Quezon Power Inks US$100 Million Loan Agreement with Local Banks

November 12, 2007 – Quezon Power (Philippines), Limited Company announced today the signing of a US$100 million seven-year Fixed-Rate Note Facility Agreement with a consortium of local banks led by Banco de Oro-EPCI, Inc. and participated in by the Bank of the Philippine Islands, China Banking Corporation and Rizal Commercial Banking Corporation as noteholders.

The Notes issuance was led, arranged and underwritten by BDO Capital & Investment Corporation. BPI Capital Corporation, China Banking Corporation and RCBC Capital Corporation co-underwrote the issue. Banco de Oro-EPCI-Trust Banking Group acted as Facility Agent, Registrar and Paying Agent.

Proceeds from the Notes will be used by Quezon Power to finance its various operational, business, financing and recapitalization requirements. The Notes will carry a tenor of seven years but Quezon Power has a one-time option to redeem the Notes at par at the end of the fifth year. The Notes will be an unsecured and subordinated obligation of Quezon Power.

The loan signing was attended by Banco de Oro-EPCI Senior EVP Walter Wassmer, BPI EVP Gil Buenaventura, China Banking Corp. EVP and Chief Operating Officer Ricardo Chua, Rizal Commercial Banking Corp. EVP Uy Chun Bing and BDO Capital & Investment Corp. President Ed Francisco together with the signatories. Representatives from the issuer and the noteholders were also on hand to witness the event.

Quezon Power owns and operates a 460-MW power generating facility in Mauban, Quezon and manages and maintains a 31-kilometer transmission line from Mauban to the Tayabas substation. The Quezon Power plant started commercial operations in May 2000 pursuant to a 25-year power purchase and transmission line agreement with Meralco.

For More Information:

Corbie Kiernan
(781) 993-3172

Litz Manuel-Santana
Quezon Power (Philippines) 687-2180 to 84