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: http://business.inquirer.net/48943/banks-reduce-exposure-to-bad-debts-have-more-cash-to-loan-out%E2%80%94bsp.
In the Philippine Thrift Banking Industry, Non-Performing Loans stood at PHP 19.830 billion as of June 30, 2012 - approximately 4.87% of the Philippine Thrift Banking Industry's Total Loan Portfolio - Net of PHP 407.368 billion.
Philippine Thrift Banking System | |||
NPL as % of TLP-Net | |||
June 30, 2012 | |||
NPL | TLP-Net | NPL/TLP | |
Bank | (In Php) | (In Php) | (In %) |
Northpoint Development Bank, Inc. | 5,705,839.36 | 1,869,665.92 | 305.18% |
Pacific Ace Savings Bank, Inc. | 10,252,586.49 | 14,484,805.38 | 70.78% |
Metro-Cebu Public Savings Bank | 30,863,778.38 | 48,479,236.03 | 63.66% |
Comsavings Bank | 197,917,363.94 | 350,740,295.16 | 56.43% |
Silangan Savings and Loan Bank, Inc. | 16,670,323.99 | 34,494,582.77 | 48.33% |
Sun Savings Bank, Inc. | 5,357,675.89 | 15,094,700.16 | 35.49% |
Citibank Savings Inc. | 2,856,110,549.96 | 8,384,518,529.47 | 34.06% |
Malasiqui Progressive Savings and Loan Bank, Inc. | 14,466,468.15 | 50,584,024.99 | 28.60% |
Progress Savings and Loan Bank, Inc. | 1,338,363.83 | 4,835,874.11 | 27.68% |
Bataan Development Bank | 40,674,274.39 | 152,823,325.49 | 26.62% |
Lemery Savings and Loan Bank, Inc. | 16,874,914.00 | 69,795,623.91 | 24.18% |
Pride Star Development Bank, Inc. | 8,692,326.39 | 36,843,209.72 | 23.59% |
Farmers Savings and Loan Bank, Inc. | 50,258,569.72 | 223,087,106.07 | 22.53% |
Pampanga Development Bank | 38,978,520.76 | 179,572,569.63 | 21.71% |
Sampaguita Savings Bank, Inc. | 10,572,407.09 | 50,248,485.44 | 21.04% |
Quezon Coconut Producers Savings and Loan Bank | 9,350,997.62 | 46,095,116.67 | 20.29% |
Opportunity Kauswagan Bank, Inc. | 47,684,373.36 | 244,466,985.22 | 19.51% |
Security Bank Savings Corporation | 515,520,772.12 | 3,395,634,954.06 | 15.18% |
Cordillera Savings Bank, Inc. | 21,144,063.87 | 140,412,050.46 | 15.06% |
Philippine Postal Savings Bank, Inc. | 380,024,247.12 | 2,728,397,058.22 | 13.93% |
Business and Consumers Bank | 12,969,732.74 | 102,214,183.62 | 12.69% |
University Savings Bank, Inc. | 51,628,327.48 | 432,813,979.68 | 11.93% |
Hiyas Banking Corporation | 40,185,600.53 | 368,935,912.58 | 10.89% |
Allied Savings Bank | 243,874,386.39 | 2,286,321,857.43 | 10.67% |
Maritime Savings Bank Corporation | 12,532,225.20 | 117,760,011.39 | 10.64% |
Tong Yang Savings Bank, Inc. | 90,160,279.49 | 881,823,607.97 | 10.22% |
Bataan Savings and Loan Bank | 3,084,817.02 | 31,185,673.18 | 9.89% |
Village Bank, Inc. | 28,818,153.47 | 339,283,229.03 | 8.49% |
Malayan Bank Savings and Mortgage Bank, Inc. | 313,632,569.20 | 3,888,868,219.48 | 8.06% |
Luzon Development Bank | 120,635,339.90 | 1,505,292,322.36 | 8.01% |
Legazpi Savings Bank, Inc. | 101,545,758.77 | 1,316,961,383.96 | 7.71% |
Planters Development Bank | 2,560,629,104.28 | 33,235,612,946.99 | 7.70% |
Iloilo City Development Bank | 16,904,440.87 | 242,685,753.89 | 6.97% |
Microfinance Maximum Savings Bank, Inc. | 1,056,155.26 | 15,382,763.37 | 6.87% |
Dungganon Bank (A Microfinance Thrift Bank), Inc. | 6,045,070.42 | 88,240,777.42 | 6.85% |
Penbank, Inc. (A Private Development Bank) | 66,828,825.29 | 992,717,997.78 | 6.73% |
Life Savings Bank, Inc. | 3,465,831.47 | 54,138,605.19 | 6.40% |
First Consolidated Bank, Inc. | 372,255,186.21 | 6,075,918,134.60 | 6.13% |
Philippine Savings Bank | 4,356,363,732.95 | 75,991,591,549.78 | 5.73% |
Sterling Bank of Asia, Inc. | 790,624,665.59 | 14,828,580,124.53 | 5.33% |
Philippine Business Bank, Inc. | 764,916,007.37 | 15,848,408,952.74 | 4.83% |
Optimum Development Bank, Inc. | 32,270,327.60 | 715,434,371.84 | 4.51% |
Producers Savings Bank Corporation | 150,497,298.52 | 3,486,064,084.48 | 4.32% |
