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1 tambuli SPECIAL EDITION Vol. 1 No. 1 March 2006 Welcome to the 4th FPI Golf Classic 2006 KIA Sorento awaits the HOLE-IN-ONE winner The FPI Golf Classic through the years... The Tagaytay Midlands course Industry News

2 2FEATURE March 2006 Overall tournament champions Benjie Rocamora and Jonelle Roxas with Director George Chua and Joost Pekelharing during the 3rd FPI Golf Classic. Hole-in-one prize for 2005, Toyota Vios (right). First FPI Golf Classic, Class B Champion George Chua Golf committee in action: Claro C. Arriola, Renato R. Ermita, Atty. Rufino Margate Jr., Ernie Hernandez. The FPI Golf Classic Through the years... In the last three years, the Federation of Philippine Industries Golf Classic has been the foremost income generating activity and the major source of funds that finances the operations of the FPI Secretariat. The main objective of the Golf Classic is to raise funds to intensify and maintain for the long term, the advocacy work which the organization already has undertaken since its inception in In addition to this, the tournament was conceptualized by the FPI Directors to fuel the need to expand FPI s advocacies both locally and internationally, including the filing of cases against smugglers and corrupt public officials, participation in international forums negotiations in the critical areas affecting Philippine industry, and the training of the staff, among others. In March 13, 2003, the very first FPI Golf Classic was held at the Langer Course, Riviera Gold and Country Club in Silang, Cavite. One hundred and four executives, business leaders and government officials participated in the said event Golf Committee members: Claro C. Arriola, George S. Chua, Renato R. Ermita (Chairman), Henry A. Tañedo with Jose Rafael Hernandez. Not in photo: Jesus L. Arranza, Miguel V. Pingol, Jose Ch. Alvarez. The Overall Champion was: Dan Halili; Champion Philip Adamson (Class A), 1st Runner-up Pepito Baynosa (Class A); Champion George Chua (Class B), 1st Runner-up Roberto Garcia (Class B); Champion Ike Yusingco (Class C), 1st Runner-up Joost Pekelharing (Class C). FPI staged its Second Golf Classic in the Tagaytay Midlands Golf Course in the Tagayaty City on Feb. 26, top executives of major manufacturing corporations and industry associations competed in four men s and one ladies divisions. The support and generosity of the tournament s sponsors helped the second run even more successful than the previous year s. One Hole-in-One Prize winner drove home a brand new Hyundai Matrix. In partnership with SMART Communications, the 3rd FPI Golf Classic was successfully held at the Tagaytay Midlands Golf Course in Tagaytay City on Feb. 24, The event was graced by former Philippine President Fidel V. Ramos, then DILG Secretary Angelo Reyes, DILG USec. Melchor Rosales, Tariff Commission Chairman Edgardo Abon, DTI Director Luis Catibayan. Chief Executive Officers and other top management officials of major corporations participated in this tournament The Overall Champions were: Benjie Rocamora and Jonelle Roxas; Champion Jan Tambogon (Class A), 1st Runner-up Gary Sales (Class A); Champion Henry Acosta (Class B), 1st Runner-up Emil Sy (Class B); Champion Claro Arriola (Class C), 1st Runner-up Felix Cortez (Class C); for the Ladies Division, the Champion is Vivian Chua, 1st Runner-up is Aurasa Jinawath.

