Annual Report 2011

Page 1

Messages

1


INSIDE Corporate Ideals

3

Messages

4-5

Success Stories

6-9

Organizational Profile

10-13

Comparative Performance Analysis

14-15

Year-end Highlights

16-17

Year in Review Board of Trustees

18-19 20

Directors

21

Directory

22

Partners and Affiliations

24

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2011 ANNUAL REPORT


CORPORATE

IDEALS

OUR VISION To see people in communities live in abundance with strengthened faith in God and in right relationship with their fellowmen and the rest of the creation.

OUR MISSION KMBI is a Christ-centered development organization, existing to help transform the lives of its clients by providing sustainable microfinance, training, and demand driven non-financial services.

CORE VALUES Respect Integrity Stewardship Commitment to the Poor Discipline Innovation Excellence

Messages

3


MESSAGE FROM THE CHAIRMAN

Looking back to the day when KMBI was born 25 years ago, it all started in a small choir room of Valenzuela Methodist Church and catering to only 35 program members. We were small at the beginning and I never imagined that from 35 program members in that small room, it would turn out to more than 250,000 Filipino micro-entrepreneurs in 71 branches nationwide. It is indeed only through God’s grace that we were able, and still able to serve and reach these people. I witnessed not only how KMBI expanded but how it borne exceptional leaders in various expertise. Their shining examples and contributions as well as their selflessly serving poor people are inspiring and encouraging to us all. KMBI’s journey for the past 25 years had experiences of tough times, problems, setbacks and disappointments but these all serve as catalysts for inspiration, creativity and leveling up that ultimately make for better lives of our own people, our program members and their families, better communities, and a better Philippines. Together, we are now looking forward to what is in store for KMBI in the next 25 years. Many challenges, problems and setbacks may come but with strong faith in God, praying bold prayers, and believing that big problems precede bigger things to come, that every disappointment gives us fresh opportunities, we will persevere and prevail. With pride and conviction we say that it is blessed to be with KMBI! Once again, to all who share our passion for serving the poor, we express our gratefulness for your support in many ways. To God be the glory!

DAMIANA D. EXIOMO Chairman

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2011 ANNUAL REPORT 2011 ANNUAL REPORT


MESSAGE FROM THE CEO Since its inception in 1986 KMBI already established itself as one of the major players in the microfinance industry in the Philippines. KMBI’s ability to adapt and respond to the changing times contributed to its success to further reach out to more poor Filipinos nationwide. And as we expand, we continue to be committed to the organization’s core values and recognize its major role in sustaining our success. 2011 is our 25th year and it was both challenging and exciting. Challenging and exciting because this year, I assumed my position as the new Chief Executive Officer of KMBI. During the transition period, the management team and I began working to continue executing our mission to deliver greater value for stakeholders, staff, program members and partners. As a result of our devotion, KMBI maintained to be well-positioned to support its operations and new programs and finished the year essentially debt-free. It even expanded its reach by opening another branch in Pinamalayan, Mindoro to support and cater this unreached market. Several activities were also conducted in major areas of operations: i.e. gathered 1,500 staff and program members for a Leadership Camp in Cebu City, 524 couples joined Mass Wedding, 181,125 seedlings were planted, and 1024 patients received medical assistance and 87 bags of blood were donated during the bloodletting activity. KMBI was also able to disbursed a total of P836,942.00 for relief assistance of 2,224 program members under the Disaster Preparedness and Response Management or DPRM program. Further, three clients were able to graduate from the Group Loan Program of KMBI and qualify for the Individual Microenterprise Program or IMEP launched this year, which helps growth oriented program members with small & medium enterprises. These accomplishments would not be possible without the overwhelming support of our employees. Hand in hand we are making KMBI a leader in holistic transformation. For KMBI, greater things have yet to come!

EDUARDO C. JIMENEZ CEO

Messages Messages

5 5


Rising Up and

Moving

A

ccording to a famous quote by Joseph Campbell, “We must let go of the life we planned so as to have life that is waiting for us.” This holds true to KMBI Naga branch program member, Precilla Cortez as she managed to rise above because of her determination to provide a better life for her family. Precilla grew up in a big but poor family from Cabusao, Camarines Sur. Her father is a fisherman while her mother stays at home to take care of the children, all ten of them. With no means to complete her midwifery course, Precilla decided to apply as a household help in Manila to augment their family income. Although it was a difficult decision, Precilla was determined to provide good life back home. “I started as a cook and eventually as an all around household help. I worked for this family for seven years and I am just lucky they treated me like a family member. I also met my husband in Manila who was then employed as a construction worker. When we got married, we decided to move back to Bicol to start a new life.” However, salary in the province is still incomparable to that in Manila; so Precilla’s husband went back to Manila to work in construction. Although his husband was earning well, Precilla was not satisfied; she remembered her younger years when it was hard for them to even go to school because of their family’s financial state. “I told myself, I won’t let my kids experience the kind of life I’ve lived back then.”

