Results briefing for the Fiscal Year Ended
March 31, 2015
June 10, 2015
Contents
Company profile…........................................................................................3
◆ Overview of profit plan
Business environment in the Tokyo area…….………………….……………………...4
Interest income …………………………………………………………………………………..18
◆Summary of business results
Loans…………………………………………………………………………………….…………….19
Summary of business results for the fiscal year ended
March 31, 2015 (FY2014) (Tokyo TYFG/ Total of Two Banks)…..….6
Summary of business results for the fiscal year ended
March 31, 2015 (FY2014)
(Tokyo Tomin Bank, Limited/ Yachiyo Bank Limited………………..…..7
Plan for the fiscal year ending March 31, 2016………………………………..……..8
◆Overview of business plan
Loans by industry ………………………………………………………………….…………..20
Deposits………….……………………………………………………………….....……………..21
Loan yield and deposit yield ………………………………………………………………..22
Securities……………………………..……………………………………………………………..23
Expansion of corporate customer base ……………………………………………….24
Expansion of individual customer base ……………………………………………….25
Overview of business plan……………….……………………………………………..…….10
Problem assets subject to disclosure under the Financial
Reconstruction Law and credit costs.………………………..…….………26
Management targets aimed for..……………………………………………....….……..11
Improving management efficiency………..………………………………….…………27
Provision of the financial platform service “Club TY”………………….….……..12
CSR initiatives…..…………………………………………………………………….……….....28
Strengthening of service as a financial partner………………………………...…..13
Strengthening profitability in the near term…………………………….…….…....14
Strengthen profitability through efforts at each bank…………….…….……...15
Position of the Group’s Medium-term business plan………………….….……..16
2
Company profile
 Major Group companies
 Management philosophy
To be a financial group for small and medium-sized enterprise
customers and individual customers in the Tokyo metropolitan area
that will contribute to the development of local communities through
comprehensive financial services.
Tokyo Tomin Bank
Yachiyo Bank
 Basic strategy
 As one of the largest regional financial institutions headquartered in Tokyo, we
will establish a new business model and increase our competitive advantage in
the urban-style regional banking market.
 Developments up until management integration
Tokyo Tomin Bank
(Established December 1951)
Yachiyo Bank
(Founded December 1924)
September 2000
Signed “Memorandum of Understanding Regarding Business Cooperation”
May 2001
Commenced free use of ATMs for each other’s customers
June 2001
Commenced common mailing system
 As a financial institution serving small and medium-sized enterprises and
individuals, we will increase our level of community contribution by
demonstrating our high-level financial service functions such as consulting and
our function of providing stable financing.
 Against a backdrop of high profitability and soundness, we will work to lift the
motivation of our bank employees, and take up the challenge of our growth
strategies with a sense of unified purpose.
～ Sales of joint deposit products ～
 Vision aimed for
November 2011,
February 2013
Joint holding of the TOKYO ECO STYLE exhibition
October 1, 2014
Tokyo TY Financial Group, Inc. established through the management integration of the
Tokyo Tomin Bank, Limited (Tokyo Tomin Bank) and the Yachiyo Bank, Limited
(Yachiyo Bank)
Become the urban regional bank group most favored
by customers in the Tokyo metropolitan area.
3
Business environment in the Tokyo area
 Have branch network in the Tokyo area (note) with high market potential, and there are business opportunities including
supporting the advance of regional companies and individuals into the region in the future and the changes in the city in
preparation for the 2020 Olympics
 Tokyo area with high market potential
 Population (as of October 2014)
Prefecture or
Ranking administrative
division
1
Tokyo
2
Kanagawa
Prefecture
 The 23 wards of Tokyo account for approximately
10% of the entire nation’s number of offices
(Thousand)
• 560,000 companies in the 23 wards of Tokyo
(5.76 million companies nationwide)
13,390
9,090
Source: Statistics Bureau, Ministry of Internal Affairs and Communications
Saitama
Prefecture
Chiba
Prefecture
 Population growth rate (YoY change)
Prefecture or
Ranking administrative
division
(10,000 offices)
1
Tokyo
70
4
Kanagawa
Prefecture
31
Source: Economic Census
 Gross prefectural product (nominal) (FY2011)
(%)(％)
10
8
Tokyo
6
Prefecture or
Ranking administrative
division
4
Kanagawa
Prefecture
2
Sept./2010
Sept./2011
Sept./2012
Sept./2013
National
average
Source: Statistics Bureau, Ministry of Internal Affairs and Communications
Branch network
Kanagawa
Prefecture
 New housing starts (2014)
Prefecture or
Ranking administrative
division
1
Tokyo
2
Kanagawa
Prefecture
1
Tokyo
92
4
Kanagawa
Prefecture
30
Sept./2014
-4
Tokyo Tomin Bank
Yachiyo Bank
• Tokyo
122 branches
• Kanagawa Prefecture
35 branches
• Saitama Prefecture 3 branches
• Chiba Prefecture
1 branch
(Thousands of units)
 Large-scale re-development is expected in preparation for the 2020 Olympics
142
65
(Trillion yen)
Tokyo
0
-2
 Number of offices (February 2012)
• Economic effect of the Olympics: approximately 4 trillion yen*1
• Government target for number of visiting tourists: 20 million people in 2020*2
*1 Nationwide *2 Only Tokyo
Source: Ministry of Land, Infrastructure, Transport and Tourism
1) “Tokyo area” or “Tokyo metropolitan area” refers to the area centered around the city of Tokyo and the northeast of Kanagawa Prefecture.
Source: Cabinet Office, Government of Japan
 Number of university venture companies
(FY2014)
Prefecture or
Ranking administrative
division
(Number of
companies)
1
Tokyo
467
2
Kanagawa
Prefecture
113
Source: Nomura Research Institute
4
Summary of business results
5
Summary of business results for the Fiscal Year Ended
March 31, 2015 (Tokyo TYFG and total for both banks)
 Business results
• Tokyo TYFG (consolidated) net income was 57.2 billion yen, due to factors including the recording of a gain on bargain purchase.
• In terms of the total for both banks, ordinary profit was up 3.6 billion yen as a result of fees and commissions covering for the
decrease in interest income, and a decrease in expenses and credit costs.
• Net income fell by 0.7 billion yen as a result of a 4.4 billion yen increase in total income taxes.
(¥ million)
Tokyo TYFG (Consolidated)
Total for both banks
Fy2013
FY2014
FY2014
Change
Consolidated ordinary income
65,043
Consolidated gross core business profit
54,488
Net interest income
42,027
Net fees and commissions
10,515
Ordinary income
84,907
85,490
583
Gross core business income
68,446
68,452
6
58,044
56,674
(1,370)
Net fees and commissions
8,174
9,727
1,553
Other
2,227
2,050
(177)
Expenses
55,702
54,545
(1,157)
Core business income
12,744
13,907
1,163
Gain (losses) on stocks and other securities
242
Non-recurring profit (loss)
(5,027)
(1,555)
3,472
Profit on investments based on the equity
method
202
Ordinary profit
12,580
16,194
3,614
Other
Extraordinary profit (loss)
(121)
(80)
41
Total income taxes
2,111
6,564
4,453
10,347
9,549
(798)
Net interest income
Net income
Other
42,370
Expenses
Credit-related costs
4,648
1,197
(3,451)
1,832
(711)
Ordinary profit
11,809
Extraordinary profit (loss)
50,396
Gain on amortization of bargain
purchase
Total income taxes
Credit-related costs
1,946
50,476
4,870
Net income
57,290
Capital ratio
9.26%
*All figures less than 1 million yen have been rounded down in the amounts displayed above.
