R&I Rating Methodology by Sector

Size: px
Start display at page:

Download "R&I Rating Methodology by Sector"

Transcription

1 R&I Rating Methodology by Sector Logistics Companies June 9, 2014 R&I applies this rating methodology to logistics companies whose main businesses are in segments such as charter trucking operations, warehouse storage and harbor transport for leading firms. R&I's view of industry risk differs for long-distance trunk line transportation, which combines the cargoes of numerous unspecified customers (less-than-truckload), and parcel delivery service for small packages. Therefore R&I evaluates firms by classifying them into one of three segments: "transport and warehousing," "less-than-truckload" and "parcel delivery." I. Evaluation of Business Risk 1. View of industry risk While logistics demand enjoys a comparatively high degree of stability, maturation of Japan's domestic economy makes it difficult to anticipate medium to long-term growth. Given these circumstances, each company providing logistics services mainly to large-scale firms ensures the volume it handles by offering 3PL (third party logistics) designed to comprehensively undertake all of a customer's logistics activities. Parcel delivery, which has skillfully assimilated the growth in demand for small package delivery resulting from the spread of mail orders completed by Internet (Internet mail order sales), is an oligopoly serviced mainly by the top two companies. In less-than-truckload logistics, on the other hand, new entry is easy and there are numerous competing firms, and companies are also affected by the shift of some logistics demand to parcel delivery because of the diversification of consumer preferences. R&I evaluates "transport and warehousing" and "parcel delivery" to have a medium level of industry risk, while viewing the "less-than-truckload" segment to have a relatively high degree of industry risk. (1) Market size, market growth potential and market volatility According to a study by the Japan Trucking Association and the Japan Federation of Freight Industries, the size of the logistics market is about 20 trillion yen. Of this, this website or any other information included in this website belong to Rating and Investment Information, Inc. ("R&I"). None of the information, etc. may be used, in whole or in part, (including without limitation reproducing, amending, sending, distributing, transferring, lending, translating, or adapting the information), or stored for subsequent use without R&I's prior written permission. 1/8

2 less-than-truckload and charter truck transport account for roughly 11 trillion to 12 trillion yen. Judging from data such as information released by the Ministry of Land, Infrastructure, Transport and Tourism and the volume of net sales at the two largest companies, the size of the parcel delivery market is estimated to exceed two trillion yen. As the leading companies proceed to shift their production bases overseas, domestic logistics demand is projected to be faced with a gradual contraction. The less-than-truckload segment handling long-distance transport in particular is faced with a severe operating environment, as some demand is being diverted to parcel delivery with the evolution of just-in-time, small lot logistics, and there is scant room for market growth. In parcel delivery as well, where the number of packages handled is growing, there is a downward trend in unit prices and continuous growth in the size of the market is difficult to envisage. The volume of freight handled in each segment tends to be affected by the fluctuations of the domestic economy, and market volatility is somewhat high. (2) Industry structure (competitive environment) The competitive environment is comparatively severe. In total, there are over 60,000 logistics companies throughout Japan, and several firms often compete when receiving new orders. Nevertheless, logistics companies possessing the wherewithal to provide a full range of transport-related activities including packing, warehouse storage and inventory control are concentrated mainly among the major logistics companies. In the less-than-truckload segment, only a limited number of firms have established their own nationwide network for regularly scheduled deliveries and are capable of handling long-distance or heavy, massive freight. Because there are parameters that enable them to differentiate themselves, they have not descended into straightforward price competition. The competitive environment for parcel delivery, on the other hand, is relatively moderate. Parcel delivery is an oligopoly market dominated by Yamato Holdings Co., Ltd. (Yamato Transport Co., Ltd.) and SG Holdings Co., Ltd. (Sagawa Express Co., Ltd.), which together account for about 80% of the market. Along with the construction of distribution centers, investment in systems for operations such as freight tracking is essential. Substantial capital investment is thus required for construction of a network capable of handling deliveries to individuals' homes. The fixed cost burden for maintaining this network is also heavy. Accordingly, barriers to entry are extremely high. 2/8

3 (3) Customer continuity and stability In many cases, logistics companies that provide client firms with custom-made logistics services, such as 3PL designed to comprehensively undertake all of a customer's logistics activities, have stable, long-term business relationships. For less-than-truckload shipments and parcel deliveries, many customers easily switch to other companies, because they enter agreements with several trucking companies and use different service providers depending on that day's shipment preparation status and cargo pickup time. Furthermore, small and medium-sized firms, which represent a large proportion of their customers, have a strong tendency to place top priority on price. In the parcel delivery market dominated by two firms, however, room for selection is limited compared with the less-than-truckload market. (4) Capital and inventory investment cycles Outlays for vehicles, distribution centers and IT systems account for the major portion of capital investment. To meet the diversified logistics demands of their clients, firms have boosted investment in multifunctional distribution centers. A state-of-the-art distribution center capable of handling logistics processing such as tagging and inspection in addition to the normal sorting and storage functions is a large-scale investment, whose cost can amount to tens of billions of yen. In many cases, firms will improve their prospects for distribution volume when building a facility by, for instance, securing customers beforehand, or terminating their agreements with warehouses they have leased nearby and consolidating freight. Because of this, investment recovery risk is not very significant. (5) Protection, regulations and public aspects Basically there are no protective measures or regulations that affect creditworthiness. Harbor transport is strongly influenced by regulations and industry conventions, and with high barriers to entry, industrial order is extremely stable. R&I incorporates this factor into individual firm risk, however, because the percentage of each company's earnings from such operations can vary substantially, and not all logistics companies are involved in this business. (6) Cost structure Logistics companies have created flexible cost structures by, for example, chartering vehicles, subcontracting and using rented warehouses to respond to changes in distribution volume. The less-than-truckload and parcel delivery segments require large numbers of workers to handle 3/8