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2011 ANNUAL 2011 ANNUALREPORT REPORT

So Precilla saved the money her husband sent her and when she finally raised P2,000, she invested it in the buy and sell business of coco lumber and bamboo split. God has been good with Precilla as word about her business spread in the community and slowly, the number of her clientele grew. “My business was growing but I want to give my family a better life and I think it’s still not enough,” said Precilla. With this situation Precilla decided to venture in a sari-sari store and carinderia business. After four years, she decided to diversify again and ventured into a bigger business which is wholesaling of seafoods, particularly crab and shrimp. Precilla started selling her goods in a nearby town until one day she was asked to supply 1st class crabs and shrimps at Farmer’s Market in Cubao, Quezon City. She now delivers 300-400 kilos of crabs and shrimps in Manila excluding her clientele in Bicol. Since her business is doing well, Precilla decided to give her siblings a sari-sari store and carinderia business to help them in their personal finances. By 2008, Precilla’s clientele grew even bigger and this time she needed additional capital to expand her business. “My sister then informed me about KMBI and its services and asked me if I would want to give it a try and I said yes!” Precilla didn’t know she would get more than just financial help from KMBI. “I actually enjoyed attending center meetings because it’s my only time to relax and socialize with my fellow microentrepreneurs,” said Precilla. After three years of being with KMBI, three boats were added


g Forward to her already seven boats and she managed to have her twostory house finished and buy a new car. Precilla also invested on her children’s education education. To date, Precilla still find ways to expand her business and help other people. Recently, she ventured in processing fresh alamang, which she distributes in a bagoong factory in Manila. She now has four staff in her fresh alamang processing business, ten people managing her boats and two people assigned to her coco lumber business. Precilla is an example of an ordinary person who did extraordinary things to succeed. She did not let her status in life determine her fate, instead she rose up, allowed her circumstance to push her limits, and moved forward by believing in herself that nothing is impossible if she believes in the possible.

“” I won’t let my kids experience the kind of life I’ve lived back then.

Success Stories Messages

77


MAKING IT

BIG BIZ IN THE

T

hey say “Patience is a virtue”; and to be successful in life, it has to be mastered well. Successful people usually have something in common: they start small and dream big. They patiently waited and gave out their best. Ever since, KMBI Koronadal program member, Ivy Millare, strongly desires to make it big. Although her business started out when she and her husband are both jobless, Ivy used her HRM degree to start a buko pie business. Recalling her business’ humble beginning “My first customers were really my neighbors until I decided to offer my products to nearby offices. It was pretty much difficult since my family is growing and I have to allot time to manage the business. Super hands on kami. We had to do everything from getting the buko, to baking the product and selling them. Most of the time we leave our children to our neighbors everytime we peddle our pies.” However as days went on, the couple realized that they do not earn much from the business. They only used to sell one to two boxes of buko pie a day, which gave them an average of 1,000 pesos a week to spend for the business, the family needs and for their children’s education. “Our meager earnings taught us how to properly budget everything,” said Ivy. As they struggle to make both ends meet while improving the quality of their products, Ivy remembered one customer saying “I don’t like you’re buko pie. It doesn’t taste good!. ”But Ivy didn’t take it negatively. Instead, she used this bad impression to improve her product “From then on, I decided to listen to my customers. I improved our buko pie based on their suggestions.” After a year of hard work, Ivy finally perfected the recipe and her buko pie became famous in their community. Soon enough, Ivy needed to expand her business because of her growing clientele. There were even times she needed to borrow money from other people just to continue her production. One time, one of her neighbors invited her to join KMBI. “What I love most about the services offered

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2011 ANNUAL 2011 ANNUALREPORT REPORT


“” ...I decided to listen to my customers. I improved our buko pie based on their suggestions.

by KMBI is their microinsurance. If you borrow money from individuals, you won’t get any of these benefits. That is why when I joined KMBI, I stopped borrowing from individuals,” said Ivy. With Ivy’s perseverance, her business grew bigger and her buko pie got even more popular. She now has loyal clients from nearby government offices and banks. She expanded her product line by offering egg pie, durian pie, ube jam, butterscotch and brownies.

Ivy also learned to manage her time properly; aside from her job as a full-time mom and entrepreneur, She extended her skills and talents to other people thru the skills trainings she regularly conducts with the help of DTI. “It’s a Godgiven talent so it’s just right that I share it.”

This perseverance and extra service didn’t go unnoticed. For 2011, Ivy was chosen as one of the KEY Awardees of KMBI. The cash prize she received from KMBI as the KEY Awardee and the P500,000 loan from DOST to buy equipment immediately transformed her business from a simple backyard venture to a booming business. Just recently, Ivy opened a pasalubong center and a dine-in area near popular establishments in Koronadal. Indeed, Ivy’s story is an inspiration to everyone. Her hard work and patience have paid off. She started from borrowed money from neighbors until she had a P2,500 capital to now owning one of the best pie house in Koronadal.

