.
The market operations function of the
Surveillance Department of the Exchange
was successfully transferred to the Office of
the Chief Operating Officer of the Exchange.
The transfer has allowed the Surveillance
Department to focus on the improvement
and expansion of its surveillance capabilities.
Using a Risk-Based Supervision approach, the
Exchange, through the Trading Participants
Regulation Department (TPRD), audited 65
their respective business or rehab plans.
The rehab plans must detail the activities
these listed companies would have to
undertake, together with the corresponding
timetable that each would have to follow, to
wipe out the negative stockholders’ equity.
Failure by the affected issuers to comply with
the PSE order would subject the affected
companies to delisting procedures set forth
under the PSE’s Implementing Guidelines.
Regular Reporting of
Foreign Ownership
The Exchange has stepped up efforts to
provide the public with reliable data on
trading participants (TPs). The audit results
showed 18 percent of audited TPs were fully
compliant, an improvement from last year’s
14 percent. Total penalties assessed on TPs
amounted to Php610,000, a decrease in
absolute figures from last year’s Php757,000.
But on a ratio of penalties vis-à-vis TPs
audited, the penalties assessed in 2007 went
up because a total of one hundred thirty
two (132) active TPs were audited in 2006.
As part of its efforts to foster transparency
and follow international best practices, the
Exchange published on its web site the
monetary sanctions and penalties imposed on
broker-dealers in relation to the 2007 Annual
Regulatory Examination. Further, in September
and October, the Exchange audited all
branches of TPs mostly located in the
provinces. Also, TPs that showed significant
deviations from established parameters in their
Risk-Based Capital Adequacy (RBCA) reports
were subjected to spot audit. The spot audit
is meant to ensure that TPs have liquid capital
that can withstand their respective levels of
risk exposures.
As part of promoting transparency, the
Exchange, with the mandate of the Securities
and Exchange Commission (SEC), published
in the Exchange’s website soft copies of the
2006 Annual Audited Financial Statements
(AAFS) of the TPs. The publication will
allow current and prospective investors to
know the financial status of the TPs they are
transacting with.
the various levels of foreign ownership in
companies listed at the PSE. In line with this, the
PSE’s Information and Technology Division and
Disclosure Department have come up with an
online facility, which allows the listed companies
to encode their current foreign ownership
levels and submit these reports directly to
the Exchange. By the third quarter of 2007,
the Exchange started requiring the listed
companies to regularly report their foreign
ownership levels whenever there are changes
in the books of their transfer agents. These
reports come on top of a PSE requirement for
listed companies to submit to the Exchange
their foreign ownership levels every month.
The first phase of the Trading Participants
Database, a project that seeks to collate TP
information electronically, is currently in the
programming stage and will be scheduled for
testing and launching in the first half of 2008.
This will allow ease of reporting and timely
capture of information regarding the TPs.
In the last quarter of the year, the Exchange
held talks with the SEC regarding the
finalization of the Proposed Standard Chart
of Accounts for Trading Participants. This
Chart of Accounts will help ensure that TPs
are in compliance with the requirements of
Philippine Accounting Standards. Albeit not
yet implemented, this Chart of Accounts has
served as the basis for the on-going revision of
the RBCA template.
2007 Summary of
Violations and Penalties
In line with the program to promote
good corporate governance, the Exchange
intensified its enforcement of the
Disclosure Rules. As a result, the total
number of cases for non-compliance of
unstructured repor torial requirements
penalized for the year 2007 increased by
174 percent from its level in 2006.
However, total penalties collected for
2007 went down by 23 percent as total
violations for the structured repor torial
requirements were 29 percent fewer than
their level in 2006.
 TABLE 13. Summary of Violations and Penalties
VIOLATIONS NUMBER OF CASES
STRUCTURED
ANNUAL
LATE SUBMISSION
NON-SUBMISSION
QUARTERLY
LATE SUBMISSION
NON-SUBMISSION
NON-SUBMISSION OF BOARD LOT REPORT
UNSTRUCTURED
LATE SUBMISSION
NON-SUBMISSION
NON-COMPLIANCE
TOTAL
Annual Listing
Maintenance Fee
The Exchange implemented a revised
schedule for the Annual Listing Maintenance
Fee (ALMF) on December 28, 2007. Under
the revised schedule, each listed company
is required to pay an ALMF of 1/100 of
1 percent of its market capitalization, but
in no case shall the ALMF be less than
Php250,000.00 or more than Php2,000,000.00.
Companies listed under the Small and Medium
Enterprises (SME) Board of the Exchange
are obliged to pay an ALMF of Php100.00
for every Php1 million market capitalization,
but in no case shall the ALMF in this instance
be less than Php50,000.00 or more than
Php250,000.00.
Revision of Initial
Listing Fee Structure
The Exchange simplified its initial listing
fee structure as follows: Companies with a
market capitalization of up to Php15 billion
shall pay an initial listing fee of 1/10 of 1%
of its market capitalization, but in no case
shall the initial listing fee be lower than
Php500,000.00, while companies with a
market capitalization of more than Php15
billion shall pay an initial listing fee of Php15
million plus 1/20 of 1 percent of the excess
over Php15 billion.
Quarterly Progress Report
The Exchange requires companies that listed
from 2007 onwards to submit a quarterly
progress report on the application of the
proceeds from the sale or offer of their
shares to the public. The report, which must
AMOUNT (in Php)
19 1,388,600.00
12 875,600.00
7 513,000.00
33 2,038,000.00
20 1,171,000.00
13 867,000.00
1 45,000.00
52 3,551,000.00
30 1,875,000.00
12 676,000.00
10 1,000,000.00
105 7,022,600.00
be submitted on or before the fifteenth day
following the end of every quarter, must
also disclose where, when and how the
newly listed company used the capital. Listed
companies are also mandated to submit to
the Exchange an annual summary of these
applications on or before January 31 of the
following year.
Third Party Fairness
Opinion Requirement
To further promote transparency, the
Exchange adopted in August a new policy
requiring listing applicants to submit a third
party fairness opinion covering all non-cash
transactions. The opinion must be prepared
by an independent financial institution that
will assess the valuation of shares issued in
connection with any non-cash transaction,
such as a merger, share-for-share-swap,
debt-to-equity conversion, property-for-share
swap and other similar transactions. The
listing applicant must disclose the third party
fairness opinion to its stockholders at the
time the non-cash transaction is submitted
for stockholders’ approval. The Exchange
immediately implemented and applied the
new policy to all companies with pending
listing applications.
Automatic Participation in
Best Annual Report Awards
To promote the local adoption of world-class
good corporate governance practices, the PSE
renewed its partnership with the Management
Association of the Philippines (MAP) in
16 / 17
holding the 2007 edition of the Best Annual
Reports (BAR) Awards.
2007 ANNUAL REPORT
The BAR Awards competition aims to
promote good corporate governance by
showcasing companies that observe the
principles of transparency, accountability
and fairness, par ticularly in their
repor ting formats.
The BAR Awards tilt aims to elevate to
world-class standards the disclosure practices
of Philippine companies, particularly those
that are publicly listed. It gives cognizance to
companies that produce user-friendly annual
reports, whose visual appeal is enticing to read.
As added support for the BAR Awards, the
Exchange has adopted a policy, calling for the
automatic inclusion in the BAR Awards of all
listed companies in good standing.

CORPORATE PLANNING AND RESEARCH

PSE Weekly Market Watch Development of the Index Guide computation. The PSE Index Guide is posted
The Exchange launched the Weekly The Exchange came out with the PSE Index at the PSE Website.
MarketWatch, a free online publication and Guide to serve as a guidebook for listed
compilation of the immediate past week’s companies and investors alike on how the PSE The PSEi, the main index of the Philippine
top stock price gainers and losers, along maintains its indices. The guidebook provides stock market, underwent recomposition on
with corresponding information on the a brief history of the PSE indices, the criteria May 16, 2007 and November 16, 2007.
fundamentals of the companies that make the for the inclusion of listed companies in the Listed in Table 14 below are the results
list. The Exchange decided to come out with indices and the method being used in index of the two recomposition exercises.
the publication to guide investors and provide
them with basic yet helpful information about
the stocks on the weekly list, like their
price-to-earnings ratios, earnings per share
and price-to-book value ratios, along with their TABLE 14. PSEi Recomposition
corresponding disclosure references, which RESULTS OF RECOMPOSITION ON RESULTS OF RECOMPOSITION ON
may have caused the price movements of said MAY 16, 2007 NOVEMBER 16, 2007
stocks during a particular week.
1 ABS-CBN BROADCASTING CORPORATION 1 ABS-CBN BROADCASTING CORPORATION
2 AYALA CORPORATION 2 AYALA CORPORATION
In addition, the publication also provides a 3 ABOITIZ EQUITY VENTURES, INC. 3 ABOITIZ EQUITY VENTURES, INC.
weekly summary of basic market statistics, 4 AYALA LAND, INC. 4 AYALA LAND, INC.
5 BANCO DE ORO UNIVERSAL BANK 5 BANCO DE ORO-EPCI, INC.
like the performance of the PSEi and sector 6 BELLE CORPORATION 6 BELLE CORPORATION
indices, total market capitalization, value 7 BANK OF THE PHILIPPINE ISLANDS 7 BANK OF THE PHILIPPINE ISLANDS
turnover and foreign trading activity. 8 DMCI HOLDINGS, INC. 8 DMCI HOLDINGS, INC.
9 EQUITABLE PCI BANK, INC.* 9 PNOC ENERGY DEVELOPMENT CORPORATION
10 FIRST GEN CORPORATION 10 FIRST GEN CORPORATION
PSE Quarterly Top 50 11 FIRST PHILIPPINE HOLDINGS CORPORATION 11 FILINVEST LAND, INC.
12 GLOBE TELECOM, INC. 12 FIRST PHILIPPINE HOLDINGS CORPORATION
The PSE also started publishing in 2007 the 13 HOLCIM PHILIPPINES, INC 13 GLOBE TELECOM, INC.
PSE Quarterly Top 50. This quarterly publication 14 INTERNATIONAL CONTAINER TERMINAL SERVICES, INC. 14 HOLCIM PHILIPPINES, INC
showcases the top 50 performing companies 15 JOLLIBEE FOODS CORPORATION 15 INTERNATIONAL CONTAINER TERMINAL SERVICES, INC.
16 JG SUMMIT HOLDINGS, INC. 16 JOLLIBEE FOODS CORPORATION
in terms of net income, revenues, returns 17 LEPANTO CONSOLIDATED MINING COMPANY 17 JG SUMMIT HOLDINGS, INC.
on their assets and equity, as well as their 18 METROPOLITAN BANK & TRUST COMPANY 18 LEPANTO CONSOLIDATED MINING COMPANY
price performance. The contents of the PSE 19 MEGAWORLD CORPORATION 19 METROPOLITAN BANK & TRUST COMPANY
20 MANILA ELECTRIC COMPANY 20 MEGAWORLD CORPORATION
Quarterly Top 50 come from the quarterly 21 MANILA MINING CORPORATION 21 MANILA ELECTRIC COMPANY
financial statement submissions of listed 22 MANILA WATER COMPANY, INC. 22 MANILA WATER COMPANY, INC.
23 PETRON CORPORATION 23 PETRON CORPORATION
companies, which are gathered and processed 24 PHILEX MINING CORPORATION 24 PHILEX MINING CORPORATION
by the PSE to provide investors with a quick 25 SM INVESTMENTS CORPORATION 25 ROBINSONS LAND CORPORATION
reference to the financial performance of 26 SAN MIGUEL CORPORATION 26 SM INVESTMENTS CORPORATION
27 SECURITY BANK CORPORATION 27 SAN MIGUEL CORPORATION
listed companies. 28 SM PRIME HOLDINGS, INC. 28 SM PRIME HOLDINGS, INC.
29 PHILIPPINE LONG DISTANCE TELEPHONE COMPANY 29 PHILIPPINE LONG DISTANCE TELEPHONE COMPANY
This publication also contains a summary of 30 UNIVERSAL ROBINA CORPORATION 30 UNIVERSAL ROBINA CORPORATION

the net income and revenue performance per

* REMOVED FROM THE INDEX, WITHOUT REPLACEMENT, ON 4 JUNE 2007 DUE TO ITS MERGER WITH BANCO DE ORO
sector for a particular quarter in review. Like
UNIVERSAL BANK, ANOTHER INDEX CONSTITUENT.
its weekly counterpart, the PSE Quarterly Top
50 provides a summary of market statistics,
this time, on a per-quarter basis.
New Strategic Plan
The Exchange has finalized a new strategic
plan that will serve as guide in its search for
more growth and in achieving its vision of
becoming a premier exchange. The PSE will
use the new strategic agenda to increase
the market’s growth momentum under the
successful LEAP-A-MILE strategic agenda and
accelerate its drive towards new heights and
more stock market records.
The Exchange has imposed on itself higher
goals and standards that it will achieve under
the new strategic plan. The Exchange, thus,
refined its vision and mission statements to
reflect the direction that the Exchange will
be undertaking.
The PSE’s vision captures the aim of the
exchange to benchmark its performance
not only with itself but also with those in
developed exchanges, particularly in the
Asian region. The mission statement spells
out the PSE’s primary goals for the benefit
of its stakeholders, as well as the prerequisite
programs necessary for the PSE’s delivery of
these services.
In the next five years, the Exchange The Exchange has
shall focus on building its capacity for a
more expansive market as well as for finalized a new strategic
the enhancement of its income stream.
The Exchange aims to achieve these plan that will serve as
goals by following the seven strategies
guide in its search for
for success. These seven strategies require
the Exchange to: more growth and in
1) Expand the investor base; achieving its vision
2) Attract more companies to list;
3) Enhance shareholder value; of becoming a
4) Strengthen human resources;
5) Enable compliance among trading participants; premier exchange
6) Partner with government; and
7) Develop more data products and services.
Under this new strategic agenda, the
Exchange shall endeavor to enhance its
market education activities, install new and
world-class systems, offer new products and
services, and provide market-friendly rules
to govern trading in the Exchange. The plan
to unify the two trading floors and relocate
them to a new landmark building is a vital
component of the PSE’s initiatives to enhance
shareholders’ value.
18 / 19
2007 ANNUAL REPORT

CAPITAL MARKET
DEVELOPMENT
SBL workshop
BUSINESS DEVELOPMENT
The Exchange conducted a number of market
education activities to familiarize market
participants with PSE products and services
in the pipeline. A two-day workshop on our
new Securities Borrowing and Lending (SBL)
Program was held in the early part of 2007 at
the Hyatt Hotel and Casino Manila to launch
the PSE-SBL Program. Towards the end of the
year, the Exchange held its first run of short
briefings for trading participants also on the
PSE-SBL Program and on the features of short
selling in the Maktrade System.
Last September the Exchange and MF Global
(S) Pte. Ltd. jointly sponsored a forum, entitled,
“Enabling the Global PSE Investor: An Alliance
for Achievement.” The gathering provided the
organizers an opportunity to raise the level
of awareness of forum participants, including
global investors, about our growing market.
The forum also gave the organizers a chance
to explain how a contract for difference can
help an investor gain wider access into our
stock market.
The one-year transition period in
implementing the PSE’s Rules on SBL took
effect in February. Within this transition
period, the PSE held meetings with the SEC,
the Bureau of Internal Revenue (BIR) and
Bangko Sentral ng Pilipinas (BSP) to thresh out
SBL issues that remained outstanding.
The SEC approved the PSE Rules on
Short Selling in October. However, issues
remained with the BIR and BSP. The PSE will
implement the Rules on Shor t Selling once
these issues are resolved.
The Exchange seeks to introduce into
our market Real Estate Investment Trusts
(REITs). Along this line, the Exchange
resumed meetings of the PSE-REIT Work
Group, a body that is in charge of a
coordinated campaign to get the suppor t of
Congress and other concerned government
entities, as well as private groups, behind
a proposed law to establish REITs in the
country. The PSE-REIT Work Group is also
set to come up in early 2008 with a study
to validate provisions in a draft bill aimed at
establishing the REITs.
The said draft bill, now known as Senate Bill
63, or “An Act Providing the Regulatory
Framework for Real Estate Investment Trusts
and Other Purposes,” was sponsored by
Sen. Edgardo Angara and filed at the Senate
in June. A Senate REIT Work Group was
formed to review the bill and prepare a
Committee Report to be submitted in the
first half of 2008. Mr. Angara appointed the
PSE president and chief executive officer to
chair this Work Group.
INVESTOR EDUCATION
The Exchange is continuing with its program
to enhance public awareness about the stock
market as part of a strategy to improve
market depth. Various seminars, workshops,
and briefings were also devoted for trading
participants, analysts and officials coming
from listed companies as part of a continuing
program to update them about market
developments affecting them.
For the year 2007, the PSE completed 258
market education events or 35 percent more
than the number of similar events undertaken
in the previous year. Among the projects
were 216 workshops, seminars, orientations,
symposia and tours for prospective individual
investors and students. Other projects
also included two economic briefings; four
industry briefings; five exhibits and expositions;
four IPO briefings; six local roadshows; ten
continuing education seminars for trading
participants; a reverse or inward roadshow
and international roadshows in the U.K.,
Spain and Italy.
The Exchange likewise conducted special
projects, such as the PSE Certified Securities
Specialist Course; the PSE Bull Run 2007;
several editions of the Stock Trading
Tournament; the PSE Open Best Thesis
Competition; and the PSE-JCI Best Business
Plan Competition. The Exchange was also
a co-presentor in the Best Annual Report
Awards Competition of the Management
Association of the Philippines.
The number of individuals directly reached
by the PSE’s various market education
projects and activities went up to 17,396 or
41 percent more than the total participants
in 2006. Reached were 515 market
participants, 8,573 individuals from the
government and the private sector and 8,308
from the academe.
The PSE accomplished these projects with
minimal cost on account of partnerships and
various corporate sponsorships.
Workshops, Seminars,
Orientations, Symposia,
and Tours
Workshops, seminars, orientations, symposia,
and exchange tours or visits typically
include audio visual presentations, lectures
on various stock market topics, trading
simulations, games and learning activities,
gallery tours, trading floor observation tours
and open forums.
With 216 of these events for the whole year,
the PSE was able to cover nationwide 95
universities and colleges, 13 graduate schools,
one high school, 3 academic organizations,
23 local and multinational corporations,
11 professional organizations, 6 government
agencies, and 4 foreign visiting organizations.
Stand - Alone Subject on
Capital Markets
The PSE conducted two major events related
to the implementation of a Commission on
Higher Education (CHED) directive, known as
CHED Memorandum Order No. 39 (CMO
39). The CHED directive mandates, among
other things, the institutionalization of a
stand-alone capital markets subject in business
administration courses. Aside from the CHED,
the PSE’s partners in the CMO 39 project are
the Philippine Council of Deans & Educators
in Business (PCDEB) and the Business
Education Industry Linkage, a group made up
of 12 professional and academic organizations.
Progressing from the successful
institutionalization of a stand-alone subject
on capital markets in business administration
courses, the PSE, together with CHED and
PCDEB, led the signing of a memorandum
of understanding (MOU) among 12
industry and academic organizations. These
organizations form what is now known as
the Business Education Industry Linkage,
which was formed out of a common
aspiration to transform the current business
education system into a responsive tool
for the present and future demands of
industries, whether domestic or global. The
MOU, which was signed last May at the
PSE Centre in Pasig City, was capped by the
ringing of the opening bell by the various
leaders of the Linkage organizations.
The first major project of the Linkage was
the Business Education Industry Summit held
last December at the AIM Conference Hall.
About 200 business education teachers and
industry professionals gathered to discuss
ways and means to further improve the new
business education curriculum contained in
CMO 39 Series of 2006, which now includes
capital markets as a stand-alone subject.
PSE Certified Securities
Specialist Course
Another key initiative of the Exchange
for 2007 was the PSE Certified Securities
Specialist Course, a program envisioned to
provide continuing education for market
participants. In simple ceremonies held at
the PSE last August, the PSE honored 15
successful graduates who belong to the
first batch of this course. The partnership
between the PSE and the Global City
Innovative College (GCIC) for the conduct
of the Certified Securities Specialist Course
was also launched during the graduation rites.
The second batch, composed of 39 students
(including two PSE scholars), started classes
on August 28, 2007 at the GCIC campus located
at the Fort Bonifacio, Global City in Taguig City.
Soon after the launch of the second edition,
the PSE signed another MOA, this time with
iAcademy, for the holding of the third run of
the PSE Certified Securities Specialist Course
inside the iAcademy campus along Ayala
Avenue, Makati City. The third edition of the
PSE Certified Securities Specialist Course
started last October and will conclude in
February 2008.
The PSE is in the final stage of
negotiations with the Ateneo Center for
Continuing Education (CCE) and with
other reputable universities and colleges
for holding future editions of the course
in their respective schools.
The PSE Cer tified Securities Specialist
Course continues to undergo
improvements. From an original 69-hour
program, it expanded into an 89-hour
course to include segments on the
PSE, CHED, Business Education Industry Linkage
Securities Regulation Code and ethics. MOU signing ceremony
Leadership will be a special component of
the Ateneo CCE batch, while mini-versions
of the course are being developed by
iAcademy in coordination with the PSE.
The PSE Bull Run 2007
As par t of a program to promote both
health and stock market consciousness,
the PSE held its fun run, called PSE Bull
Run 2007 in Januar y at the For t Bonifacio,
Global City in Taguig City. Over 2,500
running enthusiasts, along with spor ts
celebrities, prominent personalities
from the government, the diplomatic
PSE Certified Securities Specialist Course graduation
community and from business, joined the
annual fun run.
Economic Briefings
Aside from school-based projects, the
PSE also forged a par tnership with the
Bangko Sentral ng Pilipinas (BSP) Investor
Relations Office (IRO) to conduct
economic briefings. One such joint briefing
was held in Februar y and another in
September. Around 3,000 sector leaders
who attended these briefings were
given periodic performance reviews and
forecasts about the Philippine economy.
The briefings provided the PSE with an
oppor tunity to share with the general PSE Bull Run 2007 “Takbo Para Sa Ekonomiya”
public its recent achievements.
Industry Briefings
For the year 2007, the Exchange conducted
inside its premises four industry briefings,
each of which drew at least 200 attendees,
as well as prominent speakers whom the
PSE invited for their exper tise for par ticular
industries in focus during the briefings. The
PSE and Petron Oil Exploration Industry
Briefing was held in March; the Banking
Industry Briefing, in June; the Mining
Technical Briefing, in September ; and the
20 / 21
I.T. and Telecom Industry Briefing,
in December.
2007 ANNUAL REPORT

Banking Industry Briefing
International Roadshows
Another key PSE accomplishment for the
year 2007 was the successful completion
of a roadshow in Europe. The PSE sent a
contingent that joined the business delegation
of Her Excellency, President Gloria Macapagal-
Arroyo, in her working state visit to Spain
and her working visit to the U.K. During
this roadshow, the PSE was able to conduct
seminars about equity investments, mutual and
index funds and remittance services for some
1,200 overseas Filipino workers (OFWs)
based in both countries. One-on-one meetings
with prospective institutional portfolio
investors also formed part of the PSE’s
itinerary. Listed companies, such as Aboitiz
Equity Ventures, SM Investments Corporation
and listed mining companies represented by
the Chamber of Mines, were also featured in
the Philippine Business Forum, which was an
important component of the roadshow.
Right after the working visit, the PSE contingent
proceeded to Milan, Italy, to conduct a
seminar for around 200 OFWs there. The
PSE’s partners for the European roadshow
were Banco De Oro, iRemit, TKC Steel,
Aboitiz Equity Ventures, Bank of the Philippine
Islands, Citiseconline, First Metro Investments
Corporation, HSBC & IPVG Corporation.
Aside from the foreign roadshows, the PSE
tried a different marketing approach, called
a “reverse or inward roadshow,” to attract
foreign investors. Instead of the PSE sending
delegations for overseas marketing missions,
foreign institutional investors were invited to
our country for briefings under the reverse
roadshow program. Together with JPMorgan,
the PSE invited around 50 foreign institutional
investors to one such reverse roadshow,
dubbed “Philippine Corporate Access
Days,” held in May at the Shangri-la Hotel
Manila, with Her Excellency, President Gloria
Macapagal-Arroyo, as guest of honor.
Local Roadshows
The PSE did not limit its local investor
education campaigns to Metro Manila. It was
able to conduct six major roadshows in the
cities of Cebu, Dagupan, Laoag, Tuguegarao,
General Santos, and Davao. Through these
roadshows, the PSE was able to reach out to
more than 1,000 prospective investors.
These roadshows were effective in informing
Filipinos outside Metro Manila about the
potential benefits they can derive from
investing in the stock market. Strategic
partners for the roadshows were Alliance
Tuna International, Inc., First Metro Asset
Management, Inc., First Metro Investment
Corporation, Philam Asset Management,
Inc., PSE Foundation, Inc., Sun Life Asset
Management Company, and Technistock, Inc.
Other partners were the Department
of Trade and Industry, Cebu Chamber
of Commerce and Industry, Society of
Cebu Realty Firms, Inc., Junior Chamber
International, AB Capital Investment
Corporation, Phoenix Petroleum,
Department of Trade and Industry, Philippine
Chamber of Commerce and Industries–
Cagayan, GenSan Chamber of Commerce
and Industry, and the Filipino-Chinese
Chamber of Commerce-Davao.
For the full benefits of domestic roadshow
participants, the PSE brought along volunteers
from several brokerage firms who conducted
their own briefings and gave pointers on how
to open an account with a brokerage firm.
The volunteers came from Abacus Securities
Corporation, Angping & Associates Securities,
Inc., ATR-Kim Eng Securities, Inc., First Metro
Awards Night for Stock Trading Tournament and Best Thesis Competition
Securities Brokerage Corporation, and Regina
Capital Development Corporation.
Stock Trading Tournament
The PSE provides an effective learning tool for
both students and professionals through the
Stock Trading Tournament (STT).This online
simulation game allows participants to practice
investment strategies, test theories, try simulated
trading and compete with other players.
An estimated 2,500 students joined 16
editions of the STT last year, including the
PSE Open Stock Trading Tournament, which
ran from March 14 to September 14, 2007.
Mr. Eugene Sejalbo of the University of St.
Louis in Tuguegarao, Cagayan topped the
2007 edition of the PSE Open STT with
a 72 percent return on his Php1 million
“virtual capital.” Mr. Sejalbo, thus, successfully
defended the title he won the previous
year when the PSE held the tournament in
partnership with the Philippine Association of
Collegiate Schools for Business (PACSB).
The PSE recently launched the “MBA
Investment Challenge” in partnership
with CitisecOnline.com, Inc. Other similar
tournaments were launched throughout the
year in tandem with various professional
organizations and schools.
The PSE is also developing with iAcademy
a “30-Minute STT” suitable for participants
linked via local area network. This quick and
handy system may be brought to any key
city in the Philippines where iAcademy or
STI has a computer laboratory for individuals
there who may want to learn more about
investing in stocks.
Best Thesis and Best
Business Plan Competitions
Another school-based investor education
project is the PSE Open Best Thesis
Competition. It is a contest meant to
recognize thesis written by college students
that are related to the capital markets.
Six entries made it to the finals on October
1, 2007 after a careful selection process
conducted by a PSE technical panel composed
of select academicians and market participants.
The winning entry was entitled “A Durbin
Watson Test of the Martingale Hypothesis
on the Philippine Publicly Traded Companies”
written by Aileene Custodio, Joy Anne
Evaristo, and Rystle Perez, all BS Business
Administration Major in Business Management
students of the Holy Angel University.
The PSE also conducted the Best Business
Plan Competition in June at the PSE Plaza
Board Room, again in cooperation with JCI-
Manila. Notable business plans prepared by
young entrepreneurs were recognized.
A team from the Ateneo de Manila
University composed of Katherine Cheng,
Justin dela Cruz, Kimberley Ong, Chris Palarca
with their Business plan entitled “Algawell -
Biofuel Technologies - Ethanol Derived From
Algae” won first place in the 2007 JCI-PSE
Best Business Plan Competition.
Expositions and Exhibits
Targeting specific sectors that have the
most likelihood to invest, the PSE also set
up marketing booths and participated in
various expositions and exhibits, such as the
Philippine Franchising Congress held last July
6 - 8, 2007 at the World Trade Center; the
Petron Stockholders’ Meeting held in July
at the Manila Hotel; the IARFC’s Financial
Adviser’s Forum held in August at the
Makati Sports Club; the FINEX-CFA Inter-
Collegiate Finance Competition NCR and
Luzon Eliminations held in September at the
Meralco Theater; and the FINEX-CFA Inter-
Collegiate Finance Competition Finals held in
October at the BSP Auditorium.
IPO Briefings
The Exchange conducted briefings for local
small investors (LSIs) to provide them with
pointers on how to participate in, and assess
the prospects of, an IPO. For maximum effect,
each briefing was timed shortly before, or
right after, the start of the period when an IPO
would have to be launched. Thus, IPO briefings
had been held before Pacific On-line Systems,
Philippine National Reinsurance, Aboitiz Power
Corporation, Phoenix Petroleum Philippines,
Inc., launched their respective IPOs in 2007.
Continuing Education
for Trading Participants
For the trading participants, the Exchange was
able to conduct the following 10 continuing
education seminars:
1. Investment Tools for the Financial Markets,
February 14, 2007
2. Bloomberg Training Seminar with Rinta
Makkum, May 24,2007
3. Technistock Training Seminar with Raymond
Latonio, May 31, 2007
4. Bloomberg Training Seminar with Rinta
Makkum, June 5, 2007
5. CFA-PSE World Market Update with Dr.
Marc Faber, June 19, 2007
6. CFA-PSE Seminar on the ABCs of ETFs with
Dr. Mary Campion, CFA, July 26, 2007
7. FUNDamentals1: PSE-SLAMC Mutual Funds
Refresher Course, August 17, 2007
8. PSE-Bloomberg’s TD Sequentials and Money
Flow Seminar, August 22, 2007
9. “Enabling the Global PSE Investor”
MF Global Seminar, September 5, 2007
10. KRX Presentation on their Futures Market
Experience, December 14, 2007
The PSE was also able to conduct consultation
workshops about marketing equity
investments specifically to OFWs through a
proposed PSE International Roadshow. The
workshops were held on March 29, 2007 at
the PSE Plaza Board Room and on May 23,
2007 at the PSE Centre Board Room.
MARKETING SERVICES
The Exchange, through the Marketing Services
Department (MSD) continues to nurture
its relationship with both publicly listed
companies and potential IPO companies.
Although the National Capital Region (NCR)
still provides the Exchange with the pool of
qualified companies that are ripe for listing,
MSD is pursuing IPO candidates among
privately held corporations operating in major
cities outside the NCR.
The Exchange has received more queries
from potential IPO firms after the Exchange
forged strategic agreements with SGV & Co.’s
22 / 23
Knowledge Institute, and with Punongbayan
& Araullo to conduct seminars on the listing
2007 ANNUAL REPORT
process of the Exchange. The queries came
from Baguio City in Northern Luzon, Cebu
City in the Visayas, and from the cities of
General Santos and Davao in Mindanao.
The Exchange, together with Asia Trust
Development Bank, Inc., and Malayan Bank also
facilitated a series of seminars that provided
listing guidelines for small- and medium-sized
enterprises.
The Exchange hosted breakfast gatherings and
handed out plaques of recognition for four
companies under the PSE’s Listing Anniversary
Celebration Project. The recognitions went
to Highlands Prime, Inc., a 5th anniversary
listing celebrant; PCI Leasing and Finance, Inc.,
a 10th anniversary listing celebrant; Filinvest
Development Corporation, a 25th anniversary
listing celebrant; and to Republic Cement
Corporation, a 50th anniversary listing
celebrant.
The PSE hosted the successful ASEAN
Stock Exchange CEO Conference held
at the Shangri-La Hotel in Makati last July.
This annual event is part of a series of
regional conferences to create added
INFORMATION TECHNOLOGY
The year 2007 saw improvements in the
trading system infrastructure, highlighted
by the successful migration in early 2007
of the Maktrade System to a server with a
higher capacity.
In meeting the strategic objective of instilling
and promoting market integrity, regaining
investor confidence and public trust, the
Information Technology Division (ITD)
modified the Online Disclosure System to
allow listed companies to report on a daily
basis any change in their foreign ownership
level which is then passed onto the trading
system for display on the trading terminals.
In support of the Market Regulation
Division’s implementation of the Advanced
Warning and Control System (AWACS), the
ITD provided (1) assistance in setting up the
surveillance network infrastructure and (2) a
direct data feed with enhanced data security.
Enhancements to the Maktrade system
were likewise put in place, including control
awareness among investors about the
Asean capital market; while promoting
cooperation, understanding and coordination
among officials of the ASEAN Exchanges.
The Exchange, through the MSD and
the Information Technology Division, is
coordinating with the ASEAN Exchanges
ASEAN Stock Exchange CEO Conference
mechanisms that restrict a trading participant
to trade on a particular security.
In terms of operational efficiency and
profitability, the Maktrade system was
modified to increase the order allocation per
trading participant. The back office network
was improved with the completion of a 300-
node structured cabling system at the offices
in Tektite. Further, the network connection
between the two offices has been enhanced
with the installation of new routers. Similarly,
the phone system was improved with the
upgrade of the core switch. A central
storage system was put in place, allowing for
real-time data replication.
To improve the deliver y of information,
the Exchange also developed and installed
(1) an automated system for downloading
data from the FTSE web site to the PSE
web site and (2) a web-based utility that
allows the generation of repor ts, including
Technical Working Group in building an
ASEAN Exchanges web site.
The MSD maintains a proactive stance in its
campaign to increase the number of listed
companies, assist their buildup of capital and
widen theirMARKETING
ownership base or free float.
SERVICES PHOTO
Daily Quotation Repor ts and sales
summar y.
The Exchange developed an Index
Composition Update Facility to allow the
CPRS to enter and approve changes to
the index composition, which the CPRS
undertakes every six months. The facility
is capable of automatically sending e-mail
notification to the concerned departments
and data vendors for any changes.
The Exchange implemented an Online
Publication System that allows PSE departments
to upload their memos and auto-generate
numbers for the memos upon release. Once
released, the memo is then made available to
the PSE web site for public viewing.
A web site for our SBL Program was
developed to provide the TPs and the public
updates related to the SBL Program. The
information in the SBL web site includes
SBL rules, short-selling guidelines and
downloadable forms for SBL and short selling.
In relation to this, an online reporting facility
was also developed to allow the TPs to
upload SBL transactions and generate reports
being prescribed by the regulators. The facility
will be made available also to the regulators
for faster monitoring.
The physical and premises security was also
enhanced with the installation of a CCTV system
and a physical access control system in the data
centers at the PSE’s Tektite and Ayala offices.
MARKET DATA BUSINESS
Over 90 percent of the PSE’s market data
revenues are denominated in US dollars,
and the 15.8 percent depreciation of the US
greenback against our local currency hobbled
the growth in revenues of our market data
business. Thus, revenues from the PSE’s
market data business in 2007 grew by only 2.8
percent to Php17.42 million from Php16.95
million in 2006, notwithstanding the market’s
impressive overall advance. The number of
market data clients in 2007, however, increased
to 32 from 27 the year before.
For the dealing terminals, trading participants
responded to the higher number of orders
and increased their Marketworks subscriptions
by 12.3 percent or from 317 in 2006 to 356
in 2007. Revenues from these subscriptions
likewise proportionately increased by 12.9
percent from Php10.8 million in 2006 to
Php12.2 million in 2007. On the other hand,
revenues from dealing systems, using the
Communications Front End (CFE) data feed,
increased by 18.5 percent from Php2.7 million
in 2006 to Php3.2 million in 2007. CFE dealing
systems accounted for 34 percent of total
trading orders in 2007.
Market data feed was also enhanced with
(1) the implementation of an application that
allows the posting of price adjustments of
securities before the effectivity day, and (2)
the modification in the price reporting system
(PRS) to provide a signal to the data vendors
that ends the day’s data transmission. Start-
up operations of the Maktrade and related
systems, the PRS and the customer front-end
were also improved. The transmission of
data through the PRS was likewise improved
with the migration of market data clients
from asynchronous network protocol to
transmission control protocol (TCP).
ORGANIZATIONAL For the dealing
DEVELOPMENTS
terminals, trading
The Exchange continues to introduce
programs and projects to improve the participants responded
operational efficiency of employees, further
to the higher number of
boost their morale, and promote their
camaraderie and cohesiveness. The Exchange orders and increased
implemented a new, objective and transparent
performance appraisal system to improve their Marketworks
employee performance, productivity, and
motivation. The Exchange also put in place subscriptions by 12.3
new employee wellness programs, such as
quarterly socials and a health lecture series, percent or from 317 in
and conducted various sports activities,
like basketball and bowling. The PSE also 2006 to 356 in 2007
reviewed and negotiated the renewal for
its employees of the group life and accident
insurance coverage, as well as the health care/
hospitalization benefit program with a health
maintenance organization.
SOC IAL RESPONSIBILITY
For the year 2007, the Exchange, together with
the PSE Foundation, Inc. (the “Foundation”),
appropriated Php10 million for curriculum
development, conduct of lectures and
researches on the capital market and
professorial chair grants to the Center
for Continuing Legal Education of the
Ateneo Law School. The Exchange and the
Foundation also supported the ANC’s newest
program, “Square Off: The Philippine Debate
Championship,” where student debaters from
different universities competed on the topic:
”Is 100% Restrictions on Foreign Ownership
be Allowed by the Government?” The PSE
and Foundation’s support included 18 airings
of PSE’s 10-second plugs over ABS-CBN PSE Donation for Gawad Kalinga Project in Pasig City
News Channel on such topics as smart
Investments, diversified investments and wise
investments.
The Foundation supported the local
roadshows of PSE in the key cities of
Cebu, Dagupan, Laoag, General Santos and
Davao where people from all walks of life
received briefings about the stock market.
The Foundation also supported the drive of
the National Movement for Free Elections
NAMFREL for the peaceful and honest conduct
of the 2007 senatorial and local elections.
The Exchange, together with the Foundation,
made a donation to establish a livelihood 24 / 25
project for victims of a landslide that
devastated Brgy. Guinsaugon, St. Bernard,
2007 ANNUAL REPORT
Southern Leyte in the latter part of 2006.
The donation, which was coursed through
the Philippine Business for Social Progress,
was used in 2007 to construct several milkfish
cages and sponsor a capability-building training
program for affected households.
In support of its social development program,
the Foundation also sponsored a scholarship
fund for blind children under the care of
SUBSIDIARY
SECURITIES CLEARING
CORPORATION OF THE
PHILIPPINES
The Securities Clearing Corporation of the
Philippines (SCCP) enjoyed another record
year as its net income in 2007 more than
tripled to Php144.92 million from Php46.7
million a year earlier. Service fees that SCCP
earned in 2007 jumped by 133.43 percent
to Php238.96 million from Php102.37
million in 2006. The robust performance of
the Philippine stock market in 2007, as well
as SCCP’s prudent expense management,
contributed to SCCP’s superlative
performance. For the first time since SCCP
commenced commercial operations in January
2000, its Board declared a cash dividend,
equivalent to Php10.00 per share, which was
paid on April 16, 2007.
Central Clearing and Central
Settlement (CCCS) System
Clearing members were given a transition
period to familiarize themselves with the
more complex requirements and features of
the Central Clearing and Central Settlement
(CCCS) system. Since the launch of the CCCS
on May 29, 2006, clearing members have
acquired a proficiency in using the system, as
shown by their very high level of adherence to
the settlement deadline, set every 12:00 noon
on “T+3” or three business days from date of
transaction. During the second half of 2007, for
instance, the clearing members recorded a 99.8
percent adherence to meet the said deadline in
delivering securities they had sold. They likewise
tallied a 99.63 percent adherence to meet the
same deadline in delivering cash payment for
the Resources for the Blind. The Foundation
continued its supports for the Capital
Market Development Council (CMDC)
by shouldering part of its administrative
expenses.
THE Exchange donated Php5 million to the
University of the Philippines (UP) through
the UP Business Research Foundation for
the development and strengthening of
securities they had bought. SCCP recorded not
a single instance last year when it had to tap the
credit facility of its settlement banks to cover a
potential cash fail.
The SCCP, with the help of the ITD,
introduced enhancements to the CCCS
to make it more user-friendly; while
improvements on the Disaster Recovery
Program continued in 2007 to ensure that this
program works properly. The same program
was put to a test on January 25, 2007, when
the PLDT i-gate broke down after a strong
earthquake hit Taiwan. The earthquake caused
minimal delays to the settlement process as
the SCCP had managed to activate in no time
at all the back-up hardware and services of
its internet service provider. The SCCP now
backs up CCCS data on a real-time basis.
During the year the SCCP worked closely
with Metropolitan Bank and Trust Company
and Deutsche Bank in connection with their
respective applications for accreditation as
SCCP’s additional settlement banks. The SCCP
expects to issue the formal accreditation of
both banks in the first half of 2008.
The clearing members’ high level of proficiency
in using the CCCS has given the SCCP the
cue to line up in 2008 new initiatives, which
will further improve the efficiency of its
clearing operations. For instance, SCCP plans
to eliminate settlement and credit risks by
encouraging clearing members to adopt the
Real Time Gross Settlement (RTGS) payment
method in delivering their clearing obligations
that are due. The SCCP is working closely
with the settlement banks to entice clearing
members to make use of their internet
knowledge, skills and expertise on the stock
market by creating an endowment fund to
the Philippine Stock Exchange Centennial
Professorial Chair and through market
studies and inclusion in the curriculum
subjects relating to stock market education.
The Exchange also supported the Gawad
Kalinga Housing Project of the Rotary Club
of Pasig City thru the Philippine Business for
Social Progress.
banking facilities. In the future, a clearing
member can settle clearing obligations that
are due by electronically moving funds from
its working account to its cash settlement
account without asking its settlement bank
to execute such fund transfer on its behalf.
The SCCP also plans to launch the “Give-up/
Take-up” feature of the CCCS, which allows
a broker to transfer (give up) cash or security
obligations to a custodian or to another
broker. The SCCP is finalizing this module in
preparation for its planned cooperation with
the ASEAN Clearinghouses through a bilateral
clearing arrangement.
Risk Management
and Monitoring
The SCCP Board approved the increase
in the monthly contributions of all active
clearing members to the Clearing and Trade
Guaranty Fund (CTGF) in response to the
increasing value turnover in our market,
which in turn adds to the need to beef up
the CTGF. The SEC later approved the hike
in CTGF contribution, paving the way for the
implementation of the increased fee effective
August 1, 2007. The CTGF contribution,
thus, has gone up from 1/1000 to 1/500 of
one percent of the trade value of a clearing
member for the month, net of block sales and
cross transactions of the same flag. To further
boost the CTGF, the SCCP is considering a
proposal to secure a default guarantee from
Radian Asset Assurance, Inc., a US-based
leading provider of financial guarantees for
clearinghouses all over the world.
The SCCP strictly conducts the daily
monitoring of the negative exposures of
clearing members through the Mark-to-
Market Collateral Deposit System. The SCCP
requires all clearing members with negative
exposures in their unsettled trades to fully
collateralize the same with cash, securities, or
an early delivery of the securities that have
caused the negative exposure. Along this line,
the SCCP Board decided last May to limit the
acceptable collateral to the 30 stocks that
comprise the PSEi. Outside of the PSEi basket
of stocks, only PSE shares are acceptable as a
collateral to cover a negative exposure.
Moreover, the SCCP has customized the
collateral management module of the CCCS
so that all functions related to the mark-to-
market process are integrated, using only
CCCS. These functions include the marking
to market of unsettled trades, the valuation
of collaterals deposited in the collateral
accounts, the computation of collateral
requirements/deficiencies and the notification
of collateral requirement or collateral refund
for each concerned clearing member. SCCP
has submitted to the SEC a request for
approval of the customized CCCS collateral
management module and the corresponding
amendments to the SCCP Rules and
Operating Procedures for the Mark-to-Market
Collateral Deposit System.
The SCCP has likewise instructed its Risk
Management and Monitoring Unit to report
to the SCCP Board any clearing member
that commits three or more late settlements.
In addition, the SCCP issues warning letters
to concerned clearing members about the
sanctions they face for repeated violations of
acts punishable with fines, and these could
include suspension or termination. As required
by the SCCP Board in its November 21, 2007
regular meeting, Clearing Members that have
incurred at least three late settlements during
the year are referred by the SCCP’s Risk
Management and Monitoring Unit to the
PSE’s Market Regulation Division, which then
determines what caused the late settlements
and what action/s has/have been taken to
avoid recurrence of the same.

