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Sunday, February 18, 2018

World Partners Bank Ranks 2nd in Non-Performing Loans as % of Stockholder's Equity as of September 30, 2017

Editor's Note: Data is culled from  the Published Statements of Condition of individual Philippine Banks found in www.bsp.gov.ph.  

This blog post updates previous blog posts such as Philippine Postal Savings Bank Ranks 1st in Non-Performing Loans as % of Stockholder's Equity as of June 30, 2017 .


NPLs.  Short for Non-Performing Loans.  The NPL Ratio or the ratio of a bank's Non-Performing Loans (NPL) to Total Loan Portfolio (TLP) is a frequently cited figure in the general media to indicate a bank's financial health or the health of the banking system as a whole.  See: "Banks reduce exposure to bad debts, have more cash to loan out—BSP".

In the Philippine Banking Industry, Gross Non-Performing Loans stood at Php 145.94 billion as of September 30, 2017 - approximately 1.77% of the Philippine Banking Industry's Total Loan Portfolio of Php 8.26 trillion.



Philippine Banking System
NPL as % of TLP
September 30, 2017











Gross NPL/ Gross TLP
Bank Gross NPLs Gross TLP (In %)
PHIL STAR DEVELOPMENT BANK INC 13,618,385.28 24,500,782.27 55.58%
PHIL POSTAL SAVINGS BANK INC 2,508,468,000.93 5,744,862,007.68 43.66%
MALASIQUI PROGRESSIVE SLB, INC 16,462,941.25 40,099,749.13 41.05%
WORLD PARTNERS BANK (A THRIFT BANK) 133,433,965.51 369,686,690.87 36.09%
NORTHPOINT DEV'T BANK INC 167,453,354.61 488,457,053.42 34.28%
LEGAZPI SAVINGS BANK INC 320,173,069.38 1,314,412,780.16 24.36%
UNIVERSITY SAVINGS BANK INC 116,956,047.27 496,844,416.03 23.54%
BATAAN SAVINGS AND LOAN BANK 2,089,556.31 8,883,494.35 23.52%
YUANTA SAVINGS BANK PHILIPPINES INC 112,954,004.98 488,100,511.78 23.14%
LIFE SAVINGS BANK INC 11,416,781.69 51,328,132.95 22.24%
MARITIME SAVINGS BANK CORPORATION 23,382,029.78 113,479,698.19 20.60%
PACIFIC ACE SAVINGS BANK INC 3,359,285.69 18,307,602.69 18.35%
LUZON DEVELOPMENT BANK 545,046,546.55 3,126,117,639.91 17.44%
LEMERY SAVINGS & LOAN BANK, INC. 13,423,090.28 93,153,053.58 14.41%
PAMPANGA DEVELOPMENT BANK 51,971,314.94 372,928,966.84 13.94%
HIYAS BANKING CORPORATION 34,353,876.46 247,198,160.81 13.90%
ENTERPRISE BANK INC (A THRIFT BANK) 215,713,578.66 1,680,240,185.10 12.84%
BATAAN DEVELOPMENT BANK 23,282,834.47 181,731,851.49 12.81%
FARMERS SAVINGS & LOAN BANK INC 23,926,681.31 202,216,693.64 11.83%
EQUICOM SAVINGS BANK INC 667,607,093.01 5,767,977,570.78 11.57%
PHILIPPINE VETERANS BANK 1,883,037,451.22 16,351,335,745.82 11.52%
PENBANK INC (A PDB) (FORMERLY: PENINSULA RB INC) 188,311,423.89 1,729,726,141.75 10.89%
PHILIPPINE RESOURCES SAVINGS BANKING CORPORATION (PR SAVINGS BANK) 1,044,815,027.27 9,669,052,791.85 10.81%
BANK OF MAKATI (A SAVINGS BANK) INC 2,326,624,061.12 22,331,893,690.78 10.42%
MALAYAN BANK SAVINGS AND MORT BANK INC 435,420,208.60 4,349,622,153.99 10.01%
CITYSTATE SAVINGS BANK INC 188,959,446.02 1,940,667,782.19 9.74%
UCPB SAVINGS BANK 1,441,208,137.49 15,172,610,993.13 9.50%
1ST VALLEY BANK INC A DEVELOPMENT BANK 526,595,673.05 5,553,153,750.02 9.48%
METRO CEBU PUBLIC SAVINGS BANK 8,869,721.90 96,998,130.45 9.14%
CORDILLERA SAVINGS BANK INC 15,910,979.40 184,583,522.18 8.62%
BPI DIRECT BANKO INC A SAVINGS BANK 402,048,116.22 4,946,873,915.86 8.13%
THE PALAWAN BANK (PALAWAN DB) INC 18,005,142.63 258,528,705.91 6.96%
CHINA BANK SAVINGS INC 4,130,404,304.73 64,155,254,685.32 6.44%
STANDARD CHARTERED BANK 2,625,905,469.28 41,269,883,080.69 6.36%
VILLAGE BANK INC (A THRIFT BANK) 29,349,566.91 464,113,203.81 6.32%
RCBC SAVINGS BANK INC 4,880,055,779.99 79,284,699,874.34 6.16%
WEALTH DEVELOPMENT BANK CORPORATION 380,390,453.79 6,679,108,966.06 5.70%
DUMAGUETE CITY DEV BANK INC 29,599,686.48 572,564,507.05 5.17%
PRODUCERS SAVINGS BANK CORPORATION 422,122,515.34 8,223,544,581.17 5.13%
CENTURY SAVINGS BANK CORPORATION 35,040,627.61 692,756,493.72 5.06%
PHIL BANK OF COMMUNICATIONS 2,216,599,337.40 47,905,082,372.72 4.63%
EAST WEST BANKING CORP 8,571,691,526.36 197,214,306,063.31 4.35%
BANK ONE SAVINGS AND TRUST CORP. 49,944,276.09 1,243,571,621.70 4.02%
BUSINESS AND CONSUMERS BANK (A DB) 6,090,313.34 157,907,975.33 3.86%
UNION BANK OF THE PHILS 8,069,495,405.68 210,226,172,546.88 3.84%
STERLING BANK OF ASIA INC (A SAVINGS BANK) 999,798,578.55 26,188,733,185.53 3.82%
BPI FAMILY SAVINGS BANK INC 7,581,005,954.14 210,551,533,396.39 3.60%
FIRST CONSOLIDATED BANK INC (A PDB) 407,424,268.73 11,549,381,132.98 3.53%
