Members: Crizette Garcia Reynelyn Ganza Trixie Aira Hipolito Jack Magno Regienald Dioquino Shaii Miranda Aimee

De Vera

Maam Elizabeth Banan Finance I

Corporate Information

BPI: Lets Make It Easy. Through the years, BPI has been a beacon of financial confidence. Its strong heritage in responsible banking is evidenced by the many accolades the Bank has gained both from industry experts and ordinary customers. Now, at a time of extreme consumerism, theres a heightened call for financial responsibility. Now more than ever, how people manage their money is more important than how much of it they have. BPI finds itself in the strongest position to heed this call. Its products and services are tailored to help people maximize what they have to afford the life they wantfrom the young family who wants to build their own home, to the taxi driver who wants to own the car he drives, to the overseas worker who wants to come home for good. Different people have different dreams, hopes, and aspirations but BPI works to make a better life more reachable for everyone. BPI pursues this mission guided by the belief that the life we want does not depend on what we have. Its what we do with what we have.
Mission and Vision

WE BELIEVE in the central role that private enterprise plays in economic development. WE BELIEVE that our corporate mission is to be the leading private financial institution in the Philippines in terms of professional competence, service quality, responsible corporate citizenry, and overall growth and stability; and to be an established ASEAN financial institution with a creditable worldwide outreach. WE BELIEVE that we have a responsibility to manage the business for the maximum benefit of our customers while adopting the highest standard of integrity; to offer the widest possible range of financial services that is responsive to their needs; and to adopt an objective attitude towards change and innovation, ever mindful of improving service quality and operating efficiency.

WE BELIEVE that we have a responsibility to develop the potential of our employees to the fullest by providing an environment conducive to their personal and professional growth; and to foster a value system held in common throughout the institution in order that we may all share a coherent sense of purpose and direction. WE BELIEVE that we have a responsibility to attain, over time and within exacting standards of prudent management, the highest possible return on the investment of our shareholders. Company Logo

Board of Directors (2010-2011) Chairman Jaime Augusto Zobel De Ayala President Aurelio R. Montinola III Directors Fernando Zobel de Ayala Gerardo C. Ablaza Jr. Romeo L. Bernardo Chng Sok Hui Cezar P. Consing Octavio V. Espiritu Rebecca G. Fernando Khoo Teng Cheong Xavier P. Loinaz Ma Yuen Lin Annie Mercedita S. Nolledo Artemio V. Panganiban Oscar S. Reyes
Bank History BPI was established on August 1, 1851 as the Banco Espaol- Filipina de Isabel II (SpanishFilipino Bank of Isabel II), named after the queen of Spain, Isabella II, the daughter of former king Ferdinand VII.

On September 3, 1869, following a revolution which overthrew Isabella II, the name was changed to Banco Espaol-Filipino. In January 1892, the bank moved from the Royal Custom House in Intramuros to the new business district of Binondo, north of the Pasig River after it found out that Intramuros was becoming "economically inactive". Following the cession of the Philippines to the United States following the signing of the 1898 Treaty of Paris, the bank changed from a Spanish institution to a Philippine one. On January 1, 1912, a decision by the shareholders of Banco Espaol-Filipino changed the name to the present Bank of the Philippine Islands (BPI), or Banco de las Islas Filipinas in Spanish. In 1969, Ayala Corporation, which had been affiliated with BPI since its establishment in 1851, became the dominant shareholder of BPI and eventually made BPI into the flagship of Ayala's financial entities. In 1982, BPI became a universal bank, and in 2000, became the Philippines' first bancassurance firm, being the first Philippine bank to offer insurance services after acquiring the insurance companies of the Ayala Group, the parent company of the Ayala Corporation. Within that year, BPI also founded the BPI Direct Savings Bank, an Internet bank, which launched BPI into 21st century banking. BPIs Firsts

BPI is the first bank in the Philippines, and in Southeast Asia. BPI is the first bank to issue the Philippine peso Introduced branch banking by opening its first branch outside Manila in Iloilo on March 15, 1897. BPI financed the first rail system, telephone system, electric power utility, and steamship service in the Philippines BPI established the Philippines' first ATM system, with its ATMs being called Express Tellers. The system eventually evolved into theExpressnet ATM consortium, which has seven members Expressnet is also known for its Express Payment System (EPS), which was at first the debit card system of the BPI Express Teller ATM card. BPI pioneered the concept of the banking kiosk in the Philippines, with its kiosks being called Express Banking Centers or EBCs or by its older name, the Convenience Banking Center. EBCs can be found in malls, supermarkets, plazas and other locations and operate beyond normal Philippine banking hours, which are from 9.00 to 15.00 on weekdays. The first local bank in the Philippines to introduce 24 hour branch banking called BPI Express. BPI is the first bank in the Philippines to make use of a call center and telephone banking, known as BPI Express Phone

