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ANNUAL

REPORT

2014
Relentless Pursuit
of Excellence

;""'i ii

;-,,72 I
You Send. We Deliver.

Message from the Chairman and


Letter from the Postmaster
General and CEO
In response lo the National Budget Circular Nos. 507 and
507-A dated January 31, 2007 and June 12, 2007, and
pursuant to Republic Act 10352 otherwise known as the
General Appropriations Act of 2013, the Philippine Postal

Board of Directors &


Management Committee

Corpora lion prepares the 2014 Annual Report containing


Corporate operations and financial performance, and
marketing, administrative
and management
support
service activities. This Report shall be published and

Statement of Corporate Intent


Postal Network
and Penormance Highlights

accessible lo public through the official website under the


Transparency
Seal menu. PHLPosL Annual Report
contains data provided by the offices of Assistant
Postmasters General, Area Directors, and other offices
providing Management Support Services - consolidated hy
the Planning, Research and Business Development
Division of the Corporate Planning Department with the
following team members:

MARIA LOURDES L. RIPAREAL


Manager, Corporate Planning Department
ELMER C. ALCANAR
Chid, Planning, Research and
Business Development Division
RITTA DIANNE G. RAMOS-BORLONGAN
Planning Officer IV
JOHN ALBERT P. PUNO

surr
MARIA ELLAINE DC. MAGPANTAY
Staff
JOVIANNE E. FERNANDEZ
Staff

CONTENTS

1-2

34

5-6
78

Performance by
Business Lines

9-10

Issued Stamps

11-12

Marketing Activities

13

Corporate Operations
Penormance

14

Financial and Administrative


Penormance

15-16

Postal Area Highlights

17-21

Directory and

2224

Postal Services

Message from the Postmaster General and CEO

Message from the Chairman

"

, , As we close 2014, we can look back


with abundant pride because we have
been able to fulfil] our commitment to

con m
th

sustainable public service ... "

no 1 rn ti 11

"

The Year 2014 was a showcase of Pl-ll.Post's grealer


strides to attain prominence, and appreciation, both in the
local and international arenas, as we continuously imbibe

Cesar N. Sarino

because wo haw been able to fulfill our commitment to


sustainable publir service. Our mail service delivery has
improved, pilferages have been curbed, PHLPost is
financially in the black, and our customer is at the center in

TO the public we serve, the leadership of our government,

all our policies and decisions.

and my colleagues in PHLPost:


We set foot on the portal of the Philippine Postal
Corporation in late 2011, realizing fully well our basic
mandate lo provide our people with the postal network
necessary [or thorn to efficiently communicate. TIlL'>
mission was articu lated and declared under four program
goals:
=Tlmcly and efficient delivery services
Corporate postal network integrity
Financial sustainability

Much remain to be done as new challenges emerge


specially
in a technology driven world where
rommurucations has become a 24/7 lifestyle and where
new services have to he continually designed to respond
to the fast changing consumer environment.
But a'>lime passes and new challenges emerge, our beacon
shall be the constant reminder that we are, first and
foremost, public servants. With that ingrained in our
institutional soul, I believe that all of us in PHLPost shall
remain steady in our pursuit.

Customer rentrirlty
The imperative became the battle cry of the new
management and we urged our fellow workers to rally

I am grateful to our people for giving us the opportunity


to serve. I thank the leadership of the government for

under this banner. Three years have since passed and we


continue to he steadfast to our mission.

being supportive of our efforts. And I thank the officers


and colleagues in PHLPost, especially those in the Iieldthe backroom staff, our postmasters, and letter carriersfor their patience, understanding and steadfastness for

As we close 2014, we can look back with abundant pride

their cooperation and support.

I Philippine Postal Corporation

a culture
of dynamic,
customer-centered
tcchnologically advanrcd postal service.

and

Our corporate performance tells a tale of collective and


passion-driven efforts harnessed through influx of bright
ideas and dependable skills of our workforce, resulting to
the ascent of our financial statement and improvement in
operations.
A<; we gear for a Iulurc abundant with productivity and
profitability, it is my privilege to present to the Filipino
people, our Boss, PHLPost's 2014 Annual Report, the
realization of our hard-work and shared aspiration to
provide the best postal services.
With the continuous drive to propel the corporation's
financial statement, PHLPost posted a net income of PhP
339 million and a net subsidy of PhP 301 million tallying to
PhP 640 million, 8.8% greater than last year's, a strong
indicator that we are leaning towards the right financial

Maria [osefina M. Dela Cruz


community through our money transfer services. We
have become strategically accessible with the opening
of more Postal Stations and postal counters nationwide.
We have shown technological advancements when we
migrated
our
laminated
card
type
into
a
hiographic/brometrics-based
Postal
Identification
Card in December 2014. Now, Filipinos have access Loa
more credible and secure proof of identity.
The Philippines was also put on the global map of
postal service excellence when we garnered the World
Mail Awards 2014 for People Management held in
Germany, while we were hailed a finalist in Post Expo
Technology Award 2014 in Sweden.

path.
We also pushed beyond hound aries by increasing our
visibility, tapping into potential services that will be of
relevance to the Filipino people. By equipping about 316
post offices as of December 2014 with connectivity, we
have expanded the opportunities [or engagement with the

In the end, let me congratulate the PHLPosL workforce!


All of our triumphs are testimonies of the infinite
possibilities that we can all optimistically anticipate
with our head held high. With honesty, integrity, and
truthfulness in our work ethics, let us continue Loetch
our social relevance in the modem times.

Annual Report 2014

I2

Cesar N. Sarino

Maria Josefina M. Dela Cruz

Chairman, Board of Directors

Board of
Directors
and
Management
Committee
Joel 1. Otarra
Member, Board of Directors
Chairman for Committee on Finance

Vice Chairman, Board of Directors


Postmaster General and CEO

,'.