4 collection and delivery, so the fixed cost burden is heavy. They have sought to convert personnel expenses into a variable cost using temp and part-time workers. In this case, securing and training part-timers in order to maintain the quality of operations has become an issue, and whether a firm keeps cost flexibility without lowering operating efficiency is a key point. 2. View of individual firm risk In contrast to industry risk, which highlights the standard risks of the industry of which the subject firms are a part, the business risk of each company will differ depending on the individual firm risk as explained below. Because parcel delivery evolved out of the less-than-truckload business and the two businesses have similarities, the main evaluation factors are the same for these businesses. [Transport and warehousing] (1) Customer base Customers are primarily large enterprises, and business relationships can extend over the long-term because many of the work activities are custom-made. A key point is whether a transport provider has been able to establish solid business relationships with leading firms. Moreover, supposing customers are broadly diversified without a bias toward specific firms and industries, the company's earnings are more stable, and it leads to high evaluation. (2) Ability to provide services Leading companies demand a high level of services from a logistics company, and its ability to meet this demand is indispensable for strengthening business relationships and ensuring profitability. If a logistics company can propose distinctive, high added value services ahead of competitors, it would boost transactions with existing clients and the acquisition of new customers. (3) International transport capabilities Against the backdrop of continuing economic growth in Asia and economic globalization, domestic firms have stepped up efforts to advance into foreign markets. Overseas development in response to such trend is essential for maintaining and improving medium and long-term earning capacity and the ability to generate cash flow. Moreover, should this overseas development progress further, it will lead to both the expansion of operations and regional diversification of earnings sources as well. 4/8

5 (4) Earnings base of the real estate business When evaluating logistics companies that generate a significant portion of their earnings from real estate operations, R&I evaluates the earnings base of this activity as well. Many such logistics companies are warehousing firms. In many cases, the real estate business handled by warehousing firms is built around the leasing of office buildings on redeveloped warehouse sites, which the companies have owned for many years and have low book values. Therefore such business tends to be highly profitable. In cases where the real estate business is a small percentage of total operations, R&I does not evaluate this rating factor. [Less-than-truckload and parcel delivery] (1) Logistics networks and freight collection capabilities A company's logistics network is linked to the relative superiority or inferiority of its delivery service. Drivers frequently promote their service to freight owners and gain new customers. This is an important component for judging a firm's customer base and competitiveness. (2) Quality of delivery The quality of delivery, particularly aspects such as short delivery periods and detailed time bands that allow customers to specify the delivery window, prompt response to re-delivery and collection requests, and driver courtesy, is a meaningful factor supporting competitiveness. The higher quality of delivery helps lock in customers and enables a company to charge higher fees. (3) Ability to develop logistics (surrounding business) operations It has become difficult to increase the profitability of trucking. To maintain and enhance earning capacity under such circumstances, a company needs to broaden its business base in surrounding activities related to transport, such as warehouse storage and cash on delivery settlement. Strengthening surrounding operations is indispensable not only for diversification of earnings sources, but also for meeting customers' needs and improving the added value of the transport business. (4) International transport capabilities Overseas expansion is in its early stage, and R&I therefore does not give undue weight to overseas development, particularly in the less-than-truckload segment. If a logistics company can 5/8

6 respond to the growing logistics demand between countries, however, this will work advantageously for boosting transactions with existing clients and acquiring new customers. II. Evaluation of Financial Risk Critical indicators are the same in each business category, with the reference values of each rating category differing to reflect disparities in industry risk. (1) Earning capacity EBITDA (earnings before interest, taxes, depreciation and amortization)/average total assets Price competition is severe and logistics companies are under pressure to lower prices. Strong earning capacity provides a significant cushion enabling companies to absorb a drop in unit prices, and is an important evaluation factor for examining competitiveness. Given that the depreciation and amortization burden differs as a result of capital investment timing, R&I uses an indicator based on EBITDA, which permits easy comparisons over time and across companies. (2) Scale and investment capacity EBITDA, equity capital The investment burden for the vehicles and distribution centers required to continue operations is not significant. Investment capacity, however, is becoming increasingly important. To maintain their earnings base over the medium to long-term, firms will require substantial funds for activities such as new construction of high-performance distribution centers, mergers and acquisitions (M&A) aimed at acquiring markets, and the creation of an overseas logistics network. As indicators, R&I focuses on EBITDA and equity capital. (3) Debt redemption period Net debt to EBITDA ratio For comparisons with the investment recovery period, the net debt to EBITDA ratio is a highly important indicator. R&I looks at measures such as the vehicle depreciation period, the recovery period for investments in logistics centers, and working capital. Given the possibility that future strategic investments including M&A and overseas development will require substantial funds, a substantively debt-free condition is a yardstick for a strong evaluation. 6/8

7 (4) Financial profile Equity ratio, net D/E ratio (ratio of net debt to equity capital) The role of equity capital as a risk buffer against losses is not that large because cost structures are flexible and revenues and expenditures are comparatively stable. However, this indicator takes on greater importance for judging the strength of the financial base for maintaining strategic investments for the future and judging whether a firm has the capacity to procure external funding. Because the less-than-truckload segment has higher industry risk than the other business segments, a firm in this segment needs to ensure a greater level of equity capital than those in the other segments. III. Rating for Logistics Companies [Transport and warehousing] Issuer Rating Individual Firm Risk Financial Risk Importance Indicator Importance Customer base Earning capacity EBITDA/average total assets Ability to provide services Scale and investment EBITDA International transport capabilities capacity Equity capital Earnings base of the real estate business* Debt redemption *If the real estate business is period Net debt to EBITDA ratio a small percentage of total Equity ratio Financial profile operations, this is not evaluated. Net D/E ratio Industry risk: Medium Note) Importance is indicated by : extremely important, : important, or relatively important. 7/8

