of the Philippine Long Distance Telephone Company (PLDT) owned by PTIC to First

Pacific. Thus, First Pacific’s common shareholdings in PLDT increased from 30.7
percent to 37 percent, thereby increasing the total common shareholdings of foreigners
in PLDT to
2011 Decision, to construe broadly the term "capital" as the total outstanding capital
stock, treated as a single class regardless of the actual classification of shares, grossly
unfettered by the 40% cap laid down in the first sentence of Sec. 11, Art. XII. This will
spawn an even greater anomaly because it would give the foreigners the opportunity to
acquire ownership of the net assets of the corporation upon its dissolution to include
what the Constitution enjoins––land ownership possibly through dummy corporations.
certificates."
The term "capital" includes all the outstanding shares of a company that
represent "the proprietary claim in a business." It does not distinguish based on the
voting feature of the stocks but refers to all shares, be they voting or non-voting. Neither
is the term limited to the management aspect of the corporation but clearly refers to the
separate aspect of ownership of the corporate shares thereby encompassing all shares
representing the equity of the corporation.