HISTORICAL BACKGROUND

The Rural Bank of Kapatagan Valley, Inc. was incorporated on September 11, 1956 and was granted an authority to operate on November 24, 1956. It is the seventy-fifth (75th) rural bank of the country. The bank became a member of the prestigious Rural Bank Association of the Philippines on April 5, 1957. The Rural Bank of Kapatagan Valley, Inc. was organized as a stock corporation.

The bank serves and accommodates the financial needs of its valued customers at its main office in Barroy, Lanao del Norte; and branches at Kapatagan, Lanao del Norte; Maranding, Lala, Lanao del Norte; Molave, Zamboanga del Sur, Iligan City; Ozamis City, Margosatubig, Zamboanga del Sur; Dumalinao, Zamboanga del Sur, Pagadian City; Buug, Zamboanga Sibugay; Ipil, Zamboanga Sibugay; Sinacaban, Misamis Occidental; Imelda, Zamboanga Sibugay; Dipolog City; Carmed, Cagayan de Oro City and Zamboanga City. Loans granted by the bank are primarily channeled to help finance the production of coconut, corn, rice and fish. The bank also provides capital and other banking services, as co-partner of the Department of Agriculture, to small-scale commercial, industrial and agri-aqua business or diversified farming in line with the government’s program in agricultural development to uplift the socio-economic welfare of the people. The bank has also a special loan program to accommodate salaried individuals and micro entrepreneurs.

On April 3, 2004, the Bank’s Stockholders approved the recommendation of its Board of Directors to consolidate with the Rural Bank of Sinacaban, Inc. On August 30, 2005, the Securities and Exchange Commission issued the consolidated bank’s Certificate of Consolidation and the corresponding Certificate of Incorporation of the new bank, 1st Valley Bank, Inc., A Rural Bank. Moreover, the Bangko Sentral ng Pilipinas granted 1st Valley Bank’s authority to operate on September 21, 2005. The new Bank adopts the Rural Bank of Kapatagan Valley’s culture and also with the company’s mission and vision.

The bank is now on its 49th year continuous service to the community since its establishment. The bank’s initial paid-up capital was Forty Thousand Pesos (Php 40,000.00) including government counterpart. Now, the bank’s consolidated resources have increased to more than ONE BILLION PESOS and this was made possible by the confidence reposed on by its valued clients.