Re Agreement

Date : 08/12/2004 @ 9:20AM
Source : UK Regulatory (RNS & others)
Stock : Ufj Holdings Inc. (UFJ)
Quote : 8.74  0.0 (0.00%) @ 1:00AM
<< BackQuote Chart

 

Re Agreement

    UFJ Holdings Inc.

UFJ HOLDINGS, INC.

Mitsubishi Tokyo Financial Group, Inc.
UFJ Holdings, Inc.
The Bank of Tokyo-Mitsubishi, Ltd.
UFJ Bank Limited
The Mitsubishi Trust and Banking Corporation
UFJ Trust Bank Limited
Mitsubishi Securities Co., Ltd.
UFJ Tsubasa Securities Co., Ltd.

         Basic Agreement Regarding the Management Integration
           of Mitsubishi Tokyo Financial Group and UFJ Group

Mitsubishi Tokyo Financial Group, Inc. (MTFG; President and CEO: Nobuo
Kuroyanagi), UFJ Holdings, Inc. (UFJ; President and CEO: Ryosuke
Tamakoshi), The Bank of Tokyo-Mitsubishi, Ltd. (BTM; President: Nobuo
Kuroyanagi), UFJ Bank Limited (UFJ Bank; President: Takamune Okihara),
The Mitsubishi Trust and Banking Corporation (MTB; President: Haruya
Uehara), UFJ Trust Bank Limited (UFJ Trust Bank; President: Shintaro
Yasuda), Mitsubishi Securities Co., Ltd. (Mitsubishi Securities;
President: Koichi Kane) and UFJ Tsubasa Securities Co., Ltd. (UFJ
Tsubasa Securities; President: Kimisuke Fujimoto) have, subject to the
approval by the shareholders and the relevant authorities, concluded a
basic agreement with regard to the management integration of the
holding companies, banks, trust banks and securities companies of the
two groups.

1. Outline of Management Integration

(i) As the needs of customers in Japan and abroad become diversified and
sophisticated, Mitsubishi Tokyo Financial Group and UFJ Group aim, through their
management integration, to create a "premier comprehensive global financial
group" that is competitive worldwide, and to provide customers with products and
services of the highest quality.

(ii) By this management integration, we will create a highly competitive group
with strong presence in the core financial business areas, such as banking,
trust business, securities, asset management, credit card, consumer finance, and
lease. Through a close collaboration among the group companies, we will
strengthen our organizational capabilities to respond comprehensively and
flexibly to a wide variety of our customers' financial needs.

(iii) In the domestic market, the new comprehensive financial group's network
will be well-balanced geographically among the Tokyo, Nagoya and Osaka
metropolitan areas, while in overseas markets, it will have the number one
global network among Japanese banking groups. The new group will also have a
diverse customer base ranging from individual customers, small and medium-sized
companies to large companies. The combination of the two groups will be
extremely complementary in terms of business operations and branch networks. By
leveraging the respective strengths of each group, and by further pursuing
efficiencies throughout the new group, we will aim to improve the standard of
our products and services and seek to provide significant benefits expected from
this management integration to our customers and shareholders.

(iv) Two groups will be integrated based on equal spirit. Furthermore, founded
on the key principles of trust and reliability, both groups will foster a
corporate culture that will fully realize the abilities of our personnel, aim to
significantly strengthen corporate governance, and will contribute to the
prosperity of our customers, society and the economy, and to raise shareholder
value as a reliable comprehensive financial services group.

2. Integration structure

We are considering the integration structures as follows.

(i) Holding companies

Mitsubishi Tokyo Financial Group, Inc and UFJ Holdings, Inc. will merge, with
MTFG as the surviving company.

(ii) Banks

The Bank of Tokyo-Mitsubishi, Ltd. and UFJ Bank Limited will merge, with BTM, a
wholly-owned subsidiary of the new holding company, as the surviving company.

(iii) Trust banks

The Mitsubishi Trust and Banking Corporation and UFJ Trust Bank Limited will
merge, with MTB, a wholly-owned subsidiary of the new holding company, as the
surviving company.

(iv) Securities companies

Mitsubishi Securities Co., Ltd. and UFJ Tsubasa Securities Co., Ltd. will merge,
with Mitsubishi Securities as the surviving company, and becoming a directly or
indirectly owned subsidiary of the new holding company.

