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{Unedited as of 16 Jan 2009 by AttyMLGREYES} Repub i! of t"e #"i ippines SUPREME COURT Mani a E$ %A$& A.M. No. 00-8-10-SC RULES OF PROCEDURE ON CORPORATE REHABILITATION RES'LU()'$ A!tin* on t"e +e!o,,endation of t"e Sub!o,,ittee on Spe!ia Ru es fo+ Spe!ia &o,,e+!ia &ou+tssub,ittin* fo+ t"e !onside+ation and app+o.a of t"e &ou+t t"e Reso .ed to A##R'/E0 t"e sa,e1 ("e Ru e s"a ta2e effe!t on Janua+y 16- 2009 fo o3in* its pub i!ation in t3o 425 ne3spape+s of *ene+a !i+!u ation1 0e!e,be+ 2- 2006 RULES OF PROCEDURE ON CORPORATE REHABILITATION (2008) RULE 1 COVERAGE Sec !o" 1. Scope 7 ("ese Ru es s"a app y to petitions fo+ +e"abi itation of !o+po+ations- pa+tne+s"ips and asso!iations pu+suant to #+esidentia 0e!+ee $o1 9027A- as a,ended1 Sec !o" 2. Applicability to Rehabilitation Cases Transferred from the Securities and Exchange Commission. 7 &ases fo+ +e"abi itation t+ansfe++ed f+o, Se!u+ities E8!"an*e &o,,ission to t"e Re*iona (+ia &ou+t pu+suant to Repub i! A!t $o1 6999- ot"e+3ise 2no3n as ("e Se!u+ities Re*u ation &odes"a i2e3ise be *o.e+ned by t"ese Ru es1 RULE 2 DEFINITION OF TERMS AND CONSTRUCTION Sec !o" 1. Definition of Terms. 7 :o+ pu+pose of t"ese Ru es; "Administrative Expenses" s"a +efe+ to 4a5 +easonab e and ne!essa+y e8penses t"at a+e in!u++ed in !onne!tion 3it" t"e fi in* of t"e petition< 4b5 e8penses in!u++ed in t"e o+dina+y !ou+se of business afte+ t"e issuan!e of t"e stay o+de+- e8! udin* inte+est payab e to t"e !+edito+s fo+ oans and !+edit a!!o,,odations e8istin* at t"e ti,e of t"e issuan!e of t"e stay o+de+- and 4!5 ot"e+ e8penses t"at a+e aut"o+i=ed unde+ t"is Ru es1 "Affidavit of eneral !inancial Condition" s"a +efe+ to a .e+ified state,ent on t"e *ene+a finan!ia !ondition of t"e debto+ +e>ui+edin Se!tion 2- Ru e ? of t"ese Ru es1

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"Affiliate" is a !o+po+ation t"at di+e!t y o+ indi+e!t y- t"+ou*" one o+ ,o+e inte+,edia+ies- is !ont+o ed byo+ is unde+ t"e !o,,on !ont+o of anot"e+ !o+po+ation- 3"i!" t"e+eby be!o,es its pa+ent !o+po+ation1 "Asset" is anyt"in* of .a ue t"at !an be in t"e fo+, of ,oney- su!" as !as" at t"e ban2 o+ a,ounts o3ed< fi8ed assets su!" as p+ope+ty o+ e>uip,ent< o+ intan*ib es in! udin* inte e!tua p+ope+ty- t"e boo2 .a ue of 3"i!" is s"o3n in t"e ast t"+ee audited finan!ia state,ent i,,ediate y p+e!edin* t"e fi in* of t"e petition- )n !ase t"e debto+ is ess t"an t"+ee yea+s in ope+ation- it is suffi!ient t"at t"e boo2 .a ue is based on t"e audited finan!ia state,ent@s fo+ t"e yea+s o+ yea+ i,,ediate y p+e!edin* t"e fi in* of petition- as t"e !ase ,ay be1 ""oard of Directors" s"a asso!iation in! ude t"e e8e!uti.e !o,,ittee o+ t"e ,ana*e,ent of pa+tne+s"ip o+

"Claim" s"a in! ude a ! ai,s o+ de,ands of 3"ate.e+ natu+e o+ !"a+te+ a*ainst a debto+ o+ its p+ope+ty3"et"e+ fo+ ,oney o+ ot"e+3ise "Control" is t"e po3e+ of a pa+ent !o+po+ation to di+e!t o+ *o.e+n t"e finan!ia and ope+atin* po i!ies of an ente+p+ise so as to obtain benefits f+o, its a!ti.ities1 &ont+o is p+esu,ed to e8it 3"en t"e pa+ent o3nsdi+e!t y o+ indi+e!t y t"ou*" subsidia+ies- ,o+e t"an one 7 "a f 4A5 of t"e .otin* po3e+ of t"e .otin* po3e+ of an ente+p+ise un ess- un ess- in e8!eption !i+!u,stan!es- it !an ! ea+ y be de,onst+ated t"at su!" o3n s"ip does not !onstitute !ont+o 1 &ont+o a so e8its e.en 3"en t"e pa+ent o3n one7"a f 41B25 o+ ess of t"e .otin* po3e+ of an ente+p+ise 3"en t"e+e is po3e+; 4A5 '.e+ ,o+e t"an one7"a f 4A5 of a*+ee,ent 3it" in.esto+s< 4%5 (o di+e!t o+ *o.e+n t"e finan!ia and ope+atin* po i!ies of t"e ente+p+ise unde+ a statute o+ a*+ee,ent< 4&5 (o appoint o+ +e,o.e t"e ,aCo+ity of t"e ,e,be+ of t"e boa+d of di+e!to+s o+ e>ui.a ent *o.e+nin* body< o+ 405 (o !ast t"e ,aCo+ity .otes at ,eetin* of t"e boa+d of di+e!to+s o+ e>ui.a ent *o.e+nin* body1 "Creditor" s"a ,ean any "o de+ of a ! ai, "Court" s"a +efe+ to t"e p+ope+ Re*iona (+ia &ou+t desi*nated to "ea+ and de!ide t"e !ases !onte,p ated !onte,p ated unde+ t"ese Ru es1 "Days" s"a +efe+ to !a enda+ days un ess ot"e+3ise p+o.ided in t"ese Ru es1 "Debtor" s"a ,ean any !o+po+ation- pa+tne+s"ip o+ asso!iation o+ a *+oup of !o,panies- 3"et"e+ supe+.ised o+ +e*u ated by t"e Se!u+ities and E8!"an*e &o,,ission o+ ot"e+ *o.e+n,ent a*en!ies- on 3"ose be"a f a petition fo+ +e"abi itation "as been fi ed unde+ t"ese +u es1 "!oreign court" ,eans a Cudi!ia o+ ot"e+ aut"o+ity !o,petent to !ont+o o+ supe+.ise a fo+ei*n p+o!eedin*1 "!oreign proceeding" ,eans a !o e!ti.e Cudi!ia o+ ad,inist+ati.e p+o!eedin* in a fo+ei*n State- inte+i, p+o!eedin*- pu+suant to a a3 +e so .en!y in 3"i!" p+o!eedin* t"e assets and affai+s of t"e debto+ a+e subCe!t to !ont+o o+ supe+.ision by a fo+ei*n !ount- fo+ t"e pu+pose of +e"abi itation o+ +e7o+*ani=ation "!oreign Representative" ,eans pe+son o+ entity- in! udin* one appointed on an inte+i, basis- aut"o+i=ed in a fo+ei*n p+o!eedin* to ad,iniste+ t"e +eo+*ani=ation o+ +e"abi itation of t"e debto+ o+ a!t as a +ep+esentati.e of t"e fo+ei*n p+o!eedin*1

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" roup of companies" +efe+s to- and !an !o.e+ on y- !o+po+ation t"at a+e finan!ia y +efe+s to- and !an !o.e+ on y- !o+po+ations t"at a+e finan!ia y +ated to one anot"e+ as pa+ent !o+po+ation- subsidia+ies and affi iates1 D"en t"e petition !o.e+s a *+oup of !o,panies- a +efe+en!e unde+ t"ese Ru es to Edebto+E s"a in! ude and app y in! ude and app y to t"e *+oup of !o,panies1 "#iabilities" s"a +efe+ to ,oneta+y ! ai,s a*ainst t"e debto+- in! udin* sto!2"o de+s ad.an!es t"at "a.e been +e!oded in t"e debto+Fs audited finan!ia state,ents as ad.an!es fo+ subs!+iption1 "$arent" is a !o+po+ation di+e!t y o+ indi+e!t y t"ou*" one o+ ,o+e inte+,edia+ies1 "Rehabilitation" s"a ,ean t"e +esto+ation of t"e debto+ to a position of su!!essfu ope+ation and so .en!y- if it is s"o3n t"at its !ontinuan!e of ope+ation is e!ono,i!a y feasib e and its !+edito+s !an +e!o.e+ by 3ay of t"e p+esent .a ue of pay,ents p+oCe!ted in t"e p an ,o+e if t"e !o+po+ation !ontinues as a *oin* !on!e+n t"an if it i,,ediate y i>uidated1 "Secured claim" s"a +efe+ to any ! ai, 3"ose pay,ent o+ fu fi ,ent is se!u+ed by !ont+a!t o+ by a3in! udin* any ! ai, o+ !+edit enu,e+ated unde+ A+ti! es 22?1 and 22?2 of t"e !i.i &ode and A+ti! e 110as a,ended- of t"e Labo+ !ode of t"e #"i ippines1 "Subsidiary" ,eans a !o+po+ation ,o+e t"an fifty pe+!ent 4G0H5 of t"e .otin* sto!2 of 3"i!" is o3ned o+ !ont+o ed di+e!t y o+ indi+e!t y t"ou*" one o+ ,o+e inte+,edia+ies by anot"e+ !o+po+ation "%nsecured claim" s"a ,ean any ! ai, ot"e+ t"an a se!u+ed ! ai,1 Sec !o" 2. Construction 7 ("ese Ru es s"a be ibe+a y !onst+ued to !a++y out t"e obCe!ti.es of Se!tion G4d5- 64d5 and 64d5 of #+esidentia 0e!+ee $o1 9027A- as a,ended- and to assist t"e pa+ties in obtainin* a Cut- e8peditious and ine8pensi.e dete+,ination of !ase1 D"e+e app i!ab e- t"e Ru es of &ou+t s"a app y supp e,enta+y to p+o!eedin*s unde+ t"ese Ru es1 RULES # GENERAL PROVISONS Sec !o" 1. &ature of $roceeding 7 Any p+o!eedin* initiated unde+ t"ese Ru es s"a be !onside+ed in rem1 Ju+isdi!tion o.e+ a pe+sons affe!ted by t"e p+o!eedin* s"a be !onside+ed as a!>ui+ed upon pub i!ation of t"e noti!e of t"e !o,,en!e,ent of t"e p+o!eedin*s in any ne3spape+ o+ *ene+a !i+!u ation in t"e #"i ippines in t"e ,anne+ p+es!+ibed by t"ese +u es1 ("e p+o!eedin*s s"a a so be su,,a+y and non7ad.e+sa+ia in natu+e1 ("e fo o3in* p eadin* a+e p+o"ibited; 4a5 Motion to dis,iss< 4b5 Motion fo+ a bi of pa+ti!u a+s; 4!5 #etition fo+ +e ief< 4d5 Motion fo+ e8tension< 4e5 Motion fo+ postpone,ent 4f5 ("i+d7pa+ty !o,p aint< 4*5 )nte+.ention< 4"5 Motion to "ea+ affi+,ati.e defenses< and 4)5 Any p eadin* o+ ,otion 3"i!" is si,i a+ to o+ of i2e effe!t as any of t"e fo+e*oin*1

