Philippine Telco Capability and Reliability

Ernesto R. AlbertoSVP & Head, PLDT Customer Sales & Marketing Group

Luis Ignacio A. LopaAVP & Head, PLDT Corporate Marketing Services

Presentation Outline

1. Philippine International Connectivity2. Philippine Domestic Network3. PLDT Overview & Highlights

International NetworkUnparalleled International Network

Unparalleled International Capacity

2009225 Gbps

2008125 Gbps

200790 Gbps

LUCLS

BCLS3RD

Landing Station Diversity

Landing Stations:

• BCLS – Batangas Cable Landing Station

• LUCLS- La Union Cable Landing Station

• PROPOSED 3RD Cable Landing Station (Eastern Philippines)

APG

AAG

New Cable Systems

Asia-America Gateway (AAG)

The ONLY direct cable system from the Philippines to the U.S. w/ coverage in major Asian countries

(2009)

Asia-Pacific Gateway (APG)

High-speed cable system linking Southeast Asia to Hongkong, Taiwan, China, Japan, and Korea

(2011)

Asia America Gateway (AAG):

Philippines

Thailand

Brunei

Singapore

Hawaii

United States

Malaysia

Vietnam

Hong Kong

Guam

(Sri Racha)

(Mersing)

(Changi)

(Vung Tau)

(Tungku)

(Lantau)

(La Union) (Tanguisson)

(Makaha)

BU1

BU2 BU3

BU4

PLDT is a lead investor in the Asia-America Gateway cable project which will provide Southeast Asian countries their first direct high-capacity cable connectivity to the US mainland with 100 Gbps by the Q4 2009.

International Cable Systems

17 Int’lCable Systems

$ 238M USD Investments

International Partners

Domestic Network

Unparalleled Domestic Network

Unmatched Domestic Connectivity

750 Gbps aggregate

capacity

250 Gbps additional

capacity

10 self-healingloops

(7 major, 3 subtending)

2008

2009

Other IT and Support

Investments

2009 Capital Investments

Transformation of the fixed line from

legacy to NGN

$560M USD*

Additional capacity for cellular and broadband

Expansion of transmission &

backbone facilities

Ongoing Fortification

Activation of additional cable routes for even greater diversity

Reconfiguration of selected loops from aerial to underground to lessen force

majeure breakage

PLDT Overview & Highlights

PLDT Group - Overview

26.3% 52.7%

Public21.0%

• Leader in Fixed line, Cellular, and Information & Communication Technology / Internet businesses.• Operates the Philippines’ most extensive Fixed line, Cellular, Nationwide Fiber Optic Backbone, Satellite

networks, and International Cable facilities covering 99% of the Philippines with approximately 42.3mn combined subscribers as of September 30, 2009

• Publicly listed on the Philippine Stock Exchange (TEL) and with ADRs listed on the NYSE (PHI) subject to both Philippine and U. S. SEC regulations; including the Sarbanes-Oxley Act

• Has the largest market capitalization among Philippine listed companies – US$10.1 billion as of 4 November 2009; and is the most actively traded Philippine stock with an average daily volume of approximately 165,000 and 174,000 shares in the PSE and NYSE, respectively.

• Ownership structure (as of 30 June 2009):

Strategic Business UnitsFIXED

Over 1.8 million voice and 565 thousand broadband and data subscribers, introducing new products and services, tapping new markets and maximizing multi-platform network.

WIRELESS

MABUHAYPhilippines Satellite Corporation

Data Center, Call Center & BPO, Applications, Internet Access, Content Development and Managed Services.

ICT

Maintaining market leadership with more than 39.1 million cellular and 802 thousand * wireless broadband subscribers

* As of 30 September 2009

Infrastructure ConglomerateOperational Synergies with the PLDT Group

• Customer base: 5.6 Min the West zone of Metro Manila• Use of wireless technology for meter reading/billing• Real-time monitoring of water flow & pressure via SMS• Coordinated excavation and permits

• Customer base: 4.5M• Access use of fiber optic backbone• Easements and right of way• Billing statement printing / enveloping• Pre-paid electricity / Broadband over power lines / etc

• Optimal co-use of fiber optic network of NLEX/SCTEX/SFEX

for increased capacity, resiliency and accelerated roll-out• Co-location of cellsites along NLEX for better coverage• Bundling of ECTRIP/ECTAG with DSL/Smart Bro packages• Use of SmartMoney technology for Paypass

• Procurement of medicines and other inventories through ePLDT’s Bayantrade• Use of PLDT expertise information and accounting systems• Automated verification of patients’ records

Hospital Business

1717

PLDT Group: 9M 2009 Financial Highlights9M 2009(unaudited)

9M 2008(unaudited) % Y-o-Y

Service Revenues P108.3bn P105.6bn 3%

EBITDA P65.7bn P65.7bn -

EBITDA Margin 61% 62%

Core Net Income P31.0bn P27.8bn 11%

Core EPS P163.70 P145.71 12%

Reported Net Income P30.0bn P26.2bn 15%

Period-end PhP:US$1 P47.42 P47.26 -

Period-average PhP:US$1 P47.93 P43.22 11%

• Wireless P44.5bn P44.5bn -

• Wireless P71.2bn P68.8bn 3%

• Fixed Line P20.3bn P20.5bn 1%

• Fixed Line P38.2bn P36.7bn 4%

18

PLDT Group: Affirming Guidance for 2009

Service Revenues P146 billion

• 2% growth over 2008• P3 billion increase

EBITDA P88-88.5 billion

• 0.5-1% growth over 2008• P400-900 million increase

Core Net Income P41 billion

• 8% growth over 2008• P3 billion increase

Capital ManagementDividend Payout Ratio: 70% of Core EPS

+ “look back” approach

Buyback of up to 2.3 million common shares*

Capex P27 billion 7% higher than 2008P1.8 billion increase

PLDT remains to be the biggest and most profitable company in the Philippines for the past 3 years across all industries.

* remaining shares for buyback from total approved 5 million shares for buyback

Continuous Pursuit of ExcellenceThe PLDT Group reaffirms its Commitment to the nation and to our customers…We will continue to pursue our capital investments that will enable improvements in the QoS we provide to our customers and be able to deliver more innovations to the market at large.

Contact Us

Ernesto R. AlbertoSVP & Head, PLDT Customer Sales & Marketing GroupEmail: eralberto@pldt.com.ph

Luis Ignacio A. LopaAVP & Head, PLDT Corporate Marketing ServicesEmail: lalopa@pldt.com.ph

Website: www.pldt.com.ph