United States President George W. Bush arrived today, at 12:37 P.M., for a state visit to the Philippines that affirms the new partnership for peace and development between the two countries.

President Bush flew aboard his official plane, Air Force 1, into Villamor Airbase of the Philippine Air Force in Pasay City.

Vice President Teofisto Guingona and Executive Secretary Alberto Romulo, together with US Ambassador to the Philippines Francis Ricciardone, went up the Air Force l to welcome President Bush and First Lady Laura Bush.

The US President’s official entourage included Andrew Card, Jr., White House Chief of Staff; Dr. Condoleezza Rice, National Security Adviser; James Kelly, Assistant Secretary, Bureau of East Asian and Pacific Affairs, Department of State; and James Moriarty, Senior Director for Asia Affairs, National Security Council.

President Bush and the First Lady boarded the presidential car, a bullet-proof black Cadillac limousine, for the wreath-laying ceremony at the monument in honor of the Philippine national hero, Dr. Jose M. Rizal, at the Luneta Park in Manila.

President Bush and his party made a brief stopover at the US Embassy, which is located on Roxas Blvd. along the way to the Rizal Monument.

Manila City Mayor Lito Atienza and his wife, Beng, were at the Rizal Monument to greet President Bush for the floral ceremony that lasted for about 10 minutes. After Mayor Atienza assisted him in placing the wreath at the foot of the monument, President Bush stood at attention in front of the Rizal statue, while taps was played by the Philippine Marine and Navy bands.

President Gloria Macapagal-Arroyo and First Gentleman Atty. Jose Miguel Arroyo gave President Bush and First Lady Laura a red carpet welcome upon their arrival at the Malacanang Garden. Members of the Macapagal-Arroyo Cabinet were also present.

President Bush was accorded full military honors at the Malacanang grounds. Presidents Macapagal-Arroyo and Bush reviewed the honor guards, a contingent from the Presidential Security Group dressed in colorful white and powder blue uniform. A 21-gun salute was fired in honor of the visiting American leader.

Afterwards, President Bush congratulated and thanked Maj. Noel Clement, chief of the Presidential Security Guard.

While walking to the Palace side-by-side with President Macapagal-Arroyo, President Bush stopped by a group of children, who were to give a performance for the US First Lady. Mrs. Macapagal-Arroyo spotted her granddaughter, Mikaela, in the crowd and mentioned this to Mr. Bush. President Bush picked Mikaela up, hugged her and kissed her.

President Gloria Macapagal-Arroyo will leave for Bangkok tomorrow to attend the 11^th Economic Leaders’ Meeting of the Asia Pacific Economic Cooperation (APEC) being hosted by the government of Thailand.

In the two-day summit on October 20-21, the President will join the heads of state and government of 20 other member economies of APEC, including US President George W. Bush, Russian President Vladimir Putin, and Chinese President Hu Jintao.

This is the third time that the Chief Executive will attend the APEC Leaders’ Meeting. The first time was in Shanghai in October 2003 and the second at Los Cabos, Mexico in October last year.

At the Bangkok summit, the President is expected to sustain the momentum started by the Group of 21 that called for trade liberalization and scrapping of the subsidy to farmers in the developed world.

The Philippines is a leading member of the Group of 21, which was formed by developing countries at the recent meeting of the World Trade Organization (WTO) in Cancun, Mexico.

While in Bangkok, the President will also hold bilateral talks with other APEC leaders on the sidelines of the main APEC forum. She is scheduled to meet separately with the leaders of Chile and the People’s Republic of China. Bilateral meetings with other leaders are still being worked out.

The President, along with leaders of the seven ASEAN member countries which are also members of APEC, will jointly meet with US President Bush before the main APEC leaders’ forum.

The President and the First Gentleman Atty. Jose Miguel Arroyo will also have an audience with Thai King Bhumibol Adulyadej at Chakri Mahaprasat, the king’s palace.