Office of the Board


of Directors

Member Board of Directors


Chairman for Committee
on Marketing

Assistant Postmaster General for


Administration and Finance

I Philippine Postal Corporation

Myrachelle Gay T. Santos

Jose Martin R. Victor

Chief of Staff

Manager
Management Information
System Department

Felipe A. Hidalgo
Member, Board of Directors

Chairman for Committee on

Esther V. Cabigao

Atty. Lee P. Viceral

Maria Lourdes 1. Rifareal

Manager
Human Resource
Management Department

Manager
Inspectorate Department

Manager
Corporate Planning Department

Operations and
International Relations

Atty. [oselito B. Gonzales


Manar,er

Legal ServicesDepartment

Ronaldo S. Tuazon
Member, Board of Directors
Chairman for Committee on
Asset Management

Ma. Lourdes P. Varona

Marketing and
Management Sup~ort
Services

Member, Board of Directors


Ch~anforCommitteeon
Good Governance

Operations

Maura M. Baghari-Regis

Manager
Internal Audit Department

Officeofthe PostmasterGeneral

Renato R. Santico

Francis T. Cereno

Corporate Secretary

Office of the Board of Directors

Management
Support Services

Atty. FloranteR. Cruz

Luis D. Carlos

Robert S. Mondofiedo

Assistant Postmaster General for Marketing


and Management Support Services

Assistant Postmaster General


for Operations

Enrique V. Tagle

Melanie M. Cruz

Manager
Business Lines Department

Chief

Olivia M. Valderama

Engr. Augusto A. Lecciones

Manager
ServiceRegulations Department

Manager
Network and Transport Department

Corporate Communications Division

Peter S. Bartolome

FlorentinoA. Guy-JOCO

RomeoM. Sardan

Manager
Express MailExchange Department

Manager
Airmail ExchangeDepartment

Manager

Marietta B. Bertillo

Lorna M. Guevarra

Manager
Accounting Department

Manager
fiscal Management Department

Administration
and Finance

Engr. Irenea G. Villamor

Engr. Eliezer V. Rosales

Manager
Logisticsand Property
Management Department

Manager
General Services Department

Surface Mail Exchange Department

Annual Report 2014

I4

The Philippine Postal Corporation (PHLPosl) L"a govcmmcnt-owncd

and

-controlled corporation created through Republic Act 7354 otherwise


known as "Postal Service Act of 1992." Its existence is not driven merely
by profit buL also by providing services lo Filipinos as set forth in the Acl.
Especially in the last four years, PHLPosl has synchronized and aliened

its desired future state with the purpose of its existence. Even the
promotion of core values among postal stewards is linked with its
development thrusts.
~

Mission
PHLPostprovides efficient,competitive and on-time delivery of
communications,
community.

goods, and payment services to any Filipino

Core Values
lntoqrity
Demonstrated through adherence to
honesty in work for a decent life:

l .valtv
Shown in the faithfulness

lo the

company kindled by love for work;

Mandate

Competence

Plan, develop, promote, and operate a nationwide postal system with

Thal encourages confidence in the

a network that ex lends or makes available, al least ordinary mail


service, Loany settlements in the country;

capability to be productive through


teamwork and guided by wisdom;
and

Provide for the collection, handline, transportation, delivery, forwarding,

Vision
By 2020, PHLPost is the preferred
universal delivery service provider of
communications, goods, and payment
in evelY Filipino community.

returning and holding of mails, parcels and likemateria Is,throughout


the Philippines and, pursuant to agreements entered into, to and from
foreign countries: and

Cornmltm=nt
Driven by passion to do good for
family and
well-lived.

country

for

life

Determine and dispose of, in a manner it deems most advantageous,


with law and settled jurisprudence, confiscated or non-mailable mail
matters, prohibited articles, dead letters and undelivered mails, except
the sale of prohibited drugs, dangerous materials, and other banned

articles as defined by law.


Annual Report 2014

I6

Performance Highlights

Postal Network
PHLPosL bridges dis Lances through Its extensive network of
postal outlets, vehicles, letter carriers, and business partners. It
continues to connect the Philippines and link it to the rest of

The Performance Scorecard


The Year 2014 provided PHLPosL wiLh additional milestones as it garnered a very
satisfactory scorecard rating and became visible in the radar of global recognition.

81% or 4 of 5 authorized
positions are filled

tho world.
Classification of Post Offices
Regular
Non
Delivery
Delivery

NELA
NWLA
MMA
SLA
CEVA
WVA
EMA
CMA
WMA

Total

70
156
86
155
113
88
73
71
40
852

Campus

EXI.

1 24
5 40
39 27
4 13
7 69
2 78
1 28
3 12
3 30
65 321

Mali

2
10 0
6 11
1 4
6
6
2
3
3
7
5
1
3
0
38 33

8rgy.

Based

0
1
12
0
0
0
0
0
0
13

Private

Human Resources

Postal
Stations

7
2
19
18
3
2
1

0
0
52

105
214
200
195
204
175
113
92
76
1374

Source: Sennce I<r'glilatiml.~ /)qJartml'nt

Rcdistricung the Philippines into nine (9) postal areas, tho


entire country is almost covered by postal outlets numbering
to '1,374, which include post offices, postal stations, and postal
counters. Each postal outlet offers a wide array of products
and services for mails, logistics, payment, and retail services.
As of December 31,2014, almost one quarter (316) of the post
offices have internet connectivity.