8 [Less-than-truckload and parcel delivery] Issuer Rating Individual Firm Risk Importance Indicator Importance Less-than- Parcel Earning capacity EBITDA/av erage total assets truckload deliv ery Scale and inv estment EBITDA Logistics networks and f reight capacity Equity capital collection capabilities Debt redemption Net debt to EBITDA ratio Quality of delivery period Ability to dev elop logistics Equity ratio Financial profile (surrounding business) operations Net D/E ratio International transport capabilities Financial Risk Industry risk: Less-than-truckload: Relatively high, Parcel delivery: Medium Note) Importance is indicated by : extremely important, : important, or relatively important. * This report replaces all previous versions that have been released to date. The Rating Determination Policy and the Rating Methodologies R&I uses in connection with evaluation of creditworthiness (collectively, the "Rating Determination Policy and Methodologies") are R&I's opinions prepared based on R&I's own analysis and research, and R&I makes no representation or warranty, express or implied, as to the accuracy, timeliness, adequacy, completeness, merchantability, fitness for any particular purpose, or any other matter with respect to the Rating Determination Policy and Methodologies. Further, disclosure of the Rating Determination Policy and Methodologies by R&I does not constitute any form of advice regarding investment decisions or financial matters or comment on the suitability of any investment for any party. R&I is not liable in any way for any damage arising in respect of a user or other third party in relation to the content or the use of the Rating Determination Policy and Methodologies, regardless of the reason for the claim, and irrespective of negligence or fault of R&I. All rights and interests (including patent rights, copyrights, other intellectual property rights, and know-how) regarding the Rating Determination Policy and Methodologies belong to R&I. Use of the Rating Determination Policy and Methodologies, in whole or in part, for purposes beyond personal use (including reproducing, amending, sending, distributing, transferring, lending, translating, or adapting the information), and storing the Rating Determination Policy and Methodologies for subsequent use, is prohibited without R&I's prior written permission. Japanese is the official language of this material and if there are any inconsistencies or discrepancies between the information written in Japanese and the information written in languages other than Japanese the information written in Japanese will take precedence. 8/8

R&I Rating Methodology by Sector

R&I Rating Methodology by Sector R&I Rating Methodology by Sector Electric Wires and Cables December 3, 2013 R&I applies this rating methodology to electric wire and cable manufacturers that position three sectors "electric wires and

More information

R&I Rating Methodology by Sector

R&I Rating Methodology by Sector R&I Rating Methodology by Sector Medical Devices August 8, 2013 The term medical devices refers to equipment and apparatus that are used for the diagnosis and treatment of illnesses, or function as part

More information

R&I Rating Methodology by Sector

R&I Rating Methodology by Sector R&I Rating Methodology by Sector Life Insurance October 31, 2013 R&I applies its rating methodology for life insurance to life insurance companies that provide death benefits centered on mortality insurance

More information

R&I's Analytical Approach to Financial Congromerates

R&I's Analytical Approach to Financial Congromerates R&I's Analytical Approach to Financial Congromerates (This report is an English translation of the original report in Japanese.) 1. The Framework of Rating Evaluation The main steps for R&I's evaluation

More information

R&I Rating Methodology by Sector

R&I Rating Methodology by Sector R&I Rating Methodology by Sector Passenger Vehicles April 5, 2016 R&I applies this rating methodology to manufacturers of passenger vehicles in a broad sense, including light trucks and motorcycles. This

More information

R&I Rating Methodology by Sector

R&I Rating Methodology by Sector R&I Rating Methodology by Sector Department Stores April 9, 2013 R&I applies its rating methodology for department stores when rating retail firms such as the member stores of the Japan Department Stores

More information

General Trading Companies

General Trading Companies Last upated: July 13, 2011 Rating Methodology by Sector General Trading Companies General trading companies operate in a broad array of industries, including metals, energy, machinery, food, chemicals,

More information

To Our Shareholders A Message from the CEO

To Our Shareholders A Message from the CEO To Our Shareholders A Message from the CEO Overview of Fiscal 2007 Performance Looking at consolidated performance during fiscal 2007, or the year ended March 31, 2007, ORIX achieved an 18% rise in net

More information

R&I's Basic Methodology for Corporate Credit Ratings

R&I's Basic Methodology for Corporate Credit Ratings R&I's Basic Methodology for Corporate Credit Ratings May 1, 2015 Chapter 1 Overview of the Rating Methodology This rating methodology provides the basis for assigning ratings to corporations. Corporations

More information

R&I Rating Methodology by Sector

R&I Rating Methodology by Sector R&I Rating Methodology by Sector Electricity December 20, 2013 R&I applies this rating methodology mainly to the ten general electricity utilities that account for the majority of Japan's electricity business

More information

Rating Methodology by Sector. Life Insurance

Rating Methodology by Sector. Life Insurance Last Updated: March 26, 2012 Rating Methodology by Sector Life Insurance *This rating methodology is a modification of the rating methodology made public on July 13, 2011, and modifications are made to

More information

Rating Methodology by Sector. Life Insurance

Rating Methodology by Sector. Life Insurance Last Updated: July 1, 2013 Rating Methodology by Sector Life Insurance The following mainly applies to life insurance companies in Japan. The credit ratings of a life insurance company is assessed by focusing

More information

Rating Methodology by Sector. Non-life Insurance

Rating Methodology by Sector. Non-life Insurance Last updated: March 26, 2012 Rating Methodology by Sector Non-life Insurance *This rating methodology is a modification of the rating methodology made public on July 13, 2011, and modifications are made

More information

Financial Highlights for the Fiscal Year Ended March 31, 2016 May 13, 2016

Financial Highlights for the Fiscal Year Ended March 31, 2016 May 13, 2016 Financial Highlights for the Fiscal Year Ended March 31, 2016 May 13, 2016 Japan Post Holdings: Financial Highlights Results of Operations for the Fiscal Year Ended March 31, 2016 Japan Post Holdings (Consolidated)

More information

Rating Methodology by Sector. Electric Power

Rating Methodology by Sector. Electric Power Last updated: July 13, 2011 Rating Methodology by Sector Electric Power 1. Business base Vital to public interest, the electric power industry is regulated and protected by the government in its role as

More information

Qualitative information regarding first-quarter settlement of accounts

Qualitative information regarding first-quarter settlement of accounts Qualitative information regarding first-quarter settlement of accounts (1) Qualitative information regarding consolidated operating results During the three months ended 30th June, 2013 (from 1st April,

More information

KYODO PRINTING CO., LTD. and Consolidated Subsidiaries

KYODO PRINTING CO., LTD. and Consolidated Subsidiaries KYODO PRINTING CO., LTD. and Consolidated Subsidiaries Interim Consolidated Financial Statements (Unaudited) for the, Interim Consolidated Balance Sheets, as compared with March 31, (Unaudited) ASSETS,

More information

The Sumitomo Warehouse Co., Ltd.

