SUBMITTED BY: SUBMITTED TO:

Dexter D. Gumasing Dr. Ivy Lim

Antonio C. Rances Jr.

 LANDBANK

The Land Bank of the Philippines is a government

financial institution that strikes a balance in fulfilling its
social mandate of promoting countryside development
while remaining financially viable.

This dual function makes LANDBANK unique. The

profits derived from its commercial banking operations
are used to finance the Bank’s developmental programs
and initiatives.

Over the years, LANDBANK has successfully managed

this tough balancing act as evidenced by the continued
expansion of its loan portfolio in favor of its priority
sectors: the farmers and fisherfolk, small and medium
enterprises and microenterprises, livelihood loans and
agribusiness, agri-infrastructure and other agri- and
environment-related projects, socialized housing,
schools and hospitals.

Today, LANDBANK is by far the largest formal credit

institution in the rural areas. Its credit delivery system
is able to penetrate a substantial percentage of the
country’s total number of municipalities.

LANDBANK also ranks among the top five commercial

banks in the country in terms of deposits, assets, loans
and capital.

From its initial role as the financing arm of the agrarian

reform, LANDBANK has evolved into a full-service
commercial bank.
 But the essence of its existence has not changed at all
– and that is to make the countryside continuously
throb with life.

TYPE Stated-owned

INDUSTRY Finance and Insurance

FOUNDED Manila, Philippines (1963)

HEADQUARTERS Manila, Philippines

KEY PEOPLE Margarito B. Teves,

Chairman
Gilda E. Pico, President and
CEO

PRODUCTS Financial Services

REVENUE P31.37 billion PHP (2009)

NET INCOME P6.76 billion PHP (▲34%)

(2009) [1]

EMPLOYEES 7,954

WEBSITE www.landbank.com

SUBSIDIARIES AND AFFILIATES

Landbank is divided into the following subsidiaries and
affiliates:

 LBP Countryside Development Foundation

 LBP Insurance Brokerage
 LBP Leasing Corporation
 LBP Realty Development Corporation
 Masaganang Sakahan, Inc.
 National Livelihood Support Fund
 People's Credit and Finance Corporation

OWNERSHIP

 Government of the Philippines: 100%

COMPETITION

LANDBANK competes against the major banks such as

Metrobank, BPI, Banco de Oro and Philippine National
Bank. In rural areas, depending on the situation, it
either competes against or complements rural banks.

On the other end of the spectrum, LANDBANK takes on

a dual role with the Development Bank of the
Philippines, which is another government-owned bank.
It either competes against or works with DBP,
depending on the situation involved.

BRANCHES

 LANDBANK has a total of 324 branches nationwide

 VISION/MISSION

VISION

LANDBANK shall be the dominant financial institution in

countryside development, committed to the highest
standards of ethics and excellence in the service of the
Filipino people.

MISSION

We shall continue to provide timely financial and

technical supports for our farmers, fisher folks and
other priority sectors.

We shall deliver innovative products and services that

are consonant with ecological enhancement and
effectively address our clients’ needs.

We shall embody professionalism and integrity,

providing our employees with a work environment that
encourages growth and rewards excellence.

LANDBANK is committed in improving the lives of all

its stakeholders and working with them to lead the
country to economic prosperity.
 MAJOR ROLES OF LBP

1. An implementing agency of CARP involved in land

evaluation, compensation to owners of private
agricultural lands, and collection of amortization from
CARP farmer-beneficiaries;

2.Provition of credit assistance to small farmers and

fisherfolk and ARBs;

3.An official depository of government funds; and

4.A government bank with a social mandate to spur

countryside development.

PRODUCTS AND SERVICES

  DEPOSIT PRODUCTS

 Regular Savings Account

An interest bearing peso-account which requires

presentation of a passbook for deposit and
withdrawal transactions.

 Regular Current Account

A non-interest bearing peso account, also known

as “Checking or Demand Deposit” Account wherein
deposits are made over-the-counter whereas
withdrawals are made through the issuance of a
check.

