Philippines: Seven banks report exposure to failed US investment firm.

Text of report in English by Philippine newspaper The Daily Tribune website on 19 September

[Report by Riza Recio with reports from AFP and PNA: "10 banks, institutions exposed in failed US icons; BSP report shows deeper local impact of US crisis"]

The wound inflicted on the local financial system by the current turmoil in the United States was deeper than originally estimated with seven major banks reporting exposures to the failed US giant investment bank Lehman Brothers.

The banks have total exposures of $386 million with the state-owned Development Bank of the Philippines (DBP) reporting $90 million parked in the US firm.

Banco de Oro Unibank (BDO) also reported $134 million in exposures; Metropolitan Bank and Trust Co. (Metrobank), $71 million; Rizal Commercial Banking Corp. (RCBC), $40 million; the local branch of the Standard Chartered Bank, $26 million; Bank of Commerce, $15 million, and United Coconut Planters Bank, $10 million.

Security Bank Corp., while reporting that it does not have Lehman-related assets in its books, said it had $10 million worth of exposure in another troubled US bank Merrill Lynch.

Metrobank and BDO told the Philippine Stock Exchange (PSE) they are setting aside P4.46 billion to cover losses from their investments with Lehman Brothers.

RCBC said it is putting provisions for P980 million as buffer against the US firm's potential failure to repay debts.

Canada-based Sun Life Financial Inc. also told the stock exchange that its third …