Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Technology Stocks : Softbank Group Corp -- Ignore unavailable to you. Want to Upgrade?

To: TobagoJack who wrote (5511)	9/4/2000 5:59:43 AM
From: Edwin S. Fujinaka	Respond to of 6018

It looks like Son is going to try to maintain a high degree of credibility in his new bank. Monday, September 4, 2000 New NCB Targets 8.7% ROE For FY03 TOKYO (Dow Jones)--The reborn Nippon Credit Bank Ltd. announced Monday that it aims for an 8.7% return on equity on net operating profit of Y45.3 billion by the fiscal year ending March 2004. The bank also said it aims for a 12.27% capital adequacy ratio for the same period. NCB started operations Monday under new management led by president Tadayo Honma, a former Bank of Japan executive director. The government completed the transfer of the nationalized bank to a consortium led by Softbank Corp. (9984) last Friday. The bank plans to change its name to "Aozora Bank Ltd." from Jan. 4, the NCB said. Aozora means blue sky. Softbank holds 48.88% of NCB, while Orix Corp. (8591) and Tokio Marine & Fire Insurance Co. (8751) have 14.99% each in the new bank. Foreign investors, such as Lehman Brothers Holdings Inc. and U.S. investment group Cerberus Partners LP, as well as 96 Japanese regional banks, also hold minor stakes in NCB. Friday, September 1, 2000 Nippon Credit To Have Oversight Body To Block Easy Credit TOKYO (Nikkei)--A consortium led by Softbank Corp. (9984) said Friday that it has completed proceedings to take over the nationalized Nippon Credit Bank, paving the way for the bank to resume operations as a private-sector bank beginning Monday. Following the announcement, Softbank President Masayoshi Son told reporters that the consortium will establish an oversight committee to ensure that some of the companies with ownership in the new bank will not use it as an easy source of credit. The committee will consist of four outside directors, as well as auditors and Tadayo Honma, president of the new bank. It will be empowered to nullify decisions by the bank's loan-screening division to lend money to businesses affiliated with the three principal consortium members if it finds problems in the screening process or in the finances at these firms. Other principal members of the consortium are Orix Corp. (8591) and Tokio Marine & Fire Insurance Co. (8751). Son also indicated that the new bank will be ready to make use of a provision in the Nippon Credit takeover contract that enables it to sell the government any loan claims with values that fall more than 20% within three years. "Since we could not examine loan claims held by the bank before the takeover, we are entitled to exercise the option," he said. (The Nihon Keizai Shimbun Saturday morning edition)