ANNEX “A”

REPORT ACCOMPANYING INFORMATION SHEET REQUIRED UNDER SRC RULE 20

(A) AUDITED FINANCIAL STATEMENTS

The draft audited financial statements of the registrant as of December 31, 2018 and the Statement of Management Responsibility for Financial Statements are attached hereto.

(B) MANAGEMENT DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS

I. Financial Condition, Changes in Financial Condition and Results of Operations for each of the last three (3) fiscal years.

Key Operating and Financial Indicators 2016 2017 2018 Number of Branches / Cash Unit 30 30 30 Number of Employee 322 310 282 *********************************** - - - Cash 100,188 67,207 60,300 Due from BSP and Other 551,722 957,939 979,920 Available-For-Sale-Securities 389,723 419,726 418,634 and Receivables 2,341,656 1,987,098 1,987,098 Total Resources 4,208,347 4,135,991 3,840,065 Deposit Liabilities 3,394,961 3,361,810 3,085,331 Total Liabilities 3,515,576 3,443,507 3,162,621 Capital Funds 692,771 692,484 677,444 ************************************ - - - Net Interest Income 172,192 185,671 172,192 Fee-Based and Other Income 58,021 70,713 58,021 Net Income -100,844 -87,054 -100,844 ************************************ - - - Earnings per Share** -1.39 -1.20 -1.39 Book Value per Share* 9.52 9.52 6.77

(Amounts presented are in P'000, except per share figure)

*Based on Shares outstanding as of year-end **Annualized Earnings per Share

1 Key Performance Indicators

The monitors its performance with the other players in the banking industry in terms of the following indicators:

CSBI INDUSTRY Key Performance Indicators December 2018 December 2018 Capital Adequacy Capital to Risk Ratio 17.64% 15.96% Asset Quality Non-performing (NPL) Ratio 6.44% 5.26% Non-Performing Loan (NPL) Cover 63.65% 54.40% Liquidity Loans to Deposit 58.72% 92.47% Profitability Return on Average Equity -23.90% 10.27% Net Interest Margin 6.82% 5.45% Cost Efficiency Cost to Income 133.04% 66.92%

In terms of stability, the bank continues to enjoy a higher Capital Adequacy Ratio (CAR) of 17.64% versus the industry ratio of 15.96%. The Bank’s NPL ratio of 6.44% is higher compared with the industry’s 5.26%. Allowance for probable losses over Non-performing loans is 63.65% versus the industry’s 54.40% as it continues to be highly selective in its lending operation and improve on loan collection.

The Bank’s loan to deposit ratio of 58.72% is lower compared with the thrift banking industry’s 92.47%.

In terms of profitability, the bank is lower than the thrift banking industry with a Return on Ave. Equity (ROE) of -23.90%, versus the industry of 10.27%. Its Net Interest Margin is 6.82% as against the industry’s 5.45%.

The bank continues to adopt measures to provide a strong and stable financial condition.

The manner by which the Bank calculates the above indicators is as follows:

Key Performance Indicator BSP Prescribed Formula Capital to Risk Assets Ratio Total Qualifying Capital / Market and Credit Risk Weighted Exposures Non-performing Loan (NPL) Ratio Non-performing Loans / Gross Loans Non-performing Loan (NPL) Cover Allowance for Probable Losses / Non- performing Loans Loans to Deposits Ratio Total Loans / Total Deposits Return on Average Equity Net Income After Income Tax / Average Total Capital Accounts Net Interest Margin Net Interest Income / Average Interest Earning Assets Cost to Income Total Operating Expenses / Net Interest Income + Other Income

2

December 31, 2016

Interest Income Gross Interest Income for the year ended December 31, 2016 amounted to P211.423 million from P202.216 million over the same period in 2015 for a 4.55% increase. Of the former amount, about 88.80% came from its lending operations which amounted to P187.749 million and the rest were interest from Due from BSP and other banks which decreased from P21.321 million to P10.728 million and Available-for-sale securities which increase from P7.476 million to P12.946 million. The Gross Interest Income of P211.423 million represents 78.47% of the bank’s total gross income for the year 2016 which amounted to P269.443 million.

Interest Expense Interest Expense decreased by 3.10% from P40.484 million in 2015 to P39.231 million for the period ending December 31, 2016. The Interest Expense of P39.231 million is 18.56% of the Gross Interest Income of P211.423 million.

Other Income Other Income comprising of Service Charges and Fees and Miscellaneous Income posted a 36.99% increase in 2016, versus its performance in 2015. Decrease in fee- based sources accounted for P15.135 million while increase in Miscellaneous Income is accounted for P42.885 million. The amount of P58.021 million represents 21.53% of the bank’s Total Gross Income in 2016 in the amount of P269.443 million.

Other Expenses Other operating expenses decreased by 1.20% from P298.296 million in 2015 versus P294.711 million in 2016. This was due to decrease in Occupancy from P29.600 to 28.730. Security, janitorial and messengerial services from P37.465 to P29.563. Taxes and Licenses from P17.546 to P12.568. Fuel and Oil from P10.410 to P9.555. Repairs and Maintenance from P3.264 to P2.147. Miscellaneous from P26.942 to P23.269. The total Other Operating Expenses of P294.711 million is 88.25% of the total expenses.

Net Income The Bank posted a net loss of P100.844 million for 2016 versus P86.654 million of 2015.

Cash and Other Cash Items Cash and Other Cash Items posted a P1.033 million increase from P99.155 million in the year ending 2015 as against P100.188 million in 2016.