PNB SAVINGS BANK 1,435,899,069.48 41,192,455,388.91 3.49%
CITY SAVINGS BANK INC 2,171,636,478.59 63,151,639,525.61 3.44%
SUN SAVINGS BANK INC 31,865,252.35 940,788,490.50 3.39%
BANK OF COMMERCE 1,933,309,750.94 57,815,067,658.17 3.34%
ALLBANK (A THRIFT BANK) INC 53,131,404.08 1,641,596,923.25 3.24%
PHIL SAVINGS BANK 4,610,213,814.22 142,798,635,298.07 3.23%
INTER-ASIA DEVELOPMENT BANK 6,364,956.89 203,913,077.52 3.12%
UNITED COCONUT PLANTERS BANK 4,006,807,441.49 140,724,110,261.36 2.85%
PHIL TRUST COMPANY 1,121,366,905.75 41,927,002,375.42 2.67%
PHILIPPINE BUSINESS BANK INC A SAVINGS BANK 1,527,303,682.15 66,250,033,277.91 2.31%
ASIA UNITED BANK CORPORATION 2,729,346,887.64 118,692,336,295.69 2.30%
MAYBANK PHILIPPINES INCORPORATED 1,538,320,568.40 68,507,304,429.46 2.25%
CARD SME BANK INC A THRIFT BANK 69,511,576.66 3,296,832,851.74 2.11%
DEVELOPMENT BANK OF THE PHIL 5,788,443,476.53 276,462,828,566.56 2.09%
MERCHANTS SAVINGS & LOAN ASSN INC 21,944,310.69 1,048,859,851.85 2.09%
PHIL NATIONAL BANK 8,771,640,884.50 427,566,996,674.77 2.05%
HSBC SAVINGS BANK(PHILS) INC 51,109,354.88 3,205,893,669.56 1.59%
LAND BANK OF THE PHILIPPINES 9,545,698,986.46 610,832,570,250.45 1.56%
QUEEN CITY DEVELOPMENT BANK INC OR QUEENBANK A THRIFT BANK 24,547,464.17 1,620,598,229.89 1.51%
ROBINSONS BANK CORPORATION 771,694,104.69 53,243,335,521.48 1.45%
BANK OF CHINA LIMITED-MANILA BRANCH 188,969,213.72 13,434,051,214.41 1.41%
CTBC BANK (PHILIPPINES) CORP 427,998,126.17 30,930,205,257.47 1.38%
ANZ BANKING GROUP LTD 404,087,064.26 31,534,582,210.88 1.28%
BANGKO KABAYAN INC (A PRIVATE DEVELOPMENT BANK) 19,285,872.47 1,543,314,982.44 1.25%
AL-AMANAH ISLAMIC INVESTMENT BANK OF THE PHILS 5,222,336.47 465,856,262.81 1.12%
HONGKONG & SHANGHAI BANKING CORP 745,759,554.02 68,168,764,444.33 1.09%
CHINA BANKING CORP 4,034,201,792.60 372,073,819,046.05 1.08%
BDO UNIBANK INC 18,340,530,156.37 1,699,590,325,341.91 1.08%
RIZAL COMM'L BANKING CORP 2,738,199,180.71 257,003,478,605.63 1.07%
BANK OF THE PHIL ISLANDS 9,657,461,045.03 936,521,746,266.58 1.03%
QUEZON COCONUT BANK INC (A THRIFT BANK) 519,588.36 62,239,900.61 0.83%
METROPOLITAN BANK & TCO 6,115,557,253.03 928,840,152,178.94 0.66%
SECURITY BANK CORP 2,178,978,925.78 371,061,421,976.43 0.59%
CITIBANK, N.A. 886,570,461.17 196,401,565,772.92 0.45%
KEB HANA BANK - MANILA BRANCH 28,131,704.26 6,305,489,528.96 0.45%
BANGKOK BANK PUBLIC CO LTD 35,377,890.77 8,575,099,025.79 0.41%
ING BANK N.V. 103.63 12,171,649,368.29 0.00%
BANK OF AMERICA N.A. 0.00 5,213,822,526.77 0.00%
BDO PRIVATE BANK, INC. 0.00 8,097,900,367.14 0.00%
CATHAY UNITED BANK CO LTD - MANILA BRANCH 0.00 1,278,700,340.90 0.00%
DEUTSCHE BANK AG 0.00 41,077,991,671.55 0.00%
FIRST COMMERCIAL BANK LTD MANILA BRANCH 0.00 242,000,000.00 0.00%
HUA NAN COMMERCIAL BANK LTD MANILA BRANCH 0.00 0.00 NA
INDUSTRIAL BANK OF KOREA MANILA BRANCH 0.00 1,606,228,766.34 0.00%
ISLA BANK(A THRIFT BANK) INC 0.00 657,239,778.42 0.00%
JP MORGAN CHASE BANK NATIONAL ASSN. 0.00 23,559,467,795.11 0.00%
MEGA INT'L COMM'L BANK CO LTD 0.00 11,869,126,550.93 0.00%
MIZUHO BANK LTD - MANILA BRANCH 0.00 49,503,206,030.80 0.00%
SHINHAN BANK - MANILA BRANCH 0.00 1,219,285,528.25 0.00%
SUMITOMO MITSUI BANKING CORPORATION-MANILA BRANCH 0.00 15,910,933,550.00 0.00%
THE BNK OF TOKYO-MITSUBISHI UFJ LTD 0.00 32,526,188,169.16 0.00%
UNITED OVERSEAS BANK LIMITED MANILA BRANCH 0.00 1,598,061,555.00 0.00%
Grand Total 145,936,822,530.97 8,259,960,900,685.59 1.77%

There are five Philippine Banks with a Gross NPL Ratio greater than 25.00% of Total Loan Portfolio (TLP).  These are as follows:
  1.     Philippine Star Development Bank, Inc. (55.58% of TLP)
  2.     Philippine Postal Savings Bank Inc. (43.66% of TLP)
  3.     Malasiqui Progressive SLB, Inc. (41.05% of TLP)
  4.     World Partners Bank (36.09% of TLP)
  5.     Northpoint Development Bank, Inc. (34.28% of TLP)



The ratio of a bank's NPLs to its total Stockholders Equity (SE) maybe more important than the ratio of its NPLs to Total Loan Portfolio.  The idea behind this is that NPLs are fragile things.  As a loan deteriorates, its recoverable value will deteriorate as well.  A foreclosure will most likely result in a loan recovery that is a mere fraction of the loan's original value.  Therefore, banks with high NPL Ratios relative to their Stockholders Equity may face a significant loss of capital if a substantial amount of their NPLs are written off as a loss.