3 March 2006 EDITORIAL3 This year s prize... The SORENTO CRDi Diesel KIA S TOP OF THE LINE SUV The new KIA Sorento CRDi Diesel, the only 4x4 awarded the maximum 5 Star rating in the UK s annual JD Power and Associates Customer Satisfaction Index Survey, is steadily making its presence felt in the Philippines mid-size sport utility vehicle (SUV) market. Produced by the Korean carmaker, made famous by its compact car Picanto and Rio that were runaway bestsellers in Europe and the Americas in 2005, Sorento offers a wise option for buyers who prefer a relatively bigger vehicle that doesn t have the menacing presence of massive SUV s. Felix J. Mabilog Jr., chief operating officer of Columbian Autocar Corporation, manufacturer and distributor of KIA in the Philippines, describes Sorento as pound for pound, the best-looking SUV in the market today. He said the Sorento approaches its performance tasks with power that overwhelms the roughest terrain, but glides over paved roads in serene smoothness. It mm wide and 1,740 mm height sleek exterior, is a Common Rail Direct Injection (CRDI) engine with turbo charger intercooler. It has an accelerating power off the starting block and solid overtaking power provided by an engine that pumps out a maximum power of 140 ps at 3,800 rpm and a hefty 32.0 kgm torque at 2,000 rpm. A double wishbone, coil spring with strut damper in front, along with a 5- ring coil spring damper on the rear, keep the drive bounce smooth and easy. With this engine configuration, any road condition for the Sorento is a stroll in the park. Mabilog says proudly, Besides, in KIA vehicles customers get excellent value for their money, metal for metal. They get to enjoy all these qualities and conveniences without feeling a dent in their pockets, he adds. Matching the Sorento s power and performance is a sleek interior that compares with any SUV in the market today. The gauges and the other controls Kudos to FPI Golf Classic Every year, the Federation of Philippine Industries holds its Golf Tournament to raise funds to intensify and maintain for the long term, the advocacy work, which the organization already has undertaken since its inception in The golf tournament, established and started by former FPI Director and Golf Committee Chairman Joost Pekelharing in 2003, has been the one of the foremost activities that helped bring FPI to its distinction as The Voice of Industry. The three previous golf classics were well-recieved and able to generate a substantial amount to support the Federation. This year, we aim to eclipse the success of the previous tournaments. We would like to take this opportunity to thank this year s principal sponsors, major hole sponsors, minor hole sponsors and donors for their support and patronage, as well as the men and women who dedicated their time and effort in organizing the event. For the FPI members and our guests, this is again an occasion to foster camaraderie and better working relationships among business groups, with the end goal of promoting Philippine products. This event also recognizes the captains of various industry and government leaders, who wholeheartedly devoted their work and effort in advocating for a competitive local industry that is able to employ many Filipinos. We salute everyone for participating in and gracing this 4 th FPI Golf Classic. Again, our sincerest thanks to the people who believe in our ideals and mission. Mabuhay Kayong Lahat! KIA SORENTO 2006 reflects the relentless drive of KIA to achieve its goal of global prominence through advanced engineering and design. At the heart of the 4,567 millimeter (mm) long, 1,863 are easy to locate and clearly marked. It has comfortable supportive front seats. It has ample head and legroom for above-average size adults. Step-in height is reasonable for an SUV while wide doors reveal roomy comfortable seating for rear passengers. Its features, like the leather seats, electrically heated rear window, power side mirrors and windows, CD audio system with side speakers, front-row cup holders, and tilt adjustable steering wheels, are standard. KIA is acknowledged as one of the most improved brands in reliability studies conducted very recently. It offers worldclass quality and value and its cars are winning more and more awards for quality and safety. In its first appearance in UK s annual JD Power and Associates Customer Satisfaction Index Survey, KIA Sorento has scored a clear class victory with a triple achievement best 4x4 with a 5-Star rating and 7 th over-all. It comfortably beat the well-established products from Honda, Toyota and Nissan. With a customer satisfaction rating of 84%, Sorento and its ownership experience were described by JD Power Associate What Car? Magazine as good or above average in seven out of the eight survey categories the cabin is practical, seats comfortable, styling attractive dealers are helpful and polite some of the lowest running costs in the 4X4 class worthy winner. Sorento s powerfully built 225/75 R16 steel belted tires on alloy wheels add to the brawny look, which comes in clear, white, silver, radiant red and ebony black.

4 Golfer s guide to Tagaytay Midlands Course Hole 1: Par yards Hdcp 7 Hole 2: Par yards Hdcp 3 Hole 3: Par yards Hdcp 15 Hole 4: Par yards Hdcp 1 Hole 5: Par yards Hdcp 17 Hole 6: Par yards Hdcp 11 Scrap Collectors Recycling Association of the Philippines Hole 7: Par yards Hdcp 13 Hole 8: Par yards Hdcp 9 Hole 9: Par yards Hdcp 5 Federation of Filipino-Chinese Chambers of Commerce & Industry

