1. Leveraging strategic choices, reaping early wins Media & Investor Briefing on Q1 2009 Results 12 May 2009 PSE Ayala Boardroom

2. Mr. Justo Ortiz Chairman & CEO Leveraging strategic choices, reaping early wins

3. Early wins Net income (in million pesos) Non-interest income (in million pesos) 31% Net trading & investment gains (in million pesos) 17% Net income position in Q1 2009 signifies dissipating compression on improvement in non-interest revenue component 6%

4. Early wins Combined growth in interest & non-interest income contributed to strengthen overall revenue stream Interest income (in million pesos) +49% +43% Operating income (in million pesos) +21%

5. Healthy margins Net interest margins remained favorable amid a low interest rate environment

6. Focus on long-term growth Operating expenses increased as a result of growing transaction volumes & investments in long-term productivity improvement Operating expenses (in million pesos) 29%

7. Persistent deposit increase 57% Deposit surge persisted amid the global financial turmoil Outstanding deposits (in billion pesos)

8. Consistent credit growth 59.2 Improvement in recurrent income supported by broad-based loan expansion 45.4 +35% +10% +28% +21% +30% Amounts in Billion Pesos Outstanding loan portfolio (gross, without BP)

9. Strong asset quality Improving credit quality proves formidable risk management approach *NPLs net of reserves; Loans net of IBCL Net non-performing loans*

10. Gearing up for balance sheet expansion CAR decline attributed to rise in risk-weighted assets

11. Looking to the upswing RESILIENCE & SUSTAINABILITY PRINCIPLES Solid profitability through steady credit volumes & increasing recurrent income Vigilance for opportunities for trading gains as volatility subsides Emphasis on continued deposit growth through customer franchise development Formidable risk management platform in support of loan expansion thrust EXPECTATIONS ON THE ECONOMY Growth slowdown on global crisis spillover Low inflation, low interest rate environment Steady remittance flows Infrastructure boost from fiscal stimulus package Employment concerns albeit resilient household spending Income pressures on the corporate sector

12. Anchoring on our strategic imperatives Resilient strategy framework Re-energized brand Risk-adjusted returns Robust resource base Resurgent loan & securities Solid profitability through improved recurrent income Healthy interest margins Asset quality preservation Customer franchise expansion Commitment to exceptional customer satisfaction and loyalty Brand values of expertise, relevance, and challenging convention Adherence to governance principles of transparency and sound risk management Disciplined approach to pricing risk factors in support of a more aggressive lending posture Acceleration in deposit base through improved sales management and product development systems Excellence in service quality and leading edge in innovation Emphasis on more sustainable revenue sources through expansion in loans & securities Broadening market reach with strong bias for quality borrowers

13. Sustaining strong depositor confidence Mr. Edwin Bautista EVP, Retail Banking

14. Performance guideposts Superior sales management system Robust product management process Excellence in service quality and efficiency Constant quest for innovation How we sustained our growth path…

15. Built for success Outstanding deposits (in billion pesos) Customer expertise produced stronger foothold in deposit-gathering business 57% y-o-y

16. Outstanding deposits (in billion pesos) Built for success P179.0 B as of April

17. Forging ahead Focus on low-cost deposit generation Pursue investments in people, network, technology, partnerships & alliances Sustain branch network expansion in strategic growth areas Stay committed to brand positioning of Smart Banking through leadership in service & innovation

18. Capitalizing on strong corporate franchise Ms. Guia Lim EVP, Corporate Banking

19. Performance results Strong loan growth Loans are to quality names Industries are diversified Pricing more competitive but asset quality, good Loan portfolio largely in peso, hence not vulnerable to foreign funding Accrual income steadily growing No loan deterioration

20. Built for success Gross corporate loans (in billion pesos) Asset growth 60%

21. Built for success Interest income (in million pesos) 103% Revenue growth

22. Built for success Diversified borrowers % Share of corporate portfolio, as of Mar 2009 Manufacturing Real estate Financial intermediation Transport, Storage & Communication Others Telecommunications Electricity, Gas & Water Supply

23. Moving forward Continue adherence to sound risk management principles Focus on borrowers of proven stability and resilience through market downturns Pursue growth in real estate portfolio via CTS Dual approach to customer business i.e., asset and liabilities growth through cash management Develop borrowers into lucrative sources of non-loan related products and services

24. Reinforcing middle market credit quality Ms. Betty Romulo EVP, Commercial Banking

25. Performance guideposts Credit risk consciousness balanced with profitable pricing Innovation in products and services Diversification in loan portfolio How we sustained our growth path…

26. Built for success Gross commercial loans (in billion pesos) Steady climb in commercial credit portfolio guided by firm standards of credit quality 9%

27. Built for success Interest income (in million pesos) Principle of risk-adjusted returns enabled strong acceleration of interest income 33%

28. Built for success Past due ratio Decline in past due loans illustrate commitment to strong middle market credit quality

29. Built for success Manufacturing Real estate Financial intermediation Trading Others % Share of commercial portfolio, as of Mar Portfolio diversification remains a key risk management principle SME

30. Forging ahead Continue implementation of risk-based relationship pricing of accounts Design new products and services that would cater to specific client segments Collaborate with other business units to access prospective borrowers Further enhance risk management practices in line with account profitability approach

31. Solidifying consumer finance growth Mr. Genju Lapez EVP, Consumer Finance

32. Performance guideposts Balance between aggressive marketing strategies and cost efficiency Broad market reach via new geographies and channels Prudence and discipline in market expansion Collaboration and alliances How we sustained our growth path…

33. Built for success Gross consumer loans (in billion pesos) Innovative marketing strategies, in the face of challenging market conditions, sustained growth in consumer finance 19%

34. Built for success Robust growth balanced with stable yields kept revenue trend on a consistent growth track Interest income (Consolidated consumer finance, in million pesos) 14%

35. Built for success Improvement in net past due ratio reflective of focus on both value and quality of credit portfolio Net past due ratio

36. Forging ahead Strengthen the basics by expanding coverage in existing territories and enhancing customer relationships Design more aggressive promotional tools and offers Deliver superior value by building a benefits package for customers and prospects Balance aggressiveness with appropriate safety nets

37. Leveraging strategic choices, reaping early wins Media & Investor Briefing on Q1 2009 Results 12 May 2009 PSE Ayala Boardroom