2004 - Asianbanks.net

Amount(In Thousands) %Parent Company2004 2003Amount(In Thousands) %Manufacturing:Consumer goods P=16,735,133 12.70 P=16,254,525 13.05Intermediate goods 14,472,086 10.98 13,961,635 11.21Capital goods 14,066,089 10.68 13,901,589 11.16Wholesale and retail 33,103,337 25.12 28,224,651 22.67Financial intermediation, renting andbusiness activities 14,055,066 10.67 14,498,877 11.65Transport, storage and communications 9,557,224 7.25 11,261,460 9.04Real estate 8,366,555 6.35 7,900,873 6.35Electricity, gas and water 7,057,083 5.36 3,169,573 2.55Other community, social and personalservices 6,622,684 5.03 7,651,584 6.15Mining and quarrying 1,938,217 1.47 987,552 0.79Agriculture, hunting and forestry 1,925,701 1.46 2,268,916 1.82Construction 1,287,505 0.98 1,937,715 1.56Others 2,572,637 1.95 2,500,767 2.00P=131,759,317 100.00 P=124,519,717 100.00The BSP considers that credit concentration risk exists when the total loan exposure to a particular industry oreconomic sector exceeds 30% of the total loan portfolio.Receivable from SPV represents the amount due from the sale of certain nonperforming assets (NPAs) of the ParentCompany to an SPV in 2004 (Note 28). The sale and purchase agreement was formalized in November 2004 andapproved in principle by the BSP in December 2004 having qualified as a true sale.The more significant terms of the sale are as follows:a. Certain NPAs of the Parent Company were purchased by the SPV for a total consideration of P=3.3 billion.b. The agreed purchase price of the NPAs was and shall be paid as follows:i. An initial amount of P=0.5 billion, booked as part of Accounts Receivable under Other Assets; andii.The balance of P=2.8 billion, through issuance of SPV Notes (the Notes), which shall be paidbased on a cashflow waterfall arrangement and interest rate of 20% per annum.- 57-