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Investor Presentaiton

Private Equity Investments (1) Situation to Date 1. Summary Financial Results 2. How to Increase Corporate Value Asset Management 3. Appendix Σ Business 4. Financial Data Governance The current book value balance stands at JPY 4.9tn. The portfolio as a whole has maintained unrealized gains of JPY 1.2tn due to strong corporate earnings and the impact of yen depreciation. Net Realized Gains*¹ were weaker due to sluggish exits as a result of market conditions including higher interest rates. *1 The sum of interest/dividends derived from securities (interest income) and capital gains/losses arising from the disposal of securities net of cost (gains (losses) related to stocks). Return Target/Actual Results Status of Balance and Net Realized Gains [Target] ● Net*2 IRR : 8.0% ● Net*2 TVPI: 1.30x (TVPI: Total Value to paid in) <Balance> The fair value reported tends to reflect the PE fund fair values from approx. three months ago*3. (For each PE fund, investee companies are evaluated using methods such as EV/EBITDA multiple method or discounted cash flow (DCF) method based on their individual circumstance, and valuation fluctuations tend to be milder, as compared to the stock price fluctuations for listed companies.) *3 In case of fund of funds such as secondary fund of funds, valuation used may be based on valuation reports from six months ago. (trillion yen) Value Appreciation has resulted in a sizable Unrealized Gain amount. <Net Realized Gains> The Net Realized Gains recognized in various financial results are the Net Realized Gains of PE funds up to approx. six months ago. Fair Value JPY 6.2tn (billion yen) 1.2 1.0 Reflects the current exit environment. However, unrealized gains remain at a favorable level. 260 [Actual Results] (as of Sep. 30, 2023) • Net*² IRR 11.5% ● Net*2 TVPI 1.32x *2 After deduction of expenses; Japanese yen basis The net IRR remains ahead of original plan. 1.2 Unrealized gain (before application of tax effect accounting) 125 4.9 4.5 Approx. JPY 70bn Book value balance 3.2 2.2 40 40 1.7 20 1.2 10 0.1 0.4 0 1 End End End End Mar. Mar. Mar. 17 18 19 End End Mar. Mar. Mar. Mar. End End Sep. FY16 FY17 FY18 FY19 FY20 FY21 FY22 FY23 H1 20 21 22 23 23 Copyright© JAPAN POST BANK All Rights Reserved. 41 EP JAPAN POST BANK BANK
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