Edgar Filing: MITSUBISHI UFJ FINANCIAL GROUP INC

(in millions of yen)

Amount on
consolidated
balance sheet

Net unrealized gains (losses) recorded in the consolidated

statement of income during this period

Money held in trust for trading purpose

Form 6-K

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

Form 6-K

Report of Foreign Issuer

Pursuant to Rule 13a-16 or 15d-16 under

the Securities Exchange Act of 1934

For the month of May 2012

MITSUBISHI UFJ FINANCIAL GROUP, INC.

(Translation of registrant’s name into English)

7-1, Marunouchi 2-chome, Chiyoda-ku

Tokyo 100-8330, Japan

(Address of principal executive offices)

Indicate by check mark whether the registrant files or

will file annual reports under cover of Form 20-F or Form 40-F.

Form 20-F X Form 40-F

Indicate by check mark whether the registrant by furnishing the information

contained in this Form is also thereby furnishing the information to the Commission

pursuant to Rule 12g3-2(b) under the Securities Exchange Act of 1934.

Yes No X

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

Date: May 15, 2012


Mitsubishi UFJ Financial Group, Inc.

By:		/s/ Manabu Ishii
Name:		Manabu Ishii
Title:		Chief Manager, General Affairs
		Corporate Administration Division

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Consolidated Summary Report

<under Japanese GAAP>

for the fiscal year ended March 31, 2012

May 15, 2012


Company name:		Mitsubishi UFJ Financial Group, Inc.
Stock exchange listings:		Tokyo, Osaka, Nagoya, New York
Code number:		8306
URL		http://www.mufg.jp/
Representative:		Katsunori Nagayasu, President & CEO
For inquiry:		Naoki Muramatsu, General Manager - Financial Planning Division / Financial Accounting Office
		TEL (03) 3240-7200
General meeting of shareholders:		June 28, 2012
Dividend payment date:		June 28, 2012
Securities report issuing date:		June 28, 2012
Trading accounts:		Established
Supplemental information for financial statements:		Available
Investor meeting presentation:		Scheduled (for investors and analysts)

(Amounts of less than one million yen are rounded down.)

1. Consolidated Financial Data for the Fiscal Year ended March 31, 2012

(1) Results of Operations


	(% represents the change from the previous fiscal year)
	Ordinary Income					Ordinary Profits				Net Income
	million yen		%			million yen		%		million yen		%
Fiscal year ended
March 31, 2012		4,951,095		9.3			1,471,991		127.7		981,331		68.3
March 31, 2011		4,528,933		(10.1	)		646,432		18.5		583,079		50.0

(*)	Comprehensive income

March 31, 2012: 1,310,584 million yen - % ; March 31, 2011: (37,079) million yen -%


	Net Income per Common Stock		Diluted Net Income per Common Stock		Net Income to Net Assets Attributable to MUFG shareholders		Ordinary Profits to Total Assets		Ordinary Profits to Ordinary Income
	yen		yen		%		%		%
Fiscal year ended
March 31, 2012		68.09		67.94		10.6		0.7		29.7
March 31, 2011		39.95		39.89		6.6		0.3		14.3

(Reference) Income from investment in affiliates (Equity method)

March 31, 2012: 377,515 million yen; March 31, 2011: 11,371 million yen

(2) Financial Conditions


	Total Assets		Total Net Assets		Net Assets Attributable to MUFG Shareholders *to Total Assets (1)**		Total Net Assets per Common Stock		Risk-adjusted *Capital Ratio (2)**
	million yen		million yen		%		yen		%
As of
March 31, 2012		218,861,616		11,675,784		4.6		678.25		14.91
March 31, 2011		206,227,081		10,814,425		4.3		604.58		14.89

(Reference) Shareholders’ equity as of March 31, 2012: 9,993,029 million yen; March 31, 2011: 8,948,948 million yen

(*1)

“Net assets attributable to MUFG shareholders to total assets” is computed under the formula shown below (Total net assets - Subscription rights to shares - Minority interests) / Total assets

(*2)

“Risk-adjusted Capital Ratio” is computed in accordance with the “Standards for Consolidated Capital Adequacy Ratio of Bank Holding Company under Article 52-25 of the Banking Law” (the Notification of the Financial Services Agency No. 20, 2006).

(3) Cash Flows


	Cash Flows from Operating Activities		Cash Flows from Investing Activities			Cash Flows from Financing Activities			Cash and Cash Equivalents at the end of the period
	million yen		million yen			million yen			million yen
Fiscal year ended
March 31, 2012		7,585,524		(7,514,157	)		(468,710	)		4,486,753
March 31, 2011		10,495,808		(8,587,988	)		(948,646	)		4,919,083

2. Dividends on Common Stock


	Dividends per Share										Total dividends		Dividend payout ratio (Consolidated)		Dividend on net assets ratio (Consolidated)
	1st quarter-end		2nd quarter-end		3rd quarter-end		Fiscal year-end		Total		Total dividends		Dividend payout ratio (Consolidated)		Dividend on net assets ratio (Consolidated)
	yen		yen		yen		yen		yen		million yen		%		%
Fiscal year
ended March 31, 2011		—		6.00		—		6.00		12.00		169,809		30.0		2.0
ended March 31, 2012		—		6.00		—		6.00		12.00		169,853		17.6		1.9
ending March 31, 2013 (Forecast)		—		6.00		—		6.00		12.00		——		26.0		——

(*)	The information in the above table is only for dividends on common stocks. Please refer to “Dividends on preferred stocks” with regard to dividends on other type of (unlisted) stocks issued by us.

3. Earnings Target for the Fiscal Year ending March 31, 2013 (Consolidated)

MUFG has set an earnings target of 670.0 billion yen of consolidated net income for the fiscal year ending March 31, 2013.

MUFG is engaged in financial service businesses such as banking business, trust banking business, securities business and credit card/loan businesses. Because there are various uncertainties caused by economic situation, market environments and other factors in these businesses,

MUFG discloses a target of its consolidated net income instead of a forecast of its performance. Please see “3. Management Policy (4) Management Targets”, for further information of the target.

ø Notes

(1)	Changes in significant subsidiaries during the period: No

(2)	Changes in accounting policies, changes in accounting estimates and restatements

(A) Changes in accounting policies due to revision of accounting standards: Yes

(B) Changes in accounting policies due to reasons other than (A): No

(D) Restatements: No

(3)	Number of common stocks outstanding at the end of the period


(A) Total stocks outstanding including treasury stocks:	March 31, 2012	14,154,534,220 shares
	March 31, 2011	14,150,894,620 shares
(B) Treasury stocks:	March 31, 2012	9,553,750 shares
	March 31, 2011	9,413,730 shares
(C) Average outstanding stocks:	Fiscal year ended March 31, 2012	14,144,183,615 shares
	Fiscal year ended March 31, 2011	14,140,858,163 shares

(Reference) Summary of non-consolidated financial data

1. Non-consolidated Financial Data for the Fiscal Year ended March 31, 2012

(1) Results of Operations


	(% represents the change from the previous fiscal year)
	Operating Income					Operating Profits					Ordinary Profits					Net Income
	million yen		%			million yen		%			million yen		%			million yen		%
Fiscal year ended
March 31, 2012		272,114		(34.2	)		257,031		(35.5	)		234,840		(36.5	)		238,437		(30.9	)
March 31, 2011		413,611		42.2			398,756		45.4			369,982		56.9			344,931		244.6

	Net Income per Common Stock					Diluted Net Income per Common Stock
	yen					yen
Fiscal year ended
March 31, 2012		15.58					15.56
March 31, 2011		23.11					23.09

(2) Financial Conditions


	Total Assets		Total Net Assets		Net Assets Ratio		Total Net Assets per Common Stock
	million yen		million yen		%		yen
As of
March 31, 2012		10,918,957		8,667,823		79.3		583.63
March 31, 2011		10,991,515		8,612,722		78.3		579.94

(Reference) Shareholders’ equity as of March 31, 2012: 8,659,889 million yen; March 31, 2011: 8,605,534 million yen

*Disclosure regarding the execution of the audit process

This “Consolidated Summary Report” (“Tanshin”) is outside the scope of the external auditor’s audit procedure which is required by “Financial Instruments and Exchange Act”. Therefore, the audit process has not been completed as of this disclosure in the “Consolidated Summary Report”.

*Notes for using forecasted information etc.

This financial summary report contains forward-looking statements regarding estimations, forecasts, targets and plans in relation to the results of operations, financial conditions and other overall management of the company and/or the group as a whole (the “forward-looking statements”). The forward-looking statements are made based upon, among other things, the company’s current estimations, perceptions and evaluations. In addition, in order for the company to adopt such estimations, forecasts, targets and plans regarding future events, certain assumptions have been made. Accordingly, due to various risks and uncertainties, the statements and assumptions are inherently not guarantees of future performance, may be considered differently from alternative perspectives and may result in material differences from the actual result. For the main factors that may effect the current forecasts, please see Consolidated Summary Report, Annual Securities Report, Disclosure Book, Annual Report, and other current disclosures that the company has announced.

The financial information included in this financial summary report is prepared and presented in accordance with accounting principles generally accepted in Japan (“Japanese GAAP”). Differences exist between Japanese GAAP and the accounting principles generally accepted in the United States (“U.S. GAAP”) in certain material respects. Such differences have resulted in the past, and are expected to continue to result for this period and future periods, in amounts for certain financial statement line items under U.S. GAAP to differ significantly from the amounts under Japanese GAAP. For example, differences in consolidation basis or accounting for business combinations, including but not limited to amortization and impairment of goodwill, could result in significant differences in our reported financial results between Japanese GAAP and U.S. GAAP. Readers should consult their own professional advisors for an understanding of the differences between Japanese GAAP and U.S. GAAP and how those differences might affect our reported financial results. We will publish U.S. GAAP financial results in a separate disclosure document when such information becomes available.

(Dividends on preferred stocks)

Dividends per share relating to preferred stocks are as follows:


	Dividends per Share
	1st quarter-end		2nd quarter-end		3rd quarter-end		Fiscal year-end		Total
	yen		yen		yen		yen		yen
Preferred Stock First Series of Class 5
Fiscal year ended March 31, 2011		—		57.50		—		57.50		115.00
Fiscal year ended March 31, 2012		—		57.50		—		57.50		115.00
Fiscal year ending March 31, 2013 (Forecast)		—		57.50		—		57.50		115.00

	Dividends per Share
	1st quarter-end		2nd quarter-end		3rd quarter-end		Fiscal year-end		Total
	yen		yen		yen		yen		yen
Preferred Stock Class 11
Fiscal year ended March 31, 2011		—		2.65		—		2.65		5.30
Fiscal year ended March 31, 2012		—		2.65		—		2.65		5.30
Fiscal year ending March 31, 2013 (Forecast)		—		2.65		—		2.65		5.30

Mitsubishi UFJ Financial Group, Inc.

(Appendix)

Contents of Appendix


1. Results of Operations and Financial Condition			2
(1) Analysis of results of operations			2
(2) Analysis of financial condition			4
(3) Basic policy regarding profit distribution and dividends for fiscal years 2011 and 2012			4
2. Information on Mitsubishi UFJ Financial Group (MUFG Group)			5
3. Management Policy			7
(1) Principal management policy			7
(2) Medium- and long-term management strategy			7
(3) Key issues			8
(4) Management Targets			10
4. Consolidated Financial Statements			11
(1) Consolidated Balance Sheets			11
(2) Consolidated Statements of Income and Consolidated Statements of Comprehensive Income			13
(3) Consolidated Statements of Changes in Net Assets			16
(4) Consolidated Statements of Cash Flows			19
Notes on Going-Concern Assumption			21
Significant Accounting Policies Applied in the Preparation of the Consolidated Financial Statements			21
Additional Information			29
Notes to the Consolidated Financial Statements			30
Consolidated Balance Sheet
Consolidated Statements of Income
Consolidated Statements of Changes in Net Assets
Consolidated Statements of Cash Flows
Financial Instruments
Securities
Money Held in Trust
Net Unrealized Gains (Losses) on Other Securities
Segment Information
Per Share Information
5. Non-consolidated Financial Statements			46
(1) Non-consolidated Balance Sheets			46
(2) Non-consolidated Statements of Income			48
(3) Non-consolidated Statements of Changes in Net Assets			49
Notes on Going-Concern Assumption			51
6. Other			51
(1) Changes of Directors and Corporate Auditors			51

Supplemental Information:

“Selected Financial Information under Japanese GAAP For the fiscal year ended March 31, 2012”

(*)	The following is the schedule of internet conference and explanation for investors and analysts. You can confirm those contents over the internet. Materials distributed for those will be uploaded in our homepage soon after the internet conference or the explanation is held.


Internet Conference:		May 15, 2012 (Tuesday)
Explanation for investors and analysts:		May 23, 2012 (Wednesday)

Mitsubishi UFJ Financial Group, Inc.

1. Results of Operations and Financial Condition

(1) Analysis of results of operations

(Results of operations for the fiscal year ended March 31, 2012)

On the subject of the economic and financial environment for the fiscal 2011, the Euro-zone economy contracted considerably due to worsening sovereign debt crisis. Economic situation in the US improved in H2 but its pace remained relatively moderate under structural adjustment pressures. In emerging countries such as Asian countries, the slowing European economy caused exports—one of the main driving forces—to slow, and the region’s economy as a whole weakened as a result. Japan’s economy, on the other hand, posted negative growth before recovering from the March 11 earthquake over the summer as damaged capital stock and the supply-chains were restored. The Japanese economy marked negative growth again toward the end of 2011 as overseas economies deteriorated and the JPY appreciated. However, reconstruction and rebuilding demand, especially in the disaster-stricken areas, have gradually emerged, and positive movements have also appeared throughout the entire economy.

In the financial environment, the policy rates have been kept low in the US and UK, while in the Euro-zone, the European Central Bank raised its policy rate slightly in H1 before lowering it again and providing a huge amount of liquidity. Further, many emerging countries turned to monetary easing, lowering their policy rates. In Japan, the Bank of Japan increased the total size of the Asset Purchase Program three times during the fiscal year while conducting its virtually zero interest rate policy. The Bank also released its medium- to long-term price stability goal in February of 2012, announcing that it would conduct monetary policy to achieve the goal of 1% in terms of the year-on-year rate of increase in the Consumer Price Index. Short- and long-term interest rates both remained low despite a few temporary rises in long-term yields. The JPY appreciation trend persisted amid mounting concern over the worsening European sovereign debt crisis and slowing overseas economies, despite easing somewhat toward the end of the fiscal year. The stock market also struggled due to a number of negative factors but started to firm up toward the end of the fiscal year as the JPY strengthening pressures eased.

Under such business environment, consolidated gross profits for the fiscal year ended March 31, 2012 decreased by 20.4 billion yen from the previous fiscal year to 3,502.0 billion yen. This was mainly due to a decrease in net interest income such as income from consumer-finance segment due to revisions of Money Lending Business Act, and dividend income on preferred stock from Morgan Stanley, partially offset by an increase in net gains on sales of debt securities such as JGBs and a decrease in trading losses from securities subsidiary. General and administrative expenses decreased by 26.3 billion yen from the previous fiscal year due to the progress in an ongoing intensive corporate-wide cost reduction. As a result, net business profits were 1,507.4 billion yen, remained almost unchanged from the previous fiscal year.

Total credit costs for the fiscal year ended March 31, 2012 decreased by 160.6 billion yen from the previous fiscal year, mainly due to accounting of reversal of general allowance for credit losses and a decrease in losses on loan write-offs. However, net losses on equity securities increased by 31.5 billion yen from the previous fiscal year, primarily due to an increase in net losses on sales of equity securities and losses on write-down of equity securities. Other non-recurring gains and losses improved by 684.4 billion yen from the previous fiscal year, mainly due to the application of equity method accounting for our investment in Morgan Stanley by completion of conversion of the convertible preferred stock into their common stock and a decrease in provision for losses on interest repayment.

Mitsubishi UFJ Financial Group, Inc.

As a result, ordinary profits for the fiscal year ended March 31, 2012 were 1,471.9 billion yen, an increase of 825.5 billion yen from the previous fiscal year. Consolidated net income for the fiscal year ended March 31, 2012 was 981.3 billion yen, an increase of 398.2 billion yen from the previous fiscal year due to an increase in total of income taxes-current and income taxes-deferred reflecting tax system revisions and minority interests.


(in billions of Japanese yen)	For the fiscal year ended March 31, 2012			For the fiscal year ended March 31, 2011			Increase (Decrease)
Gross Profits before credit costs for trust accounts		3,502.0			3,522.5			(20.4	)
General and administrative expenses		1,994.5			2,020.8			(26.3	)
Net business profits before credit costs for trust accounts and provision for general allowance for credit losses		1,507.4			1,501.6			5.8
Credit costs		(257.5	)		(424.2	)		166.7
Net gains (losses) on equity securities		(88.6	)		(57.1	)		(31.5	)
Other non-recurring gains (losses)		310.7			(373.7	)		684.4
Profits (Losses) from investments in affiliates		377.5			11.3			366.1
Ordinary profits		1,471.9			646.4			825.5
Net extraordinary gains (losses)		(23.8	)		(6.8	)		(16.9	)
Total of income taxes-current and income taxes-deferred		(376.4	)		(175.4	)		(200.9	)
Minority interests		(90.2	)		119.0			(209.3	)
Net income (losses)		981.3			583.0			398.2
Total credit costs *1		(193.4	)		(354.1	)		160.6

*1	Included gains on loans written-offs

(Earnings Target for the fiscal year ending March 31, 2013)

MUFG has set an earnings target of 670.0 billion yen of consolidated net income for the fiscal year ending March 31, 2013.

MUFG is engaged in financial service businesses such as banking business, trust banking business, securities business and credit card/loan businesses.

Because there are various uncertainties caused by economic situation, market environments and other factors in these businesses, MUFG discloses a target of its consolidated net income instead of a forecast of its performance.

Please see “3. Management Policy (4) Management Targets”, for further information of the target.

Mitsubishi UFJ Financial Group, Inc.

(2) Analysis of financial condition

Total assets as of March 31, 2012 increased by 12,634.5 billion yen from March 31, 2011 to 218,861.6 billion yen, and total net assets as of March 31, 2012 increased by 861.3 billion yen from March 31, 2011 to 11,675.7 billion yen. The increase in total net assets reflected an increase in retained earnings and net unrealized gains on other securities.

With regard to major items of assets, securities as of March 31, 2012 increased by 7,241.0 billion yen from March 31, 2011 to 78,264.7 billion yen and loans and bills discounted as of March 31, 2012 increased by 4,497.6 billion yen from March 31, 2011 to 84,492.6 billion yen. With regard to major items of liabilities, deposits as of March 31, 2012 increased by 644.9 billion yen from March 31, 2011 to 124,789.2 billion yen.

MUFG’s consolidated risk-adjusted capital ratio based on the Basel 2 Standards as of March 31, 2012 was 14.91%, an improvement of 0.01 percentage points from March 31, 2011.

(3) Basic policy regarding profit distribution and dividends for fiscal years 2011 and 2012

MUFG considers the return of earnings to shareholders to be one of the most important management priorities and makes it a basic policy to make efforts to continuously increase dividends while sustaining corporate value growth and further strengthening its corporate financial standing.

With respect to the year-end dividend for common stock for fiscal year 2011, MUFG plans to pay ¥6 per share in accordance with the previously announced dividend forecast. As a result, the annual dividend for fiscal year 2011, including the interim dividend of ¥6 per share, is expected to be ¥12 per share, which is the same amount as the annual dividend of ¥12 paid for the previous fiscal year. With respect to the year-end dividend for preferred stock for fiscal year 2011, MUFG plans to pay; for the first series of class 5 preferred stock, the prescribed amount of ¥57.50 per share (which, together with the interim dividend, is expected to result in the annual dividend being ¥115 per share for the fiscal year); and for class 11 preferred stock, the prescribed amount of ¥2.65 per share (which, together with the interim dividend, is expected to result in the annual dividend being ¥5.30 per share for the fiscal year).

The annual dividend forecast for common stock for fiscal year 2012 is ¥12 per share, which is the same amount as the annual dividend paid for fiscal year 2011. The annual dividend forecasts for preferred stock for fiscal year 2012 are: for the first series of class 5 preferred stock, the prescribed amount of ¥115 per share; and for class 11 preferred stock, the prescribed amount of ¥5.30 per share.

Mitsubishi UFJ Financial Group, Inc.

2. Information on Mitsubishi UFJ Financial Group (MUFG Group)

MUFG Group comprises the holding company, 224 consolidated subsidiaries, and 59 equity-method affiliates. The Group is engaged primarily in the banking business and also conducts trust banking business, securities business, credit card / loan business, leasing business and other businesses. The Group conducts reporting of its main entities (on a consolidated basis) on a segmental basis and the relationships between MUFG and its major related companies are as shown in the chart below.

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*1	Consumer finance subsidiaries.

Mitsubishi UFJ Financial Group, Inc.

The Group has a combined group organization through which it seeks as a unified group to meet the financial needs of its customers by providing financial products and services that transcend traditional business boundaries. A system of integrated business groups has been introduced under which the group formulates a unified strategy and pursues its business based on coordination between group companies.

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Note:

On July 1, 2012, MUFG plans to establish a new business group, the Integrated Global Markets Business Group, within which it is planned to establish a new Global Markets Planning Division. On the same day, MUFG plans to establish a new Group Strategy Division for EMEA, containing a Risk Monitoring Office for EMEA, within the Integrated Global Business Group. It is also planned to rename the current Corporate Governance Division for the United States as the US Holdings Division, and to establish a new Enterprise Risk Management Office for the United States within that division.

Mitsubishi UFJ Financial Group, Inc.

3. Management Policy

(1) Principal management policy

MUFG Group put in place a management philosophy at the Group’s launch. This has now been reworked to become the Group Corporate Vision, outlined below. Throughout the Group, the people of MUFG are working under three shared values—Integrity and Responsibility, Professionalism and Teamwork, and Challenging Ourselves to Grow—while aiming to be the world’s most trusted financial group.

•

Corporate Vision

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(2) Medium- and long-term management strategy

MUFG Group’s new Medium-term Business Plan is for three years, starting in fiscal 2012. The basic policies of the Plan are as follows:

Enhance comprehensive financial service capabilities on a global basis

‚	Contribute to initiatives for revitalizing and regenerating the Japanese market

ƒ	Leverage world-class capabilities in capital and risk management

Social and economic structures are changing in Japan and worldwide with aging populations, globalization and other such factors, and the environment for financial institutions is also undergoing significant change amid stronger international regulations and other influences. Under our new Medium-term Business Plan we intend to respond deliberately to these changes, building on our solid domestic business base to raise our global-level comprehensive financial services capabilities and strengthening our financial and management foundations. Through these measures we aim to earn the trust of our customers and meet their expectations in Japan and around the world.

Mitsubishi UFJ Financial Group, Inc.

(3) Key issues

The economic environment during fiscal 2011 remained severe, affected amongst other things by the dramatic impact in Japan of the Great East Japan Earthquake, and by the share price and interest rate instability arising from a deepening of the European sovereign debt crisis. Throughout the year, MUFG Group supported the recovery of Japan’s disaster region, for example by ensuring a smooth supply of finance. As the final year of the Medium-term Business Plan that began in fiscal 2009, we also worked to enhance our core capital and realize a higher level of earnings growth.

During fiscal 2012, the first year of the new Medium-term Business Plan, the Group will establish a basis for achieving the aims of the Plan by targeting early implementation of key initial measures for each of the Plan’s strategies.

In working to grow earnings and enhance returns to shareholders, the Group will address the following key issues.

Promotion of growth strategies

In the Retail business, MUFG Group will offer products that meet various needs of customers, such as products pertaining to asset management, inheritance, real estate and loans according to the customers’ life stages.

In Corporate business, the Group will strive to provide optimal solutions for customers by aggressively pursuing its CIB (Corporate & Investment Banking¹) strategy and trust-related business strategy, including pensions, real estate and stock transfer agency services, through the enhancement of cooperation within MUFG Group.

In Global business, the Group will work to further expand its network centered on the high-growth region of Asia, while pursuing its CIB strategy by strengthening collaboration between Group companies and regions and utilizing its alliance with Morgan Stanley, with the aim of expanding the Group’s business scale and presence.

In Trust Assets business, MUFG Group will seek to augment the balance of entrusted assets through the enhancement of cooperation within MUFG Group as well as that of product development, and will also endeavor to improve its presence as a global management institution.

In Global Markets business, MUFG Group will strengthen collaboration between Group companies and regions in sales and trading business², creating a structure that enables the Group to provide comprehensive services on a global scale.

MUFG Group will continue ongoing efforts to strengthen earnings capacity, making use of its formidable capabilities across the Group while strengthening collaboration in three areas: between Group companies, business groups, and regions.

*1	Refers to business aimed at improving customer’s corporate value, comprising corporate banking such as deposit and loan services, along with investment banking operations such as M&A advisory.

*2	Refers to business comprising the sale to customers of financial products such as equities, bonds, and derivatives along with trading of market risk between banks or at exchanges.

Mitsubishi UFJ Financial Group, Inc.

Enhancement of management fundamentals and control

MUFG Group will support its growth strategy by strengthening management fundamentals and control.

As part of measures to enhance management control, measures will be taken to strengthen governance not only in Japan but also in overseas regions as the Group’s overseas business expands.

The Group will respond appropriately amid moves to strengthen core capital requirements and other aspects of global financial regulations, and will engage in proper capital management, including making effective use of equity capital.

With respect to management fundamentals, the Group will pursue synergies between Group companies to improve the quality of operations and increase the sophistication of systems and IT infrastructure.

Promotion of CSR management and strengthening the MUFG brand

MUFG Group will seek to enhance customer satisfaction through the provision of the distinct services of MUFG while also conducting management with a clear emphasis on its CSR (corporate social responsibilities).

MUFG Group has been working on two priority themes for its CSR activities: “Addressing Global Environmental Issues,” and “Nurturing Society’s Next Generation.” Under the first theme, guided by the MUFG Environmental Action Policy, we will seek to utilize the financial functions of each Group company as we strive to provide products and services that respond to customer needs.

MUFG Group will continue to offer its utmost support to recovery in regions affected by the Great East Japan Earthquake. In collaboration with the National Federation of UNESCO Associations in JAPAN, Bank of Tokyo-Mitsubishi UFJ has established the “MUFG NFUAJ East Japan Earthquake Recovery and Scholarship Fund”, as part of measures to support recovery over the longer term. The activities of the fund are centered on a scholarship program, totaling approximately ¥3.0 billion, for children of elementary, junior high school and high school age who lost their parents in the Great East Japan Earthquake, along with a range of other initiatives, such as replanting flowers in school gardens.

