A Simple Stress Test of Philippine Banks as of September 30, 2015

Editor's Note: This is an updated version of an earlier blog post "A Simple Stress Test of Philippine Banks as of June 30, 2015"

Editor's Note: For the purposes of this article, Philippine Banks or the Philippine Banking System refers to the Philippine Commercial and Universal Banking System and the Philippine Thrift Banking System.  We are ignoring the Philippine Rural and Cooperative Banking System whose asset base is tiny in comparison to the whole banking system (Php 195.319 billion or 1.69% of the Php 11,546.181 billion in assets held in the Philippine Banking System as of September 30, 2015).


In an April 9, 2012 article entitled "Stress Test Proves Strength of PH Banks", "Philippine banks are seen to survive a disaster in which the various lenders are forced to write off loans as large as PhP 36 billion without asking shareholders, the central bank, or the national government for bailout money."  This assertion stems from a recent stress test conducted by the Bangko Sentral ng Pilipinas (BSP) on all 55 regular and commercial and expanded license banks.

For Philippine Banks, these NPLs currently comprise PhP 126.124 billion or 9.71% of the PhP 1,299.064 billion in Stockholders Equity (SE) as of September 30, 2015.  So, writing off 50% of the Philippine Banks NPLs would reduce their aggregate stockholders equity by a little less than 5%.

Naturally, some banks would be more affected than others. For more information regarding this, please read "The Top Distressed Philippine Banks as of September 30, 2015").

The stockholder's equity of one bank, Comsavings Bank would be completely wiped out.  Eleven other banks would be severely affected.  These banks are: Legazpi Savings Bank (84.70% decline in SE), World Partners Bank (84.70% decline in SE), Luzon Development Bank (48.50% decline in SE), Equicom Savings Bank (42.88% decline in SE), Planters Development Bank (42.86% decline in SE), Bataan Development Bank (37.76% decline in SE), Metro Cebu Public Savings Bank (33.83% decline in SE), Malayan Bank Savings and Mortgage Bank (32.24% decline in SE), Enterprise Bank Inc. (30.19% decline in SE).

Philippine Banking System
NPL as % of SE
September 30, 2015
	NPL	SE	NPL/SE
Bank	(In PHP)	(In PHP)	(In %)
COMSAVINGS BANK	123,221,089.07	13,560,586.44	908.67%
LEGAZPI SAVINGS BANK INC	435,027,850.38	256,796,688.50	169.41%
WORLD PARTNERS BANK (A THRIFT BANK)	81,566,096.66	73,728,516.12	110.63%
LUZON DEVELOPMENT BANK	547,582,729.01	564,542,378.27	97.00%
EQUICOM SAVINGS BANK INC	506,534,201.57	590,625,774.84	85.76%
PLANTERS DEVELOPMENT BANK	2,931,765,964.32	3,420,157,260.19	85.72%
BATAAN DEVELOPMENT BANK	59,198,855.12	78,385,234.48	75.52%
METRO CEBU PUBLIC SAVINGS BANK	36,582,151.60	54,060,442.42	67.67%
MALAYAN BANK SAVINGS AND MORT BANK INC	627,005,388.40	972,410,751.13	64.48%
ENTERPRISE BANK INC (A THRIFT BANK)	151,905,771.23	251,562,549.36	60.38%
OPPORTUNITY KAUSWAGAN BANK INC (A MICROFINANCE THRIFT BANK)	43,374,617.22	74,365,586.16	58.33%
PHIL POSTAL SAVINGS BANK INC	575,053,871.77	1,039,321,281.92	55.33%
FARMERS SAVINGS & LOAN BANK INC	56,725,095.20	111,211,942.89	51.01%
CHINA BANK SAVINGS INC	1,154,621,429.72	2,464,405,907.46	46.85%
THE PALAWAN BANK (PALAWAN DB) INC	15,935,525.38	35,310,496.50	45.13%
SECURITY BANK SAVINGS CORPORATION	512,338,894.46	1,143,033,718.34	44.82%
BANK OF MAKATI (A SAVINGS BANK) INC	2,610,781,336.75	6,064,909,554.79	43.05%
STERLING BANK OF ASIA INC (A SAVINGS BANK)	976,564,395.96	2,277,387,324.45	42.88%
PAMPANGA DEVELOPMENT BANK	52,287,742.08	127,184,127.38	41.11%
STANDARD CHARTERED BANK	2,492,811,180.57	6,291,482,552.19	39.62%
1ST VALLEY BANK INC A DEVELOPMENT BANK	516,903,491.44	1,305,096,383.02	39.61%
PENBANK INC (A PDB) (FORMERLY: PENINSULA RB INC)	130,578,749.00	334,793,009.95	39.00%
WEALTH DEVELOPMENT BANK CORPORATION	163,904,699.21	422,479,800.69	38.80%
MARITIME SAVINGS BANK CORPORATION	23,490,621.98	63,664,351.66	36.90%
SAMPAGUITA SAVINGS BANK INC	20,300,554.29	56,818,131.70	35.73%
PHILIPPINE RESOURCES SAVINGS BANKING CORPORATION (PR SAVINGS)	649,050,437.74	1,880,470,429.77	34.52%
RCBC SAVINGS BANK INC	2,908,210,627.05	8,768,142,596.41	33.17%
PHILIPPINE VETERANS BANK	1,621,177,515.52	5,031,273,069.26	32.22%
VILLAGE BANK INC (A THRIFT BANK)	23,897,018.49	75,352,054.63	31.71%
UNITED COCONUT PLANTERS BANK	6,447,845,038.40	20,719,936,917.67	31.12%
DUNGGANON BANK (A MICROFINANCE THRIFT BANK) INC	29,677,067.48	97,951,905.10	30.30%
PRODUCERS SAVINGS BANK CORPORATION	409,412,710.10	1,404,326,416.88	29.15%
