3Q18 Investor Presentation Presentation Outline I. Overview II. - - PowerPoint PPT Presentation

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January 2019

3Q18 Investor Presentation

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Presentation Outline

I. Overview II. Financial Highlights III. Ownership, Board and Management IV. Environmental, Social and Governance V. Awards and Citations

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• The Philippines’ largest bank with total

assets of P2.9 Tn (USD53.9 Bn).

• A full-service universal bank with one of

the widest distribution networks consisting of more than 1,200 operating branches and over 4,000 ATMs nationwide.

• Part of the SM Group, one of the

country’s largest conglomerates.

About BDO

SLIDE 4

Milestones

• Expansion through organic growth and M&As

1967

KB license

1994

P77 BN

Merged with Dao Heng Bank Philippines

2001

P36 BN U/KB license

1996

Acquired 1st e-Bank’s banking business

P121 BN

2002

Acquired UOB Philippines’ branch banking business

P234 BN

2005 2012

Acquired Rural Bank of San Juan’s banking business

P1.2 TN

2014

Acquired Citibank Savings, DB Trust and Real Bank

P1.9 TN

Acquired One Network Bank

2015

Acquired by SM Group

1976

Assets P13 BN P617 BN

Merged with Equitable PCI Bank. Acquired Amex Savings Bank Philippines

2007 2016 2017

Joint Ventures with Nomura Securities, and Mitsubishi Motors Phils./Sojitz/JACCS; Acquired exclusive franchise of Diners Club Int’l and full control of Generali Pilipinas Life (renamed as BDO Life Assurance)

P2 TN

• Est. as

Acme Savings Bank

2003

Acquired Banco Santander Philippines

P149 BN P2.3 TN

2008 2009

Acquired GE Money Bank

P862 BN P802 BN Full-Service Bank Strategy Niche Strategy #19 #17 #13 #9 #9 #5 #2 #1 Ranking Commercial Bank Expansion P2.7 TN

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Full Service Bank

• Complete range of financial products and services

Corporate & Institutional Banking



Corporate and middle market lending



Trade finance



Specialized lending



Financial Institutions



Cross-border financing

Consumer Banking



Auto



Mortgage



Credit cards



Personal loans



Merchant payment processing

Leasing & Finance



Direct lease, sale and leaseback arrangements



Installment paper purchases



Receivable discounting and factoring

Branch Banking



Deposit & related products



Over-the- counter transactions



Cross-selling distribution platform

Treasury Services



Fixed income dealership



Foreign exchange transactions



Portfolio management



Liquidity management

Transaction Banking



Cash management



Electronic banking



ATMs



Prepaid cards



Merchant acquiring



Remittances

Trust Banking



Investment management



Unit investment trust funds



Living trusts



Retirement funds



Special trusts / custodianship

Private Banking



Wealth advisory



Customized portfolio management

Investment Banking



Underwriting & distribution of fixed income & equity securities



Fin’l advisory



Project finance



Loan syndication

Stock Brokerage



Equities trading



Online stock trading

Insurance



Brokerage (property & casualty)



Bancassurance (individual & group life insurance)

Rural Banking



Salary loans



MSME loans



Deposit products



Cash management



Remittances

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Market Reach

• Wide and extensive coverage in key areas

25

International Offices

Europe - 10

10 Remittance Offices

Middle East - 1

Representative Office

Asia - 11

2 Full-service Branches 6 Remittance Offices 3 Representative Offices

North America - 3

Remittance Offices

Philippines - 1,262 Branches

As of 28 December 2018

BDO ONB Total Luzon 349 18 367 Metro Manila 573 1 574 Visayas 121 18 139 Mindanao 81 101 182 Total Branches 1,124 138 1,262

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Business Franchise

#1 Customer Loans #1 Deposits #1 Remittances #1 Assets Under Management #1 Private Banking Leading Trade Services Provider2 Major Player in Cash Management3 #1 Rural Banking #2 Leasing & Finance #1 Investment Banking4 #1 Insurance Brokerage5

• Market-leading positions in almost all business lines

#1 Credit Cards1

Notes: 1 In terms of cardholder base, merchant acquiring gross billings, and credit card receivables 2 According to Asian Banking and Finance, Global Finance 3 According to The Asset, The Asian Banker, Alpha South East Asia 4 In terms of corporate issuances 5 Among insurance brokers in terms of premiums produced and commissions earned

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2,345 1,5811,5441,543 693 692 468 448 442 410