(v) Group companies other than banks, trust banks and securities companies

In order to realize the purpose of management integration, group companies other
than banks, trust banks and securities companies will consider the integration
after receiving the cooperation of the relevant companies, if necessity arises.

3. Integration schedule

The integration of the two groups' holding companies, banks, trust banks and
securities companies is targeted for completion by October 1, 2005, subject to
receiving approval from the relevant authorities as stipulated by law.

4. Company names

(i) The planned name of the new holding company is Kabushikikaisha Mitsubishi
UFJ Holdings in Japanese, and Mitsubishi UFJ Holdings, Inc. in English

(ii) The planned name of the new bank is Kabushikikaisha Mitsubishi Tokyo UFJ
Ginko in Japanese, and The Bank of Tokyo-Mitsubishi UFJ, Ltd. in English

(iii) The planned name of the new trust bank is Mitsubishi UFJ Shintaku Ginko
Kabushikikaisha in Japanese, and Mitsubishi UFJ Trust and Banking Corporation in
English

(iv) The planned name of the new securities company is Mitsubishi UFJ Shouken
Kabushikikaisha in Japanese, and Mitsubishi UFJ Securities Co., Ltd. in English

5. Locations of Headquarters

(i) New holding company
The current headquarters of MTFG (Chiyoda-ku, Tokyo)

(ii) New bank
The current headquarters of BTM (Chiyoda-ku, Tokyo)

(iii) New trust bank
The current headquarters of MTB (Chiyoda-ku, Tokyo)

(iv) New securities company
The current headquarters of Mitsubishi Securities (Chiyoda-ku, Tokyo)

6. Representatives (Planned)

(i) New holding company

Chairman : Ryosuke Tamakoshi; Deputy Chairman: Haruya Uehara;
President : Nobuo Kuroyanagi

(ii) New bank

Chairman : Shigemitsu Miki; Deputy Chairman : Ryosuke Tamakoshi;
President : Nobuo Kuroyanagi; Deputy President : Takamune Okihara

(iii) New trust bank

Chairman : Akio Utsumi; President : Haruya Uehara;
Deputy President : Shintaro Yasuda

(iv) New securities company

Chairman : Yasumasa Gomi; Deputy Chairman: Koichi Kane;
President: Kimisuke Fujimoto

7. Integration Ratio

The respective merger or other integration ratios for the holding companies,
banks, trust banks and securities companies will be decided on the basis of
forthcoming discussions considering rational assessments, including valuation
reports by outside institutions.

The organization, capital, specific integration procedures, and other matters
regarding the new holding company, new bank, new trust bank and new securities
company will be decided on the basis of forthcoming discussions.

8. Stock Exchange listings

It is planned that the new holding company will be listed in Japan on the stock
exchanges of Tokyo, Osaka and Nagoya, and overseas on the stock exchanges of New
York and London.

9. Business tie-ups

Prior to integration, the holding companies, banks, trust banks and securities
companies will, in order to improve customers' convenience and enhance our
service standard, enter into business tie-ups in accordance with the purpose and
spirit of management integration.

10. Organization to promote integration

To promote prompt and smooth integration of management and operation, an
integration committee will be established with the president of MTFG as
committee chairman and the president of UFJ Holdings as deputy chairman.

A bank integration committee, a trust bank integration committee, and a
securities company integration committee will also be established at banks,
trust banks and securities companies, respectively.

The purpose of management integration of MTFG and UFJ is to create a "premier
comprehensive global financial group" that is competitive worldwide to provide
products and services of the highest quality from the customer-oriented point of
view. In order to realize this purpose, we would like related parties to share
the spirit of our management integration.


This press release contains forward-looking statements relating to the parties
referred to in the press release. Forward-looking statements are inherently
susceptible to uncertainties, risks and changes in circumstances and are not
guarantees of future performance. They may prove to be incorrect and may not be
realized in the future due to a wide range of reasons. In light of the many
risks, uncertainties and possible changes, you are advised not to put undue
reliance on the forward-looking statements. The parties are under no obligation,
and expressly disclaims any obligation, to update or alter the forward-looking
statements, except as may be required by any applicable laws and regulations or
stock exchange rules.


Reference: Complementarity in operations and regions

Lending portfolios (As at end March 2004)
Since over half (53%) of MTFG's lending is to large companies, etc or
overseas borrowers and UFJ's lending is weighted towards medium- and
small-sized companies and individuals (64%), the management
integration will enable us to create a balanced portfolio. Note: MTFG
figures are the sum of the non-consolidated figures of BTM and MTBC
(Banking accounts + Trust accounts). UFJ figures are the sum of the
non-consolidated figures of UFJ Bank (including two separated
subsidiaries) and UFJ Trust Bank (Banking accounts + Trust accounts).