Dumaguete City Development Bank, Inc. | 16,734,272.56 | 396,673,725.59 | 4.22% |
World Partners Bank | 30,418,730.86 | 841,238,193.47 | 3.62% |
Wealth Development Bank Corporation | 57,490,084.44 | 1,592,417,658.92 | 3.61% |
RCBC Savings Bank, Inc. | 1,240,532,347.87 | 34,755,158,754.67 | 3.57% |
UCPB Savings Bank | 187,376,711.23 | 5,440,675,119.72 | 3.44% |
China Bank Savings Inc. | 82,041,848.35 | 2,807,516,592.00 | 2.92% |
BPI Direct Savings Bank, Inc. | 158,748,252.54 | 5,432,888,203.95 | 2.92% |
Equicom Savings Bank, Inc. | 91,828,345.71 | 3,211,466,848.36 | 2.86% |
Bank One Savings and Trust Corporation | 19,402,717.57 | 713,989,303.26 | 2.72% |
Card SME Bank, Inc., A Thrift Bank | 11,987,442.75 | 453,488,263.37 | 2.64% |
Tower Development Bank | 3,682,116.29 | 143,019,035.08 | 2.57% |
BPI Globe BanKO, Inc., A Savings Bank | 54,467,929.26 | 2,188,003,299.43 | 2.49% |
CityState Savings Bank, Inc. | 34,636,907.54 | 1,451,505,166.65 | 2.39% |
BPI Family Savings Bank, Inc. | 3,101,887,737.55 | 135,760,881,316.65 | 2.28% |
Century Savings Bank Corporation | 10,752,766.23 | 498,115,266.79 | 2.16% |
City Savings Bank, Inc. | 203,764,171.46 | 11,534,816,408.46 | 1.77% |
Queen City Development Bank, Inc. | 14,159,937.67 | 1,321,719,166.55 | 1.07% |
HSBC Savings Bank (Phils), Inc. | 89,622,250.40 | 11,945,661,353.63 | 0.75% |
Merchants Savings and Loan Association, Inc. | 1,110,039.79 | 156,464,948.25 | 0.71% |
Isla Bank (A Thrift Bank), Inc. | 0.00 | 619,934,759.37 | 0.00% |
Philippine Resources Savings Banking Corporation | 0.00 | 6,472,098,955.98 | 0.00% |
United Overseas Bank Philippines | 0.00 | 611,561,387.68 | 0.00% |
BDO Elite Savings Bank, Inc. | 0.00 | 0.00 | NA |
Grand Total | 19,830,026,862.52 | 407,368,008,370.00 | 4.87% |
Source: www.bsp.gov.ph
There are seven Thrift Banks with an NPL Ratio greater than 30% of Total Loan Portfolio - Net (TLP-Net). These are as follows:
- Northpoint Development Bank (305.18% of TLP-Net)
- Pacific Ace Savings Bank (74.02% of TLP-Net)
- Metro Cebu Public Savings Bank (73.36% of TLP-Net)
- Comsavings Bank (56.43% of TLP-Net)
- Silangan Savings and Loan Bank, Inc. (48.33% of TLP-Net)
- Sun Savings Bank (35.49% of TLP-Net)
- Citibank Savings Inc. (34.06% of TLP-Net)
- Comsavings Bank (formerly GSIS Family Bank)
- Silangan Savings and Loan Bank, Inc.
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 might result in a loan recovery that is a fraction of the loans 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 of as a loss.
Philippine Thrift Banking System | |||
NPL as % of SE | |||
June 30, 2012 | |||
NPL | SE | NPL/SE | |
Bank | (In Php) | (In Php) | (In %) |
Silangan Savings and Loan Bank, Inc. | 16,670,323.99 | 9,740,651.89 | 171.14% |
Citibank Savings Inc. | 2,856,110,549.96 | 1,818,756,670.18 | 157.04% |
Planters Development Bank | 2,560,629,104.28 | 3,931,756,700.13 | 65.13% |
Security Bank Savings Corporation | 515,520,772.12 | 795,088,386.40 | 64.84% |
Bataan Development Bank | 40,674,274.39 | 70,387,217.02 | 57.79% |
Legazpi Savings Bank, Inc. | 101,545,758.77 | 178,699,023.83 | 56.83% |
Comsavings Bank | 197,917,363.94 | 350,468,111.01 | 56.47% |
Philippine Postal Savings Bank, Inc. | 380,024,247.12 | 688,770,339.88 | 55.17% |
Opportunity Kauswagan Bank, Inc. | 47,684,373.36 | 87,108,376.48 | 54.74% |
Metro-Cebu Public Savings Bank | 30,863,778.38 | 60,255,751.33 | 51.22% |
Farmers Savings and Loan Bank, Inc. | 50,258,569.72 | 100,549,296.43 | 49.98% |
Sterling Bank of Asia, Inc. | 790,624,665.59 | 1,633,872,061.27 | 48.39% |
Village Bank, Inc. | 28,818,153.47 | 70,653,647.74 | 40.79% |
Pampanga Development Bank | 38,978,520.76 | 105,904,741.40 | 36.81% |
Philippine Savings Bank | 4,356,363,732.95 | 13,303,936,411.40 | 32.74% |
