FINANCIAL SERVICES

Foreign Banks in Japan Survey 2014

© 2014 KPMG AZSA LLC, a limited liability audit corporation incorporated under the Japanese Certified Public Accountants Law and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative (“KPMG International”), a Swiss entity. All rights reserved.

About KPMG KPMG Global Financial Services KPMG Global Financial Services provides professional services to clients who can benefit from the collective knowledge and capabilities of our 155 member firms across the globe. KPMG Global Financial Services has more than 36,500 partners and professionals across our global network, providing audit, tax and advisory services to the retail banking, corporate and investment banking, investment management and insurance sectors. Financial Services in Japan KPMG in Japan with over 1,100 audit, tax and advisory professionals servicing the financial services industry has a long history of assisting both Japanese and foreign financial institutions to achieve their business objectives, in the Japanese market and beyond. KPMG in Japan leverages the scope and strength of KPMG Global Financial Services practice, offering professional services to a number of major organizations in the financial services industry in areas such as capital and liquidity management, risk management, transaction and post-acquisition assistance, as well as dealing with the changing regulatory landscape across multiple time zones and several languages. We believe our commitment to the industry and our passion in serving our clients to the very best of our ability differentiates us. We would welcome the opportunity to discuss how KPMG can service you to achieve your business objectives. Should you require further information about our Financial Services practice, please contact your primary service professional at KPMG or Mr. Hiroyuki Takanami, Head of KPMG Financial Services Japan, at: KPMG AZSA LLC Financial Services OTEMACHI FINANCIAL CITY South Tower 1-9-7, Otemachi, Chiyoda-ku, Tokyo 100-8172 Japan

Tel: (81 3) 3548-5101 Fax: (81 3) 3548-5109 [email protected] http://www.kpmg.com/Jp/fsj-en

© 2014 KPMG a limited liability corporation incorporated the Japanese Certified Accountants Lawaand a member firm the KPMG network of independent member © 2014 KPMG AZSAAZSA LLC, LLC, a limited liability auditaudit corporation incorporated underunder the Japanese Certified PublicPublic Accountants Law and member firm of theofKPMG network of independent member firmsfirms affiliated KPMG International Cooperative (“KPMG International”), a Swiss All rights reserved. affiliated with with KPMG International Cooperative (“KPMG International”), a Swiss entity.entity. All rights reserved.

Contents About KPMG Foreign Banks: About this Survey

3

Items of Note

3

Summary of Financial Highlights

5

Financial Highlights by Bank

6

Ranking by Total Assets

16

Ranking by Ordinary Earnings (Loss)

17

Ranking by Expense/Income Ratio

18

KPMG Japan – Our Services

19

© 2014 KPMG AZSA LLC, a limited liability audit corporation incorporated under the Japanese Certified Public Accountants Law and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative (“KPMG International”), a Swiss entity. All rights reserved.

Foreign Banks About this Survey

KPMG is delighted to release our annual survey of the published financial statements of foreign banks operating in Japan. The financial information included in this survey represents the English translation of the condensed balance sheets of fifty-seven foreign banks registered in Japan and their related condensed statements of income as of and for the year ended March 31, 2014. Among the fifty-seven foreign banks, Citibank Japan Ltd. and Shinhan Bank Japan are incorporated locally, while the remaining foreign banks operate as branches in Japan. The condensed financial statements are prepared and published in accordance with the Banking Law of Japan requirements. Similar to previous surveys, all financial information is extracted principally from publicly available information, specifically The Nikkan Kogyo Shimbun, Fuji Sankei Business i. and the respective banks’ webpage, with the exception of certain information voluntarily provided by banking survey participants. We wish to thank the survey participants for their valuable contribution. Please note there may be revisions to the published financial information subsequent to March 31, 2014.

Items of Note

Changes in foreign banks during the year For the year ended March 31, 2014, the changes in foreign banks operating in Japan are as follows: New ■ Agricultural Bank of China Limited Agricultural Bank of China Limited obtained a banking license in April 2013. Its financial information represents the 12-month period from April 1, 2013 to March 31, 2014. Closure ■ THE BANK OF NOVA SCOTIA ■ Lloyds TSB Bank plc

Other Foreign banks are required to provide information about nonperforming loans in the notes to their financial statements. Certain banks did not present this information, indicating that there were no non-performing loans to be reported. For comparison purposes, the non-performing loans’ section is blank for those banks that did not present such information. The accounting standards for financial instruments require that all available-for-sale securities to be valued at fair value with the change in fair value reflected as a separate component of equity, “unrealized gains (losses) on available-for-sale securities,” net of tax. This item is blank for those banks that did not present “unrealized gains (losses) on available-for-sale securities” on their balance sheets.

■ Rabobank Nederland Change of name ■ CTBC Bank Co. Ltd. (Formerly Chinatrust Commercial Bank)

The banks are listed in alphabetical order and include rankings by total assets, by ordinary earnings (loss), and by expense/income ratio. In accordance with the Banking Law of Japan, the foreign banks’ financial statements are presented in millions of yen. This survey is part of a comprehensive series of publications issued globally by KPMG’s Financial Services practice.

3

Foreign Banks in Japan Survey 2014

© 2014 KPMG AZSA LLC, a limited liability audit corporation incorporated under the Japanese Certified Public Accountants Law and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative (“KPMG International”), a Swiss entity. All rights reserved.

Page

Bank

Page

Bank



6

AGRICULTURAL BANK OF CHINA



11

ING Bank N.V.



6

Australia and New Zealand Banking Group Limited



11

Intesa Sanpaolo S.p.A.



6

Banco Bilbao Vizcaya Argentaria, S.A.



11

Itaú Unibanco S.A.



6

BANCO DO BRASIL S.A.



11

JPMorgan Chase Bank, N.A



7

BANGKOK BANK PUBLIC COMPANY LIMITED



11

KB Kookmin Bank



7

Bank of America, N.A.



11

Korea Development Bank, The



7

BANK OF CHINA



11

Korea Exchange Bank



7

BANK OF COMMUNICATIONS

12

Mega International Commercial Bank Co., Ltd.



7

BANK OF INDIA

12

Metropolitan Bank and Trust Company



7

BANK OF NEW YORK MELLON, THE

12

National Australia Bank Limited



7

BANK OF TAIWAN

12

National Bank of Pakistan



7

BARCLAYS BANK PLC

13

Oversea-Chinese Banking Corp Ltd.

8

BNP PARIBAS

13

PHILIPPINE NATIONAL BANK

8

CHANG HWA COMMERCIAL BANK, LTD.

13

Portigon AG

8

China Construction Bank

13

PT. Bank Negara Indonesia (Persero) Tbk

8

Citibank Japan Ltd.

13

ROYAL BANK OF CANADA



9

COMMERZBANK AG

13

Royal Bank of Scotland, plc, The



9

Commonwealth Bank of Australia

13

Shinhan Bank Japan



9

Crédit Agricole Corporate and Investment Bank

13

Société Générale



9

CREDIT SUISSE AG

14

Standard Chartered Bank



9

CTBC BANK

14

State Bank of India



9

DBS BANK LTD.

14

State Street Bank and Trust Company



9

DEPFA BANK plc

14

UBS AG



9

Deutsche Bank AG

15

UniCredit Bank AG

10

FIRST COMMERCIAL BANK

15

UNION DE BANQUES ARABES ET FRANCAISES

10

Hana Bank

15

UNITED OVERSEAS BANK LTD.