APEC was established in Canberra, Australia in l989 to further enhance economic growth and prosperity in the region and to strengthen the Asia Pacific community.

The first meeting, on the ministerial level, was attended by only 12 countries.

Now APEC’s 21 members—referred to as "member economies"—account for more than 2.5 billion people, a combined gross domestic product (GDP) of 19 trillion US dollars, and 47 percent of the world’s total trade.

APEC also represents the most economically dynamic region in the world having generated nearly 70 percent of global economic growth in its first 10 years.

Presidential granddaughter Mikaela Gloria Arroyo stole the show today during the welcome ceremony at Malacanang for visiting United States President George W. Bush.

Mikaela was among the elementary schoolchildren waving Philippine and American flags and cheering President and Mrs. Bush when President Gloria Macapagal-Arroyo took the opportunity to introduce her granddaughter to the American leader.

"This is my granddaughter Mikaela," she told President Bush.

Then and there, Bush picked her up and planted a grandfatherly kiss on Mikaela’s forehead.

Mikaela, wearing a light pink dress, gazed at President Bush and smiled pleasantly.

The schoolchildren, mostly coming from public schools around Metro Manila, were cheering the American presidential couple shortly after the arrival honors accorded to the foreign head of state.

President Bush was given full military honors at the Palace grounds after arriving at the country shortly after noon. He earlier laid a wreath at the Jose Rizal Monument in Luneta before proceeding to Malacanang.

Mikaela first stole the show during the President’s latest State of the Nation Address at a joint session of the Philippine Congress in Quezon City where Mrs. Macapagal-Arroyo introduced her grandchild to the public.

First Lady Laura Bush, meanwhile, surprisingly yielded to autograph requests from the schoolchildren.

Afterwards, Mrs. Bush had a storytelling session with schoolchildren from St. Scholastica’s College, San Beda College and Legarda Elementary School.

Agreeing that the US-Philippine partnership has taken on a new vitality and importance in the context of the global war on terrorism, Presidents George Bush and Gloria Macapagal-Arroyo focused their bilateral discussion at the Malacanang Study Room today on the security challenges facing the two countries.

Although the two heads of state noted with satisfaction that a number of terrorist killers have been brought to justice, they agreed that much work remains to be done in attacking terrorist organizations both globally and regionally.

President Bush praised President Macapagal-Arroyo’s courage and strength in confronting terrorism in the Philippines and in Southeast Asia, and expressed appreciation in particular for Philippine initiatives to improve and expand counter-terrorism cooperation.

He thanked the Philippine President for her leadership and cooperation with key partners in the Association of Southeast Asian Nations (ASEAN) to address the terrorist threats on a regional basis.

The two leaders agreed that such cooperation, particularly in the area of information sharing, is an essential component of the war on terrorism.

In recognition of the strength and vitality of the alliance, as well as its vital role in promoting regional security and combating global terrorism, Mr. Bush informed President Macapagal-Arroyo that he has designated the Philippines as a Major Non-NATO ally (MNNA).

The designation is expected to facilitate the modernization of the Armed Forces of the Philippines and strengthen the defense partnership of the two countries.

In keeping with their pledge during President Macapagal-Arroyo’s state visit to the United States last May to conduct a comprehensive security assessment, the two Presidents also reviewed and endorsed the findings of the 2003 Joint Defense Assessment (JDA) of the Armed Forces of the Philippines’ capabilities.

The purpose of the JDA is to assist the Philippine government in developing a defense program that will improve the ability of the Philippine military to respond to threats to Philippine security.

President Macapagal-Arroyo noted the determination of her government to move forward on an ambitious program of military reform, including increased allocation of resources to Philippine national defense.

President Bush committed to assist the Philippines in this effort.

President Gloria Macapagal-Arroyo warmly welcomed President George W. Bush to Malacanang today for the first State Visit of an American President to Manila in over 30 years. As the two Presidents highlighted during President Macapagal-Arroyo’s State Visit to the United States last May, the ties between the Philippine and American peoples are deeply rooted in shared history and values, as well as in a shared commitment to global peace, security and prosperity.