MV
ntral
NELA
NWlA
MMA
SLA
CEVA
WVA
EMA
CMA
WMA

154
24
54
73
68
37
34
43
27
32

$(llirce:Netiocrk arul Transpori

MC

Total

192
25
61
140
82
41
40
45
28
36

38
1
7
67
14

4
6
2
1
4

2
26
62
143
83
42
41
46
29
37

Department

PHLPosL now utilizes a modern fled of vehicles in delivering


mails totaling to 690 units including motorcycles for express
mail delivery. The Refleeting Program enabled the Corporation to
program funds for the procurement of new vehicles which
will later on be equipped wilh global positioning system.
192 countries

for letter and parcel post

20 countries for remittance services

The manpower of the Corporation

has a total of 8,134

individuals, wherein 42.8 percent are letter carriers.


AbouL 81.16 percent of the 7,043 authorized positions
are already filled-up. The Central Office accounted for
14.29 percent of the manpower while the Mega Manila
Area had the most number of employees among postal
areas at 29.09 percent. Permanent employees are
complemented by the additional 2,375 contract of
service employees.
lett.r
CENTRAL OFFICE
1,163
1,122
MEGA MANILA
2,366
NELA
410
191
NWLA
945
521
814
461
SLA
CEVA
701
338
268
WVA
497
257
EMA
542
163
CMA
358
161
WMA
338
3,482
TOTAL
8134
Source: t luman I<esour<:t'Mallagplrlr'lIt I)epartmmt

PHLPosL boasts of its international

network wiLh the

help of its partners especially the postal operators


around the world. It has bilateral agreements with 59
partners for Express Mail Service (EMS) while

MFO 1 DELIVERY SERVICES


1.lntematiooal Express Post Delivery Performance, in days
(10%J
2. Domestic Express Post Delh/ery Performance, in days
(10~
3.lnternatiooal Non-Express post delivery performance, in
days (International Ordinary Leiters)
4. Domestic Non-Express delivery performance, in days
a. Domestic Parcels
b. Domestic Registered Letters
c. Domestic Ordinary leiters
5. Profit & loss before tax, including franking credits, in
million pesos
6. Quantity 3- No. of franchised postal outlets
MFO 2 POSTAL PAYMENT SERVICES

---

__ 1~.

of core !,!:ocesses
2. Collection efficiency

Tar~t
3days @
95%
3days @
95%
7 days @
80%

Results
1day@
100%
2.37 days@
92.50
7 days @
84.5%

7 days @
80%

4.57 days @
80.62

10%

PHP 610

PHP 632

20%

40

52

10%

PHP 531

20%

7 manuals
Quarterly
report of
action(s)
taken on
addressing
COAfinding

7 manuals

10%

279
1,479

320
377

1. Postal Outlets with ICT infrastructure


2. Pooy mailboxes

Rati!:l9_
10%
10%
10%

100%
$oune: Corporate PIJllJ17ing D('pllrlml!lI.L

servicing about 192 countries through its letter and


parcel post services. Partnerships wiLh twenty (20)
service providers
services.

were

also forged

for payment

Other partnerships include that of DHL Express for


destinations and weights not serviceable by EMS and
Bayad Center for bills payment and collection services.

MAIL AWARDS
PHLPosl was recognized during the World Mail
Awards 2014in Berlin,Germany for People Management
and a finalist in Post Expo Technology Award 2014in
Sweden for its eCash Transfer System.

59 countries for ExpressMail Service

I Philippine Postal Corporation

Annual Report 2014

I8

r:

Payment Services

Retail Services

Payment services contributed almost 15 percent lo LoLalrevenue


generated in 2014 which is slightly 10W('r hy 2.2 percentage
points compared with the previous year. The Postal 10 has the
biggest share of the 529.25 million pesos revenue among the

Retail Services generated a revenue of 41.15 million pesos,


which is 1.17 percent of the total revenue and about 116 percent
higher Lhan the previous YC'at. Tho revenue generated by this
business line is mostly from philately.

products under this business Iino.


Further, PH LPost accredited a total of 43 new postal stations in
2014while [our postal counters were opened in SM Covornment
Centers and 17 counters in Rohinsons Lingkodf'inoy Centers.

erformance
by Business Lines

PHLPost introduced new innovations


01 stamp issuances. The first ever

Mail Services

eoh1-{oil('d ~D stamp in the country


was launched in 2014 adopting a new
technology to welcome the Chinese
New Year. PHLPost innovation is

Mall Volume Posted by Product, In Million Pieces

Mail Servin's remained c1S tho broad and butter 01 the


Corporation taking the lion's share of the 2014 revenue at 80.17
percent, which is 8.90 percent higher than the 2013 figure. Among

PHLPosLwas able Loissue more Lhan1 million postal ID in 2014.


Further, the' migration from laminated card-type Lo

n.oo

biographic/biometrics-based
postal identification card was
implemented in December 2014.

tho
products
with
tho hiee('sL revenues
include
IEMS-M('rrhanuis(', Dornostir Ordinary Mails, IEMS-Oocumenls,
Domestic Registered Mails, and International Surface Parcel.

tochnology Iirst released on January

:'1.

Logistics Services

A total of 85.19 million items were posted in 2014, hie majority


(69.8%) of which are from Mega Manila Area followed by
Southern Luzon Area (7.9%) and Northwest Luzon Area
(5.9%). DomostlrIottor post still has tho most share (85.7%) 01
the total mail volume posted while tho remaining 14.3 percent
are distributed among other mail services.

Domestic
fMprt"

Ootftiuck

lttttt'Oft

Domatic

'wet''''

IrwtttMtionll

~~.

Inc.~

utt.r"

IntterRlllone'

Jrenbd

MIih

,.,"-1

IiUOll .)0&.

