Amendment to the Definition of a Deposit Substitute

I J.) BANGKo SENTRAL NG PILIPINAS' OFFICE OF THE GOVERNOR ctRcutAR No.1051 Series of 2019 Subject: Amendment to the Definition of a Deposit Substitute The Monetary Board, in its Resolution No. 1679 dated 31 October 2OIg, approved the amendment to the definition of a deposit substitute to exclude borrowings from financial intermediaries, consistent with the definition of deposit substitutes under Section 95 of the Republic Act No. 7653 (The New Central Bank Act), as amended. Section 1. Section 24L of the Manual of Regulations for Banks (MORB), Section 4101Q and Section 4103N (Quasi-bonking functions) of the Manual of Regulations for Non-Bank Financial Institutions (MoRNBFI) are hereby amended, as follows: 241 SCOPE OF QUASI.BANKING FUNCTIONS The following rules and regulations shall govern the quasi-banking functions of banks. xxx Definition ol terms ond phroses. The following terms and phrases shall be understood as follows: xxx b. For the borrower's own account shall refer to the assumption of liability in one's own capacity and not in representation, or as agent or trustee, of another. c. Lenders shall refer to individuals and corporate entities that are not banks, quasi-banks or other financial intermediaries as defined under Subsection 4101Q.1of the MORNBFI. d. Purchosing of receivables or other obligotions shall refer to the acquisition of claims collectible in money or securities of any amount and maturity from domestic or foreign sources. e. Relending shall refer to xxx f. Regulorly engaged in lending shall refer to xxx xxx Pre'conditions for the exercise of quosi-banking functions. No bank shall engage in quasi-banking functions without authority from the Bangko Sentral: Provided, however, That banks authorized by the Bangko sentral to perform universal or commercial banking functions shall automatically have the authority to engage in quasi-banking functions: Provided, further, That the authority to

obtain funds from the public, which shall mean twenty (20) or more lenders under existing laws, is not a condition but an authorization for the bank or quasi-bank, once the Monetary Board has granted the quasi-banking license. ln addition to the Standard Pre-qualification Requirements for the Grant of Bank Authorities enumerated in Appendix 5, xxx 4101Q QUASI-BANKING FUNCTIONS xxx As used in the definition of quasi-bonking functions, the following terms and phrases shall be understood, as follows: xxx For the borrower's own occount shall refer to the assumption of liability in one's own capacity and not in representation, or as an agent or trustee, of another. Lenders shall refer to individuals and corporate entities that are not banks, quasi-banks or other financial intermediaries as provided herein. Purchosing of receivobles or other obligations shall refer to the acquisition of claims collectible in money or securities of any amount and maturity from domestic or foreign sources. XXX 4103N PRIOR BANGKO SENTRAT AUTHORIW ON qUASI-BANKING FUNCTIONS xxx Qu o si-Bo n ki ng F u n cti ons. xxx As used in the definition of quasi-banking functions, the following terms and phrases shall be understood, as follows: xxx For the borrower's own occount shall refer to the assumption of liability in one's own capacity and not in representation, or as an agent or trustee, of another. Lenders shall refer to individuals and corporate entities that are not banks, quasi-banks or other financial intermediaries as provided under Subsection 4101Q.1. Purchasing of receivobles or other obligotions shall refer to the acquisition of claims collectible in money or securities of any amount and maturity from domestic or foreign sources. xxx Page 2 of L2

Section 2. Section 242 of the MORB and Section 4235Q of the MORNBFI on deposit substitute instruments are amended, as follows: 242 DEPOSIT SUBSTITUTE INSTRUMENTS xxx Minimum feotures. Deposit substitute instruments issued by entities performing quasi-banking functions shall have the following minimum features: xxx k. Only security paper with adequate safeguards against alteration or falsification shall be used. Deposit substitute instruments shall conform to the language prescribed by the Bangko Sentral. Any substantial deviation therefrom or any additional stipulation therein shall be referred to the Bangko Sentral for prior approval. The size and appearance of these instruments shall not be similar to the size and appearance of checks. Rubber stamping, typewriting or handwriting some provisions shall not be considered compliance with said regulations. (Shown in Appendix 72 are the samples of standardized instruments as evidence of deposit substitute liabilities.) Delivery of securities xxx Other rules and regulations governing the issuance and treatment of deposit substitute instruments xxx e. In the case of repurchase agreements and certificates of assignment/participation with recourse, the stipulation shall clearly state either (1)that the underlying securities are being delivered to the buyer or assignee as collaterals or (21 that the ownership thereof is being transferred to the buyer or assignee. Re pu rchase ag ree me nts cove ri ng gove rn me nt secu rities, commercia I pope rs and other negotioble ond non-negotioble securities or instruments. The following regulations shall govern repurchase agreements covering government securities, commercial papers and other negotiable and non-negotiable securities or instruments of banks as well as sale on a without recourse basis of said securities by banks with counterparties that meet the definition of lenders under Sec. 241 (Definition of terms ond phrosesl. xxx d. Sanctions. The Monetary Board may, at its evaluation and discretion, impose any or all of the following sanctions to a bank or the director/s or officer/s found to be responsible for repurchase agreements covering