10

Hongkong and Shanghai Banking Corporation Limited, The

15

Wells Fargo Bank, National Association

10

INDUSTRIAL AND COMMERCIAL BANK OF CHINA 15



Industrial Bank of Korea

11

4

WOORI BANK

Foreign Banks in Japan Survey 2014

© 2014 KPMG AZSA LLC, a limited liability audit corporation incorporated under the Japanese Certified Public Accountants Law and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative (“KPMG International”), a Swiss entity. All rights reserved.

Summary of Financial Highlights Total of the fifty-seven banks as of 3/31/14

Financial statements

Average as of 3/31/14

(millions of yen)

Total of the fifty-nine banks as of 3/31/13

Average as of 3/31/13

Balance Sheet Assets

Cash on hand and due from banks Call loans Securities purchased under agreements to resell Cash collateral paid for security borrowing Monetary claims purchased Trading account securities Specific transaction accounts assets Money in trusts Securities Loans and discounts Foreign exchange accounts Sundry accounts Property, plant and equipment Intangible assets Prepaid pension expense Deferred tax assets Customers’ liability under guarantees and acceptances Reserve for loan losses Allowance for losses on investment Head office and branches interoffice receivables Total assets

13,524,168 2,966,849 886,088 2,630,618 208,394 1,713,759 1,218 3,451,602 6,105,528 1,162,447 2,076,423 33,362 9,165 786 42,497 1,307,503 (63,701) 8,497,881 44,554,783

237,266 52,050 15,545 46,151 3,656 30,066 21 60,554 107,115 20,394 36,428 585 161 14 746 22,939 (1,118) 149,086 781,663

8,414,191 1,979,011 688,838 3,746,432 89,305 1,900 1,760,718 1,115 3,795,291 5,015,699 1,116,433 2,665,924 34,967 10,121 34,649 1,093,485 (61,152) (7,926) 6,937,959 37,317,154

142,613 33,543 11,675 63,499 1,514 32 29,843 19 64,327 85,012 18,923 45,185 593 172 587 18,534 (1,036) (134) 117,593 632,494

Deposits Negotiable certificates of deposit sold Call money Securities sold under agreements to repurchase Cash collateral received for security lending Commercial paper Specific transaction accounts liabilities Borrowed money Foreign exchange accounts Sundry accounts Bonus allowance Retirement benefit obligation Deferred tax liabilities Bank’s liability under guarantees and acceptances Head office and branches interoffice payables Sub-total

12,450,974 689,535 2,349,413 6,957 69,222 512,981 1,191,522 2,092,213 891,618 2,483,200 4,980 11,854 1,516 1,307,503 20,076,563 44,140,204

218,438 12,097 41,218 122 1,214 9,000 20,904 36,705 15,642 43,565 87 208 27 22,939 352,220 774,390

11,075,852 575,630 1,893,421 247,372 259,822 1,295,679 1,927,413 403,084 3,430,422 5,150 14,559 823 1,093,485 14,681,549 36,904,422

187,726 9,756 32,092 4,193 4,404 21,961 32,668 6,832 58,143 87 247 14 18,534 248,840 625,499

Capital stock Capital surplus/ reserve Legal earned reserve and Retained earnings (deficit) Unrealized gains (losses) on available-for-sale securities Deferred hedge gains (losses) Total liabilities and Net assets

138,100 136,100 138,047 8,001 (5,706) 44,554,783

69,050* 68,050* 2,422 140 (100) 781,663

138,100 136,100 131,143 13,743 (6,393) 37,317,154

69,050* 68,050* 2,223 233 (108) 632,494

Ordinary income: Income on operated funds Including: [Interest on loans] [Interest and dividends on securities] Commission income Specific transaction accounts income Other operating income Other ordinary income Total ordinary income

265,303 [106,862] [16,052] 89,592 9,437 87,578 8,409 460,389

4,654 [1,875] [282] 1,572 166 1,536 148 8,077

253,667 [99,827] [21,447] 70,901 34,643 92,186 10,005 461,474

4,299 [1,692] [364] 1,202 587 1,562 170 7,822

Ordinary expenses: Funding cost Including: [Interest on deposits] Commission expenses Specific transaction accounts losses Other operating expenses General and administrative expenses Other ordinary expenses Total ordinary expenses Ordinary earnings (loss)

143,807 [48,599] 28,828 8,777 25,732 176,215 16,744 400,189 60,184

2,523 [853] 506 154 451 3,091 294 7,021 1,056

144,496 [44,464] 22,951 9,822 39,705 176,541 23,100 416,701 44,764

2,449 [754] 389 166 673 2,992 392 7,063 759

Extraordinary profits Extraordinary losses Earnings (loss) before income taxes

1,015 2,369 58,827

18 42 1,032

6,730 18,014 33,478

114 305 567

Income taxes-current Income taxes-deferred Net earnings (loss)

28,676 (4,866) 34,991

22,491 (3,994) 14,976

381 (68) 254

Liabilities and Net assets

Income statement

503 (85) 614

Note (*) : Average of two banks - Citibank Japan Ltd. and Shinhan Bank Japan.

5

Foreign Banks in Japan Survey 2014

© 2014 KPMG AZSA LLC, a limited liability audit corporation incorporated under the Japanese Certified Public Accountants Law and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative (“KPMG International”), a Swiss entity. All rights reserved.

Financial Highlights by Bank AGRICULTURAL BANK OF CHINA

Financial statements

(millions of yen)

Australia and New Zealand Banking Group Limited

Banco Bilbao Vizcaya Argentaria, S.A.

BANGKOK BANK PUBLIC COMPANY LIMITED

BANCO DO BRASIL S.A.

Bank of America, N.A.

BANK OF CHINA

BANK OF COMMUNICATIONS

BANK OF INDIA

BANK OF NEW YORK MELLON, THE

BANK OF TAIWAN

BARCLAYS BANK PLC

Balance Sheet Assets

Cash on hand and due from banks Call loans Securities purchased under agreements to resell Cash collateral paid for security borrowing Monetary claims purchased Specific transaction accounts assets Money in trusts Securities Loans and discounts Foreign exchange accounts Sundry accounts Property, plant and equipment Intangible assets Prepaid pension expense Deferred tax assets Customers' liability under guarantees and acceptances Reserve for loan losses Head office and branches interoffice receivables Total assets

614 4,678 1,431 5,754 176 0 (3) 284,452 297,105

652,619 16,580 157 122,738 6,932 32,393 86 15 576 30,461 (369) 742,256 1,604,450

1,207 6,182 56,394 34 231 18 13,678 445 78,192

33,085 1,999 208,768 14,749 4,112 329 9 249 599 (254) 88,216 351,866

16,703 280 100 34,103 52 318 3,368 628 (2,130) 1,674 55,099

161,508 6,999 120,178 2,982 47,076 67 641 303 5,287 19,057 364,102

68,231 26,290 5,618 731,136 18,047 19,047 16,207 2 2,145 18,594 (5,037) 501,225 1,401,504