SnurCli: Cn'1mratll Platlltillg Department

Mall Volume Posted by Postal Area, in Million Pieces

WMA

POSTED 85.19 million


Top 3 Mall Services (In thousand pieces)

0.59
1.02

CMA
Other Mail Services (In thousand pieces)

(MA
WVA

Domestic Parcel= 48
.2014

TIw shaw 01 logistics and warehousing sorviros lo total revenue


increased from 0.25 percent Lo138 porrrnt in 2014. lLgonorau-d

Tho country's Iirst over srcntod slump


was also introduced in 2014 featuring
the floral artworks made by the late

about 48.8 million pesos, which is five times higher than that of
2013 when it was initially offered. Major clients so far are

President Cory Aquino. These stamps


an' just throe of tho most rolchratod

eov('rnm(~l
ae('nries whore transartions involved the
movement and/or storage 01 modirinos, books, IT equipment,
and election paraphernalia. PHLPosLwas able to establish four
warehouses, which include the first temperature-controlled
warehouse inSMED.

stamps

SLA
MMt.
N\vLA
N[LA

DELIVERED 140.67 million


Top 3 Mall Services <In thousand pieces)

Other

MailServices

59.45

34.5

logistics and Warehousing

Revenue (in Millions)

4.99
S.U

S 1.72
1.82

(In thousand pieces)

Historical Mail Volume Posted, In Million Pieces

Domestic Parcel= 110


Domestic Leuec= 127.395
151.34

145.92

48.81

142.15

I Philippine Postal Corporation

2008

2013
2009

2010

2011

2012

2013

featuring photos and snapshots of


almost anyone printed on a genuine
Philippine' Stamp. The personalized
stamp has boon introduced in other
countries and sought after not only by
Philatelic collectors but also by
individuals who find the concept Iun
and appealing.

8.12

61.62

Source: Curpom.tc: Planning Dcpartmen;

issued in 2014 catching the


attention of the general public who
used lo haw no interest in philatelic
Items al all.

Tho Iirst personalized or "Sclfio"


Stamp was launched on February 24

C(vA

1>2011

International Parcel= 107

reflected hy this "Year 01 tho Horse


Stamp-Spociul Issue Souvenir Shed"
featuring a horse figure printed in gold
foil stamping and 3D embossing

2014

2014

Source: Corporote Plonning Department - Support and Statistics Division

Source: OAPMGfor Administration and Finance

Annual Report 2014

I 10

....It;

- .... _ .... -(/II""

,_.

----~
,...
....

.. .. ..,'

,. ,.,.

"
f

I"J"

\
\

',. ... ,.-,.

'

.. ......

......

2014 STAMP ISSUANCES

UP Alpha Phi Seta Fraternity


7SthFounding Anniversary
Proposed by UP Alpha Phi 8eta Fraternity
Issued on March 8

St. Loui. College, La Union


Golden Annlvar$ary
Proposed by St. Louis College,
Gty of San Fernandol La Union
Issuedon January 20
Phlllpplnes.Vatlcan City 2014 Joint
l55ue (Pope Francis)
Proposed by PHLPo<t
Issued on March 21

National Stamp ColIKtlng Month


Proposed by PHLPost
Issued on November 10
Unlversfty of San Carlos
College of Engineering
75th Founding Anniversary
Proposed by University of San Carlos
Issued on September 8

San Bartolome 400 years


Proposed by San Bartolome Parish
lssued on May 17

FEBRUARY

Megan Lynne Young 2013 Miss


World
Proposed by PHLPost
Issued on February 2014

Philippines Germany Joint Is.5Ue


Proposed by PHLPost
tssued on June 25

Central Luzon State University


SOyears
Proposed by CLSU
Issued on April 4

I Philippine Postal Corporation

SEPTEMBER

Cory Aquino Paintings


Propos&d by PHLPost
Issued on August 1

2nd QuanerToplcal:
Aquatic flower
Proposed by PHLPost
Issued on June 27
Canona;;,tion of8leS$ed John Paul U..
Blesse d John XXIIISpedal Souvenir
Sheets
Proposed by PHLPost
Issued on April 27

PCSO@80
Proposed by Philippine Charity
Sweepstakes Office
Issued on April 28

Chief Justice ClaudIo Te.hankee


25th Death Anniversary
Proposod by Chl.f Justice Claudio T hank ee
Found.tlon, Inc.
Issued on November 27

JULY

MAY

National FamllyWeck
Proposed by PHLPost
Issued on September 26

University of MIndanao Slamp


Proposed by University olMlndanao
Issued on July 27

HotU_g. Month featurlng


Traditional Allplno TutU.
Proposed by Flliplno H"rltage,lnc.
Issued on May 30

Philippine Postal
Corporation
Personalizedstamps
Proposed by PHLPost
Issued on February 24

4th Quarter Topical featuring:


Philippine Fe.tival Masks
Proposed by PHLPost
Issued on November 22

MARCH

JANUARY

3rd Quart., Topical: Tourist


DestInations
In the Philippines
'Waterfalls'
75th
Founding
Anniversary
Proposed by PHLPost
lssued on September 22

Apolin.rio Mabini 150


Proposed by National Historical Commission oi the
Philippines (NCHP)
l=ed on July 23

Philippine
Watch Towers
Proposed by PHLPost
Issued on March 28

New Vear Stamps 2014


V.ar oflh. Horse Special
Proposed by PHLPost
Issued on January 31

FilipinoChinese General Chamber 01


Commerce,lnc (1101h Anniver.ary)
Proposed by Filipino.Chinese General
Chamber of Commerce, Inc
Issued on November 19

DZRH 75 Vears
Proposed by PHLPost. DZRH
Issued onJuiy 15

l.t QuarterTopical:

