Manual of Accounts for Expanded Commercial Banks (EKBs) and Commercial Banks (KBs)

March 1, 1996 MANUAL OF ACCOUNTS FOR EXPANDED COMMERCIAL BANKS (EKBs) AND COMMERCIAL BANKS (KBs) GL ACCT CODE ACCOUNT TITLE ASSET ACCOUNTS 1-1-02-00 1. CASH ON HAND 1-1-04-00 2. CHECKS AND OTHER CASH ITEMS 1-1-06-00 3. DUE FROM BSP Due from BSP Local Currency Due from BSP Local Currency Regular Due from BSP Local Currency FCDU/EFCDU Due from BSP Foreign Currency Due from BSP Foreign Currency Regular Due from BSP Foreign Currency FCDU/EFCDU 1-1-08-00 4. DUE FROM OTHER BANKS 1-1-08-02 a. Due from Other Banks Local Banks Due from Local Banks Domestic Due from Local Banks Domestic Demand Deposits Due from Local Banks Domestic Savings Deposits Due from Local Banks Domestic TCDs Due from Local Banks Domestic Others Due from Local Banks FCDU/EFCDU Due from Local Banks FCDU/EFCDU Demand Deposits Due from Local Banks FCDU/EFCDU Savings Deposits Due from Local Banks FCDU/EFCDU TCDs Due from Local Banks FCDU/EFCDU Others 1-1-08-04 b. Due from Other Banks Local Banks Clearing Accounts Due from Local Banks Local Clearing Due from Local Banks FX Clearing Regular Due from Local Banks FX Clearing FCDU/EFCDU 1-1-08-06 c. Due from Other Banks Foreign Banks Due from Foreign Banks Foreign Regular Due from Foreign Banks FCDU/EFCDU 1-2-02-00 5. INTERBANK LOANS RECEIVABLE 1-2-02-02 a. Interbank Call Loans Receivable 1-2-02-04 b. Interbank Term Loans Receivable Interbank Term Loans Receivable Local Interbank Term Loans Receivable Foreign Regular Interbank Term Loans Receivable FCDU/EFCDU Interbank Term Loans Receivable Local Bank FCDU/EFCDU 1-2-04-00 6. LOANS AND DISCOUNTS 1-2-04-02 a. Demand Loans 1-2-04-04 b. Bills Discounted 1-2-04-06 c. Time Loans 1-2-04-08 d. Mortgage Contract Receivable 1-2-04-10 e. Loans & Discounts DOSRI 1-2-04-12 f. Loans & Discounts Officers & Employees 1-2-04-14 g. Loans & Discounts Foreign Loans & Discounts Foreign Regular Loans & Discounts FCDU/EFCDU 1-2-04-16 h. Peso Loans FCDU/EFCDU 1-2-04-18 i. Past Due Loans & Discounts Past Due Loans & Discounts Domestic Past Due Loans & Discounts Foreign Regular Past Due Loans & Discounts FCDU/EFCDU 1-2-04-20 j. Items in Litigation Loans & Discounts (ITL L&D) ITL L&D Domestic ITL L&D Foreign Regular ITL L&D FCDU/EFCDU 2-7-04-00 k. Allowance for Probable Losses Loans & Discounts Allowance for Probable Losses L&D Domestic Allowance for Probable Losses L&D Foreign Regular Allowance for Probable Losses L&D FCDU/EFDCU 1-2-06-00 7. AGRARIAN REFORM & OTHER AGRICULTURAL CREDIT LOANS PD 717 1-2-06-02 a. Agrarian Reform Loans PD 717 1-2-06-04 b. Other Agricultural Credit Loans 1-2-06-06 c. Past Due Agrarian Reform and Other Agricultural Credit Loans 1-2-06-08 d. Items in Litigation-Agrarian Reform and Other Agricultural Credit Loans 2-7-06-00 e. Allowance for Probable Losses Agrarian Reform and 1-2-08-00 8. DEVELOPMENT INCENTIVE LOANS PD 717 1-2-08-02 a. Development Incentive Loans PD 717 1-2-08-04 b. Past Due Development Incentive Loans 1-2-08-06 c. Items in Litigation Development Incentive Loans 2-7-08-00 d. Allow for Probable Losses - Development Incentive Loans 1-2-10-00 9. BILLS PURCHASED 1-2-10-02 a. Export Bills Purchased Export Bills Purchased Foreign Regular Export Bills Purchased FCDU/EFCDU 1-2-10-04 b. Bills Purchased Clean Domestic Bills Purchased Clean Foreign Bills Purchased Clean 1-2-10-06 c. Bills Purchased Documentary Domestic Bills Purchased Documentary Foreign Bills Purchased Documentary 1-2-10-08 d. Past Due Bills Purchased 1-2-10-10 e. Items in Litigation Bills Purchased 2-7-10-00 f. Allowance for Probable Losses Bills Purchased 1-2-12-00 10. CUSTOMERS' LIABILITY ON BILLS/DRAFTS UNDER LETTERS OF CREDIT AND/OR TRUST RECEIPTS 1-2-12-02 a. Import Bills Import Bills Import Bills Foreign Currency 1-2-12-04 b. Import Bills under Trust Receipts Import Bills under Trust Receipts Import Bills under Trust Receipts Foreign Currency 1-2-12-06 c. Domestic Bills under Trust Receipts 1-2-12-08 d. Past Due Import and Domestic Bills Past Due Import and Domestic Bills Past Due Import Bills Foreign Currency 1-2-12-10 e. Items in Litigation Import and Domestic Bills Items in Litigation Import and Domestic Bills Items in Litigation Import Bills Foreign Currency 2-7-12-00 f. Allowance for Probable Losses Import and Domestic Bills Allowance for Probable Losses Import and Domestic Bills Allowance for Probable Losses Import Bills Foreign Currency 1-2-14-00 11. CUSTOMERS' LIABILITY FOR THIS BANK'S ACCEPTANCES OUTSTANDING Customers' Liability for this Bank's Acceptances O/S Domestic Customers' Liability for this Bank's Acceptances O/S Foreign 1-2-16-00 12. RESTRUCTURED LOANS 1-2-16-02 a. Restructured Loans 1-2-16-04 b. Past Due Restructured Loans 1-2-16-06 c. Items in Litigation Restructured Loans 2-7-16-00 d. Allowance for Probable Losses Restructured Loans 1-2-18-00 13. UNDERWRITING ACCOUNTS (for EKBS) 1-2-18-02 a. Underwritten Securities Purchased 1-2-18-04 b. Receivables Underwritten Securities Sold 2-7-18-00 c. Allowance for Probable Losses Underwritten Securities Purchased/Receivables Underwritten Securities Sold 1-2-20-00 14. TRADING ACCOUNT SECURITIES (TAS) LOANS 1-2-20-02 a. Government Securities Purchased under Resale Agreements 1-2-20-04 b. Government Securities Purchased under Certificates of Assignment/Participation with Recourse 1-2-20-06 c. Government Securities Purchased under Reverse Repurchase Agreements with the BSP 1-2-20-08 d. Private Securities/Commercial Papers (CPs) Purchased 1-2-20-10 e. Private Securities/Commercial Papers Purchased under Resale Agreements 1-2-20-12 f. Private Securities/Commercial Papers Sold under Repurchase Agreements 1-2-20-14 g. Private Securities/Commercial Papers Purchased under Certificates of Assignments/Participation with Recourse 2-7-20-00 h. Allowance for Probable Losses TAS Loans 1-3-02-00 15. TRADING ACCOUNT SECURITIES (TAS) INVESTMENTS 1-3-02-02 a. Government Securities Purchased 1-3-02-04 b. Government Securities Sold under Repurchase Agreements 1-3-02-06 c. Private Securities/Equity Securities Purchased 1-3-04-00 16. INVESTMENT IN BONDS & OTHER DEBT INSTRUMENTS (IBODI) 1-3-04-02 a. IBODI Government IBODI on Deposit with BSP for Reserve Purposes IBODI Guarantee for Trust Functions/Duties IBODI Others 1-8-04-02 Accumulated Bond Discount IBODI Government 2-8-04-02 Accumulated Premium Amortization IBODI Government (missing page v) 1-4-04-10 g. Leasehold Rights and Improvements Leasehold Rights and Improvements Leasehold Rights and Improvements Abroad 1-4-04-12 h. Furniture, Fixtures and Equipment Furniture, Fixtures and Equipment Furniture, Fixtures and Equipment Abroad 2-9-04-12 i. Accumulated Depreciation Furniture, Fixtures and Equipment Accumulated Depreciation Furniture, Fixtures and Equipment Accumulated Depreciation Furniture, Fixtures and Equipment-Abroad 1-4-06-00 20. REAL AND OTHER PROPERTIES OWNED & ACQUIRED (ROPOA) 1-4-06-02 a. ROPOA ROPOA ROPOA FCDU/EFCDU ROPOA Abroad 2-9-06-02 b. Allowance for Probable Losses ROPOA 1-4-06-04 c. Sales Contract Receivable 1-4-08-00 21. BOND SINKING FUND (for EKBs) 22. OTHER ASSETS 1-4-10-00 a. GOLD 1-4-12-00 b. FOREIGN CURRENCY (FXCY) NOTES & COINS ON HAND FXCY Notes & Coins on Hand Regular FXCY Notes & Coins on Hand Non-Risk Assets FXCY Notes & Coins on Hand Others FXCY Notes & Coins on Hand FCDU/EFCDU 1-4-14-00 c. FOREIGN CURRENCY (FXCY) CHECKS & OTHER CASH ITEMS FXCY Checks & Other Cash Items Regular FXCY Checks & Other Cash Items FCDU/EFCDU 1-4-16-00 d. RETURNED CHECKS & OTHER CASH ITEMS (RCOCI) RCOCI Local Currency RCOCI Foreign Regular RCOCI CDU/EFCDU 1-4-18-00 e. MISCELLANEOUS CHECKS & OTHER CASH ITEMS 1-4-20-00 f. PETTY CASH FUND 1-4-22-00 g. DEFICIENCY JUDGMENT RECEIVABLE 1-4-24-00 h. DOCUMENTARY STAMPS 1-4-26-00 i. POSTAGE STAMPS 1-4-28-00 j. STATIONERY AND SUPPLIES ON HAND 1-4-30-00 k. SHORTAGES 1-4-32-00 l. DIVIDENDS RECEIVABLE 1-4-34-00 m. ACCOUNTS RECEIVABLE 1-4-34-02 Accounts Receivable Margin Deposit on Financial Futures Accounts Receivable Margin Deposit on Financial Futures Foreign Regular Accounts Receivable Margin Deposit on Financial Futures FCDU/EFCDU 1-4-34-04 Accounts Receivable Others Accounts Receivable Others Accounts Receivable Others FCDU/EFCDU 2-9-34-00 n. ALLOW. FOR PROBABLE LOSSES-ACCOUNTS RECEIVABLE OTHERS 1-4-36-00 o. ACCRUED INTEREST RECEIVABLE Accrued Interest Receivable Domestic Accrued Interest Receivable Foreign Regular Accrued Interest Receivable FCDU/EFCDU 2-9-36-00 p. ALLOWANCE FOR UNCOLLECTED INTEREST ON LOANS 1-4-38-00 q. PREPAID EXPENSES 1-4-38-02 Prepaid Expenses Call/Put Option Premium Prepaid Call/Put Option Premium Foreign Regular Prepaid Call/Put Option Premium FCDU/EFCDU 1-4-38-04 Prepaid Expenses Others Prepaid Expenses Others Prepaid Expenses FCDU/EFCDU 1-4-40-00 r. DEFERRED CHARGES Deferred Charges Deferred Charges FCDU/EFCDU 1-4-42-00 s. DEFERRED INCOME TAX 1-4-44-00 t. DEPOSITS WITH CLOSED BANKS/BANKS IN LIQUIDATION 2-9-44-00 u. ALLOWANCE FOR PROBABLE LOSSES DEPOSITS WITH CLOSED BANKS/BANKS IN LIQUIDATION 1-4-46-00 v. SUNDRY DEBITS Sundry Debits Sundry Debits FCDU/EFCDU 2-9-46-00 w. ALLOWANCE FOR PROBABLE LOSSES OTHERS 1-4-48-00 x. OTHER INVESTMENTS 1-4-50-00 y. INTER-OFFICE FLOAT ITEMS (DEBIT BALANCES) 1-4-52-00 z. MISCELLANEOUS ASSETS Miscellaneous Assets Miscellaneous Assets FCDU/EFCDU 2-1-02-00 23. DEPOSIT LIABILITIES 2-1-02-02 a. Demand Deposits Demand Deposits Domestic Demand Deposits Private Demand Deposits Banks Demand Deposits Non-Bank Financial Intermediaries Demand Deposits Government Demand Deposits Trust Department Demand Deposits Foreign Demand Deposits Banks Local Banks FCDU/EFCDU Demand Deposits Foreign Banks FCDU/EFCDU Demand Deposits Trust Department FCDU/EFCDU Demand Deposits Others FCDU/EFCDU 2-1-02-04 b. Savings Deposits Savings Deposits Domestic Savings Deposits Private Savings Deposits Banks Savings Deposits Non-Bank Financial Intermediaries Savings Deposits Government Savings Deposits Trust Department Savings Deposits Foreign Savings Deposits Banks Local Banks FCDU/EFCDU Savings Deposits Banks Foreign Banks FCDU/EFCDU Savings Deposits Trust Department FCDU/EFCDU Savings Deposits Others FCDU/EFCDU 2-1-02-06 c. "NOW" Accounts 2-1-02-08 d. Time Certificates of Deposits (TCDs) Time Certificates of Deposits (TCDs) Domestic TCD Private TCD Banks TCD Non-Bank Financial Intermediaries TCD Government TCD Trust Department Time Certificates of Deposits (TCDs) Foreign TCD Local Banks FCDU/EFCDU TCD Foreign Banks FCDU/EFCDU TCD Trust Department FCDU/EFCDU TCD Others FCDU/EFCDU 2-1-04-00 24. TIME CERTIFICATES OF DEPOSITS SPECIAL FINANCING 2-2-02-00 25. BILLS PAYABLE 2-2-02-02 a. Bills Payable Bangko Sentral ng Pilipinas Bills Payable BSP Domestic Bills Payable BSP Foreign Bills Payable BSP FCDU/EFCDU 2-2-02-04 b. Bills Payable Interbank Borrowings Bills Payable Interbank Call Loans Bills Payable Interbank Loans Others Bills Payable Local Banks Bills Payable Local Banks Bills Payable Local Banks FCDU/EFCDU Bills Payable Foreign Banks Bills Payable Foreign Banks Regular Bills Payable Foreign Banks FCDU/EFCDU 2-2-02-06 c. Bills Payable Deposit Substitutes Promissory Notes Issued Repurchase Agreements Commercial Papers/Securities Repurchase Agreements Bangko Sentral ng Pilipinas Certificates of Assignment/Participation with Recourse Commercial Papers/Securities Deposit Substitutes Others 2-2-02-08 d. Bills Payable Others Bills Payable Others Domestic Bills Payable Non-Banks Bills Payable Private Firms and Individuals Bills Payable Others Domestic Bills Payable Others Foreign Bills Payable Others Foreign Regular Bills Payable Others FCDU/EFCDU 2-2-04-00 26. BONDS PAYABLE 2-2-06-00 27. PAYABLES FOR SECURITIES PURCHASED (for EKBs) 2-3-02-00 28. DUE TO THE TREASURER OF THE PHILIPPINES 2-3-02-02 Due to TOP Bureau of Internal Revenue 2-3-02-04 Due to TOP Bureau of Customs 2-3-02-06 Due to TOP Unclaimed Balances 2-3-04-00 29. DUE TO LOCAL BANKS 2-3-04-02 a. Due to Local Banks Private 2-3-04-04 b. Due to Local Banks Government 2-3-04-06 c. Due to Local Banks Clearing Accounts Due to Local Banks Local Clearing Due to Local Banks FX Clearing 2-3-06-00 30. DUE TO FOREIGN BANKS (LOCAL CURRENCY) 2-3-08-00 31. DUE TO HEAD OFFICE/BRANCHES/AGENCIES 2-3-08-02 a. Due to HO/Branches/Agencies in the Philippines 2-3-08-04 b. Due to HO/Branches/Agencies in the Philippines FCDU/EFCDU 2-3-08-06 c. Due to HO/Branches/Agencies Abroad Regular 2-3-08-08 d. Due to HO/Branches/Agencies Abroad FCDU/EFCDU 2-3-08-10 e. Due to HO/Branches/Agencies Abroad Assigned Capital 2-3-10-00 32. TREASURER'S/CASHIER'S/MANAGER'S AND GIFT CHECKS 2-3-12-00 33. PAYMENT ORDERS PAYABLE Payment Orders Payable Domestic Payment Orders Payable Foreign Regular Payment Orders Payable FCDU/EFCU 2-3-14-00 34. MARGIN DEPOSITS Margin Deposits Domestic Letters of Credit Margin Deposits Import Letters of Credit Margin Deposits Customers' Liability on Bills/Drafts under Letters of Credit and/or Trust Receipts Margin Deposits Foreign Margin Deposits Others 2-3-16-00 35. CASH LETTERS OF CREDIT 2-3-18-00 36. SPECIAL TIME DEPOSITS 2-3-20-00 37. ACCRUED INTEREST, TAXES AND OTHER EXPENSES PAYABLE 2-3-20-02 a. Accrued Interest Payable Accrued Interest Payable Domestic Accrued Interest Payable Foreign Regular Accrued Interest Payable FCDU/EFCDU 2-3-20-04 b. Accrued Income Tax Payable 2-3-20-06 c. Accrued Other Taxes and Licenses Payable 2-3-20-08 d. Accrued Other Expenses Payable Accrued Other Expenses Payable Domestic Accrued Other Expenses Payable Foreign Regular Accrued Other Expenses Payable FCDU/EFCDU 2-3-22-00 38. DUE TO BANGKO SENTRAL NG PILIPINAS (BSP) 2-3-22-02 Due to BSP Banking Fees 2-3-22-04 Due to BSP Others 2-3-24-00 39. DUE TO PHILIPPINE CROP INSURANCE CORP. (PCIC) 2-3-26-00 40. UNEARNED INCOME AND OTHER DEFERRED CREDITS 2-3-26-02 a. Unearned Interest and Discount Unearned Interest and Discount Domestic Unearned Interest and Discount Foreign Regular Unearned Interest and Discount FCDU/EFCDU 2-3-26-04 b. Unearned Income Call/Put Option Premium Unearned Call/Put Option Premium Foreign Regular Unearned Call/Put Option Premium FCDU/EFCDU 2-3-26-06 c. Unrealized Profits on Assets Sold/Exchanged 2-3-26-08 d. Capitalized Interest and Other Charges Restructured Loans 2-3-26-10 e. Advance Rentals on Bank Premises &/or Equipment 2-3-26-12 f. Advance Rentals on Safe Deposit Boxes 2-3-26-14 g. Deferred Hedging Gain/(Loss) Deferred Hedging Gain/(Loss) Foreign Regular Deferred Hedging Gain/(Loss) FCDU/EFCDU 2-3-26-16 h. Other Deferred Credits 2-3-28-00 41. OUTSTANDING ACCEPTANCES EXECUTED BY OR FOR ACCOUNT OF THIS BANK Outstanding Acceptances Domestic Outstanding Acceptances Foreign 42. OTHER LIABILITIES 2-3-30-00 a. ACCOUNTS PAYABLE Accounts Payable Accounts Payable FCDU/EFCDU 2-3-32-00 b. DIVIDENDS PAYABLE 2-3-34-00 c. OTHER CREDITS DORMANT 2-3-36-00 d. OTHER CREDITS UNCLAIMED BALANCES 2-3-38-00 e. WITHHOLDING TAX PAYABLE 2-3-40-00 f. SSS, MEDICARE, EMPLOYEES' COMPENSATION PREMIUMS AND PAG-IBIG CONTRIBUTIONS PAYABLE 2-3-42-00 g. OVERAGES 2-3-44-00 h. SUBSCRIPTIONS PAYABLE Subscriptions Payable Equity Investments in Financial Allied Undertakings Domestic Subscriptions Payable Equity Investments in Non-Financial Allied Undertakings Domestic Subscriptions Payable Equity Investments in Non-Allied/Non-Related Undertakings Domestic (for EKBs) Subscriptions Payable Equity Investments in Allied (for KBs/EKBs)/Non-Allied Undertakings (for EKBs) Abroad 2-3-46-00 i. DEPOSIT FOR KEYS OF SAFE DEPOSIT BOXES 2-3-48-00 j. SUNDRY CREDITS Sundry Credits Sundry Credits FCDU/EFCDU 2-3-50-00 k. DEPOSIT FOR MARGIN ON FINANCIAL FUTURES Deposit for Margin on Financial Futures Foreign Regular Deposit for Margin on Financial Futures FCDU/EFCDU 2-3-52-00 l. PAYABLE TO BROKER (FUTURES) 2-3-54-00 m. DEPOSIT FOR STOCK SUBSCRIPTION 2-3-56-00 n. INTER-OFFICE FLOAT ITEMS (CREDIT BALANCES) 2-3-58-00 o. MISCELLANEOUS LIABILITIES Miscellaneous Liabilities Miscellaneous Liabilities FCDU/EFCDU 3-1-02-00 43. CAPITAL STOCK 3-1-02-02 a. Preferred Capital Stock Subscribed 3-1-02-04 b. Preferred Capital Stock Subscriptions Receivable 3-1-02-06 c. Preferred Capital Stock Paid-in 3-1-02-08 d. Common Capital Stock Subscribed 3-1-02-10 e. Common Capital Stock Subscriptions Receivable 3-1-02-12 f. Common Capital Stock Paid-in 3-1-02-14 g. Stock Dividends Distributable 3-2-02-00 44. SURPLUS 3-2-02-02 a. Paid-in Surplus 3-2-02-04 b. Surplus Free 3-2-04-00 45. SURPLUS RESERVES 3-2-04-02 a. Reserve for Trust Business 3-2-04-04 b. Reserve for Self-Insurance 3-2-04-06 c. Reserve for Contingencies 3-2-04-08 d. Other Surplus Reserves 3-3-02-00 46. UNDIVIDED PROFITS Undivided Profits Undivided Profits FCDU/EFCDU 3-3-04-00 47. APPRAISAL INCREMENT RESERVE 3-3-06-00 48. ASSIGNED CAPITAL (FOREIGN BANKS) CONTINGENT ACCOUNTS 4-0-02-00 49. UNUSED COMMERCIAL LETTERS OF CREDIT 4-0-02-02 a. Domestic Letters of Credit Outstanding (Sight and Usance) 4-0-02-04 b. Sight Import Letters of Credit Outstanding 4-0-02-06 c. Usance Import Letters of Credit Outstanding 4-0-02-08 d. Deferred Letters of Credit Deferred Letters of Credit Domestic Deferred Letters of Credit Foreign 4-0-02-10 e. Revolving Letters of Credit Foreign 4-0-02-12 f. Stand-by Letters of Credit Stand-by Letters of Credit Domestic Stand-by Letters of Credit Foreign 4-0-04-00 50. OUTSTANDING GUARANTEES ISSUED 4-0-04-02 a. Outstanding Guarantees Issued Shipside Bonds/Airway Bills 4-0-04-04 b. Outstanding Guarantees Issued Foreign Loans 4-0-04-06 c. Outstanding Guarantees Issued Others 4-0-06-00 51. COMMITTED CREDIT LINE FOR COMMERCIAL PAPER ISSUES 4-0-08-00 52. EXPORT LETTERS OF CREDIT CONFIRMED 4-0-10-00 53. INWARD BILLS FOR COLLECTION Inward Bills for Collection Domestic Inward Bills for Collection Foreign 4-0-12-00 54. OUTWARD BILLS FOR COLLECTION Outward Bills for Collection Domestic Outward Bills for Collection Foreign Outward Bills for Collection FCDU/EFCDU 4-0-14-00 55. SPOT EXCHANGE BOUGHT Spot Exchange Bought Foreign Regular Spot Exchange Bought FCDU/EFCDU 4-0-16-00 56. SPOT EXCHANGE SOLD Spot Exchange Sold Foreign Regular Spot Exchange Sold FCDU/EFCDU 4-0-18-00 57. FORWARD EXCHANGE BOUGHT Forward Exchange Bought Foreign Regular Forward Exchange Bought FCDU/EFCDU 4-0-20-00 58. FORWARD EXCHANGE SOLD Forward Exchange Sold Foreign Regular Forward Exchange Sold FCDU/EFCDU 4-0-22-00 59. FORWARD RATE AGREEMENT BOUGHT Forward Rate Agreement Bought Foreign Regular Forward Rate Agreement Bought FCDU/EFCDU 4-0-24-00 60. FORWARD RATE AGREEMENT SOLD Forward Rate Agreement Sold Foreign Regular Forward Rate Agreement Sold FCDU/EFCDU 4-0-26-00 61. FINANCIAL OPTIONS BOUGHT 4-0-26-02 a. Financial Asset Bought Under Call Option Purchased Financial Asset Bought Under Call Option Purchased Foreign Regular Financial Asset Bought Under Call Option Purchased FCDU/EFCDU 4-0-26-04 b. Financial Asset Bought Under Put Option Purchased Financial Asset Bought Under Put Option Purchased Foreign Regular Financial Asset Bought Under Put Option Purchased FCDU/EFCDU 4-0-26-06 c. Financial Asset Sold Under Call Option Purchased Financial Asset Sold Under Call Option Purchased Foreign Regular Financial Asset Sold Under Call Option Purchased FCDU/EFCDU 4-0-26-08 d. Financial Asset Sold Under Put Option Purchased Financial Asset Sold Under Put Option Purchased Foreign Regular Financial Asset Sold Under Put Option Purchased FCDU/EFCDU 4-0-28-00 62. FINANCIAL OPTIONS SOLD 4-0-28-02 a. Financial Asset Bought Under Call Option Sold Financial Asset Bought Under Call Option Sold Foreign Regular Financial Asset Bought Under Call Option Sold FCDU/EFCDU 4-0-28-04 b. Financial Asset Bought Under Put Option Sold Financial Asset Bought Under Put Option Sold Foreign Regular Financial Asset Bought Under Put Option Sold FCDU/EFCDU 4-0-28-06 c. Financial Asset Sold Under Call Option Sold Financial Asset Sold Under Call Option Sold Foreign Regular Financial Asset Sold Under Call Option Sold FCDU/EFCDU 4-0-28-08 d. Financial Asset Sold Under Put Option Sold Financial Asset Sold Under Put Option Sold Foreign Regular Financial Asset Sold Under Put Option Sold FCDU/EFCDU 4-0-30-00 63. FINANCIAL FUTURES BOUGHT 4-0-30-02 a. Financial Futures Bought Trading Financial Futures Bought Trading Foreign Regular Financial Futures Bought Trading FCDU/EFCDU 4-0-30-04 b. Financial Futures Bought Hedging Financial Futures Bought Hedging Foreign Regular Financial Futures Bought Hedging FCDU/EFCDU 4-0-32-00 64. FINANCIAL FUTURES SOLD 4-0-32-02 a. Financial Futures Sold Trading Financial Futures Sold Trading Foreign Regular Financial Futures Sold Trading FCDU/EFCDU 4-0-32-04 b. Financial Futures Sold Hedging Financial Futures Sold Hedging Foreign Regular Financial Futures Sold Hedging FCDU/EFCDU 4-0-34-00 65. INTEREST RATE SWAP RECEIVABLE 4-0-34-02 a. Interest Rate Swap Receivable Fixed Interest Rate Swap Receivable Fixed Foreign Regular Interest Rate Swap Receivable Fixed FCDU/EFCDU 4-0-34-04 b. Interest Rate Swap Receivable Floating Interest Rate Swap Receivable Floating Foreign Regular Interest Rate Swap Receivable Floating FCDU/EFCDU 4-0-36-00 66. INTEREST RATE SWAP PAYABLE 4-0-36-02 a. Interest Rate Swap Payable Fixed Interest Rate Swap Payable Fixed Foreign Regular Interest Rate Swap Payable Fixed FCDU/EFCDU 4-0-36-04 b. Interest Rate Swap Payable Floating Interest Rate Swap Payable Floating Foreign Regular Interest Rate Swap Payable Floating FCDU/EFCDU 4-0-38-00 67. ITEMS HELD FOR SAFEKEEPING/CUSTODIANSHIP 4-0-38-02 a. Items Held for Safekeeping 4-0-38-04 b. Government Bonds and Other Securities Held for Custodianship 4-0-38-06 c. Private Securities/Commercial Papers Held for Custodianship 4-0-40-00 68. TRUST DEPARTMENT ACCOUNTS 4-0-40-02 a. Trust and Other Fiduciary Accounts 4-0-40-04 b. Common Trust Fund 4-0-40-06 c. Investment Management Accounts 4-0-42-00 69. UNDERWRITING ACCOUNTS UNSOLD 4-0-44-00 70. LATE DEPOSITS/PAYMENTS RECEIVED 4-0-46-00 71. ITEMS HELD AS COLLATERAL 4-0-48-00 72. TRAVELLERS' CHECKS UNSOLD 4-0-50-00 73. DEFICIENCY CLAIMS RECEIVABLE 4-0-52-00 74. OTHER CONTINGENT ACCOUNTS INCOME ACCOUNTS 5-0-02-00 75. INTEREST INCOME 5-0-02-02 a. Interest Income Interbank Loans Receivable Interest Income Interbank Call Loans Receivable Interest Income Interbank Term Loans Receivable Interest Income Interbank Term Loans Receivable Interest Income Interbank Term Loans Receivable Foreign Regular Interest Income Interbank Term Loans Receivable FCDU/EFCDU Interest Income Interbank Term Loans Receivable Local Banks FCDU/EFCDU 5-0-02-04 b. Interest Income Loans and Discounts Discounts Earned Interest Income Demand Loans Interest Income Time Loans Interest Income Mortgage Contract Receivable Interest Income Loans and Discounts DOSRI Interest Income Loans and Discounts Officers and Employees Interest Income Foreign Interest Income Loans and Discounts Foreign Regular Interest Income Loans and Discounts FCDU/EFCDU 5-0-02-06 c. Interest Income Agrarian Reform/Other Agricultural Credits 5-0-02-08 d. Interest Income Development Incentive Loans 5-0-02-10 e. Interest Income Bills Purchased Interest Income Bills Purchased Domestic Interest Income Bills Purchased Foreign Regular Interest Income Bills Purchased FCDU/EFCDU 5-0-02-12 f. Interest Income Import and Domestic Bills under Letters of Credit and/or Trust Receipts 5-0-02-14 g. Interest Income Restructured Loans 5-0-02-16 h. Interest Income Past Due Items/Items in Litigation 5-0-02-18 i. Interest Income Investments Interest Income Tax-Exempt Investments Interest Income Taxable Investments Interest Income Investments FCDU/EFCDU 5-0-02-20 j. Interest Income Deposit in Banks Interest Income Deposit in Local Banks Interest Income Deposit in Local Banks Interest Income Deposit in Local Banks FCDU/EFCDU Interest Income Deposit in Foreign Banks Interest Income Deposit in Foreign Banks Interest Income Deposit in Foreign Banks FCDU/EFCDU 5-0-02-22 k. Interest Income Due from BSP Interest Income Due from BSP Local Currency Interest Income Due from BSP Local Currency Regular Interest Income Due from BSP Local Currency FCDU/EFCDU Interest Income Due from BSP Foreign Currency Interest Income Due from BSP Foreign Currency Regular Interest Income Due from BSP Foreign Currency FCDU/EFCDU 5-0-02-24 l. Interest Income Trading Account Securities (TAS) 5-0-02-26 m. Interest Income IBODI Interest Income IBODI Interest Income IBODI Foreign Regular Interest Income IBODI FCDU/EFCDU 5-0-02-28 n. Interest Income Others 5-0-04-00 76. BANK COMMISSIONS 5-0-06-00 77. SERVICE CHARGES/FEES 5-0-08-00 78. FEES/COMMISSIONS OTHERS 5-0-10-00 79. TRADING GAIN/(LOSS) Trading Gain/(Loss) Government Securities Trading Gain/(Loss) Private Securities/Commercial Papers/Equity Securities Trading Gain/(Loss) Financial Futures/Options/Forwards/Swaps Trading Gain/(Loss) Financial Futures/Options/Forwards/Swaps Foreign Regular Trading Gain/(Loss) Financial Futures/Options/Forwards/Swaps FCDU/EFCDU 5-0-12-00 80. FOREIGN EXCHANGE PROFIT/(LOSS) Foreign Exchange Profit/(Loss) Foreign Exchange Profit/(Loss) FCDU/EFCDU 5-0-14-00 81. GOLD TRADING GAIN/(LOSS) 5-0-16-00 82. PROFIT/(LOSS) ON SALE OR REDEMPTION OF INVESTMENTS 5-0-18-00 83. INCOME/(LOSS) TRUST DEPARTMENT 84. OTHER INCOME 5-0-20-00 a. RENTAL INCOME 5-0-20-02 Rental Income Safe Deposit Box 5-0-20-04 Rental Income Bank Premises and Equipment 5-0-22-00 b. MISCELLANEOUS INCOME/(LOSS) Miscellaneous Income/(Loss) Miscellaneous Income/(Loss) FCDU/EFCDU 6-0-02-00 85. INTEREST EXPENSE 6-0-02-02 a. Interest Expense on Deposits Interest Expense Demand Deposits Interest Expense Demand Deposits FCDU/EFCDU Interest Expense Savings Deposits Interest Expense Savings Deposits FCDU/EFCDU Interest Expense NOW Accounts Interest Expense Time Certificates of Deposits Interest Expense Time Certificates of Deposits FCDU/EFCDU 6-0-02-04 b. Interest Expense on Borrowed Funds Interest Expense Bills Payable (B/P) Interest Expense B/P BSP Interest Expense B/P Interbank Borrowings Interest Expense Interbank Loans Payable Interest Expense B/P Local Banks Interest Expense B/P Foreign Banks Interest Expense B/P Deposit Substitutes Interest Expense B/P Others Interest Expense B/P Others Domestic Interest Expense B/P Non-Banks Interest Expense B/P Private Firms and Individuals Interest Expenses B/P Others Interest Expense B/P Others Foreign Interest Expense B/P Others Foreign Regular Interest Expense B/P Others FCDU/EFCDU 6-0-02-06 c. Interest Expense on Bonds Payable (for EKBs) 6-0-02-08 d. Interest Expense Others 6-0-04-00 86. FINANCE CHARGES 6-0-06-00 87. COMPENSATION/FRINGE BENEFITS 6-0-06-02 a. Salaries and Wages 6-0-06-04 b. Fringe Benefits Directors 6-0-06-06 c. Fringe Benefits Officers and Employees 6-0-06-08 d. Directors' Fees 6-0-06-10 e. SSS, Medicare and Employees' Compensation Premiums and Pag-IBIG Fund Contributions 6-0-06-12 f. Medical, Dental and Hospitalization 6-0-06-14 g. Contributions to Retirement/Provident fund 6-0-08-00 88. MANAGEMENT AND OTHER PROFESSIONAL FEES 6-0-10-00 89. BANKING FEES 6-0-12-00 90. FINES, PENALTIES AND OTHER CHARGES 6-0-14-00 91. TAXES AND LICENSES 6-0-16-00 92. INSURANCE Insurance PDIC Insurance PCIC Insurance Others 6-0-18-00 93. DEPRECIATION/AMORTIZATION 6-0-18-02 a. Depreciation Bank Premises Buildings 6-0-18-04 b. Depreciation Bank Premises Appraisal Increment Buildings 6-0-18-06 c. Depreciation Furniture, Fixtures and Equipment 6-0-18-08 d. Amortization Leasehold Rights and Improvements 6-0-18-10 e. Amortization Deferred Charges 6-0-20-00 94. LITIGATION/ASSETS ACQUIRED EXPENSES 6-0-22-00 95. BAD DEBTS WRITTEN-OFF Bad Debts Written-Off Bad Debts Written-Off FCDU/EFCDU 6-0-24-00 96. PROVISIONS 6-0-24-02 a. Provision for Probable Losses Provision for Probable Losses Provision for Probable Losses FCDU/EFCDU 6-0-24-04 b. Provision for Year-End Expenses 6-0-24-06 c. Provision for Income Tax 97. OTHER EXPENSES 6-0-26-00 a. RENT 6-0-28-00 b. POWER, LIGHT AND WATER 6-0-30-00 c. INFORMATION TECHNOLOGY EXPENSES 6-0-32-00 d. FUEL AND LUBRICANTS 6-0-34-00 e. TRAVELLING EXPENSES 6-0-36-00 f. REPAIRS AND MAINTENANCE 6-0-38-00 g. SECURITY, CLERICAL, MESSENGERIAL & JANITORIAL SERVICES 6-0-40-00 h. POSTAGE, TELEPHONE, CABLES AND TELEGRAMS 6-0-42-00 i. DOCUMENTARY STAMPS USED 6-0-44-00 j. STATIONERY AND SUPPLIES USED 6-0-46-00 k. PERIODICALS AND MAGAZINES 6-0-48-00 l. ADVERTISING AND PUBLICITY 6-0-50-00 m. REPRESENTATION AND ENTERTAINMENT 6-0-52-00 n. MEMBERSHIP FEES AND DUES 6-0-54-00 o. DONATIONS AND CHARITABLE CONTRIBUTIONS 6-0-56-00 p. FREIGHT EXPENSES 6-0-58-00 q. BROKERAGE FEES 6-0-60-00 r. MISCELLANEOUS EXPENSES Miscellaneous Expenses Miscellaneous Expenses FCDU/EFCDU 98. EXTRAORDINARY CREDITS/CHARGES 7-0-02-00 a. RECOVERY ON CHARGED-OFF ASSETS Recovery on Charged-off Assets Recovery on Charged-off Assets FCDU/EFCDU 7-0-04-00 b. INCOME ON ASSETS ACQUIRED 7-0-06-00 c. PROFIT/(LOSS) ON ASSETS SOLD/EXCHANGED 7-0-08-00 d. DIVIDENDS EQUITY INVESTMENT 7-0-10-00 e. OTHER EXTRAORDINARY CREDITS/CHARGES APPENDICES APPENDIX A Guidelines on Revaluation APPENDIX B Details on Deposit Liabilities APPENDIX C Account Coding Scheme APPENDIX D TRUST ACCOUNTS ASSET ACCOUNTS 1. CASH ON HAND [1-1-02-00] This represents the total amount of cash in the bank's vault in the form of Philippine currency notes and coins under the custody of the cashier/cash custodian or treasurer, including those in the possession of tellers and those kept in automated teller machines (ATMs) and the like. IDaEHC 2. CHECKS AND OTHER CASH ITEMS (COCI) [1-1-04-00] This represents the aggregate amount of checks and other cash items received after the selected clearing cut-off time until the close of the regular banking hours, allowed under existing regulations. This account may consist of the following: a. Checks drawn on other banks b. Manager's/Cashier's/Treasurer's Checks and Demand Drafts drawn against the depository against the depository bank's other branches/offices c. Philippine Treasury Warrants d. Philippine Postal Money Orders All checks and other cash items shall be presented for clearance/acceptance/settlement on the following banking day. Items excluded herein are the following: a. Foreign Currency Checks b. Postdated Checks c. COCIs received on collection basis d. Out-of-town Checks not collectible through established clearing channels e. Items returned from clearing f. All other cash items not in process of collection Sub-control accounts shall be maintained for: (a) Bangko Sentral COCIs; (b) National Government COCIs; and (c) Others. 