FORM 6-K

 

 

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

 

 

Form 6-K

 

 

Report of Foreign Private Issuer

Pursuant to Rule 13a-16 or 15d-16 under

the Securities Exchange Act of 1934

For the month of November 2016

Commission File No. 000-54189

 

 

MITSUBISHI UFJ FINANCIAL GROUP, INC.

(Translation of registrant’s name into English)

 

 

7-1, Marunouchi 2-chome, Chiyoda-ku

Tokyo 100-8330, Japan

(Address of principal executive office)

 

 

Indicate by check mark whether the registrant files or

will file annual reports under cover of Form 20-F or Form 40-F.

Form 20-F       X                Form 40-F              

Indicate by check mark if the registrant is submitting the Form 6-K

in paper as permitted by Regulation S-T Rule 101(b)(1):

Indicate by check mark if the registrant is submitting the Form 6-K

in paper as permitted by Regulation S-T Rule 101(b)(7):

 

 

 


THIS REPORT ON FORM 6-K SHALL BE DEEMED TO BE INCORPORATED BY REFERENCE IN THE REGISTRATION STATEMENT ON FORM F-3 (NO. 333-209455) OF MITSUBISHI UFJ FINANCIAL GROUP, INC. AND TO BE A PART THEREOF FROM THE DATE ON WHICH THIS REPORT IS FURNISHED TO THE U.S. SECURITIES AND EXCHANGE COMMISSION TO THE EXTENT NOT SUPERSEDED BY DOCUMENTS OR REPORTS SUBSEQUENTLY FILED WITH OR FURNISHED TO THE U.S. SECURITIES AND EXCHANGE COMMISSION.


SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

Date: November 14, 2016

 

Mitsubishi UFJ Financial Group, Inc.
By:  

/s/ Yasuo Matsumoto

Name:   Yasuo Matsumoto
Title:   Chief Manager, Documentation &
Corporate Secretary Department,
  Corporate Administration Division


LOGO

Consolidated Summary Report

<under Japanese GAAP>

for the six months ended September 30, 2016

November 14, 2016

 

Company name:    Mitsubishi UFJ Financial Group, Inc.    Stock exchange listings:    Tokyo, Nagoya, New York
Code number:    8306    URL    http://www.mufg.jp/   
Representative:    Nobuyuki Hirano, President & Group CEO   
For inquiry:   

Kazutaka Yoneda, General Manager - Financial Planning Division / Financial Accounting Office

TEL (03) 3240-3110

Quarterly securities report issuing date:    November 29, 2016    Dividend payment date:        December 5, 2016
Trading accounts:                                       Established      
Supplemental information for quarterly financial statements:    Available   
Quarterly investor meeting presentation:    Scheduled (for investors and analysts)

(Amounts of less than one million yen are rounded down.)

1. Consolidated Financial Data for the Six Months ended September 30, 2016

(1) Results of Operations

 

     (% represents the change from the same period in the previous fiscal year)  
           Ordinary Income                 Ordinary Profits                 Profits Attributable to       
Owners of Parent
 
Six months ended    million yen      %     million yen      %     million yen      %  

September 30, 2016

     2,779,372         (7.1     794,873         (18.0     490,530         (18.2

September 30, 2015

     2,991,884         8.3        969,908         2.1        599,321         3.6   

 

(*) Comprehensive income
     September 30, 2016: (231,540) million yen, - %    ;     September 30, 2015: 52,662 million yen, (95.5) %

 

     Basic earnings
per share
     Diluted earnings
per share
 
Six months ended    yen      yen  

September 30, 2016

     35.93         35.82   

September 30, 2015

     42.97         42.76   

(2) Financial Conditions

 

     Total Assets      Total Net Assets      Equity-to-asset ratio  (*)  
As of    million yen      million yen      %  

September 30, 2016

     293,677,194         16,501,568         5.1   

March 31, 2016

     298,302,898         17,386,769         5.2   

(Reference) Shareholders’ equity as of      September 30, 2016: 14,951,695 million yen;      March 31, 2016: 15,457,970 million yen

 

  (*) “Equity-to-asset ratio” is computed under the formula shown below
     (Total net assets - Subscription rights to shares - Non-controlling interests) / Total assets

2. Dividends on Common Stock

 

     Dividends per Share  
     1st quarter-end      2nd quarter-end      3rd quarter-end      Fiscal year-end      Total  
Fiscal year    yen      yen      yen      yen      yen  

ended March 31, 2016

     —           9.00         —           9.00         18.00   

ending March 31, 2017

     —           9.00         ——           ——           ——     

ending March 31, 2017 (Forecast)

     ——           ——           —           9.00         18.00   

 

  (*) Revision of forecasts for dividends on the presentation date of this Consolidated Summary Report: None

3. Earnings Target for the Fiscal Year ending March 31, 2017 (Consolidated)

MUFG has the target of 850.0 billion yen of profits attributable to owners of parent for the fiscal year ending March 31, 2017. (There is no change to our earnings target released on May 16, 2016.)

MUFG is engaged in financial service businesses such as banking business, trust banking business, securities business and credit card/loan businesses. Because there are various uncertainties caused by economic situation, market environments and other factors in these businesses, MUFG discloses a target of its profits attributable to owners of parent instead of a forecast of its performance.


LOGO Notes

 

(1) Changes in significant subsidiaries during the period: No

 

(2) Changes in accounting policies, changes in accounting estimates and restatements

 

  (A) Changes in accounting policies due to revision of accounting standards: No

 

  (B) Changes in accounting policies due to reasons other than (A): No

 

  (C) Changes in accounting estimates: No

 

  (D) Restatements: No

 

(3) Number of common stocks outstanding at the end of the period

 

(A)     Total stocks outstanding including treasury stocks:    September 30, 2016      14,168,853,820 shares   
     March 31, 2016      14,168,853,820 shares   
(B)    

Treasury stocks:

   September 30, 2016      585,267,346 shares   
     March 31, 2016      380,255,157 shares   
(C)    

Average outstanding stocks:

   Six months ended September 30, 2016      13,652,178,742 shares   
     Six months ended September 30, 2015      13,948,270,022 shares   

(Reference) Summary of non-consolidated financial data

Non-consolidated Financial Data for the Six Months ended September 30, 2016

(1) Results of Operations

 

     (% represents the change from the same period in the previous fiscal year)  
     Operating Income      Operating Profits      Ordinary Profits      Net Income  
Six months ended    million yen      %      million yen      %      million yen      %      million yen      %  

September 30, 2016

     359,492         12.4         346,184         12.4         334,977         11.4         336,087         11.7   

September 30, 2015

     319,952         29.0         307,959         29.9         300,567         30.4         300,795         30.3   

 

     Basic earnings
per share
 
Six months ended    yen  

September 30, 2016

     24.61   

September 30, 2015

     21.56   

(2) Financial Conditions

 

     Total Assets      Total Net Assets      Equity-to-asset  ratio  
As of    million yen      million yen      %  

September 30, 2016

     12,960,910         8,626,342         66.5   

March 31, 2016

     12,043,230         8,482,329         70.4   

(Reference) Shareholders’ equity as of        September 30, 2016: 8,619,937 million yen;        March 31, 2016: 8,474,069 million yen

* Disclosure regarding the execution of the interim audit process

This “Consolidated Summary Report” (Quarterly “Tanshin”) is outside the scope of the external auditor’s interim audit procedure which is required by “Financial Instruments and Exchange Act”. Therefore, the interim audit process has not been completed as of this disclosure in the “Consolidated Summary Report”.

* Notes for using forecasted information etc.

 

1. This financial summary report contains forward-looking statements regarding estimations, forecasts, targets and plans in relation to the results of operations, financial conditions and other overall management of the company and/or the group as a whole (the “forward- looking statements”). The forward-looking statements are made based upon, among other things, the company’s current estimations, perceptions and evaluations. In addition, in order for the company to adopt such estimations, forecasts, targets and plans regarding future events, certain assumptions have been made. Accordingly, due to various risks and uncertainties, the statements and assumptions are inherently not guarantees of future performance, may be considered differently from alternative perspectives and may result in material differences from the actual result. For the main factors that may affect the current forecasts, please see Consolidated Summary Report, Annual Securities Report, Disclosure Book, Annual Report, and other current disclosures that the company has announced.

 

2. The financial information included in this financial summary report is prepared and presented in accordance with accounting principles generally accepted in Japan (“Japanese GAAP”). Differences exist between Japanese GAAP and the accounting principles generally accepted in the United States (“U.S. GAAP”) in certain material respects. Such differences have resulted in the past, and are expected to continue to result for this period and future periods, in amounts for certain financial statement line items under U.S. GAAP to differ significantly from the amounts under Japanese GAAP. For example, differences in consolidation basis or accounting for business combinations, including but not limited to amortization and impairment of goodwill, could result in significant differences in our reported financial results between Japanese GAAP and U.S. GAAP. Readers should consult their own professional advisors for an understanding of the differences between Japanese GAAP and U.S. GAAP and how those differences might affect our reported financial results. We will publish U.S. GAAP financial results in a separate disclosure document when such information becomes available.


Mitsubishi UFJ Financial Group, Inc.

 

(Appendix)

Contents of Appendix

 

1.      Qualitative Information Pertaining to Consolidated Earnings and others for the Six Months ended September 30, 2016

     2   

(1)    Qualitative Information Pertaining to Consolidated Earnings Target

     2   

2.      Consolidated Financial Statements

     3   

(1)    Consolidated Balance Sheets

     3   

(2)    Consolidated Statements of Income and Consolidated Statements of Comprehensive Income

     5   

(3)    Consolidated Statements of Changes in Net Assets

     7   

(4)    Notes on Going-Concern Assumption

     9   

3.      Non-consolidated Financial Statements

     10   

(1)    Non-consolidated Balance Sheets

     10   

(2)    Non-consolidated Statements of Income

     12   

(3)    Non-consolidated Statements of Changes in Net Assets

     13   

(4)    Notes on Going-Concern Assumption

     15   

Supplemental Information:

“Selected Financial Information under Japanese GAAP for the Six Months Ended September 30, 2016”

 

(*) The following is the schedule of internet conference and explanation for investors and analysts. You can confirm those contents over the internet. Materials distributed for those will be uploaded in our homepage soon after the internet conference or the explanation is held.

 

Internet Conference:   November 14, 2016 (Monday)  
Explanation for investors and analysts:   November 18, 2016 (Friday)  

 

1


Mitsubishi UFJ Financial Group, Inc.

 

1. Qualitative Information Pertaining to Consolidated Earnings and others for the Six Months ended September 30, 2016

(1) Qualitative Information Pertaining to Consolidated Earnings Target

MUFG has the target of 850.0 billion yen of profits attributable to owners of parent for the fiscal year ending March 31, 2017. (There is no change to our earnings target released on May 16, 2016.)

As for other figures released on May 16, 2016, MUFG has revised some of them taking into account the performance of interim results as shown in the following table.

(MUFG is engaged in financial service businesses such as banking business, trust banking business, securities business and credit card/loan businesses. Because there are various uncertainties caused by economic situation, market environments and other factors in these businesses, MUFG discloses a target of its consolidated net income instead of a forecast of its performance.)

[Reference]

MUFG Consolidated

 

(in billions of Japanese yen)   For the fiscal year
ending

March 31, 2017
    For the six months
ended

September 30, 2016
(Results)
    For the fiscal year
ended

March 31, 2016
(Results)
    For the six months
ended
September 30,  2015
(Results)
 

Total credit costs

    (150.0     (57.6     (255.1     (31.0

Ordinary profits (losses)

    1,320.0        794.8        1,539.4        969.9   
 

 

 

   

 

 

   

 

 

   

 

 

 

Profits attributable to owners of parent

    850.0        490.5        951.4        599.3   
 

 

 

   

 

 

   

 

 

   

 

 

 
<2 Banks on a stand-alone basis>   

The Bank of Tokyo-Mitsubishi UFJ, Ltd.

       

Net operating profits
before provision for general allowance for credit losses

    700.0        417.0        888.1        480.4   

Total credit costs

    (30.0     (4.7     (103.4     21.2   

Ordinary profits (losses)

    670.0        410.2        863.7        538.3   
 

 

 

   

 

 

   

 

 

   

 

 

 

Net income (loss)

    490.0        323.0        586.0        379.6   
 

 

 

   

 

 

   

 

 

   

 

 

 

Mitsubishi UFJ Trust and Banking Corporation

       

Net operating profits
before credit costs for trust accounts and provision for general allowance for credit losses

    170.0        92.7        193.0        95.6   

Total credit costs

    (5.0     1.7        (0.2     1.3   

Ordinary profits (losses)

    180.0        105.5        206.5        99.5   
 

 

 

   

 

 

   

 

 

   

 

 

 

Net income (loss)

    130.0        75.7        159.9        70.3   
 

 

 

   

 

 

   

 

 

   

 

 

 

 

2


Mitsubishi UFJ Financial Group, Inc.

 

2. Consolidated Financial Statements

 

(1) Consolidated Balance Sheets

 

(in millions of yen)   

As of
March 31, 2016

  

As of

September 30, 2016

Assets:

     

Cash and due from banks

   49,158,293    57,245,014

Call loans and bills bought

   660,015    447,074

Receivables under resale agreements

   7,466,633    4,519,699

Receivables under securities borrowing transactions

   6,041,983    6,783,779

Monetary claims bought

   4,733,393    4,658,963

Trading assets

   20,460,863    24,902,251

Money held in trust

   679,678    720,178

Securities

   69,993,869    64,908,413

Loans and bills discounted

   113,756,325    104,844,873

Foreign exchanges

   1,792,888    1,999,870

Other assets

   12,255,764    12,193,211

Tangible fixed assets

   1,362,044    1,323,634

Intangible fixed assets

   1,254,727    1,170,308

Net defined benefit assets

   377,955    424,729

Deferred tax assets

   125,739    113,584

Customers’ liabilities for acceptances and guarantees

   9,240,310    8,346,896

Allowance for credit losses

   (1,057,585)    (925,288)
  

 

  

 

Total assets

   298,302,898    293,677,194
  

 

  

 

Liabilities:

     

Deposits

   160,965,056    161,625,048

Negotiable certificates of deposit

   11,591,578    8,864,056

Call money and bills sold

   1,360,238    1,890,781

Payables under repurchase agreements

   23,515,240    21,677,674

Payables under securities lending transactions

   4,710,407    6,448,251

Commercial papers

   2,292,282    1,529,381

Trading liabilities

   17,251,302    21,116,570

Borrowed money

   12,482,277    13,856,984

Foreign exchanges

   2,054,937    1,708,965

Short-term bonds payable

   752,492    983,999

Bonds payable

   9,190,542    8,969,625

Due to trust accounts

   13,296,033    8,101,288

Other liabilities

   10,834,564    10,658,207

Reserve for bonuses

   90,219    69,872

Reserve for bonuses to directors

   396    256

Reserve for stocks payment

   —      1,153

Net defined benefit liabilities

   62,791    60,250

Reserve for retirement benefits to directors

   1,113    968

Reserve for loyalty award credits

   15,971    17,054

Reserve for contingent losses

   210,087    206,180

Reserves under special laws

   4,232    4,037

Deferred tax liabilities

   866,815    912,909

Deferred tax liabilities for land revaluation

   127,237    125,212

Acceptances and guarantees

   9,240,310    8,346,896
  

 

  

 

Total liabilities

   280,916,129    277,175,626
  

 

  

 

 

3


Mitsubishi UFJ Financial Group, Inc.

 

(in millions of yen)   

As of
March 31, 2016

  

As of
September 30, 2016

Net assets:

     

Capital stock

   2,141,513    2,141,513

Capital surplus

   1,425,637    1,424,633

Retained earnings

   8,587,578    8,965,050

Treasury stock

   (298,922)    (405,538)
  

 

  

 

Total shareholders’ equity

   11,855,806    12,125,658
  

 

  

 

Net unrealized gains (losses) on available-for-sale securities

   2,486,627    2,437,773

Net deferred gains (losses) on hedging instruments

   337,297    364,989

Land revaluation excess

   176,364    173,754

Foreign currency translation adjustments

   791,401    9,119

Remeasurements of defined benefit plans

   (189,526)    (160,369)

Debt value adjustments of foreign subsidiaries and affiliates

   —      768
  

 

  

 

Total accumulated other comprehensive income

   3,602,163    2,826,036
  

 

  

 

Subscription rights to shares

   8,260    6,421

Non-controlling interests

   1,920,538    1,543,451
  

 

  

 

Total net assets

   17,386,769    16,501,568
  

 

  

 

Total liabilities and net assets

   298,302,898    293,677,194
  

 

  

 

 

4


Mitsubishi UFJ Financial Group, Inc.