12,594 9,306 144,940 41,514 1,303 487 1 64 23,476 (94) 268,724 502,318

18,241 2,439 157,696 3,641 887 25 136 1,420 19,099 (3,864) 32,609 232,331

243,905 154,432 8,359 822 317 851 501 411 6,953 (60) 313 416,807

5,164 14,879 31,957 29,664 187 730 5 0 0 (451) 1,000 83,138

645,157 16,000 317,007 188,383 80,482 536,722 782 104,580 591 (80) 239,053 2,128,680

Deposits Negotiable certificates of deposit sold Call money Securities sold under agreements to repurchase Cash collateral received for security lending Commercial paper Specific transaction accounts liabilities Borrowed money Foreign exchange accounts Sundry accounts Bonus allowance Retirement benefit obligation Deferred tax liabilities Bank's liability under guarantees and acceptances Head office and branches interoffice payables Sub-total

2,000 19,001 3,086 264,965 1,939 28 5,649 296,670

926,078 4,688 0 27,283 212 37 30,461 609,292 1,598,054

402 551 4 70 100 13,678 62,354 77,161

101,119 230,070 3,992 2,573 79 328 0 599 5,988 344,751

19,093 12,100 24 385 20 110 628 26,391 58,754

159,722 4,343 47,356 9 435 5,287 145,924 363,079

219,909 139,948 142,737 15,661 658,679 40,695 16,721 623 146 18,594 135,811 1,389,523

76,636 5,000 198,564 4,642 74 1,813 28 39 23,476 187,365 497,641

128,564 6,000 146 2,295 11 283 55 19,099 66,655 223,112

166,646 37,862 740 26 318 6,953 203,287 415,834

4,643 44,715 1,068 18 123 0 33,808 84,377

53,702 37,025 188,383 40,000 148,728 99 894 1,655,296 2,124,130

Capital stock Capital surplus/ reserve Legal earned reserve Retained earnings (deficit) Unrealized gains (losses) on available-for-sale securities Deferred hedge gains (losses) Total liabilities and Net assets

40 394 297,105

1,825 4,569 1,604,450

164 685 181 78,192

1,284 5,831 0 351,866

703 (4,359) 55,099

1,458 (434) 364,102

2,000 10,044 (63) 1,401,504

540 4,131 7 (1) 502,318

1,404 7,724 90 232,331

718 254 416,807

600 (2,062) 222 83,138

2,000 2,376 52 120 2,128,680

Ordinary income: Income on operated funds Including: [Interest on loans] [Interest and dividends on securities] Commission income Specific transaction accounts income Other operating income Other ordinary income Total ordinary income

3,872 [20] [-] 3 2,153 6,028

8,457 [2,323] [5] 1,165 5,720 74 15,417

1,291 [1,154] [129] 120 3 448 1,864

7,130 [4,569] [0] 708 1,094 52 8,986

1,148 [1,113] [4] 179 142 298 1,770

2,115 [1,772] [-] 2,064 4 2,642 6,826

29,129 [9,732] [165] 2,396 205 23 31,753

8,002 [2,393] [101] 594 11 637 9,246

4,556 [3,672] [83] 185 837 5,580

1,225 [192] [-] 196 1,614 3,037

2,154 [704] [1,282] 21 749 141 3,066

6,066 [1,106] [480] 8,371 2,344 14,926 0 31,709

Ordinary expenses: Funding cost Including: [Interest on deposits] Commission expenses Specific transaction accounts losses Other operating expenses General and administrative expenses Other ordinary expenses Total ordinary expenses Ordinary earnings (loss)

1,698 [5] 22 2,831 687 3 5,243 785

7,940 [6,600] 43 9 3,619 11,612 3,804

885 [3] 134 295 1,315 549

4,235 [1,089] 296 2,950 164 7,648 1,338

550 [54] 9 792 1,352 417

406 [77] 751 2 4,659 5,819 1,007

12,788 [798] 119 5,493 2,712 368 21,481 10,272

3,410 [330] 23 591 869 461 5,356 3,889

2,289 [1,079] 18 44 620 996 3,968 1,611

388 [125] 19 2,414 2,822 214

1,038 [1] 6 735 227 2,007 1,058

15,330 [42] 10,457 65 4,847 52 30,753 956

Extraordinary profits Extraordinary losses Earnings (loss) before income taxes

785

3,804

549

108 1,230

417

1,007

77 10,195

0 3,889

1,611

20 10 224

1,058

956

Income taxes-current Income taxes-deferred Net earnings (loss)

351 434

1,476 16 2,311

7 541

10 407

148 (212) 1,071

4,279 61 5,854

1,599 220 2,068

961 (408) 1,058

32 105 86

19 1,039

913 (60) 103

-

194 88 282

3,214 3,214

183 4,723 314 5,221

-

225 604 829

250 250

-

424 18 5,344 5,788

Liabilities and Net assets

Income statement

Information on non-performing loans: Bankrupt loans Non-accrual loans Past due loans (3 months or more) Restructured loans Total non-performing loans

6

Foreign Banks in Japan Survey 2014

© 2014 KPMG AZSA LLC, a limited liability audit corporation incorporated under the Japanese Certified Public Accountants Law and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative (“KPMG International”), a Swiss entity. All rights reserved.

589 (63) 703 -

7

Foreign Banks in Japan Survey 2014

© 2014 KPMG AZSA LLC, a limited liability audit corporation incorporated under the Japanese Certified Public Accountants Law and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative (“KPMG International”), a Swiss entity. All rights reserved.

-

(millions of yen) Financial statements

CHANG HWA COMMERCIAL BANK, LTD.

BNP PARIBAS

China Construction Bank

Citibank Japan Ltd.

COMMERZBANK AG

Commonwealth Bank of Australia

Crédit Agricole Corporate and Investment Bank

CREDIT SUISSE AG

CTBC BANK

DBS BANK LTD.

Deutsche Bank AG

DEPFA BANK plc

Balance Sheet Assets

Cash on hand and due from banks Call loans Securities purchased under agreements to resell Cash collateral paid for security borrowing Monetary claims purchased Specific transaction accounts assets Money in trusts Securities Loans and discounts Foreign exchange accounts Sundry accounts Property, plant and equipment Intangible assets Prepaid pension expense Deferred tax assets Customers' liability under guarantees and acceptances Reserve for loan losses Head office and branches interoffice receivables Total assets

1,832,645 600,000 140,574 320,171 330,334 1,409 321,182 233 160 1,311 277,642 (785) 334,668 4,159,548

1,825 25,120 333 60 34 1,157 (178) 3,507 31,861

26,186 7,740 465,464 109 21,096 166 2 154 440 (1,191) 150,719 670,891

1,841,877 240,203 731,656 4,281 181,452 785,273 356,243 111,584 155,896 2,463 2,074 398 1,835 100,630 (1,928) 4,513,946

2,031 20,358 195,654 4,285 31,552 41 148 129 10,478 87,920 352,600

251,444 17,314 103,782 55,393 22 2,743 72 50 (48) 2,937 433,712

2,492,819 18,571 354,439 150,180 1,061 318,510 307,600 37,445 39,602 218 2 5,908 264,525 (7,734) 1,119,757 5,102,909

182,747 705,554 178 100,996 90,055 228 2,642 23 3,158 62 102,219 1,187,867

1,605 500 63,868 772 75 51 70 103 1,017 (239) 67,826

1,512 2,633 91,988 568 191 8 18 378 (946) 2,027 98,377

6,995 4,430 176 1,020 18 4,618 17,261

414,860 114,000 204,016 307,079 184,814 235,908 140,062 125,361 125 2,584 78,156 (1,136) 651,103 2,456,936