Under the new Group Corporate Vision, all employees and executives will work together to maintain and strengthen the MUFG brand, following the Group’s three core values—Integrity and Responsibility, Professionalism and Teamwork, and Challenging Ourselves to Grow—to earn the broadest possible appreciation and support from society.

By engaging in the range of initiatives outlined above, including promoting growth, enhancing management fundamentals and control, promoting CSR and strengthening the MUFG brand, the Group will strive to maximize value for shareholders.

Mitsubishi UFJ Financial Group, Inc.

(4) Management Targets

MUFG has set an earnings target of 670.0 billion yen of consolidated net income for the fiscal year ending March 31, 2013.

[Reference]

MUFG Consolidated


(in billions of Japanese yen)	For the fiscal year ending March 31, 2013			For the six months ending September 30, 2012			For the fiscal year ended March 31, 2012 (Results)			For the six months ended September 30, 2011 (Results)
Ordinary profits		1,110.0			500.0			1,471.9			958.6
Net income (loss)		670.0			290.0			981.3			696.0
Total credit costs		(210.0	)		(100.0	)		(193.4	)		(28.6	)

<2 Banks on a stand-alone basis>

The Bank of Tokyo-Mitsubishi UFJ, Ltd.
Net business profits before provision for general allowance for credit losses		860.0			405.0			1,022.8			553.8
Ordinary profits (losses)		690.0			310.0			743.3			416.5
Net income (loss)		460.0			215.0			469.0			271.9
Total credit costs		(100.0	)		(50.0	)		(125.3	)		(7.5	)

Mitsubishi UFJ Trust and Banking Corporation
Net business profits before credit costs for trust accounts and provision for general allowance for credit losses		155.0			70.0			148.1			74.6
Ordinary profits (losses)		130.0			60.0			110.1			64.1
Net income (loss)		80.0			40.0			75.8			46.0
Total credit costs		(10.0	)		(5.0	)		(9.2	)		7.0

Mitsubishi UFJ Financial Group, Inc.

4. Consolidated Financial Statements

(1) Consolidated Balance Sheets


(in millions of yen)	As of March 31, 2011			As of March 31, 2012
Assets:
Cash and due from banks		10,406,053			9,036,116
Call loans and bills bought		361,123			347,930
Receivables under resale agreements		4,997,138			4,552,860
Receivables under securities borrowing transactions		3,621,210			3,256,655
Monetary claims bought		2,700,617			2,954,838
Trading assets		14,946,185			16,768,713
Money held in trust		357,159			395,352
Securities		71,023,637			78,264,735
Loans and bills discounted		79,995,024			84,492,697
Foreign exchanges		1,140,201			1,480,083
Other assets		6,631,715			8,004,949
Tangible fixed assets		1,333,298			1,343,909
Buildings		319,485			310,003
Land		740,007			729,229
Lease assets		7,699			14,324
Construction in progress		14,917			19,327
Other tangible fixed assets		251,187			271,024
Intangible fixed assets		1,069,317			1,023,834
Software		459,268			443,091
Goodwill		450,965			418,401
Lease assets		1,047			881
Other intangible fixed assets		158,035			161,460
Deferred tax assets		780,310			522,886
Customers’ liabilities for acceptances and guarantees		8,008,084			7,539,826
Allowance for credit losses		(1,143,997	)		(1,123,773	)

Total assets		206,227,081			218,861,616

Mitsubishi UFJ Financial Group, Inc.


(in millions of yen)	As of March 31, 2011			As of March 31, 2012
Liabilities:
Deposits		124,144,337			124,789,252
Negotiable certificates of deposit		10,961,012			12,980,617
Call money and bills sold		2,311,428			2,809,618
Payables under repurchase agreements		12,385,585			13,585,846
Payables under securities lending transactions		2,102,757			4,978,915
Commercial papers		101,688			569,659
Trading liabilities		11,219,391			13,451,275
Borrowed money		8,895,546			10,318,096
Foreign exchanges		685,309			874,225
Short-term bonds payable		436,967			523,065
Bonds payable		6,438,685			6,634,121
Due to trust accounts		1,459,108			1,416,725
Other liabilities		5,422,853			5,956,502
Reserve for bonuses		44,983			47,797
Reserve for bonuses to directors		543			1,057
Reserve for retirement benefits		59,192			81,111
Reserve for retirement benefits to directors		1,556			1,534
Reserve for loyalty award credits		8,627			6,768
Reserve for contingent losses		492,693			373,439
Reserves under special laws		2,235			1,799
Deferred tax liabilities		43,301			84,706
Deferred tax liabilities for land revaluation		186,765			159,867
Acceptances and guarantees		8,008,084			7,539,826

Total liabilities		195,412,655			207,185,831

Net assets:
Capital stock		2,137,476			2,138,487
Capital surplus		2,174,287			2,175,304
Retained earnings		4,799,668			5,602,327
Treasury stock		(6,458	)		(6,544	)

Total shareholders’ equity		9,104,972			9,909,575

Net unrealized gains (losses) on other securities		90,765			440,900
Net deferred gains (losses) on hedging instruments		38,786			23,904
Land revaluation excess		141,198			161,361
Foreign currency translation adjustments		(392,083	)		(494,155	)
Pension liability adjustments of subsidiaries preparing financial statements under US GAAP		(34,691	)		(48,555	)

Total accumulated other comprehensive income		(156,024	)		83,454

Subscription rights to shares		7,192			7,933
Minority interests		1,858,283			1,674,821

Total net assets		10,814,425			11,675,784

Total liabilities and net assets		206,227,081			218,861,616

Mitsubishi UFJ Financial Group, Inc.

(2) Consolidated Statements of Income and Consolidated Statements of Comprehensive Income

Consolidated Statements of Income


(in millions of yen)	For the fiscal year ended March 31, 2011		For the fiscal year ended March 31, 2012
Ordinary income		4,528,933		4,951,095
Interest income		2,537,508		2,349,355
Interest on loans and bills discounted		1,589,377		1,511,115
Interest and dividends on securities		658,290		605,627
Interest on call loans and bills bought		5,266		6,877
Interest on receivables under resale agreements		45,721		77,198
Interest on receivables under securities borrowing transactions		5,544		5,605
Interest on deposits		28,286		39,130
Other interest income		205,023		103,800
Trust fees		100,437		96,958
Fees and commissions		1,135,255		1,129,303
Trading income		105,950		225,588
Other business income		489,876		583,227
Other ordinary income		159,905		566,661
Gains on loans written-off		—		60,750
Others		159,905		505,911
Ordinary expenses		3,882,501		3,479,103
Interest expenses		517,637		508,874
Interest on deposits		207,249		183,125
Interest on negotiable certificates of deposit		46,121		41,995
Interest on call money and bills sold		5,730		8,385
Interest on payables under repurchase agreements		56,941		77,679
Interest on payables under securities lending transactions		5,669		5,050
Interest on commercial papers		604		746
Interest on borrowed money		53,884		55,393
Interest on short-term bonds payable		1,116		1,073
Interest on bonds payable		122,578		107,948
Other interest expenses		17,742		27,474
Fees and commissions		155,797		165,101
Trading expenses		2,207		—
Other business expenses		170,974		208,523
General and administrative expenses		2,083,718		2,066,035
Other ordinary expenses		952,165		530,569
Provision for allowance for credit losses		165,135		75,519
Others		787,029		455,049

Ordinary profits		646,432		1,471,991

Mitsubishi UFJ Financial Group, Inc.


(in millions of yen)	For the fiscal year ended March 31, 2011			For the fiscal year ended March 31, 2012
Extraordinary gains		81,162			33,092
Gains on disposition of fixed assets		5,409			10,395
Gains on negative goodwill		3,639			2,228
Gains on loans written-off		63,786			—
Reversal of reserve for contingent liabilities from financial instruments transactions		863			436
Gains on changes in subsidiaries’ equity		1,096			—
Gains on sales of equity securities of affiliates		—			20,032
Others		6,365			—
Extraordinary losses		88,032			56,960
Losses on disposition of fixed assets		28,256			10,607
Losses on impairment of fixed assets		9,812			22,114
Amortization of goodwill		13,031			3,496
Business structure improvement expenses		11,914			20,512
Loss on adjustment for changes of accounting standard for asset retirement obligations		24,447			—
Losses on sales of equity securities of subsidiaries		—			228
Others		570			—

Income before income taxes and others		639,561			1,448,124

Income taxes-current		126,036			239,236
Income taxes-deferred		49,460			137,258

Total taxes		175,496			376,494

Income before minority interests		464,065			1,071,629

Minority interests		(119,013	)		90,297

Net income		583,079			981,331

Mitsubishi UFJ Financial Group, Inc.

Consolidated Statements of Comprehensive Income


(in millions of yen)	For the fiscal year ended March 31, 2011			For the fiscal year ended March 31, 2012
Income before minority interests		464,065			1,071,629
Other comprehensive income
Net unrealized gains (losses) on other securities		(310,499	)		346,125
Net deferred gains (losses) on hedging instruments		(53,762	)		(14,259	)
Land revaluation excess		—			22,130
Foreign currency translation adjustments		(135,208	)		(57,884	)
Pension liability adjustments of subsidiaries preparing financial statements under US GAAP		2,239			(18,140	)
Share of other comprehensive income of associates accounted for using equity method		(3,912	)		(39,017	)

Total other comprehensive income		(501,145	)		238,955

Comprehensive income		(37,079	)		1,310,584

(Comprehensive income attributable to)
Comprehensive income attributable to owners of the parent		81,694			1,222,778
Comprehensive income attributable to minority interests		(118,773	)		87,806

Mitsubishi UFJ Financial Group, Inc.

(3) Consolidated Statements of Changes in Net Assets


(in millions of yen)	For the fiscal year ended March 31, 2011			For the fiscal year ended March 31, 2012
Shareholders’ equity
Capital stock
Balance at the beginning of the period		2,136,582			2,137,476
Changes during the period
Issuance of new shares-exercise of subscription rights to shares		893			1,011

Total changes during the period		893			1,011

Balance at the end of the period		2,137,476			2,138,487

Capital surplus
Balance at the beginning of the period		2,423,322			2,174,287
Changes during the period
Issuance of new shares-exercise of subscription rights to shares		893			1,009
Disposition of treasury stock		71			7
Retirement of treasury stock		(250,000	)		—

Total changes during the period		(249,034	)		1,017

Balance at the end of the period		2,174,287			2,175,304

Retained earnings
Balance at the beginning of the period		4,405,512			4,799,668
Changes during the period
Dividends from retained earnings		(190,575	)		(187,614	)
Net income		583,079			981,331
Reversal of land revaluation excess		1,650			1,967
Change of scope of consolidation		—			2,434
Change of application of equity method		—			4,540

Total changes during the period		394,155			802,659

Balance at the end of the period		4,799,668			5,602,327

Treasury stock
Balance at the beginning of the period		(6,633	)		(6,458	)
Changes during the period
Repurchase of treasury stock		(250,042	)		(103	)
Disposition of treasury stock		217			17
Retirement of treasury stock		250,000			—

Total changes during the period		175			(85	)

Balance at the end of the period		(6,458	)		(6,544	)

Mitsubishi UFJ Financial Group, Inc.


(in millions of yen)	For the fiscal year ended March 31, 2011			For the fiscal year ended March 31, 2012
Total shareholders’ equity
Balance at the beginning of the period		8,958,783			9,104,972
Changes during the period
Issuance of new shares-exercise of subscription rights to shares		1,787			2,021
Dividends from retained earnings		(190,575	)		(187,614	)
Net income		583,079			981,331
Repurchase of treasury stock		(250,042	)		(103	)
Disposition of treasury stock		288			25
Retirement of treasury stock		—			—
Reversal of land revaluation excess		1,650			1,967
Change of scope of consolidation		—			2,434
Change of application of equity method		—			4,540

Total changes during the period		146,189			804,602

Balance at the end of the period		9,104,972			9,909,575

Accumulated other comprehensive income
Net unrealized gains (losses) on other securities
Balance at the beginning of the period		403,490			90,765
Changes during the period
Net changes of items other than shareholders’ equity		(312,724	)		350,134

Total changes during the period		(312,724	)		350,134

Balance at the end of the period		90,765			440,900

Net deferred gains (losses) on hedging instruments
Balance at the beginning of the period		92,402			38,786
Changes during the period
Net changes of items other than shareholders’ equity		(53,616	)		(14,882	)

Total changes during the period		(53,616	)		(14,882	)

Balance at the end of the period		38,786			23,904

Land revaluation excess
Balance at the beginning of the period		142,848			141,198
Changes during the period
Net changes of items other than shareholders’ equity		(1,650	)		20,163

Total changes during the period		(1,650	)		20,163

Balance at the end of the period		141,198			161,361

Foreign currency translation adjustments
Balance at the beginning of the period		(254,800	)		(392,083	)
Changes during the period
Net changes of items other than shareholders’ equity		(137,283	)		(102,072	)

Total changes during the period		(137,283	)		(102,072	)

Balance at the end of the period		(392,083	)		(494,155	)

Mitsubishi UFJ Financial Group, Inc.


(in millions of yen)	For the fiscal year ended March 31, 2011			For the fiscal year ended March 31, 2012
Pension liability adjustments of subsidiaries preparing financial statements under US GAAP
Balance at the beginning of the period		(36,930	)		(34,691	)
Changes during the period
Net changes of items other than shareholders’ equity		2,239			(13,864	)

Total changes during the period		2,239			(13,864	)

Balance at the end of the period		(34,691	)		(48,555	)

Total accumulated other comprehensive income
Balance at the beginning of the period		347,011			(156,024	)
Changes during the period
Net changes of items other than shareholders’ equity		(503,035	)		239,478

Total changes during the period		(503,035	)		239,478

Balance at the end of the period		(156,024	)		83,454

Subscription rights to shares
Balance at the beginning of the period		6,451			7,192
Changes during the period
Net changes of items other than shareholders’ equity		741			740

Total changes during the period		741			740

Balance at the end of the period		7,192			7,933

Minority interests
Balance at the beginning of the period		1,987,213			1,858,283
Changes during the period
Net changes of items other than shareholders’ equity		(128,929	)		(183,462	)

Total changes during the period		(128,929	)		(183,462	)

Balance at the end of the period		1,858,283			1,674,821

Total net assets
Balance at the beginning of the period		11,299,459			10,814,425
Changes during the period
Issuance of new shares-exercise of subscription rights to shares		1,787			2,021
Dividends from retained earnings		(190,575	)		(187,614	)
Net income		583,079			981,331
Repurchase of treasury stock		(250,042	)		(103	)
Disposition of treasury stock		288			25
Retirement of treasury stock		—			—
Reversal of land revaluation excess		1,650			1,967
Change of scope of consolidation		—			2,434
Change of application of equity method		—			4,540
Net changes of items other than shareholders’ equity		(631,223	)		56,757

Total changes during the period		(485,034	)		861,359

Balance at the end of the period		10,814,425			11,675,784

Mitsubishi UFJ Financial Group, Inc.

(4) Consolidated Statements of Cash Flows


(in millions of yen)	For the fiscal year ended March 31, 2011			For the fiscal year ended March 31, 2012
Cash flows from operating activities:
Income before income taxes and others		639,561			1,448,124
Depreciation		238,444			237,469
Impairment losses		9,812			22,114
Amortization of goodwill		44,116			32,867
Amortization of negative goodwill		(1,591	)		(1,602	)
Gains on negative goodwill		(3,639	)		(2,228	)
Equity in losses (gains) of affiliates		(11,371	)		(377,515	)
Increase (decrease) in allowance for credit losses		(175,049	)		(14,848	)
Increase (decrease) in reserve for bonuses		(6,652	)		2,569
Increase (decrease) in reserve for bonuses to directors		(186	)		522
Increase (decrease) in reserve for retirement benefits		(883	)		22,486
Increase (decrease) in reserve for retirement benefits to directors		32			(21	)
Increase (decrease) in reserve for loyalty award credits		(90	)		(1,858	)
Increase (decrease) in reserve for contingent losses		255,334			(118,538	)
Interest income recognized on statement of income		(2,537,508	)		(2,349,355	)
Interest expenses recognized on statement of income		517,637			508,874
Losses (gains) on securities		(164,181	)		(181,702	)
Losses (gains) on money held in trust		2,699			5,162
Foreign exchange losses (gains)		1,061,867			(52,298	)
Losses (gains) on sales of fixed assets		22,846			211
Net decrease (increase) in trading assets		1,016,997			(2,026,447	)
Net increase (decrease) in trading liabilities		1,578,222			2,364,654
Adjustment of unsettled trading accounts		(28,146	)		(99,158	)
Net decrease (increase) in loans and bills discounted		4,233,481			(4,761,214	)
Net increase (decrease) in deposits		946,517			955,812
Net increase (decrease) in negotiable certificates of deposit		(22,646	)		2,029,196
Net increase (decrease) in borrowed money (excluding subordinated borrowings)		2,590,880			1,458,199
Net decrease (increase) in due from banks (excluding cash equivalents)		(2,149,425	)		924,230
Net decrease (increase) in call loans and bills bought and others		(1,512,646	)		(32,368	)
Net decrease (increase) in receivables under securities borrowing transactions		2,109,378			342,733
Net increase (decrease) in call money and bills sold and others		1,597,674			1,942,243
Net increase (decrease) in commercial papers		(72,554	)		472,650
Net increase (decrease) in payables under securities lending transactions		(1,493,898	)		2,890,232
Net decrease (increase) in foreign exchanges (assets)		(91,149	)		(341,749	)
Net increase (decrease) in foreign exchanges (liabilities)		(17,643	)		190,137
Net increase (decrease) in short-term bonds payable		(43,577	)		86,098
Net increase (decrease) in issuance and redemption of unsubordinated bonds payable		(113,016	)		328,804
Net increase (decrease) in due to trust accounts		(100,657	)		(42,383	)
Interest income (cash basis)		2,602,655			2,427,414
Interest expenses (cash basis)		(550,785	)		(538,781	)
Others		216,701			(21,509	)

Sub-total		10,587,557			7,729,229

Mitsubishi UFJ Financial Group, Inc.


(in millions of yen)	For the fiscal year ended March 31, 2011			For the fiscal year ended March 31, 2012
Income taxes		(114,281	)		(150,523	)
Refund of income taxes		22,532			6,818

Net cash provided by (used in) operating activities		10,495,808			7,585,524

Cash flows from investing activities:
Purchases of securities		(117,179,039	)		(196,162,029	)
Proceeds from sales of securities		78,186,263			173,130,373
Proceeds from redemption of securities		30,753,734			15,845,616
Increase in money held in trust		(609,396	)		(777,285	)
Decrease in money held in trust		583,607			685,921
Purchases of tangible fixed assets		(80,603	)		(108,503	)
Purchases of intangible fixed assets		(146,411	)		(156,499	)
Proceeds from sales of tangible fixed assets		19,534			19,306
Proceeds from sales of intangible fixed assets		136			9,298
Payments for transfer of business		(103,964	)		(230	)
Purchases of equity of consolidated subsidiaries		(10,138	)		(386	)
Proceeds from sales of equity of consolidated subsidiaries		—			1,600
Decrease related to purchases of subsidiaries’ equity affecting the scope of consolidation		—			(739	)
Increase related to sales of subsidiaries’ equity affecting the scope of consolidation		—			794
Others		(1,708	)		(1,394	)

Net cash provided by (used in) investing activities		(8,587,988	)		(7,514,157	)

Cash flows from financing activities:
Increase in subordinated borrowings		156,000			89,800
Decrease in subordinated borrowings		(102,500	)		(82,300	)
Increase in subordinated bonds payable and bonds with warrants		461,692			562,103
Decrease in subordinated bonds payable and bonds with warrants		(779,868	)		(632,996	)
Proceeds from issuance of common stock to minority shareholders		14,909			10,947
Decrease in redemption of preferred stocks		(165,000	)		(120,000	)
Dividend paid by MUFG		(190,298	)		(187,459	)
Dividend paid by subsidiaries to minority shareholders		(91,535	)		(94,716	)
Repayments to minority shareholders		—			(14,082	)
Purchases of treasury stock		(250,029	)		(12	)
Proceeds from sales of treasury stock		3			2
Purchases of treasury stock by consolidated subsidiaries		(2,031	)		(0	)
Disposition of treasury stock by consolidated subsidiaries		8			—
Others		2			3

Net cash provided by (used in) financing activities		(948,646	)		(468,710	)

Effect of foreign exchange rate changes on cash and cash equivalents		(147,538	)		(34,853	)

Net increase (decrease) in cash and cash equivalents		811,634			(432,197	)

Cash and cash equivalents at the beginning of the period		4,110,281			4,919,083
Decrease in cash and cash equivalents due to deconsolidation of subsidiaries		—			(133	)
Decrease in cash and cash equivalents due to absorption-type splits		(2,832	)		—

Cash and cash equivalents at the end of the period		4,919,083			4,486,753

Mitsubishi UFJ Financial Group, Inc.

Notes on Going-Concern Assumption

Not applicable

Significant Accounting Policies Applied in the Preparation of the Consolidated Financial Statements

1.	Scope of Consolidation

(1)

Number of Consolidated Subsidiaries: 224

Principal companies:

The Bank of Tokyo-Mitsubishi UFJ, Ltd.

Mitsubishi UFJ Trust and Banking Corporation

Mitsubishi UFJ Securities Holdings Co., Ltd.

Mitsubishi UFJ NICOS Co., Ltd.

(Changes in the scope of consolidation)

In the current fiscal year, BTMU LF Capital LLC and 5 other companies were newly consolidated following their formations or for other reasons.

In the current fiscal year, BTMU Preferred Capital Limited and 12 other companies were excluded from the scope of consolidation because they were no longer subsidiaries due to liquidation or other reasons.

(2)

Non-consolidated Subsidiaries: None

(3)

Entities not accounted for as subsidiaries even though MUFG Group Owns the Majority of Votes:

(A)

Hygeia Co., Ltd.

This company was established as a property management agent for a land trust project as a passive investment without any intent to control.

(B)

Shonan Sangakurenkei Fund Investment Limited Partnership

Gunma Challenge Fund Investment Limited Partnership

FOODSNET Corporation

YAMAGATA FOODS Co., Ltd.

GREEN BELL Co., Ltd.

PATLITE Corporation (former Fukuin Ltd.)

Dream Infinity Inc.

MUFG’s consolidated venture capital subsidiaries participated in the management of partnerships as unlimited liability partners or own the majority of votes as passive investments primarily to benefit from the appreciation of their investments resulting from growth or restructuring of the investee’s businesses without any intent to control.

2.	Application of the Equity Method

(1)

Number of Non-consolidated Subsidiaries Accounted for under the Equity Method: None

(2)

Number of Affiliates Accounted for under the Equity Method: 59

Principal companies:

Mitsubishi UFJ Lease & Finance Company Limited

(Changes in the scope of application of the equity method)

In the current fiscal year, Morgan Stanley and 8 other companies were included in the scope of application of the equity method mainly because MUFG acquired additional voting rights.

In the current fiscal year, Kim Eng Holdings Limited and 14 other companies were excluded from the scope of application of the equity method because of sales or for other reasons.

Mitsubishi UFJ Financial Group, Inc.

(Additional Information)

(A)

Summary of Conversion of Morgan Stanley Convertible Preferred Stock into Common Stock

On June 30, 2011, MUFG converted all of its holding of Morgan Stanley convertible preferred stock into common stock after adjustment of the conversion rate. As a result, MUFG now directly holds 22.4% of the voting rights of Morgan Stanley and, in the current fiscal year, Morgan Stanley became an affiliate of MUFG accounted for under the equity method.

A summary of Morgan Stanley, the investee, is as follows:


Company name (Name of investee)		Morgan Stanley
Business description		Bank holding company
Effective date accounted for under the equity method		June 30, 2011
Legal basis (for becoming an affiliate)		Conversion of convertible preferred stock into common stock
Ratio of voting rights after conversion		22.4%

(B)

Business performance period of the investee as included in the consolidated statement of income

The balance sheet date of Morgan Stanley, the investee, is December 31, which differs by three months from the consolidated balance sheet date of MUFG. As the effective date accounted for under the equity method for Morgan Stanley was on June 30, 2011, which coincided with the end of the second quarter of the company, business performance of the company for the period from July 1, 2011 to December 31, 2011 was included in the consolidated statement of income.

(C)

Outline of the Accounting Treatment Applied

(a) Acquisition Cost of the Investee and its Detail


Consideration for the acquisition	Convertible preferred stocks	¥	728,687 million
Direct expenses for the acquisition	Advisory fees and others	¥	3,120 million

Acquisition cost		¥	731,807 million

(b) Amount of Negative Goodwill and Cause of Recognition

Amount of Negative Goodwill

¥290,644 million

Cause of Recognition

Due to the difference between the amount corresponding to the net asset value of the investee as of the conversion date and acquisition cost of the common stock.

(3)

Number of Non-consolidated Subsidiaries not Accounted for under the Equity Method: None

(4)

Affiliates not Accounted for under the Equity Method: None

Mitsubishi UFJ Financial Group, Inc.

(5)

Entities not Recognized as Affiliates in which MUFG Owns 20% to 50% of their Voting Rights:

(A)

Kyoto Constella Technologies Co., Ltd.

Japan Medical Information Research Institute, Inc.

Pharma Frontier Co., Ltd.

NSCore, Inc.

Spring co., ltd.

SyncPower Corporation

REVO trading co., Ltd.

TECHTOM Ltd.

FirstLogic, Inc.

ERIMAKEE Co., Ltd.

Aqumen Biopharmaceuticals, K.K.

Biovisiq Japan Co., Ltd.

two-five Co., Ltd.

Beaunet Corporation Limited

MUFG’s consolidated venture capital subsidiaries owned 20% to 50% of votes as passive investments primarily to benefit from the appreciation of their investments resulting from growth or restructuring of the investees’ businesses without any intent to control.

(B)

RYOGOKU CITY CORE Co., Ltd.

It was established as a property management agent for a land trust project as a passive investment without any intent to control.

3.	The Balance Sheet Dates of Consolidated Subsidiaries

(1)

The balance sheet dates of consolidated subsidiaries were as follows:


July 24:		1 subsidiary
September 1:		1 subsidiary
October 31:		1 subsidiary
December 31:		126 subsidiaries
January 24:		20 subsidiaries
January 31:		1 subsidiary
February 29:		2 subsidiaries
March 31:		72 subsidiaries

(2)

A subsidiary whose balance sheet date is July 24 was consolidated based on its preliminary financial statements as of January 24.

A subsidiary whose balance sheet date is September 1 was consolidated based on its preliminary financial statements as of March 31.

