SURETYSHIP AGREEMENT

NBS ENTERPRISES
Principal

JASMINE C. SIERRAS
Surety
And

McKENZIE DISTRIBUTION Co.

Creditor

This SURETY AGREEMENT, executed by JASMINE C. SIERRAS,

herein referred to as the Surety, and McKENZIE DISTRIBUTION Co.,
Inc., represented by Dennis Guilas, herein referred to as the
Creditor, bears witness: THAT—

WHEREAS, NBS ENTERPRISES, represented by Federico

Anido, Jr., herein referred to as the Principal, desires to obtain a credit
line as sub-distributor by virtue of their Sub-Distributorship
Agreement;

WHEREAS, in said Sub-Distributorship Agreement, in Section

6.5 (Security) thereof, to secure the prompt observance and
performance of the provisions, terms and conditions set forth in this
agreement, the sub-distributor shall execute and deliver to the
company a surety bond and/or a bank guarantee, or such other form of
security;

NOW, THEREFORE, for the purpose above mentioned, the

Surety jointly and severally with the Principal, hereby guarantees and
warrants to the Creditor, its successors or assigns, the prompt
payment at maturity of all the notes, drafts, bills of exchange,
overdrafts and other obligations of every kind, on which the Principal
may now be indebted or may hereafter become indebted to the
Creditor, but the liability of the Surety shall not at any time exceed the
sum of ______________;

In case of default by the Principal in the payment at maturity of

any of the obligations above mentioned or in case of the Principal’s
failure promptly to respond to any other lawful demand made by the
Creditor, the Surety agrees to pay to the Creditor, its successors or
assigns, upon demand, all outstanding obligations of the Principal,
whether due or not due, and whether held by the Creditor as principal
or agent.

As security for the payment of the obligations above mentioned,

the Creditor shall resort to and recover from the Surety so much of the
said amount as can be obtained or recovered from her chattel, an
Isuzu Elf described under Certificate of Registration No.
18719976, with Motor No. 4BE1-960510, Chassis No. NPR58L-
7112318, Plate No. GRC-205.

This instrument is intended to be a complete and perfect

indemnity to the Creditor to the extent above stated, for any
indebtedness or liability of any kind owing by the Principal to the
Creditor from time to time, and to be valid and continuous without
further notice to the Surety, and may be revoked by the Surety at any
time, but only after forty-eight hours notice in writing to the Creditor,
and such revocation shall not operate to relieve the Surety from
responsibility for obligations incurred by the Principal prior to the
termination of such period.

JASMINE C. SIERRAS
Surety

SIGNED IN THE PRESENCE OF:

______________ ______________

Republic of the Philippines )

Province of Leyte ) SS
City of Tacloban )

ACKNOWLEDGMENT

BEFORE ME personally appeared this 29 April 2003 at Tacloban

City, JASMINE C. SIERRAS, exhibiting to me her CTC No. ________
issued on _________ at Tacloban City, known to me as the same person
who executed the foregoing instrument and acknowledged that the
same is her free act and deed.

WITNESS MY HAND AND NOTARIAL SEAL.

Doc. No. ____

Page No. ____
Book No. XXXIV
SERIES OF 2003