 

(2) Consolidated Statements of Income and Consolidated Statements of Comprehensive Income

Consolidated Statements of Income

 

(in millions of yen)    For the six months
ended
September 30, 2015
     For the six months
ended
September 30, 2016
 

Ordinary income

     2,991,884         2,779,372   

Interest income

     1,394,968         1,352,690   

Interest on loans and bills discounted

     918,153         866,315   

Interest and dividends on securities

     311,129         323,017   

Trust fees

     58,581         63,201   

Fees and commissions

     756,548         718,809   

Trading income

     189,350         152,009   

Other operating income

     279,233         224,510   

Other ordinary income

     313,201         268,151   

Ordinary expenses

     2,021,975         1,984,499   

Interest expenses

     318,627         377,622   

Interest on deposits

     151,490         129,594   

Fees and commissions

     114,994         99,321   

Trading expenses

     —           1,017   

Other operating expenses

     135,905         63,867   

General and administrative expenses

     1,297,774         1,277,017   

Other ordinary expenses

     154,674         165,653   
  

 

 

    

 

 

 

Ordinary profits

     969,908         794,873   
  

 

 

    

 

 

 

Extraordinary gains

     1,237         8,410   

Gains on disposition of fixed assets

     1,237         8,215   

Reversal of reserve for contingent liabilities from financial instruments transactions

     —           194   

Extraordinary losses

     44,386         64,842   

Losses on disposition of fixed assets

     6,240         5,087   

Losses on impairment of fixed assets

     1,804         4,069   

Provision for reserve for contingent liabilities from financial instruments transactions

     328         —     

Losses on change in equity

     36,013         45,654   

Losses on liquidation of equity securities of subsidiaries

     —           5,266   

Losses on exchange of shares of affiliates

     —           4,538   

Losses on sales of equity securities of subsidiaries

     —           226   
  

 

 

    

 

 

 

Profits before income taxes

     926,759         738,440   
  

 

 

    

 

 

 

Income taxes-current

     187,742         145,032   

Income taxes-deferred

     71,204         33,440   
  

 

 

    

 

 

 

Total taxes

     258,946         178,473   
  

 

 

    

 

 

 

Profits

     667,812         559,967   
  

 

 

    

 

 

 

Profits attributable to non-controlling interests

     68,491         69,436   
  

 

 

    

 

 

 

Profits attributable to owners of parent

     599,321         490,530   
  

 

 

    

 

 

 

 

5


Mitsubishi UFJ Financial Group, Inc.

 

Consolidated Statements of Comprehensive Income

 

(in millions of yen)    For the six months
ended
September 30, 2015
    For the six months
ended
September 30, 2016
 

Profits

     667,812        559,967   

Other comprehensive income

    

Net unrealized gains (losses) on available-for-sale securities

     (679,716     (53,741

Net deferred gains (losses) on hedging instruments

     43,897        27,734   

Land revaluation excess

     326        (15

Foreign currency translation adjustments

     (6,450     (562,909

Remeasurements of defined benefit plans

     3,771        29,407   

Share of other comprehensive income of associates accounted for using equity method

     23,020        (231,983
  

 

 

   

 

 

 

Total other comprehensive income

     (615,150     (791,507
  

 

 

   

 

 

 

Comprehensive income

     52,662        (231,540
  

 

 

   

 

 

 

(Comprehensive income attributable to)

    

Comprehensive income attributable to owners of parent

     (10,354     (274,538

Comprehensive income attributable to non-controlling interests

     63,017        42,997   

 

6


Mitsubishi UFJ Financial Group, Inc.

 

(3) Consolidated Statements of Changes in Net Assets

For the six months ended September 30, 2015

 

    (in millions of yen)  
    Shareholders’ equity     Accumulated other comprehensive income  
    Capital stock     Capital surplus     Retained earnings     Treasury stock     Total shareholders’
equity
    Net unrealized gains
(losses) on available-
for-sale securities
    Net deferred gains
(losses) on hedging
instruments
 

Balance at the beginning of the period

    2,141,513        1,428,403        7,860,410        (101,661     11,328,666        2,835,091        83,194   

Changes during the period

             

Dividends from retained earnings

        (126,179       (126,179    

Profits attributable to owners of parent

        599,321          599,321       

Repurchase of treasury stock

          (100,056     (100,056    

Disposal of treasury stock

      (1,181       2,814        1,632       

Reversal of land revaluation excess

        88          88       

Change of application of equity method

        24,394          24,394       

Changes in subsidiaries’ equity

      (907         (907    

Net changes of items other than shareholders’ equity

              (678,696     46,234   
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total changes during the period

    —          (2,089     497,624        (97,242     398,293        (678,696     46,234   
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Balance at the end of the period

    2,141,513        1,426,314        8,358,034        (198,903     11,726,959        2,156,395        129,428   
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 
    Accumulated other comprehensive income                    
    Land
revaluation
excess
    Foreign currency
translation
adjustments
    Remeasurements
of defined
benefit plans
    Total accumulated
other comprehensive
income
    Subscription
rights to shares
    Non-controlling
interests
    Total net assets  

Balance at the beginning of the period

    172,350        951,547        (52,909     3,989,274        8,271        1,961,322        17,287,533   

Changes during the period

             

Dividends from retained earnings

                (126,179

Profits attributable to owners of parent

                599,321   

Repurchase of treasury stock

                (100,056

Disposal of treasury stock

                1,632   

Reversal of land revaluation excess

                88   

Change of application of equity method

                24,394   

Changes in subsidiaries’ equity

                (907

Net changes of items other than shareholders’ equity

    238        29,273        4,355        (598,593     (488     33,184        (565,898
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total changes during the period

    238        29,273        4,355        (598,593     (488     33,184        (167,604
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Balance at the end of the period

    172,589        980,821        (48,554     3,390,680        7,782        1,994,506        17,119,928   
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

 

7


Mitsubishi UFJ Financial Group, Inc.

 

For the six months ended September 30, 2016

 

    (in millions of yen)  
    Shareholders’ equity     Accumulated other comprehensive income  
    Capital stock     Capital surplus     Retained earnings     Treasury stock     Total shareholders’
equity
    Net unrealized gains
(losses) on available-
for-sale securities
    Net deferred gains
(losses) on
hedging
instruments
 

Balance at the beginning of the period

    2,141,513        1,425,637        8,587,578        (298,922     11,855,806        2,486,627        337,297   

Cumulative effects due to revision of accounting standards for foreign subsidiaries and affiliates

        8,464          8,464       
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Restated balance

    2,141,513        1,425,637        8,596,043        (298,922     11,864,271        2,486,627        337,297   

Changes during the period

             

Dividends from retained earnings

        (124,116       (124,116    

Profits attributable to owners of parent

        490,530          490,530       

Repurchase of treasury stock

          (109,752     (109,752    

Disposal of treasury stock

      (1,004       3,136        2,132       

Reversal of land revaluation excess

        2,593          2,593       

Changes in subsidiaries’ equity

      0            0       

Net changes of items other than shareholders’ equity

              (48,853     27,692   
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total changes during the period

    —          (1,004     369,007        (106,616     261,387        (48,853     27,692   
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Balance at the end of the period

    2,141,513        1,424,633        8,965,050        (405,538     12,125,658        2,437,773        364,989   
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

 

    Accumulated other comprehensive income                    
    Land
revaluation
excess
    Foreign currency
translation
adjustments
    Remeasurements
of defined
benefit plans
    Debt value
adjustments of
foreign
subsidiaries and
affiliates
    Total accumulated
other comprehensive
income
    Subscription
rights to
shares
    Non-controlling
interests
    Total
net assets
 

Balance at the beginning of the period

    176,364        791,401        (189,526     —          3,602,163        8,260        1,920,538        17,386,769   

Cumulative effects due to revision of accounting standards for foreign subsidiaries and affiliates

          (8,464     (8,464         —     
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Restated balance

    176,364        791,401        (189,526     (8,464     3,593,699        8,260        1,920,538        17,386,769   

Changes during the period

               

Dividends from retained earnings

                  (124,116

Profits attributable to owners of parent

                  490,530   

Repurchase of treasury stock

                  (109,752

Disposal of treasury stock

                  2,132   

Reversal of land revaluation excess

                  2,593   

Changes in subsidiaries’ equity

                  0   

Net changes of items other than shareholders’ equity

    (2,609     (782,281     29,157        9,233        (767,662     (1,838     (377,086     (1,146,588
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total changes during the period

    (2,609     (782,281     29,157        9,233        (767,662     (1,838     (377,086     (885,201
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Balance at the end of the period

    173,754        9,119        (160,369     768        2,826,036        6,421        1,543,451        16,501,568   
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

 

8


Mitsubishi UFJ Financial Group, Inc.

 

(4) Notes on Going-Concern Assumption

Not applicable

 

9


Mitsubishi UFJ Financial Group, Inc.

 

3. Non-consolidated Financial Statements

 

(1) Non-consolidated Balance Sheets

 

(in millions of yen)   

As of

March 31, 2016

  

As of
September 30, 2016

Assets:

     

Current assets:

     

Cash and due from banks

   160,467    241,580

Accounts receivable

   63,428    78,328

Others

   6,370    8,215
  

 

  

 

Total current assets

   230,267    328,125
  

 

  

 

Fixed assets:

     

Tangible fixed assets

   433    369

Intangible fixed assets

   9,384    9,010

Investments and other assets:

   11,803,145    12,623,404

Investments in subsidiaries and affiliates

   10,186,842    10,186,842

Long-term loans receivable from subsidiaries and affiliates

   1,586,400    2,421,320

Others

   30,696    16,453

Allowance for credit losses

   (793)    (1,210)
  

 

  

 

Total fixed assets

   11,812,962    12,632,785
  

 

  

 

Total assets

   12,043,230    12,960,910
  

 

  

 

Liabilities:

     

Current liabilities:

     

Short-term borrowings

   1,703,000    1,632,538

Lease liabilities

   20    18

Income taxes payable

   1,415    92

Reserve for bonuses and reserve for bonuses to directors

   675    560

Others

   15,910    21,402
  

 

  

 

Total current liabilities

   1,721,022    1,654,612
  

 

  

 

Fixed liabilities:

     

Bonds payable

   1,798,024    2,607,248

Long-term borrowings

   41,826    72,532

Reserve for stocks payment

   —      153

Lease liabilities

   14    7

Others

   11    13
  

 

  

 

Total fixed liabilities

   1,839,877    2,679,955
  

 

  

 

Total liabilities

   3,560,900    4,334,567
  

 

  

 

 

10


Mitsubishi UFJ Financial Group, Inc.

 

(1) Non-consolidated Balance Sheets

 

(in millions of yen)   

As of
March 31, 2016

  

As of
September 30, 2016

Net assets:

     

Shareholders’ equity:

     

Capital stock

   2,141,513    2,141,513

Capital surplus:

     

Capital reserve

   2,141,524    2,141,524

Other capital surplus

   1,468,824    1,467,819
  

 

  

 

Total capital surplus

   3,610,348    3,609,344
  

 

  

 

Retained earnings:

     

Other retained earnings:

     

Other reserve

   150,000    150,000

Earned surplus brought forward

   2,976,603    3,188,574
  

 

  

 

Total retained earnings

   3,126,603    3,338,574
  

 

  

 

Treasury stock

   (297,385)    (404,030)
  

 

  

 

Total shareholders’ equity

   8,581,079    8,685,401
  

 

  

 

Valuation and translation adjustments:

     

Net deferred gains (losses) on hedging instruments

   (107,010)    (65,464)
  

 

  

 

Total valuation and translation adjustments

   (107,010)    (65,464)
  

 

  

 

Subscription rights to shares

   8,260    6,405
  

 

  

 

Total net assets

   8,482,329    8,626,342
  

 

  

 

Total liabilities and net assets

   12,043,230    12,960,910
  

 

  

 

 

11


Mitsubishi UFJ Financial Group, Inc.

 

(2) Non-consolidated Statements of Income

 

(in millions of yen)   

For the six months
ended
September 30, 2015

  

For the six months
ended
September 30, 2016

Operating income

   319,952    359,492

Operating expenses

   11,993    13,308
  

 

  

 

Operating profits

   307,959    346,184
  

 

  

 

Non-operating income

   7,600    24,890

Non-operating expenses

   14,992    36,097
  

 

  

 

Ordinary profits

   300,567    334,977
  

 

  

 

Extraordinary gains

   —      —  

Extraordinary losses

   0    39
  

 

  

 

Income before income taxes

   300,567    334,938
  

 

  

 

Income taxes-current

   (400)    (1,313)

Income taxes-deferred

   172    164
  

 

  

 

Total taxes

   (228)    (1,149)
  

 

  

 

Net income

   300,795    336,087
  

 

  

 

 

12


Mitsubishi UFJ Financial Group, Inc.

 

(3) Non-consolidated Statements of Changes in Net Assets

For the six months ended September 30, 2015

 

    (in millions of yen)  
    Shareholders’ equity  
    Capital stock     Capital surplus     Retained earnings  
      Capital reserve     Other capital surplus     Other retained earnings  
          Other reserve     Earned surplus
brought forward
 

Balance at the beginning of the period

    2,141,513        2,141,524        1,470,006        150,000        2,682,257   

Changes during the period

         

Dividends from retained earnings

            (126,179

Net income

            300,795   

Repurchase of treasury stock

         

Disposal of treasury stock

        (1,181    

Net changes of items other than shareholders’ equity

         
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total changes during the period

    —          —          (1,181     —          174,615   
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Balance at the end of the period

    2,141,513        2,141,524        1,468,824        150,000        2,856,873   
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 
    Shareholders’ equity     Valuation and
translation
adjustments
    Subscription rights
to shares
    Total net assets  
    Treasury stock     Total shareholders’
equity
    Net deferred gains
(losses) on hedging
instruments
     

Balance at the beginning of the period

    (100,147     8,485,153        (135,474     8,271        8,357,950   

Changes during the period

         

Dividends from retained earnings

      (126,179         (126,179

Net income

      300,795            300,795   

Repurchase of treasury stock

    (100,032     (100,032         (100,032

Disposal of treasury stock

    2,814        1,632            1,632   

Net changes of items other than shareholders’ equity

        787        (488     298   
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total changes during the period

    (97,218     76,215        787        (488     76,513   
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Balance at the end of the period

    (197,366     8,561,369        (134,686     7,782        8,434,464   
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

 

13


Mitsubishi UFJ Financial Group, Inc.

 

For the six months ended September 30, 2016

 

    (in millions of yen)  
    Shareholders’ equity  
          Capital surplus     Retained earnings  
    Capital stock     Capital reserve     Other capital surplus     Other retained earnings  
          Other reserve     Earned surplus
brought forward
 

Balance at the beginning of the period

    2,141,513        2,141,524        1,468,824        150,000        2,976,603   

Changes during the period

         

Dividends from retained earnings

            (124,116

Net income

            336,087   

Repurchase of treasury stock

         

Disposal of treasury stock

        (1,004    

Net changes of items other than shareholders’ equity

         
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total changes during the period

    —          —          (1,004     —          211,970   
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Balance at the end of the period

    2,141,513        2,141,524        1,467,819        150,000        3,188,574   
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 
    Shareholders’ equity     Valuation and
translation
adjustments
             
    Treasury stock     Total shareholders’
equity
    Net deferred gains
(losses) on hedging
instruments
    Subscription rights
to shares
    Total net assets  

Balance at the beginning of the period

    (297,385     8,581,079        (107,010     8,260        8,482,329   

Changes during the period

         

Dividends from retained earnings

      (124,116         (124,116

Net income

      336,087            336,087   

Repurchase of treasury stock

    (109,752     (109,752         (109,752

Disposal of treasury stock

    3,107        2,103            2,103   

Net changes of items other than shareholders’ equity

        41,545        (1,855     39,690   
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total changes during the period

    (106,644     104,322        41,545        (1,855     144,012   
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Balance at the end of the period

    (404,030     8,685,401        (65,464     6,405        8,626,342   
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

 

14


Mitsubishi UFJ Financial Group, Inc.

 

(4) Notes on Going-Concern Assumption

Not applicable

 

15


 

 

Selected Financial Information

under Japanese GAAP

For the Six Months Ended September 30, 2016

 

 

 

 

 

 

 

 

 

 

Mitsubishi UFJ Financial Group, Inc.

     LOGO            


Mitsubishi UFJ Financial Group, Inc.

[Contents]

 

1. Financial Results

   [ MUFG Consolidated ]*1
[ BTMU and MUTB Combined ]*2*3*4
       ——           1   
   [ BTMU Consolidated ][ BTMU Non-consolidated ]      
   [ MUTB Consolidated ][ MUTB Non-consolidated ]      

2. Average Interest Rate Spread

  

[ BTMU Non-consolidated ][ MUTB Non-consolidated ]

[ BTMU and MUTB Combined ]

       ——           7   

3. Notional Principal by the Remaining Life of the Interest Rate Swaps for Hedge-Accounting

  

[ MUFG Consolidated ][ BTMU Consolidated ]

[ MUTB Consolidated ]

       ——           8   

4. Securities

  

[ MUFG Consolidated ]

[ BTMU Non-consolidated ][ MUTB Non-consolidated ]

       ——           9   

5. ROE

   [ MUFG Consolidated ]        ——           12   

6. Risk-Adjusted Capital Ratio

   [ MUFG Consolidated ][ BTMU Consolidated ]
[ MUTB Consolidated ]
[ BTMU Non-consolidated ][ MUTB Non-consolidated ]
       ——           13   

7. Risk-Monitored Loans

  

[ MUFG Consolidated ]

[ BTMU Non-consolidated ][ MUTB Non-consolidated ]

[ MUTB Non-consolidated : Trust Account ]

       ——           14   

8. Non Performing Loans Based on the Financial Reconstruction Law (the “FRL”)

  

[ BTMU and MUTB Combined including Trust Account ]

[ BTMU Non-consolidated ][ MUTB Non-consolidated ]

[ MUTB Non-consolidated : Trust Account ]

       ——           18   

9. Progress in Disposition of Problem Assets

  

[ BTMU Non-consolidated ]

[ MUTB Non-consolidated including Trust Account ]

       ——           23   

10. Loans Classified by Type of Industry, Domestic Consumer Loans, Domestic Loans to Small/Medium-Sized Companies and Proprietors

  

[ BTMU and MUTB Combined including Trust Accounts ]

[ BTMU Non-consolidated ][ MUTB Non-consolidated ]

[ MUTB Non-consolidated : Trust Accounts ]

       ——           25   

11. Overseas Loans

   [ BTMU and MUTB Combined ]        ——           29   

12. Loans and Deposits

  

[ BTMU and MUTB Combined ]

[ BTMU Non-consolidated ][ MUTB Non-consolidated ]

       ——           30   

13. Domestic Deposits

  

[ BTMU and MUTB Combined ]

[ BTMU Non-consolidated ][ MUTB Non-consolidated ]

       ——           31   

14. Status of Deferred Tax Assets

   [ BTMU Non-consolidated ][ MUTB Non-consolidated ]        ——           32   

(References)

        

1. Financial Statements

   [ BTMU Non-consolidated ][ MUTB Non-consolidated ]        ——           34   

 

(*1) “MUFG” means Mitsubishi UFJ Financial Group, Inc.
(*2) “BTMU” means The Bank of Tokyo-Mitsubishi UFJ, Ltd.
(*3) “MUTB” means Mitsubishi UFJ Trust and Banking Corporation.
(*4) “BTMU and MUTB Combined” means simple sum of “BTMU” and “MUTB” without consolidation processes.


