Resona Holdings, Inc. · TSE:8308
Resona — Nomura Investment Forum 2004
20 slides from Resona's conference presentation, Dec 7, 2004
Slide 1: Second Stage: From "Recovery" to "Leap Forward"
Nomura Investment Forum 2004 Second Stage: From “Recovery” to “Leap Forward” -To be a financial services company- December 7, 2004 Eiji Hosoya Director, Chairman and Representative Executive Officer Resona Holdings, Inc.
Slide 2: Contents
CONTENTS Review of Intensive Revitalization Period Overview of the new plan (1) Concept of the new plan (2) Targets in the new plan (3) Outline of the earnings plan Resona’s focus businesses (1) Five focus areas (2) Strengthen interest income (3) Loan portfolio management (Total of four banks) (4) F
Slide 3: Review of Intensive Revitalization Period
Review of Intensive Revitalization Period Steady progress to transform the company Mar 05 Sep 03 Notes Est. Achieved the target of NPL Ratio 11.2% below 4% halving the ratio Sep 04 4.8% Crossholding Within regulatory limit JPY 990 bn. JPY 400 bn. shares (Sep 04 JPY 570 bn.) Cost-to-income 12% improv
Slide 4: Overview of the new plan: Concept of the new plan
Overview of the new plan (1) Concept of the new plan Intensive Revitalization Period Medium-term Management Direction <Till Mar. 09> Focus on quality Focus on regional needs and customers’ needs Focus Speed and transparency Efficiency: quality services at low cost operations Financial Services Compa
Slide 5: Overview of the new plan: Targets in the new plan
Overview of the new plan (2) Targets in the new plan Resona’s Performance Targets Items FY2004 FY2007 Income before JPY 170 bil.* Trend of sustained growth JPY 260 bil. Profitability Total of 5 Banks income taxes Achieve Sustainable Growth Per Head Approx. Productivity Gross Operating Approx. Streng
Slide 6: Overview of the new plan: Outline of the Earnings Plan
Overview of the new plan (3) Outline of the Earnings Plan Steady Steady profits profits secured secured through through an an increase increase in in gross gross operating operating profits profits and and stabilization stabilization in in credit credit costs costs Intensive Revitalization Period Ne
Slide 7: Resona's focus businesses: Five focus areas
Resona’s focus businesses (1) Five focus areas Resona’s focus businesses ? Providing better solutions for clients - Transactions with business owners, utilization of alliance partners SME ? SME Support Centers to promote small loans SME business business ? Acquire new customers by frequent contacts,
Slide 8: Strengthen interest income
Resona’s focus businesses (2) Strengthen interest income Strengthen Strengthen interest interest income income (Total (Total of of four four banks) banks) ? Transactions with SME owners 20 tri 400 bil. 16.8 tri. Offering comprehensive solutions 16.4 tri. 16.3 tri. 15.8 tri. 16.0 tri. (corporate and
Slide 9: Loan portfolio management
Resona’s focus businesses (3) Loan portfolio management Loan Loan portfolio portfolio management management (Total (Total of of four four banks) banks) Asset quality improved Future plan [NPL under the Financial Reconstruction Law criteria] Loan portfolio 4 banks (Total of 4 banks) NPL declined to J
Slide 10: Fee business
Resona’s focus businesses (4) Fee business Expect Expect steady steady growth growth in in fee fee businesses businesses (Total (Total of of four four banks) banks) Billions of Yen 3,000 30 Investment Trust Sale amount 24 2,500 Outstanding bal. 25 Related income 19 21 <Actions to achieve income grow
Slide 11: Alliances
Resona’s focus businesses (5) Alliances Best Best products products and and services services procured procured through through alliances alliances with with industry-top industry-top players players Value-added services Various Various Alliances Alliances Better solution Alliance initiative based o
Slide 12: Low-cost operation and strategic investments
Low-cost operation and strategic investments Increase Increase in in non-base non-base expense expense such such as as systems systems integration integration costs costs is is partly partly offset offset by by aa reduction reduction in in base base expense expense [Analysis of an increase in operat
Slide 13: Enhance marketing and low cost operations
Enhance marketing and low cost operations Enhancement of marketing • Relocate staff from back office to sales front by reviewing business processes (Composition of back-office staff: sales staff = 7 3 5 : 5) Increase sales • Strengthen sales force through new hiring forces (Mar. 04/ Approx. 3,900 Ma
Slide 14: Decentralized business and centralized management
Decentralized business and centralized management Streamline corporate structure and enhance centralized management system to foster decentralized business model Establishment of decentralized business model Corporate HD’s focus on governance function and centralized management structure reform High
Slide 15: Exit policy on public funds
Exit policy on public funds Plan Plan for for repayment repayment of of public public funds funds [Exit policy] [Preferred stocks issued under the Early Strengthening Law in 1999] Class B, #1 Class E, #1 Class F, #1 Class C, #1 ? Make every effort for the Government to collect the public Issue amoun
Slide 16: Reference: Strengthen marketing staff significantly (Resona Bank)
<Reference> Strengthen marketing staff significantly (Resona Bank Branch Branch office office (including (including HQ HQ front-office front-office personnel) personnel) HQ HQ back-office back-office personnel personnel Composition of Branch Office Staff Abt 2,500 Abt Abt 12,800 12,000 Composition o
Slide 17: Reference: Layout of new office
<Reference> Layout of new office (Reference) (Reference) Layout Layout at at aa pilot pilot office office [Comparison of office layouts before and after the modification (Takenozuka Branch)] BEFORE AFTER Marketing Area Service Area Service Area Marketing Area Office Area Office Area * Enlargement of
Slide 18: Reference: Realignments of subsidiary banks
<Reference> Realignments of subsidiary banks Strengthening Strengthening earnings earnings is is the the top top priority priority and and large-scale large-scale realignments realignments will will be be suspended suspended Current State After Realignment Resona Resona Holdings Holdings Resona Reso
Slide 19: Reference: Earnings plan (Total of five banks)
<Reference> Earnings plan (Total of five banks) (Total of Five Banks) (Billions of Yen) (Billions of Yen) FY2003 FY2004 FY2005 FY2006 FY2007 FY2003 FY2004 FY2005 FY2006 FY2007 (A) 1st Half (B) Change (A) 1st Half (B) Change (Actual) (Forecast) (Actual) (Plan) (Plan) (Plan) (B) - (A) (Actual) (Foreca
Slide 20: The forward-looking statements contained in this presentation may be subject to material change due
The forward-looking statements contained in this presentation may be subject to material change due to the following factors. These factors may include changes in the level of stock price in Japan, any development and change related to the government’s policies, laws, business practices and their in