Section 35
SEC. 35. After deducting of the administrative expenses, and after making such provisions as the Board of Directors thinks proper for bad and doubtful debts, depreciation in assets, pension funds, or retiring allowance for the staff and all such other matters as are usually provided for by banks, the net profits or gains resulting from the operations of the Agricultural and Industrial Bank shall be apportioned semi-annually as follows: (a) For the creation and maintenance of a reserve, a sum equal to fifty per centum of the net profits. (b) The remaining fifty per centum shall be paid to the Government of the Philippines in the form of dividends. The dividends so paid shall not exceed in any calendar year twelve per centum of the paid up capital, and in case there is surplus after the necessary provision has been made for the reserve and dividend above mentioned, such surplus shall be transferred to the account of undivided profits.