3. DUE FROM BANGKO SENTRAL NG PILIPINAS (BSP) [1-1-06-00] Due from BSP Local Currency Due from BSP Local Currency Regular This represents the balance of the deposit account in local currency maintained with the Bangko Sentral to meet reserve requirements and to serve as clearing account for interbank claims, subject to existing rules and regulations. Sub-control accounts shall be maintained for items outstanding and unresponded for three (3) months or more from the date of entry. Due from BSP Local Currency FCDU/EFCDU This represents the balance of the deposit account in local currency maintained with the Bangko Sentral derived from the proceeds of FCDU/EFCDU foreign currency deposit swapped with the Bangko Sentral. Due from BSP Foreign Currency Due from BSP Foreign Currency Regular 1 This represents the balance of the deposit account in foreign currency maintained with the Bangko Sentral and other claims in foreign currency from BSP of the reporting bank to cover the required reserves against the bank's foreign currency liabilities which shall be recorded at their respective foreign currency amounts and at their local currency equivalent at the applicable rate of exchange on transaction dates. Due from BSP Foreign Currency FCDU/EFCDU This represents the balance of the deposit account in foreign currency maintained with the Bangko Sentral and other claims in foreign currency from BSP, i.e. due to purchase of BSP paper (due to BSP assumption of foreign liability of the reporting bank) including the required reserves against the bank's foreign currency liabilities under the FCDU/EFCDU system which shall be recorded at their respective foreign currency amounts. HaECDI 4. DUE FROM OTHER BANKS [1-1-08-00] a. Due from Other Banks Local Banks [1-1-08-02] This represents balances of funds on deposit with other local banks excluding loans and advances to other banks and balances in banks which have been closed or banks under receivership/liquidation. The following sub-control accounts shall be maintained: Due from Local Banks Domestic Due from Local Banks Domestic Demand Deposits This represents balances of demand deposits with other local banks. Due from Local Banks Domestic Savings Deposits This represents balances of savings deposits with other local banks. Due from Local Banks Domestic Time Certificates of Deposits This represents balances of time certificates of deposits with other local banks. Due from Local Banks Domestic Others This represents debit balances maintained with other local banks for settlement of interbank claims in places where there are no BSP clearing facilities. IDScTE Due from Local Banks FCDU/EFCDU Due from Local Banks FCDU/EFCDU Demand Deposits This represents demand deposit accounts maintained with local correspondent banks for transactions of FCDUs/EFCDUs covered by Circular No. 1389 which shall be recorded at their respective foreign currency amounts. Due from Local Banks FCDU/EFCDU Savings Deposits This represents savings deposit accounts maintained with local correspondent banks for transactions of FCDUs/EFCDUs covered by Circular No. 1389 which shall be recorded at their respective foreign currency amounts. Due from Local Banks FCDU/EFCDU Time Certificates of Deposits This represents time certificates of deposit accounts maintained with local correspondent banks for transactions of FCDUs/EFCDUs covered by Circular No. 1389 which shall be recorded at their respective foreign currency amounts. Due from Local Banks FCDU/EFCDU Others This represents debit balances maintained with local correspondent banks for transactions of FCDUs/EFCDUs covered by Circular No. 1389 other than demand, savings, and time deposits and interbank term placements which shall be recorded at their respective foreign currency amounts. b. Due from Other Banks Local Banks Clearing Accounts [1-1-08-04] Due from Local Banks Local Clearing This represents balances maintained with local banks (i.e. Philippine National Bank) or any of its branches for clearing checks drawn on banks located in places not serviced by BSP clearing offices. Due from Local Banks FX Clearing Regular This represents transactions of participating banks in Philippine Domestic Dollar Transfer System (PDDTS) for the purpose of covering negative balances or overdrafts incurred with franchise holder of PDDTS agreement. Due from Local Banks FX Clearing FCDU/EFCDU This represents balances maintained with the franchise holder of PDDTS agreement for clearing of foreign currency denominated checks. c. Due from Other Banks Foreign Banks [1-1-08-06] Due from Foreign Banks Foreign Regular 1 This represents debit balances maintained as working funds with foreign correspondent banks and Offshore Banking Units (OBUs), i.e. drawings/reimbursement by means of drafts or payment orders, which shall be recorded at their respective foreign currency amounts and at their local currency equivalent at the applicable rate of exchange prevailing on transaction dates. Sub-control accounts shall be maintained for: (a) OBUs; and (b) Other Banks Abroad. Due from Foreign Banks FCDU/EFCDU This represents deposit accounts maintained with foreign correspondent banks and OBUs to meet the cover requirement for foreign currency deposits received by FCDUs/EFCDUs under Circular No. 1389 which shall be recorded at their respective foreign currency amounts. Sub-control accounts shall be maintained for: (a) OBUs; and (b) Other Banks Abroad. THcaDA 5. INTERBANK LOANS RECEIVABLE [1-2-02-00] a. Interbank Call Loans Receivable [1-2-02-02] This represents call/demand loans granted to local banks and non-bank financial intermediaries engaged in quasi-banking functions. b. Interbank Term Loans Receivable [1-2-02-04] Interbank Term Loans Receivable Local This represents loans/placements other than call/demand loans granted to local banks and non-bank financial intermediaries engaged in quasi-banking functions. iatdc2004 Interbank Term Loans Receivable Foreign Regular 1 This represents loans and discounts/placements granted to foreign banking/financial institutions and OBUs, allowed under existing rules and regulations, which shall be recorded at their respective foreign currency amounts and at their local currency equivalent at the applicable rate of exchange prevailing on transaction dates. Sub-control accounts shall be maintained for: (a) OBUs; and (b) Other Banks Abroad. Interbank Term Loans Receivable FCDU/EFCDU This represents loans and discounts/placements granted to foreign banking/financial institutions and OBUs by FCDUs/EFCDUs which shall be recorded at their respective foreign currency amounts. Sub-control accounts shall be maintained for: (a) OBUs; and (b) Other Banks Abroad. Interbank Term Loans Receivable Local Bank FCDU/EFCDU This represents loans and discounts/placements granted to FCDU of other local banks which shall be recorded at their respective foreign currency amounts. 6. LOANS AND DISCOUNTS [1-2-04-00] a. Demand Loans [1-2-04-02] This represents loans granted with no fixed maturity dates but which become due and payable upon call or demand by the lending bank. b. Bills Discounted [1-2-04-04] This represents loans which are payable on a fixed date (usually within a period of one year), the interest of which is collected in advance or discounted from the face value of the covering promissory note. c. Time Loans [1-2-04-06] This represents loans which are payable on a fixed date or within a specified period of time (usually more than one year). d. Mortgage Contract Receivable [1-2-04-08] This represents the balance of the price of assets acquired which are sold under a plan of settlement, whereby the title to said asset is transferred to the buyer who executes a real estate mortgage contract in favor of the bank. e. Loans and Discounts DOSRI [1-2-04-10] This represents credit accommodations extended to directors, officers, stockholders and related interests of banking/financial institutions payable within a specified period of time. f. Loans and Discounts Officers and Employees [1-2-04-12] This represents credit accommodations extended to officers and employees of banking/financial institutions under the BSP approved officer/employee benefit plan payable within a specified period of time. g. Loans and Discounts Foreign [1-2-04-14] Loans and Discounts Foreign Regular 1 This represents loans and discounts denominated in foreign currency granted to parties/entities other than banking/financial institutions allowed under existing rules and regulations and which cannot be appropriately classified under any of the aforementioned foreign loan accounts. Sub-control accounts shall be maintained for: (a) residents; and (b) non-residents. aCASEH Loans and Discounts FCDU/EFCDU This represents foreign currency-denominated loans and discounts granted by FCDUs/EFCDUs under Circular No. 1389 which shall be recorded at their foreign currency amounts. Sub-control accounts shall be maintained for: (a) residents; and (b) non-residents. h. Peso Loans FCDU/EFCDU [1-2-04-16] This represents peso loans granted by FCDUs/EFCDUs arising from swap transactions with the Bangko Sentral. i. Past Due Loans and Discounts [1-2-04-18] Past Due Loans and Discounts Domestic This represents loans and discounts past due under existing rules and regulations. The loan shall remain in this account until fully paid; arrangements are formalized for loan renewal/extension/restructuring or collection/foreclosure case has been filed in the court/sheriff's office, as the case may be. Past Due Loans and Discounts Foreign Regular This represents loans and discounts, other than those granted by FCDUs/EFCDUs under Circular No. 1389, denominated in foreign currency which are considered past due under existing rules and regulations. The loan shall remain in this account until fully paid; arrangements are formalized for loan renewal/extension or collection/foreclosure case has been filed in court/sheriff's office, as the case may be. These loans shall be recorded at their foreign currency amounts and at their local currency equivalent at the applicable rate of exchange on transaction dates. Sub-control accounts shall be maintained for: (a) residents; and (b) non-residents. Past Due Loans and Discounts FCDU/EFCDU This represents loans and discounts granted by FCDUs/EFCDUs under Circular No. 1389 considered past due under existing rules and regulations. The loan shall remain in this account until fully paid; arrangements are formalized for loan renewal/extension/restructuring or collection/foreclosure case has been filed in the court/sheriff's office, as the case may be. These items shall be recorded at their foreign currency amounts. Sub-control accounts shall be maintained for: (a) residents; and (b) non-residents. Allowance for Probable Losses L&D FCDU/EFCDU This represents the amount set up against current operations to provide for losses which may arise from non-collection of loans and discounts granted by FCDUs/EFCDUs under Circular No. 1389. Under existing regulations, this account is also known as "valuation reserve". These items shall be recorded at their foreign currency amounts. 7. AGRARIAN REFORM AND OTHER AGRICULTURAL CREDIT LOANS PD 717 [1-2-06-00] a. Agrarian Reform Loans PD 717 [1-2-06-02] This represents production and other types of loans granted to beneficiaries of agrarian reform, namely: tillers, tenant farmers, settlers, agricultural lessees, amortizing owners, owner-cultivators, farmers, cooperatives and compact farms, as provided for in P.D. 717, for the following purposes: 1) Acquisition of work animals, farm equipment and machinery, seeds, fertilizers, poultry, livestock, feeds and other similar items; 2) Acquisition of land authorized under the Agrarian Reform Code of the Philippines and its amendments; 3) Construction and/or acquisition of facilities for production, processing, storage and marketing; and 4) Efficient and effective merchandising of agricultural commodities stored and/or processed by the facilities aforecited in domestic and foreign commerce. DSITEH b. Other Agricultural Credit Loans [1-2-06-04] This represents loans granted to borrowers who are not beneficiaries of agrarian reform to finance activities relating to agriculture and processing, marketing, storage and distribution of products resulting from these activities. c. Past Due Agrarian Reform and Other Agricultural Credit Loans [1-2-06-06] This represents agrarian reform/other agricultural credit loans which are considered past due under existing rules and regulations. The loan shall remain in this account until fully paid; arrangements are formalized for its renewal/extension/restructuring or collection/foreclosure case has been filed in court/sheriff's office, as the case may be. d. Items in Litigation Agrarian Reform / Other Agricultural Credit Loans [1-2-06-08] This represents agrarian reform/other agricultural credit loans for which collection/foreclosure cases have been filed in court or sheriff's office, as the case may be. The loan shall remain in this account during the pendency of the proceedings or until full payment, restructuring of the obligation, foreclosure of the collateral or such other disposition is made that would cause such proceedings to cease. All expenses incurred incidental to the litigation shall be charged to operations and lodged under "Litigation/Assets Acquired Expenses" account. Corresponding memorandum entries for the expenses shall be made on the individual subsidiary ledger of the account concerned. e. Allowance for Probable Losses Agrarian Reform/Other Agricultural Credit Loans [2-7-06-00] This represents the amount set up against current operations to provide for losses which may arise from the non-collection of agrarian reform/other agricultural credit loans. Under existing regulations, this account is also known as "valuation reserve". 8. DEVELOPMENT INCENTIVE LOANS PD 717 [1-2-08-00] a. Development Incentive Loans PD 717 [1-2-08-02) This represents loans extended by banks incorporated under the laws of the Philippines, whether Philippine or foreign owned, to finance educational institutions, cooperatives, hospitals and other medical services, socialized or low-cost housing and to local government units, without national government guarantee which shall be included for purposes of determining compliance with the provisions of PD No. 717, as amended. Sub-control accounts shall be maintained for: (a) educational institution loans; (b) cooperative loans; (c) hospitals and other medical services loans (d) socialized or low-cost housing loans and (e) local government unit loans. This account shall not apply to local branches of foreign banks. iatdc2004 b. Past Due Development Incentive Loans [1-2-08-04] This represents development incentive loans which are considered past due under existing rules and regulations. The loan shall remain in this account until fully paid or collection/foreclosure case has been filed in court/sheriff's office, as the case may be. aDIHTE c. Items in Litigation Development Incentive Loans [1-2-08-06] This represents all development incentive loans for which collection/foreclosure cases have been filed in court or sheriff's office, as the case may be. The loan shall remain in this account during the pendency of the proceedings or until full payment, restructuring of the obligation, foreclosure of the collateral or such other disposition is made that would cause such proceedings to cease. All expenses incurred incidental to the litigation shall be charged to operations and debited to "Litigation/Assets Acquired Expenses" account. Corresponding memorandum entries for the expenses shall be made on the individual subsidiary ledgers of the account concerned. d. Allowance for Probable Losses Development Incentive Loans [2-7-08-00] This represents the amount set up against current operations to provide for losses which may arise from non-collection of the development incentive loans. Under existing regulation, this account is also known as "valuation reserve". 9. BILLS PURCHASED [1-2-10-00] a. Export Bills Purchased [1-2-10-02] Export Bills Purchased Foreign Regular 1 This represents drafts or bills of exchange purchased by the bank, originating from export transactions involving commodities or services drawn on foreign banks/buyers. These items shall be recorded at their respective foreign currency amounts and at their local currency equivalent at the applicable rate of exchange on transaction dates. Upon receipt of the confirming advice of payment from the foreign correspondent bank, this account shall be credited and the account of the said foreign correspondent bank, "Due from Foreign Banks Foreign Regular", shall be debited accordingly. Export Bills Purchased FCDU/EFCDU This represents drafts or bills of exchange drawn against usance and sight letters of credit, purchased by the bank directly from resident exporters under the FCDU system; originating from export transactions involving commodities or services. These items shall be recorded at their respective foreign currency amounts. Upon receipt of the credit advice from the foreign correspondent bank, this account shall be credited and the "Due from Foreign Banks FCDU/EFCDU" shall be debited accordingly. IHCacT b. Bills Purchased Clean [1-2-10-04] Domestic Bills Purchased Clean This represents clean bills purchased consisting principally of: 1) local drafts and/or negotiable instruments which have been discounted with or purchased by the bank; and 2) checks purchased by the bank covered by unexpired domestic bills purchased lines allowed under existing rules and regulations which are either encashed or credited to customers' deposit accounts upon purchase. This account shall be credited when the items are cleared or paid. Foreign Bills Purchased Clean 1 This represents clean bills purchased by the bank from its customers, consisting principally of checks, drafts, coupons, treasury warrants and other negotiable instruments denominated in foreign currency payable or collectible abroad. Such purchases from depositors/last endorsers may be by way of or immediate credit to their deposit accounts or outright over-the-counter payments. These items shall be recorded at their respective foreign currency amounts and at their local currency equivalent. c. Bills Purchased Documentary [1-2-10-06] Domestic Bills Purchased Documentary This represents bills purchased which are drawn by local merchants under domestic letters of credit or other similar arrangements covering their local purchases. Foreign Bills Purchased Documentary This represents documentary import bills covering importations without letters of credit which are received for collection and are subsequently purchased by the bank for the account of the importer. These items shall be recorded at their respective foreign currency amounts and at their local currency equivalent. d. Past Due Bills Purchased [1-2-10-08] This represents all bills purchased which are considered past due under existing rules and regulations. The bills purchased shall remain in this account until fully paid; arrangements are formalized for its renewal/extension/restructuring or collection/foreclosure case has been filed in court/sheriff's office, as the case may be. Sub-control accounts shall be maintained for the following: (a) Domestic Bills Purchased; (b) Foreign Bills Purchased; and (c) FCDU/EFCDU Bills Purchased. e. Items in Litigation Bills Purchased [1-2-10-10] This represents all types of bills purchased for which collection/foreclosure cases have been filed in court or sheriff's office, as the case may be. These items shall remain in this account during the pendency of the proceedings or until full payment, restructuring of the obligation, foreclosure of the collateral or such other disposition is made as would cause such proceedings to cease. All expenses incurred incidental to the litigation shall be charged to operations and lodged under "Litigation/Assets Acquired Expenses" account. Corresponding memorandum entries for the expenses shall be made on the individual subsidiary ledger of the account concerned. Sub-control accounts shall be maintained for the following: (a) Domestic Bills Purchased; (b) Foreign Bills Purchased; and (c) FCDU/EFCDU Bills Purchased. f. Allowance for Probable Losses Bills Purchased [2-7-10-00] This represents the amount set up against current operations to provide for losses which may arise from non-collection of the bills purchased. Under existing regulations, this account is also known as "valuation reserve". Sub-control accounts shall be maintained for the following: (a) Allowance for Probable Losses Bills Purchased Domestic; (b) Allowance for Probable Losses Bills Purchased Foreign; and (c) Allowance for Probable Losses Bills Purchased FCDU/EFCDU. 10. CUSTOMERS' LIABILITY ON BILLS/DRAFTS UNDER LETTERS OF CREDIT AND/OR TRUST RECEIPTS [1-2-12-00] a. Import Bills [1-2-12-02] Import Bills This represents import bills/drafts drawn at sight under import letters of credit or authority to pay/purchase issued by the bank covering the value of imports and their related expenses pending presentation for payment and/or acceptance. Upon receipt of advice from the foreign correspondent bank, the said bills shall be recorded immediately at their local currency equivalent at the covering forward contract rate or stipulated retiral rate, if any, or at the bank's booking rate permissible within the forex band. Import Bills Foreign Currency 1 This represents import bills/drafts denominated and payable in foreign exchange to local banks drawn at sight under import letters of credit or authority to pay/purchase issued by the banks covering the value of imports and related expenses pending presentation for payment and/or acceptance. Upon receipt of advice from the foreign correspondent banks, the said bills shall be recorded immediately in foreign currency amount and at their local currency equivalent at the applicable rate of exchange on transaction date. The letter of credit application itself should provide for irrevocable payment in foreign exchange to be considered as foreign exchange asset. b. Import Bills under Trust Receipts [1-2-12-04] Import Bills under Trust Receipts This represents bills/drafts drawn under import letters of credit which have been accepted by the importers prior to/upon release of the shipping documents under trust receipts agreement. Import Bills under Trust Receipts Foreign Currency 1 This represents bills/drafts drawn under import letters of credit, which have been accepted by the importers prior to/upon release of the shipping documents under foreign currency trust receipts agreement. These bills/drafts shall be recorded at their foreign currency amount and at their local currency equivalent at the applicable rate of exchange on transaction dates. c. Domestic Bills under Trust Receipts [1-2-12-06] This represents bills/drafts drawn under domestic letters of credit which have been accepted by local merchants prior to/upon release of the shipping documents under trust receipts agreement. d. Past Due Import and Domestic Bills [1-2-12-08] Past Due Import and Domestic Bills This represents import/domestic bills/drafts drawn under letters of credit and/or trust receipts considered past due under existing rules and regulations. These bills shall remain in this account until fully paid or arrangements are formalized for their renewal/extension/restructuring or collection/foreclosure cases have been filed in court/sheriff's office, as the case may be. Past Due Import Bills Foreign Currency This represents import bills/drafts drawn under import letters of credit and/or foreign currency trust receipts agreement considered past due under existing rules and regulations. These bills shall remain in this account until fully paid or arrangements are formalized for their renewal/extension/restructuring or collection/foreclosure cases have been filed in court/sheriff's office, as the case may be. These bills/drafts shall be recorded at their foreign currency amount and at their local currency equivalent at the applicable rate of exchange on transaction dates. e. Items in Litigation Import and Domestic Bills [1-2-12-10] Items in Litigation Import and Domestic Bills This represents import/domestic bills and/or trust receipts for which collection/foreclosure cases have been filed in court or sheriff's office, as the case may be. These items shall remain in this account during the pendency of the proceedings or until full payment, restructuring of the obligation, foreclosure of the collateral or such other disposition is made as would cause such proceedings to cease. All expenses incurred incidental to the litigation shall be charged to operations and lodged under "Litigation/Assets Acquired Expenses" account. Corresponding memorandum entries for the expenses shall be made on the individual subsidiary ledger of the account concerned. caSEAH Items in Litigation Import Bills Foreign Currency This represents import bills and/or trust receipts for which collection/foreclosure cases have been filed in court or sheriff's office, as the case may be. These items shall remain in this account during the pendency of the proceedings or until full payment, restructuring of the obligation, foreclosure of the collateral or such other disposition is made as would cause such proceedings to cease. All expenses incurred incidental to the litigation shall be charged to operations and lodged under "Litigation/Assets Acquired Expenses" account. Corresponding memorandum entries for the expenses shall be made on the individual subsidiary ledger of the account concerned. f. Allowance for Probable Losses Import and Domestic Bills [2-7-12-00] Allowance for Probable Losses Import and Domestic Bills This represents the amount set up against current operations to provide for losses which may arise from non-collection of the import and domestic bills. Under existing regulation, this account is also known as "valuation reserve". Allowance for Probable Losses Import Bills Foreign Currency This represents the amount set up against current operations to provide for losses which may arise from non-collection of the import bills foreign currency. Under existing regulation, this account is also known as "valuation reserve". 11. CUSTOMERS' LIABILITY FOR THIS BANK'S ACCEPTANCES OUTSTANDING [1-2-14-00] Customers' Liability for this Bank's Acceptances Outstanding Domestic This represents accommodations given to domestic traders in the form of acceptance credit arising from domestic trade which calls for time drafts payable within a specific number of days from the date of presentation by the beneficiaries. The account, therefore, reflects the traders' liabilities to the bank corresponding to the latter's liabilities to its local correspondent bank(s) concerned. Upon presentation and/or acceptance of the draft, this account shall be debited with a corresponding credit to the contra-liability account "Outstanding Acceptances Domestic". Customers' Liability for this Bank's Acceptances Outstanding Foreign 1 This represents accommodations given to importers in the form of acceptance credit arising from foreign trade which calls for time drafts payable within a specific number of days from the date of presentation by the beneficiaries. The account, therefore, reflects the importers' foreign currency liabilities to the bank corresponding to the liabilities to its foreign correspondent bank(s) concerned. Upon presentation and/or acceptance of the draft, this account shall be debited with a corresponding credit to the contra-liability account "Outstanding Acceptances Foreign". The accepted drafts shall be recorded at their respective foreign currency amounts and at their local currency equivalent at the applicable rate of exchange on transaction dates. CHDAaS 12. RESTRUCTURED LOANS [1-2-16-00] a. Restructured Loans [1-2-16-02] This represents loans, the principal terms and conditions of which have been modified in accordance with a restructuring agreement setting forth a new plan of payment or a schedule of payment on a periodic basis. Sub-control accounts shall be maintained for the following: (a) Restructured Loans-Domestic; (b) Restructured Loans Foreign Regular; and (c) Restructured Loans FCDU/EFCDU. b. Past Due Restructured Loans [1-2-16-04] This represents restructured loans which are considered past due under existing rules and regulations. The loan shall remain in this account until fully paid or collection/foreclosure case has been filed in court/sheriff's office, as the case may be. c. Items in Litigation Restructured Loans [1-2-16-06] This represents all restructured loans for which collection/foreclosure cases have been filed in court or sheriff's office, as the case may be. The loan shall remain in this account during the pendency of the proceedings or until full payment or such other disposition is made as would cause such proceedings to cease. All expenses incurred incidental to the litigation shall be charged to operations and debited to "Litigation/Assets Acquired Expenses" account. Corresponding memorandum entries for the expenses shall be made on the individual subsidiary ledgers of the account concerned. d. Allowance for Probable Losses Restructured Loans [2-7-16-00] This represents the amount set up against current operations to provide for losses which may arise from non-collection of the restructured loans. Under existing regulation, this account is also known as "valuation reserve". 13. UNDERWRITING ACCOUNTS (for EKBs) [1-2-18-00] a. Underwritten Securities Purchased [1-2-18-02] This represents the cost of securities purchased which have remained unsold/locked-in from underwriting ventures. b. Receivables Underwritten Securities Sold [1-2-18-04] This represents claims from the sale of underwritten securities. c. Allowance for Probable Losses-Underwritten Securities Purchased/Receivables-Underwritten Securities Sold [2-7-18-00] This represents the amount set up against current operations to provide for losses on underwritten securities purchased and on receivables on underwritten securities sold. Under existing regulation, this account is also known as "valuation reserve". 14. TRADING ACCOUNT SECURITIES (TAS) LOANS [1-2-20-00] a. Government Securities Purchased under Resale Agreements [1-2-20-02] This represents the cost of government securities purchased under an agreement whereby the purchasing bank shall sell said securities to the seller(s) on a stipulated future date. b. Government Securities Purchased under Certificates of Assignment/Participation with Recourse [1-2-20-04] This represents the cost of government securities purchased under certificates of assignment/participation with recourse. iatdc2004 c. Government Securities Purchased under Reverse Repurchase Agreements with the Bangko Sentral ng Pilipinas (BSP) [1-2-20-06] This represents the cost of government securities purchased from the BSP under agreements whereby the BSP shall buy back the government securities on a stipulated future date. d. Private Securities/Commercial Papers (CPs) Purchased [1-2-20-08] This represents the cost of commercial papers and other securities issued by private entities which are purchased for the bank's trading activities. e. Private Securities/Commercial Papers Purchased Under Resale Agreements [1-2-20-10] This represents the cost of commercial papers and other securities issued by private entities which are purchased under agreements whereby the purchasing bank shall sell the said securities to the seller(s) on a stipulated future date. f. Private Securities/Commercial Papers Sold Under Repurchase Agreements [1-2-20-12] This represents the cost of commercial papers and other securities issued by private entities which are sold under agreements whereby the selling bank shall buy back (repurchase) the said securities from the purchaser on a stipulated future date. g. Private Securities/Commercial Papers Purchased Under Certificates of Assignments/Participation with Recourse [1-2-20-14] This represents the cost of commercial papers and other securities issued by private entities which are purchased under certificates of assignment/participation with recourse. HISAET h. Allowance for Probable Losses TAS Loans [2-7-20-00] This represents the amount set up against current operations to provide for losses on trading account securities loans. Under existing regulations, this account is also known as "valuation reserve". EaScHT 15. TRADING ACCOUNT SECURITIES INVESTMENTS [1-3-02-00] a. Government Securities Purchased [1-3-02-02] This represents the cost of government securities purchased for the bank's trading activities. b. Government Securities Sold Under Repurchase Agreements [1-3-02-04] This represents the cost of government securities sold under agreements whereby the selling bank shall buy back (repurchase) the said securities from the purchaser on a stipulated future date. c. Private Securities/Equity Securities Purchased [1-3-02-06] This represents the cost of shares of stocks and other equity securities issued by private entities which are purchased for the bank's trading activities. 16. INVESTMENT IN BONDS AND OTHER DEBT INSTRUMENTS (IBODI) [1-3-04-00] a. Investment in Bonds & Other Debt Instruments Government [1-3-04-02] This represents the cost of investments in securities, generally consisting of bond, treasury bills/notes and certificates of indebtedness issued by the Philippine Government, its political subdivisions and instrumentalities and/or corporations owned and/or controlled by the government. Excluded from this account are government securities carried by the bank for its trading activities. Investment in Bonds and Other Debt Instruments on Deposit with Bangko Sentral for Reserve Purposes This represents the cost of investments in government securities held by banks for reserve purposes which are deposited with the Bangko Sentral as required under existing rules and regulations. Investments in Bonds and Debt Instruments Guarantee for Trust Functions/Duties This represents the cost of investments in government securities deposited with BSP as guarantee for trust functions/duties as required under existing rules and regulations. AaDSTH Investments in Bonds and Debt Instruments Others This represents the cost of investments in government securities that cannot be appropriately classified under "IBODI Government" accounts. Accumulated Bond Discount-IBODI Government Issue [1-8-04-02] Accumulated Premium Amortization IBODI Government Issue [2-8-04-02] This represents the earned portion of the discount and/or the amortized portion of the premium on investment in government securities which shall be debited/credited, respectively, monthly to this account with the corresponding debt/credit to "Interest Income Investments" account. b. Investments in Bonds and Other Debt Instruments Private [1-3-04-04] This represents the cost of investments in securities issued by private entities (i.e. commercial banks, other local banks, other financial intermediaries and by the Small Business Guarantee and Finance Corporation). Excluded from this account are private securities carried by the bank for its trading activities. Accumulated Bond Discount IBODI Private Issue [1-8-04-04] Accumulated Premium Amortization IBODI Private Issue [2-8-04-04] This represents the earned portion of the discount and/or the amortized portion of the premium on investment in private securities which shall be debited/credited, respectively, monthly to this account with the corresponding debit/credit to "Interest Income Investments" account. c. Investments in Bonds and Other Debt Instruments Foreign [1-3-04-06] Investments in Bonds and Other Debt Instruments Foreign Regular 1 This represents the cost of investments in foreign currency-denominated bonds and other debt instruments, such as US Treasury Notes and Bonds, which shall be recorded at their respective foreign currency amounts at the buying rate. Sub-control accounts shall be maintained for: (a) IBODI issued by residents; and (b) IBODI issued by non-residents. Investments in Bonds and Other Debt Instruments FCDU/EFCDU This represents the cost of investments in foreign currency denominated bonds and other debt instruments which shall be recorded at their respective foreign currency amounts. Sub-control accounts shall be maintained for: (a) IBODI issued by residents; and (b) IBODI issued by non-residents. Accumulated Bond Discount IBODI Foreign [1-8-04-06] Accumulated Premium Amortization IBODI Foreign [2-8-04-06] This represents the earned portion of the discount and/or the amortized portion of the premium on investment in private securities which shall be debited/credited, respectively, monthly to this account with the corresponding debit/credit to "Interest Income Investments" account. Sub-control accounts should be maintained for: (a) Foreign Regular; and (b) FCDU/EFCDU. d. Allowance for Probable Losses IBODI [2-8-04-00] This represents the amount set up against current operations to provide for losses on IBODI. Under existing regulations, this account is also known as "valuation reserve". 