Malayan Bank Savings and Mortgage Bank, Inc. | 313,632,569.20 | 975,332,768.21 | 32.16% |
Luzon Development Bank | 120,635,339.90 | 382,298,596.47 | 31.56% |
Malasiqui Progressive Savings and Loan Bank, Inc. | 14,466,468.15 | 49,198,079.06 | 29.40% |
Iloilo City Development Bank | 16,904,440.87 | 62,433,690.20 | 27.08% |
Penbank, Inc. (A Private Development Bank) | 66,828,825.29 | 260,723,835.90 | 25.63% |
Hiyas Banking Corporation | 40,185,600.53 | 157,846,553.87 | 25.46% |
University Savings Bank, Inc. | 51,628,327.48 | 205,163,329.73 | 25.16% |
Allied Savings Bank | 243,874,386.39 | 976,492,885.94 | 24.97% |
Lemery Savings and Loan Bank, Inc. | 16,874,914.00 | 69,169,391.20 | 24.40% |
First Consolidated Bank, Inc. | 372,255,186.21 | 1,671,795,340.03 | 22.27% |
Tong Yang Savings Bank, Inc. | 90,160,279.49 | 407,756,152.68 | 22.11% |
Cordillera Savings Bank, Inc. | 21,144,063.87 | 97,381,465.00 | 21.71% |
Producers Savings Bank Corporation | 150,497,298.52 | 701,811,191.57 | 21.44% |
BPI Family Savings Bank, Inc. | 3,101,887,737.55 | 14,481,315,010.85 | 21.42% |
Equicom Savings Bank, Inc. | 91,828,345.71 | 461,617,258.29 | 19.89% |
BPI Direct Savings Bank, Inc. | 158,748,252.54 | 801,926,465.90 | 19.80% |
Philippine Business Bank, Inc. | 764,916,007.37 | 3,922,725,430.38 | 19.50% |
World Partners Bank | 30,418,730.86 | 157,957,368.73 | 19.26% |
Maritime Savings Bank Corporation | 12,532,225.20 | 65,402,781.73 | 19.16% |
RCBC Savings Bank, Inc. | 1,240,532,347.87 | 6,792,900,833.67 | 18.26% |
Business and Consumers Bank | 12,969,732.74 | 78,446,370.26 | 16.53% |
Sampaguita Savings Bank, Inc. | 10,572,407.09 | 64,708,123.36 | 16.34% |
Wealth Development Bank Corporation | 57,490,084.44 | 353,186,841.84 | 16.28% |
Quezon Coconut Producers Savings and Loan Bank | 9,350,997.62 | 57,580,765.13 | 16.24% |
BPI Globe BanKO, Inc., A Savings Bank | 54,467,929.26 | 360,144,746.12 | 15.12% |
Pacific Ace Savings Bank, Inc. | 10,252,586.49 | 72,319,136.67 | 14.18% |
Pride Star Development Bank, Inc. | 8,692,326.39 | 67,743,003.08 | 12.83% |
Northpoint Development Bank, Inc. | 5,705,839.36 | 50,002,124.18 | 11.41% |
City Savings Bank, Inc. | 203,764,171.46 | 1,977,741,378.55 | 10.30% |
Dungganon Bank (A Microfinance Thrift Bank), Inc. | 6,045,070.42 | 62,917,082.13 | 9.61% |
UCPB Savings Bank | 187,376,711.23 | 2,125,681,500.16 | 8.81% |
Dumaguete City Development Bank, Inc. | 16,734,272.56 | 203,578,072.13 | 8.22% |
Sun Savings Bank, Inc. | 5,357,675.89 | 72,664,822.80 | 7.37% |
China Bank Savings Inc. | 82,041,848.35 | 1,134,231,220.75 | 7.23% |
Card SME Bank, Inc., A Thrift Bank | 11,987,442.75 | 179,116,409.99 | 6.69% |
Life Savings Bank, Inc. | 3,465,831.47 | 63,317,167.29 | 5.47% |
Optimum Development Bank, Inc. | 32,270,327.60 | 660,520,247.44 | 4.89% |
CityState Savings Bank, Inc. | 34,636,907.54 | 773,945,359.88 | 4.48% |
Bataan Savings and Loan Bank | 3,084,817.02 | 77,808,302.16 | 3.96% |
Bank One Savings and Trust Corporation | 19,402,717.57 | 520,315,658.47 | 3.73% |
Tower Development Bank | 3,682,116.29 | 113,529,745.58 | 3.24% |
HSBC Savings Bank (Phils), Inc. | 89,622,250.40 | 2,938,428,344.64 | 3.05% |
Queen City Development Bank, Inc. | 14,159,937.67 | 669,119,640.27 | 2.12% |
Microfinance Maximum Savings Bank, Inc. | 1,056,155.26 | 62,353,596.96 | 1.69% |
Progress Savings and Loan Bank, Inc. | 1,338,363.83 | 84,103,829.68 | 1.59% |
Century Savings Bank Corporation | 10,752,766.23 | 883,428,855.96 | 1.22% |
Merchants Savings and Loan Association, Inc. | 1,110,039.79 | 658,930,240.51 | 0.17% |
BDO Elite Savings Bank, Inc. | 0.00 | 1,527,059,062.56 | 0.00% |
Isla Bank (A Thrift Bank), Inc. | 0.00 | 630,420,695.84 | 0.00% |
