The original texts of this press release are prepared in the Japanese language, and this translation is only provisional.

 

 

Sumitomo Mitsui Financial Group, Inc.

 

 

Notice regarding Change of Status of a Subsidiary

 

 

TOKYO, July 2, 2007 --- Sumitomo Mitsui Financial Group, Inc.(SMFG, President: Teisuke Kitayama) and Sumitomo Mitsui Banking Corporation (SMBC, President: Masayuki Oku) hereby announce that Central Finance ブックメーカー入金不要ボーナス., Ltd.(CF, President & Representative Director: Tatsuo Tsuchikawa), which is an equity method affiliated company of both SMFG and SMBC, has acquired common shares of ブックメーカー入金不要ボーナス Inc. (ブックメーカー入金不要ボーナス, President: Shinpei Nihei) worth JPY 7,500,000,000 through a third-party allocation. As a result of this acquisition, ブックメーカー入金不要ボーナス, which was formerly an equity method affiliated company of both SMFG and SMBC, become a consolidated subsidiary of both SMFG and SMBC.

 

1. Reasons for Change of Status

The change of status is due to CF’s acquisition of common shares of QUOQ through a third-party allocation based on the capital alliance between CF and QUOQ, as we announced by the press release titled “Central Finance, Sumitomo Mitsui Financial Group and Mitsui & ブックメーカー入金不要ボーナス., Ltd. to Form Strategic Alliance in Consumer Finance Business” on April 27, 2007.

 

2. Method of Change of Status

By issuance of common shares worth JPY 7,500,000,000 through a third-party allocation to CF, ブックメーカー入金不要ボーナス become an equity method affiliated company of CF who will have 20% share of its total voting rights. Therefore, ブックメーカー入金不要ボーナス become a consolidated subsidiary of both SMFG and SMBC.

 

1)    Issuance of common shares by ブックメーカー入金不要ボーナス

i)     Number of ブックメーカー入金不要ボーナス to be issued: 480,000 ブックメーカー入金不要ボーナス

ii)   Aggregate amount of issue price: JPY 7,500,000,000

iii) Company and the number of ブックメーカー入金不要ボーナス to be allocated: CF 480,000 ブックメーカー入金不要ボーナス

iv) Payment date: July 2, 2007

 

3. Outline of ブックメーカー入金不要ボーナス Inc.

 

Corporate Name		ブックメーカー入金不要ボーナス Inc.
Location		Sumitomo Fudosan Mita Twin Buildings West Hall, 3-5-27 Mita, Minato-ku, Tokyo
Representative		Shinpei Nihei, President
Establishment date		April 5, 1978
Capital		4,750 million yen (as of July 2, 2007)
Main shareholders (as of July 2, 2007)		Name		Address		No. of ブックメーカー入金不要ボーナス	AS% of total outstanding ブックメーカー入金不要ボーナス
		Central Finance ブックメーカー入金不要ボーナス., Ltd.		3-20-27 Nishiki, Naka-ku, Nagoya-shi, Aichi-ken		480,000	20.0％
		Ginsenブックメーカー入金不要ボーナス., Ltd.		4-6-12 Kouraibashi, Chuo-ku, Osaka-shi, Osaka-fu		410,000	17.0％
		Sumitomo Mitsui Banking Corporation		1-2 Yurakucho 1-chome, Chiyoda-ku, Tokyo		264,000	11.0％
Main businesses		Consumer installment credit, consumer loan, guarantee and money collection agency service
Relationship with SMFG		Capital	56.5% on a consolidated basis(as of July 2, 2007)
		Personnel	None
		Business	None
Employees		1,472 (as of March 31, 2007)
Earnings & Financial Situation		FY2005 (ended March 2006)			FY2006 (ended March 2007)
	Operating income	67,319 million yen			62,109 million yen
	Operating profit	2,456 million yen			1,069 million yen
	Net income/loss	2,480 million yen			(21,562 million yen)
	Total assets	934,062 million yen			879,066 million yen
	Stockholders’ equity	48,779 million yen			25,070 million yen

 

4. Date of Effectiveness

    July 2, 2007

 

5. Earnings Forecasts

There is no revision to SMFG’s earnings forecasts for the fiscal year ending March 31, 2008.