On an overall basis, the Gross NPLs of Philippine Banks amounted to 8.85% of Stockholders Equity as of September 30, 2017.

 
Philippine Banking System
NPL as % of SE
September 30, 2017









NPL SE NPL/SE
Bank (In PHP) (In PHP) (In %)
PHIL POSTAL SAVINGS BANK INC 2,508,468,000.93 912,190,817.96 274.99%
WORLD PARTNERS BANK (A THRIFT BANK) 133,433,965.51 52,424,149.24 254.53%
EQUICOM SAVINGS BANK INC 667,607,093.01 702,493,775.37 95.03%
LUZON DEVELOPMENT BANK 545,046,546.55 608,587,401.07 89.56%
ENTERPRISE BANK INC (A THRIFT BANK) 215,713,578.66 280,195,073.92 76.99%
MARITIME SAVINGS BANK CORPORATION 23,382,029.78 37,087,935.24 63.04%
LEGAZPI SAVINGS BANK INC 320,173,069.38 537,350,772.59 59.58%
PHILIPPINE VETERANS BANK 1,883,037,451.22 3,497,229,644.77 53.84%
UCPB SAVINGS BANK 1,441,208,137.49 2,941,708,331.13 48.99%
NORTHPOINT DEV'T BANK INC 167,453,354.61 349,870,036.19 47.86%
THE PALAWAN BANK (PALAWAN DB) INC 18,005,142.63 38,796,966.79 46.41%
CHINA BANK SAVINGS INC 4,130,404,304.73 9,020,020,772.21 45.79%
PHILIPPINE RESOURCES SAVINGS BANKING CORPORATION (PR SAVINGS BANK) 1,044,815,027.27 2,330,423,041.47 44.83%
RCBC SAVINGS BANK INC 4,880,055,779.99 11,406,749,774.02 42.78%
VILLAGE BANK INC (A THRIFT BANK) 29,349,566.91 70,575,666.57 41.59%
STANDARD CHARTERED BANK 2,625,905,469.28 6,607,584,228.73 39.74%
PENBANK INC (A PDB) (FORMERLY: PENINSULA RB INC) 188,311,423.89 486,928,896.76 38.67%
STERLING BANK OF ASIA INC (A SAVINGS BANK) 999,798,578.55 2,614,441,434.70 38.24%
MALAYAN BANK SAVINGS AND MORT BANK INC 435,420,208.60 1,176,335,297.85 37.01%
PAMPANGA DEVELOPMENT BANK 51,971,314.94 148,200,486.72 35.07%
1ST VALLEY BANK INC A DEVELOPMENT BANK 526,595,673.05 1,594,183,681.39 33.03%
BANK OF MAKATI (A SAVINGS BANK) INC 2,326,624,061.12 7,177,253,101.88 32.42%
MALASIQUI PROGRESSIVE SLB, INC 16,462,941.25 52,202,636.18 31.54%
UNIVERSITY SAVINGS BANK INC 116,956,047.27 417,685,916.66 28.00%
BATAAN DEVELOPMENT BANK 23,282,834.47 83,685,275.51 27.82%
BPI FAMILY SAVINGS BANK INC 7,581,005,954.14 27,332,288,317.29 27.74%
WEALTH DEVELOPMENT BANK CORPORATION 380,390,453.79 1,474,494,842.00 25.80%
PRODUCERS SAVINGS BANK CORPORATION 422,122,515.34 1,673,043,542.61 25.23%
CITYSTATE SAVINGS BANK INC 188,959,446.02 750,760,752.25 25.17%
EAST WEST BANKING CORP 8,571,691,526.36 37,335,941,987.02 22.96%
PHIL SAVINGS BANK 4,610,213,814.22 20,553,887,937.32 22.43%
UNITED COCONUT PLANTERS BANK 4,006,807,441.49 17,915,131,482.85 22.37%
HIYAS BANKING CORPORATION 34,353,876.46 172,583,685.53 19.91%
BPI DIRECT BANKO INC A SAVINGS BANK 402,048,116.22 2,026,159,831.01 19.84%
PHIL BANK OF COMMUNICATIONS 2,216,599,337.40 11,928,226,773.54 18.58%
FARMERS SAVINGS & LOAN BANK INC 23,926,681.31 132,550,717.23 18.05%
CITY SAVINGS BANK INC 2,171,636,478.59 12,706,877,725.77 17.09%
LIFE SAVINGS BANK INC 11,416,781.69 67,270,003.62 16.97%
METRO CEBU PUBLIC SAVINGS BANK 8,869,721.90 52,804,532.18 16.80%
SUN SAVINGS BANK INC 31,865,252.35 190,859,259.93 16.70%
LEMERY SAVINGS & LOAN BANK, INC. 13,423,090.28 81,595,968.41 16.45%
PHILIPPINE BUSINESS BANK INC A SAVINGS BANK 1,527,303,682.15 10,074,646,988.78 15.16%
PHIL STAR DEVELOPMENT BANK INC 13,618,385.28 95,512,977.18 14.26%
DEVELOPMENT BANK OF THE PHIL 5,788,443,476.53 46,550,980,106.56 12.43%
BANK OF COMMERCE 1,933,309,750.94 15,611,461,237.37 12.38%
PNB SAVINGS BANK 1,435,899,069.48 11,722,055,280.02 12.25%
MAYBANK PHILIPPINES INCORPORATED 1,538,320,568.40 12,564,639,453.88 12.24%