LBP BPI MBT PNB CHIB SECB DBP UBP RCBC

1,947 1,325 1,283 737 534 484 398 378 301 244

MBT BPI LBP PNB CHIB SECB RCBC UBP DBP

2,892 2,1411,9631,782 906 814 735 637 635 618

MBT BPI LBP PNB CHIB SECB UBP DBP RCBC

8

Industry Ranking

Total Assets

(in PHP billions) Source: Company data, consolidated statements of condition (SOC). Ranking as at 30 September 2018 Note: Financials prepared by banks under BSP’s SOC requirements differ slightly from reported financials under SEC guidelines due to certain differences in accounting rules requested by the two authorities

Gross Customer Loans Customer Deposits Assets Under Management

• No. 1 among Philippine banks

(in PHP billions) (in PHP billions) (in PHP billions)

BDO Market Share – 19% BDO Market Share – 34% BDO Market Share – 22% BDO Market Share – 18% 1,061 583 433 328 131 117 92 86 86 46

BPI MBT LBP CHIB SCB PNB UCPBRCBCSECB

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BDO Private Bank,

• Inc. 100%

BDO Capital & Investment Corporation 99.88% BDO Leasing and Finance, Inc. BDO - 87.43%, BDO Capital – 1.11% One Network Bank,

• Inc. (A Rural Bank)

99.85% BDO Remit (USA),

• Inc. 100%

BDO Remit (Japan) Ltd. 100% BDORO Europe Ltd. 100% BDO Remit (Canada) Ltd. 100% Express Padala (HK) Ltd. 100% BDO Remit(Italia) S.p.A. 100% (a) BDO Remit Limited 100% BDO Remit (Macau)Limited 100% BDO Remit Int’l Holdings B.V. 96.32% Averon Holdings, Inc. 100% BDO Rental,

• Inc. 100%

MMPC Auto Financial Services Corp. 40%

BANKING / FINANCE

BDO Unibank, Inc.

Armstrong Securities 80% (b)

REMITTANCES INSURANCE PROPERTY

BDO Nomura Securities, Inc. 51% BDO Strategic Holdings, Inc. 100% BDO Insurance Brokers, Inc. 100% BDO Life Assurance Company (formerly Generali Pilipinas Life Assurance Co.) BDO-97.0%, BDO Capital-3.0% Equimark-NFC Development Corp. 60% SM Keppel Land, Inc. 50% Northpine Land, Inc. 20% Taal Land, Inc. 33.33% (b) Unicorn First Properties, Inc. 35% (a)

OTHERS

NLEX Corp. (formerly Manila North Tollways Corp.) 12.4% Venture Industry for Business Enterprises 24% (a)

• With equity investments in allied and non-allied enterprises

Organizational Structure

** not yet operational. (a) For dissolution (b) For sale BDO Securities Corporation 100% BDO Remit (UK) Ltd. (formerly CBN London Ltd.) 100% CBN Greece S.A. 99.92% (a) BDO Remit (Ireland) Designated Activity Company. 100% CBN Remittance Center S.A. 99.99%

Stockholders of BDO Financial Allied Subsidiary Financial Allied Affiliate Non-Financial Allied Subsidiary Non-Allied Undertaking Subsidiary/Affiliates of BDO Subsidiaries Non-Financial Allied Affiliate

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The Banker Top 1000 World Banks – Tier 1 Capital 2017

10

USD Million 231 Rank Origin Bank 235 232 234 237 238 239 240 233 236 5,421 5,419 5,403 5,391 5,344 5,289 5,203 5,140 5,114 5,067 Bank Gospodarstwa Krajowego Taipei Fubon Bank Iyo Bank Mashreqbank BDO Unibank

• E. Sun Commercial Bank

Yes Bank Bank Nederlandse Gemeenten Qatar Islamic Bank Landwirtschaftliche Rentenbank

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5,344 3,611 3,325 1,940 1,782 1,415 1,088 1,014

1000 2000 3000 4000 5000 6000

MBT BPI SECB PNB CHIB RCBC UBP

The Banker Top Philippine Banks – Tier 1 Capital 2017

11

USD Million Bank 1 Rank 2

3

4 5 6 7 8

Acronyms: BDO BDO Unibank PNB Philippine National Bank BPI Bank of the Philippine Islands RCBC Rizal Commercial Banking Corp. CHIB China Banking Corporation SECB Security Bank Corp. MBT Metropolitan Bank& Trust UBP UnionBank of the Philippines Note: Only private banks are included in the 2017 individual country rankings list