The SCCP Board approved the increase in the monthly

contributions of all active clearing members to the Clearing and

Trade Guaranty Fund (CTGF) in response to the increasing value

turnover in our market.

TABLE 15. Listed Companies that Submitted Certifications on Compliance with

Corporate Governance Manual (without deviations)

1 A BROWN COMPANY, INC. 27 CHEMREZ TECHNOLOGIES, INC.

2 A. SORIANO CORPORATION 28 CHINA BANKING CORPORATION
3 ABACUS CONSOLIDATED RESOURCES AND HOLDINGS, INC. 29 CHINATRUST (PHILS.) COMMERCIAL BANK CORPORATION
4 ABOITIZ TRANSPORT SYSTEM (ATSC) CORPORATION 30 CITYSTATE SAVINGS BANK, INC.
5 ACESITE (PHILS.) HOTEL CORPORATION 31 COSMOS BOTTLING CORPORATION
6 ACTIVE ALLIANCE, INCORPORATED 32 DIGITAL TELECOMMUNICATIONS PHILIPPINES, INC.
7 AJO.NET HOLDINGS, INC. 33 DIVERSIFIED FINANCIAL NETWORK, INC.
8 ALASKA MILK CORPORATION 34 ETON PROPERTIES PHILIPPINES, INC.
9 ALCORN GOLD RESOURCES CORPORATION 35 EURO-MED LABORATORIES PHIL., INC.
10 ALLIANCE GLOBAL GROUP, INC. 36 EVER-GOTESCO RESOURCES AND HOLDINGS, INC.
11 ALLIANCE TUNA INTERNATIONAL, INC. 37 EXPORT AND INDUSTRY BANK, INC.
12 ALLIED BANKING CORPORATION 38 F & J PRINCE HOLDINGS CORPORATION
13 ANCHOR LAND HOLDINGS, INC. 39 FAR EASTERN UNIVERSITY
14 ANGLO PHILIPPINE HOLDINGS CORPORATION 40 FEDERAL RESOURCES INVESTMENT GROUP, INC.
15 ARANETA PROPERTIES, INC. 41 FILIPINO FUND, INC.
16 ASIAN TERMINALS, INC. 42 FIRST GEN CORPORATION
17 ATLAS CONSOLIDATED MINING AND DEVELOPMENT CORPORATION 43 FIRST METRO INVESTMENT CORPORATION
18 AYALA CORPORATION 44 FIRST PHILIPPINE HOLDINGS CORPORATION
19 AYALA LAND, INC. 45 GEOGRACE RESOURCES PHILIPPINES, INC.
20 BANCO DE ORO-EPCI, INC. 46 GINEBRA SAN MIGUEL, INC.
21 BANK OF THE PHILIPPINE ISLANDS 47 GLOBE TELECOM, INC.
22 BANKARD, INC 48 GMA NETWORK, INC.
23 BASIC ENERGY CORPORATION 49 GOTESCO LAND, INC.
24 BHI HOLDINGS, INC. 50 GRAND PLAZA HOTEL CORPORATION 26 / 27
25 BOULEVARD HOLDINGS, INC. 51 IMPERIAL RESOURCES, INC.
26 CENTRO ESCOLAR UNIVERSITY 52 INFORMATION CAPITAL TECHNOLOGY VENTURES, INC.

(continued next page)

2007 ANNUAL REPORT

 TABLE 15 (continuation)

53 INTERPHIL LABORATORIES, INC. 82 PCI LEASING AND FINANCE, INC.

54 IPEOPLE, INC. 83 PETRON CORPORATION
55 JG SUMMIT HOLDINGS, INC. 84 PHILEX MINING CORPORATION
56 JOLLIBEE FOODS CORPORATION 85 PHILIPPINE ESTATES CORPORATION
57 JOLLIVILLE HOLDINGS CORPORATION 86 PHILIPPINE NATIONAL CONSTRUCTION CORPORATION
58 KEPPEL PHILIPPINES PROPERTIES, INC. 87 PHILIPPINE SAVINGS BANK
59 LEISURE & RESORTS WORLD CORPORATION 88 PHILIPPINE SEVEN CORPORATION
60 LEPANTO CONSOLIDATED MINING COMPANY 89 PHILIPPINE TOBACCO FLUE-CURING & REDRYING CORPORATION
61 LIBERTY FLOUR MILLS, INC. 90 PHILIPPINE TRUST COMPANY
62 LORENZO SHIPPING CORPORATION 91 PHILWEB CORPORATION
63 MABUHAY VINYL CORPORATION 92 PILIPINO TELEPHONE CORPORATION
64 MACROASIA CORPORATION 93 PRIME GAMING PHILIPPINES, INC.
65 MAKATI FINANCE CORPORATION 94 RFM CORPORATION
66 MANILA BROADCASTING CORPORATION 95 RIZAL COMMERCIAL BANKING CORPORATION
67 MANILA ELECTRIC COMPANY 96 ROBINSONS LAND CORPORATION
68 MANILA JOCKEY CLUB, INC. 97 SAN MIGUEL CORPORATION
69 MANILA MINING CORPORATION 98 SAN MIGUEL PUREFOODS COMPANY, INC.
70 MANILA WATER COMPANY, INC. 99 SECURITY BANK CORPORATION
71 MANULIFE FINANCIAL CORPORATION 100 SM INVESTMENTS CORPORATION
72 METRO PACIFIC INVESTMENTS CORPORATION 101 SPLASH CORPORATION
73 MUSIC SEMICONDUCTORS CORPORATION 102 TANDUAY HOLDINGS, INC.
74 NATIONAL REINSURANCE CORPORATION OF THE PHILIPPINES 103 THE PHILIPPINE STOCK EXCHANGE, INC.
75 NIHAO MINERAL RESOURCES INTERNATIONAL, INC. 104 THE PHILODRILL CORPORATION
76 OMICO CORPORATION 105 TKC STEEL CORPORATION
77 ORIENTAL PETROLEUM AND MINERALS CORPORATION 106 UNION BANK OF THE PHILIPPINES, INC.
78 PACIFIC ONLINE SYSTEMS CORPORATION 107 UNIVERSAL ROBINA CORPORATION
79 PAL HOLDINGS, INC. 108 VULCAN INDUSTRIAL AND MINING CORPORATION
80 PANCAKE HOUSE, INC. 109 WATERFRONT PHILIPPINES, INC.
81 PAXYS, INC. 110 WELLEX INDUSTRIES, INC.

TABLE 16. Listed Companies that Submitted Certifications on Compliance with

Corporate Governance Manual (with deviations)

1 ABOITIZ EQUITY VENTURES, INC. 43 LIBERTY TELECOMS HOLDINGS, INC.

2 ABOITIZ POWER CORPORATION 44 LODESTAR INVESTMENT HOLDINGS CORPORATION
3 ABS-CBN BROADCASTING CORPORATION 45 MABUHAY HOLDINGS CORPORATION
4 ABS-CBN HOLDINGS, INC. 46 MACONDRAY PLASTICS, INC.
5 AGP INDUSTRIAL CORPORATION 47 MANILA BULLETIN PUBLISHING CORPORATION
6 ALSONS CONSOLIDATED RESOURCES, INC. 48 MARIWASA MANUFACTURING, INC.
7 ARIES PRIME RESOURCES, INC. 49 MEDCO HOLDINGS, INC.
8 ATOK BIG WEDGE CO., INC. 50 MEGAWORLD CORPORATION
9 ATR KIMENG FINANCIAL CORPORATION 51 METRO ALLIANCE HOLDINGS & EQUITIES CORP.
10 BACNOTAN CONSOLIDATED INDUSTRIES, INC. 52 METROPOLITAN BANK & TRUST COMPANY
11 BELLE CORPORATION 53 MIC HOLDINGS, INC.
12 BENGUET CORPORATION 54 PACIFICA, INC.
13 BENPRES HOLDINGS CORPORATION 55 PETROENERGY RESOURCES CORPORATION
14 CEBU HOLDINGS, INC. 56 PHILIPPINE BANK OF COMMUNICATIONS
15 CEBU PROPERTY VENTURES AND DEVELOPMENT CORPORATION 57 PHILIPPINE LONG DISTANCE TELEPHONE COMPANY
16 CITISECONLINE.COM, INC. 58 PHILIPPINE NATIONAL BANK
17 CITY & LAND DEVELOPERS, INCORPORATED 59 PHILIPPINE REALTY AND HOLDINGS CORPORATION
18 CITYLAND DEVELOPMENT CORPORATION 60 PHILIPPINE TELEPHONE AND TELEGRAPH CORPORATION
19 CONCRETE AGGREGATES CORPORATION 61 PHOENIX PETROLEUM PHILIPPINES, INC.
20 CROWN EQUITIES, INC. 62 PNOC ENERGY DEVELOPMENT CORPORATION
21 CYBER BAY CORPORATION 63 POLAR PROPERTY HOLDINGS CORPORATION
22 DIZON COPPER-SILVER MINES, INC. 64 PREMIERE ENTERTAINMENT PRODUCTIONS, INC.
23 DMCI HOLDINGS, INC. 65 PRIME MEDIA HOLDINGS, INC.
24 EAST ASIA POWER RESOURCES CORPORATION 66 PRIME ORION PHILIPPINES, INC.
25 EASYCALL COMMUNICATIONS PHILIPPINES, INC. 67 PRIMETOWN PROPERTY GROUP, INC.
26 EEI CORPORATION 68 REPUBLIC CEMENT CORPORATION
27 EIB REALTY DEVELOPERS, INC. 69 REPUBLIC GLASS HOLDINGS CORPORATION
28 EMPIRE EAST LAND HOLDINGS, INC. 70 SEAFRONT RESOURCES CORPORATION
29 ETELECARE GLOBAL SOLUTIONS, INC. 71 SEMIRARA MINING CORPORATION
30 FIL-ESTATE CORPORATION 72 SINOPHIL CORPORATION
31 FIL-ESTATE LAND, INC. 73 SOLID GROUP, INC.
32 FIRST ABACUS FINANCIAL HOLDINGS CORPORATION 74 SOUTH CHINA RESOURCES, INC.
33 FIRST PHILIPPINE INFRASTRUCTURE, INC. 75 SOUTHEAST ASIA CEMENT HOLDINGS, INC.
34 FORUM PACIFIC, INC. 76 SPC POWER CORPORATION
35 HOUSE OF INVESTMENTS, INC. 77 STA. LUCIA LAND (ZIPPORAH)
36 INTERNATIONAL CONTAINER TERMINAL SERVICES, INC. 78 SUNTRUST HOME DEVELOPERS, INC.
37 IPVG CORPORATION 79 TRANS-ASIA OIL AND ENERGY DEVELOPMENT CORPORATION
38 I-REMIT, INC. 80 UEM DEVELOPMENT CORPORATION
39 IVANTAGE CORPORATION 81 UNITED PARAGON MINING CORPORATION
40 JTH DAVIES HOLDINGS, INC. 82 VISTA LAND & LIFESCAPES, INC.
41 KEPPEL PHILIPPINES HOLDINGS, INC. 83 VIVANT CORPORATION
42 KEPPEL PHILIPPINES MARINE, INC. 84 ZEUS HOLDINGS, INC.
TABLE 17. Listed Companies that Did Not Submit Certifications on Compliance with
Corporate Governance Manual

1 ABRA MINING INDUSTRIAL CORPORATION 28 ORIENTAL PENINSULA RESOURCES GROUP, INC.

2 APC GROUP, INC. 29 PANASONIC MANUFACTURING PHILIPPINES CORPORATION
3 APEX MINING CO., INC. 30 PEPSI-COLA PRODUCTS PHILIPPINES, INC.
4 ASIA AMALGAMATED HOLDINGS CORPORATION 31 PHILCOMSAT HOLDINGS CORPORATION
5 ASIATRUST DEVELOPMENT BANK, INC. 32 PHILIPPINE RACING CLUB, INC.
6 ATN HOLDINGS, INC. 33 PICOP RESOURCES, INC.
7 BANCO FILIPINO SAVINGS & MORTGAGE BANK 34 PNOC EXPLORATION CORPORATION
8 BOGO-MEDELLIN MILLING COMPANY, INC. 35 PRIMEX CORPORATION
9 CADP GROUP CORPORATION 36 PRYCE CORPORATION
10 CENTRAL AZUCARERA DE TARLAC, INC. 37 ROXAS HOLDINGS, INC.
11 CHEMICAL INDUSTRIES OF THE PHILIPPINES, INC. 38 SAN MIGUEL PROPERTIES, INC.
12 FILINVEST DEVELOPMENT CORPORATION 39 SANITARY WARES MANUFACTURING CORPORATION
13 FILINVEST LAND, INC. 40 SHANG PROPERTIES, INC.
14 FILSYN CORPORATION 41 SM DEVELOPMENT CORPORATION
15 GMA HOLDINGS, INC. 42 SM PRIME HOLDINGS, INC.
16 HIGHLANDS PRIME, INC. 43 STENIEL MANUFACTURING CORPORATION
17 HOLCIM PHILIPPINES, INC. 44 SUN LIFE FINANCIAL, INC.
18 INTERPORT RESOURCES CORPORATION 45 SUPERCITY REALTY DEVELOPMENT CORPORATION
19 IONICS, INC. 46 SWIFT FOODS, INC.
20 ISLAND INFORMATION & TECHNOLOGY, INC. 47 TRANSPACIFIC BROADBAND GROUP INTERNATIONAL, INC.
21 ISM COMMUNICATIONS CORPORATION 48 UNIOIL RESOURCES & HOLDINGS COMPANY, INC.
22 LMG CHEMICALS CORP. 49 UNIVERSAL RIGHTFIELD PROPERTY HOLDINGS, INC.
23 MARSTEEL CONSOLIDATED, INC. 50 UNIWIDE HOLDINGS, INC.
24 MINERALES INDUSTRIAS CORPORATION 51 VICTORIAS MILLING COMPANY, INC.
25 MONDRAGON INTERNATIONAL PHILIPPINES, INCORPORATED 52 VITARICH CORPORATION
26 MRC ALLIED INDUSTRIES, INC. 53 WISE HOLDINGS, INC.
27 NEXTSTAGE, INC.

TABLE 18. Listed Companies with Uploaded Disclosures in their Respective Web Sites
TYPE OF DISCLOSURE
NAME OF COMPANY UNSTRUCTURED STRUCTURED CORPORATE GOVERNANCE
REPORT

1 A BROWN COMPANY, INC. X P X

2 A. SORIANO CORPORATION P P X
3 ABOITIZ EQUITY VENTURES, INC. INCOMPLETE P INCOMPLETE
4 ABOITIZ POWER CORPORATION INCOMPLETE P INCOMPLETE
5 ABOITIZ TRANSPORT SYSTEM (ATSC) CORPORATION P P X
6 ABS-CBN BROADCASTING CORPORATION INCOMPLETE INCOMPLETE X
7 ACESITE (PHILS.) HOTEL CORPORATION X INCOMPLETE X
8 ALASKA MILK CORPORATION P P P
9 ALCORN GOLD RESOURCES CORPORATION X INCOMPLETE X
10 ALLIANCE GLOBAL GROUP, INC. X INCOMPLETE X
11 ALLIED BANKING CORPORATION INCOMPLETE INCOMPLETE X
12 ANGLO PHILIPPINE HOLDINGS CORPORATION P P P
13 APC GROUP, INC. P X X
14 APEX MINING CO., INC. X P X
15 ASIA AMALGAMATED HOLDINGS CORPORATION WEB SITE GIVEN IS NOT YET REGISTERED
16 ASIAN TERMINALS, INC. INCOMPLETE INCOMPLETE X
17 ASIATRUST DEVELOPMENT BANK, INC. X INCOMPLETE X
18 ATLAS CONSOLIDATED MINING AND DEVELOPMENT CORPORATION P P P
19 ATR KIMENG FINANCIAL CORPORATION X INCOMPLETE X
20 AYALA CORPORATION P P P
21 AYALA LAND, INC. P P P
22 BANCO DE ORO-EPCI, INC. INCOMPLETE P X
23 BANK OF THE PHILIPPINE ISLANDS P P P
24 BASIC ENERGY CORPORATION P P INCOMPLETE
25 BENGUET CORPORATION P P P
26 BENPRES HOLDINGS CORPORATION INCOMPLETE P X
27 CADP GROUP CORPORATION WEB SITE IS BLOCKED
28 CEBU HOLDINGS, INCORPORATED P P P
29 CEBU PROPERTY VENTURES AND DEVELOPMENT CORPORATION P P P
30 CHINA BANKING CORPORATION INCOMPLETE INCOMPLETE X
31 CHINATRUST (PHILS.) COMMERCIAL BANK CORPORATION X INCOMPLETE X
32 CITISECONLINE.COM, INC. P P P
33 CITYSTATE SAVINGS BANK, INC. INCOMPLETE INCOMPLETE X
34 CONCRETE AGGREGATES CORPORATION P P P
35 COSMOS BOTTLING CORPORATION WEB SITE CANNOT BE ACCESSED
36 DIGITAL TELECOMMUNICATIONS PHILS., INC. X P X
37 DMCI HOLDINGS, INC. P P P
38 EEI CORPORATION X INCOMPLETE X
39 EIB REALTY DEVELOPERS, INC. INFORMATION ABOUT THE COMPANY CANNOT BE ACCESSED IN THE WEB SITE GIVEN
40 ETELECARE GLOBAL SOLUTIONS, INC P P P
41 EXPORT AND INDUSTRY BANK, INC. INCOMPLETE INCOMPLETE X 28 / 29
42 FAR EASTERN UNIVERSITY, INCORPORATED X INCOMPLETE X

(continued next page)

LEGEND: P UPLOADED X NOT UPLOADED

2007 ANNUAL REPORT

 TABLE 18 (continuation)

43 FILINVEST DEVELOPMENT CORPORATION INCOMPLETE INCOMPLETE X

44 FILINVEST LAND, INC. P P X
45 FIRST ABACUS FINANCIAL HOLDINGS CORPORATION WEB SITE CANNOT BE ACCESSED
46 FIRST GEN CORPORATION P P P
47 FIRST METRO INVESTMENT CORPORATION X INCOMPLETE INCOMPLETE
48 FIRST PHILIPPINE HOLDINGS CORPORATION P INCOMPLETE X
49 GEOGRACE RESOURCES PHILIPPINES, INC INCOMPLETE INCOMPLETE P
50 GINEBRA SAN MIGUEL, INC. X INCOMPLETE X
51 GLOBE TELECOM, INC. P P P
52 GMA HOLDINGS, INC. INCOMPLETE P INCOMPLETE
53 GMA NETWORK, INC. INCOMPLETE P INCOMPLETE
54 GRAND PLAZA HOTEL CORPORATION INFORMATION ABOUT THE COMPANY CANNOT BE ACCESSED IN THE WEB SITE GIVEN
55 HIGHLANDS PRIME, INC. P INCOMPLETE X
56 HOLCIM PHILIPPINES, INC. INCOMPLETE X X
57 HOUSE OF INVESTMENTS, INC. X INCOMPLETE X
58 I-REMIT, INC. P P P
59 INTERNATIONAL CONTAINER TERMINAL SERVICES, INC. P P P
60 INTERPHIL LABORATORIES, INC. WEB SITE CANNOT BE ACCESSED
61 IPEOPLE, INC. WEB SITE CANNOT BE ACCESSED
62 IPVG CORPORATION P P P
63 IVANTAGE CORPORATION X P X
64 JG SUMMIT HOLDINGS, INC. X P X
65 JOLLIBEE FOODS CORPORATION X P X
66 KEPPEL PHILIPPINES MARINE, INC. P INCOMPLETE P
67 KEPPEL PHILIPPINES PROPERTIES, INC. INFORMATION ABOUT THE COMPANY CANNOT BE ACCESSED IN THE WEB SITE GIVEN
68 LEPANTO CONSOLIDATED MINING COMPANY P P X
69 LIBERTY TELECOMS HOLDINGS, INC. X INCOMPLETE X
70 MABUHAY HOLDINGS CORPORATION WEB SITE CANNOT BE ACCESSED
71 MABUHAY VINYL CORPORATION X INCOMPLETE X
72 MACONDRAY PLASTICS, INC. WEB SITE CANNOT BE ACCESSED
73 MACROASIA CORPORATION P P X
74 MANILA ELECTRIC COMPANY P P P
75 MANILA MINING CORPORATION X INCOMPLETE X
76 MANILA WATER COMPANY, INC. P P P
77 MANULIFE FINANCIAL CORPORATION P P P
78 MARIWASA MANUFACTURING, INC. WEB SITE IS UNDER CONSTRUCTION
79 MEDCO HOLDINGS, INC. WEB SITE CANNOT BE ACCESSED
80 MEGAWORLD CORPORATION X INCOMPLETE X
81 METRO PACIFIC INVESTMENTS CORPORATION INCOMPLETE INCOMPLETE INCOMPLETE
82 METROPOLITAN BANK & TRUST COMPANY X INCOMPLETE X
83 MUSIC SEMICONDUCTORS CORPORATION INCOMPLETE P INCOMPLETE
84 NATIONAL REINSURANCE CORPORATION OF THE PHILIPPINES X INCOMPLETE X
85 NIHAO MINERAL RESOURCES INTERNATIONAL, INC. P P P
86 PAXYS, INC. X P X
87 PETROENERGY RESOURCES CORPORATION WEB SITE CANNOT BE ACCESSED
88 PETRON CORPORATION P P P
89 PHILEX MINING CORPORATION P P P
90 PHILIPPINE BANK OF COMMUNICATIONS X P X
91 PHILIPPINE LONG DISTANCE TELEPHONE COMPANY P P P
92 PHILIPPINE NATIONAL BANK P P X
93 PHILIPPINE NATIONAL CONSTRUCTION CORPORATION WEB SITE CANNOT BE ACCESSED
94 PHILIPPINE SAVINGS BANK P P X
95 PHILIPPINE SEVEN CORPORATION INCOMPLETE P X
96 PHILIPPINE TRUST COMPANY WEB SITE IS STILL UNDER CONSTRUCTION
97 PHILWEB CORPORATION INCOMPLETE INCOMPLETE X
98 PILIPINO TELEPHONE CORPORATION P P P
99 PICOP RESOURCES, INC. INFORMATION ABOUT THE COMPANY CANNOT BE ACCESSED IN THE WEB SITE GIVEN
100 PNOC ENERGY DEVELOPMENT CORPORATION P P P
101 PNOC EXPLORATION CORPORATION WEB SITE CANNOT BE ACCESSED
102 PRYCE CORPORATION WEB SITE CANNOT BE ACCESSED
103 RFM CORPORATION WEB SITE CANNOT BE ACCESSED
104 RIZAL COMMERCIAL BANKING CORPORATION INCOMPLETE X X
105 ROBINSONS LAND CORPORATION X P X
106 ROXAS HOLDINGS, INC. WEB SITE CANNOT BE ACCESSED
107 SAN MIGUEL CORPORATION X P X
108 SAN MIGUEL PURE FOODS COMPANY, INC. WEB SITE CANNOT BE ACCESSED
109 SECURITY BANK CORPORATION P INCOMPLETE X
110 SEMIRARA MINING CORPORATION P P P
111 SM DEVELOPMENT CORPORATION X INCOMPLETE X
112 SM INVESTMENTS CORPORATION INCOMPLETE INCOMPLETE X
113 SM PRIME HOLDINGS, INC. INCOMPLETE INCOMPLETE X
114 SOUTHEAST ASIA CEMENT HOLDINGS, INC. INFORMATION ABOUT THE COMPANY CANNOT BE ACCESSED IN THE WEB SITE GIVEN
115 SPLASH CORPORATION INCOMPLETE P X
116 STENIEL MANUFACTURING CORPORATION INFORMATION ABOUT THE COMPANY CANNOT BE ACCESSED IN THE WEB SITE GIVEN
117 SUN LIFE FINANCIAL INC. INCOMPLETE P X
118 SUPERCITY REALTY DEVELOPMENT CORPORATION X P X
119 THE PHILIPPINE STOCK EXCHANGE, INC. P P P
120 THE PHILODRILL CORPORATION P P P
121 TKC STEEL CORPORATION X P X
122 TRANS-ASIA OIL AND ENERGY DEVELOPMENT CORPORATION P INCOMPLETE P
123 UNION BANK OF THE PHILIPPINES, INC. INCOMPLETE INCOMPLETE X
124 UNIVERSAL ROBINA CORPORATION P P X
125 UNIWIDE HOLDINGS, INC. WEB SITE GIVEN IS NOT YET REGISTERED
126 VISTA LAND & LIFESCAPES, INC. P P P
127 WATERFRONT PHILIPPINES, INCORPORATED X INCOMPLETE X

LEGEND: P UPLOADED X NOT UPLOADED

TABLE 19. Listed Companies with No Reports of Disclosures in their Respective Web Sites

1 AJO.NET HOLDINGS, INC. 22 IONICS, INC.

2 ALLIANCE TUNA INTERNATIONAL, INC. 23 LMG CHEMICALS CORP.
3 ALSONS CONSOLIDATED RESOURCES, INC. 24 LORENZO SHIPPING CORPORATION
4 ANCHOR LAND HOLDINGS, INC. 25 MAKATI FINANCE CORPORATION
5 ARANETA PROPERTIES, INC. 26 MANILA BROADCASTING COMPANY
6 BANCO FILIPINO SAVINGS & MORTGAGE BANK 27 MANILA BULLETIN PUBLISHING CORPORATION
7 BANKARD, INC. 28 MANILA JOCKEY CLUB, INC.
8 BELLE CORPORATION 29 PANASONIC MANUFACTURING PHILIPPINES CORPORATION
9 BOULEVARD HOLDINGS, INC. 30 PANCAKE HOUSE, INC.
10 CENTRO ESCOLAR UNIVERSITY 31 PHILIPPINE ESTATES CORPORATION
11 CHEMICAL INDUSTRIES OF THE PHILIPPINES, INC. 32 PHILIPPINE RACING CLUB, INC.
12 CHEMREZ TECHNOLOGIES, INC. 33 PHILIPPINE TELEGRAPH AND TELEPHONE CORPORATION
13 CITY & LAND DEVELOPERS, INCORPORATED 34 PHOENIX PETROLEUM PHILIPPINES, INC.
14 CITYLAND DEVELOPMENT CORPORATION 35 SAN MIGUEL PROPERTIES, INC.
15 DIVERSIFIED FINANCIAL NETWORK, INC. 36 SHANG PROPERTIES, INC.
16 EASYCALL COMMUNICATIONS PHILIPPINES, INC. 37 SOLID GROUP, INC.
17 EMPIRE EAST LAND HOLDINGS, INC. 38 TANDUAY HOLDINGS, INC.
18 ETON PROPERTIES PHILIPPINES, INC. (“ETON”) 39 TRANSPACIFIC BROADBAND GROUP INT’L. INC.
19 EURO-MED LABORATORIES PHIL., INC. 40 VICTORIAS MILLING COMPANY, INC.
20 FEDERAL RESOURCES INVESTMENT GROUP, INC. 41 VITARICH CORPORATION
21 FIL-ESTATE CORPORATION

TABLE 20. Listed Companies with Web Sites

NAME OF COMPANY URL

1 A BROWN COMPANY, INC. http://www.xavierestates.com.ph

2 A. SORIANO CORPORATION http://www.anscor.com.ph
3 ABOITIZ EQUITY VENTURES, INC. http://www.aboitiz.com
4 ABOITIZ POWER CORPORATION http://www.aboitizpower.com
5 ABOITIZ TRANSPORT SYSTEM (ATSC) CORPORATION http://www.atsc.com.ph
6 ABS-CBN BROADCASTING CORPORATION http://www.abs-cbn.com
7 ACESITE (PHILS.) HOTEL CORPORATION http://www.manilapavilion.com.ph
8 AJO.NET HOLDINGS, INC. http://www.ajonet.com
9 ALASKA MILK CORPORATION http://www.alaskamilk.com.ph
10 ALCORN GOLD RESOURCES CORPORATION http://alcorngold.tripod.com
11 ALLIANCE GLOBAL GROUP, INC. http://www.allianceglobalinc.com
12 ALLIANCE TUNA INTERNATIONAL, INC. http://www.alliancetuna.com.ph
13 ALLIED BANKING CORPORATION http://www.alliedbank.com.ph
14 ALSONS CONSOLIDATED RESOURCES, INC. http://www.alcantaragroup.com
15 ANCHOR LAND HOLDINGS, INC. http://www.anchorlandholdings.com
16 ANGLO PHILIPPINE HOLDINGS CORPORATION http://www.anglophil.com
17 APC GROUP, INC. http://www.apcaragorn.com
18 APEX MINING CO., INC. http://www.apexmining.com
19 ARANETA PROPERTIES, INC. http://www.araneta center.net
20 ASIA AMALGAMATED HOLDINGS CORPORATION http://www.uni-wide.com.ph
21 ASIAN TERMINALS, INC. http://www.asianterminals.com.ph
22 ASIATRUST DEVELOPMENT BANK, INC. http://www.asiatrustbank.com
23 ATLAS CONSOLIDATED MINING AND DEVELOPMENT CORPORATION http://www.atlasphilippines.com
24 ATR KIMENG FINANCIAL CORPORATION http://www.atrkimengfinancial.com
25 AYALA CORPORATION http://www.ayala.com.ph
26 AYALA LAND, INC. http://www.ayalaland.com.ph
27 BANCO DE ORO-EPCI, INC. http://www.bdo.com.ph
28 BANCO FILIPINO SAVINGS & MORTGAGE BANK http://www.bancofilipino.com
29 BANK OF THE PHILIPPINE ISLANDS http://www.bpi.com.ph
30 BANKARD, INC. http://www.bankard.com
31 BASIC ENERGY CORPORATION http://www.basicenergy.com.ph
32 BELLE CORPORATION http://www.bellecorp.com
33 BENGUET CORPORATION http://www.benguetcorp.com
34 BENPRES HOLDINGS CORPORATION http://www.benpres-holdings.com
35 BOULEVARD HOLDINGS, INC. http://www.boulevardholdings.com
36 CADP GROUP CORPORATION http://www.cadp.com.ph
37 CEBU HOLDINGS, INCORPORATED http://www.cebuholdings.com.ph
38 CEBU PROPERTY VENTURES AND DEVELOPMENT CORPORATION http://www.cebuholdings.com.ph
39 CENTRO ESCOLAR UNIVERSITY http://www.ceu.edu.ph
40 CHEMICAL INDUSTRIES OF THE PHILIPPINES, INC. http://www.chemphil.com.ph
41 CHEMREZ TECHNOLOGIES, INC. http://www.chemrez.com /www.dnl.com.ph mother comp
42 CHINA BANKING CORPORATION http://www.chinabank.ph
43 CHINATRUST (PHILS.) COMMERCIAL BANK CORPORATION http://www.chinatrust.com.ph
44 CITISECONLINE.COM, INC. http://www.citiseconline.com
45 CITY & LAND DEVELOPERS, INCORPORATED http://www.cityland.net
46 CITYLAND DEVELOPMENT CORPORATION http://www.cityland.net
47 CITYSTATE SAVINGS BANK, INC. http://www.citystatesavings.com
48 CONCRETE AGGREGATES CORPORATION http://www.cac.com.ph
49 COSMOS BOTTLING CORPORATION http://www.ccbpi.com 30 / 31
50 DIGITAL TELECOMMUNICATIONS PHILS., INC. http://www.digitelone.com

