ANNIVERSARY NUMBER 1919 



Other island products were also moved be- 

 fore conditions became ruinous for the pro- 

 ducer. Thousands of tons of shipping were 

 secured for Manila and other Philippine ports, 

 and in addition it was largely through the 

 efforts of the bank that the low rate of $15 

 per long ton for sugar from the islands to 

 the Pacific coast was secured. This low 

 xate operated to overcome the natural dis- 

 advantages of distance and disproportionate 

 tariff reduction, and there is now little ques- 

 tion that, unless it had been secured, the 

 major portion of the accumulated crop here 

 would have, of necessity, have had to rot 

 in- the warehouses. 



Similar campaigns in the interest of the 

 hemp and tobacco producers of the islands 

 have since been launched through the bank's 

 initiative, and it was largely as a result of 

 ;ts efforts that a steady stream of tobacco 

 leaf, cigars and cigarettes for the American 

 markets and for the boys in the trenches in 

 France was kept flowing. For the boys 

 in France alone, 190,000 cigars, 3,349,000 

 cigarettes and well over half a ton of smoking 

 tobacco were sent forward through the efforts 

 of the bank and the cooperation of local 

 tobacco dealers and manufacturers. 



The Philippine National Bank is subject 

 to inspection, at regular intervals, by the 

 insular government auditor, and is also sub- 

 ject to the inspection of the insular treas- 

 urer at any time. It is the sole depository 

 of the funds of the Philippine insular govern- 

 ment and of the various provincial and muni- 

 cipal governments of the archipelago. 



Following the passage of the act which 

 gave it life, Dr. H. Parker Willis, secretary 

 of the federal reserve board of the United 

 States, was called to the islands in the spring 

 of 1916 to effect its organization, and he was 

 made the first president of the institution. 

 His duties in connection with its organization 

 and with its opening were performed while 

 he was on leave of_absence from his federal 



LOBBY 



position, and it later became necessary for 

 him to resign in order to resume his duties 

 in the United States. He was succeeded by 

 Samuel Ferguson, formerly secretary to 

 Governor General Harrison, and upon Mr. 

 Ferguson's death last year, General Venan- 

 cio Concepcion, formerly deputy collector 

 of internal revenue, was made president. 



The bank was organized in 1916 and from 

 May 2 until June 22 of that year the time 

 was consumed in the preparation of adequate 

 quarters and the training of sufficient person- 

 nel to perform the regular duties of the in- 

 stitution. The bank was located on the 

 Escolta, the main business thoroughfare o* 

 Manila, and occupies a large portion of both 

 ground and mezzanine floors of the Masonic 

 Temple building, Manila's most modern 

 office structure. Plans have now been com- 



pleted for a new bank" building which will 

 cost in the neighborhood of $2,000,000 and 

 which will be the finest edifice of its kind in the 

 Orient. Work on the new building, which 

 will face the southern approach to the new 

 bridge across the Pasig river named in honor 

 of Congressman William Atkinson Jones of 

 Virginia, author of the Jones law which is 

 now the organic act of the Philippine gov- 

 ernment, will be commenced sometime this 

 spring. 



Under its organic act the bank is required 

 to set aside one-half of its net earnings 

 each fiscal year for the creation of a reserve, 

 and is also limited to the declaration of a 

 dividend of 12 per cent on the par of its 

 Stock. During the first six months of its 

 existence it declared a dividend at the rate 

 of 9 per cent per annum, after meeting re- 

 serve requirements, and for the fiscal year 

 ending December 31, 1918, the net earnings 

 of the institution were in excess of 47 per 

 cent on outstanding stock. Through the 

 legal provision limiting the amount of the 

 dividend which may be declared by the 

 board of directors, a large surplus is being 

 built up which has enhanced the value of 

 the stock until at present it is selling in the 

 neighborhood of P200 for each share of TWO 

 par. 



LIBERTY BONDS AND W S. S. DEPARTMENT 



TOTAL ASSETS 



May 23, 1916 _P11,800,000.00 



July 15, 1916 P29,300,000.00 



Dec. 31, 1916 PSO.700,000.00 



June 30, 1917 _P98,035,000.00 



Dec. 31, 1917 PUS, 276.000. 00 



June 30, 1918 P210.942.000.UO 



Dec. 31,1918.-.. ....P248,798,000.00 