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Credit Ratings

Moody’s Fitch 09-Jul-2018 19-Nov-2018 Foreign Currency Bank Deposits/Issuer/Debt Rating (IDR) Long Term Baa2 BBB- Short Term P-2 F3 Outlook Stable Stable Senior Unsecured debt Long Term Baa2 BBB- Short Term P-2 Outlook Stable BCA/Viability/Financial Strength Rating Baseline Credit Assessment (BCA) baa2 Adjusted BCA Rating baa2 Viability Rating bbb- Financial Strength Rating Outlook Counterparty Risk (CR) Assessment Long Term Baa1(cr) Short Term P-2 (cr) Counterparty Risk Rating (CRR)* Foreign Currency Long Term Baa1 Short Term P-2 Local Currency Long term Baa1 Short Term P-2 *Ratings affirmed based on Fitch Press Release dated Nov. 19, 2018 Source: Moody’s, Fitch

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Trading Fact Sheet

Stock Details Type Common Shares Stock Ticker BDO ISIN PHY077751022 Exchange Philippine Stock Exchange Par Value P10.00 Outstanding No. of Shares* 4,374,048,064 Foreign Ownership Up to 40% American Depositary Receipts (ADR) Program Details Type Sponsored Level 1 ADR ADR Ticker BDOUY ISIN US05537Y305 Ratio 1 ADR = 10 Ordinary Shares Depositary Bank Deutsche Bank Trust Company Americas Contact Details ADR Broker Helpline Tel (New York) + 1 212 250 9100 Tel (London) + 44 207 547 6500 Email adr@db.com ADR website www.adr.db.com Depositary Bank's Local Custodian Deutsche Bank AG, Manila

*As of December 31, 2018

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Presentation Outline

I. Overview II. Financial Highlights III. Ownership, Board and Management IV. Environmental, Social and Governance V. Awards and Citations

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9M18 P&L

(in PHP billion) 9M18 9M17 YoY% 9M18 9M17 YoY% Interest Income 92.5 72.8 27% 90.4 71.0 27% Loans & Other Receivables 82.5 64.1 29% 81.3 62.9 29% Interest Expense 21.0 13.1 61% 20.9 12.8 63% Net Interest Income 71.5 59.8 20% 69.6 58.2 20% Non-interest Income 35.8 34.8 3% 28.2 25.5 10% Fee Income 22.2 20.8 7% 21.6 20.0 8% Insurance Premiums 8.7 7.2 21%

• -
• Trading & FX

1.0 3.3

• 71%

2.9 2.2 30% Others 3.8 3.5 11% 3.7 3.3 9% Gross Operating Income 107.3 94.6 13% 97.8 83.7 17% Operating Expense 71.7 63.6 13% 63.3 54.6 16%

• Ins. Reserves, Benefits and Claims 5.0 5.8
• 13%
• -
• Pre-Provision Operating Profit

35.5 31.0 15% 34.5 29.2 18% Provisions 5.5 4.4 25% 4.9 4.1 20% Net Income Before Tax 30.0 26.6 13% 29.6 25.1 18% Taxes 8.6 6.2 39% 8.2 6.1 36% Net Income 21.5 20.4 6% 21.4 19.0 13% BDO Conso BDO ex-ONB & BDO Life

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3Q18 Balance Sheet

(in PHP billion) 3Q18 3Q17 YoY% Resources Reserve Assets 528.7 561.3

• 6%

Investment Securities 366.9 330.8 11% Gross Customer Loans 1,959.4 1,669.8 17% Investment Properties 18.9 15.5 22% Other Assets 47.8 42.5 13% Total Resources 2,921.7 2,619.9 12% Liabilities Deposits 2,345.9 2,090.4 12% CASA 1,641.6 1,523.7 8% Bills Payable/Sub-Debt 148.3 133.7 11% Insurance Contract Liab. 25.8 25.7 0% Other Liabilities 89.9 75.4 19% Total Liabilities 2,609.9 2,325.2 12% Total Capital 311.8 294.7 6% Total Liabilities & Capital 2,921.7 2,619.9 12% BDO Conso

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16% 16% 20% 14% 17% 19% 17% 15% 19% 20% 17% 16% 18% 17% 0% 5% 10% 15% 20% 25% 30% 2012 2013 2014 2015 2016 2017 3Q18

Industry BDO

16% 8% 15% 17% 17% 22% 28% 15% 19% 20% 17% 16% 18% 17% 0% 5% 10% 15% 20% 25% 30% 2012 2013 2014 2015 2016 2017 9M18

Growth in Interest income from Loans Only (YoY) Loan Growth (YoY)