Domestic and overseas networks (As at end March 2004)
77% of MTFG's domestic branches are concentrated in Eastern Japan
while in contrast UFJ is more balanced with 28% of its branches in
Central Japan and 34% in Western Japan. MTFG has the leading overseas
network among Japanese banks with 81 locations. Integration of the two
groups should thus be highly complementary.



Outline of the Groups (1)
[Group Consolidated]
                                                                                    (Consolidated, as of end March 2004)
------------------------------------------------------------------------------------------------------------------------
                                   Mitsubishi Tokyo Financial Group,            UFJ Holdings, Inc.           Combined
                                                  Inc.
----------------------------------------------------------------------  ------------------------------------------------
Date of establishment                        April 2, 2001                         April 2, 2001                      -
----------------------------------------------------------------------  ------------------------------------------------
Registered Head Office            2-4-1, Marunouchi, Chiyoda-ku, Tokyo  3-5-6, Fushimimachi, Chuo-ku, Osaka           -
----------------------------------------------------------------------  ------------------------------------------------
Representative                     Nobuo Kuroyanagi, President & CEO    Ryosuke Tamakoshi, President & CEO            -
----------------------------------------------------------------------  ------------------------------------------------
Shareholders capital                    Yen 1,258,052 million                 Yen 1,000,000 million                  -
----------------------------------------------------------------------  ------------------------------------------------
Number of Outlets (Note 1)                        396                                  485                     881
  In Japan                                        315                                  459                     774
  Overseas                                        81                                    26                     107
----------------------------------------------------------------------  ------------------------------------------------
Number of consolidated employees
 (Note 2)                                       43,627                                34,269                  77,896
----------------------------------------------------------------------  ------------------------------------------------
Total assets                             Yen 106,615.4 billion                 Yen 82,134.4 billion        Yen 188,749.9
                                                                                                              billion
----------------------------------------------------------------------  ------------------------------------------------
Deposits                                  Yen 66,097.5 billion                 Yen 52,975.7 billion        Yen 119,073.3
                                                                                                              billion
----------------------------------------------------------------------  ------------------------------------------------
Loans                                     Yen 46,590.1 billion                 Yen 42,462.6 billion        Yen 89,052.7
                                                                                                              billion
----------------------------------------------------------------------  ------------------------------------------------
Net assets                                Yen 4,295.2 billion                   Yen 1,665.0 billion        Yen 5,960.3
                                                                                                              billion
----------------------------------------------------------------------  ------------------------------------------------
Trust assets (Note 3)                     Yen 55,876.3 billion                  Yen 36,184.8 billion       Yen 92,061.2
                                                                                                              billion
----------------------------------------------------------------------  ------------------------------------------------
Gross business profit (Note 4)            Yen 1,773.5 billion                   Yen 1,625.2 billion        Yen 3,398.8
                                                                                                              billion
----------------------------------------------------------------------  ------------------------------------------------
Net business profit (Note 5)               Yen 793.1 billion                     Yen 921.5 billion         Yen 1,714.7
                                                                                                              billion
----------------------------------------------------------------------  ------------------------------------------------
BIS capital ratio
 (International Standard)                        12.95%                                9.24%                  11.24%
Tier1 Ratio                                      7.14%                                 4.70%                   6.02%
----------------------------------------------------------------------  ------------------------------------------------
Deferred tax assets outstanding            Yen 655.5 billion                    Yen 1,395.7 billion        Yen 2,051.3
 (net)                                                                                                        billion
Ratio of DTA to Tier1 Capital                    16.9%                                 64.1%                   33.9%
----------------------------------------------------------------------  ------------------------------------------------
Number of shares outstanding                 6,572 thousand                       5,824 thousand                -
   Common shares                             6,476 thousand                       5,093 thousand                -
   Preferred shares                           96 thousand                          731 thousand                 -
----------------------------------------------------------------------  ------------------------------------------------
                                            Name           Percentage         Name          Percentage    
                                                             held of                          held of
                                                              total                            total
                                                            shares in                        shares in
                                                              issue                           issue
                                  ------------------------------------  ------------------------------------------------
                                  Japan Trustee Services
                                   Bank, Ltd. (Trust                   State Street Bank and
                                   Account)                   6.32%    Trust Company 505010    5.30%
                                  The Master Trust Bank of                      
                                   Japan, Ltd. (Trust                  Japan Trustee Services Bank,
                                   Account)                   4.78%     Ltd. (Trust Account)   4.93%
Major Shareholders                State Street Bank and                The Master Trust Bank of Japan,
                                   Trust Company              3.31%    Ltd.(Trust Account)     4.34%
                                  Hero & Co.                           State Street Bank and 
                                                              2.75%    Trust Company           2.89%
                                  Meiji Yasuda Life
                                   Insurance Company                   Nippon Life Insurance
                                   (Pension trust account)    2.70%    Company                 2.74%
                                  The Tokio Marine and Fire
                                   Insurance Co., Ltd.        2.26%   Toyota Motor Corporation 2.69%
----------------------------------------------------------------------  ------------------------------------------------