17. EQUITY INVESTMENTS [1-3-06-00] This represents the cost of investments in shares of stock including any unpaid subscriptions, of companies/institutions, as allowed under existing laws, rules and regulations. Equity investments shall be booked at cost or book value, whichever is lower, on the date of acquisition. If cost is greater than book value, the excess shall be charged in full to operations or booked as deferred charges and amortized as expense over a period not exceeding five (5) years. Subsequent to acquisition, equity investments should still be carried at recorded value on date of acquisition; except for investments representing more than 50% of the voting stock of the investee company in which case the equity method of accounting shall be used. The use of the equity method, however, does not preclude the bank from setting up valuation reserves if warranted. a. Equity Investments in Allied Undertakings [1-3-06-02] Equity Investments in Financial Allied Undertakings Domestic This represents the cost of investments in shares of stock including any unpaid subscriptions, of domestic financial allied undertakings, as allowed under existing laws, rules and regulations. Sub-control accounts shall be maintained for the following: 1) Equity Investments in Leasing Companies; 2) Equity Investments in Commercial Banks; 3) Equity Investments in Thrift Banks; 4) Equity Investments in Rural Banks; 5) Equity Investments in Investment Houses; 6) Equity Investments in Financing Companies; 7) Equity Investments in Venture Capital Corporations; 8) Equity Investments in Credit Card Companies; and 9) Other Equity Investments in Financial Allied Undertakings Equity Investments in Non-Financial Allied Undertakings Domestic This represents the cost of investments in shares of stock including any unpaid subscriptions of domestic non-financial allied undertakings, as allowed under existing laws, rules and regulations. Sub-control accounts shall be maintained for the following: 1) Equity Investments in Warehousing Companies 2) Equity Investments in Storage Companies 3) Equity Investments in Safe Deposit Box Companies 4) Equity Investments in Fund Management Companies Mutual Funds 5) Equity Investments in Fund Management Companies Others 6) Equity Investments in Computer Services Companies 7) Equity Investments in Insurance Agencies 8) Equity Investments in Home Building and Home Development Companies 9) Equity Investments in Drying/Milling Companies 10) Other Equity Investments in Non-Financial Allied Undertakings Equity Investments in Financial Allied Undertakings Abroad (for EKBs) This represents the cost of equity investments in financial allied undertakings abroad which shall be recorded at their respective foreign currency amounts and at their local foreign currency equivalent at the applicable rate of exchange prevailing on transaction dates. Equity Investments in Non-Financial Allied Undertakings Abroad (for EKBs) This represents the cost of equity investments in non-financial allied undertakings abroad which shall be recorded at their respective foreign currency amounts and at their local foreign currency equivalent at the applicable rate of exchange prevailing on transaction dates. b. Equity Investments in Non-Allied Undertakings (for EKBs) [1-3-06-04] Equity Investments in Non-Allied Undertakings Domestic (for EKBs) This represents the cost of investments in shares of stock including any unpaid subscriptions, of domestic non-allied undertakings, as allowed under existing laws, rules and regulations. Equity Investments in Non Allied Undertakings Abroad (for EKBs) This represents the cost of equity investments in non-allied undertakings abroad which shall be recorded at their respective foreign currency amounts and at their local currency equivalent at the applicable rate of exchange prevailing on transaction dates. c. Allowance for Probable Losses Equity Investments [2-8-06-00] This represents the amount set up against current operations to provide for losses such as decline in market or book value which may arise on equity investments. Under existing regulations, this account is also known as "valuation reserve". 18. DUE FROM HEAD OFFICE/BRANCHES/AGENCIES (DFHO/B/A) [1-4-02-00] The accounts "Due From Branches/Agencies" and "Due to Branches/Agencies" are general ledger Head Office control accounts. The counterpart of these accounts in the books of the Branches consist of the general ledger control accounts "Due from Head Office" and "Due to Head Office". If the balance of the Head Office account with its Branch is a debit, the account is carried as a "Due From", an asset account in the books of the Head Office. Conversely, if the balance of the Head Office account with its Branch is a credit, the account is carried as a "Due To", a liability account in the books of the Head Office. The same rule applies to balance of the Branches accounts ("Due From" or "Due To" Head Office) with the Head Office. ITAaCc These accounts are essentially clearing accounts through which Head Office/Branches/Agencies and interbranches/agencies transactions are cleared. Inter-Head Office-Branch transactions originating from Head Office are debited or credited to the account of the Branch concerned. The same applies to direct transactions of the Branch with the Head Office. Inter-Branch/Agency transactions, on the other hand, shall be cleared thru the Head Office. The latter responds to the advice of the Branch/Agency where the transactions originated by debiting or crediting, as the case transactions with the bank's local and foreign correspondents shall be coursed thru the Head Office account. Head Office and Branches' accounts aforementioned are reciprocal accounts which are eliminated upon consolidation. The transactions which pass through these accounts are: HDTCSI Investments of Head Office (HO) in its Branches/Agencies Advances of Head Office (HO) to its Branches/Agencies Check and cash remittances Transfers of loan and other asset accounts Responses to other debit/credit advices of Branches/Agencies Other receipts/payments made for account of Branches/Agencies Advances made by Branches/Agencies for the account of HO or vice versa Remittances of Branches/Agencies to Head Office (HO) Other interhead-office branch(es) transactions not specified above Individual subsidiary ledger accounts for each Branch/Agency shall be maintained by the Head Office. Sub-control ledger accounts shall be maintained for items which are unresponded and outstanding for sixty calendar days or more. Sub-control accounts shall also be maintained for the following: a. Due From Head Office/Branches/Agencies in the Philippines [1-4-02-02] This account controls the clearing of items/transactions between the bank's Head Office and its local branches/agencies. b. Due From Head Office/Branches/Agencies in the Philippines-FCDU/EFCDU [1-4-02-04] This account controls the clearing of items/transactions under the FCDU/EFCDU system between the bank's Head Office and its local branches/agencies which shall be recorded at their respective foreign currency amounts. iatdc2004 c. Due From Head Office/Branches/Agencies Abroad Regular [1-4-02-06] 1 This account controls the clearing of items/transactions between the bank's Head Office and its branches/agencies abroad (i.e. ABC, MBTC, PNB, etc.) and transactions between Philippine branches of foreign banks and its Head Office/Branches/Agencies abroad (i.e. BA, HSBC, CitiBank, SCB) which shall be recorded at their respective foreign currency amount and at their local currency equivalent at the applicable rate of exchange prevailing on transaction dates. d. Due From Head Office/Branches/Agencies Abroad FCDU/EFCDU [1-4-02-08] This account controls the clearing of items/transactions under the FCDU/EFCDU system between the bank's Head Office and its branches/agencies abroad and transactions between Head Office/Branches/Agencies abroad and its Philippine branches which shall be recorded at their respective foreign currency amounts. e. Due From Head Office/Branches/Agencies Abroad Assigned Capital [1-4-02-10] This represents portion of Due from Branches/Agencies Abroad assigned permanently as capital of overseas branches of Philippine banks. 19. BANK PREMISES, FURNITURE, FIXTURES AND EQUIPMENT [1-4-04-00] a. Bank Premises Land [1-4-04-02] This represents the acquisition cost of the land or lots by the bank as existing or future sites of its offices, including residential and parking lots used by the bank's officers/ employees and clients. Acquisition cost shall consist of the purchase price and all expenditures incurred incident to acquisition, such as cost of surveying, registration and issuance of title. This account shall also include the cost of filling and other expenditures which enhance the value of the land. b. Bank Premises Building Under Construction [1-4-04-04] This represents the total cost of materials, labor and other capitalizable expenditures incurred in connection with the building(s) under construction. Upon completion of the building its cost shall be transferred/closed to "Bank Premises- Buildings" account. c. Bank Premises Buildings [1-4-04-06] This represents the cost of buildings owned and used or to be used by the bank for its business, including residential houses provided for its officers and employees. The buildings/residential houses shall be recorded at acquisition or construction/improvement costs, including architect's fees, building permits, inspection fees, cost of vaults, elevators, tellers' cages and other capitalizable expenditures incurred in making the premises ready for use. d. Accumulated Depreciation Bank Premises Buildings [2-9-04-06] This represents the accumulated depreciation of buildings owned by the bank, which shall be set up monthly against current operations. This is also known as "Reserve for Depreciation". e. Bank Premises Appraisal Increment Buildings [1-4-04-08] This represents appreciation in book value of bank premises (land and buildings), allowed under existing rules and regulations, in cases where the market value of the property had materially increased since its acquisition. The corresponding credit account is "Appraisal Increment Reserve". f. Accumulated Depreciation-Bank Premises Appraisal Increment Buildings [2-9-04-08] This represents the accumulated depreciation on the appraisal increment of bank premises buildings which results from the setting up of a monthly depreciation chargeable against current operations. The portion of the Appraisal Increment Reserve (capital account) corresponding to the monthly depreciation on the Appraisal Increment (asset account) shall be adjusted to undivided profits. g. Leasehold Rights and Improvements [1-4-04-10] Leasehold Rights and Improvements This represents the cost of building and/or improvements introduced on premises leased by the bank, including the cost of leasehold rights and other expenditures incurred in making the premises ready for use. The cost of leasehold rights and improvements shall be amortized monthly by crediting this account for amortization based on the term of the lease contract or estimated useful life of the improvements, whichever is shorter. iatdc2004 Leasehold Rights and Improvements Abroad This represents the cost of building and/or improvements introduced on premises leased by the bank for its branches/agencies abroad, including cost of leasehold rights and expenditures incurred in making the premises of its branches/agencies abroad ready for use. The cost of leasehold rights and improvements shall be amortized monthly by crediting this account for the amortization based on the term of the lease contract or estimated useful life of the improvements, whichever is shorter. These items shall be recorded at their foreign currency amounts. h. Furniture, Fixtures and Equipment [1-4-04-12] Furniture, Fixtures and Equipment This represents the cost of furniture, such as desks, tables and chairs; fixtures to buildings, which do not form part of "Bank Premises Buildings" account; and equipment, such as computers, business machines, typewriters, motor vehicles, etc., including expenditures incurred for major repairs and maintenance which prolong the life of these assets beyond their original estimated useful life. This account also includes the cost of firearms owned and licensed in the name of the bank. iatdc2004 Furniture, Fixtures and Equipment Abroad This represents the cost of furniture, such as desks, tables and chairs; fixtures to buildings, which do not form part of "Bank Premises Buildings" account; and equipment, such as computers, business machines, typewriters, motor vehicles, etc. of bank's branches/agencies abroad, including expenditures incurred for major repairs and maintenance which prolong the life of these assets beyond their original useful life. This account also includes the cost of firearms owned and licensed in the name of the bank. These items shall be recorded in their foreign currency amounts. i. Accumulated Depreciation Furniture, Fixtures & Equipment [2-9-04-12] Accumulated Depreciation Furniture, Fixtures & Equipment This represents the accumulated depreciation of furniture, fixtures and equipment which shall be set up monthly against current operations. This is is also known as "Reserve for Depreciation." Accumulated Depreciation Furniture, Fixtures & Equipment Abroad This represents the accumulated depreciation of furniture, fixtures and equipment of bank's branches/agencies abroad which shall be set up monthly against current operations. This account which is also known as "Reserve for Depreciation" shall be recorded at their foreign currency amounts. DISHEA 20. REAL AND OTHER PROPERTIES OWNED OR ACQUIRED (ROPOA) [1-4-06-00] a. Real and Other Properties Owned or Acquired [1-4-06-02] Real and Other Properties Owned or Acquired This represents real and other properties, other than those used for banking purposes or held in the investment portfolio, acquired by the bank in settlement of loans and/or for other reasons. The property acquired in settlement of loans shall be recorded at the balance of the loan (principal plus booked accrued interest receivable after considering allowance for uncollected interest on loans less unamortized income) or bid price, whichever is lower. However, the property acquired for other reasons shall be recorded at cost or appraised value when cost is not involved/determinable in the acquisition of the property. iatdc2004 Any excess of loan balance over the bid price shall be debited to "Miscellaneous Income/Loss" account. Claims arising from deficiency judgments rendered in connection with the foreclosure of mortgaged properties shall be lodged under the real account "Deficiency Judgment Receivable". While probable claims against the borrower-debtor arising from the foreclosure of mortgaged properties shall be lodged under the contingent account "Deficiency Claims Receivable". All expenses incurred in the preservation/maintenance of these properties shall be debited to "Litigation/Assets Acquired Expenses" account. All income realized therefrom shall be credited to "Income from Assets Acquired" account. Corresponding memorandum entries shall be made on the individual subsidiary ledgers of the accounts concerned. Real and Other Properties Owned or Acquired FCDU/EFCDU This represents real and other properties of FCDUs/EFCDUs under Circular No. 1389, other than those used for banking purposes or held in the investment portfolio, acquired by the bank in settlement of loans and/or for other reasons. The property acquired in settlement of loans shall be recorded at the balance of the loan (principal plus booked accrued interest receivable after considering allowance for uncollected interest on loans less unamortized income) or bid price, whichever is lower. However, the property acquired for other reasons shall be recorded at their foreign currency amounts at cost or appraised value when cost is not involved/determinable in the acquisition of the property. Any excess of loan balance over the bid price shall be debited to "Miscellaneous Income/Loss" account. Claims arising from deficiency judgments rendered in connection with the foreclosure of mortgaged properties shall be lodged under the real account "Deficiency Judgment Receivable". While probable claims against the borrower-debtor arising from the foreclosure of mortgaged properties shall be lodged under contingent account "Deficiency Claims Receivable". All expenses incurred in the preservation/maintenance of these properties shall be debited to "Litigation/Assets Acquired Expenses" account. All income realized therefrom shall be credited to "Income from Assets Acquired" account. Corresponding memorandum entries shall be made on the individual subsidiary ledgers of the accounts concerned. EaScHT Real and Other Properties Owned or Acquired Abroad This represents real and other properties, other than those used for banking purposes or held in the investment portfolio, acquired by the branches/agencies of the bank abroad in settlement of loans and/or for other reasons. The property acquired in settlement of loans shall be recorded at cost or appraised value when cost is not involved/determinable in the acquisition of the property. Any excess of loan balance over the bid price shall be debited to "Miscellaneous Income/Loss" account. All expenses incurred in the preservation/maintenance of these properties shall be debited to "Litigation/Assets Acquired Expenses" account. All income realized therefrom shall be credited to "Income from Assets Acquired" account. Corresponding memorandum entries shall be made on the individual subsidiary ledgers of the accounts concerned. These items shall be recorded at their foreign currency amounts. b. Allowance for Probable Losses ROPOA [2-9-06-00] This represents the amount set up against current operations to provide for losses which may arise from the excess of book value over the appraised value of the property and/or from, its sale/disposition, and/or for valuation allowance as may be required under existing rules and regulations. This account is also known as "valuation reserve" under existing rules and regulations. Sub-control accounts shall be maintained for: (a) domestic (b) abroad and (c) FCDU/EFCDU. c. Sales Contract Receivable [1-4-06-04] This represents the balance of the selling price of assets owned and/or acquired under a plan of settlement, whereby the title to the said assets is transferred only to the buyer upon full payment of the agreed selling price. 21. BOND SINKING FUND (for EKBs) [1-4-08-00] This represents the accumulated amount set aside from the redemption of issued and outstanding bonds. Sub-control accounts shall be maintained for: a. Bond Sinking Fund Cash b. Bond Sinking Fund Deposits in Banks c. Bond Sinking Fund Securities 22. OTHER ASSETS a. Gold [1-4-10-00] 1 This represents the cost of gold bullion and bars which come into the possession of the bank as an authorized gold dealer. Gold bullion and bars in the possession of branches/agencies abroad of banks shall be recorded at their foreign currency amounts and at their local currency equivalent at the applicable rate of exchange on transaction dates. b. Foreign Currency Notes and Coins on Hand [1-4-12-00] Foreign Currency Notes and Coins on Hand Regular 1 This represents the total amount of foreign currency notes and coins on hand which shall be recorded at their respective foreign currency amounts and at their local currency equivalent at the applicable rate of exchange on transaction dates. Sub-control accounts shall be maintained for: 1) Foreign Currency Notes and Coins on Hand Non-Risk Assets This represents the total amount of foreign currency notes and coins on hand which are acceptable as part of international reserves. 2) Foreign Currency Notes and Coins on Hand Others This represents the total amount of foreign currency notes and coins on hand which are not acceptable as part of international reserves. Foreign Currency Notes and Coins on Hand FCDU/EFCDU This represents the total amount of foreign currency notes and coins on hand which are maintained to service transactions of FCDUs/EFCDUs under Circular No. 1389. The said notes and coins shall be recorded at their respective foreign currency amounts. c. Foreign Currency Checks and Other Cash Items [1-4-14-00] Foreign Currency Checks and Other Cash Items Regular 1 This represents the total amount of foreign currency checks and other cash items other than those received by FCDUs/EFCDUs under Circular No. 1389 which shall be recorded at their respective foreign currency amounts and at their local currency equivalent at the applicable rate of exchange on transaction dates. Foreign Currency Checks and Other Cash Items FCDU/EFCDU This represents the total amount of foreign currency checks and other cash items which come into the possession of the bank in connection with its FCDU/EFCDU transactions under Circular No. 1389. The said checks and other cash items shall be recorded at their respective foreign currency amounts. d. Returned Checks and Other Cash Items [1-4-16-00] Sub-control accounts shall be maintained for: (a) returned checks delivered to BSP clearing; (b) returned checks received from BSP clearing; and (c) others. Returned Checks and Other Cash Items Local Currency This represents the aggregate amount of checks and other cash items, other than those lodged under "Checks and Other Cash Items", "Domestic Bills Purchased Clean" and "Miscellaneous Checks and Other Cash Items" accounts returned to/by the bank or dishonored/found to be defective for certain reasons such as insufficiency of funds and alterations in the documents. Returned Checks and Other Cash Items Foreign Regular This represents the aggregate amount of foreign currency checks and other cash items other than those received by FCDUs/EFCDUs under Circular No. 1389 returned to/by the bank or dishonored/found to be defective for certain reasons such as insufficiency of funds and alterations in the documents. The said checks and other cash items shall be recorded at their respective foreign currency amounts. Returned Checks and Other Cash Items FCDU/EFCDU This represents the aggregate amount of foreign currency checks and other cash items which come into the possession of the bank in connection with its FCDU/EFCDU transactions under Circular No. 1389 returned to/by the bank or dishonored/found to be defective for certain reasons such as insufficiency of funds and alterations in the documents. The said checks and other cash items shall be recorded at their respective foreign currency amounts. e. Miscellaneous Checks and Other Cash Items [1-4-18-00] This represents the aggregate amount of checks and cash items other than those lodged under "Checks and Other Cash Items", "Domestic Bills Purchased Clean" and "Returned Checks and Cash Items" accounts such as miscleared and missorted checks. f. Petty Cash Fund [1-4-20-00] This represents a fund maintained on an imprest system to defray minimal disbursements. All payments shall be evidenced/supported by duly accomplished and approved petty cash vouchers. DAHCaI g. Deficiency Judgment Receivable [1-4-22-00] This represents claims against borrower-debtor(s) arising from deficiency judgments rendered by the court. h. Documentary Stamps [1-4-24-00] This represents the cost of documentary stamps, loose and/or loaded in the meter machine. i. Postage Stamps [1-4-26-00] This represents the cost of postage stamps, loose and/or loaded in the postage meter machine. j. Stationery and Supplies on Hand [1-4-28-00] This represents the cost of unissued stationery, printed forms and supplies. k. Shortages [1-4-30-00] This represents the amount of shortages found in the tellers' daily transactions and/or accountability of officers and/or other employees. This account shall be closed when the shortage is: (a) duly accounted; or (b) paid in full; or (c) charged as receivable from the officer/employee concerned; or (d) charged to expense or written-off in accordance with existing rules and regulations. l. Dividends Receivable [1-4-32-00] This represents cash dividends earned but not yet received on shares of stocks owned by the bank such as equity investments in allied undertakings/affiliates and shares acquired in settlement of loans. m. Accounts Receivable [1-4-34-00] Accounts Receivable Margin Deposit on Financial Futures [1-4-34-02] Accounts Receivable-Margin Deposit on Financial Futures Foreign Regular 1 This represents the initial margin paid by the bank at the inception of the contract. At liquidation, this deposit is refundable. This shall be recorded in local currency with the corresponding foreign currency equivalent, if any. Accounts Receivable-Margin Deposit on Financial Futures FCDU/EFCDU This represents the initial margin paid by the bank at the inception of the contract. At liquidation, this deposit is refundable. This shall be recorded at its foreign currency amount. Accounts Receivable Others [1-4-34-04] Accounts Receivable Others This represents the following: 1) Amounts due from customers and other parties under open-account arrangements including miscellaneous advances made, such as cable expenses, out-of-pocket collection charges, documentary stamps, commissions and insurance premiums 2) Claims such as tax refund and insurance proceeds 3) Staff salary advances payable in thirty (30) days or less (those payable in more than 30 days shall be considered as loans) 4) Advances for official travel of officers/employees 5) Temporary overdrafts allowed under existing rules and regulations Accounts Receivable Others FCDU/EFCDU This represents amounts due from customers and other parties under open-account arrangements including miscellaneous advances made, such as cable expenses, out-of-pocket collection charges, documentary stamps, commissions and insurance premiums in connection with transactions of FCDUs/EFCDUs under Circular No. 1389 which shall be recorded at their respective foreign currency amounts. n. Allowance for Probable Losses Accounts Receivable Others [2-9-34-04] This represents the amount set up against current operations to provide for losses which may arise from non-collection of accounts receivable. Under existing rules and regulations, this account is also known as "valuation reserve". Sub-control accounts shall be maintained for: (a) Accounts Receivable and (b) Accounts Receivable FCDU/ EFCDU. cAEaSC o. Accrued Interest Receivable [1-4-36-00] Accrued Interest Receivable Domestic This represents interest income already earned but not yet collected/received on investments in government securities and on loans considered under existing rules and regulations. Accrued Interest Receivable Foreign Regular 1 This represents interest income already earned but not yet collected/received on investments in foreign securities and on foreign loans considered under existing rules and regulations. This shall be recorded at their foreign currency amounts and at their local currency equivalent at the applicable rate of exchange on accrual dates. Accrued Interest Receivable FCDU/EFCDU This represents interest income already earned but not yet collected/received on loans, investments and deposits of FCDUs/EFCDUs under Circular No. 1389 which shall be recorded at their respective foreign currency amounts. p. Allowance for Uncollected Interest on Loans [2-9-36-00] This represents the amount required to be set up for uncollected interest accrued on current loans which have become past due under existing rules and regulations. Sub-control accounts shall be maintained for: (a) domestic; (b) foreign regular; and (c) FCDU/ EFCDU. q. Prepaid Expenses [1-4-38-00] Prepaid Expenses Call/Put Option Premium [1-4-38-02] Prepaid Call/Put Option Premium Foreign Regular 1 This represents the premium paid by the bank for the purchase of a right to buy/sell a financial asset, which shall be amortized monthly to expense on a straight line manner over the life of the contract. This shall be recorded in local currency with the corresponding foreign currency equivalent, if any. Prepaid Call/Put Option Premium FCDU/EFCDU This represents the premium paid by the bank for the purchase of a right to buy/sell a financial asset, which shall be amortized monthly to expense over the life of the contract. This shall be recorded at its foreign currency amount. Prepaid Expenses Others [1-4-38-041 Prepaid Expenses Others This represents expense prepayments expected to benefit the Bank for a future period not exceeding one (1) year (i.e. insurance premiums, rent and interest on time certificates of deposits, etc.) paid in advance, which shall be amortized monthly. iatdc2004 Prepaid Expenses Others FCDU/EFCDU This represents expense prepayments in connection with transactions of FCDUs/EFCDUs under Circular No. 1389 expected to benefit the Bank for a future period not exceeding one (1) year such as interest on time certificates of deposits paid in advance. These prepaid expenses shall be recorded at their foreign currency amounts and shall be amortized monthly. caIETS r. Deferred Charges [1-4-40-00] Deferred Charges This represents expense prepayments expected to benefit the bank for a future period exceeding one (1) year such as organizational expense, goodwill, rent paid in advance and others. Organizational expense shall be amortized monthly over a period not exceeding five (5) years. Rent paid in advance and the like shall be amortized monthly or in accordance with the covering agreement, if any. bspcd2004 Deferred Charges FCDU/EFCDU This represents expense prepayments in connection with transactions of FCDUs/EFCDUs under Circular No. 1389 expected to benefit the bank for a future period exceeding one (1) year. These charges shall be recorded at their respective foreign currency amounts and shall be amortized monthly or in accordance with the covering agreement, if any. s. Deferred Income Tax [1-4-42-00] This represents the income tax expense deferred in view of certain expenses or provisions for losses not currently deductible for income tax purposes. The income tax expense shall be recognized only when the expenses/losses provided for are actually sustained and/or written-off and considered deductible for income tax purposes. t. Deposits with Closed Banks/Banks in Liquidation [1-4-44-00] This represents demand, savings and/or time deposits maintained with a bank and/or private securities/commercial papers purchased from financial intermediaries (banks and non-banks) which have been closed or placed under liquidation. u. Allowance for Probable Losses Deposits with Closed Banks/Banks in Liquidation [2-9-44-00] This represents the amount set up against current operations to provide for losses which may arise from non-recovery of deposits with banks and/or private securities purchased from financial intermediaries (banks and non-banks) which have been closed or placed under liquidation. Under existing rules and regulations, this account is also known as "valuation reserve". v. Sundry Debits [1-4-46-00] Sundry Debits This represents items/transactions which at the time of recording cannot be classified immediately under any debit account. Entries to this account shall be cleared within one (1) month from the date of entry. Sundry Debits FCDU/EFCDU This represents items/transactions which at the time of recording cannot be classified immediately under any debit "FCDU/EFCDU under Circular No. 1389" account. These items shall be recorded at their respective foreign currency amounts. Entries to this account shall be cleared within one (1) month from date of entry. w. Allowance for Probable Losses Others [2-9-46-00] This represents the amount set up against operations to provide for losses which may arise from non-recovery of other risk assets for which no specific "Allowance for Probable Losses" account has been provided herein. This account is also known as "valuation reserve" under existing rules and regulations. x. Other Investments [1-4-48-00] This represents the cost of investments made for public relations purposes and/or to qualify as member/subscriber of clubs/other non-profit organization, public utilities including deposits made therein. y. Inter-office Float Items (Debit Balances) [1-4-50-00] This represents inter-office clearing accounts between Head Office and branches which cannot appropriately be classified under the "Due From Head Office/Branches/Agencies" account. z. Miscellaneous Assets [1-4-52-00] Miscellaneous Assets This represents items/transactions which cannot be appropriately classified under any of the foregoing asset accounts. Miscellaneous Assets FCDU/EFCDU This represents items/transactions which cannot be