Banker's Bond Special Year-end Issue 2014

THE OFFICIAL MAGAZINE OF SECURITY BANK CORPORATION

Your Life. Your Experience. Your Paper.

Special Year-end Issue

Celebrating good endings and bright beginnings

STRAIGHT FROM SECURITY BANKERS

I am thankful for all the good things and the not-so-good things this year. The good things made me feel so blessed. The not-so-good things made me a better and stronger person.

Bring it on, 2015! I am so ready for you!

- Bunny Sy, Davao Bajada Branch

I’m most thankful for being blessed with this wonderful (first) job and a great boss I can learn a lot from. Also, I am thankful for finding peace of mind at the end of every day - knowing that my family is safe back home in Bacolod. All thanks to Him. – Joella Regalado, Office of Financial Market Segment

2 BANKERS’ BOND |SPECIAL YEAR-END ISSUE

I’m thankful for the continuous blessings God has given me and my family – for always keeping my family healthy and happy all the time.

– Jho Floreto, Alabang Acacia Branch

I’m thankful for the love of God through Jesus Christ because it’s the same love that empowers me to love my family, colleagues, clients, and even the unlovable.”

– Katerina Campomanes, Eastwood Branch

“In 2014 I am blessed to have been given the chance to gain a new experience that opened my heart to helping the community. I discovered that by volunteering in the Classrooms Project, I am able to appreciate the many things that I should be truly grateful for in life. I always give to charity but sharing time with those who have less gives me more happiness and fulfilment.”

– Lanie Uy, Iloilo - Iznart Branch

2014 opened a new page in my SBC career: I became an operation specialist. New area, new adjustments. But as the year comes to an end, I really feel the outpouring of blessing.

I’m grateful to have a new set of friends and to feel the love and support in our area.

– Shiela Jane Quezon, Area 16

I am most thankful for the good health of my whole family.

– Josie Millevo, Koronadal Branch

I am truly grateful to Security Bank for giving a scholarship grant to my daughter, Chelsea Denise. With this unexpected blessing, my daughter is aiming for higher grades to maintain the scholarship. Thank you!

– Margaret Ann Signar, General Santos Branch

Remember how challenging 2013 was? It was a daunting year with transitions that tested our mettle, demanding endurance from each and every one of us.

Looking back at 2014, I brim with both joy and gratitude. We did more than simply achieve large strides. We made leaps and bounds which ushered major positive changes. We witnessed and actively participated in the birth of the new Security Bank - a revitalized brand that serves as the beacon which has guided us in our transformation.

We were each called to challenge ourselves even further, scaling our service and product excellence to levels our competitors can only hope for. We took those bold, daring steps necessary and essential to the evolution of our operations – from the frontline to the back-end. The journey was filled with edifying challenges that seemed overwhelming at times.

I am particularly proud of how, TOGETHER as a TEAM and as ONE FAMILY, we were able to defy the industry’s declining trend as it was weighed down by

market challenges. We emerged as winners, manifested by our stellar financial results. Indeed, new ideas and sound, prudent management are a good mix.

While we rejoice and relish the achievements of our journey, let us not dare lose sight of the fact that our performance proves that with PASSION and TEAMWORK, we can achieve what we set our sights on. And most importantly, it was only by the guidance, blessings and grace from our Lord and Savior, Jesus Christ, whose birth it is we celebrated with joy.

This year-end issue of Bankers’ Bond looks back at our blessings of success as we continue to aspire for greater milestones in 2015. We express our gratitude to our loyal customers for choosing Security Bank as their partner in success. I personally would like to pay homage to YOU – our dynamic men and women of Security Bank – who have made BetterBanking™ a living reality for us.

With thankful hearts, let us embrace the new year with hope and anticipation.

While we successfully laid the groundwork for BetterBanking™, let us continue to draw inspiration, not just from our recent achievements, but from each other.

Let us welcome 2015 with joyful hearts! Isang masaganang bagong taon sa inyong lahat!

Maraming salamat!

MESSAGE FROM THE PRESIDENT

As I contemplated on this year-end message, I couldn’t help but recall my message in 2013 – about what we went through together and how we’ve evolved in such a short span of time.

COVER STORY Yes, it was apt to top the year off with some champagne.

The year 2014 was not an easy one for Security Bank. Imagine a 63-year-old man, so used in his ways, who suddenly had to do a 360-degree transformation to become faster, bolder and better. Imagine the pressure to meet fast-changing market expectations. Imagine the momentary confusion – when faced with unfamiliar steps to take and new ideas to adopt. Yes, when you are 63 years old, successful and standing on solid ground, change can be overwhelming.

But being the seasoned troopers that we are, we did not let change daunt us. Security Bankers are known as a passionate breed and we readily rose to the challenge of rebranding ourselves and our business. With gradual but steady steps, we reinvented the way we do things – starting from the small, random everyday routine in the office to the high-impact customer initiatives.