The Sumitomo Warehouse Co., Ltd. Consolidated Financial Results for the Year Ended March 31, 2014[ Japan GAAP ] May 13, 2014 The Sumitomo Warehouse Co., Ltd. Securities code: 9303 Stock exchange listings: URL: Representative: Inquiries:

More information

Rating Methodology by Sector. Non-life Insurance

Rating Methodology by Sector. Non-life Insurance Last updated: July 1, 2013 Rating Methodology by Sector Non-life Insurance The following mainly applies to non-life insurance companies in Japan. When determining the credit rating of a non-life insurance

More information

NEWS RELEASE. No.2005-PA-002 Mar 11, 2005 8 Non-Life Insurance Companies: R&I Reviewed Ratings

NEWS RELEASE. No.2005-PA-002 Mar 11, 2005 8 Non-Life Insurance Companies: R&I Reviewed Ratings No.2005-PA-002 Mar 11, 2005 8 Non-Life Insurance Companies: R&I Reviewed Ratings Rating and Investment Information, Inc. (R&I), has reviewed the following ratings. R&I RATINGS (For rating actions, please

More information

Re: Agreement to Commence the Process for the Acquisition of Amlin, a UK Insurance Holding Company by Mitsui Sumitomo Insurance

Re: Agreement to Commence the Process for the Acquisition of Amlin, a UK Insurance Holding Company by Mitsui Sumitomo Insurance September 8, 2015 MS&AD Insurance Group Holdings, Inc. Re: Agreement to Commence the Process for the Acquisition of Amlin, a UK Insurance Holding Company by Mitsui Sumitomo Insurance Mitsui Sumitomo Insurance

More information

Consolidated and Non-Consolidated Financial Statements

Consolidated and Non-Consolidated Financial Statements May 13, 2016 Consolidated and Non-Consolidated Financial Statements (For the Period from April 1, 2015 to March 31, 2016) 1. Summary of Operating Results (Consolidated) (April 1,

More information

OUR ACTIVITIES IN THE COMPANY

OUR ACTIVITIES IN THE COMPANY CHAPTER OUR ACTIVITIES IN THE COMPANY Based on a philosophy of Customer First, TOYOTA strives to provide attractive products and services that meet the needs of customers worldwide. TOYOTA also seeks to

More information

Overview for the nine months ended December 31, 2008 (from April 1, 2008 to December 31, 2008)

Overview for the nine months ended December 31, 2008 (from April 1, 2008 to December 31, 2008) 1 [Qualitative Information & Consolidated Financial Statements] 1. Qualitative Information on Results of Operations Overview for the nine months ended December 31, (from April 1, to December 31, ) As for

More information

Research Update: Banco Monex S.A. Rated Global Scale 'BB+/B', National Scale 'mxa+/mxa-1' Rating Affirmed. Table Of Contents

Research Update: Banco Monex S.A. Rated Global Scale 'BB+/B', National Scale 'mxa+/mxa-1' Rating Affirmed. Table Of Contents May 17, 2012 Research Update: Banco Monex S.A. Rated Global Scale 'BB+/B', National Scale 'mxa+/mxa-1' Rating Affirmed Primary Credit Analyst: Arturo Sanchez, Mexico City (52) 55-5081-4468;arturo_sanchez@standardandpoors.com

More information

Rating Methodology by Sector. Electric Power

Rating Methodology by Sector. Electric Power Last updated: April 23, 2015 Rating Methodology by Sector Electric Power 1. Business base Vital to public interest, the electric power industry is regulated and protected by the government in its role

More information

TO OUR SHAREHOLDERS A MESSAGE FROM THE CEO. shareholders equity ratio and ROE both rose to over 10%.

TO OUR SHAREHOLDERS A MESSAGE FROM THE CEO. shareholders equity ratio and ROE both rose to over 10%. TO OUR SHAREHOLDERS A MESSAGE FROM THE CEO During the fiscal year ended March 31, 2004, attained record-high total revenues, income before income taxes, and net income. We also made steady progress in

More information

B U I L D I N G N O R T H A M E R I C A N F I N T E C H L E A D E R S H I P. BMO 2013 Technology and Digital Media Conference

B U I L D I N G N O R T H A M E R I C A N F I N T E C H L E A D E R S H I P. BMO 2013 Technology and Digital Media Conference B U I L D I N G N O R T H A M E R I C A N F I N T E C H L E A D E R S H I P BMO 2013 Technology and Digital Media Conference Forward-Looking Statements This presentation contains certain statements that

More information

Turkish Finance Companies: New legislation on Financial Leasing, Factoring and Financing Institutions Is Credit Positive

Turkish Finance Companies: New legislation on Financial Leasing, Factoring and Financing Institutions Is Credit Positive FEBRUARY 14, 2013 BANKING SECTOR COMMENT Turkish Finance Companies: New legislation on Financial Leasing, Factoring and Financing Institutions Is Credit Positive Table of Contents: SUMMARY OPINION 1 OVERVIEW

More information

Tackle for the Dream. April 2013

Tackle for the Dream. April 2013 Medium Term Management Plan Tackle for the Dream April 2013 Table of Contents t 1. Background and Positioning of the Medium Term Management Plan P2 2. Outline of the Medium Term Management Plan P3 3. Financial

More information

Consolidated Settlement of Accounts for the First 3 Quarters Ended December 31, 2011 [Japanese Standards]

Consolidated Settlement of Accounts for the First 3 Quarters Ended December 31, 2011 [Japanese Standards] The figures for these Financial Statements are prepared in accordance with the accounting principles based on Japanese law. Accordingly, they do not necessarily match the figures in the Annual Report issued

More information

Rating Research Services

Rating Research Services Rating Research Services Media Release: Ratings On Taiwan Mobile Co. Ltd. Affirmed On Sustainable Market Position; Outlook Stable Primary Credit Analyst: Anne Kuo, CFA; (886) 2 8722-5829; anne.kuo@taiwanratings.com.tw

More information

Brookfield financial Review q2 2010

Brookfield financial Review q2 2010 Brookfield financial Review q2 2010 Overview Operating cash flow and gains totalled $327 million in the second quarter or $0.53 per share compared to $294 million in the prior year. This brings operating

More information

Syndicated Revenue Loans. Secured Lines of Credit

Syndicated Revenue Loans. Secured Lines of Credit Syndicated Revenue Loans. Syndicated Revenue Loans are Revenue loans grouped together through a syndicate. Typically these loans are given while a revenue loan is still outstanding, but the business owner

More information

Financial Results for the Nine-Month Period Ended March 31, 2013

Financial Results for the Nine-Month Period Ended March 31, 2013 Financial Results for the Nine-Month Period Ended March 31, 2013 May 14, 2013 Company name: ZERO CO., LTD. Code No: 9028 Tokyo Stock Exchange (Second Section) (URL http://www.zero-group.co.jp/) Representative:

More information

As of July 1, 2013. Risk Management and Administration

As of July 1, 2013. Risk Management and Administration Risk Management Risk Control The ORIX Group allocates management resources by taking into account Group-wide risk preference based on management strategies and the strategy of individual business units.