Mitsubishi UFJ Financial Group, Inc.

 

1. Financial Results

MUFG Consolidated

 

     (in millions of yen)  
     For the six months ended     Increase
(Decrease)
(A) - (B)
 
     September 30, 2016
(A)
    September 30, 2015
(B)
   

Gross profits

     1,969,410        2,109,178        (139,768

Gross profits before credit costs for trust accounts

     1,969,410        2,109,178        (139,768

Net interest income

     975,085        1,076,365        (101,279

Trust fees

     63,201        58,581        4,620   

Credit costs for trust accounts (1)

     0        0        0   

Net fees and commissions

     619,488        641,554        (22,065

Net trading profits

     150,992        189,350        (38,358

Net other operating profits

     160,643        143,327        17,315   

Net gains (losses) on debt securities

     92,678        82,150        10,528   

General and administrative expenses

     1,244,009        1,288,965        (44,956

Amortization of goodwill

     7,427        8,886        (1,459

Net operating profits before credit costs for trust accounts, provision for general allowance for credit losses and amortization of goodwill

     732,828        829,099        (96,270

Net operating profits before credit costs for trust accounts and provision for general allowance for credit losses

     725,401        820,212        (94,811

Provision for general allowance for credit losses (2)

     —          —          —     

Net operating profits*

     725,401        820,213        (94,811

Net non-recurring gains (losses)

     69,471        149,695        (80,223

Credit costs (3)

     (108,435     (104,379     (4,055

Losses on loan write-offs

     (59,831     (65,246     5,414   

Provision for specific allowance for credit losses

     —          —          —     

Other credit costs

     (48,603     (39,133     (9,470

Reversal of allowance for credit losses (4)

     22,807        44,442        (21,634

Reversal of reserve for contingent losses included in credit costs (5)

     —          —          —     

Gains on loans written-off (6)

     27,993        28,926        (932

Net gains (losses) on equity securities

     44,034        40,992        3,042   

Gains on sales of equity securities

     82,635        60,883        21,751   

Losses on sales of equity securities

     (27,193     (11,790     (15,403

Losses on write-down of equity securities

     (11,407     (8,101     (3,305

Profits (losses) from investments in affiliates

     113,940        144,680        (30,740

Other non-recurring gains (losses)

     (30,868     (4,966     (25,902
  

 

 

   

 

 

   

 

 

 

Ordinary profits

     794,873        969,908        (175,035
  

 

 

   

 

 

   

 

 

 

Net extraordinary gains (losses)

     (56,432     (43,148     (13,283

Net losses on change in equity

     (45,654     (36,013     (9,641

Profits before income taxes

     738,440        926,759        (188,319

Income taxes-current

     145,032        187,742        (42,709

Income taxes-deferred

     33,440        71,204        (37,763

Total taxes

     178,473        258,946        (80,473

Profits

     559,967        667,812        (107,845

Profits attributable to non-controlling interests

     69,436        68,491        945   
  

 

 

   

 

 

   

 

 

 

Profits attributable to owners of parent

     490,530        599,321        (108,791
  

 

 

   

 

 

   

 

 

 

Note:

      

* Net operating profits = Banking subsidiaries’ net operating profits + Other consolidated entities’ gross profits - Other consolidated entities’ general and administrative expenses - Other consolidated entities’ provision for general allowance for credit losses - Amortization of goodwill - Inter-company transactions

     

(Reference)       

Total credit costs (1)+(2)+(3)+(4)+(5)+(6)

     (57,634     (31,011     (26,623

Number of consolidated subsidiaries

     218        227        (9

Number of affiliated companies accounted for under the equity method

     65        62        3   

 

1


Mitsubishi UFJ Financial Group, Inc.

 

BTMU and MUTB Combined

 

     (in millions of yen)  
     For the six months ended     Increase
(Decrease)
(A) - (B)
 
     September 30, 2016
(A)
    September 30, 2015
(B)
   

Gross profits

     1,164,706        1,235,424        (70,717

Gross profits before credit costs for trust accounts

     1,164,706        1,235,424        (70,717

Domestic gross profits

     637,483        751,116        (113,633

Net interest income

     352,383        422,717        (70,333

Trust fees

     49,897        45,638        4,259   

Credit costs for trust accounts (1)

     0        0        0   

Net fees and commissions

     183,973        195,964        (11,991

Net trading profits

     17,579        20,821        (3,241

Net other operating profits

     33,648        65,974        (32,325

Net gains (losses) on debt securities

     33,854        60,641        (26,787

Non-domestic gross profits

     527,223        484,308        42,915   

Net interest income

     273,338        284,023        (10,685

Net fees and commissions

     94,849        97,785        (2,935

Net trading profits

     79,124        51,142        27,981   

Net other operating profits

     79,910        51,356        28,554   

Net gains (losses) on debt securities

     52,611        16,015        36,596   

General and administrative expenses

     654,826        659,308        (4,482

Personnel expenses

     237,980        246,337        (8,357

Non-personnel expenses

     380,961        379,057        1,903   

Taxes

     35,884        33,913        1,970   

Net operating profits before credit costs for trust accounts and provision for general allowance for credit losses

     509,880        576,115        (66,235

Provision for general allowance for credit losses (2)

     —          —          —     

Net operating profits

     509,880        576,115        (66,235

Net non-recurring gains (losses)

     5,874        61,813        (55,939

Credit costs (3)

     (64,663     (59,124     (5,538

Losses on loan write-offs

     (16,144     (19,453     3,309   

Provision for specific allowance for credit losses

     —          —          —     

Other credit costs

     (48,518     (39,670     (8,847

Reversal of allowance for credit losses (4)

     52,591        73,808        (21,216

Reversal of reserve for contingent losses included in credit costs (5)

     103        —          103   

Gains on loans written-off (6)

     8,978        7,893        1,084   

Net gains (losses) on equity securities

     36,938        34,053        2,884   

Gains on sales of equity securities

     76,533        53,150        23,383   

Losses on sales of equity securities

     (28,226     (11,361     (16,865

Losses on write-down of equity securities

     (11,368     (7,735     (3,632

Other non-recurring gains (losses)

     (28,073     5,183        (33,257
  

 

 

   

 

 

   

 

 

 

Ordinary profits

     515,754        637,929        (122,174
  

 

 

   

 

 

   

 

 

 

Net extraordinary gains (losses)

     (3,830     12,812        (16,642

Net gains (losses) on disposition of fixed assets

     3,909        (4,089     7,999   

Losses on impairment of fixed assets

     (1,611     (1,417     (193

Losses on liquidation of equity securities of subsidiaries

     (7,941     —          (7,941

Gain on sales of equity securities of subsidiaries

     2,600        18,319        (15,718

Income before income taxes

     511,924        650,741        (138,817

Income taxes-current

     123,675        141,947        (18,271

Income taxes-deferred

     (10,523     58,780        (69,303

Total taxes

     113,152        200,728        (87,575
  

 

 

   

 

 

   

 

 

 

Net income

     398,772        450,013        (51,241
  

 

 

   

 

 

   

 

 

 

(Reference)

      

Total credit costs (1)+(2)+(3)+(4)+(5)+(6)

     (2,990     22,576        (25,566

 

2


Mitsubishi UFJ Financial Group, Inc.

 

BTMU Consolidated

 

     (in millions of yen)  
     For the six months ended     Increase
(Decrease)
(A) - (B)
 
     September 30,  2016
(A)
    September 30,  2015
(B)
   

Gross profits

     1,374,053        1,464,630        (90,577

Net interest income

     833,575        903,716        (70,141

Trust fees

     6,293        6,635        (341

Net fees and commissions

     331,626        337,130        (5,503

Net trading profits

     78,969        57,741        21,228   

Net other operating profits

     123,588        159,407        (35,819

Net gains (losses) on debt securities

     77,362        82,475        (5,113

General and administrative expenses

     820,861        864,026        (43,165

Amortization of goodwill

     6,890        8,353        (1,463

Net operating profits before provision for general allowance for credit losses and amortization of goodwill

     560,082        608,958        (48,875

Net operating profits before provision for general allowance for credit losses

     553,192        600,604        (47,412

Provision for general allowance for credit losses (1)

     —          —          —     

Net operating profits*

     553,192        600,604        (47,412

Net non-recurring gains (losses)

     (18,718     37,321        (56,040

Credit costs (2)

     (79,016     (77,327     (1,688

Losses on loan write-offs

     (30,387     (38,164     7,777   

Provision for specific allowance for credit losses

     —          —          —     

Other credit costs

     (48,629     (39,163     (9,465

Reversal of allowance for credit losses (3)

     31,175        50,403        (19,227

Reversal of reserve for contingent losses included in credit costs (4)

     —          —          —     

Gains on loans written-off (5)

     17,544        17,859        (315

Net gains (losses) on equity securities

     23,686        36,785        (13,098

Gains on sales of equity securities

     62,226        52,509        9,717   

Losses on sales of equity securities

     (27,776     (8,810     (18,966

Losses on write-down of equity securities

     (10,762     (6,913     (3,849

Profits (losses) from investments in affiliates

     9,997        16,751        (6,753

Other non-recurring gains (losses)

     (22,106     (7,150     (14,955
  

 

 

   

 

 

   

 

 

 

Ordinary profits

     534,474        637,926        (103,452
  

 

 

   

 

 

   

 

 

 

Net extraordinary gains (losses)

     (5,125     9,945        (15,070

Net gains (losses) on disposition of fixed assets

     4,947        (4,660     9,608   

Losses on impairment of fixed assets

     (2,601     (1,101     (1,500

Gains (losses) on sales of equity securities of subsidiaries

     (226     15,595        (15,821

Losses on liquidation of equity securities of subsidiaries

     (3,236     —          (3,236

Losses on exchange of shares of affiliates

     (4,007     —          (4,007

Profits before income taxes

     529,349        647,871        (118,522

Income taxes-current

     106,324        134,483        (28,158

Income taxes-deferred

     17,442        69,386        (51,944

Total taxes

     123,767        203,870        (80,102

Profits

     405,581        444,001        (38,419

Profits attributable to non-controlling interests

     30,736        35,401        (4,664
  

 

 

   

 

 

   

 

 

 

Profits attributable to owners of parent

     374,844        408,599        (33,755
  

 

 

   

 

 

   

 

 

 

Note:

      

* Net operating profits = Net operating profits of BTMU + Other consolidated entities’ gross profits - Other consolidated entities’ general and administrative expenses - Other consolidated entities’ provision for general allowance for credit losses - Amortization of goodwill - Inter-company transactions

    

(Reference)

      

Total credit costs (1)+(2)+(3)+(4)+(5)

     (30,296     (9,064     (21,231

Number of consolidated subsidiaries

     128        129        (1

Number of affiliated companies accounted for under the equity method

     57        58        (1

 

3


Mitsubishi UFJ Financial Group, Inc.

 

BTMU Non-consolidated

 

     (in millions of yen)  
     For the six months ended     Increase
(Decrease)
(A) - (B)
 
     September 30,  2016
(A)
    September 30,  2015
(B)
   

Gross profits

     972,318        1,048,746        (76,427

Domestic gross profits

     491,111        599,169        (108,057

Net interest income

     312,320        372,961        (60,641

Net fees and commissions

     135,450        147,702        (12,251

Net trading profits

     12,992        8,116        4,875   

Net other operating profits

     30,348        70,389        (40,040

Net gains (losses) on debt securities

     28,414        60,257        (31,842

Non-domestic gross profits

     481,207        449,577        31,629   

Net interest income

     244,394        237,911        6,482   

Net fees and commissions

     93,323        96,071        (2,747

Net trading profits

     76,464        53,803        22,661   

Net other operating profits

     67,024        61,790        5,233   

Net gains (losses) on debt securities

     43,539        18,418        25,121   

General and administrative expenses

     555,226        568,300        (13,073

Personnel expenses

     199,442        211,256        (11,813

Non-personnel expenses

     325,411        326,415        (1,004

Amortization of goodwill

     164        148        15   

Taxes

     30,373        30,628        (255

Net operating profits before provision for general allowance for credit losses and amortization of goodwill

     417,256        480,595        (63,338

Net operating profits before provision for general allowance for credit losses

     417,092        480,446        (63,354

Provision for general allowance for credit losses (1)

     —          —          —     

Net operating profits

     417,092        480,446        (63,354

Net non-recurring gains (losses)

     (6,853     57,933        (64,786

Credit costs (2)

     (64,280     (58,860     (5,420

Losses on loan write-offs

     (15,802     (19,303     3,501   

Provision for specific allowance for credit losses

     —          —          —     

Other credit costs

     (48,478     (39,556     (8,921

Reversal of allowance for credit losses (3)

     50,973        72,400        (21,426

Reversal of reserve for contingent losses included in credit costs (4)

     —          —          —     

Gains on loans written-off (5)

     8,574        7,724        850   

Net gains (losses) on equity securities

     23,471        32,130        (8,659

Gains on sales of equity securities

     61,342        47,178        14,163   

Losses on sales of equity securities

     (27,401     (8,357     (19,043

Losses on write-down of equity securities

     (10,469     (6,690     (3,779

Other non-recurring gains (losses)

     (25,592     4,537        (30,130
  

 

 

   

 

 

   

 

 

 

Ordinary profits

     410,239        538,379        (128,140
  

 

 

   

 

 

   

 

 

 

Net extraordinary gains (losses)

     1,725        13,266        (11,540

Net gains (losses) on disposition of fixed assets

     5,034        (4,101     9,135   

Losses on impairment of fixed assets

     (271     (951     680   

Losses on liquidation of equity securities of subsidiaries

     (4,850     —          (4,850

Gain on sales of equity securities of subsidiaries

     2,600        18,319        (15,718

Income before income taxes

     411,964        551,645        (139,680

Income taxes-current

     98,189        119,046        (20,856

Income taxes-deferred

     (9,268     52,945        (62,213

Total taxes

     88,921        171,991        (83,070
  

 

 

   

 

 

   

 

 

 

Net income

     323,043        379,654        (56,610
  

 

 

   

 

 

   

 

 

 

(Reference)

      

Total credit costs (1)+(2)+(3)+(4)+(5)

     (4,731     21,264        (25,996

 

4


Mitsubishi UFJ Financial Group, Inc.

 

MUTB Consolidated

 

     (in millions of yen)  
     For the six months ended     Increase
(Decrease)
(A) - (B)
 
     September 30, 2016
(A)
    September 30, 2015
(B)
   

Gross profits

     232,909        236,353        (3,443

Gross profits before credit costs for trust accounts

     232,909        236,352        (3,443

Trust fees

     57,046        52,029        5,017   

Trust fees before credit costs for trust accounts

     57,045        52,028        5,017   

Money trusts fees (Jointly operated designated money trusts before credit costs for trust account)

     14,556        4,668        9,888   

Other trust fees

     42,489        47,360        (4,871

Credit costs for trust accounts (1)

     0        0        0   

Net interest income

     50,915        91,167        (40,252

Net fees and commissions

     96,899        94,006        2,892   

Net trading profits

     9,735        12,972        (3,236

Net other operating profits

     18,313        (13,822     32,135   

Net gains (losses) on debt securities

     14,478        (2,103     16,582   

General and administrative expenses

     141,670        129,276        12,393   

Amortization of goodwill

     535        531        4   

Net operating profits before credit costs for trust accounts, provision for general allowance for credit losses and amortization of goodwill

     91,774        107,607        (15,832

Net operating profits before credit costs for trust accounts and provision for general allowance for credit losses

     91,238        107,075        (15,837

Provision for general allowance for credit losses (2)

     —          —          —     

Net operating profits*

     91,238        107,076        (15,837

Net non-recurring gains (losses)

     14,309        8,260        6,048   

Credit costs (3)

     (403     (275     (127

Losses on loan write-offs

     (362     (161     (200

Provision for specific allowance for credit losses

     —          —          —     

Other credit costs

     (40     (114     73   

Reversal of allowance for credit losses (4)

     1,647        1,507        140   

Reversal of reserve for contingent losses included in credit costs (5)

     103        —          103   

Gains on loans written-off (6)

     458        192        265   

Net gains (losses) on equity securities

     13,466        1,929        11,537   

Gains on sales of equity securities

     15,191        5,977        9,213   

Losses on sales of equity securities

     (825     (3,003     2,177   

Losses on write-down of equity securities

     (899     (1,045     146   

Profits (losses) from investments in affiliates

     2,391        5,853        (3,461

Other non-recurring gains (losses)

     (3,355     (945     (2,409
  

 

 

   

 

 

   

 

 

 

Ordinary profits

     105,547        115,336        (9,788
  

 

 

   

 

 

   

 

 

 

Net extraordinary gains (losses)

     (5,247     (512     (4,735

Net gains (losses) on disposition of fixed assets

     (1,134     (4     (1,130

Losses on impairment of fixed assets

     (1,339     (508     (831

Losses on liquidation of equity securities of subsidiaries

     (2,773     —          (2,773

Profits before income taxes

     100,300        114,824        (14,524

Income taxes-current

     31,204        28,446        2,758   

Income taxes-deferred

     (1,965     1,265        (3,230

Total taxes

     29,239        29,712        (472

Profits

     71,060        85,111        (14,051

Profits attributable to non-controlling interests

     5,620        5,517        103   
  

 

 

   

 

 

   

 

 

 

Profits attributable to owners of parent

     65,439        79,594        (14,155
  

 

 

   

 

 

   

 

 

 

Note:

      

* Net operating profits = Net operating profits of MUTB + Other consolidated entities’ gross profits - Other consolidated entities’ general and administrative expenses - Other consolidated entities’ provision for general allowance for credit losses -Amortization of goodwill - Inter-company transactions

     

(Reference)

      

Total credit costs (1)+(2)+(3)+(4)+(5)+(6)

     1,806        1,424        382   

Number of consolidated subsidiaries

     52        56        (4

Number of affiliated companies accounted for under the equity method

     13        12        1   

 

5


Mitsubishi UFJ Financial Group, Inc.