 Savings Account with ATM Access

An interest bearing peso account wherein

withdrawal transactions are done via Automated
Teller Machines (ATM) 24 hours a day, seven days
a week. Deposit and withdrawal transactions may
also be done over-the-counter but only during
official banking hours/days. Withdrawals may also
be made at any Expressnet, Megalink and Bancnet
ATMs.

 Current Account with ATM Access

 A non-interest bearing peso account, also known
as “Checking or Demand Deposit” Account wherein
deposit transactions are done over-the-counter,
while withdrawal transactions are done via ATM.

 Regular Peso E.A.S.Y. (Earning Access & Sure

Yield) Check

An interest-bearing peso current account (IBCA)

wherein deposits are made over-the-counter
whereas withdrawals are made through the
issuance of a check.

 Peso E.A.S.Y. (Earning Access & Sure Yield) Check

with ATM Access

An interest-bearing peso current account (IBCA)

wherein deposits are made over-the-counter
whereas withdrawals are made through the
issuance of a check or through the ATM.

 Regular Peso Time Deposit

A specific amount of funds in peso which earns

interest at a pre-determined competitive rate for a
fixed period of time/term with a “Certificate of
Time Deposit” (CTD) as proof of deposit. This is
offered to individuals and institutions who/which
have peso denominated funds which may be
locked-in with the Bank for at least thirty (30) days.

 Easy Savings Plus (ESP)

 ESP is a premium savings account which offers
higher interest rates versus a regular savings
account and are based on ADB levels.

 High-Yield Savings Account (HYSA)

HYSA is a peso account wherein funds of a specific

amount are given pre-determined competitive rates
for a fixed term. A passbook serves as a proof of
deposit. HYSA is offered to institutional clients.

 U.S. Dollar Savings Account

An interest bearing dollar-account which requires

presentation of a passbook for deposit and
withdrawal transactions.

 U.S. Dollar Time Deposit

A specific amount of funds in dollar which earns

interest at a pre-determined competitive rate for a
fixed period of time/term with a “Certificate of
Time Deposit” (CTD) as proof of deposit.

 LANDBANK E-$-P (Easy Dollar Pension)

An alternative payment scheme whereby the monthly

pension/benefit of pensioners/beneficiaries of various
US Federal agencies residing in the Philippines is
directly credited to their savings account maintained
with LANDBANK. The US pensioner/beneficiary has the
option to open either an individual Peso Savings
Account or individual Dollar Savings Account.

 E-BANKING PRODUCTS

 Access Retail Internet Banking

A retail internet banking (RIB) system that allows

individual depositors to perform selected banking
transactions and avail of other banking services using a
personal computer with internet access.

 weAccess Institutional Internet Banking

An internet banking facility developed for the Bank’s

institutional clients; private corporations, small and
medium enterprises (SMEs) and government entities,
which allows selected banking transactions and
services through the web. With this system, the client
can initiate various transactions like real time and
future dated fund transfers or online balance inquiries
through computers with internet connection and a
secure browser. Security and controls are built-in in the
system.

 Internet Corporate (i-Corp) Viewing Facility

A web-service available to corporate accounts that

enables viewing of transactions and account details,
deposit account balances and transaction history
through the internet.

 LANDBANK Cash Card

An electronic debit card that utilizes the stored value

system and like the ATM Card, operates on magnetic
stripe technology with PIN-based protocol. The Cash
Card is a special product for institutional clients.

 OFW Cash Card

An electronic debit card that facilitates cash

transactions like balance inquiry and withdrawals via
Automated Teller Machines (ATMs). A facility that OFWs
can use as funds remittance mode using SMART mobile
phones.

 PHONE BANKING

LANDBANK PHONE ACCESS

The LANDBANK Phone Access aims to enhance our

delivery of services to YOU, our valued clients, by
allowing you to make selected off-site bank
transactions through the use of a telephone.

FEATURES:

Balance Inquiry
Inquire about your ATM savings, current account and
cash card balances. Know your last credit card and
debit transactions for your ATM savings and current
account.

Request Statement by Fax

Request for a bank statement through fax. A service

charge shall be automatically debited from your
account for every transmittal.

Checkbook Requisition

Order a checkbook and follow-up status of request at

the depository branch in three (3) weeks time. The
checkbook cost shall be deducted from your account
upon validation of your request.

