Download - Bank of Tokyo Mitsubishi UFJ
July 2012
Mitsubishi UFJ Financial Group Bank of TokyoMitsubishi UFJ Overview of Global Business
1 The Bank of TokyoMitsubishi UFJ, Ltd.
Introduction
n Mitsubishi UFJ Financial Group (MUFG) is one of the world’s largest and most diversified financial groups with total assets of JPY218.9 trillion as of March 2012.
n The group comprises five primary operating companies, including The Bank of Tokyo Mitsubishi UFJ, Ltd., Mitsubishi UFJ Trust and Banking Corporation, Mitsubishi UFJ Morgan Stanley Securities Co., Ltd., Mitsubishi UFJ NICOS Co., Ltd. and Mitsubishi UFJ Lease & Finance Company Limited.
n MUFG’s services include commercial banking, trust banking, securities, credit cards, consumer finance, asset management, leasing and many more fields of financial services.
n The group has the largest overseas network of any Japanese bank, comprising offices and subsidiaries, including Union Bank, in more than 40 countries and 500 offices around the world.
2 The Bank of TokyoMitsubishi UFJ, Ltd.
Mitsubishi UFJ Securities Holdings (“MUS”)
Mitsubishi UFJ Trust and Banking (“MUTB”)
Union Bank (“UB”)
Mitsubishi UFJ Morgan Stanley Securities
Mitsubishi UFJ Securities International
Mitsubishi UFJ Securities (USA)
Mitsubishi UFJ Securities (Singapore)
Mitsubishi UFJ Securities (HK)
MUFG Business Platform
n Leading comprehensive financial group, comprising a diverse range of leading companies in a broad range of financial businesses.
n Operations are divided among the following core group companies.
Holding Company
Mitsubishi UFJ Financial Group (“MUFG”)
Bank of TokyoMitsubishi UFJ (“BTMU”)
100% 100% 100%
Bank of TokyoMitsubishi UFJ: Japan’s largest bank by market value Mitsubishi UFJ Trust and Banking: Leading trust bank in Japan Mitsubishi UFJ Securities Holdings: One of the largest securities firms in Japan Union Bank: California based commercial bank (wholly owned by BTMU)
3 The Bank of TokyoMitsubishi UFJ, Ltd.
(Note)1. Deposit rating only
Mitsubishi UFJ Financial Group
Bank of Tokyo Mitsubishi UFJ
Mitsubishi UFJ Trust & Banking
Mitsubishi UFJ Securities Holdings
Moody’s LongTerm Aa3 Aa3 1 A2
ShortTerm P1 1 P1 1 P1
S&P LongTerm A A+ A+ A
ShortTerm A1 A1 A1
FITCH LongTerm A A
ShortTerm F1 F1
Ratings
n MUFG and major group companies are rated by the world leading rating agencies with favorable ratings. (Ratings as of July 20, 2012)
4 The Bank of TokyoMitsubishi UFJ, Ltd.
MUFG Global Network
n Solid customer base; approximately 40 million retail accounts and 500,000 corporate clients with over 500 locations in more than 40 countries
Bank of TokyoMitsubishi UFJ Mitsubishi UFJ Securities Holdings Mitsubishi UFJ Trust and Banking
n London n Birmingham n Paris n Madrid n Lisbon n Barcelona n Brussels n Luxembourg n Amsterdam n Geneva n Dusseldorf n Munich n Frankfurt n Hamburg n Berlin n Warsaw n Prague n Vienna n St. Petersburg n Moscow n Istanbul n Cairo n Johannesburg n Tehran n Bahrain n Doha n Abu Dhabi n Dubai n Almaty n Milano
EMEA
n Vancouver n Toronto n Montreal n Seattle n San Francisco n Los Angeles n Minnesota n Chicago n Kentucky n Atlanta n Dallas n Houston n Boston n New York n Washington n Grand Cayman n Mexico City n Caracas n Bogota n Lima n Rio de Janeiro n San Paulo n Buenos Aires n Santiago n Cayman
Americas n Chengdu n Wuxi n Guangzhou n Shenzhen n Shanghai n Tianjin n Beijing n Kowloon n Wuhan n Shenyang n East Tsim Sha Tsui
n Tianjin Binhai
n Dalian n Guangzhou Nansha
n Shanghai Hongqiao
n Qingdao n Tsim Sha Tsui
n Penang n Tokyo n Beijing ETDA
n Sydney n Melbourne n Auckland n Jakarta n Labuan n Kuala Lumpur
n Singapore n Bangkok n Bandung n Surabaya n Ho Chi Minh
n Phnom Penh
n Hanoi n Manila n Yangon n Perth n Chennai n Mumbai n New Delhi n Karachi n Dhaka n Hong Kong n Taipei n Seoul