 

MUTB Non-consolidated

 

     (in millions of yen)  
     For the six months ended     Increase
(Decrease)
(A) - (B)
 
     September 30, 2016
(A)
    September 30, 2015
(B)
   

Gross profits

     192,388        186,677        5,710   

Gross profits before credit costs for trust accounts

     192,387        186,677        5,710   

Domestic gross profits

     146,371        151,947        (5,575

Trust fees

     49,897        45,638        4,259   

Trust fees before credit costs for trust accounts

     49,897        45,638        4,259   

Money trusts fees (Jointly operated designated money trusts before credit costs for trust account)

     14,556        4,668        9,888   

Other trust fees

     35,341        40,969        (5,628

Credit costs for trust accounts (1)

     0        0        0   

Net interest income

     40,062        49,755        (9,692

Net fees and commissions

     48,522        48,262        260   

Net trading profits

     4,587        12,704        (8,117

Net other operating profits

     3,300        (4,414     7,714   

Net gains (losses) on debt securities

     5,440        384        5,055   

Non-domestic gross profits

     46,016        34,730        11,285   

Net interest income

     28,943        46,111        (17,168

Net fees and commissions

     1,526        1,713        (187

Net trading profits

     2,659        (2,660     5,320   

Net other operating profits

     12,886        (10,434     23,320   

Net gains (losses) on debt securities

     9,072        (2,402     11,475   

General and administrative expenses

     99,599        91,008        8,591   

Personnel expenses

     38,538        35,081        3,456   

Non-personnel expenses

     55,550        52,641        2,908   

Taxes

     5,511        3,284        2,226   

Net operating profits before credit costs for trust accounts and provision for general allowance for credit losses

     92,788        95,669        (2,881

Provision for general allowance for credit losses (2)

     —          —          —     

Net operating profits

     92,788        95,669        (2,880

Net non-recurring gains (losses)

     12,727        3,880        8,846   

Credit costs (3)

     (383     (264     (118

Losses on loan write-offs

     (342     (150     (191

Provision for specific allowance for credit losses

     —          —          —     

Other credit costs

     (40     (114     73   

Reversal of allowance for credit losses (4)

     1,617        1,407        209   

Reversal of reserve for contingent losses included in credit costs (5)

     103        —          103   

Gains on loans written-off (6)

     403        168        234   

Net gains (losses) on equity securities

     13,466        1,922        11,544   

Gains on sales of equity securities

     15,191        5,971        9,220   

Losses on sales of equity securities

     (825     (3,003     2,177   

Losses on write-down of equity securities

     (899     (1,045     146   

Other non-recurring gains (losses)

     (2,480     645        (3,126
  

 

 

   

 

 

   

 

 

 

Ordinary profits

     105,515        99,549        5,965   
  

 

 

   

 

 

   

 

 

 

Net extraordinary gains (losses)

     (5,556     (454     (5,101

Net gains (losses) on disposition of fixed assets

     (1,124     11        (1,136

Losses on impairment of fixed assets

     (1,339     (465     (873

Losses on liquidation of equity securities of subsidiaries

     (3,091     —          (3,091

Income before income taxes

     99,959        99,095        863   

Income taxes-current

     25,485        22,901        2,584   

Income taxes-deferred

     (1,255     5,835        (7,090

Total taxes

     24,230        28,736        (4,505
  

 

 

   

 

 

   

 

 

 

Net income

     75,728        70,359        5,369   
  

 

 

   

 

 

   

 

 

 

(Reference)

      

Total credit costs (1)+(2)+(3)+(4)+(5)+(6)

     1,741        1,312        429   

 

6


Mitsubishi UFJ Financial Group, Inc.

 

2. Average Interest Rate Spread

BTMU Non-consolidated

 

    (percentage per annum)  
(Domestic business segment)   For the six  months
ended
September 30,  2016
(A)
    Increase
(Decrease)
(A) - (B)
    For the six  months
ended
September 30,  2015
(B)
 

Total average interest rate on interest-earning assets (a)

    0.57        (0.08     0.65   

Average interest rate on loans and bills discounted (b)

    0.87        (0.07     0.95   

Average interest rate on securities

    0.70        (0.10     0.80   

Total average interest rate on interest-bearing liabilities (c)

<including general and administrative expenses>

    0.62        (0.04     0.66   

Average interest rate on deposits and NCD (d)

    0.01        (0.02     0.03   

Average interest rate on other liabilities

    0.29        0.10        0.18   

Overall interest rate spread (a)-(c)

    (0.05     (0.04     (0.01

Interest rate spread (b)-(d)

    0.86        (0.05     0.91   

(After excluding loans to the Japanese government and governmental organizations)

     

Average interest rate on loans and bills discounted (e)

    1.00        (0.12     1.13   

Interest rate spread (e)-(d)

    0.99        (0.10     1.10   
MUTB Non-consolidated      
    (percentage per annum)  
(Domestic business segment)   For the six  months
ended
September 30,  2016
(A)
    Increase
(Decrease)
(A) - (B)
    For the six  months
ended
September 30,  2015
(B)
 

Total average interest rate on interest-earning assets (a)

    0.51        (0.08     0.60   

Average interest rate on loans and bills discounted (b)

    0.52        (0.16     0.68   

Average interest rate on securities

    0.85        (0.03     0.88   

Total average interest rate on interest-bearing liabilities (c)

    0.15        (0.00     0.16   

Average interest rate on deposits and NCD (d)

    0.09        (0.03     0.13   

Overall interest rate spread (a)-(c)

    0.35        (0.08     0.43   

Interest rate spread (b)-(d)

    0.42        (0.12     0.55   

(After excluding loans to the Japanese government and governmental organizations)

     

Average interest rate on loans and bills discounted (e)

    0.55        (0.12     0.68   

Interest rate spread (e)-(d)

    0.46        (0.09     0.55   
BTMU and MUTB Combined      
    (percentage per annum)  
(Domestic business segment)   For the six  months
ended
September 30,  2016
(A)
    Increase
(Decrease)
(A) - (B)
    For the six  months
ended
September 30,  2015
(B)
 

Average interest rate on loans and bills discounted (a)

    0.81        (0.09     0.91   

Average interest rate on deposits and NCD (b)

    0.02        (0.02     0.04   

Interest rate spread (a)-(b)

    0.79        (0.07     0.86   

(After excluding loans to the Japanese government and governmental organizations)

     

Average interest rate on loans and bills discounted (c)

    0.92        (0.12     1.05   

Interest rate spread (c)-(b)

    0.90        (0.10     1.01   

 

7


Mitsubishi UFJ Financial Group, Inc.

 

3. Notional Principal by the Remaining Life of the Interest Rate Swaps for Hedge-Accounting

MUFG Consolidated

 

     (in billions of yen)  
     As of September 30, 2016  
     within 1 year      1 year to 5 years      over 5 years      Total  

Receive-fix/pay-floater

     1,427.3         5,966.8         10,380.5         17,774.7   

Receive-floater/pay-fix

     349.8         2,944.7         3,465.5         6,760.1   

Receive-floater/pay-floater

     —           —           —           —     

Receive-fix/pay-fix

     —           —           —           —     
  

 

 

    

 

 

    

 

 

    

 

 

 

Total

     1,777.2         8,911.5         13,846.1         24,534.9   
  

 

 

    

 

 

    

 

 

    

 

 

 

 

BTMU Consolidated

 

           
     (in billions of yen)  
     As of September 30, 2016  
     within 1 year      1 year to 5 years      over 5 years      Total  

Receive-fix/pay-floater

     741.3         4,411.2         9,590.0         14,742.6   

Receive-floater/pay-fix

     151.0         861.0         1,467.1         2,479.2   

Receive-floater/pay-floater

     —           —           —           —     

Receive-fix/pay-fix

     —           —           —           —     
  

 

 

    

 

 

    

 

 

    

 

 

 

Total

     892.4         5,272.2         11,057.2         17,221.9   
  

 

 

    

 

 

    

 

 

    

 

 

 

 

MUTB Consolidated

 

           
     (in billions of yen)  
     As of September 30, 2016  
     within 1 year      1 year to 5 years      over 5 years      Total  

Receive-fix/pay-floater

     686.0         1,555.6         790.4         3,032.0   

Receive-floater/pay-fix

     210.2         1,923.7         1,982.4         4,116.3   

Receive-floater/pay-floater

     —           —           —           —     

Receive-fix/pay-fix

     —           —           —           —     
  

 

 

    

 

 

    

 

 

    

 

 

 

Total

     896.2         3,479.3         2,772.9         7,148.4   
  

 

 

    

 

 

    

 

 

    

 

 

 

 

8


Mitsubishi UFJ Financial Group, Inc.

 

4. Securities

MUFG Consolidated

The tables include negotiable certificates of deposit in “Cash and due from banks”, beneficiary rights to the trust in “Monetary claims bought” and others in addition to “Securities”.

Fair Value Information on Securities

 

     (in millions of yen)  
     As of September 30, 2016      As of March 31, 2016  
     Amount on
consolidated
balance sheet
     Differences     Gains      Losses      Amount on
consolidated
balance sheet
     Differences     Gains      Losses  

Debt securities being held to maturity

     3,474,740         93,017        98,249         5,232         3,886,239         64,518        79,584         15,066   

Domestic bonds

     1,101,018         60,481        60,481         —           1,101,107         58,008        58,008         —     

Government bonds

     1,101,018         60,481        60,481         —           1,101,107         58,008        58,008         —     

Municipal bonds

     —           —          —           —           —           —          —           —     

Corporate bonds

     —           —          —           —           —           —          —           —     

Other

     2,373,722         32,535        37,768         5,232         2,785,132         6,510        21,576         15,066   

Foreign bonds

     1,063,121         33,117        33,235         118         1,233,171         6,746        12,805         6,058   

Other

     1,310,600         (581     4,532         5,114         1,551,961         (236     8,771         9,007   
     (in millions of yen)  
     As of September 30, 2016      As of March 31, 2016  
     Amount on
consolidated
balance sheet
     Differences     Gains      Losses      Amount on
consolidated
balance sheet
     Differences     Gains      Losses  

Available-for-sale securities

     60,761,775         3,409,026        3,613,700         204,673         65,518,480         3,485,297        3,706,495         221,198   

Domestic equity securities

     4,624,945         2,042,574        2,144,280         101,705         4,873,212         2,205,424        2,295,767         90,342   

Domestic bonds

     28,055,148         695,136        699,033         3,897         30,322,492         718,247        721,722         3,475   

Government bonds

     24,414,844         612,091        613,542         1,451         27,255,998         631,901        632,132         231   

Municipal bonds

     762,993         13,233        13,271         38         449,330         11,539        11,623         84   

Corporate bonds

     2,877,310         69,812        72,219         2,407         2,617,163         74,806        77,966         3,159   

Other

     28,081,681         671,315        770,386         99,070         30,322,776         561,624        689,005         127,380   

Foreign equity securities

     144,552         17,640        38,228         20,587         149,076         23,820        35,445         11,624   

Foreign bonds

     24,709,611         617,606        631,079         13,472         26,650,433         510,987        544,870         33,883   

Other

     3,227,517         36,068        101,078         65,009         3,523,265         26,816        108,689         81,872   

 

9


Mitsubishi UFJ Financial Group, Inc.

 

BTMU Non-consolidated

The tables include negotiable certificates of deposit in “Cash and due from banks”, beneficiary rights to the trust in “Monetary claims bought” and others in addition to “Securities”.

Fair Value Information on Securities

 

    (in millions of yen )  
    As of September 30, 2016     As of March 31, 2016  
    Amount on
balance sheet
    Differences     Gains     Losses     Amount on
balance sheet
    Differences     Gains     Losses  

Debt securities being held to maturity

    2,411,619        59,899        65,013        5,114        2,653,043        57,771        66,779        9,007   

Stocks of subsidiaries and affiliates

    932,607        (135,866     28,263        164,129        843,460        (91,424     29,661        121,086   
    (in millions of yen)  
    As of September 30, 2016     As of March 31, 2016  
    Amount on
balance sheet
    Differences     Gains     Losses     Amount on
balance sheet
    Differences     Gains     Losses  

Available-for-sale securities

    41,817,914        2,455,027        2,639,933        184,905        44,773,389        2,531,495        2,713,435        181,940   

Domestic equity securities

    3,740,312        1,534,937        1,633,955        99,017        3,943,763        1,661,719        1,751,653        89,934   

Domestic bonds

    21,728,383        601,094        603,558        2,464        23,353,550        619,996        621,020        1,024   

Other

    16,349,218        318,996        402,419        83,422        17,476,076        249,779        340,761        90,981   

Foreign equity securities

    135,940        12,401        33,572        21,171        142,546        18,227        29,916        11,688   

Foreign bonds

    14,375,420        338,777        344,533        5,755        15,024,229        279,857        285,357        5,500   

Other

    1,837,857        (32,182     24,312        56,495        2,309,300        (48,305     25,487        73,792   

 

Redemption schedule of other securities with maturities and debt securities being held to maturity

 

  

    (in millions of yen)  
    As of September 30, 2016     As of March 31, 2016  
    within
1 year
    1 year to
5 years
    5 years to
10 years
    over
10 years
    within
1 year
    1 year to
5 years
    5 years to
10 years
    over
10 years
 

Domestic bonds

    9,415,824        4,245,313        5,484,547        3,683,717        9,503,563        5,596,113        5,325,107        4,029,848   

Government bonds

    9,248,462        3,610,046        4,291,591        2,639,992        9,377,044        4,996,212        4,581,169        3,029,462   

Municipal bonds

    25,009        118,287        579,470        319        10,160        106,842        292,183        329   

Corporate bonds

    142,352        516,980        613,484        1,043,404        116,358        493,058        451,754        1,000,056   

Other

    2,285,339        4,160,654        6,053,294        3,590,949        2,072,496        5,953,081        6,055,164        2,948,188   

Foreign bonds

    2,077,150        3,946,016        5,068,239        3,268,153        1,851,875        5,671,608        4,823,497        2,659,161   

Other

    208,189        214,638        985,055        322,796        220,621        281,472        1,231,667        289,026   
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total

    11,701,164        8,405,968        11,537,842        7,274,666        11,576,060        11,549,194        11,380,271        6,978,036   
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

 

10


Mitsubishi UFJ Financial Group, Inc.

 

MUTB Non-consolidated

The tables include beneficiary rights to the trust in “Monetary claims bought” in addition to “Securities”.

Fair Value Information on Securities

 

     (in millions of yen)  
     As of September 30, 2016      As of March 31, 2016  
     Amount on
balance sheet
     Differences      Gains      Losses      Amount on
balance sheet
     Differences      Gains      Losses  

Debt securities being held to maturity

     —           —           —           —           —           —           —           —     

Stocks of subsidiaries and affiliates

     60,671         46,072         46,232         160         57,771         50,968         51,070         102   
     (in millions of yen)  
     As of September 30, 2016      As of March 31, 2016  
     Amount on
balance sheet
     Differences      Gains      Losses      Amount on
balance sheet
     Differences      Gains      Losses  

Available-for-sale securities

     15,962,024         844,064         868,960         24,895         17,108,424         873,305         899,752         26,447   

Domestic equity securities

     924,151         432,020         447,787         15,766         974,012         470,438         484,778         14,340   

Domestic bonds

     6,420,660         93,839         95,402         1,563         7,013,586         98,263         100,843         2,580   

Other

     8,617,212         318,204         325,770         7,565         9,120,825         304,604         314,131         9,526   

Foreign equity securities

     54         31         31         —           51         26         26         0   

Foreign bonds

     7,657,334         248,763         252,310         3,546         8,367,901         228,667         235,989         7,322   

Other

     959,824         69,409         73,428         4,019         752,872         75,910         78,114         2,204   

Redemption schedule of other securities with maturities and debt securities being held to maturity

 

  

     (in millions of yen)  
     As of September 30, 2016      As of March 31, 2016  
     within
1 year
     1 year to
5 years
     5 years to
10 years
     over
10 years
     within
1 year
     1 year to
5 years
     5 years to
10 years
     over
10 years
 

Domestic bonds

     899,500         3,809,768         932,573         778,818         1,406,286         3,784,586         1,548,706         274,006   

Government bonds

     859,001         3,671,107         549,036         730,566         1,342,229         3,658,650         1,178,195         228,813   

Municipal bonds

     —           70         35,928         3,905         —           88         35,825         3,900   

Corporate bonds

     40,499         138,590         347,608         44,346         64,057         125,847         334,685         41,292   

Other

     789,183         2,909,401         2,772,309         1,745,448         809,569         3,407,239         3,072,071         1,445,720   

Foreign bonds

     742,135         2,586,547         2,584,207         1,744,444         774,774         3,145,573         3,021,564         1,425,989   

Other

     47,048         322,854         188,101         1,003         34,795         261,666         50,507         19,731   
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Total

     1,688,683         6,719,170         3,704,883         2,524,266         2,215,856         7,191,826         4,620,778         1,719,726   
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

 

11


Mitsubishi UFJ Financial Group, Inc.

