MONTHLY CASH FLOW FORECAST

(Based on actual balances as of May 16, 2011)

BANK ACCOUNT

BPI

CTB PHP

CTB USD

RCBC

RCBC USD

HSBC

DB PHP

DB USD

RB

TOTAL

PHP - Cash in bank USD - Cash in bank

PREVIOUS ADJUSTMENTS: OUTSTANDING CHECKS PHP USD AVAILABLE BALANCES

62,401,359.72

72,838,354.09 507,932.42

7,649,277.05 1,181.73 7,796.50

509,390.09 11,049.38

10,000.00

143,408,380.95 527,960.03

(362,000.00)

(7,363,622.37) (36,636.66)

(894,521.01) -

(8,620,143.38) (36,636.66)

PHP USD
CURRENT ADJUSTMENTS TAX MANUAL CHECKS RTGS DEPOSIT / (WITHDRAWAL) - PHP DEPOSIT / (WITHDRAWAL) - USD ENDING BALANCES (CURRENT)

62,039,359.72

65,474,731.72 471,295.76

6,754,756.04 1,181.73 7,796.50

509,390.09 11,049.38

10,000.00

134,788,237.57 491,323.37

(1,400,000.00) (10,030,000.00) (11,430,000.00) -

PHP USD

60,639,359.72

55,444,731.72 471,295.76

6,754,756.04 1,181.73 7,796.50

509,390.09 11,049.38

10,000.00

123,358,237.57 491,323.37

ACCOUNT MAINTENANCE (as of Jan. 2011) AVAILABLE BALANCES (CURRENT)

4,000,000.00

8,000,000.00

10,000.00

10,000.00

1,000.00

5,000.00

500,000.00

10,000.00

10,000.00

PHP USD
PROJECTED ADJUSTMENT (AS OF MAY 20) COLLECTIONS PHP: RTGS USD PAYMENTS PHP :

56,639,359.72

47,444,731.72 461,295.76

6,744,756.04 181.73 2,796.50

9,390.09 1,049.38

110,838,237.57 465,323.37

49,722,769.22

TAX PAYROLL ER PAYLINK MANUAL CHECKS USD: PROJECTED BALANCES (AVAILABLE AS OF MAY 20) (1,500.00) (25,000,000.00) (1,500,000.00) (20,000,000.00) (300,000.00) (3,500,000.00)

PHP USD

83,862,128.94

27,444,731.72 459,795.76

2,944,756.04 181.73 2,796.50

9,390.09 1,049.38

114,261,006.79 463,823.37

PROJECTED BALANCES (AVAILABLE AS OF MAY 31) COLLECTIONS PHP USD PAYMENTS PHP USD PROJECTED BALANCES (AVAILABLE AS OF MAY 31) (79,575,005.11) (79,575,005.11) 180,473,498.72 180,473,498.72

PHP USD

184,760,622.55

27,444,731.72 459,795.76

2,944,756.04 181.73 2,796.50

9,390.09 1,049.38

215,159,500.40 463,823.37

FOREIGN CASH ON HAND (in USD)

(as of May 12,2011)

Denomination 100 50 10 5 1 100 TOTAL

Items 5 1 1 1 3 40

TOTAL 500 50 10 5 3 4000

4568
2500

CA request

On hand

2068

closing date April 2011

New Line Code escription D CF02_ Cash flow from operating activities: ok ok ok ok Sector Corp diff in AH CF

Total PH

CH

INB

GX

AH

Corporate

010 015 020 025 030 035 040 045 050 055 060 065 070 075 080 085 090 095 100

Net income TT Reversal of non-cash items and non-operating cash flows: Minority interests T Current income tax T Deferred tax T Depreciation on tangible fixed assets TT Impairment on tangible fixed assets TT Pension Cost TT Impairment on intangible assets TT Impairment of financial assets TT Income/loss from financial assets valued at equity T Loss (gain) on divestment of subsidiaries to third parties I I Loss (gain) on sale of tangible fixed assets I I Loss (gain) on sale of intangible assets I I Loss (gain) on sale of financial assets I I Exchange rate differences T Exchange rate differences allocated T Monetary corrections (HIC) T Third party financial income T Third party financial expenses T

85,650

24,870

0 0

25,704

-23,962

15,144 6207

215 200

941 589

24,779 1,243 -498

(1,637)

141

2,729 -203 -298 175

105

Total group internal dividends received and other intercpy gains/losses

110 115 120 125 130 135

Interest receipts Dividends from marketable securities Other financial receipts Interest payments Other financial payments Income taxes paid

