PROMISSORY NOTE

Promise to Pay. For value received, I, MR. JUAN DE LA CRUZ, promises to pay MARIA CLARA (Lender), the sum of PESOS: ONE HUNDRED TWENTY SEVEN THOUSAND FIVE HUNDRED (P127,500.00). Installments. Borrower will pay aforesaid amount by instalment as follows: Dec. 20 P 8,500.00 Jan. 20 P29,750.00 Feb. 10 P29,750.00 Feb. 28 P29,750.00 Mar. 15 P29,750.00 Application of Payments. Payments will be applied first to interest and then to principal. Prepayment. Borrower may prepay all or any part of the principal without penalty. Loan Acceleration. If borrower is more than 5 days late in making any payment, Lender may declare that the entire balance of unpaid principal is due immediately. Security. Borrower agrees that until the principal owed under this promissory note is paid in full, this note will be secured by security interest in the equipment, fixtures, inventory and accounts receivable of the Borrower and/or his business. Borrower: JUAN DE LA CRUZ Witnessed: ___________________ Witnessed: ____________________ Date: _____________________ Date: _____________________ Date: _____________________

PROMISSORY NOTE Face Value : Date Issued : Place Issued : Php___________ December __, 2010 Cebu City

For value received, I (the Maker) hereby unconditionally promise to pay to the order of ______________________ (the Creditor) the principal amount of Philippine Pesos: ________________________________ (Php__________), representing the amount advanced by the Creditor for the hospitalization expenses incurred by the Maker (the Loan), without in any way establishing any company policy, practice or precedent. The loan was granted after due consideration of the nature and gravity of the illness of the Maker, resulting as it does in the partial paralysis of his body. The Loan shall be paid within a period of twenty (24) calendar months from the signing hereof (Payment Period), without need of demand, in the following manner until the same and all amounts due hereunder are paid in full: a. To be deducted in equal monthly installments from his salary if and when the Maker is able to return to work after his recuperation during the one-year period allowed in section __, Article __ of the subsisting Collective Bargaining Agreement (CBA); To be deducted from the separation pay due him if and when he is separated from the Creditor due to his illness in accordance with law; or To be deducted from his retirement benefits under the CBA if he avails himself of the same next year.

b. c.

Provided that whatever balance is left shall be paid by the Maker on or before the expiration of the Payment Period. After the Payment Period shall have expired, the Maker shall pay interest on any unpaid amount due hereunder at the rate of twelve percent [12%] per annum until the same shall have been paid in full. Any payment then shall first be applied on the interest, if any, before crediting the balance thereof to the principal amount due. Any and all amounts due hereunder are payable, without need of demand. As such, presentment, notice of dishonor, protest or further notice of any kind is hereby expressly waived by the Maker. By signing this Note, the Maker has given his express authority to the Creditor to make the appropriate deductions from his payroll or salary or from his separation pay or retirement benefit (whichever is applicable) to pay off the Loan within the Payment Period as stated above. If any one or more of the provisions contained in this Note shall be invalid, illegal or unenforceable in any respect, the validity, legality and enforceability of the remaining provisions contained herein shall not in any way be affected or impaired.

This Note shall be binding upon and shall be enforceable against the Creditor or holder/s and the Makers respective successors and assigns, except that the Maker shall not have the right to transfer his rights or obligations hereunder without the prior written consent of the Creditor or the holder. This Note constitutes the entire agreement of the parties with respect to the subject matter hereof and shall supersede any prior expressions of intent or understanding with respect to this transaction.
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_________________ Maker With my marital consent: _____________________ [Name] Signed in the Presence of: _____________________ _________________________
[Signature over printed name]