UNION BANK OF THE PHILS 8,069,495,405.68 65,938,706,351.21 12.24%
YUANTA SAVINGS BANK PHILIPPINES INC 112,954,004.98 973,401,700.92 11.60%
CORDILLERA SAVINGS BANK INC 15,910,979.40 144,410,140.75 11.02%
DUMAGUETE CITY DEV BANK INC 29,599,686.48 282,851,266.90 10.46%
ASIA UNITED BANK CORPORATION 2,729,346,887.64 26,504,553,463.24 10.30%
FIRST CONSOLIDATED BANK INC (A PDB) 407,424,268.73 4,243,049,159.99 9.60%
ANZ BANKING GROUP LTD 404,087,064.26 4,242,436,078.21 9.52%
INTER-ASIA DEVELOPMENT BANK 6,364,956.89 67,233,113.70 9.47%
LAND BANK OF THE PHILIPPINES 9,545,698,986.46 101,943,418,116.82 9.36%
BANK ONE SAVINGS AND TRUST CORP. 49,944,276.09 584,102,778.37 8.55%
PHIL NATIONAL BANK 8,771,640,884.50 106,035,778,273.85 8.27%
CARD SME BANK INC A THRIFT BANK 69,511,576.66 877,516,443.55 7.92%
BANK OF CHINA LIMITED-MANILA BRANCH 188,969,213.72 2,580,749,046.71 7.32%
BUSINESS AND CONSUMERS BANK (A DB) 6,090,313.34 87,068,500.59 6.99%
BDO UNIBANK INC 18,340,530,156.37 293,986,619,750.52 6.24%
ROBINSONS BANK CORPORATION 771,694,104.69 12,401,830,668.75 6.22%
CTBC BANK (PHILIPPINES) CORP 427,998,126.17 7,097,828,768.53 6.03%
ALLBANK (A THRIFT BANK) INC 53,131,404.08 903,007,636.97 5.88%
BANK OF THE PHIL ISLANDS 9,657,461,045.03 174,856,293,663.35 5.52%
HONGKONG & SHANGHAI BANKING CORP 745,759,554.02 13,895,030,853.83 5.37%
CHINA BANKING CORP 4,034,201,792.60 75,949,384,511.58 5.31%
CITIBANK, N.A. 886,570,461.17 17,519,765,588.91 5.06%
PACIFIC ACE SAVINGS BANK INC 3,359,285.69 74,249,704.16 4.52%
PHIL TRUST COMPANY 1,121,366,905.75 25,015,724,609.18 4.48%
RIZAL COMM'L BANKING CORP 2,738,199,180.71 64,861,968,770.74 4.22%
BANGKO KABAYAN INC (A PRIVATE DEVELOPMENT BANK) 19,285,872.47 477,480,991.72 4.04%
QUEEN CITY DEVELOPMENT BANK INC OR QUEENBANK A THRIFT BANK 24,547,464.17 652,183,207.72 3.76%
BATAAN SAVINGS AND LOAN BANK 2,089,556.31 57,340,856.43 3.64%
CENTURY SAVINGS BANK CORPORATION 35,040,627.61 986,255,355.88 3.55%
MERCHANTS SAVINGS & LOAN ASSN INC 21,944,310.69 619,980,068.95 3.54%
METROPOLITAN BANK & TCO 6,115,557,253.03 199,943,990,930.40 3.06%
HSBC SAVINGS BANK(PHILS) INC 51,109,354.88 1,894,764,577.93 2.70%
SECURITY BANK CORP 2,178,978,925.78 101,502,917,257.72 2.15%
AL-AMANAH ISLAMIC INVESTMENT BANK OF THE PHILS 5,222,336.47 260,731,005.77 2.00%
KEB HANA BANK - MANILA BRANCH 28,131,704.26 1,636,435,622.34 1.72%
BANGKOK BANK PUBLIC CO LTD 35,377,890.77 3,145,339,339.96 1.12%
QUEZON COCONUT BANK INC (A THRIFT BANK) 519,588.36 58,492,054.63 0.89%
ING BANK N.V. 103.63 2,457,969,000.41 0.00%
BANK OF AMERICA N.A. 0.00 2,091,322,952.20 0.00%
BDO PRIVATE BANK, INC. 0.00 5,251,554,616.09 0.00%
CATHAY UNITED BANK CO LTD - MANILA BRANCH 0.00 2,131,959,607.41 0.00%
DEUTSCHE BANK AG 0.00 2,531,311,509.69 0.00%
FIRST COMMERCIAL BANK LTD MANILA BRANCH 0.00 2,024,021,798.12 0.00%
HUA NAN COMMERCIAL BANK LTD MANILA BRANCH 0.00 2,081,351,164.93 0.00%
INDUSTRIAL BANK OF KOREA MANILA BRANCH 0.00 2,271,224,385.43 0.00%
ISLA BANK(A THRIFT BANK) INC 0.00 675,385,523.04 0.00%
JP MORGAN CHASE BANK NATIONAL ASSN. 0.00 1,304,593,848.06 0.00%
MEGA INT'L COMM'L BANK CO LTD 0.00 1,856,041,660.71 0.00%
MIZUHO BANK LTD - MANILA BRANCH 0.00 5,512,796,843.22 0.00%
SHINHAN BANK - MANILA BRANCH 0.00 2,208,080,775.75 0.00%
SUMITOMO MITSUI BANKING CORPORATION-MANILA BRANCH 0.00 12,836,854,089.47 0.00%
THE BNK OF TOKYO-MITSUBISHI UFJ LTD 0.00 4,653,117,496.08 0.00%
UNITED OVERSEAS BANK LIMITED MANILA BRANCH 0.00 2,346,970,697.12 0.00%
Grand Total 145,936,822,530.97 1,648,695,424,715.78 8.85%