More information

Medium-term Business Plan

Medium-term Business Plan Mitsubishi UFJ Financial Group, Inc. Medium-term Business Plan Tokyo, May 15, 2015 --- Mitsubishi UFJ Financial Group, Inc. (MUFG) announced today that it has formulated its medium-term business plan for

More information

January 27, 2016 Consolidated Financial Results for the First Nine Months of the Fiscal Year Ending March 31, 2016

January 27, 2016 Consolidated Financial Results for the First Nine Months of the Fiscal Year Ending March 31, 2016 <under Japanese GAAP> Translation January 27, 2016 Consolidated Financial Results for the First Nine Months of the Fiscal Year Ending March 31, 2016 Company name: Alpine Electronics, Inc. Listing: First

More information

Evaluation on Hybrid Capital of Life Insurance Companies

Evaluation on Hybrid Capital of Life Insurance Companies 06-D-417 September 1, 2006 Evaluation on Hybrid Capital of Life Insurance Companies Japan Credit Rating Agency (JCR) has summarized below the basic perspectives and standards for the evaluation of hybrid

More information

Consolidated Financial Review for the Second Quarter Ended September 30, 2014

Consolidated Financial Review for the Second Quarter Ended September 30, 2014 Consolidated Financial Review for the Second Quarter Ended September 30, 2014 TOKYO ELECTRON Oct 29, 2014 Company name: Tokyo Electron Limited URL: http://www.tel.com Telephone number: (03) 5561-7000 Stock

More information

Management s Discussion and Analysis

Management s Discussion and Analysis Management s Discussion and Analysis 6 Financial Policy Sysmex regards increasing its market capitalization to maximize corporate value an important management objective and pays careful attention to stable

More information

Financial Results of Japan's Banks for Fiscal 2012

Financial Results of Japan's Banks for Fiscal 2012 July 13 Financial Results of Japan's Banks for Fiscal 1 Financial System and Bank Examination Department Please contact the department below in advance to request permission when reproducing or copying

More information

June 2, 2011. To whom it may concern

June 2, 2011. To whom it may concern The following information was originally prepared and published by the Company in Japanese as it contains timely disclosure materials to be submitted to the Osaka Securities Exchange. This English summary

More information

REPORT OF THE SUPERVISORY BOARD ON OPERATION IN 2013 AND ORIENTATION FOR 2014

REPORT OF THE SUPERVISORY BOARD ON OPERATION IN 2013 AND ORIENTATION FOR 2014 JSC BANK FOR FOREIGN TRADE OF VIET NAM Address: 198 Tran Quang Khai St, Ha No Business Registration No. 0100112437 (8 th revision dated 1 st August, 2013) SOCIALIST REPUBLIC OF VIETNAM Independence - Freedom

More information

Nikko Asset Management Launches Japan High-Dividend Low-Volatility Smart Beta ETF

Nikko Asset Management Launches Japan High-Dividend Low-Volatility Smart Beta ETF Press Release November 11, 2015 Nikko Asset Management Launches Japan High-Dividend Low-Volatility Smart Beta ETF Listed Index Fund MSCI Japan Equity High Dividend Low Volatility to debut on TSE on Dec

More information

MS&AD Insurance Group Holdings 2 nd Information Meeting of FY 2015 (Held on November 25, 2015) Q&A Session Summery

MS&AD Insurance Group Holdings 2 nd Information Meeting of FY 2015 (Held on November 25, 2015) Q&A Session Summery MS&AD Insurance Group Holdings 2 nd Information Meeting of FY 2015 (Held on November 25, 2015) Q&A Session Summery Below is a summery of Q&A session from the Information Meeting held on November 25, 2015

More information

1. Nippon Express Group Corporate Philosophy

1. Nippon Express Group Corporate Philosophy NIPPON EXPRESS GROUP CORPORATE STRATEGY 2015 Innovation and Moving Forward 1. Nippon Express Group Corporate Philosophy 1 2. Vision A Global Logistics Company Supports customers worldwide through logistics

More information

SUMITOMO DENSETSU CO., LTD. AND SUBSIDIARIES. Consolidated Financial Statements

SUMITOMO DENSETSU CO., LTD. AND SUBSIDIARIES. Consolidated Financial Statements SUMITOMO DENSETSU CO., LTD. AND SUBSIDIARIES Consolidated Financial Statements Report of Independent Public Accountants To the Board of Directors of Sumitomo Densetsu Co., Ltd. : We have audited the consolidated

More information

Preliminary Consolidated Financial Results for the Six Months Ended September 30, 2012 (Prepared in Accordance with Japanese GAAP)

Preliminary Consolidated Financial Results for the Six Months Ended September 30, 2012 (Prepared in Accordance with Japanese GAAP) November 1, 2012 Sony Financial Holdings Inc. Preliminary Consolidated Financial Results for the Six Months Ended September 30, 2012 (Prepared in Accordance with Japanese GAAP) Tokyo, November 1, 2012

More information

Accounting Standard for Business Enterprises No. 33 - Consolidated financial statements Caikuai [2006] No.3

Accounting Standard for Business Enterprises No. 33 - Consolidated financial statements Caikuai [2006] No.3 Accounting Standard for Business Enterprises No. 33 - Consolidated financial statements Caikuai [2006] No.3 Chapter I General Provisions Article 1: These Standards are formulated in accordance with the

More information

Data Compilation Financial Data

Data Compilation Financial Data Data Compilation Financial Data CONTENTS 1. Transition of Significant Management Indicators, etc. Japan Post Group (Consolidated) 124 Japan Post Service Co., Ltd. (Non-consolidated) 125 Japan Post Holdings

More information

QSC AG. Company Presentation. Results Q2 2014 Cologne, August 11, 2014

QSC AG. Company Presentation. Results Q2 2014 Cologne, August 11, 2014 QSC AG Company Presentation Results Q2 2014 Cologne, August 11, 2014 AGENDA 1. Operating development Q2 2014 2. Financial development Q2 2014 3. Outlook for 2014 4. Questions & Answers 2 DISAPPOINTING

