PRE-QUALIFICATION FOR ELIGIBILITY TO BID ON CONSTRUCTION OF DISTRIBUTION LINES

KEPCO Philippines Corporation ("KEPHILCO") intends to seek bids for the Construction of 7.6/13.2KV
Lateral Distribution Lines. In this regard, KEPHILCO is conducting a bidding to select Contractors to
be contracted to perform the obligations and services for the Project.
Attached hereto are the following documents necessary for accomplishing the pre-qualification
requirements, which shall be attached to the Letter of Intent and shall be submitted to the Bids and
Awards Committee ("BAC") of KEPHILCO:
1. Guidelines for preparation and submission of pre-qualification documents - Annex A
2. Form of letter of intent for pre-qualification - Annex B
3. Pre-qualification information format - Annex C

The duly accomplished requirements, including the Letter of Intent, shall be submitted and
addressed to the Chairman of the BAC, in accordance with the guidelines for preparation and
submission of pre-qualification documents, on or before the deadline of 25 September 2009, 5:00
p.m. at the following address:
Bids and Awards Committee
KEPCO Philippines Corporation
18th Floor Citibank Tower
8741 Paseo de Roxas, Makati City
Telephone No. (632) 848-0231~35, 37~39
Fax No. (632) 848-0013
The BAC shall determine if each prospective bidder is eligible by checking the completeness of each
prospective bidder's pre-qualification documents against a checklist of requirements, as stated in
Annex "A" hereof. Each prospective bidder shall be determined as either "eligible" or "ineligible."
KEPHILCO reserves the right to review its qualifications at any stage of the procurement process if it
has reasonable grounds to believe that a misrepresentation has been made by a prospective bidder,
or that there has been a change in its capability to undertake the Project from the time it submitted
its pre-qualification documents. Should such review find any misrepresentation made in the
documents, or any changes in the situation of the Prospective Bidder or Bidder which will affect its
capability to undertake the project so that it fails the pre-qualification criteria, KEPHILCO shall
consider the said Prospective Bidder or Bidder as ineligible and shall disqualify it from submitting a
Bid or from obtaining a contract award.
Interested parties can direct their inquiries to the BAC at the address mentioned above.
ANNEX "A" : GUIDELINES FOR PREPARATION OF PRE-QUALIFICATION DOCUMENTS

A. General Guidelines for Eligibility Check

1. The determination of eligibility of prospective bidders shall be based solely on the

submission to the Bids and Awards Committee ("BAC") of KEPHILCO of the documents
enumerated in Section E below, utilizing the prescribed forms.
2. All pre-qualification documents must be received by the BAC at the address and on or before
the date and time indicated in the call for pre-qualification documents.
3. The prospective bidder may modify its pre-qualification documents even after they have
been submitted, provided that the modification is received by the BAC prior to the deadline
prescribed for submission and receipt of the pre-qualification documents.
4. The BAC shall determine each prospective bidder's eligibility to participate in the bidding by
examining the pre-qualification documents against a checklist of requirements, and
prospective bidders shall be declared as either "eligible" or "ineligible".
5. The BAC shall inform each prospective bidder whether it has been declared "eligible" or
"ineligible".
6. Notwithstanding the eligibility of a prospective bidder, the BAC reserves the right to review
its qualification at any stage of the procurement process if it has reasonable ground to
believe that a misrepresentation has been made by the said prospective bidder, or that
there has been a change in the capability of the prospective bidder to undertake the Project
from the time it submitted its pre-qualification documents. Should such review find any
misrepresentation made in the pre-qualification documents, or any changes in the situation
of the prospective bidder or bidder which will affect its capability to undertake the Project
so that it fails the pre-qualification criteria, KEPHILCO shall consider the said prospective
bidder as ineligible and shall disqualify it from submitting a bid or from obtaining an award
of contract.
7. KEPHILCO reserves the right to waive minor deviations in the eligibility criteria if it will not
materially affect the capability of the prospective bidder to perform the contract.
8. KEPHILCO reserves the right to not accept any application.
9. The bidding for this Project is open to all eligible domestic entities.