17 BDO Loan Growth vs. Industry BDO Loan Growth vs. Interest Income Growth

a aUKB, based on loans net of RRPs

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BLR 5.0% 9.0% 9.4%

20.4 (9M17)

14.5 22.6 22.8 25.0 26.2 28.1 21.5 12.0% 14.3% 13.7% 13.6% 12.7% 10.3% 9.5%

• 500.0%
• 400.0%
• 300.0%
• 200.0%
• 100.0%

0.0%

5 10 15 20 25 30 35 2012 2013 2014 2015 2016 2017 9M18 (in P bn)

Net Income

18

Capital & Leverage Ratios BDO 3Q18a

CAR

• Min. w/

BSP DSIB Industry ROE 12.7% 13.7% 11.0% 9.8% 10.5% 10.0% 9.3%

bUKB b

a Per SOC, BSP

ROCE

Net Income & ROE

1Q18 7.9% 2Q18 9.7% 3Q18 11.0%

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Income Statement

(in PHP billion) 2012 2013 2014 2015 2016 2017 9M18 Interest Income 54.0 56.6 63.6 72.1 82.0 99.8 92.5 Interest Expense 17.9 13.4 12.4 15.2 16.4 18.0 21.0 Net Interest Income 36.1 43.2 51.2 57.0 65.6 81.8 71.5 Non-interest Income 24.4 31.8 29.5 31.8 41.6 47.2 35.8 Fee Income 13.4 15.5 18.0 19.4 22.2 28.9 22.2 Insurance Premiums

• 8.1

9.9 8.7 Trading & FX 8.2 12.8 7.1 7.2 4.8 3.9 1.0 Others 2.8 3.6 4.4 5.3 6.5 4.5 3.8 Gross Operating Income 60.5 75.0 80.7 88.8 107.2 129.0 107.3 Operating Expenses 39.5 43.3 48.5 55.1 70.0 84.9 71.7

• Ins. Reserves, Benefits and Claims
• 5.7

7.5 5.0 Pre-Provision Operating Profit 21.1 31.8 32.2 33.7 37.2 44.1 35.5 Provisions 4.9 7.0 5.1 3.0 3.8 6.5 5.5 Income bef. Pre-Acquisition 16.1 24.8 27.1 30.7 33.4 37.6 30.0 Pre-Acquisition Income

• (0.4)
• Taxes

1.6 2.1 4.2 5.7 6.8 9.5 8.6 Net Income 14.5 22.6 22.8 25.0 26.2 28.1 21.5

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Balance Sheet

(in PHP billion) 2012 2013 2014 2015 2016 2017 3Q18 Resources Reserve Assets 201.4 491.5 488.4 461.7 511.0 511.1 528.7 Investment Securities 237.3 227.9 221.5 225.8 269.0 332.9 366.9 Gross Customer Loans 769.0 911.5 1,089.4 1,279.4 1,482.0 1,754.9 1,959.4 Investment Properties 9.1 10.4 13.9 14.6 15.2 18.0 18.9 Other Assets 24.8 31.5 50.5 49.9 47.8 51.2 47.8 Total Resources 1,241.5 1,672.8 1,863.6 2,031.3 2,325.0 2,668.1 2,921.7 Liabilities Deposits 931.6 1,345.3 1,492.3 1,663.9 1,905.2 2,121.0 2,345.9 Bills Payable/Sub-debt 100.4 97.3 110.4 107.6 110.6 140.5 148.3 Insurance Contract Liab.

• 20.6

26.0 25.8 Other Liabilities 55.2 65.8 81.3 60.2 71.1 82.3 89.9 Total Liabilities 1,087.2 1,508.4 1,684.0 1,831.6 2,107.4 2,369.8 2,609.9 Total Capital 154.4 164.4 179.7 199.6 217.6 298.3 311.8 Total Liabilities & Capital 1,241.5 1,672.8 1,863.6 2,031.3 2,325.0 2,668.1 2,921.7

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Financial Performance Indicators

