Department Of Environment and Natural Resources

Provincial Environment and Natural Resources Office

February 21, 2017

BERNARD M. LLAMSON
Executive Vice President for Consumer Sale
Global Towers
32nd Street Corner
7th Avenue, Bonifacio
Global City, Taguig

Dear Sir/Madam:

Greetings

This pertains to the Lease Agreement entered into by your affiliate and subsidiary company, Bayan
Telecommunications, Inc. represented by the VP for network Division Humbert B. Ruales and VP for
Controllership Alfredo N. Prepuse, Jr., before our office as represented by then Regional Executive Director
of DENR Region 5. The purpose of which is to occupy portion of the lot located within the premises of our
office for the construction and installation of Outside Plant Access Cabinet (OPAC) described as LGP 005.
Attached is the photocopy of the Lease Contract for your ready reference.

Relative thereto, the Regional Head Office had advised us to notify your office of our intention for the
rescission of the contract of lease and demand to the removal and transfer of OPAC outside our premises
on the ground of breach of contract, specifically for failure of lessee to perform the obligation and comply
with the cause/consideration material to the agreement of parties as provided for in Section 2 of the Lease
Contract, as underscored hereunder:

2. CONSIDERATION-The LESSEE shall continue to provide the LESSOR the

two (2) telephone lines and shall install a third line at the option of the LESSOR. One (1)
telephone line for PENRO Albay which shall be free from local monthly charges; one line for
CENTRO Legazpi City, the local charges shall be paid by the LESSOR and the third line shall
be free of monthly local charges. Long distance charges are not included in this agreement and
shall be paid by the LESSOR.

It is imperative for both Parties to respect and observe the reciprocal obligation but what is glaring is
for the LESSOR to disconnect all telephone lines and demand for the payment of charges which is not in
conformity with the agreement. The following telephone lines affected are the following, to wit:

Telephone No. Account No. Place Installed

a. (052) 480 7295 702740150 PENRO Albay

b. (052) 482 0687 Legal Division DENR Region 5

In view hereof, may we respectfully seek your comment and valid response thereto.

Sincerely,

BENJAMIN J. MEDEL
PENR Officer

Lapu-Lapu Street, Legazpi City, Albay, Philippines

VIOP No: 6475; Telephone Numbers. (052)480-7295, 742 0388
Email: penro_albay@yahoo.com