Halyan stamp$
Proposed by PHLPost
Issued on November 8

Kapatagan 65th founding Anniversary


Proposed by LGUKapatagan, Lanao del Norte
Issued on July 5

MilmaSita
Proposed by Mama Sit.
lssued on May 11

2014 Valentine's Stamp


Proposed by PHLPost
Issued on January 27

Vear 01 the Goat 201 S


Stylized design
Proposed by PHLPost
Is.suedon November 2

National Teachers Month


Proposed by PHLPost
Issued on September 5

Iglesi;' ni Cristo Centennial


Proposed by Iglesia ni Cristo
Issued on May 10

11

39 issued stamps including personalized stamps


17 special stamps
22 commemorative stamps
PhP86.712Million worth of Stamps

100 Yean of Scouting


in the Philippine.
Proposed by Boy Scouts
of the Philippi""s
Issued on Augusl30

NOVEMBER

St. Paul University


Dumaguete 110YEARS
Proposed by St. Paul
University Dumaguete
Issued on December 8
Quezon City
75th Anniversary
Proposed by LGUQuezon at)'
Issued 00 October 12
NationalAntiCorNption Oay
Proposed by Officeof the Ombudsman
Issuedon December 9

70th AnnIversary of
Lfyto landing
Proposed by Malacaiiang
PublicAffairsDept
lssued on October 20

Pillplnas Shell 100 Toon


Proposed by Pilipinas Shell
Issued on December 13
Christmas' Pasko
Stamps 2014
Proposed by PHlPost
Issued on October 30

Annual Report 2014

I 12

orporate Operations
Performance
Mail Volume Delivered by Product, in Million Pieces

Mail Services Performance


In 2014, PHLPosl signed the MOA wilh the Department of Health for the rental of the First
Controlled-Temperature Warehouse in SMED, giving the Corpora lion addilional revenue of
PhP4 million a year.

PHLPosl continues lo improve its services reflected by its


delivery performance. The table below shows the portion of
mails delivered within the standard time. Delivery of

9.03

5.62

5.39

0.340.11

=--T~
Domestic
Express

Domestic
letter Post

Domestic
Partel Post

PHLPosL partnered with the Department


of Education and the Komisyon ng Wikang
Filipino Lhroug!l a MOA for the Salamal Po
Letter Writing Project.

(%ef~,
Mti~Mw~hifl
~t v,
f'

IT~

International
Express

,.

0.31D.49

International
letter Post

International Franked Mails


Paroel

112013 112014

PMG Josie Dela Cruz and GSIS President


Robert Vergara signing a Memorandum of
Agreement
enabling
tho 2,000 NCR
employees to avail lfw GSIS services and
benefits.

domestic and international express mails particularly marked


good performance al 92 percent and 100 percent respectively.

Mail Volume Delivered by Postal Area in Million Pieces

I. Ordinary Mails
A. Within Locality
B. tntra-reqional
C. Interregional
II. Registered Mails
A. Within Locality
B. Intra-regional
C. Inter-regional
III. Domestic Express Mails
IV.International Express Mails

8296
84%
78%

1- 2
3

5
1- 2

83%
8196
8096
92%
100%

4
6
3
3

WMA !.J~69
CMA
EMA

In 2014, PHLPosl delivered a total of 140.67 million mails all

\wA

Over the country. Half (50.05%) of the total mail items are
delivered to Mega Manila Area followed by Southern Luzon
Area (13.80%) and Central and Eastern Visayas Area (9.03%).
Almost all (90.57'70)of tho lola1140.67 million mail items in

12.70
12.00

CEVA

19.36
18.30

SLA
MMA
NWLA
NELA

By further expanding its partnerships in


malls and establishments,
PHCPosl
opened its 12Lh postal counter in
Robinsons Place Malolos.

10.49

c:

the country are domestic letters while the remaining


percent are composed of other mail services.

12.13

4.72
4.39

Chairman Sarino gucsung in Aq uino and


Abunda TonighL promo ling the Cory
Aquino Scented Stamps and other
products

9.43

Historical Mail Volume Delivered, In Million Pieces

Partner's Night
is an event conducted to
recogni:lR the top 100
clients of PHLPosL. lL was
attended by key officers by
various corporations both
from public and private
sector.
2008

2009

2010

2011

2012

2013

2014

Source: Corporoteplonning Department - Support and Statistics Division

Annual Report 2014

I 14

inancial Performance

.... 1

for Colendor Yeors 2013 and 2014


Particulars

2013

Revenue
Operating expenses
Income from Operohons
Other Income
Finance{ost
Profit before Income Tax
Provision for Income Tax
before Subsidy
Subsidy tnccme from tlotionol
Government
SubSidyExpense

3,237.527,282
2,823.716.441
413.810,840
(74,771,423)
(51,856,013)
280,568.755

"'-0'1'

2010
(-PhP266M)

280568.75<.59
657911,026.37

623.953.988

349,519244.67

588,960,536,29

Net Income

2014
3,531,377,143
3.050,764.679
480.612.464
(90,059,895)
(43,182,191)
353,985,028
106.195.508
247,789520

Revenue-Expenditures Analysis

Revenue

for Colendor Yeors 2013 ond 2014


Particulars

2013

Current Assets
NonCUHent Assets

12,794,079,479
',077,175153

5,764714,761
4.868,545,308

16,871,254,633

10,633,260,069

(urrent ltobifities
Honcurrent llQblhttes

2014

15.326,667181
633,787338

15,960,454,519
910,800,113.64
16,871 ,254,633

Total Liabilities

Total Equity
Total Llablllties and Eauitv

line

370,071 ISS

501,672,353

logistics
1.38%

Total Assets

by Business

Retail
1.17%

Others
229%

Postal

5,484,576,213
632,008,583

6,116,584,796
4,516,675,273
10,633,260,069

r. ~"

for (alenda, Years 2013 and 2014


Parti'culars
lor ;nrc1nlll'" Mle.

