Initiatives to Improve Corporate Value
Outline of Eligible Capital under the Japanese Domestic Std.
Subordinated debts, preferred securities and non-convertible preferred shares
• Subordinated debts and preferred securities issued under the Basel 2 can be fully included in Core Capital as of
the end of March 2014. These grandfathering items are subject to a 10-year phase-out rule starting from March
2015.
• Non-convertible preferred shares*1 can be fully included in Core Capital until March 2019 and will be subject to a
10-year phase-out rule starting from March 2020.
Capital instruments qualified for transitional
arrangement to be phased out
Common shares
Retained earnings
At least
4%
Core Capital
Non-controlling interests after adjustments
Preferred shares with a mandatory conversion
clause
At least
4%
General reserve for possible loan losses
Excess of eligible reserve relative to expected
losses (banks adopting the IRB approach only)
Deduction items to be phased in
Investments in other financial institutions, DTA, intangibles, retirement benefit-related
assets, etc. (No deduction as of March 2014 and thereafter subject to a 5-year phase-in rule)
Mar. 2014
Mar. 2019
*1. Non-cumulative preferred shares other than those with a mandatory conversion feature
Mar. 2024
Mar. 2029
Resona Holdings, Inc.
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