The following items are included in the
consolidated results of Tokyo TYFG.
• Consolidated results for Tokyo Tomin
Bank that is the acquiring company for
accounting purposes from April 2014 to
March 2015
• Consolidated results for Yachiyo Bank
that is the acquired company for
accounting purposes from October
2014 to March 2015
• Non-consolidated results for Tokyo
TYFG from October 2014 to March
2015
• Other adjustments from consolidated
closing (gain on bargain purchase, etc.)
Gain on bargain purchase
Gain on bargain purchase is recorded
when the market value of the assets and
liabilities of the acquired company
exceed the acquisition cost of shares
upon management integration.
The gain on bargain purchase has been
recorded under extraordinary income in
Tokyo TYFG’s consolidated accounts.
6
Summary of business results for the Fiscal Year Ended
March 31, 2015 (Tokyo Tomin Bank and Yachiyo Bank)
 Individual business performance
(¥ million)
Tokyo Tomin Bank (non-consolidated)
FY2013
FY2014
Yachiyo Bank (non-consolidated)
Change
FY2013
FY2014
 Business results (Tokyo Tomin Bank)
Change
Ordinary income
44,479
44,477
(2)
40,427
41,012
585
Gross core business income
37,027
37,226
199
31,418
31,225
(193)
Expenses
29,439
28,835
(604)
26,262
25,710
(552)
7,587
8,391
804
5,156
5,515
359
(4,807)
(2,993)
1,814
(220)
1,438
1,658
4,753
6,826
2,073
7,827
9,368
1,541
Extraordinary profit (loss)
(80)
(66)
14
(41)
(13)
28
Total income taxes
450
3,277
2,827
1,660
3,286
1,626
Net income
4,222
3,482
(740)
6,125
6,067
(58)
Credit-related costs
3,261
1,526
(1,735)
1,387
(329)
(1,716)
45,691
45,937
246
41,189
41,859
670
Consolidated ordinary profit
5,957
8,069
2,112
8,327
9,957
1,630
Consolidated net income
4,952
4,269
(683)
6,366
6,380
14
Consolidated capital ratio
8.94%
8.35%
-0.59pt
10.19%
9.81%
-0.38pt
Core business income
Non-recurring profit
Ordinary profit
Consolidated ordinary income
• Interest income fell by 0.3 billion yen
YoY.
• Net fees and commissions were up 0.8
billion yen YoY due in part to strong
sales in assets under management.
• With continued reductions in expenses,
core business income grew by 0.8
billion yen YoY.
• Credit costs fell 1.7 billion yen YoY.
• Ordinary profit grew 2.0 billion yen YoY.
• Net income fell by 0.7 billion yen as a
result of a 2.8 billion yen increase in
income taxes.
 Business results (Yachiyo Bank)
• Interest income fell by 1 billion yen YoY.
• Net fees and commissions were up 0.7
billion yen YoY due in part to strong
sales in assets under management.
• Core business income grew 0.3 billion
yen YoY as a result of factors including a
0.5 billion yen reduction in expenses.
• Credit costs fell 1.7 billion yen YoY.
• Ordinary profit grew 1.5 billion yen YoY.
• Net income was mostly unchanged as a
result of a 1.6 billion yen increase in
income taxes.
*All figures less than 1 million yen have been rounded down in the amounts displayed above.
7
Plan for the fiscal year ending March 31, 2016
 Plan (Tokyo TYFG consolidated)
(¥ billion)
FY2014 results
 Plan for the fiscal year ending March 31, 2016
11.8
12.9
(*1) 57.2
8.5
5.56%
4.74%
Ordinary profit
Net income
FY2015 plan (*2)
ROE (consolidated and
total for both banks)
*1. Net income for the Fiscal 2014 results includes the one-time effect of a gain on bargain purchase of 50.4 billion yen.
*2. The Fiscal 2014 results contain the consolidated results for Tokyo Tomin Bank from April 2014 to March 2015 (one
year), the consolidated results for Yachiyo Bank from October 2014 to March 2015 (six months), the nonconsolidated results for the Tokyo TYFG from October 2014 to March 2015 (six months), and other adjustments
from consolidated closings, and accordingly one-time profits and losses have been recorded for this initial fiscal
year of management integration. For this reason, the YoY growth rate is not stated for the Fiscal 2015 plan.
 Plan and growth rate (Tokyo Tomin Bank)
Fiscal 2014
results
(¥ billion)
March 2016
plan
• Tokyo TYFG (consolidated) projects ordinary profit of 12.9 billion yen and net
income of 8.5 billion yen.
• For Tokyo Tomin Bank, the projection is for net income to increase YoY despite an
expected decrease in ordinary profit due to factors including conservative credit
cost estimates.
• For Yachiyo Bank, the projection is for both ordinary profit and net income to
decrease YoY due to conservative estimates for the gain on sale of bonds and
credit costs.
 Plan and growth rate (Yachiyo Bank)
Fiscal 2014
results
Growth rate
(¥ billion)
March 2016
plan
Growth rate
Gross core business income
37.2
37.5
+0.8%
Gross core business income
31.2
31.4
+0.6%
Interest income
29.2
28.7
-1.7％
Interest income
27.3
26.7
-2.1%
28.8
28.8
0%
25.7
25.6
-0.3%
Core business income
8.3
8.6
+3.6%
5.5
5.8
+5.4%
Credit costs
1.5
2.0
+33.0%
(0.3)
1.3
―
Ordinary profit
6.8
6.7
-1.4%
Ordinary profit
9.3
6.6
-29.0%
Net income
3.4
4.3
+26.4%
Net income
6.0
4.6
-23.3%
Ordinary profit (consolidated)
8.0
7.7
-3.7%
Ordinary profit (consolidated)
9.9
7.0
-29.2%
Net income (consolidated)
4.2
4.8
+14.2%
Net income (consolidated)
6.3
4.9
-22.2%
Expenses
* Figures have been rounded down to the nearest million yen.