government securities, commercial papers and other negotiable and non- negotiable securities or instruments that are not documented in accordance with existing Bangko Sentral regulations: (1) xxx xxx (7)xxx Mortgoge/chottel mortgoge (CHM) certificates ol thrift banks (TBs) issued to counterparties thot meet the definition of lenders under Sec. 247 (Definition of terms and phrases). With prior approval of the Monetary Board, TBs may issue and deal in mortgage and CHM certificates. The rules and regulations governing the issuance of said certificates are shown in Appendix 74. 4235Q DEPOSITSUBSTITUTE INSTRUMENTS xxx Minimum feotures. Deposit substitute instruments issued by QBs shall have the following minimum features. XXX Rubber stamping, typewriting and handwriting some provision shall not be considered compliance with said regulations. Delivery of securities. xxx Other rules and regulotions governing the issuance and treotment of deposit substitute i nstru ments xxx e. In the case of repurchase agreements and certificates of assignment/participation with recourse, the stipulation shall clearly state either (a)that the underlying securities are being delivered to the buyer or assignee as collaterals or (b) that the ownership thereof is being transferred to the buyer or assignee. Repurchose ogree ments covering gove rnme nt secu rities, comme rcio I pope rs and other negotioble and non-negotiable securities or instruments. The following regulations shall govern repurchase agreements covering government securities, commercial papers and other negotiable and non-negotiable securities or instruments of QBs with counterparties that meet the definition of lenders under Section 4101Q as well as sale on a without recourse basis of said securities bY QBs. xxx

't Section 3. Sections 246/4239Q of the MORB/MORNBFI on the issuance of bonds and commercial papers, as amended under Circular 1010 Series of 2018, are hereby further amended to read as follows: Sections 24614239Q lssuance of Bonds and Commercial Papers. All banks with quasi-banking authority/quasi-banks (QBs) issuing bonds or commercial papers to counterparties that meet the definition of lenders under Section 241/4101Q shall comply with Republic Act No. 8799 or the Securities Regulation Code (SRC) and its lmplementing Rules and Regulation, and other applicable rules and regulations issued by the Securities and Exchange Commission (SEC). A bank/QB may issue bonds and/or commercial papers without prior Bangko Sentral approval: Provided, That it meets the following prudential criteria as described in Sec. 111 (P ru d e nti a I c rite ri ol / Subsection 41 101Q. 2 of the M ORB/M ORN BF | : a. xxx Section 4. Section 293-8 of the MORB and Subsection 4239Q.6 of the MORNBFI are hereby deleted. Section 5. Section 25L of the MORB and Section 4253Q of the MORNBFI on reserves against deposit and deposit substitute liabilities, as amended by Circular Nos. 1054 and 1055 dated 1L October 2OL9 and 22 October 2OL9, respectively, are hereby further amended, to read as follows: 251 ACCOUNTS SUBJECT TO RESERVES; AMOUNTS REQUTRED The following rules and regulations shall govern the reserves against deposit and deposit substitute liabilities. Required reserues ogoinst deposit ond deposit substitute liobilities. The rates of required reserves against deposit and deposit substitute liabilities in local currency of banks shall be as follows: Reservable Liabilities UBs/KBs TBs RBs/ Coop Banks a. Demand Deposits E% 5% 3o/o b. NOW accounts L5% 5% 3% c. Savings Deposits L5% 5% 3% d. Time Deposits, Negotiable CTDs, Long-term Non- L5% 5% 3o/o negotiable Tax Exempt CTDs e. Long-term negotiable certificates of time 4% 4% 4% deposits f. Deposit Substitutes (DS) L5% 5o,4 NA g. Bonds 3% 3% NA h. Mortgage/CHM cert, NA 6% NA i. Peso deposits lodeed under Due to foreign banks L5% NA NA j. Peso deposits lodged under Due to Head 75% NA NA Office/Branches/Agencies Abroad (Philippine branch of a foreign bank) k. Basic deposit accounts, as defined in Section 213 o% o% 0% Items "i" and "j" refer to peso deposits, except those utilized as capitar of foreign banks (including Head Office/Branches/Agencies abroad of local branches of foreign banks) booked under the "Due to Foreign Banks" and "Due to Head