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Any p eadin*- ,otion- opposition- defense o+ ! ai, fi ed by any inte+ested pa+ty s"a be suppo+ted by .e+ified state,ents t"at t"e affiant "as +ead sa,e and t"at t"e fa!tua a e*ations t"e+ein a+e t+ue and !o++e!t of "is pe+sona 2no3 ed*e o+ based on aut"enti! +e!o+ds- and !o++e!t of "is pe+sona 2no3 ed*e o+ based on aut"enti! +e!o+ds- and s"a !ontain as anne8es su!" do!u,ents as ,ay be dee,ed by t"e pa+ty !ou+t ,ay be de!ide ,atte+s on t"e basis of affida.its and ot"e+ do!u,enta+y e.iden!e1 D"e+e ne!essa+yt"e !ou+t s"a !ondu!t ! a+ifi!ato+y "ea+in*s befo+e +eso .in* any ,atte+ sub,itted to it fo+ +eso ution1 Sec !o" 2. 'enue. 7 #etitions fo+ +e"abi itation pu+suant to t"ese Ru es s"a be fi ed in t"e +e*iona t+ia !ou+t 3"i!" "as Cu+isdi!tion o.e+ t"e p+in!ipa offi!e of t"e debto+ as spe!ified in its a+ti! es of in!o+po+ation o+ pa+tne+s"ip1 D"e+e t"e p+in!ipa offi!e of t"e !o+po+ation- pa+tne+s"ip o+ asso!iation is +e*iste+ed in t"e Se!u+ities and E8!"an*e &o,,ission as Met+o Mani a- t"e a!tion ,ust be fi ed in t"e +e*iona t+ia !ou+t of t"e !ity o+ ,uni!ipa ity 3"e+e t"e "ead offi!e is o!ated1 A Coint petition by a *+oup of !o,panies s"a be fi ed in t"e Re*iona (+ia &ou+t 3"i!" "as Cu+isdi!tion o.e+ t"e p+in!ipa offi!e of t"e pa+ent !o,pany- as spe!ified in its A+ti! es of )n!o+po+ation1 Sec !o" #. Service of $leadings and Documents. 7 D"en so aut"o+i=ed by t"e !ou+t- any p eadin* andBo+ do!u,ent +e>ui+ed by t"ese Ru es ,ay be fi ed 3it" t"e !ou+t andBo+ se+.ed upon t"e ot"e+ pa+ties by fa!si,i e t+ans,ission 4fa85 o+ e e!t+oni! ,ai 4e7,ai 51 )n su!" !ases- t"e date of t+ans,ission s"a be dee,ed to be t"e dtae of se+.i!e1 D"e+e t"e p eadin* o+ do!u,ent is .o u,inous- t"e !ou+t ,ay- upon ,otion- 3ai.e t"e +e>ui+e,ent of se+.i!e< p+o.ided t"at a !opy t"e+eof to*et"e+ 3it" a its atta!",ents is du y fi ed 3it" t"e !ou+t and is ,ade a.ai ab e fo+ e8a,ination and +ep+odu!tion by any pa+ty- and p+o.ided- fu+t"e+- t"at a noti!e of su!" fi in* and a.ai abi ity is du y se+.ed on t"e pa+ties1 Sec !o" $. Trade Secrets and (ther Confidential )nformation. 7 Upon ,otion- t"e !ou+t ,ay issue an o+de+ to p+ote!t t+ade se!+ets o+ ot"e+ !onfidentia +esea+!"- de.e op,ent o+ !o,,e+!ia info+,ation be on*in* to t"e debto+1 Sec !o" %. Executory &ature of (rders. 7 Any o+de+ issued by t"e !ou+t unde+ t"ese Ru es is i,,ediate y e8e!uto+y1 A petition to +e.ie3 t"e o+de+ s"a not stay t"e e8e!ution of t"e o+de+ un ess +est+ained o+ enCoined by t"e appe ate !ou+t1 Un ess ot"e+3ise p+o.ided in t"ese Ru es- t"e +e.ie3 of any o+de+ o+ de!ision of t"e !ou+t o+ an appea t"e+ef+o, s"a be in a!!o+dan!e 3it" t"e Ru es of &ou+t< p+o.ided"o3e.e+- t"at t"e +e iefs o+de+ed by t"e t+ia o+ appe ate !ou+ts s"a ta2e into a!!ount t"e need fo+ +eso ution of p+o!eedin*s in a Cust- e>uitab e and speedy ,anne+1 Sec !o" &. &ullification of )llegal Transfers and $references. 7 Upon ,otion t"e !ou+t ,ay nu ify any t+ansfe+ of p+ope+ty o+ any ot"e+ !on.eyan!e- sa e- pay,ent o+ a*+ee,ent ,ade in .io ation of its stay o+de+ o+ in .io ation of t"ese Ru es1 Sec !o" '. Stay (rder. 7 )f t"e !ou+t finds t"e petition to be suffi!ient in fo+, and substan!e- it s"a < not ate+ t"an fi.e 4G5 3o+2in* days f+o, t"e fi in* of t"e petition- issue an o+de+; 4a5 appointin* a +e"abi itation +e!ei.e+ and fi8in* "is bond< 4b5 stayin* enfo+!e,ent of a ! ai,s- 3"et"e+ fo+ ,oney o+ ot"e+3ise and 3"et"e+ su!" enfo+!e,ent is by !ou+t a!tion o+ ot"e+3ise- a*ainst t"e debto+- its *ua+anto+s and pe+sons not so ida+i y iab e 3it" t"e debto+< p+o.ided- t"at t"e stay o+de+ s"a not !o.e+ ! ai,s a*ainst ette+s of !+edit and si,i a+ se!u+ity a++an*e,ents issued by a t"i+d pa+ty to se!u+e t"e pay,ent of t"e debto+Fs ob i*ations< p+o.ided- fu+t"e+- t"at t"e stay o+de+ s"a not !o.e+ fo+e! osu+e by a !+edito+ of p+ope+ty not be on*in* to a debto+ unde+ !o+po+ate +e"abi itation< p+o.ided- "o3e.e+- t"at 3"e+e t"e o3ne+ of su!" p+ope+ty sou*"t to be fo+e! osed is a so a *ua+anto+ o+ one 3"o is not so ida+i y iab e- said o3ne+ s"a be entit ed to t"e benefit of e8!ussion as su!" *ua+anto+<

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4!5 p+o"ibitin* t"e debto+ f+o, se in*- en!u,be+in*- t+ansfe++in*- o+ disposin* in any ,anne+ any of its p+ope+ties e8!ept in t"e o+dina+y !ou+se of business< 4d5 p+o"ibitin* t"e debto+ f+o, ,a2in* any pay,ent of its iabi ities e8!ept as p+o.ided in ite,s 4e5- 4f5 and 4*5 of t"is Se!tion o+ 3"en o+de+ed by t"e !ou+t pu+suant to Se!tion 10 of Ru e I< 4e5 p+o"ibitin* t"e debto+Fs supp ie+s of *oods o+ se+.i!es f+o, 3it""o din* supp y of *oods and se+.i!es in t"e o+dina+y !ou+se of business fo+ as on* as t"e debto+ ,a2es pay,ents fo+ t"e se+.i!es and *oods supp ied afte+ t"e issuan!e of t"e stay o+de+< 4f5 di+e!tin* t"e pay,ent in fu of a ad,inist+ati.e e8penses in!u++ed afte+ t"e issuan!e of t"e stay o+de+< 4*5 di+e!tin* t"e pay,ent of ne3 oans o+ ot"e+ fo+,s of !+edit a!!o,,odations obtained fo+ t"e +e"abi itation of t"e debto+ 3it" p+io+ !ou+t app+o.a < 4"5 fi8in* t"e dates of t"e initia "ea+in* on t"e petition not ea+ ie+ t"an fo+ty7fi.e 4?G5 days but not ate+ t"an si8ty 4605 days f+o, t"e fi in* t"e+eof< 4i5 di+e!tin* t"e petitione+ to pub is" t"e '+de+ in a ne3spape+ of *ene+a !i+!u ation in t"e #"i ippines on!e a 3ee2 fo+ t3o 425 !onse!uti.e 3ee2s< 4C5 di+e!tin* t"e petitione+ to fu+nis" a !opy of t"e petition and its anne8es- as 3e as t"e stay o+de+- to t"e !+edito+s na,ed in t"e petition and t"e app+op+iate +e*u ato+y a*en!ies su!" as- but not i,ited to- t"e Se!u+ities and E8!"an*e &o,,ission- t"e %an*2o Sent+a n* #i ipinas- t"e )nsu+an!e &o,,issiont"e $ationa (e e!o,,uni!ations &o,,ission- t"e Jousin* and Land Use Re*u ato+y %oa+d and t"e Ene+*y Re*u ato+y &o,,ission< 425 di+e!tin* t"e petitione+ t"at fo+ei*n !+edito+s 3it" no 2no3n add+esses in t"e #"i ippines be indi.idua y *i.en a !opy of t"e stay o+de+ at t"ei+ fo+ei*n add+esses< 4 5 di+e!tin* a !+edito+s and a inte+ested pa+ties 4in! udin* t"e +e*u ato+y a*en!ies !on!e+ned5 to fi e and se+.e on t"e debto+ a .e+ified !o,,ent on o+ opposition to t"e petition- 3it" suppo+tin* affida.its and do!u,ents- not ate+ t"an fifteen 41G5 days befo+e t"e date of t"e fi+st initia "ea+in* and puttin* t"e, on noti!e t"at t"ei+ fai u+e to do so 3i ba+ t"e, f+o, pa+ti!ipatin* in t"e p+o!eedin*s< and4,5 di+e!tin* t"e !+edito+s and inte+ested pa+ties to se!u+e f+o, t"e !ou+t !opies of t"e petition and its anne8es 3it"in su!" ti,e as to enab e t"e,se .es to fi e t"ei+ !o,,ent on o+ opposition to t"e petition and to p+epa+e fo+ t"e initia "ea+in* of t"e petition1 ("e issuan!e of a stay o+de+ does not affe!t t"e +i*"t to !o,,en!e a!tions o+ p+o!eedin*s insofa+ as it is ne!essa+y to p+ese+.e a ! ai, a*ainst t"e debto+1 Sec !o" 8. Service of Stay (rder on Rehabilitation Receiver. 7 ("e petitione+ s"a i,,ediate y se+.e a !opy of t"e stay o+de+ on t"e +e"abi itation +e!ei.e+ appointed by t"e !ou+t- 3"o s"a ,anifest "is a!!eptan!e o+ non7a!!eptan!e of "is appoint,ent not ate+ t"an ten 4105 days f+o, +e!eipt of t"e o+de+1 Sec !o" (. $eriod of Stay (rder. 7 ("e stay o+de+ s"a be effe!ti.e f+o, t"e date of its issuan!e unti t"e app+o.a of t"e +e"abi itation p an o+ t"e dis,issa of t"e petition1 Sec !o" 10. Relief from* +odification* or Termination of Stay (rder. 7 4a5 ("e !ou+t ,ay- upon ,otion- te+,inate- ,odify- o+ set !onditions fo+ t"e !ontinuan!e of t"e stay o+de+- o+ +e ie.e a ! ai, f+o, t"e !o.e+a*e t"e+eof upon s"o3in* t"at 415 any of t"e a e*ations in t"e petition- o+ any of t"e !ontents of any atta!",ent- o+ t"e .e+ifi!ation t"e+eof "as !eased to be t+ue< 425 a !+edito+ does not "a.e ade>uate p+ote!tion o.e+ p+ope+ty se!u+in* its ! ai,s< 4I5 t"e debto+Fs se!u+ed ob i*ation is ,o+e t"an t"e fai+ ,a+2et .a ue of t"e p+ope+ty subCe!t of t"e stay and su!" p+ope+ty is not ne!essa+y fo+ t"e +e"abi itation of t"e debto+< o+ 4?5 t"e p+ope+ty !o.e+ed by t"e stay o+de+ is not essentia o+ ne!essa+y to t"e +e"abi itation and t"e !+edito+Fs fai u+e to enfo+!e its ! ai, 3i !ause ,o+e da,a*e to t"e !+edito+ t"an to t"e debto+1 4b5 :o+ pu+poses of t"is Se!tion- t"e !+edito+ a!2s ade>uate p+ote!tion if it !an be s"o3n t"at; 415 ("e debto+ fai s o+ +efuses to "ono+ a p+e7e8istin* a*+ee,ent 3it" t"e to 2eep t"e p+ope+ty insu+ed<