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2007 ANNUAL REPORT

 TABLE 20 (continuation)

51 DIVERSIFIED FINANCIAL NETWORK, INC. http://www.dfnn.com

52 DMCI HOLDINGS, INC. http://www.dmciholdings.com
53 EASYCALL COMMUNICATIONS PHILIPPINES, INC. http://www.easycall.com.ph
54 EEI CORPORATION http://www.eei.com.ph
55 EIB REALTY DEVELOPERS, INC. http://www.expor tbank.com.ph
56 EMPIRE EAST LAND HOLDINGS, INC. http://www.empire-east.com
57 ETELECARE GLOBAL SOLUTIONS, INC http://www.etelecare.com
58 ETON PROPERTIES PHILIPPINES, INC.(“ETON”) http://www.eton.com.ph
59 EURO-MED LABORATORIES PHIL., INC. http://www.euromedlab.com
60 EXPORT AND INDUSTRY BANK, INC. http://expor tbank.com.ph
61 FAR EASTERN UNIVERSITY, INCORPORATED http://www.feu.edu.ph
62 FEDERAL RESOURCES INVESTMENT GROUP, INC. http://www.federalchemicals.com.ph
63 FIL-ESTATE CORPORATION http://www.fil-estate.net.ph
64 FILINVEST DEVELOPMENT CORPORATION http://www.filinvestgroup.com
65 FILINVEST LAND, INC. http://www.filinvestland.com
66 FIRST ABACUS FINANCIAL HOLDINGS CORPORATION http://www.abacus-sec.com
67 FIRST GEN CORPORATION http://www.firstgen.com.ph
68 FIRST METRO INVESTMENT CORPORATION http://www.firstmetro.com.p
69 FIRST PHILIPPINE HOLDINGS CORPORATION http://www.fphc.com
70 GEOGRACE RESOURCES PHILIPPINES, INC http://www.geograce.com
71 GINEBRA SAN MIGUEL, INC. http://www.sanmiguel.com
72 GLOBE TELECOM, INC. http://www.globe.com.ph
73 GMA HOLDINGS, INC. http://www.gmanetwork.com
74 GMA NETWORK, INC. http://www.gmanetwork.com
75 GRAND PLAZA HOTEL CORPORATION http://www.heritagehotelmanila.com
76 HIGHLANDS PRIME, INC. http://www.highlandsprime.com
77 HOLCIM PHILIPPINES, INC. http://www.holcim.com.ph
78 HOUSE OF INVESTMENTS, INC. http://www.hoi.com.ph
79 I-REMIT, INC. http://www.myiremit.com
80 INTERNATIONAL CONTAINER TERMINAL SERVICES, INC. http://www.ictsi.com
81 INTERPHIL LABORATORIES, INC. http://www.interphil_lab.com
82 IONICS, INC. http://www.ionics-ems.com
83 IPEOPLE, INC. http://www.ipeople.com.ph
84 IPVG CORPORATION http://www.ipvg.com
85 IVANTAGE CORPORATION http://www.ivantage.ph
86 JG SUMMIT HOLDINGS, INC. http://www.jgsummit.com.ph
87 JOLLIBEE FOODS CORPORATION http://www.jollibee.com.ph
88 KEPPEL PHILIPPINES MARINE, INC. http://www.keppelphilippinesmarineinc.com
89 KEPPEL PHILIPPINES PROPERTIES, INC. http://www.keppelland.com.sg
90 LEPANTO CONSOLIDATED MINING COMPANY http://www.lepantomining.com
91 LIBERTY TELECOMS HOLDINGS, INC. http://www.liber tytelecoms.com
92 LMG CHEMICALS CORP. http://www.chemphil.com.ph
93 LORENZO SHIPPING CORPORATION http://www.lorenzoshipping.com
94 MABUHAY HOLDINGS CORPORATION http://www.mubuhayholdingscorp.com
95 MABUHAY VINYL CORPORATION http://www.mvc.com.ph
96 MACONDRAY PLASTICS, INC. http://www.macplas.com.ph
97 MACROASIA CORPORATION http://www.macroasiacorp.com
98 MAKATI FINANCE CORPORATION http://www.makatifinance.com.ph
99 MANILA BROADCASTING COMPANY http://www.mbcradio.net
100 MANILA BULLETIN PUBLISHING CORPORATION http://www.mb.com.ph
101 MANILA ELECTRIC COMPANY http://www.meralco.com.ph
102 MANILA JOCKEY CLUB, INC. http://www.manilajockey.com
103 MANILA MINING CORPORATION http://www.manilamining.com
104 MANILA WATER COMPANY, INC. http://www.manilawater.com
105 MANULIFE FINANCIAL CORPORATION http://www.manulife.com
106 MARIWASA MANUFACTURING, INC. http://www.mariwasa.com
107 MEDCO HOLDINGS, INC. http://www.medco.com.ph
108 MEGAWORLD CORPORATION http://www.megaworldcorp.com
109 METRO PACIFIC INVESTMENTS CORPORATION http://www.metropacific.com
110 METROPOLITAN BANK & TRUST COMPANY http://www.metrobank.com.ph
111 MUSIC SEMICONDUCTORS CORPORATION http://www.musicsemicorp.com
112 NATIONAL REINSURANCE CORPORATION OF THE PHILIPPINES http://www.nrcp.com.ph
113 NIHAO MINERAL RESOURCES INTERNATIONAL, INC. http://www.nihaometals.com
114 PANASONIC MANUFACTURING PHILIPPINES CORPORATION http://www.panasonic.com.ph
115 PANCAKE HOUSE, INC. http://www.pancakehouse.com.ph
116 PAXYS, INC. http://www.paxys.com
117 PETROENERGY RESOURCES CORPORATION http://www.petroenergy.com.ph.com
118 PETRON CORPORATION http://www.petron.com
119 PHILEX MINING CORPORATION http://www.philexmining.com.ph
120 PHILIPPINE BANK OF COMMUNICATIONS http://www.pbcom.com.ph
121 PHILIPPINE ESTATES CORPORATION http://www.phes.net
122 PHILIPPINE LONG DISTANCE TELEPHONE COMPANY http://www.pldt.com.ph
123 PHILIPPINE NATIONAL BANK http://www.pnb.com.ph
124 PHILIPPINE NATIONAL CONSTRUCTION CORPORATION http://www.pnccweb.net
125 PHILIPPINE RACING CLUB, INC. http://www.santa-ana-park
126 PHILIPPINE SAVINGS BANK http://www.psbank.com.ph
127 PHILIPPINE SEVEN CORPORATION http://www.7-eleven.com.ph
128 PHILIPPINE TELEGRAPH AND TELEPHONE CORPORATION http://www.ptt.com.ph
129 PHILIPPINE TRUST COMPANY http://www.philtrust.com
130 PHILWEB CORPORATION http://www.philwebinc.com
131 PHOENIX PETROLEUM PHILIPPINES, INC. http://www.phoenixfuelslife.com
132 PICOP RESOURCES, INC. http://www.srmo-law.com
133 PILIPINO TELEPHONE CORPORATION http://www.piltel.com.ph
134 PNOC ENERGY DEVELOPMENT CORPORATION http://www.energy.com.ph

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TABLE 20 (continuation)

135 PNOC EXPLORATION CORPORATION http://pnoc-ec.com.ph

136 PRYCE CORPORATION http://www.philgardens.com
137 RFM CORPORATION http://www.rfm.com.ph
138 RIZAL COMMERCIAL BANKING CORPORATION http://www.rcbc.com
139 ROBINSONS LAND CORPORATION http://www.robinsonsland.com
140 ROXAS HOLDINGS, INC. http://www.cadp.com.ph
141 SAN MIGUEL CORPORATION http://www.sanmiguel.com.ph
142 SAN MIGUEL PROPERTIES, INC. http://www.smppi.com.ph
143 SAN MIGUEL PURE FOODS COMPANY, INC. http://www.sanmiguelpurefoods.com
144 SECURITY BANK CORPORATION http://www.securitybank.com.ph
145 SEMIRARA MINING CORPORATION http://www.semiraramining.com
146 SHANG PROPERTIES, INC. http://www.edsa-proper ties.com
147 SM DEVELOPMENT CORPORATION http://www.smdeveloment.com
148 SM INVESTMENTS CORPORATION http://www.sminvestments.com
149 SM PRIME HOLDINGS, INC. http://www.smprime.com
150 SOLID GROUP, INC. http://www.sen.com.ph
151 SOUTHEAST ASIA CEMENT HOLDINGS, INC. http://www.lafarge.com
152 SPLASH CORPORATION http:www.splash.com.ph
153 STENIEL MANUFACTURING CORPORATION http://www.steniel.com
154 SUN LIFE FINANCIAL INC. http://www.sunlife.com.ph
155 SUPERCITY REALTY DEVELOPMENT CORPORATION http://www.supercity.com.ph
156 TANDUAY HOLDINGS, INC. http://www.tanduay.com
157 THE PHILIPPINE STOCK EXCHANGE, INC. http://www.pse.com.ph
158 THE PHILODRILL CORPORATION http://www.philodrill.com
159 TKC STEEL CORPORATION http://www.tkcsteel.com
160 TRANS-ASIA OIL AND ENERGY DEVELOPMENT CORPORATION http://www.trans-asia-energy.com
161 TRANSPACIFIC BROADBAND GROUP INT`L. INC. http://www.tbgi.net.ph
162 UNION BANK OF THE PHILIPPINES, INC. http://www.unionbankph.com
163 UNIVERSAL ROBINA CORPORATION http://www.urc.com.ph
164 UNIWIDE HOLDINGS, INC. http://www.uni-wide.com
165 VICTORIAS MILLING COMPANY, INC. http://www.victoriasmilling.com
166 VISTA LAND & LIFESCAPES, INC. http://www.vistaland.com.ph
167 VITARICH CORPORATION http://www.vitarich.com
168 WATERFRONT PHILIPPINES, INCORPORATED http://www.waterfronthotels.net

TOTAL 168
*AS PRESENTED IN THE TEMPLATE, 168 LISTED COMPANIES CLAIMED THEY HAVE WEB SITES, BUT ONLY 149 OF THEM ARE WORKING OR WERE ACTIVE AT
THE TIME OF VERIFICATION, AS SHOWN IN TABLE 18

TABLE 21. Listed Companies without Web Sites

1 ABACUS CONSOLIDATED RESOURCES AND HOLDINGS, INC. 43 OMICO CORPORATION

2 ABRA MINING AND INDUSTRIAL CORPORATION 44 ORIENTAL PENINSULA RESOURCES GROUP, INC.
3 ABS-CBN HOLDINGS CORPORATION 45 ORIENTAL PETROLEUM AND MINERALS CORPORATION
4 ACTIVE ALLIANCE, INCORPORATED 46 PACIFIC ONLINE SYSTEMS CORPORATION
5 AGP INDUSTRIAL CORPORATION 47 PACIFICA, INC.
6 ARIES PRIME RESOURCES, INC. 48 PAL HOLDINGS, INC.
7 ATN HOLDINGS, INC. 49 PCI LEASING AND FINANCE, INC.
8 ATOK-BIG WEDGE CO., INC. 50 PEPSI-COLA PRODUCTS PHILIPPINES, INC.
9 BACNOTAN CONSOLIDATED INDUSTRIES, INC. 51 PHILCOMSAT HOLDINGS CORPORATION
10 BHI HOLDINGS, INC. 52 PHILIPPINE REALTY AND HOLDINGS CORPORATION
11 BOGO-MEDELLIN MILLING COMPANY, INC. 53 PHILIPPINE TOBACCO FLUE-CURING & REDRYING CORPORATION
12 CENTRAL AZUCARERA DE TARLAC, INC. 54 POLAR PROPERTY HOLDINGS CORPORATION
13 CROWN EQUITIES, INC. 55 PREMIERE ENTERTAINMENT PRODUCTIONS, INC.
14 CYBER BAY CORPORATION 56 PRIME GAMING PHILIPPINES, INC.
15 DIZON COPPER-SILVER MINES, INC. 57 PRIME MEDIA HOLDINGS, INC.
16 EAST ASIA POWER RESOURCES CORPORATION 58 PRIME ORION PHILIPPINES, INC.
17 EVER-GOTESCO RESOURCES AND HOLDINGS, INC. 59 PRIMETOWN PROPERTY GROUP, INC.
18 F & J PRINCE HOLDINGS CORPORATION 60 PRIMEX CORPORATION
19 FIL-ESTATE LAND, INC. 61 REPUBLIC CEMENT CORPORATION
20 FILIPINO FUND, INC. 62 REPUBLIC GLASS HOLDINGS CORPORATION
21 FILSYN CORPORATION 63 SANITARY WARES MANUFACTURING CORPORATION
22 FIRST PHILIPPINE INFRASTRUCTURE, INC. 64 SEAFRONT RESOURCES CORPORATION
23 FORUM PACIFIC, INC. 65 SINOPHIL CORPORATION
24 GOTESCO LAND, INC. 66 SOUTH CHINA RESOURCES, INC.
25 IMPERIAL RESOURCES, INC. 67 SPC POWER CORPORATION
26 INFORMATION CAPITAL TECHNOLOGY VENTURES, INC. 68 STA. LUCIA LAND, INC.
27 INTERPORT RESOURCES CORPORATION 69 SUNTRUST HOME DEVELOPERS, INC.
28 ISLAND INFORMATION & TECHNOLOGY, INC. 70 SWIFT FOODS, INC.
29 ISM COMMUNICATIONS CORPORATION 71 UEM DEVELOPMENT PHILS., INC.
30 JOLLIVILLE HOLDINGS CORPORATION 72 UNIOIL RESOURCES & HOLDINGS COMPANY, INC.
31 JTH DAVIES HOLDINGS, INC. 73 UNITED PARAGON MINING CORPORATION
32 KEPPEL PHILIPPINES HOLDINGS, INC. 74 UNIVERSAL RIGHTFIELD PROPERTY HOLDINGS, INC.
33 LEISURE & RESORTS WORLD CORPORATION 75 VIVANT CORPORATION
34 LIBERTY FLOUR MILLS, INC. 76 VULCAN INDUSTRIAL & MINING CORPORATION
35 LODESTAR INVESTMENT HOLDINGS CORPORATION 77 WELLEX INDUSTRIES, INCORPORATED
36 MARSTEEL CONSOLIDATED, INC. 78 WISE HOLDINGS, INC.
32 / 33
37 METRO ALLIANCE HOLDINGS & EQUITIES CORP. 79 ZEUS HOLDINGS, INC.
38 MIC HOLDINGS CORPORATION
39 MINERALES INDUSTRIAS CORPORATION TOTAL 79
40 MONDRAGON INTERNATIONAL PHILIPPINES, INCORPORATED
41 MRC ALLIED INDUSTRIES, INC. *TABLES 18 TO 21 ARE CURRENT AS OF 07 MARCH 2008
42 NEXTSTAGE, INC.

2007 ANNUAL REPORT

BOARD OF
DIRECTORS

JUSTICE JOSE C. VITUG FRANCISCO ED. LIM

Chairman President & CEO

ALEJANDRO T. YU WILLIAM L. ANG ROBERTO A. ATENDIDO

Director & Treasurer Director Director

ANABELLE L. CHUA DAVID O. CHUA ROBERT COYIUTO, JR.

Director Director Director
EDDIE T. GOBING AMOR C. ILISCUPIDEZ JOSE LUIS S. JAVIER
Director Director Director

CORNELIO T. PERALTA EUSEBIO TANCO OMELITA J. TIANGCO

Director Director Director

34 / 35
MA. VIVIAN YUCHENGCO ATTY. AISSA V. ENCARNACION
Director Corporate Secretary *

* Not member of the Board of Directors

2007 ANNUAL REPORT
EXECUTIVE OFFICERS
FRANCISCO ED. LIM
President and Chief Executive Officer
JONATHAN JUAN DC. MORENO
Vice President & Head,
Corporate Governance Office
ENRICO M. TRINIDAD
Vice President & Head,
Corporate Services Division
* Separated February 29, 2008
** Separated March 17, 2008
ROY JOSEPH M. RAFOLS ANGEL S. AVERIA * MELCHOR C. GUERRERO **
Senior Vice President & Vice President & Vice President & Head,
Chief Operating Officer & Chief Technology Officer Capital Markets Development Division
Concurrent Head,
Issuer Regulation Division
ROEL A. REFRAN JOSEPH P. SAN PEDRO MARIETTA U. TAN
Vice President & General Counsel Vice President & Head, Vice President & Head,
Market Regulation Division Finance and Investments Division
MARSHA MATILDE R. PEPINO
Assistant Vice President &
Risk Management & Internal Audit
Officer, Corporate Governance Office
DEPARTMENT & SECTION HEADS / OFFICERS-IN-CHARGE

STANDING FROM LEFT: EDWIN G. OLIVEROS, Head, Surveillance Department; ELIZA S. RODRIGUEZ, Head, Accounting Department; JOSE ANTONIO S. VILAR, Assistant Head, Marketing Services
Department; LEONARDO G. QUINITIO, Head, Market Education Department; JINKY A. ALORA, Head, Trading Participants Regulation Department; ELISA L. BENAVIDEZ, Head, Budget & Treasury Department;
and JO ANN G. BAUTISTA, Assistant Head, Business Development Department
SEATED FROM LEFT: MARSHA M. RESURRECCION, OIC, Listings Department; PEDRO M. MALABANAN, Head, Disclosure Department; and PRECILLA S. SANDOVAL, Head, Market Data Business Department

STANDING FROM LEFT: JOHN BENETTE B. MAMAÑGUN, Head, Corporate Planning & Research Section; MARVIN M. REFUERZO, Section Head, Trading Applications; TRISTAN G. GILLEGO, 36 / 37
Network Administrator; ARIEL R. LAMPANO, Head, Computer Operations Department; CARLOS C. LUARTE, Unit Head, Data Center Operations; and ALFREDO Y. DARIA, Database Administrator
SEATED FROM LEFT: RACHELLE C. BLANCH, Head, Applications Development Department; JUNAME C. DE LEON, Head, Prosecution & Enforcement Department; ALFREDO S. JINGCO, Head,
Human Resources Management Section; and CECILLE E. OGABANG, Head, Risk Management Section

2007 ANNUAL REPORT

Securities Clearing Corporation of the Philippines

BOARD OF DIRECTORS AND OFFICERS

JUSTICE JOSE C. VITUG FRANCISCO ED. LIM

Chairman President and CEO

ALEJANDRO T. YU WILLIAM L. ANG ROBERTO A. ATENDIDO EMMANUEL O. BAUTISTA

Director & Treasurer Director Director Director

ANABELLE L. CHUA EDDIE T. GOBING JOSE LUIS S. JAVIER CORNELIO T. PERALTA

Director Director Director Director

JOHNNY S. YAP RENEE D. RUBIO ATTY. AISSA V. ENCARNACION

Director Chief Operating Officer Corporate Secretary
INFORMATION REQUIRED
BY THE SECURITIES REGULATION CODE
General Nature and Scope
of Business of Registrant
and its Subsidiary
The Philippine Stock Exchange, Inc. was
incorporated on July 14, 1992 as a non-stock
corporation. The Company became a stock
corporation on August 3, 2001. On December
15, 2003, pursuant to the demutualization
mandate of Republic Act No. 8799, or the
Securities Regulation Code, the Company’s
outstanding capital stock was listed by way
of introduction. On February 18, 2004, the
Company sold 6,077,505 shares from its
unissued stock to five strategic investors by
way of private placement that was approved
by the Securities and Exchange Commission.
The strategic investors were the PLDT
Beneficial Trust Fund, SMC Retirement Fund,
Government Service Insurance System,
Kim Eng Investment Ltd., and KE Strategic
Pte. Ltd.
The Company’s revenues are primarily
derived from listing-related fees. The
Company charges listing fees for initial and
additional listings, and for annual listing
maintenance. Other sources of revenues
are membership, transaction, data feed, and
miscellaneous fees, which include service fees.
Membership and transaction fees are charged
to trading participants while data feed fees
are collected from data vendors.
Subsidiary and Affiliate
The Securities Clearing Corporation of
the Philippines (SCCP) is a wholly-owned
PSE subsidiary organized primarily as
a clearance and settlement agency for
SCCP-eligible trades executed through the
facilities of the PSE. SCCP is responsible
for (a) synchronizing the settlement of
funds for transactions of clearing members
and the transfer of securities through
Delivery versus Payment (DVP) mode of
settlement; (b) the administration of the
Clearing and Trade Guaranty Fund (CTGF)
and guaranteeing the settlement of trades
through the implementation of its Fails
Management System in the event of a Trading
Participant’s default; and (c) performance of
Risk Management and Monitoring to ensure
final and irrevocable settlement.
The Company also is a shareholder of
the Philippine Dealing System Holdings
Corporation (“PDSHC”), the holding
company of the Philippine Dealing & Exchange
Corporation (“PDEX”), otherwise known
as the Fixed Income Exchange (“FIE”); the
Philippine Depository & Trust Corp. (“PDTC”)
and the Philippine Securities Settlement
Corporation (“PSSC”).
Properties PSE Centre in Ortigas
The Company is the registered owner of
offices at the PSE Centre in Ortigas Center,
Pasig City, and the PSE Plaza along Ayala
Avenue, Makati City.
In addition, over a seven-year period beginning
January 2005, the outstanding shares of
Crescent West Development Corporation
(“CWDC”), a subsidiary of Fort Bonifacio
Development Corporation (“FBDC”) and
the registered owner of a 2,182-square-
meter lot in the Bonifacio Global City, will be
transferred to the Company. In June of 2007,
the donation of all remaining CWDC shares
was deferred pending negotiations among the
Company, FBDC and Ayala Land, Inc. for the
joint development of an iconic office building
in Bonifacio Global City for the relocation
of the Company’s headquarters, majority of PSE Plaza in Ayala
management offices and unified trading
operations in equities securities for the
National Capital Region.
MARKET INFORMATION
Principal market where the
registrant’s common equity
is traded
The common stock of the Company is
listed in The Philippine Stock Exchange, Inc.
38 / 39
2007 ANNUAL REPORT
Stock Prices The high and low prices of the Company’s Dividend Policy
The high and low prices of the Company’s shares in January-February 2008 are The Company adopts a policy for the
shares in the stock exchange for each Php1,030.00 and Php750.00, respectively. declaration of regular cash dividend
quar ter of fiscal years 2007 and 2006 are The stock price of the Company closed at from out of the unrestricted retained
as follows: Php780.00 on 04 March 2008. earnings equivalent to 50 percent of
the Company’s audited net income and
2007 High Low Holders depending on the cash flow and
Q1 Php1,005.00 Php285.00 The number of shareholders of record as of financial condition of the Company.
Q2 Php880.00 Php530.00 3 April 2008 is 154. Total shares outstanding
Q3 Php860.00 Php690.00 as of 10 March 2008 were 15,277,512 shares Recent Sale of
Q4 Php1,390.00 Php760.00 with a par value of Php1.00. Unregistered Securities
The Company did not sell unregistered
2006 High Low Dividends or exempt securities and it did not issue
Q1 Php170.00 Php126.00 securities constituting exempt transactions
Q2 Php215.00 Php170.00 in the last three years.
Dividends Per Share
Q3 Php330.00 Php210.00
Php5.76 in 2006
Q4 Php357.50 Php232.00
Php8.80 in 2007
Php20.00 in 2008
The Philippine Stock Exchange, Inc. and Subsidiary

FINANCIAL STATEMENTS
December 31, 2007 and 2006

and Years Ended December 31, 2007, 2006 and 2005 and

INDEPENDENT AUDITORS’ REPORT

40 / 41

2007 ANNUAL REPORT

STATEMENT OF MANAGEMENT’S RESPONSIBILITY
FOR FINANCIAL STATEMENTS

The management of The Philippine Stock Exchange, Inc. is responsible for all information and representations contained in the balance sheets of
The Philippine Stock Exchange, Inc. and its Subsidiary (the Group) and of the Philippine Stock Exchange, Inc. (the Parent Company) as of December 31,
2007 and 2006, and the related statements of income, changes in stockholders’ equity and cash flows in the 3-year period ended December 31, 2007.
The financial statements have been prepared in conformity with generally accepted accounting principles in the Philippines and reflect amounts that
are based on the best estimates and informed judgment of management with an appropriate consideration to materiality.

In this regard, management maintains a system of accounting and reporting which provides for the necessary internal controls to ensure that
transactions are properly authorized and recorded, assets are safeguarded against unauthorized use or disposition, and liabilities are recognized.
The current management likewise discloses to the Audit committee of The Philippine Stock Exchange, Inc.’s and to its external auditor: (i) all significant
deficiencies in the design or operation of internal controls that could adversely affect its ability to record, process, and report financial data; (ii) material
weaknesses in the internal controls; and (iii) any fraud that involves management or other employees who exercise significant roles in internal controls.

The Board of Directors reviews the financial statements before such statements are approved and submitted to the stockholders of the Philippine
Stock Exchange, Inc.

SyCip, Gorres, Velayo & Co., the independent auditors appointed by the stockholders, have audited the financial statements of the Exchange in
accordance with generally accepted auditing standards and have expressed their opinion on the fairness of presentation upon completion of such
examination, in its report to the Board of Directors and stockholders.

JOSE C.VITUG FRANCISCO ED. LIM MARIETTA U. TAN

Chairman President & CEO Vice President
Finance & Investments Division

REPUBLIC OF THE PHILIPPINES}

CITY OF QUEZON}

SUBSCRIBED AND SWORN to before me this day of April 2, 2008 at Quezon City affiant exhibiting before me their respective
Community Tax Certificates:

Name Community Tax Certificate Place/Date of Issue

JOSE C. VITUG 24144615 Quezon City/11 March 2008
FRANCISCO ED. LIM 11900175 Mandaluyong City/21 January 2008
MARIETTA U. TAN 19664036 Pasig City/5 February 2008

Doc. No. 140

Page No. 28
Book No. XLIX
Series of 2008.

ATTY. DELFIN R. AGCAOILI JR.

Notary Public
Roll No. 24655
IBP No. 726005 01/02/08 QC
Ptr No. 9644311 01/02/08 QC
Commision No. 532(2007-2008)
Tin No. 144-519-066
INDEPENDENT AUDITORS’ RE PORT

SGV & CO SyCip Gorres Velayo & Co.

6760 Ayala Avenue
Phone: (632) 8910307
Fax:
891-
(632) 8190872
819-
1226 Makati City www.sgv.com.ph
Philippines
BOA/PRC Reg. No. 0001
SEC Accreditation No. 0012 -FR -1

The Stockholders and the Board of Directors

The Philippine Stock Exchange, Inc.
Philippine Stock Exchange Centre
Exchange Road, Ortigas Center, Pasig City

We have audited the accompanying financial statements of The Philippine Stock Exchange, Inc. and Subsidiary (the Group) and of The Philippine
Stock Exchange, Inc. (the Parent Company), which comprise the consolidated and the parent company balance sheets as at December 31, 2007 and
2006, and the consolidated and the parent company statements of income, the consolidated and the parent company statements of changes in equity
and the consolidated and the parent company statements of cash flows for each of the three years in the period ended December 31, 2007, and a
summary of significant accounting policies and other explanatory notes.

Management’s Responsibility for the Financial Statements

Management is responsible for the preparation and fair presentation of these financial statements in accordance with Philippine Financial Reporting
Standards. This responsibility includes: designing, implementing and maintaining internal control relevant to the preparation and fair presentation of
financial statements that are free from material misstatement, whether due to fraud or error; selecting and applying appropriate accounting policies;
and making accounting estimates that are reasonable in the circumstances.

Auditors’ Responsibility
Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with Philippine
Standards on Auditing. Those standards require that we comply with ethical requirements and plan and perform the audit to obtain reasonable
assurance whether the financial statements are free from material misstatement.

An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in the financial statements. The procedures
selected depend on the auditor’s judgment, including the assessment of the risks of material misstatement of the financial statements, whether due
to fraud or error. In making those risk assessments, the auditor considers internal control relevant to the entity’s preparation and fair presentation
of the financial statements in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an
opinion on the effectiveness of the entity’s internal control. An audit also includes evaluating the appropriateness of accounting policies used and the
reasonableness of accounting estimates made by management, as well as evaluating the overall presentation of the financial statements.

We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion.

Opinion
In our opinion, the financial statements present fairly, in all material respects, the financial position of the Group and of the Parent Company as of
December 31, 2007 and 2006, and their financial performance and their cash flows for each of the three years in the period ended December 31,
2007 in accordance with Philippine Financial Reporting Standards.

SYCIP GORRES VELAYO & CO.

Ramon D. Dizon
Partner
CPA Certificate No. 46047
SEC Accreditation No. 0077-AR-1
42 / 43
Tax Identification No. 102-085-577
PTR No. 0017592, January 3, 2008, Makati City

March 12, 2008

2007 ANNUAL REPORT

The Philippine Stock Exchange, Inc. and Subsidiary

BALANCE SHEETS

Consolidated Parent Company

December 31
2007 2006 2007 2006
ASSETS
Current Assets
Cash and cash equivalents (Notes 4, 5 and 6) 195,410,208 150,646,848 159,461,818 82,947,056
Short-term investments (Notes 4, 5 and 7) 312,700,000 – 312,700,000 –
Short-term available-for-sale investments (Notes 4, 5 and 8) 563,918,275 555,997,850 368,691,542 536,823,970
Receivables - net (Notes 3, 4, 5 and 9) 182,542,961 98,352,436 165,140,036 83,711,414
Other current assets 7,564,463 2,909,012 7,463,088 2,802,802
Total Current Assets 1,262,135,907 807,906,146 1,013,456,484 706,285,242
Long-term Available-for-Sale Investments (Notes 3, 4, 5 and 8) 650,617,784 731,010,614 650,617,784 731,010,614
Property and Equipment - net (Notes 3 and 10) 313,811,287 309,995,383 312,586,177 308,284,089
Investment in a Subsidiary (Note 11) – – 69,545,393 69,545,393
Investments of:
Clearing and Trade Guaranty Fund (Note 12) 361,322,116 325,227,463 – –
Credit Ring Agreement Fund (Notes 13) – 9,989,898 – –
Other Assets - net (Note 14) 68,054,122 77,665,742 47,507,602 52,033,085
2,655,941,216 2,261,795,246 2,093,713,440 1,867,158,423

LIABILITIES AND EQUITY

LIABILITIES
Current Liabilities
Accounts payable, accrued expenses and other
current liabilities (Notes 4, 5 and 15) 158,437,783 111,312,655 151,058,723 103,802,272
Dividends payable (Notes 4 and 5) 4,416,782 3,428,782 4,416,782 3,428,782
Income tax payable 23,977,141 21,033,583 6,111,415 8,544,235
Deferred fees 80,709,342 43,138,015 80,709,342 43,138,015
Total Current Liabilities 267,541,048 178,913,035 242,296,262 158,913,304
Retirement Liability (Note 22) 2,495,354 1,514,497 – –
Due to:
Clearing and Trade Guaranty Fund (Note 12) 361,322,116 325,227,463 – –
Credit Ring Agreement Fund (Note 13) – 9,989,898 – –
631,358,518 515,644,893 242,296,262 158,913,304
EQUITY
Capital stock (Notes 1 and 17) 15,277,513 15,277,513 15,277,513 15,277,513
Additional paid-in capital (Note 17) 976,506,942 976,506,942 976,506,942 976,506,942
Treasury stock (Note 17) (2) (1) (2) (1)
Retained earnings
Unappropriated 584,554,480 285,577,394 411,136,212 247,674,858
Donated capital (Note 16) 387,637,585 387,637,585 387,637,585 387,637,585
Appropriated (Note 17) 3,000,000 3,000,000 3,000,000 3,000,000
Net unrealized gain on available-for-sale investments (Note 8) 57,606,180 78,150,920 57,858,928 78,148,222
2,024,582,698 1,746,150,353 1,851,417,178 1,708,245,119
2,655,941,216 2,261,795,246 2,093,713,440 1,867,158,423

See accompanying Notes to Financial Statements.