2012 2013 2014 2015 2016 2017 9M18 Profitability Return on Ave. Common Equity 12.0% 14.3% 13.6% 13.6% 12.7% 10.2% 9.5% Return on Average Assets 1.3% 1.6% 1.3% 1.3% 1.3% 1.1% 1.0% Margins and Liquidity Net Interest Margin (NIM) 3.4% 3.3% 3.2% 3.2% 3.2% 3.5% 3.6% Loan to Deposit Ratio 82.5% 67.8% 73.0% 76.9% 77.8% 82.7% 83.5% Liquid Assets to Total Assets 35.3% 43.0% 38.1% 33.8% 33.5% 31.6% 30.7% Cost Efficiency Cost to Income Ratio 65.2% 57.7% 60.1% 62.1% 65.3% 65.8% 66.9% Cost to Assets Ratio 3.4% 3.0% 2.7% 2.8% 3.2% 3.4% 3.4% Asset Quality NPL Ratio 2.8% 1.6% 1.3% 1.2% 1.3% 1.2% 1.1% NPL Cover 125.7% 170.7% 188.4% 166.1% 139.4% 146.2% 174.9% Capital and Leverageb CET1 .0% .0% 12.4% 11.3% 10.6% 12.9% 12.3% Tier 1 Ratio 15.2% 14.6% 12.8% 11.7% 10.9% 13.1% 12.5% Capital Adequacy Ratio (CAR) 19.1% 15.8% 14.6% 13.3% 12.3% 14.5% 13.9% Basel III Leverage Ratio (BLR) 9.4%

aAnnualized

5 6 7 8 9 10 11

bPer SOC, BSP

Basel II Basel III

a a a a

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Presentation Outline

I. Overview II. Financial Highlights III. Ownership, Board and Management IV. Environmental, Social and Governance V. Awards and Citations

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Shareholder Structure

• Majority owned by the SM Group

As of 30 September 2018 Name Nationality Shareholdings Percentage

• f

Ownership SM Investments Corp. Filipino 1,750,930,649 40.04% PCD Nominee Foreign 1,327,314,542 30.35% PCD Nominee Filipino 799,647,139 18.28% Multi-Realty Development Corporation Shoemart, Inc. Filipino Filipino 282,890,230 90,024,395 6.47% 2.06% Sub-Total, Top Shareholders 97.20% Total Shares Outstanding* 4,373,300,839

Source: Top 100 Shareholders as of 30 September 2018 *Number of chares outstanding subsequently increased to 4,374,048,064 as of December 31, 2018 due to the purchase of additional common shares by the Bank’s eligible senior officers pursuant to the Banks employee stock option/grant program and issuance of additional shares as a result of the recently concluded stock rights offer.

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Financial Services Property Retail

Access to SM’s customer network

• Over 18,000 PHL tenants
• More than 9,500 suppliers
• 4.0 million average daily foot

traffic

• In-house business
• Home mortgage financing

for SM property projects

New business

• pportunity
• Goodwill from the SM

franchise

• Joint product development

SM expertise

• Middle market knowledge
• Expertise in retail market

and real estate

Branch locations

• Branches, ATMs in SM malls
• One of the leading property

developers in the country with strong presence in mall operations and housing developments

• Dominant domestic mall

developer/operator - 72 malls in the Philippines with GFA of 8.2 mn sqm (with 7 more malls in China)

• Largest local retail chain with 845

stores nationwide

• Increased presence in

discretionary retail with 1,304

• utlets
• Biggest domestic banking
• perations
• Interests in BDO and China Bank

The SM Group

• Harnessing synergies with the country’s largest conglomerate

SLIDE 25

• 7 directors out of 11 have an average of 35 years of banking

experience, including a former Partner and Head of Asia Financials Research at Goldman Sachs