A subsidiary whose balance sheet date is October 31 was consolidated based on its preliminary financial statements as of January 31.

Subsidiaries other than specified above were consolidated based on the financial statements as of their balance sheet dates.

Adjustments were made in the consolidated financial statements to reflect the significant transactions occurred between the balance sheet dates of the subsidiaries and the consolidated balance sheet date.

4.	Accounting Policies

(1)

Trading assets and trading liabilities; trading income and expenses

Transactions involving short-term fluctuations or arbitrage opportunities in interest rates, currency exchange rates, market prices of financial instruments or other market indices (“Trading transactions”) are presented in “Trading assets” and “Trading liabilities” in the consolidated balance sheet on a trade date basis, and gains and losses from trading transactions (interest and dividends, gains or losses on sales and gains or losses on valuation) are presented in “Trading income” and “Trading expenses” in the consolidated statement of income on a trade date basis.

Trading assets and trading liabilities are stated at their fair values on the consolidated balance sheet date.

Mitsubishi UFJ Financial Group, Inc.

(2)

Securities

(A)

Debt securities being held to maturity are stated at amortized costs (using the straight-line method) computed under the moving average method. Investments in non-consolidated affiliates not accounted for under the equity method are stated at acquisition costs computed under the moving average method. Other securities with fair value are stated at their quoted market prices on the consolidated balance sheet date (cost of securities sold is calculated primarily under the moving average method), and other securities whose fair value is extremely difficult to estimate are stated at acquisition costs computed under the moving average method. Net unrealized gains (losses) on other securities are included directly in net assets, net of applicable income taxes, except in the case of securities with embedded derivatives, which are measured at fair value in their entirety with the change in fair value recognized in current earnings.

(B)

Securities which are held as trust assets in money held in trust are accounted for under the same basis as noted above in Notes (1) and (2)(A). Unrealized gains and losses on securities in money held in trust, which are not held for trading purposes or held to maturity, are included directly in net assets, net of applicable income taxes.

(3)

Derivatives

Derivatives transactions (other than trading transactions) are calculated primarily based on fair value.

(4)

Depreciation

(A)

Tangible Fixed Assets (except for Lease Assets)

Depreciation for tangible fixed assets of MUFG and its domestic consolidated banking subsidiaries and domestic consolidated trust banking subsidiaries is computed under the declining-balance method.

The useful lives are primarily estimated as follows:

Buildings: 15 years to 50 years

Equipment: 2 years to 20 years

Depreciation for tangible fixed assets of other consolidated subsidiaries is computed primarily under the straight-line method based on their estimated useful lives.

(B)

Intangible Fixed Assets (except for Lease Assets)

Amortization for intangible fixed assets is computed under the straight-line method. Development costs for internally used software are capitalized and amortized under the straight-line method over the estimated useful lives of primarily 3 years to 10 years.

(C)

Lease Assets

Depreciation or amortization for lease assets in “Tangible fixed assets” or “Intangible fixed assets” of the finance leases other than those that are deemed to transfer the ownership of leased property to the lessees is computed under the straight-line method over the lease periods with zero residual value unless residual value is guaranteed by the corresponding lease contracts.

(5)

Deferred Assets

Stock issuance costs and bond issuance costs are expensed as incurred.

Discount on bonds recognized prior to March 31, 2006 is amortized using the straight-line method over the life of corresponding bonds and the unamortized portion is deducted directly from bonds in accordance with ASBJ PITF No. 19 “Tentative Solution on Accounting for Deferred Assets” (August 11, 2006).

(6)

Allowance for Credit Losses

Principal domestic consolidated subsidiaries provide allowance for credit losses in accordance with the internal standards for self-assessment of asset quality and the internal standards for write-offs and provisions.

For claims on borrowers that have entered into bankruptcy, special liquidation proceedings or similar legal proceedings or whose notes have been dishonored and suspended from processing through clearing houses (“bankrupt borrowers”) or borrowers that are not legally or formally bankrupt but are regarded as substantially in a similar condition (“substantially bankrupt borrowers”), allowances are provided based on the amount of claims, after the write-offs as stated below, net of expected amounts to be collected through the disposal of collateral and the execution of guarantees.

For claims on borrowers that are not yet legally or formally bankrupt but deemed to have a high possibility of becoming bankrupt (“potentially bankrupt borrowers”) excluding a portion of which principal and interest payment can be reasonably estimated from borrower’s cash flows, allowances are provided based on an overall solvency assessment of the claims, net of expected amounts to be collected through the disposal of collateral and the execution of guarantees.

Mitsubishi UFJ Financial Group, Inc.

For claims on potentially bankrupt borrowers and claims on borrowers requiring close monitoring, of which principal and interest payment can be reasonably estimated from borrower’s cash flows, allowances are provided in an amount equal to the difference between the book value of the claims and the relevant cash flows discounted by the initial contractual interest rates.

For other claims, allowances are provided based on historical credit loss experience.

For claims originated in specific foreign countries, additional allowances are provided based on an assessment of political and economic conditions of these countries.

All claims are assessed by branches and the credit supervision departments in accordance with the internal standards for self-assessment of asset quality. The credit review department, which is independent from those operating sections, subsequently audits these assessments. The allowances presented above reflect these internally audited assessments.

For claims on bankrupt borrowers and substantially bankrupt borrowers, the amount of claims exceeding the estimated value of collateral or guarantees, that is deemed uncollectible, has been written-off. The total amount of write-offs was ¥668,234 million.

Consolidated subsidiaries, not adopting procedures stated above, provide allowances based on their historical credit loss experience for general claims and based on individual assessments of the possibility of collection for specific deteriorated claims.

(7)

Reserve for Bonuses

Reserve for bonuses, which is provided for future bonus payments to employees, reflects an estimated amount accrued on the consolidated balance sheet date.

(8)

Reserve for Bonuses to Directors

Reserve for bonuses to directors, which is provided for future bonus payments to directors, reflects an estimated amount accrued on the consolidated balance sheet date.

(9)

Reserve for Retirement Benefits

Reserve for retirement benefits, which is provided for future pension payments to employees, is recorded in the amount deemed accrued on the consolidated balance sheet date based on the projected benefit obligation and the estimated plan asset amount at the end of each fiscal year.

Unrecognized prior service cost is amortized under the straight-line method for a period, primarily over 10 years, within the employees’ average remaining service period, commencing on the fiscal year in which the cost is incurred.

Unrecognized net actuarial gains (losses) are amortized under the straight-line method for a period, primarily over 10 years, within the employees’ average remaining service period, commencing on the fiscal year immediately following the fiscal year in which the gains (losses) are incurred.

(Additional Information)

Employees’ pension funds of MUFG’s domestic consolidated trust banking subsidiaries obtained approval of the Minister of Health, Labour and Welfare, dated December 1, 2011, for the relief of the future payment obligation of the substitutional portion of employees’ pension funds of subsidiaries.

The amount of refund (minimum policy reserve) measured at the end of the current fiscal year was ¥57,785 million. Based on the assumption that the amount of the refund was paid at the end of the current fiscal year, extraordinary gains would be estimated at ¥44,811 million in the case that Article 44-2 of Japanese Institute of Certified Public Accountants (“JICPA”) Accounting Committee Report No. 13, “Practical Guidelines on Accounting for Retirement Benefits (Interim Report)” (September 14, 1999), was applied.

(10)

Reserve for Retirement Benefits to Directors

Reserve for retirement benefits to directors, which is provided for future payments of retirement benefits to directors of subsidiaries, is recorded in the amount deemed accrued on the consolidated balance sheet date based on the estimated amount of benefits.

Mitsubishi UFJ Financial Group, Inc.

(11)

Reserve for Loyalty Award Credits

Reserve for loyalty award credits, which is provided to meet future use of credits granted to credit card (such as “Super IC card”) customers, is recorded in the amount deemed necessary based on the estimated future use of unused credits.

(12)

Reserve for Contingent Losses

Reserve for contingent losses, which is provided for possible losses from contingent events related to off-balance sheet and other transactions, is calculated by estimating the impact of such contingent events and includes future claims for repayment of excess interest payments on consumer loans which are estimated based on the past and pending claims.

(13)

Reserves under Special Laws

Reserves under special laws represented the ¥1,799 million of reserve for contingent liabilities from financial instruments transactions set aside in accordance with Article 46-5-1 and Article 48-3-1 of the Financial Instruments and Exchange Law and Article 175 and 189 of the Cabinet Office Ordinance on Financial Instruments Business.

(14)

Assets and Liabilities Denominated in Foreign Currencies

Assets and liabilities denominated in foreign currencies or booked at overseas branches of domestic consolidated banking subsidiaries and domestic consolidated trust banking subsidiaries are translated into yen primarily at exchange rates in effect on the consolidated balance sheet date, except for investments in non-consolidated affiliates which are translated into yen at exchange rates in effect on the acquisition dates.

Assets and liabilities denominated in foreign currencies of other consolidated subsidiaries are translated into yen at the exchange rates in effect on the respective balance sheet date.

(15)

Leasing Transactions

(As Lessees)

Domestic consolidated subsidiaries’ finance leases other than those that are deemed to transfer the ownership of leased property to the lessees, which commenced in fiscal years beginning on or after April 1, 2008, are accounted for in a similar way to purchases and depreciation for lease assets is computed under the straight-line method over the lease term with zero residual value unless residual value is guaranteed by the corresponding lease contracts.

Finance leases other than those that are deemed to transfer the ownership of leased property to the lessees, which commenced in fiscal years beginning prior to April 1, 2008, are accounted for in a similar way to operating leases.

(As Lessors)

Finance leases other than those that are deemed to transfer the ownership of leased property to the lessees are accounted for in a similar way to sales and income and expenses related to such leases are recognized by allocating interest equivalents to applicable fiscal periods instead of recording sales as “Other ordinary income”.

(16)

Hedge Accounting

(A)

Hedge Accounting for Interest Rate Risks

Domestic consolidated banking subsidiaries and domestic consolidated trust banking subsidiaries have adopted the deferred hedge accounting method for hedging transactions for interest rate risks arising from financial assets and liabilities. Portfolio hedging or individual hedging, as described in the JICPA Industry Audit Committee Report No. 24, “Treatment of Accounting and Auditing of Application of Accounting Standard for Financial Instruments in Banking Industry” (February 13, 2002) and JICPA Accounting Committee Report No. 14, “Practical Guidelines for Accounting for Financial Instruments” (January 31, 2000), are primarily applied to determine hedged items.

Mitsubishi UFJ Financial Group, Inc.

With respect to hedging transactions to offset fluctuations in the fair value of fixed rate deposits, loans and other instruments, hedging instruments (e.g. interest rate swaps) are designated to hedged items individually or collectively by their maturities in accordance with Industry Audit Committee Report No. 24. With respect to hedging transactions to offset fluctuations in fair value of fixed rate bonds classified as other securities, hedging instruments (e.g. interest rate swaps) are designated to hedged items collectively by the type of bond. Since material terms related to hedged items and hedging instruments are substantially identical, and such hedging transactions are deemed highly effective, the assessment of effectiveness is based on the similarity of the terms.

With respect to hedging transactions to fix the cash flows related to floating rate deposits and loans as well as forecasted transactions related to short-term fixed rate deposits, loans and other instruments, hedging instruments (e.g. interest rate swaps) are designated to hedged items collectively by interest rate indices and tenors in accordance with Industry Audit Committee Report No. 24. Since material terms related to hedged items and hedging instruments are substantially identical, and such hedging transactions are deemed highly effective, the assessment of effectiveness is based on the similarity of the terms. The effectiveness of hedging transactions is also assessed by verifying the correlation between factors that cause fluctuations in interest rates of hedged items and those of hedging instruments.

As of March 31, 2003, deferred hedge losses and gains were recorded in the consolidated balance sheet as a result of the application of macro hedge accounting based on JICPA Industry Audit Committee Report No. 15 “Tentative Treatment for Accounting and Auditing in Adoption of Accounting Standards for Banking Industry” (February 15, 2000), under which the overall interest rate risks arising from numerous deposits, loans and other instruments are hedged collectively by derivative transactions. These losses and gains are amortized as expense or income over the remaining lives of the macro hedging instruments (for a maximum period of 15 years from April 1, 2003). Deferred hedge losses and gains attributable to macro hedge accounting at the end of the current fiscal year were ¥260 million (before tax effect adjustment) and ¥318 million (before tax effect adjustment), respectively.

(B)

Hedge Accounting for Foreign Currency Risks

Domestic consolidated banking subsidiaries and domestic consolidated trust banking subsidiaries have adopted the deferred hedge accounting method for hedging foreign currency risks arising from financial assets and liabilities denominated in foreign currencies. Portfolio hedging is applied to determine hedged items as described in JICPA Industry Audit Committee Report No. 25 “Treatment of Accounting and Auditing concerning Accounting for Foreign Currency Transactions in the Banking Industry” (July 29, 2002). Hedging instruments (e.g. currency swaps and forward exchange contracts) are designated to hedged items collectively by currencies.

Domestic consolidated banking subsidiaries and domestic consolidated trust banking subsidiaries have adopted deferred hedge accounting method for hedging transactions for foreign currency risks arising from investments in affiliates denominated in foreign currencies, while adopting the fair value hedge accounting method for hedging transactions for foreign currency risks arising from other securities (other than bonds) denominated in foreign currency. Portfolio hedging and individual hedging are applied to determine hedged items. Monetary liabilities denominated in the same foreign currencies or forward exchange contracts are used as hedging instruments.

(C)

Transactions among Consolidated Subsidiaries

Derivative transactions including interest rate swaps and currency swaps which are designated as hedging instruments among consolidated subsidiaries or between trading accounts and other accounts (or among internal sections) are not eliminated from the consolidated statements of income or valuation difference, but are recognized as related gains or losses or deferred under hedge accounting because these derivative transactions are executed, meeting certain criteria under JICPA Industry Audit Committee Reports No. 24 and No. 25 and they are regarded as equivalent to external third party transactions.

(17)

Amortization of Goodwill

Goodwill, and negative goodwill recognized on or before March 31, 2010 are amortized using the straight-line method over 20 years starting from the period of the consolidation. Goodwill with insignificant balances was expensed as incurred.

Mitsubishi UFJ Financial Group, Inc.

(18)

Cash and Cash Equivalents in the Consolidated Statements of Cash Flows

Cash and cash equivalents in the consolidated statements of cash flows are defined as “Cash and due from banks” on the consolidated balance sheet, excluding time deposits and negotiable certificates of deposits in other banks.

(19)

Consumption Taxes

National and local consumption taxes are excluded from transaction amounts. Non-deductible portions of consumption taxes on the purchases of tangible fixed assets are expensed when incurred.

(20)

Accounting Standard for Foreign Subsidiaries

Financial statements of foreign subsidiaries are used for consolidated accounting as long as they are prepared in accordance with the International Financial Reporting Standards (“IFRS”) or Generally Accepted Accounting Principles in the United States (“U.S. GAAP”).

If they are prepared in accordance with generally accepted accounting principles in each domicile country and not in accordance with IFRS or U.S. GAAP, the financial statements of foreign subsidiaries are mainly adjusted in accordance with U.S. GAAP. They were also adjusted when necessary in the process of consolidation.

Mitsubishi UFJ Financial Group, Inc.

Additional Information

Starting from the current fiscal year, we have applied “Accounting Standard for Accounting Changes and Error Corrections” (ASBJ Statement No. 24 issued on December 4, 2009) and “Guidance on Accounting Standard for Accounting Changes and Error Corrections” (ASBJ Guidance No. 24 issued on December 4, 2009) with reference to accounting changes and corrections of prior period errors made after the beginning of the current fiscal year. In accordance with JICPA Accounting Committee Report No. 14, “Practical Guidelines for Accounting for Financial Instruments” (January 31, 2000), “Gains on loans written-off” were included in “Other ordinary income” of the current fiscal year, however, the treatment was not applied retroactively to the financial statements for the previous fiscal year.

Mitsubishi UFJ Financial Group, Inc.

Notes to the Consolidated Financial Statements

(Consolidated Balance Sheet)

1.	Securities include ¥1,671,153 million in stock and ¥30,438 million in investments of affiliates.

For borrowed securities under securities borrowing transactions and securities purchased under resale agreements which were permissibe to be sold or re-pledged without restrictions, ¥5,854,414 million of such securities were re-pledged, ¥521,381 million were re-loaned and ¥2,185,317 million were held by MUFG Group as of the consolidated balance sheet date.

3.	Loans to bankrupt borrowers: ¥37,839 million.

Non-accrual delinquent loans: ¥1,107,470 million.

Loans to bankrupt borrowers are loans, after write-offs, to bankrupt borrowers as defined in Article 96-1-3-1 to 5 and 96-1-4 of the Enforcement Ordinance of the Corporate Tax Law (No. 97 in 1965) on which accrued interest income is not recognized (“Non-accrual loans”) as there is substantial doubt as to the collection of principal and/or interest because of delinquencies in payment of principal and/or interest for a significant period of time or for some other reasons.

Non-accrual delinquent loans represent non-accrual loans other than loans to bankrupt borrowers and loans renegotiated at concessionary terms including reduction or deferral of interest due to borrowers’ weakened financial condition.

4.	Loans past due for 3 months or more: ¥76,519 million.

Loans past due for 3 months or more represent loans whose principal and/or interest payments have been past due for 3 months or more excluding loans to bankrupt borrowers and non-accrual delinquent loans.

5.	Restructured loans: ¥642,361 million.

Restructured loans represent loans renegotiated at concessionary terms including reduction or deferral of interest or principal and waiver of the claims for the purpose of business reconstruction or support for the borrower, excluding loans to bankrupt borrowers, non-accrual delinquent loans and loans past due for 3 months or more.

6.	The total amount of loans to bankrupt borrowers, non-accrual delinquent loans, loans past due for 3 months or more and restructured loans was ¥1,864,190 million.

The amounts provided in Notes 3 to 6 represent gross amounts before the deduction of allowances for credit losses.

Bills discounted were accounted for as financial transactions in accordance with JICPA Industry Audit Committee Report No. 24. MUFG’s banking subsidiaries and trust banking subsidiaries have rights to sell or pledge bank acceptances bought, commercial bills discounted, documentary bills and foreign exchanges bought without restrictions. The total face value of these bills was ¥1,056,967 million.

Mitsubishi UFJ Financial Group, Inc.

8.	Assets pledged as collateral were as follows:


Cash and due from banks:			¥13,134 million
Trading assets:			¥153,379 million
Securities:			¥2,871,205 million
Loans and bills discounted:			¥5,813,739 million
Other assets:			¥73,377 million

Liabilities related to pledged assets were as follows:


Deposits:			¥175,975 million
Call money and bills sold:			¥530,000 million
Trading liabilities:			¥80,449 million
Borrowed money:			¥7,601,655 million
Bonds payable:			¥36,163 million
Other liabilities:			¥56,191 million
Acceptances and guarantees:			¥467 million

In addition to the items listed above, ¥1,372 million of cash and due from banks, ¥223,731 million of monetary claims bought, ¥77,052 million of trading assets, ¥11,805,979 million of securities, and ¥4,121,927 million of loans and bills discounted were pledged as collateral for cash settlements and other transactions or as deposits for margin accounts of futures and other transactions. ¥4,085,789 million of trading assets and ¥9,753,343 million of securities were sold under repurchase agreements or loaned under secured lending transactions with cash collateral. Payables corresponding to the assets sold or loaned under repurchase agreements and under securities lending transactions were ¥9,912,465 million and ¥4,620,925 million, respectively.

Bills rediscounted were accounted for as financial transactions in accordance with Industry Audit Committee Report No. 24. The total face value of rediscounted bank acceptances bought, commercial bills discounted, documentary bills and bills of exchange rediscounted was ¥5,788 million.

Overdraft facilities and commitment lines of credit are binding contracts under which MUFG’s consolidated subsidiaries have obligations to disburse funds up to predetermined limits upon the borrower’s request as long as there have been no breach of contracts. The total amount of the unused portion of these facilities was ¥69,406,744 million.

The total amount of the unused portion does not necessarily represent actual future cash requirements because many of these contracts are expected to expire without being drawn upon. In addition, most of these contracts include clauses which allow MUFG’s consolidated subsidiaries to decline the borrower’s request for disbursement or decrease contracted limits for cause, such as changes in financial condition or deterioration in the borrower’s creditworthiness. MUFG’s consolidated subsidiaries may request the borrowers to pledge real property and/or securities as collateral upon signing of the contract and will perform periodic monitoring on the borrower’s business conditions in accordance with internal procedures, which may lead to renegotiation of the terms and conditions of the contracts and/or initiate the request for additional collateral and/or guarantees.

Mitsubishi UFJ Financial Group, Inc.

10.

In accordance with the “Law concerning Revaluation of Land” (the “Law”) (No. 34, March 31, 1998), land used for business operations of domestic consolidated banking subsidiaries and domestic consolidated trust banking subsidiaries has been revalued as of the dates indicated below. The total excess from revaluation, net of income taxes corresponding to the excess which were recognized as “Deferred tax liabilities for land revaluation”, is stated as “Land revaluation excess” in net assets. Land revaluation excess includes MUFG’s share of affiliated companies’ land revaluation excess.

Dates of revaluation:


Domestic consolidated banking subsidiaries		March 31, 1998

Domestic consolidated trust banking subsidiaries		March 31, 1998, December 31, 2001 and March 31, 2002

The method of revaluation as set forth in Article 3, Paragraph 3 of the “Law”:

Fair values are determined based on (1) “published land price under the Land Price Publication Law” stipulated in Article 2-1 of the “Enforcement Ordinance of the Law concerning Revaluation of Land” (“Ordinance”) (No. 119, March 31, 1998), (2) “standard land price determined on measurement spots under the Enforcement Ordinance of National Land Planning Law” stipulated in Article 2-2 of the “Ordinance,” (3) “land price determined by the method established and published by the Director General of the National Tax Agency in order to calculate land value which is used for determining taxable amounts subject to landholding tax articulated in Article 16 of the Landholding Tax Law” stipulated in Article 2-4 of the “Ordinance” with price adjustments by shape and time and (4) appraisal by certified real estate appraisers stipulated in Article 2-5 of the “Ordinance” with price adjustments for time.

The difference between the fair value of land used for business operations revaluated in accordance with Article 10 of the law as of the end of the current fiscal year and the book value of such land following the revaluation was ¥62,607 million.

In addition, some of our affiliates that were accounted under equity method did the revaluation for land used for business operations on March 31, 2002.

11.	Accumulated depreciation on tangible fixed assets: ¥1,142,245 million.

12.	Deferred gains on tangible fixed assets deducted for tax purposes: ¥95,466 million.

13.	Borrowed money included ¥804,632 million of subordinated borrowings.

14.	Bonds payable included ¥3,300,547 million of subordinated bonds.

15.	Goodwill, and negative goodwill recognized on or before March 31, 2010 were netted and presented in “Goodwill”. The balances of goodwill and negative goodwill before netting were as follows:


Goodwill:	¥	444,264 million
Negative goodwill:	¥	25,863 million

Balance after net out:	¥	418,401 million

16.	The principal amount of money trusts entrusted to domestic trust banking subsidiaries, for which repayment of the principal to the customers was guaranteed, was ¥974,326 million.

17.	With regard to bonds and other securities in “Securities”, guarantee obligations for private placement bonds (provided in accordance with the Article 2-3 of the Financial Instruments and Exchange Law) were ¥1,590,292 million.

Mitsubishi UFJ Financial Group, Inc.

(Consolidated Statements of Income)

1.	“Other ordinary income” included ¥377,515 million of equity in gain (losses) of the equity method investees.

2.	“Other ordinary expenses” included ¥183,189 million of write-offs of loans, ¥79,251 million of write-offs of equity securities, ¥65,844 million of losses on sales of equity securities, ¥61,888 million of provision for reserve for contingent losses.

3.	“Amortization of goodwill” was recorded in accordance with the provisions in Paragraph 32 of JICPA Accounting Committee Report No. 7 “Practical Guidelines on the Capital Consolidation Procedure in Consolidated Financial Statements” (May 12, 1998).

4.	“Business structure improvement expenses” is ¥20,512 million of extra early retirement payments.

Mitsubishi UFJ Financial Group, Inc.

(Consolidated Statements of Changes in Net Assets)

1.	Detailed Information regarding Outstanding Shares


	(Thousand shares)
	Number of shares as of April 1, 2011		Number of shares increased		Number of shares decreased		Number of shares as of March 31, 2012		Notes
Outstanding shares
Common stock		14,150,894		3,639		—		14,154,534	(1)
First series of class 5 preferred stock		156,000		—		—		156,000
Class 11 preferred stock		1		—		—		1
Total		14,306,895		3,639		—		14,310,535
Treasury stock
Common stock		9,413		221		81		9,553	(2)
Total		9,413		221		81		9,553

(1)

Increase in the number of common stock by 3,639 thousand shares was due to the exercise of stock options.

(2)

Increase in the number of common stock held in treasury by 221 thousand shares was mainly due to repurchase of stocks in response to requests made by shareholders holding shares constituting less than a unit, purchase of shares by affiliates accounted for under the equity method and an increase in the number of shares held by affiliates accounted for under the equity method. Decrease in the number of common stock held in treasury by 81 thousand shares was mainly due to sale of shares in response to requests made by shareholders holding shares constituting less than a unit, sale of shares by affiliates accounted for under the equity method and a decrease in the number of shares held by affiliates accounted for under the equity method.

2.	Information regarding Subscription Rights to Shares and Subscription Rights to Treasury Stock

Issuer

Type of

Subscription rights to

shares

Type of
shares to
be issued

Number of shares subject to subscription rights

Balance as of
March 31,
2012
(in millions
of yen)

As of
April 1,
2011

Increase

Decrease

As of
March 31,
2012

MUFG

Subscription rights

to shares

(Treasury shares)

—

(—)

—

(—)

—

(—)

—

(—)

—

(—)

Stock options

—

7,933

Consolidated subsidiaries (Treasury shares)

—

(—)

Total

—

7,933

Mitsubishi UFJ Financial Group, Inc.

3.	Detailed Information regarding Cash Dividends

(A)

Dividends Paid in the Fiscal Year Ended March 31, 2012


Date of approval	Type of shares	Total Dividends (in millions of yen)		Dividend per share (¥)		Dividend record date	Effective date
General meeting of shareholders on June 29, 2011	Common stock		84,904		6	March 31, 2011	June 29, 2011
	First series of class 5 preferred stock		8,970		57.5
	Class 11 preferred stock		0		2.65
Board of directors meeting on November 14, 2011	Common stock		84,926		6	September 30, 2011	December 8, 2011
	First series of class 5 preferred stock		8,970		57.5
	Class 11 preferred stock		0		2.65

The total amount of dividends above includes ¥157 million paid to consolidated subsidiaries.