The Philippine Stock Exchange, Inc. and Subsidiary

STATEMENTS OF INCOME

Consolidated Parent Company

Years Ended December 31
2007 2006 2005 2007 2006 2005

OPERATING INCOME
Listing-related fees
Listing 358,491,345 158,741,515 76,667,158 358,491,345 158,741,515 76,667,158
Listing maintenance 97,752,833 85,525,174 82,579,427 97,752,833 85,525,174 82,579,427
Processing 2,680,714 1,132,060 641,000 2,680,714 1,132,060 641,000
Service fees 238,956,952 102,370,005 39,430,664 – – –
Interest (Notes 18 and 24) 112,337,583 113,991,355 109,103,011 106,005,703 112,172,031 108,434,181
Trading-related fees (Note 24)
Transaction 111,245,368 45,069,262 28,477,622 111,245,368 45,069,262 28,477,622
Block sales 22,579,875 12,194,680 9,874,361 22,579,875 12,194,680 9,874,361
Data feed 17,423,662 16,954,280 14,721,650 17,423,662 16,954,280 14,721,650
Subscription 15,418,514 13,480,762 12,654,000 15,418,514 13,480,762 12,654,000
Dividend income 26,750 – – 9,426,750 – –
Other income (Note 24) 16,492,324 14,061,533 7,864,049 14,605,413 13,456,350 7,482,237
993,405,920 563,520,626 382,012,942 755,630,177 458,726,114 341,531,636

OPERATING EXPENSES
Compensation and other related staff costs
(Notes 19, 22 and 24) 144,148,927 117,145,243 112,435,687 131,521,851 110,678,146 107,767,931
Occupancy costs (Note 20) 38,328,510 36,009,435 32,389,137 37,961,100 35,122,403 32,029,137
Depreciation (Note 10) 29,280,536 21,682,055 22,491,579 27,972,115 20,585,006 21,645,903
Foreign currency exchange loss - net 21,105,029 11,065,752 7,208,976 21,105,029 11,065,752 7,208,976
Professional fees 18,165,602 11,328,627 13,020,975 17,460,849 10,248,346 12,508,008
Donation and contributions 15,600,000 3,450,000 10,000 15,600,000 3,450,000 10,000
Provision for impairment losses
(Notes 8 and 9) 10,120,044 9,923,355 3,613,560 10,120,044 9,923,355 3,613,560
Repairs and maintenance 7,747,275 12,484,880 3,603,785 5,615,466 10,424,417 3,603,785
Trading technology, computer maintenance
and other trading-related costs 8,455,207 7,202,153 7,215,114 8,455,207 7,202,153 7,215,114
Membership development 7,832,872 3,770,148 2,792,737 7,832,872 3,770,148 2,792,737
Market development 7,656,545 3,672,932 4,176,184 7,656,545 3,672,932 4,176,184
Travel and transportation 6,599,933 3,001,388 2,812,588 6,586,996 2,986,835 2,793,381
Amortization of computer software (Note 14) 5,214,254 5,205,924 5,217,228 – – –
Taxes and licenses 4,875,234 4,601,607 4,109,762 4,070,567 4,068,883 4,092,536
Office expenses 3,074,064 3,297,450 3,995,009 2,921,784 3,155,815 3,381,603
Entertainment, amusement
and recreation (Note 21) 676,062 561,414 492,188 660,785 539,977 474,488
Infrastructure fee – 13,775,441 11,790,007 – – –
Other expenses 14,525,000 2,760,398 4,011,352 12,702,372 2,280,382 1,469,790
343,405,094 270,938,202 241,385,868 318,243,582 239,174,550 214,783,133

INCOME BEFORE INCOME TAX 650,000,826 292,582,424 140,627,074 437,386,595 219,551,564 126,748,503
PROVISION FOR INCOME TAX (Note 21) 216,581,696 60,286,909 20,821,819 139,483,197 35,890,652 27,014,544
NET INCOME 433,419,130 232,295,515 119,805,255 297,903,398 183,660,912 99,733,959

Basic/Diluted Earnings Per Share (Note 23) 28.37 15.21 7.84

See accompanying Notes to Financial Statements. 44 / 45

2007 ANNUAL REPORT

The Philippine Stock Exchange, Inc. and Subsidiary

STATEMENTS OF CHANGES IN EQUITY

Consolidated
Net Unrealized
Gain on
Additional Retained Earnings Available-
Paid-in Treasury Donated for-Sale
Capital Stock Capital Stock Unappropriated Capital Appropriated Investments Total
Balance at January 1, 2007 15,277,513 976,506,942 ( 1) 285,577,394 387,637,585 3,000,000 78,150,920 1,746,150,353
Net unrealized loss for the year
(Note 8) – – – – – – (20,449,654) (20,449,654)
Realized gain transferred to
statement of income
(Note 8) – – – – – – (95,086) (95,086)
Net income for the year – – – 433,419,130 – – – 433,419,130
Total income and expense for
the year – – – 433,419,130 – – (20,544,740) 412,874,390
Acquisition of treasury stock – – (1) – – – – (1)
Cash dividends (Note 17) – – – (134,442,044) – – – (134,442,044)
Balance at December 31, 2007 15,277,513 976,506,942 ( 2) 584,554,480 387,637,585 3,000,000 57,606,180 2,024,582,698
Balance at January 1, 2006 15,277,513 976,506,942 (P2) 144,280,308 P382,404,823 – 22,530,388 1,540,999,972
Net unrealized gain for the year
(Note 8) – – – – – – 55,620,532 55,620,532
Net income for the year – – – 232,295,515 – – – 232,295,515
Total income for the year – – – 232,295,515 – – 55,620,532 287,916,047
Appropriation of retained earnings
(Note 26) – – – (3,000,000) – 3,000,000 – –
Issuance of treasury stock – – 1 – – – – 1
Cash dividends (Note 17) – – – (87,998,429) – – – (87,998,429)
Additional donated capital
(Note 16) – – – 5,232,762 – – 5,232,762
Balance at December 31, 2006 15,277,513 976,506,942 ( 1) P285,577,394 387,637,585 3,000,000 78,150,920 1,746,150,353
Balance at January 1, 2005 15,277,513 976,506,942 ( 2) P100,862,578 377,157,404 – – 1,469,804,435
Net unrealized gain for the year – – – – – – 22,530,388 22,530,388
Net income for the year – – – 119,805,255 – – – 119,805,255
Total income for the year – – – 119,805,255 – – 22,530,388 142,335,643
Cash dividends (Note 17) – – – (76,387,525) – – – (76,387,525)
Additional donated capital
(Note 16) – – – – 5,247,419 – – 5,247,419
Balance at December 31, 2005 15,277,513 976,506,942 ( 2) 144,280,308 382,404,823 – 22,530,388 1,540,999,972

See accompanying Notes to Financial Statements.

 -2-

Parent Company
Net Unrealized
Gain on
Additional Retained Earnings Available-
Paid-in Treasury Donated for-Sale
Capital Stock Capital Stock Unappropriated Capital Appropriated Investments Total
Balance at January 1, 2007 15,277,513 976,506,942 ( 1) 247,674,858 387,637,585 3,000,000 78,148,222 1,708,245,119
Net unrealized loss for the year
(Note 8) – – – – – – (20,194,208) (20,194,208)
Realized gain transferred to
statement of income (Note 8) – – – – – – (95,086) (95,086)
Net income for the year – – – 297,903,398 – – – 297,903,398
Total income and expenses
for the year – – – 297,903,398 – – (20,289,294) 277,614,104
Acquisition of treasury stock – – (1) – – – – (1)
Cash dividends (Note 17) – – – (134,442,044) – – – (134,442,044)
Balance at December 31, 2007 15,277,513 976,506,942 ( 2) 411,136,212 387,637,585 3,000,000 57,858,928 1,851,417,178
Balance at January 1, 2006 15,277,513 976,506,942 ( 2) 155,012,375 382,404,823 – 22,328,911 1,551,530,562
Net unrealized gain for the year
(Note 8) – – – – – – 55,819,311 55,819,311
Net income for the year – – – 183,660,912 – – – 183,660,912
Total income for the year – – – 183,660,912 – – 55,819,311 239,480,223
Appropriation of retained earnings
(Note 26) – – – (3,000,000) – 3,000,000 – –
Issuance of treasury stock – – 1 – – – – 1
Cash dividends (Note 17) – – – (87,998,429) – – – (87,998,429)
Additional donated capital
(Note 16) – – – – 5,232,762 – – 5,232,762
Balance at December 31, 2006 15,277,513 976,506,942 ( 1) 247,674,858 387,637,585 3,000,000 78,148,222 1,708,245,119
Balance at January 1, 2005 15,277,513 976,506,942 ( 2) 131,665,941 377,157,404 – – 1,500,607,798
Net unrealized gain for the year – – – – – – 22,328,911 22,328,911
Net income for the year – – – 99,733,959 – – – 99,733,959
Total income for the year – – – 99,733,959 – – 22,328,911 122,062,870
Cash dividend (Note 17) – – – (76,387,525) – – – (76,387,525)
Additional donated capital
(Note 16) – – – – 5,247,419 – – 5,247,419
Balance at December 31, 2005 15,277,513 976,506,942 ( 2) 155,012,375 382,404,823 – 22,328,911 1,551,530,562

See accompanying Notes to Financial Statements.

46 / 47

2007 ANNUAL REPORT

The Philippine Stock Exchange, Inc. and Subsidiary

STATEMENTS OF CASH FLOWS

Consolidated Parent Company

Years Ended December 31
2007 2006 2005 2007 2006 2005

CASH FLOWS FROM OPERATING

ACTIVITIES
Income before income tax 650,000,826 292,582,424 140,627,074 437,386,595 219,551,564 126,748,503
Adjustments for:
Interest income (112,337,583) (113,991,355) (109,103,011) (106,005,703) (112,172,031) (108,434,181)
Depreciation (Note 10) 29,280,536 21,682,055 22,491,579 27,972,115 20,585,006 21,645,903
Provision for impairment losses
(Notes 8 and 9) 10,120,044 9,923,355 3,613,560 10,120,044 9,923,355 3,613,560
Amortization of computer software
(Note 14) 5,214,254 5,205,924 5,217,228 – – –
Gain on disposal of property and equipment – – (990) – – (1)
Operating income before working
capital changes 582,278,077 215,402,403 62,845,440 369,473,051 137,887,894 43,573,784
Changes in operating assets and liabilities:
Decrease (increase) in:
Receivables (45,493,081) (30,815,550) 13,990,055 (44,729,066) (20,308,276) 17,620,882
Other current assets (4,655,450) 3,480,828 (4,894,949) (4,660,286) 3,006,294 (4,325,492)
Increase in accounts payable,
accrued expenses and other
current liabilities 48,742,020 29,792,500 23,915,767 47,256,451 40,919,146 24,553,460
Net cash generated from operations 580,871,565 217,860,181 95,856,313 367,340,150 161,505,058 81,422,634
Interest received 114,926,536 107,550,664 108,876,339 106,410,685 106,414,522 107,911,748
Income taxes paid (223,160,792) (39,126,051) (24,488,666) (151,438,671) (34,038,377) (23,862,156)
Net cash provided by operating activities 472,637,309 286,284,794 180,243,986 322,312,164 233,881,203 165,472,226
CASH FLOWS FROM INVESTING
ACTIVITIES
Proceeds from sale/maturities of:
Available-for-sale investments 357,157,765 1,462,961,312 498,303,082 338,475,612 1,412,563,947 498,303,082
Property and equipment 873,085 1 1,001 873,085 – 1
Decrease in other assets 14,048,137 7,896,678 3,153,467 14,048,137 1,077,443 2,994,879
Acquisitions of:
Available-for-sale investments (319,701,250) (1,595,402,122) (556,646,499) (119,892,903) (1,541,037,322) (541,442,752)
Short-term cash investments (312,700,000) – – (312,700,000) – –
Property and equipment (Note 10) (33,969,525) (21,446,522) (7,241,310) (33,147,288) (21,349,984) (5,626,147)
Computer software (Note 14) (128,116) – – – – –
Net cash used in investing activities (294,419,904) (145,990,653) (62,430,259) (112,343,357) (148,745,916) (45,770,937)
CASH FLOWS FROM FINANCING
ACTIVITY
Dividend payments (Note 17) (133,454,045) (87,997,769) (75,465,623) (133,454,045) (87,997,769) (75,465,623)
NET INCREASE (DECREASE) IN CASH
AND CASH EQUIVALENTS 44,763,360 52,296,372 42,348,104 76,514,762 (2,862,482) 44,235,666
CASH AND CASH EQUIVALENTS AT
BEGINNING OF YEAR 150,646,848 98,350,476 56,002,372 82,947,056 85,809,538 41,573,872
CASH AND CASH EQUIVALENTS AT
END OF YEAR 195,410,208 150,646,848 98,350,476 159,461,818 82,947,056 85,809,538

See accompanying Notes to Financial Statements.

The Philippine Stock Exchange, Inc. and Subsidiary

NOTES TO FINANCIAL STATEME NTS

1. CORPORATE INFORMATION

The Philippine Stock Exchange, Inc. (the Parent Company or the Exchange) was incorporated in the Philippines on July 14, 1992 as a non-stock
corporation primarily to provide and maintain a convenient and suitable market for the exchange, purchase and sale of all types of securities and
other instruments.

On August 8, 2001, the Parent Company was converted from a non-stock corporation to a stock corporation (demutualization) with an
authorized capital stock of 36.8 million divided into 36.8 million shares at a par value of 1.00 per share as prescribed by Republic Act (RA) No.
8799 entitled “Securities Regulation Code” (SRC) and pursuant to a conversion plan approved by the Securities and Exchange Commission (SEC).

The salient features of the demutualization plan approved by the SEC on August 3, 2001 include, among others, the following:

a. Conversion of the Parent Company into a stock corporation by amending its Articles of Incorporation and by-laws;
b. Subscription of each member of 50,000 shares at 1.00 per share. The remaining balance of the Membership Contributions account of
277.4 million shall be treated as additional paid-in capital;
c. Issuance of trading rights to brokers in recognition of the existing seat ownership by the brokers;
d. Separation of ownership of shares and right to operate as a trading participant in the Exchange. The trading rights shall be transferable
without time limitation; and
e. Imposition of a moratorium on the issuance of the new trading rights.

On December 15, 2003, the Parent Company’s shares of stock were listed by way of introduction of its outstanding shares to comply with the
requirements mandated by the SRC, particularly the conversion of the Parent Company into a stock corporation.

On January 28, 2004, the Parent Company offered 6,077,505 unissued shares to the private sector as part of on-going efforts to comply with
SRC’s mandate regarding the ownership of an Exchange. Gross proceeds from the private placement offering amounted to 726.3 million,
inclusive of additional paid-in capital of 720.2 million representing premium over the par value of the common stock. Expenses related to the
offering amounting to 21.1 million were recorded as a reduction of the additional paid-in capital. As of December 31, 2007 and 2006, the Parent
Company had issued 15,277,513 shares.

Securities Clearing Corporation of the Philippines (SCCP), a 100% owned subsidiary of the Exchange, is a domestic corporation organized to carry
out and strictly implement the following functions: (1) Delivery-versus-Payment trade settlement; (2) fails management and administration of the
Clearing and Trade Guaranty Fund (CTGF); and (3) risk monitoring and management.

To ensure compliance of clearing members, SCCP is authorized by the SEC to impose fines and penalties and other sanctions as approved by
SCCP’s board of directors (BOD).

SCCP was given a temporary license to operate by the SEC and started its commercial operations on January 3, 2000. On January 15, 2002, the
SEC approved SCCP’s request for a permanent license as a clearing agency subject to its compliance with the requirements of Section 42 of the
SRC entitled “Registration of Clearing Agency.”

The registered office address of the Parent Company is Philippine Stock Exchange Centre, Exchange Road, Ortigas Center, Pasig City.

The accompanying financial statements were authorized for issue by the BOD on March 12, 2008.

2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

Statement of Compliance
The consolidated financial statements of the Parent Company and SCCP (collectively referred to as the Group) and of the Parent Company have
been prepared in compliance with Philippine Financial Reporting Standards (PFRS).

48 / 49

2007 ANNUAL REPORT

Basis of Preparation
The accompanying financial statements have been prepared on a historical cost basis, except for available-for-sale (AFS) investments and the
investments of CTGF and Credit Ring Agreement Fund (CRAF) that have been measured at fair value. The financial statements are presented in
Philippine Peso ( ), which is also the functional currency of the Group.

Basis of Consolidation
The consolidated financial statements include the financial statements of the Parent Company and its wholly owned subsidiary, SCCP, and are
prepared for the same reporting year as the Parent Company, using consistent accounting policies.

All significant intra-group balances, transactions, income and expenses and profits and losses resulting from intra-group transactions are eliminated
in full in the consolidation.

Subsidiaries are consolidated from the date on which control is transferred to the Parent Company and ceased to be consolidated from the date
on which control is transferred out of the Parent Company. Control is achieved where the Parent Company has the power to govern the financial
and operating policies of an entity so as to obtain benefit from its activities.

Changes in Accounting Policies

The accounting policies adopted are consistent with those of the previous year except as follows:

In 2007, the Group has adopted the following new PFRS and amended Philippine Accounting Standards (PAS) that are relevant to the Group:

• PFRS 7, Financial Instruments: Disclosures, introduces new disclosures to improve the information about financial instruments. It requires the
disclosure of qualitative and quantitative information about exposure to risks arising from financial instruments, including specified minimum
disclosures about credit risk, liquidity risk and market risk, as well as sensitivity analysis to market risk. It replaces the disclosure requirements in
PAS 32, Financial Instruments: Disclosure and Presentation. The disclosures required by the Standard are included in the accompanying financial
statements.

The Group adopted the amendment to the transitional provision of PFRS 7 as approved by the Financial Reporting Standards Council of
the Philippines, which gives transitory relief with respect to the presentation of comparative information for the new risk disclosures about
the nature and extent of risks arising from financial instruments. Accordingly, the Group did not present comparative information for the
disclosures required by paragraphs 31 - 42 of PFRS 7, unless the disclosure was previously required under PAS 32.

• Amendment to PAS 1, Presentation of Financial Statements, introduces disclosures about the level of an entity’s capital and how it manages its
capital. The disclosures required by the Standard are included in the accompanying financial statements.

Accounting Policies

Cash and Cash Equivalents

Cash includes cash on hand and in banks. Cash equivalents are short-term, highly liquid investments that are readily convertible to known amounts
of cash with original maturities of three months or less from dates of placement and are subject to an insignificant risk of change in value.

Financial Assets and Liabilities

Date of Recognition
The Group recognizes a financial asset or a financial liability on its balance sheet when, and only when, the entity becomes a party to the
contractual provisions of the instrument. All regular way purchases and sales of financial assets are recognized on the trade date, which is the date
that the Company commits to purchase the asset. Regular way purchases and sales are purchases or sales of financial assets that require delivery
of assets within period generally established by regulation or convention in the market place.

Initial Recognition
Financial assets and liabilities are recognized initially at fair value. Transaction costs are included in the initial measurement of all financial assets and
liabilities, except for financial assets and liabilities measured at fair value through profit or loss (FVPL).

Determination of Fair Value

The fair value for financial instruments traded in active markets at the balance sheet date is based on their quoted market price or dealer price
quotations, without any deduction for transaction costs. When current bid and asking prices are not available, the price of the most recent
transaction provides evidence of the current fair value as long as there has not been a significant change in economic circumstances since the time
of the transaction.
For all other financial instruments not listed in an active market, the fair value is determined by using appropriate valuation techniques. Valuation
techniques include net present value techniques, comparison to similar instruments for which market observable prices exist, options pricing
models, and other relevant valuation models.

Day 1 Profit
Where the transaction price in a non-active market is different to the fair value from other observable current market transactions in the same
instrument or based on a valuation technique whose variables include only data from observable market, the Group recognizes the difference
between the transaction price and fair value (a Day 1 profit) in the statement of income unless it qualifies for recognition as some other type
of asset. In cases where use is made of data which is not observable, the difference between the transaction price and model value is only
recognized in the statement of income when the inputs become observable or when the instrument is derecognized. For each transaction, the
Group determines the appropriate method of recognizing the Day 1 profit amount.

Financial assets are classified into the following categories: financial asset at FVPL, held-to-maturity (HTM) investments, loans and receivables, and
AFS investments. Financial liabilities are classified either as financial liabilities at FVPL or other financial liabilities at amortized cost. The Group
determines the classification at initial recognition and, where allowed and appropriate, re-evaluates this designation at every reporting date.

Financial Assets or Liabilities at FVPL

Financial assets or liabilities at FVPL include financial assets or liability held for trading and financial assets or liabilities designated upon initial
recognition as at FVPL.

Financial assets or liabilities are classified as held for trading if they are acquired or incurred for the purpose of selling or repurchasing in the near term.

Financial assets or liabilities may be designated at initial recognition as at FVPL if any of the following criteria are met: (a) the designation eliminates
or significantly reduces the inconsistent treatment that would otherwise arise from measuring the assets or liabilities or recognizing gains or losses
on them on a different basis; or (b) the assets or liabilities are part of a group of financial assets or a group of financial liabilities which are managed
and their performance evaluated on a fair value basis, in accordance with a documented risk management strategy; or (c) the financial asset or
liability contains an embedded derivative that would need to be separately recorded.

The Group has no financial assets or liabilities designated at initial recognition as at FVPL as of December 31, 2007 and 2006.

HTM Investments
HTM investments are quoted non-derivative financial assets with fixed or determinable payments and fixed maturities for which the Group’s
management has the positive intention and ability to hold to maturity. Where the Group sell other than an insignificant amount of HTM
investments, the entire category would be tainted and reclassified as AFS investments. After initial measurement, these investments are
subsequently measured at amortized cost using the effective interest rate method, less impairment in value. Amortized cost is calculated by taking
into account any discount or premium on acquisition and fees that are an integral part of the effective interest rate. The Group has no HTM
investments as at December 31, 2007 and 2006.

Loans and Receivables

Loans and receivables are non-derivative financial assets with fixed or determinable payments and are not quoted in an active market. Such assets
are carried at cost or amortized cost in the balance sheet. Amortization is determined using the effective interest method and is included in the
interest income in the statement of income. The losses arising from impairment of such financial assets are recognized in the statement of income.

Loans and receivables include short-term investments, receivable from brokers, listed companies, data vendors and others which are due within
one year, accrued interest receivable, and advances to brokers related to CRAF, which is included under Other assets account.

AFS Investments
AFS investments are those which are designated as such or do not qualify to be classified or designated as financial assets at FVPL, HTM
investments or loans and receivables. They are purchased and held indefinitely, and may be sold in response to liquidity requirements or changes in
market conditions.

After initial measurement, AFS investments are subsequently measured at fair value. The unrealized gains and losses arising from the fair valuation
of AFS investments are excluded from reported earnings and are reported under Net unrealized gain on AFS investments in the equity section of
the balance sheets, until the investment is derecognized or until the investment is determined to be impaired at which time the cumulative gains or
losses previously reported in equity is included in the statement of income.
50 / 51
The Group’s AFS investments include equity investments, money market papers and other debt instruments.

2007 ANNUAL REPORT

Other Financial Liabilities
Issued financial instruments or their components, which are not designated at FVPL are classified as other financial liabilities, where the
substance of the contractual arrangement results in the Group having an obligation either to deliver cash or another financial asset to the
holder, or to satisfy the obligation other than by the exchange of a fixed amount of cash or another financial asset for a fixed number of own
equity shares. After initial measurement, other financial liabilities are subsequently measured at amortized cost using the effective interest rate
method. Amortized cost is calculated by taking into account any discount or premium on the issue and fees that are an integral part of the
effective interest rate.

Impairment of Financial Assets

The Group assesses at each balance sheet date whether a financial asset or group of financial assets is impaired. A financial asset or a group
of financial assets is deemed to be impaired, if and only if, there is objective evidence of impairment as a result of one or more events that has
occurred after the initial recognition of the asset (an incurred loss event) and that loss event has an impact on the estimated future cash flows of
the financial asset or group of financial assets that can be reliably estimated.

Loans and Receivables

The Group first assesses whether objective evidence of impairment exists individually. If the Group determines that no objective evidence of
impairment exists for an individually assessed financial asset, whether significant or not, it includes the asset in a group of financial assets with similar
credit risk characteristics and collectively assesses them for impairment. Loans and receivables that are individually assessed for impairment and for
which an impairment loss is or continues to be recognized are not included in the collective assessment of impairment.

If there is objective evidence that an impairment loss on loans and receivables has been incurred, the amount of the loss is measured as the
difference between the carrying amount and the present value of estimated future cash flows discounted at the current market rate of return for
a similar financial asset. The carrying amount of the asset is reduced through the use of an allowance account. The amount of the loss is charged
to the statement of income.

If, in a subsequent period, the amount of the impairment loss decreases and the decrease can be related objectively to an event occurring after the
impairment was recognized, the previously recognized impairment loss is reversed by adjusting the allowance account. The amount of the reversal
is recognized in the statement of income.

AFS Investments
In case of equity investments, this would include a significant or prolonged decline in the fair value of the investments below its cost. Where
there is evidence of impairment, the cumulative loss - measured as the difference between the acquisition cost and the current fair value, less any
impairment loss on that financial asset previously recognized in the statement of income - is removed from equity and recognized in the statement
of income. Impairment losses on equity investments are not reversed through the statement of income. Increases in fair value after impairment
are recognized directly in equity.

In the case of debt instruments, impairment is assessed based on the same criteria as financial assets carried at amortized cost. Interest continues
to be accrued at the original effective interest rate on the reduced carrying amount of the asset and is recorded as part of ‘Interest income’ in
the statement of income. If subsequently, the fair value of a debt instrument increased and the increase can be objectively related to an event
occurring after the impairment loss was recognized in the statement of income, the impairment loss is reversed through the statement of income.

Derecognition of Financial Assets and Liabilities

Financial assets are derecognized when (a) the rights to receive cash flows from the asset have expired; (b) the Group retains the right to
receive cash flows from the asset, but has assumed an obligation to pay them in full without material delay to a third party under a pass-
through arrangement or; (c) the Group has transferred its rights to receive cash flows from the asset and either has transferred substantially all
the risks and rewards of the asset, or has neither transferred nor retained substantially all the risks and rewards of the asset, but has transferred
control of the asset.

Financial liabilities are derecognized when the obligations under the liability expire, are discharged or cancelled. Where an existing financial liability
is replaced by another from the same lender on substantially different terms, or the terms of an existing liability are substantially modified, such
an exchange or modification is treated as a derecognition of the original liability and the recognition of a new liability, and the difference in the
respective carrying amounts is recognized in the statement of income.

Offsetting of Financial Instruments

Financial assets and financial liabilities are offset and the net amount is reported in the balance sheet if, and only if, there is a currently
enforceable legal right to offset the recognized amounts and there is an intention to settle on a net basis, or to realize the asset and settle the
liability simultaneously. This is not generally the case with master netting agreements, and the related assets and liabilities are presented gross in
the balance sheet.
Investments of Clearing and Trade Guaranty Fund and Credit Ring Agreement Fund
CTGF and CRAF represent contributions of the Parent Company and the brokers as discussed in Notes 12 and 13, respectively. The funds are
held in trust by SCCP for the account of the brokers. For financial statements presentation, the fund assets of CTGF and CRAF are shown as
Investments of CTGF and CRAF with contra accounts of Due to CTGF and CRAF in the balance sheet.

The assets of the funds are invested in government securities, which are held for the purpose of investing in liquid funds. The funds include
investments in government securities which are classified and accounted for as AFS investments and are carried at fair value. The unrealized gain or
loss arising from fair valuation of these investments are excluded from reported earnings and reported as a separate component of accumulated
income of investment of CTGF. Income and expenses related to the fund are credited to or charged against the fund balances. Realized gains and
losses from the sale of investments are also credited to or charged against the fund balances.

Property and Equipment

Property and equipment are stated at cost less accumulated depreciation and any impairment in value. The initial cost of property and equipment
comprises of its purchase price and any directly attributable costs of bringing the asset to its working condition and location for its intended use.

Expenditures incurred after the property and equipment have been put into operation, such as repairs and maintenance, are charged against
current operations. In situations where it can be clearly demonstrated that the expenditures have resulted in an increase in the future economic
benefits expected to be obtained from the use of an item of property and equipment beyond its originally assessed standard of performance, the
expenditures are capitalized as an additional cost of property and equipment.

An item of property and equipment is derecognized upon disposal or when no future economic benefits are expected from its use or disposal.
Any gain or loss arising on derecognition of the asset (calculated as the difference between the net disposal proceeds and the carrying amount of
the asset) is included in the statement of income in the year the asset is derecognized.

Depreciation is calculated on the straight-line method over the estimated useful life of the depreciable assets. The estimated useful lives of the
depreciable assets are as follows

Buildings 25 years
Building improvements 10 years
Transportation equipment 5 years
Trading system equipment 3 years
Computer hardware and peripherals 3 to 5 years
Office furniture, fixtures and communication equipment 2 to 5 years
Utilities and others 2 years

The depreciation method and useful life are reviewed periodically to ensure that the method and period of depreciation are consistent with the
expected pattern of economic benefits from items of property and equipment.

Computer Software
Costs associated with developing or maintaining computer software programs are recognized as expense when incurred. Costs that are directly
associated with identifiable and unique software controlled by the Group and will generate economic benefits exceeding costs beyond one year,
are recognized as intangible assets.

Expenditure which enhances or extends the performance of computer software programs beyond their original specifications is capitalized and
added to the original cost of the software. Computer software development costs recognized as assets are amortized using the straight-line
method over their useful lives, but not exceeding a period of seven (7) years.

Investment in a Subsidiary
Investment in SCCP in the Parent Company financial statements is carried at cost, less any impairment in value.

Impairment of Non-Financial Assets

An assessment is made at each balance sheet date as to whether there is any indication of impairment of any property and equipment and
computer software, or whether there is any indication that an impairment loss previously recognized for an asset in prior years may no longer exist
or may have decreased. If any such indication exists, the asset’s recoverable amount is estimated. An asset’s recoverable amount is calculated as
the higher of the asset’s value in use or its net selling price.
52 / 53
An impairment loss is recognized only if the carrying amount of an asset exceeds its recoverable amount. An impairment loss is charged
against operations in the year in which it arises.

2007 ANNUAL REPORT

A previously recognized impairment loss is reversed only if there has been a change in the estimates used to determine the recoverable amount of
an asset, but not to an amount higher than the carrying amount that would have been determined (net of any depreciation and amortization) had
no impairment loss been recognized for the asset in prior years. Any reversal of an impairment loss is credited to current operations.

In assessing value in use, the estimated future cash flows are discounted to their present value using a pre-tax discount rate that reflects current
market assessment of the time value of money and the risks to the asset. For an asset that does not generate largely independent cash inflows,
the recoverable amount is determined for the cash generating units to which the asset belongs

Deferred Fees
Deferred fees represent listing and data feed fees which are billed and collected but not yet earned as of balance sheet date. This account is
reversed and recognized as listing income when services are rendered.

Revenue Recognition
Revenue is recognized to the extent that it is probable that the economic benefits will flow to the Group and the revenue can be reliably
measured. The following specific recognition criteria must also be met before revenue is recognized:

Listing Fees
Listing fees for initial public offering are recognized upon listing of an applicant. The annual listing fees are recognized on an accrual basis. The
additional listing fees are recognized upon the listing of new securities issued by an applicant.

Listing Maintenance, Processing, Trading-related and Service Fees

Revenue is recognized when the related services are rendered.

Interest Income
Interest income is recognized in the statement of income as it accrues, taking into account the effective yield of the asset. Interest income includes
the amortization of any discount or premium or other differences between the initial carrying amount of an interest bearing instrument and its
amount at maturity calculated on an effective interest rate basis.

Dividend Income
Dividend income is recognized when the shareholders’ right to receive the payment is established.

Other Income
Revenue is recognized when the services are rendered or when penalties or fines are charged. This account mainly consists of trading and listing
related fines and penalties such as late payment, late submission of requirements, non-compliance and non-disclosure of listed companies.

Retirement Cost
The Parent Company has a funded noncontributory defined benefit retirement plan, while SCCP has an unfunded noncontributory defined
benefit retirement plan, administered by trustees, covering their permanent employees. The Group’s retirement cost is actuarially determined using
the projected unit credit method.

The defined benefit liability is the aggregate of the present value of the benefits obligation and actuarial gains or losses not recognized, reduced
by past-service cost not yet recognized and the fair value of plan assets out of which the obligations are to be settled directly. If such aggregate is
negative, the asset is measured at the lower of such aggregate or the aggregate of cumulative unrecognized net actuarial losses and past-service
cost and the present value of any economic benefits available in the form of refunds from the plan or reductions in future contributions to the plan.
This would not result in a gain being recognized as a result of an actuarial loss or past service cost in the current year or in a loss being recognized
as a result of an actuarial gain in the current year. The Group recognizes immediately the net actuarial losses or gains of the current year and past
service cost or reduction in the past service cost of the current year to the extent that they exceed any reduction or increase in the present value
of the economic benefits; and if there is no change or an increase or decrease in the present value of the economic benefits, the entire net actuarial
losses or gains of the current period and past service cost or reduction of past service cost of the current period is recognized immediately.

The defined benefit obligation is calculated annually by an independent actuary. The present value of the defined benefit obligation is determined
by discounting the estimated future cash outflows using interest rates of government bonds that are denominated in the currency in which the
benefits will be paid, and that have terms to maturity approximating the terms of the related retirement liabilities. Actuarial gains and losses are
recognized as income or expense when the net cumulative unrecognized actuarial gains and losses of the plan at the end of the previous reporting
year exceed 10% of the higher of the present value of the defined benefit obligation and the fair value of plan assets at that date. The excess
actuarial gains and losses are recognized over the average remaining working life of employees participating in that plan in the statement of income.
Experience adjustments and unrecognized actuarial gains or losses are amortized over the remaining working lives of employees. Retirement cost
includes current service cost, amortization of past-service costs, experience adjustments and actuarial gains and losses.

Past-service costs are recognized immediately in the statement of income, unless the changes to the pension plan are conditional on the
employees remaining in service for a specified period of time (the vesting period). In this case, the past-service costs are amortized on a straight-
line basis over the vesting period.

Leases
The determination of whether an arrangement is, or contains a lease is based on the substance of the arrangement at inception date whether the
fulfillment of the arrangement is dependent on the use of a specific asset or assets or the arrangement conveys a right to use the asset.

Group as a Lessee
Operating lease payments are recognized as an expense in the statement of income on a straight-line basis over the lease term.

Group as a Lessor
Leases where the Group does not transfer substantially all the risks and benefits of ownership of the asset are classified as operating leases. Initial
direct costs incurred in negotiating an operating lease are added to the carrying amount of the leased asset and recognized over the lease term on
the same basis as rental income.

Income Taxes
Current Tax
Current tax assets and liabilities are measured at the amount expected to be recovered from or paid to the taxation authorities. The tax rates and
tax laws used to compute the amount are those that are enacted or substantially enacted at the balance sheet date.

Deferred Tax
Deferred tax is provided, using the balance sheet liability method, on all temporary differences at the balance sheet date between the tax bases of
assets and liabilities and their carrying amounts for financial reporting purposes.

Deferred tax liabilities are recognized for all taxable temporary differences. Deferred tax assets are recognized for all deductible temporary
differences, carryforward of unused tax credits from excess minimum corporate income tax (MCIT) over regular corporate income tax (RCIT)
and unused net operating loss carryover (NOLCO), to the extent that it is probable that taxable profit will be available against which the
deductible temporary differences and carryforward of unused tax credits and unused NOLCO can be utilized. Deferred tax, however, is not
recognized when it arises from the initial recognition of an asset or liability in a transaction that is not a business combination and, at the time of
the transaction, affects neither the accounting income nor taxable income or loss.

Deferred tax liabilities are not provided on nontaxable temporary differences associated with investment in subsidiary.

The carrying amount of deferred tax assets is reviewed at each balance sheet date and reduced to the extent that it is no longer probable
that sufficient taxable profit will be available to allow all or part of the deferred tax asset to be utilized. Unrecognized deferred tax assets are
reassessed at each balance sheet date and are recognized to the extent that it has become probable that future taxable profit will allow the
deferred tax asset to be recovered.

Deferred tax assets and liabilities are measured at the tax rate applicable to the year when the asset is realized or the liability is settled, based on
tax rates (and tax laws) that have been enacted or substantially enacted at the balance sheet date.

Deferred tax assets and deferred tax liabilities are offset if a legally enforceable right exists to set off current tax assets against current tax liabilities
and deferred income taxes related to the same taxable entity and the same taxation authority.

Treasury Shares
Own equity instruments which are acquired (treasury shares) are deducted from equity and accounted for at cost. No gain or loss is recognized
in the statement of income on the purchase, sale, issue or cancellation of the Parent Company’s own equity instruments.

Dividends on Common Shares

Dividends on common shares are recognized as a liability and deducted from equity when approved by the shareholders of the Parent Company.
Dividends for the year that are approved after the balance sheet date are dealt with as an event after the balance sheet date.
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2007 ANNUAL REPORT

Provisions
Provisions are recognized when the Group has a present obligation (legal or constructive) where, as a result of a past event, it is probable that an
outflow of assets embodying economic benefits will be required to settle the obligation and a reliable estimate can be made of the amount of the
obligation.

Contingencies
Contingent liabilities are not recognized in the financial statements. They are disclosed unless the possibility of an outflow of assets embodying
economic benefits is remote. Contingent assets are not recognized in the financial statements but are disclosed when an inflow of economic
benefits is probable.

Foreign Currency-Denominated Transactions and Translation

Transactions in foreign currencies are recorded using the exchange rate at the date of the transactions. Foreign exchange gains or losses arising
from foreign currency denominated transactions and revaluation adjustments of foreign currency assets and liabilities are credited to or charged
against current operations. Monetary assets and liabilities denominated in foreign currencies are translated using the Philippine Dealing Exchange
closing rate prevailing at balance sheet date.

Non-monetary assets and liabilities denominated in foreign currencies that are measured at historical cost are translated using the exchange rate at
the date of transaction and non-monetary assets and liabilities that are measured at fair value are translated using the exchange rate when the fair
value was determined.

Events after the Balance Sheet Date

Any post year-end event that provides additional information about the Group’s position at the balance sheet date (adjusting event) is reflected in
the financial statements. Post year-end events that are not adjusting events, if any, are disclosed when material to the financial statements.

Future Changes in Accounting Policies

The Group did not early adopt the following standards and Philippine Interpretations of International Financial Reporting Interpretations
Committee (IFRIC) that have been approved but are not yet effective. The Group assesses that the adoption of these standards and interpretations
will not have significant effect on the financial position of the Group but may give rise to additional disclosures.

• Amendment to PAS 1, Amendment on Statement of Comprehensive Income, will become effective for financial years beginning on or after
January 1, 2009. In accordance with the amendment to PAS 1, the statements of changes in equity shall include only transactions with owners,
while all non-owner changes will be presented in equity as a single line with details included in a separate statement. Owners are defined as
holders of instrument classified as equity.

In addition, the amendment to PAS 1 provides for the introduction of a new statement of comprehensive income that combines all items
of income and expense recognized in the statement of income together with ‘other comprehensive income’. The revisions specify what is
included in other comprehensive income, such as gains and losses on available-for-sale assets, actuarial gains and losses on define benefit
pension plans and changes in the asset revaluation reserve. Entities can choose to present all items in one statement, or to present two linked
statements, a separate statement of income and a statement of comprehensive income. The Group will assess the impact on its current
manner of reporting all items of income and expenses.

• Amendment to PAS 23, Borrowing Costs, becomes effective on January 1, 2009. It requires capitalization of borrowing costs that relate to
a qualifying asset. The transitional requirements of the standard require it to be adopted as a prospective change from the effective date.
Adoption of the amendment will have no impact on the Group’s financial statements.