appropriately classified under any of the foregoing FCDU/EFCDU asset accounts which shall be recorded at their respective foreign currency amounts. LIABILITY ACCOUNTS 23. DEPOSIT LIABILITIES [2-1-02-00] (Refer to Appendix B for further details) a. Demand Deposits [2-1-02-02] This represents deposits, subject to withdrawal either by check or thru the automated tellering machines which are otherwise known as current or checking accounts. The Bank may or may not pay interest on these accounts. Sub-control accounts shall be maintained for the following: ACIESH Demand Deposits Domestic Demand Deposits Private This represents current accounts of individuals and private firms. Demand Deposits Banks This represents current accounts of banking institutions. Sub-control accounts should be maintained for private and government banks. Demand Deposits Non-Bank Financial Intermediaries This represents current accounts of non-bank financial intermediaries. Demand Deposits Government This represents current accounts of the Philippine Government, its political subdivisions and/or government-owned or -controlled corporations. Demand Deposits Trust Department This represents current accounts of the bank's Trust Department for the account of its trustors. Demand Deposits Foreign Demand Deposits Local Banks FCDU/EFCDU This represents current accounts in foreign currency received by FCDUs/EFCDUs from other local banks under Circular No. 1389 which shall be recorded at their respective foreign currency amounts. Demand Deposits Foreign Banks FCDU/EFCDU This represents current accounts in foreign currency received by FCDUs/EFCDUs from foreign banks/financial institutions under existing regulations which shall be recorded at their respective foreign currency amounts. Demand Deposits Trust Department FCDU/EFCDU This represents current accounts in foreign currency received under existing regulations from the bank's Trust Department for the accounts of its trustors which shall be recorded at their respective foreign currency amounts. Demand Deposits Others FCDU/EFCDU This represents current accounts in foreign currency received by FCDUs/EFCDUs under Circular No. 1389 which shall be recorded at their respective foreign currency amounts. b. Savings Deposits [2-1-02-04] This represents interest-bearing deposits which are withdrawable either upon presentation of a properly accomplished withdrawal slip together with the corresponding passbook or thru the automated tellering machines. Sub-control accounts shall be maintained for the following: Savings Deposits Domestic Savings Deposits Private This represents savings accounts of individuals and private firms. Savings Deposits Banks This represents savings accounts of banking institutions. Sub-control accounts should be maintained for private and government banks. Savings Deposits Non-Bank Financial Intermediaries This represents savings accounts of non-bank financial intermediaries. Savings Deposits Government This represents savings accounts of the Philippine Government, its political subdivisions and/or government-owned or -controlled corporations. Savings Deposits Trust Department This represents savings accounts of the bank's Trust Department for the account of its trustors. Savings Deposits Foreign Savings Deposits Local Banks FCDU/EFCDU This represents savings deposit accounts in foreign currency received by FCDUs/EFCDUs from other local banks under Circular No. 1389 which shall be recorded at their respective foreign currency amounts. bspcd2004 Savings Deposits Foreign Banks FCDU/EFCDU This represents savings deposit accounts in foreign currency received by FCDUs/EFCDUs from foreign banks/financial institutions under Circular No. 1389 which shall be recorded at their respective foreign currency amounts. Savings Deposits Trust Department FCDU/EFCDU This represents savings deposit accounts in foreign currency received under Circular No. 1389 from the bank's Trust Department for the accounts of its trustors which shall be recorded at their respective foreign currency amounts. Savings Deposits Others FCDU/EFCDU This represents savings deposit accounts in foreign currency received by FCDUs/EFCDUs under Circular No. 1389 which shall be recorded at their respective foreign currency amounts. c. "NOW" Accounts [2-1-02-06] This represents interest-bearing savings deposit which are withdrawable by means of Negotiable Orders of Withdrawal. d. Time Certificates of Deposits [2-1-02-08] This represents interest-bearing deposits with specific maturity dates and evidenced by certificates issued by the bank. Sub-control accounts shall be maintained for the following: Time Certificates of Deposits Domestic Time Certificates of Deposits Private This represents time certificates of deposits of individuals and private firms. Time Certificates of Deposits Banks This represents time certificates of deposits of banking institutions. Sub-control accounts should be maintained for private and government banks. ITcCSA Time Certificates of Deposits Non-Bank Financial Intermediaries This represents time certificates of deposits of non-bank financial intermediaries. Time Certificates of Deposits Government This represents time certificates of deposits of the Philippine Government, its political subdivisions and/or government-owned or -controlled corporations. Time Certificates of Deposits Trust Department This represents time certificates of deposits of the bank's Trust Department for the account of its trustors. Time Certificates of Deposits Foreign Time Certificates of Deposits Local Banks FCDU/EFCDU This represents time certificates of deposits in foreign currency received by FCDUs/EFCDUs from other local banks under Circular No. 1389 which shall be recorded at their respective foreign currency amounts or at the foreign currency contract rate. Time Certificates of Deposits Foreign Banks FCDU/EFCDU This represents time certificates of deposits in foreign currency received by FCDUs/EFCDUs from foreign banks/financial institutions under Circular No. 1389 which shall be recorded at their respective foreign currency amounts or at the foreign currency contract rate. Time Certificates of Deposits Trust Department FCDU/EFCDU This represents time certificates of deposits in foreign currency received under Circular No. 1389 from the bank's Trust Department for the accounts of its trustors which shall be recorded at their respective foreign currency amounts. AacCHD Time Certificates of Deposits Others FCDU/EFCDU This represents time certificates of deposits in foreign currency received by FCDUs/EFCDUs under Circular No. 1389 which shall be recorded at their respective foreign currency amounts or at the foreign currency contract rate. 24. TIME CERTIFICATES OF DEPOSITS-SPECIAL FINANCING [2-1-04-00] This represents time certificates of deposits received for projects under the special financing program of the Philippine Government and/or foreign government and/or international financing institutions. 25. BILLS PAYABLE [2-2-02-00] a. Bills Payable Bangko Sentral ng Pilipinas [2-2-02-02] Bills Payable Bangko Sentral ng Pilipinas Domestic This represents obligations of the bank arising from availments of rediscounting facilities and other borrowings from the Bangko Sentral. Excluded from this account are borrowings incurred from the sale of CBCIs (Central Bank Certificate of Indebtedness) and other government securities covered by repurchase agreements with the Bangko Sentral. Bills Payable Bangko Sentral ng Pilipinas Foreign 1 This represents foreign deposits/placements of the Bangko Sentral with the reporting bank which shall be recorded at their foreign currency amounts and at their local currency equivalent at the applicable rate of exchange on transaction dates. Bills Payable Bangko Sentral ng Pilipinas FCDU/EFCDU This represents obligations of the bank arising from availment of rediscounting facilities under the Export Dollar Facility which shall be recorded at their foreign currency amounts. b. Bills Payable Interbank Borrowings [2-2-02-04] Bills Payable Interbank Call Loans This represents borrowings payable on call/demand obtained from banks and non-bank financial intermediaries engaged in quasi-banking functions. Excluded from this account are interbank loans payable on call/demand which are intended for relending. Bills Payable Interbank Loans Others This represents borrowings other than those payable on call/demand obtained from banks and non-bank financial intermediaries engaged in quasi-banking functions. Excluded in this account are interbank loans not payable on call/demand which are intended for relending. Bills Payable Local Banks Bills Payable Local Banks This represents all types of direct/negotiated borrowings obtained by the bank from local banks not engaged in quasi-banking functions for the limited purpose of financing its needs and those of its agents/dealers. Bills Payable Local Banks FCDU/EFCDU This represents placements of FCDUs/EFCDUs authorized under Circular No. 1389 which shall be recorded at their foreign currency amounts. Bills Payable Foreign Banks Bills Payable Foreign Banks Foreign Regular 1 This represents direct borrowings and interbank placements from foreign creditors and OBUs, including temporary overdrawings on working funds, which shall be recorded at their foreign currency amounts and at their local currency equivalent at the applicable rate of exchange on transaction dates. Sub-control accounts shall be maintained for: (a) OBUs; and (b) Other Banks Abroad. Bills Payable Foreign Banks FCDU/EFCDU This represents placements of FCDUs/EFCDUs with foreign banks and OBUs authorized under existing regulations which shall be recorded at their foreign currency amounts. Sub-control accounts shall be maintained for: (a) OBUs; and (b) Other Banks Abroad. bspcd2004 c. Bills Payable Deposit Substitutes [2-2-02-06] This represents all types of money market borrowings of the bank. Sub-control accounts shall be maintained for the following: Promissory Notes Issued This represents borrowings from individuals and firms evidenced by promissory notes issued by the bank in connection with its quasi-banking functions. Repurchase Agreements Commercial Papers/Securities This represents borrowings incurred from the sale of commercial papers, promissory notes and government securities which are part of the bank's trading accounts. The sale is covered by an agreement to buy back (repurchase) the said securities at a stipulated future date. Repurchase Agreements Bangko Sentral ng Pilipinas This represents borrowings incurred from the sale of CBCIs and other government securities to the Bangko Sentral which sale is covered by an agreement to buy back (repurchase) the said securities at a specified future date. Certificates of Assignment/Participation with Recourse Commercial Papers/Securities This represents borrowings incurred under certificates of assignment/participation with recourse in connection with the bank's quasi-banking functions. Deposit Substitutes Others This represents other borrowings of the bank which cannot be appropriately classified under any of the foregoing accounts. d. Bills Payable Others [2-2-02-08] Bills Payable Others Domestic Bills Payable Non-Banks This represents all types of direct/negotiated borrowings obtained by the bank from non-bank financial intermediaries not engaged in quasi-banking functions for the limited purpose of financing its needs and those of its agents/dealers. Bills Payable Private Firms and Individuals This represents all types of direct/negotiated borrowings obtained by the bank from private firms (other than banks and non-bank financial intermediaries) and individuals for the limited purpose of financing its needs and those of its agents/dealers. Bills Payable Others Domestic This represents all types of direct/negotiated borrowings obtained by the bank for the limited purpose of financing its needs and those of its agents/dealers which cannot be appropriately classified under any of the foregoing "Bills Payable Domestic" accounts. cIDHSC Bills Payable Others Foreign Bills Payable Others Foreign Regular 1 This represents foreign borrowings other than those obtained from banks, which shall be recorded at their foreign currency amounts and at their local currency equivalent at the applicable rate of exchange on transaction dates. Bills Payable Others FCDU/EFCDU This represents other types of borrowings obtained by FCDUs/EFCDUs under Circular No. 1389 which cannot be appropriately classified under any of the foregoing "Bills Payable FCDU/EFCDU" account. This shall be recorded at their respective foreign currency amounts. 26. BONDS PAYABLE [2-2-04-00] This represents obligations arising from the issuance of bonds. 27. PAYABLES FOR SECURITIES PURCHASED (for EKBs) [2-2-06-00] This represents obligations arising from the purchase of securities. 28. DUE TO THE TREASURER OF THE PHILIPPINES [2-3-02-00] a. Due to Treasurer of the Philippines Bureau of Internal Revenue [2-3-02-02] This represents all payments of taxes received by the bank for the account of the Bureau of Internal Revenue. b. Due to Treasurer of the Philippines Bureau of Customs [2-3-02-04] This represents all payments of customs duties and tariffs received by the bank for the account of the Bureau of Customs. c. Due to Treasurer of the Philippines Unclaimed Balances [2-3-02-06] This represents all credits and deposits, including interest thereon, held by the bank in favor of persons known to be dead or who have not made further deposits or withdrawals during the preceding ten (10) years or more, which have been reported to the Treasurer of the Philippines pursuant to the provisions of the Unclaimed Balances Act (Act No. 3936, as amended). These credits and deposits, including interest thereon, shall remain in this account up to the time the proceeds thereof have been remitted under court order to the Treasurer of the Philippines or other parties. 29. DUE TO LOCAL BANKS [2-3-04-00] a. Due to Local Banks Private [2-3-04-02] This represents credit balances of private local banks arising from bank claims in places where there are no Bangko Sentral clearing facilities. b. Due to Local Banks Government [2-3-04-04] This represents credit balances of government local banks arising from bank claims in places where there are no Bangko Sentral clearing facilities. c. Due to Local Banks Clearing Accounts [2-3-04-06] Due to Local Banks Local Clearing This represents credit balances of local banks (i.e. Phil. National Bank) or any of its branches for clearing checks drawn on banks located in places not serviced by BSP clearing offices. Due to Local Banks FX Clearing This represents credit balances of participating banks maintained with the franchise holder of Philippine Domestic Dollar Transfer Service System (PDDTS) for clearing of foreign currency denominated checks which shall be recorded at their foreign currency amounts. 30. DUE TO FOREIGN BANKS (LOCAL CURRENCY) [2-3-06-00] This represents credit balances of foreign correspondent banks maintained as working funds in local currency with the local bank funded by inward remittances subject to drawing through payment order of the former. 31. DUE TO HEAD OFFICE/BRANCHES/AGENCIES [2-3-08-00] a. Due To Head Office/Branches/Agencies in the Philippines [2-3-08-02] This account controls the clearing of items/transactions between the bank's Head Office and its local branches/agencies. This is the reciprocal account of DFHO/B/A in the Philippines. b. Due To Head Office/Branches/Agencies in the Philippines-FCDU/EFCDU [2-3-08-04] This account controls the clearing of items/transactions under FCDU/EFCDU between the bank's Head Office and its local branches/agencies. This is the reciprocal account of DFHO/B/A in the Philippines FCDU/EFCDU. c. Due To Head Office/Branches/Agencies Abroad Regular [2-3-08-06] 1 This represents deposits, placements and working balances maintained by the Head Office/Branches/Agencies abroad of the Philippine branch of foreign banks (i.e. BA, HSBC, CitiBank and SCB) and branches/agencies abroad of Philippine banks (i.e. ABC, MBTC, PNB, etc.) which shall be recorded at their respective foreign currency amounts and at their local currency equivalent at the applicable rate of exchange prevailing on transaction dates. This is the reciprocal account of DFHO/B/A Abroad Regular. d. Due To Head Office/Branches/Agencies Abroad FCDU/EFCDU [2-3-08-08] This represents deposits, placements and working balances under FCDU/EFCDU maintained by the Head Office/Branches/Agencies abroad of the Philippine branch of foreign banks (i.e. BA, HSBC, CitiBank, SCB) and branches/agencies abroad of Philippine Banks (i.e. ABC, MBTC, PNB, etc.) which shall be recorded at their respective foreign currency amounts. This is the reciprocal account of DFHO/B/A FCDU/EFCDU. e. Due To Head Office/Branches/Agencies Abroad Assigned Capital [2-3-08-10] This represents portion of Due to Head Office account of Philippine branches of foreign banks assigned permanently as capital pursuant to counterpart concessional loans under existing regulations, which shall be recorded at their respective foreign currency amounts and at their local currency equivalent on transaction dates. This account also includes unremitted profits not yet approved by Bangko Sentral for outward remittance. bspcd2004 32. TREASURER'S/CASHIER'S/MANAGER'S AND GIFT CHECKS [2-3-10-00] This represents the aggregate amount of checks drawn by the bank upon itself payable to the payees named in the check. 33. PAYMENT ORDERS PAYABLE [2-3-12-00] Payment Orders Payable Domestic This represents inward and outward remittances of local funds by telegraphic transfers, demand drafts or mail transfer orders received by the bank pending payment/disposition to designated beneficiaries or application/disposition to appropriate accounts. Payment Orders Payable Foreign Regular 1 This represents inward and outward remittances of foreign funds by telegraphic transfers, demand drafts or mail transfer orders received by the bank pending payment/disposition to designated beneficiaries or application/disposition to appropriate accounts which shall be recorded at its foreign currency amounts and at its local currency equivalent at the applicable rate of exchange prevailing on transaction dates. Payment Orders Payable FCDU/EFCDU This represents inward and outward remittances of foreign funds by telegraphic transfers, demand drafts or mail transfer orders received by the bank pending payment/disposition to designated beneficiaries or application/disposition to appropriate accounts which shall be recorded at its foreign currency amounts. 34. MARGIN DEPOSITS [2-3-14-00] Margin Deposits Domestic Letters of Credit This represents non-interest bearing deposits required on commercial letters of credit issued in favor of local beneficiaries arising from domestic movement of goods or services. Margin Deposits Import Letters of Credit This represents non-interest bearing deposits required of importers under existing rules and regulations in connection with the opening of import letters of credit. Margin Deposits Customers' Liability on Bills/Drafts under Letters of Credit and/or Trust Receipts This represents margin deposits corresponding to negotiations on letters of credit evidenced by import bills and/or trust receipts. Margin Deposits Foreign This represents margin deposits with foreign branches/agencies of the reporting bank which shall be recorded at their foreign currency amounts. Margin Deposits Others This represents margin deposits which cannot be appropriately classified under any of the foregoing "Margin Deposit" accounts. 35. CASH LETTERS OF CREDIT [2-3-16-00] This represents import letters of credit issued where the importer pays 100% in pesos. 36. SPECIAL TIME DEPOSITS [2-3-18-00] This represents non-interest bearing deposits used as security for IGLF purposes. 37. ACCRUED INTEREST, TAXES AND OTHER EXPENSES PAYABLE [2-3-20-00] a. Accrued Interest Payable [2-3-20-02] Accrued Interest Payable Domestic This represents the estimated liability for interest incurred/due but not yet paid on demand, savings and time deposits and on domestic borrowings which shall be set up monthly against current operations. Accrued Interest Payable Foreign Regular This represents the estimated liability for interest incurred/due but not yet paid on foreign borrowings, which shall be set up monthly against current operations. This account shall be recorded at their foreign currency amounts and at their local currency equivalent at the applicable rate of exchange prevailing at the end of the month. aASDTE Accrued Interest Payable FCDU/EFCDU This represents the estimated liability for interest incurred/due but not yet paid on demand, savings, time deposits and on foreign borrowings by FCDUs/EFCDUs under Circular No. 1389 which shall be set up against current operations. Accrual shall be recorded at their foreign currency amounts. Sub-control accounts shall be maintained for interest due to the foreign bank not yet paid but covered with forward contract with the Bangko Sentral. b. Accrued Income Tax Payable [2-3-20-04] This represents the estimated liability for income tax which shall be set up monthly against current operations. c. Accrued Other Taxes and Licenses Payable [2-3-20-06] This represents the estimated liability for taxes and licenses, other than income tax, which shall be set up against current operations. d. Accrued Other Expenses Payable [2-3-20-08] Accrued Other Expenses Payable Domestic This represents the estimated liability for unpaid expenses, other than those for taxes and interest, which shall be set up monthly against current operations. Accrued Other Expenses Payable Foreign Regular 1 This represents the estimated liability for unpaid expenses, other than those for taxes and interest, which shall be set up monthly against current operations. This account shall be recorded at their foreign currency amounts and at their local currency equivalent at the applicable rate of exchange prevailing at the end of the month. Accrued Other Expenses Payable FCDU/EFCDU This represents the estimated liability for unpaid expenses, other than those for taxes and interest, which shall be set up monthly against current operations. This account shall be recorded at their foreign currency amounts. 38. DUE TO BANGKO SENTRAL NG PILIPINAS (BSP) [2-3-22-00] a. Due to Bangko Sentral ng Pilipinas Banking Fees [2-3-22-02] This represents the estimated liability for the bank's share in the cost of maintaining the appropriate supervision and examination department of the Bangko Sentral which shall be set up monthly against current operations. b. Due to Bangko Sentral ng Pilipinas Others [2-3-22-04] This represents items/transactions which cannot be appropriately classified under any of the foregoing "Due to Bangko Sentral ng Pilipinas" accounts. 39. DUE TO PHILIPPINE CROP INSURANCE CORP. (PCIC) [2-3-24-00] This represents the amount payable to the Phil. Crop Insurance Corp. (PCIC) as premium on insurance covering production loans for palay under the supervised credit program which premium shall include the share of the borrower-farmer and the bank. 40. UNEARNED INCOME AND OTHER DEFERRED CREDITS [2-3-26-00] a. Unearned Interest and Discount [2-3-26-02] Unearned Interest and Discount Domestic This represents the unearned portion of interest/discount collected in advance which shall be amortized monthly to income for the earned portion. Unearned Interest and Discount Foreign Regular 1 This represents the unearned portion of interest/discount collected in advance by foreign branches/agencies of the reporting bank which shall be recorded at their foreign currency amounts and at their local currency equivalent at the applicable rate of exchange on transaction dates and amortized monthly to income for the earned portion. Unearned Interest and Discount FCDU/EFCDU This represents the unearned portion of interest/discount collected in advance on loans granted, export bills purchased covered by sight or usance letters of credit and deposits made with other banks under the FCDU/EFCDU system which shall be recorded at their respective foreign currency amounts and amortized monthly to income for the earned portion. aHTcDA b. Unearned Income Option Premium [2-3-26-04] Unearned Call/Put Option Premium Foreign Regular 1 This represents the premium received by the bank for the sale of a right to buy/sell a financial asset, which shall be amortized monthly to income on a straight line manner over the life of the contract. This shall be recorded in local currency with the corresponding foreign currency equivalent, if any. Unearned Call/Put Option Premium FCDU/EFCDU This represents the premium received by the bank for the sale of a right to buy/sell a financial asset, which shall be amortized monthly to income on a straight line manner over the life of the contract. This shall be recorded at its foreign currency amount. c. Unrealized Profits on Assets Sold/Exchanged [2-3-26-06] This represents unrealized profits from the sale/exchange under plans of settlement of assets owned and/or acquired. Upon receipt of payment, the proportionate amount of profits realized shall be credited to income. d. Capitalized Interest and Other Charges Restructured Loans [2-3-26-08] This represents interest due and accumulated charges which have been capitalized or made part of the principal of the restructured loans. e. Advance Rentals on Bank Premises and/or Equipment [2-3-26-10] This represents the unearned portion of rentals received in advance on bank premises and/or equipment which shall be amortized monthly to income for the earned portion. f. Advance Rentals on Safe Deposit Boxes [2-3-26-12] This represents the unearned portion of rentals received in advance on safe deposit boxes, the earned portion of which shall be transferred to income at the end of the accounting period. g. Deferred Hedging Gain/(Loss) [2-3-26-14] Deferred Hedging Gain/(Loss) Foreign Regular 1 This represents deferred gains/(losses) arising from financial derivatives hedging transactions. This shall be treated as an adjustment to the carrying amount of the item hedged and shall be amortized to interest income/expense over the expected remaining life of the instrument being hedged. This shall be recorded in local currency with the corresponding foreign currency equivalent, if any. Deferred Hedging Gain/(Loss) FCDU/EFCDU This represents deferred gains/(losses) arising from financial derivatives hedging transactions. This shall be treated as an adjustment to the carrying amount of the item hedged and shall be amortized to interest income/expense over the expected remaining life of the instrument being hedged. This shall be recorded at its foreign currency amount. h. Other Deferred Credits [2-3-26-16] This represents other deferred credits which cannot be appropriately classified under any of the foregoing "Unearned Income and Other Deferred Credits" accounts. 41. OUTSTANDING ACCEPTANCES EXECUTED BY OR FOR ACCOUNT OF THIS BANK [2-3-28-00] Outstanding Acceptances Domestic This is the contra-account of "Customers' Liability for this Bank's Acceptances Outstanding Domestic". Outstanding Acceptances Foreign 1 This is the contra-account of "Customers' Liability for this Bank's Acceptances Outstanding Foreign. g. Overages [2-3-42-00] This represents the amount of overages found in the tellers' daily transactions and/or accountability of officers and/or other employees. Overages arising from loose change shall be closed to an appropriate income account at the end of the accounting period while overages of substantial amounts shall be transferred to "Accounts Payable" account pending proper disposition. h. Subscriptions Payable [2-3-44-00] Subscriptions Payable-Equity Investments in Financial Allied Undertakings Domestic This represents the bank's liability on the unpaid portion of its total subscriptions to shares of stocks of domestic financial allied undertakings. Subscriptions Payable-Equity Investments in Non-Financial Allied Undertakings Domestic This represents the bank's liability on the unpaid portion of its total subscriptions to shares of stocks of domestic non-financial allied undertakings. Subscriptions Payable Equity Investments in Non Allied/Non-Related Undertakings Domestic (for EKBs) This represents the bank's liability on the unpaid portion of its total subscriptions to shares of stocks of domestic non-allied/non-related undertakings. Subscriptions Payable Equity Investments in Allied (for EKBs and KBs)/Non Allied (for EKBs) Undertakings Abroad This represents the bank's liability on the unpaid portion of its total subscriptions to shares of stocks of allied/non-allied undertakings abroad. i. Deposit for Keys of Safe Deposit Boxes [2-3-46-00] This represents the deposits made by lessees of safe deposit boxes for the keys thereof. j. Sundry Credits [2-3-48-00] Sundry Credits This represents items/transactions which cannot be classified immediately under any credit account. Entries to this account shall be cleared within one (1) month from date of entry. Sundry Credits FCDU/EFCDU This represents items/transactions which cannot be classified immediately under any credit "FCDU/EFCDU" account. These items shall be recorded at their respective foreign currency amounts. Entries to this account shall be cleared within one (1) month from date of entry. k. Deposit for Margin on Financial Futures [2-3-50-00] Deposit for Margin on Financial Futures Foreign Regular 1 This represents the initial margin collected/received by the bank as broker at the inception of contract. At liquidation, this deposit is refundable. This shall be recorded in local currency with the corresponding foreign currency equivalent. Deposit for Margin on Financial Futures FCDU/EFCDU This represents the initial margin collected/received by the bank as broker at the inception of the contract. At liquidation, this deposit is refundable. This shall be recorded at its foreign currency amount. l. Payable to Broker (Futures) [2-3-52-00] This represents the clearing accounts with various brokers for the settlement of margin calls, brokerage fees and profits/(losses) from futures trading and hedging during the month. Cash settlement may be done daily (as in the case of SIMEX), monthly (as in the case of LIFFE), or periodically as agreed with each respective broker. m. Deposit for Stock Subscription [2-3-54-00] This represents payments made by stockholders of the bank on subscription to the increase in the authorized capital which cannot be directly credited to "Common Capital Stock Paid-in" account pending approval by the Bangko Sentral and registration with the Securities and Exchange Commission of the amendment to the Articles of Incorporation increasing capital stock. This account will be used only when existing authorized capital is already fully subscribed. n. Inter-office Float Items (Credit Balances) [2-3-56-00] This represents inter-office clearing accounts between Head Office and branches which cannot appropriately be classified under the "Due To Head Office/Branches/Agencies" account. o. Miscellaneous Liabilities [2-3-58-00] Miscellaneous Liabilities This represents items/transactions which cannot be appropriately classified under any of the foregoing liability accounts. Miscellaneous Liabilities FCDU/EFCDU This represents items/transactions which cannot be appropriately classified under any of the foregoing FCDU/EFCDU liability accounts which shall be recorded at their respective foreign currency amounts. HCDAac CAPITAL ACCOUNTS 43. CAPITAL STOCK [3-1-02-00] (A memorandum entry shall be made for the total amount of the bank's authorized capital stock showing the total number of shares and the par value per share.) a. Preferred Capital Stock Subscribed [3-1-02-02] This represents the amount of subscribed preferred capital stock which has not been fully paid and/or fully paid, the corresponding certificate has not yet been issued. This account is credited upon subscription of preferred stock and debited upon issuance of the corresponding certificate for fully paid subscriptions. b. Preferred Capital Stock Subscriptions Receivable [3-1-02-04] This represents the unpaid portion of the subscribed preferred stock of the bank. c. Preferred Capital Stock Paid-in [3-1-02-06] This represents the aggregate amount of fully paid preferred stock, including stock dividends, for which the corresponding certificates have been issued. bspcd2004 d. Common Capital Stock Subscribed [3-1-02-08] This represents the amount of subscribed common stock which has not been fully paid and/or if fully paid, the corresponding certificate has not yet been issued. This account is credited upon subscription of common stock and debited upon issuance of the corresponding certificate for fully paid subscriptions. e. Common Capital Stock Subscriptions Receivable [3-1-02-10] This represents the unpaid portion of the subscribed common stock of the bank. f. Common Capital Stock Paid-in [3-1-02-12] This represents the aggregate amount of fully paid common stock, including stock dividends, for which the corresponding certificates have been issued. g. Stock Dividends Distributable [3-1-02-14] This represents the amount of stock dividends declared by the Board of Directors, the corresponding certificates for which have not yet been issued. 