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425 ("e debto+ fai s o+ +efuses to ta2e !o,,e+!ia y +easonab e steps to ,aintain t"e p+ope+ty< o+ 4I5 ("e p+ope+ty "as dep+e!iated to an e8tent t"at t"e !+edito+ is unde+se!u+ed 4!5 Upon s"o3in* t"e !+edito+Fs a!2 of ade>uate p+ote!tion- t"e !ou+t s"a o+de+ t"e +e"abi itation +e!ei.e+ to 415 ,a2e a++an*e,ents to p+o.ide fo+ t"e insu+an!e o+ ,aintenan!e of t"e p+ope+ty- o+ 425 to ,a2e pay,ents o+ ot"e+3ise p+o.ide additiona o+ +ep a!e,ent se!u+ity su!" as t"at t"e ob i*ation is fu y se!u+ed1 )f su!" a++an*e,ents a+e not feasib e- t"e !ou+t s"a ,odify t"e stay o+de+ to a o3 t"e se!u+ed !+edito+ a!2in* ade>uate p+ote!tion to enfo+!e its ! ai, a*ainst t"e debto+< p+o.ided- "o3e.e+- t"at t"e !ou+t ,ay deny t"e !+edito+ t"e +e,edies in t"is pa+a*+ap" if su!" +e,edies 3ou d p+e.ent t"e !ontinuation of t"e debto+ as a *oin* !on!e+n o+ ot"e+3ise p+e.ent t"e app+o.a and i,p e,entation of a +e"abi itation p an1 Sec !o" 111 Kua ifi!ations of Re"abi itation Re!ei.e+1 7 4a5 )n t"e appoint,ent of t"e +e"abi itation +e!ei.e+- t"e fo o3in* >ua ifi!ations s"a be ta2en into !onside+ation by t"e !ou+t; 415 E8pe+tise and a!u,en to ,ana*e and ope+ate a business si,i a+ in si=e and !o,p e8ity to t"at of t"e debto+< 425 Lno3 ed*e in ,ana*e,ent- finan!e and +e"abi itation of dist+essed !o,panies< 4I5 Gene+a fa,i ia+ity 3it" t"e +i*"ts of !+edito+s in suspension of pay,ents o+ +e"abi itation and *ene+a unde+standin* of t"e duties and ob i*ations of a +e"abi itation +e!ei.e+< 4?5 Good ,o+a !"a+a!te+- independen!e and inte*+ity< 4G5 La!2 of !onf i!t of inte+est as defined in t"is Se!tion< and 465 Di in*ness and abi ity to fi e a bond in su!" a,ount as ,ay be dete+,ined by t"e !ou+t1 4b5 Dit"out i,itin* t"e *ene+a ity of t"e fo o3in*- a +e"abi itation +e!ei.e+ ,ay be dee,ed to "a.e a !onf i!t of inte+est if; 415 Je is !+edito+ o+ sto!2"o de+ of t"e debto+< 425 Je is en*a*ed in a ine of business 3"i!" !o,petes 3it" t"e debto+< 4I5 Je is- o+ 3as 3it"in t3o 425 yea+s f+o, t"e fi in* of t"e petition- a di+e!to+- offi!e+- o+ e,p oyee o+ t"e audito+ o+ a!!ountant of t"e debto+< 4?5 Je is o+ 3as 3it"in t3o 425 yea+s f+o, t"e fi in* of t"e petition- an unde+3+ite+ of t"e outstandin* se!u+ities of t"e debto+< 4G5 Je is +e ated by !onsan*uinity o+ affinity 3it"in t"e fou+t" !i.i de*+ee to any !+edito+- sto!2"o de+di+e!to+- offi!e+- e,p oyee- o+ unde+3+ite+ of t"e debto+< o+ 465 Je "as any ot"e+ di+e!t o+ indi+e!t ,ate+ia inte+est in t"e debto+ o+ any !+edito+1 Sec !o" 12. $o,ers and !unctions of Rehabilitation Receiver. 7 ("e +e"abi itation +e!ei.e+ s"a not ta2e o.e+ t"e ,ana*e,ent and !ont+o of t"e debto+ but s"a ! ose y o.e+see and ,onito+ t"e ope+ations of t"e debto+ du+in* t"e penden!y of t"e p+o!eedin*s1 :o+ t"is pu+pose- t"e +e"abi itation +e!ei.e+ s"a "a.e t"e po3e+s- duties and fun!tions of a +e!ei.e+ unde+ #+esidentia 0e!+ee $o1 9027A- as a,ended- and t"e Ru es of &ou+t1 ("e +e"abi itation +e!ei.e+ s"a be !onside+ed as an offi!e+ of t"e !ou+t1 Je s"a be p+i,a+i y tas2ed to study t"e best 3ay to +e"abi itate t"e debto+ and to ensu+e t"at t"e .a ue of t"e debto+Fs p+ope+ty is +easonab y ,aintained pendin* t"e dete+,ination of 3"et"e+ o+ not t"e debto+ s"ou d be +e"abi itated- as 3e as i,p e,ent t"e +e"abi itation p an afte+ its app+o.a 1 A!!o+din* y- "e s"a "a.e t"e fo o3in* po3e+s and fun!tions; 4a5 (o .e+ify t"e a!!u+a!y of t"e petition- in! udin* its anne8es su!" as t"e S!"edu e of 0ebts and Liabi ities and t"e )n.ento+y of Assets sub,itted in suppo+t to t"e petition<

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4b5 (o a!!ept and in!o+po+ate- 3"en Custified- a,end,ents to t"e S!"edu e of 0ebts and Liabi ities< 4!5 (o +e!o,,end to t"e !ou+t t"e disa o3an!e of ! ai,s and +eCe!tion of a,end,ents t t"e S!"edu e of 0ebts and Liabi ities t"at a!2 suffi!ient p+oof and Custifi!ation< 4d5 (o sub,it to t"e !ou+t and ,a2e a.ai ab e fo+ +e.ie3 by t"e !+edito+s- a +e.ised S!"edu e of 0ebts and Liabi ities< 4e5 (o in.esti*ate t"e a!ts- !ondu!t- p+ope+ties- iabi ities and finan!ia !ondition of t"e debto+- t"e ope+ation of its business and t"e desi+abi ity of t"e !ontinuan!e t"e+eof< and- any ot"e+ ,atte+ +e e.ant to t"e p+o!eedin* o+ to t"e fo+,u ation of a +e"abi itation p an< 4f5 (o e8a,ine unde+ oat" t"e di+e!to+s and offi!e+s of t"e debto+ and any ot"e+ 3itnesses t"at "e ,ay dee, app+op+iate< 4*5 (o ,a2e a.ai ab e to t"e !+edito+s do!u,ents and noti!es ne!essa+y fo+ t"e, to fo o3 and pa+ti!ipate in t"e p+o!eedin*s< 4"5 (o +epo+t to t"e !ou+t any fa!t as!e+tained by "i, pe+tainin* to t"e !auses of t"e debto+Fs p+ob e,sf+aud- p+efe+en!es- dispositions- en!u,b+an!es- ,is!ondu!t- ,is,ana*e,ent and i++e*u a+ities !o,,itted by t"e sto!2"o de+s- di+e!to+s- ,ana*e,ent-- o+ any ot"e+ pe+son a*ainst t"e debto+< 4i5 (o e,p oy su!" pe+son o+ pe+sons su!" as a3ye+s- a!!ountants- app+aise+s and staff a+e ne!essa+y in pe+fo+,in* "is fun!tions and duties as +e"abi itation +e!ei.e+< 4C5 (o ,onito+ t"e ope+ations of t"e debto+ and to i,,ediate y +epo+t to t"e !ou+t any ,ate+ia ad.e+se !"an*e in t"e debto+Fs business< 425 (o e.a uate t"e e8istin* assets and iabi ities- ea+nin*s and ope+ations of t"e debto+< 4 5 (o dete+,ine and +e!o,,end to t"e !ou+t t"e best 3ay to sa .a*e and p+ote!t t"e inte+ests of t"e !+edito+s- sto!2"o de+s and t"e *ene+a pub i!< 4,5 (o study t"e +e"abi itation p an p+oposed by t"e debto+ o+ any +e"abi itation p an sub,itted du+in* t"e p+o!eedin*s- to*et"e+ 3it" any !o,,ents ,ade t"e+eon< 4n5 (o p+o"ibit and +epo+t to t"e !ou+t any en!u,b+an!e- t+ansfe+ o+ disposition of t"e debto+Fs p+ope+ty outside of t"e o+dina+y !ou+se of business o+ 3"at is a o3ed by t"e !ou+t< 4o5 (o p+o"ibit and +epo+t to t"e !ou+t any pay,ents outside of t"e o+dina+y !ou+se of business< 4p5 (o "a.e un i,ited a!!ess to t"e debto+Fs e,p oyees- p+e,ises- boo2s- +e!o+ds and finan!ia do!u,ents du+in* business "ou+s< 4>5 (o inspe!t- !opy- p"oto!opy o+ p"oto*+ap" any do!u,ent- pape+- boo2- a!!ount o+ ette+- 3"et"e+ in t"e possession of t"e debto+ o+ ot"e+ pe+sons< 4+5 (o *ain ent+y into any p+ope+ty fo+ t"e pu+pose of inspe!tin*- ,easu+in*- su+.eyin* o+ p"oto*+ap"in* it o+ any desi*nated +e e.ant obCe!t o+ ope+ation t"e+eon< 4s5 (o ta2e possession- !ont+o and !ustody of t"e debto+Fs assets< 4t5 (o notify !ounte+pa+ties and t"e !ou+t as to !ont+a!ts t"at t"e debto+ "as de!ided to !ontinue to pe+fo+, t"e b+ea!"< 4u5 (o be notified of and to attend a ,eetin*s of t"e boa+d of di+e!to+s and sto!2"o de+ of t"e debto+< 4.5 (o +e!o,,end any ,odifi!ation of an app+o.ed +e"abi itation p an as "e ,ay dee, app+op+iate< 435 (o b+in* to t"e attention of t"e !ou+t any ,ate+ia !"an*e affe!tin* t"e debto+Fs abi ity to ,eet t"e ob i*ations unde+ t"e +e"abi itation p an< 485 (o +e!o,,end t"e appoint,ent of a ,ana*e,ent !o,,ittee in t"e !ases p+o.ided fo+ unde+ #+esidentia 0e!+ee $o1 9027A- as a,ended< 4y5 (o +e!o,,end t"e te+,ination of t"e p+o!eedin*s and t"e disso ution of t"e debto+ if "e dete+,ines t"at t"e !ontinuan!e in business of su!" entity is no on*e+ feasib e o+ p+ofitab e o+ no on*e+ 3o+2s to t"e best inte+est of t"e sto!2"o de+s- pa+ties7 iti*ants- !+edito+s o+ t"e *ene+a pub i!< 4=5 (o app y to t"e !ou+t fo+ any o+de+ o+ di+e!ti.e t"at "e ,ay dee, ne!essa+y o+ desi+ab e to aid "i, in t"e e8e+!ise of "is po3e+s and pe+fo+,an!e of "is duties and fun!tions< and 4aa5 (o e8e+!ise su!" ot"e+ po3e+s as ,ay f+o, ti,e to ti,e be !onfe++ed upon "i, by t"e !ou+t1 Sec !o" 1#. (ath and "ond. 7 %efo+e ente+in* upon "is po3e+s- duties and fun!tions- t"e +e"abi itation +e!ei.e+ ,ust be s3o+n in to pe+fo+, t"e, fait"fu y- and ,ust post a bond e8e!uted in fa.o+ of t"e