Notes:     1. Figures of MTFG are aggregates of Bank of Tokyo-Mitsubishi and Mitsubishi Trust and Banking Corporation,
               those of UFJ Holdings are aggregates of UFJ Bank and UFJ Trust Bank
           2. Figures include local employees in overseas offices and do not include temporary and part-time employees
           3. Figures include trust assets under the Service-Shared Co-Trusteeship
           4. Before credit costs for trust accounts
           5. Before credit costs for trust accounts and provision for formula allowance for loan losses



Outline of the Groups (2)
[Commercial Banks]
                                                                                (Non-consolidated, as of end March 2004)
------------------------------------------------------------------------------------------------------------------------
                                   The Bank of Tokyo-Mitsubishi, Ltd.              UFJ Bank Ltd.             Combined
-----------------------------------------------------------------------  -----------------------------------------------
Date of establishment                          August 1919                         December 1933                      -
-----------------------------------------------------------------------  -----------------------------------------------
Registered Head Office            2-7-1, Marunouchi, Chiyoda-ku, Tokyo   3-21-24, Nishiki, Naka-ku, Nagoya            -
-----------------------------------------------------------------------  -----------------------------------------------
Representative                         Nobuo Kuroyanagi, President          Takamune Okihara, President               -
-----------------------------------------------------------------------  -----------------------------------------------
Shareholders capital                      Yen 871,973 million                  Yen 843,582 million                   -
-----------------------------------------------------------------------  -----------------------------------------------
Credit rating                                    A-(S&P)                              BBB(S&P)                        -
(As of August 11, 2004)                        A2(Moodys)                          A3(Moodys)                       -
-----------------------------------------------------------------------  -----------------------------------------------
Number of Outlets (Note 1)                        340                                   446                    786
  In Japan                                        267                                   420                    687
  Overseas                                         73                                   26                      99
-----------------------------------------------------------------------  -----------------------------------------------
Number of Employees (Note 2)                     17,714                               16,911                  34,625
-----------------------------------------------------------------------  -----------------------------------------------
Total assets                              Yen 76,437.4 billion                  Yen 70,712.5 billion       Yen 147,149.9
                                                                                                              billion
-----------------------------------------------------------------------  -----------------------------------------------
Deposits                                  Yen 51,819.4 billion                  Yen 48,813.9 billion       Yen 100,633.3
                                                                                                              billion
-----------------------------------------------------------------------  -----------------------------------------------
Loans                                     Yen 34,816.6 billion                  Yen 37,876.3 billion       Yen 72,693.0
                                                                                                              billion
-----------------------------------------------------------------------  -----------------------------------------------
Net assets                                 Yen 3,142.2 billion                  Yen 1,577.9 billion        Yen 4,720.2
                                                                                                              billion
-----------------------------------------------------------------------  -----------------------------------------------
BIS capital ratio (Consolidated,
 International Standard)                         11.97%                                8.36%                  10.21%
Tier 1 ratio                                      6.52%                                4.27%                   5.42%
-----------------------------------------------------------------------  -----------------------------------------------