(B)

Dividends with Record Dates on or before March 31, 2012 and Effective Dates after March 31, 2012

The following matters relating to dividends are planned to be submitted to shareholder vote at an ordinary general meeting of shareholders scheduled to be held on June 28, 2012.

Date of approval

(scheduled)

Type of shares

Total Dividends
(in millions of
yen)

Source of
dividends

Dividend
per share
(¥)

Dividend
record date

Effective
date

General meeting of shareholders on June 28, 2012

Common shares

84,926

Retained
earnings

March 31,
2012

June 28,
2012

First series of class 5 preferred stock

8,970

57.5

Class 11 preferred stock

2.65

Mitsubishi UFJ Financial Group, Inc.

(Consolidated Statements of Cash Flows)

The difference between “cash and cash equivalents” and items presented on the consolidated balance sheet

As of March 31, 2012


Cash and due from banks on the consolidated balance sheet:	¥	9,036,116 million
Time deposits and negotiable certificates of deposit in other banks:	¥	(4,549,362 million	)

Cash and cash equivalents:	¥	4,486,753 million

Mitsubishi UFJ Financial Group, Inc.

(Financial Instruments)

Disclosure on the Fair Value, etc. of Financial Instruments

(1)

The following table summarizes the amount stated in the consolidated balance sheet and the fair value of financial instruments as of March 31, 2012 together with their differences. Note that the following table does not include non-listed equity securities and certain other securities for which fair value is extremely difficult to determine.


	Consolidated balance sheet amount (in millions of yen)			Fair value (in millions of yen)			Difference (in millions of yen)
(1) Cash and due from banks		9,036,116			9,036,116			—
(2) Call loans and bills bought		347,930			347,930			—
(3) Receivables under resale agreements		4,552,860			4,552,860			—
(4) Receivables under securities borrowing transactions		3,256,655			3,256,655			—
(5) Monetary claims bought (*1)		2,954,838			2,992,074			37,236
(6) Trading assets		6,571,279			6,571,279			—
(7) Money held in trust		395,352			395,352			—
(8) Securities
Debt securities being held to maturity		1,465,169			1,458,247			(6,921	)
Other securities		74,526,793			74,526,793			—
(9) Loans and bills discounted		84,492,697
Allowance for credit losses (*1)		(895,878	)

		83,596,819			84,636,788			1,039,969

(10) Foreign exchanges (*1)		1,480,083			1,480,083			—

Total assets		188,183,897			189,254,182			1,070,284

(1) Deposits		124,789,252			124,851,057			61,805
(2) Negotiable certificates of deposit		12,980,617			12,986,395			5,778
(3) Call money and bills sold		2,809,618			2,809,618			—
(4) Payables under repurchase agreements		13,585,846			13,585,846			—
(5) Payables under securities lending transactions		4,978,915			4,978,915			—
(6) Commercial papers		569,659			569,659			—
(7) Trading liabilities		3,212,302			3,212,302			—
(8) Borrowed money		10,318,096			10,360,252			42,155
(9) Foreign exchanges		874,225			874,225			—
(10) Short-term bonds payable		523,065			523,065			—
(11) Bonds payable		6,634,121			6,726,679			92,558
(12) Due to trust accounts		1,416,725			1,416,725			—

Total liabilities		182,692,446			182,894,744			202,297

Derivative transactions (*2)
Activities not qualifying for hedges		176,129			176,129			—
Activities qualifying for hedges		(174,245	)		(174,245	)		—

Total derivative transactions		1,883			1,883			—

(*1)	General and specific reserves for credit losses corresponding to loans are deducted. However, with respect to items other than loans, the amount stated in the consolidated balance sheet is shown since the amount of reserve for credit losses corresponding to these items is insignificant.

(*2)	Derivative transactions in trading assets and liabilities as well as other assets and liabilities are shown together. Assets and liabilities arising from derivative transactions are presented on a net basis.

Mitsubishi UFJ Financial Group, Inc.

(2)	The following table summarizes financial instruments whose fair value is extremely difficult to estimate. These securities are not included in the amount presented under the line item “Assets – (8) Other securities” in the table summarizing fair value of financial instruments.


Category	Carrying amount (in millions of yen)
(1) Non-listed equity securities (1) (2)		411,012
(2) Investments in partnerships etc. (2) (3)		158,924
(3) Others (*2)		1,243
Total		571,180

(*1)

Non-listed equity securities do not carry quoted market prices. Since it is extremely difficult to estimate the fair value of these securities, their fair value is not disclosed.

(*2)

With respect to non-listed equity securities, an impairment loss of ¥13,846 million was recorded in the current fiscal year.

(*3)

Investments in partnerships, etc. mainly include silent partnerships and investment partnerships, etc., and they do not carry quoted market prices. Since it is extremely difficult to estimate the fair value of these securities, their fair value is not disclosed.

Mitsubishi UFJ Financial Group, Inc.

(Securities)

In addition to “Securities” in the consolidated balance sheet, the figures in the following tables include trading account securities, securities related to trading transactions and short-term corporate bonds classified as “Trading assets”, negotiable certificates of deposit in “Cash and due from banks” and beneficiary certificates of commodities investment trusts in “Monetary claims bought” and others.

1. Trading Securities (as of March 31, 2012)


		(in millions of yen)
		Net unrealized gains (losses) recorded in the consolidated statement of income during the current fiscal year
Trading securities		61,013

2.	Debt Securities Being Held to Maturity (as of March 31, 2012)


	(in millions of yen)
	Type of securities	Amount on consolidated balance sheet		Fair value		Difference
Securities for which the fair value exceeds the amount recorded in consolidated balance sheet	Securities		613,745		618,129		4,383
	Government bonds		556,942		561,111		4,168
	Municipal bonds		3,530		3,536		6
	Corporate bonds		53,272		53,480		208
	Other Securities		1,453,321		1,497,794		44,472
	Foreign bonds		594,745		600,016		5,271
	Other		858,576		897,777		39,201
	Subtotal		2,067,067		2,115,923		48,855
Securities for which the fair value does not exceed the amount recorded in consolidated balance sheet	Securities		1,400		1,387		(12	)
	Government bonds		—		—		—
	Municipal bonds		—		—		—
	Corporate bonds		1,400		1,387		(12	)
	Other Securities		538,546		520,017		(18,528	)
	Foreign bonds		255,277		238,714		(16,563	)
	Other		283,268		281,303		(1,964	)
	Subtotal		539,946		521,405		(18,540	)
Total			2,607,013		2,637,328		30,314

Mitsubishi UFJ Financial Group, Inc.

3. Other Securities (as of March 31, 2012)


	(in millions of yen)
	Type of securities	Amount on consolidated balance sheet		Acquisition cost		Difference
Securities for which the fair value exceeds the acquisition cost	Domestic equity securities		1,867,281		1,206,244		661,036
	Domestic bonds		35,131,756		34,900,979		230,777
	Government bonds		31,989,473		31,831,424		158,048
	Municipal bonds		180,778		173,027		7,750
	Corporate bonds		2,961,504		2,896,526		64,977
	Other Securities		15,173,807		14,805,616		368,190
	Foreign equity securities		163,802		112,241		51,560
	Foreign bonds		14,013,752		13,734,726		279,026
	Other		996,252		958,649		37,603
	Subtotal		52,172,845		50,912,840		1,260,004
Securities for which the fair value does not exceed the acquisition cost	Domestic equity securities		1,466,605		1,805,902		(339,297	)
	Domestic bonds		16,435,052		16,448,318		(13,265	)
	Government bonds		16,016,330		16,019,204		(2,874	)
	Municipal bonds		—		—		—
	Corporate bonds		418,721		429,113		(10,391	)
	Other Securities		4,757,218		4,832,600		(75,381	)
	Foreign equity securities		6,522		7,833		(1,311	)
	Foreign bonds		3,908,194		3,926,552		(18,358	)
	Other		842,501		898,213		(55,712	)
	Subtotal		22,658,875		23,086,820		(427,945	)
Total			74,831,720		73,999,661		832,059

(Note)

The total difference amount shown in the above table includes ¥7,616 million revaluation gains of securities with embedded derivatives.

4.	Other Securities Sold during the Fiscal Year (from April 1, 2011 to March 31, 2012)


	(in millions of yen)
	Amount sold		Gains on sales		Losses on sales
Domestic equity securities		268,713		40,824		48,950
Domestic bonds		140,219,740		181,571		44,405
Government bonds		139,782,992		179,729		44,152
Municipal bonds		138,767		191		183
Corporate bonds		297,980		1,650		69
Other Securities		32,577,359		306,261		129,166
Foreign equity securities		38,632		12,857		41
Foreign bonds		32,209,776		273,373		104,370
Other		328,951		20,030		24,754
Total		173,065,813		528,656		222,522

5.	Change in Classification of Securities by Purpose of Holding

In the current fiscal year, classification of bonds for the value of ¥7,856 million held by domestic consolidated trust banking subsidiaries was changed from being held to maturity category to other securities following a significant deterioration of creditworthiness of the bond issuers.

Mitsubishi UFJ Financial Group, Inc.

6.	Securities Incurred Impairment Losses

Securities that have fair value (excluding those held for trading purposes and investment in affiliates) are subject to write-downs when their fair value has impaired considerably and it is not probable that the value will recover to the acquisition cost as of the end of the current fiscal year. In such case, the fair value is recorded in the consolidated balance sheet and the difference between fair value and acquisition cost are recognized as losses for the fiscal year (referred to as “impairment losses”).

For the current fiscal year, impairment losses were ¥72,808 million consisting of ¥62,372 million of impairment losses on equity securities and ¥10,435 million of impairment losses on bonds and other securities in which securities whose fair value was extremely difficult to estimate were included.

“Considerable decline in fair value” was determined based on the classification of issuers in accordance with the internal standards for self-assessment of asset quality as follows:

Bankrupt, Substantially bankrupt or Potentially bankrupt issuers:

Fair value is lower than acquisition cost.

Issuers requiring close monitoring:

Fair value has declined 30% or more from acquisition cost.

Other issuers:

Fair value has declined 50% or more from acquisition cost.

“Bankrupt issuer” means issuer who has entered into bankruptcy, special liquidation proceedings or similar legal proceedings or whose notes have been dishonored and suspended from processing through clearing houses. “Substantially bankrupt issuer” means issuer who is not legally or formally bankrupt but is regarded as substantially in a similar condition. “Potentially bankrupt issuer” means issuer who is not yet legally or formally bankrupt but deemed to have high a possibility of becoming bankrupt. “Issuer requiring close monitoring” means issuer who is financially weak and under close monitoring conducted by MUFG’s subsidiaries. “Other issuer” means issuer who does not correspond to the four issuers mentioned above.

Mitsubishi UFJ Financial Group, Inc.

(Money Held in Trust)

1.	Money Held in Trust for Trading Purpose (as of March 31, 2012)

2.	Money Held in Trust Being Held to Maturity (as of March 31, 2012): None

3.	Money Held in Trust not for Trading Purpose or Being Held to Maturity (as of March 31, 2012)


	(in millions of yen)
	(a) Amount on consolidated balance sheet		(b) Acquisition cost		Difference (a)-(b)		Money held in trust with respect to which (a) exceeds (b)		Money held in trust with respect to which (a) does not exceed (b)
Money held in trust not for trading purpose or being held to maturity		331,996		331,829		167		167		0

(Note)

“Money held in trust with respect to which (a) exceeds (b)” and “Money held in trust with respect to which (a) does not exceed (b)” are showing the breakdown of the difference between (a) and (b).

(Net Unrealized Gains (Losses) on Other Securities)

Detailed information regarding net unrealized gains (losses) on other securities (as of March 31, 2012)


	(in millions of yen)
Net unrealized gains (losses) on other securities		728,421
Other securities		826,397
Money held in trust not for trading purpose or being held to maturity		167
Reclassification from “Other securities” to “Debt securities being held to maturity”		(98,143	)
Deferred tax liabilities		(295,574	)
Net unrealized gains (losses) on other securities, net of deferred tax liabilities (before MUFG’s ownership share of affiliates’ unrealized gains (losses) adjustments)		432,847
Minority interests		16,869
MUFG’s ownership share of affiliates’ unrealized gains (losses) on other securities		(8,817	)
Total		440,900


(Notes)		(1) “Net unrealized gains (losses) on other securities” shown in the above table excluded ¥7,616 million revaluation gains of securities with embedded derivatives, which were recorded in current earnings.
		(2) “Net unrealized gains (losses) on other securities” shown in the above table included ¥1,954 million of unrealized gains on securities in investment limited partnerships.

Mitsubishi UFJ Financial Group, Inc.

(Segment Information)

1.	Information regarding the Amounts of Ordinary Income, Ordinary Profits (Losses), Assets and other items by Segment

For the Fiscal Year Ended March 31, 2012


	(in millions of yen)
	The Bank of Tokyo- Mitsubishi UFJ, Ltd.		Mitsubishi UFJ Trust and Banking Corporation		Mitsubishi UFJ Securities Holdings Co., Ltd.		Consumer Finance Subsidiaries		Others		Total		Adjustments			Amount recorded in the consolidated financial statements
Ordinary income		3,295,914		611,257		358,479		491,490		354,851		5,111,993		(160,898	)		4,951,095
Interest income		1,856,060		227,960		63,849		239,909		330,649		2,718,430		(369,074	)		2,349,355
Investment gains on equity method		6,312		4,148		30,268		91		—		40,821		336,694			377,515
Amortization of negative goodwill		—		—		—		—		—		—		1,602			1,602
Ordinary income from customers		3,216,237		591,754		320,997		476,891		345,214		4,951,095		—			4,951,095
Ordinary income from internal transactions		79,677		19,502		37,482		14,599		9,637		160,898		(160,898	)		—

Segment income (loss)		544,324		80,488		16,583		50,209		296,198		987,805		(6,473	)		981,331

Segment assets		171,663,939		26,897,506		22,435,690		4,005,802		12,224,303		237,227,242		(18,365,625	)		218,861,616

Other items
Depreciation		155,843		38,581		16,392		20,823		1,131		232,772		4,696			237,469
Amortization of goodwill		14,344		216		188		1,424		—		16,173		13,197			29,371
Interest expenses		359,623		73,703		67,046		32,575		39,794		572,744		(63,870	)		508,874
Extraordinary gains		12,978		7,320		12,829		2,502		5,407		41,038		(7,946	)		33,092
Gains on negative goodwill		—		2,228		—		—		—		2,228		—			2,228
Extraordinary losses		26,628		1,729		25,508		1,314		176		55,356		1,603			56,960
Impairment losses on fixed assets		18,211		1,312		2,403		187		—		22,114		—			22,114
Income tax expenses		315,677		45,084		1,764		9,950		1,705		374,182		2,312			376,494
Unamortized balance of goodwill		227,879		4,097		—		10,989		—		242,966		175,434			418,401
Investment to companies accounted for under the equity method		208,210		102,450		283,038		234		813,138		1,407,073		294,518			1,701,592
Increases in tangible and intangible fixed assets		193,857		65,739		20,843		15,465		1,188		297,094		—			297,094


(Notes)	(1)	Ordinary income, interest income and interest expenses are presented, respectively, in lieu of net sales, interest on deposits and interest on borrowings of the companies in non-banking industries.
	(2)	“Others” includes MUFG.
	(3)	Segment income for “Others” includes ¥270,930 million of dividends from MUFG’s subsidiaries and affiliates.
	(4)	Interest income adjustments include elimination of the dividends from affiliates recorded by MUFG.
	(5)	Adjustments for investment gains on equity method include the impact of ¥290,644 million of negative goodwill associated with the application of equity method accounting to MUFG’s investment in Morgan Stanley.
	(6)	Segment income adjustments include minus ¥312,533 million elimination of internal transactions, as well as ¥306,059 million comprising investment gains (losses) on equity method, amortization of goodwill and negative goodwill, tax expenses, and minority interests gains (losses) that are not attributable to specific segments.
	(7)	Segment assets adjustments are primarily elimination of assets and liabilities between segments.
	(8)	Adjustments for amortization of goodwill are primarily those concerning consumer finance subsidiaries and Mitsubishi UFJ Securities Holdings Co., Ltd.
	(9)	Adjustments for extraordinary gains and losses include elimination of internal transactions and amortization of goodwill that are not attributable to specific segments.
	(10)	Adjustments for unamortized balance of goodwill are primarily those concerning consumer finance subsidiaries and Mitsubishi UFJ Securities Holdings Co., Ltd.
	(11)	Segment income is reconciled to net income in the consolidated statement of income.

Mitsubishi UFJ Financial Group, Inc.

(Per Share Information)


For the fiscal year ended March 31, 2011		For the fiscal year ended March 31, 2012
Total net assets per common share	¥604.58	Total net assets per common share	¥	678.24
Net loss per common share	¥ 39.94	Net income per common share	¥	68.09
Diluted net income per common share	¥ 39.88	Diluted net income per common share	¥	67.93

(Notes)

1.	Basis for Computing Net Income per Common Share and Diluted Net Income per Common Share


		For the fiscal year ended March 31, 2011	For the fiscal year ended March 31, 2012
Net income per common share
Net income	million yen	583,079	981,331
Amounts not attributable to common shareholders	million yen	18,205	18,205
Total dividends on preferred stock	million yen	18,205	18,205
Net income attributable to common shares	million yen	564,874	963,125
Average number of common shares outstanding for the fiscal period	thousand shares	14,140,858	14,144,183
Diluted net income per common share
Adjustments in net income	million yen	(363)	(1,061)
Total dividends on preferred stock	million yen	0	0
Adjustments made to reflect convertible securities of subsidiaries and others	million yen	(363)	(1,061)
Common share equivalent	thousand shares	12,267	16,684
Preferred shares	thousand shares	1	1
Subscription rights to shares	thousand shares	12,266	16,683
Convertible securities not diluting earnings per common share		Subscription rights to shares of subsidiaries: kabu.com Securities Co., Ltd. 1 type: 834 units Fukutora Ltd. 2 types: 12,370 units	Subscription rights to shares of subsidiaries: kabu.com Securities Co., Ltd. 1 type: 790 units Subscription rights to shares of affiliates accounted for under the equity method: Morgan Stanley 56 million units

Mitsubishi UFJ Financial Group, Inc.

2.	Basis for Computing Total Net Assets per Common Share


		As of March 31, 2011		As of March 31, 2012
Total net assets	million yen		10,814,425		11,675,784
Amounts not attributable to common shareholders	million yen		2,264,713		2,081,991
Preferred stock	million yen		390,001		390,001
Total dividends on preferred stock	million yen		9,235		9,235
Subscription rights to shares	million yen		7,192		7,933
Minority interests	million yen		1,858,283		1,674,821
Net assets attributable to common shareholders	million yen		8,549,712		9,593,793
Number of common shares outstanding at the end of the fiscal period (excluding treasury shares)	thousand shares		14,141,480		14,144,980

(Changes in Accounting Policies)

Starting from the current fiscal year, we have applied “Accounting Standard for Earnings Per Share” (ASBJ Statement No. 2 revised on June 30, 2010) and “Guidance on Accounting Standard for Earnings Per Share” (ASBJ Guidance No. 4 revised on June 30, 2010).

In calculating the diluted net income per common share, the method used to reflect the effects of stock options, the rights obtained by the holders after a certain employment period, has been changed to include the amount pertaining to said holders’ services to be provided to MUFG that comprises part of the assessed fair value of stock options, which is assumed to be paid in at the time of the exercise of the rights.

In case that these revisions are not applied, diluted net income per common share for the fiscal year ended March 31, 2011 is ¥39.88.

Mitsubishi UFJ Financial Group, Inc.

5. Non-consolidated Financial Statements

(1)	Non-consolidated Balance Sheets


(in millions of yen)	As of March 31, 2011		As of March 31, 2012
Assets:
Current assets:
Cash and due from banks		11,031		10,631
Securities		140,500		121,800
Prepaid expenses		18		170
Deferred tax assets		2,203		—
Others		87,287		57,036

Total current assets		241,041		189,638

Fixed assets:
Tangible fixed assets:
Buildings		11		8
Equipment and furniture		135		78
Lease assets		20		12

Total tangible fixed assets		168		99

Intangible fixed assets:
Trademarks		25		19
Software		2,871		3,055
Lease assets		—		14
Others		1		1

Total intangible fixed assets		2,899		3,091

Investments and other assets:
Investment securities		803,197		—
Investments in subsidiaries and affiliates		9,943,868		10,725,815
Others		340		312

Total investments and other assets		10,747,406		10,726,127

Total fixed assets		10,750,474		10,729,318

Total assets		10,991,515		10,918,957

Mitsubishi UFJ Financial Group, Inc.


(in millions of yen)	As of March 31, 2011			As of March 31, 2012
Liabilities:
Current liabilities:
Short-term borrowings		1,566,980			1,849,071
Current portion of long-term borrowings		391,000			—
Lease liabilities		8			12
Accounts payable		2,314			2,048
Accrued expenses		5,048			4,561
Income taxes payable		98			112
Deposits received		249			135
Reserve for bonuses		352			352
Reserve for bonuses to directors		46			51
Others		0			0

Total current liabilities		1,966,100			1,856,345

Fixed liabilities:
Bonds payable		380,500			380,500
Long-term borrowings from subsidiaries and affiliates		20,702			3,402
Lease liabilities		13			16
Deferred tax liabilities		11,380			10,783
Others		96			86

Total fixed liabilities		412,693			394,788

Total liabilities		2,378,793			2,251,134

Net assets:
Shareholders’ equity:
Capital stock		2,137,476			2,138,487
Capital surplus:
Capital reserve		2,137,493			2,138,503
Other capital surplus		1,860,006			1,860,006

Total capital surplus		3,997,500			3,998,509

Retained earnings:
Other retained earnings:
Other reserve		150,000			150,000
Earned surplus brought forward		2,316,337			2,367,003

Total retained earnings		2,466,337			2,517,003

Treasury stock		(37	)		(46	)

Total shareholders’ equity		8,601,276			8,653,954

Valuation and translation adjustments:
Net unrealized gains (losses) on other securities		4,257			—
Net deferred gains (losses) on hedging instruments		—			5,935

Total valuation and translation adjustments		4,257			5,935

Subscription rights to shares		7,188			7,933

Total net assets		8,612,722			8,667,823

Total liabilities and net assets		10,991,515			10,918,957

Mitsubishi UFJ Financial Group, Inc.

(2)	Non-consolidated Statements of Income


(in millions of yen)	For the fiscal year ended March 31, 2011		For the fiscal year ended March 31, 2012
Operating income:
Dividends		397,101		255,406
Management fees from subsidiaries and affiliates		16,510		16,708

Total operating income		413,611		272,114

Operating expenses:
General and administrative expenses		14,855		15,083

Total operating expenses		14,855		15,083

Operating profits		398,756		257,031

Non-operating income:
Interest on deposits		0		0
Interest on securities		102		99
Dividends		15,524		15,524
Others		188		320

Total non-operating income		15,815		15,943

Non-operating expenses:
Interest on borrowings		27,154		22,295
Interest on bonds payable		17,023		15,610
Others		410		228

Total non-operating expenses		44,588		38,134

Ordinary profits		369,982		234,840

Extraordinary gains:
Gains on sales of investments in subsidiaries and affiliates		—		5,388
Reversal of allowance for losses on investments		1,733		—

Total extraordinary gains		1,733		5,388

Extraordinary losses:
Losses on retirement of fixed assets		11		127

Total extraordinary losses		11		127

Income before income taxes		371,704		240,101

Income taxes-current		9,024		424
Income taxes-deferred		17,748		1,239

Total taxes		26,773		1,664

Net income		344,931		238,437

Mitsubishi UFJ Financial Group, Inc.

(3)	Non-consolidated Statements of Changes in Net Assets


(in millions of yen)	For the fiscal year ended March 31, 2011			For the fiscal year ended March 31, 2012
Shareholders’ equity
Capital stock
Balance at the beginning of the period		2,136,582			2,137,476
Changes during the period
Issuance of new shares-exercise of subscription rights to shares		893			1,011

Total changes during the period		893			1,011

Balance at the end of the period		2,137,476			2,138,487

Capital surplus
Capital reserve
Balance at the beginning of the period		2,136,600			2,137,493
Changes during the period
Issuance of new shares-exercise of subscription rights to shares		893			1,009

Total changes during the period		893			1,009

Balance at the end of the period		2,137,493			2,138,503

Other capital surplus
Balance at the beginning of the period		2,109,941			1,860,006
Changes during the period
Disposition of treasury stock		65			(0	)
Retirement of treasury stock		(250,000	)		—

Total changes during the period		(249,934	)		(0	)

Balance at the end of the period		1,860,006			1,860,006

Retained earnings
Other retained earnings
Other reserve
Balance at the beginning of the period		150,000			150,000

Balance at the end of the period		150,000			150,000

Earned surplus brought forward
Balance at the beginning of the period		2,162,138			2,316,337
Changes during the period
Dividends from retained earnings		(190,732	)		(187,771	)
Net income		344,931			238,437

Total changes during the period		154,199			50,665

Balance at the end of the period		2,316,337			2,367,003

Treasury stock
Balance at the beginning of the period		(217	)		(37	)
Changes during the period
Repurchase of treasury stock		(250,029	)		(12	)
Disposition of treasury stock		209			3
Retirement of treasury stock		250,000			—

Total changes during the period		179			(9	)

Balance at the end of the period		(37	)		(46	)

Mitsubishi UFJ Financial Group, Inc.


(in millions of yen)	For the fiscal year ended March 31, 2011			For the fiscal year ended March 31, 2012
Total shareholders’ equity
Balance at the beginning of the period		8,695,044			8,601,276
Changes during the period
Issuance of new shares-exercise of subscription rights to shares		1,787			2,021
Dividends from retained earnings		(190,732	)		(187,771	)
Net income		344,931			238,437
Repurchase of treasury stock		(250,029	)		(12	)
Disposition of treasury stock		275			2
Retirement of treasury stock		—			—

Total changes during the period		(93,768	)		52,677

Balance at the end of the period		8,601,276			8,653,954

Valuation and translation adjustments
Net unrealized gains (losses) on other securities
Balance at the beginning of the period		10,254			4,257
Changes during the period
Net changes of items other than shareholders’ equity		(5,997	)		(4,257	)

Total changes during the period		(5,997	)		(4,257	)

Balance at the end of the period		4,257			—

Net deferred gains (losses) on hedging instruments
Balance at the beginning of the period		—			—
Changes during the period
Net changes of items other than shareholders’ equity		—			5,935

Total changes during the period		—			5,935

Balance at the end of the period		—			5,935

Subscription rights to shares
Balance at the beginning of the period		6,450			7,188
Changes during the period
Net changes of items other than shareholders’ equity		737			745

Total changes during the period		737			745

Balance at the end of the period		7,188			7,933

Total net assets
Balance at the beginning of the period		8,711,750			8,612,722
Changes during the period
Issuance of new shares-exercise of subscription rights to shares		1,787			2,021
Dividends from retained earnings		(190,732	)		(187,771	)
Net income		344,931			238,437
Repurchase of treasury stock		(250,029	)		(12	)
Disposition of treasury stock		275			2
Retirement of treasury stock		—			—
Net changes of items other than shareholders’ equity		(5,260	)		2,423

Total changes during the period		(99,028	)		55,100

Balance at the end of the period		8,612,722			8,667,823

Mitsubishi UFJ Financial Group, Inc.

