Mitsubishi Tokyo Financial Group Inc
Consolidated Summary Report
for the Fiscal Year Ended March 31, 2003
Date: September 19, 2003
Company name (code number): Mitsubishi Tokyo Financial Group, Inc. (8306)
(URL http://www.mtfg.co.jp)
Stock exchange listings: Tokyo, Osaka, New York, London
Headquarters: Tokyo
Representative: Shigemitsu Miki, President & CEO
For inquiry: Katsuhiko Ishizuka, Chief Manager - Financial Policy Division
(Phone) +81-3-3240-8211
Consolidated financial data for the year ended March 31, 2003
(1) Operating results
(in millions of yen except per share data and
percentages)
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For the year ended March 31,
------------------------------------------------
2003 2002
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Total revenue 2,432,004 2,384,668
change from corresponding period of the previous year 2.0 % (23.9)%
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Income (loss) before income tax expense (benefit) 246,697 (324,233)
and cumulative effect of a change in accounting principle
change from corresponding period of the previous year - -
------------------------------------------------------------------------------------------------------------------------
Net income (loss) 203,288 (216,534)
change from corresponding period of the previous year - -
------------------------------------------------------------------------------------------------------------------------
Basic earnings (loss) per common share - net income (loss) 33,963.40 (39,733.32)
available to common shareholders (in yen)
------------------------------------------------------------------------------------------------------------------------
Diluted earnings (loss) per common share - net income (loss) 31,137.71 (39,733.32)
available to common shareholders (in yen)
------------------------------------------------------------------------------------------------------------------------
Net income (loss) as a percentage of shareholders' equity 8.9 % (8.9)%
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Income (loss) before income tax expense (benefit)
as a percentage of total assets 0.3 % (0.3)%
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Income (loss) before income tax expense (benefit)
as a percentage of total revenue 10.1 % (13.6)%
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Notes:
1. Equity in earnings (loss) of affiliates for the year ended:
March 31, million of yen
2003: (11,746)
March 31, million of yen
2002: (9,200)
2. Average number of shares outstanding for the year ended:
March 31, thousands of shares
2003:
(common
stock) 5,617
(preferred thousands of shares
stock-class
1) 81
(preferred thousands of shares
stock-class
2) 100
March 31, thousands of shares
2002:
(common
stock) 5,555
(preferred thousands of shares
stock-class
1) 81
(preferred thousands of shares
stock-class
2) 100
(2) Financial condition
(in millions of yen except per share data and percentages)
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As of March 31,
---------------------------------------
2003 2002
--------------------------------------------------------------------------------------------------------------------
Total assets 96,531,713 94,365,114
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Shareholders' equity 2,552,937 2,626,497
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Shareholders' equity as a percentage of total assets 2.6% 2.8%
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Shareholders' equity per common share (in yen) 338,538.88 391,595.90
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Note:
Number of shares outstanding as of:
March 31, 2003: thousands of shares
(common
stock) 6,229
(preferred stock- thousands of shares
class 1) 81
(preferred stock- thousands of shares
class 2) 100
March 31, 2002: thousands of shares
(common
stock) 5,573
(preferred stock- thousands of shares
class 1) 81
(preferred stock- thousands of shares
class 2) 100
(3) Cash flows
(in millions of
yen)
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For the year ended March 31,
---------------------------------------
2003 2002
--------------------------------------------------------------------------------------------------------------------
Net cash provided by (used in) operating activities 780,982 (922,743)
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Net cash used in investing activities (399,773) (546,888)
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Net cash provided by financing activities 2,124,608 1,508,172
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Cash and cash equivalents at end of year 4,288,581 1,832,399
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Formulas for computing ratios for the year ended March 31, 2003 are as follows.
Basic earnings (loss) per common share - net income (loss) available to common shareholders
Net income (loss ) - Total dividends for the year on preferred stock
-------------------------------------------------------------------------------------
Average number of common stock for the year *
Diluted earnings (loss) per common share - net income (loss) available to common shareholders
Net income (loss) - Total dividends for the year on preferred stock + Adjustments in net income assuming
dilution
----------------------------------------------------------------------------------------------------------
Average number of common stock for the year * + Number of dilutive potential common stock
Net income (loss) as a percentage of shareholders' equity
Net income (loss) - Total dividends for the year on preferred stock �?
100
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{ [Shareholders' equity at beginning of the year - Number of preferred stock at beginning of the year �?
Issue price]
+ [Shareholders' equity at year end - Number of preferred stock at year end �? Issue price] } / 2
Shareholders' equity per common share
Shareholders' equity at year end - Number of preferred stock at year end �? Issue
price
-------------------------------------------------------------------------------------
Number of common stock at year end *
* excluding treasury stock and parent's common stock owned by subsidiaries
------------------------------------------------------------------------------------------------------------------------
The foregoing forward-looking statements may be materially affected by regulatory developments or changes in
governmental policies, laws, regulations, voluntary code of practice and interpretations, including those
anticipated to be announced soon in Japan, changes in the level of Japanese stock prices, the occurrence of
material new corporate bankruptcies, further developments in the Japanese or world economic environment, and
other factors outside MTFG�Euro ?s control.