Expenses
Core business income
Credit costs
8
Overview of business plan
9
Overview of business plan
 Overview of business plan aimed at core business income of 20 billion yen
Tokyo TY Plan 2020 ～First Stage ～
FY 2014
FY2015
FY 2016
Maximize profits by strengthening profitability over
the near term
Tokyo TY Plan 2020 ～Next Stage ～
FY 2017
FY 2018
Establish new financial services while
continuously working to strengthen profits
FY 2019
FY 2020
Expand profits and move to a new stage
of growth by establishing services
FY 2020
Aim for core business
income of 20 billion yen
10
Management targets aimed for
 Breakdown of core business income of 20.0 billion yen aimed for in FY2020
FY2014 results
(Year ended March 31, 2015)
Strengthening
profitability in the
near term
0 billion yen
0.1 billion yen
0.8 billion yen
Net fees and commissions
0 billion yen
—
0.3 billion yen
Enhancing the
operational base
Interest income
Enhancing the
regional finance
function
Interest income
Net fees and commissions
0.05 billion yen
Synergy
0.2 billion yen
—
Net fees and commissions
Improving management efficiency
Strengthen
profitability through
efforts at each bank
FY2020 plan
(Year ending March 31, 2021)
Interest income
Synergy
Strengthening of service as a financial
partner
FY2016 plan
(Year ending March 31, 2017)
Expand profits
0.1 billion yen
Synergy
0.5 billion yen
—
0.7 billion yen
Synergy
3.0 billion yen
—
—
—
0.4 billion yen
0.15 billion yen
0.1 billion yen
0.2 billion yen
0 billion yen
0.2 billion yen
0.7 billion yen
(0.2 billion yen)
1.6 billion yen
2.6 billion yen
1.2 billion yen
1.7 billion yen
1.7 billion yen
13.9 billion yen
16.5 billion yen
20.0 billion yen
1.0 billion yen
Minimize costs
Core business income (core business income for FY2013 before management integration
was 12.7 billion yen)
Increase in core
business income
1.2 billion yen
*Because no adjustments have been made for fractions, there may be discrepancies between the breakdown and total.
 Management targets aimed for in FY2020
FY2014 results (A)
FY2016 plan (B)
(B)-(A)
FY2020 plan
(C)-(A)
Account balance (outstanding)
4,502.5 billion yen
4,550.0 billion yen
+47.5 billion yen
4,700.0 billion yen
+197.5 billion yen
Loan balance (outstanding)
3,294.1 billion yen
3,350.0 billion yen
+55.9 billion yen
3,500.0 billion yen
+205.9 billion yen
Gross core business income
68.4 billion yen
70.5 billion yen
+2.1 billion yen
73.0 billion yen
+4.6 billion yen
Expenses
54.5 billion yen
54.0 billion yen
-0.5 billion yen
53.0 billion yen
-1.5 billion yen
Credit costs
1.1 billion yen
4.0 billion yen
+2.9 billion yen
4.0 billion yen
+2.9 billion yen
Net income
9.5 billion yen
10.0 billion yen
+0.5 billion yen
12.5 billion yen
+3.0 billion yen
OHR*
79%
76%
-3pt
72%
-7pt
Deposit-loan ratio
73%
73%
±0pt
74%
+1pt
*OHR = expenses ÷ gross core business income
11
Provision of the financial platform service “Club TY”
 Progress of measures aimed at core business income of 20 billion yen
Strengthening of service as a financial partner
◆ Provision of the financial platform service “Club TY”
One-stop financial services corresponding to the various life stages and life cycles of SME
and individual customers
SME customers: Establishment in the Tokyo area + new entrepreneurship/business foundation (+
further expansion into the Tokyo area)
Growth through
corporate partnerships
Entrepreneurship/
business foundation
Business plan
formulation
support
Growth
Overseas
expansion
support
Universitylaunched
venture support
Maturity
Business/specialist
matching
M&A support
Expansion in business
succession needs
among companies
Succession/restoration
Business
succession
consultations
Financing for social
welfare facilities
Urban
revitalization
financing
・・・
By safeguarding the aspirations of our customers and
connecting them with reality, we provide one-stop
financial services that make the work and living of
SME and individual customers in the Tokyo area more
abundant.
Economic
organizations
 Number of exhibiting companies
Booth exhibitors: 114
Catalog exhibitors: 42
 Number of business consultations: 322
Financial platform service “Club TY”
Local
governments
Holding of TOKYO TY
Business Interchange 2015
(February 6, 2015)
Universities
Olympics and
Paralympics
 Number of visitors:
approximately 6,700
Specialists
Entrepreneurship/
business foundation
Unsecured loans
Maekyu
Foreign currency
deposits
Students
New professionals
Housing-related
loans
Newlyweds
Asset management
consultations
Testamentary
trusts
Reverse mortgages
・・・
Advance of
population aging
Child-rearing
generation
Elderly
Individual customers: Living/working in the Tokyo area
(+ moving to the Tokyo area in the future)
At the Tokyo International Forum
12
Strengthening of service as a financial partner
 Progress of measures aimed at core business income of 20 billion yen
Strengthening of service as a financial partner
◆ Expand scope of business by establishing
offices specializing in corporate finance
◆ Establishment of the Club TY Support Team
(February 2015)
■ Establish 5 to 10 offices specializing in corporate finance
by consolidation in important and/or open areas
■ Promote partnerships with external partners and the deployment of
know-how and sales tools related to new initiatives to each branch
■ Promote the effective use of customer needs
■ Expand cooperative relationships with local governments, economic
organizations, etc.
 Assignment of approximately 30 members as Club TY Coordinators
 Commencement of studies for establishing offices specializing in corporate
finance in open areas of the 23 wards of Tokyo, the bay area, and along the
Odakyu Line and Keio Line
 Establishment planned from FY2016
 Coordination items
• FA
Expand the sales network
• M&A
• Effective utilization of real estate
• Foreign exchange sales
 Important areas and open areas
• Reverse mortgages
 Relationship diagram of the Club TY Support Team
Branches
Open areas in the
23 wards of Tokyo
Item
Business matching
Local
governments
Task force team aimed at
establishing a financial
platform service
Economic
organizations
Approximately
50 members planned
by FY 2020
Universities
External partners
• Foundation support
Incorporate this in customer
service by providing sales
tools and providing guidance
to branches
Expand service by
listening to the
voices of customers
, etc.
■ Results for the second half of FY2014
Customers
Specialists
Odakyu Line, Keio Line
• Maekyu
Promote partnerships with
external partners
Tokyo TYFG
Bay area in
anticipation of the
Olympics
• Business matching
Number of
reports
Number of
contracts
closed
18
—
M&A
1
—
Foundation support
1
—
Maekyu
4
—
Reverse mortgages
3
—
Borrower introduction
6
1
Assets under management
1
1
Tokyo TY lease introduction
71
36
Other
Total
4
1
109
39
13
Strengthening profitability in the near term
 Progress of measures aimed at core business income of 20 billion yen
Strengthening profitability in the near term
Enhancing the operational base
 Maximize productivity by sharing sales
know-how and optimizing the sales structure
in each area
Division of branch roles
(corporate-focused, individualfocused, etc.)
Sharing finance
know-how
 Commence studies aimed at optimization of the sales structure
by clarifying the division of branch roles (corporate-focused,
individual-focused, etc.)
 Conduct personnel exchanges aimed at sharing scale-base
finance know-how in order to increase visits to borrowers
 Handling of integration commemorative financial products
• Provide funds of 100 billion yen to approximately 3,500
borrowers through both banks
 Introduction of Tomin Lease to the customers of Yachiyo Bank
(Company name changed to Tokyo TY Lease in April 2015)
Enhancing the regional finance function
Improving management efficiency
 Enhance customer service by sharing the
strengths of both banks
 Minimize costs by improving management
efficiency
■ Sharing the strengths of both banks
Healthcare and social welfare, real estate-related finance,
overseas expansion support, sales of financial products,
etc.
