General Provisions.
Section 22
SEC. 22. General Provisions.—Notwithstanding any provision of law to the contrary: (a)Number of Directors.—Registered enterprises may fix the number of their Directors at any number not in excess of fifteen ; (b)Types of Stock.—For purposes of transferability, registered enterprises shall issue two types of voting shares of capital stock: one type which may be transferable only to Philippine Nationals and which shall at all times be not less than sixty per cent of the stock entitled to vote; and another which may be transferred to Philippine or foreign nationals, and which shall at no time be more than forty per cent of the voting stock. Each share shall have its type clearly designated on the face of the certificate. (c)Marketing Affiliate.—Philippine Nationals who are stockholders in a registered enterprise in which non-Philippine Nationals hold stock may establish a marketing corporation to handle and distribute exclusively the product of the registered enterprise in its preferred area of investment: Provided, (1) That the said marketing company is wholly owned by, with entire beneficial ownership and control vested in, Philippine citizens; (2) That the stock of said marketing company is available for acquisition by other citizens of the Philippines who may desire to invest therein; (3) That Philippine Nationals hold at least twenty-one per cent of the voting stock of the registered enterprise; and (4) That the Board approves the creation of the marketing corporation for reasons of economy and practicability.