Deposits Negotiable certificates of deposit sold Call money Securities sold under agreements to repurchase Cash collateral received for security lending Commercial paper Specific transaction accounts liabilities Borrowed money Foreign exchange accounts Sundry accounts Bonus allowance Retirement benefit obligation Deferred tax liabilities Bank's liability under guarantees and acceptances Head office and branches interoffice payables Sub-total

825,911 287,000 476,900 361,742 3,333 397,455 362 2,185 277,642 1,515,684 4,148,217

6,110 17,388 90 30 1,157 7,883 32,660

455,950 11,000 36,000 80,110 23,146 2 19,399 75 47 440 42,910 669,081

3,636,024 6,000 26,155 4 346,211 140,930 541 1,095 100,630 4,257,595

10,436 3,000 327 8,782 25 259 10,478 317,130 350,440

22,455 1,549 6,570 24,900 843 56 29 11 375,926 432,343

575,761 2,000 447,075 78,469 149,280 97,304 12 8,585 244 145 264,525 3,472,543 5,095,948

387,751 119,000 95 13,500 2,911 50 657,294 1,180,603

13,289 34,700 7,000 22 360 15 89 1,017 10,871 67,364

18 244 3 31 95,029 95,325

11,500 679 292 4,618 17,091

827,113 66,137 92,271 56,109 28,097 207,932 31 633 78,156 1,092,674 2,449,159

Capital stock Capital surplus/ reserve Legal earned reserve Retained earnings (deficit) Unrealized gains (losses) on available-for-sale securities Deferred hedge gains (losses) Total liabilities and Net assets

2,000 9,272 88 (28) 4,159,548

222 (1,021) 31,861

371 1,641 39 (242) 670,891

123,100 121,100 2,000 7,396 2,753 4,513,946

1,500 643 202 (186) 352,600

694 708 20 (55) 433,712

2,897 3,545 517 5,102,909

1,249 6,013 1 1,187,867

132 328 67,826

668 2,384 98,377

259 (674) 585 17,261

2,000 6,114 (962) 625 2,456,936

Ordinary income: Income on operated funds Including: [Interest on loans] [Interest and dividends on securities] Commission income Specific transaction accounts income Other operating income Other ordinary income Total ordinary income

16,147 [9,083] [756] 5,218 1,053 116 22,536

476 [465] [-] 34 2 168 681

9,862 [7,330] [175] 425 1,475 2 11,766

30,306 [4,391] [3,004] 21,522 15,267 1,208 68,305

3,813 [3,027] [215] 1,864 1,101 6,779

2,420 [1,131] [446] 207 143 18 2,789

9,641 [5,077] [624] 5,919 8 111 0 15,681

5,464 [1,312] [71] 124 680 0 6,269

1,231 [1,229] [-] 257 6 1,496

2,285 [2,059] [222] 16 6 2,307

244 [203] [-] 270 259 0 773

9,447 [5,546] [971] 10,748 828 8,399 6 29,430

Ordinary expenses: Funding cost Including: [Interest on deposits] Commission expenses Specific transaction accounts losses Other operating expenses General and administrative expenses Other ordinary expenses Total ordinary expenses Ordinary earnings (loss)

12,022 [4,467] 1,928 660 5,702 20,313 2,222

69 [8] 3 205 41 319 361

7,535 [4,863] 96 902 247 8,781 2,984

3,517 [3,495] 2,291 434 254 58,645 294 65,437 2,867

929 [33] 487 346 2,110 0 3,875 2,904

887 [81] 14 5 476 7 1,391 1,398

4,398 [1,225] 1,542 179 4,206 133 10,461 5,220

901 [283] 103 132 39 2,765 0 3,943 2,325

384 [29] 1 708 88 1,183 312

1,075 [0] 15 224 116 1,430 877

222 [-] 5 800 146 1,175 (401)

7,346 [1,578] 5,421 1,393 5,286 127 19,575 9,855

Extraordinary profits Extraordinary losses Earnings (loss) before income taxes

2,222

7 354

0 2,983

28 2,839

0 2,904

1,398

5 5,215

1 0 2,326

312

0 877

101 (300)

9,855

Income taxes-current Income taxes-deferred Net earnings (loss)

1,043 (251) 1,430

69 284

436 700 1,846

1,624 (124) 1,339

1,319 628 956

149 1,248

2,725 (534) 3,024

552 (63) 1,837

2 193 116

559 (378) 696

596 596

173 20 193

792 792

-

8 8

Liabilities and Net assets

Income statement

Information on non-performing loans: Bankrupt loans Non-accrual loans Past due loans (3 months or more) Restructured loans Total non-performing loans

8

Foreign Banks in Japan Survey 2014

© 2014 KPMG AZSA LLC, a limited liability audit corporation incorporated under the Japanese Certified Public Accountants Law and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative (“KPMG International”), a Swiss entity. All rights reserved.

1,264 1,181 36 2,482

10,796 10,796

-

9

145 145

-

1 (301) -

Foreign Banks in Japan Survey 2014

© 2014 KPMG AZSA LLC, a limited liability audit corporation incorporated under the Japanese Certified Public Accountants Law and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative (“KPMG International”), a Swiss entity. All rights reserved.

651 3,089 6,113 927 927

(millions of yen) FIRST COMMERCIAL BANK

Financial statements

Hongkong and Shanghai INDUSTRIAL AND Banking Corporation COMMERCIAL BANK Limited, The OF CHINA

Hana Bank

Industrial Bank of Korea

Intesa Sanpaolo S.p.A.

ING Bank N.V.

Itaú Unibanco S.A.

JPMorgan Chase Bank, N.A

KB Kookmin Bank

Korea Development Bank, The

Korea Exchange Bank

Balance Sheet Assets

Cash on hand and due from banks Call loans Securities purchased under agreements to resell Cash collateral paid for security borrowing Monetary claims purchased Specific transaction accounts assets Money in trusts Securities Loans and discounts Foreign exchange accounts Sundry accounts Property, plant and equipment Intangible assets Prepaid pension expense Deferred tax assets Customers' liability under guarantees and acceptances Reserve for loan losses Head office and branches interoffice receivables Total assets

3,307 30,996 734 63 27 1 357 82 (322) 841 36,090

546 19,109 22,422 359 40 3 976 (188) 20,782 64,051

477,996 374,884 89,476 145,007 51,344 5,664 3,812 52 3,885 84,092 (226) 200,607 1,436,598

21,177 11,520 119,516 118,033 2,851 183 7 941 45,452 (1,588) 387,983 706,081

3,186 28,559 23,671 147 55 118 487 (477) 13,867 69,617

306,982 6,178 16,769 15,499 143,660 73 2,429 131 178 171 24 (54) 41,261 533,307

4,319 34,962 80 294 5 6,133 (124) 10,068 55,739

2,282 1,263 227 0 13,533 17,307

140,973 484,000 1,182,118 17 369,997 88,412 24,622 3,401 778,744 137 30,902 (56) 216,400 3,319,672