5 The Golf Course 18-hole walking course reciprocity arrangement with Tagaytay Highlands Golf Club all-weather fairways myriad challenges, such as the two-hectare lake at the Midlands signature hole number four abundant greenery, including imported Tifdwarf, Bermuda grass, 37,000 trees, and over 2 million plants of different varieties unobstructed views of Taal Lake and Mount Makiling an 8.7-km. cart path Hole-in-one Kia Sorento Hole-in-one.45 caliber pistol Hole-in-one Mizuno Golf Set Longest drive Nearest the pin Most accurate First Jabong Hole 10: Par yards Hdcp 8 Hole 11: Par yards Hdcp 10 Hole 12: Par yards Hdcp 16 NAFCO Research Philippine Phosphate Fertilizer Corporation Hole 13: Par yards Hdcp 4 Hole 14: Par yards Hdcp 6 Hole 15: Par yards Hdcp 2 MABUHAY VINYL CORPORATION Cathayland Inc. Hole 16: Par yards Hdcp 12 Hole 17: Par yards Hdcp 18 Hole 18: Par yards Hdcp 14 Pilipinas Shell Petroleum Corporation

6 6NEWS S I D E B A R DENR Sec. Angelo Reyes suspends MEIC implementation indefinitely March 2006 DENR Secretary Angelo Reyes suspended the implementation of Department Administrative Order (DAO) No or the Guidelines for the Institution of a system of Mandatory Environmental Insurance Compliance (MEIC), which is required for all ongoing activities/projects and applications for an Environmental Compliance Certificate (ECC) and/or Certificate of Non-coverage (CNC). Secretary Angelo Reyes announced the suspension last Feb. 21, 2006 before an industry delegation that made a courtesy call arranged by FPI President Jesus L. Arranza of the Federation of Philippine Industries (FPI). Aside from Mr. Arranza, FPI was represented by Chairman Meneleo Carlos Jr, Executive Vice President Edison Co Seteng, Directors Arsenio Tanco, Ernesto Ordoñez, Claro Arriola, FPI members Jose Maria Zabaleta (PSMA), Luna Go (TEXPAP), Atty Cynthia De Castro (SMC), Bernie De Pedro (TiMAP), Amando Rios (PULPAPEL), Errol Bacamante (SPIK), Albert Lim (NFHFI), together with the FPI Environment Committee: Engr Jeffrey Mijares, Chairman, Rene Morente (PCCI), Oscar Barrera (Philexport), Dr. Edgardo Alabastro (Philexport), Editha Cabrera (PCAPI/SMC), Edna Tatel (PSMA), Lourdes Guerrero (SMC), Grace Morella (PCCI), Atty Rufino Margate Jr, FPI Sec- Gen and Stevenson Tavera, FPI Technical Staff. Likewise present were Ernesto B. Pantangco (PIPPA), Commisioner Alfred Chan (NSWMC). The indefinite suspension is a welcome relief for the industry, because under the suspended DAO , project proponents shall be required to obtain insurance coverage in the form of an Environment Performance Bond (EPB) and Environmental Pollution, impairment and Clean-up liability Insurance (EPICLI), as follows: a) An Environment Performance Bond (EPB) - shall be required for all ongoing activities/projects and applications for ECCs/CNCs as a requisite in order to guarantee adequate and timely compliance with the environmental standards and the terms and conditions set forth by the DENR during the pre-development, development and/or construction phases of the project. FPI members during the meeting with Sec. Angelo Reyes: (L-R) Director Ernesto M. Ordoñez, Director Claro C. Arriola, President Jesus L. Arranza, and Chairman Meneleo J. Carlos Jr. b) On the other hand, an Environmental Pollution, impairment and Clean-up liability Insurance (EPICLI) - shall be required of all existing and future projects/activities to cover operational phases, including those that have been issued ECCs/CNCs. For this purpose, the submission of appropriate EPICLI Policy Contract shall be an additional condition/ requirement in all existing ECCs/CNCs. Worse, non-compliance by a particular entity of the requirements stated in DAO shall authorize the DENR to automatically revoke or cancel the ECC/ CNC issued, or shall be a ground for the immediate disapproval of the application submitted by the project proponent. The purpose of DAO , in effect duplicates DAO because the latter already requires the establishment of an Environmental Guarantee Fund (EGF) for all co-located or single projects that have been determined by the DENR to pose a significant public risk or where the project requires rehabilitation or restoration. With DAO , the DENR has already established the power and authority to sanction any entity they find to be violating the law. Moreover, there are several contentious issues and arguments against its implementation ranging from absence of public hearing and the need to amend the law to justify its mandatory character. FPI lauds CIDG group Jesus L. Arranza, President of the Federation of Philippine Industries, congratulated Superintendent Jesus Verzosa of the Criminal Investigation & Detection Group (CIDG) and his men, led by police superintendent Benjamin delos Santos, relative to the recent arrest of the suspected smugglers and subsequent filing of charges before the proper forum. How the shipments were able to sneak past customs ports would clearly puzzle anybody and the incident unfortunately would not be the first. It is for this reason that FPI has enjoined the CIDG to conduct a deep and thorough investigation to unmask the customs personnel who may be involved. FPI for its part has been relentlessly fighting smuggling, both outright and technical, in view of this deleterious effect to Philippine industries, local employment and government. Data shows that government is losing at least P100 billion annually in terms of unpaid taxes and duties due to smuggling. This amount could have addressed the budget deficit of the country. In the event the imported goods will continue to unfairly compete with local products, it will result to closures of legitimate local businesses and give rise to unemployment.