Notes on Going-Concern Assumption

Not applicable

6. Other

(1)

Changes of Directors and Corporate Auditors

Please refer to “Changes of Directors” posted on May 15, 2012 with regard to the changes of directors.

Selected Financial Information

under Japanese GAAP

For the fiscal year Ended March 31, 2012

Mitsubishi UFJ Financial Group, Inc.

Mitsubishi UFJ Financial Group, Inc.

[Contents]


1. Financial Results	[ MUFG Consolidated ]1[ BTMU and MUTB Combined ]234 [ BTMU Consolidated ][ BTMU Non-consolidated ] [ MUTB Consolidated ][ MUTB Non-consolidated ]	1

2. Average Interest Rate Spread	[ BTMU Non-consolidated ][ MUTB Non-consolidated ] [ BTMU and MUTB Combined ]	7

3. Notional Principal by the Remaining Life of the Interest Rate Swaps for Hedge-Accounting	[ MUFG Consolidated ][ BTMU Consolidated ] [ MUTB Consolidated ]	8

4. Securities	[ MUFG Consolidated ] [ BTMU Non-consolidated ][ MUTB Non-consolidated ]	9

5. ROE	[ MUFG Consolidated ]	12

6. Risk-Adjusted Capital Ratio Based on the Basel 2 Standards	[ MUFG Consolidated ][ BTMU Consolidated ] [ MUTB Consolidated ] [ BTMU Non-consolidated ] [ MUTB Non-consolidated ]	13

7. Risk-Monitored Loans	[ MUFG Consolidated ] [ BTMU Non-consolidated ] [ MUTB Non-consolidated ] [ MUTB Non-consolidated : Trust Account ]	14

8. Non Performing Loans Based on the Financial Reconstruction Law (the “FRL”)	[ BTMU and MUTB Combined including Trust Account ] [ BTMU Non-consolidated ][ MUTB Non-consolidated ] [ MUTB Non-consolidated : Trust Account ]	18

9. Progress in Disposition of Problem Assets	[ BTMU and MUSP Combined ]*5 [ MUTB Non-consolidated including Trust Account ]	23

10. Loans Classified by Type of Industry, Domestic Consumer Loans, Domestic Loans to Small/Medium-Sized Companies and Proprietors	[ BTMU and MUTB Combined including Trust Accounts ] [ BTMU Non-consolidated ][ MUTB Non-consolidated ] [ MUTB Non-consolidated : Trust Accounts ]	25

11. Overseas Loans	[ BTMU and MUTB Combined ]	29

12. Loans and Deposits	[ BTMU and MUTB Combined ] [ BTMU Non-consolidated ] [ MUTB Non-consolidated ]	30

13. Domestic Deposits	[ BTMU and MUTB Combined ] [ BTMU Non-consolidated ] [ MUTB Non-consolidated ]	31

14. Status of Deferred Tax Assets	[ BTMU Non-consolidated ][ MUTB Non-consolidated ]	32

15. Retirement Benefits	[ MUFG Consolidated ] [ BTMU Non-consolidated ] [ MUTB Non-consolidated ]	34

(References)

1. Exposure to “Securitized Products and Related Investments”		37

2. Financial Statements	[ BTMU Non-consolidated ][ MUTB Non-consolidated ]	39

(*1)	“MUFG” means Mitsubishi UFJ Financial Group, Inc.

(*2)	“BTMU” means The Bank of Tokyo-Mitsubishi UFJ, Ltd.

(*3)	“MUTB” means Mitsubishi UFJ Trust and Banking Corporation.

(*4)	“BTMU and MUTB Combined” means simple sum of “BTMU” and “MUTB” without consolidation processes.

(*5)	“MUSP” means MU Strategic Partner, Co., Ltd.

Mitsubishi UFJ Financial Group, Inc.

1. Financial Results

MUFG Consolidated


	(in millions of yen)
	For the fiscal year ended						Increase (Decrease) (A) - (B)
	March 31, 2012 (A)			March 31, 2011 (B)			Increase (Decrease) (A) - (B)
Gross profits		3,502,047			3,522,544			(20,497	)
Gross profits before credit costs for trust accounts		3,502,047			3,522,544			(20,497	)
Net interest income		1,840,593			2,020,004			(179,410	)
Trust fees		96,958			100,437			(3,478	)
Credit costs for trust accounts (1)		—			(0	)		0
Net fees and commissions		964,202			979,458			(15,256	)
Net trading profits		225,588			103,742			121,845
Net other business profits		374,703			318,901			55,802
Net gains (losses) on debt securities		270,388			221,364			49,023
General and administrative expenses		1,994,594			2,020,898			(26,303	)
Amortization of goodwill		29,371			31,085			(1,714	)
Net business profits before credit costs for trust accounts, provision for general allowance for credit losses and amortization of goodwill		1,536,823			1,532,731			4,091
Net business profits before credit costs for trust accounts and provision for general allowance for credit losses		1,507,452			1,501,646			5,805
Provision for general allowance for credit losses (2)		20,770			(87,625	)		108,395
Net business profits*		1,528,222			1,414,021			114,201
Net non-recurring gains (losses)		(56,231	)		(767,588	)		711,357
Credit costs (3)		(278,275	)		(336,673	)		58,398
Losses on loan write-offs		(183,189	)		(261,233	)		78,043
Provision for specific allowance for credit losses		(95,256	)		(75,197	)		(20,058	)
Other credit costs		170			(243	)		413
Reversal of allowance for credit losses (4)		—			—			—
Reversal of reserve for contingent losses included in credit costs (5)		3,287			—			3,287
Gains on loans written-off (6)		60,750			—			60,750
Net gains (losses) on equity securities		(88,685	)		(57,183	)		(31,502	)
Gains on sales of equity securities		56,410			64,174			(7,763	)
Losses on sales of equity securities		(65,844	)		(50,435	)		(15,409	)
Losses on write-down of equity securities		(79,251	)		(70,922	)		(8,329	)
Profits (losses) from investments in affiliates		377,515			11,371			366,144
Other non-recurring gains (losses)		(130,824	)		(385,102	)		254,278

Ordinary profits		1,471,991			646,432			825,558

Net extraordinary gains (losses)		(23,867	)		(6,870	)		(16,996	)
Gains on loans written-off (7)		—			63,786			(63,786	)
Reversal of allowance for credit losses (8)		—			—			—
Reversal of reserve for contingent losses included in credit costs (9)		—			6,365			(6,365	)
Net gains (losses) on disposition of fixed assets		(211	)		(22,846	)		22,635
Losses on impairment of fixed assets		(22,114	)		(9,812	)		(12,301	)
Gains on sales of equity securities of affiliates		20,032			—			20,032
Business structure improvement expenses		(20,512	)		(11,914	)		(8,598	)
Income before income taxes and others		1,448,124			639,561			808,562
Income taxes-current		239,236			126,036			113,200
Income taxes-deferred		137,258			49,460			87,798
Total taxes		376,494			175,496			200,998
Income before minority interests		1,071,629			464,065			607,563
Minority interests		90,297			(119,013	)		209,311

Net income		981,331			583,079			398,251


Note:
* Net business profits = Banking subsidiaries’ net business profits + Other consolidated entities’ gross profits - Other consolidated entities’ general and administrative expenses - Other consolidated entities’ provision for general allowance for credit losses - Amortization of goodwill - Inter-company transactions

(Reference)
Total credit costs (1)+(2)+(3)+(4)+(5)+(6)+(7)+(8)+(9)		(193,466	)		(354,146	)		160,679

Number of consolidated subsidiaries		224			231			(7	)
Number of affiliated companies accounted for under the equity method		59			66			(7	)

Mitsubishi UFJ Financial Group, Inc.

BTMU and MUTB Combined


	(in millions of yen)
	For the fiscal year ended						Increase (Decrease) (A) - (B)
	March 31, 2012 (A)			March 31, 2011 (B)			Increase (Decrease) (A) - (B)
Gross profits		2,362,083			2,337,500			24,582
Gross profits before credit costs for trust accounts		2,362,083			2,337,500			24,582
Net interest income		1,360,027			1,411,934			(51,907	)
Trust fees		73,129			76,539			(3,409	)
Credit costs for trust accounts (1)		—			(0	)		0
Net fees and commissions		470,211			455,926			14,285
Net trading profits		122,611			106,509			16,101
Net other business profits		336,103			286,590			49,512
Net gains (losses) on debt securities		265,139			211,898			53,241
General and administrative expenses		1,191,080			1,180,513			10,567
Net business profits before credit costs for trust accounts and provision for general allowance for credit losses		1,171,002			1,156,986			14,015
Provision for general allowance for credit losses (2)		(10,385	)		(71,512	)		61,126
Net business profits		1,160,616			1,085,474			75,142
Net non-recurring gains (losses)		(307,189	)		(322,788	)		15,598
Credit costs (3)		(161,377	)		(144,207	)		(17,170	)
Losses on loan write-offs		(77,146	)		(108,386	)		31,239
Provision for specific allowance for credit losses		(82,800	)		(36,138	)		(46,662	)
Other credit costs		(1,431	)		317			(1,748	)
Reversal of allowance for credit losses (4)		—			—			—
Reversal of reserve for contingent losses included in credit costs (5)		—			—			—
Gains on loans written-off (6)		37,234			—			37,234
Net gains (losses) on equity securities		(108,417	)		(131,430	)		23,012
Gains on sales of equity securities		42,737			55,295			(12,558	)
Losses on sales of equity securities		(66,333	)		(53,585	)		(12,747	)
Losses on write-down of equity securities		(84,821	)		(133,139	)		48,318
Other non-recurring gains (losses)		(74,628	)		(47,151	)		(27,477	)

Ordinary profits		853,426			762,685			90,741

Net extraordinary gains (losses)		(326	)		13,711			(14,037	)
Gains on loans written-off (7)		—			37,685			(37,685	)
Reversal of allowance for credit losses (8)		—			—			—
Reversal of reserve for contingent losses included in credit costs (9)		—			3,827			(3,827	)
Net gains (losses) on disposition of fixed assets		602			(5,192	)		5,794
Losses on impairment of fixed assets		(9,839	)		(5,893	)		(3,946	)
Income before income taxes		853,100			776,397			76,703
Income taxes-current		187,650			66,011			121,639
Income taxes-deferred		120,547			(4,368	)		124,915
Total taxes		308,198			61,643			246,555

Net income		544,902			714,754			(169,851	)


(Reference)
Total credit costs (1)+(2)+(3)+(4)+(5)+(6)+(7)+(8)+(9)		(134,529	)		(174,207	)		39,677

Mitsubishi UFJ Financial Group, Inc.

BTMU Consolidated


	(in millions of yen)
	For the fiscal year ended						Increase (Decrease) (A) - (B)
	March 31, 2012 (A)			March 31, 2011 (B)			Increase (Decrease) (A) - (B)
Gross profits		2,504,366			2,489,182			15,183
Net interest income		1,496,541			1,545,783			(49,241	)
Trust fees		10,296			10,863			(566	)
Net fees and commissions		516,662			511,464			5,198
Net trading profits		126,762			114,203			12,559
Net other business profits		354,102			306,867			47,234
Net gains (losses) on debt securities		256,587			214,597			41,989
General and administrative expenses		1,294,952			1,285,592			9,360
Amortization of goodwill		14,344			16,367			(2,023	)
Net business profits before provision for general allowance for credit losses and amortization of goodwill		1,223,758			1,219,957			3,800
Net business profits before provision for general allowance for credit losses		1,209,413			1,203,590			5,823
Provision for general allowance for credit losses (1)		3,213			(94,713	)		97,927
Net business profits*		1,212,627			1,108,876			103,751
Net non-recurring gains (losses)		(280,917	)		(259,109	)		(21,808	)
Credit costs (2)		(183,333	)		(178,218	)		(5,114	)
Losses on loan write-offs		(106,060	)		(143,960	)		37,900
Provision for specific allowance for credit losses		(77,360	)		(33,892	)		(43,467	)
Other credit costs		87			(365	)		452
Reversal of allowance for credit losses (3)		—			—			—
Reversal of reserve for contingent losses included in credit costs (4)		4,763			—			4,763
Gains on loans written-off (5)		44,892			—			44,892
Net gains (losses) on equity securities		(93,950	)		(48,056	)		(45,893	)
Gains on sales of equity securities		35,234			52,885			(17,651	)
Losses on sales of equity securities		(61,832	)		(46,445	)		(15,387	)
Losses on write-down of equity securities		(67,352	)		(54,496	)		(12,855	)
Profits (losses) from investments in affiliates		6,312			(3,615	)		9,927
Other non-recurring gains (losses)		(59,602	)		(29,218	)		(30,384	)

Ordinary profits		931,709			849,766			81,943

Net extraordinary gains (losses)		(13,650	)		11,239			(24,890	)
Gains on loans written-off (6)		—			49,593			(49,593	)
Reversal of allowance for credit losses (7)		—			—			—
Reversal of reserve for contingent losses included in credit costs (8)		—			5,219			(5,219	)
Net gains (losses) on disposition of fixed assets		(2,978	)		(2,582	)		(396	)
Losses on impairment of fixed assets		(18,211	)		(5,439	)		(12,771	)
Gains on sales of equity securities of affiliates		7,713			—			7,713
Income before income taxes and others		918,059			861,006			57,053
Income taxes-current		191,214			99,345			91,869
Income taxes-deferred		124,462			(21,463	)		145,925
Total taxes		315,677			77,882			237,794
Income before minority interests		602,382			783,124			(180,741	)
Minority interests		58,058			63,328			(5,270	)

Net income		544,324			719,795			(175,471	)


Note:
* Net business profits = Net business profits of BTMU + Other consolidated entities’ gross profits - Other consolidated entities’ general and administrative expenses - Other consolidated entities’ provision for general allowance for credit losses - Amortization of goodwill - Inter-company transactions

(Reference)
Total credit costs (1)+(2)+(3)+(4)+(5)+(6)+(7)+(8)		(130,463	)		(218,119	)		87,656

Number of consolidated subsidiaries		133			135			(2	)
Number of affiliated companies accounted for under the equity method		53			48			5

Mitsubishi UFJ Financial Group, Inc.

BTMU Non-consolidated


	(in millions of yen)
	For the fiscal year ended						Increase (Decrease) (A) - (B)
	March 31, 2012 (A)			March 31, 2011 (B)			Increase (Decrease) (A) - (B)
Gross profits		2,030,988			2,000,854			30,134
Domestic gross profits		1,225,953			1,264,543			(38,590	)
Net interest income		865,373			913,831			(48,457	)
Net fees and commissions		236,110			234,376			1,733
Net trading profits		7,048			1,218			5,829
Net other business profits		117,420			115,116			2,304
Net gains (losses) on debt securities		122,453			112,542			9,911
Non-domestic gross profits		805,034			736,310			68,724
Net interest income		338,482			333,864			4,617
Net fees and commissions		153,218			139,922			13,296
Net trading profits		97,509			98,079			(569	)
Net other business profits		215,824			164,444			51,380
Net gains (losses) on debt securities		130,151			93,916			36,235
General and administrative expenses		1,008,138			994,329			13,808
Personnel expenses		372,723			368,603			4,120
Non-personnel expenses		582,930			573,620			9,310
Amortization of goodwill		108			—			108
Taxes		52,484			52,106			378
Net business profits before provision for general allowance for credit losses and amortization of goodwill		1,022,958			1,006,524			16,434
Net business profits before provision for general allowance for credit losses		1,022,849			1,006,524			16,325
Provision for general allowance for credit losses (1)		(7,032	)		(70,316	)		63,283
Net business profits		1,015,817			936,208			79,608
Net non-recurring gains (losses)		(272,494	)		(278,208	)		5,714
Credit costs (2)		(152,611	)		(136,090	)		(16,520	)
Losses on loan write-offs		(76,482	)		(105,714	)		29,231
Provision for specific allowance for credit losses		(75,174	)		(30,022	)		(45,151	)
Other credit costs		(954	)		(353	)		(601	)
Reversal of allowance for credit losses (3)		—			—			—
Reversal of reserve for contingent losses included in credit costs (4)		—			—			—
Gains on loans written-off (5)		34,329			—			34,329
Net gains (losses) on equity securities		(93,806	)		(106,782	)		12,975
Gains on sales of equity securities		31,599			48,537			(16,937	)
Losses on sales of equity securities		(59,601	)		(44,028	)		(15,572	)
Losses on write-down of equity securities		(65,805	)		(111,291	)		45,485
Other non-recurring gains (losses)		(60,406	)		(35,335	)		(25,070	)

Ordinary profits		743,322			657,999			85,322

Net extraordinary gains (losses)		(3,769	)		16,411			(20,181	)
Gains on loans written-off (6)		—			36,414			(36,414	)
Reversal of allowance for credit losses (7)		—			—			—
Reversal of reserve for contingent losses included in credit costs (8)		—			3,827			(3,827	)
Net gains (losses) on disposition of fixed assets		(4,098	)		(3,111	)		(987	)
Losses on impairment of fixed assets		(8,582	)		(5,439	)		(3,143	)
Gains on sales of equity securities of affiliates		7,713			—			7,713
Income before income taxes		739,552			674,411			65,141
Income taxes-current		154,860			64,154			90,706
Income taxes-deferred		115,649			(29,006	)		144,656
Total taxes		270,510			35,148			235,362

Net income		469,042			639,263			(170,221	)


(Reference)
Total credit costs (1)+(2)+(3)+(4)+(5)+(6)+(7)+(8)		(125,313	)		(166,165	)		40,851

Mitsubishi UFJ Financial Group, Inc.

MUTB Consolidated


	(in millions of yen)
	For the fiscal year ended						Increase (Decrease) (A) - (B)
	March 31, 2012 (A)			March 31, 2011 (B)			Increase (Decrease) (A) - (B)
Gross profits		399,030			384,052			14,978
Gross profits before credit costs for trust accounts		399,030			384,052			14,978
Trust fees		86,997			89,848			(2,850	)
Trust fees before credit costs for trust accounts		86,997			89,848			(2,850	)
Loan trusts and money trusts fees (Jointly operated designated money trusts before credit costs for trust accounts)		6,833			6,758			75
Other trust fees		80,164			83,089			(2,925	)
Credit costs for trust accounts (1)		—			(0	)		0
Net interest income		154,264			163,066			(8,802	)
Net fees and commissions		133,771			113,298			20,473
Net trading profits		20,838			10,175			10,663
Net other business profits		3,158			7,663			(4,505	)
Net gains (losses) on debt securities		12,449			5,595			6,854
General and administrative expenses		235,120			227,338			7,782
Amortization of goodwill		216			11			205
Net business profits before credit costs for trust accounts, provision for general allowance for credit losses and amortization of goodwill		164,125			156,724			7,401
Net business profits before credit costs for trust accounts and provision for general allowance for credit losses		163,909			156,713			7,195
Provision for general allowance for credit losses (2)		(3,314	)		(1,188	)		(2,126	)
Net business profits*		160,594			155,525			5,069
Net non-recurring gains (losses)		(33,321	)		(43,339	)		10,017
Credit costs (3)		(9,137	)		(8,542	)		(594	)
Losses on loan write-offs		(929	)		(2,972	)		2,043
Provision for specific allowance for credit losses		(7,634	)		(6,215	)		(1,419	)
Other credit costs		(573	)		644			(1,218	)
Reversal of allowance for credit losses (4)		—			—			—
Reversal of reserve for contingent losses included in credit costs (5)		—			—			—
Gains on loans written-off (6)		2,747			—			2,747
Net gains (losses) on equity securities		(14,671	)		(24,431	)		9,759
Gains on sales of equity securities		10,758			6,761			3,997
Losses on sales of equity securities		(6,798	)		(9,560	)		2,762
Losses on write-down of equity securities		(18,631	)		(21,632	)		3,000
Profits (losses) from investments in affiliates		4,148			3,339			809
Other non-recurring gains (losses)		(16,409	)		(13,704	)		(2,704	)

Ordinary profits		127,273			112,185			15,087

Net extraordinary gains (losses)		5,591			(2,973	)		8,565
Gains on loans written-off (7)		—			1,145			(1,145	)
Reversal of allowance for credit losses (8)		—			—			—
Reversal of reserve for contingent losses included in credit costs (9)		—			—			—
Net gains (losses) on disposition of fixed assets		4,616			(2,132	)		6,748
Losses on impairment of fixed assets		(1,312	)		(461	)		(850	)
Income before income taxes and others		132,864			109,211			23,652
Income taxes-current		39,460			3,782			35,678
Income taxes-deferred		5,623			24,546			(18,922	)
Total taxes		45,084			28,329			16,755
Income before minority interests		87,779			80,882			6,896
Minority interests		7,290			4,655			2,635

Net income		80,488			76,227			4,260


Note:
* Net business profits = Net business profits of MUTB + Other consolidated entities’ gross profits - Other consolidated entities’ general and administrative expenses - Other consolidated entities’ provision for general allowance for credit losses - Amortization of goodwill - Inter-company transactions

(Reference)
Total credit costs (1)+(2)+(3)+(4)+(5)+(6)+(7)+(8)+(9)		(9,704	)		(8,585	)		(1,119	)

Number of consolidated subsidiaries		29			25			4
Number of affiliated companies accounted for under the equity method		12			12			—

Mitsubishi UFJ Financial Group, Inc.

MUTB Non-consolidated


	(in millions of yen)
	For the fiscal year ended						Increase (Decrease) (A) - (B)
	March 31, 2012 (A)			March 31, 2011 (B)			Increase (Decrease) (A) - (B)
Gross profits		331,094			336,646			(5,551	)
Gross profits before credit costs for trust accounts		331,094			336,646			(5,551	)
Domestic gross profits		243,976			259,843			(15,867	)
Trust fees		73,129			76,539			(3,409	)
Trust fees before credit costs for trust accounts		73,129			76,539			(3,409	)
Loan trusts and money trusts fees (Jointly operated designated money trusts before credit costs for trust accounts)		6,833			6,758			75
Other trust fees		66,295			69,780			(3,484	)
Credit costs for trust accounts (1)		—			(0	)		0
Net interest income		101,263			99,972			1,290
Net fees and commissions		82,288			82,311			(23	)
Net trading profits		21,098			14,071			7,027
Net other business profits		(33,803	)		(13,051	)		(20,751	)
Net gains (losses) on debt securities		(26,652	)		(13,740	)		(12,912	)
Non-domestic gross profits		87,118			76,802			10,315
Net interest income		54,907			64,265			(9,358	)
Net fees and commissions		(1,405	)		(684	)		(720	)
Net trading profits		(3,045	)		(6,860	)		3,814
Net other business profits		36,661			20,081			16,580
Net gains (losses) on debt securities		39,187			19,180			20,006
General and administrative expenses		182,941			186,183			(3,241	)
Personnel expenses		68,448			66,559			1,888
Non-personnel expenses		106,422			111,299			(4,876	)
Taxes		8,070			8,324			(254	)
Net business profits before credit costs for trust accounts and provision for general allowance for credit losses		148,152			150,462			(2,309	)
Provision for general allowance for credit losses (2)		(3,352	)		(1,196	)		(2,156	)
Net business profits		144,799			149,266			(4,466	)
Net non-recurring gains (losses)		(34,695	)		(44,580	)		9,884
Credit costs (3)		(8,766	)		(8,116	)		(650	)
Losses on loan write-offs		(664	)		(2,671	)		2,007
Provision for specific allowance for credit losses		(7,626	)		(6,115	)		(1,510	)
Other credit costs		(476	)		670			(1,147	)
Reversal of allowance for credit losses (4)		—			—			—
Reversal of reserve for contingent losses included in credit costs (5)		—			—			—
Gains on loans written-off (6)		2,904			—			2,904
Net gains (losses) on equity securities		(14,610	)		(24,648	)		10,037
Gains on sales of equity securities		11,137			6,758			4,379
Losses on sales of equity securities		(6,732	)		(9,557	)		2,825
Losses on write-down of equity securities		(19,015	)		(21,848	)		2,832
Other non-recurring gains (losses)		(14,222	)		(11,815	)		(2,406	)

Ordinary profits		110,104			104,685			5,418

Net extraordinary gains (losses)		3,443			(2,700	)		6,144
Gains on loans written-off (7)		—			1,271			(1,271	)
Reversal of allowance for credit losses (8)		—			—			—
Reversal of reserve for contingent losses included in credit costs (9)		—			—			—
Net gains (losses) on disposition of fixed assets		4,700			(2,080	)		6,781
Losses on impairment of fixed assets		(1,256	)		(454	)		(802	)
Income before income taxes		113,547			101,985			11,562
Income taxes-current		32,789			1,856			30,933
Income taxes-deferred		4,897			24,637			(19,740	)
Total taxes		37,687			26,494			11,192

Net income		75,860			75,490			369


(Reference)
Total credit costs (1)+(2)+(3)+(4)+(5)+(6)+(7)+(8)+(9)		(9,215	)		(8,041	)		(1,173	)

Mitsubishi UFJ Financial Group, Inc.