Asia & Oceania
5 The Bank of TokyoMitsubishi UFJ, Ltd.
(in billions of JPY) March 2012 March 2011 March 2010 March 2009
Gross profit 3,502.0 3,522.5 3,600.4 3.272.9
Net income 981.3 583.1 388.7 (256.9)
Total assets 218,861.6 206,227.1 204,106.9 198,733.9
Loans and bills discounted 84,492.7 79,995.0 84,880.6 92,056.8
Deposits 124,789.3 124,144.3 123,891.9 120,149.5
NPL ratio 1.77% 1.68% 1.50% 1.24%
BIS riskadjusted capital ratio
14.91% 14.89% 14.87% 11.77%
Tier 1 ratio 12.31% 11.33% 10.63% 7.76%
Earning per shares (in JPY) 68.09 39.95 29.57 (25.04)
ROE 11.10% 6.89% 4.92% (3.97%)
Market Capitalization (in trillion of JPY)
5.38 5.43 6.93 5.54
(Note)1. Under Japanese GAAP (not U.S. GAAP)
At a Glance (1)
n Consolidated financial summary and data of MUFG 1
6 The Bank of TokyoMitsubishi UFJ, Ltd.
Loans (in trillions of JPY, as of Dec 2011) Deposits (in trillions of JPY, as of Dec 2011)
(Source) Banks IR, BTMU Economic Research Office
At a Glance (2)
79.7
ICBC MUFG China Construction
Bank
BOC Santander
122.4
ICBC MUFG China Construction
Bank
Agricultural Bank of China
BOC
7 The Bank of TokyoMitsubishi UFJ, Ltd.
(Note) FY 11 ends on March 31, 2012
Financial Highlights ~ MUFG Performance
Gross Profit (in billions of JPY) Net Income (in billions of JPY)
Earnings per Share (in JPY) ROE (%)
3,513
3,273
3,600 3,524 3,502
FY07 FY08 FY09 FY10 FY11
637
389 583
981
(257)
FY07 FY08 FY09 FY10 FY11
61.00
29.57 39.95
68.09
(25.40)
FY07 FY08 FY09 FY10 FY11
7.99
4.92 6.89
11.10
(3.97)
FY07 FY08 FY09 FY10 FY11
8 The Bank of TokyoMitsubishi UFJ, Ltd.
261.8 379.0
59.8
53.2 236.7
255.0
433.5
437.1
402.5
370.5
1,400.6 1,494.8
0
400
800
1,200
1,600
FY10 FY11
Global Markets, Others Trust Assets Overseas Domestic Corporate Domestic Retail
(in billions of JPY)
Business Portfolio
n Change in MUFG net operating profit by business segment
25%
4%
17%
29%
25%
9 The Bank of TokyoMitsubishi UFJ, Ltd.
EMEA Union Bank Asia (ex. Japan) Americas
54%
11%
15%
21%
47%
15%
16%
23% 22%
18%
15%
45% 47%
14%
17%
22% 25%
17%
16%
42%
0
400
800
FY07 FY08 FY09 FY10 FY11 1
(Note)1. FY11 ends March 31, 2012
Geographical Contribution ~ Profit by Region
BTMU Gross Profit by Region (in billions of JPY)
10 The Bank of TokyoMitsubishi UFJ, Ltd.
Change in Tier 1 Ratio (Based on the Basel II standards)
Solid Capital Base
n MUFG has been committed to improving capital in terms of both quality and quantity through appropriate and proactive capital management responding to changes in the business environment.