Of the 100 banks in this list, twenty-three banks have a Gross NPL to Stockholders Equity Ratio of 30% or more as of September 30, 2017.  These banks are as follows:

  1. Philippine Postal Savings Bank (274.99% of SE)
  2. World Partners Bank (254.53% of SE)
  3. Equicom Savings Bank (95.03% of SE)
  4. Luzon Development Bank (89.56% of SE)
  5. Enterprise Bank (76.99% of SE)
  6. Maritime Savings Bank Corporation (63.04% of SE)
  7. Legazpi Savings Bank (59.58% of SE)
  8. Philippine Veterans Bank (53.84% of SE)
  9. UCPB Savings Bank (48.99% of SE)
  10. Northpoint Development Bank (47.86% of SE)
  11. The Palawan Bank (46.41% of SE)
  12. China Bank Savings (45.79% of SE)
  13. Philippine Resources Savings Banking Corporation (44.83% of SE)
  14. RCBC Savings Bank (42.78% of SE)
  15. Village Bank Inc (41.59% of SE)
  16. Standard Chartered Bank (39.74% of SE)
  17. Penbank Inc (38.67% of SE)
  18. Sterling Bank of Asia (38.24% of SE)
  19. Malayan Bank Savings and Mortgage Bank (37.01% of SE)
  20. Pampanga Development Bank (35.07% of SE)
  21. 1st Valley Bank Inc (33.03% of SE)
  22. Bank of Makati (32.42% of SE)
  23. Malasiqui Progressive SLB, Inc. (31.54% of SE)
Source: www.bsp.gov.ph 

Sunday, February 11, 2018

An 80% Minimum NPL Coverage Ratio will Result in a Severe Undercapitalization of Some Philippine Banks - September 30, 2017

In a previous blog post called "Are Philippine Banks Under Provisioning Loan Losses? - As of September 30, 2017", we discussed the current aggregate Loan Loss Reserves (LLR) as a percentage of Total Loan Portfolio (TLP), which stood at 1.93% as of September 30, 2017, is below the historic average of 4.08% for the last thirty-four years.
 