Office/Branches/Agencies Abroad" accounts as provided under Sec. L72 (Adoption of the Manualof Accounts), as amended. 4253Q RESERVES AGAINST DEPOSIT SUBSTITUTES NBQBs shall maintain required reserves equivalent to sixteen percent (L6o/ol of deposit substitute liabilities as defined in Section 95 of R.A. No. 7653, as amended by R.A. No. 11211, regardless of maturities except: (a) xxx; (b) deposit substitutes arising from special financing programs of the Government and/or international Fls; and (c) bonds under Sec. 4239Q for which the reserve requirement shall be three percent (3%). Section 5. Section 293 of the MORB is hereby added, as follows: 29? BORROWINGS FROM BANKS, QUASI-BANKS AND OTHER FtNANCtAt INTERMEDIARIES The following borrowings from banks, quasi-banks and other financial intermediaries as defined under Subsection 4101e. j. of the MORNBFI shall not be considered as deposit substitutes: a. Borrowings from bonks, quosi-bonks and other finonciat intermediories. Borrowings of banks from other banks, quasi-banks and other financial intermediaries shall be subject to appropriate documentation. Borrowings of banks from other banks and quasi-banks shall also be subject to the regulations on interbank loan transactions under Sec. 315. b. Repurchose agreements. (1) Repurchase agreements covering government securities that are transacted in an organized market under the Government Securities Repo Program. (2) Other repurchase agreements with counterparties that are banks, quasi- banks or other financial intermediaries. These shall be governed by the following regulations: (a) Proper recording and documentation of repurchase agreements. Banks shall have a true and accurate account, record or statement of their daily transactions. As such, repurchase agreements covering government securities, commercial papers and other negotiable and non-negotiable securities or instruments must be properly recorded and documented. The absence of proper documentation for repurchase agreements is tantamount to willful omission of entries

relevant to any transaction, which shall be a ground for the imposition of administrative sanctions and the disqualification from office of any director or officer responsible therefor under existing laws and regulations. (b) Responsibilities of the chief executive officer (CEO) or officer of equivalent rank. lt shall be the responsibility of the CEO or the officer of equivalent rank in a bank to: (i) Institute policies and procedures to prevent undocumented or improperly documented repurchase agreements covering government securities, commercial papers and other negotiable and non-negotiable securities or instruments; (ii) Ascertain and ensure that the bank did not enter into a repurchase agreement covering government securities, commercial papers and other negotiable and non- negotiable securities or instruments that are not documented in accordance with existing Bangko Sentral regulations and that the bank has strictly complied with the pertinent rules of the SEC and the Bangko Sentral on the proper sale of securities to the public and performed the necessary representations and disclosures on the securities; (iii) lnform the client of all relevant disclosures pertaining to repurchase agreements under iec.242, as applicable; and (iv) Report to the appropriate supervising department of the Bangko Sentral any undocumented repurchase agreement within seventy-two (72) hours from knowledge of such transactions. sanctions. The Monetary Board may, at its evaluation and discretion, impose any or all of the following sanctions to a bank or the director/s or officer/s found to be responsible for repurchase agreements covering government securities, commercial papers and other negotiable and non- negotiable securities or instruments that are not documented in accordance with existing Bangko Sentral regulations: (a) Fine of up to P30,000 a day to the concerned entity for each violation from the date the violation was committed up to the date it was corrected; (b) suspension of interbank clearing privileges/ immediate exclusion from clearing; (c) Suspension of access to Bangko sentral rediscounting facirities; (d) suspension of lending or foreign exchange operations or authority to accept new deposits or make new investments; (e) Revocation of quasi-banking license; (f) Revocation of authority to perform trust operations; and PageT of t2

(g) Suspension for LzO days without pay of the directors/officers responsible for the violation; c. Bonds. Bonds that are issued to banks, quasi-banks and other financial intermediaries as defined under Subsection 410lQ.1 (Finoncial intermediariesl of the MORNBFI shall comply with the regulations prescribed under Sec. 245 on the issuance of bonds and commercial papers; and d. Mortgage ond chottel mortgoge (CHM) certificotes. With prior approval of the Monetary Board, thrift banks may issue and deal in mortgage and CHM certificates with banks, quasi-banks or other financial intermediaries as defined under Subsection 4101Q.1 of the MORNBFI. The issuance of said certificates shall be governed by rules and regulations under A ppendix 74. Delivery ol securities The guidelines on the delivery of securities, warehouse receipts, quedans and other documents of title which are the subject of quasi-banking functions, such as repurchase agreements, under Sec.242 shall, likewise, apply to borrowings with banks, quasi-banks and other financial intermediaries. Section 7. Section 4282Qof the MORBNBFI is hereby added, as follows: 4282Q BORROWINGS FROM BANKS, QUASI-BANKS AND OTHER FINANCIAL INTERMEDIARIES The following borrowings from banks, quasi-banks and other financial intermediaries as defined under Subsection 4101Q.1 shall not be considered as deposit substitutes: a. Borcowings from bonks, quasi-banks /!.Asl and other finoncial intermediories. Borrowings of Qgs from banks, other eBs and financial intermediaries shall be subject to appropriate documentation. Borrowings of QBs from banks and other QBs shall also be subject to the regulations on interbank loan transactions under Sec. 4343e. b. Repurchase agreements. Repurchase agreements with banks, eBs or other financial intermediaries shall likewise be governed by the following regulations: (Ll Proper recording ond documentation of repurchose ogreements. QBs shall have a true and accurate account, record or statement of their daily transactions. As such, repurchase agreements covering government securities, commercial papers and other negotiable and non-negotiable securities or instruments must be properly recorded and documented. The absence of proper documentation for repurchase agreements is tantamount to willful omission of entries relevant to any transaction, which shall be a ground for the imposition of administrative sanctions