President Macapagal-Arroyo expressed her appreciation for the support extended by President Bush to the Veteran Equity bills pending in both houses of the U.S. Congress, designed to enhance benefits for Filipino veterans of World War II residing in the United States. Both Presidents noted that the American and Filipino fighting men of World War II remain a strong bond between the peoples of both nations. President Bush announced the doubling of U.S. funding for medical equipment at the Veterans Medical Center in Quezon City. President Bush highlighted his respect for the impressive contributions of Filipino-Americans to American social, cultural and economic life.

The two Presidents focused their discussion on the security challenges facing the United States and the Philippines, agreeing that the U.S.-Philippine partnership has taken on new vitality and importance in the context of the global war on terrorism. Presidents Macapagal-Arroyo and Bush reviewed recent successes in the war on terrorism, noting with satisfaction that a number of terrorist killers have been brought to justice. They agreed that while progress had been made in attacking terrorist organizations both globally and regionally, much work remains to be done.

President Bush praised President Macapagal-Arroyo’s courage and strength in confronting terrorism in the Philippines and in Southeast Asia. He expressed particular appreciation for Philippine initiatives to improve and expand international counterterrorism cooperation and thanked President Macapagal-Arroyo for her leadership working with key ASEAN partners to address the terrorist threat on a regional basis. The two leaders agreed that such cooperation, particularly in the area of information sharing, is an essential component of the war on terrorism.

In recognition of the strength and vitality of the alliance, as well as its vital role in promoting regional security and combating global terrorism, President Bush informed President Macapagal-Arroyo that he had designated the Philippines as a Major Non-NATO Ally (MNNA). President Macapagal-Arroyo thanked President Bush for this honor and expressed hope that this move would facilitate the modernization of the Philippine Armed Forces and the strengthening of our defense partnership.

In keeping with their May 19 pledge to conduct a comprehensive security assessment, the two Presidents also reviewed and endorsed the findings of the 2003 Joint Defense Assessment (JDA) of the Armed Forces of the Philippines’ capabilities and requirements. The purpose of the JDA is to assist the government of the Philippines in developing a defense program that will improve the ability of the Philippine military to respond to threats to Philippine security.

President Arroyo noted the determination of her government to move forward on an ambitious program of military reform, including increased allocation of resources to Philippine national defense. President Bush committed to assist the Philippines in this effort.

The two Presidents agreed that their respective defense establishments would embark on a multi-year plan to implement the key recommendations of the Joint Defense Assessment. They agreed to direct their defense establishment to finalize details of the plan and begin its implementation.

President Macapagal-Arroyo welcomed substantial new US programs of law enforcement training, equipment, and expertise in support of her efforts to strengthen the rule of law and to reform and strengthen the Philippine National Police and other law enforcement agencies.

President Bush commended President Gloria Macapagal-Arroyo for her steadfast leadership in pursuing economic reforms in the Philippines and welcomed her pledge to maintain resolve in pursuing reforms in revenue collection, energy privatization and intellectual property rights protection.

President Bush praised President Macapagal-Arroyo’s determination to alleviate poverty and other socio-economic grievances that are too often exploited by terrorist organizations to recruit followers. President Arroyo welcomed the new, six-year U.S. initiative to strengthen education in the poorest areas of the Philippines, particularly Mindanao, as supportive of her efforts. This new program complements the Philippine government’s efforts to uplift the communities in the Autonomous Region of Muslim Mindanao (ARMM) and expand their access to education and training.

The two Presidents discussed the Philippine government’s efforts to establish a durable effective peace with the Moro Islamic Liberation Front (MILF). They expressed appreciation for Malaysia’s role in facilitating the negotiating process. President Bush emphasized US willingness to provide diplomatic and financial assistance in support of peace but emphasized that the MILF must first fully renounce terror and demonstrate its commitment to peaceful political negotiations.