PHIL STAR DEVELOPMENT BANK INC	22,292,920.67	77,002,417.70	28.95%
TONGYANG SAVINGS BANK INC	107,006,408.12	369,864,313.91	28.93%
NORTHPOINT DEV'T BANK INC	79,166,642.81	316,715,308.96	25.00%
UCPB SAVINGS BANK	542,390,954.01	2,245,682,140.63	24.15%
PHIL SAVINGS BANK	4,253,951,632.82	17,928,792,601.98	23.73%
LIFE SAVINGS BANK INC	14,488,972.29	62,405,948.69	23.22%
BPI FAMILY SAVINGS BANK INC	5,464,275,910.37	24,680,048,235.83	22.14%
PHIL BANK OF COMMUNICATIONS	1,975,747,874.57	9,053,792,010.60	21.82%
DUMAGUETE CITY DEV BANK INC	50,832,744.75	235,220,133.73	21.61%
FIRST CONSOLIDATED BANK INC (A PDB)	678,188,791.54	3,152,251,880.15	21.51%
EAST WEST BANKING CORP	6,229,695,832.19	29,591,441,555.29	21.05%
DEVELOPMENT BANK OF THE PHIL	7,162,998,139.78	36,909,616,561.61	19.41%
UNION BANK OF THE PHILS	9,629,958,552.57	52,790,312,895.37	18.24%
MAYBANK PHILIPPINES INC	1,971,160,477.66	11,445,474,847.22	17.22%
BUSINESS AND CONSUMERS BANK (A DB)	13,402,460.67	88,135,917.46	15.21%
CITY SAVINGS BANK INC	1,090,551,327.73	7,859,388,416.43	13.88%
MALASIQUI PROGRESSIVE SLB, INC	7,205,779.25	54,074,484.64	13.33%
PHILIPPINE BUSINESS BANK INC A SAVINGS BANK	1,095,049,581.59	8,415,407,468.55	13.01%
BPI DIRECT SAVINGS BANK INC	185,981,696.75	1,477,620,338.12	12.59%
CORDILLERA SAVINGS BANK INC	14,750,568.06	119,152,907.31	12.38%
BANK OF COMMERCE	1,804,743,357.72	15,133,153,608.97	11.93%
INTER-ASIA DEVELOPMENT BANK	6,599,419.63	57,376,216.30	11.50%
CITYSTATE SAVINGS BANK INC	70,501,723.90	621,271,687.28	11.35%
CHINA BANKING CORP	5,686,188,810.45	52,906,807,324.38	10.75%
PHIL NATIONAL BANK	9,306,235,006.50	94,150,344,390.29	9.88%
LAND BANK OF THE PHILIPPINES	7,010,360,349.50	77,271,638,380.17	9.07%
SUN SAVINGS BANK INC	11,325,615.40	126,329,377.60	8.97%
TOWER DEVELOPMENT BANK	9,948,254.32	119,927,191.61	8.30%
ASIA UNITED BANK CORPORATION	1,500,504,328.44	19,445,240,279.32	7.72%
HONGKONG & SHANGHAI BANKING CORP	1,010,877,458.73	13,259,684,080.79	7.62%
BANK OF CHINA LIMITED-MANILA BRANCH	189,040,895.91	2,586,418,806.24	7.31%
CARD SME BANK INC A THRIFT BANK	39,802,023.40	555,733,939.98	7.16%
HIYAS BANKING CORPORATION	11,812,182.29	166,515,973.65	7.09%
BDO UNIBANK INC	13,085,104,036.76	191,548,843,479.44	6.83%
UNIVERSITY SAVINGS BANK INC	25,861,287.75	404,641,631.79	6.39%
CITIBANK, N.A.	804,821,801.62	12,723,280,537.08	6.33%
BANK OF THE PHIL ISLANDS	8,764,642,869.60	145,523,337,359.83	6.02%
LEMERY SAVINGS & LOAN BANK, INC.	4,085,048.65	71,550,058.10	5.71%
ROBINSONS BANK CORPORATION	658,926,680.81	11,965,523,383.86	5.51%
QUEEN CITY DEVELOPMENT BANK INC OR QUEENBANK A THRIFT BANK	35,261,953.02	658,049,932.15	5.36%
CTBC BANK (PHILIPPINES) CORP	352,143,947.69	6,793,016,248.70	5.18%
PHIL TRUST COMPANY	1,081,594,108.54	23,493,682,875.31	4.60%
PNB SAVINGS BANK	488,504,491.73	11,165,902,707.95	4.37%
BANK ONE SAVINGS AND TRUST CORP.	24,537,234.83	566,933,601.50	4.33%
OPTIMUM DEVELOPMENT BANK INC	32,049,573.03	775,901,995.18	4.13%
CENTURY SAVINGS BANK CORPORATION	38,199,697.52	941,554,649.38	4.06%
RIZAL COMM'L BANKING CORP	2,216,947,364.34	57,565,460,542.07	3.85%
SECURITY BANK CORP	1,590,295,266.39	52,372,145,612.22	3.04%
HSBC SAVINGS BANK(PHILS) INC	53,597,643.69	1,772,852,254.95	3.02%
MERCHANTS SAVINGS & LOAN ASSN INC	9,864,304.54	381,211,556.26	2.59%
BATAAN SAVINGS AND LOAN BANK	1,534,482.05	59,627,430.98	2.57%
UNITED OVERSEAS BANK PHILIPPINES	24,488,469.53	1,095,054,944.07	2.24%
QUEZON COCONUT BANK INC (A THRIFT BANK)	1,148,628.17	59,630,414.69	1.93%
KOREA EXCHANGE BANK	23,550,187.96	1,298,888,149.77	1.81%
METROPOLITAN BANK & TCO	2,590,456,257.63	182,990,699,282.53	1.42%
PROGRESS SAVINGS AND LOAN BANK INC	1,138,302.67	81,694,056.22	1.39%
AL-AMANAH ISLAMIC INVESTMENT BANK OF THE PHILS	4,396,068.42	337,298,677.62	1.30%
ANZ BANKING GROUP LTD	23,339,114.85	4,712,037,402.23	0.50%
BANGKOK BANK PUBLIC CO LTD	4,662,165.64	3,116,521,199.92	0.15%
JP MORGAN CHASE BANK NATIONAL ASSN.	734,885.22	1,115,628,498.85	0.07%
ING BANK N.V.	95.48	2,616,449,647.71	0.00%
BANK OF AMERICA N.A.	4.00	2,096,061,205.20	0.00%
BDO PRIVATE BANK, INC.	0.00	5,983,079,451.33	0.00%
DEUTSCHE BANK AG	0.00	2,453,629,766.41	0.00%
ISLA BANK(A THRIFT BANK) INC	0.00	660,183,261.30	0.00%
MEGA INT'L COMM'L BANK CO LTD	0.00	1,920,874,461.46	0.00%
MIZUHO BANK LTD - MANILA BRANCH	0.00	2,731,813,664.20	0.00%
SUMITOMO MITSUI BANKING CORPORATION-MANILA BRANCH	0.00	12,889,445,917.27	0.00%
THE BNK OF TOKYO-MITSUBISHI UFJ LTD	0.00	4,784,124,464.32	0.00%
Grand Total	126,124,255,383.69	1,299,064,219,703.18	9.71%

