Conformed Copy - L4227 - Water Districts Development Project - Supplemental Letter 3

Page 1 May 15, 1999 International Bank for Reconstruction and Development 1818 H Street, N.W. Washington, D.C. 20433 United States of America Re: Loan No. 4228-PH (Water Districts Development Project) Implementation Schedule and Performance Indicators Dear Sir or Madame: We refer to Paragraph 4 (a) of Schedule 5 to the Loan Agreement (Water Districts Development Project) between the Land Bank of the Philippines (the Borrower) and the International Bank for Reconstruction and Development (the Bank). We hereby confirm that the performance indicators to monitor and evaluate the carrying out of the Project and the achievement of the objectives thereof are those attached to this letter. In order to achieve the objectives of the Project, the Project Implementation Plan and performance indicators may be revised from time to time upon agreement between the Borrower and the Association. Please confirm your agreement with the foregoing by signing the form of confirmation below. Very truly yours, By /s/ Jesus F. Diaz Authorized Representative CONFIRMED: INTERNATIONAL BANK FOR RECONSTRUCTION AND DEVELOPMENT By /s/ Aloysius Ordu Authorized Representative