Common use of TOURISM AND TRAVEL RELATED SERVICES Clause in Contracts

TOURISM AND TRAVEL RELATED SERVICES. Hotel Lodging Services (64110) 1) None 2) None 3) None, except as indicated in the horizontal commitments 4) None, except as indicated in the horizontal commitments 1) None 2) None 3) None, except as indicated in the horizontal commitments 4) None Restaurants (CPC 6421-64310) 1) Unbound* 1) Unbound* Sector/subsector Limitations on Market Access Limitations on National Treatment Additional Commitments 2) None 3) Foreign nationals may wholly operate a restaurant provided that the minimum paid in capital of US$2.5 million is complied; provided further that pre- qualification requirements are complied in accordance with appropriate government agencies. Foreign nationals may also establish branches provided that the minimum paid in capital of US$ 830,000.00 per restaurant are complied. Limitations listed in the horizontal section also apply. 2) None 3) Foreign nationals may wholly operate a restaurant provided that the minimum paid in capital of US$2.5 million are maintained. Prior notification for cessation of operation Foreign nationals may also establish additional branches provided that the minimum paid in capital of US$ 830,000 per restaurant are maintained. Prior notification for opening and closing of branches/stores. Provided further that 30% local inventory requirement, public offering requirement under certain conditions and prohibitions to engage in certain restaurant activities are complied. Every registered foreign restaurant are to submit to the Department of Trade and Industry the following reports: a. A general information sheet in the prescribed form showing, among others, the accredited stores of the enterprise and the status of operations of the entity; Sector/subsector Limitations on Market Access Limitations on National Treatment Additional Commitments 4) None, except as provided in the horizontal commitment b. An audited financial statement and income tax return; c. Certification by responsible officer of the company showing the maintenance of the required minimum capital unless the foreign investor has notified the SEC and the DTI of its intention to repatriate its capital and cease operation s in the Philippines Qualified foreign restaurant are not allowed to engage in certain retailing activities outside their accredited branches through the use of mobile or rolling stores or carts, the use of sales representatives, door-to-door selling, and sari-sari stores and such other similar retailing activities. Limitations listed in the horizontal section shall apply. 4) None Travel Agencies (74710) 1) None 2) None 3) None, except as indicated in the horizontal commitments for Professional Services 4) None, except as indicated in the 1) None 2) None 3) None, except as indicated in the horizontal commitments 4) None Sector/subsector Limitations on Market Access Limitations on National Treatment Additional Commitments horizontal commitments Professional Congress Organizers 1) None 2) None 3) 60% foreign equity is allowed 4) Subject to horizontal commitment 1) None 2) None 3) None 4) None

TOURISM AND TRAVEL RELATED SERVICES. Hotel Lodging Services (64110) 1) None 2) None 3) None, except as indicated in the horizontal commitments 4) None, except as indicated in the horizontal commitments 1) None 2) None 3) None, except as indicated in the horizontal commitments 4) None Restaurants (CPC 6421-64310) 1) Unbound* 1) Unbound* Sector/subsector Limitations on Market Access Limitations on National Treatment Additional Commitments 2) None 3) Foreign nationals may wholly operate a restaurant provided that the minimum paid in capital of US$2.5 million is complied; provided further that pre- pre-qualification requirements are complied in accordance with appropriate government agencies. Foreign nationals may also establish branches provided that the minimum paid in capital of US$ 830,000.00 per restaurant are complied. Limitations listed in the horizontal section also apply. 2) None, except as provided in the horizontal commitment Unbound* None 3) Foreign nationals may wholly operate a restaurant provided that the minimum paid in capital of US$2.5 million are maintained. Prior notification for cessation of operation Foreign nationals may also establish additional branches provided that the minimum paid in capital of US$ 830,000 per restaurant are maintained. Prior notification for opening and closing of branches/stores. Provided further that 30% local inventory requirement, public offering requirement under certain conditions and prohibitions to engage in certain restaurant activities are complied. Every registered foreign restaurant are to submit to the Department of Trade and Industry the following reports: a. A general information sheet in the prescribed form showing, among others, the accredited stores of the enterprise and the status of operations of the entity; Sector/subsector Limitations on Market Access Limitations on National Treatment Additional Commitments 4) None, except as provided in the horizontal commitment b. An audited financial statement and income tax return; c. Certification by responsible officer of the company showing the maintenance of the required minimum capital unless the foreign investor has notified the SEC and the DTI of its intention to repatriate its capital and cease operation s in the Philippines Qualified foreign restaurant are not allowed to engage in certain retailing activities outside their accredited branches through the use of mobile or rolling stores or carts, the use of sales representatives, door-to-door selling, and sari-sari stores and such other similar retailing activities. Limitations listed in the horizontal section shall apply. 