These forward-looking statements are not guaranties of future performance, and actual results may differ
materially. Please see our latest annual report for additional information regarding the risks in our
business.
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Mitsubishi Tokyo Financial Group, Inc. and Subsidiaries
Consolidated Balance Sheets
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As of March 31, Increase/(Decrease)
(in millions of yen) 2003 (A) 2002 (B) (A) - (B)
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Assets:
Cash and due from banks 4,288,581 1,832,399 2,456,182
Interest-earning deposits in other banks 4,009,986 4,332,180 (322,194)
Call loans and funds sold 595,567 1,626,760 (1,031,193)
Receivables under resale agreements 1,169,479 1,122,680 46,799
Receivables under securities borrowing transactions 1,848,124 1,953,242 (105,118)
Trading account assets 8,363,383 7,497,253 866,130
Investment securities:
Securities available for sale 24,364,066 23,282,816 1,081,250
Securities being held to maturity 191,132 272,163 (81,031)
Other investment securities 145,431 129,498 15,933
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Total investment securities 24,700,629 23,684,477 1,016,152
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Loans, net of unearned income and deferred loan fees 48,465,569 50,229,725 (1,764,156)
Allowance for credit losses (1,360,136) (1,735,180) 375,044
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Net loans 47,105,433 48,494,545 (1,389,112)
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Premises and equipment - net 643,794 681,366 (37,572)
Accrued interest 173,351 213,697 (40,346)
Customers' acceptance liability 28,261 37,608 (9,347)
Intangible assets 186,898 186,617 281
Goodwill 48,143 41,386 6,757
Deferred tax assets 1,640,046 1,120,831 519,215
Other assets 1,730,038 1,540,073 189,965
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Total 96,531,713 94,365,114 2,166,599
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Liabilities and Shareholders' Equity:
Deposits:
Domestic offices:
Non-interest-bearing 3,987,854 3,091,407 896,447
Interest-bearing 52,257,085 48,826,155 3,430,930
Overseas offices:
Non-interest-bearing 2,434,297 2,166,464 267,833
Interest-bearing 8,624,442 9,575,475 (951,033)
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Total deposits 67,303,678 63,659,501 3,644,177
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Debentures 636,060 2,269,122 (1,633,062)
Call money and funds purchased 2,689,892 2,542,489 147,403
Payables under repurchase agreements 4,424,035 3,786,560 637,475
Payables under securities lending transactions 2,205,943 2,913,983 (708,040)
Due to trust account 1,401,618 2,282,225 (880,607)
Other short-term borrowings 2,854,028 3,318,634 (464,606)
Trading account liabilities 3,603,153 2,495,768 1,107,385
Obligations to return securities received as collateral 950,138 315,538 634,600
Bank acceptances outstanding 28,261 37,608 (9,347)
Accrued interest 132,655 211,010 (78,355)
Long-term debt 5,159,132 5,183,841 (24,709)
Other liabilities 2,590,183 2,722,338 (132,155)
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Total liabilities 93,978,776 91,738,617 2,240,159
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Shareholders' equity:
Capital stock:
Preferred stock - class 1 122,100 122,100 -
Preferred stock - class 2 100,000 100,000 -
Common stock 984,708 873,156 111,552
Capital surplus 1,058,611 850,835 207,776
Retained earnings:
Appropriated for legal reserve 237,474 236,537 937
Unappropriated 168,036 11,593 156,443
Accumulated other changes in equity from nonowner sources,
net of taxes (114,790) 523,250 (638,040)
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Total 2,556,139 2,717,471 (161,332)
Less treasury stock - at cost 3,202 90,974 (87,772)
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Shareholders' equity - net 2,552,937 2,626,497 (73,560)
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Total 96,531,713 94,365,114 2,166,599
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Mitsubishi Tokyo Financial Group, Inc. and Subsidiaries
Consolidated Statements of Operations
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For the year ended March Increase/(Decrease)
31,
(in millions of yen) 2003 (A) 2002 (B) (A) - (B)
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Interest income:
Loans, including fees 1,047,420 1,276,821 (229,401)
Deposits in other banks 72,623 159,784 (87,161)
Investment securities:
Interest 344,422 336,278 8,144
Dividends 47,004 63,115 (16,111)
Trading account assets 12,045 15,144 (3,099)
Call loans and funds sold 7,320 19,318 (11,998)
Receivables under resale agreements and securities borrowing
transactions 54,524 146,501 (91,977)
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Total 1,585,358 2,016,961 (431,603)
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Interest expense:
Deposits 243,755 485,643 (241,888)
Debentures 8,508 20,491 (11,983)
Call money and funds purchased 12,708 17,853 (5,145)
Payables under repurchase agreements and securities lending
transactions 94,713 182,487 (87,774)
Due to trust account 8,673 16,683 (8,010)
Other short-term borrowings and trading account liabilities 31,320 46,567 (15,247)
Long-term debt 140,240 169,339 (29,099)