B. Eligibility Criteria

The following information shall be provided and disclosed which shall be the criteria to be used
in determining the eligibility of a prospective bidder to participate in the bidding for the Project.
1. A prospective bidder must be a sole proprietorship, partnership, corporation, or a joint
venture, validly registered, incorporated, or existing in accordance with the laws of the
country of its registration, incorporation, or establishment. With respect to joint ventures,
juridical entities may form a joint venture to bid for and undertake the Project; provided,
however, that all parties to the joint venture are jointly and severally responsible and liable
for the Project, and that the principal member/partner that shall represent the joint venture
shall be identified as such; provided, further, that all members/partners of the joint venture
shall submit the Eligibility Documents listed in Section D below; provided further, that it is
understood that the data of all members of the joint venture whose documents have been
submitted will be considered together to meet the qualifying criteria for the Technical and
Financial requirements in Section E below.
 2. The prospective bidder shall provide information about any litigation, mediation,
arbitration, or out of court settlement resulting from contracts completed or ongoing under
its executing over the last five (5) years. A consistent history of decisions/awards against the
prospective bidder or any partner of a joint venture may result in a declaration of
ineligibility.
1. The prospective bidder must not be "blacklisted" or barred from bidding by the Philippine
Government or any of its agencies, offices, corporations, instrumentalities or Local
Government Units (LGUs), including non-inclusion in the Consolidated Blacklisting Report
issued by the Government of the Philippines.
2. The prospective bidder must provide a list of its major / largest contracts or Project
completed within the last three (3) years prior to the issuance of the request for pre-
qualification documents.
3. Prospective bidders shall disclose their subcontractors. KEPHILCO's prior written consent for
each subcontractor will be required for implementation.
4. The prospective bidder must demonstrate its capabilities by providing a list of its contracts
over the past three (3) years that involved services related to the Project. If the prospective
bidder does not have such contracts, it must provide documentation substantiating its
current relationship(s) with firms that have such experience and capabilities.
5. The prospective bidder must have a NET FINANCIAL CONTRACTING CAPACITY (NFCC) at least
equal to PHP 34,000,000.00. This requirement is based on the estimation of the financial
strength required of a company to implement this type of project; however, it is not based
on an approved project budget. The NFCC is calculated as follows:
NFCC = [(Current assets — current liabilities) (10)] — the value of all outstanding projects
under ongoing contracts, including awarded contracts yet to be started.
If a prospective bidder's NFCC is less than PHP 34,000,000.00, the prospective bidder must
present a written commitment from a licensed bank to extend to it a credit line specific to
the Project, if awarded the same, or a certificate of hold out on cash deposit, equal to cover
the shortfall of the NFCC.
NOTE: This PHP 34,000,000.00 requirement is for establishing eligibility to bid. A bidder's
NFCC at the time of submission of its bid will be controlling, and it may be more if
substantiated in the bidder's proposal.
8. The prospective bidder and joint venture partners must submit their audited financial
statements for the last three (3) years prior to the date of issuance of the call for pre-
qualification documents.
Prospective bidders, corporations, partnerships, and other entities, with less than one (1)
year existence, shall submit a written statement regarding their capability to undertake the
Project together with competent proof of their financial position, including but not limited
to trial balances, and related documents.
NOTE: The bidding for the Project will be by lot. Each lot corresponds to a package
comprising a number of sitios in a Project Area. A bidder will have the option of submitting a
bid on any or all lots.

C. Guidelines in the Preparation of the Pre-qualification Information

1. A prospective bidder shall fill up a form using the format in Annex "C" in TWO (2) copies, and
shall submit the same to the BAC on or before the date and time specified.
 2. No additional data, including brochures, photographs, etc., other than those required,
should accompany the pre-qualification information form unless specifically requested by
the BAC.

D. Pre-qualification Eligibility Requirements

An entity that wishes to participate in the bidding for the Project shall submit the pre-qualification
documents to the CHAIRMAN of the BAC, in a sealed Envelope duly marked as such, on or before the
deadline on September 25, 2009, at 5:00 p.m. at the following address:
Bids and Awards Committee
KEPCO Philippines Corporation
18th Floor Citibank Tower
8741 Paseo de Roxas, Makati City
Telephone No. (632) 848-0231~35, 37~39
Fax No. (632) 848-0013

E. Checklist
The pre-qualification Documents should meet the Requirements indicated in the checklist below:

ELIGIBILITY REQUIREMENTS/DOCUMENTS PRESENT/

ABSENT
Legal Documents
1. Valid and current mayor's permit/municipal license

2. DTI and SEC Registration Certificate including the Articles

of Incorporation and any amendments thereto, whichever is
applicable

3. Taxpayer's Identification Number

4. Valid and duly notarized Joint Venture Agreement, in

case of a joint venture.
5. Full information on the status or last disposition about
any litigation, mediation, or arbitration resulting from
contracts completed or ongoing under its execution over the
last FIVE (5) years.
Technical Documents
6. A statement of the prospective bidder's ongoing,
committed and completed government and private
contracts within THREE (3) years prior to the date of
issuance of the call for pre-qualification documents,
including contracts awarded but not yet started, if any.
The statement shall include the information for each
contract in the form provided in Annex C.
Financial Documents

7. The prospective bidder's audited financial statements

with “BIR Stamped RECEIVED”for the last THREE (3) years
prior to the date of call for pre-qualification documents; or
in the case of new entities who cannot produce audited
financial statements for the last three years, a statement as
to the capacity and plan of action to undertake the Project.

8. The prospective bidder's computation of its NFCC and,

if the NFCC is less than the minimum requirement of
P34,000,000.00, a commitment from a licensed bank to
extend to the prospective bidder a credit line specific to the
Project, or a certificate of hold out on cash deposit for the
balance.

