The First Metro Investment Corporation website

In this photo: Representatives of noteholder institutions pose with Globe Telecom, Metrobank, and First Metro key executives namely Roberto Juanchito T. Dispo (seated, 2^nd from left), Delfin C. Gonzalez, Jr. (seated, 4^th from left), Arthur V. Ty (seated, 5^th from left), Ernest L. Cu (seated, 6^th from left), and Francisco C. Sebastian (seated, 7^th from left).

Globe Successfully Raises PhP5 Billion in Notes Issue

Manila, Philippines, May 28, 2009— Globe Telecom, Inc. (Globe), one of the country’s leading telecommunications companies, successfully raised Php5.0 billion from the issuance of 5- and 7-year fixed and floating rate corporate notes. Solely arranged by First Metro Investment Corporation (First Metro), Metrobank’s investment banking arm, the issue was subscribed to by twelve (12) participating lenders, who were a mix of banks, insurance companies, mutual funds, and government financial institutions (GFIs). Strong demand from these institutions convinced Globe to double the size of the offer from the original Php2.5 billion, making it another successful fund raising for one of the country’s prime corporate issuers. In February, Globe had also raised PhP5.0 billion from the sale of 3- and 5-year retail bonds.

This deal affirms Globe’s commitment to sustaining competitiveness and improving operational efficiencies, as the raised amount will be used to strengthen its broadband and landline services. In his message, Globe president and chief executive officer Ernest Cu said “The issue comes at the most opportune time as we continue to drive growth in our core offerings, while actively looking at the development of new and innovative businesses— both Philippine- and world-firsts. Given our intensified marketing thrust, and eye for breakthrough products and services with very high potential for growth, we are also confident in our ability to capture an even bigger share of the telecom market. Of course, in doing so, we have every intent of staying true to our promise [of] enriching lives and ensuring maximum satisfaction at minimum cost for [our] valued customers.”

“Despite it being closely timed with a bond offer from another leading Philippine corporation, the overwhelming support for Globe’s issue is proof of the local capital markets’ continued liquidity; as well as investors’ appetite for quality investment instruments,” Roberto Juanchito T. Dispo, executive vice president of First Metro, said. He added, “But what makes this particular issue very significant is that it single-handedly brought pricing normalcy to the capital markets. Globe’s astute pricing and market positioning has brought pricing sense back to the capital markets and demonstrated how Triple A-rated issuers should be priced. This will benefit future issuers with varying degrees of ratings.”

First Metro’s president, Francis Sebastian, states, “Probably one of the best ways we can help our country is to support successful companies and strategic industries, which is what we’re precisely doing today [with Globe]. We are playing a very big part in nation-building, as we enable Globe to maintain world-class communications facilities.”

This deal marks the first funding transaction of Globe under new leadership. “Mr. Cu, let us just say this is our PhP5.0 billion-worth vote of confidence in [your] able and promising leadership,” volunteers Sebastian.

“Globe thanks First Metro and all the participating noteholders. We’re very happy given the positive response to our issue, and shall remain to actively tap the capital markets to aid our strategic initiatives,” Cu adds.

Majority-owned by Singapore Telecommunications and Ayala Corporation, publicly-listed Globe has been serving the personal and corporate mobile telecommunications requirements of Filipinos here and worldwide since 1994. It currently has almost 26 million mobile subscribers.