Success Stories Messages

99


WHO WE ARE CHANGE IS POSSIBLE

C

hange does not always have to start big. Sometimes they come in the most humble packages – a small child with a desire to share, a disabled person with a vision for growth, or a woman microentrepreneur who works unassumingly and tirelessly for her children’s future and to touch the lives of those around her. These women are the focus of KMBI’s development work. KMBI considers them key players of progress, and of change. They may look ordinary, but they help shape the economic, social, environmental, and

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2011ANNUAL ANNUALREPORT REPORT 2011

spiritual landscape of a home, a community and a country. For this, KMBI provides for their holistic development. As microentrepreneurs, they need the financial boost for the growth of their small businesses. So KMBI opens its doors to them through financial services that are often deprived from them by other financial institutions. Its microfinance program and entrepreneurial development services, which include general loan, capital build –up, microinsurance and growth-oriented training, assure them of a steady and sure access to their success. As social beings, they need the support that only other women microentrepreneurs can give. This is why, in the organization’s program, a group of 30 to 40 women come together every week for encouragement and accountability, to build up their network and linkages, and to ease stresses out of their backs. You know these women; when they meet, it’s as if time stops and the world is theirs. They gather strength from each others’ experiences, they mutually guarantee each other’s loans, and from their circle, positive impact begins. Their being mothers and friends is equally crucial because they have this unpretentious charisma that greatly influences the thought process and actions of those around them. Hence, above all, KMBI supports their spiritual growth for it believes that this is the foundation of their being genuinely transformed. Developing a personal relationship with Jesus Christ keeps them rooted in his teachings which they apply in doing businesses, rearing their children, supporting their husbands, and even taking care of the environment. Varying supports for the different roles these women play come in one bundle – holistic transformation, the heart of KMBI’s business. When these women’s lives are changed, their families also get influenced. When the positive effects are felt in the family, they will reflect this on their friends who will be affected also by this transformation and would likely want this to be the reality of their families, too. When communities change, then it is not too far away that this nation will be too.


WHAT WE DO

A

s a not-for-profit institution and transformation advocate, it is part of our core beliefs that the work we do should be able to help people out of poverty. We do this by focusing on the three C’s.

CAPITAL, CAPACITY, & CHARACTER By giving microfinance we build on the Capital of an individual. By giving livelihood training and financial literacy through our enterprise development department we build our clients’ Capacity. By giving weight on values formation we build our members Character. We introduce them to the teachings of Christ in the hope that we can bring transformation in our clients lives. Making them to be more responsible, mature and

sociable to the people they commune with. We believe that through these means, we are able to achieve our mission which is to see all families live in abundance, with strengthened faith in God and in right relationship with their fellowmen and the rest of the creation.

MICROFINANCE A. Group Loan Microfinance is all about giving access to financial services to low income clients that are mostly self-employed women who would be otherwise excluded from the services of commercial banks. Traditionally, vendors in the market would borrow money from loan sharks that charge very high interest rates

Messages Organizational Profile

11 11


(20 % /month). KMBI provides a more reasonable alternative with loans given at an interest rate of 20% payable in six months. Tied up in the group loan products are the capital buildup and insurance. B. Capital Build-Up (CBU) Capital Build-Up is an opportunity for program members to begin accumulating their own financial resources and lessen their vulnerability to crisis and dependence on outside credit sources. It is a reserve fund that they can use as additional business capital or for a new business venture upon retirement to the program. C. Micro-insurance Micro-insurance is an add-on service given to the program members who otherwise remains uninsured. Along with the Group Loan and Capital Build-Up, all clients aged 18 to 63 years old are required to enrol in this program to be protected in cases of death in the family. Offered under this service are death insurance and burial benefits.

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2011 ANNUALREPORT REPORT 2011 ANNUAL

ENTERPRISE DEVELOPMENT Studies say that at the onset of the client’s loan cycle, meaning, on the first and second loan cycle, there is the tendency for clients to divert their loans to household use, such as medicines or for educational purposes. Moreover, 83.16% of MF clients are into traditional livelihood or buy and sell type of business from which they do not gain significant profit spread to grow their enterprises. KMBI would like to address this challenge by teaching clients financial literacy, basic entrepreneurship through reading materials and teaching livelihood skills for the client to strengthen if not expand their businesses. KMBI believes that national progress is dependent on the growth of these microentrepreneurs. The organization would like them to have access to national and international markets, to have higher value added production and services, job


generation, and to be active in the development of their own local economy that will eventually lead to a more prosperous nation. The EDS or the Enterprise Development Division helps strengthen the core knowledge and skills of entrepreneur members of KMBI through knowledge sharing programs and capability building programs through client trainings and follow-through activities. EDS also aims to facilitate data gathering and recognition of microentrepreneurs through the annual KMBI Entrepreneur of the Year (KEY) awards. Those who excel in their fields of business operations trading, basic processing, services, manufacturing, and transport will be recognized. EDS also provides business development services through networking and linkaging to open more opportunities for clients to grow their business and expand their market outreach.