Are NPLs the Right Numbers to Look At?

In a financial crisis, a loan that is current can very well become past due, and a past due loan can become a non-performing loan, and a non-performing loan can become a loan write-off.  The real number to look at are the loans that the banks and BSP already consider doubtful: Classified Loans.

Investopedia.com defines "Classified Loans" as:

"Any bank loan that is in danger of default. Classified loans have unpaid interest and principal outstanding, and it is unclear whether the bank will be able to recoup the loan proceeds from the borrower. Banks usually categorize such loans as adversely classified assets on their books."

The US Federal Deposit Insurance Corporation (FDIC), similar to our very own Philippine Deposit Insurance Corporation (PDIC), defines Classified Loans as:

"Loans classified Loss are considered uncollectible and of such little value that their continuance as bankable assets is not warranted. This classification does not mean that the loan has absolutely no recovery or salvage value but rather it is not practical or desirable to defer writing off this basically worthless asset even though partial recovery may be effected in the future."

In Circular #0247 dated May 19, 2000, BSP defines Classified Loans as loans which possess the following characteristics:

1. Loans especially mentioned because they have potential weaknesses that deserve Management's close attention;
2. Substandard Loans are loans which appear to involve a substantial and unreasonable degree of risk to the institution because of unfavorable record or unsatisfactory characteristics;
3. Doubtful Loans are Substandard Loans with the added characteristics that existing facts, conditions, and values make collection or liquidation in full highly improbable and in which substantial loss is probable;
4. Loss loans are loans that are considered uncollectible or worthless and are of such little value that their continuance as bankable assets is not warranted although the loans may have some recovery or salvage value.

The circular mandates that an allowance for probable losses should be set up in accordance with the following schedule:

1. Loans Especially Mentioned: 5%
2. Substandard - Secured: 6% - 25%
3. Substandard - Unsecured: 25%
4. Doubtful: 50%
5. Loss: 100%

As of September 30, 2015, "Classified Loans and Other Risky Assets" of the Philippine Banks amounted to PhP 380.968 billion or more than 3 times the size of the Philippine Banking System's NPLs of PhP 126.124 billion for the same period.  Consequently, any write-offs of Classified Loans will have three times the impact of an NPL write-off.