Due from BSP and Other Banks Due from BSP and Other Banks decreased by 58.49% from P1.329 billion in 2015 to P551.722 in 2016 as investible funds were placed in local banks. Due from BSP and Other Banks is 13.11% of Total Resources.

Available-For-Sale Securities Available-for-Sale Investments representing 9.26% of total assets decreased by 8.13% from P424.195 million to P389.723 million in 2016.

Loans and Receivables Loans and Receivables decreased from P2.496 billion to P2.342 billion in 2016. The amount of P2.342 billion is 55.64% of the Total Resources.

Bank Premises, Furniture, Fixtures and Equipment 3 This account decreased to P214.625 million from P224.501 million. The net amount of P214.625 million represents 5.10% of the Total Resources.

Other Resources Other Resources decreased by 16.70% from P270.523 million in 2015 to P225.336 million in 2016. The amount of P225.336 million is 5.35% of Total Resources.

Total Deposit Liabilities Deposits generated by the bank’s thirty (30) branches decreased by P749 million. From P4.144 billion, Total Deposit Liabilities was down to P3.395 billion at the end of 2016. Of this amount, P2.774 billion or 81.71% comprised savings deposits while the remaining 18.29% or P621 million is in the form of time and demand deposits. The Total Deposit Liabilities of P3.395 billion is 96.57% of the Total Liabilities and 80.67% of the Total Liabilities and Equity.

Other Liabilities This account increased by 2.03% from P118.214 million to P120.614 million. The ending balance of P120.614 million is 3.43% of the total liabilities.

Capital Funds/Equity Capital Funds/Equity increased by P83.295 million in 2016. Net Loss for the year was P100.844 million.

Capital Adequacy Ratio (CAR) The bank posted a higher than industry risk-based capital adequacy ratio of 22.79% versus the 16.53% of the industry.

Liquidity CSBI’s loans to deposit ratio is 68.56%.

December 31, 2017

Interest Income Gross Interest Income for the year ended December 31, 2017 amounted to P216.253 million from P211.423 million over the same period in 2016 for a 2.28% increase. Of the former amount, about 2.78% came from its lending operations which amounted to P192.965 million and the rest were interest from Due from BSP and other banks which increased from P10.728 million to P14.274 million and Available-for-sale securities which decrease from P12.946 million to P9.013 million. The Gross Interest Income of P216.253 million represents 75.36% of the bank’s total gross income for the year 2017 which amounted to P286.965 million.

Interest Expense Interest Expense decreased by 22.05% from P39.231 million in 2016 to P30.582 million for the period ending December 31, 2017. The Interest Expense of P30.582 million is 14.14% of the Gross Interest Income of P216.253 million.

Other Income Other Income comprising of Service Charges and Fees and Miscellaneous Income posted a 21.87% increase in 2017, versus its performance in 2016. Decrease in fee- based sources accounted for P13.362 million while increase in Miscellaneous Income is accounted for P57.351 million. The amount of P70.713 million represents 24.64% of the bank’s Total Gross Income in 2016 in the amount of P286.965 million. 4

Other Expenses Other operating expenses increased by 2.56% from P294.711 million in 2016 versus P302.251 million in 2017. This was due to increase in Occupancy from P28.730 to 30.143. Communication, light and water from P28.792 to P30.179. Depreciation and amortization from P32.958 to P38.937. Taxes and Licenses from P12.568 to P17.582. Litigation and Assets Acquired from P2.545 to P4.238. Miscellaneous from P23.269 to P24.986. The total Other Operating Expenses of P302.251 million is 90.81% of the total expenses.

Net Income The Bank posted a net loss of P87.054 million for 2017 versus P100.844 million of 2016.

Cash and Other Cash Items Cash and Other Cash Items posted a P32.981 million decrease from P100.188 million in the year ending 2016 as against P67.207 million in 2017.

Due from BSP and Other Banks Due from BSP and Other Banks increased by 73.63% from P551.722 million in 2016 to P957.939 in 2017 as investible funds were placed in local banks. Due from BSP and Other Banks is 23.16% of Total Resources.

Available-For-Sale Securities Available-for-Sale Investments representing 10.15% of total assets increased by 7.70% from P389.723 million to P419.726 million in 2017.

Loans and Receivables Loans and Receivables decreased from P2.342 billion to P1.987 billion in 2017. The amount of P1.987 billion is 48.04% of the Total Resources.

Bank Premises, Furniture, Fixtures and Equipment This account decreased to P201.448 million from P214.625 million. The net amount of P201.448 million represents 4.87% of the Total Resources.

Other Resources Other Resources decreased by 18.96% from P225.336 million in 2016 to P182.613 million in 2017. The amount of P182.613 million is 4.42% of Total Resources.

Total Deposit Liabilities Deposits generated by the bank’s thirty (30) branches decreased by P33.152 million. From P3.395 billion, Total Deposit Liabilities was down to P3.362 billion at the end of 2017. Of this amount, P2.576 billion or 76.63% comprised savings deposits while the remaining 23.37% or P785.692 million is in the form of time and demand deposits. The Total Deposit Liabilities of P3.362 billion is 97.63% of the Total Liabilities and 81.28% of the Total Liabilities and Equity.

Other Liabilities This account decreased by 32.27% from P120.614 million to P81.698 million. The ending balance of P81.698 million is 2.37% of the total liabilities.

Capital Funds/Equity Capital Funds/Equity decreased by P0.288 million in 2017. Net Loss for the year was P87.054 million. 5

Capital Adequacy Ratio (CAR) The bank posted a higher than industry risk-based capital adequacy ratio of 24.55% versus the 16.71% of the industry.

