Resona Holdings, Inc. to repay subordinated loans

Press Releases

Date: February 27, 2009

Statement by the Governor
Resona Holdings, Inc. to repay subordinated loans

1. Resona Holding, Inc. made a request for voluntary repayment of its subordinated loans subscribed by the Resolution and Collection Corporation (RCC) in accordance with the Law concerning Emergency Measures for Early Strengthening of Financial Functions ("Early Strengthening Law").
2. The Deposit Insurance Corporation of Japan (DICJ) approved today the request made through the RCC as the DICJ considered the request as an execution of the right of Resona Holding, Inc. in line with the deadline of payable date for voluntary repayment provided in the clause of agreement.

Upon the above voluntary repayment, all of the publicly-funded subordinated loans and bonds of Resona Holdings Inc. to strengthen its capital base will have been repaid.

Details of the Loans to be Prepaid
Type Resona Holding, Inc. perpetual subordinated loans
(Special Perpetual Subordinated Loan Agreement)
Lending date March 30, 1999
Relevant law Early Strengthening Law
Original amount extended ¥100 billion
Remaining balance before repayment ¥45 billion
Amount to be prepaid ¥45 billion
Interest rate Until March 31, 2009: 6 months yen LIBOR + 1.04%
Thereafter: 6 months yen LIBOR + 2.54%
Scheduled date of repayment March 31, 2009
Note: As a result of the above repayment, outstanding balance of public funds injected into Renona Holdings, Inc. will be ¥261.7 billion in common stock and ¥1,998.9 billion in preferred stock on an original amount base.

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