Check Status Inquiry

Inquire about a specific check number issued and know

if your check has been negotiated.

Hold an ATM / Cash Card Account

Block all transactions to your ATM/Cash card accounts

automatically in case of a lost or stolen card. You may
then re-apply for a new card at your depository branch.

Returned Check/s Inquiry

Inquire about the number and amount of returned
checks for easier tracking of checks deposited to your
account.

Change Telephone Access Number

Change your Telephone Access Number (T.A.N.) from

time to time for control and security purposes.

Fund Transfer

Transfer funds from one account to another through the

telephone. An acknowledgement number will be given
as proof of your transaction.

Bills Payment

Pay your bills through the telephone. An

acknowledgement number will be given as proof of your
completed transaction.
 LAWS AND RELATED ACTS

1. Republic Act 3844 7. Executive Order 229

2. Adoption of By-Laws 8. Republic Act 6657
and Creation of Board of
Trustees
3. Presidential Decree 9. Executive Order 405
27
4. Presidential Decree 10. Republic Act 7907
251
5. Reorganization 11. Executive Order 267
6. Executive Order 816 12. Increase of
Authorized Capital

1.     Republic Act 3844 (Agricultural Land Reform

Code) - 8 August 1963

 Created the Land Bank of the Philippines (LBP) to

finance the acquisition and distribution of
agricultural estates for division and resale to small
landholders as well as the purchase of the
landholding by the agricultural lessee;
 Authorized capitalization of 1.5 billion Php.  Initial
capital of 200 million Php;
 Members of the Board of Trustees
o Chairman -  LBP President & CEO
o 4 Members:
  including the Head of Land Authority (now
Dept. of Agrarian Reform)
 one member elected by the holder of
preferred shares
 Under the supervision of the Bangko Sentral ng
Pilipinas (BSP);
 Tax exempt on all operations, holdings, equipment,
property, income and earnings;
 Exempted from cash or stock dividend payments to
the National Government;
 Agricultural Credit Administration (ACA)
responsible for extending credit assistance to
farmers cooperatives and directly to small farmers

2.     Adoption of By-Laws and Creation of Board

of Trustees

 Adopted the by-laws, established the first

organizational chart and manual of operations in
1965;
 Formed the Board of Trustees with the Secretary of
Finance as chairman in 1966

3.     Presidential Decree 27  (Tenant

Emancipation Act) - 21 October 1972

 Emancipation of tenant-farmers of private

agricultural lands devoted to rice and corn under a
system of share-crop or lease-tenancy, whether
classified as landed estate or not;
 Value of  land transferred to tenant-farmers at 2 1/2
times the average
 Harvest of 3 normal crop years immediately
preceding the promulgation of PD 27;
 LBP to collect 15-year land amortizations from
beneficiaries for the cost of the land plus 6%
interest per annum

4.     Presidential Decree 251 (Revitalizing

LANDBANK) - 21 July 1973

 Because LBP was deficient and inadequate both in

capitalization and in organization structure to meet
the implementation requirements of agrarian
reform, the Bank was revitalized;
 Granted universal or expanded commercial
banking powers to LBP and established LBP as the
universal bank with a social mission of spurring
countryside development;
o to cross-subsidize agrarian land transfer and
loans to small farmers and fisherfolk;
 Expanded LBP's powers to include lending to
agricultural, industrial, home-building or home-
financing projects and other productive
enterprises;
o to ensure LBP's financial stability and
sustainability;
 Empowered LBP to grant loans to farmers
cooperatives/associations to facilitate production,
marketing of crops and acquisition of essential
commodities;
 LBP mandated to provide timely and adequate
support in all phases involved in the execution of
agrarian reform;
  Increased authorized capitalization to 3 billion
Php ;
 Increased the members of the Board of Directors to
seven (7):
o Chairman  - Secretary of Finance
o Vice-Chairman  -  LBP President
o Members  (Ex-Officio) -  Secretary of Agrarian
Reform
- Secretary of Labor  -                       
o Three Members  - elected annually
 Exempted from all national, provincial, municipal &
city taxes and assessments