Philippine Resources Savings Banking Corporation | 0.00 | 1,195,719,804.03 | 0.00% |
United Overseas Bank Philippines | 0.00 | 704,856,569.14 | 0.00% |
Grand Total | 19,830,026,862.52 | 74,331,114,533.36 | 26.68% |
Source: www.bsp.gov.ph
Of the sixty-six thrift banks in this list, seventeen have an NPL to Stockholders Equity Ratio of 30% or more. These banks are as follows:
- Silangan Savings and Loan Bank, Inc. (171.14% of SE)
- Citibank Savings Inc. (157.04% of SE)
- Planters Development Bank (65.13% of SE)
- Security Bank Savings Corporation (64.84% of SE)
- Bataan Development Bank (57.79% of SE)
- Legazpi Savings Bank Inc. (56.83% of SE)
- Comsavings Bank (56.47% of SE)
- Philippine Postal Savings Bank (55.17% of SE)
- Opportunity Kauswagan Bank, Inc. (54.74% of SE)
- Metro-Cebu Public Savings Bank (51.22% of SE)
- Farmers Savings & Loan Bank (49.98% of SE)
- Sterling Bank of Asia, Inc. (48.39% of SE)
- Village Bank, Inc. (40.79% of SE)
- Pampanga Development Bank (36.81% of SE)
- Philippine Savings Bank (32.74% of SE)
- Malayan Bank Savings and Mortgage Bank, Inc. (32.16% of SE_
- Luzon Development Bank (31.56% of SE)
Another indicator of a bank's financial health is the level of DOSRI Loans in relation to a bank's Total Loan Portfolio. Under current banking regulations, the limit on the amount of individual loans to DOSRI, of which 70% must be secured, should not exceed a bank's parent company's regulatory capital or 15% of the bank's parent company's total loan portfolio, whichever is lower. These limits do not apply to loans secured by assets considered as non-risk as defined in the regulations. Therefore banks with significantly high DOSRI Loan to Total Loan Portfolio - Net ratios may be bumping up or exceeding the limits of compliance with DOSRI regulations.
Of the sixty-six banks listed as Thrift Banks, twenty-two reported having no DOSRI Loans. Of the forty-four thrift banks with DOSRI Loans, fifteen had DOSRI Loans that made up less than 1% of their Total Loan Portfolios. However, several thrift banks had DOSRI Loans that comprised more than 15% of their Total Loan Portfolios. They are as follows:
- Penbank, Inc. (21.89% of TLP-Net)
- The Queen City Development Bank (21.46% of TLP-Net)
- CityState Savings Bank, Inc. (20.46% of TLP-Net)
- Life Savings Bank (19.27% of TLP-Net)
Philippine Thrift Banking System | |||
DOSRI as % of TLP-Net | |||
June 30, 2012 | |||
DOSRI | TLP-Net | DOSRI/TLP-Net | |
Bank | (In Php) | (In Php) | (In %) |
Penbank, Inc. (A Private Development Bank) | 217,300,169.60 | 992,717,997.78 | 21.89% |
Queen City Development Bank, Inc. | 283,693,169.37 | 1,321,719,166.55 | 21.46% |
CityState Savings Bank, Inc. | 296,981,670.93 | 1,451,505,166.65 | 20.46% |
Life Savings Bank, Inc. | 10,717,950.20 | 54,138,605.19 | 19.80% |
Silangan Savings and Loan Bank, Inc. | 5,118,257.50 | 34,494,582.77 | 14.84% |
World Partners Bank | 108,369,578.06 | 841,238,193.47 | 12.88% |
Village Bank, Inc. | 40,911,220.58 | 339,283,229.03 | 12.06% |
Malasiqui Progressive Savings and Loan Bank, Inc. | 5,450,000.00 | 50,584,024.99 | 10.77% |
Pampanga Development Bank | 18,406,018.40 | 179,572,569.63 | 10.25% |
Tower Development Bank | 14,571,080.10 | 143,019,035.08 | 10.19% |
Sampaguita Savings Bank, Inc. | 4,500,000.00 | 50,248,485.44 | 8.96% |
Opportunity Kauswagan Bank, Inc. | 19,339,041.10 | 244,466,985.22 | 7.91% |
Philippine Postal Savings Bank, Inc. | 190,660,354.20 | 2,728,397,058.22 | 6.99% |
Quezon Coconut Producers Savings and Loan Bank | 2,378,442.60 | 46,095,116.67 | 5.16% |
Century Savings Bank Corporation | 25,000,000.00 | 498,115,266.79 | 5.02% |
Luzon Development Bank | 72,810,817.87 | 1,505,292,322.36 | 4.84% |
Maritime Savings Bank Corporation | 5,029,322.89 | 117,760,011.39 | 4.27% |