Liquidity CSBI’s loans to deposit ratio is 58.25%.

December 31, 2018

Interest Income Gross Interest Income for the year ended December 31, 2018 amounted to P238.891 million from P216.253 million over the same period in 2017 for a 9.48% increase. Of the former amount, about 164.31% came from its Available-for-sale securities which amounted to P23.823 million and the rest were interest from Due from BSP and other banks which increased from P14.274 million to P23.265 million and lending operations which decrease from P192.965 million to P191.802 million. The Gross Interest Income of P238.891 million represents 77.92% of the bank’s total gross income for the year 2018 which amounted to P306.577 million.

Interest Expense Interest Expense increased by 32.60% from P30.582 million in 2017 to P40.551 million for the period ending December 31, 2018. The Interest Expense of P40.551 million is 13.23% of the Gross Interest Income of P306.577million.

Other Income Other Income comprising of Service Charges and Fees and Miscellaneous Income posted a 4.28% decreased in 2018, versus its performance in 2017. Increase in fee- based sources accounted for P15.828 million while decrease in Miscellaneous Income is accounted for P51.858 million. The amount of P67.686 million represents 22.08% of the bank’s Total Gross Income in 2018 in the amount of P306.577 million.

Other Expenses Other operating expenses increased by 3.68% from P302.251 million in 2017 versus P313.383 million in 2018. This was due to increase in Depreciation and amortization from P38.937 to P40.489. Occupancy from P30.143 to P36.445. Taxes and licenses from P17.582 to P19.747. Insurance from P14.100 to P17.187. Fuel and oil from P8.524 to P8.892. Litigation and asset acquired expenses from P2.108 to P3.668. Miscellaneous from P24.986 to P31.376.The total Other Operating Expenses of P313.383 million is 88.54% of the total expenses.

Net Income The Bank posted a net loss of P41.126 million for 2018 versus P87.054 million of 2017.

Cash and Other Cash Items Cash and Other Cash Items posted a P6.907 million decrease from P67.207 million in the year ending 2017 as against P60.300 million in 2018.

Due from BSP and Other Banks Due from BSP and Other Banks increased by 18.48% from P957.939 million in 2017 to P979.920 in 2018 as investible funds were placed in local banks. Due from BSP and Other Banks is 25.52% of Total Resources.

6 Available-For-Sale Securities Available-for-Sale Investments representing 10.90% of total assets decreased by 0.26% from P419.726 million to P418.634 million in 2018.

Loans and Receivables Loans and Receivables decreased from P1.987 billion to P1.867 billion in 2018. The amount of P1.867 billion is 48.62% of the Total Resources.

Bank Premises, Furniture, Fixtures and Equipment This account decreased to P192.820 million from P201.448 million. The net amount of P192.820 million represents 5.02% of the Total Resources.

Other Resources Other Resources decreased by 22.03% from P182.613 million in 2017 to P142.392 million in 2018. The amount of P142.392 million is 3.71% of Total Resources.

Total Deposit Liabilities Deposits generated by the bank’s thirty (30) branches decreased by P276.479 million. From P3.362 billion, Total Deposit Liabilities was down to P3.085 billion at the end of 2018. Of this amount, P2.039 billion or 66.08% comprised savings deposits while the remaining 33.92% or P1.047 billion is in the form of time and demand deposits. The Total Deposit Liabilities of P3.085 billion is 97.56% of the Total Liabilities and 80.35% of the Total Liabilities and Equity.

Other Liabilities This account decreased by 5.40% from P81.698 million to P77.290 million. The ending balance of P77.290 million is 2.44% of the total liabilities.

Capital Funds/Equity Capital Funds/Equity decreased by P15.039 million in 2018. Net Loss for the year was P41.126 million.

Capital Adequacy Ratio (CAR) The bank posted a higher than industry risk-based capital adequacy ratio of 17.64% versus the 15.96% of the industry.

Liquidity CSBI’s loans to deposit ratio is 58.72%.

Other known Trends, Demands, Commitments, Events or Uncertainties There are no other known trends or any other known demands, commitments, events or uncertainties that will result in or that are reasonably likely to result in the registrant's liquidity increasing or decreasing in any material way. The registrant is not having or does not anticipate having within the next twelve (12) months any cash flow or liquidity problems. The registrant is not in default nor in breach of any note, loan, lease or other indebtedness or financing arrangement requiring it to make payments. There is no significant amount of trade payables that have not been paid within the stated trade terms. There is likewise no material deficiency that can be identified.

There are no known trends, events or uncertainties that have had or that are reasonably expected to have a material, favorable or unfavorable, impact on revenues or income from continuing operations.

7 Material Commitments for Capital Expenditures There are no material commitments for capital expenditures.

Significant Elements of Income or Loss There are no significant elements of income or loss that did not arise from the registrant's continuing operations.

Other Key Variable and Qualitative/Quantitative Factors As to any seasonal aspects that may have material effect on the financial condition or result of operations, the registrant is not affected by the current worries on peso-dollar exchange, as the bank has no exposure on any foreign currency related transactions.

There are no events that would trigger direct or contingent financial obligation that is material to the company, including any default or acceleration of an obligation.

No material off-balance sheet transaction, arrangement, obligations (including contingent obligations), and other relationships of the company with unconsolidated entities or other persons are created during the reporting period.

Past and Future Financial Condition and Results of Operation with particular emphasis on the prospects for the future.