5.     Reorganization - 1977

 LBP formed three major sectors - Agrarian, Banking

and Operations to strengthen operations and
ensure long-term viability

6.     Executive Order 816 (Transfer of ACA to

LBP) - 8 July 1982

 To adopt an integrated approach in the provision of

financial assistance to AR farmer-beneficiaries a
single institution is preferred;
 ACA was abolished and its functions (loans to
small farmers) were transferred to LBP

7.     Executive Order 229 (CARL) - 22 July 1987

 Created the Presidential Agrarian Reform Council

(PARC) as the highest policy-making and
coordinating body of the Comprehensive Agrarian
 Reform Program (CARP) to ensure timely and
effective delivery of the necessary support
services;
 Established the Agrarian Reform Fund (ARF) with
an interim amount of 50 Php billion to cover the
financing requirements of CARP with
appropriations coming from the proceeds of the
Asset Privatization Trust and the Presidential
Commission on Good Government;
 FBs to pay for lands acquired and redistributed by
the government  in 30 equal annual amortizations
at 6% p.a. with the first payment due one year after
resale (annual amortization should not exceed 10%
of the land's annual value of gross production);
 LBP to provide assistance to landowners through:
o investment information and counselling
assistance
o conversion and/or exchange of LBP Agrarian
Reform bonds to/from government stocks with
government assets
o marketing of LBP Agrarian Reform bonds

8.     Republic Act 6657 (CARL) - 10 June 1988

 Broadened the coverage of agrarian reform to

include all public and private agricultural lands
including other lands of the public domain suitable
for agriculture;
 Payment to landowners at 25% to 35% cash and
the balance in 10-year Agrarian Reform bonds with
a yield of 91-day T-bills;
  Authorized LBP to collect from the FBs payment for
lands awarded to  them in 30 annual amortizations
at 6% per annum;
 Established LBP as the financial intermediary of
the CARP.

9.     Executive Order 405 (CARP Land Valuation)-

14 June 1990

 Transferred the primary responsibility of

determining land valuation and compensation for
all lands covered under CARP from the DAR to the
LBP;
 Accelerated and streamlined certain procedures in
land valuation and compensation;
 LBP created regional Land Valuation and
Landowners Compensation Offices (LVOs) to carry
out land valuation and compensation

10. Republic Act 7907 (Amended LBP Charter) -

23 February 1995

 Increased authorized capitalization to 9 billion

Php ;
 Established LBP as an official government
depository;
 Increased the members of the Board of Directors to
nine (9) composed of:
o Chairman - Secretary of Finance
o Vice- Chairman  - LBP President and CEO
o Members:
 Secretary of Agrarian Reform
 Secretary of Labor
  Secretary of Agriculture
 2 Representatives of Agrarian Reform
Beneficiaries
 2 Representatives from the Private Sector

11. Executive Order 267 (CARL) - 25 July 1995

 National Government to issue Agrarian Reform (AR)

bonds to be used by LBP for land transfer
payments;
 Segregation of the accounts of CARP-related
transactions from the books of  LBP;
 CARP accounts and AR bonds were previously part
of LBP's books and adversely affected LBP's
financial position (leverage and capital adequacy
ratios)