44. SURPLUS [3-2-02-00] a. Paid-in Surplus [3-2-02-02] This represents premium on the sale of capital stock and other capital contributions. b. Surplus Free [3-2-02-04] This represents the unappropriated or free portion of the accumulated profits of the bank. 45. SURPLUS RESERVES [3-2-04-00] a. Reserve for Trust Business [3-2-04-02] This represents the accumulated amount set aside under Section 66 of R.A. No. 337, as amended, requiring the bank to carry to surplus ten percent (10%) of its net profits accruing from trust business since the last preceding dividend declaration until the surplus shall amount to twenty percent (20%) of its authorized capital stock. b. Reserve for Self-Insurance [3-2-04-04] This represents the accumulated amount set aside to cover losses due to fire, defalcation by and other unlawful acts of the bank's officers/employees and/or third parties. c. Reserve for Contingencies [3-2-04-06] This represents the accumulated amount set aside for possible or unforeseen losses, decrease or shrinkage in the book value of the bank's assets, or for undeterminable liabilities not otherwise recorded, such as those arising from lawsuits, defaults on obligations and unexpected expenditures. d. Other Surplus Reserves [3-2-04-08] This represents the accumulated amount set aside for purposes other than those stated in the aforementioned "Surplus Reserves" accounts. 46. UNDIVIDED PROFITS [3-3-02-00] Undivided Profits This represents the clearing account for all income and expenses, the balance of which shall be transferred to "Surplus Free" account at the end of the accounting period after taking up all other charges and/or credits that may be appropriately cleared thru this account. Undivided Profits FCDU/EFCDU This represents the clearing account for all income and expenses involving transactions under the FCDU system of Circular No. 1389, the balance of which shall be transferred to "Surplus Free" account at the end of the accounting period after taking up all other charges and/or credits that may be appropriately cleared thru this account. 47. APPRAISAL INCREMENT RESERVE [3-3-04-00] This is the contra-account of "Bank Premises Appraisal Increment" account. This is also known as "Revaluation Reserve" under existing rules and regulations which shall not form part of the combined capital accounts of the bank. 48. ASSIGNED CAPITAL (FOREIGN BANKS) [3-3-06-00] This represents the capital permanently assigned by a foreign bank to its branch(es) operating in the Philippines, pursuant to Section 68 of R.A. No. 337, as amended and Section 4 of R.A. No. 7721. CONTINGENT ACCOUNTS 49. UNUSED COMMERCIAL LETTERS OF CREDIT [4-0-02-00] a. Domestic Letter's of Credit Outstanding (Sight and Usance) [4-0-02-02] This represents the unutilized balances of commercial letters of credit for the outstanding (sight and usance) issued in favor of local beneficiaries arising from domestic movement of goods and/or services. b. Sight Import Letters of Credit Outstanding [4-0-02-04] This represents the unutilized balances of import letters of credit drawable by sight drafts and issued in favor of foreign beneficiaries for the importation of goods and/or payment of services abroad. The letter of credit shall be recorded at its foreign currency amounts. c. Usance Import Letters of Credit Outstanding [4-0-02-06] This represents unutilized balances of import letters of credit opened under the supplier's credit financing or import letters of credit drawable by usance or term drafts. The letter of credit shall be recorded at its foreign currency amounts. d. Deferred Letters of Credit [4-0-02-08] Deferred Letters of Credit Domestic This represents letters of credit arising from domestic movement of goods and/or services which provide for drawings on installment basis, spread over a specified period of time interval, usually over one year. This credit is usually established in substantial amounts which necessitate periodic installment payments. Deferred Letters of Credit Foreign This represents letters of credit arising from importation of goods and/or payment of services abroad which provide for drawings on installment basis, spread over a specified period of time interval, usually over one year. This credit is usually established in substantial amounts which necessitate periodic installment payments. The letter of credit shall be recorded at its foreign currency amounts. e. Revolving Letters of Credit Foreign [4-02-02-10] This represents cumulative or non-cumulative letters of credit which are automatically re-instated within a fixed determinable period of time. The letter of credit shall be recorded at its foreign currency amounts. f. Stand-by Letters of Credit [4-0-02-12] Stand-by Letters of Credit Domestic This represents the unutilized balances of letters of credit issued in favor of local beneficiaries which do not involve movement of goods. The letter of credit, issued in accordance with existing rules and regulations, is established usually as guarantee for the payment of domestic cash loans obtained by the client or as guarantee that a business transaction will be performed. Stand-by Letters of Credit Foreign This represents the unutilized balances of letters of credit issued in favor of foreign beneficiaries which do not involve movement of goods. The letter of credit, issued in accordance with existing rules and regulations, is established usually as guarantee that a business transaction will be performed. The letter of credit shall be recorded at its foreign currency amounts. 50. OUTSTANDING GUARANTEES ISSUED [4-0-04-00] a. Outstanding Guarantees Issued Shipside Bonds/Airway Bills [4-0-04-02] This represents guarantees issued by the bank to the shipping/airline/company/Bureau of Post for the amount of importation/parcel post released to the importers under shipside/guaranty bond. The account shall be recorded at the local currency equivalent of the shipment at the bank's booking rate permissible within the forex band or at the covering forward contract rate, if any, and shall be reversed upon surrender to the bank of the shipside bonds duly cancelled. b. Outstanding Guarantees Issued Foreign Loans [4-0-04-04] This represents guarantees issued by the bank to foreign creditors as allowed under existing rules and regulations. c. Outstanding Guarantees Issued Others [4-0-04-06] This represents guarantees issued by the bank other than those related to its underwriting activities as allowed under existing rules and regulations, whereby it guarantees third-party obligations by signing as guarantor in the contract/agreement; that is, the bank agrees to assume the liability/obligations of third parties in case of their inability to pay. 51. COMMITTED CREDIT LINE FOR COMMERCIAL PAPER ISSUES [4-0-06-00] This represents commitments under committed credit line agreements entered into by the bank with any corporation proposing to issue commercial paper pursuant to existing BSP and SEC rules and regulations. 52. EXPORT LETTERS OF CREDIT CONFIRMED [4-0-08-00] This represents the unutilized balances of the letters of credit opened by foreign importers in favor of local exporters which are received from foreign correspondent banks and confirmed by the bank. The letter of credit shall be recorded at its foreign currency amount and its local currency equivalent at the applicable rate of exchange on transaction dates. 53. INWARD BILLS FOR COLLECTION [4-0-10-00] Inward Bills for Collection Domestic This represents the amount of domestic bills, drafts or checks received for collection locally. Inward Bills for Collection Foreign This represents the amount of foreign bills, drafts or checks received from foreign correspondents for collection from drawee(s). The bills shall be recorded at their foreign currency amounts. 54. OUTWARD BILLS FOR COLLECTION [4-0-12-00] Outward Bills for Collection Domestic This represents the amount of local bills received for collection from out-of-town drawee banks. Outward Bills for Collection Foreign This represents the amount of foreign bills, drafts or checks received from customers for collection from foreign correspondent banks. The bills shall be recorded at their foreign currency amounts. Outward Bills for Collection FCDU/EFCDU This represents the amount of drafts and checks received from depositors under the FCDU system of Circular No. 1389 for collection from foreign correspondent banks. The bills shall be recorded at their foreign currency amounts. CDISAc 55. SPOT EXCHANGE BOUGHT [4-0-14-00] Spot Exchange Bought Foreign Regular This represents the amount of formal commitments entered into by the bank under a spot exchange contract to purchase foreign exchange at the rate agreed upon in the contract, payment and delivery of which are to be effected by the seller within two (2) days from transaction date. The commitment shall be recorded at its foreign currency amount and at its local currency equivalent computed at the rate stipulated in the contract. Spot Exchange Bought FCDU/EFCDU This represents the amount of formal commitments entered into by the bank under a spot exchange contract to purchase foreign exchange at the rate agreed upon in the contract, payment and delivery of which are to be effected by the seller within two (2) days from transaction date. The commitment shall be recorded at its foreign currency amount. DaHcAS 56. SPOT EXCHANGE SOLD [4-0-16-00] Spot Exchange Sold Foreign Regular This represents the amount of formal commitments entered into by the bank under a spot exchange contract to sell foreign exchange at a rate agreed upon in the contract, payment and delivery of which are to be effected by the seller within two (2) days from transaction date. The commitment shall be recorded at its foreign currency amount and at its local currency equivalent computed at the rate stipulated in the contract. Spot Exchange Sold FCDU/EFCDU This represents the amount of formal commitments entered into by the bank under a spot exchange contract to sell foreign exchange at a rate agreed upon in the contract, payment and delivery of which are to be effected by the seller within two (2) days from transaction date. The commitment shall be recorded at its foreign currency amount. 57. FORWARD EXCHANGE BOUGHT [4-0-18-00] Forward Exchange Bought Foreign Regular 1 This represents the amount of formal commitments entered into by a bank under a forward (future) exchange contract to purchase foreign exchange at the rate agreed upon in the contract, payment and delivery of which are to be made on a stipulated future date exceeding two (2) days from transaction date. The commitment shall be recorded at its foreign currency amount and at its local currency equivalent computed at the rate stipulated in the contract. Forward Exchange Bought FCDU/EFCDU This represents the amount of formal commitments entered into by a bank under a forward (future) exchange contract to purchase foreign exchange at the rate agreed upon in the contract, payment and delivery of which are to be made on a stipulated future date exceeding two (2) days from transaction date. The commitment shall be recorded at its foreign currency amount. 58. FORWARD EXCHANGE SOLD [4-0-20-00] Forward Exchange Sold Foreign Regular 1 This represents the amount of formal commitments entered into by a bank under a forward (future) exchange contract to sell foreign exchange at the rate agreed upon in the contract, payment and delivery of which are to be made on a stipulated future date exceeding two (2) days from transaction date. The commitment shall be recorded at its foreign currency amount and at its local currency equivalent computed at the rate stipulated in the contract. Forward Exchange Sold FCDU/EFCDU This represents the amount of formal commitments entered into by a bank under a forward (future) exchange contract to sell foreign exchange at the rate agreed upon in the contract, payment and delivery of which are to be made on a stipulated future date exceeding two (2) days from transaction date. The commitment shall be recorded at its foreign currency amount. 59. FORWARD RATE AGREEMENT BOUGHT [4-0-22-00] Forward Rate Agreement Bought Foreign Regular This refers to an agreement fixing the interest rates for a specified future period whereby the bank will receive the interest rate differential if the reference rate rises above the contract rate. This shall be recorded in local currency with the corresponding foreign currency equivalent, if any. Forward Rate Agreement Bought FCDU/EFCDU This refers to an agreement fixing the interest rates for a specified future period whereby the bank will receive the interest rate differential if the reference rate rises above the contract rate. This shall be recorded at its foreign currency amount. 60. FORWARD RATE AGREEMENT SOLD [4-0-24-00] Forward Rate Agreement Sold Foreign Regular This refers to an agreement fixing the interest rates for a specified period whereby the bank will pay the interest rate differential if the reference rate falls below the contract rate. This shall be recorded in local currency with the corresponding foreign currency equivalent, if any. Forward Rate Agreement Sold FCDU/EFCDU This refers to an agreement fixing the interest rates for a specified period whereby the bank will pay the interest rate differential if the reference rate falls below the contract rate. This shall be recorded at its foreign currency amount. 61. FINANCIAL OPTIONS BOUGHT [4-0-26-00] a. Financial Asset Bought Under Call Option Purchased [4-0-26-02] Financial Asset Bought Under Call Option Purchased Foreign Regular This represents the amount of a financial asset to be purchased by the bank as buyer of a call option upon exercise of its right to buy the financial asset on or before the maturity date of the contract. This account shall be recorded at its foreign currency amount and at its local currency equivalent at the applicable rate of exchange on transaction date. Financial Asset Bought Under Call Option Purchased FCDU/EFCDU This represents the amount of a financial asset to be purchased by the bank as buyer of a call option upon exercise of its right to buy the financial asset on or before the maturity date of the contract. This account shall be recorded at its foreign currency amount. b. Financial Asset Bought Under Put Option Purchased [4-0-26-04] Financial Asset Bought Under Put Option Purchased Foreign Regular This represents the amount of a financial asset to be received by the bank as buyer of a put option upon exercise of its right to sell the financial asset on or before maturity date of the contract. This account shall be recorded at its foreign currency amount and at its local currency equivalent at the applicable rate of exchange on transaction date. Financial Asset Bought Under Put Option Purchased FCDU/EFCDU This represents the amount of a financial asset to be received by the bank as buyer of a put option upon exercise of its right to sell the financial asset on or before maturity date of the contract. This account shall be recorded at its foreign currency amount. IASEca c. Financial Asset Sold Under Call Option Purchased [4-0-26-06] Financial Asset Sold Under Call Option Purchased Foreign Regular This represents the amount of a financial asset to be paid by the bank as buyer of a call option upon exercise of its right to buy the financial asset on or before the maturity date of the contract. This account shall be recorded at its foreign currency amount and at its local currency equivalent at the applicable rate of exchange on transaction date. Financial Asset Sold Under Call Option Purchased FCDU/EFCDU This represents the amount of a financial asset to be paid by the bank as buyer of a call option upon exercise of its right to buy the financial asset on or before the maturity date of the contract. This account shall be recorded at its foreign currency amount. d. Financial Asset Sold Under Put Option Purchased [4-0-26-08] Financial Asset Sold Under Put Option Purchased Foreign Regular This represents the amount of a financial asset to be sold by the bank as buyer of the put option upon exercise of its right to sell the financial asset on or before the maturity date of the contract. This account shall be recorded at its foreign currency amount and at its local currency equivalent at the applicable rate of exchange on transaction date. Financial Asset Sold Under Put Option Purchased FCDU/EFCDU This represents the amount of a financial asset to be sold by the bank as buyer of the put option upon exercise of its right to sell the financial asset on or before the maturity date of the contract. This account shall be recorded at its foreign currency amount. 62. FINANCIAL OPTIONS SOLD [4-0-28-00] a. Financial Asset Bought Under Call Option Sold [4-0-28-02] Financial Asset Bought Under Call Option Sold Foreign Regular This represents the amount of a financial asset to be received by the bank as seller of a call option upon exercise by the buyer of his right to buy the financial asset on or before the maturity date of the contract. This account shall be recorded at its foreign currency amount and at its local currency equivalent at the applicable rate of exchange on transaction date. Financial Asset Bought Under Call Option Sold FCDU/EFCDU This represents the amount of a financial asset to be received by the bank as seller of a call option upon exercise by the buyer of his right to buy the financial asset on or before the maturity date of the contract. This account shall be recorded at its foreign currency amount. b. Financial Asset Bought Under Put Option Sold [4-0-28-04] Financial Asset Bought Under Put Option Sold Foreign Regular This represents the amount of a financial asset to be received by the bank as seller of a put option upon exercise by the buyer of his right to sell the financial asset on or before the maturity date of the contract. This account shall be recorded at its foreign currency amount and at its local currency equivalent at the applicable rate of exchange on transaction date. Financial Asset Bought Under Put Option Sold FCDU/EFCDU This represents the amount of a financial asset to be received by the bank as seller of a put option upon exercise by the buyer of his right to sell the financial asset on or before the maturity date of the contract. This account shall be recorded at its foreign currency amount. c. Financial Asset Sold Under Call Option Sold [4-0-28-06] Financial Asset Sold Under Call Option Sold Foreign Regular This represents the amount of a financial asset to be paid by the bank as seller of the call option upon exercise of the buyer of his right to buy the financial asset on or before maturity date of the contract. This account shall be recorded at its foreign currency amount and at its local currency equivalent at the applicable rate of exchange on transaction date. bspcd2004 Financial Asset Sold Under Call Option Sold FCDU/EFCDU This represents the amount of a financial asset to be paid by the bank as seller of the call option upon exercise of the buyer of his right to buy the financial asset on or before maturity date of the contract. This account shall be recorded at its foreign currency amount. d. Financial Asset Sold Under Put Option Sold [4-0-28-08] Financial Asset Sold Under Put Option Sold Foreign Regular This represents the amount of a financial asset to be paid by the bank as seller of a put option upon exercise of the buyer of his right to sell the financial asset on or before maturity date of the contract. This account shall be recorded at its foreign currency amount and at its local currency equivalent at the applicable rate of exchange on transaction date. Financial Asset Sold Under Put Option Sold FCDU/EFCDU This represents the amount of a financial asset to be paid by the bank as seller of a put option upon exercise of the buyer of his right to sell the financial asset on or before maturity date of the contract. This account shall be recorded at its foreign currency amount. 63. FINANCIAL FUTURES BOUGHT [4-0-30-00] a. Financial Futures Bought Trading [4-0-30-02] Financial Futures Bought Trading Foreign Regular This represents the amount of futures contract(s) bought for trading purposes which shall be recorded at its foreign currency amount and at its local currency equivalent at the applicable rate of exchange on transaction date. This account shall be reversed upon liquidation. Sub-controls shall be provided for different financial futures instruments, i.e., Eurodollar futures, T-Bond futures, T-Bill futures, Currency futures, Gold futures and Silver futures. Financial Futures Bought Trading FCDU/EFCDU This represents the amount of futures contract(s) bought for trading purposes which shall be recorded at its foreign currency amount. This account shall be reversed upon liquidation. Sub-controls shall be provided for different financial futures instruments, i.e., Eurodollar futures, T-Bond futures, T-Bill futures, Currency futures, Gold futures and Silver futures. b. Financial Futures Bought Hedging [4-0-30-04] Financial Futures Bought Hedging Foreign Regular This represents the amount of futures contract(s) bought for hedging purposes which shall be recorded at its foreign currency amount and at its local currency equivalent at the applicable rate of exchange on transaction date. This account shall be reversed upon liquidation. This contingent account will be broken down into Eurodollar futures and T-Bond futures. Financial Futures Bought Hedging FCDU/EFCDU This represents the amount of futures contract(s) bought for hedging purposes which shall be recorded at its foreign currency amount. This account shall be reversed upon liquidation. This contingent account will be broken down into Eurodollar futures and T-Bond futures. 64. FINANCIAL FUTURES SOLD [4-0-32-00] a. Financial Futures Sold Trading [4-0-32-02] Financial Futures Sold Trading Foreign Regular This represents the amount of futures contract(s) sold for trading purposes which shall be recorded at its foreign currency amount and at its local currency equivalent at the applicable rate of exchange on transaction date. This account shall be reversed upon liquidation. Sub-controls shall be provided for different financial futures instruments, i.e., Eurodollar futures, T-Bond futures, T-Bill futures, Currency futures, Gold futures and Silver futures. b. Financial Futures Sold Hedging [4-0-32-04] Financial Futures Sold Hedging Foreign Regular This represents the amount of futures contract(s) sold for hedging purposes which shall be recorded at its foreign currency amount and at its local currency equivalent at the applicable rate of exchange on transaction date. This account shall be reversed upon liquidation. This contingent account will be broken down into Eurodollar futures and T-Bond futures. Financial Futures Sold Hedging FCDU/EFCDU This represents the amount of futures contract(s) sold for hedging purposes which shall be recorded at its foreign currency amount. This account shall be reversed upon liquidation. This contingent account will be broken down into Eurodollar futures and T-Bond futures. CAScIH 65. INTEREST RATE SWAP RECEIVABLE [4-0-34-00] a. Interest Rate Swap Receivable Fixed [4-0-34-02] Interest Rate Swap Receivable Fixed Foreign Regular This refers to the amount of interest to be received by the bank calculated on a fixed rate under an interest rate swap agreement. This shall be recorded in local currency with the corresponding foreign currency equivalent, if any. Interest Rate Swap Receivable Fixed FCDU/EFCDU This refers to the amount of interest to be received by the bank calculated on fixed rate under an interest rate swap agreement. This shall be recorded at its foreign currency amount. b. Interest Rate Swap Receivable Floating [4-0-34-04] Interest Rate Swap Receivable Floating Foreign Regular This refers to the amount of interest to be received by the bank calculated on a floating reference rate under an interest rate swap agreement. This shall be recorded in local currency with the corresponding foreign currency equivalent, if any. Interest Rate Swap Receivable Floating FCDU/EFCDU This refers to the amount of interest to be received by the bank calculated on a floating reference rate under an interest rate swap agreement. This shall be recorded at its foreign currency amount. 66. INTEREST RATE SWAP PAYABLE [4-0-36-00] a. Interest Rate Swap Payable Fixed [4-0-36-02] Interest Rate Swap Payable Fixed Foreign Regular This refers to the amount of interest to be paid by the bank calculated on a fixed rate under an interest rate swap agreement. This shall be recorded in local currency with the corresponding foreign currency equivalent, if any. Interest Rate Swap Payable Fixed FCDU/EFCDU This refers to the amount of interest to be paid by the bank calculated on a fixed rate under an interest rate swap agreement. This shall be recorded at its foreign currency amount. b. Interest Rate Swap Payable Floating [4-0-36-04] Interest Rate Swap Payable Floating Foreign Regular This refers to the amount of interest to be paid by the bank calculated on a floating reference rate under an interest rate swap agreement. This shall be recorded in local currency with the corresponding foreign currency equivalent, if any. Interest Rate Swap Payable Floating FCDU/EFCDU This refers to the amount of interest to be paid by the bank calculated on a floating reference rate under an interest rate swap agreement. This shall be recorded at its foreign currency amount. 67. ITEMS HELD FOR SAFEKEEPING/CUSTODIANSHIP [4-0-38-00] a. Items Held for Safekeeping [4-0-38-02] This represents the aggregate of the nominal value (P1.00 per item) of items held for safekeeping which are not administered by the Trust Department. b. Government Bonds and Other Securities Held for Custodianship [4-0-38-04] This represents the aggregate of the nominal value (P1.00 per item) of government securities held under custodianship arrangements in connection with the bank's quasi-banking functions. c. Private Securities/Commercial Papers Held for Custodianship [4-0-38-06] This represents the aggregate of the nominal value (P1.00 per item) of commercial papers and other securities issued by private entities held under custodianship arrangements in connection with the bank's quasi-banking functions. 68. TRUST DEPARTMENT ACCOUNTS [4-0-40-00] a. Trust and Other Fiduciary Accounts [4-0-40-02] b. Common Trust Fund [4-0-40-04] c. Investment Management Accounts [4-0-40-06] (Refer to Manual of Accounts Trust Department in Appendix D for details) 69. UNDERWRITING ACCOUNTS UNSOLD [4-0-42-00] This represents the total guaranteed selling value of unsold securities under an on-going underwritten agreement. 70. LATE DEPOSITS/PAYMENTS RECEIVED [4-0-44-00] This represents non-cash deposits received after the selected clearing cut-off time which are not booked as deposits for the day as allowed under existing rules and regulations and non-cash payments received after the selected clearing cut-off time for purposes other than as deposits which shall be validated/reversed the following banking day or shall be lodged in their appropriate asset/liability accounts. 71. ITEMS HELD AS COLLATERAL [4-0-46-00] This represents the aggregate of the nominal value (P1.00 per item) of the items held as collateral for loans and other credits granted such as certificates of deposits, passbooks, certificates of title, bank acceptances, stock certificates and sugar quedans. A register shall be maintained for this account. 72. TRAVELLERS' CHECKS UNSOLD [4-0-48-00] This represents the total face value of unsold travellers' checks received on consignment basis. The travellers' check shall be recorded at its foreign currency amount and its local currency equivalent at the applicable rate of exchange on consignment date. 73. DEFICIENCY CLAIMS RECEIVABLE [4-0-50-00] This represents the amount of probable claims against borrowers/debtors arising from the foreclosure of mortgaged properties. 74. OTHER CONTINGENT ACCOUNTS [4-0-52-00] This represents items which cannot be appropriately classified under any of the foregoing contingent accounts. INCOME ACCOUNTS 75. INTEREST INCOME [5-0-02-00] a. Interest Income Interbank Loans Receivable [5-0-02-02] This represents interest earned and/or actually collected on interbank loans. The following subsidiary ledger accounts shall be maintained: Interest Income Interbank Call Loans Receivable This represents interest earned and/or actually collected on interbank call loans. Interest Income Interbank Term Loans Receivable This represents interest earned and/or actually collected on interbank term loans. Interest Income Interbank Term Loans Receivable Foreign Regular This represents interest earned and/or actually collected on interbank term loans receivable foreign. This shall be recorded at their respective foreign currency amounts and at their local currency equivalent at the applicable rate of exchange on transaction dates. Interest Income Interbank Term Loans Receivable FCDU/EFCDU This represents interest earned and/or actually collected on interbank term loans receivable granted by FCDUs/EFCDUs under Circular No. 1389 which shall be recorded at their foreign currency amounts. Interest Income Interbank Term Loans Receivable Local Bank FCDU/EFCDU This represents interest earned and/or actually collected on interbank term loans receivable granted by FCDUs/EFCDUs to other local banks under existing regulations which shall be recorded at their foreign currency amounts. SDAcaT b. Interest Income Loans and Discounts [5-0-02-04] This represents interest earned and/or actually collected on loans and discounts. The following subsidiary ledger accounts shall be maintained: Discounts Earned This represents the earned portion of interest collected in advance on bills discounted. Interest Income Demand Loans This represents interest earned and/or actually collected on demand loans. Interest Income Time Loans This represents interest earned and/or actually collected on time loans, including earned portion of interest collected in advance. Interest Income Mortgage Contract Receivables This represents interest earned and/or actually collected on mortgage contracts receivable. Interest Income Loans and Discounts DOSRI This represents interest earned and/or actually collected on loans to DOSRI, including earned portion of interest collected in advance. Interest Income Loans and Discounts Officers and Employees This represents interest earned and/or actually collected on loans to officers and employees under the BSP approved officer/employee benefit plan, including earned portion of interest collected in advance. bspcd2004 Interest Income Foreign Interest Income Loans and Discounts Foreign Regular This represents interest earned and/or actually collected on loans and discounts foreign. This shall be recorded at their respective foreign currency amounts and at their local currency equivalent at the applicable rate of exchange on transaction dates. Interest Income Loans and Discounts FCDU/EFCDU This represents interest earned and/or actually collected on loans granted by FCDUs/EFCDUs under Circular No. 1389 which shall be recorded at their foreign currency amounts. c. Interest Income Agrarian Reform/Other Agricultural Credit [5-0-02-06] This represents interest earned and/or actually collected on agrarian reform/other agricultural credit. d. Interest Income Development Incentive Loans [5-0-02-081 This represents interest earned and/or collected on development incentive loans. e. Interest Income Bills Purchased [5-0-02-10] Interest Income Bills Purchased Domestic This represents interest earned and/or actually collected on domestic bills purchased. Interest Income Bills Purchased Foreign Regular This represents interest earned and/or actually collected on bills purchased arising out of foreign transactions other than the FCDU system which shall be recorded at their foreign currency amounts and at their local currency equivalent at the applicable rate of exchange on transaction dates. Interest Income Bills Purchased FCDU/EFCDU This represents interest earned and/or actually collected on export bills purchased covered by sight or usance letters of credit under the FCDU system which shall be recorded at their foreign currency amounts. f. Interest Income Import and Domestic Bills under Letters of Credit and/or Trust Receipts [5-0-02-12] This represents interest earned and/or actually collected on import bills under letters of credit and/or trust receipts. g. Interest Income Restructured Loans [5-0-02-14] This represents interest earned and/or collected on restructured loans. This account shall be credited for: (a) interest which has been capitalized or made part of the principal of the restructured loans when such interest has been collected; and (b) interest earned and/or collected on restructured loans. h. Interest Income Past Due Items/Items in Litigation [5-0-02-16] This represents interest earned and/or actually collected on past due items and items in litigation. i. Interest Income Investments [5-0-02-18] This represents interest earned and/or actually collected on investments in securities issued by the government and/or private entities. The following sub-control accounts shall be maintained: Interest Income Tax-Exempt Investments This represents interest earned and/or actually collected on all tax-exempt government securities and other investments. Interest Income Taxable Investments This represents interest earned and/or actually collected on all taxable government securities and other investments. Interest Income Investments FCDU/EFCDU This represents interest earned and/or actually collected on investments made under the FCDU system which shall be recorded at their foreign currency amounts. j. Interest Income Deposit in Banks [5-0-02-20] This represents interest earned and credited to the bank's demand and savings deposits and interest earned and actually collected on time deposits in other banks. Sub-control accounts shall be maintained for the following: Interest Income Deposits in Local Banks Interest Income Deposits in Local Banks This represents interest earned and credited to the bank's demand and savings deposits and interest earned and actually collected on time deposits in local banks. Interest Income Deposits in Local Banks FCDU/EFCDU This represents interest earned and credited to the bank's demand and savings deposits and interest earned and actually collected on time deposits in local banks for transactions of FCDUs/EFCDUs covered by Circular No. 1389 which shall be recorded at their respective foreign currency amounts. Interest Income Deposits in Foreign Banks Interest Income Deposits in Foreign Banks This represents interest earned, credited to and/or actually collected on the bank's deposits in foreign banks which shall be recorded at their foreign currency amounts and at their local currency equivalent at the applicable rate of exchange on transaction dates. Interest Income Deposits in Foreign Banks FCDU/EFCDU This represents interest earned, credited to and/or actually collected on bank's deposits with foreign banks under the FCDU system which shall be recorded at their foreign currency amounts. k. Interest Income Due from Bangko Sentral ng Pilipinas (BSP) [5-0-02-22] Interest Income Due from BSP Local Currency Interest Income Due from BSP Local Currency Regular This represents interest earned on and credited to the local currency deposit with the BSP. Interest Income Due from BSP Local Currency FCDU/EFCDU This represents interest earned on and credited to the local currency deposit with the BSP derived from the proceeds of FCDU/EFCDU foreign currency deposits swapped with Bangko Sentral. Interest Income Due from BSP Foreign Currency Interest Income Due from BSP Foreign Currency Regular This represents interest earned on and credited to the foreign currency deposit with the BSP which shall be recorded at their foreign currency amounts and at their local currency equivalent at the applicable rate of exchange on transaction dates. Interest Income Due from BSP Foreign Currency FCDU/EFCDU This represents interest earned on and credited to the foreign currency deposit with the BSP on foreign currency received by the bank under the FCDU system which shall be recorded at their foreign currency amounts. EHSTDA l. Interest Income Trading Account Securities (TAS) [5-0-02-24] This represents interest earned/realized on trading account securities held by the bank. m. Interest Income IBODI [5-0-02-26] This represents interest earned/realized on investments in bonds and other debt instruments held by the bank. Interest Income IBODI Foreign Regular This represents interest earned/realized in foreign currency-denominated bonds and other debt instruments held by the bank which shall be recorded at their foreign currency amounts and at their local currency equivalent at the applicable rate of exchange prevailing on transaction dates. Interest Income IBODI FCDU/EFCDU This represents interest earned/realized in foreign currency-denominated bonds and other debt instruments held by the bank which shall be recorded at their foreign currency amounts. n. Interest Income Others [5-0-02-28] This represents interest earned and/or actually collected on all receivable accounts other than loans such as accounts receivable, sales contract receivables and others. 