For 2018, Citystate Savings bank's clients could look forward to more innovative, competitive and customized products and services.

The bank’s deposit base anchored on retail banking, is consistently increasing thereby maintaining an above average level of liquidity while it selectively appropriates its excess loanable funds.

Prospects for the Future

For the year 2019, CSBI will focus on further enhancing its service delivery system through the following action plans:

 Development of more bank products and services;  Intensify SME lending and jewelry loan operations;  Pursue a more aggressive marketing strategy and focus on the target market;  Highly efficient and productive personnel coupled with cost-effective technology;  A strong advertising and promotional campaign;  Reputation of good service and expertise;  Effective cost-control.

In terms of financial performance and results of operation, the bank is very optimistic to overcome its 2018 performance as it pursues aggressively its marketing strategies to deepen its reach to its target market.

8 (C) BRIEF DESCRIPTION OF THE GENERAL NATURE AND SCOPE OF BUSINESS OF THE REGISTRANT

Citystate Savings Bank, Inc. was registered with the Securities and Exchange Commission on May 20, 1997. The Monetary Board of the Bangko Sentral ng Pilipinas on the other hand, granted the bank a license to operate as Thrift Bank on August 07, 1997. The bank’s Authorized Capital is P1,000,000,000.00 consisting of 100,000,000 common shares, with a par value of P 10.00 per share.

The bank began its operations on August 08, 1997 when it opened its first branch located in Dominga Building III, 2113 Chino Roces Avenue corner Dela Rosa Street, City. At present, the bank’s principal office is located at Citystate Centre Building, 709 Shaw Boulevard, City.

The bank itself provides a wide range of banking and other such as but not limited to traditional and innovative deposit products and services, cash management, corporate and retail banking and treasury services. The bank caters to the needs of corporate, middle market and retail clients.

On March 4, 2004, the Bangko Sentral ng Pilipinas approved the application of Citystate Savings Bank, Inc. to engage in quasi-banking functions.

Pursuant to further enhancing the bank’s delivery system, the Bangko Sentral ng Pilipinas authorized CSBI to operate an FCDU and to perform Trust and other fiduciary business on November 08, 2006.

(D) MARKET INFORMATION

The registrant's shares are traded in the Philippine Stock Exchange, Inc. (PSE) after its listing on November 28, 2001. The high and low market prices in 2017 & 2018 are as follows:

QUARTERLY HIGH LOW 2017 2018 2017 2018 First Quarter 10.00 10.00 9.99 7.02 Second Quarter 10.00 8.49 8.52 6.10 Third Quarter 10.00 7.99 9.02 6.60 Fourth Quarter 10.00 7.89 9.03 3.50

For the interim period in 2019, the following are the high and low market prices of CSBI shares of stocks:

MONTH HIGH LOW January 2019 7.58 7.58 February 2019 7.58 7.58 March 2019 7.58 7.58

9 As of December 31, 2018 CSBI has a total of forty nine (49) stockholders owning 100,000,000 common shares.

Dividends Declared for the Last ten (10) years:

 In 1999, cash dividends totaling P594,750.00 were declared and paid covering fiscal years 1997 to 1999.

 In 2001, 2002, 2003, 2004 and 2005 cash dividends amounting to P330,000.00, P660,000.00, P882,000.00, P882,000.00 and another P882,000.00 respectively were declared, approved by BSP and paid by the bank.

 In 2006, a 10% stock dividend equivalent to 6,615,000 shares and cash dividend amounting to P1,984,500.00 were declared, approved by BSP and paid by the bank.

 In 2007, cash dividend declared was 3/10 of 1% of the par value share or Php 0.03 per share.

 In 2008, cash dividend declared was 3/10 of 1% of the par value share or Php 0.03 per share.

 In 2009, cash dividend declared was 3/10 of 1% of the par value share or Php 0.03 per share.

 All cash dividends declarations are subject to Bangko Sentral ng Pilipinas approval.

As of December 31, 2017 the stocks are trading at P10.00 per share.

As of December 31, 2018, the top twenty (20) shareholders are as follows:

Top 20 Stockholders

Shareholder No. of Shares Percent to Nationality Owned Total 1. PCD Nominee Corporation 26,023,368 26.02% Filipino 2. AMB. ALC Holdings And 18,000,000 18.00% Filipino Management Corporation 3. Estate of Amb. Antonio L. 8,657,114 08.66% Filipino Cabangon-Chua 4. Top Ventures Investments & 7,800,000 07.80% Filipino Management Corporation 5. D. Alfred A. Cabangon 5,500,000 05.50 % Filipino 6. Fortune General Insurance 5,484,000 05.48 % Filipino Corporation 7. Estate of Amb. Antonio L. 5,445,000 05.45 % Filipino Cabangon-Chua 8. Fortune Life Insurance Co., Inc. 5,099,250 05.10 % Filipino 9. Gencars – Batangas, Inc. 2,846,250 02.85 % Filipino 10. D. Alfred A. Cabangon 2,750,000 02.75 % Filipino 11. Eternal Plans, Inc. 2,641,700 3.63% Filipino 12. D. Edgard A. Cabangon 2,143,350 02.14 % Filipino 10 13. Alfonso G. Siy 1,650,000 01.65 % Filipino 14. Eternal Gardens Memorial Park 1,435,002 01.44% Filipino Corporation 15. GENCARS - SAN PABLO, INC. 726,000 00.73% Filipino 16. Cabangon, J. Wilfredo A. In 714,450 00.71% Filipino Trust For: Michael Wesley M. Cabangon 17. Cabangon, J. Wilfredo A. In 714,450 00.71% Filipino Trust For: William Matthew M. Cabangon 18. Grist, Dominga Analyn C. In 550,000 00.55% Filipino Trust For: Sarah C. Grist 19. Grist, Dominga Analyn C. In 550,000 00.55% Filipino Trust For: Zachary C. Grist 20. Bote, Feorelio M. 412,500 00.41% Filipino 99,142,434 99.14%