12.  Increase of Authorized Capital - 25 August

1998

 Authorized capitalization increased to 25 billion

Php by the Department of Finance and the
President of the Philippines
 PROGRAMS

• LANDBANK and POEA seal agreement on

Workers Education Program

LANDBANK recently signed a memorandum of

agreement` with the Philippine Overseas Employment
Administration (POEA), affirming its participation in the
government’s Workers Education Program (WEP).
The Workers Education Program is primarily geared at
ensuring that Overseas Filipino Workers (OFWs) are
wellprepared prior to their departure and are educated
on the services available to them while they are
working outside the country.
At this year’s celebration of the “Migrant Workers Day”
themed “Bayanihan para sa Kagalingan ng OFWs”,
agreements were signed between POEA and various
partners from the government and private sectors. It
highlighted the role of these partnerships in promoting
the protection and education of OFWs.
Under the agreement signed by LANDBANK President
and CEO Gilda Pico and POEA Administrator Jennifer
Manalili last June 8, the Bank shall disseminate
information on remittance services to OFWs through
participation in the Pre-Employment Orientation
Seminars (PEOS) and Pre-Departure Orientation
Seminars (PDOS) conducted by POEA in Manila, regional
centers and regional extension units.
Also present during the MOA signing ceremony at the
POEA office were: LANDBANK IBSS Head/EVP Cecile
Borromeo, OFWRG Head/FVP Reevie Vergara, ORMSD
Head/Ms. Carolyn Olfindo, and DRMD Head/Mr. James
Figueras. DOLE Acting Labor Secretary Lourdes
Trasmonte represented DOLE Secretary Marianito
Roque. LANDBANK’s remittance business is
increasingly becoming a key business and growth driver
for the Bank, having reported a 31 percent growth with
a total of $772 million worth of remittances
in 2008.

• POLLUTION PREVENTION

LANDBANK and Partners conduct Manila Bay

Clean-up

August 14, 2010 - As part of its 47th year anniversary,

the Land Bank of the Philippines (LANDBANK) once
again led its partner organizations in the conduct of the
Manila Bay Clean-up. More than 600 volunteers from
LANDBANK, the City Government of Manila, the
Department of Environment and Natural Resources
(DENR), the Manila Yacht Club, the Manila Broadcasting
Company (MBC), the Manila Ocean Park, and the
Diamond Hotel gathered for a clean-up operation of the
Bay area along Roxas Boulevard. LANDBANK's scholars
under the Tulong Aral Program also took part in the
clean-up operation.
We welcome more participation as we recognize that a
collective effort is key to the success of this program to
rehabilitate the Manila Bay," LANDBANK president and
CEO Gilda E. Pico said.

Since LANDBANK moved its Head Office to Malate,

Manila, it has maintained the tradition of cleaning the
Manila Bay every August. From a simple clean-up
activity, LANDBANK expanded the program to enjoin
other establishments along and around the Manila Bay.

Last year, LANDBANK and six organizations signed a

Memorandum of Agreement (MOA) which formalized the
Socially Responsible and United in Nurturing and
Sustaining the Environment (SUNSET) Program. Under
the MOA, LANDBANK and its program partners agreed
to utilize their technical, financial and manpower
resources in order to support the rehabilitation of the
Manila Bay.

Trash racks have been installed in the outfalls of Padre

Faura and Remedios Streets to stop solid wastes from
being dumped into the Bay. Garbage boats are also
deployed weekly to collect floating debris. To date,
around 10,000 kilos of solid wastes have been collected
and disposed of in proper dumpsites.
LANDBANK is also finalizing the procurement of an
additional garbage boat to augment the equipment
being used for clean-up operations.

• LANDBANK's Adopt-a-Watershed Program

continues

As part of LANDBANK’s Adopt-a-Watershed Program,

LANDBANK Head Office employees
conducted its 5th treeplanting activity at the Angat-Ipo
Watershed in Norzagaray, Bulacan last June 19.
Representatives from the Department of Environment
and Natural Resources, LANDBANKOOP, Bulacan
Lending Center and the Bank's official graphic designer,
OP Communications, Inc. joined in the clean-up and the
application of fertilizers to the trees that were
previously planted over the four-hectare land adopted
by the Bank since 2006. Jollibee also joined the
activity.
 CONCLUSION

Land Bank of the Philippines is a development oriented

financial institution. The importance of LBP in the
community, they deliver quality products and services
that effectively addresses the needs and expectations
of the clients. LBP is a government bank; it helps to
finance the needs of the government. LBP is very
important to the community, because it helps to finance
the needs of the less fortunate people, and to finance
the needs of the farmers. LBP is the agency of CARP
involved in Land Evaluation, compensation to owners of
private agricultural lands, and collection of
amortizations from CARP farmer-beneficiaries. LBP
provides credit assistance to small farmers and
fisherfolk. It is the official depository of government
funds and a government bank with social mandate to
spur countryside development. LBP has dual function
that makes them unique. The profits derived from its
commercial banking operations are used to finance the
Bank’s developmental programs and initiatives.