Philippine Banking System
Classified Loans vs. NPLs
September 30, 2015
	Classified Loans	NPL	Classified Loans/NPL
Bank	(In PHP)	(In PHP)	(In %)
BANK OF AMERICA N.A.	5,614,000.00	4.00	140350000.00%
ING BANK N.V.	57,500,000.00	95.48	60222036.03%
BANK OF CHINA LIMITED-MANILA BRANCH	9,272,414,196.60	189,040,895.91	4904.98%
INTER-ASIA DEVELOPMENT BANK	170,615,734.59	6,599,419.63	2585.31%
VILLAGE BANK INC (A THRIFT BANK)	571,337,003.03	23,897,018.49	2390.83%
KOREA EXCHANGE BANK	525,110,667.02	23,550,187.96	2229.75%
CITIBANK, N.A.	12,389,708,000.00	804,821,801.62	1539.43%
BANK OF COMMERCE	22,618,000,000.00	1,804,743,357.72	1253.25%
QUEZON COCONUT BANK INC (A THRIFT BANK)	14,327,899.35	1,148,628.17	1247.39%
COMSAVINGS BANK	1,275,879,789.57	123,221,089.07	1035.44%
BANK ONE SAVINGS AND TRUST CORP.	206,775,173.66	24,537,234.83	842.70%
METROPOLITAN BANK & TCO	20,560,045,039.58	2,590,456,257.63	793.68%
SECURITY BANK CORP	10,099,000,000.00	1,590,295,266.39	635.04%
DUMAGUETE CITY DEV BANK INC	276,517,000.00	50,832,744.75	543.97%
BDO UNIBANK INC	62,382,640,825.35	13,085,104,036.76	476.75%
UCPB SAVINGS BANK	2,564,221,478.58	542,390,954.01	472.76%
RIZAL COMM'L BANKING CORP	9,392,318,773.70	2,216,947,364.34	423.66%
UNIVERSITY SAVINGS BANK INC	107,732,733.49	25,861,287.75	416.58%
PHILIPPINE RESOURCES SAVINGS BANKING CORPORATION (PR SAVINGS)	2,563,454,355.91	649,050,437.74	394.95%
PHIL NATIONAL BANK	35,221,138,778.77	9,306,235,006.50	378.47%
PHIL TRUST COMPANY	3,991,570,000.00	1,081,594,108.54	369.05%
TOWER DEVELOPMENT BANK	34,123,598.72	9,948,254.32	343.01%
UNITED COCONUT PLANTERS BANK	21,487,165,524.83	6,447,845,038.40	333.25%
PHIL SAVINGS BANK	13,883,117,663.96	4,253,951,632.82	326.36%
AL-AMANAH ISLAMIC INVESTMENT BANK OF THE PHILS	13,972,461.61	4,396,068.42	317.84%
ASIA UNITED BANK CORPORATION	4,581,046,315.57	1,500,504,328.44	305.30%
CENTURY SAVINGS BANK CORPORATION	100,759,856.50	38,199,697.52	263.77%
CORDILLERA SAVINGS BANK INC	38,117,126.31	14,750,568.06	258.41%
UNION BANK OF THE PHILS	24,712,758,152.21	9,629,958,552.57	256.62%
LAND BANK OF THE PHILIPPINES	17,955,911,053.02	7,010,360,349.50	256.13%
QUEEN CITY DEVELOPMENT BANK INC OR QUEENBANK A THRIFT BANK	90,083,863.48	35,261,953.02	255.47%
PHIL STAR DEVELOPMENT BANK INC	54,602,857.79	22,292,920.67	244.93%
RCBC SAVINGS BANK INC	6,940,955,925.00	2,908,210,627.05	238.67%
ROBINSONS BANK CORPORATION	1,526,179,000.00	658,926,680.81	231.62%
TONGYANG SAVINGS BANK INC	240,991,162.76	107,006,408.12	225.21%
PHILIPPINE VETERANS BANK	3,589,491,132.94	1,621,177,515.52	221.41%
MALAYAN BANK SAVINGS AND MORT BANK INC	1,385,558,947.10	627,005,388.40	220.98%
STERLING BANK OF ASIA INC (A SAVINGS BANK)	2,046,671,000.00	976,564,395.96	209.58%
LEGAZPI SAVINGS BANK INC	883,980,000.00	435,027,850.38	203.20%
UNITED OVERSEAS BANK PHILIPPINES	49,677,176.94	24,488,469.53	202.86%
PRODUCERS SAVINGS BANK CORPORATION	821,479,387.77	409,412,710.10	200.65%
CHINA BANKING CORP	11,286,107,218.75	5,686,188,810.45	198.48%
BANK OF THE PHIL ISLANDS	17,361,842,610.24	8,764,642,869.60	198.09%
FARMERS SAVINGS & LOAN BANK INC	107,690,914.30	56,725,095.20	189.85%
LIFE SAVINGS BANK INC	26,921,166.82	14,488,972.29	185.80%
OPTIMUM DEVELOPMENT BANK INC	59,296,313.25	32,049,573.03	185.01%
BPI FAMILY SAVINGS BANK INC	9,915,414,002.28	5,464,275,910.37	181.46%
WORLD PARTNERS BANK (A THRIFT BANK)	143,335,627.29	81,566,096.66	175.73%
BATAAN DEVELOPMENT BANK	102,400,000.00	59,198,855.12	172.98%
PLANTERS DEVELOPMENT BANK	4,991,130,447.81	2,931,765,964.32	170.24%
CHINA BANK SAVINGS INC	1,901,905,060.22	1,154,621,429.72	164.72%
MARITIME SAVINGS BANK CORPORATION	35,961,080.62	23,490,621.98	153.09%
PENBANK INC (A PDB) (FORMERLY: PENINSULA RB INC)	197,179,565.70	130,578,749.00	151.00%
CTBC BANK (PHILIPPINES) CORP	528,638,078.31	352,143,947.69	150.12%
STANDARD CHARTERED BANK	3,698,392,980.39	2,492,811,180.57	148.36%
BANK OF MAKATI (A SAVINGS BANK) INC	3,762,297,081.33	2,610,781,336.75	144.11%
PHIL POSTAL SAVINGS BANK INC	824,265,176.35	575,053,871.77	143.34%
DEVELOPMENT BANK OF THE PHIL	9,986,652,963.96	7,162,998,139.78	139.42%
DUNGGANON BANK (A MICROFINANCE THRIFT BANK) INC	40,644,515.75	29,677,067.48	136.96%
PHILIPPINE BUSINESS BANK INC A SAVINGS BANK	1,455,126,000.00	1,095,049,581.59	132.88%
FIRST CONSOLIDATED BANK INC (A PDB)	899,024,458.01	678,188,791.54	132.56%
WEALTH DEVELOPMENT BANK CORPORATION	214,382,940.12	163,904,699.21	130.80%
HONGKONG & SHANGHAI BANKING CORP	1,292,969,392.77	1,010,877,458.73	127.91%
EQUICOM SAVINGS BANK INC	646,430,109.06	506,534,201.57	127.62%
SECURITY BANK SAVINGS CORPORATION	641,563,634.22	512,338,894.46	125.22%
PNB SAVINGS BANK	609,828,111.82	488,504,491.73	124.84%
MAYBANK PHILIPPINES INC	2,458,909,594.39	1,971,160,477.66	124.74%
SAMPAGUITA SAVINGS BANK INC	25,287,868.21	20,300,554.29	124.57%
BPI DIRECT SAVINGS BANK INC	223,262,076.35	185,981,696.75	120.05%
EAST WEST BANKING CORP	7,352,208,071.00	6,229,695,832.19	118.02%
CITY SAVINGS BANK INC	1,273,880,020.08	1,090,551,327.73	116.81%
METRO CEBU PUBLIC SAVINGS BANK	42,519,918.41	36,582,151.60	116.23%
ANZ BANKING GROUP LTD	25,784,824.81	23,339,114.85	110.48%
PROGRESS SAVINGS AND LOAN BANK INC	1,211,283.67	1,138,302.67	106.41%
1ST VALLEY BANK INC A DEVELOPMENT BANK	540,902,185.24	516,903,491.44	104.64%
LEMERY SAVINGS & LOAN BANK, INC.	4,111,211.15	4,085,048.65	100.64%
BANGKOK BANK PUBLIC CO LTD	4,662,165.64	4,662,165.64	100.00%
BATAAN SAVINGS AND LOAN BANK	1,534,482.05	1,534,482.05	100.00%
HIYAS BANKING CORPORATION	11,812,182.29	11,812,182.29	100.00%
JP MORGAN CHASE BANK NATIONAL ASSN.	734,885.22	734,885.22	100.00%
MALASIQUI PROGRESSIVE SLB, INC	7,205,779.25	7,205,779.25	100.00%
OPPORTUNITY KAUSWAGAN BANK INC (A MICROFINANCE THRIFT BANK)	43,374,617.22	43,374,617.22	100.00%
LUZON DEVELOPMENT BANK	507,158,040.30	547,582,729.01	92.62%
SUN SAVINGS BANK INC	10,408,117.75	11,325,615.40	91.90%
PAMPANGA DEVELOPMENT BANK	47,394,335.63	52,287,742.08	90.64%
HSBC SAVINGS BANK(PHILS) INC	45,092,459.71	53,597,643.69	84.13%
PHIL BANK OF COMMUNICATIONS	380,680,564.93	1,975,747,874.57	19.27%
BUSINESS AND CONSUMERS BANK (A DB)	0.00	13,402,460.67	0.00%
CARD SME BANK INC A THRIFT BANK	0.00	39,802,023.40	0.00%
CITYSTATE SAVINGS BANK INC	0.00	70,501,723.90	0.00%
ENTERPRISE BANK INC (A THRIFT BANK)	0.00	151,905,771.23	0.00%
MERCHANTS SAVINGS & LOAN ASSN INC	0.00	9,864,304.54	0.00%
NORTHPOINT DEV'T BANK INC	0.00	79,166,642.81	0.00%
THE PALAWAN BANK (PALAWAN DB) INC	0.00	15,935,525.38	0.00%
BDO PRIVATE BANK, INC.	0.00	0.00	NA
DEUTSCHE BANK AG	1,481,867,183.84	0.00	NA
ISLA BANK(A THRIFT BANK) INC	0.00	0.00	NA
MEGA INT'L COMM'L BANK CO LTD	846,281,668.00	0.00	NA
MIZUHO BANK LTD - MANILA BRANCH	200,018,256.20	0.00	NA
SUMITOMO MITSUI BANKING CORPORATION-MANILA BRANCH	0.00	0.00	NA
THE BNK OF TOKYO-MITSUBISHI UFJ LTD	0.00	0.00	NA
Grand Total	380,968,264,896.42	126,124,255,383.69	302.06%