• PFRS 8, Operating Segments, becomes effective on January 1, 2009. PFRS 8 will replace PAS 14, Segment Reporting, and adopts a management
approach to reporting segment information. The Group will adopt PFRS 8 in 2009 and will assess the change that would be made in segment
disclosures.

• Philippine Interpretation IFRIC 11, PFRS 2, Group and Treasury Share Transactions, becomes effective for financial years beginning on or after
March 1, 2007. This interpretation requires arrangements whereby an employee is granted rights to an entity’s equity instruments to be
accounted for as an equity-settled scheme by the entity even if (a) the entity chooses or is required to buy those equity instruments (e.g.,
treasury shares) from another party, or (b) the shareholder(s) of the entity provide the equity instruments needed. It also provides guidance
on how subsidiaries, in their separate financial statements, account for such schemes when their employees receive rights to the equity
instruments of a company. The Group currently does not have any stock option plan and therefore, does not expect this interpretation to
have an impact on its financial statements.

• Philippine Interpretation IFRIC 12, Service Concession Arrangements, becomes effective on January 1, 2008. This interpretation which covers
contractual arrangements arising from entities providing public services is not relevant to the Group’s current operations.
 • Philippine Interpretation IFRIC 13, Customer Loyalty Programs, becomes effective for financial years beginning on or after July 1, 2008. This
interpretation requires customer loyalty credits to be accounted for as a separate component of the sales transaction in which they are
granted. Adoption of this interpretation will have no impact on the financial statements of the Group.

• Philippine Interpretation IFRIC 14, PAS 19 - The Limit on a Defined Benefit Asset, Minimum Funding Requirements and their Interaction, becomes
effective for financial years beginning on or after January 1, 2008. This interpretation provides guidance on how to assess the limit on the
amount of surplus in a defined benefit scheme that can be recognized as an asset under PAS 19, Employee Benefits. The impact of the
adoption of this interpretation will still be assessed by the Group.

3. SIGNIFICANT ACCOUNTING JUDGMENTS AND ESTIMATES

The preparation of the financial statements in accordance with PFRS requires the Group to make estimates and assumptions that affect the
reported amounts of assets, liabilities, income and expenses and disclosure of contingent assets and contingent liabilities. Future events may occur
which will cause the assumptions used in arriving at the estimates to change. The effects of any change in estimates are reflected in the financial
statements as they become reasonably determinable.

Judgments and estimates are continually evaluated and are based on historical experience and other factors, including expectations of future events
that are believed to be determinable under the circumstances.

Judgments
In the process of applying the Group’s accounting policies, management has made the following judgments, apart from those involving estimates
and assumptions, which have the most significant effect on the amounts recognized in the financial statements.

Fair Values of Financial Assets and Liabilities

The Group carries certain financial assets at fair value. Fair value determinations for financial assets and liabilities are based generally on listed or
quoted market prices. If prices are not readily determinable or if liquidating the positions is reasonably expected to affect market prices, fair value
is based on management’s estimate of amounts that could be realized under current market conditions, assuming an orderly liquidation over a
reasonable period of time.

Operating Lease Commitments - Group as Lessor

The Group has entered into commercial property leases on its investment property. The Group has determined that it retains all the significant
risks and rewards of ownership of these properties thus accounts for them as operating leases.

Operating Lease Commitments - Group as Lessee

The Group has entered into commercial property leases with various lessors. The Group has determined that the lessors retain all the significant
risks and rewards of ownership of the leased properties thus accounts for them as operating leases.

Estimates
The key assumptions concerning the future and other key sources of estimation uncertainty at the balance sheet date, that have a significant risk of
causing a material adjustment to the carrying amounts of assets and liabilities within the next financial year are discussed below.

Impairment Losses on Receivables

The Group reviews its receivables portfolio to assess impairment annually. In determining whether an impairment loss should be recorded in the
statement of income, the Company makes judgment as to whether there is any observable data indicating that there is a measurable decrease in
the estimated future cash flows from the receivables. This evidence may include observable data indicating that there has been an adverse change
in the payment status of borrowers.

As of December 31, 2007 and 2006, allowance for impairment losses on receivables amounted to 8.8 million and 14.1 million, respectively, for
the Group and the Parent Company. As of December 31, 2007 and 2006, receivables are carried at 182.5 million and 98.4 million, respectively,
for the Group and 165.1 million and 83.7 million, respectively, for the Parent Company (see Note 9).

Impairment of AFS Equity Investments

The Group treats AFS equity investments as impaired when there has been a significant or prolonged decline in the fair value below its cost or
where other objective evidence of impairment exists. The determination of what is ‘significant’ or ‘prolonged’ requires judgment. The Group treats
‘significant’ generally as 20% or more and ‘prolonged’ as greater than the period of six months. In addition, the Group evaluates other factors,
56 / 57
including normal volatility in share price for quoted equities and the future cash flows and the discount factors for unquoted equities.

2007 ANNUAL REPORT

 As of December 31, 2007 and 2006, allowance for impairment losses on AFS equity investments (included under Long-term AFS investments)
amounted 23.9 million and 14.2 million, respectively. AFS equity investments are carried at 81.9 million and 55.9 million as of December 31,
2007 and 2006, respectively (see Note 8).

Estimation of Useful Lives of Property and Equipment and Computer Software

The Group estimated the useful lives of its property and equipment and computer software based on the period over which the assets are
expected to be available for use. The Group reviews annually the estimated useful lives based on factors that include asset utilization, internal
technical evaluation, technological changes, and anticipated use of the assets. A reduction in the estimated useful lives of property and equipment
and computer software would increase the recorded depreciation and amortization expense and decrease the related assets.

Impairment of Nonfinancial Assets

Computer software and property and equipment are reviewed and tested whenever there is indication of impairment and at least at each balance
sheet date. As of December 31, 2007 and 2006, no impairment loss has been recognized.

As of December 31, 2007 and 2006, the carrying value of property and equipment amounted to 313.8 million and 310.0 million, respectively, for
the Group and 312.6 million and 308.3 million, respectively, for the Parent Company (see Note 10). As of December 31, 2007 and 2006, the
carrying value of computer software amounted to 20.5 million and 25.6 million, respectively (see Note 14).

Recognition of Deferred Tax Assets

Deferred tax assets are recognized for all deductible temporary difference to the extent that it is probable that taxable profit will be available
against which the deductible temporary differences can be utilized. Significant management judgment is required to determine the amount of
deferred income tax assets that can be recognized, based upon the likely timing and level of future taxable profits together with future tax planning
strategies.

As of December 31, 2007 and 2006, the Group and the Parent Company has recognized net deferred tax asset which amounted to 19.4 million
and 9.9 million, respectively (see Notes 14 and 21).

Present Value of Retirement Obligation

The present value of the obligation depends on certain factors that are determined on an actuarial basis using a number of assumptions. The
assumptions used in determining the net cost (income) for retirement include the expected long-term rate of return on the relevant plan assets
and the discount rate. Any changes in these assumptions will impact the carrying amount of retirement obligations.

The expected rate of return on assets of 10% was based on the market prices prevailing on that date applicable to the period over which the
obligation is to be settled. The assumed discount rates were determined using the market yields on Philippine government bonds with terms
consistent with the expected employee benefit payout as of balance sheet date.

As of December 31, 2007 and 2006, the present value of the defined benefit obligation amounted to 20.8 million and 13.6 million, respectively
for the Parent Company and 3.2 million and 3.3 million, respectively for SCCP (see Note 22).

4. FINANCIAL RISK MANAGEMENT OBJECTIVES AND POLICIES

The Group’s principal financial instruments consist of cash and cash equivalents, short-term investments, AFS investments, receivables and accounts
payable, accrued expenses and other liabilities and dividends payable. It is the Group’s policy not to engage in the trading of financial instruments.

The main risks arising from the Group’s financial instruments are liquidity risk, credit risk, interest rate risk and foreign currency risk. To further
strengthen the management of risk, the Group formally created the Internal Audit and Risk Management positions under the Corporate
Governance Office to specifically manage the enterprise-wide risks.

Liquidity Risk
Liquidity risk is the risk that an entity will encounter difficulty in raising funds to meet commitments associated with the financial instruments.
Liquidity risk may result from the inability to sell financial assets quickly at their fair values.

The Group seeks to manage its liquidity profile to be able to service its maturing liabilities and to finance capital requirements. The Group
maintains a level of cash and cash equivalents deemed sufficient to finance operations. As part of its liquidity risk management, the Group regularly
evaluates its projected and actual cash flows.
To meet the requirement for liquidity, adequate cash flow is provided for administrative/operating expenditures and capital expenses based
on projected funding requirements. All excess funds are invested in an organized investment mix of short-term and long-term investments to
achieve maximum returns.

The table below summarizes the maturity profile of the Group’s financial liabilities as of December 31, 2007 and 2006 based on contractual
undiscounted payments.

December 31, 2007

On demand Less than 3 months 3 to 12 months Total
Accounts payable, accrued expenses
and other current liabilities 27,639,996 85,433,138 45,364,649 158,437,783
Dividends payable 4,416,782 – – 4,416,782
Total financial liabilities 32,056,778 85,433,138 45,364,649 162,854,565

December 31, 2006

On demand Less than 3 months 3 to 12 months Total
Accounts payable, accrued expenses
and other current liabilities 27,833,004 52,009,672 31,469,979 111,312,655
Dividends payable 3,428,782 – – 3,428,782
Total financial liabilities 31,261,786 52,009,672 31,469,979 114,741,437

The table below summarizes the maturity profile of the Parent Company’s financial liabilities as of December 31, 2007 and 2006 based on
contractual undiscounted payments.

As of December 31, 2007

On demand Less than 3 months 3 to 12 months Total
Accounts payable, accrued expenses
and other current liabilities 23,219,773 82,474,302 45,364,648 151,058,723
Dividends payable 4,416,782 – – 4,416,782
Total financial liabilities 27,636,555 82,474,302 45,364,648 155,475,505

As of December 31, 2006

On demand Less than 3 months 3 to 12 months Total
Accounts payable, accrued expenses
and other current liabilities 22,846,949 49,485,344 31,469,979 103,802,272
Dividends payable 3,428,782 – – 3,428,782
Total financial liabilities 26,275,731 49,485,344 31,469,979 107,231,054

Credit Risk
Credit risk refers to the potential loss arising from any failure by counterparties to fulfill their obligations, as and when they fall due. The Group’s
credit exposure arises mainly from receivables from brokers on clearing related services for securities transactions, membership fees and other
fees, receivable from listed companies on listing maintenance fees and receivable from market data vendors for data feed charges. To minimize
credit risk, the Group monitors the financial health of clearing participants and takes note of participants with potential default.

The Group’s liabilities as a central counterparty are limited only to the extent of the value of the due to CTGF. In this regard, the Group
continuously builds up the CTGF through the monthly contributions collected from the clearing participants and collection of initial contributions
from new and returning trading participants. In addition, the Parent Company has policies in place where brokers, listed companies and market
data vendors are penalized either monetary, suspension or termination of services for nonpayment of their accounts.

The credit risk of the Group’s other financial assets, which comprise cash and cash equivalents and investments, arises from default of
the counterparty.

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2007 ANNUAL REPORT

The table below shows the maximum exposure to credit risk.

Consolidated Parent Company

2007 2006 2007 2006
Loans and receivables:
Cash and cash equivalents 195,410,208 150,646,848 159,461,818 82,947,056
Short-term investments 312,700,000 – 312,700,000 –
Receivables from
Brokers 70,081,079 33,166,000 55,010,675 18,848,064
Listed companies 74,166,837 26,158,342 74,166,837 26,158,342
Data vendors 5,110,180 7,457,869 5,110,180 7,457,869
Accrued interest receivable 30,919,311 28,690,370 27,602,206 28,007,188
Other receivables 2,265,554 2,879,855 3,250,138 3,239,951
AFS financial assets:
Short-term debt securities 563,918,275 555,997,850 368,691,542 536,823,970
Long-term debt securities 568,695,778 675,085,352 568,695,778 675,085,352
Unlisted equity securities 81,922,006 55,925,262 81,922,006 55,925,262
1,905,189,228 1,536,007,748 1,656,611,180 1,434,493,054

The following table provides information regarding the credit risk exposure of the Group as of December 31, 2007 by classifying financial assets
according to credit ratings of the counterparties:

Neither Past Due nor Impaired Past Due but

High Grade Medium Grade Low Grade Total not Impaired Total
Loans and receivables:
Cash and cash equivalents 195,410,208 – – 195,410,208 – 195,410,208
Short-term investments 312,700,000 – – 312,700,000 – 312,700,000
Receivables from
Brokers 41,950,871 24,720,611 – 66,671,482 3,409,597 70,081,079
Listed companies 50,095,116 – – 50,095,116 24,071,721 74,166,837
Data vendors 3,625,570 – – 3,625,570 1,484,610 5,110,180
Accrued interest receivable 30,919,311 – – 30,919,311 – 30,919,311
Other receivables 2,114,950 – – 2,114,950 150,604 2,265,554
AFS financial assets:
Short-term debt securities 563,918,275 – – 563,918,275 – 563,918,275
Long-term debt securities 568,695,778 – – 568,695,778 – 568,695,778
Unlisted equity securities – 3,078,000 – 3,078,000 – 3,078,000
Total financial assets 1,769,430,079 27,798,611 – 1,797,228,690 29,116,532 1,826,345,222

The following table provides information regarding the credit risk exposure of the Parent as of December 31, 2007 by classifying financial assets
according to credit ratings of the counterparties:

Neither Past Due nor Impaired Past Due but

High Gade Medium Grade Low Grade Total not Impaired Total
Loans and receivables:
Cash and cash equivalents 159,461,818 – – 159,461,818 – 159,461,818
Short-term investments 312,700,000 – – 312,700,000 – 312,700,000
Receivables from
Brokers 26,880,468 23,724,478 – 50,604,946 4,405,729 55,010,675
Listed companies 50,095,116 – – 50,095,116 24,071,721 74,166,837
Data vendors 3,625,570 – – 3,625,570 1,484,610 5,110,180
Accrued interest receivable 27,602,206 – – 27,602,206 – 27,602,206
Other receivables 3,099,534 – – 3,099,534 150,604 3,250,138
AFS financial assets
Short-term debt securities 368,691,542 – – 368,691,542 – 368,691,542
Long-term debt securities 568,695,778 – – 568,695,778 – 568,695,778
Unlisted equity securities – 3,078,000 – 3,078,000 – 3,078,000
Total financial assets 1,520,852,032 26,802,478 – 1,547,654,510 30,112,664 1,577,767,174
The credit quality of the financial assets was determined as follows:

Cash and cash equivalents, short-term investments - based on the nature of the counterparty. High grade pertains to cash and short-term
investments deposited or invested in local banks belonging to the Top 10 rank.

AFS investments - the debt securities are based on the nature of the counterparty; the unquoted equity securities are unrated.

Receivables - high grade pertains to receivables with no default in payment; medium grade pertains to receivables with up to 3 defaults in payment;
low grade pertains to receivables with more than 3 defaults in payment; and past due but not impaired pertains to recievables where payments
are past due but the Group believes that impairment is not appropriate on the basis of status of collection of amounts owed to the Group.

The Group does not have any significant exposure to any individual customer or counterparty nor does it have any major concentration of credit
risk related to any financial instrument.

In the selection of investment instruments, capital preservation is the primary consideration of the Group. With this objective, funds are basically
invested in government bonds and securities and duly registered with the Registry of Scripless Securities under the name of the Group. For US
dollar-denominated placements, the Group maintains a third party custodian bank.

The Treasury manager is responsible for the identification of investments that provide a relatively stable rate of return and submit these identified
investments to the Vice President for Finance & Investments Division who endorses it to the Treasurer or President for approval. The Exchange
is guided by a BOD approved investment policy guidelines. Any exemption to the set policy is subject to the approval of the BOD. In addition,
on a monthly basis, the Treasurer reports the investment portfolio performance and management’s performance associated with the investment
portfolio to the BOD.

Market Risk
The Group’s market risk (the risk of loss to future earnings, to fair values or to future cash flows that may result from changes in the price of a
financial instrument) originates from its holdings of debt securities. The value of a financial instrument may change as a result of changes in interest
rates, foreign currency exchanges rates and other market changes.

Fair Value Interest Rate Risk

The Group follows a prudent policy on managing its assets and liabilities so as to ensure that exposure to fluctuations in interest rates are kept
within acceptable limits. There are no floating rate financial assets and financial liabilities. Term deposits with banks and debt securities carry fixed
rates throughout the period of deposit or placement.

As of December 31, 2007, the effect of a 70 basis points increase or decrease in interest rate on equity of the Group is a (decrease) increase
amounting to ( 13,564,737) or 13,564,737, respectively, assuming other variables are held constant.

As of December 31, 2007, the effect of a 70 basis points increase or decrease in interest rate on equity of the Parent Company is a (decrease)
increase amounting to ( 12,881,290) or 12,881,290, respectively, assuming other variables are held constant.

Foreign Currency Risk

Foreign currency risk is the risk that the fair value of future cash flows of a financial instrument will fluctuate because of changes in foreign
currency exchange rates. The Exchange’s exposure to foreign currency risks arise primarily from US dollar transactions, mostly from cash and cash
equivalents and investments in debt securities.

The Group’s policy is to maintain foreign currency exposure within acceptable limits. The Group believes that its profile of foreign currency
exposure on its assets and liabilities is within conservative limits.

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2007 ANNUAL REPORT

 The following table summarizes the Group and Parent Company’s exposure to foreign currency exchange risk as of December 31, 2007 and 2006:

2007 2006
In USD In PhP In USD In PhP
Assets
Cash and cash equivalents $325,597 13,440,644 $146,023 7,159,508
Long-term AFS investments 2,401,602 116,986,776 2,407,933 139,388,841
Accounts receivable 112,088 4,626,993 224,490 11,006,745
$2,839,287 135,054,413 $2,778,446 157,555,094

As of December 31, 2007, the effect of a 5% increase or decrease in US dollar exchange rate on income before income tax and equity is an
increase (decrease) amounting to 901,571 or ( 901,571) and 540,943 or ( 540,943), respectively, assuming other variables are held constant.

5. FAIR VALUE MEASUREMENT

The table below presents a comparison of the carrying amounts and estimated fair values of the Group’s financial instruments:

Carrying Value Fair Value

2007 2006 2007 2006
Financial assets:
Loans and receivables:
Cash and cash equivalents 195,410,208 150,646,848 195,410,208 150,646,848
Short-term investments 312,700,000 – 312,700,000 –
Receivables from:
Brokers 74,510,236 37,527,370 70,081,078 33,166,000
Listed companies 78,535,315 30,587,820 74,166,837 26,158,342
Data vendors 5,110,180 12,721,604 5,110,180 7,457,869
Accrued interest receivable 30,919,311 28,690,370 30,919,311 28,690,370
Other receivable 2,265,554 2,879,855 2,265,554 2,879,855
AFS financial assets
Short-term debt securities 563,918,275 555,997,850 563,918,275 555,997,850
Long-term debt securities 568,695,778 675,085,352 568,695,778 675,085,352
Unquoted equity securities 105,778,657 70,128,657 81,922,066 55,925,262
508,110,208 150,646,848 508,110,208 150,646,848
Financial liabilities:
Accounts payable, accrued expenses
and other current liabilities 158,437,783 111,312,655 158,437,783 111,312,655
Dividends payable 4,416,782 3,428,782 4,416,782 3,428,782
162,854,565 114,741,437 162,854,565 114,741,437
 The table below presents a comparison of the carrying amounts and estimated fair values of the Parent Company’s financial instruments:

Carrying Value Fair Value

2007 2006 2007 2006
Financial assets:
Loans and receivable:
Cash and cash equivalents 159,461,818 82,947,056 159,461,818 82,947,056
Short-term investments 312,700,000 – 312,700,000 –
Receivables from:
Brokers 59,439,833 23,209,434 55,010,675 18,848,064
Listed companies 78,535,315 30,587,820 74,166,837 26,158,342
Data vendors 5,110,180 12,721,604 5,110,180 7,457,869
Accrued interest receivable 27,602,206 28,007,188 27,602,206 28,007,188
Other receivables 3,250,138 3,239,951 3,250,138 3,239,951
AFS financial assets
Short-term debt securities 368,691,542 536,823,970 368,691,542 536,823,970
Long-term debt securities 568,695,778 675,085,352 568,695,778 675,085,352
Unquoted equity securities 105,778,657 70,128,657 81,922,066 55,925,262
1,689,265,467 1,462,751,032 1,656,611,240 1,434,493,054
Financial liabilities:
Accounts payable, accrued expenses
and other current liabilities 151,058,723 103,802,272 151,058,723 103,802,272
Dividends payable 4,416,782 3,428,782 4,416,782 3,428,782
155,475,505 107,231,054 155,475,505 107,231,054

The methods and assumptions used by the Group in estimating the fair value of the financial instruments are:

Cash and cash equivalents - the fair value approximates the carrying amounts at initial recognition.

Short-term investments - the fair value approximates the carrying amounts at initial recognition.

Loans and receivables - due to short-term nature of the transactions, the carrying amounts approximate fair values.

AFS investments
Investments in government securities - fair values are generally based upon quoted market prices.

Investment in unquoted equity securities - carried at cost less allowance for impairment losses due to unpredictable nature of future cash flows
and the lack of other suitable methods of arriving at a reliable fair value.

Accounts payable, accrued expenses and other current liabilities - due to short-term nature of the transactions, the carrying amounts approximate fair values.

Dividends payable - the carrying amount approximates fair value.

6. CASH AND CASH EQUIVALENTS

This account consists of:

Consolidated Parent Company

2007 2006 2007 2006
Cash on hand and in banks 67,410,208 105,846,848 31,461,818 38,147,056
Cash equivalents 128,000,000 44,800,000 128,000,000 44,800,000
195,410,208 150,646,848 159,461,818 82,947,056

Cash equivalents represent time deposits with original maturity of three months or less from dates of placement and earn interest rates ranging
from 4.50% to 6.25% in 2007, from 4.75% to 5.88% in 2006 and from 5.60% to 14.50% in 2005.
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2007 ANNUAL REPORT

7. SHORT-TERM INVESTMENTS

This pertains to investment in time deposit and investments made through a Directional Investment Management Account with a local bank where
funds are invested in special deposit account facility of the Bangko Sentral ng Pilipinas with maturity of more than three months but less than one
year from dates of placement and earns interest rates ranging from 5.31% to 6.50% in 2007.

8. AFS INVESTMENTS

This account consists of:

Consolidated Parent Company

2007 2006 2007 2006
Short-term government debt securities 563,918,275 555,997,850 368,691,542 536,823,970
Long-term:
Government Debt securities
Peso 451,709,002 535,696,511 451,709,002 535,696,511
US dollar 116,986,776 139,388,841 116,986,776 139,388,841
568,695,778 675,085,352 568,695,778 675,085,352
Unlisted equity securities 105,778,657 70,128,657 105,778,657 70,128,657
Less allowance for impairment loss 23,856,651 14,203,395 23,856,651 14,203,395
81,922,006 55,925,262 81,922,006 55,925,262
650,617,784 731,010,614 650,617,784 731,010,614
1,214,536,059 1,287,008,464 1,019,309,326 1,267,834,584

Peso-denominated debt securities earn annual interest rates ranging from 8.38% to 11.88% in 2007, from 10.13% to 11.88% in 2006 and 9.00% to
12.37% in 2005 while US dollar-denominated debt securities earn annual interest rates ranging from 8.00% to 9.88% in 2007 and 2006 and from
8.25% to 9.88% in 2005.

As of December 31, 2007 and 2006, the net unrealized gain on AFS investments amounted to 57.6 million and 78.2 million, respectively, for the
Group and 57.9 million and 78.1 million, respectively, for the Parent Company. Movements in unrealized market gain or loss on AFS investments
are as follows:

Consolidated Parent Company

2007 2006 2007 2006
Beginning balance 78,150,920 22,530,388 78,148,222 22,328,911
Realized gains transferred to statement of income (95,086) – (95,086) –
Unrealized gains (losses) for the year (20,449,654) 55,620,532 (20,194,208) 55,819,311
Ending balance 57,606,180 78,150,920 57,858,928 78,148,222

The maturity profile of the investment in debt securities follows:

Consolidated Parent Company

2007 2006 2007 2006
Within one year 563,918,275 555,997,850 368,691,542 536,823,970
1 - 2 years 216,037,046 186,151,302 216,037,046 186,151,302
More than two years 352,658,732 488,934,050 352,658,732 488,934,050
1,132,614,053 1,231,083,202 937,387,320 1,211,909,322

The unlisted equity securities consist of:

2007 2006
Philippine Dealing System Holdings Corporation (PDS Holdings) 102,700,657 67,050,657
The Manila Southwoods Golf Club 3,078,000 3,078,000
105,778,657 70,128,657
Less allowance for impairment losses 23,856,651 14,203,395
81,922,006 55,925,262
 Changes in the allowance for impairment losses follow:

2007 2006
Balance at beginning of year 14,203,395 6,404,090
Provision for impairment losses 9,653,256 7,799,305
Balance at end of year 23,856,651 14,203,395

In 2007 and 2006, the Parent Company recognized impairment loss on its investment in PDS Holdings based on the unaudited financial statements
of the investee company as of the balance sheet dates, since the Parent Company cannot determine reliably the future estimated cash flows of the
investee company.

On August 22, 2007, the BOD of the Parent Company approved the top-up of investment in PDS Holdings to 20% of the latter’s equity equivalent
to 70.0 million. On November 13, 2007, the Parent Company and PDS Holdings entered into a Subscription Agreement (the Agreement)
whereas the Parent Company will subscribe to 700,000 additional shares at par value of 100 per share. The additional subscription shall be made
in two (2) tranches as follows:

a. 35.65 million equivalent to 356,500 common shares to come from PDS Holding’s unissued authorized capital stock upon execution of the
Agreement; and
b. 34.35 million equivalent to 343,500 common shares upon acceptance by the Exchange of the assignment by BAP Credit Bureau, Inc. (BCBI)
of its unpaid subscription to the authorized capital stock of PDS Holdings and after paying to BCBI the consideration of 1.00.

On November 12, 2007, the Parent Company infused additional capital into PDS Holdings amounting to 35.65 million, representing the first
tranche of subscription at 100 par value, equivalent to 356,500 shares.

9. RECEIVABLES

This account consists of:

Consolidated Parent Company

2007 2006 2007 2006
Receivables from:
Brokers (Note 24) 74,510,236 37,527,370 59,439,833 23,209,434
Listed companies 78,535,315 30,587,820 78,535,315 30,587,820
Data vendors 5,110,180 12,721,604 5,110,180 12,721,604
Accrued interest receivable 30,919,311 28,690,370 27,602,206 28,007,188
Other receivables 2,265,554 2,879,855 3,250,138 3,239,951
Total 191,340,597 112,407,019 173,937,672 97,765,997
Less allowance for impairment losses 8,797,636 14,054,583 8,797,636 14,054,583
182,542,961 98,352,436 165,140,036 83,711,414

Under the Parent Company’s rule, all trading rights are pledged at its full value to secure the payment of debts due to the Parent Company and
other brokers of the Parent Company arising out of or in connection with the present or future brokers’ contracts. Based on the latest transaction
in 2007 and 2006, the transacted price of a trading right amounted to 8.0 million and 5.0 million, respectively.

As of December 31, 2007, receivables from brokers and listed companies with carrying value of 8.8 million and 14.1 million, which were
specifically identified to be impaired, were fully provided with allowance.

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2007 ANNUAL REPORT

The aging analysis of receivables that are past due but not impaired as of December 31, 2007 follows:

Consolidated

Past due but not impaired

Neither past due 30 > 60 60 > 120 120 > 180
nor impaired days days days > 180 days Total
Receivables from:
Brokers 66,671,482 1,995,926 353,133 193,844 866,694 70,081,079
Listed companies 50,095,116 – 21,423,990 113,200 2,534,531 74,166,837
Data vendors 3,625,570 – 424,193 567,853 492,564 5,110,180
Accrued interest receivable 30,919,311 – – – – 30,919,311
Other receivables 2,114,950 – 11,325 110,334 28,945 2,265,554
153,426,429 1,995,926 22,212,641 985,231 3,922,734 182,542,961

Parent Company

Past due but not impaired

Neither past due 30 > 60 60 > 120 120 > 180
nor impaired days days days > 180 days Total
Receivables from:
Brokers 50,604,946 2,992,058 353,133 193,844 866,694 55,010,675
Listed companies 50,095,116 – 21,423,990 113,200 2,534,531 74,166,837
Data vendors 3,625,570 – 424,193 567,853 492,564 5,110,180
Accrued interest receivable 27,602,206 – – – – 27,602,206
Other receivables 3,099,534 – 11,325 110,334 28,945 3,250,138
135,027,372 2,992,058 22,212,641 985,231 3,922,734 165,140,036

Changes in the allowance for impairment losses follow:

2007
Brokers Listed Companies Data Vendors Total
Balance at beginning of year 4,361,370 4,429,478 5,263,735 14,054,583
Provision for impairment losses 67,788 399,000 – 466,788
Accounts written off – – (5,227,985) (5,227,985)
Recoveries – (460,000) (35,750) (495,750)
Balance at end of year 4,429,158 4,368,478 – 8,797,636

2006
Brokers Listed Companies Data Vendors Others Total
Balance at beginning of year 4,400,870 2,680,488 5,717,396 918,089 13,716,843
Provision for impairment losses – 2,113,746 – 10,304 2,124,050
Accounts written off (39,500) (440,000) (203,418) (928,393) (1,611,311)
Recoveries – – (174,999) – (174,999)
Balance at end of year 4,361,370 4,354,234 5,263,735 – 14,054,583
10. PROPERTY AND EQUIPMENT

The composition of and movements in property and equipment are as follows:

Consolidated

December 31, 2007

Office
Furniture, Donated
Trading Computer Fixtures and Shares in a
System Building Hardware and Communication Transportation Utilities and Condominium
Buildings Equipment Improvements Peripherals Equipment Equipment Others Corporation Total
Cost
At beginning of year 224,895,034 169,014,382 120,248,730 120,536,311 55,087,016 9,575,274 1,997,196 155,690,154 857,044,097
Additions – 13,848,533 168,303 11,912,416 2,592,952 5,356,250 91,071 – 33,969,525
Disposals – – – – – (1,545,273) (188,240) – (1,733,513)
At end of year 224,895,034 182,862,915 120,417,033 132,448,727 57,679,968 13,386,251 1,900,027 155,690,154 889,280,109
Accumulated Depreciation
At beginning of year 107,998,451 163,269,399 117,124,697 99,957,442 52,365,421 5,025,472 1,307,832 – 547,048,714
Depreciation 8,995,801 1,517,939 769,075 15,106,157 1,346,891 1,490,610 54,063 – 29,280,536
Disposals – – – – – (860,428) – – (860,428)
At end of year 116,994,252 164,787,338 117,893,772 115,063,599 53,712,312 5,655,654 1,361,895 – 575,468,822
Net Book Value 107,900,782 18,075,577 2,523,261 17,385,128 3,967,656 7,730,597 538,132 155,690,154 313,811,287

December 31, 2006

Office
Furniture, Donated
Trading Computer Fixtures and Shares in a
System Building Hardware and Communication Transportation Utilities and Condominium
Buildings Equipment Improvements Peripherals Equipment Equipment Others Corporation Total
Cost
At beginning of year 224,895,034 168,720,776 120,062,885 102,222,021 54,117,113 9,160,630 1,663,962 155,690,154 836,532,575
Additions – 293,606 185,845 18,314,290 969,903 1,349,644 333,234 – 21,446,522
Disposals – – – – – (935,000) – – (935,000)
At end of year 224,895,034 169,014,382 120,248,730 120,536,311 55,087,016 9,575,274 1,997,196 155,690,154 857,044,097
Accumulated Depreciation
At beginning of year 99,002,649 161,665,932 116,328,509 92,449,631 51,172,529 4,436,777 1,245,631 – 526,301,658
Depreciation 8,995,802 1,603,467 796,188 7,507,811 1,192,892 1,523,694 62,201 – 21,682,055
Disposals – – – – (934,999) – – (934,999)
At end of year 107,998,451 163,269,399 117,124,697 99,957,442 52,365,421 5,025,472 1,307,832 – 547,048,714
Net Book Value 116,896,583 5,744,983 3,124,033 20,578,869 2,721,595 4,549,802 689,364 155,690,154 309,995,383

Parent Company

December 31, 2007

Office
Furniture, Donated
Trading Computer Fixtures and Shares in a
System Building Hardware and Communication Transportation Utilities and Condominium
Buildings Equipment Improvements Peripherals Equipment Equipment Others Corporation Total
Cost
At beginning of year 224,895,034 169,014,382 116,586,290 110,298,127 54,368,414 8,893,456 1,997,196 155,690,154 841,743,053
Additions – 13,848,533 168,303 11,163,929 2,519,202 5,356,250 91,071 – 33,147,288
Disposals – – – – – (1,545,273) (188,240) – (1,733,513)
At end of year 224,895,034 182,862,915 116,754,593 121,462,056 56,887,616 12,704,433 1,900,027 155,690,154 873,156,828
Accumulated Depreciation
At beginning of year 107,998,451 163,269,399 113,462,270 90,941,884 51,646,838 4,832,290 1,307,832 – 533,458,964
Depreciation 8,995,801 1,517,939 769,075 13,942,924 1,338,067 1,354,246 54,063 – 27,972,115
Disposal/Retirement – – – – – (860,428) – – (860,428)
At end of year 116,994,252 164,787,338 114,231,345 104,884,808 52,984,905 5,326,108 1,361,895 – 560,570,651
Net Book Value 107,900,782 18,075,577 2,523,248 16,577,248 3,902,711 7,378,325 538,132 155,690,154 312,586,177
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2007 ANNUAL REPORT

 December 31, 2006
Office
Furniture, Donated
Trading Computer Fixtures and Shares in a
System Building Hardware and Communication Transportation Utilities and Condominium
Buildings Equipment Improvements Peripherals Equipment Equipment Others Corporation Total
Cost
At beginning of year 224,895,034 168,720,776 116,400,445 92,080,373 53,398,511 7,543,812 1,663,964 155,690,154 820,393,069
Additions – 293,606 185,845 18,217,754 969,903 1,349,644 333,232 – 21,349,984
At end of year 224,895,034 169,014,382 116,586,290 110,298,127 54,368,414 8,893,456 1,997,196 155,690,154 841,743,053
Accumulated Depreciation
At beginning of year 99,002,649 161,665,932 112,692,270 84,368,568 50,453,946 3,444,960 1,245,633 – 512,873,958
Depreciation 8,995,802 1,603,467 770,000 6,573,316 1,192,892 1,387,330 62,199 – 20,585,006
At end of year 107,998,451 163,269,399 113,462,270 90,941,884 51,646,838 4,832,290 1,307,832 – 533,458,964
Net Book Value 116,896,583 5,744,983 3,124,020 19,356,243 2,721,576 4,061,166 689,364 155,690,154 308,284,089

Buildings represent properties donated by Philippine Realty and Holdings Corporation (PRHC) and Ayala Land, Inc. (ALI) and a condominium unit
at the Philippine Stock Exchange Centre in Pasig City purchased at 5.2 million.

Trading system equipment represents software and hardware costs. Software costs can no longer be separately classified as this is an integral part
of the related hardware.

11. INVESTMENT IN A SUBSIDIARY

This account consists of investment in SCCP, a wholly owned subsidiary of the Parent Company amounting to 69.5 million as of December 31,
2007 and 2006.

12. INVESTMENT OF CLEARING AND TRADE GUARANTY FUND

This account consists of:

2007 2006
Principal contributions from:
Brokers
Balance at beginning of year 119,612,720 124,383,973
Contributions 22,346,955 6,659,352
Refund – (11,430,605)
Balance at end of year 141,959,675 119,612,720
The Exchange 80,000,000 80,000,000
Accumulated income:
Balance at beginning of year 122,691,996 106,055,169
Interest income - net of management fee of 361,023 in 2007 and 322,627 in 2006 16,010,522 16,636,827
Balance at end of year 138,702,518 122,691,996
Net unrealized gains on AFS investments 659,923 2,922,747
139,362,441 125,614,743
361,322,116 325,227,463

The CTGF is a credit management tool designed to protect the market against settlement risks of clearing brokers. Each broker-member’s
contribution is equivalent to 1/1,000 of 1.00% of his total turnover value.

In June 2007, the SEC approved the Company’s request to implement the increase in monthly contributions to the CTGF by active clearing
members to 1/500 of 1% of the members’ trade value effective August 1, 2007.