2. Average Interest Rate Spread

BTMU Non-consolidated


	(percentage per annum)
(Domestic business segment)	For the fiscal year ended March 31, 2012 (A)		Increase (Decrease) (A) - (B)			For the fiscal year ended March 31, 2011 (B)
Total average interest rate on interest-earning assets (a)		0.91		(0.10	)		1.02
Average interest rate on loans and bills discounted (b)		1.39		(0.07	)		1.47
Average interest rate on securities		0.54		(0.03	)		0.58
Total average interest rate on interest-bearing liabilities (c) <including general and administrative expenses>		0.81		(0.05	)		0.86
Average interest rate on deposits and NCD (d)		0.05		(0.03	)		0.09
Average interest rate on other liabilities		0.28		(0.14	)		0.43
Overall interest rate spread (a)-(c)		0.10		(0.04	)		0.15
Interest rate spread (b)-(d)		1.33		(0.04	)		1.38

MUTB Non-consolidated
	(percentage per annum)
(Domestic business segment)	For the fiscal year ended March 31, 2012 (A)		Increase (Decrease) (A) - (B)			For the fiscal year ended March 31, 2011 (B)
Total average interest rate on interest-earning assets (a)		0.82		(0.09	)		0.92
Average interest rate on loans and bills discounted (b)		1.00		(0.10	)		1.11
Average interest rate on securities		0.71		(0.08	)		0.79
Total average interest rate on interest-bearing liabilities (c)		0.25		(0.07	)		0.33
Average interest rate on deposits and NCD (d)		0.23		(0.08	)		0.31
Overall interest rate spread (a)-(c)		0.57		(0.02	)		0.59
Interest rate spread (b)-(d)		0.77		(0.02	)		0.79

BTMU and MUTB combined
	(percentage per annum)
(Domestic business segment)	For the fiscal year ended March 31, 2012 (A)		Increase (Decrease) (A) - (B)			For the fiscal year ended March 31, 2011 (B)
Average interest rate on loans and bills discounted (a)		1.33		(0.08	)		1.42
Average interest rate on deposits and NCD (b)		0.08		(0.03	)		0.11
Interest rate spread (a)-(b)		1.25		(0.04	)		1.30

Mitsubishi UFJ Financial Group, Inc.

3. Notional Principal by the Remaining Life of the Interest Rate Swaps for Hedge-Accounting

MUFG Consolidated

(in billions of yen)

As of March 31, 2012

within 1 year

1 year to 5 years

over 5 years

Total

Receive-fix/pay-floater

1,788.4

2,610.2

1,605.5

6,004.2

Receive-floater/pay-fix

379.4

4,091.1

1,294.5

5,765.1

Receive-floater/pay-floater

—

20.0

—

20.0

Receive-fix/pay-fix

—

57.7

42.9

100.7

Total

2,167.9

6,779.1

2,943.0

11,890.0

BTMU Consolidated

(in billions of yen)

As of March 31, 2012

within 1 year

1 year to 5 years

over 5 years

Total

Receive-fix/pay-floater

862.7

1,632.6

1,546.0

4,041.4

Receive-floater/pay-fix

249.0

2,935.3

294.9

3,479.3

Receive-floater/pay-floater

—

20.0

—

20.0

Receive-fix/pay-fix

—

Total

1,111.8

4,587.9

1,840.9

7,540.7

MUTB Consolidated

(in billions of yen)

As of March 31, 2012

within 1 year

1 year to 5 years

over 5 years

Total

Receive-fix/pay-floater

918.8

996.3

59.5

1,974.6

Receive-floater/pay-fix

139.8

1,102.6

1,025.5

2,268.0

Receive-floater/pay-floater

—

Receive-fix/pay-fix

—

Total

1,058.6

2,098.9

1,085.0

4,242.6

Mitsubishi UFJ Financial Group, Inc.

4. Securities

MUFG Consolidated

The tables include negotiable certificates of deposit in “Cash and due from banks”, beneficiary rights to the trust in “Monetary claims bought” and others in addition to “Securities”.

Fair Value Information on Securities


	(in millions of yen)
	As of March 31, 2012									As of March 31, 2011
	Amount on consolidated balance sheet		Differences			Gains		Losses		Amount on consolidated balance sheet		Differences			Gains		Losses
Debt securities being held to maturity		2,607,013		30,314			48,855		18,540		3,299,569		34,850			48,492		13,642
Domestic bonds		615,146		4,370			4,383		12		1,144,463		9,160			9,180		19
Government bonds		556,942		4,168			4,168		—		967,312		7,579			7,579		—
Municipal bonds		3,530		6			6		—		22,666		178			178		—
Corporate bonds		54,672		196			208		12		154,484		1,402			1,422		19
Other		1,991,867		25,943			44,472		18,528		2,155,106		25,689			39,312		13,623
Foreign bonds		850,023		(11,292	)		5,271		16,563		1,137,457		(2,525	)		7,168		9,693
Other		1,141,844		37,236			39,201		1,964		1,017,648		28,214			32,144		3,929

	(in millions of yen)
	As of March 31, 2012									As of March 31, 2011
	Amount on consolidated balance sheet		Differences			Gains		Losses		Amount on consolidated balance sheet		Differences			Gains		Losses
Other securities		74,831,720		832,059			1,260,004		427,945		67,198,517		327,632			1,124,505		796,872
Domestic equity securities		3,333,887		321,739			661,036		339,297		3,566,358		281,297			713,520		432,223
Domestic bonds		51,566,808		217,511			230,777		13,265		48,098,475		70,829			181,345		110,515
Government bonds		48,005,803		155,174			158,048		2,874		43,974,575		23,936			118,538		94,602
Municipal bonds		180,778		7,750			7,750		—		200,279		6,569			6,578		9
Corporate bonds		3,380,226		54,586			64,977		10,391		3,923,620		40,323			56,228		15,904
Other		19,931,025		292,808			368,190		75,381		15,533,683		(24,494	)		229,639		254,133
Foreign equity securities		170,324		50,249			51,560		1,311		282,233		83,659			83,771		111
Foreign bonds		17,921,947		260,668			279,026		18,358		13,637,510		(46,807	)		95,651		142,459
Other		1,838,753		(18,109	)		37,603		55,712		1,613,939		(61,346	)		50,216		111,562
Redemption schedule of other securities with maturities and debt securities being held to maturity
	(in millions of yen)
	As of March 31, 2012									As of March 31, 2011
	within 1 year		1 year to 5 years			5 years to 10 years		over 10 years		within 1 year		1 year to 5 years			5 years to 10 years		over 10 years
Domestic bonds		15,006,612		29,286,976			5,407,746		2,480,938		12,952,502		29,418,611			4,625,567		2,246,396
Government bonds		14,514,169		27,532,281			4,836,501		1,679,794		12,380,303		27,112,686			3,962,098		1,486,799
Municipal bonds		7,913		67,796			108,154		443		46,876		66,109			109,506		453
Corporate bonds		484,529		1,686,898			463,090		800,700		525,322		2,239,815			553,962		759,142
Other		2,015,953		9,096,714			4,106,719		5,345,322		2,196,338		7,306,116			3,073,406		4,174,673
Foreign bonds		1,842,489		8,761,238			3,273,306		4,875,198		1,981,987		6,925,274			2,322,864		3,520,067
Other		173,463		335,476			833,412		470,124		214,350		380,841			750,542		654,606
Total		17,022,565		38,383,690			9,514,465		7,826,261		15,148,840		36,724,727			7,698,974		6,421,070

Mitsubishi UFJ Financial Group, Inc.

BTMU Non-consolidated

The tables include negotiable certificates of deposit in “Cash and due from banks”, beneficiary rights to the trust in “Monetary claims bought” and others in addition to “Securities”.

Fair Value Information on Securities

(in millions of yen)

As of March 31, 2012

As of March 31, 2011

Amount on
balance sheet

Differences

Gains

Losses

Amount on
balance sheet

Differences

Gains

Losses

Debt securities being held to maturity

1,290,873

26,526

28,491

1,964

1,159,945

11,873

15,712

3,839

Stocks of subsidiaries and affiliates

98,313

(10,198

)

5,741

15,940

98,316

(6,376

)

13,158

19,534

(in millions of yen)

As of March 31, 2012

As of March 31, 2011

Amount on
balance sheet

Differences

Gains

Losses

Amount on
balance sheet

Differences

Gains

Losses

Other securities

61,072,230

480,969

903,881

422,911

56,018,656

169,866

851,151

681,285

Domestic equity securities

2,647,024

107,422

489,872

382,450

2,803,845

74,213

522,197

447,983

Domestic bonds

45,565,304

177,582

189,846

12,264

43,573,087

59,556

163,683

104,127

Other

12,859,902

195,965

224,162

28,197

9,641,722

36,096

165,270

129,174

Foreign equity securities

161,308

49,207

49,218

171,910

73,896

73,897

Foreign bonds

11,250,102

136,806

144,639

7,832

8,362,087

(28,661

)

49,751

78,412

Other

1,448,490

9,950

30,304

20,354

1,107,724

(9,138

)

41,621

50,760

Redemption schedule of other securities with maturities and debt securities being held to maturity

(in millions of yen)

As of March 31, 2012

As of March 31, 2011

within
1 year

1 year to
5 years

5 years to
10 years

over
10 years

within
1 year

1 year to
5 years

5 years to
10 years

over
10 years

Domestic bonds

14,594,582

24,364,248

4,444,642

2,411,878

11,216,158

26,730,134

3,698,373

2,178,534

Government bonds

14,250,338

22,826,908

3,967,327

1,626,773

10,821,167

24,787,087

3,092,864

1,433,249

Municipal bonds

4,383

67,796

107,925

397

27,174

62,580

108,945

406

Corporate bonds

339,860

1,469,543

369,389

784,708

367,816

1,880,466

496,562

744,877

Other

1,092,993

5,354,112

2,916,153

3,399,755

1,447,427

3,777,273

2,095,348

2,649,024

Foreign bonds

929,659

5,150,461

2,215,231

2,934,997

1,236,734

3,573,537

1,520,965

2,006,151

Other

163,333

203,651

700,921

464,758

210,692

203,735

574,382

642,872

Total

15,687,575

29,718,361

7,360,795

5,811,634

12,663,585

30,507,408

5,793,721

4,827,558

Mitsubishi UFJ Financial Group, Inc.

MUTB Non-consolidated

The tables include beneficiary rights to the trust in “Monetary claims bought” in addition to “Securities”.

Fair Value Information on Securities

(in millions of yen)

As of March 31, 2012

As of March 31, 2011

Amount on
balance sheet

Differences

Gains

Losses

Amount on
balance sheet

Differences

Gains

Losses

Debt securities being held to maturity

1,020,692

6,699

6,870

171

1,806,668

9,513

11,990

2,476

Stocks of subsidiaries and affiliates

49,470

26,561

26,721

159

40,375

16,005

—

(in millions of yen)

As of March 31, 2012

As of March 31, 2011

Amount on
balance sheet

Differences

Gains

Losses

Amount on
balance sheet

Differences

Gains

Losses

Other securities

11,452,187

219,904

322,684

102,780

8,727,335

10,599

205,871

195,271

Domestic equity securities

700,397

105,554

168,078

62,524

716,005

75,226

155,178

79,952

Domestic bonds

5,734,215

37,511

38,615

1,104

4,139,545

10,646

17,061

6,414

Other

5,017,574

76,838

115,989

39,151

3,871,784

(75,273

)

33,631

108,904

Foreign equity securities

6,037

(354

)

426

781

223

—

Foreign bonds

4,692,092

106,327

110,414

4,087

3,434,485

(22,717

)

26,211

48,928

Other

319,444

(29,134

)

5,503

34,637

436,518

(52,779

)

7,196

59,976

Redemption schedule of other securities with maturities and debt securities being held to maturity

(in millions of yen)

As of March 31, 2012

As of March 31, 2011

within 1 year

1 year to
5 years

5 years to
10 years

over
10 years

within 1 year

1 year to
5 years

5 years to
10 years

over
10 years

Domestic bonds

206,889

4,760,216

1,054,908

69,059

1,511,521

2,558,120

873,470

67,862

Government bonds

76,982

4,560,422

960,978

53,021

1,355,202

2,230,288

815,510

53,550

Municipal bonds

3,530

—

228

19,702

3,528

560

Corporate bonds

126,376

199,794

93,701

15,992

136,616

324,304

57,399

14,264

Other

510,647

3,175,556

1,016,334

816,659

472,091

2,847,169

784,171

532,883

Foreign bonds

500,238

3,097,832

957,582

800,271

468,796

2,686,173

701,906

512,846

Other

10,408

77,723

58,751

16,387

3,294

160,995

82,264

20,036

Total

717,537

7,935,772

2,071,242

885,718

1,983,613

5,405,290

1,657,641

600,745

Mitsubishi UFJ Financial Group, Inc.

5. ROE

MUFG Consolidated

(%)

For the fiscal year
ended
March 31, 2012
(A)

Increase
(Decrease)
(A) - (B)

For the fiscal year
ended
March 31, 2011
(B)

ROE*

11.10

4.20

6.89

Note:

* ROE is computed as follows:

Net income - Equivalent of annual dividends on nonconvertible preferred stocks

×100

{(Total shareholders’ equity at the beginning of the period - Number of nonconvertible preferred stocks at the beginning of the period × Issue price + Foreign currency translation adjustments at the beginning of the period) + (Total shareholders’ equity at the end of the period - Number of nonconvertible preferred stocks at the end of the period × Issue price + Foreign currency translation adjustments at the end of the period)} / 2

Mitsubishi UFJ Financial Group, Inc.

6. Risk-Adjusted Capital Ratio Based on the Basel 2 Standards

MUFG Consolidated


	(in billions of yen)
	As of March 31, 2012 (A)			Increase (Decrease) (A) - (B)			As of March 31, 2011 (B)
(1) Risk-adjusted capital ratio		14.91	%		0.01	%		14.89	%
Tier 1 ratio		12.31	%		0.97	%		11.33	%
(2) Tier 1 capital		10,522.2			568.9			9,953.3
(3) Qualified Tier 2 capital		4,038.7			118.2			3,920.4
(4) Deductions from total qualifying capital		1,818.4			1,025.5			792.9
(5) Net qualifying capital (2)+(3)-(4)		12,742.5			(338.3	)		13,080.8
(6) Risk-adjusted assets		85,456.5			(2,348.3	)		87,804.9
(7) Required Capital		6,836.5			(187.8	)		7,024.3

BTMU Consolidated


	(in billions of yen)
	As of March 31, 2012 (A)			Increase (Decrease) (A) - (B)			As of March 31, 2011 (B)
(1) Risk-adjusted capital ratio		16.27	%		0.45	%		15.82	%
Tier 1 ratio		11.76	%		0.34	%		11.42	%
(2) Tier 1 capital		8,473.1			189.0			8,284.1
(3) Qualified Tier 2 capital		3,513.9			30.4			3,483.5
(4) Deductions from total qualifying capital		271.0			(26.9	)		297.9
(5) Net qualifying capital (2)+(3)-(4)		11,716.1			246.4			11,469.7
(6) Risk-adjusted assets		71,993.4			(492.0	)		72,485.5
(7) Required Capital		5,759.4			(39.3	)		5,798.8

MUTB Consolidated


	(in billions of yen)
	As of March 31, 2012 (A)			Increase (Decrease) (A) - (B)			As of March 31, 2011 (B)
(1) Risk-adjusted capital ratio		15.74	%		(0.19	)%		15.93	%
Tier 1 ratio		12.38	%		(0.63	)%		13.02	%
(2) Tier 1 capital		1,470.6			77.9			1,392.7
(3) Qualified Tier 2 capital		520.7			125.5			395.2
(4) Deductions from total qualifying capital		122.2			38.5			83.7
(5) Net qualifying capital (2)+(3)-(4)		1,869.1			164.9			1,704.2
(6) Risk-adjusted assets		11,871.6			1,178.0			10,693.5
(7) Required Capital		949.7			94.2			855.4

BTMU Non-consolidated


	(in billions of yen)
	As of March 31, 2012 (A)			Increase (Decrease) (A) - (B)			As of March 31, 2011 (B)
(1) Risk-adjusted capital ratio		17.41	%		0.79	%		16.61	%
Tier 1 ratio		12.60	%		0.51	%		12.09	%
(2) Tier 1 capital		8,333.9			154.8			8,179.0
(3) Net qualifying capital		11,514.3			275.8			11,238.5
(4) Risk-adjusted assets		66,126.2			(1,509.0	)		67,635.3
(5) Required Capital		5,290.1			(120.7	)		5,410.8

MUTB Non-consolidated


	(in billions of yen)
	As of March 31, 2012 (A)			Increase (Decrease) (A) - (B)			As of March 31, 2011 (B)
(1) Risk-adjusted capital ratio		15.76	%		(0.24	)%		16.01	%
Tier 1 ratio		11.71	%		(0.93	)%		12.64	%
(2) Tier 1 capital		1,410.8			63.4			1,347.3
(3) Net qualifying capital		1,899.9			193.1			1,706.8
(4) Risk-adjusted assets		12,048.4			1,389.0			10,659.3
(5) Required Capital		963.8			111.1			852.7

Note:

Risk-adjusted capital ratio of MUFG is computed in accordance with the Notification of the Financial Services Agency No.20, 2006. Risk-adjusted capital ratio of BTMU and MUTB are computed in accordance with the Notification of the Financial Services Agency No.19, 2006. Required Capital is 8% of risk-adjusted assets.

Mitsubishi UFJ Financial Group, Inc.

7. Risk-Monitored Loans

MUFG Consolidated

(1) Risk-Monitored Loans


	(in millions of yen)
	As of March 31, 2012 (A)		% to total loans and bills discounted			As of March 31, 2011 (B)		% to total loans and bills discounted			Increase (Decrease) (A) - (B)			% to total loans and bills discounted
Loans to bankrupt borrowers		37,839		0.04	%		53,116		0.06	%		(15,277	)		(0.02	)%
Non-accrual delinquent loans		1,107,470		1.31	%		1,022,139		1.27	%		85,331			0.03	%
Accruing loans contractually past due 3 months or more		76,519		0.09	%		142,789		0.17	%		(66,270	)		(0.08	)%
Restructured loans		642,361		0.76	%		574,503		0.71	%		67,857			0.04	%
Total risk monitored loans		1,864,190		2.20	%		1,792,549		2.24	%		71,641			(0.03	)%
Total loans and bills discounted		84,492,697					79,995,024					4,497,672

Written-off		668,234					912,112					(243,878	)

(2) Allowance for Credit Losses

	(in millions of yen)
	As of March 31, 2012 (A)		% to total risk monitored loans			As of March 31, 2011 (B)		% to total risk monitored loans			Increase (Decrease) (A) - (B)			% to total risk monitored loans
Allowance for credit losses		1,123,773		60.28	%		1,143,997		63.81	%		(20,224	)		(3.53	)%
General allowance for credit losses		748,128					805,242					(57,114	)
Specific allowance for credit losses		375,017					338,028					36,988
Allowance for credit to specific foreign borrowers		626					725					(98	)

(3) Classification of Risk-Monitored Loans



Classified by Geographic Area	(in millions of yen)
	As of March 31, 2012 (A)		As of March 31, 2011 (B)		Increase (Decrease) (A) - (B)
Domestic		1,633,285		1,551,505		81,780
Overseas		230,905		241,044		(10,139	)
Asia		14,443		9,419		5,023
Indonesia		883		931		(48	)
Thailand		5,916		5,179		737
Hong Kong		363		24		339
Other		7,279		3,284		3,995
United States of America		89,234		110,341		(21,106	)
Other		127,227		121,282		5,944

Total		1,864,190		1,792,549		71,641


Classified by Industry	(in millions of yen)
	As of March 31, 2012 (A)		As of March 31, 2011 (B)		Increase (Decrease) (A) - (B)
Domestic		1,633,285		1,551,505		81,780
Manufacturing		271,210		221,358		49,851
Construction		48,544		64,252		(15,707	)
Wholesale and retail		268,275		203,873		64,401
Finance and insurance		14,114		7,772		6,341
Real estate, goods rental and leasing		175,488		196,998		(21,510	)
Services		133,054		122,532		10,522
Other industries		85,697		83,556		2,141
Consumer		636,898		651,159		(14,261	)
Overseas		230,905		241,044		(10,139	)
Financial institutions		27,021		24,299		2,722
Commercial and industrial		102,393		123,328		(20,935	)
Other		101,490		93,416		8,074

Total		1,864,190		1,792,549		71,641

Mitsubishi UFJ Financial Group, Inc.

BTMU Non-consolidated

(1) Risk-Monitored Loans


	(in millions of yen)
	As of March 31, 2012 (A)		% to total loans and bills discounted			As of March 31, 2011 (B)		% to total loans and bills discounted			Increase (Decrease) (A) - (B)			% to total loans and bills discounted
Loans to bankrupt borrowers		33,997		0.04	%		48,118		0.07	%		(14,121	)		(0.02	)%
Non-accrual delinquent loans		899,774		1.29	%		753,909		1.16	%		145,864			0.13	%
Accruing loans contractually past due 3 months or more		61,388		0.08	%		113,208		0.17	%		(51,819	)		(0.08	)%
Restructured loans		476,297		0.68	%		425,616		0.65	%		50,681			0.03	%
Total risk monitored loans		1,471,457		2.12	%		1,340,853		2.06	%		130,603			0.05	%
Total loans and bills discounted		69,386,000					64,981,715					4,404,284

Written-off		455,314					692,351					(237,036	)

(2) Allowance for Credit Losses


	(in millions of yen)
	As of March 31, 2012 (A)		% to total risk monitored loans			As of March 31, 2011 (B)		% to total risk monitored loans			Increase (Decrease) (A) - (B)			% to total risk monitored loans
Allowance for credit losses		762,942		51.84	%		712,944		53.17	%		49,997			(1.32	)%
General allowance for credit losses		488,039					481,006					7,032
Specific allowance for credit losses		274,276					231,213					43,063
Allowance for credit to specific foreign borrowers		626					725					(98	)

(3) Classification of Risk-Monitored Loans


Classified by Geographic Area	(in millions of yen)
	As of March 31, 2012 (A)		As of March 31, 2011 (B)		Increase (Decrease) (A) - (B)
Domestic		1,337,153		1,215,189		121,963
Overseas		134,304		125,663		8,640
Asia		3,721		2,326		1,395
Indonesia		—		331		(331	)
Thailand		929		1,076		(147	)
Hong Kong		363		24		339
Other		2,428		894		1,534
United States of America		3,462		2,880		582
Other		127,119		120,457		6,662

Total		1,471,457		1,340,853		130,603

Classified by Industry


	(in millions of yen)
	As of March 31, 2012 (A)		As of March 31, 2011 (B)		Increase (Decrease) (A) - (B)
Domestic		1,337,153		1,215,189		121,963
Manufacturing		249,932		215,606		34,326
Construction		47,837		62,717		(14,880	)
Wholesale and retail		264,867		200,085		64,782
Finance and insurance		8,028		7,736		292
Real estate		145,848		164,097		(18,249	)
Goods rental and leasing		5,204		3,297		1,906
Services		130,735		120,252		10,483
Other industries		82,630		80,502		2,128
Consumer		402,067		360,893		41,174
Overseas		134,304		125,663		8,640
Financial institutions		25,252		19,266		5,985
Commercial and industrial		45,787		45,020		766
Other		63,264		61,376		1,887

Total		1,471,457		1,340,853		130,603

Mitsubishi UFJ Financial Group, Inc.

MUTB Non-consolidated

(1) Risk-Monitored Loans


	(in millions of yen)
	As of March 31, 2012 (A)		% to total loans and bills discounted			As of March 31, 2011 (B)		% to total loans and bills discounted			Increase (Decrease) (A) - (B)			% to total loans and bills discounted
Loans to bankrupt borrowers		1,981		0.01	%		1,665		0.01	%		316			0.00	%
Non-accrual delinquent loans		45,798		0.43	%		38,226		0.36	%		7,572			0.07	%
Accruing loans contractually past due 3 months or more		150		0.00	%		599		0.00	%		(448	)		(0.00	)%
Restructured loans		18,722		0.17	%		10,474		0.09	%		8,247			0.07	%
Total risk monitored loans		66,652		0.63	%		50,964		0.48	%		15,688			0.15	%
Total loans and bills discounted		10,520,913					10,589,116					(68,202	)

Written-off		20,137					22,509					(2,371	)

(2) Allowance for Credit Losses


	(in millions of yen)
	As of March 31, 2012 (A)		% to total risk monitored loans			As of March 31, 2011 (B)		% to total risk monitored loans			Increase (Decrease) (A) - (B)		% to total risk monitored loans
Allowance for credit losses		63,931		95.91	%		54,436		106.81	%		9,494		(10.89	)%
General allowance for credit losses		40,826					37,473					3,352
Specific allowance for credit losses		23,105					16,963					6,142
Allowance for credit to specific foreign borrowers		—					—					—

(3) Classification of Risk-Monitored Loans


Classified by Geographic Area	(in millions of yen)
	As of March 31, 2012 (A)		As of March 31, 2011 (B)		Increase (Decrease) (A) - (B)
Domestic		66,639		50,946		15,693
Overseas		13		18		(5	)
Asia		—		—		—
Indonesia		—		—		—
Thailand		—		—		—
Hong Kong		—		—		—
Other		—		—		—
United States of America		—		5		(5	)
Other		13		13		(0	)

Total		66,652		50,964		15,688


Classified by Industry	(in millions of yen)
	As of March 31, 2012 (A)		As of March 31, 2011 (B)		Increase (Decrease) (A) - (B)
Domestic		66,639		50,946		15,693
Manufacturing		21,231		5,715		15,516
Construction		671		1,488		(817	)
Wholesale and retail		3,088		3,445		(356	)
Finance and insurance		6,052		—		6,052
Real estate		19,853		24,865		(5,011	)
Goods rental and leasing		—		—		—
Services		2,253		2,226		26
Other industries		3,060		3,042		17
Consumer		10,428		10,162		265
Overseas		13		18		(5	)
Financial institutions		—		—		—
Commercial and industrial		—		5		(5	)
Other		13		13		(0	)

Total		66,652		50,964		15,688

Mitsubishi UFJ Financial Group, Inc.

MUTB Non-consolidated: Trust Account

“Trust Account” represents trust account with contracts indemnifying the principal amounts.

(1) Risk-Monitored Loans


	(in millions of yen)
	As of March 31, 2012 (A)		% to total loans and bills discounted			As of March 31, 2011 (B)		% to total loans and bills discounted			Increase (Decrease) (A) - (B)			% to total loans and bills discounted
Loans to bankrupt borrowers		81		0.08	%		90		0.07	%		(8	)		0.00	%
Non-accrual delinquent loans		28		0.03	%		27		0.02	%		1			0.00	%
Accruing loans contractually past due 3 months or more		164		0.17	%		102		0.09	%		61			0.08	%
Restructured loans		779		0.83	%		811		0.71	%		(32	)		0.11	%
Total risk monitored loans		1,053		1.12	%		1,031		0.90	%		22			0.21	%

Total loans and bills discounted		93,829					113,533					(19,704	)

(2) Allowance for Credit Losses

(in millions of yen)

As of
March 31, 2012
(A)

As of
March 31, 2011
(B)

Increase
(Decrease)
(A) - (B)

Allowance for bad debts

282

341

(59

)

(3) Classification of Risk-Monitored Loans

Classified by Industry


	(in millions of yen)
	As of March 31, 2012 (A)		As of March 31, 2011 (B)		Increase (Decrease) (A) - (B)
Domestic		1,053		1,031		22
Manufacturing		—		—		—
Construction		—		—		—
Wholesale and retail		—		—		—
Finance and insurance		—		—		—
Real estate		782		693		88
Goods rental and leasing		—		—		—
Services		—		—		—
Other industries		—		—		—
Consumer		270		337		(66	)

Total		1,053		1,031		22

Mitsubishi UFJ Financial Group, Inc.