This level of classified loans should be measured against the bank's "capital cushion" or its ability to absorb losses.  Capital Cushion is normally defined as a bank's "Tangible Common Equity" plus its Loan Loss Reserves.  Tangible Common Equity (TCE) refers to the subset of shareholders' equity that is not preferred equity and not intangible assets.  So it excludes such items as Hybrid equity (like preferred shares) and goodwill.

By this measure, the level of "Classified Loans and other Risky Assets" amounts to Php 380.968 billion or 28.32% of the Php 1.345 trillion in Total Capital Cushion of Philippine Banks as of September 30, 2015.

Philippine Banking System
Classified Loans as % of Total Capital Cushion
September 30, 2015
	Classified Loans	Total Capital Cushion	Classified Loans/Total Capital Cushion
Bank	(In Php)	(In Php)	(In %)
COMSAVINGS BANK	1,275,879,789.57	9,771,392.48	13057.30%
LEGAZPI SAVINGS BANK INC	883,980,000.00	95,248,137.03	928.08%
VILLAGE BANK INC (A THRIFT BANK)	571,337,003.03	90,972,478.08	628.03%
BANK OF CHINA LIMITED-MANILA BRANCH	9,272,414,196.60	2,626,382,043.46	353.05%
INTER-ASIA DEVELOPMENT BANK	170,615,734.59	59,982,020.81	284.44%
UNITED COCONUT PLANTERS BANK	21,487,165,524.83	12,168,057,585.31	176.59%
PLANTERS DEVELOPMENT BANK	4,991,130,447.81	3,402,432,371.19	146.69%
BANK OF COMMERCE	22,618,000,000.00	18,323,297,925.40	123.44%
BATAAN DEVELOPMENT BANK	102,400,000.00	85,905,802.10	119.20%
PHILIPPINE RESOURCES SAVINGS BANKING CORPORATION (PR SAVINGS)	2,563,454,355.91	2,290,748,378.91	111.90%
MALAYAN BANK SAVINGS AND MORT BANK INC	1,385,558,947.10	1,258,362,603.04	110.11%
DUMAGUETE CITY DEV BANK INC	276,517,000.00	255,852,431.72	108.08%
UCPB SAVINGS BANK	2,564,221,478.58	2,535,105,369.48	101.15%
WORLD PARTNERS BANK (A THRIFT BANK)	143,335,627.29	166,585,861.61	86.04%
LUZON DEVELOPMENT BANK	507,158,040.30	621,783,393.75	81.57%
FARMERS SAVINGS & LOAN BANK INC	107,690,914.30	133,414,326.27	80.72%
EQUICOM SAVINGS BANK INC	646,430,109.06	805,544,567.59	80.25%
STERLING BANK OF ASIA INC (A SAVINGS BANK)	2,046,671,000.00	2,995,499,703.55	68.32%
RCBC SAVINGS BANK INC	6,940,955,925.00	10,203,153,646.01	68.03%
PHIL SAVINGS BANK	13,883,117,663.96	20,585,524,164.89	67.44%
PHIL POSTAL SAVINGS BANK INC	824,265,176.35	1,222,732,902.71	67.41%
PHIL STAR DEVELOPMENT BANK INC	54,602,857.79	81,537,914.22	66.97%
CITIBANK, N.A.	12,389,708,000.00	18,789,435,269.76	65.94%
CHINA BANK SAVINGS INC	1,901,905,060.22	2,930,439,126.68	64.90%
DEUTSCHE BANK AG	1,481,867,183.84	2,372,844,463.03	62.45%
METRO CEBU PUBLIC SAVINGS BANK	42,519,918.41	70,092,561.44	60.66%
PRODUCERS SAVINGS BANK CORPORATION	821,479,387.77	1,465,017,507.61	56.07%
BANK OF MAKATI (A SAVINGS BANK) INC	3,762,297,081.33	7,119,281,814.59	52.85%
MARITIME SAVINGS BANK CORPORATION	35,961,080.62	70,225,528.64	51.21%
PENBANK INC (A PDB) (FORMERLY: PENINSULA RB INC)	197,179,565.70	390,025,434.32	50.56%
TONGYANG SAVINGS BANK INC	240,991,162.76	486,763,080.03	49.51%
PHILIPPINE VETERANS BANK	3,589,491,132.94	7,504,813,416.35	47.83%
WEALTH DEVELOPMENT BANK CORPORATION	214,382,940.12	468,671,548.58	45.74%
STANDARD CHARTERED BANK	3,698,392,980.39	8,129,787,326.54	45.49%
LIFE SAVINGS BANK INC	26,921,166.82	62,421,172.56	43.13%
KOREA EXCHANGE BANK	525,110,667.02	1,261,707,874.24	41.62%
MEGA INT'L COMM'L BANK CO LTD	846,281,668.00	2,051,701,468.93	41.25%
UNION BANK OF THE PHILS	24,712,758,152.21	59,975,943,349.83	41.20%
SECURITY BANK SAVINGS CORPORATION	641,563,634.22	1,588,413,414.97	40.39%
UNIVERSITY SAVINGS BANK INC	107,732,733.49	270,380,528.62	39.84%
1ST VALLEY BANK INC A DEVELOPMENT BANK	540,902,185.24	1,392,982,151.62	38.83%
OPPORTUNITY KAUSWAGAN BANK INC (A MICROFINANCE THRIFT BANK)	43,374,617.22	117,849,958.64	36.80%
BANK ONE SAVINGS AND TRUST CORP.	206,775,173.66	565,963,820.50	36.54%
BPI FAMILY SAVINGS BANK INC	9,915,414,002.28	28,065,488,922.04	35.33%
DUNGGANON BANK (A MICROFINANCE THRIFT BANK) INC	40,644,515.75	117,437,445.75	34.61%
PHIL NATIONAL BANK	35,221,138,778.77	104,784,019,647.27	33.61%
SAMPAGUITA SAVINGS BANK INC	25,287,868.21	77,002,857.45	32.84%
PAMPANGA DEVELOPMENT BANK	47,394,335.63	149,746,531.58	31.65%
CORDILLERA SAVINGS BANK INC	38,117,126.31	122,715,955.56	31.06%
BDO UNIBANK INC	62,382,640,825.35	203,026,313,286.08	30.73%
TOWER DEVELOPMENT BANK	34,123,598.72	124,163,606.76	27.48%
LAND BANK OF THE PHILIPPINES	17,955,911,053.02	66,881,744,896.42	26.85%
FIRST CONSOLIDATED BANK INC (A PDB)	899,024,458.01	3,439,980,028.60	26.13%
DEVELOPMENT BANK OF THE PHIL	9,986,652,963.96	40,436,334,044.11	24.70%
QUEZON COCONUT BANK INC (A THRIFT BANK)	14,327,899.35	59,196,234.01	24.20%
EAST WEST BANKING CORP	7,352,208,071.00	32,352,918,702.23	22.73%
ROBINSONS BANK CORPORATION	1,526,179,000.00	7,102,390,426.44	21.49%
SECURITY BANK CORP	10,099,000,000.00	49,458,131,546.94	20.42%
ASIA UNITED BANK CORPORATION	4,581,046,315.57	22,855,041,163.68	20.04%
MAYBANK PHILIPPINES INC	2,458,909,594.39	12,341,662,616.58	19.92%
CHINA BANKING CORP	11,286,107,218.75	56,728,225,006.75	19.90%
PHIL TRUST COMPANY	3,991,570,000.00	21,001,686,271.14	19.01%
CITY SAVINGS BANK INC	1,273,880,020.08	7,012,062,793.29	18.17%
PHILIPPINE BUSINESS BANK INC A SAVINGS BANK	1,455,126,000.00	8,394,739,961.91	17.33%
RIZAL COMM'L BANKING CORP	9,392,318,773.70	56,898,889,169.81	16.51%
BPI DIRECT SAVINGS BANK INC	223,262,076.35	1,478,391,202.54	15.10%
QUEEN CITY DEVELOPMENT BANK INC OR QUEENBANK A THRIFT BANK	90,083,863.48	684,504,857.57	13.16%
MALASIQUI PROGRESSIVE SLB, INC	7,205,779.25	62,275,078.45	11.57%
BANK OF THE PHIL ISLANDS	17,361,842,610.24	152,522,913,744.36	11.38%
METROPOLITAN BANK & TCO	20,560,045,039.58	181,134,120,112.92	11.35%
CENTURY SAVINGS BANK CORPORATION	100,759,856.50	925,073,723.73	10.89%
HONGKONG & SHANGHAI BANKING CORP	1,292,969,392.77	13,963,886,205.38	9.26%
SUN SAVINGS BANK INC	10,408,117.75	133,753,619.60	7.78%
CTBC BANK (PHILIPPINES) CORP	528,638,078.31	6,980,131,005.73	7.57%
OPTIMUM DEVELOPMENT BANK INC	59,296,313.25	800,883,455.83	7.40%
HIYAS BANKING CORPORATION	11,812,182.29	177,908,515.86	6.64%
MIZUHO BANK LTD - MANILA BRANCH	200,018,256.20	3,029,980,661.97	6.60%
LEMERY SAVINGS & LOAN BANK, INC.	4,111,211.15	71,262,351.33	5.77%
PNB SAVINGS BANK	609,828,111.82	11,389,259,551.99	5.35%
UNITED OVERSEAS BANK PHILIPPINES	49,677,176.94	1,203,021,283.69	4.13%
PHIL BANK OF COMMUNICATIONS	380,680,564.93	9,368,981,860.26	4.06%
AL-AMANAH ISLAMIC INVESTMENT BANK OF THE PHILS	13,972,461.61	376,835,401.08	3.71%
BATAAN SAVINGS AND LOAN BANK	1,534,482.05	60,066,683.27	2.55%
HSBC SAVINGS BANK(PHILS) INC	45,092,459.71	1,794,263,113.12	2.51%
ING BANK N.V.	57,500,000.00	2,599,413,228.87	2.21%
PROGRESS SAVINGS AND LOAN BANK INC	1,211,283.67	83,800,532.48	1.45%
ANZ BANKING GROUP LTD	25,784,824.81	4,531,740,144.08	0.57%
BANK OF AMERICA N.A.	5,614,000.00	2,123,761,205.20	0.26%
BANGKOK BANK PUBLIC CO LTD	4,662,165.64	3,352,385,987.00	0.14%
JP MORGAN CHASE BANK NATIONAL ASSN.	734,885.22	1,407,957,700.00	0.05%
BDO PRIVATE BANK, INC.	0.00	5,695,275,746.03	0.00%
BUSINESS AND CONSUMERS BANK (A DB)	0.00	91,747,320.51	0.00%
CARD SME BANK INC A THRIFT BANK	0.00	490,149,365.03	0.00%
CITYSTATE SAVINGS BANK INC	0.00	588,204,412.38	0.00%
ENTERPRISE BANK INC (A THRIFT BANK)	0.00	296,449,412.77	0.00%
ISLA BANK(A THRIFT BANK) INC	0.00	656,964,240.35	0.00%
MERCHANTS SAVINGS & LOAN ASSN INC	0.00	423,480,302.26	0.00%
NORTHPOINT DEV'T BANK INC	0.00	386,507,164.00	0.00%
SUMITOMO MITSUI BANKING CORPORATION-MANILA BRANCH	0.00	13,003,849,252.82	0.00%
THE BNK OF TOKYO-MITSUBISHI UFJ LTD	0.00	4,967,420,166.75	0.00%
THE PALAWAN BANK (PALAWAN DB) INC	0.00	46,667,234.58	0.00%
Grand Total	380,968,264,896.42	1,345,435,832,795.28	28.32%

Stress Test Scenarios

Aggregate

So how will a 10%, 20%, 30%, 40%, and even 50% write-off of Classified Loans affect the Total Capital Cushion of the Philippine Banking System?

In the aggregate, if Classified Loans amount to 28.32% of the banking system's Total Capital Cushion, then it follows that a 10% write-off of Classified Loans will reduce the total capital by 2.83% and a 50% write-off of classified loans will reduce the banking system's Total Capital Cushion by 14.16%.

Individual Banks

A 10% write-off of Classified Loans would wipe out the capital of one bank (highlighted in red) and severely impact (by 30% or more) the Total Capital Cushion of three other banks (severely affected banks highlighted in yellow).