4) None Travel Agencies (74710) 1) None 2) None 3) None, except as indicated in the horizontal commitments for Professional Services 4) None, except as indicated in the 1) None 2) None 3) None, except as indicated in the horizontal commitments 4) None Sector/subsector Limitations on Market Access Limitations on National Treatment Additional Commitments None None, except as indicated in the horizontal commitments None Professional Congress Organizers 1) None 2) None 3) 60% foreign equity is allowed 4) Subject to horizontal commitment None None None None 12. OTHERS ENERGY SERVICES Services Related to Power Generation Construction and operation of power plants (as provided under the BOT scheme Construction of Power Plants Unbound* None Up to 100 percent foreign equity is allowed under the BOT scheme. However, a Special Contractor's License is required to undertake construction activities. 4) Unbound Unbound* None A Contractor’s License (Regular or Special) issued by the PCAB is required to undertake construction activities. The Regular Contractor’s License is reserved for, and issued only to, Filipino sole proprietorships or partnerships/corporations with at least 60 Filipino equity and duly organized and existing under and by virtue of Philippine laws. A Special Contractor's License may be given to foreign companies on a project-to-project basis such as BOT. Unbound Operation of Power Plants Unbound* None None, except electric cooperative operation, is limited to Filipinos. 4) Unbound Unbound None None Unbound Services Related to the Supply of Energy Oil Refinery Unbound* None Initial Public Offering (IPO) for 10 percent of common stock on commencement of refinery operation. Unbound 1) None Unbound* 2) None 3) None 4) NoneUnbound Oil Terminals/Depots 1) Unbound* 2) None 3) None 4) Unbound 1) Unbound* 2) None 3) None 4) Unbound MOST-FAVOURED-NATION TREATMENT EXEMPTION LIST Sector or subsector Description of measure indicating its inconsistency with MFN Provisions Intended Duration Conditions creating the need for the exemption9 ALL SECTORS Entry and temporary stay of natural persons supplying services A special visa category is provided for traders and investors of countries with which the Philippines has concluded treaties on entry rights for traders and investors. Under this special category, the labor market test is waived and simplified entry procedures are provided. Expiry date or termination of bilateral treaties on entry rights for traders and investors To facilitate entry into the Philippines, on the basis of reciprocity, of foreign nationals for purposes of trade, investment and related activities. Financial Services Commercial banking Authorization for foreign financial service suppliers to establish commercial presence or expand existing Operations in commercial banking in the Philippines shall be subject to a reciprocity test. Indefinite To ensure Philippine financial service suppliers are accorded full market access and national treatment in the foreign financial service market. Financing Companies Authorization for foreign financial service suppliers to establish commercial presence in commercial banking shall be subject to a reciprocity test. Indefinite To ensure Philippine financial service suppliers are accorded full market access and national treatment in the foreign financial service market. Investment Houses In approving foreign equity applications in Investment Houses, the appropriate regulatory authority shall approve such applications only if the same or similar rights are enjoyed by Philippine nationals in the applicant’s country. Indefinite To ensure Philippine financial service suppliers are accorded full market access and national treatment in the foreign financial service market. Maritime Transport Services Liner cargo trade Executive Order 769 provides for a preferential cargo sharing arrangement with countries which are parties to the UNCTAD Liner Code Under the above-mentioned arrangement, a Party to the UNCTAD Liner Code effectively implementing the Code is assured of at least 40 percent share of its bilateral export and import Liner cargo trade with the Philippines. Indefinite Ensure effective participation of Philippine ocean-going fleet in Philippine liner cargo trade.