(E) DISCUSSION ON COMPLIANCE WITH LEADING PRACTICE ON CORPORATE GOVERNANCE

The bank has adopted the SEC Corporate Governance Self Rating Form to evaluate the level of compliance of the bank with its Manual on Corporate Governance. In addition, the Compliance Officer reviews on a periodic basis the level of compliance of its directors, officers and employees with the leading practices and principles on good corporate governance as embodied in the bank’s Manual.

There have been no violations of the Corporate Governance Manual and no director, officer or employee has been sanctioned.

The bank will regularly conduct a review of the Manual on Corporate Governance and will adopt appropriate changes as necessary.

UNDERTAKING TO PROVIDE ANNUAL REPORT

The registrant undertakes to provide without charge any person a copy of the Bank’s Annual Report on SEC Form 17-A upon written request to the registrant addressed to:

MR. MARTIN JERRY E. MACHADO Assistant Vice President, Comptrollership/Accounting Citystate Centre Building 709 Shaw Boulevard, Pasig City

11

ANNEX C

RESOLUTIONS APPROVED BY THE BOARD OF DIRECTORS FOR THE CONFIRMATION OF THE STOCKHOLDERS

2018 BOARD RESOLUTIONS

JANUARY 2018

AGENDA NO. BOARD RESO NO. PARTICULARS 01-003 Authorized Signatories of the following: BIR / PhilPass / BSP 2018-0001 01-004 Compliance Testing Program for Trust Department 2018-0002 01-005 Enhanced Anti-Money Laundering Checklist for Branches 2018-0003 01-006 BSP Quarterly RPT Report (October- December 2017) NOTATION 01-007 Citihomes Builders & Development , Inc.: Credit Line - Renewal 2018-0004 and Reduction of Facility Amount 01-008 HMR , Inc.: Credit Line - Renewal 2018-0005 01-009 Specialist Group Hospital & Trauma Center: Credit Line - Renewal 2018-0006 and Increase 01-010 Don Bosco Technical College, Inc : Term Loan 2018-0007 01-011 Date of Implementation of New Loan Approvals, Renewal of Loan 2018-0010 Facilities, Reinstatement and Admin Extension Policy 01-012 Confirmation of Management Committee Meetings for the Month 2018-0011 of December 2017 01-013 Financial Consumer Protection (FCP) NOTATION 01-014 Narra Wellness Resport Inc.: Term Loan -Restructuring 2018-0009 01-015 Ral Imperial Realty Corporation: Credit Line Renewal 2018-0008 01-016 Related Party Transaction Process Flow 2018-0012 01-017 Inclusion of the Comprehensive Account Review Form in the Trust 2018-0013 Operating Policies & Procedures Manual (OPPM) 01-019 Trust Budget for Y2018-Y2022 2018-0014

FEBRUARY 2018

AGENDA NO. BOARD RESO NO. PARTICULARS 02-002 Proposed Salary Loan Program for Client Companies Employees – Via 2018-016 Company Accreditation 02-004 Renewal of Insurance Coverage of Pawned Jewelry Items 2018-0017 02-005 Renewal of Health Care Provider (HMO) for bank employees 2018-0018

CSBI Board Resolutions 2018 Page 1

02-006 Renewal of MSPR (Money, Security and Payroll Robbery) 2018-0019 02-007 Confirmation of Management Committee Meetings for the Month of 2018-0020 January 2018 02-008 Trust Department’s Budget for Y2018 – Y2022 2018-0021 02-009 Authorized Signatory for Sale of CSBI Property Sold in favor of Rosell 2018-0022 Feliciano 02-010 ITD Action Plan on Deposit Account View (DAV) – PDIC Findings NOTATION 02-011 Compliance Department Table of Organization 2018-0023 02-012 Compliance Testing Program for RPT Department

Resignation of PE Paraiso as Director 2018-0015 MARCH 2018

AGENDA NO. BOARD RESO NO. PARTICULARS 03-001 Treasury - Updating signatories for:

2018-0024 Peso Current Account with Passbook – UCPB, Puerto Princesa

2018-0025 Peso Savings Account – UCPB, Sta. Rosa

2018-0026 Dollar Time Deposit Account – Union Bank, Head Office

2018-0027 Peso DPU/Cash Delivery – UCPB,Cambridge for Plaridel Branch

2018-0028 Peso DPU/Cash Delivery - UCPB,Cambridge for Cebu Branch

2018-0029 Peso DPU/Cash Delivery – UCPB Batangas Branch

2018-0030 Peso DPU/Cash Delivery – UCPB Dagupan

2018-0031 Peso DPU/Cash Delivery – UCPB Uraneta

2018-0032 Peso DPU/Cash Delivery – UCPB Cambridge for Baliuag Branch

2018-0033 Peso DPU/Cash Delivery – UCPB Cambridge for Meycauayan Branch

2018-0034 Participation Agreements (PA), Overnight Reverse Repurchase Facili- ty (RRP Facility), Term Deposit Auction Facility (TDF), Overnight De- posit Facility (ODF), and Overnight Lending Facility (OLF)