1,698 61,193 282 649 221 13 1,313 (5,802) 7,357 66,926

1,088 30,052 14,554 43,807 29,147 960 56 86 (384) 19,056 138,425

11,170 52,214 9,308 339 469 232 3,622 (1,520) 32,266 108,104

Deposits Negotiable certificates of deposit sold Call money Securities sold under agreements to repurchase Cash collateral received for security lending Commercial paper Specific transaction accounts liabilities Borrowed money Foreign exchange accounts Sundry accounts Bonus allowance Retirement benefit obligation Deferred tax liabilities Bank's liability under guarantees and acceptances Head office and branches interoffice payables Sub-total

4,049 29,900 4 34 13 82 4,318 38,403

5,016 21,525 6,000 5,900 208 12 976 23,297 62,936

473,496 299,210 35,500 6,173 16,847 229 84,092 522,282 1,437,833

341,998 63,452 128,751 3,085 59,349 1,050 6,050 74 102 45,452 47,569 696,937

46,214 1,000 6,543 557 9 487 13,681 68,494

18,379 27,720 61,977 56,801 3 1,081 3 192 24 359,535 525,720

1,995 39 243 10 121 6,133 41,750 50,294

11,240 300 4,000 79 220 1 63 3,845 19,751

255,565 62,324 368,161 50,131 991,457 684 488 550 30,902 1,559,235 3,319,502

33,119 16,087 561 36 16,332 66,137

3,246 14,110 5,000 14,981 84,398 777 13,573 136,087

51,921 9,500 15,748 1,172 572 218 3,622 23,364 106,122

Capital stock Capital surplus/ reserve Legal earned reserve Retained earnings (deficit) Unrealized gains (losses) on available-for-sale securities Deferred hedge gains (losses) Total liabilities and Net assets

330 (2,643) 36,090

1,164 7,969 9 706,081

1,000 122 69,617

1,770 5,816 533,307

2,736 2,708 55,739

19 (2,463)

64,051

2,000 (3,263) 27 1,436,598

17,307

5,955 (6,779) 994 3,319,672

857 (68) 66,926

1,315 825 197 138,425

2,011 (29) 108,104

629 [612] [-] 66 11 348 1,056

751 [302] [-] 165 13 929

4,678 [2,688] [672] 5,350 1,438 31 257 11,757

12,964 [2,483] [457] 1,575 0 14,540

1,905 [1,023] [-] 277 62 62 2,308

4,355 [2,500] [40] 697 21 165 5,239

757 [715] [-] 65 109 931

299 [-] [-] 244 124 668

3,342 [284] [1,169] 2,917 13,516 1,050 20,826

2,539 [2,504] [-] 245 25 214 3,025

2,225 [1,312] [347] 128 2,713 95 5,163

1,675 [1,011] [-] 388 228 598 2,890

Ordinary expenses: Funding cost Including: [Interest on deposits] Commission expenses Specific transaction accounts losses Other operating expenses General and administrative expenses Other ordinary expenses Total ordinary expenses Ordinary earnings (loss)

100 [2] 3 184 85 373 682

316 [136] 8 276 17 619 310

1,668 [176] 1,074 1 528 9,704 2 12,981 (1,223)

7,383 [5,607] 50 1,011 1,193 80 9,720 4,820

532 [297] 10 244 172 961 1,346

2,566 [112] 122 6 1,277 3,973 1,266

410 [0] 37 284 733 198

174 [165] 100 699 973 (305)

1,716 [201] 1,203 5,716 7,537 12,583 132 28,889 (8,063)

875 [452] 97 463 8,705 10,141 (7,116)

1,134 [128] 15 2,613 422 119 4,305 857

761 [439] 61 1,006 83 1,912 978

Extraordinary profits Extraordinary losses Earnings (loss) before income taxes

682

0 310

135 246 (1,334)

4,820

12 9 1,350

2 1,263

2 0 201

4 377 (679)

(8,063)

0 0 (7,116)

64 152 769

15 8 985

Income taxes-current Income taxes-deferred Net earnings (loss)

28 (83) 737

126 184

563 786

373 159 730

122 78

0 (679)

4 1,918 (9,986)

16 (1,286) (5,846)

7 762

79 905

Information on non-performing loans: Bankrupt loans Non-accrual loans Past due loans (3 months or more) Restructured loans Total non-performing loans

157* 12 177 347

98 98

172 168 7,667 8,007

-

-

-

730 1,193 0 5,179 7,102

Liabilities and Net assets

1,127 (12)

Income statement

Ordinary income: Income on operated funds Including: [Interest on loans] [Interest and dividends on securities] Commission income Specific transaction accounts income Other operating income Other ordinary income Total ordinary income

(92) (1,242) 277 277

1,874 (89) 3,035 -

249 4,892 5,141

Note (*) The amount disclosed by the bank primarily consists of "De facto Bankrupt Loans".

10

Foreign Banks in Japan Survey 2014

© 2014 KPMG AZSA LLC, a limited liability audit corporation incorporated under the Japanese Certified Public Accountants Law and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative (“KPMG International”), a Swiss entity. All rights reserved.

11

Foreign Banks in Japan Survey 2014

© 2014 KPMG AZSA LLC, a limited liability audit corporation incorporated under the Japanese Certified Public Accountants Law and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative (“KPMG International”), a Swiss entity. All rights reserved.

(millions of yen) Mega International Commercial Bank Co., Ltd.

Financial statements

Metropolitan Bank and National Australia Bank Trust Company Limited

National Bank of Pakistan

Oversea-Chinese Banking Corp Ltd.

PHILIPPINE NATIONAL BANK

PT. Bank Negara ROYAL BANK OF Indonesia (Persero) CANADA Tbk

Portigon AG

Royal Bank of Shinhan Bank Japan Société Générale Scotland, plc, The

Balance Sheet Assets

Cash on hand and due from banks Call loans Securities purchased under agreements to resell Cash collateral paid for security borrowing Monetary claims purchased Specific transaction accounts assets Money in trusts Securities Loans and discounts Foreign exchange accounts Sundry accounts Property, plant and equipment Intangible assets Prepaid pension expense Deferred tax assets Customers' liability under guarantees and acceptances Reserve for loan losses Head office and branches interoffice receivables Total assets

8,310 2,005 93,415 1,488 131 1 335 414 (549) 16,597 122,147

1,112 601 299 7 65 87 55 113 (2) 14 2,354

73,152 24,851 5,826 5,900 178 1,372 5,272 (444) 495,639 611,748

13,555 634 1,046 4,089 81 4 56 66 251 (39) 30,263 50,006

2,156 17,999 22,764 22 62 18 42 1,650 (680) 1,204 45,239

1,719 291 5 46 19 1 22 723 (10) 8 2,824

11,487 21,765 49,883 8 4,070 185 54,163 141,565

8,776 7,015 11,689 22 358 132 21 351 (101) 11,279 39,542

83,890 532,070 5 5 530 72 0 342 616,919

233,845 2,180 30,039 60,988 2,209 41,930 135,134 145,209 1,181 234 21,833 (1,268) 1,098,965 1,772,483

201,148 2,308 28,582 210,450 86,653 6,309 797 374 69 3,975 (3,244) 537,425

1,061,654 675,000 168,576 40,206 1,362 9,157 14 8 24 4,063 (351) 351,553 2,311,270