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debto+ in su!" su, as t"e !ou+t ,ay di+e!t- to *ua+antee t"at "e 3i fait"fu y dis!"a+*e "is duties and obey t"e o+de+s of t"e !ou+t1 )f ne!essa+y- "e s"a a so de! a+e unde+ oat" t"at "e 3i pe+fo+, t"e duties of a t+ustee of t"e assets of t"e debto+- 3i a!t "onest y and in *ood fait"- and dea 3it" t"e assets of t"e debto+ on a !o,,e+!ia y +easonab e ,anne+1 Sec !o" 1$. !ees and Expenses. 7 ("e +e"abi itation +e!ei.e+ and t"e pe+sons "i+ed by "i, s"a be entit ed to +easonab e p+ofessiona fees and +ei,bu+se,ent of e8penses 3"i!" s"a be !onside+ed as ad,inist+ati.e e8penses1 Sec !o" 1%. )mmunity from Suit. 7 ("e +e"abi itation +e!ei.e+ s"a not be subCe!t to any a!tion- ! ai, o+ de,and in !onne!tion 3it" any a!t done o+ o,itted by "i, in *ood fait" in t"e e8e+!ise of "is fun!tions and po3e+s "e+ein !onfe++ed1 Sec !o" 1&. Reports. 7 ("e +e"abi itation +e!ei.e+ s"a fi e a 3+itten +epo+t e.e+y t"+ee 4I5 ,ont"s to t"e !ou+t o+ as often as t"e !ou+t ,ay +e>ui+e on t"e *ene+a !ondition of t"e debto+1 ("e +epo+t s"a in! udeat t"e ,ini,u,- inte+i, finan!ia state,ents of t"e debto+1 Sec !o" 1'. Dismissal of Rehabilitation Receiver. 7 A +e"abi itation +e!ei.e+ ,ay- upon ,otion- be dis,issed by t"e !ou+t on t"e fo o3in* *+ounds; 4a5 if "e fai s- 3it"out Cust !ause- to pe+fo+, any of "is po3e+s and fun!tions unde+ t"ese Ru es< o+ 4b5 on any of t"e *+ounds fo+ +e,o.in* a t+ustee unde+ t"e *ene+a p+in!ip es of t+usts1 Sec !o" 18. Rehabilitation $lan. 7 ("e +e"abi itation p an s"a in! ude; 4a5 t"e desi+ed business ta+*ets o+ *oa s and t"e du+ation and !o.e+a*e of t"e +e"abi itation< 4b5 t"e te+,s and !onditions of su!" +e"abi itation 3"i!" s"a in! ude t"e ,anne+ of its i,p e,entation*i.in* due +e*a+d to t"e inte+ests of se!u+ed !+edito+s su!" as- but not i,ited- to t"e non7i,pai+,ent of t"ei+ se!u+ity iens o+ inte+ests< 4!5 t"e ,ate+ia finan!ia !o,,it,ents to suppo+t t"e +e"abi itation p an< 4d5 t"e ,eans fo+ t"e e8e!ution of t"e +e"abi itation p an- 3"i!" ,ay in! ude debt to e>uity !on.e+sion+est+u!tu+in* of t"e debts- da!ion en pa*o o+ sa e e8!"an*e o+ any disposition of assets o+ of t"e inte+est of s"a+e"o de+s- pa+tne+s o+ ,e,be+s< 4e5 a i>uidation ana ysis settin* out fo+ ea!" !+edito+ t"at t"e p+esent .a ue of pay,ents it 3ou d +e!ei.e unde+ t"e p an is ,o+e t"an t"at 3"i!" it 3ou d +e!ei.e if t"e assets of t"e debto+ 3e+e so d by a i>uidato+ 3it"in a si87,ont" pe+iod f+o, t"e esti,ated date of fi in* of t"e petition< and4f5 su!" ot"e+ +e e.ant info+,ation to enab e a +easonab e in.esto+ to ,a2e an info+,ed de!ision on t"e feasibi ity of t"e +e"abi itation p an1 Sec !o" 1(. Repayment $eriod. 7 )f t"e +e"abi itation p an e8tends t"e pe+iod fo+ t"e debto+ to pay its !ont+a!tua ob i*ations- t"e ne3 pe+iod s"ou d not e8tend beyond fifteen 41G5 yea+s f+o, t"e e8pi+ation of t"e stipu ated te+, e8istin* at t"e ti,e of fi in* of t"e petition1 Sec !o" 20. Effects of Rehabilitation $lan. 7 ("e app+o.a of t"e +e"abi itation p an by t"e !ou+t s"a +esu t in t"e fo o3in*; 4a5 ("e p an and its p+o.isions s"a be bindin* upon t"e debto+ and a pe+sons 3"o ,ay be affe!ted t"e+eby- in! udin* t"e !+edito+s- 3"et"e+ o+ not su!" pe+sons "a.e pa+ti!ipated in t"e p+o!eedin*s o+ opposed t"e p an o+ 3"et"e+ o+ not t"ei+ ! ai,s "a.e been s!"edu ed< 4b5 ("e debto+ s"a !o,p y 3it" t"e p+o.isions of t"e p an and s"a ta2e a a!tions ne!essa+y to !a++y out t"e p an< 4!5 #ay,ents s"a be ,ade to t"e !+edito+s in a!!o+dan!e 3it" t"e p+o.isions of t"e p an< 4d5 &ont+a!ts and ot"e+ a++an*e,ents bet3een t"e debto+ and its !+edito+s s"a be inte+p+eted as !ontinuin* to app y to t"e e8tent t"at t"ey do not !onf i!t 3it" t"e p+o.isions of t"e p an< and

9
4e5 Any !o,p+o,ises on a,ounts o+ +es!"edu in* of ti,in* of pay,ents by t"e debto+ s"a be bindin* on !+edito+s +e*a+d ess of 3"et"e+ o+ not t"e p an is su!!essfu y i,p e,ented1 Sec !o" 21. Revocation of Rehabilitation $lan on rounds of !raud. 7 Upon ,otion- 3it"in ninety 4905 days f+o, t"e app+o.a of t"e +e"abi itation p an- and afte+ noti!e and "ea+in*- t"e !ou+t ,ay +e.o2e t"e app+o.a t"e+eof on t"e *+ound t"at t"e sa,e 3as se!u+ed t"+ou*" f+aud1 Sec !o" 22. Alteration or +odification of Rehabilitation $lan. 7 An app+o.ed +e"abi itation p an ,ayupon ,otion- be a te+ed o+ ,odified if- in t"e Cud*e,ent of t"e !ou+t- su!" a te+ation o+ ,odifi!ation is ne!essa+y to a!"ie.e t"e desi+ed ta+*ets o+ *oa s set fo+t" t"e+ein1 Sec !o" 2#. Termination of $roceedings. 7 ("e !ou+t s"a - upon ,otion o+ upon +e!o,,endation of t"e +e"abi itation +e!ei.e+- te+,inate t"e p+o!eedin* in any of t"e fo o3in* !ases; 4a5 0is,issa of t"e petition< 4b5 :ai u+e of t"e debto+ to sub,it t"e +e"abi itation p an< 4!5 0isapp+o.a of t"e +e"abi itation p an by t"e !ou+t< 4d5 :ai u+e to a!"ie.e t"e desi+ed ta+*ets o+ *oa s as set fo+t" in t"e +e"abi itation p an< 4e5 :ai u+e of t"e debto+ to pe+fo+, its ob i*ations unde+ t"e p an< 4f5 0ete+,ination t"at t"e +e"abi itation p an ,ay no on*e+ be i,p e,ented in a!!o+dan!e 3it" its te+,s!onditions- +est+i!tions o+ assu,ptions< o+ 4*5 Su!!essfu i,p e,entation of t"e +e"abi itation p an1 Sec !o" 2$. Discharge of Rehabilitation Receiver. 7 Upon te+,ination of t"e +e"abi itation p+o!eedin*st"e +e"abi itation +e!ei.e+ s"a sub,it "is fina +epo+t and a!!ountin* 3it" su!" pe+iod of ti,e as t"e !ou+t 3i a o3 "i,1 Upon app+o.a of "is +epo+t and a!!ountin*- t"e !ou+t s"a o+de+ "is dis!"a+*e1 RULE $ DEBTOR-INITIATED REHABILITATION Sec !o" 1. -ho +ay $etition. 7 Any debto+ 3"o fo+esees t"e i,possibi ity of ,eetin* its debts 3"en t"ey +espe!ti.e y fa due- ,ay petition t"e p+ope+ +e*iona t+ia !ou+t fo+ +e"abi itation1 A *+oup of !o,panies ,ay Coint y fi e a petition fo+ +e"abi itation unde+ t"ese Ru es 3"en one o+ ,o+e of its !onstituent !o+po+ations fo+esee t"e i,possibi ity of ,eetin* debts 3"en t"ey +espe!ti.e y fa due- and t"e finan!ia dist+ess 3ou d i2e y ad.e+se y affe!t t"e finan!ia !ondition andBo+ ope+ations of t"e ot"e+ ,e,be+ !o,panies of t"e *+oup is essentia unde+ t"e te+,s and !onditions of t"e p+oposed +e"abi itation p an1 Sec !o" 2. Contents of $etition. 7 4a5 ("e petition fi ed by t"e debto+ ,ust be .e+ified and ,ust set fo+t" 3it" suffi!ient pa+ti!u a+ity a t"e fo o3in* ,ate+ia fa!ts; 415 t"e na,e and business of t"e debto+< 425 t"e natu+e of t"e business of t"e debto+< 4I5 t"e "isto+y of t"e debto+< 4?5 t"e !ause of its inabi ity to pay its debts< 4G5 a t"e pendin* a!tions o+ p+o!eedin*s 2no3n to t"e debto+ and t"e !ou+ts o+ t+ibuna s 3"e+e t"ey a+e pendin*< 465 t"+eats o+ de,ands to enfo+!e ! ai,s o+ iens a*ainst t"e debto+< and 495 t"e ,anne+ by 3"i!" t"e debto+ ,ay be +e"abi itated and "o3 su!" +e"abi itation ,ay benefit t"e *ene+a body of !+edito+se,p oyees and sto!2"o de+s1 4b5 ("e petition s"a be a!!o,panied by t"e fo o3in* do!u,ents; 415 An audited finan!ia state,ent of t"e debto+ at t"e end of its ast fis!a yea+< 425 )nte+i, finan!ia state,ents as of t"e end of t"e ,ont" p+io+ to t"e fi in* of t"e petition<

