8990 HITS P1 BILLION IN TAKE-OUTS WITH PAG-IBIG FUND

Becomes Pag-IBIGs No. 1 Developer

Mass housing leader 8990 Holdings became the largest developer of the Home
Development Mutual Fund (Pag-IBIG Fund) ending the first half of the year as
the Funds take-outs from their Contract To Sell (CTS) portfolio hit more than
P1.0 Billion.

In December 2013, 4,968 accounts, equivalent to about P4.0 billion worth of CTS
from 8990s various low-cost housing projects located in Angeles, Lipa, Cebu,
Iloilo and Davao Cities were migrated to Pag-IBIG for take-out under the Funds
existing housing loan program. This represents 35% of 8990s 11.5 Billion CTS
portfolio. As of June 30, Pag-IBIG took-out 1,335 accounts amounting to P1.126
billion. Pag-IBIGs allocation for individual housing loans this year is P50.0
Billion.

We are glad to be back with the Fund, according to Januario Jesus Atencio,
President and CEO of 8990 Holdings and its subsidiaries, and we look forward
to Pag-IBIGs new housing policies and lending programs, specially their G-to-G
arrangements with LRA and BIR, and the creation of centralized Housing Hubs
that will provide faster and more efficient housing loan services to Pag-IBIG
members and developer-partners.

Atencio futher added that the P1.0 Billion take-out of our CTS receivables
through Pag-IBIG clearly shows that our business model works, and we hope
that this allays whatever concerns the market has over our ability to effectively
manage our receivables portfolio.

It will be recalled that in 2011, Pag-IBIG Fund tightened its housing policies and
rules following the discovery of alleged anomlies attributed to one developer. In
repsonse to the tightening, 8990 launched their innovative CTS-Gold in-house
financing facility with a 2% down-payment, and other policies similar to the Pag-
IBIGs housing loan guidelines: a low interest rate starting at 8.5%, 25-year loan
terms, and a monthly amortization cap of 40% of net disposable income.

We patterned our in-house financing program as close as possible to the Funds
guidelines because we wanted the eventual migration of our buyers to Pag-IBIG
as seamless as possible. We knew that it was only a matter of time when Pag-
IBIG would provide a better way of providing loans to its members, said Atencio,
who added that 8990 recently created its own Pag-IBIG hub to assure continous
deliveries to the Fund.

Atencio explained that 8990s CTS-Gold program has grown to P11.5 Billion
today, and the migration of CTS accounts for Pag-IBIG take-outs provide the
necessary non-loan liquidity to the business. Our CTS-Gold program becomes
complete when we are able to migrate our buyers permanently to financial
institutions such as Pag-IBIG Fund. We continue to explore new avenues of
housing finance such as take-out arrangements with banks like our agreement
with CBTC Bank for a P1.0 billion facility on a non-recourse basis. We are also
looking forward to our first ever private sector securitization this August of P1.0
Billion of our CTS as another milestone in our commitment to create more
innovative opportunities for sustinable housing finance, Atencio said.

Pag-IBIG recently released their Offiial List of Top Ten Developers Nationwide
led by 8990 (P1.126 Billion); New Apec (P669 Million) and Homemark (P569
Million) who comprise the top three developers nationwide for the housing
provident fund.