Bank One Savings and Trust Corporation | 29,893,333.33 | 713,989,303.26 | 4.19% |
Hiyas Banking Corporation | 15,151,873.63 | 368,935,912.58 | 4.11% |
Cordillera Savings Bank, Inc. | 5,346,034.96 | 140,412,050.46 | 3.81% |
Dumaguete City Development Bank, Inc. | 15,051,131.19 | 396,673,725.59 | 3.79% |
Producers Savings Bank Corporation | 98,233,426.66 | 3,486,064,084.48 | 2.82% |
Philippine Savings Bank | 1,831,354,695.43 | 75,991,591,549.78 | 2.41% |
Legazpi Savings Bank, Inc. | 26,645,180.28 | 1,316,961,383.96 | 2.02% |
Comsavings Bank | 6,622,529.48 | 350,740,295.16 | 1.89% |
Planters Development Bank | 588,268,255.43 | 33,235,612,946.99 | 1.77% |
Philippine Business Bank, Inc. | 219,932,551.99 | 15,848,408,952.74 | 1.39% |
University Savings Bank, Inc. | 5,311,014.03 | 432,813,979.68 | 1.23% |
Malayan Bank Savings and Mortgage Bank, Inc. | 39,528,633.77 | 3,888,868,219.48 | 1.02% |
HSBC Savings Bank (Phils), Inc. | 94,527,359.43 | 11,945,661,353.63 | 0.79% |
Lemery Savings and Loan Bank, Inc. | 349,475.00 | 69,795,623.91 | 0.50% |
Security Bank Savings Corporation | 16,512,938.23 | 3,395,634,954.06 | 0.49% |
RCBC Savings Bank, Inc. | 145,761,846.86 | 34,755,158,754.67 | 0.42% |
China Bank Savings Inc. | 10,146,125.78 | 2,807,516,592.00 | 0.36% |
Tong Yang Savings Bank, Inc. | 2,188,040.40 | 881,823,607.97 | 0.25% |
Wealth Development Bank Corporation | 3,175,468.29 | 1,592,417,658.92 | 0.20% |
First Consolidated Bank, Inc. | 11,003,949.28 | 6,075,918,134.60 | 0.18% |
Farmers Savings and Loan Bank, Inc. | 388,631.04 | 223,087,106.07 | 0.17% |
Equicom Savings Bank, Inc. | 2,870,501.13 | 3,211,466,848.36 | 0.09% |
UCPB Savings Bank | 3,085,789.10 | 5,440,675,119.72 | 0.06% |
Sterling Bank of Asia, Inc. | 5,230,184.85 | 14,828,580,124.53 | 0.04% |
BPI Family Savings Bank, Inc. | 46,256,800.06 | 135,760,881,316.65 | 0.03% |
BPI Direct Savings Bank, Inc. | 1,824,071.66 | 5,432,888,203.95 | 0.03% |
Isla Bank (A Thrift Bank), Inc. | 109,595.85 | 619,934,759.37 | 0.02% |
Allied Savings Bank | 0.00 | 2,286,321,857.43 | 0.00% |
Bataan Development Bank | 0.00 | 152,823,325.49 | 0.00% |
Bataan Savings and Loan Bank | 0.00 | 31,185,673.18 | 0.00% |
BPI Globe BanKO, Inc., A Savings Bank | 0.00 | 2,188,003,299.43 | 0.00% |
Business and Consumers Bank | 0.00 | 102,214,183.62 | 0.00% |
Card SME Bank, Inc., A Thrift Bank | 0.00 | 453,488,263.37 | 0.00% |
Citibank Savings Inc. | 0.00 | 8,384,518,529.47 | 0.00% |
City Savings Bank, Inc. | 0.00 | 11,534,816,408.46 | 0.00% |
Dungganon Bank (A Microfinance Thrift Bank), Inc. | 0.00 | 88,240,777.42 | 0.00% |
Iloilo City Development Bank | 0.00 | 242,685,753.89 | 0.00% |
Merchants Savings and Loan Association, Inc. | 0.00 | 156,464,948.25 | 0.00% |
Metro-Cebu Public Savings Bank | 0.00 | 48,479,236.03 | 0.00% |
Microfinance Maximum Savings Bank, Inc. | 0.00 | 15,382,763.37 | 0.00% |
Northpoint Development Bank, Inc. | 0.00 | 1,869,665.92 | 0.00% |
Optimum Development Bank, Inc. | 0.00 | 715,434,371.84 | 0.00% |
Pacific Ace Savings Bank, Inc. | 0.00 | 14,484,805.38 | 0.00% |
Philippine Resources Savings Banking Corporation | 0.00 | 6,472,098,955.98 | 0.00% |
Pride Star Development Bank, Inc. | 0.00 | 36,843,209.72 | 0.00% |
Progress Savings and Loan Bank, Inc. | 0.00 | 4,835,874.11 | 0.00% |
Sun Savings Bank, Inc. | 0.00 | 15,094,700.16 | 0.00% |
United Overseas Bank Philippines | 0.00 | 611,561,387.68 | 0.00% |
BDO Elite Savings Bank, Inc. | 0.00 | 0.00 | NA |
Grand Total | 4,546,006,530.54 | 407,368,008,370.00 | 1.12% |
Source: www.bsp.gov.ph
DOSRI Rules indicate that, in the aggregate, DOSRI Loans should not exceed the total equity of the bank. Therefore banks with a significantly high DOSRI Loans as a percentage of Stockholders Equity may be approaching DOSRI Limits.