2018-0035 Deposit/withdrawal and investment purposes with China Bank Cor- poration – Magallanes Branch

2018-0036 Peso/Dollar Accounts with UCPB Cambridge Branch

2018-0037 Philippine Dealing and Exchange Corporation

CSBI Board Resolutions 2018 Page 2

2018-0038 Philippine Payment System (PhillPass)

2018-0039 CSBI’s signatories for United Coconut Planters Bank (UCPB)-Pioneer Branch

2018-0040 Investment/Divestment of corporate securities (including fixed rate bonds, preferred shares and private placements)

2018-0041 Peso Savings Account with UCPB Dagupan Branch

2018-0042 Peso Current Deposit Account with Union Bank Shaw Pasig Branch

2018-0043 Peso DPU/Cash delivery arrangement with UCPB Sta. Rosa

2018-0044 Dollar Savings Account with UCPB - Sta. Rosa Branch

2018-0045 Dollar Savings Account with UCPB - Meycauayan Branch

2018-0046 Dollar Savings Account with UCPB - Baliuag Branch

2018-0047 Peso Savings Account with UCPB - Batangas Branch

2018-0048 Peso Savings Account with UCPB – Urdaneta Branch

2018-0049 Dollar Savings Account with UCPB - Baliuag Branch

2018-0050 Dollar Savings Account with UCPB - Cebu Branch

2018-0051 Dollar Savings Account with UCPB - Dagupan Branch

2018-0052 Dollar Savings Account with UCPB - Batangas Branch

2018-0053 Dollar Savings Account with UCPB - Urdaneta Branch

2018-0054 Buying and Selling of Government Securities ( T- Bonds and T-Bills)

03-002 Proposed amendment of policies on the following: 2018-0055  Changing of vault combination;  Override limits for withdrawals and encashment; 2018-0056  Representation expense; and 2018-0057  CSBI Gold Funds 03-003 2018-0058 Extension of line of CSBI-Trust Department

2018-0059 Renewal of line accreditation of China Banking Corporation

2018-0060 Adoption of CSBI’s Trust Risk Policy Manual as part of Trust Opera- tions Manual

2018-0061 Adoption of CSBI’s Loan Loss Provisioning Policy as part of Trust Op- erations Manual

CSBI Board Resolutions 2018 Page 3

03-004 List of Accounts approved by Loan Committee from September 2017 2018-0062 – January 2018 03-005 Financial Consumer Protection (FCP) 2018-0063 03-006 Reclassification of ROPA to Bank Premises 2018-0064 03-007 Risk Appetite Statement 2018-0065 03-008 Updating of Business Continuity Management (BCM) / Business Con- 2018-0066 tinuity Plan (BCP) Manual 03-009 Proposed Branch Petty Cash Fund Abolition 2018-0067 03-010 Resignation of Chief Compliance Officer 2018-0068 03-011 BSP Memorandum on Electronic Correspondences from BSP- 2018-0069 Supervision and Examination Sector (SES) 03-012 Policy on Proper Handling of Accountable Forms 2018-0070 03-014 Endura Land Development Corporation : Credit and CTS Financing 2018-0071 Line Renewal CSBI’s Audited Financial Statements 2018-0072 2018-0073 Signatories for CSBI’s Overdraft Credit Line 2018-0073-A Plans of Action for compliance with the BSP

APRIL 2018

AGENDA NO. BOARD RESO NO. PARTICULARS Filing of case against Aguado 2018-0074 04-001 Approval of the Promotions of the key Officers of CSBI 2018-0075 04-002 2018-0076-A Layaway Plan Policy for Retail Buyer 2018-0076 Credit Cards for Jewelry buyer

04-003 Guidelines in Conducting Customer Due Diligence (CDD) 2018-0077 04-004 Financial Consumer Protection (FCP) 2018-0078 04-005 Sycamore Holdings & Realty Co., Inc.: Credit Line - Renewal 2018-0079 04-006 Memorandum of Agreement for the Sale of Shaw Boulevard Proper- 2018-0080 ty in compliance with BSP findings 04-007 BSP Quarterly RPT Report (January-March 2018) 2018-0081 04-008 Bank’s Receipt of Financial Audit Report and Action on the Findings 2018-0082 and/or Recommendation of Punongbayan & Araullo

MAY 2018

CSBI Board Resolutions 2018 Page 4

AGENDA NO. BOARD RESO NO. PARTICULARS ORGANIZATIONAL 2018-0083 Election of the Corporate Officers of the Bank 2018-2019 ORGANIZATIONAL 2018-0084 Election of the Members of the Committees of the Bank 05-001 Proposed Table of Organization of CSBI-TD 2018-0085 05-002 Accreditation of NLEX Corporation and its Fixed Rate Bonds Offer 2018-0086 due 2025 and 2028 05-003 Appointment of Chief Compliance Officer 2018-0087 05-004  Renewal of fidelity Insurance 2018-0089  Renewal of Insurance coverage of Bank Properties 2018-0088  Proposed Policy on RPT as per BSP requirements:  Internal limits for Individual and aggregate exposures.