More information

Kyoritsu Maintenance Co., Ltd. (Securities Code: 9616) First Half of Fiscal Year Ending March 2016 Consolidated Earnings Results Update

Kyoritsu Maintenance Co., Ltd. (Securities Code: 9616) First Half of Fiscal Year Ending March 2016 Consolidated Earnings Results Update Kyoritsu Maintenance Co., Ltd. (Securities Code: 9616) First Half of Fiscal Year Ending March 2016 Consolidated Earnings Results Update November 2015 1 First Half of Fiscal Year Ending March 2016 Consolidated

More information

Corporate and Corporate Bond Rating BioEnergie Taufkirchen GmbH & Co. KG Germany, Renewable Energy

Corporate and Corporate Bond Rating BioEnergie Taufkirchen GmbH & Co. KG Germany, Renewable Energy BioEnergie Taufkirchen GmbH & Co. KG Germany, Renewable Energy www.scoperatings.com Corporate Profile BioEnergie Taufkirchen GmbH & Co. KG ( BET ) operates a biomass cogeneration plant in Taufkirchen,

More information

Management Policies of Nippon Express. March 2007

Management Policies of Nippon Express. March 2007 Management Policies of Nippon Express March 2007 1. Our Group's Business Framework 1. Our Group's Business Framework Nippon Express Group Overseas Japan Asia-Oceania Europe Americas Domestic transport

More information

Consolidated Earnings Report for the Second Quarter of Fiscal 2011 [Japanese GAAP]

Consolidated Earnings Report for the Second Quarter of Fiscal 2011 [Japanese GAAP] Consolidated Earnings Report for the Second Quarter of Fiscal 2011 [Japanese GAAP] October 27, 2010 Company Name: KOITO MANUFACTURING CO., LTD. Stock Listing: First Section, Tokyo Stock Exchange Code Number:

More information

MonotaRO Co.,Ltd. 3064 Tokyo Stock Exchange First Section

MonotaRO Co.,Ltd. 3064 Tokyo Stock Exchange First Section Company Research and Analysis Report FISCO Ltd. http://www.fisco.co.jp * Maintenance, Repair and Operating (MRO) products refers to products used in the manufacturing process such as abrasives, drills,

More information

CANON REPORTS RESULTS FOR FISCAL 1999

CANON REPORTS RESULTS FOR FISCAL 1999 February 14, 2000 CANON REPORTS RESULTS FOR FISCAL 1999 1. CONSOLIDATED RESULTS Millions of yen (except per share amounts) Actual Projected 1999 1998 Change(%) 2000 Change(%) Net sales 2,622,265 2,826,269-7.2

More information

Kurita Water Industries Reports Earnings for the First Half Ended September, 2004

Kurita Water Industries Reports Earnings for the First Half Ended September, 2004 FOR IMMEDIATE RELEASE Kurita Water Industries Reports Earnings for the First Half Ended September, Tokyo Japan November 4, Kurita Water Industries Ltd. (TSE Security Code 6370) announced revenue for the

More information

Obayashi Group Medium-Term Business Plan 2015

Obayashi Group Medium-Term Business Plan 2015 Obayashi Group Medium-Term Business Plan 2015 (FY2015 - FY2017) Toward social safety, security and further stable management Evolution 2015 Report from Medium-Term Business Plan 2012 (FY2012 to FY2014)

More information

NEWS RELEASE. Life Insurance Companies: R&I Affirmed Ratings

NEWS RELEASE. Life Insurance Companies: R&I Affirmed Ratings Life Insurance Companies: R&I Affirmed Ratings No.2003-PA-009 Sep 26, 2003 Rating and Investment Information, Inc. (R&I), has completed a review of the insurance claims paying ability (CPA) ratings and

More information

Re: Medium-term Business Plan (FY September 2005 - FY September 2007)

Re: Medium-term Business Plan (FY September 2005 - FY September 2007) June 14, 2004 Company name: Fullcast Co., Ltd. President and CEO: Takehito Hirano (Stock Ex listing: 4848 Second Section of the Tokyo Stock Ex) Contact: Yutaka Kubo, Corporate Executive Officer in charge

More information

FEDERAL RESERVE BULLETIN

FEDERAL RESERVE BULLETIN FEDERAL RESERVE BULLETIN VOLUME 38 May 1952 NUMBER 5 Business expenditures for new plant and equipment and for inventory reached a new record level in 1951 together, they exceeded the previous year's total

More information

Business Results and Outlook

Business Results and Outlook Business Results and Outlook (April 1, 2006 through March 31, 2007) May 31, 2007 This document includes statements of forward-looking descriptions regarding the intent, belief or current expectations of

More information

SEMIANNUAL REPORT 2005

SEMIANNUAL REPORT 2005 SEMIANNUAL REPORT 2005 For the Six-Month Period Ended September 30, 2005 NOHMI BOSAI LTD. A MESSAGE FROM THE PRESIDENT Operating Results and Business Report Despite the harsh business climate, seeds of

More information

Notes to Consolidated Financial Statements Notes to Non-consolidated Financial Statements

Notes to Consolidated Financial Statements Notes to Non-consolidated Financial Statements This document has been translated from the Japanese original for reference purposes only. In the event of discrepancy between this translated document and the Japanese original, the original shall prevail.

More information

Data Compilation Financial Data

Data Compilation Financial Data Data Compilation Financial Data CONTENTS 1. Transition of Significant Management Indicators, etc. Japan Post Group (Consolidated) 122 Japan Post Holdings Co., Ltd. (Non-consolidated) 122 Japan Post Co.,

More information

Tipco Asphalt Public Company Limited (TASCO)

Tipco Asphalt Public Company Limited (TASCO) (TASCO) Q1/2015 Opportunity Day 4 th June 2015 1 Disclaimer This presentation material has been prepared solely for informational purposes only. TASCO is furnishing it solely for use by prospective investors

More information

On-Site Examination Policy for Fiscal 2016. Examination Policy for Fiscal 2016" briefly reviews on-site examinations carried out in

On-Site Examination Policy for Fiscal 2016. Examination Policy for Fiscal 2016 briefly reviews on-site examinations carried out in March 29, 2016 Bank of Japan On-Site Examination Policy for Fiscal 2016 1. On-Site Examination by the Bank of Japan The Bank of Japan (hereinafter, the Bank) formulates the on-site examination policy every

