Document Prepared by Client

Atty. Leopoldo Soria

3rd Floor, City Plaza
145 Herrera St., Makati City

March 24, 2005

Banog Auditing Firm

Burukutum Bldg., Rizal Avenue,
Tacloban City 6500

Greetings!
As requested by our mutual client, the AB Merchandising Corporation, in regard to your
preparation of its audited financial statements as at December 31, 2004 and for the year then
ended, please be informed that there has been no occasion in 2003 where I presented the said
company as counsel in any litigation in which it may be involved as a party defendant, or
plaintiff or both; nor am I presently representing the same in any suit or litigation initiated after
December 31, 2004.
I would like to inform you also that I am aware of any matter for which said company has
sought my counsel involving any impending litigation, or claims by or against, or a contingent
liability of said company at the date indicated above or arising thereafter.

Very truly yours,

ATTY. LEOPOLDO SORIA

Legal Counsel