• 2 directors are practicing attorneys, and another one is a

Philippine bar topnotcher and member of the State Bar of New York

• One of the strongest Board of Directors in the industry with extensive

banking and finance, legal and business background

Experienced Bankers Practicing Lawyers

• 1 director is a successful businessman who has made his

mark in the field of retailing Successful Entrepreneur

Board of Directors

25

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Board of Directors

• With broad business and professional experience

Henry T. Sy Senior Chairman Emeritus — first appointed to the Board in 1976  Founder and Chairman of the SM Group of Companies  Started his entrepreneurship career in 1958  Chairman of SMIC, SM Prime Holdings and SM Dev. Corp. Jesus A. Jacinto Jr. Vice Chairman — first appointed to the Board in 1996  Chairman and President of BDO Insurance Brokers  Chairman and President of Jaces Corp.  MBA Columbia University Teresita T. Sy Chairperson — first appointed to the Board in 1977  Serves as Director in multiple subsidiaries of BDO  Vice Chairperson of SMIC and Director of other SM Group companies, including Multi-Reality Dev. Corp. Antonio C. Pacis Director — first appointed to the Board in 2004  Director of BDO Capital  Corporate lawyer since 1967  Degree from Harvard Law School Josefina N. Tan Director — first appointed to the Board in 2007  President of BDO Private Bank  Former Director of EPCIB from 2005 to 2007  Former Director of Banco de Oro from 2001 to 2005 Nestor V. Tan President and CEO — first appointed to the Board in 1998  Holds Directorships of numerous BDO subsidiaries  Director of the Bankers Association of the Philippines  MBA Wharton School Dioscoro--Roy I. Ramos Independent Director — first appointed to the Board in 2016  CIO of RY&S Investments Ltd., Hong Kong since 2011  Former Partner and Head of Asia Financials Research from 1994 to 2011 at Goldman Sachs Jimmy T. Tang Independent Director — first appointed to the Board in 1984  Serves as Independent Director since 2002  Previously served as Director since 1984  Chairman and President of AVESCO Group of Companies Gilberto C. Teodoro Independent Director – first appointed to the Board in 2014  Served as Secretary of National Defense from 2007-2009  Masters of Laws from Harvard Law School  Topnotcher, 1989 Philippine Bar Examinations Jones M. Castro Jr. Independent Director — first appointed to the Board in 2012  Served as Head for South Asia and SEA at Wells Fargo Bank  MBA Stanford University Jose F. Buenaventura Independent Director — first appointed to the Board in 2013  Senior Partner of Romulo Mabanta Buenaventura Sayoc & De Los Angeles Law Offices since 1976  Master of Laws from Georgetown University Law Center Christopher A. Bell-Knight Director — re-elected to the Board in 2013  Previously served as BDO Director from May 2005 - Sep 2010  Former VP and Country Head of the Bank of Nova Scotia  Associate of the Chartered Institute of Bankers - British

SLIDE 27

Senior Management Team

• With extensive professional banking expertise

Corporate Support

Joseph Gerard D. Tiamson Head — COG Transaction Processing  With BDO since 2016  Over 30 years of banking experience Frederic Mark S. Gomez Head — I.T.  With BDO since 2017  Over 21 years financial services experience Evelyn C. Salagubang Head — HRG Recruitment  With BDO since 2007  Over 25 years experience in HR Lucy Co Dy Head — Comptrollership  With BDO since 1985  Over 30 years of banking experience Edwin Romualdo G. Reyes Head — Transaction Banking  With BDO since 2015  Over 30 years banking experience Evelyn L. Villanueva Head — Risk Management  With BDO since 2002  Over 30 years of banking experience Luis S. Reyes Jr. Head — IR & Corplan  With BDO since 2003  Over 30 years of banking experience

• Atty. Federico P. Tancongco

Head — Compliance  With BDO since 2005  Over 24 years of banking experience Alvin C. Go Head — Legal  With BDO since 2013  In the practice of law for 30 years Maria Theresa L. Tan General Manager — BDO Insurance  With BDO since 2009  22-year banking and insurance experience Albert Santiago Yeo Head — Private Banking  With BDO since 2017  Over 32 years banking experience Eduardo V. Francisco Head — Investment Banking  With BDO since 1999  30 years banking experience Ador A. Abrogena Head — Trust and Investments  With BDO since 1990  Over 30 years of banking experience Walter C. Wassmer Head — Business Lending  With BDO since 1997  Over 30 years of banking experience Rolando C. Tanchanco Head — Consumer Lending  With BDO since 2004  Over 25-year banking experience Jaime C. Yu Head — Branch Banking  With BDO since 1997  Over 34 years of banking experience Dalmacio D. Martin Head — Treasury  With BDO since 2009  Over 30 years of banking experience

Products, Services and Subsidiaries Intermediation

Nestor V. Tan President and CEO

 With BDO since 1997  Over 30 years of banking experience Roberto E. Lapid President — BDO Leasing and Finance

 With BDOLF since 1993  Over 34 years of banking experience Estrellita V. Ong Head — Internal Audit  With BDO since 2011  Over 23 years experience in audit Renato Vergel de Dios CEO & Director – BDO Life Assurance Co. Inc.  With BDO since 2016  Over 40 years of experience in insurance Jesus Antonio Saldaña Itchon President, One Network Bank  With BDO since Sep. 15, 2017  Over 30 years of banking experience Maria Cecilia G. Fonacier Head — Marketing Communications  With BDO since 2017  Over 20 years of banking experience Grace C. Palomar Head — HRG Training & Org Dev’t  With BDO since 2015  Over 37 years experience in HR Sixto Sison Gaddi Head — HRG Workforce Management  With BDO since 2018  Over 25 years experience in HR Aurea Imelda S. Montejo Head — COG Enterprise Support  With BDO since 1992  Over 26 years of banking experience Gregorio C. Severino Head — COG Transaction Banking  With BDO since 1996  Over 32 years of banking experience Myla R. Untalan Head — Digital Infrastructure  With BDO since 2003  Over 25 years of banking experience