President Macapagal-Arroyo and Bush discussed the situation in Iraq. The two leaders reiterated their shared commitment to a free Iraq at peace with its neighbors and expressed unwavering determination to continue the important work of helping the Iraqi people build a stable, just and prosperous country that poses no threat to the world. President Bush thanked President Macapagal-Arroyo for the contributions made by the Philippines to security and reconstruction in Iraq. The two President’s affirmed the vital role of the United Nations in postwar Iraq and stressed the need for more countries to contribute peacekeeping and humanitarian contingents to Iraq as that country prepares for sovereignty under a democratic regime.

The two leaders welcomed the six-party talks in Beijing and reiterated their intention to work with other members of the Asia-Pacific region to ensure the complete, verifiable and reversible elimination of North Korea’s nuclear weapons program.

President Bush congratulated the Philippines on its nomination by Asian countries to join the United Nations Security Council and expressed confidence that the Philippines would contribute to global peace and security.

United States President George W. Bush, who is currently on a state visit to the Philippines, today reminded the Filipino people "what a great leader President Gloria Macapagal-Arroyo is when it comes to fighting terrorism."

In their bilateral talks at the Malacanang Study Room, President Bush told President Macapagal-Arroyo, "You have been strong and stalwart, and that is what’s needed. I appreciate that very much. We want to continue to help you. I want to thank you for your vision in fighting for freedom."

President Macapagal-Arroyo thanked President Bush for the United States’ continued security assistance, which enhances the Philippine government’s means to defeat terrorism.

The President also expressed her appreciation to President Bush for the increased economic assistance to alleviate poverty and other socio-economic ills from which terrorism draws its strength.

Taking pride in the robust economic ties that bind the Philippines and the United States, President Macapagal-Arroyo said she witnessed the launching of Convergy’s, the largest customer can service company in the world, which, she said, is hiring 3,000 workers in its first year of operation in the country.

The President said she also witnessed the launching of the new $50- million expansion program of Ford Motor Company that will make the Philippines as an auto export hub in Southeast Asia.

First Gentleman Jose Miguel T. Arroyo joined United States First Lady Laura W. Bush in a story-telling session with 346 grade school students playing up the importance of learning and reading on their way to a higher level of education.

The US First Lady Laura Bush read the book "Panda Bear, Panda Bear, what do you see," by Bill Martin Jr and Eric Carle.

The children amusedly echoed the line "Panda Bear, Panda Bear, what do you see?" after the US First Lady. They were guided by Amcy Esteban, a grade two elementary teacher from Centex-Manila.

Everyone were so enthusiastic, including First Gentleman Arroyo, who sat at the front audience row, while the First Lady Bush read the Panda Bear story.

After the seven- minute story telling session, six grade school pupils recited their own narration of "The Bamboo Tree" story.

The First Lady was all smiles as she listened and watched the drama-dance presentation of the "Bamboo Tree" story.

After the drama-dance part, six students gave Mrs. Bush an anklung (a musical instrument), a tray, castanets, a basket, fish trap and flute, all made of bamboo.

A cultural presentation using bamboo props and musical instruments followed. A children’s rondalla played and students in native Filipino attire danced with bamboo props the Pasigin, Subil and Tinikling accompanied by other students playing the "angklung."

After the dance, a student presented more gifts to Mrs Bush -- a book on bamboo and a bamboo jewelry box -- and sang "Magandang Pilipinas" and "Mabuhay".

After the 40-minute session, Mrs. Bush posed for souvenir photos with the grade school dancers.

"Thank you very much! I will never forget this, these beautiful and wonderful performances of all the dancers, singers and all the musicians. I am so impressed," she told the participants.

President Gloria Macapagal- Arroyo said today that the Philippines and the United States have agreed not only to strengthen their partnership to counter terrorism but also to find ways to further strengthen trade relationship between their countries.