Sep 08 Mar 09 Sep 09 Mar 10 Sep 10 Mar 11 Sep 11 Mar 12
4.00%
6.00%
8.00%
10.00%
12.00%
14.00%
7.63% 7.76%
9.13%
10.63%
11.57% 11.33%
13.04% 12.31%
u u
u
u
u u
u
u
11 The Bank of TokyoMitsubishi UFJ, Ltd.
Contents (First Half 2012 / Thomson Reuters) Rank
Global investment banking – Global Loans 8
Global project finance – Mandated arrangers 2
Project finance / Americas – Mandated arrangers 1
Project finance / EMEA – Mandated arrangers (including RBS assets) 8
Project finance / Asia – Mandated arrangers 2
US capital markets / high yield corporate CoManager 3
US capital markets / investment grade – CoManager 2
Japan investment banking: Top Banks 5
Global loans – Mandated arranger 4
US loans Bookrunners 9
Latin America loans – Mandated arranger 4
Asia loans (ex. Japan) – Mandated arranger 14
Australia loans – Mandated arranger 6
2012 Rankings ~Global CIB Business
n Global CIB business has been an important pillar of MUFG’s sustainable growth strategy. In 2012, MUFG performed well in the global debt markets.
12 The Bank of TokyoMitsubishi UFJ, Ltd.
(Source) Thomson Reuters
League Tables
Americas Project Finance Mandated Arrangers
Global Project Finance Mandated Arrangers
Global Syndicated Loans Mandated Arrangers
9,297
State Bank of India
IDBI Bank
Axis Bank
MUFG BNP Paribas
SG SMFG Credit Agricole CIB
ING
MUFG SMFG SG Santander Banco da Amazonia
HSBC Mizuho BBVA ING Credit Agricole CIB
4,719
172,437
BOA MUFG JP Morgan Barclays Wells Fargo RBS SMFG Citi Mizuho BNP Paribas
Mizuho
4,719
(Proceeds, in millions of US$, 2011 full year)
13 The Bank of TokyoMitsubishi UFJ, Ltd.
China Bank of China Investment and business alliance (0.2%) BTMU
China Shenyin & Wanguo Securities
Invest in asset management subsidiary MUTB
India ICICI Business alliance MUS
Vietnam Vietcombank Alliance BTMU
Indonesia Bank Nusantara Parahyangan
Investment (15.2%) BTMU
Malaysia CIMB Group Additional investment (4.1%) BTMU
South Korea Daewoo Securities Business alliance MUS
U.S. Morgan Stanley Investment and business alliance
(22.4%) 1 MUFG
U.S. Union Bank a wholly owned subsidiary BTMU
Scotland Aberdeen Investment and business alliance
(18.75%) MUTB
Australia AMP Capital Holdings
Capital and business alliance MUTB
(Note)1. MUFG and Morgan Stanley entered into an agreement to convert preferred stock into common stock. The transaction is subject to certain closing conditions, including receipt of required regulatory approvals in certain jurisdictions globally. MUFG will own 22.4% of Morgan Stanley’s common stock and Morgan Stanley will be applicable to the equity method of accounting for MUFG’s investment through the transaction above.
Global Strategic Investments and Alliances
n MUFG has a strong commitments to the world financial market. Since 2006, MUFG has made some investments and alliances all over the world.
14 The Bank of TokyoMitsubishi UFJ, Ltd.
(Note) Figures for FY2011 or as of the end of 2011
Head office San Francisco
Branches 414
Employees 10,437
Total assets $90 billion
Total loans $54 billion
Total deposits $64 billion
Net business profits $985 billion
Net income $778 billion
n Portfolio is well balanced between corporate and retail segments.
Union Bank
n Union Bank is one of the largest regional banks headquartered in California, with approximately 150 years of history. 400 branches, mainly in California, provide a solid foundation and Union Bank is ranked 21st in the U.S. and 4th in California in terms of total deposits.
n In November 2008, BTMU completed the acquisition of all of the shares of UNBC (Union Bank’s parent holding company) not owned by BTMU and as a result, UNBC became a wholly owned indirect subsidiary of MUFG.