Source: OAPMG for Administration and Finance


Businessline
MailSs-vices

Revenue
2013

% Share

Percent Change

% Share

2014

2,599,268,996

80.3

2,831,268,996

80.17

8.90

556,541,120

17.19

529,250,604

14.99

-4.90

8,124,356

0.25

48,808,969

1.38

500.00

Retail Services

19,036,704

0.59

41,150,953

1.17

116.00

Other Income

54,056,768
3,237,527,143

1.67
100

80,897,621
3,531,377,143

2.29
100

49.65
9.08

Logistic Services
Payment Services

Total

2013

Ca10hflaw from operofing octiVitlU,


{o<sh Itew used In opera,jng activities
He' (osh used ,n:provlded by
Opelo1ing oc.hmies
Cash outflows hom 'Inoncing
oC'IYHles
(ftcc' of exchange ratb changes on
(aSh and cosh equlvolents
EffeCtat nel adjustments
Ne"ncrease on Cosh and Cosh
Equivalents
8eglnnlng Cash Balance

sf.adtdfu put pnnisiuu

2014

21 333,102,557
16320,695,840

13,339450,908
18395.330.416

5,012,506,717

(5,055879,508)

107,166.120
(1 166864)
132107086
5,036280819
2.425.946.83495

7,462,227,653.48

EndingCash Balance

13.752,472
7,657,960
(616673,983)
(5,738648

7462.227.653

1,723,579,649

S()Ill'ce:OltPMG for IIdlllinisrrati()n and Finance

Administrative

PHLPost

Performance

The Bids and Awards Committee compk-tod S'l procurement projects in


2014 through public bidding, negotiated procurement, and direct

Source: OAPMGfor Administration and Finance


Expenses by Postal Area

The Corporation recorded an increase of 9.08 percent in its total


operating revenue in 2014 with growth coming from all the business
lines except payment services. On the other hand, the operating

Source:OAPMGfor Administrotion and Finance

003)

contracting
equipment

for various supplies and services, vehicles, and IT


and software, The tota I contract price amounts to
PhP300million,which L<; JUSL 90.8 percent of the' total approved bidding

has also renovated

more

than

hundred post offices and other postal facilities


e;iving tho Corporation a new face. This
continuing
project
costing
more
than
PhP7,000,OOOin 2014 is part of the rebranding

program aiming to improve the Corporate Imago


Lingayen Post Office

cost, giving the Corpora lion a total savings of PhP30 million,

expenses e;rcw by 8.04 percent with cost of goods sold having the
hle;e;csLpercent increase at almost 265 percent, Personal services still

HJt!'i'M.~ O,6wy
Yehidu,
",.doI

'"PI9.89

6.m~

account for the biggest share in the total operating expenses at almost S9
percent while maintenance and other operating expenses take 24

PHP
99.31, ~3.91%

NeL Income by Postal Area

percent share.

....,
....
,",nal

(.,
Like in recent years, the Corpora lion registered a positive financial
bottom-line figure in 2014.It realized a net income of PhP501.67million,
which is lower than the 2013 figure. It must be noted that PHLPost
started to put provision for income tax in 2014 amounting to PhP'106.20

II

co

H(LA

SlA

NW\A

e(VA

WY..

{iotA

3111%

Batangas City Post Office

(1.\A

million.
Source: Bids and Itward.~Committee

Revenues and Expenses in Millions (2009-2014)


_

Among postal areas, the biggest contributors in terms of revenue and


expenses are Mega Manila, Northwest Luzon, and Southern Luzon. The

combined revenue of these postal areas account for 62 percent of tho


total corporate revenue and have spcnl S? percent of the total operating
expenses in 2014.

3,20:

PS

3,191

PHLPosl also earns from renting out properties and disposing of its

3,30:

iii i I I
20)0

SaUTce:OltPMG

I Philippine Postal Corporation

3,4~

10275

2009

15

OTHEREXPENSES -+-REVENUE

zou

20)2

1013

Jar Itdministmtian and Finance

1,258

assets. In 2014, almost PhP25 million were collected from these


activities which is 61 percent higher than the revenue collected from the

same activities in 2013.


Administrative

Activities

2013 Revenue

Rent Income

15,336,591.69
225,557.67
15,562,149.36

Gain from Disposal of Assets


Total
Source: OAPMG for Administrotion

and Finance

2014 Revenue
23,940,838.00
1,276,294.25
25,217,132.25

Annual Report 2014

I 16

Luzon

Northwest
Luzon

Dir. Federico D. Frayna

Dir. Joel L. Zamudio

ortheast

9 provinces - Apayao, Aurora, Cagayan,


lfugao, tsebeta. Kalinga, Nueva Ecija, Nueva

diCovers

Vizcuya, Quirino with total population of 5,874,492


as of Census 2010;

Covers 11 provinces - Ahra, Bataan, Bcnguot, Ilocos


Norte, tlocos Sur, La Union, Mountain Province,
Pampanga, Pangasinan, Tarlac, and Zambales with
total population of 10,916,610 as of Census 2010;

\J>Mega
anila
Covers the National eapital Region and 5 other
provinces -Batanes, Bulacan, Cavite, Palawan and
Rizal with total population of 21,366,883 as of Census
2010;

""Covers about 47,18'1 sq.km. of land area with 180


delivery heats and 191 letter carriers:

Covers about 32,482 sq.km. of land area with 533


delivery beats and 521 letter carriers;

Covers about 23,432 sq.km. of land area with 1,181

4. With 19 units

'With 53 units of sorvlroablc delivery vehicles,

With 93 units of serviceable delivery vehicles;

of serviceable delivery vehicles;

delivery boats and l,l221eLL('r carriers;