 Restitution of losses and other remedies for abusive RPTs

05-005 Confirmation of Management Committee Meetings for the Month NOTATION of April 2018 05-006 Relocation of Branches 2018-0090 05-007 HMR Philippines, Inc.: Credit Line - Renewal 2018-0091 05-008 Community Creator, Inc. (formerly Landworks Asia, Inc.): CTS Re- 2018-0092 newal and Increase of CTS Line 05-009 List of Account approved by Loan Committee from April 20-May 25, 2018-0093 2018 05-010 Requirements of BSP on Regular Reporting of Risk Items to Board of 2018-0094 Directors Western Union Money Transfer Service through i-Pay Commerce 2018-0095 Ventures, Inc Merchant Affiliation Accreditation with the Rizal - 2018-0096 ing Corporation (RCBC)

JUNE 2018

AGENDA NO. BOARD RESO NO. PARTICULARS 06-001 Proposed Authorized Signatories of CSBI-TD 2018-0097 06-002 Line Accreditation of Counterparty Bank (New Accreditation) 2018-0098 06-004 Amendments on Trust Risk Policy 2018-0099 06-005 Approval of the Policy on the Computation of the Single Borrower’s 2018-0100 Limit (SBL) of the Bank and its Reporting 06-006 Compliance Testing Program for Related Party Transactions 2018-0101 06-007 Bank’s Receipt of Letter of Comments and /or Recommendation of 2018-0102 Punongbayan & Araullo

CSBI Board Resolutions 2018 Page 5

06-008 BSP Memorandum on Electronic Correspondences from BSP- 2018-0103 Supervision and Examination Sector (SES) Withdrawal by Topacio Law Office as counsel for CSBI in Ermin Gar- 2018-0104 cia Case 06-009 Proposed RPT Policy Guidelines: Roles of Senior Management and 2018-0105 Self-assessment functions 06-010 Confirmation of Management Committee Meetings for the Month of 2018-0106 May 2018 06-011 Proposed Amendments to the Articles of Incorporation and By-Laws 2018-0107 06-012 Financial Consumer Protection (FCP) 2018-0108 06-013 Types of Depositors Special Account Addendum 2018-0109 06-014 PDIC Examination Findings as of 31 December 2017 2018-0110 06-015 BSP Reply to Letters Unsafe and Unsound Practices NOTATION

JULY 2018

AGENDA NO. BOARD RESO NO. PARTICULARS Election of Atty. Jose Roderick F. Fernando and Ms. Edith S. 2018-0111 Dychiao as Independent Directors 07-001 Appointment of Ms. Sarah E. Benito as Head of Internal Audit De- 2018-0112 partment 07-002 Amendments to the Credit Appraisal Manual 2018-0115 07-003 Signatories for the Development Bank of the Philippines Treasury 2018-0113 Line 07-004 Signatories for Cash Service Portal of the Bangko Sentral ng Pilipi- 2018-0114 nas 07-005 Policy Guidelines and Procedures on “Remedial Management,” 2018-0116 “Loan Restructuring” and “Loan Loss Provisioning” 07-006 BSP Memorandum on Electronic Correspondences from BSP- 2018-0117 Supervision and Examination Sector (SES) 07-007 Proposed Amendment of Insurance Accreditation Policy 2018-0118 07-008 Proposed Addendum to the Trust - OPPM 2018-0119 07-009 Accreditation of Counterparty Banks (New) 2018-0120 07-010 Renewal of Fidelity Insurance with Fortune General 2018-0121 07-011 BSP 2nd RPT Quarterly Report 2018-0122 07-012 Financial Consumer Protection 2018-0123 07-013 Confirmation of Management Committee Meetings for the Month 2018-0124 of June 2018

CSBI Board Resolutions 2018 Page 6

07-014 Amendments to Vendor Management Policy 2018-0125 07-015 Renewal of Insurance Coverage for Bank Properties and Assets in 2018-0126 favor of Fortune General Insurance Corporation 07-016 Resignation of Chief Operating Officer 2018-0127 07-017 Sps. Rosanno & Mylene Digos dba R.H. Digos Designworks & Con- 2018-0128 struction  CTS Financing Line  Omnibus Line - Renewal 07-018 Matters for Notation of the Board ( Minutes of the Audit Commit- 2018-0129 tee Meeting) 07-019 Resolution to authorize the Chief Compliance Officer, Atty. Chris- 2018-0130 tian M. Chavez, and the President, Benjamin V. Ramos to apply before the SEC for registration as Associated Person / Compliance Officer of a Government Securities Eligible Dealers Substitution of the maturing government securities submitted to 2018-0131 the Bangko Sentral ng Pilipinas (BSP) as collaterals for CSBI’s Over- draft Credit Line (OCL)

AUGUST 2018

AGENDA NO. BOARD RESO NO. PARTICULARS 2018-0132 Infusion of additional capital in the amount of PhP 71.311 million

AGENDA NO. BOARD RESO NO. PARTICULARS 08-001 Signatories for PNB Savings Bank 2018-0133 08-002 Signatories for PBCOM (Philippine Bank of Communications) 2018-0134 08-003 Branch Office Leasehold – Shaw Blvd. Branch (submitted by GSD) 2018-0135 08-004 Amendment of Retirement Committee Members 2018-0136 08-006 Confirmation of Management Committee Meetings for the Month 2018-0137 of July 2018 08-007 2018-0138 Financial Consumer Protection 08-008 2018-0139 List of Accounts Approved by Loan Committee from July – August 2018 08-009 2018-0140 Revision of Checklist of Pre-approval Requirements for Loan Appli- cations 08-010 Reorganization of the Audit Committee, Corporate Governance 2018-0141 Committee and Risk Oversight Committee 08-011 Subscription Agreement and Memorandum of Agreement with 2018-0142 Eternal Gardens Memorial Park Corp. for the Capital Infusion of P17.548M

SEPTEMBER 2018

CSBI Board Resolutions 2018 Page 7

AGENDA NO. BOARD RESO NO. PARTICULARS 2018-0143 National Council of Churches of the Philippines (NCCP) 09-001 Various Signatories for Treasury Line 2018-0144  Malayan Bank 2018-0145  Bank of Makati 2018-0146  Metro Bank and Trust Co.

