|
5 Major Banks Results as of March 31, 2004 |
|
Billion Yen |
Outstanding
Bad Loans
March 31
2004 |
Change
from
March 31 2003 |
Bad loans
ratio
March 31
2004 |
Bad loans
ratio
March 31
2003 |
Net Profit
FY 2003 |
Capital
Adequacy
Ratio
March 2004 |
Capital
Adequacy
Ratio
March 2003 |
|
Mizuho Group |
3191.0 |
-26.4% |
4.4% |
6.2% |
407.0 |
11.3% |
9.5% |
|
SMBC |
3336.2 |
-25.1% |
5.0% |
4.0% |
330.4 |
11.4% |
10.1% |
|
MTFG |
1419.1 |
-23.6% |
2.9% |
5.3% |
560.8 |
12.9% |
10.8% |
|
UFJ |
3949.4 |
6.5% |
8.5% |
8.7% |
-402.8
|
9.2% |
9.9% |
|
Resona |
1884.1 |
-41.0% |
6.7% |
9.3% |
-1664.0
|
7.7% |
3.7% |
|
Total |
13779.8 |
|
|
|
-768.6
|
|
|
|
SMBC attempts hostile merger on UFJ (August 1) |
|
Our
take:
This mark the first instance of takeover battle in the Japanese
financial establishment. Hostiles bids seems (at last) to become
accepted in Japan.
This is positive progress. |
|
UFJ attempts merger with MTFG (July 15) |
|
Our
take:
UFJ attempt to merge with MTFG is further proof that the real situation
of bad loans is worse than announced and that UFJ does not have enough
reserve (capital adequacy ratio had fallen to 9.2%) to write off its
most obvious bad loans such as loans to Daiei. |
|
Japan bad loans at 4 major banking groups have
declined to 14TY on March 2004 or 6.8TY less than a year earlier.
Meanwhile, bad loan ratio fell from 7.2% to 5.2% (May 25) |
|
Our
take:
As expected, major banking groups have followed Ministry instructions
and reduced their official bad loan figure. We remain convinced that
many more "hidden" bad loans remain on banks balance sheet. |
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Contact us:
info@japanconsult.com
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