■ Streamlining and consolidation of shared operations, etc.
Improvements in the efficiency of headquarters, efficient
stationing of branches, and the streamlining and
integration of administrative expenses, etc.
 Implementation of mutual short-term human resource
assignments
Tokyo Tomin Bank
• Medical and Welfare Division
• International Division, Asia
Section
Yachiyo Bank
• Loan Examination Division
• Real Estate Sales
Management Office
 Implementation of mutual human resource assignments for
Club TY representatives, Loan Examination Division, and Head
Office Business Division (from April 2015)
 Implementation of joint training, etc.
• Implementation of joint training involving observation of local
companies, etc. in Shanghai
• Joint holding of seminars for business partners related to
foreign exchange trends and conditions in Asia
 Commence concrete studies in working groups aimed at
reducing expenses
• Improve the efficiency of the headquarters function
Assignment of approximately 100 headquarters employees to
sales departments by FY2020
• Efficient stationing of branches
Consolidation of 5 to 10 branches by FY2020 through
measures such as branches within branches and branch
consolidation
• Consolidation and integration of administrative expenses
Integration of office equipment, etc.
• Integration of the administrative centers
Commence selection of candidate sites in an aim for
integration in FY2017
• Integration of subsystems of both banks
 Handling of joint products including investment trusts and
insurance products
14
Strengthen profitability through efforts at each bank
 Progress of measures aimed at core business income of 20 billion yen
Strengthening profitability through efforts at each bank
Tokyo Tomin Bank
Yachiyo Bank
 Develop new business partners centered around the team dedicated to developing new corporate
customers
(Teams established at the Ikebukuro, Higashi Shinjuku, Shibuya, and Kinshicho branches)
FY2014 results for new corporate customers: 1,215 customers; execution amount of 80 billion yen
 Strengthen proposal-based sales including business succession measures and M&As utilizing the
Business Development Division
■ Medical and Welfare
Division’s loan balance
(¥ billion)
70
65
60
55
50
45
40
35
35.9
30
25
FY2008
 Strengthen structure of corporate business offices and promote the acquisition of new mid-size
corporate customers
(¥ billion)
(Customers)
371
80
■ Acquisition of corporate
finance customers by
corporate business offices
Costs
Minimize
 Strengthen support for customers including medical corporations and social welfare service
providers centered around the Medical and Welfare Division
Steadily increase loan balances handled by business divisions
 Strengthen sales capabilities for corporate clients through the clarification of the division of
roles and the strategic stationing of personnel
(Customers with annual sales of at
least 0.3 billion yen)
60
Customers
195
42
FY2010
FY2012
FY2014
300
200
40.6
20
Execution
amount
31.6
100
22.8 billion
FY2012
66.5
254
40
0
58.5
400
0
FY2013
FY2014
 Stretch sales personnel through efficient store deployment in consideration of branch
characteristics
• Adopt branches within branches format (three branches as of May 2015)
• Migration to individual-dedicated branches (two branches as of May 2015)
 Support overseas business through the use of the Shanghai consulting subsidiary and business
partnerships with local regional banks
 Expand loans and secure yields through the use of financial products supporting customers able
to take risks
 Strengthen promotion of loans to individuals through Loan Plaza
(Loan Plaza locations: Shinjuku, Shibuya, Nishi Kokubunji, Chofu, Wakabadai)
 Strengthen assets under management, foreign exchange, privately placed bonds, etc. for
corporate customers
 Achieve efficient stationing of personnel and reduction in branch expenses through the
streamlining of headquarters
 Promote sales of investment trusts by strengthening the sales structure for branches overall
(Investment trust sales: 23.6 billion yen in FY2013 to 38.6 billion yen in FY2014)
15
Outline of the Group’s Medium-term business plan
 Start of medium-term business plan
Yachiyo Bank
Tokyo Tomin Bank
Tokyo TPlan First Stage ～ Together with You ～
Focus measures
Target 2020 ～ First Stage ～
FY2015 - FY2016
 Expand sales base by strengthening financial services
 Enhancing the operational base
 Improving management efficiency
 Enhancing the regional finance function
 Building up vibrant human resources and organizations
Numerical targets
(FY2016)
FY2015 - FY2016
• Account balance
• Core business income
• Loan balance
• OHR
Focus measures
 Improving management efficiency
2,466 billion yen
9.8 billion yen
1,900 billion yen
74%
 Human resources development and establishment of an
attractive corporate culture
Numerical targets
(FY2016)
• Account balance
• Core business income
• Loan balance
• OHR
2,160 billion yen
6.9 billion yen
1,489 billion yen
78% range
 Position of the Medium-term business plan
FY2014
FY2015
FY2016
FY2017 - FY2018
Tokyo TY Plan 2020 ～ First Stage ～
Maximize profits by strengthening profitability
over the near term
FY2019 - FY2020
Next Stage
Establish new financial services
while continuously working to
strengthen profits
Expand profits and move to a new stage
of growth by establishing services
Tokyo TPlan First Stage
Tokyo Tomin Bank
Creating solid foundations for being the number
one regional bank
Target 2020 ～ First Stage ～
Yachiyo Bank
Period for the establishment of a robust business
foundation in order to realize the vision
16
Overview of profit plan
17
Interest income
 Status of interest income (total for both banks)
Account
Item
Average balance
Loans
FY2013
Average balance
Interest and
dividends
Average balance
Deposits
+70.3 billion yen
1.62%
1.52%
-0.10%
51.1 billion yen
49.0 billion yen
(2.1 billion yen)
1,175.5 billion yen
1,157.6 billion yen
(17.9 billion yen)
0.82%
0.88%
+0.06%
9.6 billion yen
10.2 billion yen
+0.6 billion yen
4,362.5 billion yen
4,426.0 billion yen
+63.4 billion yen
0.06%
0.05%
-0.01%
2.7 billion yen
2.4 billion yen
(0.3 billion yen)
Yield
Interest
Change
3,220.3 billion yen
Yield
Securities
FY2014
3,150 billion yen
Yield
Interest
 Measures to improve interest income
 Interest income (Total of two banks)
 Secure loan yields by leveraging competitive advantages
• By working to provide high-value-added service and fine-tuned support, improve
relationships of trust with customers and leverage competitive advantages in order to
scale down the amount of reduction in loan yields.
 Flexible management of securities
• Secure yields through flexible asset management while keeping a close watch on interest
rate trends.
 Improve procurement costs (the deposit yield) through measures such as reviewing
preferential interest rate products
• Improve the deposit yield through means such as reviewing each preferential interest
rate deposit product and the interest rate premiums on large time deposits.
