Supplement to the Requirement on the Submission of Trust Fund Valuation and Compliance Report of Pre-need Companies

June 15, 2009 SEC MEMORANDUM CIRCULAR NO. 03-A-09 SUPPLEMENT TO THE REQUIREMENTS ON THE SUBMISSION OF TRUST FUND VALUATION AND COMPLIANCE REPORT OF PRE-NEED COMPANIES I. To facilitate full compliance with SEC Memorandum Circular No. 3, Series of 2009 ("Circular"), template forms have been designed and prepared for use in the evaluation to be conducted by the independent firm (Set 1) and in the updating of the baseline information by the pre-need companies (Set 2), as follows: TCcSDE Set 1 Templates for the Baseline Report (1) Schedule of Trust Fund Assets: Appendix 1-A (2) Schedule of Trust Fund Charges and Liabilities: Appendix 2-A (3) Schedule of Required and Actual Deposits: Appendix 3-A (4) Schedule of Withdrawals: Appendix 4-A (5) Evaluation Sheet on the Divestment Program: Appendix 5-A Set 2 Templates for the Quarterly Reports (1) Report on Trust Fund Assets: Appendix 1-B (2) Report on Trust Fund Charges and Liabilities: Appendix 2-B (3) Report on Required and Actual Deposits: Appendix 3-B (4) Report on Withdrawals: Appendix 4-B (5) Progress Report on the Divestment Program: Appendix 5-B (6) Monitoring Sheet on Findings of Non-Compliance: Appendix 6 II. The following clarifications are likewise issued relative to the implementation of the Circular: (1) The requirements of the Circular, shall cover all trustees, whether banks or non-banks, which hold trust fund assets of pre-need companies; (2) An accounting firm that will be engaged for the evaluation shall evaluate whether there is a possible threat to its independence by reason of its past or present audit or review engagement with the pre-need company or the trustee of the funds; TIaCcD (3) Section 4 (f) (vii) of the Circular should read as follows: "There are reimbursements by the trustee to the pre-need company for its alleged advances which based on documents were not used for the settlement of benefits of planholders." Issued this 15th day of June 2009, at Mandaluyong City, Philippines. (SGD.) FE B. BARIN Chairperson APPENDIX 1-A SCHEDULE OF TRUST FUND ASSETS APPENDIX 1-B REPORT ON TRUST FUND ASSETS APPENDIX 2-A SCHEDULE OF TRUST FUND CHARGES AND LIABILITIES APPENDIX 2-B REPORT ON TRUST FUND CHARGES AND LIABILITIES APPENDIX 3-A SCHEDULE OF REQUIRED AND ACTUAL DEPOSITS APPENDIX 3-B REPORT ON DEPOSITS FOR THE QUARTER APPENDIX 4-A SCHEDULE OF WITHDRAWALS APPENDIX 4-B REPORT ON WITHDRAWALS FOR THE QUARTER APPENDIX 5-A EVALUATION SHEET ON DIVESTMENT PROGRAM APPENDIX 5-B PROGRESS REPORT ON DIVESTMENT PROGRAM APPENDIX 6 MONITORING SHEET ON FINDINGS OF NON-COMPLIANCE