Her Excellency, our President and Commander-in-Chief Gloria Macapagal Arroyo, the Honorable Secretary of National Defense, Gilberto Cojuangco Teodoro Jr.; members of the Cabinet present, members of Congress present, Excellencies of the Diplomatic Corps, General and Mrs. Yano, Former chiefs of staff of the AFP, Defense attaches, fellow soldiers of the Republic; my countrymen:

By the grace of God, I stand before you today, honored by the trust given me by a beloved nation and its Commander-in-chief; awed by the magnitude of the task that for 22 months was reposed on my shoulder; proud that I have served with many of the best men and women of our country and grateful that I have reached this point where I can say:

Madame President and my countrymen, mission accomplished.

Some 22 months ago, our Commander-in-Chief summoned me to step forward and fill in the shoes of the Armed Forces of the Philippines Chief of Staff. Her marching orders were clear: first, is to defeat the CPP-NPA-NDF following a timetable that culminates in 2010. Second, to destroy the Abu Sayyaf and eliminate all terrorist threats, and third, to contain the Southern Philippines secessionist groups.

Today, as I turn over the command of the AFP to a worthy successor, I am happy to report to our commander-in-chief and our nation. First, that the forces of communist insurgency are in disarray hardly able to breath and should make their final gasp within the timetable set by her Excellency; Second, Khadafy Janjalani is dead and so as his loyal shadow Abu Sulayman and their death signals the demise of terrorism in the country; third, there is relative peace in Mindanao, the primacy of the peace process has taken root.

During the past 22 months, the armed forces moved in excellent cadence, raised the level of teamwork to unprecedented heights, focused on its mission and with characteristic, determination, pursued its goals with vigor and valor.

And as I make my final salute to the Filipino soldier today as AFP Chief of Staff, I shall do so with my highest respect, I say:

Mga kapwa ko Kawal Pilipino, tunay na karangalan kayo ng ating bansa!

My fellow soldiers, you have not disappointed our countrymen.

By your courage and determination, you decimated the ranks of the enemies of democracy. You dismantled communist guerilla fronts in our countryside, bringing the number of these fronts to an accelerating decline. From one hundred (100) in December 2006, down to eighty seven (87) by December 2007, another eight were dismantled just by the first quarter of 2008. Ten (10) others were downgraded from the status of guerilla front, today, numbering 5,470, the CPP/NPA is less than half its strength of 11,930 in January 2001.

My fellow soldiers, by defeating the enemy, you freed many of our countrymen from the grip of fear and terror which are the only means of conquest that the enemies of democracy know;

You freed many parts of our country from the pinions of underdevelopment and poverty as you paved the way for the entry of progress and socio-economic upliftment to the areas which you liberated from fear and terror;

You won the hearts of our countrymen and restored their trust in democracy and their faith in their government;

You gave a fresh new meaning to the word ‘heroism’ as we defined it to mean to country and people and you made that word synonymous once more with the face and name of the Filipino soldier.

Luzon Command under Lt. General Rodolfo Obania to the Visayan Islands under the Central Command of Lt. General Victor Ibrado to the forests and islands of the Western Command under Rear Admiral Rico Borromeo; to the mountains and plains of Southern Philippines under the watchful eyes of Lt. General Cardozo Luna’s Eastern Mindanao Command and Lt. General Nelson Allaga’s Western Mindanao Command.

In all parts of the country under the able leadership of my fellow officers, the enemies are on the run, their organizations are collapsing like a deck of cards, and socio-economic progress is making significant headway.

And in the country’s political, and economic center, the National Capital Region under Major General Fernando Mesa’s NCR Command, our soldiers have contained both the propaganda machinery and the Armed capabilities of the enemies of democracy.

And by "Enemies of Democracy" I refer not only to the insurgents representing the CPP-NPANDF, I also refer to rogues in military uniform whose politically tainted aspirations provided the impetus for misguided adventurism.

Madame President, our soldiers have contained much of the threat against the security of our nation and institutions. By the grace of God, our nation is very much safer.

