Total deposits reached P7.4 billion with total assets of P10.6 billion.
Full year earnings target was set between P18 million to P20 million as the commercial bank chaired by Antonio Cojuangco set its sights towards consolidation after its expansion efforts were delayed.
The BoC was looking at acquiring troubled banks Traders Royal Bank (TRB) and Urban Bank this year. However, full acquisition of TRB was only completed in the last quarter of the year while it withdrew its bid to gobble Urban Bank. The Export and Import Bank eventually acquired Urban Bank.
"It turned out to be a year of consolidation," said Edgar R. Anabo, BoC director for strategic planning. "But this turned out to be somewhat of a blessing as the economy turned from bad to worse."
Last Sept. 19, the Philippine Deposit Insurance Corp. (PDIC) gave its stamp of approval for BoC’s integration of TRB and the Monetary Board (MB) of the Bangko Sentral ng Pilipinas (BSP) followed suit just last Nov. 8.
All TRB branches have been made operational as of yesterday.
BoC officials said that the 2002 earnings forecast would however be more aggressive at P520 million based on expected earnings from the sale of its non-performing assets (NPLs), earnings from properties, and interest earnings from deposits and maturing loans.
Likewise, forecasts for an improved economy in the second half of 2002 plus the expected new and additional deposits from its expanded reach added to the positive outlook.
Most of the liabilities of TRB in the form of foreclosed properties worth P1.7 billion were absorbed by the BSP. The foreclosed properties would be managed by BoC for the next 10 years with an option to "buy-back". However, all properties that are sold would result in a profit sharing of 30 percent to the BSP and 70 percent to BoC.
Prior to the acquisition of TRB, the BoC had 56 branches spread out nationwide. It expects to make operational the 56 branches of TRB (with approximately 100,000 depositors) thus bringing its branch network to 112.
That puts the bank within the top 20 commercial banks and probably in 26th spot in terms of resources.
Anabo said that the BoC would spend an estimated P100 million for the integration and refurbishing of all its acquired assets particularly the TRB assets and personnel. All the closed banks employees will be "rehired" after they would have been "retired" by TRB.
Last year, it acquired the Tan Yu-led Panasia Banking Corp. (Panbank) through a "clean balance sheet" arrangement. As of September this year, it was estimated to have grown by 60 percent.