In order for SCCP to effectively implement its Fails Management and Buy-in/Sell-out functions, the CTGF must be adequate to cover any unsettled
trades of any broker on any settlement day. The Parent Company will engage in discussions with the SEC on any outstanding matters relating to the CTGF.
 As of December 31, 2007 and 2006, the assets of the CTGF (included under Investments of CTGF account in the consolidated balance sheet)
consist of:

2007 2006
Cash in bank 14,118,245 13,562,296
Accounts receivable 2,135,460 800,969
Accrued interest receivable 7,129,621 6,302,200
AFS investments - debt securities 338,299,813 304,884,625
361,683,139 325,550,090
Less accrued management fees 361,023 322,627
361,322,116 325,227,463

The CTGF is invested as follows:

a. Securities issued or guaranteed by the Republic of the Philippines; and

b. Such other investments as the SCCP’s BOD may approve taking into consideration the liquidity requirements of the clearing fund.

Any proceeds from the CTGF shall not be used for any purpose other than for:

a. Payment of the net money obligations of a defaulting buying member in order to settle a failed trade;
b. Buy-in of relevant securities due from a defaulting selling member in order to settle a failed trade;
c. The satisfaction of losses, liabilities and expenses of SCCP incidental to the operation of its clearing and settlement functions and the
management of the CTGF;
d. Payment of premium on any insurance policy taken for the CTGF; and
e. The return of contributions as may be determined by the BOD of SCCP.

On January 28, 2003, the BOD of SCCP approved the amendment of its rules on CTGF providing for the non-refund of all CTGF contributions
of brokers.

On June 19, 2003, the BOD of SCCP approved the assessment of a management fee at 0.10% of the CTGF fund level as of the close of the year for
the management and administration of CTGF.

For financial statements presentation, the CTGF as of December 31, 2007 and 2006, are presented in the asset section of the balance sheet under
Investments of CTGF and in the liabilities section of the balance sheet under Due to CTGF.

13. INVESTMENT OF CREDIT RING AGREEMENT FUND

On January 29, 2001, the SEC approved SCCP’s request that all clearing members whose net negative exposures amount to 1.0 million or below
shall be exempted from the daily collateral collection being required by SCCP. The said request was made to improve the efficiency of SCCP’s
mark-to-market collateral deposit system. The said approval is subject to the following conditions:

a. SCCP, via a one-time contribution by the Credit Ring Agreement (CRA) participating clearing brokers or by the Parent Company on behalf of
its members who are also the CRA participating clearing brokers, shall set aside the amount of 10.0 million for the sole purpose of covering
the aggregate net negative exposures of all clearing brokers participating in the CRA whose computed individual exposure amounts to 1.0
million and below;
b. A CRA, to be participated in and signed by all participating clearing brokers, shall be organized. A CRA is a scheme wherein the participating
brokers agree to pay up, pro rata, the deficit between the total net negative exposures of failing brokers and the amount of 10.0 million
special fund;
c. The size of the fund shall be reviewed quarterly by SCCP for resizing; and
d. SCCP shall promptly make the necessary amendments to existing rules and operating procedures to reflect the necessary changes.

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2007 ANNUAL REPORT

 In connection with the above conditions, the Parent Company advanced, on behalf of its brokers, 10.0 million to a special fund set up by SCCP
relative to the credit ring agreement described above. The said fund was invested by SCCP in short-term money market placements. The interest
income from said money market placements is recognized as income of the Parent Company.

On September 26, 2006, the SCCP BOD decided to revoke the CRA and implement full collateralization for all clearing members. Following
SCCP Rule 8.2.6, a 90-day notice to the clearing members was published by SCCP on October 17, 2006. Effective January 16, 2007, the CRA was
revoked and all concerned clearing members are required to fully collateralize their net negative exposure. As of December 31, 2006, 63 active
brokers signed the CRA.

The SCCP’s BOD further resolved the dissolution of the Mark-to-Market Collateral Deposit (MMCD) Fund amounting to 10.0 million, which was
advanced by the Parent Company for the purpose of covering calculated aggregate net negative exposures of clearing members participating in
CRA, and the return of the said amount to the Parent Company upon effectivity of the dissolution of the CRA.

As of December 31, 2006, the funds of CRA are invested mainly in government securities. These are classified as short-term AFS investments with
unrealized loss of 10,102 in 2006.

On February 22, 2007, the BOD approved the return of the MMCD Fund to the Parent Company amounting to 10.0 million.

For financial statements presentation, CRAF as of December 31, 2006 are presented in the asset section of the balance sheet under Investment of
CRAF and in the liabilities section of the balance sheet under Due to CRAF.

14. OTHER ASSETS

This account consists of:

Consolidated Parent Company

2007 2006 2007 2006
Computer software - net 20,546,519 25,632,657 – –
Deferred tax assets - net (Note 21) 19,458,362 9,935,708 19,458,362 9,935,708
Deposits in bank 14,346,900 20,518,846 14,346,900 20,518,846
Other investment (Note 16) 10,480,181 10,480,181 10,480,181 10,480,181
Retirement asset (Note 22) 3,045,635 318,612 3,045,635 318,612
Advances to brokers related to CRAF
(Notes 13 and 24) – 10,000,000 – 10,000,000
Others 176,525 779,738 176,524 779,738
68,054,122 77,665,742 47,507,602 52,033,085

Deposits in bank include matured investments with a local bank, which declared a bank holiday and was subsequently placed under receivership
amounting to 9.1 million in 2006. The Parent Company shall be repaid based on a repayment plan approved by the Parent Company’s BOD on
August 8, 2001. The payments received by the Parent Company were in accordance with the foregoing plan. In April 2007, these investments
were fully paid to the Exchange.

As of December 31, 2007 and 2006, deposits in bank also include 14.4 million and 11.4 million, respectively, representing the aggregate security
deposit for the surety bonds posted by the Parent Company in favor of the National Labor Relations Commission (NLRC) in connection with
pending labor cases which are on appeal. Under the Rules of the NLRC, the said amount may not be withdrawn by the Parent Company until
final disposition of the cases.

Other investments pertain to the donation of FBDC in favor of the Parent Company of 10,480,181 shares of Crescent West Development
Corporation (CWDC). This is further discussed in Note 16.
 The movements in the computer software follow:

2007 2006
Cost
Balance at beginning of year 36,055,809 36,055,809
Additions 128,116 –
Balance at end of year 36,183,925 36,055,809
Accumulated amortization
Balance at beginning of year 10,423,152 5,217,228
Amortization 5,214,254 5,205,924
Balance at end of year 15,637,406 10,423,152
Net book value 20,546,519 25,632,657

15. ACCOUNTS PAYABLE, ACCRUED EXPENSES AND OTHER CURRENT LIABILITIES

This account consists of:

Consolidated Parent Company

2007 2006 2007 2006
Due to SEC 68,278,264 24,560,356 68,278,264 24,560,356
Accrued employee benefits 20,989,115 15,565,890 20,989,115 15,565,890
Accrued expenses 19,860,559 32,696,054 17,930,055 24,825,575
Accounts payable 18,378,133 18,516,669 19,297,363 18,876,765
Funds held in trust 10,284,820 8,584,609 10,284,820 8,584,609
Taxes payable 9,627,894 5,746,097 6,939,228 5,059,678
Others 11,018,998 5,642,980 7,339,878 6,329,399
158,437,783 111,312,655 151,058,723 103,802,272

Due to SEC represents license fees to operate an exchange imposed under Section 35 of the SRC entitled “Additional Fees of Exchanges”, which
are subsequently billed and collected from active trading participants.

Funds held in trust represents balance of the funds of suspended brokers collected by the Parent Company in behalf of the Compliance
Surveillance Group.

16. DONATED CAPITAL

As of December 31, 2007 and 2006, this account consists of donations from:

ALI (Note 10) 235,690,154

PRHC (Note 10) 139,542,000
FBDC (Note 14) 10,480,181
United States Agency International Development 1,925,250
387,637,585

On November 12, 2002, Fort Bonifacio Development Corporation (FBDC) and the Parent Company executed a Definitive Agreement with
the following salient terms and conditions: (i) the Parent Company agrees to relocate its headquarters, majority of its management offices and
its unified trading operations in equity securities for the National Capital Region to the Bonifacio Global City; (ii) CWDC shall be the corporate
vehicle to which FBDC shall contribute the land as additional capital and the shares of which shall eventually be donated to the Parent Company;
and (iii) the FBDC and the Parent Company agree to develop the land and construct the building that will house the Parent Company’s
headquarters, majority of its management offices and its unified trading operations in equity securities for the National Capital Region.

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2007 ANNUAL REPORT

 Based on such agreement, all outstanding shares of stocks of CWDC shall be donated by FBDC to the Parent Company on the following dates:

Date of Donation %/Number of Shares to be Donated

January 7, 2005 14.32% or 5,247,419 shares
January 7, 2006 14.28% or 5,232,762 shares
January 7, 2007 14.28% or 5,232,762 shares
January 7, 2008 14.28% or 5,232,762 shares
January 7, 2009 14.28% or 5,232,762 shares
January 7, 2010 14.28% or 5,232,762 shares
January 7, 2011 14.28% or 5,232,762 shares

Following the Definitive Agreement, on January 7, 2006 and 2005, FBDC executed a Deed of Conditional Donation in favor of the Parent
Company, which covers the transfer of 5,232,762 shares and 5,247,419 shares of CWDC, respectively, for 10.5 million, such shares received were
classified as Other investments (see Note 14).

In June 2007, the donation of all remaining CWDC shares was deferred pending negotiations among the Parent Company, FBDC and ALI for the
joint development, pursuant to a Memorandum of Understanding dated April 26, 2007, of an iconic office building in Bonifacio Global City for the
relocation of the Parent Company’s headquarters, majority of its management offices and unified trading operations in equities securities for the
National Capital Region to the Bonifacio Global City.

17. EQUITY

Capital stock consists of:

2007 2006
Capital stock - 1.00 par value
Authorized - 36,800,000 shares
Issued - 15,277,513 shares 15,277,513 15,277,513
Additional paid-in capital 976,506,942 976,506,942
Treasury stock (2) (1)
991,784,453 991,784,454

In 2006, the Parent Company’s BOD appropriated portion of its retained earnings amounting to 3.0 million to cover cases filed against the Parent
Company, its directors and/ or officers (see Note 26).

Details of the Parent Company’s dividend distribution follow:

Dividend
Date of Declaration Per Share Total Amount Record Date Payment Date
February 9, 2005 5.00 76,387,525 February 28, 2005 March 15, 2005
February 22, 2006 5.76 87,998,429 March 9, 2006 March 24, 2006
February 14, 2007 8.80 134,442,044 March 1, 2007 March 15, 2007

Capital Management
The Group’s objectives when managing capital are (a) to safeguard the Group’s ability to continue as a going concern, so that it continues to
provide returns for shareholders and benefits for other stakeholders; (b) to support the Group’s stability and growth; and (c) to provide capital for
the purpose of strengthening the Group’s risk management capability.
 The Group considers the following as capital:

Consolidated Parent Company

2007 2006 2007 2006
Capital stock 15,277,513 15,277,513 15,277,513 15,277,513
Additional paid-in capital 976,506,942 976,506,942 976,506,942 976,506,942
Retained earnings
Unappropriated 584,554,180 285,577,394 411,136,212 247,674,858
Donated capital 387,637,585 387,637,585 387,637,585 387,637,585
Appropriated 3,000,000 3,000,000 3,000,000 3,000,000
Treasury stock (2) (1) (2) (1)
1,966,976,218 1,667,999,433 1,793,558,250 1,630,096,897

The Group actively and regularly reviews and manages its capital structure to ensure optimal capital structure and shareholder returns, taking
into consideration the future capital requirements of the Group and capital efficiency, prevailing and projected profitability, projected operating
cash flows, projected capital expenditures and projected strategic investment opportunities. No changes were made in the objectives, policies or
processes as of December 31, 2007 and December 31, 2006.

The Group adopts a practice of providing shareholders with regular dividends.

18. INTEREST INCOME

This account consists of interest income from:

Consolidated Parent Company

2007 2006 2005 2007 2006 2005
AFS investments 106,120,160 112,777,808 107,796,367 100,218,306 111,555,808 107,377,752
Short-term investments 4,112,746 – – 4,112,746 – –
Cash equivalents 824,134 303,048 335,376 824,134 303,048 335,376
Cash in bank 699,570 829,531 392,026 269,544 232,207 141,811
Others 580,973 80,968 579,242 580,973 80,968 579,242
112,337,583 113,991,355 109,103,011 106,005,703 112,172,031 108,434,181

19. COMPENSATION AND OTHER RELATED STAFF COSTS

This account consists of:

Consolidated Parent Company

2007 2006 2005 2007 2006 2005
Salaries and wages 82,653,272 76,529,053 59,709,918 75,802,382 70,484,377 56,306,890
Retirement and separation cost
(Note 22) 8,970,849 3,720,225 30,916,130 7,989,992 3,076,344 30,916,130
Other employee benefits 52,524,806 36,895,965 21,809,639 47,729,477 37,117,425 20,544,911
144,148,927 117,145,243 112,435,687 131,521,851 110,678,146 107,767,931

72 / 73

2007 ANNUAL REPORT

20. OCCUPANCY COSTS

This account consists of:

Consolidated Parent Company
2007 2006 2005 2007 2006 2005
Utilities 20,316,436 18,683,889 16,263,404 19,949,025 17,796,857 15,903,404
Condominium dues 9,930,078 9,516,601 9,358,096 9,930,078 9,516,601 9,358,096
Security and janitorial services 8,081,996 7,808,945 6,767,637 8,081,997 7,808,945 6,767,637
38,328,510 36,009,435 32,389,137 37,961,100 35,122,403 32,029,137

21. INCOME TAXES

R.A. No. 9337, An Act Amending National Internal Revenue Code, provides that effective July 1, 2005, the RCIT rate shall be 35% until December
31, 2008. Starting January 1, 2009, the RCIT rate shall be 30%.

The provision for income tax consists of:

Consolidated Parent Company

2007 2006 2005 2007 2006 2005
Corporate 204,459,332 35,206,404 – 128,627,209 17,993,248 –
Final 21,645,018 23,432,559 21,078,427 20,378,642 23,068,693 20,944,661
Deferred (9,522,654) 1,647,946 (4,271,333) (9,522,654) (5,171,289) 2,547,902
MCIT – – 4,014,725 – – 3,521,981
216,581,696 60,286,909 20,821,819 139,483,197 35,890,652 27,014,544

The components of the net deferred tax assets (included under the Other assets account in the balance sheets) are as follows:

Consolidated Parent Company

2007 2006 2007 2006
Deferred tax asset on:
Accrued expenses 7,542,190 – 7,542,190 –
Unrealized foreign currency exchange losses 7,450,552 4,857,514 7,450,552 4,857,514
Allowance for impairment losses 3,079,173 4,919,104 3,079,173 4,919,104
Unamortized past service costs 2,452,419 270,604 2,452,419 270,604
20,524,334 10,047,222 20,524,334 10,047,222
Deferred tax liability on retirement asset (1,065,972) (111,514) (1,065,972) (111,514)
19,458,362 9,935,708 19,458,362 9,935,708

The SCCP did not recognize the deferred income tax effects on the temporary difference from retirement liability amounting to 0.9 million and
0.5 million, as of December 31, 2007 and 2006, respectively, since management believes that these deductible temporary differences may not be
realized in the future.

Current tax regulations defines expenses to be classified as entertainment, amusement and recreation (EAR) expenses and sets a limit for the
amount that is deductible for tax purposes. EAR expenses are limited to 1% of net revenue for sellers of services. EAR expenses incurred
amounted to 0.7 million in 2007, 0.6 million in 2006 and 0.5 million in 2005 by the Group and 0.7 million in 2007, 0.5 million in 2006 and
2005 by the Parent Company.
 The reconciliation of provision for income tax computed at the statutory corporate income tax rate to provision for income tax shown in the
statements of income follows:

Consolidated Parent Company

2007 2006 2005 2007 2006 2005
At statutory income tax rate 227,500,289 102,403,848 45,703,799 153,085,308 76,843,047 41,193,263
Adjustments for:
Change in unrecognized
deferred tax assets 343,300 (25,652,524) (10,501,928) – (24,760,877) 117,729
Interest income subjected
to final tax (39,318,154) (39,896,974) (35,458,479) (37,101,996) (39,260,211) (35,241,109)
Nondeductible expenses 6,420,606 – – 6,420,606 – –
Dividend income (9,363) – – (3,299,363) – –
Final tax paid 21,645,018 23,432,559 21,078,427 20,378,642 23,068,693 20,944,661
Provision for income tax 216,581,696 60,286,909 20,821,819 139,483,197 35,890,652 27,014,544

22. RETIREMENT PLAN

The Parent Company has a funded noncontributory defined benefit retirement plan, while SCCP has an unfunded noncontributory defined
benefit retirement plan covering all their regular employees. The benefits are consolidated based on years of service and compensation per year
of credited service.

The Parent Company’s retirement fund is being managed by a local bank.

The principal actuarial assumptions used in determining retirement liability as of January 1, 2007 and 2006 are shown below:

Parent Company SCCP

2007 2006 2007 2006
Discount rate 7.40% 12.00% 7.15% 12.00%
Expected rate of return on assets 10.00% 10.00% – –
Future salary increases 6.00% 6.00% 10.00% 12.00%

As of December 31, 2007 and 2006, discount rates used are 7.42% and 7.40%, respectively, by the Parent Company and 10.32% and 7.15%,
respectively by SCCP.

The overall expected rate of return on plan assets is determined based on the market prices prevailing on that date applicable to the period over
which the obligation is to be settled.

Actuarial valuation of the Parent Company is generally made every year. The latest actuarial valuation studies of the retirement plan of the Parent
Company and SCCP was made on December 31, 2007.

The retirement asset (included under Other assets) recognized in the balance sheets of the Parent Company as of December 31, 2007 and 2006
are as follows:

2007 2006
Present value of the obligation 20,849,048 13,582,821
Fair value of plan assets (16,009,167) (5,580,768)
4,839,881 8,002,053
Unrecognized actuarial losses (7,885,516) (8,320,665)
Net retirement asset ( 3,045,635) ( 318,612)

74 / 75

2007 ANNUAL REPORT

The net unfunded retirement obligation recognized in the balance sheets of SCCP as of December 31, 2007 and 2006 are as follows:

2007 2006
Present value of the obligation 3,172,776 3,252,779
Unrecognized actuarial losses (677,422) (1,738,282)
Net unfunded retirement obligation 2,495,354 1,514,497

The movements in the retirement asset of the Parent Company as of December 31, 2007 and 2006 are as follows:

2007 2006
Balance at beginning of year ( 318,612) ( 2,411,456)
Retirement expense 7,629,992 2,092,844
Contributions paid (10,357,015) –
Balance at end of year ( 3,045,635) ( 318,612)

The movements in the unfunded retirement obligation recognized in SCCP’s balance sheets follow:

2007 2006
Balance at beginning of year 1,514,497 870,616
Retirement cost 980,857 643,881
Balance at end of year 2,495,354 1,514,497

Changes in the present value of the defined benefit obligation are as follows:

Parent Company SCCP

2007 2006 2007 2006
Balance at beginning of year 13,582,821 11,559,765 3,252,779 1,384,460
Interest cost 1,005,129 1,387,172 232,574 166,135
Current service cost 4,232,092 2,049,267 654,083 463,308
Benefits paid (737,937) (8,951,101) – –
Actuarial loss (gain) 2,766,943 7,537,718 (966,660) 1,238,876
Balance at end of year 20,849,048 13,582,821 3,172,776 3,252,779

The movements in the fair value of plan assets recognized by the Parent Company follow:

2007 2006
Balance at beginning of year 5,580,768 13,435,952
Expected return on plan assets 558,077 1,343,595
Contribution paid 10,357,015 –
Benefits paid (737,937) (8,951,101)
Actuarial gain (loss) 251,244 (247,678)
Balance at end of year 16,009,167 5,580,768

The retirement expense included in Compensation and other related staff costs in the statements of income are as follows:

Consolidated Parent Company

2007 2006 2005 2007 2006 2005
Current service cost 4,886,175 2,512,575 2,209,519 4,232,092 2,049,267 2,012,347
Interest cost 1,237,703 1,553,307 2,159,322 1,005,129 1,387,172 1,952,611
Expected return on plan assets (558,077) (1,343,595) (2,048,828) (558,077) (1,343,595) (2,048,828)
Net actuarial loss (gain)
recognized 3,045,048 14,438 (2,185) 2,950,848 – –
8,610,849 2,736,725 2,317,828 7,629,992 2,092,844 1,916,130

The actual return on the plan assets of the Parent Company amounted to 0.5 million in 2007, 1.6 million in 2006 and 2.0 million in 2005.
 The major categories of the Parent Company’s plan assets as a percentage of the fair value of total plan assets as of December 31, 2007 and 2006
are as follows:

2007 2006
Debt instruments 82.15% 90.55%
Equity instruments 16.01% 7.17%
Other assets 1.84% 2.28%

Amounts for the current and previous year are as follows:

Parent Company SCCP

2007 2006 2007 2006
Present value of the obligation 20,849,048 13,582,821 3,172,776 3,252,779
Fair value of plan assets (16,009,167) (5,580,768) – –
Deficit 4,839,881 8,002,053 3,172,776 3,252,779
Experience adjustment on plan liabilities (614,703) 2,655,360 733,041 393,273
Experience adjustment on plan assets (35,825) 2,750,100 – –

23. BASIC/DILUTED EARNINGS PER SHARE

Basic earnings per share are calculated by dividing the net income for the year by the weighted average number of common shares outstanding as
of balance sheet date.

The basic and diluted earnings per share are the same as there were no dilutive potential common shares outstanding.

2007 2006 2005

Net income (a) 433,419,130 232,295,515 119,805,255
Weighted average number of outstanding common shares (b) 15,277,511 15,277,512 15,277,513
Basic/diluted earnings per share (a/b) 28.37 15.21 7.84

24. RELATED PARTY TRANSACTIONS

Parties are considered to be related if one party has the ability, directly or indirectly, to control the other party or exercise significant influence over
the other party in making financial and operating decisions. Parties are also considered to be related if they are subjected to common control or
common significant influence. Related parties may be individuals or corporate entities. Related parties include brokers that are stockholders of
the Parent Company. The Parent Company, in its normal course of business, has transactions with related parties. Transactions between related
parties are based on terms similar to those offered to non-related parties.

The year-end balances in respect of brokers (stockholders of the Exchange) included in the balance sheets are as follows:

2007 2006
Accounts and other receivable from brokers - net of allowance
for impairment losses of 4,429,158 in 2007 and 4,361,370 in 2006 55,010,675 18,848,064
Advances to brokers related to CRAF – 10,000,000

Other related party transactions include advance payments made by the Parent Company on certain administrative expenses of SCCP such as
utilities, supplies, hardware and software maintenance, and other employee benefits, which are subsequently billed to and collected from SCCP.
As of December 31, 2007 and 2006, accounts and other receivables of the Parent Company from SCCP are eliminated.

76 / 77

2007 ANNUAL REPORT

 The income in respect of the brokers included in the statements of income follows:

2007 2006 2005

Trading-related fees:
Transaction 111,245,368 45,069,262 28,477,622
Block sales 22,579,875 12,194,680 9,874,361
Subscription 15,418,514 13,480,762 12,654,000
Interest income 566,187 – 467,156
Other income 2,344,080 2,528,562 2,451,170

Other income includes recoveries from printing of data transaction report, penalty on trading floor, cancellation of matched orders, and other fees.

Compensation of key management personnel (covering officer positions starting from Assistant Vice President and up) included under
Compensation and other related staff costs in the statements of income follows:

Consolidated Parent Company

2007 2006 2005 2007 2006 2005
Short-term employee benefits 33,617,340 25,313,391 23,239,256 29,114,889 22,555,374 21,473,373
Separation benefits – 2,675,527 5,279,398 – 2,031,646 4,877,700
Post-employment pension and
medical benefits 569,038 362,645 2,281,485 569,038 362,645 2,281,485
34,186,378 28,351,563 30,800,139 29,683,927 24,949,665 28,632,558

Short-term employee benefits include salaries, paid annual leave, vacation and sick leave, profit sharing and bonuses, and non-monetary benefits.
Separation benefits pertain to special separation package as part of the continuation in 2006 and 2005 of the reorganization.

25. SEGMENT REPORTING

PAS 14, Segment Reporting, requires that a public business enterprise report financial and descriptive information about its reportable segments.
Generally, financial information is required to be reported on the basis that it is used internally for evaluating segment performance and deciding
how to allocate resources among operating segments. The Group has one reportable business segment which is the equity securities market.
The equity securities market provides trading, clearing, depository and information services for the equity market. The Group also has one
geographical segment and derives all its revenues from domestic operations. The financial information about the sole business segment is
presented in the financial statements.

26. CONTINGENCIES

In 2006, the Parent Company’s BOD appropriated portion of its retained earnings amounting to 3.0 million to cover potential liability cases filed
against the Parent Company, its directors and/or officers. As of December 31, 2007, the said cases are still pending before the courts and quasi-
judicial agencies. The amount of the appropriation which is based on available relevant information as of December 31, 2007, will be reassessed
periodically to reflect material developments made known to the Parent Company.

The SCCP, as part of its role as central counterparty to stock exchange transactions, has contingent liabilities pertaining to outstanding trades as of
December 31, 2007 and 2006. Details of stock exchange transactions outstanding as of balance sheet dates are as follows:

2007 2006
Value of shares not yet delivered (Net selling) 5,429,937,492 4,324,734,914
Amount of purchases unpaid (Due clearing) 1,760,301,559 1,632,229,363
7,190,239,051 5,956,964,277

As of January 2008 and 2007, all transactions outstanding as of balance sheet date were settled. Accordingly, no failed trades occurred from
these transactions.
MARKET INTEGRITY BOARD AND COMMIT TEES
Market Integrity Board
• Reviews, affirms, reverses or modifies
decisions or actions of the Market
Regulation Division (MRD);
• Exercises oversight authority over the
regulatory activities of the MRD;
• Initiates studies to enhance rules relating
to audit, compliance and surveillance,
adaptation for local conditions of best
practices on governance among trading
participants and other measures necessary
to strengthen the Self-Regulatory
Organization functions of the Exchange;
• Issues its internal rules and procedures.
Audit Committee
• Monitors and evaluates the adequacy and
effectiveness of the Exchange’s internal
control system by ensuring that the review
of the effectiveness of material internal
controls including financial, operational and
compliance controls and risk management
are conducted at least annually;
• Reviews and discusses with the external
auditors before the audit commences
the proposed audit scope and approach
and ensures that there are no unjustified
restrictions or limitations placed on the
scope of audit;
• Provides oversight over senior
management activities in managing risk
through inquiry with management, internal
and external auditors on the significant
financial, operational and regulatory risks
and exposure and management’s plans/
actions taken to manage such risks;
• Reviews the quarterly, half-year and annual
financial statements before submission to
the Board;
• Provides oversight of the PSE’s internal and
external auditors;
• Passes for review and comment all reports
from internal and external auditors for PSE
as well as those from regulatory bodies;
• Submits a summary report of the
Committee comments and
recommendations to the Board;
• Assumes responsibility for oversight of
compliance program and requests a report
or inquires from the compliance officer
any material issue;
• If necessary, requires and institutes special
investigation and, if appropriate, hires
special counsel or expert to assist;
• Makes recommendation to the Board
regarding the appointment and/or
replacement of the external auditors;
• Reviews and approves the audit scope,
frequency and internal audit’s annual audit
plan and ensures no unjustified restrictions
or limitations are made;
• Reviews the internal audit function of the
Company including its independence and
the authority of its reporting relationship.
Corporate Governance
Committee
• Establishes and reviews annually the
executive compensation structure and
programs of the Company;
• Sets, approves and recommends to the
Board the annual compensation package
for executive officers;
• Develops, reviews and recommends to the
Board corporate governance policies for
the PSE; and
• Monitors through the Corporate Governance
Office compliance of the PSE with corporate
governance policies and standards.
Nomination & Election Committee
• Establishes and implements guidelines for
the nominations and election of directors
during the annual stockholders’ meeting in
accordance with the law and implementing
rules and regulations;
• Evaluates and screens qualifications of
candidates for broker and non-broker
directors of the Board; and
• Nominates non-broker directors of the Board.
78 / 79
2007 ANNUAL REPORT
LIST OF ISSUES AS OF YEAREND 2007
NAME OF ISSUE STOCK CODE PAR VALUE NAME OF ISSUE STOCK CODE PAR VALUE

Common Shares Manila Electric Company MER 10.00

Manila Water Company, Inc. MWC 1.00
Main Board Petron Corporation PCOR 1.00
Phoenix Petroleum Philippines, Inc. PNX 1.00
East Asia Power Resources Corporation PWR 1.00
Financials Sector SPC Power Corporation SPC 1.00
Trans-Asia Oil and Energy Development
BANKS Corporation TA 1.00
Asiatrust Development Bank, Inc. ASIA 10.00
Banco de Oro-EPCI, Inc. BDO 10.00 FOOD, BEVERAGE & TOBACCO
Banco Filipino Savings & Mortgage Bank BF 100.00 Alaska Milk Corporation AMC 1.00
Bank of the Philippine Islands BPI 10.00 Bogo-Medellin Milling Company BMM 10.00
China Banking Corporation CHIB 100.00 CADP Group Corporation CAC 1.00
Chinatrust (Philippines) Commercial Central Azucarera de Terlac CAT 10.00
Bank Corporation CHTR 10.00 Cosmos Bottling Corporation CBC 1.00
Citystate Savings Bank, Inc. CSB 10.00 Ginebra San Miguel, Inc. GSMI 1.00
Export and Industry Bank, Inc. EIB 0.25 Jollibee Foods Corporation JFC 1.00
Metropolitan Bank & Trust Company MBT 20.00 Liberty Flour Mills, Inc. LFM 10.00
Philippine Bank of Communications PBC 100.00 Pancake House, Inc. PCKH 1.00
Philippine National Bank PNB 40.00 San Miguel Pure Foods Company, Inc. “A” PF 10.00
Philippine Savings Bank PSB 10.00 San Miguel Pure Foods Company, Inc. “B” PFB 10.00
Philippine Trust Company PTC 10.00 RFM Corporation RFM 1.00
Rizal Commercial Banking Corporation RCB 10.00 Roxas Holdings, Inc. ROX 1.00
Security Bank Corporation SECB 10.00 Swift Foods, Inc. SFI 1.00
Union Bank of the Philippines, Inc. UBP 10.00 San Miguel Corporation “A” SMC 5.00
San Miguel Corporation “B” SMCB 5.00
OTHER FINANCIAL INSTITUTIONS Tanduay Holdings, Inc. TDY 1.00
ATR KimEng Financial Corporation ATRK 1.00 Philippine Tobacco Flue-Curing and
Bankard, Inc. BKD 1.00 Redrying Corporation TFC 1.00
Citiseconline.com, Inc. COL 1.00 Alliance Tuna International, Inc. TUNA 1.00
First Abacus Financial Holdings Corporation FAF 1.00 Universal Robina Corporation URC 1.00
Filipino Fund, Inc. FFI 1.00 Vitarich Corporation VITA 1.00
First Metro Investment Corporation FMIC 10.00 Victorias Milling Company, Inc. VMC 1.00
I-Remit, Inc. I 1.00
Manulife Financial Corporation MFC - CONSTRUCTION, INFRASTRUCTURE & ALLIED SERVICES
National Reinsurance Corporation of the Philippines NRCP 1.00 AGP Industrial Corporation “A” AGP 6.00
PCI Leasing and Finance, Inc. PCIL 1.00 AGP Industrial Corporation “B” AGPB 6.00
The Philippine Stock Exchange, Inc. PSE 1.00 Concrete Aggregates Corporation “A” CA 10.00
Sun Life Financial Inc. SLF - Concrete Aggregates Corporation “B” CAB 10.00
iVantage Corporation V 1.00 Southeast Asia Cement Holdings, Inc. CMT 1.00
EEI Corporation EEI 1.00
Federal Resources Investment Group, Inc. FED 1.00
Industrial Sector Holcim Philippines, Inc. HLCM 1.00
Mariwasa Manufacturing, Inc. MMI 1.00
ELECTRICITY, ENERGY, POWER & WATER Philippine National Construction Corporation PNC 10.00
Aboitiz Power Corporation AP 1.00 Republic Cement Corporation RCM 1.00
PNOC Energy Development Corporation EDC 1.00 Supercity Realty Development Corporation SRDC 1.00
First Gen Corporation FGEN 1.00 Sanitary Wares Manufacturing Corporation SWM 1.00
First Philippine Holdings Corporation FPH 10.00 TKC Steel Corporation T 1.00
 NAME OF ISSUE STOCK CODE PAR VALUE NAME OF ISSUE STOCK CODE PAR VALUE

Chemicals Filinvest Development Corporation FDC 1.00

Chemical Industries of the Philippines, Inc. CIP 10.00 F & J Prince Holdings Corporation “A” FJP 1.00
Chemrez Technologies, Inc. COAT 1.00 F & J Prince Holdings Corporation “B” FJPB 1.00
Euro-Med Laboratories Philippines, Inc. EURO 1.00 Forum Pacific, Inc. FPI 1.00
Interphil Laboratories, Inc. “A” ILI 1.00 House of Investments, Inc. HI 1.50
Interphil Laboratories, Inc. “B” ILIB 1.00 JG Summit Holdings, Inc. JGS 1.00
LMG Chemicals Corporation LMG 1.00 Jolliville Holdings Corporation JOH 1.00
Metro Alliance Holdings & Equities Corporation “A” MAH 1.00 Keppel Philippines Holdings, Inc. “A” KPH 1.00
Metro Alliance Holdings & Equities Corporation “B” MAHB 1.00 Keppel Philippines Holdings, Inc. “B” KPHB 1.00
Mabuhay Vinyl Corporation MVC 1.00 Lodestar Investment Holdings Corporation LIHC 1.00
Pryce Corporation PPC 1.00 Medco Holdings, Inc. MED 1.00
Mabuhay Holdings Corporation MHC 1.00
Diversified Industrials Minerales Industrias Corporation MIC 1.00
Active Alliance, Inc. AAI 1.00 UEM Development Philippines, Inc. MK 1.00
Filsyn Corporation “A” FYN 5.00 Pacifica, Inc. “A” PA 0.005
Filsyn Corporation “B” FYNB 5.00 Pacifica, Inc. “B” PAB 0.005
Macondray Plastics, Inc. MRAY 1.00 Prime Orion Philippines, Inc. POPI 1.00
Picop Resources, Inc. PCP 1.00 Prime Media Holdings, Inc. PRIM 1.00
Panasonic Manufacturing Philippines Corporation PMPC 1.00 Republic Glass Holdings Corporation REG 1.00
Splash Corporation SPH 1.00 Solid Group, Inc. SGI 1.00
Steniel Manufacturing Corporation STN 1.00 Sinophil Corporation SINO 1.00
SM Investments Corporation SM 10.00
South China Resources, Inc. SOC 1.00
Holding Firms Sector Seafront Resources Corporation SPM 1.00
Unioil Resources & Holdings Company, Inc. UNI 1.00
Asia Amalgamated Holdings Corporation AAA 1.00 Vivant Corporation VVT 1.00
Atok-Big Wedge Company, Inc. “A” AB 1.00 Wise Holdings, Inc. “A” WHI 1.00
Atok-Big Wedge Company, Inc. “B” ABB 1.00 Wise Holdings, Inc. “B” WHIB 1.00
Abacus Consolidated Resources and Wellex Industries, Inc. WIN 1.00
Holdings, Inc. “A” ABA 0.01 Zeus Holdings, Inc. ZHI 1.00
Abacus Consolidated Resources and
Holdings, Inc. “B” ABAB 0.01
Ayala Corporation AC 50.00 Property Sector
Alsons Consolidated Resources, Inc. ACR 1.00
Aboitiz Equity Ventures, Inc. AEV 1.00 A Brown Company, Inc. BRN 1.00
Alliance Global Group, Inc. AGI 1.00 Anchor Land Holdings, Inc. ALHI 1.00
AJO.net Holdings, Inc. AJO 0.10 Araneta Properties, Inc. ARA 1.00
A. Soriano Corporation ANS 1.00 Ayala Land, Inc. ALI 1.00
APC Group, Inc. APC 1.00 Belle Corporation BEL 1.00
Alcorn Gold Resources Corporation APM 0.01 Cebu Holdings, Inc. CHI 1.00
Anglo Philippine Holdings Corporation APO 1.00 Cebu Property Ventures & Development Corp. “A” CPV 1.00
Aries Prime Resources, Inc. APR 1.00 Cebu Property Ventures & Development Corp. “B” CPVB 1.00
ATN Holdings, Inc. “A” ATN 1.00 City & Land Developers, Inc. LAND 1.00
ATN Holdings, Inc. “B” ATNB 1.00 Cityland Development Corporation CDC 1.00
PAL Holdings, Inc. PAL 1.00 Crown Equities, Inc. CEI 0.10
Bacnotan Consolidated Industries, Inc. BCI 10.00 Cyber Bay Corporation CYBR 1.00
BHI Holdings, Inc. BH 100.00 Shang Properties, Inc. SHNG 1.00
Benpres Holdings Corporation BPC 1.00 EIB Realty Developers, Inc. EIBR 1.00
First Philippine Infrastructure, Inc. CRC 1.00 Empire East Land Holdings, Inc. ELI 1.00
DMCI Holdings, Inc. DMC 1.00 Eton Properties Philippines, Inc. ETON 1.00
Fil-Estate Corporation FC 1.00 Ever-Gotesco Resources & Holdings, Inc. EVER 1.00