1. Comsavings Bank (1,305.73% reduction in Total Capital Cushion)
2. Legazpi Savings Bank (92.81% reduction in Total Capital Cushion)
3. Village Bank Inc. (62.80% reduction in Total Capital Cushion)
4. Bank of China Limited - Manila Branch (35.30% reduction in Total Capital Cushion)

A 20% write-off of Classified Loans will totally wipe out the Total Capital Cushion of three banks and severely impact the Total Capital Cushion of three more banks:

1. Comsavings Bank (2,611.46% reduction in Total Capital Cushion)
2. Legazpi Savings Bank (185.62% reduction in Total Capital Cushion)
3. Village Bank Inc. (125.61% reduction in Total Capital Cushion)
4. Bank of China Limited - Manila Branch (70.61% reduction in Total Capital Cushion)
5. Inter-Asia Development Bank (56.89% reduction in Total Capital Cushion)
6. United Coconut Planters Bank (35.32% reduction in Total Capital Cushion)

A 30% write-off of Classified Loans will totally wipe out the Total Capital Cushion of four banks and severely affect (reduce by 30% or more) the Total Capital Cushion of nine other banks:

1. Comsavings Bank (3,917.19% reduction in Total Capital Cushion)
2. Legazpi Savings Bank (278.42% reduction in Total Capital Cushion)
3. Village Bank Inc. (188.41% reduction in Total Capital Cushion)
4. Bank of China Limited - Manila Branch (105.91% reduction in Total Capital Cushion)
5. Inter-Asia Development Bank (85.33% reduction in Total Capital Cushion)
6. United Coconut Planters Bank (52.98% reduction in Total Capital Cushion)
7. Planters Development Bank (44.01% reduction in Total Capital Cushion)
8. Bank of Commerce (37.03% reduction in Total Capital Cushion)
9. Bataan Development Bank (35.76% reduction in Total Capital Cushion)
10. Philippine Resources Savings Banking Corporation (33.57% reduction in Total Capital Cushion)
11. Malayan Bank Savings and Mortgage Bank (33.03% reduction in Total Capital Cushion)
12. Dumaguete City Development Bank (32.42% reduction in Total Capital Cushion)
13. UCPB Savings Bank (30.34% reduction in Total Capital Cushion)

A 40% write-off of Classified Loans will totally wipe out the Total Capital Cushion of five banks and severely affect (reduce by 30% or more) the Total Capital Cushion of twelve more banks:

1. Comsavings Bank (5,222.92% reduction in Total Capital Cushion)
2. Legazpi Savings Bank (371.23% reduction in Total Capital Cushion)
3. Village Bank Inc. (251.21% reduction in Total Capital Cushion)
4. Bank of China Limited - Manila Branch (141.22% reduction in Total Capital Cushion)
5. Inter-Asia Development Bank (113.78% reduction in Total Capital Cushion)
6. United Coconut Planters Bank (70.63% reduction in Total Capital Cushion)
7. Planters Development Bank (58.66% reduction in Total Capital Cushion)
8. Bank of Commerce (49.38% reduction in Total Capital Cushion)
9. Bataan Development Bank (47.68% reduction in Total Capital Cushion)
10. Philippine Resources Savings Banking Corporation (44.76% reduction in Total Capital Cushion)
11. Malayan Bank Savings and Mortgage Bank (44.04% reduction in Total Capital Cushion)
12. Dumaguete City Development Bank (43.23% reduction in Total Capital Cushion)
13. UCPB Savings Bank (40.46% reduction in Total Capital Cushion)
14. World Partners Bank (34.42% reduction in Total Capital Cushion)
15. Luzon Development Bank (32.63% reduction in Total Capital Cushion)
16. Farmers Savings & Loan Bank Inc. (32.29% reduction in Total Capital Cushion)
17. Equicom Savings Bank (32.10% reduction in Total Capital Cushion)

A 50% write-off of Classified Loans will totally wipe out the Total Capital Cushion of four banks and severely affect (reduce by 30% or more) the Total Capital Cushion of twenty-one more banks:

1. Comsavings Bank (6,528.65% reduction in Total Capital Cushion)
2. Legazpi Savings Bank (464.04% reduction in Total Capital Cushion)
3. Village Bank Inc. (314.02% reduction in Total Capital Cushion)
4. Bank of China Limited - Manila Branch (176.52% reduction in Total Capital Cushion)
5. Inter-Asia Development Bank (142.22% reduction in Total Capital Cushion)
6. United Coconut Planters Bank (88.29% reduction in Total Capital Cushion)
7. Planters Development Bank (73.35% reduction in Total Capital Cushion)
8. Bank of Commerce (61.72% reduction in Total Capital Cushion)
9. Bataan Development Bank (59.60% reduction in Total Capital Cushion)
10. Philippine Resources Savings Banking Corporation (55.95% reduction in Total Capital Cushion)
11. Malayan Bank Savings and Mortgage Bank (55.05% reduction in Total Capital Cushion)
12. Dumaguete City Development Bank (54.04% reduction in Total Capital Cushion)
13. UCPB Savings Bank (50.57% reduction in Total Capital Cushion)
14. World Partners Bank (43.02% reduction in Total Capital Cushion)
15. Luzon Development Bank (40.78% reduction in Total Capital Cushion)
16. Farmers Savings & Loan Bank Inc. (40.36% reduction in Total Capital Cushion)
17. Equicom Savings Bank (40.12% reduction in Total Capital Cushion)
18. Sterling Bank of Asia Inc (34.16% reduction in Total Capital Cushion)
19. RCBC Savings Bank (34.01% reduction in Total Capital Cushion)
20. Philippine Savings Bank (33.72% reduction in Total Capital Cushion)
21. Philippine Postal Savings Bank Inc (33.71% reduction in Total Capital Cushion)
22. Philippine Star Development Bank (33.48% reduction in Total Capital Cushion)
23. Citibank, N.A. (32.97% reduction in Total Capital Cushion)
24. Deutsche Bank AG (31.23% reduction in Total Capital Cushion)
25. Metro Cebu Public Savings Bank (30.33% in Total Capital Cushion)

Please bear in mind that a number of these banks are already very weak and are in distress.  Please see a previous blog post: "The Top Distressed Philippine Banks as of September 30, 2015".  Moreover, their capital can be overstated.  See a previous blog post "Overstated Capital of Philippine Banks as of September 30, 2015".  As such, any reduction in their capital cushion could knock down an already weak bank.