and the disqualification from office of any director or officer responsible therefor under existing laws and regulations. (21 Responsibilities of the chief executive officer (CEO) or officer of equivalent ronk. lt shall be the responsibility of the CEO or the officer of equivalent rank in a QB to: (a) Institute policies and procedures to prevent undocumented or improperly documented repurchase agreements covering government securities, commercial papers and other negotiable and non-negotiable securities or instruments; (b) Submit a notarized certification at the end of every semester that the QB did not enter into any repurchase agreement covering government securities, commercial papers and other negotiable and non-negotiable securities or instruments that are not documented in accordance with existing Bangko Sentral regulations and that the QB has strictly complied with the pertinent rules of the SEC and the Bangko Sentral on the proper sale of securities to the public and performed the necessary representations and disclosures on the securities; (c) Inform the client of all relevant disclosures pertaining to repurchase agreements under Section 4235Q (Repurchase agreements covering government securities, commerciol papers ond other negotioble and non-negotiable securities or instruments./, as applicable; and (d) Report to the appropriate supervising deparment of the Bangko Sentral any undocumented repurchase agreement within seventy- two (72) hours from knowledge of such transactions. Sonctions. The Monetary Board may, at its evaluation and discretion, impose any or all of the following sanctions to a QB or the director/s or officer/s found to be responsible for repurchase agreements covering government securities, commercial papers and other negotiable and non- negotiable securities or instruments that are not documented in accordance with existing Bangko Sentral regulations: (a) Fine of up to P3qOOO a day to the entity concerned for each violation from the date the violation was committed up to the date it was corrected; (b) Suspension of interbank clearing privileges/immediate exclusion from clearing; (c) Suspension of access to Bangko Sentral rediscounting facilities; (d) Suspension of lending or foreign exchange operations or authority to accept new deposits or make new investments; (e) Revocation of quasi-banking license; (f) Revocation of authority to perform trust operations; and (e) suspension for L2o days without pay of the directors/officers responsible for the violation.

c. Bonds. Bonds that are issued to banks, quasi-banks and other financial intermediaries as defined under Subsection 4101Q.1 shall comply with the regulations prescribed under Section 4239Q on the issuance of bonds and commercial papers. Delivery of securities The guidelines on the delivery of securities, warehouse receipts, quedans and other documents of title which are the subject of quasi-banking functions, such as repurchase agreements, under Subsection 4235Q.5 shall, likewise, apply to borrowings with banks, quasi-banks and other financial intermediaries. Section 8. Sections 315/4343Q of the MORB/MORNBFI are hereby amended and, shall read, as follows: 315INTERBANK TOANS Interbank loan transactions shall include the following transactions with other banks and quasi-banks, (a) call or demand loan transactions; (b) term loan transactions; (c) borrowings evidenced by debt instruments which may include, but need not be limited to, bankers acceptances, promissory notes, participations, certificates of assignment and similar instruments with recourse, and repurchase agreements; and (d) purchases of receivables with recourse: Provided, That funds borrowed by banks from trust departments of banks or lHs shall be excluded from the herein definition of interbank loan transactions. xxx 4343Q INTERBANK LOANS Interbank loan transactions shall include the following transactions with banks and other quasi-banks, (a) call or demand loan transactions; (b) term loan transactions; (c) borrowings evidenced by debt instruments which may include, but need not be limited to, bankers acceptances, promissory notes, participations, certificates of assignment and similar instruments with recourse, and repurchase agreements; and (d) purchases of receivables with recourse: Provided, That funds borrowed by QBs from trust departments of banks/investment houses shall be excluded from the herein definition of interbank loan transactions. Section 9. Section 331 of the MORB on Agriculture and Agrarian Reform Credit is hereby amended and, shall read, as follows: 331AGRICUITURE AND AGRARIAN REFORM CREDIT xxx Computotion of loanoble funds. Loanable funds shall be computed, as follows:

The net increase from 20 April 2010 to date of the report of the individual accounts booked under the Regular Banking Unit which represents the following: (1) xxx (2) Bills payable excluding: (a)xxx (b)xxx (c) Other borrowings, in the form of the following: (i)xxx (v) Other borrowings with banks (d)xxx (e)xxx (f) xxx (3) Bonds payable, net of unamortized premium or discount, other than bond issuances of the DBP and LBP, the proceeds of which shall be used exclusively for on-lending to the agriculture and agrarian reform sector, xxx Section 10. The Financial Reporting Package (FRP)- Manualof Accounts and Line Item Instructions and corresponding schedules of the "Bills payable Deposit Substitutes" account is amended to "Borrowings, including Deposit Substitutes" (Annex A provides the revisions to the Manual of Accounts and Line ltem Instructions (Annex A-1), Schedule 24 - Bills Payable (Annex A-2), Schedule 29 - Interest Income/Expense from Financial Instruments (Annex A-3) and Schedule 30b - Interest Expense on Bills Payable (Annex A-4). Section 11. The templates of the prudential reports on the compliance with the reserve requirements on deposit substitutes and mandatory agri-agra credit requirement under Appendices 7/Q-3 of the MORB/MORNBFI are amended to render these consistent with the definition of a deposit substitute. The revised sections of the templates are shown in Annex B: a. IX of th e MORB Form Number Reoort Title UB/KB Form tl TB Form 1/RB/ Consolidated Daily Report of Conditionl COB Form 1 Unnumbered/ Report on Compliance with the Mandatory Agri-Agra Credit BSP-7-L6-27 (Agri-Agra) - Main Report b. Appendix Q-3 of the MORNBFI Form Number Report Title BSP-7-25-05 Consolidated Report on Required and Available Reserves Against Deposit Substitutes and Special Financins2 For purposes of reporting in the template of the Consolidated Daily Report of Condition, banks shall exclude: (i) deposit substitutes evidenced by repo agreement covering securities under the GS Repo Program, (ii) interbank term and call borrowings, and (iii) borrowings from other financial intermediaries, from amounts that are subject to reserves.

The amendments to the electronic templates of the reports under Sections L0 and 11. shall be covered by a separate issuance. Section 12. Effectivity. This Circular shall take effect fifteen (15) calendar days following its publication either in the Official Gazette or in a newspaper of general circulation. FORTHE MONETARY BOARD: C{, \ BENJAMIN E. DIOKNO Governor {t- November 2019 2 For purposes of reporting in the template of the Consolidated Report on Required and Available Reserves Against Deposit Substitute and Special Financing, QBs shall exclude: (i) deposit substitutes evidenced by repo agreement covering securities under the GS Repo Program, (ii) interbank term and call borrowings, and (iii) borrowings from other financial intermediaries, from amounts that are subject to reserves. Page !2 of t2

Annex "A-1" Revisions on the Financial Reporting Package (FRp) Manual of Accounts and Line ltem Instructions The Financial Reporting Package (FRP) Manual of Accounts and Line ltem Instructions - FRP for Banks issued under Circular No. 512 dated 3 February 2(X16, as amended, shall be revised as follows: a. Organization of the Instructions of the FRp ,,ORGANIZATION OF THE INSTRUCTIONS OF THE FRP xxx MANUAL OF ACCOUNTS AssetAccounts xxx tiabilityAccounts xxx Banks Due to Other 34 Bills Payable 34 Bangko Sentral ng Pilipinas Interbank Loans Payable Other Borrowings, including Deposit Substitutes Others Bonds Payable 35 XXX,, b. Balance Sheet Accounts ofthe Manual ofAccounts "BALANCE SHEET ACCOUNTS XXX LiabiliW Accounts xxx 5. Bills Payable (a) Bangko Sentral ng Pilipinas (BSP) - This refers to the amortized cost of obligations to the BSP. XXX (b) Interbank Loans Payable xxx (c) Other Borrowings, including Deposit Substitutes (c.1) Repurchase Agreements with Bangko sentral ng pilipinas (BSp) - xxx xxx (c.7) Others - This refers to the amortized cost of borrowings or other deposit substitutes which cannot be appropriately classified under any of the foregoing accounts. (d) Others-xxx"

Annex "A-1" c. Income Statement Accounts of the Manual of Accounts "INCOME STATEMENT ACCOUNTS 1. Interestlncome-xxx xxx 2. Interest Expense - This refers to payments and/or monthly accruals of interest on the following financial liabilities: (a) Financial Liabilities Held forTrading (b) xxx (c) xxx (d) Bills Payable (i) Bangko Sentral ng Pilipinas (ii) Interbank Loans Payable (iii) Other Borrowings, including Deposit Substitutes (iv) Others (e) xxx"