Deposits Negotiable certificates of deposit sold Call money Securities sold under agreements to repurchase Cash collateral received for security lending Commercial paper Specific transaction accounts liabilities Borrowed money Foreign exchange accounts Sundry accounts Bonus allowance Retirement benefit obligation Deferred tax liabilities Bank's liability under guarantees and acceptances Head office and branches interoffice payables Sub-total

22,951 1,000 21,493 1,129 28 172 414 73,567 120,754

26 90 119 113 573 923

486,191 7,595 196 212 5,272 110,442 609,910

44,426 1,024 191 16 251 3,995 49,903

879 79 571 7 12 1,650 42,189 45,390

235 71 12 38 723 373 1,452

10,925 6 214 130,161 141,308

5,855 3,720 3,598 339 987 8 59 24,032 38,598

5,812 27,707 222 101 582,225 616,067

119,203 4,989 60,990 47,471 19,431 139,927 90 1,035 21,833 1,359,384 1,774,357

478,854 3,000 9,387 417 10,471 80 117 3,975 506,305

252,698 3,700 174,159 26,000 22,537 37,598 57 501 4,063 1,791,546 2,312,862

Capital stock Capital surplus/ reserve Legal earned reserve Retained earnings (deficit) Unrealized gains (losses) on available-for-sale securities Deferred hedge gains (losses) Total liabilities and Net assets

992 401 122,147

190 1,241 2,354

1,000 838 611,748

103 50,006

197 (348) 45,239

144 1,228 2,824

2,000 (66) 2,848 (4,526) 141,565

1,041 119 (216) 39,542

616 238 (4) 616,919

846 (843) (0) (1,877) 1,772,483

15,000 15,000 1,072 48 537,425

1,265 (3,763) 905 2,311,270

Ordinary income: Income on operated funds Including: [Interest on loans] [Interest and dividends on securities] Commission income Specific transaction accounts income Other operating income Other ordinary income Total ordinary income

2,537 [2,444] [6] 139 37 59 2,772

10 [8] [-] 617 432 0 1,060

8,996 [885] [-] 292 198 9,488

565 [47] [-] 218 52 835

747 [383] [323] 23 75 185 1,031

14 [14] [-] 394 412 820

1,565 [1,055] [296] 196 13 1,775

889 [359] [267] 155 139 83 1,266

1,777 [0] [315] 4 969 2,750

10,458 [1,087] [504] 3,603 33 384 14,480

9,486 [4,564] [505] 878 276 387 11,028

3,674 [712] [712] 888 47 4,610

Ordinary expenses: Funding cost Including: [Interest on deposits] Commission expenses Specific transaction accounts losses Other operating expenses General and administrative expenses Other ordinary expenses Total ordinary expenses Ordinary earnings (loss)

720 [33] 9 11 760 26 1,526 1,246

0 [0] 306 588 895 165

5,641 [5,184] 11 2,306 92 8,051 1,436

62 [7] (0) 311 373 462

258 [-] 1 0 419 139 820 211

0 [0] 684 3 687 133

1,404 [-] 579 11 893 1 2,890 (1,114)

488 [51] 12 0 633 0 1,133 133

1,616 [-] 12 784 2,412 338

8,640 [280] 80 21 341 7,071 184 16,338 (1,858)

4,015 [3,937] 151 4,675 20 8,862 2,166

2,048 [668] 184 241 1,598 21 4,094 516

Extraordinary profits Extraordinary losses Earnings (loss) before income taxes

0 1 1,245

0 165

53 0 1,489

462

39 171

5 138

89 122 (1,148)

133

338

399 798 (2,257)

143 2,022

516

656 (484)

1 (1,149)

88 6 39

55 282

3 (2,260)

997 (41) 1,066

42 473

-

-

Liabilities and Net assets

Income statement

Income taxes-current Income taxes-deferred Net earnings (loss)

481 0 764

71 (4) 98

1,089 (550) 950

161 301

Information on non-performing loans: Bankrupt loans Non-accrual loans Past due loans (3 months or more) Restructured loans Total non-performing loans

106 0 24 26 156

-

549 549

18 18

12

Foreign Banks in Japan Survey 2014

© 2014 KPMG AZSA LLC, a limited liability audit corporation incorporated under the Japanese Certified Public Accountants Law and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative (“KPMG International”), a Swiss entity. All rights reserved.

60 (1) 79 17 8 25

-

13

494 494

164 1,552 4,089 5,806

Foreign Banks in Japan Survey 2014

© 2014 KPMG AZSA LLC, a limited liability audit corporation incorporated under the Japanese Certified Public Accountants Law and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative (“KPMG International”), a Swiss entity. All rights reserved.

-

Standard Chartered Bank

Financial statements

State Bank of India

State Street Bank and Trust Company

(millions of yen)

UNION DE BANQUES UniCredit Bank AG ARABES ET FRANCAISES

UBS AG

UNITED OVERSEAS BANK LTD.

Wells Fargo Bank, National Association

WOORI BANK

Balance Sheet Assets

Cash on hand and due from banks Call loans Securities purchased under agreements to resell Cash collateral paid for security borrowing Monetary claims purchased Specific transaction accounts assets Money in trusts Securities Loans and discounts Foreign exchange accounts Sundry accounts Property, plant and equipment Intangible assets Prepaid pension expense Deferred tax assets Customers' liability under guarantees and acceptances Reserve for loan losses Head office and branches interoffice receivables Total assets

494,665 134 79,729 85,405 219,096 48,554 135 360 760 206,533 (416) 142,030 1,276,989

9,322 11,464 205,532 35,313 1,641 25 1 1,595 12,610 (3,443) 12,537 286,601

453,119 2 36,410 14 0 4 26 3,346 492,923

875,600 12,512 573,038 73,619 345,990 154,212 419 102,323 6,983 (3,782) 651,481 2,792,398

64,384 38,224 117 2,886 96 11 5,772 (11,742) 23,456 123,207

5,083 999 10,089 122 11 45 58 15,936 240 32,589

15,710 1,028 30,744 17,758 1,795 90 213 159 93 (61) 14 67,548

14,070 5,353 183 110 50 3,042 0 22,812

1,113 26,188 8,914 103 17 185 1,880 (301) 6,848 44,951

Deposits Negotiable certificates of deposit sold Call money Securities sold under agreements to repurchase Cash collateral received for security lending Commercial paper Specific transaction accounts liabilities Borrowed money Foreign exchange accounts Sundry accounts Bonus allowance Retirement benefit obligation Deferred tax liabilities Bank's liability under guarantees and acceptances Head office and branches interoffice payables Sub-total

479,335 110,000 166,297 387 171,445 49,893 31,637 43,209 160 176 206,533 15,589 1,274,666

28,945 30,100 83,773 217 2,545 11 120 12,610 126,965 285,290

0 6,000 35,840 451,896 493,737

623,151 85,000 6,977 101,395 10,064 102,170 453 304 1,863,271 2,792,790

4,479 2,988 24 107 107,505 115,104

805 2,203 223 138 15,936 12,720 32,029

3,051 16,000 18,000 7,000 2,332 262 84 77 19,392 66,200

13,227 187 129 3,042 6,094 22,681

28,508 11,500 399 245 117 1,880 99 42,750

Capital stock Capital surplus/ reserve Legal earned reserve Retained earnings (deficit) Unrealized gains (losses) on available-for-sale securities Deferred hedge gains (losses) Total liabilities and Net assets