The US has granted an additional $30-million trade benefits under an expanded list of products approved for duty-free exportation to the US.

Moreover, the United States Agency for International Development (USAID) will give the Philippine government $33 million to help the later improve the quality of education in the Autonomous Region in Muslim Mindanao (ARMM).

President Macapagal-Arroyo said that the new six-year US initiative to strengthen education in the poorest areas in the Philippines, particularly in Mindanao, compliments her government’s efforts to uplift the MMDA communities and expand their access to education and training.

President Macapagal- Arroyo said that the visit of US President Bush goes beyond mere concerns over terrorism. "It is about the mutuality of Philippine and US interests in peace, security and economic development," she said.

President Bush commended President Macapagal-Arroyo for her steadfast leadership in pursuing economic reforms in the Philippines and welcomed her pledge to maintain her resolve in pursuing economic reforms in revenue collection, energy privatization and intellectual property rights protection.

Mr. Bush also praised President Macapagal-Arroyo’s determination to alleviate poverty and other socio-economic grievances that are too often exploited by terrorist organizations to recruit followers.

Presidents Bush and Macapagal-Arroyo concluded the US leader’s visit highlighted the "impressive gains" made in Philippine-US relations under their administrations and marked "another concrete step forward in the development of a modern and mature relationship between friends and equals."

United States President George W. Bush today said the world needs the Philippines which has set an example with its commitment to democracy and its active resolve to fight terrorism and tyranny.

"There is so much to be proud of in your beloved country: your commitments to democracy and peace, and your willingness to oppose terrorism and tyranny," President Bush said during his 18-minute address that was applauded 20 times by the joint session of both Houses of Congress at the Batasan complex in Quezon City.

Bush, who was the first American President since Dwight D. Eisenhower to address the Philippine Congress, said President Macapagal-Arroyo was among the first world leaders to recognize the need for action when then Iraqi President Saddam Hussein defied the UN Security Council Resolution No. 1441 that demanded Iraq to disarm and prove that it has no weapons of mass destruction.

"Coalition forces, including Filipino peacekeepers and medical workers, are working for the rise of freedom and self-government in Iraq. We're helping to build a free Iraq, because the long-suffering Iraqi people deserve lives of opportunity and dignity," he said.

President Gloria Macapagal-Arroyo was also among the first who expressed support to the war against terrorism after the September 11, 2001 terrorist attacks in the United States.

"You rose to the moment, and the American people respect your courageous and principled stand," he said.

Bush said a new totalitarian threat has risen against civilization as the terrorists and their allies seek to spread chaos and fear, intimidate whole societies and silence all opposition.

"The terrorists will continue their missions of murder and suicide until they're stopped, and we will stop them," he said.

He said the Americans witnessed the murder of thousands on a single day during the 9-11 terrorist attacks on US soil and the Filipinos have known bombings and kidnappings and brutal murders of the innocent.

"Our two nations have made our choice. We will defend ourselves, our civilization and the peace of the world. We will not be intimidated by the terrorists," he said.

Here in the Philippines, he said one face of the enemy is the Abu Sayyaf who torture and behead their victims.

He said murder has no home in any religious faith and the terroristic acts of the Abu Sayyaf must find no home in the Philippines.

"My government and your government pursue a common objective: We will bring Abu Sayyaf to justice," he said.

He said the Philippines and the United States would continue to work together, along with other friends in Southeast Asia, to dismantle the Jemaah Islamiya, as well as other terrorist groups.

He added the United States supports President Gloria Macapagal-Arroyo's campaign to establish a lasting peace with the Moro Islamic Liberation Front (MILF).

Shortly before the death of Ustadz Hashim Salamat, Bush said the erstwhile MILF leader wrote him a letter professing rejection of terrorism.

"Only that commitment to peace can bring a better future to the people in Mindanao," Bush said as he called on all members of the MILF to reject terror and to move forward with the peace negotiations with the Philippine government.