Philippine Thrift Banking System | |||
DOSRI as % of Stockholders Equity | |||
June 30, 2012 | |||
DOSRI | SE | DOSRI/SE | |
Bank | (In Php) | (In Php) | (In %) |
Penbank, Inc. (A Private Development Bank) | 217,300,169.60 | 260,723,835.90 | 83.34% |
World Partners Bank | 108,369,578.06 | 157,957,368.73 | 68.61% |
Village Bank, Inc. | 40,911,220.58 | 70,653,647.74 | 57.90% |
Silangan Savings and Loan Bank, Inc. | 5,118,257.50 | 9,740,651.89 | 52.55% |
Queen City Development Bank, Inc. | 283,693,169.37 | 669,119,640.27 | 42.40% |
CityState Savings Bank, Inc. | 296,981,670.93 | 773,945,359.88 | 38.37% |
Philippine Postal Savings Bank, Inc. | 190,660,354.20 | 688,770,339.88 | 27.68% |
Opportunity Kauswagan Bank, Inc. | 19,339,041.10 | 87,108,376.48 | 22.20% |
Luzon Development Bank | 72,810,817.87 | 382,298,596.47 | 19.05% |
Pampanga Development Bank | 18,406,018.40 | 105,904,741.40 | 17.38% |
Life Savings Bank, Inc. | 10,717,950.20 | 63,317,167.29 | 16.93% |
Planters Development Bank | 588,268,255.43 | 3,931,756,700.13 | 14.96% |
Legazpi Savings Bank, Inc. | 26,645,180.28 | 178,699,023.83 | 14.91% |
Producers Savings Bank Corporation | 98,233,426.66 | 701,811,191.57 | 14.00% |
Philippine Savings Bank | 1,831,354,695.43 | 13,303,936,411.40 | 13.77% |
Tower Development Bank | 14,571,080.10 | 113,529,745.58 | 12.83% |
Malasiqui Progressive Savings and Loan Bank, Inc. | 5,450,000.00 | 49,198,079.06 | 11.08% |
Hiyas Banking Corporation | 15,151,873.63 | 157,846,553.87 | 9.60% |
Maritime Savings Bank Corporation | 5,029,322.89 | 65,402,781.73 | 7.69% |
Dumaguete City Development Bank, Inc. | 15,051,131.19 | 203,578,072.13 | 7.39% |
Sampaguita Savings Bank, Inc. | 4,500,000.00 | 64,708,123.36 | 6.95% |
Bank One Savings and Trust Corporation | 29,893,333.33 | 520,315,658.47 | 5.75% |
Philippine Business Bank, Inc. | 219,932,551.99 | 3,922,725,430.38 | 5.61% |
Cordillera Savings Bank, Inc. | 5,346,034.96 | 97,381,465.00 | 5.49% |
Quezon Coconut Producers Savings and Loan Bank | 2,378,442.60 | 57,580,765.13 | 4.13% |
Malayan Bank Savings and Mortgage Bank, Inc. | 39,528,633.77 | 975,332,768.21 | 4.05% |
HSBC Savings Bank (Phils), Inc. | 94,527,359.43 | 2,938,428,344.64 | 3.22% |
Century Savings Bank Corporation | 25,000,000.00 | 883,428,855.96 | 2.83% |
University Savings Bank, Inc. | 5,311,014.03 | 205,163,329.73 | 2.59% |
RCBC Savings Bank, Inc. | 145,761,846.86 | 6,792,900,833.67 | 2.15% |
Security Bank Savings Corporation | 16,512,938.23 | 795,088,386.40 | 2.08% |
Comsavings Bank | 6,622,529.48 | 350,468,111.01 | 1.89% |
Wealth Development Bank Corporation | 3,175,468.29 | 353,186,841.84 | 0.90% |
China Bank Savings Inc. | 10,146,125.78 | 1,134,231,220.75 | 0.89% |
First Consolidated Bank, Inc. | 11,003,949.28 | 1,671,795,340.03 | 0.66% |
Equicom Savings Bank, Inc. | 2,870,501.13 | 461,617,258.29 | 0.62% |
Tong Yang Savings Bank, Inc. | 2,188,040.40 | 407,756,152.68 | 0.54% |
Lemery Savings and Loan Bank, Inc. | 349,475.00 | 69,169,391.20 | 0.51% |
Farmers Savings and Loan Bank, Inc. | 388,631.04 | 100,549,296.43 | 0.39% |
Sterling Bank of Asia, Inc. | 5,230,184.85 | 1,633,872,061.27 | 0.32% |
BPI Family Savings Bank, Inc. | 46,256,800.06 | 14,481,315,010.85 | 0.32% |
BPI Direct Savings Bank, Inc. | 1,824,071.66 | 801,926,465.90 | 0.23% |
UCPB Savings Bank | 3,085,789.10 | 2,125,681,500.16 | 0.15% |
Isla Bank (A Thrift Bank), Inc. | 109,595.85 | 630,420,695.84 | 0.02% |
Allied Savings Bank | 0.00 | 976,492,885.94 | 0.00% |
Bataan Development Bank | 0.00 | 70,387,217.02 | 0.00% |
Bataan Savings and Loan Bank | 0.00 | 77,808,302.16 | 0.00% |
BDO Elite Savings Bank, Inc. | 0.00 | 1,527,059,062.56 | 0.00% |
BPI Globe BanKO, Inc., A Savings Bank | 0.00 | 360,144,746.12 | 0.00% |
Business and Consumers Bank | 0.00 | 78,446,370.26 | 0.00% |
Card SME Bank, Inc., A Thrift Bank | 0.00 | 179,116,409.99 | 0.00% |
Citibank Savings Inc. | 0.00 | 1,818,756,670.18 | 0.00% |