 Interest income (Tokyo Tomin Bank)
 Interest income (Yachiyo Bank)
(¥ billion)
(¥ billion)
70
60
58.8
8.3
50
58.1
9.6
Interest and
dividends on
securities
56.8
10.2
55.6
10.3
53.7
20
51.1
(10)
30.8
30.2
3.4
29.9
30
Interest and
dividends on
securities
29.4
30
3.1
4.3
4.9
25
25
Interest on loans
15
49.0
47.4
10
0
35
35
Interest on deposits
(2.4)
(2.1)
FY2012
FY2013
FY2014
FY2015 plan
*1. Other interest income is excluded.
*2. Interest on negotiable certificates of deposit is included.
29.6
28.0
Interest on loans
5.2
27.9
26.9
26.2
5.8
5.4
Interest on loans
22.3
21.8
(1.3)
(1.3)
(1.0)
FY2014
FY2015 plan
6.1
Interest and
dividends on
securities
15
26.7
2.55
10
10
5
5
0
(2.7)
(3.2)
28.0
20
20
40
30
(¥ billion)
40
(1.9)
(1.3)
(1.1)
(1.0)
0
24.1
(1.3)
Interest on deposits
(5)
FY2012
FY2013
FY2014
FY2015 plan
23.0
Interest on deposits
(5)
FY2012
FY2013
18
Loans
 Status of loans
 Measures to increase loans
 Because there was an increase for both SMEs and individuals YoY for the total
for both banks, there was a YoY increase of 35.4 billion yen in the outstanding
balance and 70.3 billion yen in the average balance.
 Because there was a slight decrease for both SMEs and individuals YoY for
Tokyo Tomin Bank, there was a decrease of 3.4 billion yen in the outstanding
balance. Nonetheless, there was an increase of 15.2 billion yen in the average
balance.
 For Yachiyo Bank, there was a YoY increase of 38.8 billion yen in the
outstanding balance and 55.1 billion yen in the average balance due to an
increase mainly for SMEs as a result of factors such as efforts to strengthen the
sales structure including the Corporate Business Office.
 Initiatives of Tokyo Tomin Bank
• Strengthen sales through new corporate branches in Ikebukuro, Higashi Shinjuku, Kinshicho,
and Shibuya and individual loan branches in Shibuya, Nishi Kokubunji, Chofu, and Wakabadai
• Strengthen marketable loans and strengthen finance proposals such as business succession
and business revitalization
 Loan balance (total for both banks)
(The numbers in white are average balances for the term;
the figures between the graphs are YoY changes)
+70.3
(+2.2%)
(¥ billion)
4,000
3,500
3,000
3,069.4
3,163.8
3,258.7
145.7
+35.4
511.4
-8.4
137.4
470.8
2,500
Local governments +5.6
Medium and largesized companies
3,285.9
3,294.1
100%
151.3
5%
503.0
15%
3,340.0
1,500
1,761.8
SMEs
 Loan balance by type of customer
(Yachiyo Bank)
(The numbers in white are average balances for the term;
the figures between the graphs are YoY changes)
(The numbers in white are average balances for the term;
the figures between the graphs are YoY changes)
Composition
+15.2
(+0.8%)
(¥ billion)
2,100
1,729.7
1,786.9
1,800
1,500
2,000
1,721.6
 Loan balance by type of customer
(Tokyo Tomin Bank)
Composition
3,220.3
3,150.0
 Initiatives of Yachiyo Bank
• Strengthen development of corporate clients through the reassignment of personnel for
client development through the restructuring of the Corporate Business Office
• Introduce financial products, enabling speedy support for customers able to take risks
 For the total for both banks, loans of 3,340 billion yen (+1.4% YoY) are projected for Fiscal
2015
80.6
282.2
1,780.6
1,765.4
1,831.5
90.8
1,829.3
-3.4
Local governments +1.6
288.0
Medium and large- -1.1
sized companies
100%
92.4
5%
1,788.8
286.9
1,376.8
56.8
16%
1,200
188.5
1,466.0
100%
+3.9
58.8
4%
-7.3
216.0
15%
+34.8
817.7
56%
+7.4
373.3
25%
1,427.2 +38.8
Local governments
223.3
1,456.6
1,439.6
1,384.5
54.9
Composition
1,470.0
Medium and largesized companies
900
54%
900
1,339.6
1,500
1,200
+27.0
1,800
1,870.0
1,828.1
+55.1
(+3.9%)
(¥ billion)
958.0
978.8
SMEs
-7.7
971.1
763.6
53%
782.9
SMEs
600
1,000
500
600
833.6
839.5
Individuals
+10.7
850.2
300
26%
300
Individuals
FY2012
FY2013
0
FY2012
FY2013
FY2014
FY2015 plan
473.5
465.7
+3.4
476.9
26%
365.9
367.8
Individuals
FY2012
FY2013
0
0
FY2014
FY2015 plan
FY2014
March 2016 plan
19
Loans by industry
 Status of loans by industry
 Housing-related loan balance (total for both banks)
(¥ billion)
 Industries are relatively diversified for both banks, and the balance of loans by
industry is composed of a well-balanced portfolio in terms of the total for both
banks.
800
657.2
327.1
Tokyo Tomin
Bank
352.5
316.2
327.6
600
 There was significant growth in loans for the service industry, construction industry,
and individuals during Fiscal 2014 for the total of two banks.
680.1
633.9
341.0
400
 Housing-related loans have grown steadily for both banks.
200
306.8
Yachiyo Bank
FY2012
FY2013
0
 Loans by industry (total for both banks)
(¥ billion)
3,500.0
3,000.0
Composition
3,163.8
359.8
158.7
2,500.0
2,000.0
FY2014
401.6
193.0
3,258.7
3,294.1
100.0%
349.5
Manufacturing
338.9
10.2%
159.0
Construction
170.0
5.1%
Commerce
391.4
11.8%
Banks and other
financial institutions
6.3%
Real estate brokerage
208.4
218.6
392.6
237.1
207.8
Real estate leasing
387.9
11.7%
276.1
290.3
Services
312.2
9.4%
Individuals
850.2
25.8%
369.1
391.9
Other
416.2
12.6%
FY2013
FY2014
* The real estate industry has been demarcated into the real estate brokerage industry and the real
estate leasing industry since Fiscal 2013.
6%
Banks and other
financial
institutions
Services
Commerce
9%
March 31,
2015
1,466.0
billion yen
Individuals
25%
7%
Real estate
brokerage
10%
FY2012
Construction
14%
March 31,
2015
1,828.1
billion yen
500.0
0.0
11%
Commerce
Individuals
1,000.0
8%
Other
Construction
26%
839.5
Manufacturing
12%
4%
390.5
833.6
 Composition of loans by industry
(Yachiyo Bank)
Manufacturing
Other 14%
6.6%
571.5
1,500.0
 Composition of loans by industry
(Tokyo Tomin Bank)
Real estate
leasing
8%
5%
Banks and other
financial
institutions
6%
Real estate
brokerage
Services
8%
Real estate
leasing
17%
9%
20
Deposits
 Status of deposits
 Measures to increase deposits
 In terms of the total for both banks, there was a YoY increase of 54.7 billion
yen in the outstanding balance and 63.5 billion yen in the average balance.