Philippine Banking System
Impact Analysis of Classified Loan Loss Severities on Total Capital Cushion
June 30, 2015
	Classified Loans	Total Capital Cushion	Classified Loans/Total Capital Cushion	Impact of 10% Classified Loan Loss Severity on Total Capital Cushion	Impact of 20% Classified Loan Loss Severity on Total Capital Cushion	Impact of 30% Classified Loan Loss Severity on Total Capital Cushion	Impact of 40% Classified Loan Loss Severity on Total Capital Cushion	Impact of 50% Classified Loan Loss Severity on Total Capital Cushion
Bank	(In Php)	(In Php)	(In %)	(In %)	(In %)	(In %)	(In %)	(In %)
COMSAVINGS BANK	1,275,879,789.57	9,771,392.48	13057.30%	1305.73%	2611.46%	3917.19%	5222.92%	6528.65%
LEGAZPI SAVINGS BANK INC	883,980,000.00	95,248,137.03	928.08%	92.81%	185.62%	278.42%	371.23%	464.04%
VILLAGE BANK INC (A THRIFT BANK)	571,337,003.03	90,972,478.08	628.03%	62.80%	125.61%	188.41%	251.21%	314.02%
BANK OF CHINA LIMITED-MANILA BRANCH	9,272,414,196.60	2,626,382,043.46	353.05%	35.30%	70.61%	105.91%	141.22%	176.52%
INTER-ASIA DEVELOPMENT BANK	170,615,734.59	59,982,020.81	284.44%	28.44%	56.89%	85.33%	113.78%	142.22%
UNITED COCONUT PLANTERS BANK	21,487,165,524.83	12,168,057,585.31	176.59%	17.66%	35.32%	52.98%	70.63%	88.29%
PLANTERS DEVELOPMENT BANK	4,991,130,447.81	3,402,432,371.19	146.69%	14.67%	29.34%	44.01%	58.68%	73.35%
BANK OF COMMERCE	22,618,000,000.00	18,323,297,925.40	123.44%	12.34%	24.69%	37.03%	49.38%	61.72%
BATAAN DEVELOPMENT BANK	102,400,000.00	85,905,802.10	119.20%	11.92%	23.84%	35.76%	47.68%	59.60%
PHILIPPINE RESOURCES SAVINGS BANKING CORPORATION (PR SAVINGS)	2,563,454,355.91	2,290,748,378.91	111.90%	11.19%	22.38%	33.57%	44.76%	55.95%
MALAYAN BANK SAVINGS AND MORT BANK INC	1,385,558,947.10	1,258,362,603.04	110.11%	11.01%	22.02%	33.03%	44.04%	55.05%
DUMAGUETE CITY DEV BANK INC	276,517,000.00	255,852,431.72	108.08%	10.81%	21.62%	32.42%	43.23%	54.04%
UCPB SAVINGS BANK	2,564,221,478.58	2,535,105,369.48	101.15%	10.11%	20.23%	30.34%	40.46%	50.57%
WORLD PARTNERS BANK (A THRIFT BANK)	143,335,627.29	166,585,861.61	86.04%	8.60%	17.21%	25.81%	34.42%	43.02%
LUZON DEVELOPMENT BANK	507,158,040.30	621,783,393.75	81.57%	8.16%	16.31%	24.47%	32.63%	40.78%
FARMERS SAVINGS & LOAN BANK INC	107,690,914.30	133,414,326.27	80.72%	8.07%	16.14%	24.22%	32.29%	40.36%
EQUICOM SAVINGS BANK INC	646,430,109.06	805,544,567.59	80.25%	8.02%	16.05%	24.07%	32.10%	40.12%
STERLING BANK OF ASIA INC (A SAVINGS BANK)	2,046,671,000.00	2,995,499,703.55	68.32%	6.83%	13.66%	20.50%	27.33%	34.16%
RCBC SAVINGS BANK INC	6,940,955,925.00	10,203,153,646.01	68.03%	6.80%	13.61%	20.41%	27.21%	34.01%
PHIL SAVINGS BANK	13,883,117,663.96	20,585,524,164.89	67.44%	6.74%	13.49%	20.23%	26.98%	33.72%
PHIL POSTAL SAVINGS BANK INC	824,265,176.35	1,222,732,902.71	67.41%	6.74%	13.48%	20.22%	26.96%	33.71%
PHIL STAR DEVELOPMENT BANK INC	54,602,857.79	81,537,914.22	66.97%	6.70%	13.39%	20.09%	26.79%	33.48%
CITIBANK, N.A.	12,389,708,000.00	18,789,435,269.76	65.94%	6.59%	13.19%	19.78%	26.38%	32.97%
CHINA BANK SAVINGS INC	1,901,905,060.22	2,930,439,126.68	64.90%	6.49%	12.98%	19.47%	25.96%	32.45%
DEUTSCHE BANK AG	1,481,867,183.84	2,372,844,463.03	62.45%	6.25%	12.49%	18.74%	24.98%	31.23%
METRO CEBU PUBLIC SAVINGS BANK	42,519,918.41	70,092,561.44	60.66%	6.07%	12.13%	18.20%	24.27%	30.33%
PRODUCERS SAVINGS BANK CORPORATION	821,479,387.77	1,465,017,507.61	56.07%	5.61%	11.21%	16.82%	22.43%	28.04%
BANK OF MAKATI (A SAVINGS BANK) INC	3,762,297,081.33	7,119,281,814.59	52.85%	5.28%	10.57%	15.85%	21.14%	26.42%
MARITIME SAVINGS BANK CORPORATION	35,961,080.62	70,225,528.64	51.21%	5.12%	10.24%	15.36%	20.48%	25.60%
PENBANK INC (A PDB) (FORMERLY: PENINSULA RB INC)	197,179,565.70	390,025,434.32	50.56%	5.06%	10.11%	15.17%	20.22%	25.28%
TONGYANG SAVINGS BANK INC	240,991,162.76	486,763,080.03	49.51%	4.95%	9.90%	14.85%	19.80%	24.75%
PHILIPPINE VETERANS BANK	3,589,491,132.94	7,504,813,416.35	47.83%	4.78%	9.57%	14.35%	19.13%	23.91%
WEALTH DEVELOPMENT BANK CORPORATION	214,382,940.12	468,671,548.58	45.74%	4.57%	9.15%	13.72%	18.30%	22.87%
STANDARD CHARTERED BANK	3,698,392,980.39	8,129,787,326.54	45.49%	4.55%	9.10%	13.65%	18.20%	22.75%
LIFE SAVINGS BANK INC	26,921,166.82	62,421,172.56	43.13%	4.31%	8.63%	12.94%	17.25%	21.56%
KOREA EXCHANGE BANK	525,110,667.02	1,261,707,874.24	41.62%	4.16%	8.32%	12.49%	16.65%	20.81%
MEGA INT'L COMM'L BANK CO LTD	846,281,668.00	2,051,701,468.93	41.25%	4.12%	8.25%	12.37%	16.50%	20.62%
UNION BANK OF THE PHILS	24,712,758,152.21	59,975,943,349.83	41.20%	4.12%	8.24%	12.36%	16.48%	20.60%
SECURITY BANK SAVINGS CORPORATION	641,563,634.22	1,588,413,414.97	40.39%	4.04%	8.08%	12.12%	16.16%	20.20%
UNIVERSITY SAVINGS BANK INC	107,732,733.49	270,380,528.62	39.84%	3.98%	7.97%	11.95%	15.94%	19.92%
1ST VALLEY BANK INC A DEVELOPMENT BANK	540,902,185.24	1,392,982,151.62	38.83%	3.88%	7.77%	11.65%	15.53%	19.42%
OPPORTUNITY KAUSWAGAN BANK INC (A MICROFINANCE THRIFT BANK)	43,374,617.22	117,849,958.64	36.80%	3.68%	7.36%	11.04%	14.72%	18.40%
BANK ONE SAVINGS AND TRUST CORP.	206,775,173.66	565,963,820.50	36.54%	3.65%	7.31%	10.96%	14.61%	18.27%
BPI FAMILY SAVINGS BANK INC	9,915,414,002.28	28,065,488,922.04	35.33%	3.53%	7.07%	10.60%	14.13%	17.66%
DUNGGANON BANK (A MICROFINANCE THRIFT BANK) INC	40,644,515.75	117,437,445.75	34.61%	3.46%	6.92%	10.38%	13.84%	17.30%
PHIL NATIONAL BANK	35,221,138,778.77	104,784,019,647.27	33.61%	3.36%	6.72%	10.08%	13.45%	16.81%
SAMPAGUITA SAVINGS BANK INC	25,287,868.21	77,002,857.45	32.84%	3.28%	6.57%	9.85%	13.14%	16.42%
