Fitch Considers Downgrading Ratings On 19 Japan Banks
Thursday, March 15, 2001
TOKYO (Nikkei)--International credit-rating agency Fitch IBCA announced Wednesday that it will consider downgrading credit ratings on 19 Japanese banks.
The agency says the move reflects its growing concern over the impact of falling share prices and lingering bad-loan problems on the banks' capital bases and profitability.
The agency expects charges for writing off nonperforming loans will remain high relative to the banks' core business profits, and speculates that the start of market value accounting next fiscal year will further worsen the banks' financial standings.
The 19 banks include Mizuho Holdings Inc., Dai-Ichi Kangyo Bank, Fuji Bank, Industrial Bank of Japan, Sakura Bank (8314), Sanwa Bank (8320), Asahi Bank (8322), Tokai Bank (8321), Mitsubishi Trust and Banking Corp. (8402), Sumitomo Trust & Banking Co. (8403), Bank of Yokohama (8332) and Chiba Bank (8331) -- all of which now have D ratings.
D/E-rated Chuo Mitsui Trust & Banking Co. (8408), Yasuda Trust & Banking Co. (8404), Toyo Trust & Banking Co. (8407), Hokuriku Bank (8357), Ashikaga Bank (8335) as well as C/D-rated Bank of Tokyo-Mitsubishi (8315) and Sumitomo Bank (8318) are also included.
(The Nihon Keizai Shimbun Thursday morning edition) |