4PoSL(!d a total of 1,716,480 mails, a big majority


(71.06'70) of which are domestic letter post;

Posted a total of 4,986,739 mails, majority (62.28%)


of which art' domestic letter post;

4Delivered

Delivered a total of 10,487,453 mails, most (83.84%)


of which are domestic letter post;

Delivered a total of 70,407,875 mails, almost


(92.94%) are domestic Icucr post:

'A hig majority (66.7'70) of total revenue comes from

Most (88.7%) of total revenue comes from mail


services, followed by retail services (6.1%) and postal
payment services (3.1%);

a total of 4,717,139 mails, most (85.40%)

of which are domestic letter post:

-ll Majority

(51%) of tota I revenue comes from mai I


services, followed by other services (28.0%) and
retail services (20.0%).

.t:. Ranked

3rd among all areas in terms of delivered


unaddressed mail;

4. Ranked

4lh among all areas in terms of posted


domestic parcel post.

mail services, followed by retail services (15.7%) and


postal payment services (8.7%);
'Ranked 2nd among all areas in terms of tho posted
international express mails;
Ranked 2nd among all areas in term') of the posted
international letter post:

Josted
a total of 59,445,678 mails, almost all (89.87'70)
are domestic letter post;
all

Ranked 1st among all posted mail products except for


fax;

POSTA
ARE~
HIGHLIGHTS

4Ranked Ist among all areas in terms of the all delivered


mail products except for international express mails
and unaddressed mails.

4Ranked 2nd among all areas in terms of the posted


franked mails;

17

I Philippine Postal Corporation

4Ranked 1st among all areas in terms of the delivered


international express.

Annual Report 2014

~8

Cen~~
Luzon Area

and Eastern
Visayas

Dir. Mario Lanuza

Dir. Raul Q. Buensalida

4Covers 13 provinces - Albay, Batangas, Camarinos


Norte,
Camarines
Sur,
Catanduanes,
Laguna,
Marinduque, Masbate, Oriental Mindoro, Occidental
Midoro, Quezon, Romblon and Sorsogon with total
populaLion of 14,205,014 as of Census 2010;
.d(Covers about 44,853 sq.km. of land area serviced with
480 delivery boats by 4611elLer carriers;

Covers 8 provinces - Biliran, Bohol, Cebu, Eastern


Samar, Leyte, Northern Samar, Samar, Southern
Leyte with total population of 9,523,770 as of Census

~PosLed a total of 6,684,070 mails, most (78.17%) of which


are domestic letter post,

services, followed by retai I services (11.0%) and other


services (10.2%);
.Ranked 2nd among all areas in terms of posted domestic
express, posted letter and parcels, and posted
intcrnational Icucr and parcel post.

19

I Philippine Postal Corporation

Dir. Fabiolita P. Ferraris

Covers 8 provinces - Aklan, Antique, Capiz,


Cuirnaras,
Iloilo, Negros Occidental,
Negros

Covers about 33,414 sq.km. of land area with 371

Covers about 26,517 sq.km. of land area with 270

delivery beats and 338 letter carriers;

delivery boats and 268leLler carriers;

Posted a total of 4,162,291mails, most (87.78%) of


which are domestic letter post;

With 34 units of serviceable delivery vehicles;


Posted a total of 3,052,440 mails, a big majority
(74.34%) of which are domestic letter post;

Ranked 3rd among all areas in terms of posted


domestic letter post,

4. Covers 11 provinces -Compos lela Valley, Davao del


Norte,
Davao
del
Sur,
Davao
Oriental,
Magumdanao, Davao Occidental, North Cotabato,
Sarangaru, South Cotabato, Sultan Kudarat, Surigao
del Sur with total population of 10,084,071 as of
Census 2010;

4. With

30 units of serviceable delivery vehicles;

Posted a total of 2,391,764 mails, most (80.92%) of


Delivered a total of 7,992,564 mails, almost all
(94.47%) of which are domestic letter post;

A big majority (70.8%) of total revenue comes from


mail services, followed by postal payment services
(15.4%) and other services (9.1%);

Dir. Bemardito V. Gonzales

Covers about 58,309 sq.km, of land area with 327


delivery beats and 257leLler carriers,

Delivered a total of 12,699,578 mails, most (87.49'70)


of which are domestic letter post;

4,A big majority (71.6%) of total revenue comes from mail

isayas

2010;

-clDelivered a total of 19,537,111 mails, most (89.05%) of


which are domestic Icuor post:

Oriental, Siquijor with total population of 8,480,170


as of Census 2010;

With 27 units of serviceable delivery vehicles:


With 42 units of serviceable delivery vehicles;

n
Mindanao

which are domestic letter post;

comes

Delivered a LoLal of 6,231,883 mails, almost all


(90.62%) are domestic letter post,

from mail services, followed by postal payment


services (28.8%) and other services (13.0%);

#. A big majority (61.3%) of total revenue comes from

... Ranked 4Lh among all areas in terms of the posted

mail services, followed by postal payment services


(13.9%) and retail services (12.9%);

Greatest amounL (49.1%) of total revenue

franked mail.

4. Ranked

3rd among all areas in terms of delivered


domestic express mail.