Launched BPI Express Mobile - Mobile Banking facility which enables accountholders to inquire about their deposit, credit card, auto and housing loan and BPI Prepaid Card balances, transfer funds between enrolled deposit accounts, pay bills to over 200 merchants, reload Globe Telecom and Touch Mobile prepaid mobile phones and BPI Express Cash MasterCard Electronic, and transfer money to and from Globe GCash wallet. Launched BPI Express Credit Gold Mastercard with Paysafe System, the country's first EMV (Europay, MasterCard, Visa) compliant chip card. The first airline co-brand chip credit card issued in the Philippines - BPI SkyMiles MasterCard and BPI SkyMiles Platinum MasterCard with its partner Delta Air Lines. The first local bank in the country to offer most number of third currencies in its products and services - Savings Accounts and Time Deposit Accounts (As of January 2010) (Australian Dollars, Canadian dollars, Swiss Francs, Euros, British Pounds, Japanese Yen, and Chinese.). BPI issued its first Sustainability Report for 2008 along the Global Reporting Initiatives (GRI) Sustainability Reporting Guidelines, the first in the banking industry. The first bank to introduced "Bank Anywhere" capability by allowing clients of the bank to transact at any of its more than 800 BPI branches [b]free of charge[/b] Introduced the country's first branchless bank - BPI Globe Savings Bank (BanKo) using Mobile Money Technology (MMT) (December 2009). Introduced the country's first Mobile Mall - BPI Express Mobile - Mobile Mall (2009). Introduced "Bank Anywhere" facility to clients to process their banking transactions to any of its more than 800 branches free of charge.

Product Line DEPOSITS Our accounts are designed to provide you utmost convenience in managing your finances by giving you 24x7 access, backed by competitive rates and product benefits. LOANS Housing Loan - Easy to apply, easy to own, easy to pay. It's so much easier for you to get a house these days. Auto Loan - Easy to apply, easy to own, easy to pay. It's so much easier for you to own a car these days. Property Equity Credit Line - The all-purpose credit facility where all you have to do is write a check. SME Business Loan - Boost your family business. Investing in your business has never been this easy. ATM/DEBIT CARDS

EPS - Allows you to pay for your purchases without the need to withdraw cash through the EXPRESS PAYMENT SYSTEM (EPS). Requires no enrollment and comes free-of-charge!

CIRRUS - Allows you to withdraw at CIRRUS/MASTERCARD affiliated ATM's worldwide in the currency of the country where you are in.

EXPRESS PREPAID - Reload yours or someone else's prepaid phone any time through EXPRESS RELOAD. Available through BPI ATMs, Expressphone and Expressonline. CREDIT CARDS BPI Express Credit Cards give you the best value in your shopping needs. Choose the (BPI Express Credit) Card that best suits your lifestyle & enjoy its exclusive features. Plus, avail of a more rewarding Frequent User Privileges Program. PREPAID CARDS Because you care enough to give your loved ones something more special, get them Express Cash MasterCard Gift Card. Learn the value of wise spending through Express Cash and reload the card anytime, anywhere. INSURANCE BPI/MS (Non-Life) - Reliable insurance protection for your properties at very affordable rates, protection from one of the leading and trusted non-life insurers in the country, BPI/MS Insurance Corporation. Ayala Life (Life) - Life insurance products offer you a variety of benefits, such as guaranteed coverage, cash allowances, even dividends. Choose from several savings and protection products that let you enjoy peace of mind for years to come.

Strategies for Innovation To maintain the continuous progress of the bank, BPI set an effective and efficient set of values for their customers: 1. Understand customer needs and wants. 2. Design a customer-driven strategy. 3. Construct programs that deliver superior value.

