Be a Member of Our Own
LNP CREDIT COOPERATIVE
I. HISTORY
South Central Cooperative was established on September 3, 1991 with a total capitalization of
P62, 500.00 with the following as Cooperators:
1.
2.
3.
4.
5.
6.
7.
8.
Henry Fernandez
Antonio Panajon
Benjamin Montemayor
Ben Saplala
Robert Dee
Richard Dagelet
Cesar Castillo
Juan Gimenez
9. Jorge Santamaria
10. Carmelito Canillas
11. Salvador Estrada
12. Cirilo Santos
13. Ernesto del Rosario
14. Enrique Jimenez
15. Robert Lee
The Board of Trustees were:
1. Ben Saplala – Chairman
2. Antonio Panajon
3. Henry Fernandez
4. Benjamin Montemajor
5. Robert Dee
Ben Saplala was Chairman from September 3, 1991 to August 2007. When he retired, he was
given the title Chairman Emeritus due to his dedicated service to the LNP Coop. Rodrigo
Naguiat took over as Chairman, however, due to health reasons, he resigned and the Vice
Chairman, Cornelio C. Gison, became the Chairman up to present.
On September 14, 2006, the corporate name South Central Credit Cooperative was changed to
LNP CREDIT COOPERATIVE and approved by CDA.
As of today, LNP Coop has a total paid up share capital of P10, 629,731.72 with a total
authorized share capital of P20, 000,000.00.
The present Board of Trustees is composed of 5 members:
1.
2.
3.
4.
5.
Cornelio C. Gison – Chairman (SDB)
Antonio Albayda – Vice Chairman (NDD)
Antonio Pedro – Member/Chairman of Credit Com (SDB)
Dominador Asperilla – Member (CDA)
Victorico Fernandez – Member (NDA)
II. Highlights
A. Financial
1. Paid-Up Share Capital of P10,629,731.72 as of June 30, 2010
There is an increase in Paid-Up Share Capital of P1,214,292.90 against 2008 net of withdrawal. Total
Authorized Share Capital of P10 million fully subscribed & paid. Increased to P20 million, approved by
Cooperative Development Authority (CDA) last June 24, 2010.
2. Loans Receivable
Aging of Loans Receivable as of:
June 30, 2010
Amount
Current
1-30 days past due
31 days – 12 months
Over 12 months
%
8,034,254.70 96%
72,282.92 1%
253,972.53 3%
8,360,510.15 100%
Dec. 31, 2009
Amount
%
8,941,763.32 98.66%
74,706.59 0.82%
46,719.57 0.52%
9,063,189.48 100%
Dec.31, 2008
Amount
%
7,481,840.14 99%
29,193.75
0%
46,157.98
1%
32,400.00
0%
7,589,591.87 100%
3. Net Surplus
Net surplus for the years 2009 and 2008 in the amount of P435,294.40 and P322,798.23 respectively were
distributed as follows:
2008
2009
Interest on share capital
Patronage refund
Reserve fund
Education and training fund
Optional fund
Total
P208,941.31
108,823.60
87,058.88
8,705.89
21,764.72
P435,294.40
P154,943.15
80,699.56
64,559.65
6,455.96
16,139.91
P322,798.23
For the 6 months period ending June 30,2010 LNP Coop has undivided net surplus of
P301,044.18 as compared to P186,897.45 for the same period of 2009.
B. Others
1. Adapted a multi-tiered interest rates.
From
To
Medical
12%
8%
Education
12%
10%
Business
12%
14%
House/Car Repairs
12%
12%
Others
12%
12%
2. Reduced the number of directors from 9 to 5 for easier compliance of quorum in board meetings.
3. Approved increase in capitalization from P10 million to P20 million.
4. Expansion of membership in the coop to include all outreaches and partners in mission.
III. MEMBERSHIP POLICIES
a. Membership in LNP Coop is open to the following:
1. All LNP Members (covenanted/underway)
2. Children of LNP Members
3. Partners in Mission
The applicant shall subscribe to at least 10 shares with a total value of P500.00 upon submission of
application for membership and P100.00 for one time payment of membership fee.
b. Dividends are declared every end of the year which are slightly higher than interest on bank savings
account.
Interest on share capital depends upon the income of the LNP Coop at the end of the year. Rates of
dividends (net of tax) for the last 3 years are follows:
Year
Rate
2009
1.90%
2008
1.60%
2007
1.70%
IV. CREDIT POLICIES
a. Only members of the LNP Coop can avail of the loan. The amount that a member can borrow is 2.5x of
his fixed deposit. The loan shall be fully secured by his/her fixed deposit which should be at least 40% of
the loanable amount and 60% covered by co-makers or acceptable collaterals like
a. Vehicles
b. Lot/Lot improvements
c. Country Club Share
b. LNP Coop offers different types of loans with the following interest rates
1. Medical Loan – 8%
2. Educational Loan – 10%
3. Business Loans – 14%
4. House/ Car Repairs – 12%
5. Others – 12%
c. Term of loan is 1 to 2 years and covered a MRI (insurance) and secured by issuance of postdated
checks.
V. Unaudited Financial Statements as of June 30, 2010
LNP CREDIT COOPERATIVE
BALANCE SHEET
As of June 30, 2010
ASSETS
Current Assets
Cash in Bank -BPI Madrigal
Petty Cash
Short-term Investment
Loans Receivables
Other Receivables
Total Current Assets
Net Property & Equipment
Other Assets
TOTAL ASSETS
1,235,257.77
3,000.00
1,850,000.00
8,360,510.15
1,100.00
11,449,867.92
39,051.14
140,000.00
11,628,919.06
LIABILITIES & CAPITAL
28,824.71
153,050.63
181,875.34
Current Liabilities
Long Term Liabilities
TOTAL LIABILITIES
EQUITY
Member's Equity
Authorized share capital - 400,000 shares @ P50.00 par value
Paid-up share capital
Statutory Funds
Undivided Net Surplus
TOTAL LIABILITIES & CAPITAL
10,629,731.72
516,267.82
301,044.18
11,628,919.06
LNP CREDIT COOPERATIVE
INCOME STATEMENT
For the Six Months Period Ended June 30, 2010
REVENUE
Interest income from loans
Other Income
TOTAL REVENUES
730,834.10
37,686.82
768,520.92
LESS: EXPENSES
Salaries & Related Cost
Administrative Cost
TOTAL EXPENSES
NET SURPLUS
293,903.48
173,573.26
467,476.74
301,044.18
Estimated Allocation:
(Assuming same percentage is to be used)
Reserve Fund
20%
Educational & Training Fund
2%
Optional Fund
5%
Patronage Refund Payable
25%
Interest on Share Capital Payable
48%
60,208.84
6,020.88
15,052.21
75,261.05
144,501.21
301,044.18