If a final peace agreement is signed between the Philippine government and the MILF, Bush said the United States is prepared to provide development assistance to Mindanao.

Bush said the Philippines and the US launched last week a six-year effort to extend greater educational opportunities to children in some of the poorest regions of the country "as we both believe that education helps defeat poverty."

Bush said he and President Arroyo also agreed to update the two countries’ defense cooperation and complete the comprehensive review of Philippine security requirements announced last May.

He also commended President Macapagal-Arroyo’s committment to a five-year plan to modernize and reform the Armed Forces of the Philippines (AFP).

"I commend the President and your military leadership for taking this bold action. My country will provide technical assistance and field expertise and funding," he said.

He said the world also "rejoiced" when the July 27 Oakwood mutiny in Makati City failed.

"All free nations rejoiced when the mutiny against this government failed. People of this land fought too hard, too long to surrender your freedom to the conspiracy of a few," he said.

He said the members of the AFP are commissioned to fight for freedom and not to contend for power.

"I'm certain that in the coming election, this nation will show its deep commitment to democracy and continue to inspire people throughout Asia," he said.

He said the friendship between the United States and the Philippines is rooted "in the deepest convictions we hold" and believe that "democracy is the only form of government fully compatible with human dignity."

In January 1995, Bush said Pope John Paul II addressed millions of the faithful in Manila and spoke of the goodness of the Filipino people, and the strength of its democracy and the example the Philippines has set for others.

He quoted the Pope as saying: "May your life spread out from Manila to the farthest corners of the world, like the great light which shone in the night at Bethlehem."

Filipino food. Warm hospitality. World-class entertainment.

That, in a way described the ambiance on the night highly prominent Filipinos feted the world’s most powerful leader with a State Dinner at the Ceremonial Hall of Malacaņang, described by no less than President Gloria Macapagal-Arroyo as a monument to the over a century of relationship between the Philippines and the United States.

With the who’s who in Philippine government and society in attendance, the President told visiting American President George W. Bush how proud the Filipinos are in having him here.

"We have a revitalized and maturing alliance rooted in shared history exemplified by this monument in which we live and work, rooted in shared values, a common interest in global peace and prosperity as well as a real commitment into combating terrorism and advancing freedom," the President intoned in a pre-dinner toast to Bush.

The two leaders and their respective spouses, First Gentleman Jose Miguel Arroyo and US First Lady Laura Bush, were joined by 330 guests scattered in 33 tables adorned with Philippine flowers and candles at the spacious hall.

Joining them at the Presidential table were former President Corazon Aquino,Vice President Teofisto Guingona and wife Ruth, Chief Justice Hilario Davide and wife Virginia, Senate President Franklin Drilon and wife Milagros, House Speaker Jose de Venecia and wife Gina, and US Ambassador to the Philippines Francis Ricciardone.

Wearing a red terno with glittering beads and sequins, President Macapagal-Arroyo arrived at the Ceremonial Hall with President Bush at 6:35 p.m. with the First Gentleman and Mrs. Bush in tow.

They were warmly received by applause from guests that included government officials, business tycoons Lucio Tan, Henry Sy, John Gokongwei, newspaper publishers Emilio Yap, Max Soliven, and Marixi Prieto, members of the diplomatic corps and even Sharon Cuneta who accompanied Senator Francisco Pangilinan.

Some 80 waiters hovered around the tables and served Joseph Macash’s champagne for the ceremonial toast.

"I invite you all to join me in a toast, for the continued success and good health of His Exellency, President and Mrs. Bush and the strong partnership between our two countries," beamed President Macapagal-Arroyo as she raised her glass.

President Bush, in response, said he graciously accepts the Order of Sikatuna and Gabriela Silang earlier conferred on him by the Philippine Chief Executive, saying the relationship between the Philippines and the United States would forever be strong, warm and enduring.

"This is the oldest democracy in America paying tribute to the oldest democracy in Asia," said Bush, the first American President to address the joint session of Philippine Congress since President Dwight Eisenhower in 1960.