10
4I5 A S!"edu e of 0ebts and Liabi ities 3"i!" ists a t"e !+edito+s of t"e debto+- indi!atin* t"e na,e and ast add+ess of +e!o+d of ea!" !+edito+< t"e a,ount of ea!" ! ai, as to p+in!ipa - inte+est- o+ pena ties due as of t"e date of fi in*< t"e natu+e of t"e ! ai,< and any p ed*e- ien- ,o+t*a*e Cud*e,ent o+ ot"e+ se!u+ity *i.en fo+ t"e pay,ent t"e+eof< 4?5 An )n.ento+y of Assets 3"i!" ,ust ist 3it" +easonab e spe!ifi!ity a t"e assets of t"e debto+- statin* t"e natu+e of ea!" asset- t"e o!ation and !ondition t"e+eof- t"e boo2 .a ue o+ ,a+2et .a ue of t"e asset- and atta!"in* t"e !o++espondin* !e+tifi!ate of tit e t"e+eof in !ase of +ea p+ope+ty- o+ t"e e.iden!e of tit e o+ o3ne+s"ip in !ase of ,o.ab e p+ope+ty- t"e en!u,b+an!es- iens o+ ! ai,s t"e+eonif any- and t"e identities and add+esses of t"e ien"o de+s and ! ai,ants1 ("e )n.ento+y s"a in! ude a S!"edu e of A!!ounts Re!ei.ab e 3"i!" ,ust indi!ate t"e a,ount of ea!"- t"e pe+sons f+o, 3"o duet"e date of ,atu+ity and t"e de*+ee of !o e!tibi ity !ate*o+i=in* t"e, as "i*" y !o e!tib e to +e,ote y !o e!tib e< 4G5 A +e"abi itation p an 3"i!" !onfo+,s 3it" t"e ,ini,a +e>ui+e,ents set out in Se!tion 16 of Ru e I< 465 A S!"edu e of #ay,ents and 0isposition of Assets 3"i!" t"e debto+ ,ay "a.e effe!ted 3it"in t"+ee 4I5 ,ont"s i,,ediate y p+e!edin* t"e fi in* of t"e petition< 495 A S!"edu e of &as" : o3 of t"e debto+ fo+ t"+ee 4I5 ,ont"s i,,ediate y p+e!edin* t"e fi in* of t"e petition- and a detai ed s!"edu e of t"e p+oCe!ted !as" f o3 fo+ t"e su!!eedin* t"+ee 4I5 ,ont"s< 465 A State,ent of #ossib e & ai,s by o+ a*ainst t"e debto+ 3"i!" ,ust !ontain a b+ief state,ent of t"e fa!ts 3"i!" ,i*"t *i.e +ise to t"e ! ai, and an esti,ate of t"e p+obab e a,ount t"e+eof< 495 An Affida.it of Gene+a :inan!ia &ondition 3"i!" s"a !ontain ans3e+s to t"e >uestions o+ ,atte+s p+es!+ibed in Anne8 EAE "e+eof< 4105 At east t"+ee 4I5 no,inees fo+ t"e position of +e"abi itation +e!ei.e+ as 3e as t"ei+ >ua ifi!ations and add+esses- in! udin* but not i,ited to t"ei+ te ep"one nu,be+s- fa8 nu,be+s and e7,ai add+ess< and 4115 A !e+tifi!ate attestin* unde+ oat" t"at 4i5 t"e fi in* of t"e petition "as been du y aut"o+i=ed< and 4ii5 t"e di+e!to+s and sto!2"o de+s of t"e debto+ "a.e i++e.o!ab y app+o.ed andBo+ !onsented to- in a!!o+dan!e 3it" e8istin* a3s- a a!tions o+ ,atte+s ne!essa+y and desi+ab e to +e"abi itate t"e debto+ in! udin*- but not i,ited to- a,end,ents to t"e a+ti! es of in!o+po+ation and by7 a3s o+ a+ti! es of pa+tne+s"ip< in!+ease o+ de!+ease in t"e aut"o+i=ed !apita sto!2< issuan!e of bonded indebtedness< a ienation- t+ansfe+- o+ en!u,b+an!e of assets of t"e debto+< and ,odifi!ation of s"a+e"o de+sF +i*"ts1 4!5 :i.e 4G5 !opies of t"e petition s"a be fi ed 3it" t"e !ou+t1 Sec !o" #. 'erification by Debtor. 7 ("e petition fi ed by t"e debto+ ,ust be .e+ified by an affida.it of a +esponsib e offi!e+ of t"e debto+ and s"a be in a fo+, substantia y as fo o3s; E)- MMMMMMMMMMMMMMMMMMM- 4position5 of 4na,e of petitione+5- do so e,n y s3ea+ t"at t"e petitione+ "as been du y aut"o+i=ed to fi e t"e petition and t"at t"e sto!2"o de+s and boa+d of di+e!to+s 4o+ *o.e+nin* body5 "a.e app+o.ed andBo+ !onsented to- a!!o+dan!e 3it" a3- a a!tions o+ ,atte+s ne!essa+y o+ desi+ab e to +e"abi itate t"e debto+1 ("e petition is bein* fi ed to p+ote!t t"e inte+ests of t"e debto+- t"e sto!2"o de+s- t"e in.ento+s and t"e !+edito+s of t"e debto+- 3"i!" 3a++ant t"e appoint,ent of a +e"abi itation +e!ei.e+1 ("e+e is no petition fo+ inso .en!y fi ed 3it" any ot"e+ body- !ou+t of t+ibuna affe!tin* t"e petitione+1 ("e )n.ento+y of Assets and t"e S!"edu e of 0ebts and Liabi ities !ontains a fu !o++e!t and t+ue des!+iption of a debts and iabi ities and of a *oods- effe!ts- estate and p+ope+ty of 3"ate.e+ 2ind of ! ass be on*in* to petitione+1 ("e )n.ento+y a so !ontains a fu - !o++e!t and t+ue state,ent of a debts o3in* o+ due to petitione+- o+ to any pe+son o+ pe+sons in t+ust fo+ petitione+ and of a se!u+ities and !ont+a!ts 3"e+eby any ,oney ,ay "e+eafte+ be!o,e due o+ payab e to petitione+ o+ by o+ t"+ou*" 3"i!" any benefit o+ ad.anta*e ,ay a!!+ue to petitione+1 ("e petition !ontains a !on!ise state,ent of t"e fa!ts *i.in* +ise- o+ 3"i!" ,i*"t *i.e +ise- to any !ause of a!tion in fa.o+ of petitione+1 #etitione+ "as no and- ,oney- sto!2- e8pe!tan!y- o+ p+ope+ty of any 2ind- e8!ept t"ose set fo+t" in t"e )n.ento+y of Assets1 #etitione+ "as- in no instan!e- !+eated o+ a!2no3 ed*ed a debt fo+ a *+eate+ su, t"an

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t"e t+ue and !o++e!t a,ount1 #etitione+- its offi!e+s- di+e!to+s and sto!2"o de+s "a.e not- di+e!t y o+ indi+e!t y- !on!ea ed- f+audu ent y so d o+ ot"e+3ise f+audu ent y disposed of- any pa+t of petitione+Fs +ea o+ pe+sona p+ope+ty- estate- effe!ts o+ +i*"ts of a!tion- and petitione+- its offi!e+s- di+e!to+s and sto!2"o de+s "a.e not in any 3ay !o,pounded 3it" any of its !+edito+s in o+de+ to *i.e p+efe+en!e to su!" !+edito+s- o+ to +e!ei.e o+ to a!!ept any p+ofit o+ ad.anta*e t"e+ef+o,- o+ to def+aud o+ de!ei.e in any ,anne+ any !+edito+ to 3"o, petitione+ is indebted1 #etitione+- its offi!e+s- di+e!to+s- and sto!2"o de+s "a.e been a!tin* in *ood fait" and 3it" due di i*en!e1 Sec !o" $. (pposition to or Comment on $etition. 7 E.e+y !+edito+ of t"e debto+ o+ any inte+ested pa+ty s"a fi e "is .e+ified opposition to o+ !o,,ent on t"e petition not ate+ t"an fifteen 41G5 days befo+e t"e date of t"e initia "ea+in* fi8ed in t"e stay o+de+1 Afte+ su!" ti,e- no !+edito+ o+ inte+ested pa+ty s"a be a o3ed to fi e any !o,,ent t"e+eon o+ opposition t"e+eto 3it"out ea.e of !ou+t1 )f t"e S!"edu e of 0ebts and Liabi ities o,its a ! ai, o+ iabi ity- t"e !+edito+ !on!e+ned s"a atta!" to its !o,,ent o+ opposition a .e+ified state,ent of t"e ob i*ations a e*ed y due it1 Sec !o" %. )nitial .earing. 7 4a5 'n o+ befo+e t"e initia "ea+in* set in t"e o+de+ ,entioned in Se!tion 9 of Ru e I- t"e petitione+ s"a fi e a pub is"e+Fs affida.it s"o3in* t"at t"e pub i!ation +e>ui+e,ents and a petitione+Fs affida.it s"o3in* t"at t"e notifi!ation +e>ui+e,ent fo+ fo+ei*n !+edito+s "ad been !o,p ied 3it"- as +e>ui+ed in t"e stay o+de+1 4b5 %efo+e p+o!eedin* 3it" t"e initia "ea+in*- t"e !ou+t s"a dete+,ine 3"et"e+ t"e Cu+isdi!tiona +e>ui+e,ents set fo+t" abo.e "ad been !o,p ied 3it"1 Afte+ findin* t"at su!" +e>ui+e,ents a+e ,ett"e !ou+t s"a ensu+e t"at t"e pa+ties !onside+ in detai a of t"e fo o3in*; 415 A,end,ents to t"e +e"abi itation p an p+oposed by t"e debto+< 425 Si,p ifi!ation of t"e issues< 4I5 ("e possibi ity of obtainin* stipu ations and ad,ission of fa!ts and do!u,ents- in! udin* +eso+t to +e>uest fo+ ad,ission unde+ Ru e 26 of t"e Ru e of &ou+t< 4?5 ("e possibi ity of a,i!ab y a*+eein* on any issue b+ou*"t up in t"e !o,,ents on- o+ opposition tot"e petition< 4G5 Refe++a of any a!!ountin*- finan!ia and ot"e+ te!"ni!a issues to an e8pe+t< 465 ("e possibi ity of sub,ittin* t"e petition fo+ de!ision on t"e basis of t"e !o,,ents- oppositionaffida.it and ot"e+ do!u,ents on +e!o+d< 495 ("e possibi ity of a ne3 +e"abi itation p an .o unta+i y a*+eed upon by t"e debto+ and its !+edito+s< and 465 Su!" ot"e+ ,atte+s as ,ay aid in t"e speedy and su,,a+y disposition of t"e !ase1 Sec !o" &. Additional .earings. 7 ("e !ou+t ,ay "o d additiona "ea+in*s as pa+t of t"e initia "ea+in* !onte,p ated in t"ese Ru es but t"e initia "ea+in* ,ust be !on! uded not ate+ t"an ninety 4905 days f+o, t"e initia date of t"e initia "ea+in* fi8ed in t"e stay o+de+1 Sec !o" '. (rder After )nitial .earing. 7 4a5 Dit"in t3enty 4205 days afte+ t"e ast "ea+in*- t"e !ou+t s"a issue an o+de+ 3"i!" s"a ; 415 Gi.e due !ou+se to t"e petition and i,,ediate y +efe+ t"e petition and its anne8es to t"e +e"abi itation +e!ei.e+ 3"o s"a e.a uate t"e +e"abi itation p an and sub,it "is +e!o,,endations to t"e !ou+t not ate+ t"an ninety 4905 days f+o, t"e date of t"e ast initia "ea+in*- if t"e !ou+t is satisfied t"at t"e+e is ,e+it to t"e petition- ot"e+3ise t"e !ou+t s"a i,,ediate y dis,iss t"e petition< and 425 Re!ite in detai t"e ,atte+s ta2en up in t"e initia "ea+in* and t"e a!tion ta2en t"e+eon- in! udin* a substitute +e"abi itation p an !onte,p ated in Se!tions G 4b5495 and 465 of t"is Ru e< 4b5 )f t"e debto+ and !+edito+s a*+ee on a ne3 +e"abi itation p an pu+suant to Se!tion G 4b5495 of t"is Ru et"e o+de+ s"a so state t"e fa!t and +e>ui+e t"e +e"abi itation +e!ei.e+ to supp y t"e detai s of t"e p an and sub,it it fo+ t"e app+o.a of t"e !ou+t not ate+ t"an si8ty 465 days f+o, t"e date of t"e ast initia