76. BANK COMMISSIONS [5-0-04-00] This represents commission collected for services rendered as in: a. opening of letters of credit b. handling of collection items, domestic/export/import bills and telegraphic transfers c. sale of demand drafts, traveller's checks and government securities. 77. SERVICE CHARGES/FEES [5-0-06-00] This represents charges/fees, including commitment fees, collected for services rendered as in: a. handling of loans transactions and returned checks b. sale of manager's checks. 78. FEES/COMMISSIONS OTHERS [5-0-08-00] This represents fees and commissions earned and collected for services rendered in connection with the investment house functions of the bank such as underwriting, securities dealership and equity investments. 79. TRADING GAIN/(LOSS) [5-0-10-00] Trading Gain/(Loss) Government Securities This represents gain or loss on government securities traded in money market operations. Trading Gain/(Loss) Private Securities/Commercial Papers/Equity Securities This represents gain or loss on private securities/commercial papers/equity securities traded by the bank. Trading Gain/(Loss) Financial Futures/Options/Forwards/Swaps Trading Gain/(Loss) Financial Futures/Options/Forwards/Swaps Foreign Regular This represents trading profits and losses (both realized and "Mark-to-Market") arising from financial futures/options/forward/swap trading transactions. This shall be recorded at its local currency with its corresponding foreign currency equivalent, if any. Trading Gain/(Loss) Financial Futures/Options/ Forwards/Swaps FCDU/EFCDU This represents trading profits and losses (both realized and "Mark-to-Market") arising from financial futures/options/forward/swap trading transactions. This shall be recorded at its foreign currency amount. 80. FOREIGN EXCHANGE PROFIT/(LOSS) [5-0-12-00] Foreign Exchange Profit/(Loss) This represents realized profit or actual loss incurred on foreign exchange transactions, including profit or loss arising from the adjustment of the peso equivalent of foreign monetary accounts consisting of foreign currencies on hand, due from foreign banks and short-term (collectible/payable within one year) receivables/payables. Sub-controls should be maintained from actual profit/(loss) and profit/(loss) arising from revaluation. Foreign Exchange Profit/(Loss) FCDU/EFCDU This represents realized profit or actual loss incurred on foreign exchange transactions under the FCDU system, including profit or loss arising from the adjustment of the peso equivalent of foreign monetary accounts consisting of foreign currencies on hand, due from foreign banks and short-term (collectible/payable within one year) receivables/payables which shall be recorded at their foreign currency amounts. Sub-controls should be maintained from actual profit/(loss) and profit/(loss) arising from revaluation. 81. GOLD TRADING GAIN/(LOSS) [5-0-14-00] This represents profit or loss arising from gold trading transactions. 82. PROFIT/(LOSS) ON SALE OR REDEMPTION OF INVESTMENTS [5-0-16-00] This represents profits earned or loss incurred on the sale or redemption of investments. 83. INCOME/(LOSS) TRUST DEPARTMENT [5-0-18-00] This represents commissions and other income earned and collected or loss suffered by the bank's Trust Department in the handling/administration of trust accounts. (Refer to Manual of Accounts Trust Department for details). 84. OTHER INCOME a. Rental Income [5-0-20-00] 1) Rental Income Safe Deposit Box [5-0-20-02] This represents the earned portion of rental collected in advance from lessees of safe deposit boxes. 2) Rental Income-Bank Premises & Equipment [5-0-20-04] This represents rental earned and actually collected from lessees on bank premises and equipment. b. Miscellaneous Income/(Loss) [5-0-22-00] Miscellaneous Income/(Loss) This represents income or loss which cannot be appropriately classified under any of the foregoing income/loss accounts. Miscellaneous Income/(Loss) FCDU/EFCDU This represents income or loss under the FCDU system which cannot be appropriately classified under any of the foregoing income/loss accounts and which shall be recorded at their respective foreign currency amounts. EXPENSE ACCOUNTS 85. INTEREST EXPENSE [6-0-02-00] a. Interest Expense on Deposits [6-0-02-02] Interest Expense Demand Deposits This represents payments and/or monthly accruals of interest on demand deposit accounts. Interest Expense Demand Deposits FCDU/EFCDU This represents payments and/or monthly accruals of interest on demand deposits under the FCDU system which shall be recorded at their foreign currency amounts. Interest Expense Savings Deposits This represents payments and/or monthly accruals of interest on savings deposits. Interest Expense Savings Deposits FCDU/EFCDU This represents payments and/or monthly accruals of interest on savings deposits under the FCDU system which shall be recorded at their foreign currency amounts. Interest Expense "NOW" Accounts This represents payments and/or monthly accruals of interest on "NOW" accounts. Interest Expense Time Certificates of Deposits This represents payments and/or monthly accruals of interest on time-certificates of deposits. Interest Expense Time Certificates of Deposits FCDU/EFCDU This represents payments and/or monthly accruals of interest on time certificates of deposits under the FCDU system which shall be recorded at their foreign currency amounts. b. Interest Expense on Borrowed Funds [6-0-02-04] Interest Expense Bills Payable Bangko Sentral ng Pilipinas This represents payments and/or monthly accruals of interest on the outstanding obligations of the bank with the Bangko Sentral ng Pilipinas. aSAHCE Interest Expense Bills Payable Interbank Borrowings Interest Expense-Interbank Loans Payable This represents payments of interest on interbank loans. Interest Expense Bills Payable Local Banks This represents payments and/or monthly accruals of interest on outstanding bills payable to local banks. Interest Expense Bills Payable Foreign Banks This represents payments and/or monthly accruals of interest on bills payable to foreign banks which shall be recorded at their foreign currency amounts and at their local currency equivalent at the applicable rate of exchange on transaction dates. Interest Expense Bills Payable Deposit Substitutes This represents payments and/or monthly accruals of interest on money market borrowings/quasi-banking transactions. Interest Expense Bills Payable Others Interest Expense Bills Payable Others-Domestic Interest Expense Bills Payable Non-Banks This represents payments and/or monthly accruals of interest on outstanding bills payable to non-bank financial intermediaries. Interest Expense Bills Payable Private Firms and Individuals This represents payments and/or monthly accruals of interest on outstanding bills payable to individuals and other private firms (other than banks and non-bank financial intermediaries). Interest Expense Bills Payable Others This represents payments and/or monthly accruals of interest on outstanding local bills payable which cannot be appropriately classified under any of the foregoing "Interest Expense Bills Payable" accounts. Interest Expense Bills Payable Others Foreign Interest Expense Bills Payable Others Foreign Regular This represents payments and/or monthly accruals of interest on outstanding foreign borrowings other than those obtained from foreign banks which shall be recorded at their foreign currency amounts and at their local foreign currency equivalent at the applicable rate of exchange on transaction dates. Interest Expense Bills Payable Others FCDU/EFCDU This represents payments and/or monthly accruals of interest on bills payable to foreign and local banks under the FCDU system which shall be recorded at their foreign currency amounts. c. Interest Expense on Bonds Payable (for EKBs) [6-0-02-06] This represents payments and/or monthly accruals of interest on issued and outstanding bonds. d. Interest Expense Others [6-0-02-08] This represents payments and/or monthly accruals of interest other than on deposits and borrowed funds, such as the interest portion of amortization payments on the purchase of fixed assets on installment basis. 86. FINANCE CHARGES [6-0-04-00] This represents payments of finance and other charges on loans obtained, placements, promissory notes issued and other forms of obligations. 87. COMPENSATION/FRINGE BENEFITS [6-0-06-00] a. Salaries and Wages [6-0-06-02] This represents the gross remuneration of officers and employees for regular and overtime services rendered. b. Fringe Benefits Directors [6-0-06-04] This represents expenses for allowances and other fringe benefits granted to directors in accordance with management policy such as bonuses, profits shared and medical, dental and hospitalization benefits. c. Fringe Benefits Officers and Employees [6-0-06-06] This represents expenses for allowances and other fringe benefits granted to officers and employees in accordance with management policy such as bonuses, profits shared, including those for special studies/seminars, but excluding medical, dental and hospitalization benefits. d. Directors' Fees [6-0-06-08] This represents per diems and fees granted to directors in accordance with management policy. e. SSS, Medicare and Employees' Compensation Premiums and Pag-IBIG Fund Contributions [6-0-06-10] This represents the bank's share in the Social Security System, Medicare, Employees' Compensation premiums and Pag-IBIG Fund contributions of its officers and employees. f. Medical, Dental and Hospitalization [6-0-06-12] This represents expenses for medical and dental services, including cost of medicines, hospital bills and other related expenses incurred by the bank, in accordance with management policy for and in behalf of its officers and employees and their dependents. g. Contributions to Retirement/Provident Fund [6-0-06-14] This represents the bank's contributions to the retirement/provident fund or any similar fund for its personnel. 88. MANAGEMENT AND OTHER PROFESSIONAL FEES [6-0-08-00] This represents expenses for services rendered by individuals/firms on a retainer/contractual basis such as the managing company, legal counsel, external auditors and consultants. 89. BANKING FEES [6-0-10-00] This represents the bank's share in the cost of maintaining the appropriate supervising and examining department of the Bangko Sentral. 90. FINES, PENALTIES AND OTHER CHARGES [6-0-12-00] This represents fines, penalties and other charges imposed on the bank under existing rules and regulations such as fines/penalties for reserve deficiencies and late submission of reports. 91. TAXES AND LICENSES [6-0-14-00] This represents expenses for taxes and licenses other than income tax such as corporate residence tax, motor vehicles registration fee, privilege tax, firearms tax, gross receipts tax and other taxes. 92. INSURANCE [6-0-16-00] Insurance Philippine Deposit Insurance Corporation (PDIC) This represents expenses for insurance premiums to the Philippine Deposit Insurance Corporation (PDIC) pursuant to Republic Act No. 3591, as amended. Insurance Philippine Crop Insurance Corporation (PCIC) This represents the bank's share in the premium on insurance covering production loans for palay under the supervised credit program which shall be remitted to the Philippine Crop Insurance Corporation (PCIC). Insurance Others This represents payments and monthly amortizations of premiums on insurance such as banker's blanket and fidelity bond, fire insurance and workmen's compensation coverage. 93. DEPRECIATION/AMORTIZATION [6-0-18-00] a. Depreciation Bank Premises Buildings [6-0-18-02] This represents the monthly depreciation of the bank's buildings. b. Depreciation Bank Premises Appraisal Increment Buildings [6-0-18-04] This represents the monthly depreciation of the bank's buildings appraisal increment. c. Depreciation Furniture, Fixtures and Equipment [6-0-18-06] This represents the monthly depreciation of the bank's furniture, fixtures and equipment. Sub-control accounts should be maintained for local and abroad. d. Amortization Leasehold Rights and Improvements [6-0-18-08] This represents the monthly amortization of leasehold rights and improvements. Sub-control accounts should be maintained for local and abroad. e. Amortization Deferred Charges [6-0-18-10] This represents the monthly amortization of deferred charges, except rent and insurance, for which specific accounts have been provided. 94. LITIGATION/ASSETS ACQUIRED EXPENSES [6-0-20-00] This represents expenses in connection with the litigation proceedings and the registration/consolidation of ownership of acquired assets in the name of the bank, as well as those incurred in their preservation/maintenance. 95. BAD DEBTS WRITTEN-OFF [6-0-22-00] Bad Debts Written-Off This represents loans, advances and other accounts which management has finally determined to be worthless/uncollectible and written-off from the books in accordance with generally accepted procedures and existing rules and regulations. Bad Debts Written-Off FCDU/EFCDU This represents loans, advances and other accounts under the FCDU/EFCDU system which management has finally determined to be worthless/uncollectible and written-off from the books in accordance with generally accepted procedures and existing rules and regulations. These items shall be recorded at their foreign currency amounts. 96. PROVISIONS [6-0-24-00] a. Provision for Probable Losses [6-0-24-02] Provision for Probable Losses This represents monthly provisions for bad and doubtful domestic accounts. Provision for Probable Losses FCDU/EFCDU This represents monthly provisions for bad and doubtful accounts under the FCDU system which shall be recorded at their foreign currency amounts. b. Provision for Year-End Expenses [6-0-24-04] This represents monthly provisions for year-end expenses such as bonuses and Christmas party and the like. This is a temporary account which shall be classified under/closed to the appropriate expense account(s) on or before the end of the accounting period. c. Provision for Income Tax [6-0-24-06] This represents monthly provisions for income tax. 97. OTHER EXPENSES a. Rent [6-0-26-00] This represents payments and monthly amortizations of rent for buildings, spaces and/or equipment leased by the bank for its business. b. Power, Light and Water [6-0-28-00] This represents expenses for power, light and water consumption. c. Information Technology Expenses [6-0-30-00] This represents expenses for the operation, maintenance and development of computer hardware and software. d. Fuel and Lubricants [6-0-32-00] This represents expenses for fuel and lubricants used for bank-owned/leased vehicles and other equipment. e. Travelling Expenses [6-0-34-00] This represents expenses for the official travel of directors, officers and employees such as fares, hotel bills, subsistence, porterage and tips. This account shall also include expenses of directors, officers and employees incurred for fuel and minor repairs in using their own vehicles for official travel. f. Repairs and Maintenance [6-0-36-00] This represents expenses for repairs and maintenance incurred to put the bank premises, furniture, fixtures and equipment in working condition but which do not prolong the estimated useful life of the asset or enhance the value thereof. g. Security, Clerical, Messengerial and Janitorial Services [6-0-38-00] This represents expenses for the services of security guards, clerks/tellers, messengers and janitors who are not employees of the bank and/or are hired on a contractual basis. h. Postage, Telephone, Cables and Telegrams [6-0-40-00] This represents expenses for postage, telephone services, cables and telegrams. i. Documentary Stamps Used [6-0-42-00] This represents expenses for documentary stamps used by the bank excluding those chargeable to customers. j. Stationery and Supplies Used [6-0-44-00] This represents expenses for printed forms, stationery and other office supplies used by the bank or issued from the stockroom to the different departments and branches of the bank excluding those chargeable to the customers. k. Periodicals and Magazines [6-0-46-00] This represents expenses for periodicals, magazines and other publications. l. Advertising and Publicity [6-0-48-00] This represents expenses for advertising and publicity such as handbills, pamphlets, billboards, brochures and giveaways. m. Representation and Entertainment [6-0-50-00] This represents the fixed allowances and/or actual expenses for public relations activities and business development of the bank. n. Membership Fees and Dues [6-0-52-00] This represents expenses for membership and dues to civic/bank associations or professional organizations of which the bank's officers and/or employees are members. o. Donations and Charitable Contributions [6-0-54-00] This represents donations and contributions to charitable organizations and other non-profit associations including contributions to victims of fire, typhoon and other natural calamities. p. Freight Expenses [6-0-56-00] This represents expenses incurred in the shipment or relocation of the bank's equipment, supplies and other properties. q. Brokerage Fees [6-0-58-00] This represents brokerage fees which are normally paid at liquidation of the futures contract. Rates are advised by the brokers. r. Miscellaneous Expenses [6-0-60-00] Miscellaneous Expenses This represents items which cannot be appropriately classified under any of the foregoing expense accounts. Miscellaneous Expenses FCDU/EFCDU This represents items which cannot be appropriately classified under any of the foregoing expense accounts under the FCDU system and which shall be recorded at their respective foreign currency amounts. 98. EXTRAORDINARY CREDITS/CHARGES a. Recovery on Charged-off Assets [7-0-02-00] Recovery on Charged-off Assets This represents collections of accounts or items previously written-off. Recovery on Charged-off Assets FCDU/EFCDU This represents collections of accounts or items previously written-off under the FCDU/EFCDU system which shall be recorded at their foreign currency amounts. b. Income on Assets Acquired [7-0-04-00] This represents income earned and actually collected on acquired assets. Memorandum entries of income collected shall be made on the individual subsidiary ledgers of the acquired assets. c. Profit/(Loss) from Assets Sold/Exchanged [7-0-06-00] This represents profit or loss arising from the sale and/or exchange of assets. d. Dividends Equity Investments [7-0-08-00] This represents cash dividends earned and received on equity investments. e. Other Extraordinary Credits/Charges [7-0-10-00] This represents other credits/charges that cannot appropriately be classified under any of the foregoing extraordinary items. APPENDIX A FOOTNOTE 1/ GUIDELINES ON REVALUATION Foreign currency-denominated assets, liabilities and forward contracts (including accounts of FCDU and branches abroad of domestic banks) shall be revalued in accordance with the following guidelines: 1. All monetary accounts, whether short-term or long-term, shall be revalued and foreign exchange profit/(loss) recognized therefrom. For purposes of revaluation, monetary accounts refer to foreign currencies on hand, due from foreign banks, receivables, payables and all other accounts to be received or paid in money. 2. Non-monetary accounts such as equity investments, bank premises, furniture, fixtures and equipment, fixed assets and other accounts not falling under the definition of monetary accounts under Item 1 above are to be carried at historical cost/exchange rate and should not be revalued. 3. Past due accounts should not be revalued. 4. Revaluation shall be done at least monthly, using the Philippine Dealing System Weighted Average Rate (PDSWAR) subject to the following conditions: For US Dollar Foreign Exchange Assets and Liabilities a. Use the PDSWAR for the day as the revaluation rate, provided the absolute differential of PDSWAR with the Philippine Dealing System Closing Rate (PDSCR) is less than or equal to 2% of PDSWAR; b. If the absolute differential of PDSWAR and PDSCR is greater than 2% of PDSWAR, use PDSCR as the revaluation rate if the following conditions are present: 1) Total transactions for the day should at least be equal to $20.0 million; and 2) The volume of last transaction for the day should at least be equal to 15% of the total transactions for the day. Otherwise, use PDSWAR as the revaluation rate. 3) If there are no transactions for the day, use the immediately preceding applicable revaluation rate. For Non-US Dollar Foreign Currency Assets and Liabilities For non-US dollar foreign currency (third currency) assets and liabilities, use the designated Peso/US Dollar revaluation rate (as determined in Item a above) against the relevant US dollar/third currency rate in the BSP Reference Exchange Rate Bulletin for the day. Revaluation entries passed at the end of the month may be reversed the following day. APPENDIX B-1 DEPOSIT LIABILITIES Sub-control accounts should be maintained for the following: a. Demand Deposits [2-1-02-02] Demand Deposits Private Demand Deposits Private Active This represents current accounts which are not dormant. Demand Deposits Private Dormant This represents current accounts which have no activity (deposits or withdrawals) for a period specified by the Board of Directors of the bank but which in no case shall be less than one (1) year. Demand Deposits Private Garnished This represents current accounts which are attached under court orders pending final disposition of the court cases involving the accountee-depositor. Demand Deposits Private Guaranty This represents current accounts assigned/pledged to secure credit accommodations granted by the bank. Demand Deposits Private Unclaimed Balances This represents current accounts held by the bank in favor of persons known to be dead or who have not made further deposits or withdrawals during the preceding ten (10) years or more which have not been reported to the Treasurer of the Philippines pursuant to the provisions of the Unclaimed Balances Act (Act No. 3936, as amended by Presidential Decree No. 679 dated April 2, 1975). Demand Deposits Banks Demand Deposits Banks Active This represents current accounts of banking institutions which are not dormant. Demand Deposits Banks Dormant This represents current accounts of banking institutions which have no activity (deposits or withdrawals) for a period specified by the Board of Directors of the bank but which in no case shall be less than one (1) year. Demand Deposits Government Demand Deposits Government Active This represents current accounts government which are not dormant. Demand Deposits Government Dormant This represents current account government which have no activity (deposits or withdrawals) for a period specified by the Board of Directors in no case shall be less than one (1) year. APPENDIX B-2 b. Savings Deposits [2-1-02-04] Savings Deposits Private Savings Deposits Private Active This represents savings deposit accounts which are not dormant. Savings Deposits Private Dormant This represents savings deposit account which have no activity (deposits or withdrawals) for a period specified by the Board of Directors of the bank but which in no case shall be less than two (2) years. Savings Deposits Private Garnished This represents savings deposit accounts which are attached under court orders pending final disposition of the court cases involving the accountee-depositor. AaDSTH Savings Deposits Private Guaranty This represents savings deposits assigned/pledged to secure credit accommodations granted by the bank. Savings Deposits Private Unclaimed Balances This represents savings deposit accounts held by the bank in favor of persons known to be dead or who have not made further deposits or withdrawals during the preceding ten (10) years or more which have not been reported to the Treasurer of the Philippines pursuant to the provisions of the Unclaimed Balances Act (Act No. 3936, as amended by Presidential Decree No. 679 dated April 2, 1975). Savings Deposits Banks Savings Deposits Banks Active This represents savings deposit accounts of banking institutions which are not dormant. Savings Deposits Banks Dormant This represents savings deposit accounts of banking institutions which have no activity (deposits or withdrawals) for a period specified by the Board of Directors of the bank but which in no case shall be less than two (2) years. Savings Deposits Government Savings Deposits Government Active This represents savings deposits government which are not dormant. Savings Deposits Government Dormant This represents savings deposits government which have no activity (deposits or withdrawals) for a period specified by the Board of Directors of the bank but which in no case shall be less than two (2) years. APPENDIX B-3 c. NOW Accounts [2-1-02-06] NOW Accounts -Active This represents NOW accounts which are not dormant. NOW Accounts Dormant This represents NOW accounts which have no activity (deposits or withdrawals) for a period specified by the Board of Directors of the bank but which in no case shall be less than two (2) years. NOW Accounts Garnished This represents NOW accounts which are attached under court orders pending final disposition of the court cases involving the accountee-depositor. NOW Accounts Guaranty This represents NOW accounts assigned/pledged to secure credit accommodations granted by the bank. NOW Accounts Unclaimed Balances This represents savings deposit accounts held by the bank in favor of persons known to be dead or who have not made further deposits or withdrawals during the preceding ten (10) years or more which have not been reported to the Treasurer of the Philippines pursuant to the provisions of the Unclaimed Balances Act (Act No. 3936, as amended by Presidential Decree No. 679 dated April 2, 1975). d. Time Certificates of Deposits (TCDs) [2-1-02-08] Time Certificates of Deposits (TCD) Private TCD Private Unmatured This represents the time certificates of deposits which have not matured. TCD Private Matured This represents matured time certificates of deposits which have not been renewed and/or withdrawn by the depositor. TCD Private Dormant This represents time certificates of deposits which have no activity for a period specified by the Board of Directors of the bank but which in no case shall be less than two (2) years. TCD Private Garnished This represents time certificates of deposits which are attached under court orders pending final disposition of the court cases involving the accountee-depositor. TCD Deposits Private Guaranty This represents time certificates of deposits assigned/pledged to secure credit accommodations granted by the bank. APPENDIX B-4 TCD Private Unclaimed Balances This represents time certificates of deposits held by the bank in favor of persons known to be dead or who have not made further deposits or withdrawals during the preceding ten (10) years or more which have not been reported to the Treasurer of the Philippines pursuant to the provisions of the Unclaimed Balances Act (Act No. 3936, as amended by Presidential Decree No. 679 dated April 2, 1975. Time Certificates of Deposits Banks TCD Banks Unmatured This represents the time certificates of deposits of banking institutions which have not matured. TCD Banks Matured This represents matured time certificates of deposits of banking institutions which have not been renewed and/or withdrawn by the depositor. TCD Banks Dormant This represents time certificates of deposit of banking institutions which have no activity for a period specified by the Board of Directors of the bank but which in no case shall be less than two (2) years. Time Certificates of Deposits Government This represents time certificates of deposits of the Philippine Government, its political subdivisions and/or government owned or controlled corporations. TCD Government Unmatured This represents the time certificates of deposits government which have not matured. TCD Government Matured This represents matured time certificates of deposits-government which have not been renewed and/or withdrawn by the depositor. TCD Government Dormant This represents time certificates of deposit-government which have no activity for a period specified by the Board of Directors of the bank but which in no case shall be less than two (2) years. ACCOUNT CODING SCHEME UNIFIED GENERAL LEGDER APPENDIX D MANUAL OF ACCOUNTS for TRUST AND OTHER FIDUCIARY BUSINESS and INVESTMENT MANAGEMENT ACTIVITIES ACCOUNT TITLE ASSETS 1. INVESTMENTS IN GOVERNMENT SECURITIES Accumulated Bond Discount Investments in Government Securities Accumulated Premium Amortization Investments in Government Securities 2. INVESTMENTS IN OTHER SECURITIES AND DEBT INSTRUMENTS Accumulated Bond Discount Investments in Other Securities and Debt Instruments Accumulated Premium Amortization Investments in Other Securities and Debt Instruments Allowance for Probable Losses Investments in Other Securities and Debt Instruments 3. LOANS AND DISCOUNTS a. Agricultural Loans and Discounts b. Commercial Loans and Discounts c. Industrial Loans and Discounts d. Real Estate Loans and Discounts e. Consumption Loans and Discounts f. Other Loans and Discounts g. Restructured Loans h. Past Due Loans i. Items in Litigation Allowance for Probable Losses Loans and Discounts 