VALUES FORMATION Through the values formation intervention, positive values are instilled to program members/clients to enhance their relationship with their fellowmen (i.e. family, center members, and community), improve their business stance, create awareness, in taking care of the environment, and strengthen their faith in God. We believe that what makes us effective as a microenterprise institution is our strengthened focus on values formation. The Entrep center provides a venue for our clients to convene, share and learn the word of God and be equipped with the basic knowledge and understanding of character formation, concern for physical and mental health, awareness for the environment, correct attitudes towards work and others, and the integration of positive moral and social values in center activities. Some of the branch activities include: • • • • •

Staff Devotion and Retreats Weekly Center Meetings Leadership Training Outreach Projects Opportunity Ministries

Messages Organizational Profile

13 13


OPERATIONAL PERFORMANCE A

s KMBI turned 25, it continues to increase its presence in the local communities. During the 1st quarter of 2011, KMBI established its 71st branch at Pinamalayan, Oriental Mindoro. The establishment of Pinamalayan branch strengthened KMBI’s outreach to 260,000 women microentrepreneurs, surpassing its target to reach 250,000 households on its 25th year. Boosted by 6.35% growth in client outreach, total capital build up grew by P23.11M or 5.99% from last year. KMBI also managed to grow its loan portfolio of about 1.28% higher than last year. For 2011, KMBI had a total workforce of 1335 or 3.81% increase from 2010.

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INDICATORS

2011

2010

INCREACE (DECREASE)

Client Outreach

266,236

250,339

15,897

Loan Portfolio

Php650.46 M

Php642.27 M

Php8.19 M

Total Amount Disbursed

Php2.18 B

Php2.19 B

(Php0.01 B)

Average Loan Size

Php6,056.76

Php5,723.62

Php333.14

Portfolio at risk (%)

14.17%

10.65%

3.52%

Client Build Up

Php409.51 M

Php386.40 M

Php23.11 M

No. of Branches

71

70

1

No. of Centers

8,659

8,054

605

No. of Program Assistants

899

857

42

Total No. of Staff

1335

1286

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2011 ANNUALREPORT REPORT 2011 ANNUAL


FINANCIAL

PERFORMANCE I

n fulfilling the Goal 25.250, KMBI remain strong and resilient despite the organizational and operational challenges it faced in 2011. These hurdles contributed largely to the 98% decrease in the operational income compared to 2010.

The given year’s total investment is Php73.55 million. 47% of this was invested on the acquisition of lot in Panay, Quezon City for the planned construction of new KMBI building and Isuzu NHR truck cab for delivery of supplies to the branches. 24% of this was used in the opening of the Pinamalayan Branch in Oriental Mindoro. Another 24% was devoted to the leadership enhancement and development of employees and selected program members. 5% of this was utilized for the 25th year anniversary activities like tree planting, medical missions and organization-wide celebrations. Apart from these investments, KMBI increased its provision for salaries and wages, pensions, capacity building and loan losses.

INDICATORS

2011

2010

INCREASE (DECREASE)

%

Operational Income

653,842

36,610,144

(35,956,302)

(98%)

Asset

934,703,543

866,241,588

68,461,955

8%

Liability

540,242,420

472,434,307

67,808,113

14%

Fund Balance

394,461,123

393,807,281

653,842

.17%

ASSET/LIABILITY RATIOS

2011

2010

Current Ratio

1.83:1

1.89:1

Debt to Equity Ratio

1.37:1

1.20:1

CBU to Outstanding Loan Ratio

63%

60%

LR to Total Assets

70%

74%

Financial Self Sufficiency

98%

106.09%

Operational Sustainability

100.17%

108.80%

Messages Comparative Performance Analysis

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YEAR-END HIGHLIGHTS

T

he Kabalikat para sa Maunlad na Buhay, Inc. (KMBI) marked its 25 years of success in operations in 2011. Fueled with the theme Level Up! Next Generation, John 15:16, KMBI continued to advance its mission in holistic transformation. This year’s highlight includes branch expansion, launching of new products and services, and strengthening its community development programs. BRANCH EXPANSION The installation of branch office in Pinamalayan, Oriental Mindoro completed the 71-branch expansion plan of KMBI. At the end of the year, KMBI reached a total of 266,343 women microentrepreneurs nationwide that surpassed its Goal 25.250 or Reaching out to 250,000 Filipino households on its 25th year. Through its 71 branches, KMBI facilitate developments by providing access to loan facilities and capacity building programs that would help women microentrepreneurs grow their enterprise. LEADERSHIP ENHANCEMENT PROGRAM The 4th Leadership Enhancement and Development (LEaD) Camp was held at Waterfront Hotel, Cebu City. It was attended by almost 1,500 program members and staff. This was the first time program members joined the leadership camp. Thus it allowed both the staff and the program members to have healthy interaction and be equipped with spiritual insights and leadership skills. NEW PRODUCTS & SERVICES 1. Individual Micro Enterprise Program (IMEP) With the aim to establish broader range of financial services to help more Filipino households, KMBI launched its Individual Micro Enterprise Program or IMEP during the first quarter of the year. IMEP was developed to provide both financial and non-financial services for active program members who have established growth in their business