More information

FITCH COMPLETES COMMERCIAL FLEET LESSORS PEER REVIEW: AFFIRMS RATINGS; OUTLOOK STABLE

FITCH COMPLETES COMMERCIAL FLEET LESSORS PEER REVIEW: AFFIRMS RATINGS; OUTLOOK STABLE FITCH COMPLETES COMMERCIAL FLEET LESSORS PEER REVIEW: AFFIRMS RATINGS; OUTLOOK STABLE Fitch Ratings-Chicago-17 April 2014: Fitch Ratings has completed its peer review of two rated commercial fleet lessors,

More information

Back-to-Basics Stock Investment Focusing on Japanese Equity Investment and Dividends

Back-to-Basics Stock Investment Focusing on Japanese Equity Investment and Dividends Press Release December 3, 2010 Back-to-Basics Stock Investment Focusing on Japanese Equity Investment and Dividends Back-to-Basics Japanese Equity Fund Applications Accepted from December 6 Nikko Asset

More information

NEWS RELEASE. R&I Affirms Ratings: 3 Major P&C Insurance Groups. Rating and Investment Information, Inc. (R&I) has announced the following:

NEWS RELEASE. R&I Affirms Ratings: 3 Major P&C Insurance Groups. Rating and Investment Information, Inc. (R&I) has announced the following: May 14, 2014 R&I Affirms Ratings: 3 Major P&C Insurance Groups Rating and Investment Information, Inc. (R&I) has announced the following: SEC. COMPANY NAME CODE ---- Tokio Marine & Nichido Fire Insurance

More information

Interconexion Electrica S.A. E.S.P. (ISA) 'BBB' Credit Rating Affirmed, Outlook Remains Stable

Interconexion Electrica S.A. E.S.P. (ISA) 'BBB' Credit Rating Affirmed, Outlook Remains Stable Research Update: Interconexion Electrica S.A. E.S.P. (ISA) 'BBB' Credit Rating Affirmed, Outlook Remains Stable Primary Credit Analyst: Maria del Sol S Gonzalez, CFA, New York (1) 212-438-4443; maria.gonzalezcosio@standardandpoors.com

More information

Holistic Company Report

Holistic Company Report Holistic Company Report Prestige International 4290 TSE First Section Update Report March 7, 2014 The Stock Research Center (General Incorporated Association) Copyright 2012 The Stock Research Center.

More information

SUMITOMO LIFE INSURANCE COMPANY (security code: -)

SUMITOMO LIFE INSURANCE COMPANY (security code: -) Japan Credit Rating Agency, Ltd. (JCR) announces the following credit rating. 15-D-0742 December 11, 2015 SUMITOMO LIFE INSURANCE COMPANY (security code: -) Long-term Issuer Rating: A+ Outlook:

More information

Quarterly Credit Conditions Survey Report Contents

Quarterly Credit Conditions Survey Report Contents Quarterly Credit Conditions Report Contents List of Figures & Tables... 2 Background... 3 Overview... 4 Personal Lending... 7 Micro Business Lending... 9 Small Business Lending... 12 Medium-Sized Business

More information

CORPORATE CREDIT RATINGS A Note on Methodology

CORPORATE CREDIT RATINGS A Note on Methodology October 2009 ICRA Rating Feature CORPORATE CREDIT RATINGS A Note on Methodology The basic objective of credit rating is to provide an opinion on the relative credit risk associated with the instrument

More information

Closing Announcement of First Quarter of the Fiscal Year Ending March 31, 2009

Closing Announcement of First Quarter of the Fiscal Year Ending March 31, 2009 Member of Financial Accounting Standards Foundation Closing Announcement of First Quarter of the Fiscal Year Ending March 31, 2009 Name of Listed Company: Arisawa Mfg. Co., Ltd. Listed on the 1st Section

More information

DEUTSCHE ASSET & WEALTH MANAGEMENT REAL ESTATE OUTLOOK

DEUTSCHE ASSET & WEALTH MANAGEMENT REAL ESTATE OUTLOOK Research Report DEUTSCHE ASSET & WEALTH MANAGEMENT REAL ESTATE OUTLOOK Second Quarter 2013 Economic Outlook Business and consumer spending to drive recovery Quantitative easing beginning its expected unwinding

More information

The ALSOK Group is developing services that accurately respond to social needs with the aim of contributing to the safety and security of society.

The ALSOK Group is developing services that accurately respond to social needs with the aim of contributing to the safety and security of society. The ALSOK Group is developing services that accurately respond to social needs with the aim of contributing to the safety and security of society. SOHGO SECURITY SERVICES CO., LTD. (ALSOK), was established

More information

FIRESWIRL TECHNOLOGIES INC.

FIRESWIRL TECHNOLOGIES INC. FIRESWIRL TECHNOLOGIES INC. Management Discussion and Analysis of the Financial Condition and Results of Operation, for the three months ended March 31, 2007 and 2006. 1 MANAGEMENT DISCUSSION AND ANALYSIS

More information

Agreement to Acquire 100% Ownership of Protective Life Corporation

Agreement to Acquire 100% Ownership of Protective Life Corporation [Unofficial Translation] June 4, 2014 Koichiro Watanabe President and Representative Director The Dai-ichi Life Insurance Company, Limited Code: 8750 (TSE First section) Agreement to Acquire 100% Ownership

More information

FY2011 Third Quarter Consolidated Financial Results (Prepared in accordance with U.S. GAAP) (Period ended December 31, 2011) (Unaudited)

FY2011 Third Quarter Consolidated Financial Results (Prepared in accordance with U.S. GAAP) (Period ended December 31, 2011) (Unaudited) FY2011 Third Quarter Consolidated Financial Results (Prepared in accordance with U.S. GAAP) (Period ended December 31, 2011) (Unaudited) Advantest Corporation (FY2011 Q3) January 27, 2012 Company name

More information

Consolidated Financial Results for the Year Ended March 31, 2015 [Japanese GAAP]

Consolidated Financial Results for the Year Ended March 31, 2015 [Japanese GAAP] Consolidated Financial Results for the Year Ended March 31, 2015 [Japanese GAAP] May 13, 2015 Company name: Recruit Holdings Co., Ltd. Listed stock exchange: Tokyo Stock Exchange Securities code: 6098