12
"ea+in*1 ("e !ou+t s"a app+o.e t"e ne3 +e"abi itation p an not ate+ t"an ninety 4905 days f+o, t"e date of t"e ast initia "ea+in* upon !on!u++en!e of t"e fo o3in*; 415 App+o.a o+ endo+se,ent of !+edito+s "o din* at east t3o7t"i+ds 42BI5 of t"e tota iabi ities of t"e debto+ in! udin* se!u+ed !+edito+s "o din* ,o+e t"an fifty pe+!ent 4G0H5 of t"e tota se!u+ed ! ai,s of t"e debto+ and unse!u+ed !+edito+s "o din* ,o+e t"an fifty pe+!ent 4G0H5 of t"e tota unse!u+ed ! ai,s of t"e debto+< 425 ("e +e"abi itation p an !o,p ies 3it" t"e +e>ui+e,ents spe!ified in Se!tion 16 of Ru e I< 4I5 ("e +e"abi itation p an 3ou d p+o.ide t"e obCe!tin* ! ass of !+edito+s 3it" pay,ents 3"ose p+esent .a ue p+oCe!ted in t"e p an 3ou d be *+eate+ t"an t"at 3"i!" t"ey 3ou d "a.e +e!ei.ed if t"e assets of t"e debto+ 3e+e so d by a i>uidato+ 3it"in a si8 465 ,ont" pe+iod f+o, t"e date of fi in* of t"e petition< and 4?5 ("e +e"abi itation +e!ei.e+ "as +e!o,,ended app+o.a of t"e p an1 ("e app+o.a by t"e !ou+t of t"e ne3 +e"abi itation p an s"a "a.e t"e sa,e effe!t as app+o.a of a +e"abi itation p an unde+ Se!tion 20 of Ru e I1 Sec !o" 8. Creditors/ +eetings. 7 )f no ne3 +e"abi itation p an is a*+eed upon by t"e debto+ and t"e !+edito+s- t"e +e"abi itation +e!ei.e+- at any ti,e befo+e "e sub,its "is e.a uation on t"e debto+7p+oposed +e"abi itation p an to t"e !ou+t as p+es!+ibed in Se!tion 94a5415 of t"is Ru e- s"a - eit"e+ a one o+ 3it" t"e debto+- ,eet 3it" t"e !+edito+s o+ any inte+ested pa+ty t dis!uss t"e p an 3it" a .ie3 to ! a+ifyin* o+ +eso .in* any ,atte+ !onne!ted t"e+e3it"1 Sec !o" (. Comments on or (pposition to Rehabilitation $lan. 7 Any !+edito+ o+ inte+ested pa+ty of +e!o+d ,ay fi e !o,,ents on o+ opposition to t"e p+oposed +e"abi itation p an- 3it" a !opy *i.en to t"e +e"abi itation +e!ei.e+- not ate+ t"an si8ty 4605 days f+o, t"e date of t"e ast initia "ea+in*1 ("e !ou+t s"a !ondu!t su,,a+y and non7ad.e+sa+ia p+o!eedin*s to +e!ei.e e.iden!e- if ne!essa+y- in "ea+in* t"e !o,,ents on and opposition to t"e p an1 Sec !o" 10. +odification of $roposed Rehabilitation $lan. 7 ("e debto+ ,ay ,odify its +e"abi itation p an in t"e i*"t of t"e !o,,ents of t"e +e"abi itation +e!ei.e+ and !+edito+s o+ any inte+ested pa+ty and sub,it a +e.ised o+ substitute +e"abi itation p an fo+ t"e fina app+o.a of t"e !ou+t1 Su!" +e"abi itation p an ,ust be sub,itted to t"e !ou+t not ate+ t"an ten 4105 ,ot"s f+o, t"e date of fi in* of t"e petition1 Sec !o" 11. Approval of Rehabilitation $lan. 7 ("e !ou+t ,ay app+o.e a +e"abi itation p an e.en o.e+ t"e opposition of !+edito+s of t"e debto+ if- in its Cud*e,ent- t"e +e"abi itation of t"e debto+ is feasib e and t"e opposition of t"e !+edito+s is ,anifest y un+easonab e if t"e fo o3in* a+e p+esent; 4a5 ("e +e"abi itation p an !o,p ies 3it" t"e +e>ui+e,ents spe!ified in Se!tion 16 of Ru e I< 4b5 ("e +e"abi itation p an 3ou d p+o.ide t"e obCe!tin* ! ass of !+edito+s 3it" pay,ents 3"ose p+esent .a ue p+oCe!ted in t"e p an 3ou d be *+eate+ t"an t"at 3"i!" t"ey 3ou d "a.e +e!ei.ed if t"e assets of t"e debto+ 3e+e so d by a i>uidato+ 3it"in a si8 4657,ont" pe+iod f+o, t"e date of fi in* of t"e petition< and 4!5 ("e +e"abi itation +e!ei.e+ "as +e!o,,ended app+o.a of t"e p an1 )n app+o.in* t"e +e"abi itation p an- t"e !ou+t s"a ensu+e t"at t"e +i*"ts of t"e se!u+ed !+edito+s a+e not i,pai+ed1 ("e !ou+t s"a a so issue t"e ne!essa+y o+de+s o+ p+o!esses fo+ its i,,ediate and su!!essfu i,p e,entation1 it ,ay i,pose su!" te+,s- !onditions- o+ +est+i!tions as t"e effe!ti.e i,p e,entation and ,onito+in* t"e+eof ,ay +easonab y +e>ui+e- o+ fo+ t"e p+ote!tion and p+ese+.ation of t"e inte+ests of t"e !+edito+s s"ou d t"e p an fa 1

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Sec !o" 12. $eriod to Decide $etition. 7 ("e !ou+t s"a de!ide t"e petition 3it"in one 415 yea+ f+o, t"e date of fi in* of t"e petition- un ess t"e !ou+t- fo+ *ood !ause s"o3n- is ab e to se!u+e an e8tension of t"e pe+iod f+o, t"e Sup+e,e &ou+t1 RULE % CREDITOR-INITIATED REHABILITATION Sec !o" 1. -ho +ay $etition. 7 Any !+edito+ o+ !+edito+s "o din* at east t3enty pe+!ent 420H5 of t"e debto+Fs tota iabi ities ,ay fi e a petition 3it" t"e p+ope+ +e*iona t+ia !ou+t fo+ +e"abi itation of a debto+ t"at !annot ,eet its debts as t"ey +espe!ti.e y fa due1 Sec !o" 2. Re0uirements for Creditor1)nitiated $etitions. 7 D"e+e t"e petition is fi ed by a !+edito+ o+ !+edito+s unde+ t"is Ru e- it is suffi!ient t"at t"e petition is a!!o,panied by a +e"abi itation p an and a ist of at east t"+ee 4I5 no,inees to t"e position of +e"abi itation +e!ei.e+ and .e+ified by a s3o+n state,ent t"at t"e affiant "as +ead t"e petition and t"at its !ontents a+e t+ue and !o++e!t of "is pe+sona 2no3 ed*e o+ based on aut"enti! +e!o+ds and t"at t"e petition is bein* fi ed to p+ote!t t"e inte+ests of t"e debto+- t"e sto!2"o de+s- t"e in.esto+s and t"e !+edito+s of t"e debto+1 Sec !o" #. Applicability of $rovisions Relating to Debtor1)nitiated Rehabilitation. 7 ("e p+o.isions of Se!tions G to 12 of Ru e ? s"a app y to +e"abi itation unde+ t"is Ru e1 RULE & PRE-NEGOTIATED REHABILITATION Sec !o" 1. $re1negotiated Rehabilitation $lan. 7 A debto+ t"at fo+esees t"e i,possibi ity of ,eetin* its debts as t"ey fa due ,ay- by itse f o+ Coint y 3it" any of its !+edito+s- fi e a .e+ified petition fo+ t"e app+o.a of a p+e7ne*otiated +e"abi itation p an1 ("e petition s"a !o,p y 3it" Se!tion 2 of Ru e ? and be suppo+ted by an affida.it s"o3in* t"e 3+itten app+o.a o+ endo+se,ent of !+edito+s "o din* at east t3o7 t"i+ds 42BI5 of t"e tota iabi ities of t"e debto+- in! udin* se!u+ed !+edito+s "o din* ,o+e t"an fifty pe+!ent 4G0H5 of t"e tota se!u+ed ! ai,s of t"e debto+ and unse!u+ed !+edito+s "o din* ,o+e t"an fifty pe+!ent 4G0H5 of t"e tota unse!u+ed ! ai,s of t"e debto+1 Sec !o" 2. )ssuance of (rder. 7 )f t"e !ou+t finds t"e petition suffi!ient in fo+, and substan!e- it s"a - not ate+ t"an fi.e 4G5 3o+2in* days f+o, t"e fi in* of t"e petition- issue an o+de+ 3"i!" s"a ; 4a5 )dentify t"e debto+- its p+in!ipa business o+ a!ti.ityBies and its p+in!ipa p a!e of business< 4b5 0i+e!t t"e pub i!ation of t"e o+de+ in a ne3spape+ of *ene+a !i+!u ation on!e a 3ee2 fo+ at east t3o 425 !onse!uti.e 3ee2s- 3it" t"e fi+st pub i!ation to be ,ade 3it"in se.en 495 days f+o, t"e ti,e of its issuan!e< 4!5 0i+e!t t"e se+.i!e by pe+sona de i.e+y of a !opy of t"e petition on ea!" !+edito+ 3"o is not a petitione+ "o din* at east fi.e pe+!ent 4GH5 of t"e tota iabi ities of t"e debto+- as dete+,ined in t"e s!"edu e atta!"ed to t"e petition- 3it"in t"+ee 4I5 days< 4d5 0i+e!t t"e petitione+ to fu+nis" a !opy of t"e petition and its anne8es- as 3e as t"e stay o+de+- to t"e +e e.ant +e*u ato+y a*en!y< 4e5 State t"at !opies of t"e petition and t"e +e"abi itation p an a+e a.ai ab e fo+ e8a,ination and !opyin* by any inte+ested pa+ty< 4f5 0i+e!t !+edito+s and ot"e+ pa+ties inte+ested 4in! udin* t"e Se!u+ities and E8!"an*e &o,,ission and t"e +e e.ant +e*u ato+y a*en!ies su!" as- but not i,ited to- t"e %an*2o Sent+a n* #i ipinas- t"e )nsu+an!e &o,,ission- t"e $ationa (e e!o,,uni!ations &o,,ission- t"e Jousin* and Land Use Re*u ato+y %oa+d and t"e Ene+*y Re*u ato+y &o,,ission5 in opposin* t"e petition o+ +e"abi itation p an to fi e t"ei+ .e+ified obCe!tions t"e+eto o+ !o,,ents t"e+eon 3it"in a pe+iod of not ate+ t"an

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t3enty 4205 days f+o, t"e se!ond pub i!ation of t"e o+de+- 3it" a 3a+nin* t"at fai u+e to do so 3i ba+ t"e, f+o, pa+ti!ipatin* in t"e p+o!eedin*s< 4*5 Appoint t"e +e"abi itation +e!ei.e+ na,ed in t"e p an- un ess t"e !ou+t finds t"at "e is not >ua ified unde+ t"ese Ru es in 3"i!" !ase it ,ay appoint a >ua ified +e"abi itation +e!ei.e+ of its !"oi!e< 4"5 Stay enfo+!e,ent of a ! ai,s- 3"et"e+ fo+ ,oney o+ ot"e+3ise and 3"et"e+ su!" enfo+!e,ent is by !ou+t a!tion o+ ot"e+3ise- a*ainst t"e debto+- its *ua+anto+s and pe+sons not so ida+i y iab e 3it" t"e debto+< p+o.ided- t"at t"e stay o+de+ s"a not !o.e+ ! ai,s a*ainst ette+s of !+edit and si,i a+ se!u+ity a++an*e,ents issued by a t"i+d pa+ty to se!u+e t"e pay,ent of t"e debto+Fs ob i*ations< p+o.ided fu+t"e+- t"at t"e stay o+de+ s"a not !o.e+ fo+e! osu+e by a !+edito+ of p+ope+ty not be on*in* to a debto+ unde+ !o+po+ate +e"abi itation< p+o.ided- "o3e.e+- t"at 3"e+e t"e o3ne+ of su!" p+ope+ty sou*"t to be fo+e! osed is a so a *ua+anto+ o+ one 3"o is not so ida+i y iab e- said o3ne+ s"a be entit ed to be benefit of e8!ussion as su!" *ua+anto+< 4i5 #+o"ibit t"e debto+ f+o, se in*- en!u,be+in*- t+ansfe++in*- o+ disposin* in any ,anne+ any of its p+ope+ties e8!ept in t"e o+dina+y !ou+se of business< 4C5 #+o"ibit t"e debto+ f+o, ,a2in* any pay,ent of its iabi ities outstandin* as of t"e date of fi in* of t"e petition< 425 #+o"ibit t"e debto+Fs supp ie+s of *oods o+ se+.i!es f+o, 3it""o din* supp y of *oods and se+.i!es in t"e o+dina+y !ou+se of business fo+ as on* as t"e debto+ ,a2es pay,ents fo+ t"e se+.i!es and *oods supp ied afte+ t"e issuan!e of t"e stay o+de+< 4 5 0i+e!t t"e pay,ent in fu of a ad,inist+ati.e e8penses in!u++ed afte+ t"e issuan!e of t"e stay o+de+< and 4,5 0i+e!t t"e pay,ent of ne3 oans o+ ot"e+ fo+,s of !+edit a!!o,,odations obtained fo+ t"e +e"abi itation of t"e debto+ 3it" p+io+ !ou+t app+o.a 1 Sec !o" #. Approval of $lan. 7 Dit"in ten 4105 days f+o, t"e date of t"e se!ond pub i!ation of t"e o+de+ +efe++ed to in Se!tion 2 of t"is Ru e- t"e !ou+t s"a app+o.e t"e +e"abi itation p an un ess a !+edito+ o+ ot"e+ inte+ested pa+ty sub,its a .e+ified obCe!tion to it in a!!o+dan!e 3it" t"e ne8t su!!eedin* se!tion1 Sec !o" $. (b2ection to $etition or Rehabilitation $lan. 7 Any !+edito+ o+ ot"e+ inte+ested pa+ty ,ay sub,it to t"e !ou+t a .e+ified obCe!tion to t"e petition o+ t"e +e"abi itation p an1 ("e obCe!tion s"a be i,ited to t"e fo o3in*; 4a5 ("e petition o+ t"e +e"abi itation p an o+ t"ei+ atta!",ents !ontain ,ate+ia o,issions o+ a+e ,ate+ia y fa se o+ ,is eadin*< 4b5 ("e te+,s of +e"abi itation a+e unattainab e< o+ 4!5 ("e app+o.a o+ endo+se,ent of !+edito+s +e>ui+ed unde+ Se!tion 1 of t"is Ru e "as not been obtained &opies of any obCe!tion to t"e petition o+ t"e +e"abi itation p an s"a be se+.ed on t"e petitionin* debto+ andBo+ !+edito+s1 Sec !o" %. .earing on (b2ections. 7 ("e !ou+t s"a set t"e !ase fo+ "ea+in* not ea+ ie+ t"an ten 4105 days and no on*e+ t"an t3enty 4205 days f+o, t"e date of t"e se!ond pub i!ation of t"e o+de+ ,entioned in Se!tion 2 of t"is Ru e on t"e obCe!tions is in a!!o+dan!e 3it" t"e i,,ediate y p+e!edin* se!tion- it s"a di+e!t t"e petitione+ to !u+e t"e defe!t 3it"in a pe+iod fifteen 41G5 days f+o, +e!eipt of t"e o+de+1 Sec !o" &. $eriod for Approval of Rehabilitation $lan. 7 ("e !ou+t s"a de!ide t"e petition not ate+ t"an one "und+ed t3enty 41205 days f+o, t"e date of t"e fi in* of t"e petition1 )f t"e !ou+t fai s to do so 3it"in said pe+iod- t"e +e"abi itation p an s"a be dee,ed app+o.ed1 Sec !o" '. Effects of Approval of Rehabilitation $lan. 7 App+o.a of t"e +e"abi itation p an unde+ t"is Ru e s"a "a.e t"e sa,e e*a effe!t as app+o.a of a +e"abi itation p an unde+ Se!tion 20 of Ru e I1