1,567 559 316 (121) 1,276,989

1,032 554 (275) 286,601

352 (1,165) 492,923

2,855 (3,252) 5 2,792,398

1,054 7,048 123,207

425 134 32,589

482 864 67,548

23 107 22,812

2,000 200 44,951

Ordinary income: Income on operated funds Including: [Interest on loans] [Interest and dividends on securities] Commission income Specific transaction accounts income Other operating income Other ordinary income Total ordinary income

5,938 [1,856] [259] 2,645 1,944 1 10,530

6,163 [4,273] [605] 1,138 141 40 7,483

25 [-] [-] 347 294 667

6,483 [1,924] [271] 676 4,815 7,710 28 19,713

698 [630] [9] 54 5 22 780

202 [20] [1] 678 9 889

1,017 [452] [561] 1,129 13 2,161

95 [-] [-] 532 396 2 1,027

1,364 [1,112] [-] 263 46 123 1,798

Ordinary expenses: Funding cost Including: [Interest on deposits] Commission expenses Specific transaction accounts losses Other operating expenses General and administrative expenses Other ordinary expenses Total ordinary expenses Ordinary earnings (loss)

2,604 [1,813] 41 363 5,698 72 8,781 1,748

3,241 [631] 35 111 790 2,274 6,453 1,029

9 [-] 9 554 572 94

4,091 [1,772] 343 2,473 1 9,723 819 17,452 2,261

410 [1] 117 2 933 455 1,918 (1,138)

67 [0] 11 592 671 218

175 [2] 222 1 1,056 1,455 705

30 [-] 78 308 645 1,062 (34)

411 [239] 44 1 447 905 893

Extraordinary profits Extraordinary losses Earnings (loss) before income taxes

2 1,746

110 0 1,139

18 76

2,261

4 215 (1,348)

1 1 217

705

(34)

0 0 893

Income taxes-current Income taxes-deferred Net earnings (loss)

94 88 1,563

1,282 (758) 615

8 3 64

269 (6,986) 8,977

75 (52) (1,372)

79 0 137

357 347

4 (17) (21)

98 795

4,066 4,066

29,394 29,394

-

-

Liabilities and Net assets

Income statement

Information on non-performing loans: Bankrupt loans Non-accrual loans Past due loans (3 months or more) Restructured loans Total non-performing loans

56 56

14

94 3,117 2,001 5,213

Foreign Banks in Japan Survey 2014

© 2014 KPMG AZSA LLC, a limited liability audit corporation incorporated under the Japanese Certified Public Accountants Law and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative (“KPMG International”), a Swiss entity. All rights reserved.

32 32

15

Foreign Banks in Japan Survey 2014

© 2014 KPMG AZSA LLC, a limited liability audit corporation incorporated under the Japanese Certified Public Accountants Law and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative (“KPMG International”), a Swiss entity. All rights reserved.

Ranking by Total Assets Total assets Rank (millions of yen)

Total assets Rank (millions of yen)

Bank



1

5,102,909 Crédit Agricole Corporate and Investment Bank



2

4,513,946

Citibank Japan Ltd.



3

4,159,548

BNP PARIBAS



4

3,319,672

JPMorgan Chase Bank, N.A



5

2,792,398

UBS AG



6

2,456,936



7



Bank

30

232,331

BANK OF INDIA

31

141,565

Portigon AG

32

138,425

Korea Development Bank, The

33

123,207

UniCredit Bank AG

34

122,147 Mega International Commercial Bank Co., Ltd.

Deutsche Bank AG

35

108,104

2,311,270

Société Générale

36

98,377

DBS BANK LTD.

8

2,128,680

BARCLAYS BANK PLC

37

83,138

BANK OF TAIWAN

9

1,772,483

Royal Bank of Scotland, plc, The

38

78,192

Banco Bilbao Vizcaya Argentaria, S.A.

39

69,617

Industrial Bank of Korea

40

67,826

CTBC BANK

41

67,548

UNITED OVERSEAS BANK LTD.

42

66,926

KB Kookmin Bank

43

64,051

Hana Bank

44

55,739

Intesa Sanpaolo S.p.A.

45

55,099 BANGKOK BANK PUBLIC COMPANY LIMITED

46

50,006

National Bank of Pakistan

47

45,239

Oversea-Chinese Banking Corp Ltd.

48

44,951

WOORI BANK

49

39,542 PT. Bank Negara Indonesia (Persero) Tbk

50

36,090

51

32,589 UNION DE BANQUES ARABES ET FRANCAISES

52

31,861 CHANG HWA COMMERCIAL BANK, LTD.

10

1,604,450 Australia and New Zealand Banking Group Limited



1,436,598 Hongkong and Shanghai Banking Corporation Limited, The

11

12

1,401,504

BANK OF CHINA

13

1,276,989

Standard Chartered Bank

14

1,187,867

CREDIT SUISSE AG

15

706,081 INDUSTRIAL AND COMMERCIAL BANK OF CHINA

16

670,891

China Construction Bank

17

616,919

ROYAL BANK OF CANADA

18

611,748

National Australia Bank Limited

19

537,425

Shinhan Bank Japan

20

533,307

ING Bank N.V.

21

502,318

BANK OF COMMUNICATIONS

22

492,923 State Street Bank and Trust Company

23

433,712

24

416,807 BANK OF NEW YORK MELLON, THE 53

25

364,102

Bank of America, N.A.

26

352,600

COMMERZBANK AG

27

351,866

BANCO DO BRASIL S.A.

28

297,105

AGRICULTURAL BANK OF CHINA

29

286,601

State Bank of India

Commonwealth Bank of Australia

16

Korea Exchange Bank

FIRST COMMERCIAL BANK

22,812 Wells Fargo Bank, National Association

54

17,307

Itaú Unibanco S.A.

55

17,261

DEPFA BANK plc

56

2,824

57

2,354 Metropolitan Bank and Trust Company

PHILIPPINE NATIONAL BANK

Foreign Banks in Japan Survey 2014

© 2014 KPMG AZSA LLC, a limited liability audit corporation incorporated under the Japanese Certified Public Accountants Law and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative (“KPMG International”), a Swiss entity. All rights reserved.

Ranking by Ordinary Earnings (Loss) Ordinary

Rank Earnings (Loss)

Bank

(millions of yen)



1

10,272



2

9,855



Rank

Ordinary Earnings (Loss)

Bank

(millions of yen)

BANK OF CHINA

31

705

UNITED OVERSEAS BANK LTD.

Deutsche Bank AG

32

682

FIRST COMMERCIAL BANK

3

5,220 Crédit Agricole Corporate and Investment Bank

33

549

Banco Bilbao Vizcaya Argentaria, S.A.

34

516

Société Générale



4

4,820 INDUSTRIAL AND COMMERCIAL BANK OF CHINA

35

462

National Bank of Pakistan



5

3,889

36

417 BANGKOK BANK PUBLIC COMPANY LIMITED



6

3,804 Australia and New Zealand Banking Group Limited

37

361 CHANG HWA COMMERCIAL BANK, LTD.



7

2,984

China Construction Bank

38

338

ROYAL BANK OF CANADA



8

2,904

COMMERZBANK AG

39

312

CTBC BANK



9

2,867

Citibank Japan Ltd.

