7 December 2012 To my dear children, When I registered in Indonesia in 1998 as a lifetime member, I thought I would stay with DXN

until I retire from entrepreneurship. Though Daddy never signed up with DXN, he gave me his full support despite his busy schedule as president of the University of Baguio then. He became actively involved with various business ventures after his retirement in 2004. In the same year, DXN wrote to more than two hundred leaders maintaining points in my center, asking them to prove within seven days that they are not my dummies. Furthermore, my new recruits were visited in their homes and/or offices by DXN Intelligence group, verifying their existence. They were interrogated and asked if they were really purchasing from my center. The leaders and I decided to file a class suit against DXN, but Mr. Teoh Hang Ching and Ms. Evlyne Ng were sent to Baguio to personally request the aggrieved members not to proceed with the legal action. Others preferred to reply in writing and simply became inactive in DXN. Due to the said DXN letter, I lost a lot of business partners. I thought everything would go on smoothly, but then, again in 2006 and 2008, false allegations were thrown on my shoulders. It was on October 13, 2008, when I decided to just transfer my network to Magiting. Afterall, instead of recognizing my efforts, DXN management incessantly puts me down. Dr. Lim, Mrs. Lim, Ann (Dr. Lims secretary), Timyas and I discussed the matter in Geneva, Switzerland in a closed door meeting. Would you believe that: 1) My sincere assistance in encashing the checks of members was misinterpreted as stealing their rebates; 2) I was accused of downpricing the coffee when upon investigation, Mr. Ramil Tan found out that the price of coffee in our three canteens and pharmacy is more than the suggested retail price, plus we serve it in our catering services, especially to the UB retirees which Dad organized. The truth is, I was the first to report the unethical activity of downpricing to then DXN Country manager Fermin Zapanta. The black market was my direct competitor, so I told its buyers that I cannot guarantee the genuineness of the Lingzhi coffee being sold there because I am the only authorized distributor in Baguio. Hence, people who believe in our credibility still buy from me, while some black market dealers falsely claim it came from my center. 3) I was suspected of loaning out products to DXN members in violation of DXN policies. I gave out financial assistance to DXN members through our Bridge Auxiliary Finance Corporation, actually to my deep regret because most of them have not paid their loans from our firm to this date; 4) I was criticized that I only serve my downlines when in fact, the innumerable duplicate receipts will show that very few of my recruits from all over the world purchase from the Baguio service center. Mostly, buyers are walkins, and crosslines from different areas; 5) I was rumored to have been registered in other competitive companies. I relayed to Dr. Lim my sarcastic answer to his people, Let me know which networking groups have not recruited me yet, so I can register with them; 6) I was blamed for not supporting activities of DXN. On the contrary, I travel from Baguio to where the event is being held and back to Baguio, unless I was out of town or out of the country. During that meeting, I took the chance to ask Dr. Lim about the missing 230+ cartons of Lingzhi because my downline bought a downpriced coffee bearing a code that never passed the head office nor any service center. Dr. Lim said he would look into it. The meeting abruptly ended after Timyas asked, Dr. Lim, are you doubting the

