Olongapo Telecom & Information Technology

Friday, November 19, 2004

Joint Pole MOA GLOBE

MEMORANDUM OF AGREEMENT


KNOW ALL MEN BY THIS PRESENTS:

This Agreement made and entered into by and between:

GLOBE TELECOM INC., a domestic corporation organized and existing under the laws of the Republic of the Philippines with principal office at 4th Floor Globe Telecom Plaza. Pioneer St. Corner Madison St. Mandaluyong City, Philippines, herein represented by Mr. GIL B. GENIO. Senior Vice President and COCO Wireline Business, herein after referred to as “GLOBE”.

And

THE CITY OF OLONGAPO, a local government unit created under the laws of the Philippines, with principal office at 2nd floor Olongapo City hall, West Bajac-Bajac,Olongapo City, Philippines., duly represented herein by its City Mayor, KATHERINE H. GORDON, hereinafter referred to as OLONGAPO CITY”.

WITNESSETH

WHEREAS, GLOBE, is a duly enfranchised telecommunication company providing telecommunication service nationwide;

WHEREAS, in the course of providing the telecommunication services the is a need on the part of Globe to put up cable facilities in the City of Olongapo;

WHEREAS, the Olongapo City being an electric service provided has existing utility poles installed within the territorial boundaries of the City;

WHEREAS, the Olongapo City is willing to accommodate the request of Globe for a Joint Pole Co-Location Agreement in consideration of the donation of Globe of two hundred (200) pieces of concrete, round, class 7 and 45’ footer utility poles.

NOW, THERFORE, for and in consideration of the mutual covenants contained herein, it is agreed by and between the parties hereto, as follows:

ARTICLE 1

GENERAL CONDITIONS:

Section 1 OLONGAPO CITY agrees to waive the pole rental charges in consideration of the two hundred (200) places of utility poles to be donated by Globe to Olongapo City, on a two-timer delivery after the signing of this MOA.

Section 2 OLONGAPO CITY will charge GLOBE on pole rental after the fifteen year lease period which shall be negotiated between GLOBE and OLONGAPO CITY prior to the expiration of the fifteen year term.

Section 3 OLONGAPO CITY will allow GLOBE to attach , install string, operate and maintain its cables along the main thoroughfares within Olongapo City.

Section 4 OLONGAPO CITY grants GLOBE the right of way and the authority to install, operate and maintain a fully digital telecommunication system at the City of Olongapo;

Section 5 OLONGAPO CITY shall install at its expense the GLOBE donated poles in accordance with the cable installation requirements of GLOBE. All charges for the installation (excavation, erection, fees and other labor charges) and maintenance of GLOBE donated poles will be for the account of OLONGAPO CITY;

Section 6. OLONGAPO CITY will be responsible for the warehousing and storage of the uninstalled GLOBE donated poles.

Section 7. GLOBE shall furnish the OLONGAPO CITY Public Utilities Department the list of poles or locations of poles where it intends to attach prior to the attachment implementation.

Section 8. GLOBE shall be responsible for the delivery of the concrete poles to a location\ area In Olongapo City.

Section 9. GLOBE shall not be charged by OLONGAPO CITY for the revenue loss due to the transfer of electrical lines from old poles donated by GLOBE.

Section 10. GLOBE shall be assured of and will be given the first priority in terms of pole attachments in all GLOBE donated poles;

Section 11. GLOBE shall be charge with a pole rental of PHP. 1,500.00 for every pole they will attach to beyond the 200 poles they have donated.


ARTICLE II

SPECIFICATIONS:

Section 1. GLOBE shall attach, install and string its lines on existing OLONGAPO CITY poles with a vertical clearance of at least three ( 3) feet from the existing lines as illustrated in the attached Annex A.

Section 2. Each party on all angle runs and dead ends to support their own cable and to prevent the owner’s pole from leaning shall install sufficient guying. Each party shall not attach its guys to the existing guys of the other party and shall provide independent anchor ties to support its attachment.

Section 3. No riser conduit shall be attached to the existing Pole by OLONGAPO CITY. Riser poles used to terminate overhead and underground installations shall be installed independently by each party for its own lines.

ARTICLE III

MAINTENANCE

Section 1. GLOBE shall not bore any holes through the Poles subject of this Agreement and shall be used for all attachments.

Section 2. Each party shall maintain, at its own expense, its own facilities.

Section 3. Whenever it is necessary to replace any Pole, OLONGAPO CITY shall before making such replacements, give at least five (5) days notice thereof in writing except in cases of emergency when a verbal notice will be given , which notice shall be subsequently confirmed in writing by OLONGAPO CITY , GLOBE shall transfer its attachment to the new pole at its own expense.

Section 4. Whenever there is a change in road elevation due to a government infrastructure project, which affects the specified vertical clearance between two lines, both parties shall elevate their own facilities at their own expense.

Section 5. Except as otherwise provided in this Article, each party shall at all times, place, maintain, re- arrange, transfer and remove its own attachments at its own expense and shall keep the said attachments in safe and serviceable conditions.

ARTICLE IV

TERMS AND OBLIGATIONS

Section 1. The right obligation of the parties shall be those specifically contained in the joint Pole Agreement (JPA) to be executed by the parties immediately upon signing of this agreement. It is the intention of the parties that the provisions of the said JPA will the exception of the pole rentals shall be application and to govern the conduct of the relations of both parties.

ARTICLE V

EFFECTIVITY

Section 1. This Memorandum of Agreement shall be binding and effective upon signing by the Parties for a period of 15 year. No amendments or modification hereof shall be made binding and effective unless the same shall be in writing duly signed by the authorized signatories of both parties.

IN WITNESS WHREOF, the parties have caused the foregoing instruments to be executed by their respective officers, therein to fully authorized , at the place and on the date first above written.




OLONGAPO CITY GLOBE TELECOM INC.

By: By:

_____________________ ______________________

KATHERINE H. GORDON GIL B. GRENIO
City Mayor Sr. VICE President & COO
Wireline Business Group

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