 

5. ROE

MUFG Consolidated

 

     (%)  
     For the six months
ended
September 30, 2016
(A)
     Increase
(Decrease)
(A) - (B)
    For the six months
ended
September 30, 2015
(B)
 

ROE

     7.91         (1.67     9.59   

Note:

ROE is computed as follows:

 

profits attributable to owners of parent × 2

     ×100   

{(Total shareholders’ equity at the beginning of the period + Foreign currency translation adjustments at the beginning of the period) + (Total shareholders’ equity at the end of the period + Foreign currency translation adjustments at the end of the period)} / 2

  

 

12


Mitsubishi UFJ Financial Group, Inc.

 

6. Risk-Adjusted Capital Ratio

 

MUFG Consolidated    (in billions of yen)  
     As of
September 30, 2016
Preliminary (A)
    Increase
(Decrease)
(A) - (B)
    As of
March 31, 2016
(B)
 

(1) Total capital ratio (4)/(7)

     16.56     0.55     16.01

(2) Tier 1 capital ratio (5)/(7)

     13.50     0.26     13.24

(3) Common Equity Tier 1 capital ratio (6)/(7)

     12.20     0.56     11.63

(4) Total capital

     17,424.3        (517.4     17,941.8   

(5) Tier 1 capital

     14,205.5        (633.7     14,839.2   

(6) Common Equity Tier 1 capital

     12,839.4        (200.4     13,039.8   

(7) Risk weighted assets

     105,206.2        (6,858.1     112,064.3   

(8) Required Capital (7)x8%

     8,416.4        (548.6     8,965.1   
BTMU Consolidated    (in billions of yen)  
     As of
September 30, 2016
Preliminary (A)
    Increase
(Decrease)
(A) - (B)
    As of
March 31, 2016
(B)
 

(1) Total capital ratio (4)/(7)

     16.20     0.53     15.66

(2) Tier 1 capital ratio (5)/(7)

     12.93     0.22     12.71

(3) Common Equity Tier 1 capital ratio (6)/(7)

     11.64     0.55     11.08

(4) Total capital

     13,545.6        (467.5     14,013.2   

(5) Tier 1 capital

     10,816.6        (558.5     11,375.2   

(6) Common Equity Tier 1 capital

     9,733.5        (184.2     9,917.7   

(7) Risk weighted assets

     83,596.9        (5,859.6     89,456.6   

(8) Required Capital (7)×8%

     6,687.7        (468.7     7,156.5   
MUTB Consolidated    (in billions of yen)  
     As of
September 30, 2016
Preliminary (A)
    Increase
(Decrease)
(A) - (B)
    As of
March 31, 2016
(B)
 

(1) Total capital ratio (4)/(7)

     20.43     0.45     19.97

(2) Tier 1 capital ratio (5)/(7)

     17.15     0.33     16.82

(3) Common Equity Tier 1 capital ratio (6)/(7)

     16.38     0.36     16.01

(4) Total capital

     2,359.8        (11.2     2,371.0   

(5) Tier 1 capital

     1,981.4        (15.1     1,996.6   

(6) Common Equity Tier 1 capital

     1,891.9        (8.7     1,900.6   

(7) Risk weighted assets

     11,549.4        (318.8     11,868.3   

(8) Required Capital (7)x8%

     923.9        (25.5     949.4   
BTMU Non-consolidated    (in billions of yen)  
     As of
September 30, 2016
Preliminary (A)
    Increase
(Decrease)
(A) - (B)
    As of
March 31, 2016
(B)
 

(1) Total capital ratio (4)/(7)

     18.37     0.86     17.51

(2) Tier 1 capital ratio (5)/(7)

     14.73     0.47     14.25

(3) Common Equity Tier 1 capital ratio (6)/(7)

     12.97     0.66     12.30

(4) Total capital

     12,819.0        (14.2     12,833.3   

(5) Tier 1 capital

     10,279.9        (166.7     10,446.7   

(6) Common Equity Tier 1 capital

     9,050.2        30.8        9,019.4   

(7) Risk weighted assets

     69,770.1        (3,507.7     73,277.9   

(8) Required Capital (7)x8%

     5,581.6        (280.6     5,862.2   
MUTB Non-consolidated    (in billions of yen)  
     As of
September 30, 2016
Preliminary (A)
    Increase
(Decrease)
(A) - (B)
    As of
March 31, 2016
(B)
 

(1) Total capital ratio (4)/(7)

     21.81     0.73     21.08

(2) Tier 1 capital ratio (5)/(7)

     18.07     0.61     17.45

(3) Common Equity Tier 1 capital ratio (6)/(7)

     17.17     0.59     16.58

(4) Total capital

     2,372.4        13.7        2,358.7   

(5) Tier 1 capital

     1,965.6        12.6        1,952.9   

(6) Common Equity Tier 1 capital

     1,867.7        12.2        1,855.5   

(7) Risk weighted assets

     10,874.5        (313.5     11,188.1   

(8) Required Capital (7)x8%

     869.9        (25.0     895.0   

 

Note: Risk-adjusted capital ratio of MUFG is computed in accordance with the Notification of the Financial Services Agency No.20, 2006.

Risk-adjusted capital ratio of BTMU and MUTB are computed in accordance with the Notification of the Financial Services Agency No.19, 2006.

 

13


Mitsubishi UFJ Financial Group, Inc.

 

7. Risk-Monitored Loans

MUFG Consolidated

 

(1)    Risk-Monitored Loans

 

       

       
    (in millions of yen)  
    As of
September 30, 2016
(A)
    % to total
loans

and bills
discounted
    As of
March 31, 2016
(B)
    % to total
loans
and bills
discounted
    Increase
(Decrease)
(A) - (B)
    % to total
loans
and bills
discounted
 

Loans to bankrupt borrowers

    50,382        0.04     54,913        0.04     (4,531     (0.00 )% 

Non-accrual delinquent loans

    778,755        0.74     1,110,576        0.97     (331,821     (0.23 )% 

Accruing loans contractually past due 3 months or more

    49,669        0.04     51,620        0.04     (1,950     0.00

Restructured loans

    665,784        0.63     438,767        0.38     227,017        0.24
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total risk monitored loans

    1,544,592        1.47     1,655,877        1.45     (111,285     0.01
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total loans and bills discounted

    104,844,873        ——          113,756,325        ——          (8,911,451     ——     

Written-off

    413,491        ——          397,076        ——          16,414        ——     

 

(2)    Allowance for Credit Losses

 

           
    (in millions of yen)  
    As of
September 30, 2016
(A)
    % to total
risk
monitored
loans
    As of
March 31, 2016
(B)
    % to total
risk
monitored
loans
    Increase
(Decrease)
(A) - (B)
    % to total
risk
monitored
loans
 

Allowance for credit losses

    925,288        59.90     1,057,585        63.86     (132,297     (3.96 )% 

General allowance for credit losses

    661,320        ——          571,689        ——          89,631        ——     

Specific allowance for credit losses

    263,608        ——          485,577        ——          (221,969     ——     

Allowance for credit to specific foreign borrowers

    358        ——          318        ——          39        ——     

 

(3)    Classification of Risk-Monitored Loans

       

       

Classified by Geographic Area

 

      (in millions of yen)  
     As of
September 30, 2016
(A)
     As of
March 31, 2016
(B)
     Increase
(Decrease)
(A) - (B)
 

Domestic

     1,085,917         1,177,149         (91,231

Overseas

     458,674         478,728         (20,053

Asia

     124,510         145,343         (20,832

Indonesia

     7,484         7,451         33   

Singapore

     15,476         18,414         (2,938

Thailand

     81,881         93,510         (11,628

China

     3,128         3,488         (360

Other

     16,539         22,477         (5,938

Americas

     207,437         199,432         8,004   

Europe, Middle East and Other

     126,726         133,952         (7,225
  

 

 

    

 

 

    

 

 

 

Total

     1,544,592         1,655,877         (111,285
  

 

 

    

 

 

    

 

 

 

Classified by Industry

 

     (in millions of yen)  
     As of
September 30, 2016
(A)
     As of
March 31, 2016
(B)
     Increase
(Decrease)
(A) - (B)
 

Domestic

     1,085,917         1,177,149         (91,231

Manufacturing

     394,908         430,858         (35,949

Construction

     17,873         20,705         (2,832

Wholesale and retail

     151,021         164,429         (13,408

Finance and insurance

     420         1,466         (1,045

Real estate, goods rental and leasing

     81,162         90,620         (9,457

Services

     57,447         67,387         (9,939

Other industries

     27,268         32,828         (5,560

Consumer

     355,813         368,852         (13,038

Overseas

     458,674         478,728         (20,053

Financial institutions

     12,072         14,361         (2,288

Commercial and industrial

     321,470         319,456         2,014   

Other

     125,131         144,910         (19,779
  

 

 

    

 

 

    

 

 

 

Total

     1,544,592         1,655,877         (111,285
  

 

 

    

 

 

    

 

 

 

 

14


Mitsubishi UFJ Financial Group, Inc.

 

BTMU Non-consolidated

 

(1)    Risk-Monitored Loans   
     (in millions of yen)  
     As of
September 30,  2016
(A)
     % to total
loans

and bills
discounted
    As of
March 31, 2016
(B)
     % to total
loans

and bills
discounted
    Increase
(Decrease)
(A) - (B)
    % to total
loans

and bills
discounted
 

Loans to bankrupt borrowers

     42,397         0.05     46,057         0.05     (3,659     0.00

Non-accrual delinquent loans

     549,247         0.69     851,173         0.98     (301,925     (0.29 )% 

Accruing loans contractually past due 3 months or more

     51,819         0.06     54,585         0.06     (2,765     0.00

Restructured loans

     517,686         0.65     276,441         0.31     241,245        0.33
  

 

 

    

 

 

   

 

 

    

 

 

   

 

 

   

 

 

 

Total risk monitored loans

     1,161,151         1.46     1,228,257         1.41     (67,105     0.04
  

 

 

    

 

 

   

 

 

    

 

 

   

 

 

   

 

 

 

Total loans and bills discounted

     79,523,573         ——          86,691,727         ——          (7,168,153     ——     

Written-off

     333,232         ——          309,542         ——          23,690        ——     

 

(2)    Allowance for Credit Losses

 

  

     (in millions of yen)  
     As of
September 30, 2016
(A)
     % to total
risk
monitored
loans
    As of
March 31, 2016
(B)
     % to total
risk
monitored
loans
    Increase
(Decrease)
(A) - (B)
    % to total
risk
monitored
loans
 

Allowance for credit losses

     565,093         48.66     665,588         54.18     (100,494     (5.52 )% 

General allowance for credit losses

     398,913         ——          290,081         ——          108,831        ——     

Specific allowance for credit losses

     165,823         ——          375,188         ——          (209,364     ——     

Allowance for credit to specific foreign borrowers

     356         ——          318         ——          38        ——     

(3)    Classification of Risk-Monitored Loans

Classified by Geographic Area

 

      (in millions of yen)  
     As of
September 30, 2016
(A)
     As of
March 31, 2016
(B)
     Increase
(Decrease)
(A) - (B)
 

Domestic

     883,106         972,296         (89,189

Overseas

     278,044         255,960         22,083   

Asia

     37,613         44,823         (7,209

Indonesia

     2,665         2,979         (314

Singapore

     15,476         18,414         (2,938

Thailand

     5         —           5   

China

     3,035         3,380         (344

Other

     16,431         20,048         (3,617

Americas

     113,866         77,184         36,681   

Europe, Middle East and Other

     126,564         133,952         (7,387
  

 

 

    

 

 

    

 

 

 

Total

     1,161,151         1,228,257         (67,105
  

 

 

    

 

 

    

 

 

 

Classified by Industry

 

     (in millions of yen)  
     As of
September 30, 2016
(A)
     As of
March 31, 2016
(B)
     Increase
(Decrease)
(A) - (B)
 

Domestic

     883,106         972,296         (89,189

Manufacturing

     372,515         405,969         (33,453

Construction

     17,187         20,003         (2,816

Wholesale and retail

     149,390         162,914         (13,524

Finance and insurance

     397         1,443         (1,045

Real estate

     71,186         79,324         (8,138

Goods rental and leasing

     2,501         2,720         (219

Services

     57,144         67,072         (9,927

Other industries

     26,950         32,500         (5,550

Consumer

     185,832         200,346         (14,514

Overseas

     278,044         255,960         22,083   

Financial institutions

     11,931         14,290         (2,358

Commercial and industrial

     212,023         181,531         30,491   

Other

     54,089         60,138         (6,049
  

 

 

    

 

 

    

 

 

 

Total

     1,161,151         1,228,257         (67,105
  

 

 

    

 

 

    

 

 

 

 

15


Mitsubishi UFJ Financial Group, Inc.

 

MUTB Non-consolidated

(1)    Risk-Monitored Loans

 

     (in millions of yen)  
     As of
September 30, 2016
(A)
     % to total
loans
and bills
discounted
    As of
March 31, 2016
(B)
     % to total
loans
and bills
discounted
    Increase
(Decrease)
(A) - (B)
    % to total
loans
and bills
discounted
 

Loans to bankrupt borrowers

     563         0.00     526         0.00     36        0.00

Non-accrual delinquent loans

     10,237         0.07     32,576         0.24     (22,338     (0.17 )% 

Accruing loans contractually past due 3 months or more

     201         0.00     214         0.00     (13     (0.00 )% 

Restructured loans

     27,170         0.20     9,886         0.07     17,283        0.12
  

 

 

    

 

 

   

 

 

    

 

 

   

 

 

   

 

 

 

Total risk monitored loans

     38,172         0.28     43,203           0.32     (5,031     (0.04 )% 
  

 

 

    

 

 

   

 

 

    

 

 

   

 

 

   

 

 

 

Total loans and bills discounted

     13,573,206         ——          13,192,538         ——          380,668        ——     

Written-off

     8,285         ——          7,459         ——          825        ——     
(2)    Allowance for Credit Losses   
     (in millions of yen)  
     As of
September 30, 2016
(A)
     % to total
risk
monitored
loans
    As of
March 31, 2016
(B)
     % to total
risk
monitored
loans
    Increase
(Decrease)
(A) - (B)
    % to total
risk
monitored
loans
 

Allowance for credit losses

     34,114         89.37     37,084         85.83     (2,969     3.53

General allowance for credit losses

            33,080         ——                 26,355         ——              6,725        ——         

Specific allowance for credit losses

     1,031         ——          10,729         ——          (9,697     ——     

Allowance for credit to specific foreign borrowers

     1         ——          0         ——          1        ——     

(3)    Classification of Risk-Monitored Loans

Classified by Geographic Area

 

      (in millions of yen)  
     As of
September 30, 2016
(A)
     As of
March 31, 2016
(B)
     Increase
(Decrease)
(A) - (B)
 

Domestic

     38,172         43,181         (5,008

Overseas

     —           22         (22

Asia

     —           —           —     

Americas

     —           22         (22

Europe, Middle East and Other

     —           —           —     
  

 

 

    

 

 

    

 

 

 

Total

     38,172         43,203         (5,031
  

 

 

    

 

 

    

 

 

 
Classified by Industry         
      (in millions of yen)  
     As of
September 30, 2016
(A)
     As of
March 31, 2016
(B)
     Increase
(Decrease)
(A) - (B)
 

Domestic

     38,172         43,181         (5,008

Manufacturing

     22,365         24,857         (2,492

Construction

     669         684         (15

Wholesale and retail

     1,409         1,353         56   

Finance and insurance

     —           —           —     

Real estate

     7,426         8,524         (1,098

Goods rental and leasing

     —           —           —     

Services

     284         296         (11

Other industries

     313         322         (9

Consumer

     5,704         7,143         (1,438

Overseas

     —           22         (22

Financial institutions

     —           —           —     

Commercial and industrial

     —           —           —     

Other

     —           22         (22
  

 

 

    

 

 

    

 

 

 

Total

     38,172         43,203         (5,031
  

 

 

    

 

 

    

 

 

 

 

16


Mitsubishi UFJ Financial Group, Inc.

 

MUTB Non-consolidated: Trust Account

“Trust Account” represents trust account with contracts indemnifying the principal amounts.

