Be it enacted by the Senate and House of Representatives of the Philippines in Congress assembled:

SECTION 1. Section One of Republic Act Numbered Five thousand three hundred twenty-one is hereby amended to read as follows:

"SECTION 1. Nature and Scope of Franchise. - Subject to the provisions of the Constitution and applicable laws, rules and regulations on public telecommunications, there is hereby granted to Worldwide Communications, Inc., its successors or assigns a franchise to install, operate, maintain, lease and manage wire and/or wireless public telecommunications systems throughout the Philippines and between the Philippines and other countries and for the purpose of providing said telecommunications services, to construct, own, operate and maintain telecommunications systems in and between provinces, cities and municipalities of the Philippines, in, on, over or under lands and waters, as may be necessary and best adapted to the provision of telecommunications services, to contract for telecommunication lines in and between the Philippines and other countries and territories, to use any technology whether digital or analog, via cable, satellite, microwave, optical fiber, or any transmission, medium, and with such telecommunication apparatus as may be necessary for the provision of such telecommunication services, and to connect and keep connected its telecommunications systems to other telecommunication system."

SEC. 2. Term of Franchise. - The term of the franchise of Worldwide Communications, Inc., granted under Republic Act Numbered Five thousand three hundred twenty-one, is extended for another twenty-five (25) years from the date of effectivity of this Act.

SEC. 3. Tax Provision. - Section Fourteen of Republic Act Numbered Five thousand three hundred twenty-one is hereby amended to read as follows:

"SEC. 14. The grantee shall be liable to pay the same taxes on their real estate, buildings and personal property exclusive of this franchise, as other persons or telecommunication entities are now or hereafter may be required by law to pay. In addition thereto, the grantee shall pay the Bureau of Internal Revenue each year, three per centum (3%) of the gross receipts of its regulated telecommunication services transacted under this franchise, and said percentage shall be in lieu of all taxes on this franchise or earnings thereof: Provided, That the grantee shall continue to be liable for income taxes payable under Title II of the National Internal Revenue Code pursuant to Section 2 of Executive Order No. 72 unless the latter enactment is amended or repealed, in which case the amendment or repeal shall be applicable thereto."

SEC. 4. Effectivity. Clause. - This Act shall take effect fifteen (15) days after its publication in at least two (2) newspapers of general circulation.

Approved,

(Sgd.) EDGARDO J. ANGARA	(Sgd.) JOSE DE VENECIA, JR.
President of the Senate	Speaker of the House of Representatives

This Act which originated in the House of Representatives was finally passed by the House of Representatives and the Senate on November 24, 1994 and November 17, 1994, respectively.

EDGARDO E. TUMANGAN	(Sgd.) CAMILO L. SABIO
Secretary of the Senate	Secretary General House of Representatives

 (Sgd.) Approved, JANUARY 21, 1995