80 / 81

2007 ANNUAL REPORT

 NAME OF ISSUE STOCK CODE PAR VALUE NAME OF ISSUE STOCK CODE PAR VALUE

Fil-estate Land, Inc. LND 1.00 IPVG Corporation IP 1.00

Filinvest Land, Inc. FLI 1.00 Island Information & Technology, Inc. IS 0.01
Gotesco Land, Inc. “A” GO 1.00 ISM Communications Corporation ISM 0.01
Gotesco Land, Inc. “B” GOB 1.00 Music Semiconductors Corporation MUSX 0.10
Highlands Prime, Inc. HP 1.00 Nextstage, Inc. NXT 1.00
Interport Resources Corporation “A” IRC 0.01 Transpacific Broadband Group International, Inc. TBGI 1.00
Interport Resources Corporation “B” IRCB 0.01 Philweb Coporation WEB 0.01
Keppel Philippines Properties, Inc. KEP 1.00
Marsteel Consolidated, Inc. “A” MC 0.01 TRANSPORTATION SERVICES
Marsteel Consolidated, Inc. “B” MCB 0.01 Asian Terminals, Inc. ATI 1.00
Megaworld Corporation MEG 1.00 Aboitiz Transport System (ATSC) Corporation ATS 1.00
Metro Pacific Investments Corporation MPI 1.00 International Container Terminal Services, Inc. ICT 1.00
MRC Allied Industries, Inc. MRC 1.00 Keppel Philippines Marine, Inc. KPM 1.00
Philippine Estates Corporation PHES 1.00 Lorenzo Shipping Corporation LSC 1.00
Philippine Realty & Holdings Corporation RLT 1.00
Polar Property Holdings Corporation PO 1.00 HOTEL & LEISURE
Primetown Property Group, Inc. PMT 1.00 Acesite (Philippines) Hotel Corporation DHC 1.00
Primex Corporation PRMX 1.00 Grand Plaza Hotel Corporation GPH 10.00
Robinsons Land Corporation RLC 1.00 Leisure & Resorts World Corporation LR 1.00
San Miguel Properties, Inc. SMP 10.00 Manila Jockey Club, Inc. MJC 1.00
SM Development Corporation SMDC 1.00 Mondragon International Philippines, Inc. MON 1.00
SM Prime Holdings, Inc. SMPH 1.00 Premiere Entertainment Productions, Inc. PEP 1.00
Suntrust Home Developers, Inc. SUN 1.00 Philippine Racing Club, Inc. PRC 1.00
Universal Rightfield Property Holdings, Inc. UP 1.00 Waterfront Philippines, Inc. WPI 1.00
Uniwide Holdings, Inc. UW 1.00
Vista Land & Lifescapes, Inc. VLL 1.00 EDUCATION
Sta. Lucia Land, Inc. SLI 1.00 Centro Escolar University CEU 1.00
Far Eastern University, Inc. FEU 100.00
iPeople, Inc. IPO 1.00
Services Sector
DIVERSIFIED SERVICES
MEDIA Easycall Communications Philippines, Inc. ECP 1.00
ABS-CBN Broadcasting Corporation ABS 1.00 eTelecare Global Solutions, Inc. ETEL 2.00
GMA Network, Inc. GMA7 1.00 JTH Davies Holdings, Inc. JTH 0.50
Manila Bulletin Publishing Corporation MB 1.00 Pacific Online Systems Corporation LOTO 1.00
Manila Broadcasting Company MBC 1.00 Macroasia Corporation MAC 1.00
MIC Holdings Corporation MET 100.00
TELECOMMUNICATIONS Paxys, Inc. PAX 1.00
Digital Telecommunications Phils., Inc. DGTL 1.00 Prime Gaming Philippines, Inc. PGPI 10.00
Globe Telecom, Inc. GLO 50.00 Philcomsat Holdings Corporation PHC 1.00
Liberty Telecoms Holdings, Inc. LIB 1.00 Philippine Seven Corporation “Common” SEVN 1.00
Pilipino Telephone Corporation PLTL 1.00
Philippine Telegraph & Telephone Corporation PTT 1.00
Philippine Long Distance Telephone Mining & Oil Sector
Company “Common” TEL 5.00
MINING
INFORMATION TECHNOLOGY Apex Mining Company, Inc. “A” APX 1.00
Boulevard Holdings, Inc. BHI 0.10 Apex Mining Company, Inc. “B” APXB 1.00
Diversified Financial Network, Inc. DFNN 1.00 Abra Mining & Industrial Corporation AR 0.01
Imperial Resources, Inc. “A” IMP 5.00 Atlas Consolidated Mining & Development
Imperial Resources, Inc. “B” IMPB 5.00 Corporation AT 10.00
Ionics, Inc. ION 1.00 Benguet Corporation “A” BC 3.00
 NAME OF ISSUE STOCK CODE PAR VALUE NAME OF ISSUE STOCK CODE PAR VALUE

Benguet Corporation “B” BCB 3.00 Globe Telecom, Inc. - Preferred A GLO-PA 5.00
Dizon Copper Silver Mines, Inc. DIZ 1.00 Philippine Bank of Communications - Preferred PBCP 40.00
GEOGRACE Resources Philippines, Inc. GEO 1.00 Swift Foods, Inc. Convertible Pref. SFIP 1.00
Lepanto Consolidated Mining Company “A” LC 0.10 PLDT 10% Cumulative Convertible Pref. Series A TELA 10.00
Lepanto Consolidated Mining Company “B” LCB 0.10 PLDT 10% Cumulative Convertible Pref. Series B TELB 10.00
Manila Mining Corporation “A” MA 0.01 PLDT 10% Cumulative Convertible Pref. Series C TELC 10.00
Manila Mining Corporation “B” MAB 0.01 PLDT 10% Cumulative Convertible Pref. Series D TELD 10.00
NiHAO Mineral Resources International, Inc. NI 1.00 PLDT 10% Cumulative Convertible Pref. Series E TELE 10.00
Omico Corporation OM 0.01 PLDT 10% Cumulative Convertible Pref. Series F TELF 10.00
Oriental Peninsula Resources Group, Inc. ORE 1.00 PLDT 10% Cumulative Convertible Pref. Series G TELG 10.00
Philex Mining Corporation PX 1.00 PLDT 10% Cumulative Convertible Pref. Series H TELH 10.00
Semirara Mining Corporation SCC 1.00 PLDT 10% Cumulative Convertible Pref. Series I TELI 10.00
United Paragon Mining Corporation UPM 1.00 PLDT 10% Cumulative Convertible Pref. Series J TELJ 10.00
Vulcan Industrial & Mining Corporation VUL 1.00 PLDT 10% Cumulative Convertible Pref. Series K TELK 10.00
PLDT 10% Cumulative Convertible Pref. Series L TELL 10.00
OIL PLDT 10% Cumulative Convertible Pref. Series M TELM 10.00
Basic Energy Corporation BSC 0.25 PLDT 10% Cumulative Convertible Pref. Series N TELN 10.00
Oriental Petroleum and Minerals Corporation “A” OPM 0.01 PLDT 10% Cumulative Convertible Pref. Series O TELO 10.00
Oriental Petroleum and Minerals Corporation “B” OPMB 0.01 PLDT 10% Cumulative Convertible Pref. Series P TELP 10.00
The Philodrill Corporation OV 0.01 PLDT 10% Cumulative Convertible Pref. Series Q TELQ 10.00
PNOC Exploration Corporation “A” PEC 1.00 PLDT 10% Cumulative Convertible Pref. Series R TELR 10.00
PNOC Exploration Corporation “B” PECB 1.00 PLDT 10% Cumulative Convertible Pref. Series S TELS 10.00
PetroEnergy Resources Corporation PERC 1.00 PLDT 10% Cumulative Convertible Pref. Series T TELT 10.00
PLDT 10% Cumulative Convertible Pref. Series U TELU 10.00
PLDT 10% Cumulative Convertible Pref. Series V TELV 10.00
Small and Medium Enterprises (SME) Board PLDT 10% Cumulative Convertible Pref. Series W TELW 10.00
PLDT 10% Cumulative Convertible Pref. Series X TELX 10.00
Information Capital Technology Ventures, Inc. ICTV 1.00 PLDT 10% Cumulative Convertible Pref. Series Y TELY 10.00
Makati Finance Corporation MFIN 1.00 PLDT 10% Cumulative Convertible Pref. Series Z TELZ 10.00
PLDT 10% Cumulative Convertible Pref. Series AA TLAA 10.00
PLDT 10% Cumulative Convertible Pref. Series BB TLBB 10.00
PLDT 10% Cumulative Convertible Pref. Series CC TLCC 10.00
Preferred Shares PLDT 10% Cumulative Convertible Pref. Series DD TLDD 10.00
PLDT 10% Cumulative Convertible Pref. Series EE TLEE 10.00
Allied Banking Corporation - 15% Cum.
Convertible Pref. A ABC 1,000.00
Aboitiz Transport System (ATSC) Corporation Warrants, Philippine Deposit Receipts, etc.
- Preferred ATSP 1.00
Ayala Corporation Preferred Class “B” Shares ACPR 100.00 ABS-CBN Holdings Corporation
Benguet Corporation - 8% Cumulative - Phil. Deposit Receipts ABSP
Convertible Pref. A BCP 3.44 GMA Holdings, Inc. - Phil. Deposit Receipts GMAP
Banco Filipino Savings & Mortgage Bank Omico Corporation - Warrants OMW2
151⁄2% Cum. Conv. Pref. BFC 100.00 F & J Prince Holdings Corporation
Banco Filipino Savings & Mortgage Bank - Second Tranche “A” Warrants 2008 FJPAW2
151⁄2% Cum. Non-Conv. Pref. BFNC 100.00 F & J Prince Holdings Corporation
DMCI Holdings, Inc. - Cumulative Convertible Pref. DMCP 1.00 - Second Tranche “B” Warrants 2008 FJPBW2

82 / 83

2007 ANNUAL REPORT

LIST OF ACTIVE TRADING PARTICIPANTS
A & A SECURITIES, INC. 101 ABN AMRO ASIA SECURITIES ANGPING & ASSOCIATES ASIASEC EQUITIES, INC. 118
(Corporate Trading Participant) (PHILIPPINES), INC. 176 SECURITIES, INC. 110 (Corporate Trading Participant)
SHIRLEY Y. BANGAYAN (Corporate Trading Participant) (Corporate Trading Participant) GIDEON G. SISON
(Nominee Trading Participant) CAROLINE L. KABIGTING WILMA C. CRISOSTOMO (Nominee Trading Participant)
Nationality: FILIPINO (Nominee Trading Participant) (Nominee Trading Participant) Nationality: FILIPINO
Trading Floor: AYALA Nationality: DUTCH Nationality: FILIPINO Trading Floor: AYALA
Status: ACTIVE Trading Floor: AYALA Trading Floor: AYALA Status: ACTIVE
Contact Information: Status: ACTIVE Status: ACTIVE Contact Information:
1906 Ayala Avenue Condominium Contact Information: Contact Information: 8/F, Chatham House
6776 Ayala Avenue, Makati City 19/F, The LKG Tower Suite 2003-2004, The Peak 116 Valero cor. Herrera Streets
Office: 891-1008 to 10 6801 Ayala Avenue, Makati City 107 L. P. Leviste Street Salcedo Village, Makati City
Exchange: 891-1008 to 10 Office: 867-7800; 884-1000 Salcedo Village, Makati City Office: 845-3421 to 26
Telefax: 891-1010 Exchange: 848-7177 to 78 Office: 848-2915 Exchange: 891-9370 to 75
Email: aasec@pldtdsl.net Fax: Operations 884-1040 Office of the President 810-0930 Fax: 845-3418
Research 884-1041 Office of the EVP 848-2564 asiasec@info.com.ph
A. T. DE CASTRO SECURITIES CORP. 104 Sales 884-1042 Exchange: 891-9115
(Corporate Trading Participant) Corporate Finance 884-1043 Fax: 848-2572 ASTRA SECURITIES CORP. 119
ALEJANDRO T. DE CASTRO wcris@angping.com.ph (Corporate Trading Participant)
(Nominee Trading Participant) sgogola@angping.com.ph BENITO B. H. ANG
ACCORD CAPITAL EQUITIES
Nationality: FILIPINO (Nominee Trading Participant)
CORPORATION 103
Trading Floor: AYALA ANSALDO, GODINEZ & COMPANY, INC 111 Nationality: FILIPINO
(Corporate Trading Participant)
Status: ACTIVE (Corporate Trading Participant) Trading Floor: AYALA
PAUL L. WEE
Contact Information: MARIANO U. GODINEZ Status: ACTIVE
(Nominee Trading Participant)
7/F, Tower One & Exchange Plaza (Nominee Trading Participant) Contact Information:
Nationality: FILIPINO
Ayala Avenue cor. Paseo de Roxas Nationality: FILIPINO 12/F, Tower One & Exchange Plaza
Trading Floor: TEKTITE
Makati City Trading Floor: TEKTITE Ayala Avenue cor. Paseo de Roxas
Status: ACTIVE
Office: 848-7160 to 63 Status: ACTIVE Makati City
Contact Information:
Exchange: 848-7160 to 63 Contact Information: Office: 848-6421 to 27
G/F, Unit EC-05B,
Telefax: 848-7163 340 Nueva Street Exchange: 891-9126 to 27
PSE Centre-East Tower, Exchange Rd.,
Email: atcastro@info.com.ph Binondo, Manila Fax: 848-6428
Ortigas Center, Pasig City
Office: 242-5124 to 25; 242-5127 to 31 astrasec_corp@pldtdsl.net
Office: (Trunk Line) 687-5071;
AAA SOUTHEAST EQUITIES, INC. 237 Exchange: 634-5160 & 63;
687-3224; 687-3733
(Corporate Trading Participant) 634-6232 to 34; 634-6521 to 22 ATC SECURITIES, INC. 120
Exchange: 687-0911; 687-0936
D. ALFRED A. CABANGON Fax: 242-5121 ANSELMO TRINIDAD JR.
Fax: 687-3738
(Nominee Trading Participant) info@accordcapital.ph (Natural Person Trading Participant)
Nationality: FILIPINO www.accordcapital.ph APEX PHILS. EQUITIES CORPORATION 255 Nationality: FILIPINO
Trading Floor: AYALA (Corporate Trading Participant) Trading Floor: AYALA
Status: ACTIVE JOSE ROBERTO DELGADO Status: ACTIVE
ALAKOR SECURITIES CORPORATION 232
Contact Information: (Nominee Trading Participant) Contact Information:
(Corporate Trading Participant)
G/F Fortune Life Building Nationality: MALAYSIAN 29/F Jollibee Plaza
GERARD ANTON S. RAMOS
162 Legaspi Street, Legaspi Village Trading Floor: AYALA Emerald Ave., Ortigas Center
(Nominee Trading Participant)
Makati City Status: ACTIVE Pasig City
Nationality: FILIPINO
Office: 816-2918 Contact Information: Office: 683-0204; 687-1768;
Trading Floor: TEKTITE
892-9841 to 49 loc. 103 2/F, Mary Bachrach 687-2866; 683-0201
Status: ACTIVE
Exchange: 891-9570 to 72 Building, Port Area, Manila Exchange: 891-9337 to 38
Contact Information:
Fax: 812-1831 Office: 527-8888 loc. 219; 527-5291 Fax: 687-2030
5/F, Quad Alpha Centrum
Exchange: 891-8586 atcsettle@pacific.net.ph
125 Pioneer Street, Mandaluyong City
AB CAPITAL SECURITIES, INC. 112 Fax: 527-8919; 527-8912
Office: 631-8173;637-4496
(Corporate Trading Participant) Exchange: 634-6928 to 29 ATR KIMENG SECURITIES, INC. 220
LAMBERTO M. SANTOS, JR. Fax: 631-5166 ARMSTRONG SECURITIES, INC. 388 (Corporate Trading Participant)
(Nominee Trading Participant) (Corporate Trading Participant) RAMON B. ARNAIZ
Nationality: FILIPINO (NO NOMINEE TRADING PARTICIPANT) (Nominee Trading Participant)
ALPHA SECURITIES CORPORATION 106
Trading Floor: AYALA Nationality: FILIPINO Nationality: FILIPINO
(Corporate Trading Participant)
Status: ACTIVE Trading Floor: AYALA Trading Floor: AYALA
ALBERTO L. YU
Contact Information: Status: ACTIVE Status: ACTIVE
(Nominee Trading Participant)
8th Floor, Phinma Plaza Contact Information: Contact Information:
Nationality: FILIPINO
39 Plaza Drive, Rockwell Center, 20/F, Equitable PCI 17/F, Tower One & Exchange Plaza
Trading Floor: TEKTITE
Makati City Tower I, Makati Avenue cor. Ayala Avenue cor. Paseo de Roxas
Status: ACTIVE
Office: 898-7555 H. V. dela Costa Street Makati City
Contact Information:
Exchange: 891-9135 Makati City Office: 848-5298; 849-8888
23/F, Orient Square Building
Fax: 898-7597 Office: 878-4043 Dealing Room 848-5288
Emerald Avenue, Ortigas Center
abcsi@abcapital.com.ph Exchange: 891-8534; 891-8542; Exchange: 891-9120; 891-9124 to 25
Pasig City
www.abcapitalonline.com 891-8563 Fax: General 848-5738
Office: 638-2388 to 93; 638-3764
Fax: 878-4552 Settlements 848-5285
Exchange: 638-6692 to 93; 638-6689
ABACUS SECURITIES CORPORATION 102 atrke_sec@atr.com.ph
Fax: 636-5108
(Corporate Trading Participant) alphasec@pldtdsl.com.ph ASIA PACIFIC CAPITAL EQUITIES
PAULINO S. SOO & SECURITIES CORP. 116 AURORA SECURITIES, INC. 167
(Nominee Trading Participant) (Corporate Trading Participant) EMMANUEL EDWARD C. CO
Nationality: FILIPINO DAVID O. CHUA (Natural Person Trading Participant)
Trading Floor: TEKTITE (Nominee Trading Participant) Nationality: FILIPINO
Status: ACTIVE Nationality: FILIPINO Trading Floor: TEKTITE
Contact Information: Trading Floor: AYALA Status: ACTIVE
29/F, East Tower – PSE Centre Status: ACTIVE Contact Information:
Exchange Road, Ortigas Center Contact Information: 24/F, West Tower – PSE Centre
Pasig City 24/F, Galleria Corporate Center Exchange Road, Ortigas Center
Office: 634-5104 EDSA cor. Ortigas Avenue Pasig City
Exchange: 634-6993; 634-6842 Quezon City Office: 634-8321 to 24
Fax: Operations 634-5206 Office: 634-5621 Exchange: 634-8321 to 24
Inst’l. Sales 634-2107 Exchange: 891-9550 to 59; 891-8571 Telefax: 634-8321
Retail/Customer Svc. 634-2109 Fax: 634-5813 ausecinc@pldtdsl.net
Accounting 634-2105 apcap@compass.com.ph
customerservice@abacus-sec.com
www.abacus-sec.com
B. H. CHUA SECURITIES CORPORATION 124 BPI SECURITIES CORPORATION 126 CLSA PHILIPPINES, INC. 323 DBP-DAIWA SECURITIES SMBC
MICHAEL LI CHUA (Corporate Trading Participant) (Corporate Trading Participant) PHILIPPINES, INC. 142
(Natural Person Trading Participant) SPENCER T. YAP RAYMOND M. TEMPONGKO (Corporate Trading Participant)
Nationality: FILIPINO (Nominee Trading Participant) (Nominee Trading Participant) KOJI YOSHIHARA
Trading Floor: AYALA Nationality: FILIPINO Nationality: DUTCH (Nominee Trading Participant)
Status: ACTIVE Trading Floor: AYALA Trading Floor: AYALA Nationality: DUTCH
Contact Information: Status: ACTIVE Status: ACTIVE Trading Floor: AYALA
872 G. Araneta Avenue, Quezon City Contact Information: Contact Information: Status: ACTIVE
Office: 742-5850; 742-6032; 412-3444 19/F, BPI Head Office 19/F Tower 2, The Enterprise Center Contact Information:
Exchange: 891-9771 to 73 Ayala Avenue cor. Paseo de Roxas 6766 Ayala Avenue, Makati City 18/F, Citibank Tower
Telefax: 412-3448 Makati City Office: Trunkline: 860-4000 8741 Paseo de Roxas, Makati City
Office: Marketing 816-9190; 816-9192 Sales & Dealing: 860-4030 Office: 813-7344; 813-7454
BA SECURITIES, INC. 109 Administration 845-9678 Exchange: 891-9945; 759-4073 Exchange: 891-9109; 891-9119
(Corporate Trading Participant) BPITrade 816-9768 Fax: 860-4065 Fax: 848-0105
ANG BIAO Operations 845-5735; 845-5707; raymond.tempongko@clsa.com admin@dbpdaiwasmbc.com.ph
(Nominee Trading Participant) 845-5617
Nationality: FILIPINO Exchange: 891-9930; 845-5541; COHERCO SECURITIES, INC. 387 DEUTSCHE REGIS PARTNERS, INC. 209
Trading Floor: AYALA 848-5543; 845-5545 (Corporate Trading Participant) (Corporate Trading Participant)
Status: ACTIVE Fax: 891-9191; 845-5733 WILFRED T. CO EMMANUEL O. BAUTISTA
Contact Information: bpitrade@bpi.com.ph (Nominee Trading Participant) (Nominee Trading Participant)
Room 401-403, CLMC Building Nationality: FILIPINO Nationality: SINGAPOREAN
259-267 EDSA, Mandaluyong City CAMPOS, LANUZA & COMPANY, INC. 128 Trading Floor: AYALA Trading Floor: AYALA
Office: 727-5374; 722-0132 (Corporate Trading Participant) Status: ACTIVE Status: ACTIVE
Exchange: 891-9672 to 75 GERARDO O. LANUZA JR. Contact Information: Contact Information:
Telefax: 722-0132 (Nominee Trading Participant) 8/F, Herco Center 23/F, Tower One & Exchange Plaza
baseccom@info.com.ph Nationality: FILIPINO 114 Benavidez Street, Legaspi Village Ayala Avenue cor. Paseo de Roxas
Trading Floor: TEKTITE Makati City Makati City
BDO SECURITIES CORPORATION 279 Status: ACTIVE Office: 818-7736 Office: Trunk line 894-6600
(Corporate Trading Participant) Contact Information: Exchange: 848-7301 Research 894-6636 to 47
EDUARDO V. FRANCISCO 20/F, East Tower – PSE Centre Fax: 818-7331 Sales 894-6651 to 58
(Nominee Trading Participant) Exchange Road, Ortigas Center Operations 894-6618 to 35
Nationality: FILIPINO Pasig City CUALOPING SECURITIES CORPORATION 141 Exchange: 891-9090
Trading Floor: AYALA Office: 634-6881 to 87; 634-6888; (Corporate Trading Participant) Fax: Sales 894-6605
Status: ACTIVE 636-3134; 638-3510; 636-3135; VICTOR SAY HIPEK Research 894-6638
Contact Information: 636-3138 (Nominee Trading Participant) Operations 894-6622
20th Floor, BDO South Tower Exchange: 636-3001 to 05 Nationality: FILIPINO
Makati Ave. cor. H. V. dela Costa St. Fax: 636-1167 Trading Floor: TEKTITE DIVERSIFIED SECURITIES, INC. 145
Makati City camposlanuza@yahoo.com Status: ACTIVE (Corporate Trading Participant)
Office: 878-4070; Contact Information: RAMON C. GARCIA JR.
840-7000 loc. 3072 & 3076 CENTURY SECURITIES CORPORATION 130 Suite 1801 Tytana Centre (Nominee Trading Participant)
Exchange: 848-5836; 848-7015 CHAN KOK BIN Plaza Lorenzo Ruiz, Binondo, Manila Nationality: FILIPINO
Fax: 636-1784 (Natural Person Trading Participant) Office: 241-0262; 309-4258 Trading Floor: TEKTITE
Nationality: FILIPINO Exchange: 634-5745 to 46; 634-5180; 634-5755 Status: ACTIVE
BELSON SECURITIES, INC. 122 Trading Floor: AYALA Fax: 241-0352 Contact Information:
(Corporate Trading Participant) Status: ACTIVE 5/F, PDCP Bank Centre
EMMANUEL G. LIM Contact Information: DA MARKET SECURITIES, INC. 204 Herrera cor. Alfaro Streets
(Nominee Trading Participant) Rm. 1105 Galleria Corporate Center (Corporate Trading Participant) Salcedo Village, Makati City
Nationality: FILIPINO EDSA cor. Ortigas Avenue NESTOR S. AGUILA Office: 892-2890; 892-4330; 753-5250 to 53
Trading Floor: AYALA Quezon City (Nominee Trading Participant) Exchange: 636-0814; 634-6630 to 31
Status: ACTIVE Office: 633-7044 to 46 Nationality: FILIPINO Fax: 892-4330
Contact Information: Exchange: 891-9880 to 81 Trading Floor: AYALA wena_ruiz@hotmail.com
4/F, Belson House Fax: 633-7047 Status: ACTIVE www.dtrade.net
271 EDSA, Mandaluyong City Contact Information:
Office: 724-7586 to 90; 724-7580 CITISECURITIES, INC. 133 24/F, West Tower – PSE Centre DW CAPITAL, INC. 328
Exchange: 891-9860 to 68 (Corporate Trading Participant) Exchange Road, Ortigas Center, Pasig City (Corporate Trading Participant)
Fax: 721-9238 EDWARD K. LEE Office: Operations 637-3624; 637-4242 DERWIN NGO WONG
(Nominee Trading Participant) Exchange: 891-9143 to 44 (Nominee Trading Participant)
BENJAMIN CO CA & COMPANY, INC. 123 Nationality: FILIPINO Telefax: Operations 637-4242 Nationality: FILIPINO
(Corporate Trading Participant) Trading Floor: TEKTITE Exchange: 891-9144 Trading Floor: TEKTITE
BENJAMIN CO CA Status: ACTIVE customercare@damarket.biz.ph Status: ACTIVE
(Nominee Trading Participant) Contact Information: Contact Information:
Nationality: FILIPINO 27/F, East Tower – PSE Centre DAVID GO SECURITIES CORPORATION 143 1136 Soler Street, Binondo, Manila
Trading Floor: TEKTITE Exchange Road, Ortigas Center (Corporate Trading Participant) Office: 245-3093 to 95
Status: ACTIVE Pasig City DAVID C. GO Exchange: 636-5793 to 97
Contact Information: Office: 635-5735 to 40 (Nominee Trading Participant) Fax: 245-2785
Rm. 301-305, Downtown Center Bldg. Exchange: 634-6976 to 80 Nationality: FILIPINO
516 Q. Paredes St., Binondo, Manila Fax: 634-6696 Trading Floor: TEKTITE E. CHUA CHIACO SECURITIES, INC. 147
Office: 241-1261; 241-1345 Status: ACTIVE ERNESTO CHUA CHIACO
Exchange: 634-5186 to 90 CITISECONLINE.COM., INC. 203 Contact Information: (Natural Person Trading Participant)
Fax: 241-1261 (Corporate Trading Participant) Rm. 309 Federation Center Building Nationality: FILIPINO
CONRADO F. BATE Muelle de Binondo, Binondo, Manila Trading Floor: AYALA
BERNAD SECURITIES, INC. 272 (Nominee Trading Participant) Office: 242-2375 & 79; 242-2467 Status: ACTIVE
(Corporate Trading Participant) Nationality: FILIPINO Exchange: 634-5048 to 49; 634-5178 Contact Information:
ELPHEGE WONG Trading Floor: AYALA Fax: 242-2467 113 Rentas Street, Binondo, Manila
(Nominee Trading Participant) Status: ACTIVE dgosec@yahoo.com Office: 242-5145; 241-9293
Nationality: FILIPINO Contact Information: Exchange: 891-9246 to 48
Trading Floor: TEKTITE 2401B East Tower, PSE Centre Fax: 243-3232
Status: ACTIVE Exchange Road, Ortigas Center eccsi@yahoo.com
Contact Information: Pasig City
3/F, 1033 M. H. del Pilar Street Office: 636-5411
Ermita, Manila Fax: 634-6958; 645-4632 84 / 85
Office: 524-5326; 524-5186; 524-5267
Exchange: 635-6756 to 60; 635-5665
Fax: 523-7907

2007 ANNUAL REPORT

EAGLE EQUITIES, INC. 283 EVERGREEN STOCK BROKERAGE FIRST ORIENT SECURITIES, INC. 157 GOLDSTAR SECURITIES, INC. 170
JOSEPH Y. ROXAS & SECURITIES, INC. 154 (Corporate Trading Participant) (Corporate Trading Participant)
(Natural Person Trading Participant) (Corporate Trading Participant) TRINIDAD Y. KALAW JOSEPH L. MANCILLA JR.
Nationality: FILIPINO FRANCISCO S. GAISANO (Nominee Trading Participant) (Nominee Trading Participant)
Trading Floor: TEKTITE (Nominee Trading Participant Nationality: FILIPINO Nationality: FILIPINO
Status: ACTIVE Nationality: FILIPINO Trading Floor: AYALA Trading Floor: TEKTITE
Contact Information: Trading Floor: AYALA Status: ACTIVE Status: ACTIVE
779 Harvard Street, Mandaluyong City Status: ACTIVE Contact Information: Contact Information:
Office: 724-1584; 725-2777 Contact Information: 12/F, Tower One & Exchange Plaza 22/F, East Tower – PSE Centre
Exchange: 634-6684; 634-6283 6/F, Tower One & Exchange Plaza Ayala Avenue cor. Paseo de Roxas Exchange Road, Ortigas Center
Fax: 725-2777 Ayala Avenue cor. Paseo de Roxas Makati City Pasig City
Makati City Office: 891-9240; 891-9243 to 44 Office: 636-0197; 633-7485 to 86
EASTERN SECURITIES DEV’T. CORP. 150 Office: 891-9451 to 58 Exchange: 891-9240 to 45 Exchange: 634-6765 & 69; 634-6983 & 87
(Corporate Trading Participant) Exchange: 891-9451 to 58 Fax: 848-6175 Fax: 633-7487
GENEROSA R. JACINTO Fax: 891-9459 to 60 fosisec@gmail.com
Nationality: FILIPINO GUILD SECURITIES, INC. 172
Trading Floor: AYALA F. YAP SECURITIES, INC. 162 FRANCISCO ORTIGAS SECURITIES, INC. 161 (Corporate Trading Participant)
Status: ACTIVE (Corporate Trading Participant) (Corporate Trading Participant) ANTONIO B. ALVAREZ
Contact Information: FELIPE U. YAP FRANCISCO M. ORTIGAS III (Nominee Trading Participant)
Makati Sales Office: (Nominee Trading Participant) (Nominee Trading Participant) Nationality: FILIPINO
7/F, Tower One & Exchange Plaza Nationality: FILIPINO Nationality: FILIPINO Trading Floor: AYALA
Ayala Avenue cor. Paseo de Roxas Trading Floor: TEKTITE Trading Floor: TEKTITE Status: ACTIVE
Makati City Status: ACTIVE Status: ACTIVE Contact Information:
Binondo Head Office: Contact Information: Contact Information: 12/F, Tower One & Exchange Plaza
17/F, Tytana Building, Binondo, Manila 23/F, East Tower – PSE Centre 10th Floor, Ortigas Building Ayala Avenue cor. Paseo de Roxas
Office: Makati 848-5491 to 95 Exchange Road, Ortigas Center Ortigas Avenue, Pasig City Makati City
Binondo 242-4006 to 09 Pasig City Office: 631-2674; 631-2733 Office: 891-9230; 891-9234 to 35
Exchange: 891-9340 to 44 Office: 635-4125 to 30; 635-4141 Exchange: 634-5149 to 53 Exchange: 891-9232 to 37; 891-9230
Fax: Makati 848-6349 Exchange: 634-5171; 634-6917; Fax: 631-2668 Fax: 891-9231
Binondo 241-0178 634-5390 to 91; 634-6217 to 18 guildsec@tri-isys.com
eastern_securities@yahoo.com Fax: 635-2911 G. D. TAN & COMPANY, INC. 288
(Corporate Trading Participant) H. E. BENNETT SECURITIES, INC. 175
EASTWEST CAPITAL CORPORATION 149 FIDELITY SECURITIES, INC. 243 GILBERT TAN (Corporate Trading Participant)
EDILBERTO B. BRAVO (Corporate Trading Participant) (Nominee Trading Participant) JESUS M. DELA PEÑA
(Natural Person Trading Participant) BEN C. TIU Nationality: FILIPINO (Nominee Trading Participant)
Nationality: FILIPINO (Nominee Trading Participant) Trading Floor: TEKTITE Nationality: FILIPINO
Trading Floor: AYALA Nationality: FILIPINO Status: ACTIVE Trading Floor: TEKTITE
Status: ACTIVE Trading Floor: TEKTITE Contact Information: Status: ACTIVE
Contact Information: Status: ACTIVE 22/F, East Tower – PSE Centre Contact Information:
2nd Floor Filben Building Contact Information: Exchange Road, Ortigas Center Rm. 1704, World Trade Exchange Bldg.
779 J. P. Rizal Street 2/F, JTKC Centre Pasig City 215 Juan Luna Street
Brg. Poblacion, Makati City 2155 Pasong Tamo, Makati City Office: 634-6255; 637-5686 Binondo, Manila
Office: 897-6807 Office: 818-6774; 812-6267 Exchange: 634-6255; 634-5408; Office: Executive Office 242-5733
Exchange: 891-9801; 891-9803 Exchange: 634-7110; 633-9707; 634-6256 Dealing Room 241-6284;241-6458
Fax: 897-6807; 897-6805 633-9710; 633-9711 Telefax: 637-6256 Exchange: 634-5030; 634-6235
eastwest@ubix.com.ph Fax: 810-3536 gdtaninc@yahoo.com Telefax: 245-6959
hebsi@info.com
EIB SECURITIES, INC. 261 FIRST INTEGRATED CAPITAL GLOBALINKS SECURITIES &
(Corporate Trading Participant) SECURITIES, INC. 159 STOCKS, INC. 168 HDI SECURITIES, INC. 174
DIONISIO E. CARPIO JR. (Corporate Trading Participant) (Corporate Trading Participant) CHIA KIM TECK
(Nominee Trading Participant) MANUEL MAÑALAC JR. DAVID L. WUSON (Natural Person Trading Participant)
Nationality: FILIPINO (Nominee Trading Participant) (Nominee Trading Participant) Nationality: SINGAPOREAN
Trading Floor: AYALA Nationality: FILIPINO Nationality: FILIPINO Trading Floor: AYALA
Status: ACTIVE Trading Floor: AYALA Trading Floor: AYALA Status: ACTIVE
Contact Information: Status: ACTIVE Status: ACTIVE Contact Information:
11/F, ExportBank Plaza Contact Information: Contact Information: 20th Floor, Orient Square Building
Chino Roces Avenue 12/F, Tower One & Exchange Plaza 7/F, Tower One & Exchange Plaza Emerald Ave., Ortigas Center
cor. Sen. Gil Puyat Avenue, Makati City Ayala Avenue cor. Paseo de Roxas Ayala Avenue cor. Paseo de Roxas Pasig City
Office: 878-0775; 878-0790; 886-1801 to 04 Makati City Makati City Office: 687-7955 to 57; 910-6188
Exchange: 848-5386; 848-5396 Office: 759-4320 to 23; 891-9418 to 19 Office: 848-6341 to 42; 759-4136 to 37 Exchange: 891-9512; 891-9619;
Fax: 886-1805 to 06 Exchange: 759-4320 to 23; 891-9418 to 19 Exchange: 891-9920 to 22 848-0998; 848-7118
contact@e-securities.com.ph Fax: 759-4326 Telefax: 848-6341 to 43; 759-4136 to 37 Fax: 910-6189