4. Ranked

2nd among all areas in terms


delivered international express mail.

of the

Annual Report 2014

I 20

Directory
Central
Mindanao
Area
Dir. Nimia S. Acebes

~ Covers 9 provinces - Agusan del Norte, Agusan del


Sur, Bukidnon, Camiguin, Dinagat Islands, Lanao del
Norte, Lanao del Sur, Misamis Oriental, Surigao del
Norte with total population of 6,530,946 as of Census
2010;
Covers about 48,481 sq.km. of land area with 159
delivery beats and 163 letter carriers;

t:

Western
Mindanao
Dir. Carlo Reynaldo S. Argana

Covers 7 provinces - Basilan, Misamis Occidental,


Sulu, Tawi-tawi, Zamboanga del Norte, Zamboanga
del Sur, Zarnboanga-Sibugay with total population
of 5,353,157 as of Census 2010;
Covers about 30,165 sq.km. of land area with 170
delivery beats and 161 letter carriers;
Wilh 31 units of serviceable delivery vehicles;

With 21 units of scrvlrcablc delivery vehicles;


Posted a total of 2,161,553 mails, a big majority (78.64%)

Posted a total of 589,622 mails, most (80.48%) of


which are domestic letter post;

Central Office
Departments
Office of the Board
of Directors
(02) 5270 I52
(02) 5270 I53
(02) 5270 I57
(02) 5281602
(02) 528-1603
Internal Audit Department
(02) 527-5870
(02) 527-0071
Office of the Postmaster
General and CEO
(02) 5278327 to 30
(02) 5278334
Legal Department
(02) 527005 I
(02) 5270125
(02) 527-9608
Corporate Planning
Department
(02) 5279615
corplan@philpost.gov.ph

of which are domestic louor post,


Dclivorcd a total of 3,203,302 mails, most (8337'70) of
II. Delivered a total of 5,568,255 mails, most (88.36%) of
which are domestic letter post;
A big majority (663'70) of total revenue comes from mail
services, followed by retail services (15.0%) and other
services (10.5%);
Ranked 6Lhamong all areas in terms of posted franked
mail.

21

I Philippine Postal Corporation

which are domestic letter post;


Greatest amount (49.3%) of total revenue comes from
mail services, followed by retail services (18.1'70) and
logistics services (14.8%);
Ranked SLh among all areas in terms of delivered
domes Lieexpress.

Human Resource
Management Depa.rtment
(02) 527-0104
(02) 527-1018
(02) 5270061
(02) 5270050
(02) 5275871
Management Information
System

Network and Transport


Department
(02) 854-1641

Office of the APMG for


Administration and Finance
(02) 527-3663
(02) 527-0032
apmg.adfin@philpost.gov.ph
Accounting Department
(02) 5279611

Express Mail Exchange


Department
(02) 8540086
(02) 8540888

Fiscal Management
Department
(02) 527-5868
fmd.apmgadfin@philpost.gov.ph

Airmail Exchange
Department
(02) 854-4670
(02) 854-9825

Logistics and Property


Management Department
(02) 5279606

Surface Mail Exchange


Department
(02) 5278705
(02) 5257130

General Services Department


(02) 527-0143

Postal Area Offices


Northeast Luzon Area
Office of the Area Director
(078) 844-1363
federico.frayna@phlpost.gov.
ph

Office of the APMG


for Marketing
(02) 527-0091
Business Lines Department
(02) 5270059
(02) 5248771

Northwest Luzon Area


Office of the Area Director
(072) 700-3660
joel.zamudio@phlpost.gov.ph

Corporate
Communications Division
(02) 527-0074
Office of the APMG
for Operations
(02) 5279601
Service Regulations D..,-tm
(01) 527-0076

(02) 527-9604 t:O:05~J:.~'J.amJ~~~~~~!!~~:;

nt

Southern Luzon Area


Office of the Area Director
(02) 520-6009
mario.lanuza@phlpost.gov.ph
Central and Eastern Visayas
Area
Office of the Area Director
(032) 344-8242
raul.buensalida@phlpost.gov.ph
Western Visayas Area
Office of the Area Director
(033) 5098360
fablolita.ferraris@phlpost.gov.ph
Eastern Mindanao Area
Office of the Area Director
(082) 2242962
bernard ito.gonzales@phlpost.go
v.ph
Central Mindanao Area
Office of the Area Director
(088) 8566669
nimia.acebes@phlpost.gov.ph
Western Mindanao Area
Office of the Area Director
(062) 9910581
carloreynaldo.argana@phlpost.g
ov.ph

Products and Services

[Q
Mails

Payment Services

Mail Services

IExpress
Post
International

I Postal

ID Card
Encoded with biometrics information such as facial, fingerprints and signature
Printed with security features such as guilloche, ghost image, microprint, UV
ink and hologram
Biometric enrollment with unique identity verification through Automated
Pingerprint Identification System (APIS)
Card verification through 20 barcode/QR code
Magnetic stripe for data storage and for future use as a Cash/ Debit/
Remittance and/ or Loyalty / Rewards card

Express Mail
Domestic Express Mail Service (OEMS)
Express Pouch

-------

Letter Post
Ordinary Mai I
Priority Mail
Registered Mail
M Bags
Articles
Small Packets

L-

L-

Parcel Post
Air Parcel Post
Surface Parcel Post
Insured Parcel Post
Unaddressed Advertising Mails Service
Collect-on-Delivery Service (COD)

L...-

Fax Mail Service


Business Reply Envelopes/Cards
Address Check Service
General Delivery Service
Proof of delivery (POD)
International Reply Coupon

Postal Money Order

Collection Services
Bayad Center ou tlet
Phil Health
Biometric Data Capture Service
Bills Payment
Payment Services

(BRf/BRC)

Retail Services
Logistics Services
Logistics and Warehousin~ huh at the Foreign Surface' and Distribution, Porl Area
Storage and delivery of light equipment, appliances and agricultural products

hilippine Postal Corporation

P.O. Box Rental


small
medium
large

Annual Report 2014

I 24

Philippine Postal Corporation


Annual Report 2014
854-9825,854-4670,854-1641
phlpost.gov.ph

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