Despite NPLs being at or near historic lows, some banks still have not adequately provisioned for loan losses. Their NPL Coverage Ratios are below the ideal ratio of 100% and even below the suggested minimum of 80% NPL Coverage Ratio.

As the table below suggests, it seems that around 38 banks (highlighted in yellow, failed banks in red) fall into this deficiency.

Philippine Banking System
NPL Coverage Ratio
September 30, 2017








Bank Loan Loss Provisions Gross NPLs NPL Coverage Ratio
PHIL POSTAL SAVINGS BANK INC 357,874,671.93 2,508,468,000.93 14.27%
MARITIME SAVINGS BANK CORPORATION 6,948,645.24 23,382,029.78 29.72%
CITYSTATE SAVINGS BANK INC 57,985,000.97 188,959,446.02 30.69%
LUZON DEVELOPMENT BANK 168,938,771.90 545,046,546.55 31.00%
PHILIPPINE RESOURCES SAVINGS BANKING CORPORATION (PR SAVINGS BANK) 351,480,550.35 1,044,815,027.27 33.64%
LEMERY SAVINGS & LOAN BANK, INC. 4,774,277.32 13,423,090.28 35.57%
UNIVERSITY SAVINGS BANK INC 43,442,434.66 116,956,047.27 37.14%
WEALTH DEVELOPMENT BANK CORPORATION 143,660,259.48 380,390,453.79 37.77%
UCPB SAVINGS BANK 572,211,629.75 1,441,208,137.49 39.70%
MALASIQUI PROGRESSIVE SLB, INC 6,951,706.48 16,462,941.25 42.23%
LIFE SAVINGS BANK INC 4,824,695.67 11,416,781.69 42.26%
MALAYAN BANK SAVINGS AND MORT BANK INC 185,282,008.54 435,420,208.60 42.55%
ALLBANK (A THRIFT BANK) INC 23,226,813.08 53,131,404.08 43.72%
PRODUCERS SAVINGS BANK CORPORATION 186,386,253.06 422,122,515.34 44.15%
EQUICOM SAVINGS BANK INC 316,625,637.43 667,607,093.01 47.43%
1ST VALLEY BANK INC A DEVELOPMENT BANK 256,966,756.18 526,595,673.05 48.80%
RCBC SAVINGS BANK INC 2,431,453,414.48 4,880,055,779.99 49.82%
CHINA BANK SAVINGS INC 2,212,793,269.62 4,130,404,304.73 53.57%
AL-AMANAH ISLAMIC INVESTMENT BANK OF THE PHILS 2,812,854.03 5,222,336.47 53.86%
PNB SAVINGS BANK 773,674,598.91 1,435,899,069.48 53.88%
WORLD PARTNERS BANK (A THRIFT BANK) 74,823,694.59 133,433,965.51 56.08%
CENTURY SAVINGS BANK CORPORATION 19,702,529.95 35,040,627.61 56.23%
ENTERPRISE BANK INC (A THRIFT BANK) 121,353,813.66 215,713,578.66 56.26%
SUN SAVINGS BANK INC 18,318,429.65 31,865,252.35 57.49%
CITY SAVINGS BANK INC 1,254,175,930.66 2,171,636,478.59 57.75%
PAMPANGA DEVELOPMENT BANK 31,606,995.59 51,971,314.94 60.82%
DUMAGUETE CITY DEV BANK INC 19,299,237.59 29,599,686.48 65.20%
STANDARD CHARTERED BANK 1,712,514,476.20 2,625,905,469.28 65.22%
PENBANK INC (A PDB) (FORMERLY: PENINSULA RB INC) 123,223,858.03 188,311,423.89 65.44%
STERLING BANK OF ASIA INC (A SAVINGS BANK) 664,337,067.00 999,798,578.55 66.45%
ANZ BANKING GROUP LTD 269,626,393.67 404,087,064.26 66.72%
PHIL STAR DEVELOPMENT BANK INC 9,276,107.75 13,618,385.28 68.11%
EAST WEST BANKING CORP 6,007,211,039.23 8,571,691,526.36 70.08%
NORTHPOINT DEV'T BANK INC 119,391,217.75 167,453,354.61 71.30%
UNITED COCONUT PLANTERS BANK 2,879,657,626.33 4,006,807,441.49 71.87%
BATAAN SAVINGS AND LOAN BANK 1,595,044.62 2,089,556.31 76.33%
PHILIPPINE VETERANS BANK 1,545,833,818.57 1,883,037,451.22 82.09%
LEGAZPI SAVINGS BANK INC 266,204,467.71 320,173,069.38 83.14%
HIYAS BANKING CORPORATION 28,859,545.81 34,353,876.46 84.01%
ASIA UNITED BANK CORPORATION 2,398,708,327.73 2,729,346,887.64 87.89%
CORDILLERA SAVINGS BANK INC 14,015,675.60 15,910,979.40 88.09%
BANK ONE SAVINGS AND TRUST CORP. 44,384,460.48 49,944,276.09 88.87%
PHILIPPINE BUSINESS BANK INC A SAVINGS BANK 1,377,129,761.34 1,527,303,682.15 90.17%
PACIFIC ACE SAVINGS BANK INC 3,128,611.95 3,359,285.69 93.13%
PHIL SAVINGS BANK 4,437,039,977.44 4,610,213,814.22 96.24%
MAYBANK PHILIPPINES INCORPORATED 1,488,402,247.81 1,538,320,568.40 96.76%
PHIL BANK OF COMMUNICATIONS 2,160,147,833.79 2,216,599,337.40 97.45%
QUEEN CITY DEVELOPMENT BANK INC OR QUEENBANK A THRIFT BANK 24,402,817.45 24,547,464.17 99.41%
BANK OF MAKATI (A SAVINGS BANK) INC 2,313,298,934.55 2,326,624,061.12 99.43%
BPI FAMILY SAVINGS BANK INC 7,566,095,774.51 7,581,005,954.14 99.80%
YUANTA SAVINGS BANK PHILIPPINES INC 113,008,096.86 112,954,004.98 100.05%
BATAAN DEVELOPMENT BANK 23,381,061.33 23,282,834.47 100.42%
ROBINSONS BANK CORPORATION 804,961,431.05 771,694,104.69 104.31%
VILLAGE BANK INC (A THRIFT BANK) 30,987,101.94 29,349,566.91 105.58%
BPI DIRECT BANKO INC A SAVINGS BANK 431,833,619.78 402,048,116.22 107.41%
BANK OF COMMERCE 2,104,388,186.18 1,933,309,750.94 108.85%
FARMERS SAVINGS & LOAN BANK INC 26,449,814.62 23,926,681.31 110.55%
UNION BANK OF THE PHILS 9,045,851,109.76 8,069,495,405.68 112.10%
DEVELOPMENT BANK OF THE PHIL 6,829,373,585.30 5,788,443,476.53 117.98%
LAND BANK OF THE PHILIPPINES 11,704,299,689.59 9,545,698,986.46 122.61%
INTER-ASIA DEVELOPMENT BANK 7,953,225.52 6,364,956.89 124.95%
THE PALAWAN BANK (PALAWAN DB) INC 22,860,428.44 18,005,142.63 126.97%
HONGKONG & SHANGHAI BANKING CORP 971,318,939.15 745,759,554.02 130.25%
RIZAL COMM'L BANKING CORP 3,729,435,227.92 2,738,199,180.71 136.20%
PHIL NATIONAL BANK 12,022,124,234.33 8,771,640,884.50 137.06%
MERCHANTS SAVINGS & LOAN ASSN INC 30,510,360.82 21,944,310.69 139.04%
CHINA BANKING CORP 5,827,772,846.39 4,034,201,792.60 144.46%
BDO UNIBANK INC 27,110,966,691.04 18,340,530,156.37 147.82%
FIRST CONSOLIDATED BANK INC (A PDB) 643,528,677.51 407,424,268.73 157.95%
BANGKO KABAYAN INC (A PRIVATE DEVELOPMENT BANK) 30,841,940.08 19,285,872.47 159.92%
CARD SME BANK INC A THRIFT BANK 115,324,117.25 69,511,576.66 165.91%
CTBC BANK (PHILIPPINES) CORP 727,902,882.54 427,998,126.17 170.07%
BUSINESS AND CONSUMERS BANK (A DB) 10,387,109.24 6,090,313.34 170.55%
BANK OF THE PHIL ISLANDS 16,628,800,617.12 9,657,461,045.03 172.19%
BANK OF CHINA LIMITED-MANILA BRANCH 342,070,922.20 188,969,213.72 181.02%
HSBC SAVINGS BANK(PHILS) INC 97,284,599.77 51,109,354.88 190.35%
METRO CEBU PUBLIC SAVINGS BANK 18,559,329.09 8,869,721.90 209.24%
METROPOLITAN BANK & TCO 13,544,464,439.10 6,115,557,253.03 221.48%
PHIL TRUST COMPANY 2,598,668,029.34 1,121,366,905.75 231.74%
SECURITY BANK CORP 5,322,581,576.81 2,178,978,925.78 244.27%
KEB HANA BANK - MANILA BRANCH 70,156,824.72 28,131,704.26 249.39%
QUEZON COCONUT BANK INC (A THRIFT BANK) 1,532,986.81 519,588.36 295.04%
CITIBANK, N.A. 3,669,000,356.27 886,570,461.17 413.84%
BANGKOK BANK PUBLIC CO LTD 407,389,687.50 35,377,890.77 1151.54%
ING BANK N.V. 88,430,916.29 103.63 85333316.89%
BANK OF AMERICA N.A. 27,699,996.00 0.00 NA
BDO PRIVATE BANK, INC. 70,426,644.78 0.00 NA
CATHAY UNITED BANK CO LTD - MANILA BRANCH 11,387,003.41 0.00 NA
DEUTSCHE BANK AG 145,910,504.41 0.00 NA
FIRST COMMERCIAL BANK LTD MANILA BRANCH 2,310,000.00 0.00 NA
HUA NAN COMMERCIAL BANK LTD MANILA BRANCH 0.00 0.00 NA
INDUSTRIAL BANK OF KOREA MANILA BRANCH 15,532,197.22 0.00 NA
ISLA BANK(A THRIFT BANK) INC 4,290,580.33 0.00 NA
JP MORGAN CHASE BANK NATIONAL ASSN. 19,265,114.78 0.00 NA
MEGA INT'L COMM'L BANK CO LTD 145,409,223.49 0.00 NA
MIZUHO BANK LTD - MANILA BRANCH 477,998,367.14 0.00 NA
SHINHAN BANK - MANILA BRANCH 11,742,855.50 0.00 NA
SUMITOMO MITSUI BANKING CORPORATION-MANILA BRANCH 140,809,335.50 0.00 NA
THE BNK OF TOKYO-MITSUBISHI UFJ LTD 388,210,030.46 0.00 NA
UNITED OVERSEAS BANK LIMITED MANILA BRANCH 13,991,322.20 0.00 NA
Grand Total 171,731,463,802.97 145,936,822,530.97 117.68%