4. OTHER ASSETS a. Investments in Shares of Stock 1) Short-Term Equity Investments Stock Listed in the Stock Exchange Stock Not Listed in the Stock Exchange 2) Long-Term Equity Investments Allowance for Probable Losses Investments in Shares of Stock CTF Revaluation Account Investments in Shares of Stock b. Investments in Real Estate Allowance for Probable Losses Investments in Real Estate CTF Revaluation Account Investments in Real Estate c. Investments in Common Trust Funds 1) Own Trust Department 2) Other Institutions' Trust Department d. Real and Other Properties Acquired (ROPOA) in Settlement of Loans Allowance for Probable Losses ROPOA in Settlement of Loans e. Real Properties Administered f. Miscellaneous Receivables 1) Interest Receivable 2) Dividends Receivable 3) Rentals Receivable 4) Contributions Receivable 5) Sales Contracts Receivable 6) Other Miscellaneous Receivables Allowance for Probable Losses Miscellaneous Receivables g. Due From Bangko Sentral h. Deposits in Banks 1) Time Certificates of Deposits Own Bank 2) Time Certificates of Deposits Other Banks 3) Savings Deposits Own Bank 4) Savings Deposits Other Banks 5) Demand Deposits Own Bank 6) Demand Deposits Other Banks i. Cash j. Checks and Other Cash Items k. Miscellaneous Assets 1) Assets Under Custodianship/Safekeeping 2) Other Miscellaneous Assets l. FCDU/EFCDU Trust Assets 1) Investments in Government Securities 2) Investments in Other Securities and Debt Instruments 3) Investments in Common Trust Funds 4) Loans and Discounts 5) Peso Loans Under FCDU/EFCDU 6) Restructured Loans 7) Past Due Loans 8) Items in Litigation 9) Real and Other Properties Acquired in Settlement of Loans 10) Deposits in Banks 11) Foreign Currency Notes and Coins on Hand 12) Miscellaneous FCDU/EFCDU Assets Accumulated Bond Discount Accumulated Premium Amortization Allowance for Probable Losses FCDU/EFCDU Trust Assets m. Foreign Currency Assets Non-FCDU/EFCDU ACCOUNTABILITIES 1. PRINCIPAL a. TRUSTEESHIP AND OTHER FIDUCIARY ACCOUNTABILITIES 1) Administratorship 2) Bond Issues/Other Obligations Under Deeds of Trust or Mortgage 3) Custodianship and Safekeeping 4) Depository/Reorganization 5) Employee Benefit Plans Under Trust a) Pension Fund/Provident Fund b) Profit Sharing Plan c) Stock Bonus Plan d) Insurance Trust Plan 6) Escrow 7) Personal Trust a) Testamentary Trust b) Living Trust 8) Executorship 9) Guardianship 10) Life Insurance Trust 11) Pre-Need Plans a) Institutional b) Individual 12) Other Trust/Fiduciary Activities b. COMMON TRUST FUNDS ACCOUNTABILITIES c. INVESTMENT MANAGEMENT ACCOUNTS 1) Personal Investment Management Accounts 2) Corporate Investment Management Accounts a) Employee Benefit Plans Under Agency (1) Pension Fund/Provident Fund (2) Profit Sharing Plan (3) Stock Bonus Plan (4) Health Insurance Plan b) Other Corporate Investment Management Accounts 2. FCDU/EFCDU TRUST ACCOUNTABILITIES a. FCDU/EFCDU Common Trust Funds b. Individual FCDU/EFCDU Trust Accounts 3. INCOME 4. UNEARNED INCOME 5. OTHER ACCOUNTABILITIES 6. DEFERRED ITEMS CTF REVALUATION CONTRA ACCOUNT a. Investments in Shares of Stock b. Investments in Real Estate TRUST INCOME ACCOUNTS 1. FEES AND COMMISSIONS 2. OTHER INCOME TRUST EXPENSE ACCOUNTS 1. COMPENSATION/FRINGE BENEFITS 2. DEPRECIATION/AMORTIZATION 3. MANAGEMENT AND OTHER PROFESSIONAL FEES 4. TAXES AND LICENSES 5. OTHER EXPENSES a. Rent b. Power, Light and Water c. Postage, Telephone, Cables and Telegram d. Advertising and Publicity e. Miscellaneous Expenses TRUST AND OTHER FIDUCIARY ACCOUNTS (TOFA) COMMON TRUST FUNDS (CTF) INVESTMENT MANAGEMENT ACCOUNTS (IMA) ASSETS 1. INVESTMENTS IN GOVERNMENT SECURITIES This represents investments in government securities purchased outright from the issuer or other parties. This consists of evidences of indebtedness of the Republic of the Philippines and of the Bangko Sentral ng Pilipinas and any other evidences of indebtedness or obligations the servicing and repayment of which are fully guaranteed by the Republic of the Philippines. EHSITc Accumulated Bond Discount Investments in Government Securities Accumulated Premium Amortization Investments in Government Securities This represents the earned portion of the discount and/or the amortized or, expended portion of the premium on investments in government securities and shall be debited or credited, as the case may be, to this account every month or in the case of investments made by common trust funds, every time a valuation or pricing is made in accordance with the provisions of the approved plan for such funds. The corresponding contra account is debited or credited to the income accountability of the trustee, fiduciary or investment manager to the trustor or principal. Valuation Investments in Government Securities shall be recorded at: Cost if delivered at inception and during the life of trust, other fiduciary or investment management account by the trustor or principal, or if purchased by the trustee, fiduciary, or investment manager out of trust, other fiduciary or investment management funds, where discretionary authority to buy or sell is given to the trustee, fiduciary or investment manager; or Fair Market Value if received by way of an irrevocable trust or under executorship or administrative proceedings since this is the value used in the computation of donor's or estate tax. Financial Statement Presentation The total amount of Investments in Government Securities shall be shown as increased or decreased by the corresponding Accumulated Bond Discount or Premium Amortization, as the case may be. 2. INVESTMENTS IN OTHER SECURITIES AND DEBT INSTRUMENTS This represents investments in various types of securities, commercial papers and other debt instruments issued by private parties and those issued by political subdivisions and instrumentalities of the government including corporations owned or controlled by the government, the servicing and repayment of which are not guaranteed by the Republic of the Philippines. It also includes investments in money market or deposit substitute instruments issued by financial intermediaries with government or private securities or commercial papers as underlying security. Accumulated Bond Discount Investments in Other Securities and Debt Instruments Accumulated Premium Amortization Investments in Other Securities and Debt Instruments This represents the earned portion of the discount and/or the amortized or expended portion of the premium on the investments and shall be debited or credited, as the case may be, to this account every month or in the case of investments made by common trust funds, every time a valuation or pricing is made in accordance with the provisions of the approved plan for such funds. The corresponding contra account is debited or credited to the income accountability of the trustee, fiduciary or investment manager to the trustor or principal. Allowance for Probable Losses Investments in Other Securities and Debt Instruments This represents the amount set up to provide for losses which may arise from non-collection of investments in other securities and debt instruments as may be determined by the trustee, fiduciary or investment manager and/or as may be prescribed under rules and regulations of the Bangko Sentral ng Pilipinas on similar investments of the bank/investment house proper. The amount set up shall be charged against the income accountability of the trustee, fiduciary or investment manager to the trustor or principal. SDHTEC Valuation Investments in Other Securities and Debt Instruments shall be recorded at: Cost if delivered at inception and during the life of the trust, other fiduciary or investment management account by the trustor or principal, or if purchased by the trustee, fiduciary, or investment manager out of trust, other fiduciary or investment management funds, where discretionary authority to buy or sell is given to the trustee, fiduciary or investment manager, or at Fair Market Value if received by way of an irrevocable trust or under executorship or administrative proceedings since this is the value used in the computation of donor's or estate tax. Financial Statement Presentation The total amount of Investments in Other Securities and Debt Instruments shall be shown as increased or decreased by the corresponding Accumulated Bond Discount or Premium Amortization, as the case may be and net of the corresponding Allowance for Probable Losses. In the financial statements and reports to trustors and/or principals, the prevailing fair market value of the investments shall be shown parenthetically. 3. LOANS AND DISCOUNTS This represents amounts collectible from borrowers arising from claims for money lent that may include but need not be limited to money market loans, demand loans, time loans, bills discounted, real estate mortgage loans and bills purchased. The following sub-control accounts shall be maintained for Loans and Discounts: a. Agricultural Loans and Discounts representing loans and discounts to finance agricultural production and related activities, purchase of farm machinery, equipment and implements including work/breeding animals, including, but not limited to, the establishment and operation of poultry, piggery, livestock and fishery projects. b. Commercial Loans and Discounts representing loans and discounts to finance the purchase of goods or merchandise for resale. c. Industrial Loans and Discounts representing loans and discounts to finance the production, processing, transformation, handling and/or transportation of industrial products and/or conservation, enlargement or improvement of productive properties, or the acquisition of machinery or other fixed installations. d. Real Estate Loans and Discounts representing loans and discounts to finance and/or refinance the construction, acquisition, expansion, or improvement of rural and urban properties. e. Consumption Loans and Discounts representing loans and discounts to finance personal and household needs, such as purchase of cars, household appliances, furniture and fixtures and/or to pay taxes, hospital and educational bills. f. Other Loans and Discounts representing loans and discounts for purposes other that agricultural, commercial, industrial, real estate or consumption. g. Restructured Loans representing loans and discounts which are defined as restructured under existing rules and regulations of the Bangko Sentral ng Pilipinas. h. Past Due Loans representing loans and discounts which are defined as past due under existing rules and regulations of the Bangko Sentral ng Pilipinas. Loans classified as such shall remain in this account until arrangements are formalized for their renewal or extension. i. Items in Litigation representing loans and discounts for which collection/foreclosure cases have been filed in court or sheriffs office, as the case may be. The loan or discount shall remain in this account during the pendency of the proceedings or until full payment, foreclosure of the collateral, restructuring of the obligation, or such other disposition is made as would cause such proceedings to cease. Unless otherwise provided for in the trust/fiduciary agreement, all expenses incurred incidental to the litigation shall be charged to the corresponding income accountability of the trustee. The balance of such expenses, if any, shall be charged to the principal accountability. The corresponding memorandum entries shall be made on the individual subsidiary ledgers for these items and also for interest earned but not yet collected. Allowance for Probable Losses Loans and Discounts This represents the amount set up to provide for losses which may arise from non-collection of loans and discounts as may be determined by the trustee, fiduciary of investment manager, and/or as may be provided under the rules and regulations of the Bangko Sentral ng Pilipinas on similar loans of the bank or investment house proper. The amount set up shall be charged against the income accountability of the trustee, fiduciary or investment manager to the trustor or principal. Valuation Loans and Discounts shall be recorded at face amount net of principal collections. Financial Statement Presentation Loans and Discounts shall be shown net of the corresponding Allowance for Probable Losses. 4. OTHER ASSETS a. INVESTMENT IN SHARES OF STOCKS This represents investments in preferred and/or common shares of stock of corporations whether purchased from the stock exchanges or direct from the issuer. The following sub-control accounts shall be maintained for this account: 1) Short-Term Equity Investments representing investments in shares of stock intended to be sold, traded or disposed for profit. These are further classified as follows: Stock Listed in the Stock Exchange representing shares of stock listed and traded in the stock exchange. Stock Not Listed in the Stock Exchange representing shares of stock not listed in the exchange, which are traded over the counter or purchased directly from the issuer. 2) Long-Term Equity Investments representing investments in shares of stock of companies for purposes of control, affiliation or other continuing business advantages. Allowance for Probable Losses Investments in Shares of Stock This represents the amount set up to provide for possible losses that may arise on the investments as may be determined by the trustee, fiduciary or investment manager and/or as may be provided under rules and regulations of the Bangko Sentral ng Pilipinas on similar investments of the bank/investment house proper. The amount set up shall be charged against the income accountability of the trustee, fiduciary or investment manager to the trustor or principal. This account shall not be applicable to investments funded by common trust funds subject to periodic revaluation which shall utilize the succeeding account. CTF Revaluation Account Investments in Shares of Stock This represents the difference between the original cost and the value of investments made by common trust funds in shares of stock based on the method of valuation stated in the approved plan for such funds. Its reciprocal entries in the same amount shall be recorded as Deferred Items CTF Revaluation Contra Account. Upon the actual sale or disposition of an investment, reversing entries pertaining to said investment shall be made with the actual gain or loss in the investment taken up as an increase or decrease in the income accountability of the trustee of the common trust fund to the participants. Valuation Investments in Shares of Stock shall be recorded at: Cost if delivered at inception and during the life of the trust, other fiduciary or investment management account by the trustor or principal or if purchased by the trustee, fiduciary or investment manager out of trust, fiduciary or investment management funds where discretionary authority to buy or sell is given to the trustee, fiduciary or investment manager; Fair Market Value if received by way of an irrevocable trust or under executorship or administrative proceedings since this is the value used in the computation of donor's or estate tax; Nominal Value of P1.00 per stock certificate for stock dividends . Equity investments representing more than fifty percent (50%) of the voting stock of a single investee company shall be revalued using the equity method of accounting where the share in the earnings or losses is added to or subtracted from the asset account and the income accountability of the trustee, fiduciary or investment manager. The recording system shall, however, see to it that the original cost of the investments is maintained to allow disclosure of such information in the required reports. THESAD Financial Statement Presentation Investments in Shares of Stock shall be shown as a separate item at cost less the corresponding Allowance for Probable Losses. In the financial statements and reports to trustors or principals, Investments in Shares of Stock shown at cost or nominal value shall also show their corresponding prevailing fair market value parenthetically. Investments in Shares of Stock shown at book value under the equity method of accounting shall also show their corresponding cost parenthetically. In the case of common trust funds, Investments in Shares of Stock shall be shown at cost, plus or minus the corresponding CTF Revaluation Account indicating the basis of valuation provided in the CTF plan. b. INVESTMENTS IN REAL ESTATE This represents land, building and improvements thereon, including condominium projects held for investment purposes. Allowance for Probable Losses Investments in Real Estate This represents the amount set up for losses that may arise from the investments as may be determined by the trustee, fiduciary or investment manager and/or as may be provided under existing rules and regulations of the Bangko Sentral ng Pilipinas on similar investments of the bank/investment house proper. The amount set up shall be charged against the income accountability of the trustee, fiduciary or investment manager to the trustor or principal. This account shall not be applicable to investments funded by common trust funds subject to periodic revaluation which shall utilize the succeeding account. CTF Revaluation Account Investments in Real Estate This represents the difference between the original cost and the value of investments made by common trust funds in real estate based on the method of valuation stated in the approved plan for such funds. Its reciprocal entries in the same amount shall be recorded as Deferred Items CTF Revaluation Contra Account. Upon the actual sale or disposition of a real estate investment, reversing entries pertaining to said investment shall be made with the actual gain or loss in the investment taken up as an increase or decrease in the income accountability of the trustee of the common trust fund to the participants. HTDcCE Valuation Investments in Real Estate shall be recorded at: Cost if delivered at inception and/or during the life of the trust, other fiduciary or investment management account or if purchased or constructed by the trustee, fiduciary or investment management funds. Fair Market Value if received by way of an irrevocable trust or under executorship or administrative proceedings since this is the value used in the computation of donor's or estate tax. Financial Statement Presentation Investments in Real Estate shall be shown net of the corresponding Allowance for Probable Losses. In financial statements and reports to trustors or principals, the real estate investments shown at cost shall also show their prevailing fair market value parenthetically. In the case of common trust funds, Investments in Real Estate shall be shown at cost, plus or minus their corresponding CTF Revaluation Account indicating the basis of valuation provided in the CTF plan. c. INVESTMENTS IN COMMON TRUST FUNDS This represents the amount of investment or participation in common trust funds as may be allowed under existing rules and regulations (Subsections 1410.4, 2410.4, 3410.4 and 4410.4). The trustee, fiduciary or investment manager shall maintain records showing the prevailing book value of each investment in common trust funds based on the valuation reports submitted by the trustee of the CTF in accordance with the approved plan. The following sub-control accounts shall be maintained for the account: 1) Own Trust Department representing investments of funds administered by the trustee for its employees in the trustee's common trust funds. 2) Other Institutions' Trust Department representing investments in common trust funds administered by the trust department of other banks or investment houses or by trust corporations. Valuation Investments in Common Trust Funds shall be recorded at cost. Income or loss on the account shall be recorded upon withdrawal that will increase or decrease the income accountability of the trustee, fiduciary or investment manager to the trustor or principal. Financial Statement Presentation The amount of Investments in Common Trust Funds shall be shown as a separate item at cost. In financial statements and reports t her-principals, the prevailing book value of the investments in common trust fund as shown in the latest valuation report shall be disclosed parenthetically. d. REAL and OTHER PROPERTIES ACQUIRED IN SETTLEMENT OF LOANS This represents real and other properties acquired in settlement of loans by the trustee, fiduciary or investment manager for the account of the trustor or principal. Allowance for Probable Losses Real and Other Properties Acquired in Settlement of Loans This represents the amount set up to provide for losses on such properties as may be determined by the trustee, fiduciary or investment manager and/or as may be provided under the rules and regulations of the Bangko Sentral ng Pilipinas on similar properties of the bank/investment house proper. The amount set up shall be charged against the income accountability of the trustee, fiduciary or investment manager to the trustor or principal. Valuation Real and Other Properties Acquired in Settlement of Loans shall be recorded as the balance of the loan and other advances. All booked but uncollected interest receivable shall be reversed against the income accountability of the trustee, fiduciary or investment manager to the trustor or principal. Unless otherwise provided in the governing instruments, collections such as rental income and other types of receipts or fruits of the acquired properties shall be credited to income while expenses such as taxes, repairs, maintenance, insurance premiums shall be charged to the income account. Financial Statement Presentation Real and Other Properties Acquired in Settlement of Loans shall be shown at book value as stated above, net of the corresponding Allowance for Probable Losses. e. REAL PROPERTIES ADMINISTERED Real Properties Administered, as distinguished from Investments in Real Estate, represents land, building and all types of improvements thereon held by a trustee or fiduciary for the account of a trustor or principal for the purpose of administering such properties, such as to collect rent, proceeds from the sale of fruits of administered properties, pay taxes, repairs and maintenance. Appropriate records shall be kept for each real property regarding basic information, such as its prevailing fair market value, assessed value and real estate tax payments. Valuation Real Properties Administered shall be booked at I1.00 per title or document of ownership. Unless otherwise provided in the governing trust or fiduciary agreement, collections such as rental income and other types of receipts or fruits of the administered property shall be credited to income while administration expenses such as taxes, repairs, maintenance, insurance premiums shall be charged to the income account. Financial Statement Presentation Real Properties Administered are shown as a separate item in the Statement of Condition of the Trust Department and in the individual, financial statements and reports to trustors or principals. The prevailing market value of the property administered shall be disclosed parenthetically. f. MISCELLANEOUS RECEIVABLES 1) Interest Receivable This represents interest on loans, advances, bonds and other interest-bearing securities or instruments earned, as allowed under existing rules and regulations, but not yet collected or received. The account is reduced when interest is collected or whenever a corresponding loan account becomes past due under the rules of the Bangko Sentral ng Pilipinas, in which case, the amount credited is charged to the income accountability of the trustee, fiduciary or investment manager to the trustor or principal. 2) Dividends Receivable This represents cash dividends on investments in stocks that have been earned but not yet collected or received. 3) Rentals Receivable This represents rentals on properties under lease already earned but not yet collected or received. 4) Contributions Receivable This represents contributions from pension, retirement and other similar plans already due but not yet collected or received. 5) Sales Contracts Receivable This represents the balance of the selling price of an asset or property acquired, which is sold on installment basis under a duly executed agreement to sell, title of which is transferred to the buyer upon full payment of the installments due. Any loss on the sale shall be charged immediately to the income accountability of the trustee, fiduciary or investment manager to the client. The balance of such loss, if any, shall be charged to the principal accountability. 6) Other Miscellaneous Receivables This represents claims or receivables which cannot be appropriately classified under any of the foregoing Miscellaneous Receivable accounts. These claims or receivables may be evidenced by promissory notes or other written instruments. Allowance for Probable Losses Miscellaneous Receivables This represents the amount set up to provide for non-collection of any account lodged as Miscellaneous Receivables as may be determined by the trustee, fiduciary or investment manager and/or as may be provided under the rules and regulations of the Bangko Sentral ng Pilipinas on similar accounts of the bank/investment house proper. The amount set up shall be charged against the income accountability of the trustee, fiduciary or investment manager to the trustor or principal. Valuation The foregoing accounts shall be recorded at face amount. Financial Statement Presentation Each of the foregoing accounts shall be shown separately under the Miscellaneous Receivables classification together with the corresponding Allowance for Probable Losses to show the net amount. g. DUE FROM BANGKO SENTRAL This represents the balance of the special deposit account in local currency maintained with the Bangko Sentral exclusively to meet the reserve requirements of peso denominated common trust funds and other similarly managed funds. h. DEPOSITS IN BANKS This represents the balance of trust, other fiduciary or investment management funds maintained in own or other banks in the form of time, savings and/or demand deposits. The account excludes the balance of such funds maintained with closed banks and banks under receivership or liquidation. The following sub-control accounts shall be maintained for this account: 1) Time Certificates of Deposits Own Bank representing balances of trust, other fiduciary and investment management funds maintained in own bank in the form of time deposits. 2) Time Certificates of Deposits Other Banks representing balances of trust, other fiduciary and investment management funds maintained in other banks in the form of time deposits. 3) Savings Deposits Own Bank representing balances of trust and other fiduciary and investment management funds maintained in own bank in the form of savings deposits. ACcDEa 4) Savings Deposits Other Banks representing balances of trust, other fiduciary and investment management funds maintained in other banks in the form of savings deposits. bspcd2004 5) Demand Deposits Own Bank representing balances of trust, other fiduciary and investment management funds maintained in own bank in the form of demand deposits. 6) Demand Deposits Other Banks representing balances of trust, other fiduciary and investment management funds maintained in other banks in the form of demand deposits. Valuation Deposits in Banks shall be recorded at face amount. Financial Statement Presentation Deposits in Banks shall be shown as a separate item in the statements and reports of the trust or investment management department to trustors or principals. i. CASH This represents the total amount of trust, other fiduciary and investment management funds in the form of Philippine currency notes and coins held in the custody of an accountable officer or employee of the trust or investment management department of a bank or investment house. HIETAc Valuation Cash is recorded at face amount. Financial Statement Presentation Cash is shown as a separate item towards the end of statements and reports to trustors or principals since it usually forms part of the excess funds of trust, other fiduciary and investment management accounts. j. CHECKS AND OTHER CASH ITEMS This represents the aggregate value of checks and other cash items received during the day, for deposit the following business day to deposit accounts maintained with own bank or other banks that may consist of checks drawn on other banks, Philippine Postal Money Orders and Philippine Treasury Warrants. Valuation Checks and Other Cash Items shall be recorded at face amount. Financial Statement Presentation This account shall be shown as a separate item at face amount. k. MISCELLANEOUS ASSETS This represents assets which cannot be appropriately classified under any of the foregoing asset accounts. Subsidiary ledgers shall be maintained for each type of asset that may include the following: 1) Assets Under Custodianship/Safekeeping This represents stock certificates and bonds held under advisory capacity without any authority to buy or sell; or held for activities involving stock transfer, registration and other related or similar transactions. The trustee, fiduciary or investment manager shall maintain a complete list of the particulars of these items. 