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Sec !o" 8. Revocation of Approved Rehabilitation $lan. 7 $ot ate+ t"an t"i+ty 4I05 days f+o, t"e app+o.a of a +e"abi itation p an unde+ t"is Ru e- t"e p an ,ay- upon ,otion and afte+ noti!e and "ea+in*be +e.o2ed on t"e *+ound t"at t"e app+o.a 3as se!u+ed by f+aud o+ t"at t"e petitione+ "as fai ed to !u+e t"e defe!t o+de+ed by t"e !ou+t pu+suant to Se!tion G of t"is Ru e1 Sec !o" (. Effect of Rule on $ending $etitions. 7 Any pendin* petition fo+ +e"abi itation t"at "as not unde+*one t"e initia "ea+in* p+es!+ibed unde+ t"e )nte+i, Ru es of #+o!edu+e fo+ &o+po+ate Re"abi itation at t"e ti,e of t"e effe!ti.ity of t"ese Ru es ,ay be !on.e+ted into a +e"abi itation p+o!eedin* unde+ t"is Ru e1 RULE ' RECOGNITION OF FOREIGN PROCEEDINGS Sec !o" 1. Scope of Application. 7 ("is Ru e app ies 3"e+e 4a5 assistan!e is sou*"t in a #"i ippine !ou+t by a fo+ei*n !ou+t o+ a fo+ei*n +ep+esentati.e in !onne!tion 3it" a fo+ei*n p+o!eedin*< 4b5 assistan!e is sou*"t in a fo+ei*n State in !onne!tion 3it" a do,esti! p+o!eedin* *o.e+ned by t"ese Ru es< o+ 4!5 a fo+ei*n p+o!eedin* and a do,esti! p+o!eedin* a+e !on!u++ent y ta2in* p a!e1 ("e so e fa!t t"at a petition is fi ed pu+suant to t"is Ru e does not subCe!t t"e fo+ei*n +ep+esentati.e o+ t"e fo+ei*n assets and affai+s of t"e debto+ to t"e Cu+isdi!tion of t"e o!a !ou+ts fo+ any pu+pose ot"e+ t"an t"e petition1 Sec !o" 2. &on1Recognition of !oreign $roceeding. 7 $ot"in* in t"is Ru e p+e.ents t"e !ou+t f+o, +efusin* to ta2e an a!tion *o.e+ned by t"is Ru e if 4a5 t"e a!tion 3ou d be ,anifest y !ont+a+y to t"e pub i! po i!y of t"e #"i ippines< and 4b5 if t"e !ou+t finds t"at t"e !ount+y of 3"i!" t"e petitione+ is a nationa does not *+ant +e!o*nition to a #"i ippine +e"abi itation p+o!eedin* in a ,anne+ substantia y in a!!o+dan!e 3it" t"is Ru e1 Sec !o" #. $etition for Recognition of !oreign $roceeding. 7 A fo+ei*n +ep+esentati.e ,ay app y 3it" t"e Re*iona (+ia &ou+t 3"e+e t"e debto+ +esides fo+ +e!o*nition of t"e fo+ei*n p+o!eedin* in 3"i!" t"e fo+ei*n +ep+esentati.e "as been appointed1 A petition fo+ +e!o*nition s"a be a!!o,panied by; 4a5 A !e+tified !opy of t"e de!ision !o,,en!in* t"e fo+ei*n p+o!eedin* and appointin* t"e fo+ei*n +ep+esentati.e< o+ 4b5 A !e+tifi!ate f+o, t"e fo+ei*n !ou+t affi+,in* t"e e8isten!e of t"e fo+ei*n p+o!eedin* and of t"e appoint,ent of t"e fo+ei*n +ep+esentati.e< o+ 4!5 )n t"e absen!e of e.iden!e +efe++ed to in subpa+a*+ap" 4a5 and 4b5- any ot"e+ e.iden!e a!!eptab e to t"e !ou+t of t"e e8isten!e of t"e fo+ei*n p+o!eedin* and of t"e appoint,ent of t"e fo+ei*n +ep+esentati.e1 Sec !o" $. Recognition of !oreign $roceeding. 7 A fo+ei*n p+o!eedin* s"a be +e!o*ni=ed if; 4a5 ("e p+o!eedin* is a fo+ei*n p+o!eedin* as defined "e+ein< 4b5 ("e pe+son o+ body app yin* fo+ +e!o*nition is a fo+ei*n +ep+esentati.e as defined "e+ein< and 4!5 ("e petition ,eets t"e +e>ui+e,ents of Se!tion I of t"is Ru e< Sec !o" %. $eriod to Recogni3e !oreign $roceeding. 7 A petition fo+ +e!o*nition of a fo+ei*n p+o!eedin* s"a be de!ided 3it"in t"i+ty 4I05 days f+o, t"e fi in* t"e+eof1 Sec !o" &. &otification to Court. 7 :+o, t"e ti,e of fi in* t"e petition fo+ +e!o*nition f t"e fo+ei*n p+o!eedin*- t"e fo+ei*n +ep+esentati.e s"a info+, t"e !ou+t p+o,pt y of;

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4a5 Any substantia !"an*e in t"e status of t"e fo+ei*n p+o!eedin* o+ t"e status of t"e fo+ei*n +ep+esentati.eFs appoint,ent< and 4b5 Any ot"e+ fo+ei*n p+o!eedin* +e*a+din* t"e sa,e debto+ t"at be!o,es 2no3n to t"e fo+ei*n +ep+esentati.e1 Sec !o" '. $rovisional Relief that +ay be ranted upon Application for Recognition of !oreign $roceeding. 7 :+o, t"e ti,e of fi in* a petition fo+ +e!o*nition unti t"e sa,e is de!ided upon- t"e !ou+t ,ay- upon ,otion of t"e fo+ei*n +ep+esentati.e 3"e+e +e ief is u+*ent y needed to p+ote!t t"e assets of t"e debto+ o+ t"e inte+ests of t"e !+edito+s- *+ant +e ief of a p+o.isiona natu+e- in! udin*; 4a5 Stayin* e8e!ution a*ainst t"e debto+Fs assets< 4b5 Ent+ustin* t"e ad,inist+ation o+ +ea i=ation of a o+ pa+t of t"e debto+Fs assets o!ated in t"e #"i ippines to t"e fo+ei*n +ep+esentati.e o+ anot"e+ pe+son desi*nated by t"e !ou+t in o+de+ to p+ote!t and p+ese+.e t"e .a ue of assets t"at- by t"ei+ natu+e o+ be!ause of ot"e+ !i+!u,stan!es- a+e pe+is"ab esus!eptib e to de.a uation o+ ot"e+3ise in Ceopa+dy< 4!5 Any +e ief ,entioned in Se!tion 94a5415- 425 and 495 of t"is Ru e1 Sec !o" 8. Effects of Recognition of !oreign $roceeding. 7 Upon +e!o*nition of a fo+ei*n p+o!eedin*; 4a5 &o,,en!e,ent o+ !ontinuation of indi.idua a!tions o+ indi.idua p+o!eedin*s !on!e+nin* t"e debto+Fs assets- +i*"ts- ob i*ations o+ iabi ities is stayed< p+o.ided- t"at su!" stay does not affe!t t"e +i*"t to !o,,en!e indi.idua a!tions o+ p+o!eedin*s to t"e e8tent ne!essa+y to p+ese+.e a ! ai, a*ainst t"e debto+1 4b5 E8e!ution a*ainst t"e debto+Fs assets is stayed< and 4!5 ("e +i*"t to t+ansfe+- en!u,be+ o+ ot"e+3ise dispose of any assets of t"e debto+ is suspended1 Sec !o" (. Relief That +ay be ranted After Recognition of !oreign $roceeding. 7 4a5 Upon +e!o*nition of a fo+ei*n p+o!eedin*- 3"e+e ne!essa+y to p+ote!t t"e assets of t"e debto+ o+ t"e inte+ests of t"e !+edito+s- t"e !ou+t ,ay- upon ,otion of t"e fo+ei*n +ep+esentati.e- *+ant any app+op+iate +e ief in! udin*; 415 Stayin* t"e !o,,en!e,ent o+ !ontinuation of indi.idua a!tions o+ indi.idua p+o!eedin*s !on!e+nin* t"e debto+Fs assets- +i*"ts- ob i*ations o+ iabi ities to t"e e8tent t"ey "a.e not been stayed unde+ Se!tion 64a5 of t"is Ru e< 425 Stayin* e8e!ution a*ainst t"e debto+Fs assets to t"e e8tent it "as not been stayed unde+ Se!tion 64b5 of t"is Ru e< 4I5 Suspendin* t"e +i*"t to t+ansfe+- en!u,be+ o+ ot"e+3ise dispose of any assets of t"e debto+ to t"e e8tent t"is +i*"t "as not been suspended unde+ Se!tion 64!5 of t"is Ru e< 4?5 #+o.idin* fo+ t"e e8a,ination of 3itnesses- t"e ta2in* of e.iden!e o+ t"e de i.e+y of info+,ation !on!e+nin* t"e debto+Fs assets- affai+s- +i*"ts- ob i*ations o+ iabi ities< 4G5 Ent+ustin* t"e ad,inist+ation o+ +ea i=ation of a o+ pa+t of t"e debto+Fs assets o!ated in t"e #"i ippines to t"e fo+ei*n +ep+esentati.e o+ anot"e+ pe+son desi*nated by t"e !ou+t< 465 E8tendin* t"e +e ief *+anted unde+ Se!tion 9 of t"is Ru e< 495 G+antin* any additiona +e ief t"at ,ay be a.ai ab e to t"e +e"abi itation +e!ei.e+ unde+ t"ese a3s1 4b5 Upon +e!o*nition of a fo+ei*n p+o!eedin*- t"e !ou+t ,ay- at t"e +e>uest of t"e fo+ei*n +ep+esentati.eent+ust t"e dist+ibution of a o+ pa+t of t"e debto+Fs assets o!ated in t"e #"i ippines to t"e fo+ei*n +ep+esentati.e o+ anot"e+ pe+son desi*nated by t"e !ou+t< p+o.ided t"at t"e !ou+t is satisfied t"at t"e inte+ests of o!a !+edito+s a+e ade>uate y p+ote!ted1 Sec !o" 10. $rotection of Creditors and (ther )nterested $ersons. 7 4a5 )n *+antin* o+ denyin* +e ief unde+ t"is Ru e o+ in ,odifyin* o+ te+,inatin* t"e +e ief unde+ pa+a*+ap" 4!5 of t"is Se!tion- t"e !ou+t ,ust be satisfied t"at t"e inte+ests of t"e !+edito+s and ot"e+ inte+ested pe+sons- in! udin* t"e debto+- a+e ade>uate y p+ote!ted1