(1)    Risk-Monitored Loans

 

     (in millions of yen)  
     As of
September 30, 2016
(A)
     % to total
loans
and bills
discounted
    As of
March 31, 2016
(B)
     % to total
loans
and bills
discounted
    Increase
(Decrease)
(A) - (B)
    % to total
loans
and bills
discounted
 

Loans to bankrupt borrowers

     3         0.01     11         0.04     (7     (0.03 )% 

Non-accrual delinquent loans

     0         0.00     0         0.00     (0     (0.00 )% 

Accruing loans contractually past due 3 months or more

     5         0.02     5         0.02     —          0.00

Restructured loans

     597         2.91     606         2.62     (8     0.29
  

 

 

    

 

 

   

 

 

    

 

 

   

 

 

   

 

 

 

Total risk monitored loans

     606         2.96     623         2.69     (16     0.26
  

 

 

    

 

 

   

 

 

    

 

 

   

 

 

   

 

 

 

Total loans and bills discounted

     20,489         ——          23,111         ——          (2,622     ——     

(2)    Allowance for Credit Losses

 

     (in millions of yen)  
     As of
September 30, 2016
(A)
     As of
March 31, 2016
(B)
     Increase
(Decrease)
(A) - (B)
 

Allowance for bad debts

     64         69         (4

 

(3)    Classification of Risk-Monitored Loans

 

Classified by Industry

 

        
     (in millions of yen)  
     As of
September 30, 2016
(A)
     As of
March 31, 2016
(B)
     Increase
(Decrease)
(A) - (B)
 

Domestic

     606         623         (16

Manufacturing

     —           —           —     

Construction

     —           —           —     

Wholesale and retail

     —           —           —     

Finance and insurance

     —           —           —     

Real estate

     549         564         (15

Goods rental and leasing

     —           —           —     

Services

     —           —           —     

Other industries

     —           —           —     

Consumer

     57         59         (1
  

 

 

    

 

 

    

 

 

 

Total

     606         623         (16
  

 

 

    

 

 

    

 

 

 

 

17


Mitsubishi UFJ Financial Group, Inc.

 

8. Non Performing Loans Based on the Financial Reconstruction Law (the “FRL”)

BTMU and MUTB Combined including Trust Account

“Trust account” represents trust account with contracts indemnifying the principal amounts.

(1)    Non Performing Loans

 

     (in millions of yen)  
     As of
September 30, 2016

(A)
    As of
March 31, 2016
(B)
    Increase
(Decrease)
(A) - (B)
 

Bankrupt or De facto Bankrupt

     126,824        118,819        8,005   

Doubtful

     489,307        846,495        (357,187

Special Attention

     597,375        341,635        255,739   

Non Performing Loans (1)

     1,213,507        1,306,950        (93,442
  

 

 

   

 

 

   

 

 

 

Normal

     101,122,971        108,009,909        (6,886,937
  

 

 

   

 

 

   

 

 

 

Total

     102,336,479        109,316,859        (6,980,380
  

 

 

   

 

 

   

 

 

 

Non Performing Loans / Total

     1.18     1.19     (0.00 )% 
(2)    Status of Coverage of Non Performing Loans       
     (in millions of yen)  
     As of
September 30, 2016
(A)
    As of
March 31, 2016
(B)
    Increase
(Decrease)
(A) - (B)
 

Covered amount (2)

     987,762        1,096,492        (108,730

Allowance for credit losses

     380,570        461,495        (80,924

Collateral, guarantees, etc.

     607,191        634,997        (27,805

Coverage ratio (2) / (1)

     81.39     83.89     (2.49 )% 

(3)    Coverage Ratio

 

     (in millions of yen)  
Category    Loan amount (A)     Allowance for
credit losses (B)
    Covered by
collateral and/or
guarantees (C)
    Coverage ratio for
unsecured portion
(B) / [(A) - (C)]
     Coverage ratio
[(B) + (C)] / (A)
 

Bankrupt or De facto Bankrupt

     126,824        12,568        114,256           100.00
     [118,819     [17,327     [101,491        [100.00 %] 

Doubtful

     489,307        153,175        247,203           81.82
     [846,495     [355,601     [348,378        [83.16 %] 

Special Attention

     597,375        214,826        245,731           77.09
     [341,635     [88,566     [185,127        [80.11 %] 

Total

     1,213,507        380,570        607,191           81.39
     [1,306,950     [461,495     [634,997        [83.89 %] 

Note: The upper figures are as of September 30, 2016. The lower figures with brackets are as of March 31, 2016.

(4)    Classified by Industry

 

     (in millions of yen)  
     As of
September 30, 2016
(A)
     As of
March 31, 2016
(B)
     Increase
(Decrease)
(A) - (B)
 

Domestic

     930,430         1,043,076         (112,646

Manufacturing

     395,755         446,091         (50,335

Construction

     17,940         20,787         (2,847

Wholesale and retail

     155,194         172,559         (17,365

Finance and insurance

     1,771         2,777         (1,006

Real estate

     79,398         88,661         (9,263

Goods rental and leasing

     2,501         2,722         (220

Services

     57,882         67,852         (9,970

Other industries

     28,088         33,701         (5,613

Consumer

     191,897         207,921         (16,024

Overseas

     283,077         263,873         19,203   

Financial institutions

     12,139         14,290         (2,150

Commercial and industrial

     216,848         189,422         27,425   

Other

     54,089         60,160         (6,071
  

 

 

    

 

 

    

 

 

 

Total

     1,213,507         1,306,950         (93,442
  

 

 

    

 

 

    

 

 

 

 

18


Mitsubishi UFJ Financial Group, Inc.

 

BTMU Non-consolidated

(1)    Non Performing Loans

 

     (in millions of yen)  
     As of
September 30, 2016
(A)
    As of
March 31, 2016
(B)
    Increase
(Decrease)
(A) - (B)
 

Bankrupt or De facto Bankrupt

     124,891        116,853        8,038   

Doubtful

     480,318        815,231        (334,912

Special Attention

     569,506        331,026        238,479   

Non Performing Loans (1)

     1,174,716        1,263,111        (88,394
  

 

 

   

 

 

   

 

 

 

Normal

     87,106,127        94,370,441        (7,264,314
  

 

 

   

 

 

   

 

 

 

Total

     88,280,843        95,633,552        (7,352,708
  

 

 

   

 

 

   

 

 

 

Non Performing Loans / Total

     1.33     1.32     0.00
(2)    Status of Coverage of Non Performing Loans   
     (in millions of yen)  
     As of
September 30, 2016
(A)
    As of
March 31, 2016
(B)
    Increase
(Decrease)
(A) - (B)
 

Covered amount (2)

     956,318        1,059,742        (103,424

Allowance for credit losses

     368,535        447,041        (78,505

Collateral, guarantees, etc.

     587,782        612,701        (24,918

Coverage ratio (2) / (1)

     81.40     83.89     (2.49 )% 

(3)    Coverage Ratio

 

      (in millions of yen)  
Category    Loan amount (A)     Allowance for
credit losses (B)
    Covered by
collateral and/or
guarantees (C)
    Coverage ratio for
unsecured portion
(B) / [(A) - (C)]
    Coverage ratio
[(B) + (C)] / (A)
 

Bankrupt or De facto Bankrupt

     124,891        12,559        112,332        100.00     100.00
     [116,853     [17,316     [99,536     [100.00 %]      [100.00 %] 

Doubtful

     480,318        152,625        239,491        63.37     81.63
     [815,231     [345,361     [331,408     [71.38 %]      [83.01 %] 

Special Attention

     569,506        203,351        235,958        60.96     77.13
     [331,026     [84,363     [181,756     [56.51 %]      [80.39 %] 

Total

     1,174,716        368,535        587,782        62.78     81.40
     [1,263,111     [447,041     [612,701     [68.73 %]      [83.89 %] 

 

Note: The upper figures are as of September 30, 2016. The lower figures with brackets are as of March 31, 2016.

(4)    Classified by Industry

 

     (in millions of yen)  
     As of
September 30, 2016
(A)
     As of
March 31, 2016
(B)
     Increase
(Decrease)
(A) - (B)
 

Domestic

     891,638         999,259         (107,620

Manufacturing

     373,390         421,233         (47,843

Construction

     17,271         20,103         (2,832

Wholesale and retail

     153,785         171,206         (17,421

Finance and insurance

     1,771         2,777         (1,006

Real estate

     71,422         79,572         (8,149

Goods rental and leasing

     2,501         2,722         (220

Services

     57,597         67,556         (9,958

Other industries

     27,775         33,379         (5,603

Consumer

     186,123         200,707         (14,584

Overseas

     283,077         263,851         19,225   

Financial institutions

     12,139         14,290         (2,150

Commercial and industrial

     216,848         189,422         27,425   

Other

     54,089         60,138         (6,049
  

 

 

    

 

 

    

 

 

 

Total

     1,174,716         1,263,111         (88,394
  

 

 

    

 

 

    

 

 

 

 

19


Mitsubishi UFJ Financial Group, Inc.

 

MUTB Non-consolidated

(1)    Non Performing Loans

 

     (in millions of yen)  
     As of
September 30, 2016
(A)
    As of
March 31, 2016
(B)
    Increase
(Decrease)
(A) - (B)
 

Bankrupt or De facto Bankrupt

     1,929        1,954        (25

Doubtful

     8,883        31,159        (22,276

Special Attention

     27,371        10,101        17,270   

Non Performing Loans (1)

     38,184        43,215        (5,031
  

 

 

   

 

 

   

 

 

 

Normal

     13,996,962        13,616,979        379,982   
  

 

 

   

 

 

   

 

 

 

Total

     14,035,146        13,660,195        374,950   
  

 

 

   

 

 

   

 

 

 

Non Performing Loans / Total

     0.27     0.31     (0.04 )% 

 

(2)    Status of Coverage of Non Performing Loans

 

      
     (in millions of yen)  
     As of
September 30, 2016
(A)
    As of
March 31, 2016
(B)
    Increase
(Decrease)
(A) - (B)
 

Covered amount (2)

     30,897        36,260        (5,363

Allowance for credit losses

     12,035        14,454        (2,419

Collateral, guarantees, etc.

     18,861        21,805        (2,944

Coverage ratio (2) / (1)

     80.91     83.90     (2.98 )% 

(3)    Coverage Ratio

 

     (in millions of yen)  
Category    Loan amount (A)     Allowance for
credit losses (B)
    Covered by
collateral and/or
guarantees (C)
    Coverage ratio for
unsecured portion
(B) / [(A) - (C)]
    Coverage ratio
[(B) + (C)] / (A)
 

Bankrupt or De facto Bankrupt

     1,929        8        1,920        100.00     100.00
     [1,954     [10     [1,943     [100.00 %]      [100.00 %] 

Doubtful

     8,883        550        7,609        43.21     91.85
     [31,159     [10,239     [16,879     [71.70 %]      [87.03 %] 

Special Attention

     27,371        11,475        9,331        63.61     76.01
     [10,101     [4,203     [2,982     [59.05 %]      [71.14 %] 

Total

     38,184        12,035        18,861        62.28     80.91
     [43,215     [14,454     [21,805     [67.51 %]      [83.90 %] 

 

Note: The upper figures are as of September 30, 2016. The lower figures with brackets are as of March 31, 2016.

(4)    Classified by Industry

 

     (in millions of yen)  
     As of
September 30, 2016
(A)
     As of
March 31, 2016
(B)
     Increase
(Decrease)
(A) - (B)
 

Domestic

     38,184         43,193         (5,009

Manufacturing

     22,365         24,857         (2,492

Construction

     669         684         (15

Wholesale and retail

     1,409         1,353         56   

Finance and insurance

     —           —           —     

Real estate

     7,426         8,524         (1,098

Goods rental and leasing

     —           —           —     

Services

     284         296         (11

Other industries

     313         322         (9

Consumer

     5,716         7,155         (1,438

Overseas

     —           22         (22

Financial institutions

     —           —           —     

Commercial and industrial

     —           —           —     

Other

     —           22         (22
  

 

 

    

 

 

    

 

 

 

Total

     38,184         43,215         (5,031
  

 

 

    

 

 

    

 

 

 

 

20


Mitsubishi UFJ Financial Group, Inc.

 

MUTB Non-consolidated: Trust Account

“Trust account” represents trust account with contracts indemnifying the principal amounts.

(1)    Non Performing Loans

 

                 (in millions of yen)  
                 As of
September 30, 2016
(A)
    As of
March 31, 2016
(B)
    Increase
(Decrease)
(A) - (B)
 

Bankrupt or De facto Bankrupt

         3        11        (7

Doubtful

         105        104        1   

Special Attention

         497        507        (10

Non Performing Loans (1)

         606        623        (16
      

 

 

   

 

 

   

 

 

 

Normal

         19,882        22,488        (2,605
      

 

 

   

 

 

   

 

 

 

Total

         20,489        23,111        (2,622
      

 

 

   

 

 

   

 

 

 

Non Performing Loans / Total

         2.96     2.69     0.26
(2)    Status of Coverage of Non Performing Loans   
                 (in millions of yen)  
                 As of
September 30, 2016
(A)
    As of
March 31, 2016
(B)
    Increase
(Decrease)
(A) - (B)
 

Covered amount (2)

         547        490        56   

Allowance for credit losses

         —          —          —     

Collateral, guarantees, etc.

         547        490        56   

Coverage ratio (2) / (1)

         90.19     78.65     11.54

 

(3)    Coverage Ratio

 

          
     (in millions of yen)  

Category

   Loan amount (A)     Allowance for
credit losses (B)
    Covered by
collateral and/or
guarantees (C)
    Coverage ratio for
unsecured portion
(B) / [(A) - (C)]
    Coverage ratio
[(B) + (C)] / (A)
 

Bankrupt or De facto Bankrupt

     3        —          3          100.00
     [11     [—       [11       [100.00 %] 

Doubtful

     105        —          102          96.89
     [104     [—       [90       [87.31 %] 

Special Attention

     497        —          440          88.69
     [507     [—       [387       [76.38 %] 

Total

     606        —          547          90.19
     [623     [—       [490       [78.65 %] 
          

Note:  The upper figures are as of September 30, 2016. The lower figures with brackets are as of March 31, 2016.

 

(4)    Classified by Industry

 

     

  

 
                 (in millions of yen)  
                 As of
September 30, 2016
(A)
    As of
March 31, 2016
(B)
    Increase
(Decrease)
(A) - (B)
 

Domestic

         606        623        (16

Manufacturing

         —          —          —     

Construction

         —          —          —     

Wholesale and retail

         —          —          —     

Finance and insurance

         —          —          —     

Real estate

         549        564        (15

Goods rental and leasing

         —          —          —     

Services

         —          —          —     

Other industries

         —          —          —     

Consumer

         57        59        (1
      

 

 

   

 

 

   

 

 

 

Total

         606        623        (16
      

 

 

   

 

 

   

 

 

 

 

21


Mitsubishi UFJ Financial Group, Inc.

 

Overview of Non-Performing Loans

BTMU and MUTB Combined

 

(in billions of yen)
Self-Assessment       Coverage 
ratio for 
unsecured 
portion 
      Non-Performing Loans 
Based on the “FRL” 
        Risk-Monitored Loans 
Category of
Borrowers
  Classification            
  Non-
Classification 
  Classification 
II
  Classification 
III
  Classification 
IV
           
                   
                 

Bankrupt
Borrowers

 

  [114.2]   [11.2]  

 

[1.3]

 

(*1)

   

 

100.00%  

   

i) Bankrupt or

De facto Bankrupt

 

[126.8]

   

Loans to bankrupt borrowers

 

[42.9]

 

 

Substantially
Bankrupt
Borrowers

 

                     

Non-accrual

delinquent loans

 

[559.4]

 

Potentially
Bankrupt
Borrowers

 

  [247.5]   [241.7]           63.26%        

ii) Doubtful

 

[489.2]

   
         

Borrowers
Requiring
Caution
(Special
Attention
Borrowers)

 

 

[596.8]

       

61.10%  

   

iii) Special Attention

 

[596.8]

   

Accruing loans contractually past due

3 months or more

 

[52.0]

 

                         

 

Restructured loans

 

[544.8]

 

       
                           
       

Borrowers
Requiring
Caution
(Other
Borrowers)

 

                   

iv) Normal

 

[101,103.0]

 

 

     

 

Normal
Borrowers

 

                       
   
                Non-Performing Loans Based on the “FRL”     Risk-Monitored Loans
                i) + ii) + iii)    
                1,212.9     1,199.3
                Total    
                i) + ii) + iii) + iv)    
                102,315.9    

 

(*1) “Customers’ liabilities for acceptances and guarantees” in Classification IV are fully reserved.

 

22


Mitsubishi UFJ Financial Group, Inc.

 

9. Progress in Disposition of Problem Assets

BTMU Non-consolidated

 

(1) Bankrupt or De facto Bankrupt and Doubtful Assets Based on the “FRL”

 

     (in millions of yen)  
     As of
March 31, 2014
     As of
March 31, 2015
     As of
March 31, 2016
(A)
     As of
September 30, 2016
(B)
     (B) - (A)  

Assets newly categorized during fiscal 2013

     195,312         121,427         86,518         52,946         (33,572

Assets newly categorized during fiscal 2014

        98,674         61,087         51,653         (9,434

Assets newly categorized during fiscal 2015

           500,907         156,698         (344,208

Assets newly categorized during fiscal 2016

              112,817      

 

(2) Progress in Disposition of Problem Assets

 

     (in millions of yen)  
     For the first half of the fiscal year ended  September 30, 2016  
            Bankrupt or
De facto Bankrupt
     Doubtful  

Liquidation

     3,548         ——           ——     

Reconstructive treatment

     23,373         ——           ——     

Upgrade due to reconstructive treatment

     —           ——           ——     

Loan sold to secondary market

     1,495         ——           ——     

Write-offs

     32,123         ——           ——     

Others

     379,150         ——           ——     

Collection / Repayment

     47,715         ——           ——     

Upgrade

     331,434         ——           ——     
  

 

 

    

 

 

    

 

 

 

Total

     439,691         22,024         417,667   
  

 

 

    

 

 

    

 

 

 

Amount in process for disposition

     107,555         

 

Note: The process for disposition consists of legal liquidation, quasi-legal liquidation, company splits to good companies and bad companies, partial direct write-offs of retail exposure to individuals and small/medium-sized companies, and trusts to The Resolution and Collection Corporation mainly for the purpose of revitalization of companies, which are scheduled to be off-balanced before their maturities.