8. Non Performing Loans Based on the Financial Reconstruction Law (the “FRL”)

BTMU and MUTB combined including Trust Account

“Trust account” represents trust account with contracts indemnifying the principal amounts.

(1) Non Performing Loans


							(in millions of yen)
							As of March 31, 2012 (A)			As of March 31, 2011 (B)			Increase (Decrease) (A) -(B)
Bankrupt or De facto Bankrupt								107,189			131,292			(24,103	)
Doubtful								917,548			748,773			168,775
Special Attention								557,416			550,683			6,732
Non Performing Loans (1)								1,582,155			1,430,749			151,405
Normal								87,389,539			83,575,725			3,813,814
Total								88,971,694			85,006,474			3,965,220

Non Performing Loans / Total								1.77	%		1.68	%		0.09	%

(2) Status of Coverage of Non Performing Loans
							(in millions of yen)
							As of March 31, 2012 (A)			As of March 31, 2011 (B)			Increase (Decrease) (A) -(B)
Covered amount (2)								1,242,856			1,107,832			135,023
Allowance for credit losses								396,572			347,946			48,625
Collateral, guarantees, etc.								846,284			759,886			86,398

Coverage ratio (2) / (1)								78.55	%		77.43	%		1.12	%
(3) Coverage Ratio
	(in millions of yen)
Category	Loan amount (A)			Allowance for credit losses (B)			Covered by collateral and/ or guarantees (C)			Coverage ratio for unsecured portion (B) / [(A) - (C)]			Coverage ratio [(B) + (C)] / (A)
Bankrupt or De facto Bankrupt		107,189			1,573			105,616						100.00	%
Bankrupt or De facto Bankrupt		[131,292	]		[4,417	]		[126,874	]					[100.00	%]
Doubtful		917,548			266,783			410,937						73.86	%
Doubtful		[748,773	]		[212,657	]		[350,143	]					[75.16	%]
Special Attention		557,416			128,215			329,730						82.15	%
Special Attention		[550,683	]		[130,871	]		[282,868	]					[75.13	%]
Total		1,582,155			396,572			846,284						78.55	%
Total		[1,430,749	]		[347,946	]		[759,886	]					[77.43	%]
Note: The upper figures are as of March 31, 2012. The lower figures with brackets are as of March 31, 2011.
(4) Classified by Industry
							(in millions of yen)
							As of March 31, 2012 (A)			As of March 31, 2011 (B)			Increase (Decrease) (A) -(B)
Domestic								1,439,572			1,301,084			138,487
Manufacturing								275,784			226,799			48,985
Construction								49,679			65,934			(16,255	)
Wholesale and retail								285,740			218,899			66,841
Finance and insurance								16,339			8,865			7,474
Real estate								169,718			193,130			(23,411	)
Goods rental and leasing								5,214			3,345			1,868
Services								135,439			126,209			9,230
Other industries								88,058			85,908			2,150
Consumer								413,596			371,992			41,604
Overseas								142,582			129,664			12,917
Financial institutions								25,254			19,268			5,985
Commercial and industrial								54,050			49,006			5,044
Other								63,277			61,390			1,887
Total								1,582,155			1,430,749			151,405

Mitsubishi UFJ Financial Group, Inc.

BTMU Non-consolidated

(1) Non Performing Loans


							(in millions of yen)
							As of March 31, 2012 (A)			As of March 31, 2011 (B)			Increase (Decrease) (A) - (B)
Bankrupt or De facto Bankrupt								103,380			127,261			(23,881	)
Doubtful								873,332			712,630			160,702
Special Attention								537,685			538,824			(1,138	)
Non Performing Loans (1)								1,514,398			1,378,716			135,682
Normal								76,648,955			72,744,393			3,904,562
Total								78,163,354			74,123,110			4,040,244

Non Performing Loans / Total								1.93	%		1.86	%		0.07	%

(2) Status of Coverage of Non Performing Loans

							(in millions of yen)
							As of March 31, 2012 (A)			As of March 31, 2011 (B)			Increase (Decrease) (A) - (B)
Covered amount (2)								1,188,917			1,063,116			125,801
Allowance for credit losses								374,785			334,716			40,069
Collateral, guarantees, etc.								814,132			728,400			85,732

Coverage ratio (2) / (1)								78.50	%		77.10	%		1.39	%

(3) Coverage Ratio
	(in millions of yen)
Category	Loan amount (A)			Allowance for credit losses (B)			Covered by collateral and/ or guarantees (C)			Coverage ratio for unsecured portion (B) / [(A) - (C)]			Coverage ratio [(B) + (C)] / (A)
Bankrupt or De facto Bankrupt		103,380			1,544			101,835			100.00	%		100.00	%
		[127,261	]		[4,402	]		[122,859	]		[100.00	%]		[100.00	%]
Doubtful		873,332			250,820			394,417			52.37	%		73.88	%
		[712,630	]		[202,816	]		[329,979	]		[53.00	%]		[74.76	%]
Special Attention		537,685			122,420			317,878			55.69	%		81.88	%
		[538,824	]		[127,497	]		[275,560	]		[48.42	%]		[74.80	%]
Total		1,514,398			374,785			814,132			53.52	%		78.50	%
		[1,378,716	]		[334,716	]		[728,400	]		[51.46	%]		[77.10	%]
Note: The upper figures are as of March 31, 2012. The lower figures with brackets are as of March 31, 2011. (4) Classified by Industry
							(in millions of yen)
							As of March 31, 2012 (A)			As of March 31, 2011 (B)			Increase (Decrease) (A) - (B)
Domestic								1,371,831			1,249,072			122,759
Manufacturing								254,553			221,084			33,469
Construction								48,994			64,446			(15,451	)
Wholesale and retail								282,652			215,454			67,197
Finance and insurance								10,286			8,865			1,421
Real estate								149,081			167,571			(18,489	)
Goods rental and leasing								5,214			3,345			1,868
Services								133,173			123,969			9,203
Other industries								84,998			82,865			2,132
Consumer								402,876			361,470			41,405
Overseas								142,567			129,644			12,923
Financial institutions								25,252			19,266			5,985
Commercial and industrial								54,050			49,000			5,049
Other								63,264			61,376			1,887
Total								1,514,398			1,378,716			135,682

Mitsubishi UFJ Financial Group, Inc.

MUTB Non-consolidated

(1) Non Performing Loans


							(in millions of yen)
							As of March 31, 2012 (A)			As of March 31, 2011 (B)			Increase (Decrease) (A) - (B)
Bankrupt or De facto Bankrupt								3,698			3,881			(182	)
Doubtful								44,131			36,047			8,084
Special Attention								18,873			11,073			7,799
Non Performing Loans (1)								66,702			51,001			15,701
Normal								10,647,807			10,718,828			(71,021	)
Total								10,714,510			10,769,830			(55,319	)

Non Performing Loans / Total								0.62	%		0.47	%		0.14	%

(2) Status of Coverage of Non Performing Loans
							(in millions of yen)
							As of March 31, 2012 (A)			As of March 31, 2011 (B)			Increase (Decrease) (A) - (B)
Covered amount (2)								53,128			43,870			9,257
Allowance for credit losses								21,786			13,230			8,556
Collateral, guarantees, etc.								31,341			30,639			701

Coverage ratio (2) / (1)								79.64	%		86.01	%		(6.36	)%
(3) Coverage Ratio
	(in millions of yen)
Category	Loan amount (A)			Allowance for credit losses (B)			Covered by collateral and/ or guarantees (C)			Coverage ratio for unsecured portion (B) / [(A) - (C)]			Coverage ratio [(B) + (C)] / (A)
Bankrupt or De facto Bankrupt		3,698			28			3,670			100.00	%		100.00	%
		[3,881	]		[15	]		[3,865	]		[100.00	%]		[100.00	%]
Doubtful		44,131			15,962			16,435			57.63	%		73.41	%
		[36,047	]		[9,841	]		[20,067	]		[61.58	%]		[82.97	%]
Special Attention		18,873			5,795			11,236			75.88	%		90.24	%
		[11,073	]		[3,373	]		[6,706	]		[77.25	%]		[91.02	%]
Total		66,702			21,786			31,341			61.61	%		79.64	%
		[51,001	]		[13,230	]		[30,639	]		[64.97	%]		[86.01	%]
Note: The upper figures are as of March 31, 2012. The lower figures with brackets are as of March 31, 2011. (4) Classified by Industry
							(in millions of yen)
							As of March 31, 2012 (A)			As of March 31, 2011 (B)			Increase (Decrease) (A) - (B)
Domestic								66,687			50,981			15,706
Manufacturing								21,231			5,715			15,516
Construction								684			1,488			(804	)
Wholesale and retail								3,088			3,445			(356	)
Finance and insurance								6,052			—			6,052
Real estate								19,853			24,865			(5,011	)
Goods rental and leasing								—			—			—
Services								2,266			2,240			26
Other industries								3,060			3,042			17
Consumer								10,449			10,184			265
Overseas								15			20			(5	)
Financial institutions								2			2			—
Commercial and industrial								—			5			(5	)
Other								13			13			(0	)
Total								66,702			51,001			15,701

Mitsubishi UFJ Financial Group, Inc.

MUTB Non-consolidated: Trust Account

“Trust account” represents trust account with contracts indemnifying the principal amounts.

(1) Non Performing Loans


							(in millions of yen)
							As of March 31, 2012 (A)			As of March 31, 2011 (B)			Increase (Decrease) (A) - (B)
Bankrupt or De facto Bankrupt								109			149			(39	)
Doubtful								85			95			(10	)
Special Attention								858			785			72
Non Performing Loans (1)								1,053			1,031			22
Normal								92,776			112,502			(19,726	)
Total								93,829			113,533			(19,704	)

Non Performing Loans / Total								1.12	%		0.90	%		0.21	%

(2) Status of Coverage of Non Performing Loans
							(in millions of yen)
							As of March 31, 2012 (A)			As of March 31, 2011 (B)			Increase (Decrease) (A) - (B)
Covered amount (2)								810			846			(35	)
Allowance for credit losses								—			—			—
Collateral, guarantees, etc.								810			846			(35	)

Coverage ratio (2) / (1)								76.96	%		82.09	%		(5.13	)%
(3) Coverage Ratio
	(in millions of yen)
Category	Loan amount (A)			Allowance for credit losses (B)			Covered by collateral and/ or guarantees (C)			Coverage ratio for unsecured portion (B) / [(A) - (C)]			Coverage ratio [(B) + (C)] / (A)
Bankrupt or De facto Bankrupt		109			—			109						100.00	%
Bankrupt or De facto Bankrupt		[149	]		[—	]		[149	]					[100.00	%]
Doubtful		85			—			85						99.94	%
Doubtful		[95	]		[—	]		[95	]					[99.86	%]
Special Attention		858			—			615						71.73	%
Special Attention		[785	]		[—	]		[601	]					[76.53	%]
Total		1,053			—			810						76.96	%
Total		[1,031	]		[—	]		[846	]					[82.09	%]
Note: The upper figures are as of March 31, 2012. The lower figures with brackets are as of March 31, 2011. (4) Classified by Industry
							(in millions of yen)
							As of March 31, 2012 (A)			As of March 31, 2011 (B)			Increase (Decrease) (A) - (B)
Domestic								1,053			1,031			22
Manufacturing								—			—			—
Construction								—			—			—
Wholesale and retail								—			—			—
Finance and insurance								—			—			—
Real estate								782			693			88
Goods rental and leasing								—			—			—
Services								—			—			—
Other industries								—			—			—
Consumer								270			337			(66	)
Total								1,053			1,031			22

Mitsubishi UFJ Financial Group, Inc.

Overview of Non-Performing Loans

BTMU and MUTB Combined

(in billions of yen)

Self-Assessment

Coverage ratio
for unsecured
portion

Non-Performing
Loans Based on the
“FRL”

Risk-Monitored
Loans

Classification

Category of
Borrowers

Non-
Classification

Classification
II

Classification
III

Classification
IV

Bankrupt
Borrowers

[105.5]

[0.8]

[0.7]

(*1)

100.00%

i) Bankrupt or De facto Bankrupt
[107.0]

Loans to bankrupt borrowers
[35.9]

Substantially
Bankrupt
Borrowers

Potentially
Bankrupt
Borrowers

[417.6]

[499.8]

52.66%

ii) Doubtful

[917.4]

Non-accrual delinquent loans [945.5]

Borrowers
Requiring
Caution
(Special
Attention
Borrowers)

[556.5]

56.37%

iii) Special Attention [556.5]

Accruing loans contractually past due 3 months or more [61.5]

Restructured loans [495.0]

Borrowers
Requiring
Caution
(Other
Borrowers)

iv) Normal

[87,296.7]

Normal
Borrowers

Non-Performing Loans Based on the “FRL”

Risk-Monitored Loans

i) + ii) + iii)

1,581.1

1,538.1

Total

i) + ii) + iii) + iv)

88,877.8

(*1)	“Customers’ liabilities for acceptances and guarantees” in Classification IV are fully reserved.

Mitsubishi UFJ Financial Group, Inc.

9. Progress in Disposition of Problem Assets

BTMU and MUSP Combined

(A) Bankrupt or De facto Bankrupt and Doubtful Assets Based on the “FRL”


	(in millions of yen)
	As of March 31, 2009		As of March 31, 2010		As of March 31, 2011 (a)		As of March 31, 2012 (b)		(b) - (a)
Assets newly categorized during fiscal 2008		528,152		203,987		97,227		63,447		(33,780	)
Assets newly categorized during fiscal 2009				564,738		210,544		141,145		(69,399	)
Assets newly categorized during fiscal 2010						391,086		266,572		(124,514	)
Assets newly categorized during fiscal 2011								393,988

(B) Progress in Disposition of Problem Assets


	(in millions of yen)
	For the fiscal year ended March 31, 2012
			Bankrupt or De facto Bankrupt		Doubtful
Liquidation		11,717
Re-constructive treatment		39,134
Upgrade due to re-constructive treatment		11,247
Loan sales to secondary market		7,108
Write-offs		44,516
Others		143,297
Collection / Repayment		90,950
Upgraded		52,346

Total		257,021		68,845		188,176

Amount in process for disposition		92,526

Note: The process for disposition consists of legal liquidation, quasi-legal liquidation, company splits to good companies and bad companies, partial direct write-offs of retail exposure to individuals and small/medium-sized companies, and trusts to The Resolution and Collection Corporation for the purpose of revitalization which is scheduled to be off-balanced before the maturity.

Mitsubishi UFJ Financial Group, Inc.

MUTB Non-consolidated including Trust Account

“Trust account” represents trust account with contracts indemnifying the principal amounts.

(A) Bankrupt or De facto Bankrupt and Doubtful Assets Based on the “FRL”


	(in millions of yen)
	As of March 31, 2009		As of March 31, 2010		As of March 31, 2011 (a)		As of March 31, 2012 (b)		(b) - (a)
Assets newly categorized during fiscal 2008		36,771		17,835		8,128		4,485		(3,643	)
Assets newly categorized during fiscal 2009				39,650		10,511		6,513		(3,997	)
Assets newly categorized during fiscal 2010						11,071		2,207		(8,864	)
Assets newly categorized during fiscal 2011								27,155
(B) Progress in Disposition of Problem Assets


	(in millions of yen)
	For the fiscal year ended March 31, 2012
			Bankrupt or De facto Bankrupt		Doubtful
Liquidation		—
Re-constructive treatment		—
Upgrade due to re-constructive treatment		—
Loan sales to secondary market		2,419
Write-offs		845
Others		15,729
Collection / Repayment		12,518
Upgraded		3,211

Total		18,994		2,242		16,752

Amount in process for disposition		3,808

Mitsubishi UFJ Financial Group, Inc.

10.

Loans Classified by Type of Industry, Domestic Consumer Loans, Domestic Loans to Small/Medium-Sized Companies and Proprietors

BTMU and MUTB Combined including Trust Accounts

(1) Loans Classified by Type of Industry


	(in millions of yen)
	As of March 31, 2012 (A)			Increase (Decrease) (A) - (B)			As of March 31, 2011 (B)
Domestic offices (excluding loans booked at offshore markets)		65,066,356			1,146,632			63,919,723
Manufacturing		9,091,745			290,513			8,801,232
Agriculture, forestry, fishery, mining, quarrying of stone and gravel		115,655			(14,549	)		130,204
Construction		978,390			(79,869	)		1,058,259
Utilities		1,423,574			358,789			1,064,785
Communication and information services		1,105,613			55,522			1,050,091
Transport and postal activities		2,479,057			(224,629	)		2,703,686
Wholesale and retail		6,392,494			26,297			6,366,197
Finance and insurance		7,496,515			(64,426	)		7,560,941
Real estate		9,128,992			(323,995	)		9,452,987
Goods rental and leasing		1,507,806			(137,465	)		1,645,271
Services		3,071,669			11,757			3,059,912
Municipal government		948,018			(5,452	)		953,470
Other industries		21,326,813			1,254,136			20,072,677
Overseas offices and loans booked at offshore markets		14,987,923			3,189,469			11,798,454

Total		80,054,280			4,336,102			75,718,178

(2) Domestic Consumer Loans
	(in millions of yen)
	As of March 31, 2012 (A)			Increase (Decrease) (A) - (B)			As of March 31, 2011 (B)
Total domestic consumer loans		17,582,579			(462,180	)		18,044,760
Housing loans		16,866,020			(434,654	)		17,300,674
Residential purpose		13,640,825			(223,595	)		13,864,421
Other		716,559			(27,526	)		744,086
(3) Domestic Loans to Small/Medium-Sized Companies and Proprietors
	(in millions of yen)
	As of March 31, 2012 (A)			Increase (Decrease) (A) - (B)			As of March 31, 2011 (B)
Outstanding amount		39,148,300			(769,427	)		39,917,727
% to total domestic loans		60.16	%		(2.28	)%		62.44	%

Mitsubishi UFJ Financial Group, Inc.

BTMU Non-consolidated

(1) Loans Classified by Type of Industry


	(in millions of yen)
	As of March 31, 2012 (A)			Increase (Decrease) (A) - (B)			As of March 31, 2011 (B)
Domestic offices (excluding loans booked at offshore markets)		55,156,923			1,448,503			53,708,420
Manufacturing		7,108,227			184,443			6,923,784
Agriculture, forestry, fishery, mining, quarrying of stone and gravel		110,892			(14,015	)		124,907
Construction		866,997			(64,801	)		931,798
Utilities		994,312			311,954			682,358
Communication and information services		817,730			11,771			805,959
Transport and postal activities		1,803,504			(192,892	)		1,996,396
Wholesale and retail		5,548,069			(52,838	)		5,600,907
Finance and insurance		5,953,993			105,440			5,848,553
Real estate		7,269,976			(275,595	)		7,545,571
Goods rental and leasing		960,145			(77,122	)		1,037,267
Services		2,733,600			78,811			2,654,789
Municipal government		919,110			7,457			911,653
Other industries		20,070,368			1,425,890			18,644,478
Overseas offices and loans booked at offshore markets		14,229,076			2,955,780			11,273,295

Total		69,386,000			4,404,284			64,981,715

(2) Domestic Consumer Loans
	(in millions of yen)
	As of March 31, 2012 (A)			Increase (Decrease) (A) - (B)			As of March 31, 2011 (B)
Total domestic consumer loans		16,424,621			(505,699	)		16,930,320
Housing loans		15,720,458			(480,086	)		16,200,544
Residential purpose		12,777,784			(294,291	)		13,072,075
Other		704,163			(25,613	)		729,776
(3) Domestic Loans to Small/Medium-Sized Companies and Proprietors
	(in millions of yen)
	As of March 31, 2012 (A)			Increase (Decrease) (A) - (B)			As of March 31, 2011 (B)
Outstanding amount		34,508,950			(746,864	)		35,255,814
% to total domestic loans		62.56	%		(3.07	)%		65.64	%

Mitsubishi UFJ Financial Group, Inc.

MUTB Non-consolidated

(1) Loans Classified by Type of Industry


	(in millions of yen)
	As of March 31, 2012 (A)			Increase (Decrease) (A) - (B)			As of March 31, 2011 (B)
Domestic offices (excluding loans booked at offshore markets)		9,762,065			(301,891	)		10,063,957
Manufacturing		1,983,518			106,070			1,877,448
Agriculture, forestry, fishery, mining, quarrying of stone and gravel		4,763			(534	)		5,297
Construction		111,393			(15,068	)		126,461
Utilities		429,224			46,879			382,345
Communication and information services		287,883			43,751			244,132
Transport and postal activities		674,138			(30,633	)		704,771
Wholesale and retail		844,425			79,135			765,290
Finance and insurance		1,542,522			(169,866	)		1,712,388
Real estate		1,840,747			(43,612	)		1,884,359
Goods rental and leasing		547,561			(60,343	)		607,904
Services		336,657			(66,870	)		403,527
Municipal government		21,085			(3,194	)		24,279
Other industries		1,138,138			(187,609	)		1,325,747
Overseas offices and loans booked at offshore markets		758,847			233,688			525,158

Total		10,520,913			(68,202	)		10,589,116

(2) Domestic Consumer Loans
	(in millions of yen)
	As of March 31, 2012 (A)			Increase (Decrease) (A) - (B)			As of March 31, 2011 (B)
Total domestic consumer loans		1,093,425			48,602			1,044,823
Housing loans		1,081,379			50,408			1,030,970
Residential purpose		800,780			74,995			725,785
Other		12,046			(1,806	)		13,852
(3) Domestic Loans to Small/Medium-Sized Companies and Proprietors
	(in millions of yen)
	As of March 31, 2012 (A)			Increase (Decrease) (A) - (B)			As of March 31, 2011 (B)
Outstanding amount		4,501,360			(33,447	)		4,534,807
% to total domestic loans		46.11	%		1.06	%		45.05	%

Mitsubishi UFJ Financial Group, Inc.

MUTB Non-consolidated: Trust Accounts

(1) Loans Classified by Type of Industry


	(in millions of yen)
	As of March 31, 2012 (A)			Increase (Decrease) (A) - (B)			As of March 31, 2011 (B)
Domestic offices (excluding loans booked at offshore markets)		147,366			20			147,345
Manufacturing		—			—			—
Agriculture, forestry, fishery, mining, quarrying of stone and gravel		—			—			—
Construction		—			—			—
Utilities		38			(44	)		82
Communication and information services		—			—			—
Transport and postal activities		1,415			(1,104	)		2,519
Wholesale and retail		—			—			—
Finance and insurance		—			—			—
Real estate		18,269			(4,788	)		23,057
Goods rental and leasing		100			—			100
Services		1,412			(184	)		1,596
Municipal government		7,823			(9,715	)		17,538
Other industries		118,307			15,855			102,452
Overseas offices and loans booked at offshore markets		—			—			—

Total		147,366			20			147,345

(2) Domestic Consumer Loans
	(in millions of yen)
	As of March 31, 2012 (A)			Increase (Decrease) (A) - (B)			As of March 31, 2011 (B)
Total domestic consumer loans		64,532			(5,083	)		69,616
Housing loans		64,182			(4,976	)		69,158
Residential purpose		62,259			(4,300	)		66,559
Other		350			(107	)		457
(3) Domestic Loans to Small/Medium-Sized Companies and Proprietors
	(in millions of yen)
	As of March 31, 2012 (A)			Increase (Decrease) (A) - (B)			As of March 31, 2011 (B)
Outstanding amount		137,990			10,884			127,106
% to total domestic loans		93.63	%		7.37	%		86.26	%

Mitsubishi UFJ Financial Group, Inc.

11. Overseas Loans

BTMU and MUTB Combined


	(in millions of yen)
	As of March 31, 2012 (A)		Increase (Decrease) (A) - (B)			As of March 31, 2011 (B)
Asia		4,761,209		873,627			3,887,581
Thailand		612,630		116,140			496,489
Indonesia		403,948		74,578			329,370
Malaysia		346,877		60,984			285,892
Philippines		78,958		14,681			64,277
South Korea		334,888		63,484			271,404
Singapore		706,169		120,620			585,549
Hong Kong		1,197,532		256,893			940,639
China		100,540		59,730			40,809
Taiwan		209,120		22,303			186,816
Others		770,542		84,209			686,333
Latin America		1,821,793		359,701			1,462,091
Argentina		4,439		2,788			1,651
Brazil		145,371		26,150			119,221
Mexico		109,575		13,339			96,235
Caribbean countries		1,387,899		257,677			1,130,222
Others		174,506		59,746			114,759
North America		3,483,540		673,748			2,809,792
United States of America		3,224,148		602,713			2,621,434
Canada		259,392		71,034			188,357
Western Europe		3,605,220		861,054			2,744,166
United Kingdom		1,074,347		274,003			800,344
Germany		344,954		(22,948	)		367,902
France		566,821		227,846			338,975
Netherlands		440,615		92,372			348,243
Spain		314,104		49,489			264,615
Italy		213,765		82,612			131,153
Others		650,611		157,678			492,933
Eastern Europe		308,711		99,730			208,980
Others		2,633,162		555,541			2,077,620

Total		16,613,637		3,423,403			13,190,233


Note:		In addition to the (non-consolidated basis) loan balance stated above, three major overseas subsidiaries have the following loan balances as of the consolidated financial statements date.
		UnionBanCal Corporation: ¥4,099,469 million (a 225,299 million yen increase as compared with March 31, 2011.) Bank of Tokyo-Mitsubishi UFJ (China), Ltd.: ¥859,735 million (a 110,203 million yen increase as compared with March 31, 2011.)
		Bank of Tokyo-Mitsubishi UFJ (Holland) N.V.: ¥545,776 million (a 64,805 million yen increase as compared with March 31, 2011.)

Mitsubishi UFJ Financial Group, Inc.