credibility, integrity and loyalty of my mom in DXN? To which Dr. Lim retorted, No, I never doubted Lilia. Timyas added, Then, why are your people doing this to my mom? From now on, my father, my siblings and I will never support my mom in DXN. Though Timyas made that stand, she still assisted me when I made DXN purchases while I was in Manila. Last April 2012, I resigned as elected DXN EDC (Executive Diamond Council) member, representing the North due to another allegation of downpricing 6 bags of coffee. I told the group that I am not stupid to buy the coffee at Php 390 and sell it lower than its actual cost. I am a business person who invests to make a profit. Then, a guy in the group raised his voice, Tita Lilia, when you paid for the coffee, it is yours, you sell it at one peso, throw it, or give it away is nobodys business. I answered, I know, but I am getting tired of being falsely accused by DXN. I told them part of what happened in the past: in front of Prajith Pavitran then DXN country manager and Jojo Tarrobal, I handed the apology letter of a leader, (whom I helped become a star diamond), to Operations Manager Jimmy Gatdula. In the letter, the leader expressed how sorry he was for allowing himself to be used by DXN against me. Three persons confessed that they planted the Lingzhi coffee bearing my code in the black market. This time, no one can frame me up for downpricing because since then, I have instructed our office assistants to record all barcodes corresponding to the buyer. This is the reason why I just shrug my shoulders when problems on downpricing arise. Instead of seeking my help to identify the person who purchased from me, the management prefers to just accuse me falsely. I do not want to cause trouble, so I submitted my Deed of Assignment and Transfer of Business Rights duly notarized to your brother Busilak. For the second time, no action was taken, manifesting the unfair treatment of DXN towards me. Transfer of rights to children, business partners, brothers, has been allowed in the past, but DXN denied my right to do so. Aside from the harassment, embarrassment and insults that I have been receiving from DXN since 2004, letters and answers hereto attached, a show cause letter was sent by Dr. Lim Siow Jin, DXN founder and CEO, stating that they have withdrawn my International Travel Seminar Incentive (ITSI) due to the deep involvement of your husband, Virgilio Bautista in Organo Gold details hereto attached. I was compelled to answer in 14 days. My lawyer complied in 13 days and on October 13, 2012, my written reply was personally handed to Shirley Te, COO in the Philippines. It was also emailed to Dr. Lim, but, until now, we have not received any response. I emailed both Dr. Lim and Shirley Te to please have the decency to answer, while Dad and I were on tour. A day after we arrived, I called up Shirley Te to follow up my status. Her answer was hindi ko po alam, it is only the Malaysian Management that can give you the answer. Regarding the invitation to the anniversary, Ms. Te told me that it is in the hands of the marketing department. Hence, I called up marketing head Dennis de Lira, from whom I learned that I was not included in the trip to Hongkong and Macao and I was not invited to the anniversary, too. When Dad posed the question: Why are you killing yourself for DXN? I realized that I have devoted too much time to a company which I thought had the Integrity, Honesty, Loyalty, Cheerfulness which the logo supposedly symbolizes. Timyas was so angry when she heard me for the nth time asking the management about my ITSI, to the point of telling me Ma, it sounds so cheap to hear you ask for the Hongkong - Macao trip. If you want I can book your flight right now for free! You know very well that Dad and I just arrived from a Southern China tour ending in Venetian Macao. I was not really eager to travel again to the same place after nine days. I told her that I was fighting for a principle. I earned it, so DXN has to grant it to me. The management even included some family members of leaders in the trip while leaders like me, who worked hard to accumulate the required points were deprived of our rights. It was not enough that I was not given my ITSI which I earned for one year. Worse still, I th was not invited to the 13 DXN Anniversary, yet letters of invitation to all leaders, including the dead, were coursed through me, simply because the management refused to recognizethe fact that I am the reigning top sales center in the Philippines. This terribly disappointed my leaders who attended the event. You see, to achieve the rank is not my accomplishment alone, but a result of the concerted efforts of leaders and business partners who

support me. Simple common sense dictates that all service center directors have access to the system. Little did the management know that some service center directors and I always compared our monthly performance. Consequently, service center directors knew that companys sales is going down. Based on the DXN Service Center Systems, before the awarding ceremony, as friends, Ed Hao and I compared our sales : DXN Sales as of November 10, 2012 in Php A Month Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sep Totals Oct Totals Year 2011 2011 2011 2012 2012 2012 2012 2012 2012 2012 2012 2012 Php 2012 Php Lilia Bautista 5,607,950.00 6,306,940.00 4,977,400.00 4,292,725.00 4,199,465.00 3,335,045.00 2,987,920.00 3,732,095.00 3,703,095.00 3,659,870.00 2,905,575.00 2,461,935.00 48,170,015.00 1,464,170.00 49,634,185.00 B Ed Hao 2,170,550.00 2,822,815.00 2,803,105.00 3,315,215.00 2,603,195.00 2,436,205.00 2,426,065.00 2,301,900.00 1,651,280.00 2,229,105.00 1,469,900.00 2,048,665.00 28,278,000.00 2,275,781.00 30,553,781.00 C=A-B Difference 3,437,400.00 3,484,125.00 2,174,295.00 977,510.00 1,596,270.00 898,840.00 561,855.00 1,430,195.00 2,051,815.00 1,430,765.00 1,435,675.00 413,270.00 19,892,015.00 (811,611.00) 19,080,404.00