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Presentation Outline

I. Overview II. Financial Highlights III. Ownership, Board and Management IV. Environmental, Social and Governance V. Awards and Citations

SLIDE 29

Sustainable Development Programs

Finding Ways through Innovative Banking

424,229

32

School buildings built with 112 classrooms serving 16,600 students

50 4,751,660

Health centers rehabilitated with total population covered

536

Disaster-resilient homes built

Of which 88 units are for PWDs and their families in a model community, the first of its kind in the country

Period covered: Disaster Relief: 2008-2017 Rural Health Centers: 2012-2017 School Buildings: 2012-2017 Housing resettlement: 2009-2017

SLIDE 30

Sustainable Development Programs

Finding Ways through Innovative Banking

77%

Female Employees

PHP14.1 billion of

Sustainable Energy Finance Projects

US$150 million for

green bond in the Philippines Green facility in partnership with Japan Bank for International Cooperation million

636,545 tonnes of CO2e avoided

per year equivalent to:

485.6 MWH capacity of renewable

energy generated

136,305 passenger vehicles off

the road

16,321,660 tree seedlings grown

for 10 years

Period covered: Gender Equality Data: As of 2017 Alternative and Clean Energy Data: As of 2017 Environmental and Social benefits from BDO Green Financing Program

SLIDE 31

Sustainable Development Programs

Finding Ways through Innovative Banking

ESG EQUITY FUND

Over PhP 22 Million

Raised to-date*

Period covered: Life Below Water Data: 2016 * From 2011-2017

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Sustainable Development Programs

Finding Ways through Innovative Banking

Governance principles of fairness, integrity, transparency, accountability and performance consistently applied throughout the institution Annual Self-Assessment of the Board, Board Committees, Directors, Advisers, and Senior Management to gauge performance, competence and the ability to manage the Bank Non-executive Directors including Independent Directors now comprise 90.91% of board strength, more than the requirements of the BSP of at least majority of the Board Term limit of Independent Directors at nine (9) years in accordance with international best practice

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ESG Recognition / Awards

Silver Awardee Corp Governance Scorecard Awardee for ten (10) consecutive years Among the Best Companies in the Philippines in CSR and Environmental Responsibility Platinum Award Among the recipients of the 6th and 7th Asian Excellence Award

Corporate Governance Asia

Teresita T. Sy-Coson Asian Corporate Director Award

Institutional Investor

One of the 15 Recipients of the Institutional Investor Governance Awards 2016

ASEAN Corporate Governance Scorecard

Among the Top 50 Publicly-Listed Companies 2013-2015

Asian Banking & Finance

Corporate Social Responsibility Program of the Year - Silver BDO Unibank is a constituent

• f the FTSE4Good Index

http://www.ftse.com/product s/indices/FTSE4Good

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Presentation Outline

I. Overview II. Financial Highlights III. Ownership, Board and Management IV. Environmental, Social and Governance V. Awards and Citations

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Awards and Citations, 2014-2018 Best Bank in the Philippines

Asiamoney FinanceAsia Euromoney Global Finance

Philippine Bank of the Year 2016

Charlton East Coles

Top 15, Philippine Company of the Year 2016

The Banker

Bank of the Year, Philippines

The Asset

Best Domestic bank, Philippines (2014-2017)

The Asian Banker

Strongest Bank, Philippines

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Best Debt/Equity, M&A House Best Investment Bank Best Private Bank Best Project Finance Bank Best Retail & Wholesale Bank

36

Awards and Citations, 2014-2018

Best Investment Bank/Deals Best Private Bank Best Project Finance Bank/Deals Best Wholesale Bank

Fund House of the Year - Philippines Best in Treasury & Working Capital – SMEs in the Philippines

FinanceAsia FinanceAsia FinanceAsia The Asset The Asset The Asset The Asset The Asset Euromoney Global Finance Asian Private Banker Asiamoney Asiamoney AsianInvestor Euromoney Asiamoney Project Finance Magazine Global Finance World Finance

Best Investment Management Company

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Best in Trade Finance Best in Fund Management Best FX Bank/ Provider