4. Build profitable relationships and create customer delight. 5. Capture value from customers to create profits and customer equity. Latest Financial Position 2011 JANUARY TO JUNE 2011 FINANCIAL STATEMENT For the second quarter, BPI recorded a net income of P3.3 billion, 18% better than the same period last year of P2.8 billion. Revenues grew by 15% with increases generated by both net interest income and non-interest income. This brought net income for the first half of the year to P6.2 billion, a 11% improvement from the P5.6 billion last year. Return on equity was 15.3% and return on assets was 1.6%. Asset base expanded by 11% year on year to P855 billion as deposits grew by 9% to P691 billion. Loan portfolio stood at P409 billion, 16% more than a year ago. Growth was broad based across market segments and across the country, reflective of the growing economic activity in the country. Moreover, all market segments showed healthy double-digit growth: middle market up by 24%, SMEs by 20%, top tier corporates by 15% and consumer by 13%. Total revenues were up by 10% as net interest income rose by 12% driven by both an increase in average assets and spreads. Other income also increased by 7% largely due to service charges, trust fees, and rental income. Operating costs were higher by 11%, with more than half of the increase coming from manpower costs. Manpower costs were weighed down by non-recurring CBA related payments on top of salary increases. BPI successfully closed the BPI Family Savings Bank and the BPI Parent Bank Collective Bargaining Agreements (CBAs) after a few congenial meetings with the officers of the various unions of the Bank.

Vision: A professionally run, responsive, proactive, and creative organization through which the Metrobank Group of Companies is able to express its commitment to lead the private sector in fostering holistic human development in both the national and international arena, thereby effecting an empowered society whose members are able to realize their human potential. And to be the best bank for all our stakeholders. Mission Statement: We aim to be a premier universal bank of international standing, committed to creating and providing the best possible value for our core constituents clients, employees, shareholders, and the communities whom we serve. We shall exert all efforts to transform every opportunity to expand our sphere of business activities into instruments to help our constituents realize their own goals and aspirations. We shall strive to reach a highly diversified customer base through an extensive distribution network at the same time delivering a wide array of premium-value products and services with distinctive quality. We realize that our success depends on the quality of our people, the efficiency of our systems, and the strength of our organization. Hence, we shall continuously invest in our human resources to ensure a service force characterized by the highest standards of dignity, probity and professionalism. We shall constantly endeavor to be more responsive to dynamic market conditions, flexible in coping with customer needs, innovative in leading the competition, and united in pursuing common objectives. Our financial capability shall likewise be continually invigorated to maintain dynamism, growth and stability. Recognizing our responsibility to our shareholders, we shall exercise judicious management to consistently provide them with fair returns and enhance the value of their investments As a responsible corporate citizen, we shall remain committed to making meaningful contributions for the economic and social development of the communities in which we serve.

Board of Directors

Bank Logo

Bank History Metropolitan Bank and Trust Company (Metrobank) was established by a group of businessmen on September 5, 1962 at the Wellington Building in Binondo, Manila. In August 1963, the banks first branch was established in Divisoria. Four years later, Metrobank opened its Davao branch, the banks first provincial branch. At the onset of the 70s, Metrobank opened its first international branch in Taipei. The Central Bank, on April 1977, authorized Metrobank to operate a Foreign Currency Deposit Unit (FCDU). In the same year, branches and offices totaled 100 and the bank inaugurated its new Head Office at Metrobank Plaza in Makati.

On August 21, 1981, the Central Bank authorized Metrobank to operate as a universal bank. Following the grant of the universal banking license, Metrobank entered the following ventures: the acquisition of majority ownership of Philippine Savings Bank (the second largest savings bank in the country at that time); the establishment of a joint travel agency venture with Thomas Cook Group in Thomas Cook Phils., Inc. in 1986; and the tying-up with Toyota Motor Corporation of Japan and Mitsui to put up Toyota Motor Philippines in 1988. In September 1982, the number of Metrobank branches, offices and subsidiaries surpassed the 200 mark. A year later, Metrobank topped the entire private domestic bank in total resources with P8.8 billion. The bank continued to experience steady growth through the years and in September 1989, it increased its authorized capital stock from P2 billion to P5 billion. The banks total capital funds on June 30, 2006 stood at P57.3 billion. Its consolidated resources amounted to P588.1 billion as of the same period. As of June 2007 assets reached P669.1 billion ($14.5 billion) (P46=$1) Product Line Business CORPORATE ACCOUNTS Metrobanks deposit accounts give you liquidity and the flexibility to accept daily collections and make payments or withdrawals over-the-counter or through checks. CASH MANAGEMENT Be on top of your business. Metrobank Metrocash Manager has a full range of financial solutions that give you maximum control over your funds, the flexibility to manage your cash flow for better operational efficiency, added security, and convenience. CORPORATE LOANS Let Metrobank help grow your business by providing the funding you need to reach your goals. TRADE PRODUCTS & SERVICES Metrobank has a complete array of facilities which will meet all your requirements. CORPORATE INSURANCE Metrobank Group offers superior benefits for corporate clients who provide insurance protection to their employees through the Group Insurance Program of AXA Philippines, a subsidiary of Metrobank and a joint venture with the Global AXA Group of France, global expert in insurance and investments, and one of the largest life insurance companies in the world.