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2011 ANNUALREPORT REPORT 2011 ANNUAL

during their stay in KMBI’s group loan facility. Among the clients accepted in the pilot test of the said program are the two 2011 KMBI Entrepreneur of the Year (KEY) awardees from Metro Davao 1 branch. 2. Agricultural Microfinance Program (AMF) The prototype test of KMBI’s Agricultural Microfinance Program, a financial service that gives farmers easier access to loan facilities, currently serves 47 farmer clients in Koronadal, South Cotabato. With program package of financial services and technical assistance, it aims to improve farming communities by increasing economic activities and employment creation, improve the quality of life of farming households, and promoting environmental conservation through eco-friendly farming practices and agricultural techniques and methods. 3. Luntiang Kinabukasan and Kalusugan ay Kayamanan Projects KMBI gave birth to two symbolic projects as part of KMBI’s 25th Year Anniversary – Luntiang Kinabukasan, and Kalusugan ay Kayamanan Projects, a tree planting and medical and dental mission activities, aimed to develop environmental awareness and promotion of good health and wellness to all. Almost 150,000 seedlings from 59 branches and Head Office were reported planted nationwide to support the Luntiang Kinabukasan project for the third quarter of the year. On the other hand, over 1,000 program members benefitted from the Dental and Medical Mission under the Kalusugan ay Kayamanan project. COMMUNITY DEVELOPMENT PROGRAM The Community Based Enterprise Development Program or CBEDP invested almost P2 million in 2011 for the local enterprises in Brgy. Carpenter Hill, Koronadal, South Cotabato.


One of the successful enterprises of the program is the vermi-culture project of the Carpenter Hill Vermi-Culture/Vermi-Composting Association or CHIVCAS. The enterprise is currently on its harvesting stage, estimated to have 300-350 sacks of vermicast. The said produce is scheduled for delivery by January 2012 at the Provincial Agriculture Office (PAO). CHIVCAS, together with three other enterprises, i.e. Plant Propagation (CARPLANA), Waste Recycling (CHIWARA), and Masipag Rice Production (KOROFA) were registered to the Department of Labor and Employment (DOLE) through CBED program. Further, a study to expand its reach in Naga City is being undertaken. Carolina Community Development Enterprise in Naga, which is into hog and goat-raising, is undergoing monitoring to see its capability to impact the community in the said place. GRANTS Microsoft Corporation, the largest software company in the world, granted KMBI with $74,578 worth of Microsoft software programs. By providing free access to resources, Microsoft Corporation helped KMBI to increase productivity to better achieve its mission. The year 2011 has been very fruitful yet challenging for KMBI. But despite the challenges, KMBI is pushing forward to extend assistance and open new doors of opportunities. KMBI strives to continuously innovate, help build better communities and contribute in the nation’s poverty alleviation program.

Messages Year-end Highlights

17 17


YEAR IN REVIEW

K

MBI services do not only cater to the economic needs of its clients but also through various interventions, which help each individual grow in other aspects of his/her life. Getting involved in the community enables the organization to find more ways to gauge the current situation of its clients and provide programs and activities that suit them the most. DEVELOPMENT INTERVENTIONS One of the best ways to deliver the most adequate services is to equip the people who will convey the program with knowledge and skills. With this, there were 24 in-house trainings conducted, 3 staff members were sent to 28 local trainings and a few to an international training, held in Bangkok, Thailand to represent the organization in the recent Asia Pacific Rural and Agricultural Credit Association (APRACA) Forum. Further, 1,019 branch staff underwent basic record keeping training while 1,943 program members received basic entrepreneurship, business enhancement that includes budgeting and saving, basic record keeping and assessment of one’s entrepreneurial skills, and livelihood skills training workshop. In addition, three children of KMBI’s program members were able to graduate in college with the support of Knowledge for Inspiring Leadership Opportunities and Spirituality (KILOS) scholarship program of Alliance of Philippine Partners in Enterprise Development (APPEND). Currently, there are 12 children under the said scholarship program. SOCIAL RESPONSIBILITY Its continuing commitment to create a positive impact on the society pushes KMBI to always look after the welfare of its clients and their communities. Among the programs provided were:

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2011 ANNUAL 2011 ANNUALREPORT REPORT


Mass Wedding Beneficiaries: 524 Couples nationwide Investment: P1.4Million

microentrepreneurs, six program members from Bicol region while three from Davao joined Trade Fairs in their respective areas.

Relief Operations Beneficiaries: 2,2245 Program members affected by various calamities Investment: P836,942.41

SOCIAL PERFORMANCE MANAGEMENT Through tripartite partnership with Microfinance Counsel of the Philippines, Inc. (MCPI) and Planet Finance, the institutionalization of Social Performance Management is being undertaken to ensure its interventions with effectively penetrate through its clients.