PAMPANGA DEVELOPMENT BANK	47,394,335.63	149,746,531.58	31.65%	3.16%	6.33%	9.49%	12.66%	15.82%
CORDILLERA SAVINGS BANK INC	38,117,126.31	122,715,955.56	31.06%	3.11%	6.21%	9.32%	12.42%	15.53%
BDO UNIBANK INC	62,382,640,825.35	203,026,313,286.08	30.73%	3.07%	6.15%	9.22%	12.29%	15.36%
TOWER DEVELOPMENT BANK	34,123,598.72	124,163,606.76	27.48%	2.75%	5.50%	8.24%	10.99%	13.74%
LAND BANK OF THE PHILIPPINES	17,955,911,053.02	66,881,744,896.42	26.85%	2.68%	5.37%	8.05%	10.74%	13.42%
FIRST CONSOLIDATED BANK INC (A PDB)	899,024,458.01	3,439,980,028.60	26.13%	2.61%	5.23%	7.84%	10.45%	13.07%
DEVELOPMENT BANK OF THE PHIL	9,986,652,963.96	40,436,334,044.11	24.70%	2.47%	4.94%	7.41%	9.88%	12.35%
QUEZON COCONUT BANK INC (A THRIFT BANK)	14,327,899.35	59,196,234.01	24.20%	2.42%	4.84%	7.26%	9.68%	12.10%
EAST WEST BANKING CORP	7,352,208,071.00	32,352,918,702.23	22.73%	2.27%	4.55%	6.82%	9.09%	11.36%
ROBINSONS BANK CORPORATION	1,526,179,000.00	7,102,390,426.44	21.49%	2.15%	4.30%	6.45%	8.60%	10.74%
SECURITY BANK CORP	10,099,000,000.00	49,458,131,546.94	20.42%	2.04%	4.08%	6.13%	8.17%	10.21%
ASIA UNITED BANK CORPORATION	4,581,046,315.57	22,855,041,163.68	20.04%	2.00%	4.01%	6.01%	8.02%	10.02%
MAYBANK PHILIPPINES INC	2,458,909,594.39	12,341,662,616.58	19.92%	1.99%	3.98%	5.98%	7.97%	9.96%
CHINA BANKING CORP	11,286,107,218.75	56,728,225,006.75	19.90%	1.99%	3.98%	5.97%	7.96%	9.95%
PHIL TRUST COMPANY	3,991,570,000.00	21,001,686,271.14	19.01%	1.90%	3.80%	5.70%	7.60%	9.50%
CITY SAVINGS BANK INC	1,273,880,020.08	7,012,062,793.29	18.17%	1.82%	3.63%	5.45%	7.27%	9.08%
PHILIPPINE BUSINESS BANK INC A SAVINGS BANK	1,455,126,000.00	8,394,739,961.91	17.33%	1.73%	3.47%	5.20%	6.93%	8.67%
RIZAL COMM'L BANKING CORP	9,392,318,773.70	56,898,889,169.81	16.51%	1.65%	3.30%	4.95%	6.60%	8.25%
BPI DIRECT SAVINGS BANK INC	223,262,076.35	1,478,391,202.54	15.10%	1.51%	3.02%	4.53%	6.04%	7.55%
QUEEN CITY DEVELOPMENT BANK INC OR QUEENBANK A THRIFT BANK	90,083,863.48	684,504,857.57	13.16%	1.32%	2.63%	3.95%	5.26%	6.58%
MALASIQUI PROGRESSIVE SLB, INC	7,205,779.25	62,275,078.45	11.57%	1.16%	2.31%	3.47%	4.63%	5.79%
BANK OF THE PHIL ISLANDS	17,361,842,610.24	152,522,913,744.36	11.38%	1.14%	2.28%	3.41%	4.55%	5.69%
METROPOLITAN BANK & TCO	20,560,045,039.58	181,134,120,112.92	11.35%	1.14%	2.27%	3.41%	4.54%	5.68%
CENTURY SAVINGS BANK CORPORATION	100,759,856.50	925,073,723.73	10.89%	1.09%	2.18%	3.27%	4.36%	5.45%
HONGKONG & SHANGHAI BANKING CORP	1,292,969,392.77	13,963,886,205.38	9.26%	0.93%	1.85%	2.78%	3.70%	4.63%
SUN SAVINGS BANK INC	10,408,117.75	133,753,619.60	7.78%	0.78%	1.56%	2.33%	3.11%	3.89%
CTBC BANK (PHILIPPINES) CORP	528,638,078.31	6,980,131,005.73	7.57%	0.76%	1.51%	2.27%	3.03%	3.79%
OPTIMUM DEVELOPMENT BANK INC	59,296,313.25	800,883,455.83	7.40%	0.74%	1.48%	2.22%	2.96%	3.70%
HIYAS BANKING CORPORATION	11,812,182.29	177,908,515.86	6.64%	0.66%	1.33%	1.99%	2.66%	3.32%
MIZUHO BANK LTD - MANILA BRANCH	200,018,256.20	3,029,980,661.97	6.60%	0.66%	1.32%	1.98%	2.64%	3.30%
LEMERY SAVINGS & LOAN BANK, INC.	4,111,211.15	71,262,351.33	5.77%	0.58%	1.15%	1.73%	2.31%	2.88%
PNB SAVINGS BANK	609,828,111.82	11,389,259,551.99	5.35%	0.54%	1.07%	1.61%	2.14%	2.68%
UNITED OVERSEAS BANK PHILIPPINES	49,677,176.94	1,203,021,283.69	4.13%	0.41%	0.83%	1.24%	1.65%	2.06%
PHIL BANK OF COMMUNICATIONS	380,680,564.93	9,368,981,860.26	4.06%	0.41%	0.81%	1.22%	1.63%	2.03%
AL-AMANAH ISLAMIC INVESTMENT BANK OF THE PHILS	13,972,461.61	376,835,401.08	3.71%	0.37%	0.74%	1.11%	1.48%	1.85%
BATAAN SAVINGS AND LOAN BANK	1,534,482.05	60,066,683.27	2.55%	0.26%	0.51%	0.77%	1.02%	1.28%
HSBC SAVINGS BANK(PHILS) INC	45,092,459.71	1,794,263,113.12	2.51%	0.25%	0.50%	0.75%	1.01%	1.26%
ING BANK N.V.	57,500,000.00	2,599,413,228.87	2.21%	0.22%	0.44%	0.66%	0.88%	1.11%
PROGRESS SAVINGS AND LOAN BANK INC	1,211,283.67	83,800,532.48	1.45%	0.14%	0.29%	0.43%	0.58%	0.72%
ANZ BANKING GROUP LTD	25,784,824.81	4,531,740,144.08	0.57%	0.06%	0.11%	0.17%	0.23%	0.28%
BANK OF AMERICA N.A.	5,614,000.00	2,123,761,205.20	0.26%	0.03%	0.05%	0.08%	0.11%	0.13%
BANGKOK BANK PUBLIC CO LTD	4,662,165.64	3,352,385,987.00	0.14%	0.01%	0.03%	0.04%	0.06%	0.07%
JP MORGAN CHASE BANK NATIONAL ASSN.	734,885.22	1,407,957,700.00	0.05%	0.01%	0.01%	0.02%	0.02%	0.03%
BDO PRIVATE BANK, INC.	0.00	5,695,275,746.03	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%
BUSINESS AND CONSUMERS BANK (A DB)	0.00	91,747,320.51	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%
CARD SME BANK INC A THRIFT BANK	0.00	490,149,365.03	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%
CITYSTATE SAVINGS BANK INC	0.00	588,204,412.38	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%
ENTERPRISE BANK INC (A THRIFT BANK)	0.00	296,449,412.77	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%
ISLA BANK(A THRIFT BANK) INC	0.00	656,964,240.35	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%
MERCHANTS SAVINGS & LOAN ASSN INC	0.00	423,480,302.26	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%
NORTHPOINT DEV'T BANK INC	0.00	386,507,164.00	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%
SUMITOMO MITSUI BANKING CORPORATION-MANILA BRANCH	0.00	13,003,849,252.82	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%
THE BNK OF TOKYO-MITSUBISHI UFJ LTD	0.00	4,967,420,166.75	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%
THE PALAWAN BANK (PALAWAN DB) INC	0.00	46,667,234.58	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%
Grand Total	380,968,264,896.42	1,345,435,832,795.28	28.32%	2.83%	5.66%	8.49%	11.33%	14.16%

Source: www.bsp.gov.ph