More information

Frequently Asked Questions Q3 2006

Frequently Asked Questions Q3 2006 Frequently Asked Questions Q3 2006 1. Were there any unusual or one-time items in your Q3 results? CIBC s reported diluted earnings per share (EPS) for the third quarter were $1.86. Our EPS was increased

More information

Summary: Svenska Cellulosa Aktiebolaget SCA. Table Of Contents. Rationale Outlook Related Criteria And Research. May 28, 2012

Summary: Svenska Cellulosa Aktiebolaget SCA. Table Of Contents. Rationale Outlook Related Criteria And Research. May 28, 2012 May 28, 2012 Summary: Svenska Cellulosa Aktiebolaget SCA Primary Credit Analyst: Gustav Liedgren, Stockholm (46) 8-440-5916; gustav_liedgren@standardandpoors.com Secondary Contact: Dionisio Luiz, London

More information

2013 Third Quarter Review October 25, 2013 1

2013 Third Quarter Review October 25, 2013 1 October 25, 213 1 Panalpina Group October 25, 213 213 Third Quarter Review October 25, 213 2 Highlights and key figures Operating and financial review Outlook Growth in profitability and margins in the

More information

3 4 5 6 FINANCIAL SECTION Five-Year Summary (Consolidated) TSUKISHIMA KIKAI CO., LTD. and its consolidated subsidiaries Years ended March 31 (Note 1) 2005 2004 2003 2002 2001 2005 For the year: Net sales...

More information

Corporate Strategy Meeting

Corporate Strategy Meeting Corporate Strategy Meeting February 18, 2015 Sony Corporation Today s agenda 1. 2. 3. 4. Review of the First Mid-Range Plan (FY 2012~2014*) Second Mid-Range Plan (FY 2015~2017) Business Strategies and

More information

Notice of Funds to be Procured through Hybrid Financing (Subordinated Loan)

Notice of Funds to be Procured through Hybrid Financing (Subordinated Loan) Name of Listed Company: Yokogawa Electric Corporation (URL: http://www.yokogawa.com) (Stock code: 6841, listed in TSE 1st section) Name and Position of the Representative: Shuzo Kaihori, President and

More information

The items published on the Internet Websites upon the Notice of Convocation of the 147 th Ordinary General Meeting of Shareholders

The items published on the Internet Websites upon the Notice of Convocation of the 147 th Ordinary General Meeting of Shareholders The items published on the Internet Websites upon the Notice of Convocation of the 147 th Ordinary General Meeting of Shareholders Notes to Consolidated Financial Statements & Notes to Non-Consolidated

More information

Announcement of Agreements toward Panasonic s Acquisition of All Shares of Panasonic Electric Works and SANYO

Announcement of Agreements toward Panasonic s Acquisition of All Shares of Panasonic Electric Works and SANYO July 29, 2010 FOR IMMEDIATE RELEASE Contacts: Panasonic Corporation Akira Kadota International PR (Tel: +81-3-6403-3040) Panasonic News Bureau (Tel: +81-3-3542-6205) Makoto Mihara Investor Relations (Tel:

More information

Chapter 12 Special Industries: Banks, Utilities, Oil and Gas, Transportation, Insurance, Real Estate Companies

Chapter 12 Special Industries: Banks, Utilities, Oil and Gas, Transportation, Insurance, Real Estate Companies Chapter 12 Special Industries: Banks, Utilities, Oil and Gas, Transportation, Insurance, Real Estate Companies TO THE NET 1. a. Item 1 Business Market Area Competition The bank contends with considerable

More information

Consolidated Financial Results for the Third Quarter Ended December 31, 2014

Consolidated Financial Results for the Third Quarter Ended December 31, 2014 Consolidated Financial Results for the Third Quarter Ended February 3, 2015 SHARP CORPORATION Stock exchange listings: Tokyo Code number: 6753 URL: http://www.sharp.co.jp/ Representative: Kozo Takahashi,

More information

Proposal for the Establishment of the OTC Market for Emissions Trading ISDA Japan Emissions Trading Working Group May 2004

Proposal for the Establishment of the OTC Market for Emissions Trading ISDA Japan Emissions Trading Working Group May 2004 Proposal for the Establishment of the OTC Market for Emissions Trading ISDA Japan Emissions Trading Working Group May 2004 1. Introduction Emissions trading is the mechanism of trading between states or

More information

NEWS RELEASE. R&I Affirms Ratings: 4 Mid-sized City Gas Companies. Rating and Investment Information, Inc. (R&I) has announced the following:

NEWS RELEASE. R&I Affirms Ratings: 4 Mid-sized City Gas Companies. Rating and Investment Information, Inc. (R&I) has announced the following: Jun 05, 2015 R&I Affirms Ratings: 4 Mid-sized City Gas Companies Rating and Investment Information, Inc. (R&I) has announced the following: Saibu Gas Co., Ltd. : Rating Outlook: Hokkaido Gas Co., Ltd.

More information

March 10, 2011 Company name:

March 10, 2011 Company name: Second Quarter Financial Results For the Six Months Ended January 31, 2011-[Japanese Standards]Consolidated March 10, 2011 Company name: Dr. Ci:Labo Co., Ltd. Shares listed on: The First Section of the

More information

Introduction to Convertible Debentures

Introduction to Convertible Debentures Introduction to Convertible Debentures Intro to Convertible Debentures March, 2009 Convertible debentures are hybrid securities which offer advantages of both bonds and equities. Like ordinary bonds they

More information

A case for high-yield bonds

A case for high-yield bonds By: Yoshie Phillips, CFA, Senior Research Analyst AUGUST 212 A case for high-yield bonds High-yield bonds have historically produced strong returns relative to those of other major asset classes, including

More information

Research Update: Danish Mortgage Bank DLR Kredit A/S Assigned 'BBB+/A-2' Ratings. Table Of Contents

Research Update: Danish Mortgage Bank DLR Kredit A/S Assigned 'BBB+/A-2' Ratings. Table Of Contents May 31, 2012 Research Update: Danish Mortgage Bank DLR Kredit A/S Assigned 'BBB+/A-2' Ratings Primary Credit Analyst: Per Tornqvist, Stockholm (46) 8-440-5904;per_tornqvist@standardandpoors.com Secondary

More information