SIX LOCAL BANKS, including those owned by taipans Henry Sy, John Gokongwei and Andrew Gotianiun, are in the short list of bidders for AIG's consumer banking arm Philam Savings Bank and auto financing company Primus Finance and Leasing Inc.

The potential bidders, which have until Monday to submit a definitive proposal, are Asia United Bank, Banco de Oro Unibank, China Banking Corp., Chinatrust (Philippines) Commercial Bank, East West Bank and Robinsons Savings Bank, banking sources disclosed to the Inquirer.

The sources said beleaguered US financial giant AIG, which has put its Philippine assets on the block as part of a global streamlining program, could make a decision and pick from among Philam Savings' suitors very soon.

AIG's consumer units have a combined book value of P1.6 billion--P1.3 billion for Philam Savings and P300 million for Primus Finance, the sources said. As a rule of thumb, sellers of profitable enterprises usually ask for a premium over book value.

"You're buying Philam Savings and Primus Finance as if they're a merged entity. You're really buying the credit card and auto financing business," said an officer of one of the shortlisted banks.

A 24.5-percent stake in Primus Finance, formerly the local auto financing company of American car giant Ford, was already booked as part of Philam Savings' assets. But whoever will buy Philam Savings must also pay for the remaining 75.5-percent stake held by other AIG affiliates, the sources said.

BDO and China Bank are both owned by retail tycoon Sy while East West Bank is owned by property magnate Gotinianun of the Fil-Invest group.