With courage, we stepped out of our comfort zones and embraced many “firsts”. Some had new roles to play and played the roles well. With a better understanding of the stakeholders that we serve, we found a way to wonderfully merge tried-and-tested wisdom and never-before-done innovations. We’ve created a harmony between the old and the new, which is what the rebranded yin-yang is all about: the same desire to grow and to serve, only with better ways of doing it.

Whatever apprehensions we might have had at the onset of rebranding, we remained committed to our goal of living and breathing our brand promise of BetterBanking. Our commitment to the goal and desire to excel are far bigger than whatever fear of change we might have had.

The New Year promises new adventures for us. This early, let us claim it as “our year”. It will be that year when we would mark more breakthroughs, score more wins and, simply, make things better for our customers and for one another. It would be the year when we would have more reasons to celebrate and pop more bottles of that well-deserved champagne.

4 BANKERS’ BOND | SPECIAL YEAR-END ISSUE

BETTERBANKING™ FEATURE

Security Bankers share how they fulfill our promise of BetterBanking!

Serving as brand ambassadors

“Our Ayala Head Office Branch is probably among the busiest branches due to the sheer volume of customers we serve every day. Even though there are long lines, and some of our tellers have to skip lunch, we are inspired to go the extra mile because we have received positive comments about our industrychanging practice of paperless transactions! We try to be the brand ambassadors for BetterBanking because it also makes our jobs easier while allowing us to serve our customers’ need for fast, error-free and personalized banking.” - Fritzie Leonor Puno-Moog, Ayala Head Office Branch (CCAD)

Know your priorities at work

“BetterBanking” seems impossible to deliver at first.

Being the team leader of our telemarketing unit, I have to deal with a lot of concerns every moment I am in the office. I have to meet the requirements of my boss, my boss’ boss, my team, and my co-employees. At times, there are problems with our facilities, our clients, and even my personal life. I have to manage every expectation and to meet their needs in the best way I can. But how can I do that all at once? I’m no superman.

Until then I realized, I needed to re-evaluate my priorities. When I’m at the office, I put my problems away. I focus on my work to fulfill the needs of my external and internal customers. I must work wholeheartedly. That way, I would be able to deliver my promise. - Troy Palmiano, Business Development Group, Telesales, SB Cards

Here are real-life stories of how employees take to heart being brand ambassadors of Security Bank.

5

BETTERBANKING™ FEATURE

Offering options for the customer

I’ve been with Security Bank Savings for almost two years now, handling a seafarer’s product under Collections Department. It is always my pleasure to deliver quality service that meets the needs of our customers. We provided alternative solutions for more manageable payment terms for one of our seafarer clients. The client was very grateful to be given advice to fully pay off his loan in due time. They were very happy that the Bank gave ample consideration to their case and helped them settle their account. As a bank collector who always faces difficulties in talking with clients, it feels great when I know that one of them really appreciates my efforts. - Michael M. Mercado, Collections Department

Beyond banking boundaries

I would like to share with you a commendation for our teller, Karen Peco. A representative from one of the Bank’s corporate clients, a construction services firm, went to transact with our Fort Infinity Branch, even though their account is with another branch. It was Karen who attended to their needs and with her positive attitude and charisma, she gained their trust and confidence. For us, BetterBanking means rendering excellent service regardless of which branch a client’s account belongs to. – from a client’s testimonial for Fort Infinity Branch teller Karen Peco

Welcoming customers

There was a time when our “neighbors” here in Security Bank Pateros back office were asking me about our products, and our edge over other banks. I accommodated them and cheerfully shared information about us so that they would understand what BetterBanking means. Then I showed directions to the branch nearest to them so they could open accounts. That’s BetterBanking for me! Don’t ignore potential customers. Let’s welcome them to our Bank!

- Armand Gozum, BBOG - Document Verification Unit

Helping decision-makers

I’m fulfilling my BetterBanking promise by looking at data carefully and generating what-if scenarios, and not limiting myself to regular reports. This is to help decision-makers make more informed decisions on how to make our customers happy. – Claro Arriola III, Service Quality

Cross-selling opportunities

Last May, my friend, a civil engineer of a construction firm, applied for a Diners Club-SEAOIL Credit Card.

I forwarded his application to our Customer Contact Group. I took it upon myself to do follow-throughs with the group and to relay to my friend the requirements that were still needed. Everything was done through emails and phone calls. Until finally, my friend got his credit card. He was very happy with the credit limit assigned to him. He was so thankful that he cancelled his other bank credit card and decided to just keep our Diners Club-SEAOIL card. – Eds Manuel, Collections Division Card Operations Group

BetterBanking means rendering excellent service regardless of which branch a client’s account belongs to.