Microinsurance Total Claims: P47,095,000.00 Enhancement: Enrollment of dependents is no longer co-terminous with the microinsurance of the program members. Partners: Cocolife Insurance Corporation and Country Bankers Life Insurance Corporation TRADE FAIRS To enable the microentrepreneurs meet many potential customers and partners who can help them expand their businesses, and to build good relationship among

RECOGNITION Always striving for excellence, KMBI received a Seal of Transparency from Microfinance Transparency (MT), an international non-government organization that promotes transparency by facilitating microfinance pricing disclosure, offering policy advisory services and developing training and education materials for all market stakeholder, for its unwavering pursuit to provide genuine care and quality services to Filipino families nationwide, a seal mainly attributed to the trust and confidence it receives from staff, clients, mentors and partners.

Year In Review Messages

19 19


Board of Trustees

Damiana D. Exiomo

Eduardo C. Jimenez

Emmanuel M. De Guzman

Atty. Servillano C. Mendoza

Dr. Amelia L. Gonzales

Dr. Ricardo B. Jumawan, Jr.

Chairman

Corporate Secretary

President/CEO/ Acting Executive Director*

Corporate Treasurer

Vice-Chairman & Vice-President

Member

*November to December 2011

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2011 ANNUALREPORT REPORT 2011 ANNUAL


Leadership Team

Deputy Executive Director

Rizaldy R. Duque

Sancho A. Montaos II

Resoure Mobilization and Communications Director

Finance & Accounting Director

Rhany P. Barrera

Maylanie D. Apawan

Nesie Grace A. Parsacala

Concepcion B. Parantar

Hazel Christine R. Bayaca

Liza D. Eco

Acting Operations Director

OIC, Legal Dept.

OIC, Transformation Dept.

Finance & Accounting Manager

OIC, Research & Development Dept.

Annalie D. Concepcion Administration Director

Michelle O. Guth OIC, Training Dept.

Madelyn P. Frijillano Audit Director

Reynald B. Alpajando OIC, Quality Management Dept.

Ma. Belen M. Sison

OIC, Entrepreneurship Dev. Services Dept.

Messages Leadership Team

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BRANCH DIRECTORY NORTH LUZON OPERATIONS NORTH LUZON WEST AREA

SAN CARLOS 2/F Rosario Building (SYM Motors) Rizal Street, San Carlos City, Pangasinan Telefax No. (075) 634-1785 URDANETA New Urduja Hotel Alexander Street, Urdaneta City, Pangasinan Telefax No. (075)568-5858 DAGUPAN 2/F Del Pilar Building, MH Del Pilar Street, Barangay Herrera Perez, Dagupan City, Pangasinan Telefax No. (075) 522-6830 SAN FERNANDO, LU G/F Kenny Plaza Building, Quezon Avenue, San Fernando City La Union Telefax No. (072) 607-1250

NORTH LUZON EAST

TUGUEGARAO 3/F Adrian Lao To Building, 145 Bonifacio Street, Barangay Centro 1, Tuguegarao City, Cagayan Telefax No. (078) 304-0494 SANTIAGO 3/F 17 City Road, Calao East Santiago City, Isabela Telefax No. (078) 305-1072

GUAGUA 3/F One Crowne Plaza, Plaza Burgos, Guagua, ] Pampanga Telefax No. (045) 901-1205 MABALACAT 2/F Explorer Bookstore Building, #11227 Mac Arthur Hi-Way Dau, Mabalacat, Pampanga Telefax No. (045) 892-1296 OLONGAPO 2/F Gonzales Law Office Building, 1015 Rizal Avenue W.T., Olongapo City, Zambales Telefax Nos. (047) 611-0477

NATIONAL CAPITAL REGION OPERATIONS BULACAN

MEYCAUAYAN 2/F Mancon Building, Mc Arthur Hi-Way Meycauyan, Bulacan Telefax: (044) 815-3960 BALIUAG 3/F Writ Building, 1733 Ano Street, corner Roberto Chico Street, Baliuag, Bulacan Telefax No. (044) 761-1958 MALOLOS G/F Paseo Del Congreso, Liyang, Malolos, Bulacan Telefax No.: (044) 796-0390

VALENZUELA 3/F JEM Building, Maysan Road, corner P. Gomez CAUAYAN 3/F Room 303, CLU Building, National Highway,Cauyan Street, Maysan Road, Valenzuela City Telefax No.: (02) 442-4940 City, Isabela Telefax No. (078) 652-3910 LAOAG G/F Hernandez Building, Barangay 5, J.P. Rizal Street, corner CA Samonte Street, Laoag City, Ilocos Norte Telefax No. (077) 771-4727 CENTRAL LUZON TARLAC Block 7, Que Building, San Nicolas, Tarlac City Telefax No. (045) 491-4842 CAPAS 2/F 573 Lanzangan Building, Sto. Domingo II, CapasTarlac Telefax No. (045) 491-3607 GAPAN G/F KL Building Tenio Street, San Vicente Gapan , Nueva Ecija Telefax No. (044) 486-7809