CORPORATE LEASING GOVERNMENT E-SERVICES Investments TRUST PRODUCTS AND SERVICES Metrobank Trust Banking Group has a specialized investment team who takes into consideration the investment objectives, time horizon, and risk tolerance of its clients. These services can come in the form of managing Retirement Funds, Pre-Need Funds, Foundation Funds, School Funds and trust services for individuals who seek wealth protection, financial growth and convenience. TREASURY PRODUCTS Metrobank is a leader and prime mover in Government Securities trading. We have the expertise and the ability to provide clients with a wide array of investment products to choose from at competitive prices. We are also committed to quote both buying and selling rates on the investment products we offer. INVESTMENT FUNDS NAVPU & PERFORMANCE CAPITAL MARKETS First Metro Investment Corporation is the investment banking arm of METROBANK (Metropolitan Bank & Trust Co.) -- the largest universal bank in the Philippines. First Metro holds the distinction of being the only public listed investment house among the 44 member institutions of IHAP (Investment House Association of the Philippines). MARKET COMMENTARIES Personal CAR AND HOUSING LOANS Metrobank offers convenient and affordable products to help build your house, buy a car or bridge your cash needs. CREDIT CARDS Metrobank lets you live out your dream lifestyle through our innovative credit cards. INTERNET BANKING Metrobank offers you a convenient and secure way to transact on-line. MOBILE BANKING

Metrobank mobile banking gives you access to do your banking transactions through your mobile handset. PERSONAL ACCOUNTS Metrobank offers you a variety of deposit products that helps you save for your future needs. PERSONAL INSURANCE For your peace of mind, Metrobank Group offers life insurance products through our subsidiary, AXA Philippines, a joint venture with the Global AXA Group of France, global expert in insurance and investments, and one of the largest life insurance companies in the world. PHONE BANKING Metrophone offers banking convenience in the comforts of your home or office.

Strategy for Innovation Metropolitan Bank and Trust Company, also known as Metrobank, continues to move forward and reach higher heights as they consider the ff: 1. 2. 3. 4. Strength from external and internal affairs and publics are needed and should be nurtured. Weakness should be critically analyzed to overcome them. Opportunities should be taken at good cost without disregarding the customers sake. Threats should be utilized of any harm to the company and its customers.

Latest Financial Position Metropolitan Bank & Trust Company (Metrobank) reported P6.1 billion in consolidated net income for the first half of 2011, representing a 45% growth over the P4.2 billion registered in the same period last year. Annualized return on average equity improved to 13.0%, from 10.7% previously. For the second quarter alone, consolidated net income rose by 83% to P3.0 billion from P1.7 billion a year ago. Metrobanks strategy of pursuing sustainable growth and efficiency while safeguarding asset quality has continued to augur well for the Banks overall performance. Total operating income for the first semester reached P25.4 billion, driven by the solid growth in net interest income as well as service charges, fees and commissions. Net interest income grew 12% yearon-year to P14.7 billion on the back of a 13% growth in the loan portfolio with sustained demand coming from the corporate and consumer sectors. Meanwhile, the deposit base expanded by 21% to

P709.5 billion, from P588.3 billion in the same period last year. On the other hand, non interest income rose to P10.7 billion from P10.3 billion driven by the 9% growth in service charges, fees and commissions, which mitigated the expected weakness in trading and foreign exchange gains. Operating expenses increased to P14.9 billion from P13.7 billion, predominantly due to manpowerrelated costs. As a result, the pre-provision operating profit expanded by 7% to P10.5 billion, from P9.8 billion in the comparative period last year. With the continued improvement in Metrobanks asset quality, gross non performing loans (NPLs) declined to P10.7 billion, translating to an NPL ratio of 2.6%. The Bank set aside provisions for credit and impairment losses totaling P1.5 billion, with NPL cover at a healthy 95%. As of June 30, 2011, Metrobanks consolidated assets climbed to P965.4 billion, or 16% higher year-onyear. Total equity reached P101.1 billion, up by 23% from the P82.4 billion last year. Total capital adequacy ratio (CAR) improved to 17.2% with Tier 1 ratio at 13.3%.