12. Loans and Deposits

BTMU and MUTB Combined


	(in millions of yen)
	As of March 31, 2012 (A)		Increase (Decrease) (A) - (B)		As of March 31, 2011 (B)
Deposits (ending balance)		118,657,469		369,593		118,287,876
Deposits (average balance)		116,004,560		2,456,263		113,548,296
Loans (ending balance)		79,906,913		4,336,081		75,570,832
Loans (average balance)		75,955,331		947,986		75,007,345

BTMU Non-consolidated


	(in millions of yen)
	As of March 31, 2012 (A)		Increase (Decrease) (A) - (B)		As of March 31, 2011 (B)
Deposits (ending balance)		106,680,877		826,198		105,854,679
Deposits (average balance)		103,722,369		2,518,844		101,203,524
Loans (ending balance)		69,386,000		4,404,284		64,981,715
Loans (average balance)		65,506,154		637,056		64,869,097

MUTB Non-consolidated


	(in millions of yen)
	As of March 31, 2012 (A)		Increase (Decrease) (A) - (B)			As of March 31, 2011 (B)
Deposits (ending balance)		11,976,591		(456,605	)		12,433,196
Deposits (average balance)		12,282,191		(62,581	)		12,344,772
Loans (ending balance)		10,520,913		(68,202	)		10,589,116
Loans (average balance)		10,449,177		310,929			10,138,247

Mitsubishi UFJ Financial Group, Inc.

13. Domestic Deposits

BTMU and MUTB Combined


	(in millions of yen)
	As of March 31, 2012 (A)		Increase (Decrease) (A) - (B)			As of March 31, 2011 (B)
Individuals		65,844,374		1,459,728			64,384,645
Corporations and others		41,960,944		(2,550,995	)		44,511,939
Domestic deposits		107,805,318		(1,091,266	)		108,896,585
Note: Amounts do not include negotiable certificates of deposit and JOM accounts. BTMU Non-consolidated
	(in millions of yen)
	As of March 31, 2012 (A)		Increase (Decrease) (A) - (B)			As of March 31, 2011 (B)
Individuals		57,332,610		1,518,769			55,813,841
Corporations and others		39,235,766		(2,123,999	)		41,359,766
Domestic deposits		96,568,376		(605,230	)		97,173,607
Note: Amounts do not include negotiable certificates of deposit and JOM accounts. MUTB Non-consolidated
	(in millions of yen)
	As of March 31, 2012 (A)		Increase (Decrease) (A) - (B)			As of March 31, 2011 (B)
Individuals		8,511,764		(59,040	)		8,570,804
Corporations and others		2,725,177		(426,996	)		3,152,173
Domestic deposits		11,236,941		(486,036	)		11,722,978

Note: Amounts do not include negotiable certificates of deposit and JOM accounts.

Mitsubishi UFJ Financial Group, Inc.

14. Status of Deferred Tax Assets

BTMU Non-consolidated

(1) Tax Effects of the Items Comprising Net Deferred Tax Assets


	(in billions of yen)
	As of March 31, 2012 (A)			Increase (Decrease) (A) - (B)			As of March 31, 2011 (B)
Deferred tax assets		877.7			(161.3	)		1,039.1
Net operating losses carried forwards		—			(23.6	)		23.6
Allowance for credit losses		353.5			(102.7	)		456.3
Write-down on investment securities		220.2			(74.0	)		294.2
Unrealized losses on other securities		82.8			(31.0	)		113.9
Reserve for retirement benefits		87.2			(5.6	)		92.8
Other		433.0			(36.0	)		469.1
Valuation allowance		(299.1	)		111.8			(411.0	)
Deferred tax liabilities		435.0			59.5			375.4
Unrealized gains on other securities		260.1			81.9			178.1
Net deferred gains on hedges		45.6			0.9			44.7
Revaluation gains on securities upon merger		40.6			(8.8	)		49.5
Gains on securities contributed to employee retirement benefits trust		57.9			(8.0	)		65.9
Other		30.5			(6.5	)		37.1
Net deferred tax assets		442.7			(220.9	)		663.6

(2) Net business profits before provision for general allowance for credit losses and Taxable Income


	(in billions of yen)
	FY2006			FY2007			FY2008			FY2009			FY2010			FY2011
Net business profits before provision for general allowance for credit losses		899.7			828.2			710.8			863.1			1,006.5			1,022.8
Total credit costs		53.4			(76.5	)		(393.4	)		(337.8	)		(166.1	)		(125.3	)
Income before income taxes		958.0			687.0			(195.1	)		460.1			674.4			739.5
Reconciliation to taxable income		(401.6	)		(123.1	)		789.1			(3.7	)		(24.0	)		(307.5	)
Taxable income		556.3			563.9			593.9			456.3			650.3			432.0

(3) Classification Based on Prior Year Operating Results as Provided in the JICPA Audit Committee Report No.66

We are classified as “2” because we are considered to be a company showing stable financial performance.

Mitsubishi UFJ Financial Group, Inc.

MUTB Non-consolidated

(1) Tax Effects of the Items Comprising Net Deferred Tax Assets


	(in billions of yen)
	As of March 31, 2012 (A)			Increase (Decrease) (A) - (B)			As of March 31, 2011 (B)
Deferred tax assets		60.4			(1.7	)		62.1
Write-down on investment securities		44.5			(15.0	)		59.5
Allowance for credit losses		24.7			0.0			24.6
Deferred losses on hedging instruments		19.2			12.8			6.3
Unrealized losses on other securities		11.7			(2.6	)		14.4
Net operating losses carried forwards		—			(5.0	)		5.0
Other		43.9			(7.7	)		51.7
Valuation allowance		(83.7	)		15.8			(99.6	)
Deferred tax liabilities		113.2			62.1			51.0
Unrealized gains on other securities		87.1			68.7			18.4
Reserve for retirement benefits		16.4			(0.1	)		16.5
Other		9.6			(6.3	)		16.0
Net deferred tax assets		(52.7	)		(63.8	)		11.1

(2) Net business profits before credit costs for trust accounts and provision for general allowance for credit losses and Taxable Income


	(in billions of yen)
	FY2006			FY2007			FY2008			FY2009			FY2010			FY2011
Net business profits before credit costs for trust accounts and provision for general allowance for credit losses		274.3			187.2			131.5			110.2			150.4			148.1
Total credit costs		8.1			26.3			35.5			(23.7	)		(8.0	)		(9.2	)
Income before income taxes		284.0			197.3			88.1			52.0			101.9			113.5
Reconciliation to taxable income		(142.9	)		(26.3	)		(16.0	)		23.3			(80.1	)		(30.1	)
Taxable income		141.1			170.9			72.0			75.3			21.7			83.3

(3) Classification Based on Prior Year Operating Results as Provided in the JICPA Audit Committee Report No.66

We are classified as “2” because we are considered to be a company showing stable financial performance.

Mitsubishi UFJ Financial Group, Inc.

15. Retirement Benefits

MUFG Consolidated

(1) Benefit obligation


		(in millions of yen)
		As of March 31, 2012 (A)			Increase (Decrease) (A) - (B)			As of March 31, 2011 (B)
Projected benefit obligation	(A)		2,024,907			75,107			1,949,799
Discount rates			0.6% ~ 7.0	%					1.0% ~ 9.0	%
Fair value of plan assets	(B)		1,962,314			(56,378	)		2,018,693
Prepaid pension cost	(C)		483,766			(16,451	)		500,218
Reserve for retirement benefits	(D)		81,111			21,918			59,192
Total amount unrecognized	(A) - (B) + (C) - (D)		465,248			93,116			372,132
Unrecognized net actuarial loss			515,371			123,159			392,211
Unrecognized prior service cost			(50,122	)		(30,043	)		(20,079	)

(2) Net periodic cost

		(in millions of yen)
		For the fiscal year ended March 31, 2012 (A)			Increase (Decrease) (A) - (B)			For the fiscal year ended March 31, 2011 (B)
Net periodic cost of retirement benefits			86,406			13,300			73,105
Service cost			45,584			32			45,552
Interest cost			43,707			(2,218	)		45,925
Expected return on plan assets			(71,451	)		1,192			(72,643	)
Amortization of unrecognized prior service cost			(11,537	)		(1,999	)		(9,537	)
Amortization of unrecognized net actuarial loss			64,374			17,663			46,710
Other			15,729			(1,369	)		17,098

(3) Assumptions and other policies used in calculation of projected benefit obligation


		As of March 31, 2012
Discount rates		Domestic consolidated subsidiaries 0.6% ~ 2.2%
		Overseas consolidated subsidiaries 4.6% ~ 7.0%
Expected return		Domestic consolidated subsidiaries 0.5% ~ 5.8%
		Overseas consolidated subsidiaries 4.0% ~ 8.5%
Method used in allocation of estimated retirement benefits		Straight-line method
Duration for amortization of unrecognized prior service cost		Primarily over 10 years
Duration for amortization of unrecognized net actuarial loss		Primarily over 10 years

Mitsubishi UFJ Financial Group, Inc.

BTMU Non-consolidated

(1) Benefit obligation


		(in millions of yen)
		As of March 31, 2012 (A)			Increase (Decrease) (A) - (B)			As of March 31, 2011 (B)
Projected benefit obligation	(A)		1,275,907			46,182			1,229,724
Discount rates			1.3% ~ 1.6	%					1.6% ~ 2.0	%
Fair value of plan assets	(B)		1,220,760			(41,764	)		1,262,525
Prepaid pension cost	(C)		287,474			(12,546	)		300,021
Reserve for retirement benefits	(D)		5,131			(7,415	)		12,547
Total amount unrecognized	(A) - (B) + (C) - (D)		337,489			82,816			254,673
Unrecognized net actuarial loss			365,649			101,100			264,549
Unrecognized prior service cost			(28,160	)		(18,284	)		(9,875	)
(2) Net periodic cost
		(in millions of yen)
		For the fiscal year ended March 31, 2012 (A)			Increase (Decrease) (A) - (B)			For the fiscal year ended March 31, 2011 (B)
Net periodic cost of retirement benefits			51,901			(58	)		51,959
Service cost			24,709			(757	)		25,467
Interest cost			24,265			(1,606	)		25,871
Expected return on plan assets			(37,330	)		(801	)		(36,529	)
Amortization of unrecognized prior service cost			(7,920	)		(2,639	)		(5,281	)
Amortization of unrecognized net actuarial loss			36,255			5,023			31,232
Other			11,921			723			11,198

Mitsubishi UFJ Financial Group, Inc.

MUTB Non-consolidated

(1) Benefit obligation


		(in millions of yen)
		As of March 31, 2012 (A)			Increase (Decrease) (A) - (B)			As of March 31, 2011 (B)
Projected benefit obligation	(A)		433,024			8,256			424,768
Discount rates			1.6	%					1.9	%
Fair value of plan assets	(B)		504,094			3,866			500,228
Prepaid pension cost	(C)		208,986			4,374			204,612
Reserve for retirement benefits	(D)		—			—			—
Total amount unrecognized	(A) - (B) + (C) - (D)		137,917			8,765			129,151
Unrecognized net actuarial loss			168,201			17,115			151,085
Unrecognized prior service cost			(30,283	)		(8,350	)		(21,933	)
(2) Net periodic cost
		(in millions of yen)
		For the fiscal year ended March 31, 2012 (A)			Increase (Decrease) (A) - (B)			For the fiscal year ended March 31, 2011 (B)
Net periodic cost of retirement benefits			14,941			5,744			9,196
Service cost			6,580			156			6,423
Interest cost			7,929			(337	)		8,267
Expected return on plan assets			(19,061	)		1,424			(20,486	)
Amortization of unrecognized prior service cost			(4,630	)		(432	)		(4,198	)
Amortization of unrecognized net actuarial loss			23,560			4,860			18,700
Other			563			73			489

Mitsubishi UFJ Financial Group, Inc.

(Reference)

1. Exposure to “Securitized Products and Related Investments”

Our exposure to securitized products and related investments as of March 31, 2012 is outlined below. (Figures are on a managerial basis and rounded off.)

[Balance, net unrealized gains (losses), realized gains]

•

The balance as of the end of March 2012 increased to ¥1.66 trillion in total, an increase of ¥0.20 trillion compared with the balance as of the end of March 2011, mainly due to an increase in highly rated CLOs and CMBS.

•

Net unrealized losses were ¥53 billion, improved by ¥25 billion compared to the end of March 2011.

•

The impact on the P/L for the fiscal year ended March 31, 2012 was a gain of approximately ¥11 billion mainly as a result of a gain on sales of RMBS.


		(¥bn)
													of which securities being held to maturity²
		Balance¹		Change from end of March 2011			Net unrealized gains (losses)			Change from end of March 2011			Balance		Net unrealized gains (losses)
1	RMBS		64		(42	)		0			(12	)		0		0
2	Sub-prime RMBS		3		(12	)		0			(9	)		0		0
3	CMBS		103		75			3			4			0		0
4	CLOs		1,400		176			(55	)		32			1,185		(56	)
5	Other securitized products (card, etc.)		90		(5	)		(1	)		1			23		0
6	CDOs		1		(2	)		0			0			0		0
7	Sub-prime ABS CDOs		0		0			0			0			0		0

8	Total		1,658		201			(53	)		25			1,209		(56	)

1.	Balance is the amount after impairment and before deducting net unrealized losses.

The above table does not include mortgage-backed securities arranged and guaranteed by U.S. government sponsored

enterprises, etc., Japanese RMBS such as Japanese Housing Finance Agency securities, and products held by funds such as

investment trusts. These are also applicable to the tables in this document.

Following the publication of “Tentative Solution on Reclassification of Debt Securities” (Practical Issue Task Force No.26, The Accounting Standards Board of Japan, December 5, 2008), some of our securitized products were reclassified into “securities being held to maturity” from “securities available for sale” at and after the end of January 2009. The balance and net unrealized gains (losses) of the securities being held to maturity in the above table are based on book value before reclassification.

[Distribution by rating]

•

AAA-rated products accounted for 70% of our investments in securitized products, an increase of 40% compared with the end of March 2011, mainly due to an increase in volume in highly rated CLOs as a result of upgrades in the portfolio.

•

AAA and AA-rated products accounted for 88% of our investments in securitized products.


		(¥bn)
		AAA			AA			A			BBB			BB or lower			Unrated			Total
9	RMBS		12			8			9			16			20			0			64
10	Sub-prime RMBS		2			0			0			0			0			0			3
11	CMBS		89			2			10			0			1			0			103
12	CLOs		1,000			277			69			50			5			0			1,400
13	Other securitized products (card, etc.)		53			20			7			4			2			3			90
14	CDOs		0			0			0			0			1			0			1
15	Sub-prime ABS CDOs		0			0			0			0			0			0			0

16	Total		1,154			306			95			70			30			3			1,658

17	Percentage of total		70	%		18	%		6	%		4	%		2	%		0	%		100	%
18	Percentage of total (End of March 2011)		30	%		51	%		7	%		5	%		6	%		0	%		100	%

Mitsubishi UFJ Financial Group, Inc.

[Credit exposure related to leveraged loan]

•

We are not engaged in origination or distribution of securitized products of leveraged loans, and therefore, there is no balance of leveraged loans for securitization.

•

The following table shows the balances of LBO loans as of the end of March 2012.


		(¥bn)
		Americas		Europe		Asia		Japan		Total		Change from end of March 2011
1	LBO Loan³(Balance on a commitment basis)		29		110		15		165		319		(9	)
2	Balance on a booking basis		20		96		12		154		282		(3	)

3 Includes balance after refinancing. (Figures are rounded off.)

[Special Purpose Entities (SPEs)]

•

We are engaged in sponsoring ABCP issuance for securitizing our clients’ assets.

•

The balance of assets purchased by ABCP conduits (special purpose companies for issuing ABCP) as of the end of March 2012 was ¥3.93 trillion (¥1.23 trillion overseas).

•

The purchased assets are mainly receivables and they do not include residential mortgages.


RMBS	:	Asset-backed securities collateralized by residential mortgages
CMBS	:	Asset-backed securities collateralized by commercial mortgages
CLOs	:	Collateralized debt obligations backed by whole commercial loans, revolving credit facilities, or letters of credit
CDOs	:	Structured credit securities backed by a pool of securities, loans, or credit default swaps
ABS CDOs	:	Collateralized debt obligations backed by asset backed securities
LBO Loans	:	Loans collateralized by assets and/or future cash flows of an acquired company
ABCP	:	Commercial papers issued by a Special Purpose Company (SPC) collateralized by receivables

Mitsubishi UFJ Financial Group, Inc.

(Reference)

2. Financial Statements

BTMU Non-consolidated

(1) Non-consolidated Balance Sheets


(in millions of yen)	As of March 31, 2011			As of March 31, 2012
Assets:
Cash and due from banks		7,892,503			6,401,537
Call loans		147,984			160,528
Receivables under resale agreements		545,449			566,222
Receivables under securities borrowing transactions		751,482			307,468
Monetary claims bought		1,964,799			2,221,915
Trading assets		6,657,614			5,736,034
Money held in trust		48,615			57,986
Securities		58,303,309			63,452,246
Allowance for losses on securities		(56,627	)		(56,627	)
Loans and bills discounted		64,981,715			69,386,000
Foreign exchanges		1,122,028			1,461,361
Other assets		4,277,306			5,319,356
Tangible fixed assets		872,747			864,836
Intangible fixed assets		311,683			327,329
Deferred tax assets		663,663			442,759
Customers’ liabilities for acceptances and guarantees		5,682,078			5,555,393
Allowance for credit losses		(712,944	)		(762,942	)

Total assets		153,453,411			161,441,406

Mitsubishi UFJ Financial Group, Inc.


(in millions of yen)	As of March 31, 2011			As of March 31, 2012
Liabilities:
Deposits		105,854,679			106,680,877
Negotiable certificates of deposit		8,609,042			9,341,667
Call money		1,253,406			2,005,828
Payables under repurchase agreements		4,758,873			6,100,858
Payables under securities lending transactions		614,479			2,155,306
Commercial papers		—			216,698
Trading liabilities		4,225,944			4,084,721
Borrowed money		6,573,203			8,541,603
Foreign exchanges		711,012			906,624
Bonds payable		4,207,311			4,504,334
Other liabilities		3,318,890			3,225,131
Reserve for bonuses		16,965			16,691
Reserve for bonuses to directors		141			145
Reserve for retirement benefits		12,547			5,131
Reserve for loyalty award credits		798			797
Reserve for contingent losses		40,012			49,840
Reserves under special laws		31			—
Deferred tax liabilities for land revaluation		180,195			154,420
Acceptances and guarantees		5,682,078			5,555,393

Total liabilities		146,059,614			153,546,071

Net assets:
Capital stock		1,711,958			1,711,958
Capital surplus		3,878,275			3,878,275
Capital reserve		1,711,958			1,711,958
Other capital surplus		2,166,317			2,166,317
Retained earnings		1,744,287			2,004,311
Revenue reserve		190,044			190,044
Other retained earnings		1,554,242			1,814,267
Funds for retirement benefits		2,432			2,432
Other reserve		718,196			718,196
Earned surplus brought forward		833,613			1,093,638
Treasury stock		(250,000	)		(250,000	)

Total shareholders’ equity		7,084,520			7,344,545

Net unrealized gains (losses) on other securities		27,110			235,499
Net deferred gains (losses) on hedging instruments		65,497			82,389
Land revaluation excess		216,668			232,900

Total valuation and translation adjustments		309,275			550,789

Total net assets		7,393,796			7,895,334

Total liabilities and net assets		153,453,411			161,441,406

Mitsubishi UFJ Financial Group, Inc.

BTMU Non-consolidated

(2) Non-consolidated Statements of Income


(in millions of yen)	For the fiscal year ended March 31, 2011			For the fiscal year ended March 31, 2012
Ordinary income		2,692,418			2,766,126
Interest income		1,617,422			1,553,338
Interest on loans and bills discounted		996,944			980,453
Interest and dividends on securities		433,249			450,980
Fees and commissions		512,649			525,881
Trading income		101,165			104,558
Other business income		370,005			482,293
Other ordinary income		91,175			100,054
Ordinary expenses		2,034,418			2,022,803
Interest expenses		369,843			349,587
Interest on deposits		128,464			110,913
Fees and commissions		138,350			136,553
Trading expenses		1,866			—
Other business expenses		90,444			149,048
General and administrative expenses		1,039,395			1,054,269
Other ordinary expenses		394,516			333,345

Ordinary profits		657,999			743,322

Extraordinary gains		44,079			12,819
Extraordinary losses		27,667			16,588

Income before income taxes		674,411			739,552

Income taxes - current		64,154			154,860
Income taxes - deferred		(29,006	)		115,649

Total taxes		35,148			270,510

Net income		639,263			469,042

Mitsubishi UFJ Financial Group, Inc.

MUTB Non-consolidated

(1) Non-consolidated Balance Sheets


(in millions of yen)	As of March 31, 2011			As of March 31, 2012
Assets:
Cash and due from banks		1,813,494			1,581,341
Call loans		65,400			68,100
Receivables under securities borrowing transactions		222,291			—
Monetary claims bought		28,443			24,302
Trading assets		318,728			383,399
Money held in trust		2,290			5,368
Securities		10,687,782			12,694,953
Loans and bills discounted		10,589,116			10,520,913
Foreign exchanges		9,918			9,545
Other assets		767,285			734,102
Tangible fixed assets		166,259			169,559
Intangible fixed assets		64,917			62,039
Deferred tax assets		11,111			—
Customers’ liabilities for acceptances and guarantees		139,962			147,876
Allowance for credit losses		(54,436	)		(63,931	)

Total assets		24,832,564			26,337,570

Mitsubishi UFJ Financial Group, Inc.


(in millions of yen)	As of March 31, 2011			As of March 31, 2012
Liabilities:
Deposits		12,433,196			11,976,591
Negotiable certificates of deposit		2,931,733			3,953,824
Call money		418,379			238,420
Payables under repurchase agreements		3,184,471			3,501,140
Payables under securities lending transactions		197,871			426,520
Commercial papers		—			135,463
Trading liabilities		59,545			52,741
Borrowed money		2,340,455			2,118,606
Foreign exchanges		1,107			211
Short-term bonds payable		5,200			—
Bonds payable		288,800			347,800
Due to trust accounts		1,153,993			1,062,395
Other liabilities		381,320			867,958
Reserve for bonuses		4,321			4,325
Reserve for bonuses to directors		85			82
Reserve for contingent losses		17,042			14,830
Deferred tax liabilities		—			52,769
Deferred tax liabilities for land revaluation		6,570			5,447
Acceptances and guarantees		139,962			147,876

Total liabilities		23,564,058			24,907,007

Net assets:
Capital stock		324,279			324,279
Capital surplus		412,315			412,315
Capital reserve		250,619			250,619
Other capital surplus		161,695			161,695
Retained earnings		548,371			597,084
Revenue reserve		73,714			73,714
Other retained earnings		474,657			523,370
Funds for retirement benefits		710			710
Other reserve		138,495			138,495
Earned surplus brought forward		335,452			384,165

Total shareholders’ equity		1,284,965			1,333,678

Net unrealized gains (losses) on other securities		(179	)		138,050
Net deferred gains (losses) on hedging instruments		(9,282	)		(34,692	)
Land revaluation excess		(6,997	)		(6,473	)

Total valuation and translation adjustments		(16,459	)		96,884

Total net assets		1,268,506			1,430,563

Total liabilities and net assets		24,832,564			26,337,570

Mitsubishi UFJ Financial Group, Inc.

MUTB Non-consolidated

(2) Non-consolidated Statements of Income


(in millions of yen)	For the fiscal year ended March 31, 2011		For the fiscal year ended March 31, 2012
Ordinary income		530,530		527,651
Trust fees		76,539		73,129
Interest income		238,248		233,174
Interest on loans and bills discounted		111,236		104,304
Interest and dividends on securities		115,604		122,215
Fees and commissions		102,820		103,440
Trading income		7,416		18,052
Other business income		91,478		78,750
Other ordinary income		14,027		21,103
Ordinary expenses		425,844		417,547
Interest expenses		74,025		77,010
Interest on deposits		42,679		32,084
Fees and commissions		21,193		22,557
Trading expenses		205		—
Other business expenses		84,449		75,892
General and administrative expenses		201,391		202,603
Other ordinary expenses		44,579		39,483

Ordinary profits		104,685		110,104

Extraordinary gains		1,727		5,033
Extraordinary losses		4,428		1,590

Income before income taxes		101,985		113,547

Income taxes - current		1,856		32,789
Income taxes - deferred		24,637		4,897

Total taxes		26,494		37,687

Net income		75,490		75,860

Mitsubishi UFJ Financial Group, Inc.

MUTB Non-consolidated

(3) Statements of Trust Assets and Liabilities

Including trust assets under service-shared co-trusteeship


(in millions of yen)	As of March 31, 2011		As of March 31, 2012
Assets:
Loans and bills discounted		147,345		147,366
Securities		48,559,568		48,875,266
Beneficiary rights to the trust		30,104,181		29,422,638
Securities held in custody accounts		1,157,840		3,113,032
Monetary claims		11,411,248		13,638,583
Tangible fixed assets		8,929,489		9,057,591
Intangible fixed assets		131,400		135,933
Other claims		2,790,990		4,356,505
Call loans		1,544,778		1,197,405
Due from banking account		1,459,085		1,416,693
Cash and due from banks		1,911,548		1,591,392

Total		108,147,478		112,952,408

Liabilities:
Money trusts		17,122,381		17,900,801
Pension trusts		12,224,957		12,130,567
Property formation benefit trusts		13,516		13,094
Investment trusts		29,401,183		28,618,119
Money entrusted other than money trusts		2,006,413		2,096,421
Securities trusts		1,302,122		4,102,251
Monetary claim trusts		11,827,795		14,011,078
Equipment trusts		52,281		63,316
Land and fixtures trusts		85,935		85,159
Composite trusts		34,110,892		33,931,596

Total		108,147,478		112,952,408


Note:		The table shown above includes master trust assets under the service-shared co-trusteeship between MUTB and The Master Trust Bank of Japan, Ltd.

Detailed information for “Money trust” with contracts indemnifying the principal amounts

(including trusts for which beneficiary interests are re-entrusted)


(in millions of yen)	As of March 31, 2011		As of March 31, 2012
Assets:
Loans and bills discounted		113,533		93,829
Securities		46,195		46,294
Other		877,473		838,001

Total		1,037,202		978,124

Liabilities:
Principal		1,033,111		974,326
Allowance for bad debts		341		282
Other		3,749		3,515

Total		1,037,202		978,124

Mitsubishi UFJ Financial Group, Inc.

MUTB Non-consolidated

(4) Major Items


(in millions of yen)	As of March 31, 2011		As of March 31, 2012
Total funds		44,725,785		45,974,880
Deposits		12,433,196		11,976,591
Negotiable certificates of deposit		2,931,733		3,953,824
Money trusts		17,122,381		17,900,801
Pension trusts		12,224,957		12,130,567
Property formation benefit trusts		13,516		13,094

Loans and bills discounted		10,736,462		10,668,279

Banking account		10,589,116		10,520,913
Trust account		147,345		147,366

Investment securities		59,247,351		61,570,219

Note:

The table shown above includes master trust assets under the service-shared co-trusteeship between MUTB and The Master Trust Bank of Japan, Ltd.