BgFl IFlCod.l Ar ot: Parlod Annex "A-2" Schedule 24 L ot2 Blllr Payable Partlcul.rs Account Code Tot!l l.rld.nt 0.0( 1) tmgko s€nral ng Plllplnas 220100001 5001fixno 001 !) rdla@untlng 220100001505100000 0.il )) imergmcy Adwnes 0.0( c) )wmight Bonowings 220100001 512100000 0.0( (d) )\€rdrafts 220100001515100000 0_o( ;6) Clhefs 2201000015951 00000 0.0( 2l nt6ftank Loanc Peyable 220100002000100000 oo( al ntgrbank Call Loans 0.0( ,a.1) JBs/KBs 220100002005141000 0.0( a.1 a) SomffilErnks 0.q i) tBu 22010m02005141 r r0 0.0( ii) :CDU 22010000200514.t 120 0.(X a.1bl {on€o\€mmenl Banks 220100002005141200 0_0( 0) IBU 0.0( lir) :CDU 2201000n,2005141220 0.0( )lher Banks 220100002005142000 0.0( D IEU 0.0( -CDU 0.0( VBO86 0.0c bl nloroank Tsm Lo!n! 0.0c b.1) JB€/KBS 220100002010141000 0.0c b.1a) io\rommgnt B€nks 0.(x i) rBu 2201000,02010141110 0.0( ti) :cou 2m10ffi02010141120 0.0( b.1t {on-Go\,€mm€nt Banks 220100[p201014120/J 0.0( I) Rzu 220'10{J{J0.20't0141210 0.0( il) F-CDU 2m1gl/l0,2010141220 0.o( f,thet Bsnks 220100002010142000 0.0( "b.21 tBU 0.00 ii) -(:DU 2201WW2010142020 0.0( lBClBs 0.0( 3) Olh€r Bonowings, includlng Dsposit Substitules 2201 0@025001 00000 0.0( lcpurchas€ Agrosnonts wilh BSp 2201 0@02505100000 0.0( b) lepurchase Agre€msnts 2201000025 t01m000 0.0( b.l) 220r00002510140000 0.0( 220100@2510141000 0.0( l(i.a) lGov€mmant Benks 22010000251 0141 100 0.0( 220100002510141 200 0.0( 0.0( '.b.21 ?ivate Corporatlong 2201 0qD25101 60000 0.0( i) -tnanoel 220100002510161000 0.0( \bn-Finandal 22010002510r62000 0.0( b.3) ndividuals o.oc c) .ronncates ot AsstgnmonuParlicipalion wilh 2201000025,15100000 0.0c c.1 ) lanks 2201 00002s1 5140000 0.0( i) JB8/XB3 0.0( .a) iov€mmfft Banks 220100002515141 100 0.0( 'l.b) t{on€o\6mment Banks | 220100fJ{l,251514120iJ 0.0( lit) )lher Bsnkg 220100002515142000 0.0( ',c.21 Private Co|Doratons 2201 0000251 5160000 0.0( tr) :lnandel 22010000251 5161 mO 0.0( ii) {,on-Financlel 220100002515162000 0.0( c.3) llndivldualg 22010000251 sr70000 oot d) tecurltles Londing/Bonowlng Agreement 220100002520100000 0.0( r.r) lenks I 220J00002s20140000 0.0( ,Bs/KBs 220100002520141000 0.0( i.a) l( ;owmmonl Banks 220,|m002520141 100 0.0( i.b) lr lon€olr€ma|€nt Banks 2m1000['252014120{J 0.0t l(il) lother Benks 220100002520142000 0.0( d.2l tivale CorDoretons 220100002520160000 0.0( l0) lFinanclel 220100002s201 61 000 0.0( it) ,lon-Financlal 220100002520162000 0.0c d.3) ndividuals I 0.0c e) rm€ c,edficates ot E opo8il€pocial Financing 2201m,002525100000 0.0( 1) 'rivat€ Corptradons 220100002525160000 0.0( =inancial 2201 000025251 61000 0.0( l(ii) {m-Finsndel 220100002525162000 0.0( lhdlviduals I 2201000025251 70000 0.0( xepurcnas€ AgrsmonG with Bsp€old to 0.0( I.1) lcocc 2201000025301 23000 0.0(