– a client’s testimonial

6 BANKERS’ BOND |SPECIAL YEAR-END ISSUE

It has become second nature to me to invite non-clients to open accounts with Security Bank.

- Rosalina Santos, Quezon Ave – South Triangle Branch

Persistence pays off

It has become second nature to me to invite nonclients to open accounts with Security Bank. I always ask clients encashing checks if they already have an account with us. I would tell them about the advantages of banking with Security Bank.

There are times when I get turned down since most of them only do one-time transactions. But I don’t lose hope. I keep on inviting them to bank with us. It gives me that satisfied feeling whenever there is a satisfied client who I’m able to add to the list of people who were able to experience the BetterBanking they deserve. – Rosalina Santos, Quezon Ave – South Triangle Branch

Meeting the needs of our top management and colleagues the best way I can is my way of showing ‘malasakit’ for the bank.

- Leon Santiago, Credit Division

Showing ‘malasakit’

I don’t have direct transaction with external customers but for me, meeting the needs of our top management and colleagues the best way I can is my way of showing ‘malasakit’ for the bank. Finding ways on how you can help them is my every day journey. This is my simple way of saying “thank you” for all the benefits and assistance that I’ve been receiving from the Bank. Hearing commendations from my internal customers inspire me to do better in my work. - Leon Santiago, Credit Division

7

BETTERBANKING™ FEATURE The Banking Center Group hosted a block screening of the much-awaited sequel, “Hunger Games: Mockingjay Part 1” for its clients in Metro Manila and Davao. Over 500 guests trooped to the Power Plant Mall on November 20 while 135 guests of Mindanao Banking Center and Branch Banking Group-Mindanao Area attended the Davao screening on November 22 at the Abreeza Mall.

The moviegoers also enjoyed free popcorn and drinks.

These client appreciation events are part of the Bank’s campaign for BetterBanking.

Abreeza Mall • November 22

Power Plant Mall • November 20

8 BANKERS’ BOND |SPECIAL YEAR-END ISSUE

All roads led to Sta. Elena Golf Club last November 17 for the 7th President’s Cup Invitational Golf Tournament. Over a hundred top golferclients of the Bank, composed of CEOs and key decision-makers, gathered for the much-anticipated event. Winning players brought home trophies and special awards. Raffle prizes included gadgets, a LED TV, and other designer golf items. Event partner CATS Motors, Inc. sponsored the holein-one prize: a brand new Mercedes-Benz B-Class. This yearly tournament is part of Security Bank’s initiatives to thank clients for their loyal support.

9

CHRISTMAS PARTY 2014

Celebrating unity

10 BANKERS’ BOND |SPECIAL YEAR-END ISSUE

in diversity

The Security Bank Group 2014 Christmas Party 06 December 2014 SMX Convention Center, Pasay City

11

MEDIA APPRECIATION Security Bank hosted the annual Moon Festival dice games for its media contacts from TV, print and radio.

Manila, October 2, The Peninsula Manila’s Salon de Ning

Cebu, October 14, Marriott Hotel

Davao, September 25, Seda Abreeza

12 BANKERS’ BOND |SPECIAL YEAR-END ISSUE

13

SPECIAL FEATURE A morning of thanksgiving and an evening of rock ‘n roll to celebrate 34 wonderful years!

14 BANKERS’ BOND |SPECIAL YEAR-END ISSUE

Is this an office? Are these work stations? The answer is – YES! Several offices at SB Cards have taken their Christmas décor to an even higher level. As some of them described it – “buwis-buhay”. Their holiday décor is just awesome - transforming their work stations into their own Christmas land using creative themes. They have taken conscious efforts to care for the environment by using recycled materials. There were décors made of scratch paper, used spoons, bottle caps (tansan), used brown bags and popsicle sticks, among others. It’s amazing how they could come up with décor as elaborate and as fabulous as these, considering that they are busy attending to customers’ needs and other work requirements. That is what you call passion!

15

COMMUNITY EVENTS SB Foundation takes pride in helping build a nation of responsible and outstanding young people through its Student Excellence Awards. Every year, the foundation recognizes top graduating students of businessrelated courses from partner schools which include UP Diliman, Ateneo de Manila University, University of Sto. Tomas and Centro Escolar University. Each awardee receives a plaque of recognition and cash prize of P50,000. Bankers’ Bond is proud to share the graduation highlights of last year’s awardees.

SB Savings President Gina Go (2nd from left) congratulates BS Computer Science graduate Adelen Victoria Po Festin (3rd from left) during the commencement exercises of UP Diliman.

Kervin John P. Picones (2nd from left), BS Business Administration graduate from UP Diliman, receives the Student Excellence Award from Treasurer Raul Martin Pedro (3rd from left) during his graduation.