Disclosed claims under Financial            Yen 992.7 billion                   Yen 3,556.3 billion        Yen 4,549.0
 Revitalization Law (Note 3)                                                                                  billion
Disclosed claims ratio under
 Financial Revitalization Law
 (Note 3)                                         2.55%                                8.40%                   5.60%
-----------------------------------------------------------------------  -----------------------------------------------
Gross business profit (Note 3)              Yen 925.3 billion                   Yen 1,198.2 billion        Yen 2,123.5
                                                                                                              billion
-----------------------------------------------------------------------  -----------------------------------------------
Net business profit (Note3)                 Yen 466.8 billion                    Yen 708.1 billion         Yen 1,174.9
                                                                                                              billion
-----------------------------------------------------------------------  -----------------------------------------------
Net profit                                  Yen 359.7 billion                   (Yen 408.8 billion)         (Yen 49.0
                                                                                                              billion)
-----------------------------------------------------------------------  -----------------------------------------------
Retail business
-----------------------------------------------------------------------  -----------------------------------------------
      Individual deposits in Yen          Yen 25,862.5 billion                  Yen 24,114.8 billion       Yen 49,977.3
                                                                                                              billion
      -----------------------------------------------------------------  -----------------------------------------------
      Individual deposits in                Yen 808.7 billion                    Yen 486.9 billion         Yen 1,295.6
       foreign currencies                                                                                     billion
       (@Yen110/$)
      -----------------------------------------------------------------  -----------------------------------------------
      Loans to individual                  Yen 7,798.9 billion                  Yen 10,273.5 billion       Yen 18,072.5
       customers (Note 3)                                                                                     billion
      -----------------------------------------------------------------  -----------------------------------------------
      New housing loan extension           Yen 1,403.8 billion                  Yen 1,609.6 billion        Yen 3,013.4
       (Note 4)                                                                                               billion
-----------------------------------------------------------------------  -----------------------------------------------
Corporate business
-----------------------------------------------------------------------  -----------------------------------------------
      Loans to SMEs (Note 3)               Yen 9,530.0 billion                  Yen 14,816.4 billion       Yen 24,346.4
                                                                                                              billion
      -----------------------------------------------------------------  -----------------------------------------------
      Private placement bonds               Yen 234.4 billion                    Yen 943.5 billion         Yen 1,177.9
       entrusted (Note 5)                                                                                     billion
      -----------------------------------------------------------------  -----------------------------------------------
      ABCP (Note 6)                        Yen 1,998.9 billion                   Yen 939.2 billion         Yen 2,938.1
                                                                                                              billion
      -----------------------------------------------------------------  -----------------------------------------------
      Volume of trade handling              US$ 237.1 billion                    US$ 132.9 billion          US$ 370.0
                                                                                                              billion
      -----------------------------------------------------------------  -----------------------------------------------
      Share of customs clearing                   26.9%                                15.1%                   42.0%
-----------------------------------------------------------------------  -----------------------------------------------