After Kaan informed me about the announcement of the top sales service center, on November 17, 2012 at eleven oclock in the evening, I congratulated Tito Ed over the phone. He told me that the trophy belonged to me, because he was sure that my recorded sale is at least ten million pesos more than his. He was expressing the truth as evidenced by the data above. At that moment, it did not register to me that I was not even included in the top ten sales centers because it was shocking to realize that an international company like DXN can tell a blatant lie in public. I tend to forget the past aches when DXN distributors sought my help. For 13 years I was often the number ONE sales center or at least in the top ten sales centers. In the 13th DXN anniversary celebration, I was hoping DXN was going to award the car in the promotion which Kabaitan worked for that is why I forced him to attend that event. All the mechanics and sales requirements were strictly followed. Anyway, no winner has been announced yet, when the promotion ended in September 2012. The prizes won in May by his two distributors were not also given until now.What will prevent DXN from manipulating the results of this promo as they were able to manipulate the results of the top ten sales centers? Well, help me pray that DXN grants what is due these members. Some of the leaders who were deprived of their ITSI and/or promo prizes have approached me to complain to the appropriate government agency. Right now, I do not have the heart to be the cause of DXNs downfall. I am still an active

member and DXN has not closed my center. In fact, my sales for the month of November 2012 is Php1,862,649.95. I had to cancel my order for some distributors because Dad stopped me from buying more products for the month after the unjust treatment of DXN management towards me. My sales will surely go down because we started using the OG Latte for our ATM/vendo machines which seems to be more profitable and liked by many. On the other hand, some aired their involvement with other networking companies of their choice, not only to sympathize with me, but they have done so as their trust in DXN has been lost. I recalled that in the past, there were some leaders who have been terminated, yet still maintained, as Mr. T with Point Values. I have some copies of the statements, though lately, the company only gives us the summary and the check rebates. Regarding the rebates, what happens to the checks on hold? The DXN Finance office confirmed that Shirley Te is still holding the check of my downline Teresa P. Gurrea on the grounds that she registered under a fictitious name, yet, her three valid IDs proves her identity. The products were purchased in my center and accepted by DXN. Therefore, Teresa is entitled to her corresponding rebates. I was hoping for her help in expanding the DXN network of Kaan, unfortunately, she was terminated on September 28, 2012 as DXN distributor. Last month she called me, Organo Gold finally hired her to assist the training officer. My fourteen years of dedicated service to DXN International has apparently proved futile, considering the fact that I pioneered the importation of the products and helped develop the market, making me the First Woman Crown Ambassador in the world and a Hall of Fame Awardee of the Direct Selling Association of the Philippines. I have compiled some correspondence with DXN and I am digging for more. I will let you read all, so you will fully understand what I have been experiencing with DXN, a company which I brought to the Philippines with JQ. What I went through and am still going through with DXN is really traumatic. I am prompted to write because I can no longer conceal the agony and pain that DXN has caused me. I am sorry for not sharing with you all these facts before. As a mother, I try to shield you from all harm. But I realize you are all grown-ups. I feel happy to see you succeed in your business ventures and personal undertakings. Let me thank you all for respecting my 14 years of commitment with DXN. To my children in Organo Gold, I am glad about your gesture of inviting me to join your network. At this moment, I would rather be in the background because as your mother, I feel more fulfilled when I see your achievements. I attribute my better health to your products. You know very well that three of my lumps are gone and only a small lump in my neck is left, since I started taking your organic products regularly for four months now, specifically the spore powder, the grapeseed oil and the life enzyme. Thank God you have competent doctors in your company. I feel happy that you are fulfilling part of your mission to help people become healthy through the business that you have chosen. Just keep putting into practice the values that we have inculcated in you. Do not take what belongs to others, that is STEALING. INJUSTICE is not giving what is due God, what is due yourself, and what is due others. Telling a lie is a sin, but TELLING A LIE in public is a crime. Pray hard to avoid falling into these traps. Do not be tempted by fame and fortune. Only God can guide you in the right path. Never dwell on HEARSAY- a devious weakness of most idle people who envy others. Glorify Gods name in all your accomplishments. Lastly, help me pray that DXN rectifies the injustices that it has committed. Let the TRUTH prevail. Love, Mommy