City Savings Bank, Inc. | 0.00 | 1,977,741,378.55 | 0.00% |
Dungganon Bank (A Microfinance Thrift Bank), Inc. | 0.00 | 62,917,082.13 | 0.00% |
Iloilo City Development Bank | 0.00 | 62,433,690.20 | 0.00% |
Merchants Savings and Loan Association, Inc. | 0.00 | 658,930,240.51 | 0.00% |
Metro-Cebu Public Savings Bank | 0.00 | 60,255,751.33 | 0.00% |
Microfinance Maximum Savings Bank, Inc. | 0.00 | 62,353,596.96 | 0.00% |
Northpoint Development Bank, Inc. | 0.00 | 50,002,124.18 | 0.00% |
Optimum Development Bank, Inc. | 0.00 | 660,520,247.44 | 0.00% |
Pacific Ace Savings Bank, Inc. | 0.00 | 72,319,136.67 | 0.00% |
Philippine Resources Savings Banking Corporation | 0.00 | 1,195,719,804.03 | 0.00% |
Pride Star Development Bank, Inc. | 0.00 | 67,743,003.08 | 0.00% |
Progress Savings and Loan Bank, Inc. | 0.00 | 84,103,829.68 | 0.00% |
Sun Savings Bank, Inc. | 0.00 | 72,664,822.80 | 0.00% |
United Overseas Bank Philippines | 0.00 | 704,856,569.14 | 0.00% |
Grand Total | 4,546,006,530.54 | 74,331,114,533.36 | 6.12% |
Source: www.bsp.gov.ph
Banks often take pains to avoid DOSRI Loans from falling past due. Although bank policies often state that DOSRI Loans are made “substantially on the same terms as with other individuals and businesses of comparable risks. (See Planters Development Bank Annual Report December 31, 2010). Loan underwriting standards should be tighter because a past due DOSRI loan reflects badly on the bank. DOSRI Loans that fall past due are often:
- Written off as soon as possible;
- Refinanced or Restructured to become current (this requires Board of Directors Approval); or are
- Technically reclassified as a general NPL (like if a loan to a former bank officer falls past due).
- Silangan Savings and Loan Bank, Inc. (64.70% of DOSRI Loans)
- Cordillera Savings Bank, Inc. (33.13% of DOSRI Loans)
Philippine Thrift Banking System | |||
DOSRI Past Due as % of DOSRI | |||
June 30, 2012 | |||
DOSRI Past Due | DOSRI | DOSRI Past Due/DOSRI | |
Bank | (In Php) | (In Php) | (In %) |
Silangan Savings and Loan Bank, Inc. | 3,311,630.00 | 5,118,257.50 | 64.70% |
Cordillera Savings Bank, Inc. | 1,771,325.87 | 5,346,034.96 | 33.13% |
Philippine Savings Bank | 500,774,859.76 | 1,831,354,695.43 | 27.34% |
UCPB Savings Bank | 4.00 | 3,085,789.10 | 0.00% |
Bank One Savings and Trust Corporation | 0.00 | 29,893,333.33 | 0.00% |
BPI Direct Savings Bank, Inc. | 0.00 | 1,824,071.66 | 0.00% |
BPI Family Savings Bank, Inc. | 0.00 | 46,256,800.06 | 0.00% |
Century Savings Bank Corporation | 0.00 | 25,000,000.00 | 0.00% |
China Bank Savings Inc. | 0.00 | 10,146,125.78 | 0.00% |
CityState Savings Bank, Inc. | 0.00 | 296,981,670.93 | 0.00% |
Comsavings Bank | 0.00 | 6,622,529.48 | 0.00% |
Dumaguete City Development Bank, Inc. | 0.00 | 15,051,131.19 | 0.00% |
Equicom Savings Bank, Inc. | 0.00 | 2,870,501.13 | 0.00% |
Farmers Savings and Loan Bank, Inc. | 0.00 | 388,631.04 | 0.00% |
First Consolidated Bank, Inc. | 0.00 | 11,003,949.28 | 0.00% |
Hiyas Banking Corporation | 0.00 | 15,151,873.63 | 0.00% |
HSBC Savings Bank (Phils), Inc. | 0.00 | 94,527,359.43 | 0.00% |
Isla Bank (A Thrift Bank), Inc. | 0.00 | 109,595.85 | 0.00% |
Legazpi Savings Bank, Inc. | 0.00 | 26,645,180.28 | 0.00% |
Lemery Savings and Loan Bank, Inc. | 0.00 | 349,475.00 | 0.00% |
Life Savings Bank, Inc. | 0.00 | 10,717,950.20 | 0.00% |
Luzon Development Bank | 0.00 | 72,810,817.87 | 0.00% |
Malasiqui Progressive Savings and Loan Bank, Inc. | 0.00 | 5,450,000.00 | 0.00% |
Malayan Bank Savings and Mortgage Bank, Inc. | 0.00 | 39,528,633.77 | 0.00% |
Maritime Savings Bank Corporation | 0.00 | 5,029,322.89 | 0.00% |
Opportunity Kauswagan Bank, Inc. | 0.00 | 19,339,041.10 | 0.00% |
Pampanga Development Bank | 0.00 | 18,406,018.40 | 0.00% |
Penbank, Inc. (A Private Development Bank) | 0.00 | 217,300,169.60 | 0.00% |
Philippine Business Bank, Inc. | 0.00 | 219,932,551.99 | 0.00% |