Dinner consisted of Timbale of Pitik Pitik in smoked salmon with pink caviar and potato horse radish whip for appetizers, supreme of Lapu-Lapu fillet with smokey tomato salsa set on thyme flavored wild rice for the main course and mousse of chocolate and espresso with kahlua saice and Guimaras mango ball for dessert.

The evening’s cultural program spoke volumes of the Filipinos’ capacity to be world class.

Award winning artist Lea Salonga and the world renowned Bayanihan Philippine National Folk Dance Company provided the entertainment to the delight of the visiting dignitaries.

The state visit to the Philippines by US President George W. Bush celebrates the "impressive gains" in relations between the Philippines and the United States as "friends and equals," the joint statement issued by Presidents Bush and Gloria Macapagal-Arroyo declared today.

President Bush, the first American Chief Executive to make a state visit to the Philippines in 30 years, and First Lady Laura Bush left Malacanang Palace tonight, at 8:30 P.M., for the Villamor Air Base of the Philippines Air Force in Pasay City.

The US President and his official entourage will then board the Air Force One that will fly them to Bangkok, Thailand, where he will attend the 11^th Economic Leaders’ Meeting of the Asia Pacific Economic Cooperation (APEC).

Mr. Bush had a hectic schedule of activities in Manila that included bilateral talks with President Macapagal-Arroyo, a speech before a joint session of the Philippine Congress, and a state dinner at Malacanang Palace.

The two-and-a-half page joint statement affirmed US commitments to help not only to upgrade Philippine military-police capability for security purposes, but also to alleviate poverty and strengthen education in the poorest areas of the country, particularly in Mindanao, which are vulnerable to terrorists’ exploitation.

Sharing a desire for global peace, security and prosperity, Presidents Bush and Macapagal-Arroyo reiterated their commitment to "a free Iraq at peace with its neighbors."

The two Presidents also expressed "unwavering determination to continue the important work of helping the Iraqi people build a stable, just and prosperous country that poses no threat to the world," the joint statement said.

They welcomed the six-party talks in Beijing, capital of the People’s Republic of China, on the North Korean nuclear issue, the joint statement said, adding that they reiterated their intention to work with other Asia-Pacific nations "to ensure the complete, verifiable and irreversible elimination of North Korea’s nuclear weapons program."

President Bush congratulated the Philippines on its nomination by the Asian bloc in the United Nations for a non-permanent seat on the UN Security Council. He expressed confidence that the Philippines would contribute to global peace and security.

On Philippine-US relations, President Macapagal-Arroyo thanked President Bush for supporting the Veteran Equity bills, which are pending in the US Congress, that would enhance benefits for Filipino veterans of World War II residing in the United States.

Noting that the American and Filipino fighting men of World War II remain a strong bond between the two nations, President Bush announced the doubling of US funding for medical equipment at the Veterans Medical Center in Quezon City.

The two Presidents noted "new vitality and importance" in RP-US relations as an aftermath of the global war on terrorism. While expressing satisfaction that a number of terrorist killers have been brought to justice and progress has been attained in attacking terrorist organizations globally and regionally, they emphasized that "much remains to be done."

President Bush lauded President Macapagal-Arroyo’s "courage and strength" in confronting terrorism in the Philippines and in Southeast Asia. He expressed appreciation in particular for Philippine initiatives to improve and expand international counter-terrorism cooperation.

In recognition of the strength and vitality of RP-US alliance, as well as its vital role in promoting regional security and combating global terrorism, President Bush informed President Macapagal-Arroyo that he had designated the Philippines as a Major Non-NATO Ally.

President Macapagal-Arroyo thanked the US President for bestowing on her country such an honor and expressed hope that it would facilitate modernization of the Armed Forces of the Philippines as well as strengthen the defense partnership of the two countries.

As a Major Non-NATO Ally, the Philippines is entitled to greater access to American defense materiel and technologies.