 

23


Mitsubishi UFJ Financial Group, Inc.

 

MUTB Non-consolidated including Trust Account

“Trust account” represents trust account with contracts indemnifying the principal amounts.

 

(1) Bankrupt or De facto Bankrupt and Doubtful Assets Based on the “FRL”

 

    (in millions of yen)  
    As of
March 31, 2014
    As of
March 31, 2015
    As of
March 31, 2016
(A)
    As of
September 30, 2016
(B)
    (B) - (A)  

Assets newly categorized during fiscal 2013

    6,315        3,069        2,510        743        (1,767

Assets newly categorized during fiscal 2014

      7,495        1,730        363        (1,367

Assets newly categorized during fiscal 2015

        18,743        1,194        (17,549

Assets newly categorized during fiscal 2016

          1,135     

 

(2) Progress in Disposition of Problem Assets

 

     (in millions of yen)  
     For the first half of the fiscal year ended September  30, 2016  
            Bankrupt or
De facto Bankrupt
     Doubtful  

Liquidation

     —           ——           ——     

Reconstructive treatment

     —           ——           ——     

Upgrade due to reconstructive treatment

     —           ——           ——     

Loan sold to secondary market

     1,278         ——           ——     

Write-offs

     1,579         ——           ——     

Others

     20,584         ——           ——     

Collection / Repayment

     2,223         ——           ——     

Upgrade

     18,361         ——           ——     
  

 

 

    

 

 

    

 

 

 

Total

     23,443         225         23,218   
  

 

 

    

 

 

    

 

 

 

Amount in process for disposition

     2,096         

 

Note: The process for disposition consists of legal liquidation, quasi-legal liquidation, company splits to good companies and bad companies, partial direct write-offs of retail exposure to individuals and small/medium-sized companies, and trusts to The Resolution and Collection Corporation mainly for the purpose of revitalization of companies, which are scheduled to be off-balanced before their maturities.

 

24


Mitsubishi UFJ Financial Group, Inc.

 

10. Loans Classified by Type of Industry, Domestic Consumer Loans, Domestic Loans to Small/Medium-Sized Companies and Proprietors

BTMU and MUTB Combined including Trust Accounts

(1)    Loans Classified by Type of Industry

 

     (in millions of yen)  
     As of
September 30, 2016
(A)
    Increase
(Decrease)
(A) - (B)
    As of
March 31, 2016
(B)
 

Domestic offices (excluding loans booked at offshore markets)

     67,713,460        (4,975,735     72,689,196   

Manufacturing

     10,519,959        (287,805     10,807,764   

Agriculture, forestry, fishery, mining, quarrying of stone and gravel

     143,740        (15,718     159,458   

Construction

     751,091        (69,506     820,597   

Utilities

     1,598,138        18,887        1,579,251   

Communication and information services

     1,482,394        197,965        1,284,429   

Transport and postal activities

     2,167,775        (21,148     2,188,923   

Wholesale and retail

     6,414,783        (27,276     6,442,059   

Finance and insurance

     8,178,449        (299,878     8,478,327   

Real estate

     8,771,097        59,257        8,711,840   

Goods rental and leasing

     1,929,191        66,142        1,863,049   

Services

     2,499,942        (16,825     2,516,767   

Municipal government

     613,659        7,266        606,393   

Other industries (including loans to the Japanese government)

     22,643,227        (4,587,098     27,230,325   

Overseas offices and loans booked at offshore markets

     25,556,238        (1,789,402     27,345,641   
  

 

 

   

 

 

   

 

 

 

Total

     93,269,699        (6,765,137     100,034,837   
  

 

 

   

 

 

   

 

 

 

 

(2)    Domestic Consumer Loans

 

      
     (in millions of yen)  
     As of
September 30, 2016
(A)
    Increase
(Decrease)
(A) - (B)
    As of
March 31, 2016
(B)
 

Total domestic consumer loans

     16,446,982        80,851        16,366,131   

Housing loans

     15,637,906        67,120        15,570,786   

Residential purpose

     13,465,708        123,375        13,342,333   

Other

     809,075        13,731        795,344   

 

(3)    Domestic Loans to Small/Medium-Sized Companies and Proprietors

 

  

 
     (in millions of yen)  
     As of
September 30, 2016
(A)
    Increase
(Decrease)
(A) - (B)
    As of
March 31, 2016
(B)
 

Outstanding amount

     39,502,972        (60,089     39,563,061   

% to total domestic loans

     58.33     3.91     54.42

 

25


Mitsubishi UFJ Financial Group, Inc.

 

BTMU Non-consolidated

(1)    Loans Classified by Type of Industry

 

     (in millions of yen)  
     As of
September 30, 2016
(A)
    Increase
(Decrease)
(A) - (B)
    As of
March 31, 2016
(B)
 

Domestic offices (excluding loans booked at offshore markets)

     56,098,428        (5,638,285     61,736,714   

Manufacturing

     8,531,799        (238,324     8,770,123   

Agriculture, forestry, fishery, mining, quarrying of stone and gravel

     140,311        (15,273     155,584   

Construction

     655,722        (60,321     716,043   

Utilities

     1,206,385        (9,207     1,215,592   

Communication and information services

     1,187,945        133,224        1,054,721   

Transport and postal activities

     1,583,189        (11,490     1,594,679   

Wholesale and retail

     5,549,958        19,406        5,530,552   

Finance and insurance

     5,840,010        (323,464     6,163,474   

Real estate

     6,864,619        (32,090     6,896,709   

Goods rental and leasing

     1,209,496        45,836        1,163,660   

Services

     2,348,928        (22,550     2,371,478   

Municipal government

     605,372        7,994        597,378   

Other industries (including loans to the Japanese government)

     20,374,694        (5,132,027     25,506,721   

Overseas offices and loans booked at offshore markets

     23,425,145        (1,529,867     24,955,012   
  

 

 

   

 

 

   

 

 

 

Total

     79,523,573        (7,168,153     86,691,727   
  

 

 

   

 

 

   

 

 

 

 

(2)    Domestic Consumer Loans

 

       

     (in millions of yen)  
     As of
September 30, 2016
(A)
    Increase
(Decrease)
(A) - (B)
    As of
March 31, 2016
(B)
 

Total domestic consumer loans

     15,073,065        83,288        14,989,776   

Housing loans

     14,269,053        69,166        14,199,887   

Residential purpose

     12,250,560        111,483        12,139,077   

Other

     804,011        14,122        789,889   

 

(3)    Domestic Loans to Small/Medium-Sized Companies and Proprietors

 

       

     (in millions of yen)  
     As of
September 30, 2016
(A)
    Increase
(Decrease)
(A) - (B)
    As of
March 31, 2016
(B)
 

Outstanding amount

     33,718,711        (190,183     33,908,894   

% to total domestic loans

     60.10     5.18     54.92

 

26


Mitsubishi UFJ Financial Group, Inc.

 

MUTB Non-consolidated

(1)    Loans Classified by Type of Industry

 

     (in millions of yen)  
     As of
September 30, 2016
(A)
    Increase
(Decrease)

(A) - (B)
    As of
March 31, 2016
(B)
 

Domestic offices (excluding loans booked at offshore markets)

     11,442,113        640,203        10,801,910   

Manufacturing

     1,988,160        (49,481     2,037,641   

Agriculture, forestry, fishery, mining, quarrying of stone and gravel

     3,429        (445     3,874   

Construction

     95,369        (9,185     104,554   

Utilities

     391,753        28,094        363,659   

Communication and information services

     294,449        64,741        229,708   

Transport and postal activities

     584,586        (9,658     594,244   

Wholesale and retail

     864,825        (46,682     911,507   

Finance and insurance

     2,331,937        23,994        2,307,943   

Real estate

     1,899,981        93,078        1,806,903   

Goods rental and leasing

     719,695        20,306        699,389   

Services

     151,009        5,725        145,284   

Municipal government

     3,469        (699     4,168   

Other industries (including loans to the Japanese government)

     2,113,439        520,414        1,593,025   

Overseas offices and loans booked at offshore markets

     2,131,093        (259,535     2,390,628   
  

 

 

   

 

 

   

 

 

 

Total

     13,573,206        380,668        13,192,538   
  

 

 

   

 

 

   

 

 

 

(2)    Domestic Consumer Loans

       

     (in millions of yen)  
     As of
September 30, 2016
(A)
    Increase
(Decrease)

(A) - (B)
    As of
March 31, 2016
(B)
 

Total domestic consumer loans

     1,364,849        (1,629     1,366,478   

Housing loans

     1,359,849        (1,251     1,361,100   

Residential purpose

     1,206,808        12,631        1,194,177   

Other

     4,999        (378     5,377   

(3)    Domestic Loans to Small/Medium-Sized Companies and Proprietors

       

     (in millions of yen)  
     As of
September 30, 2016
(A)
    Increase
(Decrease)
(A) - (B)
    As of
March 31, 2016
(B)
 

Outstanding amount

     5,622,663        107,310        5,515,353   

% to total domestic loans

     49.14     (1.91 )%      51.05

 

27


Mitsubishi UFJ Financial Group, Inc.

 

MUTB Non-consolidated: Trust Accounts

(1)    Loans Classified by Type of Industry

 

     (in millions of yen)  
     As of
September  30, 2016
(A)
    Increase
(Decrease)
(A) - (B)
    As of
March 31, 2016
(B)
 

Domestic offices (excluding loans booked at offshore markets)

     172,918        22,347        150,571   

Manufacturing

     —          —          —     

Agriculture, forestry, fishery, mining, quarrying of stone and gravel

     —          —          —     

Construction

     —          —          —     

Utilities

     —          —          —     

Communication and information services

     —          —          —     

Transport and postal activities

     —          —          —     

Wholesale and retail

     —          —          —     

Finance and insurance

     6,502        (408     6,910   

Real estate

     6,497        (1,731     8,228   

Goods rental and leasing

     —          —          —     

Services

     5        —          5   

Municipal government

     4,818        (29     4,847   

Other industries (including loans to the Japanese government)

     155,094        24,515        130,579   

Overseas offices and loans booked at offshore markets

     —          —          —     
  

 

 

   

 

 

   

 

 

 

Total

     172,918        22,347        150,571   
  

 

 

   

 

 

   

 

 

 

(2)    Domestic Consumer Loans

       

     (in millions of yen)  
     As of
September 30, 2016
(A)
    Increase
(Decrease)
(A) - (B)
    As of
March 31, 2016
(B)
 

Total domestic consumer loans

     9,067        (807     9,875   

Housing loans

     9,003        (794     9,798   

Residential purpose

     8,339        (738     9,078   

Other

     63        (12     76   

(3)    Domestic Loans to Small/Medium-Sized Companies and Proprietors

       

     (in millions of yen)  
     As of
September 30, 2016
(A)
    Increase
(Decrease)
(A) - (B)
    As of
March 31, 2016
(B)
 

Outstanding amount

     161,598        22,784        138,814   

% to total domestic loans

     93.45     1.26     92.19

 

28


Mitsubishi UFJ Financial Group, Inc.

 

11. Overseas Loans

BTMU and MUTB Combined

 

     (in millions of yen)  
     As of
September 30, 2016
(A)
     Increase
(Decrease)
(A) - (B)
    As of
March 31, 2016
(B)
 

Asia

     6,445,697         (756,542     7,202,239   

Thailand

     196,907         (45,062     241,969   

Indonesia

     769,257         (82,280     851,537   

Malaysia

     385,988         (154,587     540,576   

Philippines

     161,110         (25,517     186,628   

South Korea

     496,666         (35,329     531,996   

Singapore

     1,114,663         (127,497     1,242,161   

Hong Kong

     1,915,789         (190,576     2,106,366   

China

     137,810         (40,142     177,953   

Taiwan

     388,611         10,947        377,664   

Others

     878,891         (66,494     945,386   

Latin America

     3,793,127         (523,736     4,316,864   

Argentina

     41,945         16,160        25,784   

Brazil

     621,327         (26,526     647,854   

Mexico

     406,054         (19,250     425,305   

Caribbean countries

     2,295,442         (439,739     2,735,182   

Others

     428,356         (54,379     482,736   

North America

     8,083,976         273,571        7,810,405   

United States of America

     7,425,964         (122,741     7,548,706   

Canada

     658,011         396,312        261,699   

Western Europe

     4,859,947         (625,635     5,485,582   

United Kingdom

     1,915,877         (253,646     2,169,523   

Germany

     416,012         (118,637     534,650   

France

     437,204         (23,028     460,233   

Netherlands

     711,124         (19,825     730,950   

Spain

     140,086         (36,586     176,673   

Italy

     169,533         (39,273     208,807   

Others

     1,070,106         (134,637     1,204,744   

Eastern Europe

     153,114         (76,860     229,974   

Others

     4,316,343         (96,453     4,412,796   
  

 

 

    

 

 

   

 

 

 

Total

     27,652,207         (1,805,656     29,457,864   
  

 

 

    

 

 

   

 

 

 

 

Note: In addition to the (non-consolidated basis) loan balance stated above, five major overseas subsidiaries have the following loan balances in the consolidated financial statements.
     MUFG Americas Holdings Corporation : ¥8,133,508 million (a 1,125,168 million yen decrease as compared with March 31, 2016.)
     Bank of Ayudhya Public Company Limited : ¥3,131,076 million (a 337,231 million yen decrease as compared with March 31, 2016.)
     Bank of Tokyo-Mitsubishi UFJ (China), Ltd.: ¥1,152,464 million (a 328,772 million yen decrease as compared with March 31, 2016.)
     MUFG Bank (Europe) N.V. : ¥602,454 million (a 3,426 million yen increase as compared with March 31, 2016.)
     Bank of Tokyo-Mitsubishi UFJ (Malaysia) Berhad : ¥419,537 million (a 50,413 million yen decrease as compared with March 31, 2016.)

 

29


Mitsubishi UFJ Financial Group, Inc.

 

12. Loans and Deposits

BTMU and MUTB Combined

 

     (in millions of yen)  
     As of
September 30, 2016
(A)
     Increase
(Decrease)
(A) - (B)
    As of
March 31, 2016
(B)
 

Deposits (ending balance)

     148,655,488         3,323,490        145,331,997   

Deposits (average balance)

     145,240,977         7,194,851        138,046,126   

Loans (ending balance)

     93,096,780         (6,787,485     99,884,265   

Loans (average balance)

     95,478,781         (1,699,001     97,177,782   
BTMU Non-consolidated        
     (in millions of yen)  
     As of
September 30, 2016
(A)
     Increase
(Decrease)
(A) - (B)
    As of
March 31, 2016
(B)
 

Deposits (ending balance)

     134,123,071         2,136,489        131,986,582   

Deposits (average balance)

     131,445,108         6,177,135        125,267,973   

Loans (ending balance)

     79,523,573         (7,168,153     86,691,727   

Loans (average balance)

     82,296,787         (2,154,079     84,450,867   
MUTB Non-consolidated        
     (in millions of yen)  
     As of
September 30, 2016
(A)
     Increase
(Decrease)
(A) - (B)
    As of
March 31, 2016
(B)
 

Deposits (ending balance)

     14,532,416         1,187,001        13,345,415   

Deposits (average balance)

     13,795,868         1,017,716        12,778,152   

Loans (ending balance)

     13,573,206         380,668        13,192,538   

Loans (average balance)

     13,181,993         455,078        12,726,915   

 

30


Mitsubishi UFJ Financial Group, Inc.

 

13. Domestic Deposits

BTMU and MUTB Combined

 

     (in millions of yen)  
     As of
September 30, 2016
(A)
     Increase
(Decrease)
(A) - (B)
    As of
March 31, 2016
(B)
 

Individuals

     71,268,232         199,596        71,068,636   

Corporations and others

     56,291,780         3,509,469        52,782,310   

Domestic deposits

     127,560,012         3,709,065        123,850,947   

 

Note: Amounts do not include negotiable certificates of deposit and JOM accounts.

 

BTMU Non-consolidated

 

    

  

    
     (in millions of yen)  
     As of
September 30, 2016
(A)
     Increase
(Decrease)
(A) - (B)
    As of
March 31, 2016
(B)
 

Individuals

     63,598,246         439,607        63,158,639   

Corporations and others

     50,814,414         2,061,769        48,752,644   

Domestic deposits

     114,412,660         2,501,376        111,911,283   

 

Note: Amounts do not include negotiable certificates of deposit and JOM accounts.

 

MUTB Non-consolidated

 

    

  

    
     (in millions of yen)  
     As of
September 30, 2016
(A)
     Increase
(Decrease)
(A) - (B)
    As of
March 31, 2016
(B)
 

Individuals

     7,669,986         (240,010     7,909,997   

Corporations and others

     5,477,365         1,447,699        4,029,666   

Domestic deposits

     13,147,352         1,207,688        11,939,663   

 

Note: Amounts do not include negotiable certificates of deposit and JOM accounts.

 

31


Mitsubishi UFJ Financial Group, Inc.

