Section 1Sec./Art. 1

Nature and Scope of Franchise. Subject to the provisions of the Constitution and applicable laws, rules and regulations, there is hereby granted to the Panay Telephone Corporation (PANTELCO III), hereunder referred to as the grantee, its successor or assigns, a franchise to construct, install, establish, operate and maintain for commercial purposes and in the public interest, local exchange network, including public calling stations or pay telephone stations or wireless local loop and their value-added service in the municipalities of Cabanatuan, Janiuay, Calinog, Lambunao, Mina and Badiangan, all in the Province of Iloilo, and for such purpose provide basic telephone service capable of accessing local, national, internation and other networks.