BSFI lFlCod.l Annex "A-2" Ar of: Prrlod Schedule 24 2of2 '1.21 Bank! 220100002530140000 0.0( 1l JBs/KBs 220100002530141000 0.0( l.a) 3o\€mmenl Banks 220100002530141 100 0.0( Lb) 0.0( [) fther Esnkg o.ol '.3) +lvale CorDmllms 220r00002530100000 0.q :lnandal o.(x tlon+lnanciel 0.0( ,41 ndlvldualg 2201000025301 70000 0.0( s) )thers 220100002595100000 0.0( 220100002595140000 0.0( n JBs/KBs 0.0( 'l.a) | Go\€rnment Benks 2201qxr02595141 100 0.fi 22010000259514'1200 0.0( ii) )ther Banks 220100002595142000 0.0( s.2l tlvalo Corporallons 2201qD02595160000 0.(X i) :inandal 0.0( {m-Flnencial 220100002595162000 0.0( 9.3) ndlviduals 0.0c 4l )lhors 0.0c lotF iaddani 220100000000200000 0.0c nlotbank Call Loens 220100@200520@00 0.0( a) )BUs 2201 0000200520t000 0.0( b) )O|6r Banks 220100002005202000 0.0( 2l nletbanl Tsrm Loans 2201 00002010200000 0.0( e) )BUs 2201 00002010201 000 0.0( tb) f,lher Bankg 220100002010202000 0.0( 3) Olhor Bonorings, includlng Doposlt Substilutes 0.0( tepurcha8o AgreomontB 220100002510200000 o_fi s.1) )BUg 0.0( r.z) lothers 220100{)02510232000 o.(x :cilncaies ot AslgnmrnuPartlcipation with 22010000251 5200000 0.0( b.ll IOBUs I I 220't 0000251 5231000 0.0( b.2) lothors I 220100fo25152320N 0.0( lc) lBcuritlos L€ndinE/Bono.vlnq Aorcemgnt 220100002520200000 0.0( :c.1) )BUs 2201W00,2520231000 0.0( 'c.2) Ih6rs 220't00,002520232000 o.0( d) Jlh6rE 220r00002595200000 0.0( d.1) )BUs 220100002595231000 0.0( )thsrs 22010000259s232000 0.0c 4l )therg 220100003000200000 0.0c rOTAL 220100000@0000000 0_0c Asssitisd es to Orlginel T6rm 2201 00000000610000 0.0( ihort Term (me yoar or less) 22010000000061 1000 0.0( todium Tsm (>1 year to 5 y€ars) 22010000000061 21 00 0.0( ong T6m (>5 years) 220r00000000612200 0.0( fexsbl Bonowings 2201 00000000651000 0.0t langko S€fltral ng Plliplnss o0f nlorbenk Bonowings 2201 00002000651000 nnl ,,Bposit Substitutes 220100002500651 000 0.0( lp. lorhors 220100099500651000 0.0(

BSFI IFlCodel Annex "A-3" As of: Perlod Schedule 29 Lol2 Inlerest Income/Expense from Flnancial Inctruments Plrtlcul.r. Account Codc Tot l lnt.r.at Incomo ald.nt 505050000q)01mo00 0.0( 1) Dr.Eftoflr B.ngkoS€.trel m Ptlrinas 5{L50505000001m000 0.(x Due fom ottEr Bar*s 505059qXXp0100000 i3) Flnarrlal Asgsta HeE for Tradlng 0.0( (e) Hsld for T.edirg Socurltles 0.0c (D) Dsfvallv66 with Pclttue Fai VahE Hc.l le Tratlir[ 1t 0.0( {) Fhenclal 488€b Deslonal€d at FakValue tlrouoh p.oftt d Loss 0.0c AveilebFfor-Sal€ Finarclal Ass€ts 50505350qD0100000 0.0c ) Held-to-Matwlty Flnanclal Assqs 0.(x 7) Umuoted Dett S€c|rltle3 Clas8ifi€d as LoerB 5050545qxn01(xxno 0.(x 8) Loans and Receiv4es 505055000m0100000 0.q (a) Loans to Bamko S€7tat m Pllidnss 505055500m0100000 0.(x (b) InterDanl( LoaaF R€colvaH€ 505056m00001(xn00 0.0( (c) Loa'|3 and R€ceivebbs-Others 505056500000100000 0.0( 19) Loans and Recalvau€8 ArlshS from Repurchas€ Agr€merfs anO Secrntfs 50so57qxxn01qxno 0.0( Lerdlng and Bo.rowm Transactions lo, Deriyativ€8 tr'llh PGillv€ Fak Valu€ Hsld for H€dotm 5050575fin00100000 0.00 l1) Seles Contract Receivaue 5050580qxD01fiXx)o 0.(x 12) OtlBs 505059{ifiXD0100(x)0 0.(x 50505qxxx[02fixno 0.fi lt 50505900qn02qxDo 0.0( Z) FlnancblA8r6tsH6ldforTradh 50505150(xn02xxn0 0.fi H€ld for Tradhg S€crrltlos 505052(xxxn020fin0 0.fi Dslvetives wlth Positlve Faf Velue Hdd for Tradtm 5050525(xXD0AXXrco 0.0( Flranctat Asae|6 Destg4et€d at Fai velm tkough profit or Loss 505053000m0200000 0.0( Avemue-t(r-5at6 F|nanclal A$ets 5050535fi[n0200000 0.0( 505054qxx)002qxrco o.0c urnuotod D€ot s:€crrlibE Cla83ifi€d as Lcm 50505rlttm0m2(xxno 0.fi /) Loens ard R€celvaHos 50505500(xDo2qxD0 0.0c (e) Interbank Loang R€cotvable 505056qn00020(xrco 0.0( 505056500000200000 0.0( 8) Losns ard R€c€lvau6 ArishS from nep|rcttase egreem€rfs ard S€cr'ltios 505057000000200000 0.fi Londlng ard Boflp!rying TranEac{ions Derivatlv$ wlth Posittuo Fak VehF H€td for Hedoino 5050575(xn0020dno 0.0( ru, ws 505058qxxnoz)0m0 0.0c 5050595(xxn02qxx)0 0.(x 50505qxxn003{xxD0 0.(x l) H6ld br Tredtng Sedritir3 5050520(x)000300000 I FinerEiat Ass€ta D*ignat€d at Fai vaftre ffi 50505:lqxxDo300000 0.fi AVIEFUSIO FnatEtat Aa8€ts 5050s35(xnD3m0m I H€ld-to-Me||,nv FinarEld As8€ts 0.fi ur{u4ed Deusecrr[bs cta$ift€d as Lffi s0505450fln0300000 | iEr rrrrrllat oor rraggru | 50505m00000m0000 o.fi -l