 For Tokyo Tomin Bank, corporate and personal deposits were mostly flat, and
for deposits overall there was a YoY increase of 11.0 billion yen in the
outstanding balance and 29.3 billion yen in the average balance.
 For Yachiyo Bank, overall there was a YoY increase of 43.6 billion yen in the
outstanding balance and 34.2 billion yen in the average balance, as liquid
deposits increased, especially corporate deposits.
 Initiatives of Tokyo Tomin Bank
• Reinforcements through the handling of deposit products in line with the needs of
various generations, such as the “Second Life Oen-dan” retirement time deposit
product, “FC Tokyo Oen Teiki,” and the “Okurimono” tuition fund dedicated deposit
product.
 Initiatives of Yachiyo Bank
• Expand corporate deposits by promoting adoption as the main bank.
• Strengthen acquisition of pension payment accounts. (Reinforcement of dedicated
representatives such as area pension representatives)
 For the total for both banks, a deposit balance of 4,570 billion yen (+1.5% YoY) is
projected for Fiscal 2015
 Deposit balance (total for both banks)
(The numbers in white are average balances for the term;
the figures between the graphs are YoY changes)
+63.5
(+1.4%)
(¥ billion)
5,000
4,362.5
4,396.3
70.8
4,447,8 +54.7
51.8 Other +16.8
1,223.5
Corporate
4,000
 Deposit balance by type of customer
(Yachiyo Bank)
(The numbers in white are average balances for the term;
the figures between the graphs are YoY changes)
(The numbers in white are average balances for the term;
the figures between the graphs are YoY changes)
+29.3
(+1.2%)
Composition
4,508.8
4,426.0
4,312.9
 Deposit balance by type of customer
(Tokyo Tomin Bank)
4,502.5 100% 4,570.0
68.6
1,271.4 +33.5 1,304.9
(¥ billion)
2,700
2%
2,400
29%
2,100
1,800
3,000
2,271.3
2,341.7
39.8
856.6
2,368.8
2,326.1
2,296.8
2,368.7 +11.0 2,379.7 100%
61.9
43.7 Other +18.2
3%
875.0
Corporate
-5.0
+34.2
(+1.6%)
Composition
870.0
2,420.0
(¥ billion)
2,400
2,041.6
2,100
2054.6
31.0
1,800
366.8
2,065.7
Composition
2,140.0
2,099.9
2,150.0
2,079.1 +43.6 2,122.7 100%
0%
6.6
8.1 Other -1.5
396.4 +38.4 434.8 20%
Corporate
36%
1,500
1,500
1,200
1,200
2,000
3,101.9
3,124.5
Personal
+4.4
3,128.9
69%
600
1,000
900
900
1,445.2
1,450.0
Personal
-2.3
1,447.7 61%
0
FY2012
FY2013
FY2014
FY2015 plan
1,674.5 +6.7
Personal
1,681.2 79%
600
300
300
0
1,656.7
0
FY2012
FY2013
FY2014
FY2015 plan
FY2012
FY2013
FY2014
FY2015 plan
21
Loan yield and deposit yield
 Status of yields
 Measures to secure yields
 While there has been a continued improvement in the economy, due to the
fact that the impact on funding demand by SMEs has been limited and
competition continues to intensify, loan yields continue to fall
 Through the promotion of Club TY, work to provide high-value-added service
and fine-tuned support, improve relationships of trust with clients and
leverage competitive advantages in order to scale down the amount of
reduction in loan yields
 The deposit yield has decreased slightly due to factors including reviews of the
interest rate premiums on time deposits and an increase in liquid deposits
 Promote unsecured consumer loans
 Secure appropriate loan yields by ensuring that interests rates that correspond
to the risk of the borrower are applied
 Improve the deposit yield through the review of interest rates on large-scale
deposits with high interest rates
 Yields (total for both banks)
FY2013
Loan yield
Deposit yield
1.62%
0.06%
 Yields (Tokyo Tomin Bank)
FY2014
1.52%
(%)
(%)
2.5
2.5
1.56%
Loan yield
Loan yield
2.0
1.71
0.05%
1.5
Loans and deposit
yield difference
 Yields (Yachiyo Bank)
1.47%
1.63
2.0
1.59
1.54
Yield difference
1.50
1.45
1.66
1.39
1.5
1.55
1.50
1.49
1.45
1.74
Yield difference
1.35
1.0
0.5
1.80
1.60
1.0
Deposit yield
0.08
0.5
0.05
0.05
0.04
0.0
Deposit yield
0.06
0.06
0.06
0.05
FY2012
FY2013
FY2014
FY2015 plan
0.0
FY2012
FY2013
FY2014
FY2015 plan
22
Securities
 Status of securities
 Securities investment policy
 In terms of the total for both banks, there was a YoY increase of 82.3 billion yen in the
outstanding balance and a YoY decrease of 17.9 billion yen in the average balance.
 For Tokyo Tomin Bank, there was a YoY increase of 73.1 billion yen in the outstanding
balance and 19.3 billion yen in the average balance due to an increase in investments in
foreign bonds in an effort for investment diversification within a low interest rate
environment.
 For Yachiyo Bank, while there was a YoY decrease of 37.2 billion yen in the average balance,
there was a YoY increase of 9.3 billion yen in the outstanding balance as a result of restraint
in investments in government bonds underpinned by steady loan management and a policy
of diversified investment.
 Initiatives of Tokyo Tomin Bank
• Incorporate assets such as highly-secure corporate bonds to secure a higher
spread and conduct investment diversification in order to secure profitability.
• Continue to invest flexibly while adequately controlling investment volume
and risk.
 Securities balance (total for both banks)
(The numbers in white are average balances for the term,
the figures between the graphs are YoY changes)
 Initiatives of Yachiyo Bank
• Secure earnings through a wide range of investments including foreign bonds
and investment trusts based on a policy of investment diversification.
• Expand the balance through flexible asset management while conducting
thorough duration management.