2) Other Miscellaneous Assets This represents other assets which may not be classified under the foregoing account. Valuation Miscellaneous Assets shall be recorded as follows: Cost if purchased by the trustee, fiduciary or investment manager out of trust, fiduciary or investment management funds; Appraised Value if delivered at inception of the trust, fiduciary or investment management account, discovered or delivered during the life of the trust, fiduciary or investment management account and/or acquired by donation. bspcd2004 Nominal Value of P1.00 per item or certificate if held for safekeeping or custodianship. bspcd2004 Nominal Value of P1.00 per client or trustor or principal for activities involving stock transfer, registration and other related or similar transactions. bspcd2004 Financial Statement Presentation Miscellaneous Assets shall be presented last of all assets held in local currency. Items shown at cost or nominal value shall indicate their prevailing fair market value parenthetically. l. FCDU/EFCDU TRUST ASSETS This represents all foreign currency assets allowed to be held in trust by a bank arising from its acceptance of trust accounts in eligible foreign currencies under its authority to operate a Foreign Currency Deposit Unit (FCDU) or an Expanded Foreign Currency Deposit Unit (EFCDU). The following sub-control accounts for each type of eligible foreign currency shall be maintained for this account the nature of which shall be the same as those described in the foregoing for similar peso-denominated trust asset accounts: 1) Investments in Government Securities 2) Investments in Other Securities and Debt Instruments 3) Investments in Common Trust Funds 4) Loans and Discounts 5) Peso Leans under FCDU/EFCDU 6) Restructured Loans 7) Past Due Loans 8) Items in Litigation 9) Real and Other Properties Acquired in Settlement of Loans 10) Deposits in Banks 11) Foreign Currency Notes and Coins on Hand 12) Miscellaneous FCDU/EFCDU Assets Accumulated Bond Discount Accumulated Premium Amortization Allowance for Probable Losses FCDU/EFCDU Trust Assets Valuation Each of the sub-control accounts shall be recorded in the same manner as their respective counterpart for peso-denominated regular trust accounts but recorded in the original foreign currency amount at transaction date. The total of the sub-control accounts shall correspond to the amount recorded in the main account. Financial Statement Presentation These accounts shall be presented in the Statement of Condition of the trust department at the original foreign currency amount and at their prevailing U.S. dollar and peso equivalent as at reporting date. In the individual statements to trustors, they shall be shown at their original foreign currency amount and at the prevailing US dollar equivalent as at reporting date. m. FOREIGN CURRENCY ASSETS NON-FCDU/EFCDU This represents all foreign currency assets other than those under FCDU/EFCDU which are held in trust. Subsidiary ledgers shall be maintained for each type of asset. Valuation Foreign currency Assets Non-FCDU/EFCDU shall be recorded at their original foreign currency values at transaction dates. Financial Statement Presentation Foreign Currency Assets Non-FCDU/EFCDU shall be presented at the original foreign currency values and at the prevailing US dollar and local currency equivalent as at reporting date. ACCOUNTABILITIES 1. PRINCIPAL This represents the property which has been set aside by the owner or the person legally empowered so that it is held in a trust, fiduciary or investment management capacity eventually to be delivered to a person entitled to such principal and the accumulated income derived therefrom. Main accounts to be maintained are: a. TRUSTEESHIP AND OTHER FIDUCIARY ACCOUNTABILITIES This represents the accountabilities of an institution to a client arising from a trust or fiduciary relationship, for which the following sub-control accounts shall be maintained. Excluded are common trust funds, investment management accounts and FCDU/EFCDU trust accounts which are separately classified though arising also from a trust or fiduciary relationship. Administratorship This represents the accountability of the trustee or fiduciary to trustors or principal under property. administration agreements or under orders of courts of competent jurisdiction to manage and distribute the estate of a decedent without a will or a testator who has no executor. The trustee or fiduciary may be empowered to perform some specific functions, such as enter into contracts of lease, collect rentals due to the property and to pay taxes that may be levied thereon. Bond Issues/Other Obligations Under Deeds of Trust or Mortgage This represents the accountability of the trustee under mortgage trust agreements whereby the trustee holds properties which are the subject of mortgage or collateral for bond issues or other obligations. Custodianship and Safekeeping This represents the accountability of the trustee or fiduciary with the trustor or principal under custodianship and safekeeping agreements or on orders of courts of competent jurisdiction whereby the trustee or fiduciary keeps in its possession tangible properties or titles to such properties, choses in action and other titles or documents of ownership. SCDaET Depository and Reorganization This represents the accountability of the trustee or fiduciary under agreements whereby the trustee or fiduciary is the depository of a company's assets and properties prior to its reorganization. Usually, the trustee is also in charge of reorganization of a company which may be in process of merger, consolidation or spin-off. Employee Benefit Plans Under Trust This represents corporate trust arrangements wherein the beneficiaries are employees of corporations. These may be classified as follows: Pension Fund/Provident Fund This represents the accountability of the trustee under agreements whereby the trustee holds funds accumulated from a corporation or its employees, or both, to be used for monthly or other periodical payments to retired or incapacitated employees of such corporation. Profit Sharing Plan This represents the accountability of the trustee under a profit sharing plan whereby the employees of a corporation shall receive a share in the net profits of the business, in addition to their salaries and wages. This does not include stock bonus. Stock Bonus Plan This represents the accountability of the trustee under a stock bonus plan whereby the employees of a corporation shall receive benefits in the form of the corporation's own shares of stock as a reward for meritorious services as a means of sharing profits of the said corporation. Insurance Trust Plan This represents the accountability of the trustee under an insurance trust plan whereby the employees of a corporation or their dependents shall receive benefits in case of disability or death of said employees. Escrow This represents the accountability of an entity (escrow agent) with principal under escrow agreements or under orders of courts of competent jurisdiction whereby the entity (escrow agent) holds money, securities or property deposited by the principal, the eventual delivery of which to a third part is contingent upon the happening of a certain event or upon the action taken by the second party. Personal Trust This represents the accountability of the trustee to trustor under an estate planning scheme mainly for the administration and disposition of the trustor's property during his lifetime and at his death, usually set forth in his will. The following subsidiary ledgers shall be maintained: Testamentary Trust This is a trust created by a Will . It does not become operative until after the death of the trustor. Under a testamentary trust, a person may transfer legal title to the property to a trustee to hold and manage for the benefit of a third person(s). Living Trust This is a trust created by Agreement. Under a living trust, the trustor creates a separate trust estate out of his general estate, to be managed by the trustee, for the benefit of the trustor and/or third person(s). Executorship This represents the accountability for court trust assets held by a trustee designated in a will as executor to carry out the testator's last will in settling his estate. Guardianship This represents the accountability of the trustee or fiduciary appointed by a court for holding properties or the estate of an incompetent or irresponsible person. Life Insurance Trust This represents the accountability of the trustee to a trustor under life insurance trust agreements whereby the trustor makes his life insurance policies payable to the trustee who shall handle and distribute the proceeds thereof in accordance with such agreements. Pre-Need Plans Institutional This represents the accountability of a trustee to corporate-trustors which operate pre-need plans and are required by government regulatory agencies to maintain trust accounts for such activities. Individual This represents the accountability of a trustee to a trustor (natural person) who puts up his own fund for the future needs of beneficiaries as for education, hospitalization, funeral and other expenses. Other Trust/Fiduciary Activities This represents the accountability of the trustee/fiduciary for whatever agreements the nature of which may not be classified under any of the foregoing. b. COMMON TRUST FUNDS This represents the accountability of the trustee under established commingled or common trust plans or any other similar arrangement which partake of the collective investment or the pooled fund nature of common trust funds where the trustee has discretionary authority to invest the commingled funds of participating trustors in assets enumerated in the covering agreement. ACcaET c. INVESTMENT MANAGEMENT ACCOUNTS This represents the accountability of the investment manager under terms provided in agreements whereby the client who is the principal grants the institution which is the investment manager authority to invest funds in certain assets. The following sub-control accounts shall be maintained for this account: 1) Personal Investment Management Accounts where the principal is a natural person; 2) Corporate Investment Management Accounts where the principal is a juridical person. This account shall be further classified as follows: Employee Benefit Plans Under Agency This represents any employee benefit plan or an employer-entity administered by its own board of trustees for which the financial institution is designated as investment manager. These benefit plans may be in the form of pension or provident funds, profit sharing, stock bonus or health insurance, the nature of which, except for the trust relationship, are the same as earlier described under Employee Benefit Plans Under Trust. Other Corporate Investment Management Accounts This represents investment management accounts which may not be classified in the foregoing account. 2. FCDU/EFCDU TRUST ACCOUNTABILITIES This represents the accountability of a bank as trustee of foreign currencies received in trust under the bank's authority to operate a foreign currency deposit unit or an expanded foreign currency deposit unit for which the following sub-control accounts shall be maintained: a. FCDU/EFCDU Common Trust Funds representing the accountability of the trustee under established common trust plans for FCDU/EFCDU deposits received as trust accounts or under any similar arrangement which partake of the collective investment or pooled fund nature of common trust funds. b. Individual FCDU/EFCDU Trust Accounts representing the accountability of the trustee under individual trust agreements for FCDU/EFCDU deposits received as trust accounts. Valuation Principal shall be recorded at the corresponding asset value of the property delivered by the client to the trustee or fiduciary. Income derived from the principal may be closed annually to the principal accountability of the trustee or fiduciary only upon the express written authority from the client or his authorized representative. aCTcDS Expenses and provisions against assets that exceed the outstanding balance of the income accountability shall be deducted from the principal. FCDU/EFCDU Trust Accountabilities shall be recorded at their original foreign currency amount. Financial Statement Presentation Principal shall be the first item among the accountabilities of the trustee or fiduciary. FCDU/EFCDU Trust Accountabilities shall be presented in the Statement of Condition of the trust department at the original foreign currency amount and at the prevailing US dollar and peso equivalent. In statements and reports to trustors, this account is shown at the original foreign currency amount and at the prevailing U.S. dollar equivalent. 3. INCOME This represents the net yield in money or property from the use of the principal. Except in the case of "Custodianship and Safekeeping", each of the foregoing Principal accounts shall have a corresponding Income account. The account shall be increased by any of the following : a. Rental of real or personal property b. Interest on money lent or deposited c. Cash dividends on shares of stock other than those where the equity method of accounting is used d. Share in the income of an investee company under the equity method of accounting e. Profits from sale of assets f. Earned discounts from purchased bonds or securities g. Sale of the fruits of administered properties The account shall be decreased by any of the following : a. Expenses incurred in connection with the administration, management, or preservation of property b. Share in the loss of an investee company under the equity method of accounting c. Losses from sale of assets d. Premium amortization from purchased bonds or securities e. Provision for probable losses or direct write-off of worthless loans, investments and other asset held in trust f. Taxes paid Valuation Income is stated at the amount at which they are collected/paid or to be collected/paid. Income on FCDU/EFCDU Trust Accounts is recorded at the original foreign currency amount. Financial Statement Presentation Income shall be presented immediately after principal. In financial statements and reports to trustors or principals, items added to and deducted from the account shall be adequately explained. Income of FCDU/EFCDU Trust Accounts shall be presented in the Statement of Condition of the trust department at the original foreign currency amount and at the prevailing U.S. dollar and peso equivalent. In statements, and reports to trustor, it is presented at the original foreign currency amount and at the prevailing U.S. dollar equivalent. 4. UNEARNED INCOME This represents the unearned portion of interest or discount on loans, bonds and other debt instruments collected in advance which shall be amortized monthly to the income accountability of the trustee/fiduciary for the earned portion. In the case of common trust funds, the amortization to the income accountability shall be in accordance with the established plan of the fund. This represents also unrealized profits from the sale of assets under Sales Contracts Receivable. Upon receipt of payment, the proportionate amount of profits shall be credited to the income accountability of the trustee, fiduciary or investment manager to the client. Financial Statement Presentation The shall be shown as a separate item among the accountabilities of the trustee or fiduciary. 5. OTHER ACCOUNTABILITIES This represents the accountability of the trustee, fiduciary or investment manager for items or transactions, which cannot be appropriately classified under any of the foregoing accountability accounts. Appropriate sub-control accounts shall be maintained. Financial Statement Presentation This account shall be shown as a separate item. 6. DEFERRED ITEMS CTF REVALUATION CONTRA ACCOUNT This is the reciprocal account of the CTF Revaluation Account which represents the difference between the original cost and the value of investments made by common trust funds methods provided in the approved plan for such funds. It is reversed upon the actual sale or disposition of any of such investments. The following sub-control accounts shall be maintained for this account: a. Investments in Shares of Stock for CTF investments in equity shares. b. Investments in Real Estate for CTF investments in real properties. Valuation Amounts booked under this account shall be based on the valuation method stated in the approved plan for the common trust fund. TDAHCS Financial Statement Presentation This item is presented in financial statements and reports to common trust fund participants after the Common Trust Fund Principal and Income accounts. TRUST INCOME 1. FEES AND COMMISSIONS This represents fees and commissions earned and collected for services rendered under trust and other fiduciary business and investment management activities. 2. OTHER INCOME This represents other income earned and collected for services rendered under trust and other fiduciary business and investment management activities. TRUST EXPENSES 1. COMPENSATION/FRINGE BENEFITS This represents the salaries and wages, fringe benefits and other expenses of the Trust Department's directors, officers and employees for services rendered in the handling/administration of trust accounts. 2. DEPRECIATION/AMORTIZATION This represents the monthly depreciation of the building, furniture, fixtures and equipment and monthly amortization of leasehold rights and improvements and deferred charges in connection with the handling/administration of trust accounts. 3. MANAGEMENT AND OTHER PROFESSIONAL FEES This represents expenses for services rendered by individuals/firms on a retainer/contractual basis such as legal counsel, external auditors and consultants. ADCETI 4. TAXES AND LICENSES This represents expenses for taxes and licenses other than income tax incurred in connection with the handling/administration of trust accounts. 5. OTHER EXPENSES a. Rent This represents payments and monthly amortizations of rent for buildings, spaces and/or equipment leased by the Trust Department for its business. b. Power, Light and Water This represents expenses for power, light and water consumption. c. Postage, Telephone, Cables and Telegram This represents expenses for postage, telephone services, cables and telegrams. d. Advertising and Publicity This represents expenses for advertising and publicity such as handbills, pamphlets, billboards, brochures and giveaways. e. Miscellaneous Expenses This represents items which cannot be appropriately classified under any of the foregoing expense accounts. ANNEX 2 MANUAL OF UNIFIED REPORTS for EXPANDED COMMERCIAL BANKS (EKBs) and COMMERCIAL BANKS (KBs) TABLE OF CONTENTS I. OVERVIEW II. GL/SL DATA A. General Ledger Accounts B. Subsidiary Ledgers III. TRUST ACCOUNTS A. General Ledger Accounts B. Subsidiary Ledgers IV. TRANSACTION REPORTS V. SPECIAL FORMS OVERVIEW The GL/SL Reporting Scheme For Commercial Banks I. Overview In line with the objective of the Bangko Sentral ng Pilipinas to rationalize and simplify preparation of reports required of commercial banks, the Monetary Board, in 1994, approved revisions in reports submission as recommended by the Computerization Steering Committee. The first phase of the reports rationalization initiated changes in frequency of submission of certain reports. The second phase covers the simplification and merging of related reports. The third phase is the shift to the General Ledger/Subsidiary Ledger type of reporting and the corresponding revision of the Chart of Accounts to reflect the data called for in the proposed structure of reports. Data transmission shall be through communication lines linking the reporting banks and the BSP. The Unified Reporting System for commercial banks has been categorized into four: General Ledger/Subsidiary Ledger Accounts (Stock Data) - General Ledger - Subsidiary Ledgers Trust Accounts - General Ledger - Subsidiary Ledgers Transaction Reports (Flow Data) Special Forms These shall serve as the main source of data for BSP departments requiring reports from commercial banks for supervision, monitoring, analytical and policy review purposes. II. General Principles 1. Source of data shall be identified by the bank code assigned to each reporting bank. 2. Data shall be submitted either on a consolidated basis (head office and all branches) or by banking unit. For data from a banking unit, these shall be identified by its assigned branch code. 3. Data shall be reported in peso amounts but for transactions involving foreign currency, the same shall be reported both in US$ and in peso equivalent amounts. For banks with foreign offices abroad, data shall be reported in the currency of their host country. 4. Access shall be on any given frequency as identified in the Usage and Frequency Matrix. III. General Ledger/Subsidiary Ledger Unified Reports The GL/SL Unified Report consists of general and subsidiary ledger accounts. The general ledger is comprised of real and nominal accounts which serve as the main/control account. Each GL account is assigned an account code which has been structured based on BSP requirements. For the account coding scheme, see Annex A (page 5 of this manual) and Appendix C of the Manual of Accounts. The subsidiary ledgers which serve as sub-control accounts shall always reconcile with the corresponding general ledger account. These were designed to cover all BSP information requirements on the following selected accounts: 1. Due From Other Banks/Head Office, Branches & Agencies 2. Interbank Loans and Accounts Receivable 3. Loans 4. Investments 5. Equity Investments 6. Deposit Liabilities/Due to Local Banks 7. Bills Payable 8. Various Liabilities 9. Contingent Accounts Under this reporting system, the fundamental accounting equation Assets = Liabilities + Capital shall be maintained. IV. Trust Accounts These include transactions of the bank's Trust Department in the administration, holdings and management of the funds and/or properties for the use, benefit or advantage of trustors or of other beneficiaries. Since the information required from trust accounts is very detailed, these shall be reported separately from the bank's regular transactions. There shall also be subsidiary ledgers for loans, investments and source of funds for trust. V. Transaction Reports These are transaction-based reports required on selected accounts. Some of these transactions are required to support movements in the balances of the general ledger accounts, i.e., Foreign Exchange transactions. The type of transactions and other indicative information about them are provided with standard codes to facilitate identification of specific transactions. These codes also serve as permanent access ID to a universal description reference library. Some of the codes presently used, such as the bank codes, country codes, currency codes, commodity codes, debtor/creditor codes and export/importer codes, FX invisible codes, shall still be adopted. EHACcT VI. Special Forms Special Forms contain data that are still required by BSP but are not included in the GL/SL unified reports for the following reasons: 1. Reports are required during examination period only. 2. Reports are required from selected banks only to serve as survey reports on interest rates on deposits. 3. Reports are required for publication. 4. Information is required to be certified by an officer of the bank in a written sworn statement. 5. Information is required to monitor special programs of the government. These Special Forms shall be submitted either in hard copies or in diskette form or through communication lines in the required frequency. VII. Implementation Approach Stage 1 - Effective June 3, 1996, commercial banks shall submit through communication lines via CC:Mail the reports on the Consolidated Daily Report of Condition (CDRC), the Consolidated Statement of Condition (CSOC) and the FED Form 1 which at present are being submitted in diskette form. Stage 2 - Effective January 1, 1997, commercial banks shall adopt the revised chart of accounts as compiled in the Manual of Accounts dated 1996. Stage 3 - Effective January 1, 1998, banks shall adopt the GL/SL type of reporting as compiled in the Manual of Unified Reports following these phases of implementation: Phase 1 Commercial banks shall transmit through communication lines the general ledger accounts of the GL/SL data and the general ledger accounts of the TRUST Accounts. BSP shall create data bases for these accounts and generate data for existing applications which shall be served by these accounts. As soon as implemented, banks shall drop submission of the affected reports required by Circular 29. Phase 2 In Phase 2, commercial banks shall transmit through communication lines the TRANSACTION REPORT forms in the required frequency. It is also in this phase that banks shall submit the SUBSIDIARY LEDGERS of the GL/SL Data and those of the TRUST Accounts in stages agreed upon by BSP and BAP. BSP shall create data bases for these accounts and generate data for existing applications and consequently, banks shall drop submission of the affected reports required by Circular 29. Phase 3 Commercial banks shall transmit through communication lines the SPECIAL forms in the required frequency. BSP shall create data bases for these reports and banks shall drop submission of all reports required by Circular 29. ANNEX A ACCOUNT CODING SCHEME Digit 1 - Major account classification 1 - Assets 2 - Liabilities 3 - Capital 4 - Contingent 5 - Income 6 - Expense 7 - Extraordinary Credits/Charges Digit 2 - Account sub-classification following the standard condensed statement format of BSP For Asset Accounts 1 - Cash and Due From Banks 2 - Loans and Discounts 3 - Investments 4 - Other Assets 7 - Valuation Reserves - Loans and Discounts 8 - Valuation Reserves - Investments 9 - Valuation Reserves - Other Assets For Liability Accounts 1 - Deposits 2 - Borrowings 3 - Other Liabilities For Capital Accounts 1 - Capital Stock 2 - Surplus 3 - Other Capital Accounts Digits 3 and 4 - represent the specific general ledger account Digits 5 and 6 - represent the sub-level of a general ledger account - accounts up to this level are defined in the Manual of Accounts All other account levels are considered as subsidiary ledger accounts. GL/SL DATA GENERAL LEDGER ACCOUNTS Template Data Structure GL/SL DATA SUBSIDIARY LEDGERS TABLE OF SUBSIDIARY LEDGERS Due From Other Banks/Head Office, Branches and Agencies Interbank Loans and Accounts Receivable Loans Investments Equity Investments Deposit Liabilities/Due to Local Banks Bills Payable Various Liabilities Contingent Accounts TRUST ACCOUNTS GENERAL LEDGER Template Data Structure TRUST ACCOUNTS SUBSIDIARY LEDGERS Loans Investments Source of Funds TRANSACTION REPORTS TABLE OF TRANSACTION REPORTS DAILY REPORTS Export Proceeds Import Payments Interbank Transactions Loan Availments/Acquisitions Loan Servicing Inward/Outward Investments Other Invisibles Acquisition/Disposition Export Negotiations Import LCs Opened and RGIs under DA/OA Money Market Transactions Spot and Forward FX Transactions MONTHLY REPORT Total Withdrawals From Deposits SPECIAL FORMS TABLE OF SPECIAL FORMS DAILY REPORT Survey on the Volume of and Weighted Average Interest Rates on Deposits SEMI-MONTHLY REPORT Inventory of O/S Options and Options Purchased/Sold and Terminated MONTHLY REPORTS Foreign Currency Cover Peso Deposits, Deposit Substitutes and Bills Payable on Selected Government Corporations and Their Subsidiaries Foreign Exchange Liabilities to Non-Residents 15% Inward Remittance of Net Due To Account O/S Financial Futures Contract and Financial Futures Bought and Sold QUARTERLY REPORTS Certification of No Interbank Transactions Loans Granted Under Special Financing Program Utilization of the 10% Loanable Funds Generated for Agrarian Reform Credit Utilization of the 15% Loanable Funds Generated for Agricultural Credit Total Collections From Loan Portfolio as of May 31, 1975 Reconciling Items Outstanding for More Than Six Months on the Due From/Due To Head Office, Branches and Agencies Accounts Computation of Capital to Risk Assets Ratio (Basle Guidelines) Foreign Guarantees SEMESTRAL REPORTS Due To Parent Firm/Bank and/or Other Subsidiaries/Affiliates Due To Head Office/Branches/Agencies Account Compliance with the Program of Withdrawal of Special Depository Privileges Stockholdings of Bank's Directors/Officers/Stockholders/Their Spouses/ Relatives in Borrowing Firms YEARLY REPORTS Consolidated Report on Undivided Profits and Surplus (Free) Accounts Reconciliation Statement Between Head Office and Branches Consolidated List of Stockholders and Their Stockholdings AS REQUIRED Written Approvals of Loans By Members of the Board of Directors Dividends Declared Bad Debts New Schedule of Banking Days/Hours Crimes and Losses Sworn Statement on Real Estate Transactions Notice/Application for Write-Off of Loans and Advances Biographical Data of Officers and Stockholders List of Members of the Board of Directors and Officers Published Statement of Condition Head Office and Branches Published Consolidated Statement of Condition - Bank and Financial Subsidiaries BSP Form No. NP01-KB Deadline: Twenty (20) banking days GL/SL System - 1996 from date of approval of loan whether direct or indirect granted to any bank director or officer Submission: DCB I/II _________________________ Name of Bank _________________________ Address (Date) (Addressee) Bangko Sentral ng Pilipinas Manila Gentlemen : Pursuant to Section 83 of the General Banking Act (Republic Act No. 337), we are submitting to you herewith copies of the written approvals of the majority of the members of the Board of Directors of (Name of Bank) with the corresponding certification of the Corporate Secretary typewritten on the reverse side thereof concerning the following accounts taken up at the regular meeting of the Board of Directors held on ____________________. 1. 2. 3. 4. 5. 6. 7. Please acknowledge receipt. Very truly yours, _________________________ (Signatory) Encls. Refer to Section 1333 of the Manual of Regulations for Banks and Other Financial Intermediaries for information on accomplishing this form. BSP Form No. NP01-KB GL/SL System - 1996 CERTIFICATION The undersigned, Corporate Secretary of (Name of Bank) , a commercial banking and trust corporation organized and existing under and in accordance with the laws of the Philippines, with principal offices at, (Address) , hereby certifies: 1. That at the regular meeting of the Board of Directors of the Bank held on (date) at which a majority of the Board was present, said Board approved the grant to (Name of Borrower) , a (Amount of Loan) , payable in _____ days, interest at _______% p.a., plus full service fee, discounted, against same shares of stock presently securing client's __________________. 2. That Messrs. _______________________________, Board Chairman and Directors, respectively, of the (Name of Bank) , are Board Chairman, Directors and/or officers, respectively, of (Name of Borrower) ; 3. That Messrs. ____________________________, although present at the said meeting, did not take part in the deliberations and abstained from voting upon the foregoing action of the Board; 4. That pursuant to Section 83 of the General Banking Act (Republic Act No. 337, as amended), members of the Board who approved the foregoing gave their approval in writing as shown on the reverse side hereof; and 5. That the signatures of the Directors appearing on the reverse side hereof are genuine. WITNESS the signature of the undersigned as such officer and the corporate seal of the ______________________ hereunto affixed this _____ day of ______________________, 19____. _______________________ Corporate Secretary BSP Form No. NP01-KB GL/SL System - 1996 WRITTEN APPROVAL In accordance with Section 83 of the General Banking Act (Republic Act No. 337), the undersigned, being a majority of the Board of Directors of (Name of Bank), hereby approve the grant to (Name of Borrower), (Amount of Loan), payable in ____________ days, interest at _______________ p.a., (state other conditions of loan approval) IN WITNESS WHEREOF, we have hereunto set our hands at _____________, Metro Manila, Philippines, this __________ day of _______________, 19____. __________________________ __________________________ __________________________ __________________________ __________________________ __________________________ __________________________ __________________________ __________________________ __________________________ BSP Form No. NP06-KB Deadline: Ten (10) banking days after approval of transactions GL/SL System - 1996 Submission: DCB I/II _________________________ Name of Bank _________________________ Address SWORN STATEMENT ON REAL ESTATE TRANSACTION REPUBLIC OF THE PHILIPPINES ) ) Pursuant to BSP Circular Letter dated February 11, 1975, we members of the Board of Directors of this Bank, do solemnly swear that the following are true and correct to the best of our knowledge and belief: A. That the accompanying copy of the agreement/contract involving the herein named directors/officers/stockholders owning 2% or more interest holding in the bank subscribed capital stock, is the true and same document executed and approved by us in our Resolution No. ______ dated __________, 19_____. 1. 2. 3. B. That such transaction has been thoroughly reviewed and verified as having been entered into in the best interest of the bank. _________________________ (Signature over Printed Name) Chairman of the Board _____________________ _____________________ _____________________ (Signature over Printed Name) (Signature over Printed Name) (Signature over Printed Name) Member Member Member _____________________ _____________________ _____________________ (Signature over Printed Name) (Signature over Printed Name) (Signature over Printed Name) Member Member Member SUBSCRIBED AND SWORN TO before me this _____ day of _____________, 19 ____ affiants exhibiting their Community Tax Certificates, shown below: Names CTC No. Place of Issue Date of Issue 1. ________________________________________________________________ 2. ________________________________________________________________ 3. ________________________________________________________________ 4. ________________________________________________________________ 5. ________________________________________________________________ 6. ________________________________________________________________ 7. ________________________________________________________________ 8. ________________________________________________________________ Doc. No. ______ ________________________ Page No. ______ NOTARY PUBLIC Book No. ______ Until December 31, 19___ Series of 19_____ BSP Form No. NP10-KB GL/SL System -1996 ______________________ Name of Bank ACKNOWLEDGMENT REPUBLIC OF THE PHILIPPINES ) ) S. S. We, ____________________ and ________________________ of the above-mentioned bank do solemnly swear that all matters set forth in the above statement of condition are true and correct to the best of our knowledge and belief. ___________________________ ___________________________ Senior Vice President President (Signature over Printed Name) (Signature Over Printed Name) SUBSCRIBED AND SWORN to before me this ____________ at _________________, affiant exhibiting to me their Community Tax Certificates No. ____________ issued at __________________ on __________________ and No. _____________________ issued at __________________ on __________________. ___________________ Notary Public Until________,19___ PTR No. ___________ ___________________ Doc. No. _____ Book No._____ Page No.______ Series of 19____ BSP Form No. NP11-KB GL/SL System - 1996 ____________________ Name of Bank ACKNOWLEDGMENT REPUBLIC OF THE PHILIPPINES) ) S.S. We, ______________________ and ______________________ of the above-mentioned bank do solemnly swear that all matters set forth in the above statement of condition are true and correct to the best of our knowledge and belief. ___________________________ __________________________ Senior Vice President President (Signature over Printed Name) (Signature Over Printed Name) SUBSCRIBED AND SWORN to before me this _____________ at _____________, affiant exhibiting to me their Community Tax Certificates No. _____________ issued at _____________ on _____________ and No. _____________ issued at _____________ on _____________. ___________________ Notary Public Until________,19___ PTR No. ___________ ___________________ Doc. No. _____ Book No._____ Page No.______ Series of 19____ ANNEX 3 DATA ON COMMERCIAL BANKS (EKB AND KB) USAGE and FREQUENCY MATRIX TABLE OF CONTENTS I. USAGE MATRIX Usage Legend GL/SL Balances Transactions II. FREQUENCY MATRIX GL/SL Balances Transactions USAGE LEGEND IR - International Reserve MS/BS - Monetary Survey/Banking Survey LOAN PORT. MGMT. - Loan Portfolio Management IFI STAT. CENTER - International Institutions Statistics Center SUP FEES - Supervisory Fees FS - Financial Statistics CARE MGMT. - Capital and Reserve Management BANK RATING - Bank Rating FS RATIOS - Financial Statement and Ratios FX LIABILITIES MGMT. - Foreign Exchange Liabilities and Debt Management USAGE MATRIX GL/SL BALANCES USAGE MATRIX Transactions FREQUENCY MATRIX GL/SL BALANCES FREQUENCY MATRIX TRANSACTIONS Footnotes 1. Refer to Guidelines on Revaluation in Appendix A.