NCR NORTH

NOVALICHES 3/F Room 306-309, Our Lady of Mercy Building, #970 Quirino Hi-Way corner Ramirez Street, Novaliches, Quezon City Telefax No: (02) 355-7244 SAN JOSE DEL MONTE 2/F Umerez Building, Tungko San Jose Del Monte City, Bulacan Telefax No. (044) 815-0076

ANGELES 2/F Cano Building, Plaridel Street, Angeles City Telefax No. (045) 888-1396

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3/F RN Building, No. 17 Shaw Boulevard, Pasig City Telefax No. (053) 477-7598 BINAN 178 Bonifacio Street, Canlalay, Bi単an, Laguna Telefax No. (049) 411-5958

RIZAL

MARIKINA 3/F DUM Ruque Building, Barangay Tanong, Marikina City Telefax No. (02) 584-6870 ANTIPOLO 2/F E and F Building, M.L. Quezon Street, Antipolo City, Rizal Telefax No. (02) 584-7179 BINANGONAN 2/F LA Plaza Building, Rizal Street corner P. Gomez Street, Poblacion, Binangonan, Rizal Telefax No. (02) 369-0259 ANGONO 3/F Aurora Building, Quezon Avenue, Brgy. San Isidro, Angono, Rizal Telefax No. (02) 295-2802

SOUTHERN LUZON OPERATIONS CALABARZON 1

CALAMBA 3/F Sajitec Building, Crossing Calamba, Laguna Telefax No. (049) 502-7242 LOWER CAVITE G/F Huat Building, General Trias Drive, Rosario, Cavite Telefax No. (046) 438-1128 UPPER CAVITE 3/F Reclaine Building, Aguinaldo Hi-Way, Sampaloc 1, Zone II, Dasmarinas, Cavite Telefax No. (046) 852-3273 CENTRAL CAVITE 3/F Lolo Berong Building, Nueno Avenue, Imus, Cavite Telefax No. (046) 472-2251

TANDANG SORA G/F DND Royal Midway Plaza 419 Tandang Sora Avenue, Culiat, Quezon City Telefax No. (02) 952-4210

CALABARZON 2

WEST AVENUE 3/F Unit F Carbal Building, No. 68 West Avenue, Quezon City Telefax No. (02) 441-2363

STA. CRUZ 2/F ASL Building, P. Guevarra Street, Poblacion III, Sta. Cruz, Laguna Telefax No. (049) 501-6674

TALAVERA 2/F, Pecache Building, Marcos District, Talavera, Nueva NCR SOUTH METRO MANILA SOUTH 1 Ecija 3/F Trim Building, # 2755 Taft Avenue Pasay City Telefax No. (044) 411-0848 Telefax No. (02) 846-1304

PAMPANGA

PASIG

METRO MANILA SOUTH 2 2/F Unit E & F, Permarc Building, 8124 Drive, A. Santos Avenue, Sucat, Paranaque City Telefax No. (02) 846-6885

SAN PABLO Burgos corner Flores Street, San Pablo City, Laguna Telefax No. (049) 562-1308

GUMACA 2/F AQC Building, Barangay Penefrancia Gumaca, Quezon Telefax No. (042) 317-7465 LUCENA 3/F HR Building, Quezon Avenue, corner Gomez Street, Lucena City, Quezon Telefax No. (042) 710-8775


CALABARZON 3

BATANGAS 2nd Floor JPA AMA Building, Barangay 10 P. Burgos Street, Batangas City Telefax No. (043) 723-5325 LIPA 2/F Big Ben Complex, J.P. Laurel Hi-way, Mataas na Lupa, Lipa City, Batangas Telefax No. (043) 455-3168 BALAYAN 2/F Matheus Building, Fraternidad Street, Balayan, Batangas Telefax No. (043) 211-6648 PINAMALAYAN 2/F Copiado Building, Madrid Boulevard, Zone II Pinamalayan, Oriental Mindoro Telefax No. (043) 284-4450

BICOL

NAGA 2/F Thomas Enrile Building, Penefrancia Avenue, Naga City, Camarines Sur Telefax No. (054)472-2761 DAET 2/F Manlapaz Building, Governor Panoles Avenue, Daet, Camarines Norte Telefax No. (054) 440-7788 LEGAZPI 2/F Rosario Salavador Building, Rizal Street, Legazpi City, Albay Telefax No. (052) 481-3441 IRIGA LT Building, Lot 2-A, Gonzales St., San Francisco, Iriga City Telefax No. (054) 456-6012

VISAYAS OPERATIONS CEBU

CEBU SOUTH 2/F Rufina Arcade, South Expressway, Barangay Mambaling, Cebu City Telefax No. (032) 266-1688

ORMOC A Mall Building, Rizal Street, Ormoc City, Leyte Telefax No. (053) 255-7705

KIDAPAWAN 2/F Prudenciado Building, Jose Abad Santos Street, Kidapawan, North Cotabato Telefax No. (064) 521-0171

