SBS Resolution No. 1272-2007: Modifications to the Accounting Manual for Financial System Companies

Lima, September 21, 2007

S.B.S. Resolution No. 1272 -2007

The Superintendent of Banking, Insurance and Private Pension Fund Administrators:

WHEREAS:

That, by means of SBS Resolution No. 895-98 of September 1, 1998, and its modifying and complementary norms, the Accounting Manual for Financial System Companies was approved;

That, by means of SBS Circular No. B-2084-2001 and F-424-2001 of January 5, 2001, the Advanced Balance Sheet Information and the Annexes of Form “E” were adapted to the Accounting Manual, which form part of Chapter V “Complementary Information” of the aforementioned Manual;

That, the first paragraph of the First Final and Complementary Provision of the General Law of the Financial System and the Insurance System and Organic Law of the Superintendency of Banking and Insurance, Law No. 26702 and its modifications, hereinafter General Law, states that the Central Reserve Bank of Peru and the Superintendency of Banking and Insurance must carry out the pertinent coordinations in order to comply with the purposes entrusted to them by the Political Constitution of Peru;

That, in accordance with the coordinations carried out with the Central Reserve Bank of Peru and in order to achieve better supervision and analysis by this Control Body, as well as to optimize the use of information provided by financial system companies, it has been considered convenient to cease requiring Annex No. 4 of Form “E” and to modify the periodicity of the Advanced Balance Sheet Information;

That, by means of SBS Resolutions No. 2075-2004 of December 22, 2004, and No. 1025-2005 of July 12, 2005, Report No. 25 called “Information on Write-offs and Forgiveness of Credits”, and Report No. 27 called “Costs for Fund Transfers”, respectively, both with monthly periodicity, were incorporated into Chapter V “Complementary Information” of the Accounting Manual.

That, by means of SBS Resolution No. 1169-2007 of August 22, 2007, this Superintendency established exceptional measures for the treatment of credits that financial system companies have allocated to debtors domiciled in affected areas and that decide to reprogram;

That, it is necessary to make modifications to the Accounting Manual in order to adapt its provisions to the regulations issued by this Superintendency;

Based on the opinion of the Deputy Superintendencies of Banking and Microfinance, Legal Advisory, and Risks, as well as the Economic Studies Management; and,

In use of the powers conferred by numerals 7 and 13 of article 349º of the General Law;

RESOLVES:

Article First.- Modify in Chapter V “Complementary Information” of the Accounting Manual, the periodicity of the following information:

1. Form E “Advanced Balance Sheet Information”, bi-weekly.
2. Annex No. 1 of Form E “Sectorization of Main Balance Sheet Items” and List of Economic Agents, bi-weekly. This format will only be submitted to the Central Reserve Bank of Peru, as indicated in SBS Resolution No. 123-2005 of January 25, 2005.
3. Report No. 25 “Information on Write-offs and Forgiveness of Credits”, quarterly. The submission will be made within 15 calendar days after the close of each quarter (March 31, June 30, September 30, and December 31).

The closing dates for the information indicated in numerals 1 and 2 will be the 15th and the last day of the month, with a maximum period for submission of eight (08) calendar days after the respective closing date.

Article Second.- Eliminate from Chapter V “Complementary Information” of the Accounting Manual, the following information:

1. Annex No. 4 of Form E “Advanced Income and Expense Information”
2. Report No. 27 “Costs for Fund Transfers”

Article Third.- Modify the Accounting Manual, in accordance with the annex attached to this norm.

Article Fourth.- The Superintendency will require by electronic means, according to content and format to be established by Multiple Official Letter, information on credits whose maturities have been reprogrammed and are under the scope of SBS Resolution No. 1169-2007.

Article Fifth.- This Resolution enters into force from the information corresponding to September 2007, except for the provisions of Article First, which will enter into force from the information corresponding to October 2007.

Register, communicate and publish.

FELIPE TAM FOX Superintendent of Banking, Insurance and Private Pension Fund Administrators

ANNEX MODIFICATIONS TO THE ACCOUNTING MANUAL FOR FINANCIAL SYSTEM COMPANIES

I. Modify in Chapter I “General Provisions”, the codes of the companies indicated in literal J, according to what is attached:

II. Modify in Chapter II called “Financial Statements for Submission to the Superintendency of Banking, Insurance and AFPs and for Publication” of the Accounting Manual, Form B “Statement of Profit and Loss” as well as its grouping rules, in the following terms:

Incorporate sub-accounts 5109.21 and 4109.21 into the items “Other Financial Income” and “Other Financial Expenses”, respectively.

III. Modify Chapters III “Chart of Accounts” and IV “Description and Dynamics of Accounts” of the Accounting Manual according to the following:

1. Eliminate account 1407 “Earthquake Reprogrammed Credits”, as well as sub-accounts 1407.01, 1407.03, 1407.04 and 1407.05.
2. Incorporate the following text as a second paragraph in the description of sub-account 8109.26 “Earthquake Reprogrammed Credits”:

“Credits accounted for in this sub-account are those reprogrammed credits that are under the scope of SBS Resolution No. 1169-2007. The yields of said credits will be accounted for under the cash basis method, in account 8104.09”.

IV. Modify in Chapter V “Complementary Information” of the Accounting Manual, the following:

1. Form E – Advanced Balance Sheet Information”:

In the item “Other Credits” incorporate the following analytical accounts: 1401.01.07+1401.01.27+1401.02.07+1401.02.27+1401.03.27.

2. Annex No. 6 “Debtor Credit Report - RCD”:

Incorporate sub-account 8109.26 “Earthquake Reprogrammed Credits” into the list of Accounting Accounts Considered in the RCD.