Fitch Affirms Mitsubishi UFJ Trust's Ratings on Merger.TOKYO & HONG KONG -- Fitch Ratings has today affirmed the ratings of Mitsubishi UFJ Trust and Banking Corporation Mitsubishi UFJ Trust and Banking Corporation (三菱UFJ信託銀行株式会社 (MUTB MUTB Mitsubishi UFJ Trust and Banking Corporation ) following completion of the merger between Mitsubishi Trust and UFJ Trust on Saturday, 1 October 2005 (Japan time)/Friday, 30 September 2005 (Eastern Standard Time). Mitsubishi Trust is the legally surviving entity in the merger and its ratings are affirmed at Long-term 'A-' (A minus), Short-term 'F1', Individual 'C/D', and Support '1'. The Rating Outlook is Stable. At the same time, Fitch also upgraded the Individual rating of UFJ Trust to 'C/D' from 'D/E' and removed it from Rating Watch Positive. However, as UFJ Trust is the non-surviving entity in the merger, Fitch has simultaneously withdrawn all of UFJ Trust's ratings. Before they were withdrawn, UFJ Trust's ratings were: Long-term 'A-' (A minus), Short-term 'F1', Individual 'C/D', and Support '1'. The Individual rating of MUTB largely reflects the stronger financial position of Mitsubishi Trust, which has a much larger asset base compared with UFJ Trust, and expectation that the merged bank's dominant position in various trust businesses will lead to further growth, especially in the important pension management business. MUTB's Long-term, Short-term, and Support ratings are based on an extremely high probability of support from the Japanese government, should the need arise. The two holding companies, Mitsubishi Tokyo Financial Group and UFJ Group, also merged on 1 October 2005 to become Mitsubishi UFJ Financial Group Mitsubishi UFJ Financial Group, Incorporated (株式会社三菱UFJフィナンシャル・グループ (MUFG), creating the world's largest banking group with assets of JPY JPY In currencies, this is the abbreviation for the Japanese Yen. Notes: The currency market, also known as the Foreign Exchange market, is the largest financial market in the world, with a daily average volume of over US $1 trillion. 200 trillion (equivalent to approximately USD USD In currencies, this is the abbreviation for the U.S. Dollar. Notes: The currency market, also known as the Foreign Exchange market, is the largest financial market in the world, with a daily average volume of over US $1 trillion. 1.8 trillion). MUTB is a 100%-owned subsidiary of the MUFG holding company. However, the merger of MUFG's commercial bank subsidiaries, Bank of Tokyo-Mitsubishi (BTM BTM See: Book to market. , rated 'A-' (A minus)/Stable/'F1') and UFJ Bank (UFJ, rated 'A-' (A minus)/Stable/'F1'), has been postponed until January 2006 to allow the banks additional preparation time for integrating their IT systems. The 'D/E' Individual rating of UFJ Bank remains on Rating Watch Positive pending the January merger with BTM. Fitch's rating definitions and the terms of use Terms of Use are rules set up by the owner of an intellectual property or service to govern how they may be legally used. In many cases, terms of service are used as a contractual agreement between a company and users of a service they provide. of such ratings are available on the agency's public site, www.fitchratings.com. Published ratings, criteria and methodologies are available from this site, at all times. Fitch's code of conduct, confidentiality, conflicts of interest, affiliate firewall, compliance and other relevant policies and procedures Policies and Procedures are a set of documents that describe an organization's policies for operation and the procedures necessary to fulfill the policies. They are often initiated because of some external requirement, such as environmental compliance or other governmental are also available from the 'Code of Conduct' section of this site. |
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