TAGBILARAN 2/F RCBC Building, CPG Avenue, Tagbilaran City, Bohol CARAGA Telefax No. (038) 412-0628 BUTUAN 2/F Rudy Tiu Building 3, Montilla Street, Butuan City, Agusan Del Norte NEGROS Telefax No. (085) 816-2630 BACOLOD 3/F VSB Building, 6th and 7th Street, Lacson Avenue, SURIGAO Bacolod City, Negros Occidental 2/F Elipe Building, corner Narciso & Kaimo Streets, Telefax No. (034) 434-2577 Surigao City, Surigao Del Norte Telefax No. (086) 826-2442 SILAY 3/F Pollantes Building, Rizal Street, Baragnay IV, Silay TAGUM City, Negros Occidental 2/F Door 12-A, Suarez Plaza, corner Sobrecary&Mabini Telefax No. (034) 495-3660 Streets, Tagum City, Davao Del Norte Telefax No. (084) 216-3292 KABANKALAN G/F POS Marketing Building, corner Guanzon & SAN FRANCISCO Lirazan Streets, Kabankalan City, Negros Occidental 2/F Gift Gallery Barangay, I Bravo Compound, San Telefax No. (034) 471-3313 Francisco, Aguasan Del Sur Telefax No. (085) 839-3348 ROXAS 2/F Hernandez Building, Roxas Avenue, Roxas City, Capiz Telefax No. (036) 632-0990

MINDANAO OPERATIONS SOCKSARGEN

GENERAL SANTOS 1 G/F Door 1 & 2 Aquino Building, J. Catolico Avenue, General Santos City, South Cotabato Telefax No. (083) 552-0686 GENERAL SANTOS 2 2/F RD Realty Development Corporation Building, Lukban Street corner Pendaton Street, General Santos City, South Cotabato Telefax No. (083) 552-0687 TACURONG 2/F Bernardo, General Ramon Magsaysay Avenue, Tacurong City, Sultan Kudarat Telefax No. (064) 477-0099

KORONADAL 2/F Del Rosario Building, General Santos Drive, corner Aquino Street, Koronadal, South Cotabato MANDAUE 2/F S.A. Building, Plaridel Street, Barangay AlangAlang, Telefax No. (083) 520-0280 Mandaue City, Cebu DAVAO Telefax No. (032) 238-4604 METRO DAVAO 1 2/F VAB Building, Mac Arthur Hi-way Ulas, LAPU-LAPU 2/F J.Y. Building, Patalinhug, BasakLapuLapu City, Cebu Davao City Telefax No. (082) 297-4518 Telefax No. (032) 505-4290 CEBU NORTH 4/F Martinez Building, Osmena Boulevard Street, Cebu City Telefax No. (032) 266-1690

LEYMARBO

TACLOBAN 4/F Dynasty Square, Zamora Street, Barangay 17, Tacloban City, Leyte Telefax No. (053) 321-4679

METRO DAVAO 2 Unit 2 & 3, 3rd Floor UCPB Building Business Center, San Pedro Street, Davao City Telefax No. (082) 222-4781 DIGOS 2/F JMC Building 2, Rizal Avenue Digos, Davao Del Sur Telefax No. (082) 272-0973

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PARTNERS & AFFILIATIONS Agricultural Credit and Policy Council Alalay sa Kaunlaran, Inc. Alliance of Philippine Partners in Enterprise Development Asia Pacific Rural and Agricultural Credit Association APRACA Center for Training & Research for Agricultural Banking Banco De Oro Unibank Inc. Bank of the Philippine Islands BPI Foundation Banking with the Poor Bicol Microfinance Council, Inc. Card Bank Card NGO Center for Small Entrepreneurs Central Luzon Association of Microfinance China Banking Corporation Cocolife Insurance Corp. Country Bankers Life Insurance Corporation Daan sa Pag-unlad, Inc. Department of Social Welfare and Development Department of Trade and Industry Development Bank of the Philippines Globe Bridging Communities Hagdan sa Pag-uswag Foundation, Inc. Haribon Foundation Katuwang Resource Cooperative Inc. Land Bank of the Philippines 24 2011 ANNUAL REPORT Land Bank Countryside Development Foundation, Inc.

City of Koronadal Micah Challenge Microcredit Summit Campaign Microfinance Challenge Microfinance Council of the Philippines, Inc. Microfinance Council For Region 1 and CAR Microfinance Management Institute Mindanao Microfinance Council Opportunity Kauswagan Bank Opportunity International Network Opportunity International - Deutchsland People’s Alternative Livelihood Foundation of Sorsogon, Inc. People’s Credit and Finance Corporation Philippine Christian University Philippine Council for NGO Certification PinoyME Foundation Planet Finance Planters Development Bank Punla Foundation, Inc. Rangtay sa Pagrang-ay, Inc. Talete King Panyulong Kapampangan, Inc. Taytay sa Kauswagan, Inc. Technical Education and Skill Development Authority TSPI Development Corporation United Coconut Planters Bank Visayas Association of Microfinance Institution Wholistic Transformation Resource Center


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2011 ANNUAL REPORT


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2011 ANNUAL REPORT


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