 Securities balance and yields Duration
(Tokyo Tomin Bank)
 Securities balance and yields Duration
(Yachiyo Bank)
(The numbers in white are average balances for the term,
the figures between the graphs are YoY changes)
(The numbers in white are average balances for the term,
the figures between the graphs are YoY changes)
5.7
5.5
5.2
4.5 years
3.5
(¥ billion)
1,400
1,200
1,000
1,204.0
1,218.9
35.3
34.5
436.2
800
1,175.5
1,141.8
38.3 Other
39.5 Stocks
445.3
Municipal bonds
and corporate
bonds
(¥ billion)
-17.9
(-1.5%)
1,157.6
Composition
+82.3
1,224.1
100%
122.3
47.6
10%
4%
461.8
38%
600
400
1,000
800
600
200
549.8
557.4
10.4
26.1
144.8
592.2
48%
0.66
(¥ billion)
10,000
200
375.9
+19.3
(+3.6%)
Composition
586.2
100%
85.6
32.8
15%
5%
152.3
26%
Government
bonds
315.3
54%
FY2013
FY2014
527.5
513.1
15.0 Other
26.3 Stocks
158.7
+73.1
6,000
313.0
0
0
FY2012
FY2013
FY2014
8,000
546.8
Municipal bonds and
corporate bonds
618.5
Government
bonds
0.95%
0.80
0.80%
654.1
400
712.8
0.57
0.95
5.3 years
661.5
24.8
8.3
291.3
4,000
2,000
648.0
-37.2
(-5.7%)
628.6
23.2 Other
13.2 Stock
286.6
+9.3
Municipal bonds
and corporate
bonds
610.8
Composition
637.9
36.7
14.8
100%
6%
2%
309.4
49%
43%
305.5
336.9
Government
bonds
276.8
FY2012
FY2013
FY2014
0
FY2012
23
Expansion of corporate customer base
 Measures for corporate clients
 Expansion of corporate customer base through “Club TY”
• Promote further increases in the number of corporate clients and reinforcement of the corporate client
fee business by having Tokyo Tomin Bank and Yachiyo Bank take advantage of each other’s strengths
 Measures for corporate clients (Tokyo Tomin Bank)
 Promotion of loans in the medical and welfare industry
 Promote the position of medical and welfare industry as a growth field and as a local
industry for the Tokyo metropolitan area
 Support for customers including medical corporations and social welfare service providers
by the Medical and Welfare Division
• Specialized financial products such as “Medical Support Long” with loan durations up to 30 years
• Customer and branch support through specialized personnel with high levels of experience and
expertise
• The loan balance as of March 31, 2015 was 66.5 billion yen (up 2.3 billion yen YoY).
 Measures for corporate clients (Yachiyo Bank)
Taking
advantage of
each other’s
strengths
 Foundation support
 Support through the Shibuya Start-up
Support Office
 Use of incubation facilities
• Use of the Sagamihara Incubation Center
• Use of the Machida Business Development Agency, etc.
Number of foundation support projects (FY2014)
Foundation finance
96
Foundation subsidy application
support
30
Support through the Shibuya Start-up
Support Office
60
Incubation facilities partnerships
36
Information provision (seminars, etc.)
 Overseas expansion support
 Overseas business support for customers mainly in Asia
• Use of Tomin Business Consulting Shanghai Co., Ltd., which is the only consulting subsidiary of a
regional bank
• Partnerships with banks in Asian countries including China, Thailand, India, and Vietnam
• Also dispatch human resources to local branches of Kasikorn Bank in Thailand
 Maekyu
 Promote the Maekyu service that enables salary payment at
any time as a means to expand the number of young customers
and approach new corporate clients.
* Maekyu is a new service for the regional bank industry that was developed
by Tokyo Tomin Bank that makes it possible for employees to receive payment
before payday for the work they have completed.
 Business model patents acquired in June 2006
 The number of contracted companies and registrants has steadily
grown
• As of the end of March 2015, there were 544 contracted companies
and approximately 650,000 registrants
• The number of monthly users is 75,000, and this number has been
on the rise
71
Total
293
 Partnerships with local municipal organizations, etc.
 Entered “Memorandum Concerning Business Partnership and Cooperation”
• May 2012 Toshima-ku
• June 2012 Machida-shi
• December 2014 Atsugi Chamber of Commerce and Industry
 Partnership with the Institute of Industrial Promotion-Kawasaki
 Partnership with the Sagamihara Industrial Promotion Foundation, etc.
 Promotion of real estate-related finance
 Actively supporting local real estate businesses
• In general, actively support diversified micro-crediting bases for customers that can be supported as
the main bank or as a secondary bank
 Strengthening consulting
• Take maximum advantage of high levels of know-how related to real estate (284 personnel with
registered real estate broker qualifications)
 Provision of project funds that lead to housing-related loans
24
Expansion of individual customer base
 Assets under management balance (total for both banks)
 Measures for individual clients
 Status of assets under management
• As a result of focusing on sales in assets under management through efforts including the sales of
joint investment trust products by both banks and the implementation of joint training, the
investment trust balance grew 37.3 billion yen YoY in terms of the total for both banks.
• Commissions grew 1 billion yen YoY overall in terms of the total for both banks, mainly increasing for
investment trusts.
 Sales structure for financial products to individuals
[Tokyo Tomin Bank]
• Sales are conducted by customer sales department personnel mainly at branches to visiting
customers, sales department personnel responsible for individual customers outside the branches,
and money consultants who are dedicated contract staff responsible for personal sales.
In addition, asset management partners and asset management advisors who are mainly temporary
employees formerly employed at securities companies and similar companies are also stationed at
each branch.
[Yachiyo Bank]
• An asset management manager and at least one asset management representative are assigned to
each branch. Furthermore, area money advisors who conduct activities spanning multiple branches
have been assigned since April 2015 to strengthen approaches to wealthy individuals whose business
had not been captured up until then.
 Commissions on assets under management
(total for both banks)
(¥ billion)
7.16
8
6.14
7
5.47
6
3
2
1
Tokyo Tomin Bank
Investment
trusts
Insurance
Public
bonds
Grand total
 Commissions on assets under management
(Tokyo Tomin Bank)
1.11
0.04
1.37
1.02
Foreign currency
deposits
0.08
3
4.27
1.06
0.01
4.99
1
0.96
Foreign currency 0.02
deposits
0.02 Public bonds
0.75 Insurance
5.32
5.84
0.70
143.4
166.3
+22.9
42.5
46.4
60.9
+14.5
Total
185.9
189.9
227.2
+37.3
Tokyo Tomin Bank
128.0
118.6
114.5
-4.1
60.7
66.3
76.2
+9.9
+5.7
Yachiyo Bank
188.8
185.0
190.7
Tokyo Tomin Bank
36.3
31.9
23.3
-8.6
Yachiyo Bank
80.9
72.2
59.3
-12.9
Total
117.2
104.2
82.7
-21.5
Tokyo Tomin Bank
307.7
294.0
304.2
+10.2
Yachiyo Bank
184.2
185.0
196.5
+11.5
Total
491.9
479.1
500.7
+21.6
 Commissions on assets under management
(Yachiyo Bank)
2.25
2.0
1.25
1.5
1.0
3.16
2.48
2.5
0.86
0.72
2
Investment trusts
0.65
3.75
Investment trusts
0.5
FY2013
FY2014
FY2015 plan
Foreign currency
deposits
1.84
0.48
0.06 Public bonds
0.30 Insurance
0.81
1.24
Investment trusts
0.0
0
FY2012
0.05
0.06
0.06
0.05 1.20
0.03
0.45
0
YoY
comparison
3.0
4.89
4
1.34
FY2014
(¥ billion)
6
5
0.08
Public bonds
1.05 Insurance
3.97
2.93
8.09
0.75
FY2013
143.3
Yachiyo Bank
Total
7
9
4
FY2012
(¥ billion)
10
5
(¥ billion)
FY2012
FY2013
FY2014
FY2015 plan
FY2012
FY2013
FY2014
FY2015 plan
25
Problem assets subject to disclosure under
the Financial Reconstruction Law and credit costs
 Credit costs and credit cost ratio (total for both banks)
 Status of disclosure assets and credit costs
 Amount and ratio of problem assets subject to disclosure under the Financial
Reconstruction Law (after partial direct write-offs)
• The disclosure assets amount fell by 17 billion yen YoY for the total for both banks.