BSFI IFlCodel Annex "A-3" As of: Perlod Schedule 29 2ot2 Interert IncomelExpenao from Flnancial Inctruments et Fat VakE Profft or Loss Tlno C€rtifrcato of It Refere to Interest R€le Derivaw€s

BSF| I Fl Codc I Annex "A{" Aa ot: P.rlod Schedule 30b tof2 Interert Expense on Bllb Payable

'l I j BSFI I Fl Codc t Annex "A-4" Ar of: Perlod Schedule 30b 2of 2 Interest Expense on Bllls Papble Pr,tlculrr! Account Code Totrl (t2) Prlvetecorporetlons 0.00 (l) FlnarEtal 005102qr25301610(x) o.fi (ll) NcFharcid o.o( (f.3) Indlvr*nb 005102n25301 7(xn0 o. (g) Orhss 005't020025s5100000 0.0( (o.1) Bar*s 0.0( (D UBB/KBs 805102002595141m0 0. (i.a) Governm€nt Banks 005102002595141 100 0.0( (l.b) No/}coy€rrxneril Banks 605102002595141200 0.0( (l) othd Bar*6 605102D2595142q)0 0.fi (g 2) Prlvalo CorpofatiLrs 6(xr10200259516{Xn0 0.fi (D FhatElal 005102002595161000 0.0c (ll) NocFiosncial 0051020025951620(n 0.0( (s.3) Indivil@s 80510200259517flD0 0.0c O Othds 005102m850010(xD0 0.fi {on-Rarld.nt 00510200q)00200@0 0.0( 1) Inte.bar* Call Loang 605102D2005m0m0 0.0( (e) oBUg 005102p2m5231m0 0.0( 60510m02005232@0 0.0( 605102002010200m0 0.0( t) oEUs 605102n2010231m0 0.il Othe Bed<s 005102D2010232n0 0.0c lher Bonowims, lm|ildim D€postt Subst!!4es 60n1020025002xxn0 0.fl (4, Kepr cnaseAgt€€mens 605102002510200000 0.(x OBUs 605102(n2510231m0 0.(x Oth€rs (bl 0.fl 6051020025152q)000 (b.1) OBU3 o (b.2) OltFrs 605102002515232000 (c) Seqrltl€s LendndBo,rowirE Agre€mert 605102n2520axxn0 0.fl lc 005102002s20231m0 0.0c 80510200252082n0 0.0c 0051020025952XXn0 0.0( 605102{n2595231000 0.fi 605102m2595232m0 qr 605102(n95002(xn00 0.0( 0.0( 005102qxxnxxxxno 0.0( 6051020000000510m 0_(x 60510m005m651m0 o.(x 605102001fin651(m 0.(x u. wpostr 605102n1500651m0 | 0.(X 605102q,2qD851m0 o{x

Annex "8" Revised Sections of Reportorial Templates under Appendices 7lq-g of the New MORB/MORNBFI 1. ltem 9 of the Report - Consolidated Daily Report of Condition 9. Deposit Substitutes a. Deposit Substitutes Evidenced by Repurchase Agreements (Repos) b. Others 2. ltem A.2c of the Report on the Utilization of Loanable Funds Generated Which Were Set Aside for Agrarian Reform Credit/Other Agricultural Credit (Main Report) A. Total Loanable Funds Generated 1. xxx 2. Bills Payable Less: a. xxx b. xxx c. Other borrowings: c.1. Repurchase agreements with Bangko Sentral ng Pilipinas, c.2. Repurchase agreements with banks c.3. Certificates of assignment/ participation with recourse with banks c.4. Securities lending and borrowing agreements with banks, and c.5 Other borrowings with banks 3. ltem A of the Report - Consolidated Report on Required and Available Reserves Against Deposit Substitutes and Special Financing A. Gross Deposit Substitutes 1. With original maturities of 730 days or less (ltem 3 of Annex A.1) 2. With original maturities of more than 730 days (ltem 3 of Annex A.2)