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4b5 ("e !ou+t ,ay subCe!t t"e +e ief *+anted unde+ Se!tion 9 o+ Se!tion 91 'f t"is Ru e to !onditions it !onside+s app+op+iate1 4!5 ("e !ou+t ,ay- upon ,otion of t"e fo+ei*n +ep+esentati.e o+ a pe+son affe!ted by t"e +e ief *+anted unde+ Se!tion 9 o+ Se!tion 9 of t"is Ru e- o+ on its o3n ,otion- ,odify o+ te+,inate su!" +e ief1 Sec !o" 11. Actions to Avoid Acts Detrimental to Creditors. 7 Upon +e!o*nition of a fo+ei*n p+o!eedin*t"e fo+ei*n +ep+esentati.e a!>ui+es t"e standin* to initiate a!tions to a.oid o+ ot"e+3ise +ende+ ineffe!ti.e a!ts det+i,enta to !+edito+s t"at a+e a.ai ab e unde+ t"ese Ru es1 Sec !o" 12. )ntervention by !oreign Representative in $hilippine $roceedings. 7 Upon +e!o*nition of a fo+ei*n p+o!eedin*- t"e fo+ei*n +ep+esentati.e ,ay inte+.ene in any a!tion o+ p+o!eedin* in t"e #"i ippines in 3"i!" t"e debto+ is a pa+ty1 Sec !o" 1#. Cooperation and Direct Communication ,ith !oreign Courts and !oreign Representatives. 7 )n ,atte+s !o.e+ed by t"is Ru e- t"e !ou+t s"a !oope+ate to t"e ,a8i,u, e8tent possib e 3it" fo+ei*n !ou+ts o+ fo+ei*n +ep+esentati.es1 ("e !ou+t is entit ed to !o,,uni!ate di+e!t y 3it"- o+ +e>uest info+,ation o+ assistan!e di+e!t y f+o,fo+ei*n !ou+ts o+ fo+ei*n +ep+esentati.es1 Sec !o" 1$. !orms of Cooperation. 7 &oope+ation ,ay be i,p e,ented by any app+op+iate ,eansin! udin* but not i,ited to t"e fo o3in*; 4a5 Appoint,ent of a pe+son o+ body to a!t at t"e dis!+etion of t"e !ou+t< 4b5 &o,,uni!ation of info+,ation by any ,eans !onside+ed app+op+iate by t"e !ou+t< 4!5 &oo+dination of t"e ad,inist+ation and supe+.ision of t"e debto+Fs assets and affai+s< 4d5 App+o.a o+ i,p e,entation by !ou+ts of a*+ee,ents !on!e+nin* t"e !oo+dination of p+o!eedin*s< 4e5 &oo+dination of !on!u++ent p+o!eedin*s +e*a+din* t"e sa,e debto+< 4f5 Suspension of p+o!eedin*s a*ainst t"e debto+< 4*5 Li,itin* t"e +e ief of assets t"at s"ou d be ad,iniste+ed in a fo+ei*n p+o!eedin* pendin* in a Cu+isdi!tion ot"e+ t"an t"e p a!e 3"e+e t"e debto+ "as its p+in!ipa p a!e of business 4fo+ei*n non7,ain p+o!eedin*5 o+ info+,ation +e>ui+ed in t"at p+o!eedin*< and 4"5 ),p e,entation of +e"abi itation o+ +e7o+*ani=ation p an fo+ t"e debto+1 $ot"in* in t"is Ru e i,its t"e po3e+ of t"e !ou+t to p+o.ide additiona assistan!e to t"e fo+ei*n +ep+esentati.e unde+ ot"e+ app i!ab e a3s1 Sec !o" 1%. Commencement of #ocal $roceeding after Recognition of !oreign $roceeding. 7 Afte+ t"e +e!o*nition of a fo+ei*n p+o!eedin*- a o!a p+o!eedin* unde+ t"ese Ru es ,ay be !o,,en!ed on y if t"e debto+ is doin* business in t"e #"i ippines- t"e effe!ts of t"e p+o!eedin*s s"a be +est+i!ted to t"e assets of t"e debto+ o!ated in t"e !ount+y and- to t"e e8tent ne!essa+y to i,p e,ent !oope+ation and !oo+dination unde+ Se!tions 1I and 1? of t"is Ru e- to t"e ot"e+ assets of t"e debto+ t"at- unde+ o!a a3s,ust be ad,iniste+ed in t"at p+o!eedin*1 Sec !o" 1&. #ocal and !oreign $roceedings. 7 D"e+e a fo+ei*n p+o!eedin* and a o!a p+o!eedin* a+e ta2in* p a!e !on!u++ent y +e*a+din* t"e sa,e debto+- t"e !ou+t s"a see2 !oope+ation and !oo+dination unde+ Se!tion 1I and 1? of t"is Ru e1 Any +e ief *+anted to t"e fo+ei*n p+o!eedin* ,ust be ,ade !onsistent 3it" t"e +e ief *+anted in t"e o!a p+o!eedin*1 RULE 8 PROCEDURAL REMEDIES Sec !o" 1. +otion for Reconsideration. 7 A pa+ty ,ay fi e a ,otion fo+ +e!onside+ation of any o+de+ issued by t"e !ou+t p+io+ to t"e app+o.a of t"e +e"abi itation p an1 $o +e ief !an be e8tended to t"e pa+ty

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a**+ie.ed by t"e !ou+tFs o+de+ on t"e ,otion t"+ou*" a spe!ia !i.i a!tion fo+ !e+tio+a+i unde+ Ru e 6G of t"e +u es of &ou+t1 Su!" o+de+ !an on y be e e.ated to t"e &ou+t of Appea s as an assi*ned e++o+ in t"e petition fo+ +e.ie3 of t"e de!ision o+ o+de+ app+o.in* o+ disapp+o.in* t"e +e"abi itation p an1 An o+de+ issued afte+ t"e app+o.a of t"e +e"abi itation p an !an de +e.ie3ed on y t"+ou*" a spe!ia !i.i a!tion fo+ !e+tio+a+i unde+ Ru e 6G of t"e Ru es of &ou+t1 Sec !o" 2. Revie, of Decision or (rder on Rehabilitation $lan. 7 an o+de+ app+o.in* o+ disapp+o.in* a +e"abi itation p an !an on y be +e.ie3ed t"+ou*" a petition fo+ +e.ie3 to t"e &ou+t of Appea s unde+ Ru e ?I of t"e Ru es of &ou+t 3it"in fifteen 41G5 days f+o, noti!e of t"e de!ision o+ o+de+1 RULE ( FINAL PROVISIONS Sec !o" 1. Severability. 7 )f any p+o.ision o+ se!tion of t"ese Ru es is "e d in.a id- t"e ot"e+ p+o.isions o+ se!tions s"a not be affe!ted t"e+eby1 Sec !o" 2. Transitory $rovision. 7 Un ess t"e !ou+t o+de+s ot"e+3ise to p+e.ent ,anifest inCusti!e- any pendin* petition fo+ +e"abi itation t"at "as not unde+*one t"e initia "ea+in* p+es!+ibed unde+ t"e )nte+i, Ru es of #+o!edu+e fo+ &o+po+ate Re"abi itation at t"e ti,e of t"e effe!ti.ity of t"ese Ru es s"a be *o.e+ned by t"ese +u es1 Sec !o" #1 Effectivity. 7 ("ese Ru es s"a ta2e affe!t on 16 Janua+y 2009 fo o3in* its pub i!ation in t3o 425 ne3spape+s of *ene+a !i+!u ation in t"e #"i ippines1 ANNE) *A* AFFIDAVIT OF GENERAL FINANCIAL CONDITION 415 A+e you an offi!e+ of t"e debto+ +efe++ed to in t"ese p+o!eedin*sA 425 D"at is you+ fu na,e and 3"at position do you "o d in t"e debto+A 4I5 D"at is t"e fu na,e of t"e debto+ and 3"at is t"e add+ess of its "ead offi!eA 4?5 D"en 3as it fo+,ed o+ in!o+po+atedA 4G5 D"en did t"e debto+ !o,,en!e businessA 465 D"at is t"e natu+e of its businessA D"at is t"e ,a+2et s"a+e of t"e debto+ in t"e indust+y in 3"i!" it is en*a*edA 495 D"o a+e t"e pa+ties- ,e,be+s- o+ sto!2"o de+sA Jo3 ,any e,p oyeesA 465 D"at is t"e !apita of t"e debto+A 495 D"at is t"e !apita !ont+ibution and 3"at is t"e a,ount of t"e !apita - paid and unpaid- of ea!" of t"e pa+tne+s o+ s"a+e"o de+sA 4105 0o any of t"ese peop e "o d t"e s"a+es in t+ust fo+ ot"e+sA 4115 D"o a+e t"e di+e!to+s and offi!e+s of t"e debto+sA 4125 Jas t"e debto+ any subsidia+y !o+po+ationA )f so- *i.e pa+ti!u a+sA 41I5 Jas t"e debto+ p+ope+ y ,aintained its boo2s and a+e t"ey updatedA 41?5 De+e t"e boo2s audited annua yA 41G5 )f so- 3"at is t"e na,e of t"e audito+ and 3"en 3as t"e ast audited state,ent d+a3n upA 4165 Ja.e a p+ope+ +etu+ns been ,ade to t"e .a+ious *o.e+n,ent a*en!ies +e>ui+in* sa,eA 4195 D"en did t"e debto+ fi+st be!o,e a3a+e of its p+ob e,sA 4165 Jas t"e debto+ 3it"in t"e t3e .e ,ont"s p+e!edin* t"e fi in* of t"e petition; 4a5 ,ade any pay,ents- +etu+ned any *oods o+ de i.e+ed any p+ope+ty to any of its !+edito+se8!ept in t"e no+,a !ou+se of businessA 4b5 e8e!uted any ,o+t*a*e- p ed*e- o+ se!u+ity o.e+ any of its p+ope+ties in fa.o+ of any !+edito+A 4!5 t+ansfe++ed o+ disposed of any of its p+ope+ties in pay,ent of any debtA 4d5 so d- disposed of- o+ +e,o.ed any of its p+ope+ty e8!ept in t"e o+dina+y !ou+se of businessA

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4e5 so d any ,e+!"andise at ess t"an fai+ ,a+2et .a ue o+ pu+!"ased ,e+!"andise o+ se+.i!es at ,o+e t"an fai+ ,a+2et .a ueA 4f5 ,ade o+ been a pa+ty to any sett e,ent of p+ope+ty in fa.o+ of any pe+sonA )f- so- *i.e pa+ti!u a+s1 4195 Jas t"e debto+ +e!o+ded a sa es o+ dispositions of assetsA 4205 D"at 3e+e t"e sa es fo+ t"e ast t"+ee yea+s and 3"at pe+!enta*e of t"e sa es +ep+esented t"e p+ofit o+ ,a+2upA 4215 D"at 3e+e t"e p+ofits o+ osses fo+ t"e debto+ fo+ t"e ast t"+ee yea+sA 4225 D"at a+e t"e !auses of t"e p+ob e,s of t"e debto+A # ease p+o.ide pa+ti!u a+sA 42I5 D"en did you fi+st noti!e t"ese p+ob e,s and 3"at a!tions did t"e debto+ ta2e to +e!tify t"e,A 42?5 Jo3 ,u!" do you esti,ate is needed to +e"abi itate t"e debto+A 42G5 Jas any pe+son e8p+essed inte+est in in.estin* ne3 ,oney into t"e debto+A 4265 A+e t"e+e any pendin* and t"+eatened e*a a!tions a*ainst t"e debto+A )f so- p ease p+o.ide pa+ti!u a+s1 4295 Jas t"e debto+ dis!ussed any +est+u!tu+in* o+ +epay,ent p an 3it" any of t"e !+edito+sA # ease p+o.ide status and detai s1 4265 Jas any !+edito+ e8p+essed inte+est in +est+u!tu+in* t"e debts of t"e debto+A )f so- p ease *i.e pa+ti!u a+s1 4295 Ja.e e,p oyeesF 3a*es and sa a+ies been 2ept !u++entA )f not- "o3 ,u!" a+e in a++ea+s and 3"at ti,e pe+iod do t"e a++ea+s +ep+esentA 4I05 Ja.e ob i*ation to t"e *o.e+n,ent and its a*en!ies been 2ept !u++entA )f not- "o3 ,u!" a+e in a++ea+s and 3"at ti,e pe+iod do t"e a++ea+s +ep+esentA