Even Mindanao, the Land of Promise is safe.

Oplan Ultimatum 1 and Ultimatum 2 have crippled the capability of the enemies of peace. And our soldiers have made sure that Mindanao, especially the formerly terrorist-infested Basilan, Sulu and Tawi-Tawi are inhospitable to terrorists, whether local or foreign.

Our soldiers have sent them a strong message: We will get you no matter what!

And hand in hand, shoulder to shoulder with our local communities in Mindanao – Christians, Muslims and Lumads – our soldiers have made the message clear: Mindanao is off limits to terrorists.

Madame President, our soldiers are tough on insurgents and terrorists. But they are even tougher on the root causes of insurgency and terrorism.

They are aware that social and economic marginalization spawn the grievances that are, in turn, exploited by the enemies of democracy for their malicious ends.

In marking our many recent victories, our soldiers made use not only of the tools of war, but also the bigger and more powerful arsenal of development. This arsenal has been consolidated in the national development support command under Major General Jaime Buenaflor which we activated last September.

The Command showcases our developmental capabilities and of our soldiers’ firm determination to reach the farthest-flung areas in the country and there build or repair roads and schools; bring medicines and livelihood; bring hope and restore lives.

The National Development Support Command will again prove, Madame President, that when our people gain access to new opportunities for better lives, insurgency loses its foothold.

This is the lesson we learn from one of the President’s favorite programs, the "Kalayaan Barangay" program that for 2007 has been completed one hundred percent in Western Mindanao, more than 98 percent in Eastern Mindanao and more than 97 percent in the Visayas. We are now pursuing new projects for 2008 worth one billion pesos.

The success of the program underscored the effectiveness of the tandem approach – military operations working hand in hand with the arsenal of socio-economic development, the employment of hard power in tandem with soft power.

More important, it underscored the passion of our soldiers for the upliftment of the lives of their countrymen – their fellow Filipinos to whom they are not merely soldiers, but also teachers, engineers, even counselors and friends. In performing these roles, they even become symbols of the compassion of government. Our soldiers are firm in their commitment; with patriotism as their capital, with democracy as their aspiration, with peace as their end goal.

Madame President, the gains of the AFP under my watch would not have been possible without the full, undistracted focus of our soldiers on their mandate and mission.

I am pleased to report, Madame President, that our soldiers today are dedicated to the taks for which they have been trained and which they are sworn to under the flag and Constitution to fulfill.

Today, our officers and men have made a strong stand against military adventurism. More than ever, it is clear to our soldiers that the sanctity and stability of our democratic institutions is something they must defend, not undermine.

More than ever, it is clear to our soldiers that military adventurism is an obsession that exacts a heavy toll – a heavy toll on their careers, on their families, and most of all, on the country.

It is clear to them that grievances within the organization must be heard and immediately addressed within the very confines of that organization. It is clear to them that their legitimate needs and those of their loved ones are recognized by the AFP, and that the AFP has taken it as a sacred duty to meet their needs to the best it can.

It is for this reason that the AFP Housing Board, under the Vice Chief of Staff, Lieutenant General Antonio Romero, has put the AFP housing program on high gear, especially with your recent release of one billion pesos for housing programs.

With your unflinching support and with the help of our private sector and civil society partners, the AFP housing program is at a high point today.

And so is the AFP Educational Benefits System under the Deputy Chief of Staff, Lt. General Ike Inserto. Today, the AFP is helping some 6,405 dependents of our departed or incapacitated soldiers with their education. That number will continue to rise with our growing partnership with educational institutions and foundations, we shall be prepared to meet that need.

The hazard pay and subsistence allowance of our soldiers have been increased. The base pay of our civilian employees have been raised. Our soldiers now enjoy combat incentive pay in addition to their access to better health services provided by our partner private hospitals nationwide.

Our soldiers can now fulfill their combat duties with better individual equipment, ballistic helmets, body armor; with better communication technologies; with better field medical support including our trauma hospital in Jolo and combat lifesaver kits in every squad.