• The disclosure assets dropped by 0.56 points YoY to 3.20%.
• The projection for Fiscal 2015 is in the 2% range for both banks.
(¥ billion)
0.32
12
0.14
9.8
10
0.10%
0.03
8
6.4
 Credit costs
• Because the business conditions of borrowers continue to be relatively stable, credit costs
are low for both banks, and Yachiyo Bank has recorded a reversal of allowances.
• Based on conservative estimates for credit costs for Fiscal 2015, credit costs are projected to
increase compared to Fiscal 2014.
6
Tokyo Tomin Bank
4.6
3.3
4
2
3.2
3.3
Yachiyo Bank
1.3
0
FY2012
(2)
FY2013
1.1
2.0
1.5
(0.30)
FY2014
1.30
FY2015 plan
* Credit cost ratio = credit costs ÷ loan average balance
 Disclosure assets amount and disclosure
assets ratio (total for both banks)
4.33
3.76
(¥ billion)
150
4.84
3.20
138.1
9.1
120
2％ range
(¥ billion)
7.8
3.94
90
123.6
Substandard
loans
70.9
106.6
3.3
4.6
60
3.66
114.3
30
0
103.4
Doubtful assets
57.9
93.3
30
3.19
3.2
Substandard
loans
3.90
(¥ billion)
2% range
90
67.6
90
60
 Disclosure assets amount and disclosure
assets ratio (Yachiyo Bank)
 Disclosure assets amount and disclosure
assets ratio (Tokyo Tomin Bank)
14.6
Bankrupt and
quasi-bankrupt
assets
8.6
FY2012
FY2013
FY2014
0
FY2015 plan
2% range
67.1
59.0
60
2.9
5.7
55.9
4.5
Substandard
loans
47.6
1.7
56.6
Doubtful assets
51.1
30
56.3
46.8
Doubtful assets
7.7
12.3
3.22
42.2
4.5
9.6
Bankrupt and
quasi-bankrupt
assets
5.0
FY2012
FY2013
FY2014
FY2015 plan
0
5.0
Bankrupt and
quasi-bankrupt
assets
3.6
FY2012
FY2013
FY2014
FY2015 plan
26
Improving management efficiency
 Status of core OHR
 Core OHR (total for both banks)
 Core OHR
• Tokyo TYFG’s core OHR was 79.68%.
• Tokyo Tomin Bank’s core OHR fell 2.05 points YoY to 77.45% due to factors
including continued efforts to reduce expenses.
• Yachiyo Bank’s core OHR fell 1.25 points YoY to 82.33% due to factors including
continued efforts to reduce expenses.
• Further reductions in expenses will be targeted for through measures such as the
consolidation and integration of the headquarters function and administrative
expenses.
82.31
50
79.50
(¥ billion)
77.45
77% range
40
20
81.38%
79.68%
84.51
83.58
82.33
81% range
26.8
26.2 Expenses
1.1 Taxes
10.3
25.7
25.6
Non-personnel
expenses
10.0
50
40
30.2
30
Core OHR
FY2014
 Expenses and core OHR (Yachiyo Bank)
 Expenses and core OHR (Tokyo Tomin Bank)
(¥ billion)
FY2013
1.1
29.4 Expenses
1.1 Taxes
30
1.3
1.1
14.5
15.2
Non-personnel
expenses
13.7
Personnel expenses
13.2
FY2012
FY2013
FY2014
10
28.8
28.8
13.7
14.1
20
10
0
10.9
1.3
14.7
14.7
Personnel
expenses
14.3
FY2012
FY2013
FY2014
0
FY2015 plan
FY2015 plan
* Core OHR = expenses ÷ (gross core business income - gains (losses) on government bonds, etc.) × 100
27
CSR initiatives
Stance of the Tokyo TY Financial Group towards CSR
The Tokyo TY Financial Group that aims to be the No. 1 urban regional bank views the implementation of CSR management and contributing to the formation of sustainable local
communities to be an essential management issue. Based on the management policy of “the development of local communities through the provision of integrated services as a
financial group for SMEs and individuals in the Tokyo Metropolis,” we have established the three action guidelines of “contributing to the regional economy,” “contributing to local
communities,” and “initiatives towards environmental issues,” and we will actively engage in CSR activities.
 Contributing to the regional economy
The Tokyo TY Financial Group supports people in the local
community through financial services and implements various
measures by leveraging its consulting function as it supports the
revitalization of the regional economy so that people in local
communities can realize their dreams.
◆◆ Holding of TOKYO TY Business Interchange
2015
The TOKYO TY Business Interchange 2015 was jointly held by
Tokyo Tomin Bank and Yachiyo Bank in February 2015. It enabled
extensive matching among the high number of visitors (6,700).
◆◆ Business succession, management consultation,
etc.
◆◆ Facilitating financing and supporting the
revitalization of the local community
etc.
 Initiatives towards environmental issues
 Contributing to local communities
The Tokyo TY Financial Group will work to improve convenience
and safety through the provision of high-quality service while
contributing to local communities through various communitybased initiatives in order to carry the aspirations of people in the
community into the next generation and develop together.
◆◆ Acquisition of certification as supporter
of dementia
The Tokyo TY Financial Group will implement various initiatives to
protect the environment through local environmental conservation
activities and financial services in order to leave behind an
environment that allows for the safe and secure living of everyone
in the community including the children that will lead the next
generation.
◆◆ Participation in an Umi-no-Mori tree planting
event
In response to the advance of population aging,
Tokyo Tomin Bank and Yachiyo Bank have
implemented measures for the acquisition of
certification as supporter of dementia in order to
contribute to the building of local communities
where people can live in security.
Employees of Tokyo Tomin Bank and Yachiyo Bank participated in a
tree planting event at the scheduled location for the Umi-no-Mori
park in November 2014, during which employees conducted tree
planting activities.
◆ Initiatives aimed at juvenile and youth
development in cooperation with FC Tokyo,
a J. League team
◆ Support for the Japan Football Association’s
Dream Class program
etc.
Formation of sustainable local communities
◆ Cooperation with the “Creation of Low-Pollen
Forests Fundraising” program
◆ Joint cleanup activities with the NPO green bird
etc.
28
Thank you for attending this presentation today.
■ Please direct any comments or questions about these briefing
materials or other IR topics to the IR officer below.
Tokyo TY Financial Group, Inc.
Corporate Planning Division
The Tokyo Tomin Bank, Limited
Corporate Planning Division, Public and Investor Relations Office
TEL
+81-3-3505-2155
E-mail [email protected]
[email protected]
The Yachiyo Bank, Limited
Corporate Planning Division, Investor Relations Section
TEL
+81-3-3352-2295
E-mail [email protected]
This document contains forward-looking statements on the
Group’s results. These statements are not intended to guarantee
future results, as they are subject to risks and contain
uncertainties. Please keep in mind that future results may differ
due to factors including changes in the business environment.
29