40

310

Hana Bank

10

2,325

CREDIT SUISSE AG

41



11

2,261

UBS AG

218 UNION DE BANQUES ARABES ET FRANCAISES

12

2,222

BNP PARIBAS

42

214

BANK OF NEW YORK MELLON, THE

13

2,166

Shinhan Bank Japan

43

211

Oversea-Chinese Banking Corp Ltd.

14

1,748

Standard Chartered Bank

44

198

Intesa Sanpaolo S.p.A.

15

1,611

BANK OF INDIA

45

16

1,436

National Australia Bank Limited

165 Metropolitan Bank and Trust Company

17

1,398

Commonwealth Bank of Australia

46

133

18

1,346

Industrial Bank of Korea

46

133 PT. Bank Negara Indonesia (Persero) Tbk

19

1,338

BANCO DO BRASIL S.A.

20

1,266

ING Bank N.V.

21

BANK OF COMMUNICATIONS

PHILIPPINE NATIONAL BANK

48

94 State Street Bank and Trust Company

1,246 Mega International Commercial Bank Co., Ltd.

49

(34) Wells Fargo Bank, National Association

22

1,058

BANK OF TAIWAN

50

(305)

Itaú Unibanco S.A.

23

1,029

State Bank of India

51

(401)

DEPFA BANK plc

24

1,007

Bank of America, N.A.

52

(1,114)

Portigon AG

25

978

Korea Exchange Bank

53

(1,138)

UniCredit Bank AG

26

956

BARCLAYS BANK PLC

54

27

893

WOORI BANK

(1,223) Hongkong and Shanghai Banking Corporation Limited, The

28

877

DBS BANK LTD.

55

(1,858)

Royal Bank of Scotland, plc, The

29

857

Korea Development Bank, The

56

(7,116)

KB Kookmin Bank

30

785

AGRICULTURAL BANK OF CHINA

57

(8,063)

JPMorgan Chase Bank, N.A

17

Foreign Banks in Japan Survey 2014

© 2014 KPMG AZSA LLC, a limited liability audit corporation incorporated under the Japanese Certified Public Accountants Law and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative (“KPMG International”), a Swiss entity. All rights reserved.

Ranking by Expense/Income Ratio Expense/ Rank Income Ratio

Expense/ Rank Income Ratio

Bank

Bank



1

35.32%

FIRST COMMERCIAL BANK

29

79.53%

Oversea-Chinese Banking Corp Ltd.



2

41.64%

Industrial Bank of Korea

30

80.36%

Shinhan Bank Japan



3

44.67%

National Bank of Pakistan

31

83.38%

Korea Development Bank, The



4

83.39%

Standard Chartered Bank

83.78%

PHILIPPINE NATIONAL BANK



5



6

46.84% CHANG HWA COMMERCIAL BANK, 32 LTD. 33 49.87% Commonwealth Bank of Australia 34 50.33% WOORI BANK



7

35

84.85%

National Australia Bank Limited

36

85.11%

BANCO DO BRASIL S.A.



8

37

85.25%

Bank of America, N.A.



9

38

10

55.05% Mega International Commercial Bank Co., Ltd. 57.16% COMMERZBANK AG 57.93% BANK OF COMMUNICATIONS 61.99% DBS BANK LTD.

85.76% State Street Bank and Trust Company



11

62.90%

CREDIT SUISSE AG

39

86.24%

State Bank of India

12

65.46%

BANK OF TAIWAN

40

86.98%

AGRICULTURAL BANK OF CHINA

13

66.16%

Korea Exchange Bank

41

87.71%

ROYAL BANK OF CANADA

14

66.51%

Deutsche Bank AG

42

88.53%

UBS AG

15

66.63%

Hana Bank

43

88.81%

Société Générale

16

66.71% Crédit Agricole Corporate and Investment Bank

44

89.49% PT. Bank Negara Indonesia (Persero) Tbk

17

66.85% INDUSTRIAL AND COMMERCIAL BANK OF CHINA

45

90.14%

BNP PARIBAS

46

92.92%

BANK OF NEW YORK MELLON, THE

18

67.33%

UNITED OVERSEAS BANK LTD.

47

95.80%

Citibank Japan Ltd.

19

67.65%

BANK OF CHINA

48

96.99%

BARCLAYS BANK PLC

20

70.55%

Banco Bilbao Vizcaya Argentaria, S.A.

21

71.11%

BANK OF INDIA

22

74.63%

23

84.43% Metropolitan Bank and Trust Company

49

103.41% Wells Fargo Bank, National Association

China Construction Bank

50

75.32% Australia and New Zealand Banking Group Limited

110.41% Hongkong and Shanghai Banking Corporation Limited, The

51

112.83%

Royal Bank of Scotland, plc, The

52

138.72%

JPMorgan Chase Bank, N.A

53

145.66%

Itaú Unibanco S.A.

54

152.01%

DEPFA BANK plc

55

162.82%

Portigon AG

56

245.90%

UniCredit Bank AG

57

335.24%

KB Kookmin Bank

24

75.48% UNION DE BANQUES ARABES ET FRANCAISES

25

75.84%

26

76.38% BANGKOK BANK PUBLIC COMPANY LIMITED

27

78.73%

Intesa Sanpaolo S.p.A.

28

79.08%

CTBC BANK

ING Bank N.V.

18

Foreign Banks in Japan Survey 2014

© 2014 KPMG AZSA LLC, a limited liability audit corporation incorporated under the Japanese Certified Public Accountants Law and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative (“KPMG International”), a Swiss entity. All rights reserved.

KPMG Japan – Our Services

Our dedicated financial services team brings together partners and professionals from Audit, Tax and Advisory practices and is linked closely to other member firms in the KPMG Japan and global network.

• Audit under J-GAAP • IFRS audit • SEC audit • ISAE3402/SSAE16 attestation • Verification of GIPS compliance • Investigation of the value, etc. of specified assets • Verification of segregated management of customer assets

Audit

Risk Consulting

Advisory Management Consulting

Transaction and Restructuring

• Global GAAP conversion (IFRS/US GAAP) • Basel III/ Solvency ll regulations • Enterprise risk management support • IT risk management support • Regulatory compliance support • Anti-money laundering services • Forensic services • Business continuity plan assessment • Recovery and Resolution Plans support • Internal audit services • IT internal audit services • Pension services • Strategy, outsourcing strategy development support • Operational process optimization support • Project management support • Financial management support and cash management support • Organizational restructuring, HR transformation • IT strategy development and implementation support, IT system development support • M&A advisory services • Corporate restructuring services • Sell-side services • Overseas expansion support

• Global tax strategy advice • FATCA related tax review and advice • Transfer pricing services • Derivatives/ Securitization transaction services • M&A transaction services

Tax

Your feedback and comments are welcomed and should be addressed by email to Stanley Sawai ([email protected]) or Henry Yamamoto ([email protected]).

19

Foreign Banks in Japan Survey 2014

© 2014 KPMG AZSA LLC, a limited liability audit corporation incorporated under the Japanese Certified Public Accountants Law and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative (“KPMG International”), a Swiss entity. All rights reserved.

KPMG Financial Services Japan OTEMACHI FINANCIAL CITY South Tower, 1-9-7, Otemachi, Chiyoda-ku, Tokyo 100-8172 TEL: 03-3548-5101 FAX: 03-3548-5109 [email protected] http://www.kpmg.com/Jp/fsj-en

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