Revenue Breakdown (FY2011)
By Segments By Account Type
Others 1%
Retail 41%
Corporate 55%
Trading, etc. 12%
Net interest income 75%
Fees & commissions
13%
15 The Bank of TokyoMitsubishi UFJ, Ltd.
E.g.: MUFG and MS jointly made a syndicated loan proposal (USD 900MM) for an EMEA oil company and built the structure as joint arrangers (making use of BTMU’s knowhow in trade financing and MS’s capability for commodities)
Strategic Alliance with Morgan Stanley
n On April 21 2011, agreed to convert MUFG’s outstanding convertible preferred stock in Morgan Stanley into Morgan Stanley common stock. Move will further enhance Morgan Stanley’s Tier 1 common capital and strengthen the two firms’ global strategic alliance.
Customers of BTMU
Customers of BTMU
Customers of Morgan Stanley
Hedge Contracts n Energy n Metal n Agriculture, etc.
50%
Hedging Needs
Referral Fee Refer
Customers
Business Referral Arrangements in Asia and EMEA
Commodities Referral Agreement
U.S. Loan Marketing Joint Venture
Morgan Stanley MUFG Loan Partners. LLC
Customers in the Americas
50%
Joint Marketing
Refer Customers Reciprocally n Syndicated Loans n Capital Markets n Derivatives, etc.
16 The Bank of TokyoMitsubishi UFJ, Ltd.
729
450 437
80 35 39 0
200
400
600
800
MUFG Mizuho FG
SMFG
Domestic Overseas
38,209
30,784
22,686
0
10,000
20,000
30,000
40,000
50,000
MUFG Mizuho FG
SMFG
Housing Loans Loans Overseas Loans
(Note) as of End Mar 12
Assets
Comparison with Other Japanese Banks
Domestic Deposits Gross profits/Fees, Trust Fees Number of Offices Number of Employees
(¥ tn) (¥ tn) (¥ tn) (¥ tn)
(¥ tn) (¥ tn) (No.) (No.)
218.8
165.3 140.0
0
50
100
150
200
250
MUFG Mizuho FG
SMFG
84.4
63.8 62.7
0 10 20 30 40 50 60 70 80 90
MUFG Mizuho FG
SMFG
16.8
11.1
14.3
0
4
8
12
16
20
MUFG Mizuho FG
SMFG
14.9
8.6 9.1
0
4
8
12
16
MUFG Mizuho FG
SMFG
107.8
70.9 74.7
37.0 37.6
65.8
0 20 40 60 80 100 120
MUFG Mizuho FG
SMFG
Deposits outstanding
Individual deposits outstanding
2,003 2,594
3,502
507 825 1,061
0
1,000
2,000
3,000
4,000
MUFG Mizuho FG
SMFG
Gross profits Of which: net fees & commissions + trust fees
17 The Bank of TokyoMitsubishi UFJ, Ltd.
This document contains forward-looking statements in regard to forecasts, targets and plans of Mitsubishi UFJ Financial Group, Inc. (“MUFG”) and its group companies (collectively, “the group”). These forward-looking statements are based on information currently available to the group and are stated here on the basis of the outlook at the time that this document was produced. In addition, in producing these statements certain assumptions (premises) have been utilized. These statements and assumptions (premises) are subjective and may prove to be incorrect and may not be realized in the future. Underlying such circumstances are a large number of risks and uncertainties. Please see other disclosure and public filings made or will be made by MUFG and the other companies comprising the group, including the latest kessantanshin, financial reports, Japanese securities reports and annual reports, for additional information regarding such risks and uncertainties. The group has no obligation or intent to update any forwardlooking statements contained in this document.
In addition, information on companies and other entities outside the group that is recorded in this document has been obtained from publicly available information and other sources. The accuracy and appropriateness of that information has not been verified by the group and cannot be guaranteed.
The financial information used in this document was prepared in accordance with accounting standards generally accepted in Japan, or Japanese GAAP.
This presentation paper does not constitute any commitment with respect to any transaction involving any party.
© 2012 The Bank Of TokyoMitsubishi UFJ, Ltd. All rights reserved.