37

Awards and Citations, 2014-2018

Best in Internet Banking Best Retail Bank

The Asset

Best in Internet Banking Best in Trade Finance

Best in Deposit Initiatives

The Asian Banker

Best in Cash Mgt. & Transaction Banking Best FX Bank/ Provider Best in Social Media Initiatives

The Asian Banker The Asian Banker

Best Retail Bank in the Philippines Best Trade Finance Provider in the Philippines 2016 Cash Management Poll as voted by Corporates On-line Banking Initiative of the Year Automotive Lending Initiative

• f the Year

Mortgage & Home Loan Product of the Year

The Asian Banker Asian Banking & Finance Asiamoney

Asian Banking & Finance Asian Banking & Finance Global Finance

BSP

Outstanding PhilPaSS Participant Servicing Customer ePayments for Commercial Banks Gold Award - Top Commercial Bank that Generate the Largest Overseas Filipino Remittances

Asian Banking & Finance

Social Media Initiative of the Year

The Asset

Best Retail Social-Media Banking Experience, Philippines (2015-2017)

The Asset

The Mortgage Product of the Year (2018) Mortgage Business of the Year

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Excellence in Investor Relations Best in Trade Finance Best in Fund Management Best FX Bank/ Provider

38

Awards and Citations, 2014-2018

Best in Internet Banking

Asiamoney FinanceAsia

Among the Most Trusted Brands

Reader’s Digest

Asset Management Company of the Year

The Asset

Impact Investor of the Year Award

Best FX Bank/ Provider Best in Fund Management Excellence in Leadership & Management Excellence in Investor Relations

(Individual Awards)

Best Managed Company in the Philippines – Large Cap

FinanceAsia

Among the Best Managed Public Companies

Asiamoney

Nestor V. Tan Best Executive Most Organized Investor Relations Among the Best Investor Relations Companies in the Philippines Among the Best Senior Management IR Support Teresita T. Sy-Coson Asia’s Best CEO Award Pedro M. Florescio One of Asia’s Best CFOs (IR) Best FX Provider in the Philippines Best Investment Management Company - Philippines Teresita T. Sy Management Man of the Year 2016 Among the Best at Investor Relations

FinanceAsia Management Association of the Philippines World Finance Global Finance Corporate Governance Asia

Luis S. Reyes, Jr. Best IR Professionals (Phils)

Corporate Governance Asia

Nestor V. Tan. Asia’s Best CEO Award Best Corporate Communications Best Wealth Manager, Philippines (2017)

Institutional Investor

Nestor V. Tan Best CEO – Emerging Markets (Philippines)

SLIDE 39

Legal Disclaimer

This presentation and the information contained herein as well as the materials distributed herewith ("Presentation") are the sole and exclusive property of BDO Unibank, Inc. (“BDO”) and shall only be used for the purpose intended herein. None of the information contained in this Presentation constitutes a solicitation, offer, opinion, or recommendation by BDO to buy or to sell any securities or financial instrument or to provide any investment service or investment advice. The information contained in this Presentation is based on carefully selected sources believed to be reliable but no representation or warranty as to its accuracy or completeness is made. All statements in this Presentation, other than statements of historical facts, that address activities, events, or developments that BDO expects or anticipates will or may occur in the future (including but not limited to projections, targets, estimates and business plans) are forward- looking statements. BDO’s actual results or developments may differ materially from those expressed or implied in these forward-looking statements as a result of various factors and uncertainties, including but not limited to price fluctuations, actual demand, exchange rate fluctuations, market shares, competition, changes in legal, financial and regulatory frameworks, international economic and financial market conditions, political risks, cost estimates, and other risks and factors beyond our control. Your use of the Presentation shall be at your sole risk and you shall form your own conclusions as to the reliability of any information presented and as to any conclusions to be drawn therefrom. BDO shall not be directly or indirectly liable, in any way, for any inaccuracies, errors, or omissions in the Presentation , including but not limited to any quotes or financial data contained therein, nor for any damages resulting therefrom. Any

• pinion/data/forward-looking statements herein reflected may be subject to change by BDO without notice.

Investor Relations & Corplan: 4F South Tower, BDO Corporate Center 7899 Makati Avenue, Makati City Metro Manila 0726, Philippines Phone: (632) 840 7000 (loc. 6069) Fax: (632) 878 4151 Email: irandcorplan@bdo.com.ph Website: www.bdo.com.ph

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Thank you. www.bdo.com.ph