Raising the NPL Coverage Ratio to a minimum of 80% will entail additional loan loss provisions for some banks that could eat into a substantial chunk (20% or more) of their Stockholder's Equity.  Based on the table below, five banks will be severely affected:


Philippine Banking System
Impact on SE of Minimum Loan Loss Provisions
September 30, 2017










Bank Gross NPLs Minimum Loan Loss Provisions at 80% NPL Coverage Ratio Stockholder's Equity Impact on SE
PHIL POSTAL SAVINGS BANK INC 2,508,468,000.93 2,006,774,400.74 912,190,817.96 -180.76%
WORLD PARTNERS BANK (A THRIFT BANK) 133,433,965.51 106,747,172.41 52,424,149.24 -60.89%
LUZON DEVELOPMENT BANK 545,046,546.55 436,037,237.24 608,587,401.07 -43.89%
MARITIME SAVINGS BANK CORPORATION 23,382,029.78 18,705,623.82 37,087,935.24 -31.70%
EQUICOM SAVINGS BANK INC 667,607,093.01 534,085,674.41 702,493,775.37 -30.96%
PHILIPPINE RESOURCES SAVINGS BANKING CORPORATION (PR SAVINGS BANK) 1,044,815,027.27 835,852,021.82 2,330,423,041.47 -20.78%
UCPB SAVINGS BANK 1,441,208,137.49 1,152,966,509.99 2,941,708,331.13 -19.74%
ENTERPRISE BANK INC (A THRIFT BANK) 215,713,578.66 172,570,862.93 280,195,073.92 -18.28%
MALAYAN BANK SAVINGS AND MORT BANK INC 435,420,208.60 348,336,166.88 1,176,335,297.85 -13.86%
RCBC SAVINGS BANK INC 4,880,055,779.99 3,904,044,623.99 11,406,749,774.02 -12.91%
CITYSTATE SAVINGS BANK INC 188,959,446.02 151,167,556.82 750,760,752.25 -12.41%
CHINA BANK SAVINGS INC 4,130,404,304.73 3,304,323,443.78 9,020,020,772.21 -12.10%
UNIVERSITY SAVINGS BANK INC 116,956,047.27 93,564,837.82 417,685,916.66 -12.00%
MALASIQUI PROGRESSIVE SLB, INC 16,462,941.25 13,170,353.00 52,202,636.18 -11.91%
WEALTH DEVELOPMENT BANK CORPORATION 380,390,453.79 304,312,363.03 1,474,494,842.00 -10.90%
1ST VALLEY BANK INC A DEVELOPMENT BANK 526,595,673.05 421,276,538.44 1,594,183,681.39 -10.31%
PRODUCERS SAVINGS BANK CORPORATION 422,122,515.34 337,698,012.27 1,673,043,542.61 -9.04%
LEMERY SAVINGS & LOAN BANK, INC. 13,423,090.28 10,738,472.22 81,595,968.41 -7.31%
PAMPANGA DEVELOPMENT BANK 51,971,314.94 41,577,051.95 148,200,486.72 -6.73%
LIFE SAVINGS BANK INC 11,416,781.69 9,133,425.35 67,270,003.62 -6.41%
STANDARD CHARTERED BANK 2,625,905,469.28 2,100,724,375.42 6,607,584,228.73 -5.88%
PENBANK INC (A PDB) (FORMERLY: PENINSULA RB INC) 188,311,423.89 150,649,139.11 486,928,896.76 -5.63%
STERLING BANK OF ASIA INC (A SAVINGS BANK) 999,798,578.55 799,838,862.84 2,614,441,434.70 -5.18%
NORTHPOINT DEV'T BANK INC 167,453,354.61 133,962,683.69 349,870,036.19 -4.16%
CITY SAVINGS BANK INC 2,171,636,478.59 1,737,309,182.87 12,706,877,725.77 -3.80%
SUN SAVINGS BANK INC 31,865,252.35 25,492,201.88 190,859,259.93 -3.76%
PNB SAVINGS BANK 1,435,899,069.48 1,148,719,255.58 11,722,055,280.02 -3.20%
EAST WEST BANKING CORP 8,571,691,526.36 6,857,353,221.09 37,335,941,987.02 -2.28%
ALLBANK (A THRIFT BANK) INC 53,131,404.08 42,505,123.26 903,007,636.97 -2.13%
UNITED COCONUT PLANTERS BANK 4,006,807,441.49 3,205,445,953.19 17,915,131,482.85 -1.82%
PHIL STAR DEVELOPMENT BANK INC 13,618,385.28 10,894,708.22 95,512,977.18 -1.69%
DUMAGUETE CITY DEV BANK INC 29,599,686.48 23,679,749.18 282,851,266.90 -1.55%
ANZ BANKING GROUP LTD 404,087,064.26 323,269,651.41 4,242,436,078.21 -1.26%
CENTURY SAVINGS BANK CORPORATION 35,040,627.61 28,032,502.09 986,255,355.88 -0.84%
AL-AMANAH ISLAMIC INVESTMENT BANK OF THE PHILS 5,222,336.47 4,177,869.18 260,731,005.77 -0.52%
BATAAN SAVINGS AND LOAN BANK 2,089,556.31 1,671,645.05 57,340,856.43 -0.13%
HUA NAN COMMERCIAL BANK LTD MANILA BRANCH 0.00 0.00 2,081,351,164.93 0.00%
FIRST COMMERCIAL BANK LTD MANILA BRANCH 0.00 0.00 2,024,021,798.12 0.11%
SHINHAN BANK - MANILA BRANCH 0.00 0.00 2,208,080,775.75 0.53%
CATHAY UNITED BANK CO LTD - MANILA BRANCH 0.00 0.00 2,131,959,607.41 0.53%
PACIFIC ACE SAVINGS BANK INC 3,359,285.69 2,687,428.55 74,249,704.16 0.59%
UNITED OVERSEAS BANK LIMITED MANILA BRANCH 0.00 0.00 2,346,970,697.12 0.60%
ISLA BANK(A THRIFT BANK) INC 0.00 0.00 675,385,523.04 0.64%
INDUSTRIAL BANK OF KOREA MANILA BRANCH 0.00 0.00 2,271,224,385.43 0.68%
QUEEN CITY DEVELOPMENT BANK INC OR QUEENBANK A THRIFT BANK 24,547,464.17 19,637,971.34 652,183,207.72 0.73%
BANK ONE SAVINGS AND TRUST CORP. 49,944,276.09 39,955,420.87 584,102,778.37 0.76%
HIYAS BANKING CORPORATION 34,353,876.46 27,483,101.17 172,583,685.53 0.80%
ASIA UNITED BANK CORPORATION 2,729,346,887.64 2,183,477,510.11 26,504,553,463.24 0.81%
CORDILLERA SAVINGS BANK INC 15,910,979.40 12,728,783.52 144,410,140.75 0.89%
SUMITOMO MITSUI BANKING CORPORATION-MANILA BRANCH 0.00 0.00 12,836,854,089.47 1.10%