09-002 2018-0147 Signatories for Registration and Transfer Transactions 09-003 2018-0148 Signatories for Court Proceedings 09-004 2018-0149 Additional Signatory – SSS Claims Account with DBP-Pasig Branch 09-005 2018-0150 Annual Review – Accreditation of Counterparty – Issuer (EXISTING); Accreditation of fixed Rate Bonds (NEW Issuance) 09-006 2018-0151 Proposed Amendment / Addendum to the Trust – OPPM (Operating Policies and Procedures Manual) 09-007 2018-0152 Trust Committee Minutes of the Meeting  May 09, 2018  July 24, 2018 09-008 Revised Vision, Mission and Corporate Values of CSBI 09-009 2018-0153 Confirmation of Management Committee Meetings  August 15, 2018  September 05, 2018 09-010 2018-0154 Resignation of Legal Services Department Head / Data Privacy Of- ficer 09-011 2018-0155 ICD Learning Map and Content Summaries September 2018 List of Accounts to be Presented in the Board of Directors: 2018-0157  Sps. Filiemon C. Salcedo III and Alicia L. Salcedo 2018-0156  A.G. Santillan & Sons 09-012

2018-0158 List of Accounts Approved by Loan Committee from August 29, 2018

OCTOBER 2018

AGENDA NO. BOARD RESO NO. PARTICULARS 10-001 2018-0159 Signatories for East West Bank 10-002 2018-0160 Electronic Submission of Reports to BSP-Department of Economic Statistics (DES) 10-003 2018-0163 BSP Memorandum on Electronic Correspondences from BSP- Supervision and Examination Sector (SES) 2018-0163-A BSP Memorandum on Electronic Correspondences from BSP- Supervisory Data Center (SDC) 10-004 2018-0164 Renewal of the Lease Contract of Mabini Branch for Five (5) Years 10-005 2018-0165 Renewal of Health Care Benefits of the Bank for 2019 10-006 2018-0166 BSP 3rd Quarter Report of RPT 10-007 2018-0167 Quarterly Report on Internal Limits for Individual and Aggregate Credit Exposures 10-008 2018-0168 List of Loan Accounts Approved by Loan Committee on 08 October 2018 10-009 Appointment of Key Officers 2018-0161 Atty. FBartolome-Ringor 2018-0162 Mr. JV Balane 10-010 2018-0169 Accreditation of Counterparty Banks (New Accreditation)

CSBI Board Resolutions 2018 Page 8

10-011 2018-0170 Proposed Amendment/Addendum to the Trust- Operating Policies and Procedures Manual 10-012 2018-0171 Table of Contents of Amended OPPM 10-013 2018-0172 Updates on BSP Advance ROE 10-014 List of Accounts to be Presented in the Board of Directors: 2018-0173  Loida Paraiso Parungao  Endura Land Development Corp.  Community Creators, Inc. 2018-0174  RJ Lhinet Development Corp.

2018-0175 Approval of Audit Committee Minutes

NOVEMBER 2018

AGENDA NO. BOARD RESO NO. PARTICULARS 2018-0176 Approval of Increase in CTS Line Facility of Community Creators, Inc. 2018-0177 Approval of Increase in CTS Line Facility of Endura Land Develop- ment Corp. 11-001 2018-0186 Proposed Amendment to the Bank’s Credit Policy 11-002 2018-0184 Accreditation of Vista Land & Landscapes (NEW Accreditation)

11-003 2018-0181 Renewal of Insurance Coverage of Bank Properties 11-004 2018-0183 Financial Consumer Protection 11-005 2018-0179 Confirmation of Minutes of Corporate Governance Committee Meeting dated 23 July 2018 11-006 2018-0180 Authorized Employees/Personnel to Submit and Access the Error Report Folders to the Credit Information Corporation (CIC) 11-007 NOTATION BSP’s Reply to CSBI’s Compliance with BSP’s letter dated 31 May 2018 on Unsafe and Unsound Banking Practices 11-008 2018-0182 Approval of the Capital Subscription of AAHMC and TVIMC 11-009 2018-0178 RCD Land, Inc. 11-010 2018-0185 Year 2019 Budget – Trust Department

DECEMBER 2018

AGENDA NO. BOARD RESO NO. PARTICULARS 12-001 Various Signatories for Treasury Line 12-002 2018-0187 Renewal of Security Service Provider

12-003 2018-0188 List of Loan approved by the Loan Committee from October 25 to November 26, 2018

12-004 2018-0189 Annual Review – Accreditation of Counterparty – Issuer (NEW)

12-005 2018-0190 Accreditation of New Investment Outlet (Existing Counterparty – Issuer)

12-006 2018-0191 Trust Department Process Flow – Who-Does-What Procedure

CSBI Board Resolutions 2018 Page 9

12-007 2018-0192 Revised Account Opening Forms

2018-0193 Investment Policy Statement (IPS Forms) of the Trust Department

2018-0194 Accreditation of the New Counterparty- Broker

2018-0195 PFRS 9 BUSINESS MODEL of the Trust Department

2018-0196 Promotion of AV Tan

2018-0197 BSP Letters

2018-0198 Compliance Updates

CSBI Board Resolutions 2018 Page 10