Philippine Postal Savings Bank, Inc. | 0.00 | 190,660,354.20 | 0.00% |
Planters Development Bank | 0.00 | 588,268,255.43 | 0.00% |
Producers Savings Bank Corporation | 0.00 | 98,233,426.66 | 0.00% |
Queen City Development Bank, Inc. | 0.00 | 283,693,169.37 | 0.00% |
Quezon Coconut Producers Savings and Loan Bank | 0.00 | 2,378,442.60 | 0.00% |
RCBC Savings Bank, Inc. | 0.00 | 145,761,846.86 | 0.00% |
Sampaguita Savings Bank, Inc. | 0.00 | 4,500,000.00 | 0.00% |
Security Bank Savings Corporation | 0.00 | 16,512,938.23 | 0.00% |
Sterling Bank of Asia, Inc. | 0.00 | 5,230,184.85 | 0.00% |
Tong Yang Savings Bank, Inc. | 0.00 | 2,188,040.40 | 0.00% |
Tower Development Bank | 0.00 | 14,571,080.10 | 0.00% |
University Savings Bank, Inc. | 0.00 | 5,311,014.03 | 0.00% |
Village Bank, Inc. | 0.00 | 40,911,220.58 | 0.00% |
Wealth Development Bank Corporation | 0.00 | 3,175,468.29 | 0.00% |
World Partners Bank | 0.00 | 108,369,578.06 | 0.00% |
Allied Savings Bank | 0.00 | 0.00 | NA |
Bataan Development Bank | 0.00 | 0.00 | NA |
Bataan Savings and Loan Bank | 0.00 | 0.00 | NA |
BDO Elite Savings Bank, Inc. | 0.00 | 0.00 | NA |
BPI Globe BanKO, Inc., A Savings Bank | 0.00 | 0.00 | NA |
Business and Consumers Bank | 0.00 | 0.00 | NA |
Card SME Bank, Inc., A Thrift Bank | 0.00 | 0.00 | NA |
Citibank Savings Inc. | 0.00 | 0.00 | NA |
City Savings Bank, Inc. | 0.00 | 0.00 | NA |
Dungganon Bank (A Microfinance Thrift Bank), Inc. | 0.00 | 0.00 | NA |
Iloilo City Development Bank | 0.00 | 0.00 | NA |
Merchants Savings and Loan Association, Inc. | 0.00 | 0.00 | NA |
Metro-Cebu Public Savings Bank | 0.00 | 0.00 | NA |
Microfinance Maximum Savings Bank, Inc. | 0.00 | 0.00 | NA |
Northpoint Development Bank, Inc. | 0.00 | 0.00 | NA |
Optimum Development Bank, Inc. | 0.00 | 0.00 | NA |
Pacific Ace Savings Bank, Inc. | 0.00 | 0.00 | NA |
Philippine Resources Savings Banking Corporation | 0.00 | 0.00 | NA |
Pride Star Development Bank, Inc. | 0.00 | 0.00 | NA |
Progress Savings and Loan Bank, Inc. | 0.00 | 0.00 | NA |
Sun Savings Bank, Inc. | 0.00 | 0.00 | NA |
United Overseas Bank Philippines | 0.00 | 0.00 | NA |
Grand Total | 505,857,819.63 | 4,546,006,530.54 | 11.13% |
Source: www.bsp.gov.ph
How come Bank of Makati is not included in your list? Do you have any info about this bank?
ReplyDeleteBank of Makati is a Rural Bank. BSP does not publish the statement of conditions of rural banks on their website since so many of them failed (187 or more). You can find their published statement of condition on their website right here:
ReplyDeletehttp://www.bankofmakati.com.ph/images/stories/pdfs/financials2012mar.pdf
I will crunch the numbers for you and post them here tomorrow.
Thanks for your prompt reply. The BS on their website is no longer updated (dated as of March 2012) so this could already a red flag. I hope you could provide us with updated info. Tnx
DeleteWhen a bank's financial statements are blank on the BSP website or their own website, that's a strong sign that the bank may not be in great condition. Banco Filipino is a prime example. It did not have published financial statements for almost ten years.
DeleteBased on their data as of March 2012, The Bank of Makati had a Distressed Asset Ratio of 84.80% down from 97.81% as of September 2011. So based on this metric, the bank has improved in its solvency ratios in the last six months.
DeleteMay I know the formula for computing distressed asset ratio? Thanks.
DeleteWill there be another big bank to be padlocked by PDIC next year?
ReplyDeleteI don't know. Banks can remain insolvent for a long long time. Just look at Banco Filipino, Export and Industry Bank. Both banks were limping along for at least 5 to ten years before they collapsed. My list of distressed banks indicates that the bank may be in trouble. But I just use one metric to determine that. There are many other metrics that have to be taken into consideration to make that judgement.
Delete