Notes:1. Figures include sub-branches and agencies
      2. Figures exclude employees on external assignment and include the seconded from outside and local
         employees in overseas offices. Figures do not include temporary and part-time employees.
      3. Figures of UFJ Bank include those of 2 separated subsidiaries
      4. New loan contracts for residential purpose
      5. Figures exclude ABS
      6. Figures are based on amount of negotiation of claimable assets



Outline of the Groups (3)
[Trust Banks]
                                                                                (Non-consolidated, as of end March 2004)
------------------------------------------------------------------------------------------------------------------------
                                      The Mitsubishi Trust and Banking         UFJ Trust Bank Limited        Combined
                                                 Corporation
-----------------------------------------------------------------------  -----------------------------------------------
Date of establishment                            March 1927                        November 1959                -
-----------------------------------------------------------------------  -----------------------------------------------
Registered Head Office                 1-4-5, Marunouchi, Chiyoda-ku,     1-4-3, Marunouchi, Chiyoda-ku,
                                                    Tokyo                               Tokyo                   -
-----------------------------------------------------------------------  -----------------------------------------------
Representative                            Haruya Uehara, President           Shintaro Yasuda, President         -
-----------------------------------------------------------------------  -----------------------------------------------
Shareholders capital                        Yen 324,279 million                Yen 280,536 million             -
-----------------------------------------------------------------------  -----------------------------------------------
Credit rating                                      A-(S&P)                            BBB(S&P)                  -
(As of August 11, 2004)                          A2(Moodys)                        A3(Moodys)                 -
-----------------------------------------------------------------------  -----------------------------------------------
Number of Outlets (Note 1)                           56                                 39                      95
  In Japan                                           48                                 39                      87
  Overseas                                           8                                   0                      8
-----------------------------------------------------------------------  -----------------------------------------------
Number of Employees (Note 2)                       5,083                               2,342                  7,425
-----------------------------------------------------------------------  -----------------------------------------------
Total assets                                Yen 19,364.2 billion                Yen 6,097.8 billion        Yen 25,462.0
                                                                                                              billion
-----------------------------------------------------------------------  -----------------------------------------------
Deposits                                    Yen 10,844.7 billion                Yen 3,112.0 billion        Yen 13,956.8
                                                                                                              billion
-----------------------------------------------------------------------  -----------------------------------------------
Loans (Note 3)                               Yen 9,309.0 billion                Yen 4,088.1 billion        Yen 13,397.2
                                                                                                              billion
-----------------------------------------------------------------------  -----------------------------------------------
Net assets                                    Yen 978.5 billion                  Yen 383.2 billion         Yen 1,361.7
                                                                                                              billion
-----------------------------------------------------------------------  -----------------------------------------------
Trust assets (Note 4)                       Yen 55,876.3 billion                Yen 36,184.8 billion       Yen 92,061.2
                                                                                                              billion
-----------------------------------------------------------------------  -----------------------------------------------
BIS capital ratio (Consolidated,
 International Standard)                           15.03%                              12.87%                 14.40%
Tier 1 ratio                                        7.76%                              8.72%                   8.04%
-----------------------------------------------------------------------  -----------------------------------------------
Disclosed claims under Financial              Yen 426.3 billion                  Yen 393.0 billion          Yen 819.3
 Revitalization Law (Note 3)                                                                                  billion
Disclosed claims ratio under Financial
 Revitalization Law (Note 3)                        4.50%                              9.56%                   6.03%
-----------------------------------------------------------------------  -----------------------------------------------
Gross business profit (Note 5,6)              Yen 339.0 billion                  Yen 164.1 billion          Yen 503.2
                                                                                                              billion
-----------------------------------------------------------------------  -----------------------------------------------
Net business profit (Note 6,7)                Yen 188.0 billion                   Yen 86.4 billion          Yen 274.5
                                                                                                              billion
-----------------------------------------------------------------------  -----------------------------------------------
Net profit (Note 6)                           Yen 122.7 billion                   Yen 33.2 billion          Yen 155.9
                                                                                                              billion
-----------------------------------------------------------------------  -----------------------------------------------
Trust business
-----------------------------------------------------------------------  -----------------------------------------------
     Number of testamentary trust with
      execution                                    8,626                               5,423                   14,049
     Commissions and trust fees from          Yen 16.2 billion                    Yen 12.3 billion           Yen 28.5
      real estate transactions                                                                                billion
     Number of clients for stock
      transfer agency                               916                                2,049                   2,965
     Number of shareholders for stock          6,365 thousand                     12,686 thousand             19,051
      transfer agency                                                                                         thousand
     Investment trusts under                  Yen 9.5 trillion                   Yen 12.5 trillion           Yen 22.0
      management                                                                                              trillion
     Corporate pension funds                  Yen 14.9 trillion                   Yen 8.6 trillion           Yen 23.5
                                                                                                              trillion
-----------------------------------------------------------------------  -----------------------------------------------



  Notes:1. Figures include sub-branches and agencies
        2. Figures exclude employees on external assignment and include the seconded from outside and local employees in
            overseas offices. Figures do not include temporary and part-time employees.
        3. Combined for banking and trust accounts
        4. Figures include trust assets under the Service-Shared Co-Trusteeship
        5. Before credit costs for trust accounts
        6. Figures of UFJ Trust Bank include those of  separated subsidiary
        7. Before credit costs for trust accounts and provision for formula allowance for loan losses