EQUITIWORLD SECURITIES, INC. 153 FIRST METRO SECURITIES HK SECURITIES, INC. 178
(Corporate Trading Participant) BROKERAGE CORPORATION 267 GOLDEN TOWER SECURITIES (Corporate Trading Participant)
ANTONIO A. LOPA (Corporate Trading Participant) & HOLDINGS, INC. 285 RODOLFO V. CRUZ
(Nominee Trading Participant) ROBERTO JUANCHITO T. DISPO ANDRES LAO HIAN LIONG (Nominee Trading Participant)
Nationality: FILIPINO (Nominee Trading Participant) (Natural Person Trading Participant) Nationality: FILIPINO
Trading Floor: AYALA Nationality: FILIPINO Nationality: FILIPINO Trading Floor: AYALA
Status: ACTIVE Trading Floor: AYALA Trading Floor: AYALA Status: ACTIVE
Contact Information: Status: ACTIVE Status: ACTIVE Contact Information:
8/F, Tower One & Exchange Plaza Contact Information: Contact Information: Suite 102, Columbia Tower
Ayala Avenue cor. Paseo de Roxas 18/F, PS Bank Center 4/F, Vernida I Condominium Ortigas Avenue, Mandaluyong City
Makati City 777 Paseo de Roxas cor Sedeño St. 120 Amorsolo Street Office: 725-6356 to 57; 724-6336;
Office: 848-5401; 848-5403 to 06 Makati City Legaspi Village, Makati City 724-9967 & 69; 724-6325
President/GM 848-5418 Office: 859-0600 Office: 813-2839; 892-1316 Exchange: 891-9522 to 25
Exchange: 891-9755 to 58 Exchange: (a.m.) 891-9514 to 17 Exchange: 891-9680 to 82 Fax: 725-6360
Fax: 848-5423 Fax: 759-4135 Fax: 813-0321 hksi@i-next.net
eqworld@pldtdsl.net firstmetrosec@globelines.com.ph
I. ACKERMAN & COMPANY, INC.
(Corporate Trading Participant)
IRVING I. ACKERMAN
(Nominee Trading Participant)
Nationality: FILIPINO
Trading Floor: AYALA
Status: ACTIVE
Contact Information:
7/F, Tower One & Exchange Plaza
Ayala Avenue cor. Paseo de Roxas
Makati City
Office: 891-9070 to 72
Exchange: 891-9070 to 72
Fax: 891-9353
i.ackerman@eudoramail.com
I.B. GIMENEZ SECURITIES, INC.
(Corporate Trading Participant)
IGNACIO B. GIMENEZ
(Nominee Trading Participant)
Nationality: FILIPINO
Trading Floor: TEKTITE
Status: ACTIVE
Contact Information:
No. 42 3/F New Rosario
Ortigas Arcade, Rosario
Ortigas Extn., Pasig
Office: 628-0000 local 306
Exchange: 634-6260 to 61;
634-6263 to 65; 634-5168
Fax: 642-7299
IGC SECURITIES, INC.
(Corporate Trading Participant)
ISMAEL G. CRUZ
(Nominee Trading Participant)
Nationality: FILIPINO
Trading Floor: AYALA
Status: ACTIVE
Contact Information:
10/F, Tower One & Exchange Plaza
Ayala Avenue cor. Paseo de Roxas
Makati City
Office: 891-9193 to 94
Exchange: 891-9190 to 92
Fax: 891-9194
igcsec@pldtdsl.net
IMPERIAL, DE GUZMAN,
ABALOS & CO., INC.
(Corporate Trading Participant)
LEONIDES C . TIOTUICO
(Nominee Trading Participant)
Nationality: FILIPINO
Trading Floor: TEKTITE
Status: ACTIVE
Contact Information:
Greenfield Building I
750 Shaw Blvd., Mandaluyong City
Office: 633-2686; 634-5717;
631-8651 loc. 145
Exchange: 634-5161 & 66;
634-5739; 634-5710
Fax: 633-4716
imperdga@yahoo.com
INTRA-INVEST SECURITIES, INC.
(Corporate Trading Participant)
(NO NOMINEE TRADING PARTICIPANT)
Nationality: FILIPINO
Trading Floor: AYALA
Status: ACTIVE
Contact Information:
11/F, ACT Tower
135 Sen. Gil Puyat Avenue
Salcedo Village, Makati City
Office: 813-8293 to 94
Exchange: 891-9206; 891-9208
Fax: 892-1290
179 INVESTORS SECURITIES, INC.
(Corporate Trading Participant)
EDWARD GO
(Nominee Trading Participant)
Nationality: FILIPINO
Trading Floor: AYALA
Status: ACTIVE
Contact Information:
6/F, Tower One & Exchange Plaza
Ayala Avenue cor. Paseo de Roxas
Makati City
Office: 848-7032 to 33;
891-9441 to 42
Exchange: 891-9441 to 46
Fax: 848-7034
180 J. M. BARCELON & COMPANY, INC.
(Corporate Trading Participant)
AMPARO V. BARCELON
(Nominee Trading Participant)
Nationality: FILIPINO
Trading Floor: TEKTITE
Status: ACTIVE
Contact Information:
Unit 34 Casa Nueva
Manga Road, New Manila
Quezon City
Office: 725-1004; 411-1727
Exchange: 635-0236; 687-6317
Fax: 725-1004
J. P. MORGAN SECURITIES
140 PHILIPPINES, INC.
(Corporate Trading Participant)
KELLY LIM
(Nominee Trading Participant)
Nationality: CAYMAN ISLANDS
Trading Floor: TEKTITE
Status: ACTIVE
Contact Information:
31/F, Philam Life Tower
8767 Paseo de Roxas, Makati City
Office: General 885-7700;
Sales 885-7801; 757-2101
Exchange: 687-2364; 687-2370
Fax: 885-7058 to 59
JAKA SECURITIES CORPORATION
(Corporate Trading Participant)
182 KATRINA C. PONCE-ENRILE
(Nominee Trading Participant)
Nationality: FILIPINO
Trading Floor: AYALA
Status: ACTIVE
Contact Information:
8/F, Tower One & Exchange Plaza
Ayala Avenue cor. Paseo de Roxas
Makati City
Office: 848-7122 to 24
Exchange: 848-6413 to 15
Fax: 848-7121
JSG SECURITIES, INC.
(Corporate Trading Participant)
JORGE S. GO
(Nominee Trading Participant)
183 Nationality: FILIPINO
Trading Floor: TEKTITE
Status: ACTIVE
Contact Information:
4/F, A & T Building
244 Escolta Street, Binondo
Manila
Office: 241-0594; 242-9380; 242-9385
Exchange: 637-3159 to 61
Fax: 242-9392
181 KING’S POWER SECURITIES, INC. 389 LUY’S SECURITIES COMPANY, INC. 199
CARLOS J. CHING ENRIQUE LUY, SR.
(Natural Person Trading Participant) (Natural Person Trading Participant)
Nationality: FILIPINO Nationality: FILIPINO
Trading Floor: AYALA Trading Floor: TEKTITE
Status: ACTIVE Status: ACTIVE
Contact Information: Contact Information:
Room 704, Federal Tower 28/F, LKG Tower
Dasmariñas Street, Binondo 6801 Ayala Avenue, Makati City
Manila Office: 884-1271 to 85
Office: 242-3048 to 49 Exchange: 634-5175 to 76;
Exchange: 848-5605 to 07 634-6523 to 24; 634-6850 to 51
Fax: 244-0813 Fax: 884-1384
kingspower@edsamail.com.ph
MACQUARIE SECURITIES
LARRGO SECURITIES COMPANY, INC. 193 (PHILIPPINES), INC. 121
188 MARIA PAZ R. LAUREL (Corporate Trading Participant)
(Natural Person Trading Participant) PAULO C. ROJAS
Nationality: FILIPINO (Nominee Trading Participant)
Trading Floor: AYALA Nationality: CAYMAN ISLANDS
Status: ACTIVE Trading Floor: AYALA
Contact Information: Status: ACTIVE
2/F, Rufino Tower Building Contact Information:
6784 Ayala Avenue, Makati City 22nd Floor 6750 Ayala Avenue Bldg.
Office: 810-1183; 810-1353 to 54 Ayala Avenue, Makati City
810-1440 & 46 Office: 857-0888
Exchange: 891-9530 to 33 Exchange: 848-5213; 848-5228;
Fax: 817-2486 840-8480; 840-8483
Fax: 891-9779
LITONJUA SECURITIES, INC. 195 cynthia.severino@asia.ing.com
(Corporate Trading Participant)
EDUARDO V. LITONJUA JR. MANDARIN SECURITIES CORPORATION 200
185 (Nominee Trading Participant) (Corporate Trading Participant)
Nationality: FILIPINO CHARLES H. SHIH
Trading Floor: TEKTITE (Nominee Trading Participant)
Status: ACTIVE Nationality: FILIPINO
Contact Information: Trading Floor: TEKTITE
Room 205 DITZ Building Status: ACTIVE
444 T. M. Kalaw Street, Manila Contact Information:
Office: 521-1951 to 57 28/F, LKG Tower
Exchange: 634-7178; 634-5713 6801 Ayala Avenue, Makati City
Fax: 521-7692 Office: 884-1271 to 85
Exchange: 634-6517 to 20
LOPEZ, LOCSIN, LEDESMA & Fax: 884-1384
COMPANY, INC. 197
(Corporate Trading Participant) MARIAN SECURITIES, INC. 201
DIONISIO LOPEZ (Corporate Trading Participant)
125 (Nominee Trading Participant) RICHARD L. LEE
Nationality: FILIPINO (Nominee Trading Participant)
Trading Floor: AYALA Nationality: FILIPINO
Status: ACTIVE Trading Floor: AYALA
Contact Information: Status: ACTIVE
Roofdeck, Urban Building Contact Information:
405 Sen. Gil Puyat Avenue (nr. MRT) Universal Family Center Building
EDSA, Makati City 2232 Pasong Tamo Extension
Office: 896-0835; 848-6651 Makati City
Exchange: 891-9640 to 41 Office: 819-1134; 750-2440
Telefax: 895-7310 Exchange: 891-9309; 891-9316
Fax: 819-1130
LUCKY SECURITIES, INC. 198
(Corporate Trading Participant)
MDR SECURITIES, INC. 208
EDDIE T. GOBING (Corporate Trading Participant)
169 (Nominee Trading Participant)
MANUEL D. RECTO
Nationality: FILIPINO (Nominee Trading Participant)
Trading Floor: TEKTITE Nationality: FILIPINO
Status: ACTIVE Trading Floor: AYALA
Contact Information: Status: ACTIVE
19/F, West Tower – PSE Centre Contact Information:
Exchange Road, Ortigas Center 6th Floor, Unit 617AIC-Burgundy
Pasig City Empire Tower, ADB Avenue corner
Office: 634-6826; 634-6786; Garnet & Sapphire Roads
634-6747 & 60 Ortigas Center, Pasig City
Exchange: 634-5382 to 83; 634-5411; Office: 706-2131; 706-2169
634-5707 Exchange: 891-9226 to 28
Fax: 634-6826 Mobile: 0922-8814788; 0922-8823137;
0922-8823136
86 / 87
2007 ANNUAL REPORT
MERCANTILE SECURITIES. CORP. 205 OPTIMUM SECURITIES CORPORATION 215 PHILIPPINE EQUITY PARTNERS, INC. 338 PUBLIC SECURITIES CORPORATION 229
(Corporate Trading Participant) (Corporate Trading Participant) (Corporate Trading Participant) (Corporate Trading Participant)
ASTRID MELODY LIM EDDIE S. JOSE JOSEPH R. MADRID EVANGELINE J. BORJA
(Nominee Trading Participant) (Nominee Trading Participant) (Nominee Trading Participant) (Nominee Trading Participant)
Nationality: FILIPINO Nationality: FILIPINO Nationality: FILIPINO Nationality: FILIPINO
Trading Floor: AYALA Trading Floor: AYALA Trading Floor: AYALA Trading Floor: AYALA
Status: ACTIVE Status: ACTIVE Status: ACTIVE Status: ACTIVE
Contact Information: Contact Information: Contact Information: Contact Information:
20/F, Banco de Oro Plaza No. 11 E. O. Building Unit 19C, Citibank Tower Executive Office:
8737 Paseo de Roxas cor. United & 2nd Streets Citibank Plaza 12/F, Tower One & Exchange Plaza
Makati City Bo. Kapitolyo, Pasig City 8741 Paseo de Roxas, Makati City Ayala Avenue cor. Paseo de Roxas
Office: 813-3131 Office: 631-7831 to 36; 631-3989; Office: 814-5700 Makati City
Exchange: 891-9350 to 58 633-2629 Exchange: 891-9162; 891-9222; Office: 848-7373 to 74;
Fax: 818-6930 Exchange: 891-9581 to 85 891-9097 811-4706; 811-4526
Fax/Telefax: 631-8834 / 633-2629 Fax: 814-5793 to 94 Exchange: 891-9490 to 93
MERIDIAN SECURITIES, INC. 206 Fax: 811-4706
(Corporate Trading Participant) PAN ASIA SECURITIES CORPORATION 218 PHIL-PROGRESS SECURITIES CORP. 276 psc@i-manila.com.ph
RONALDO S. SALONGA MARIANO TANENGLIAN (Corporate Trading Participant)
(Nominee Trading Participant) (Natural Person Trading Participant) FRANCISCA S. MARTIN QUALITY INVESTMENT &
Nationality: FILIPINO Nationality: FILIPINO (Nominee Trading Participant) SECURITIES CORP. 230
Trading Floor: TEKTITE Trading Floor: AYALA Nationality: FILIPINO (Corporate Trading Participant)
Status: ACTIVE Status: ACTIVE Trading Floor: AYALA (NO NOMINEE TRADING PARTICIPANT)
Contact Information: Contact Information: Status: ACTIVE Nationality: FILIPINO
27/F, East Tower – PSE Centre 9/F, Tower One & Exchange Plaza Contact Information: Trading Floor: AYALA
Exchange Road, Ortigas Center Ayala Avenue cor. Paseo de Roxas G/F, PPL Building, U. N. Avenue Status: ACTIVE
Pasig City Makati City cor. San Marcelino Street, Manila Contact Information:
Office: 635-6261 to 64 Office: 848-5153 to 54 Office: 526-4207; 526-4208 &10 Unit 1602 Tytana Plaza
Exchange: 634-6931 to 36 Exchange: 891-9170 to 74 Exchange: 891-8579 to 80 Plaza Lorenzo Ruiz, Binondo, Manila
Fax: 634-6937 Fax: 848-5154 Fax: 526-4202 Office: 241-0072; 241-0486;
meridiansec@yahoo.com panasec@edsamail.com.ph 241-0547
Exchange: 891-9184 to 89
PLATINUM SECURITIES, INC. 223 Fax:241-0166
MOUNT PEAK SECURITIES, INC. 210 PAPA SECURITIES CORPORATION 219 (Corporate Trading Participant) qualsec@pldtdsl.net
(Corporate Trading Participant) (Corporate Trading Participant) RODOLFO V. FELICIANO
WILLIAM GAWECO MYRON TIMOTHY P. PAPA (Nominee Trading Participant)
(Nominee Trading Participant) (Nominee Trading Participant) Nationality: FILIPINO R & L INVESTMENTS, INC. 231
Nationality: FILIPINO Nationality: FILIPINO Trading Floor: AYALA (Corporate Trading Participant)
Trading Floor: AYALA Trading Floor: AYALA Status: ACTIVE RENE R. LEE
Status: ACTIVE Status: ACTIVE Contact Information: (Nominee Trading Participant)
Contact Information: Contact Information: 8/F, Antel 2000 Corporate Center Nationality: FILIPINO
748 C. K. Building, Juan Luna St. 6/F, S & L Building 121 Valero St., Salcedo Vill., Makati Trading Floor: AYALA
Binondo, Manila De la Rosa cor. Esteban Streets Office: 887-1178 to 79 Status: ACTIVE
Office: 241-7990 & 92; 241-8043; Legaspi Village, Makati City Exchange: 891-9301 to 03 Contact Information:
243-1953 Office: 817-8433 & 79; 817-8454; Telefax: 887-1178 675 Lee Street, Mandaluyong City
Exchange: 891-9601 to 03 815-1308 Office: 724-5207
Fax: 241-8042 Exchange: 891-9630 to 32 Exchange: 891-9201 to 05
PNB SECURITIES, INC. 224 Fax: 724-7210
Info@mountpeak.com Fax: 815-1308 (Corporate Trading Participant)
www.mountpeak.com mcpapa@pacific.net.ph (NO NOMINEE TRADING PARTICIPANT)
Nationality: FILIPINO R. COYIUTO SECURITIES, INC. 233
NEW WORLD SECURITIES, INC. 211 PCCI SECURITIES BROKERS CORP. 282 Trading Floor: AYALA (Corporate Trading Participant)
(Corporate Trading Participant) (Corporate Trading Participant) Status: ACTIVE ROBERT COYIUTO JR.
JOAN CHAI CHU FEDERICO C. GALANG Contact Information: (Nominee Trading Participant)
(Nominee Trading Participant) (Nominee Trading Participant) 3/F, PNB Financial Center Nationality: FILIPINO
Nationality: FILIPINO Nationality: FILIPINO Roxas Boulevard, Pasay City Trading Floor: TEKTITE
Trading Floor: TEKTITE Trading Floor: AYALA Office: 526-3510; 526-3678; Status: ACTIVE
Status: ACTIVE Status: ACTIVE 832-5461 / Dealing 526-3478 Contact Information:
Contact Information: Contact Information: Exchange: 891-9841; 891-9846; 5/F, Corinthian Plaza
Room 202 CNC Investment Bldg. 4/F, PCCI Corporate Center 891-9849 Paseo de Roxas, Legaspi Village
231 Juan Luna St., Binondo, Manila 118 L. P. Leviste Street Fax: 526-3477 Makati City
Office: 242-1759; 242-1767 Salcedo Village, Makati City Office: 811-3064 to 67; 811-3201
Exchange: 634-5711 to 12; 634-5721 Office: 893-3920; 893-3923 to 24; Exchange: 634-6203 to 07;
PREMIUM SECURITIES, INC. 225 634-5035; 634-6697 & 69
Fax: 242-1743 893-4341 ANTONIO Y. TEE
jameschu@info.com.ph Exchange: 891-9952 to 55; Fax: 811-3073
(Natural Person Trading Participant) rcoyiutosec@hotmail.com
848-6284 to 85; 840-2991 Nationality: FILIPINO
NIEVES SANCHEZ, INC. 213 Fax: 893-4340 Trading Floor: AYALA
(Corporate Trading Participant) pcci.sbc@eastern.com.ph Status: ACTIVE R. NUBLA SECURITIES, INC. 236
TERESITA P. PACHECO Contact Information: RALPH NUBLA JR.
(Nominee Trading Participant) PCIB SECURITIES, INC. 131 14/F, Tower One & Exchange Plaza (Natural Person Trading Participant)
Nationality: FILIPINO (Corporate Trading Participant) Ayala Avenue cor. Paseo de Roxas Nationality: FILIPINO
Trading Floor: AYALA (NO NOMINEE TRADING PARTICIPANT) Makati City Trading Floor: TEKTITE
Status: ACTIVE (Nominee Trading Participant) Office: 848-5915 to 17 Status: ACTIVE
Contact Information: Nationality: FILIPINO Exchange: 891-9593 to 95 Contact Information:
Room 400 CNC Investment Bldg. Trading Floor: AYALA Telefax: 848-5917 Room 300, CNC Investment Bldg.
231 Juan Luna Street, Binondo Status: ACTIVE 231 Juan Luna Street
Manila Contact Information: Binondo, Manila
Office: 241-7142; 241-6890 20/F, Equitable PCI Tower I Office: 242-1595 to 96; 242-1770
Exchange: 891-9306 to 08 Makati Ave. cor. H.V. dela Costa St. Exchange: 634-6525 to 29
Fax: 241-6890 Makati City Fax: 242-1666
Office: Dealing Room 878-4556;
878-4558; 878-4562 to 63
Operations 878-4559 to 60
Compliance 878-4564
Exchange: 891-9008 to 09; 891-9045
Fax: 878-4552
nilo.sampayo@equitablepcib.com
carol.santana@equitablepcib.com
R. S. LIM & COMPANY, INC.
(Corporate Trading Participant)
ALEJANDRO T. YU
(Nominee Trading Participant)
Nationality: FILIPINO
Trading Floor: AYALA
Status: ACTIVE
Contact Information:
1509 Galvani Street, Makati City
Office: 843-4313; 844-7235;
844-2245
Exchange: 891-9660 to 66
Fax: 844-2245
rslim@i-manila.com.ph
RCBC SECURITIES, INC.
(Corporate Trading Participant)
RAUL M. LEOPANDO
(Nominee Trading Participant)
Nationality: FILIPINO
Trading Floor: AYALA
Status: ACTIVE
Contact Information:
7/F Yuchengco Tower, RCBC Plaza
6819 Ayala Avenue, Makati City
Office: Trunk line 889-6931 to 35
Exchange: 845-2641
Fax: 889-7642
www.rcbcsec.com
sales@rcbcsec.com
REGINA CAPITAL DEVELOPMENT CORP. 235
MARITA A. LIMLINGAN
(Natural Person Trading Participant)
Nationality: FILIPINO
Trading Floor: AYALA
Status: ACTIVE
Contact Information:
8/F, Tower One & Exchange Plaza
Ayala Avenue cor. Paseo de Roxas
Makati City
Office: 848-5482 to 84
Exchange: 891-9413; 891-9415 to 17
Fax: 848-5482 to 84
rcdc@reginacapital.com
RTG & COMPANY, INC.
(Corporate Trading Participant)
(NO NOMINEE TRADING PARTICIPANT)
Nationality: FILIPINO
Trading Floor: AYALA
Status: ACTIVE
Contact Information:
Attn: Ms. Milwida Salvatierra
6/F, Tower One & Exchange Plaza
Ayala Avenue cor. Paseo de Roxas
Makati City
Office: 891-9480 to 84
Exchange: 891-9480 to 84
Fax: 891-9483
S. J. ROXAS & COMPANY, INC.
(Corporate Trading Participant)
SIMPLICIO J. ROXAS
(Nominee Trading Participant)
Nationality: FILIPINO
Trading Floor: AYALA
Status: ACTIVE
Contact Information:
6/F, Tower One & Exchange Plaza
Ayala Avenue cor. Paseo de Roxas
Makati City
Office: 848-5065 to 69
Exchange: 891-9708 to 09;
891-9714 to 16; 891-9439
Fax: 891-9447
238 SARANGANI SECURITIES, INC. 113 STANDARD SECURITIES CORPORATION 247 THE FIRST RESOURCES MANAGEMENT
(Corporate Trading Participant) DOMINGO HERRERA & SECURITIES CORPORATION 252
ARTHUR W. ANTONINO (Natural Person Trading Participant) MA. VIVIAN YUCHENGCO
(Nominee Trading Participant) Nationality: FILIPINO (Natural Person Trading Participant)
Nationality: FILIPINO Trading Floor: AYALA Nationality: FILIPINO
Trading Floor: AYALA Status: ACTIVE Trading Floor: AYALA
Status: ACTIVE Contact Information: Status: ACTIVE
Contact Information: 34 Jefferson Street, Contact Information:
Unit 2 D1 Vernida I Condominium West Greenhills, San Juan, M. Mla. 8/F, Tower One & Exchange Plaza
120 Amorsolo Street, Legaspi Village Office: 725-3905; 721-5887 Ayala Avenue cor. Paseo de Roxas
Makati City Exchange: 891-9760 to 61; 891-9764 to 65 Makati City
Office: 817-5806; 840-4504; Fax: 721-5887 Office: 848-6311 to 18
817-5834 Exchange: 848-6311 to 18
Exchange: 891-9176 to 79 STRATEGIC EQUITIES CORPORATION 192 Fax: 848-6272
Fax: 817-5815 (Corporate Trading Participant) Email: stres@philwebinc.com
217 sarangani95@yahoo.com ROBERTO Z. LORAYES
(Nominee Trading Participant) TOWER SECURITIES, INC. 253
SB EQUITIES, INC. 115 Nationality: FILIPINO (Corporate Trading Participant)
(Corporate Trading Participant) Trading Floor: AYALA RAYMOND PETER L. UNLAY
REMY TIGULO Status: ACTIVE (Nominee Trading Participant)
(Nominee Trading Participant) Contact Information: Nationality: FILIPINO
Nationality: FILIPINO 6/F, Tower One & Exchange Plaza Trading Floor: TEKTITE
Trading Floor: AYALA Ayala Avenue cor. Paseo de Roxas Status: ACTIVE
Status: ACTIVE Makati City Contact Information:
Contact Information: Office: 848-5159 18/F, East Tower – PSE Centre
18/F, Security Bank Centre Exchange: 891-9620 to 21 Exchange Road, Ortigas Center
6776 Ayala Avenue, Makati City Fax: 848-5164 Pasig City
Office: President 891-1092 Email: sec@pldtdsl.net Office: 635-4448 to 49; 635-4144;
Manager 891-1116 634-6726
Dealing 891-1243/57/58/78 SUMMIT SECURITIES, INC. 246 Exchange: 6345-5146; 634-5148;
Accounting 813-3441 (Corporate Trading Participant) 638-3847; 638-3850; 633-9411
Settlement 891-1031 or 37 HARRY G. LIU Fax: 635-4145
Dealing 891-1021 (Nominee Trading Participant) tower_sec@yahoo.com
Exchange: 891-9677; 891-9686 to 87 Nationality: FILIPINO
Fax: 813-3349 Trading Floor: TEKTITE TRANS-ASIA SECURITIES, INC. 254
SBEquities@securitybank.com.ph Status: ACTIVE (Corporate Trading Participant)
Contact Information: EUGENE ONG
SECURITIES SPECIALISTS, INC. 242 21/F, East Tower – PSE Centre (Nominee Trading Participant)
(Corporate Trading Participant) Exchange Road, Ortigas Center Nationality: FILIPINO
(NO NOMINEE TRADING PARTICIPANT) Pasig City Trading Floor: TEKTITE
Nationality: FILIPINO Office: 631-1032 to 37 Status: ACTIVE
Trading Floor: AYALA Exchange: 631-1032 to 37 Contact Information:
Status: ACTIVE Fax: 631-1033 Room 601-S State Centre Building
Contact Information: 333 Juan Luna Street
Rm. 903 National Life Insurance Bldg. SUPREME STOCKBROKER, INC. 249 Binondo, Manila
Ayala Avenue, Makati City (Corporate Trading Participant) Office: 242-2823; 242-3031;
239 Office: 812-5905 EDUARDO C. ARROYO JR. 242-1031
Exchange: 891-9701 to 03 (Nominee Trading Participant) Exchange: 634-5725 to 27;
Fax: 813-1682 Nationality: FILIPINO 634-5752 to 54
securities.specialists@gmail.com Trading Floor: AYALA Fax: 242-3031
Status: ACTIVE
SINCERE SECURITIES CORPORATION 129 Contact Information: TRI-STATE SECURITIES, INC. 257
(Corporate Trading Participant) 10/F, Tower One & Exchange Plaza (Corporate Trading Participant)
JOHN KENNETH L. OCAMPO Ayala Avenue cor. Paseo de Roxas GREGORIO T. CHAN
(Nominee Trading Participant) Makati City (Nominee Trading Participant)
Nationality: FILIPINO Office: 891-9405 to 07 Nationality: FILIPINO
Trading Floor: TEKTITE Exchange: 891-9401; 891-9403 Trading Floor: AYALA
Status: ACTIVE Fax: 891-9405 Status: ACTIVE
Contact Information: Contact Information:
12/F, East Tower – PSE Centre TANSENGCO & COMPANY, INC. 251 10/F, Tower One & Exchange Plaza
Exchange Road, Ortigas Center (Corporate Trading Participant) Ayala Avenue cor. Paseo de Roxas
240 Pasig City FRANCISCO O. TANSENGCO Makati City
Office: 638-3549 to 50 (Nominee Trading Participant) Office: 848-5044 to 47
Exchange: 634-6664; 634-6668 Nationality: FILIPINO Exchange: 891-9361 to 64
Fax: 638-3549 Trading Floor: TEKTITE Fax: 848-5047
Status: ACTIVE
SOLAR SECURITIES, INC. 286 Contact Information: TRITON SECURITIES CORPORATION 136
(Corporate Trading Participant) Room 208 Padilla delos Reyes Bldg. (Corporate Trading Participant)
JOHNNY S. YAP 232 Juan Luna Street, Binondo, Manila EDWIN L. LUY
(Nominee Trading Participant) Office: 241-6887 (Nominee Trading Participant)
Nationality: FILIPINO Exchange: 634-6675 & 85; Nationality: FILIPINO
Trading Floor: TEKTITE 633-1310; 634-8230 Trading Floor: TEKTITE
Status: ACTIVE Fax: 241-7155 Status: ACTIVE
Contact Information: Contact Information:
30/F, East Tower – PSE Centre 26/F, LKG Tower
Exchange Road, Ortigas Center 6801 Ayala Avenue, Makati City
Pasig City Office: 884-2081 to 83
Office:Trunk line 636-6302 Exchange: 635-5531 to 35
Direct lines 634-6651; 634-6653 Fax: 884-2088
Exchange: 636-6302; 634-6869; TSC136@yahoo.com
634-6878 88 / 89
Fax: 635-2466
solar_sec_inc@yahoo.com
2007 ANNUAL REPORT
UBS SECURITIES PHILIPPINES INC. 333 UOB-KAY HIAN SECURITIES VENTURE SECURITIES, INC. 263 WONG SECURITIES CORPORATION 273
(Corporate Trading Participant) (PHILIPPINES), INC. 260 EUSEBIO TANCO (Corporate Trading Participant)
ROBRINA L. GO (Corporate Trading Participant) (Natural Person Trading Participant) EDEN WONG
(Nominee Trading Participant) TAN CHEK TECK Nationality: FILIPINO (Nominee Trading Participant)
Nationality: SWISS (Nominee Trading Participant) Trading Floor: AYALA Nationality: FILIPINO
Trading Floor: AYALA Nationality: SINGAPOREAN Status: ACTIVE Trading Floor: TEKTITE
Status: ACTIVE Trading Floor: AYALA Contact Information: Status: ACTIVE
Contact Information: Status: ACTIVE 7th Floor, Phil. First Building Contact Information:
19/F, Tower One & Exchange Plaza Contact Information: 6764 Ayala Avenue, Makati City 960 Ideal Street, Mandaluyong City
Ayala Avenue cor. Paseo de Roxas Unit 404 Locsin Building Office: 848-6505; 887-8447 Office: 727-6317
Makati City Ayala cor. Makati Avenue, Makati City Local nos. 7011/7012/7016 Exchange: 634-5735 to 36
Office: Trunk Line 784-8888 Office: 887-7972 Exchange: 891-9420 to 22 Telefax: 718-0887
Sales 784-8864 Exchange: 891-9526 to 27 Telefax: 848-6503 wongsecuritiesonline@yahoo.com
Operations 784-8813 Fax: 887-7973
Compliance 784-8807 milasanjose@uobkayhian.com VICSAL SECURITIES & STOCK YAO & ZIALCITA, INC. 275
Exchange: 891-8588; 891-8589 BROKERAGE, INC. 266 CARMELITA C. YAO
Fax: General 784-8899 UPCC SECURITIES CORPORATION 100 (Corporate Trading Participant) (Natural Person Trading Participant)
Equities 848-2382 (Corporate Trading Participant) FRANK SY GAISANO Nationality: AMERICAN
Logistics 784-8810 WILLIAM C. UY (Nominee Trading Participant) Trading Floor: TEKTITE
Robby.Go@ubs.com (Nominee Trading Participant) Nationality: FILIPINO Status: ACTIVE
Tet.Achacon-Espallardo@ubs.com Nationality: FILIPINO Trading Floor: AYALA Contact Information:
Trading Floor: AYALA Status: ACTIVE 5H Vernida I Condominium
UCPB SECURITIES, INC. 259 Status: ACTIVE Contact Information: 120 Amorsolo Street
(Corporate Trading Participant) Contact Information: 658 Carlos Palanca Street Legaspi Village, Makati City
RENATO P. PERALTA 12/F Tower One & Exchange Plaza Quiapo, Manila Office: 813-3496; 892-5936;
(Nominee Trading Participant) Ayala Avenue cor. Paseo de Roxas Office: 734-9771 to 75 loc. 114; 894-0553 to 55
Nationality: FILIPINO Makati City 734-9526 Exchange: 634-6284; 634-6286;
Trading Floor: AYALA Office & Exchange: 891-8512; Exchange: 891-9710 to 13 634-6946
Status: ACTIVE 891-8514; 891-8519 Fax: 734-9501 Fax: 813-3496; 818-6739
Contact Information: Fax: 892-0215 yaozial@boostunlimited.net
5/F, UCPB Building upcc_mla@i-manila.com WEALTH SECURITIES, INC. 269
Makati Avenue, Makati City (Corporate Trading Participant) YU & COMPANY, INC. 278
Office: 811-9000 VALUE QUEST SECURITIES HOSANNA T. AYSON (Corporate Trading Participant)
Office of the President loc. 9545 CORPORATION 190 (Nominee Trading Participant) JOHNNY YU
Compliance Officer loc. 9793 (Corporate Trading Participant) Nationality: FILIPINO (Nominee Trading Participant)
Securities Settlement loc. 9972 GLENN PAUL R. GARCIA Trading Floor: TEKTITE Nationality: FILIPINO
Accounting loc. 9970 & 9973 (Nominee Trading Participant) Status: ACTIVE Trading Floor: TEKTITE
Exchange: 891-9735 to 37 Nationality: FILIPINO Contact Information: Status: ACTIVE
Fax: 811-9792 Trading Floor: TEKTITE 21/F, East Tower – PSE Centre Contact Information:
jtdimero@ucpb.com – Compliance Status: ACTIVE Exchange Road, Ortigas Center 16/F, East Tower – PSE Centre
hbbongon@ucpb.com – Accounting Contact Information: Pasig City Exchange Road, Ortigas Center
1007B West Tower, PSE Centre Office: 634-5038 to 42; 637-3048 to 50 Pasig City
UNICAPITAL SECURITIES, INC. 345 Exchange Road, Ortigas Center Exchange: 634-6222; 634-6225 to 29 Office: 634-6611 & 18; 634-7577
(Corporate Trading Participant) Pasig City Fax: 634-5043 Exchange: 634-6248 to 50
LEONARDO R. ARGUELLES Office: 636-6684; 636-6686 info@wealthsecuritiesinc.com Fax: 634-5918
(Nominee Trading Participant) Exchange: 633-4880 yunc@sfi.com.ph
Nationality: FILIPINO Fax: 687-2584 WESTLINK GLOBAL EQUITIES, INC. 270
Trading Floor: AYALA valuequestsecurities@gmail.com (Corporate Trading Participant)
Status: ACTIVE RHODERICK SANTOS
Contact Information: (Nominee Trading Participant)
4/F, Majalco Building Nationality: FILIPINO
Trasierra cor. Benavidez Streets Trading Floor: AYALA
Legaspi Village, Makati City Status: ACTIVE
Office: Dealing/Sales 812-2589 Contact Information:
Operations/Dealing/Sales 892-0991 6/F, Tower One & Exchange Plaza
Exchange: 891-9622; 891-9624 Ayala Avenue cor. Paseo de Roxas
Fax: 818-2127 Makati City
mail@unicapsec.com Office: 848-6231; 848-6246
Exchange: 891-9380 to 83
Fax: 848-6229
wgei@tri-isys.com -President
wgeirsc@tri-isys.com -Research/Marketing
wgei_operation@tri-isys.com -Operations
CORPORATE INFORMAT ION

Annual Meeting
The annual meeting of shareholders will be held on Saturday,
17 May 2008, 7:30 a.m. at the PSE Centre, Exchange Road,
Ortigas Center, Pasig City.

Corporate Offices
Principal Office:
Philippine Stock Exchange Centre
Exchange Road, Ortigas Centre, Pasig City
1605 Philippines
Tel. No.: (632) 688-7600
Fax No.: (632) 634-5113

Philippine Stock Exchange Plaza

Ayala Triangle, Ayala Avenue, Makati City
1226 Philippines
Tel. No.: (632) 819-4100
Fax No.: (632) 891-9004

Website: www.pse.com.ph

External Counsels External Auditor

Angara Abello Concepcion Regala & Cruz Law Offices SyCip Gorres Velayo & Co.
ACCRA Building, 122 Gamboa St. SGV Building
Legaspi Village, Makati City 6760 Ayala Avenue
Makati City, Philippines
Zamora Poblador Vasquez and Bretaña Law Offices
5th Floor, Montepino Building
138 Amorsolo St., Legaspi Village, Makati City Stock Transfer Agent
Rizal Commercial Banking Corp.
Quasha, Ancheta Peña and Nolasco Law Offices Trust and Investments Division
114 Amorsolo St., Legaspi Village, Makati City RCBC Head Office
Yuchengco Tower, RCBC Plaza
Tan Venturanza and Valdez Law Offices 6819 Ayala Avenue
2704 East Tower, Philippine Stock Exchange Centre Makati City, Philippines
Exchange Road, Ortigas Center, Pasig City

Rodrigo Berenguer & Guno For inquiries, please contact:

4th Floor, Phil. First Building Public and Investor Relations Section
Ayala Avenue, Makati City Tel. No.: (632) 688-7600
E-mail: pirs@pse.com.ph
Arce Law Office
Unit 612, 6/F Tower 1 Cityland Condominium 10
6815 Ayala Avenue, Makati City

2007 ANNUAL REPORT

 www.pse.com.ph

Public and Investor Relations Section

Tel. No. (632) 688-7600
E-mail: pirs@pse.com.ph