Yes, our soldiers are better cared for. The gesture can by no means reciprocate for their bravery in battle and their dedication to their duties but it is a reciprocity they deserve and which we hope to further improve.

Today, my countrymen, in behalf of our soldiers, I come to you for a call. This is a call to urgency. With the inspiration that you have provided me, you also built up my passion for mission accomplishment. You have similarly inspired my fellow soldiers. We, your soldiers are about to succeed against the CPP-NPA. This opportunity must not slip from our grip. Let us join hands and come to a national passion of finally defeating the CPP/NPA. Our country will not benefit from this long conflict. We must bring it to a rapid conclusion. Now is the time. There could be no other time. This is a call to everyone, young or old, retired or active. This is a call to urgency.

Madame President, I now leave our soldiers to the care of a fellow officer, a soldier tested both in battle and in the quest for lasting peace in Mindanao.

I shall be at peace in my retirement knowing that the AFP is in the hands of one who is able and competent; of one who shares the aspiration of every Filipino soldier, and of every Filipino for that matter.

As I turn over the command to Lt. General Alexander Yano, allow me, Madame President, to say my thanks.

Foremost, to you our Commander-in-Chief: For your inspiring and resolute leadership; for the clarity of your vision for the nation and the AFP; for affording us the operational fund support to pursue our mission of defeating enemies of the state by 2010; for your tweaking and providing funds for our capability upgrade program so that we are now better off with our new move, shoot and communicate equipage; thank you for your compassion for our soldiers and their families including the repentant adventurists. And thank you for the trust and confidence you gave me in entrusting the command of the AFP to this soldier from Pangasinan.

(Thank you, Mrs. President. The task has not been an easy one. But what you gave me was a rare privilege to serve the flag and nation we both love with consuming passion).

To the Secretary of National Defense, the Honorable Gilbert Teodoro, for the guidance, the inspiration and the untiring efforts to help the AFP fulfill its mission.

To the commanders of the major services who selflessly shared the burden of leadership with me: The Commanding General of the Philippine Army, Lt. General Yano; the Navy Flag Officer-in-Command, Admiral Rogelio Calunsag. The Commanding General of the Philippine Air Force, General Pete Cadungog.

To all the other officers and men of the armed forces; (To the men and women who worked in the office of the AFP chief-of-staff). Thank you for doing your part; for helping me do my job and do it well.

To our national and local government officials; especially the Philippine National Police under Generals Oscar Calderon and Avelino Razon Jr.; Indeed things would have turned different altogether if not for our unity, solidarity and teamwork.

May I make a special mention for our allies in the Asia-Pacific region especially of the United States and armed forces. Their keen support in counter-terrorism and development in Southern Philippines made our victories against the ASG and JI even more audacious. I must also acknowledge the intense intelligence exchanges and material support from the ASEAN, Australian, Chinese and New Zealand armed forces.

May I also acknowledge our colleagues who compose the international monitoring team in the Mindanao peace process. They are from Malaysia, Brunei, Libya, Japan and Canada.

To our private sector partners. Thank you for your support and cooperation with our mission. Thank you for sharing in the task of promoting the welfare of our soldiers.

Allow me to thank my family, especially my wife, Dr. Lorna Esperon. You shared both the joys and the pains of leadership that are inherent to the office of the AFP chief of staff. Lorna, you stood by me in the most difficult moments. Your own courage kept me strong. The kindness of your heart kept alive my own faith in God and in our countrymen. Thank you for your work with the AFP Officers Ladies Organizations. I must say your health and family programs, including partnerships with the Philippine Medical Association and your medical civic actions touched our fighting soldiers.

Finally, allow me to thank our countrymen for the opportunity to serve. The quality of a soldier’s service to his nation is determined by the intensity of the inspiration that his nation gives him. So, this I would say: That since my stint as a platoon leader in 1974 to my appointment as AFP Chief of Staff in 2006, I have never lacked the inspiration from our countrymen.

In this soldier’s heart, there is no regret nor rancor as I retire. There is only faith, and hope and gratitude to God Almighty and to our people.