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Total 539,917 939,063 (399,146)
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Net interest income 1,045,441 1,077,898 (32,457)
Provision for credit losses 455,630 601,689 (146,059)
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Net interest income after provision for credit losses 589,811 476,209 113,602
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Non-interest income:
Fees and commissions 528,108 491,864 36,244
Foreign exchange gains (losses) - net 25,558 (333,034) 358,592
Trading account profits - net 266,816 138,460 128,356
Investment securities gains (losses) - net (21,293) 20,598 (41,891)
Other non-interest income 47,457 49,819 (2,362)
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Total 846,646 367,707 478,939
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Non-interest expense:
Salaries and employee benefits 499,470 456,568 42,902
Occupancy expenses - net 121,080 134,787 (13,707)
Losses on other real estate owned 305 6,233 (5,928)
Goodwill amortization - 7,862 (7,862)
Amortization of intangible assets 46,917 36,932 9,985
Insurance premiums, including deposit insurance 48,259 43,452 4,807
Communications 22,043 21,266 777
Other non-interest expenses 451,686 461,049 (9,363)
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Total 1,189,760 1,168,149 21,611
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Income (loss) before income tax expense (benefit)
and cumulative effect of a change in accounting principle 246,697 (324,233) 570,930
Income tax expense (benefit) 42,877 (101,832) 144,709
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Income (loss) before cumulative effect of a change in
accounting principle 203,820 (222,401) 426,221
Cumulative effect of a change in accounting principle, net of
tax (532) 5,867 (6,399)
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Net income (loss) 203,288 (216,534) 419,822
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Income available to preferred shareholders 12,504 4,168 8,336
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Net income (loss) available to common shareholders 190,784 (220,702) 411,486
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(in yen)
Amounts per share:
Basic earnings (loss) per common share - income (loss)
available to common 34,058.11 (40,789.57) 74,847.68
shareholders before cumulative effect of a change in accounting principle
Basic earnings (loss) per common share - net income (loss)
available to common 33,963.40 (39,733.32) 73,696.72
shareholders
Diluted earnings (loss) per common share - income (loss)
available to common 31,228.45 (40,789.57) 72,018.02
shareholders before cumulative effect of a change in accounting principle
Diluted earnings (loss) per common share - net income (loss)
available to common 31,137.71 (39,733.32) 70,871.03
shareholders
Mitsubishi Tokyo Financial Group, Inc. and Subsidiaries
Nonaccrual and restructured loans,
and accruing loans contractually past due 90 days or more (unaudited)
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As of March 31, Increase/(Decrease)
2003 2003 (A) 2002 (B) (A) - (B)
(in million of yen) (New (Old (Old classification)
classification) classification)
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Nonaccrual loans:
Domestic:
Manufacturing 111,107 112,152 142,572 (30,420)
Construction 149,918 149,918 213,491 (63,573)
Real estate 266,408 266,408 841,414 (575,006)
Services 87,492 85,602 214,877 (129,275)
Wholesale and retail 224,468 238,986 251,061 (12,075)
Banks and other financial institutions 17,794 17,794 58,568 (40,774)
Communication and information services 14,081 - - -
Other industries 53,922 54,330 39,687 14,643
Consumer 150,989 150,989 166,333 (15,344)
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Total domestic 1,076,179 1,076,179 1,928,003 (851,824)
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Foreign:
Governments and official institutions 1,747 1,747 3,341 (1,594)
Banks and other financial institutions 8,387 8,387 9,119 (732)
Commercial and industrial 271,090 271,090 226,054 45,036
Other 56,156 56,156 7,059 49,097
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Total foreign 337,380 337,380 245,573 91,807
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Total 1,413,559 1,413,559 2,173,576 (760,017)
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Restructured loans:
Domestic 1,212,832 1,212,832 1,859,176 (646,344)
Foreign 106,236 106,236 109,190 (2,954)
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Total 1,319,068 1,319,068 1,968,366 (649,298)
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Accruing loans contractually past due
90 days or more:
Domestic 17,533 17,533 20,276 (2,743)
Foreign 2,866 2,866 2,764 102
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Total 20,399 20,399 23,040 (2,641)
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Total 2,753,026 2,753,026 4,164,982 (1,411,956)
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Note : During the fiscal year ended March 31,2003, the Bank of Japan changed the industry segment loan classification
defined for regulatory reporting purposes. For the purpose of comparison, the information as of March 31, 2003
includes both loans outstanding by type of industry based on the prior years' industry segment classification
and the new industry segment classification.