I, V I, V I, V I, V I, V T 25,285 22 0 0 27,375 73 -304 0 9,258 (3,250) (976) (140) 6,409 (391) 559 15 36791 0 0 (16,957) 17,921 71 (12,971) 2,246 (4,802) (5,656) 169 7165

298

-171

200 Cash flow before working capital changes SS 105,364 Restructuring payments: 210 Reclass interco rec pay TT -74 215 Cash movements in restructuring provision TT 0 220 Reclass 3rd pty I, V V I, -3 225 Cash movements in environmental and other provisions - short-term -791 I, V V I, Changes in operating assets and liabilities: 230 Inventories (increase = -) TT (95,665) 235 Trade accounts receivable 3rd parties (increase = -) T T (42,076) 240 Receivables subsidiaries (increase = -) TT (27,123) 245 Payables subsidiaries (increase = +) TT 25,498 250 Trade accounts payable 3rd parties (increase = +) TT (26,870) Other current assets 3rd parties, AC, JV 258 I I (25,870) Other current liabilities 3rd parties, AC, JV 255 8,425 Other long-term liabilities AC, Jv 256 Prepaid and accrued share based payments (amort) 259 921 285 Exchange rate allocated I I 19 290 Exchange rate differences (incl. premium receipt/paid for currency options) I I 300 Net cash from operating activities SS -78245 Cash flows from investing activities: Investments in capitalized tangible fixed assets TT Transfers to /from other subsidiaries - tangible fixed assets TT Proceeds from disposal of tangible fixed assets (incl. profit) I I Investments in intangible assets I I Transfers to /from other subsidiaries - intangible assets T T Proceeds from disposal of intangible assets (incl. profit) I I Investments in financial assets - non-subsidiaries I I Transf. to /from o. subsidiaries - fin. assets- non-subsidiaries TT

4,092 -4,390

249 -85,000 -669 (32,289) (5,880) -207 -1,933 -126,027

5/4/2012/ST

310 315 320 325 330 335 340 345

-9,140 2,743 0

104

-3,219 -

78128992.xls.ms_office

GROUP FRA

closing date April 2011

New Line Code escription D CF02_ Cash flow from operating activities: ok ok ok ok Sector Corp diff in AH CF

Total PH
350 352 355 360 365 370 375 380 385 Proceeds from disposal of financial assets (incl. profit) I I Reversal of effects due to group internal transfers Acquisition of a consolidated business from 3rd parties I I Deferred portion purchase price I I Proceeds from disposal of a consolidated business to 3rd parties (incl. profit) I I Deferred portion sale price I I Acquisition of minorities I I Purchase of marketable securities I Proceeds from disposal of marketable securities (incl. profit) I

CH

INB
-

GX
0 -

AH
0

Corporate

400 Net cash used in investing activities 450 Free cash flow Transfer of free cash flow 499 Company free cash flow

SS SS

-6397 -84,642

0 36,791 -

0 -

104 7,269

-3,219 -129,246 -40,582 -169,828

510 515 520 525 530 535 540 545 550 555 560

Cash flows from financing activities: Dividends paid to 3rd parties T Dividends paid to 3rd parties by Novartis AG Switzerland T Reversal of non-cash items in dividends paid to 3rd p. by Nov AG I Proceeds from issuance of share capital to 3rd parties, AC, JV I Group internal dividends T Change in financial debts - subsidiaries T Reversal of change in financial debts - subsidiaries I Investments in subsidiaries T Transf. to /from o. subsidiaries - fin. assets- subsidiaries T Income/loss due to transfers of long-term assets between subsidiaries T Equity infusions from subsidiaries T

565 Investments in treasury shares I 570 Proceeds from disposal of treasury shares (incl. profit) I 575 Proceeds from long-term financial debts 3rd parties I 580 Repayment of long-term financial debts 3rd parties I 585 Change in short-term financial debts 3rd parties I 590 Other financing activities I 600 Net cash used in financing activities S 605 Net effect of currency translation on cash and cash equivalents - reported I Net effect of currency translation on cash and cash equivalents (Group FRA only) 610 S 620 Net change in cash and cash equivalents S, V 630 Cash and cash equivalents at the beginning of the year T 640 Cash and cash equivalents at the end of the period T checksum

-169,828 209,406 39,578 -

5/4/2012/ST

78128992.xls.ms_office

GROUP FRA