Other
9. Letter of Intent
ANNEX "B" : FORM OF LETTER OF INTENT FOR PREQUALIFICATION

PROJECT NAME: Construction of 7.6/13.2 KV Lateral Distribution Lines

CONTRACT DURATION: For a period of Six (6) Months

DEADLINE OF SUBMISSION OF PRE-QUALIFICATION DOCUMENTS: September 25, 2009, 5pm

PROJECT DESCRIPTION: Supply of labor for construction of 7.6/13.2 KV Lateral Distribution Lines

Name of prospective bidder: _____________________________________________________

Head office address of prospective bidder: _______________________________________

_______________________________________________________________________________

Place and year of registration/Incorporation: _______________________________________

Telephone, fax and e-mail address of prospective bidder:

_______________________________________________________________________________

Authorized representative and designation/position: _________________________________

AFFIDAVIT/CERTIFICATION
I, (Name of the Affiant/Authorized Representative of Bidder), of legal age, (state Nationality), after
having been duly sworn in accordance with law, hereby depose, certify and say that:

1. I am the legal and authorized representative of (Name of Prospective Bidder) for purposes of the
bidding of the above-indicated Project;

2. For and in behalf of (Name of Prospective Bidder), I certify the intent of (Name of Prospective
Bidder) to participate in the bidding for the above-indicated Project;

3. These eligibility requirements/documents are complete;

4. All statements and information provided in these prequalification documents are true and
correct and I shall produce upon being required to do so additional supporting documentation as
may be required by KEPHILCO;

5. I authorize the BAC of KEPHILCO or its duly authorized representative(s) to verify any or all of the
documents submitted for the prequalification check;

1. The corporation/company/firm I represent and indicated above is not blacklisted or barred from
entering into contract by the government of the Philippines or any of its agencies, offices,
corporations/company/firm is not included in the consolidated Blacklisting Report issued by the
Government of the Philippines;

6. I further certify that all the information provided herein and in the above-cited attached
requirements/documents are true and correct and I hold myself liable for prosecution to the full
extent of the law for any misrepresentation or false statement made therein;

7. I hereby warrant that if the corporation/company/firm/ joint venture I represent wins, it will
comply with all applicable laws , issuances, rules and regulations including but not limited to
taxation, labor, social welfare legislation and commercial laws of the Philippines.

IN WITNESS WHEREOF, I hereby affix my signature this ___day of _________________ 2009 in

___________________________.

Affiant/Authorized Representative

Note: This document must be acknowledged by a notary public.

ANNEX "C" : PRE-QUALIFICATION INFORMATION FORMAT

DATE: ___________________________

Year Type of Organization

PROSPECTIVE BIDDER Estab.
Sole
Proprietorsip Partnership Corporation Joint Venture

1) NAME

2) AFFILIATED FIRMS/
ENTITIES
(IF ANY)
3) HOME OFFICE/BUSINESS ADDRESS/TEL. NOS./E-MAIL ADDRESS __________________________

4) NAME/S PREDECESSOR/S & YEAR/S ESTABLISHED ______________________________________

5) COMPANY PROFILE OF PROSPECTIVE BIDDER _________________________________________

6) NAME/S OF NOT MORE THAN TWO (2) PRINCIPALS TO CONTACT _______________________

TITLE AND TELEPHONE NUMBER _________________________________________________
OFFICE ADDRESS, E-MAIL ________________________________________________________

7) INFORMATION ON CONTRACTS WITHIN LAST THREE YEARS PRIOR THAT INVOLVED SERVICES
RELATED TO THE CONSTRUCTION OF DISTRIBUTION LINE
- NAME OF CONTRACT/PROJECT _________________________________________________
- LOCATION OF CONTRACT/PROJECT __________________________________________
- AMOUNT OF THE CONTRACT/PROJECT __________________________________________

- % OF PROSPECTIVE BIDDER'S PARTICIPATION ____________________________________

- CONTRACTING ENTITY'S NAME, ADDRESS, E-MAIL _____________________________

- CONTRACT PERIOD ________________________________________________________

- ASSOCIATED FIRMS/ENTITIES (IF ANY) __________________________________________

- DESCRIPTION OF PROJECT (maximum one half page per contract) ______________________________

____________________________________________________________________________
- DESCRIPTION OF PRODUCTS, SERVICES PROVIDED (maximum one half page that demonstrates capabilities
related to the Project) _____________________________________________________________________________
____________________________________________________________________________

8) (IF NECESSARY) DOCUMENTATION SUBSTANTIATING CURRENT RELATIONSHIPS WITH FIRMS

THAT HAVE EXPERIENCE AND CAPABILITIES IN THE SERVICES RELATED TO THE PROJECT
9) AUDITED FINANCIAL STATEMENTS FOR PAST THREE YEARS

10) CALCULATION OF NFCC

11) (IF NECESSARY) COMMITMENT FROM A LICENSED BANK TO EXTEND CREDITLINE SPECIFIC TO
THE PROJECT OR A CERTIFICATE OF HOLD OUT ON CASH DEPOSIT