PHILIPPINE VETERANS BANK 1,883,037,451.22 1,506,429,960.98 3,497,229,644.77 1.13%
BANK OF AMERICA N.A. 0.00 0.00 2,091,322,952.20 1.32%
BDO PRIVATE BANK, INC. 0.00 0.00 5,251,554,616.09 1.34%
JP MORGAN CHASE BANK NATIONAL ASSN. 0.00 0.00 1,304,593,848.06 1.48%
ROBINSONS BANK CORPORATION 771,694,104.69 617,355,283.75 12,401,830,668.75 1.51%
PHILIPPINE BUSINESS BANK INC A SAVINGS BANK 1,527,303,682.15 1,221,842,945.72 10,074,646,988.78 1.54%
LEGAZPI SAVINGS BANK INC 320,173,069.38 256,138,455.50 537,350,772.59 1.87%
QUEZON COCONUT BANK INC (A THRIFT BANK) 519,588.36 415,670.69 58,492,054.63 1.91%
MAYBANK PHILIPPINES INCORPORATED 1,538,320,568.40 1,230,656,454.72 12,564,639,453.88 2.05%
MERCHANTS SAVINGS & LOAN ASSN INC 21,944,310.69 17,555,448.55 619,980,068.95 2.09%
YUANTA SAVINGS BANK PHILIPPINES INC 112,954,004.98 90,363,203.98 973,401,700.92 2.33%
RIZAL COMM'L BANKING CORP 2,738,199,180.71 2,190,559,344.57 64,861,968,770.74 2.37%
HONGKONG & SHANGHAI BANKING CORP 745,759,554.02 596,607,643.22 13,895,030,853.83 2.70%
KEB HANA BANK - MANILA BRANCH 28,131,704.26 22,505,363.41 1,636,435,622.34 2.91%
HSBC SAVINGS BANK(PHILS) INC 51,109,354.88 40,887,483.90 1,894,764,577.93 2.98%
BANGKO KABAYAN INC (A PRIVATE DEVELOPMENT BANK) 19,285,872.47 15,428,697.98 477,480,991.72 3.23%
PHIL BANK OF COMMUNICATIONS 2,216,599,337.40 1,773,279,469.92 11,928,226,773.54 3.24%
CHINA BANKING CORP 4,034,201,792.60 3,227,361,434.08 75,949,384,511.58 3.42%
SECURITY BANK CORP 2,178,978,925.78 1,743,183,140.62 101,502,917,257.72 3.53%
BANK OF COMMERCE 1,933,309,750.94 1,546,647,800.75 15,611,461,237.37 3.57%
ING BANK N.V. 103.63 82.90 2,457,969,000.41 3.60%
PHIL SAVINGS BANK 4,610,213,814.22 3,688,171,051.38 20,553,887,937.32 3.64%
UNION BANK OF THE PHILS 8,069,495,405.68 6,455,596,324.54 65,938,706,351.21 3.93%
LAND BANK OF THE PHILIPPINES 9,545,698,986.46 7,636,559,189.17 101,943,418,116.82 3.99%
BDO UNIBANK INC 18,340,530,156.37 14,672,424,125.10 293,986,619,750.52 4.23%
INTER-ASIA DEVELOPMENT BANK 6,364,956.89 5,091,965.51 67,233,113.70 4.26%
METROPOLITAN BANK & TCO 6,115,557,253.03 4,892,445,802.42 199,943,990,930.40 4.33%
PHIL NATIONAL BANK 8,771,640,884.50 7,017,312,707.60 106,035,778,273.85 4.72%
DEVELOPMENT BANK OF THE PHIL 5,788,443,476.53 4,630,754,781.22 46,550,980,106.56 4.72%
BANK OF THE PHIL ISLANDS 9,657,461,045.03 7,725,968,836.02 174,856,293,663.35 5.09%
CTBC BANK (PHILIPPINES) CORP 427,998,126.17 342,398,500.94 7,097,828,768.53 5.43%
BPI DIRECT BANKO INC A SAVINGS BANK 402,048,116.22 321,638,492.98 2,026,159,831.01 5.44%
BPI FAMILY SAVINGS BANK INC 7,581,005,954.14 6,064,804,763.31 27,332,288,317.29 5.49%
FARMERS SAVINGS & LOAN BANK INC 23,926,681.31 19,141,345.05 132,550,717.23 5.51%
BATAAN DEVELOPMENT BANK 23,282,834.47 18,626,267.58 83,685,275.51 5.68%
DEUTSCHE BANK AG 0.00 0.00 2,531,311,509.69 5.76%
BANK OF MAKATI (A SAVINGS BANK) INC 2,326,624,061.12 1,861,299,248.90 7,177,253,101.88 6.30%
BUSINESS AND CONSUMERS BANK (A DB) 6,090,313.34 4,872,250.67 87,068,500.59 6.33%
PHIL TRUST COMPANY 1,121,366,905.75 897,093,524.60 25,015,724,609.18 6.80%
CARD SME BANK INC A THRIFT BANK 69,511,576.66 55,609,261.33 877,516,443.55 6.80%
BANK OF CHINA LIMITED-MANILA BRANCH 188,969,213.72 151,175,370.98 2,580,749,046.71 7.40%
FIRST CONSOLIDATED BANK INC (A PDB) 407,424,268.73 325,939,414.98 4,243,049,159.99 7.48%
MEGA INT'L COMM'L BANK CO LTD 0.00 0.00 1,856,041,660.71 7.83%
THE BNK OF TOKYO-MITSUBISHI UFJ LTD 0.00 0.00 4,653,117,496.08 8.34%
MIZUHO BANK LTD - MANILA BRANCH 0.00 0.00 5,512,796,843.22 8.67%
VILLAGE BANK INC (A THRIFT BANK) 29,349,566.91 23,479,653.53 70,575,666.57 10.64%
BANGKOK BANK PUBLIC CO LTD 35,377,890.77 28,302,312.62 3,145,339,339.96 12.05%
CITIBANK, N.A. 886,570,461.17 709,256,368.94 17,519,765,588.91 16.89%
METRO CEBU PUBLIC SAVINGS BANK 8,869,721.90 7,095,777.52 52,804,532.18 21.71%
THE PALAWAN BANK (PALAWAN DB) INC 18,005,142.63 14,404,114.10 38,796,966.79 21.80%
Grand Total 145,936,822,530.97 116,749,458,024.78 1,648,695,424,715.78 3.33%


Source: www.bsp.gov.ph


Out of the five banks highlighted in yellow, four banks have been regularly listed as one of the "The Top Distressed Philippine Banks as of September 30, 2017".

The most notable of the banks in this list is Philippine Postal Savings Bank Inc. The bank faces a shortfall of 180.76% of its stated stockholder's equity of Php 912.19 million if it were to increase its loan loss provisions to meet a minimum NPL Coverage Ratio of 80%. In short, it's equity would be completely wiped out and then some if the bank were to properly account for its losses.