Outline of the Groups (4)
[Securities Firms]
                                                                                (Non-consolidated, as of end March 2004)
------------------------------------------------------------------------------------------------------------------------
                              Mitsubishi Securities Co., Ltd.             UFJ Tsubasa Securities Co., Ltd.   Combined
-------------------------------------------------------------- ---------------------------------------------------------
Date of establishment                    March 1948                               April 1948                    -
-------------------------------------------------------------- ---------------------------------------------------------
Registered Head Office        2-4-1, Marunouchi, Chiyoda-ku,             1-1-3, Otemachi, Chiyoda-ku,
                                            Tokyo                                    Tokyo                      -
-------------------------------------------------------------- ---------------------------------------------------------
Representative                     Koichi Kane, President                Kimisuke Fujimoto, President           -
-------------------------------------------------------------- ---------------------------------------------------------
Shareholders' capital                Yen 65,518 million                       Yen 25,107 million                -
-------------------------------------------------------------- ---------------------------------------------------------
Number of outlets in Japan
  (Note 1)                                  69                                       89                        158
-------------------------------------------------------------- ---------------------------------------------------------
Number of employees (Non-
 consolidated) (Note 2)                    3,750                                    2,804                     6,554
-------------------------------------------------------------- ---------------------------------------------------------
Total assets                        Yen 4,535.9 billion                      Yen 3,468.3 billion           Yen 8,004.3
                                                                                                              billion
-------------------------------------------------------------- ---------------------------------------------------------
Client assets under custody          Yen 11.1 trillion                         Yen 7.1 trillion              Yen 18.3
                                                                                                              trillion
-------------------------------------------------------------- ---------------------------------------------------------
Retail assets under custody           Yen 3.3 trillion                         Yen 3.5 trillion              Yen 6.8
                                                                                                              trillion
-------------------------------------------------------------- ---------------------------------------------------------
Operating revenue                    Yen 129.5 billion                         Yen 85.8 billion             Yen 215.4
                                                                                                              billion
(Commissions received)                Yen 59.1 billion                         Yen 48.9 billion             Yen 108.1
                                                                                                              billion
-------------------------------------------------------------- ---------------------------------------------------------
Ordinary profit                       Yen 32.2 billion                         Yen 22.0 billion              Yen 54.2
                                                                                                              billion
-------------------------------------------------------------- ---------------------------------------------------------
Net profit                            Yen 32.9 billion                         Yen 17.8 billion              Yen 50.7
                                                                                                              billion
-------------------------------------------------------------- ---------------------------------------------------------
Share of underwriting (Note 3)
-------------------------------------------------------------- ---------------------------------------------------------
Share in IPO public offerings               3.9%                                     3.5%                      7.4%
-------------------------------------------------------------- ---------------------------------------------------------
Share in secondary stock
 offerings                                  4.5%                                     3.1%                      7.6%
-------------------------------------------------------------- ---------------------------------------------------------
Share in straight bonds                    10.4%                                     6.2%                      16.6%
-------------------------------------------------------------- ---------------------------------------------------------
Share in Samurai bonds                      9.3%                                     0.3%                      9.6%
-------------------------------------------------------------- ---------------------------------------------------------
Share in ABS public offerings               1.0%                                     7.0%                      8.0%
-------------------------------------------------------------- ---------------------------------------------------------
Total shares outstanding              472,661 thousand                         603,243 thousand
-------------------------------------------------------------- --------------------------------------------
                                            Name               Percentage            Name            Percentage held of
                                                                held of                                total shares in
                                                                 total                                      issue
                                                                shares in
                                                                  issue
                              -------------------------------- ---------------------------------------------------------
                              The Bank of Tokyo-Mitsubishi,              UFJ Bank Ltd.
                               Ltd.                              52.25%                              61.57%
                              Toyota Motor Corporation           5.89%   UFJ Trust Bank Ltd.         6.05%
                              The Mitsubishi Trust and Banking           UFJ Partners Asset
                               Corporation                       4.04%    Management Co., Ltd.       3.57%
                              The Master Trust Bank of Japan,            Japan Trustee Services Bank,
                               Ltd. (Trust Account)              3.87%    Ltd. (Trust Account)       1.61%
Major shareholders            Japan Trustee Services Bank,               The Master Trust Bank of
                               Ltd. (Trust Account)              3.05%    Japan, Ltd. (Trust Account)1.59%
                              Nippon Life Insurance Company      2.34%   Shinsei Bank, Ltd.          1.48%
                              Trust & Custody Services Bank,             Sumitomo Life Insurance
                               Ltd.                              1.58%    Company                    0.86%
                              Daido Life Insurance Company       1.22%   Taiyo Life Insurance Company0.85%
                              The Chase Manhattan Bank NA                Meiji Yasuda Life Insurance
                               London                            1.16%    Company                    0.66%
                              SHARQ                              0.92%   Sanshin Co., Ltd.           0.65%
-------------------------------------------------------------- ---------------------------------------------------------



      Notes:       1. Figures exclude outlets in the form of partial letting from banks
                   2. Figures of Mitsubishi Securities include 32 executive officers (non-directors)
                       Figures of UFJ Tsubasa Securities include 14 executive officers (non-directors)
                   3. Source: Thomson DealWatch


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