16 BANKERS’ BOND |SPECIAL YEAR-END ISSUE

John Noel C. Victorino of Ateneo (3rd from left) is joined by Asset Management Group Head Concep Cruz (2nd from left) during their graduation ceremony. The awardee took up BS Applied Math major in Mathematical Finance.

Corporate Services Group Head Belen Lim conferred the Student Excellence Award to UST BS Commerce graduate Charlston Joseph Sagaran during the commencement exercise held at the UST Quadricentennial Pavilion.

Corporate Banking Group Head Isay Arcilla (leftmost) joins the Centro Escolar University’s graduation ceremony at The Manila Hotel where Carrissa Ysabel R. Magsalos (3rd from left) was one of the graduates.

EMPLOYEE EVENTS

9-Time Blood Donor!

BLOOD DONORS – GALLONER AWARDEE ITG’S IPE BAUTISTA

BLOOD DONORS RECOGNITION AWARDS

(in coordination with St. Luke’s Medical Center-Quezon City)

BLOOD DONATION

HEALTH CHECK

BOWLING TOURNAMENT

17

COMMUNITY EVENTS

Fifty public school teachers from Bicol and Visayas learned fun ways to teach elementary math in a three-day program organized by SB Foundation in Lahug, Cebu City.

Pres. Manuel A. Roxas Memorial School South and SPED in Roxas City, Capiz received eight new classrooms housed in a two-storey building from SB Foundation.

18 BANKERS’ BOND |SPECIAL YEAR-END ISSUE

and compare the products out in the market before making any decisions. Do not forget to consult a professional broker and make sure to get the best investment scheme most suitable for you.

Nowadays, aside from personal crises and career issues, money management is also one of the things bothering most Filipinos – whether they’re 20-, 30- or 40-something. Don’t be pressured!

Here are tips to keep you going.

1. Save when you’re still young It’s often easier said than done, but without any doubt, time is the most vital part in saving. More time, more savings and the combination of the two – multiplying savings.

The younger you are, the longer time you have to maximize the growth of your financial portfolio.

If you think you’re not so young anymore, do it now.

2. Spend within your means It does not make sense to spend more than what you earn. However, many young professionals do this – buying clothes, eating out a lot, spending a lot for themselves, living from payday-to-payday. It’s never a good thing for your financial wellness. Regardless if you own millions or a few money, this is a golden rule to financial stability.

3. Budget your money (50-30-20) To be able to spend less, you should learn to make a proper

budget for a certain time period.

Be resourceful; you can download apps that synchronize your financial plans from mobile to PC to email. Financial experts suggest on following the 50-30-20 plan on budgeting. This means that 50% of your income should go to necessities like rent, utility bills and other needs; 30% should go to the income you could spend while 20% should go directly to your savings.

4. Open a savings account It’s much easier to apply for a savings account compared to other bank products, and the great thing about it is that it won’t cost you anything but will even give you more. The interest is not big though but it pays to put your money in it especially when you only do deposits.

6. Own a financial plan Again, timing is everything when owning a financial plan (aka insurance) to protect you and your loved ones from the financial impact of unfortunate life events.

The younger you are, the cheaper you will pay because you have more years to pay for it unlike the older folks. The best thing about financial plans these days is that they offer living benefits (meaning, the insured person doesn’t need to pass away for the benefits to be availed). Several financial plans offer guaranteed cash values that can be redeemed at a prescribed time. Depending on market performance, there are plans that earn dividends. For an added amount, you can further protect yourself by adding riders that cover hospitalization and other health concerns.- Source: MoneyMax.ph

5. Invest It’s not hard and expensive to explore investment tools that suit your needs and your budget. In fact, there are several companies in the Philippines that offer affordable ways for you to save long-term even with a small starting investment. It is oftentimes a matter of balancing risk and protection, but the key is to research first

19

Invest in Best Performing Funds

You deserve two of the best investment fund options in the industry.

On a year-to-date (YTD) and year-on-year (YOY) basis, SB Peso Equity and SB Asset Variety Funds continue to be the top performing funds in the Philippine equities and balanced funds categories. With Security Bank Funds outperforming majority of its competitors in these major categories, investors are rewarded with higher than average gains.

The best part? You only need P10,000 to start investing!

To learn more about SB Funds and other trust products, email trustmarketing@securitybank.com.ph or visit a Security Bank branch nearest you. www.securitybank.com/SBFunds DISCLAIMER: The above is only based from historical data and does not summarize all the risks, terms and conditions. The investor must conduct due diligence before proceeding to invest into any such funds. Please take note that any changes in process or levels are subject to mark-to-market valuation.

Past performance is not indicative of future returns. Returns may fluctuate depending on market price movements. Neither Security Bank Corporation or any of its subsidiaries are to be held responsible for losses due to market conditions.