 

14. Status of Deferred Tax Assets

BTMU Non-consolidated

 

(1) Tax Effects of the Items Comprising Net Deferred Tax Assets

 

     (in billions of yen)  
     As of
September 30, 2016
(A)
    Increase
(Decrease)
(A) - (B)
    As of
March 31,2016
(B)
 

Deferred tax assets

     530.6        3.7        526.8   

Allowance for credit losses

     246.6        (21.2     267.8   

Write-down on investment securities

     117.0        (0.4     117.5   

Unrealized losses on available-for-sale securities

     20.8        1.5        19.2   

Reserve for retirement benefits

     98.6        (0.0     98.7   

Other

     192.9        8.7        184.1   

Valuation allowance

     (145.4     15.2        (160.6

Deferred tax liabilities

     1,074.2        (20.5     1,094.7   

Unrealized gains on available-for-sale securities

     741.1        (15.1     756.3   

Net deferred gains on hedges

     184.6        (2.8     187.4   

Revaluation gains on securities upon merger

     60.4        (1.5     62.0   

Gains on securities contributed to employees’ retirement benefits trust

     49.9        0.1        49.8   

Other

     37.9        (1.0     39.0   

Net deferred tax assets

     (543.5     24.2        (567.8

 

(2) Net operating profits before provision for general allowance for credit losses and Taxable Income

 

     (in billions of yen)  
     FY2011     FY2012     FY2013     FY2014     FY2015     Interim FY2016  

Net operating profits before provision for general allowance for credit losses

     1,022.8        1,001.5        855.9        931.4        888.1        417.0   

Total credit costs

     (125.3     (56.6     17.0        (70.7     (103.4     (4.7

Income before income taxes

     739.5        877.4        984.7        860.2        884.7        411.9   

Reconciliation to taxable income

     (305.1     (561.4     (336.2     (12.6     (113.3     (108.4

Taxable income

     434.3        316.0        648.5        847.5        771.3        303.5   

 

(3) Classification Based on Prior Year Operating Results as Provided in the ASBJ Guidance No.26

We are classified as “2” because we are considered to be a company showing stable financial performance.

 

32


Mitsubishi UFJ Financial Group, Inc.

 

MUTB Non-consolidated

 

(1) Tax Effects of the Items Comprising Net Deferred Tax Assets

 

     (in billions of yen)  
     As of
September 30, 2016
(A)
    Increase
(Decrease)
(A) - (B)
    As of
March 31, 2016
(B)
 

Deferred tax assets

     58.7        (2.4     61.1   

Deferred losses on hedging instruments

     25.4        (4.3     29.8   

Gains on securities related to employees’ retirement benefits trust

     15.9        1.1        14.8   

Allowance for credit losses

     11.8        (0.6     12.4   

Write-down on investment securities

     10.7        0.2        10.5   

Other

     34.0        2.9        31.0   

Valuation allowance

     (39.3     (1.8     (37.5

Deferred tax liabilities

     308.1        (7.3     315.4   

Unrealized gains on available-for-sale securities

     251.8        (7.9     259.8   

Reserve for retirement benefits

     45.4        1.3        44.0   

Other

     10.7        (0.7     11.5   

Net deferred tax assets

     (249.4     4.9        (254.3

 

(2) Net operating profits before credit costs for trust accounts and provision for general allowance for credit losses and Taxable Income

 

     (in billions of yen)  
     FY2011     FY2012     FY2013     FY2014     FY2015     Interim FY2016  

Net operating profits before credit costs for trust accounts and provision for general allowance for credit losses

     148.1        162.2        162.9        190.4        193.0        92.7   

Total credit costs

     (9.2     (8.6     18.0        (0.4     (0.2     1.7   

Income before income taxes

     113.5        173.5        184.4        201.4        218.6        99.9   

Reconciliation to taxable income

     (30.2     (84.9     (94.3     (40.4     (68.1     (26.5

Taxable income

     83.3        88.6        90.1        160.9        150.4        73.4   

 

(3) Classification Based on Prior Year Operating Results as Provided in the ASBJ Guidance No.26

We are classified as “2” because we are considered to be a company showing stable financial performance.

 

33


Mitsubishi UFJ Financial Group, Inc.

 

(Reference)

1. Financial Statements

BTMU Non-consolidated

 

(1) Non-consolidated Balance Sheets

 

(in millions of yen)    As of
March 31, 2016
    As of
September 30, 2016
 

Assets:

    

Cash and due from banks

     36,988,806        46,073,453   

Call loans

     196,063        248,553   

Receivables under resale agreements

     47,258        156,202   

Receivables under securities borrowing transactions

     446,292        1,741,890   

Monetary claims bought

     3,822,799        3,973,428   

Trading assets

     6,224,030        6,169,063   

Money held in trust

     57,656        28,120   

Securities

     48,913,432        45,927,197   

Loans and bills discounted

     86,691,727        79,523,573   

Foreign exchanges

     1,529,192        1,831,863   

Other assets

     7,881,852        7,982,573   

Tangible fixed assets

     858,747        852,870   

Intangible fixed assets

     380,570        374,915   

Prepaid pension costs

     258,110        262,663   

Customers’ liabilities for acceptances and guarantees

     6,630,945        6,206,071   

Allowance for credit losses

     (665,588     (565,093
  

 

 

   

 

 

 

Total assets

     200,261,895        200,787,348   
  

 

 

   

 

 

 

 

34


Mitsubishi UFJ Financial Group, Inc.

 

(in millions of yen)    As of
March 31, 2016
    As of
September 30, 2016
 

Liabilities:

    

Deposits

     131,986,582        134,123,071   

Negotiable certificates of deposit

     6,796,352        4,448,194   

Call money

     167,028        219,923   

Payables under repurchase agreements

     10,415,799        10,165,415   

Payables under securities lending transactions

     1,892,928        3,528,682   

Commercial papers

     1,445,681        1,027,617   

Trading liabilities

     4,868,717        4,445,485   

Borrowed money

     11,445,727        13,096,356   

Foreign exchanges

     2,331,337        1,947,369   

Bonds payable

     4,304,538        3,641,670   

Other liabilities

     6,576,505        6,531,602   

Reserve for bonuses

     27,423        21,738   

Reserve for bonuses to directors

     110        46   

Reserve for stocks payment

     —          445   

Reserve for retirement benefits

     8,510        8,124   

Reserve for loyalty award credits

     1,348        1,645   

Reserve for contingent losses

     43,808        88,189   

Deferred tax liabilities

     567,867        543,586   

Deferred tax liabilities for land revaluation

     122,901        120,876   

Acceptances and guarantees

     6,630,945        6,206,071   
  

 

 

   

 

 

 

Total liabilities

     189,634,113        190,166,114   
  

 

 

   

 

 

 

Net assets:

    

Capital stock

     1,711,958        1,711,958   

Capital surplus

     3,878,275        3,878,275   

Capital reserve

     1,711,958        1,711,958   

Other capital surplus

     2,166,317        2,166,317   

Retained earnings

     3,231,459        3,292,189   

Revenue reserve

     190,044        190,044   

Other retained earnings

     3,041,414        3,102,144   

Funds for retirement benefits

     2,432        2,432   

Other reserve

     718,196        718,196   

Earned surplus brought forward

     2,320,785        2,381,515   

Treasury stock

     (645,700     (645,700
  

 

 

   

 

 

 

Total shareholders’ equity

     8,175,992        8,236,722   
  

 

 

   

 

 

 

Net unrealized gains (losses) on available-for-sale securities

     1,794,305        1,738,083   

Net deferred gains (losses) on hedging instruments

     423,084        416,615   

Land revaluation excess

     234,399        229,812   
  

 

 

   

 

 

 

Total valuation and translation adjustments

     2,451,789        2,384,512   
  

 

 

   

 

 

 

Total net assets

     10,627,781        10,621,234   
  

 

 

   

 

 

 

Total liabilities and net assets

     200,261,895        200,787,348   
  

 

 

   

 

 

 

 

35


Mitsubishi UFJ Financial Group, Inc.

 

BTMU Non-consolidated

 

(2) Non-consolidated Statements of Income

 

(in millions of yen)    For the six months
ended
September 30, 2015
     For the six months
ended
September 30, 2016
 

Ordinary income

     1,563,186         1,501,227   

Interest income

     802,020         818,834   

Interest on loans and bills discounted

     477,429         482,337   

Interest and dividends on securities

     253,705         264,285   

Fees and commissions

     327,308         314,703   

Trading income

     61,919         90,370   

Other operating income

     226,742         145,819   

Other ordinary income

     145,195         131,500   

Ordinary expenses

     1,024,806         1,090,987   

Interest expenses

     191,159         262,126   

Interest on deposits

     65,150         70,289   

Fees and commissions

     83,534         85,928   

Trading expenses

     —           913   

Other operating expenses

     94,562         48,446   

General and administrative expenses

     576,210         578,497   

Other ordinary expenses

     79,339         115,075   
  

 

 

    

 

 

 

Ordinary profits

     538,379         410,239   
  

 

 

    

 

 

 

Extraordinary gains

     19,301         10,635   

Extraordinary losses

     6,034         8,909   
  

 

 

    

 

 

 

Income before income taxes

     551,645         411,964   
  

 

 

    

 

 

 

Income taxes-current

     119,046         98,189   

Income taxes-deferred

     52,945         (9,268
  

 

 

    

 

 

 

Total taxes

     171,991         88,921   
  

 

 

    

 

 

 

Net income

     379,654         323,043   
  

 

 

    

 

 

 

 

36


Mitsubishi UFJ Financial Group, Inc.

 

MUTB Non-consolidated

 

(1) Non-consolidated Balance Sheets

 

(in millions of yen)    As of
March 31, 2016
    As of
September 30, 2016
 

Assets:

    

Cash and due from banks

     6,590,057        8,078,391   

Call loans

     240,231        13,622   

Receivables under securities borrowing transactions

     886,878        —     

Monetary claims bought

     523        251   

Trading assets

     372,594        555,967   

Money held in trust

     13,040        12,892   

Securities

     17,426,047        16,273,032   

Loans and bills discounted

     13,192,538        13,573,206   

Foreign exchanges

     36,875        49,378   

Other assets

     723,209        832,269   

Tangible fixed assets

     150,154        148,159   

Intangible fixed assets

     57,496        59,063   

Prepaid pension costs

     262,799        267,356   

Customers’ liabilities for acceptances and guarantees

     405,141        384,442   

Allowance for credit losses

     (37,084     (34,114
  

 

 

   

 

 

 

Total assets

     40,320,504        40,213,919   
  

 

 

   

 

 

 

 

37


Mitsubishi UFJ Financial Group, Inc.

 

(in millions of yen)    As of
March 31, 2016
    As of
September 30, 2016
 

Liabilities:

    

Deposits

     13,345,415        14,532,416   

Negotiable certificates of deposit

     4,573,223        4,253,469   

Call money

     193,932        674,182   

Payables under repurchase agreements

     5,205,060        5,289,109   

Payables under securities lending transactions

     1,926,430        2,029,250   

Commercial papers

     628,243        395,055   

Trading liabilities

     150,560        148,504   

Borrowed money

     2,110,470        2,105,034   

Foreign exchanges

     418        500   

Short-term bonds payable

     126,993        533,999   

Bonds payable

     847,129        824,732   

Due to trust accounts

     7,152,449        5,616,214   

Other liabilities

     1,150,631        912,339   

Reserve for bonuses

     4,564        4,791   

Reserve for bonuses to directors

     41        19   

Reserve for stocks payment

     —          452   

Reserve for contingent losses

     7,632        8,059   

Deferred tax liabilities

     254,316        249,411   

Deferred tax liabilities for land revaluation

     4,336        4,336   

Acceptances and guarantees

     405,141        384,442   
  

 

 

   

 

 

 

Total liabilities

     38,086,991        37,966,321   
  

 

 

   

 

 

 

Net assets:

    

Capital stock

     324,279        324,279   

Capital surplus

     422,083        422,083   

Capital reserve

     250,619        250,619   

Other capital surplus

     171,464        171,464   

Retained earnings

     943,842        968,191   

Revenue reserve

     73,714        73,714   

Other retained earnings

     870,128        894,477   

Funds for retirement benefits

     710        710   

Other reserve

     138,495        138,495   

Earned surplus brought forward

     730,923        755,272   
  

 

 

   

 

 

 

Total shareholders’ equity

     1,690,205        1,714,554   
  

 

 

   

 

 

 

Net unrealized gains (losses) on available-for-sale securities

     614,205        592,310   

Net deferred gains (losses) on hedging instruments

     (67,592     (57,774

Land revaluation excess

     (3,305     (1,492
  

 

 

   

 

 

 

Total valuation and translation adjustments

     543,306        533,042   
  

 

 

   

 

 

 

Total net assets

     2,233,512        2,247,597   
  

 

 

   

 

 

 

Total liabilities and net assets

     40,320,504        40,213,919   
  

 

 

   

 

 

 

 

38


Mitsubishi UFJ Financial Group, Inc.

 

MUTB Non-consolidated

 

(2) Non-consolidated Statements of Income

 

(in millions of yen)    For the six months
ended

September 30, 2015
     For the six months
ended

September 30, 2016
 

Ordinary income

     288,591         302,086   

Trust fees

     45,638         49,897   

Interest income

     133,506         128,844   

Interest on loans and bills discounted

     45,206         46,004   

Interest and dividends on securities

     84,796         76,679   

Fees and commissions

     65,685         65,576   

Trading income

     10,528         7,307   

Other operating income

     21,103         28,304   

Other ordinary income

     12,128         22,155   

Ordinary expenses

     189,041         196,570   

Interest expenses

     37,650         59,848   

Interest on deposits

     11,544         11,465   

Fees and commissions

     15,708         15,527   

Trading expenses

     484         60   

Other operating expenses

     35,952         12,117   

General and administrative expenses

     90,974         104,909   

Other ordinary expenses

     8,271         4,108   
  

 

 

    

 

 

 

Ordinary profits

     99,549         105,515   
  

 

 

    

 

 

 

Extraordinary gains

     11         36   

Extraordinary losses

     465         5,593   
  

 

 

    

 

 

 

Income before income taxes

     99,095         99,959   
  

 

 

    

 

 

 

Income taxes-current

     22,901         25,485   

Income taxes-deferred

     5,835         (1,255
  

 

 

    

 

 

 

Total taxes

     28,736         24,230   
  

 

 

    

 

 

 

Net income

     70,359         75,728   
  

 

 

    

 

 

 

 

39


Mitsubishi UFJ Financial Group, Inc.

 

MUTB Non-consolidated

 

(3) Statements of Trust Assets and Liabilities

Including trust assets under service-shared co-trusteeship

 

(in millions of yen)    As of
March 31, 2016
     As of
September 30, 2016
 

Assets:

     

Loans and bills discounted

     150,571         172,918   

Securities

     53,614,888         52,375,631   

Beneficiary rights to the trust

     53,719,802         55,811,032   

Securities held in custody accounts

     3,339,160         3,727,280   

Monetary claims

     9,369,779         8,384,845   

Tangible fixed assets

     11,636,006         12,035,635   

Intangible fixed assets

     193,150         206,638   

Other claims

     4,364,029         3,420,159   

Call loans

     103,070         624,483   

Due from banking account

     12,745,624         7,673,408   

Cash and due from banks

     4,474,306         4,748,475   
  

 

 

    

 

 

 

Total

     153,710,390         149,180,508   
  

 

 

    

 

 

 

Liabilities:

     

Money trusts

     20,470,160         19,311,414   

Pension trusts

     14,950,257         12,843,522   

Property formation benefit trusts

     8,033         7,523   

Investment trusts

     58,519,398         59,138,914   

Money entrusted other than money trusts

     3,463,944         3,316,252   

Securities trusts

     5,350,832         5,645,901   

Monetary claim trusts

     8,799,495         7,642,868   

Equipment trusts

     59,923         63,438   

Land and fixtures trusts

     65,884         65,798   

Composite trusts

     42,022,461         41,144,872   
  

 

 

    

 

 

 

Total

     153,710,390         149,180,508   
  

 

 

    

 

 

 

 

Note: The table shown above includes master trust assets under the service-shared co-trusteeship between MUTB and The Master Trust Bank of Japan, Ltd.

Detailed information for “Money trust” with contracts indemnifying the principal amounts

(including trusts for which beneficiary interests are re-entrusted)

 

(in millions of yen)    As of
March 31, 2016
     As of
September 30, 2016
 

Assets:

     

Loans and bills discounted

     23,111         20,489   

Securities

     116,704         110,975   

Other

     6,985,751         5,411,379   
  

 

 

    

 

 

 

Total

         7,125,567             5,542,844   
  

 

 

    

 

 

 

Liabilities:

     

Principal

     7,111,058         5,532,965   

Allowance for bad debts

     69         64   

Other

     14,439         9,814   
  

 

 

    

 

 

 

Total

     7,125,567         5,542,844   
  

 

 

    

 

 

 

 

40


Mitsubishi UFJ Financial Group, Inc.

 

MUTB Non-consolidated

 

(4) Major Items

 

(in millions of yen)    As of
March 31, 2016
     As of
September 30, 2016
 

Total funds

     53,347,090         50,948,346   
  

 

 

    

 

 

 

Deposits

     13,345,415         14,532,416   

Negotiable certificates of deposit

     4,573,223         4,253,469   

Money trusts

     20,470,160         19,311,414   

Pension trusts

     14,950,257         12,843,522   

Property formation benefit trusts

     8,033         7,523   
  

 

 

    

 

 

 

Loans and bills discounted

     13,343,110         13,746,125   
  

 

 

    

 

 

 

Banking account

     13,192,538         13,573,206   

Trust account

     150,571         172,918   
  

 

 

    

 

 

 

Investment securities

     71,040,936         68,648,663   
  

 

 

    

 

 

 

 

Note: The table shown above includes master trust assets under the service-shared co-trusteeship between MUTB and The Master Trust Bank of Japan, Ltd.

 

41