[Sumitomo Mitsui Financial Group, Inc.]Sumitomo Mitsui Financial Group Announces Claims on Lehman Brothers Holdings Inc. and its Affiliates(1/1)
Financial Group, Inc.
Mitsui Financial Group Announces Claims on
Brothers Holdings Inc. and its Affiliates
Amount of Claims on Lehman Brothers Holdings Inc. and
Credit exposures such as loans Approximately US$ 0.98 billion
(secured amount is US$0.88 billion)
JPY 500 million
The majority of the above amount is secured. We have been examining the situation and
estimate the loss, at this point in time, to be approximately JPY 10 billion; a
loss provisioning or other necessary steps will be taken this fiscal year.
In addition, SMBC participated in loans and commitment lines originated
by Lehman Brothers and its affiliates totaling approximately US$3.2 billion (approximately
US$0.7 billion in outstanding amount, and approximately US$2.5 billion in undrawn amount). However, the probability of SMBC incurring losses from these transactions
is expected to be very low because the credit risk lies with the underlying
obligors who are all investment-grade obligors and not with Lehman Brothers.