7 March 2006 ACKNOWLEDGEMENTS 7 FPI would like to thank the following: PRINCIPAL SPONSORS Global Steel Philippines (SPV-AMC), Inc. Philippine Steel Holdings Corporation San Miguel Corporation MAJOR HOLE SPONSORS Philippine Amusement and Gaming Corporation Asahi Glass Philippines, Inc. Petron Corporation Tin Can Manufacturers Association of the Philippines Scrap Collectors Recycling Association of the Philippines Federation of Filipino Chinese Chambers of Commerce & Industry Oriental & Motolite Corporation Philippine Phosphate Fertilizer Corporation Future Trade International (Bombay Gin) NAFCO Research MINOR HOLE SPONSORS R.I. Chemical Corporation East-West Seed Company, Inc. Mabuhay Vinyl Corporation Flat Glass Alliance of the Philippines, Inc. Philippine Sugar Millers Association Cathayland Inc. Chikka Asia Incorporated Pilipinas Shell Petroleum Corporation HOLE-IN-ONE SPONSORS Columbian Auto Car, Inc. (KIA Motors) Arms Corporation Master Sports Corporation (Mizuno) DONORS Philippine Steel Rolling Mills Association Philippine Association of Battery Manufacturers Tire Manufacturers Association of the Philippines Coconut Oil Refiners Association Unilever Corporation Zesto Corporation RFM Corporation Central Azucarera de Don Pedro Nestle Philippines, Inc. Asia Brewery Corporation Coats Manila Bay, Inc./Manila Bay Spinning Mills Union Home Appliances D & L Industries, Inc. Philippine Welding Products Manufacturers Association Creative Pro Integrated Marketing, Inc. Circulan Chemrez, Inc. Tagaytay Midlands Quatro Grafix, Inc. Scitech TJ s Clear Art - The Glass Etching Company Arce Dairy Special Edition Vol. 1 No FPI Golf Committee Members: Renato R. Ermita (Chairman) Jose Ch. Alvarez Jesus L. Arranza Claro C. Arriola George S. Chua Miguel V. Pingol Henry A. Tañedo Special thanks to Joost H. Pekelharing (former FPI Golf Committee Chairman) Claro C. Arriola George S. Chua Renato R. Ermita Henry S. Tañedo Executive Editors Juan Angelo G. Rocamora Jojit F. Yap Rufino M. Margate, Jr. Editorial Staff FPI Secretariat 308 Sen. Gil Puyat Ave. Ext., Makati City Tel. Nos , Fax. No fpi@philonline.com The New FPI Golf Classic Logo (Designed by Well Advertising. Courtesy of Ernie Hernandez) A perfect balance between man and industry. An excellent fusion of purpose and camaraderie. This is the story behind the New FPI Golf Classic logo. So we see a man and the federation s symbol in equal sizes. With the latter slightly tilted to also creatively represent the golf green. Thus, as the classic sport is a natural extension of FPI s quest for life, drive for excellence, and globally competitive spirit, the FPI Golf Classic logo also emanates from the federation s green and gold emblem the latter implying that natural resources undergoing the creative hands of man can become gold, the highest standard of commerce. As the fusion of logo elements graphically illustrates infinity, it also celebrates FPI s continuing unity, camaraderie, and unending commitment to the advancement of industry and the enhancement of the environment.

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