- Resona Holdings
The company was originally established on December 12, 2001 as Daiwa Bank Holdings, Inc., the result of the consolidation of Daiwa Bank, Kinki Osaka Bank, and Nara Bank. After acquiring Asahi Bank on March 1, 2002, the company was renamed Resona Holdings, Inc. on October 1, 2002.
In early 2003 the Resona Group's capital adequacy ratio fell dangerously low. The bank had proposed to maintain its capital adequacy ratio above the legal limit by factoring in deferred tax assets. However, the value of these deferred assets could only be claimed if the company turned a profit in the future. Because of bank's profit outlook was so dim, Resona's auditor refused to certify the company's financial statement if the deferred tax assets were included. Without being able to count the deferred tax assets, the bank was effectively insolvent.
The Resona case threatened to cripple the entire country's financial system, since the other major banks were also counting on deferred tax assets to maintain their capital adequacy ratios. On May 17, 2003, the Japan government decided to inject 1.96 trillion yen in public funds into the Resona Group through Resona Bank. This move, through the share exchange agreement between the bank and the holding company, effectively nationalized the bank, since the government emerged as the company's majority shareholder, holding 68.25% of voting rights of the holding company, while the holdings of existing shareholders was greatly diluted. The existing management was sacked and a new management was installed.
The bank's new management immediately set about to reduce Resona's non-performing loans (NPLs). In 2004, the company managed to turn a profit of ￥386 billion. As a result, Resona's management announced a plan to, over the next 10 years, return to the government ￥868 billion of the ￥3 trillion in public funds it has received.
In 1995, one of Daiwa Bank's bond traders, Toshihide Iguchi, in New York lost $1.1 billion speculating in the bond market. The company was later indicted for not reporting crimes by Iguchi including selling unauthorized sale of client's securities to cover losses.
- Resona Bank, Ltd.
- Saitama Resona Bank, Ltd.
- The Kinki Osaka Bank, Ltd.
- Resona Trust & Banking Co., Ltd.
- ^ Receipt of Subscription Payments for New Common and Preferred Shares(Capital Increase with Public Funds), Resona press release, 30 June 2003. 
- ^ Announcement Regarding Change in Principal Shareholder of Resona Holdings,Inc Resona Holdings press release, 7 August 2003. 
- ^ Resona Holdings, Major Group Companies; retrieved 2011-07-18
Wikimedia Foundation. 2010.
Look at other dictionaries:
Resona Holdings — Rechtsform Kabushiki kaisha ISIN JP3500610005 Sitz … Deutsch Wikipedia
Resona Holdings — Création 2001 modifier … Wikipédia en Français
JFE Holdings — Logo de JFE Holdings Création 2002 Siège social … Wikipédia en Français
Millea Holdings — Tokio Marine Holdings Tokio Marine Holdings Création 2 avril 2002 … Wikipédia en Français
T&D Holdings — T D Holdings T D Holdings Création 1999 … Wikipédia en Français
Seven & I Holdings — Seven I Holdings Pour les articles homonymes, voir Seven. Seven I Holdings Co., Ltd … Wikipédia en Français
Seven & I Holdings Co. — Seven I Holdings Pour les articles homonymes, voir Seven. Seven I Holdings Co., Ltd … Wikipédia en Français
Seven & I Holdings Co., Ltd. — Seven I Holdings Pour les articles homonymes, voir Seven. Seven I Holdings Co., Ltd … Wikipédia en Français
Chuo Mitsui Trust Holdings — modifier … Wikipédia en Français
Mitsubishi Chemical Holdings — Création 2005 Site web www.mitsubishichem hd.co.jp … Wikipédia en Français