Overseas loan balance*2

■ International Banking (JPY billion)($ billion)

¥6 trillion increase
compared to
200.0 EMEA banking profit (left)
(JPY billion)Overseas March 2011 40%
The International Banking Unit of SMFG strives to provide high 200.0 Americas
Overseas
Overseas profitbanking profit (left)
ratio (right)
154.8 30%
40%
Asia
Overseas profit ratio (right) 147.1
150.0 12.8 154.8 30% 30%
value-added services appropriate to the specific local needs of 150.0 126.3 132.6 147.1
30%
10.1 126.3 132.64.0 26%
10.4
its globally-operating clients of business corporations, financial 100.0 83.3
9.0
90.6
3.4 23% 26% 20%
3.7
72.3 20%
100.0 3.4 90.6
83.3 3.823% 20%
institutions, governmental organizations and public entities. 57.3 72.3 3.0 20% ¥3.5 trillion increase
50.0 57.33.4 2.5 compared10% to
SMBC strives to become the global commercial bank which 50.0
7% 3.0 3.1 3.9 5.0 March 2011 10%
is capable of consistently providing up-to-date information and 0 7% 0%
Fiscal Fiscal 2005
2004 2008 2006 20092007 20102009 2010
2008 2011 2011 2013 2014
0 0%
Fiscal 2004 2005 2006 2007 2008 2009 2010 2011 (target)
2013
(target)
services by closely cooperating with SMFG group companies
(target)
*1 Internal management accounting (undisclosed) basis. Aggregate of SMBC
and overseas subsidiaries throughout the world, concentrating and major overseas subsidiary banks. The ratio for earnings generated by
mainly on the three regional divisions of Asia-Pacific, Americas overseas banks in fiscal 2011 was based on the exchange rate of ¥85 to $1
as set forth in the Medium-Term Management Plan.
and Europe. 2
* Internal management accounting (undisclosed basis, conversion based on
($ the Increasedoffrom
exchange rate at the end of each fiscal period). Aggregate
million) SMBC,
Sumitomo
400 Mitsui Banking Corporation Europe Limited, andfiscal 2010 Mitsui
Sumitomo
EMEA
Expansion of Overseas Network Banking Corporation (China) Limited.
Americas
300 Asia
SMBC is working to expand its overseas network of branches
in order to improve their services provided for Japanese compa- Business
200 expansion in emerging markets and
nies and to enhance their exposure in emerging markets. enhancement of our competitive products
100
Established Country SMBC established marketing departments in New York and
April 2011 Malaysia Sumitomo Mitsui Banking Corporation London 0 to specialize in emerging markets. The Global Business
Fiscal 2010 2011 2013
Malaysia Berhad Strategy Dept. of the Tokyo Head Office mainly handles (target) busi-
April 2011 India New Delhi Representative Office ness development of emerging countries.
May 2011 China Sumitomo Mitsui Banking Corporation Furthermore, we have designated and further strengthened
(China) Limited Shenzhen Branch Clients survey (Asia-Pacific overall ranking)*
the areas of infrastructure-related project finance, trade
¥6 trillion finance
increase
September 2011 Netherlands Sumitomo Mitsui Banking Corporation ($ billion)
compared to
¥6 trillion increase
Europe Limited Amsterdam Branch and transaction
billion) banking (cash management services, etc.) as
($ EMEA
Target
Major companies 4th March 2011 to
compared
EMEA
Americas
February 2012 Cambodia Phnom Penh Representative Office our Cash
growth-anticipated
Asia Americas
areas in order 1st
to among
further capture growing
March 2011
managementAsia Midsized companies 4th 12.8Japanese banks Top 3 in Asia in
February 2012 Turkey Istanbul Representative Office business
servicesopportunities in the 10.4
emergingconsecutively
countriesforincluding
12.8 Asia.
cash management
10.1 4.0 services
9.0 10.43rd six4.0
years
May 2012 Peru Lima Representative Office 10.1 Smaller companies
3.4 (foreign banks)
9.0
Mandated3.7Arranger
3.7
3.4 (2011)*1 3.4 3.8
3.4 3.0 ¥3.5 trillion increase
Yen settlement
3.4 2.5 3.8
Financial institutions3.0 1st Global compared
¥3.5
1st consecutively Asia*
for trillion
six years 2
to
increase
services 3.0 3.4 3.1 2.5 3.9 5.0 March 2011 to
compared
3.9 5.0 March 2011
Syndicated3.0 loans 3.1
Fiscal 2008 2009 2010 9th
2011 5th 2014
Fiscal 2008 2009 2010 2011 2014
(target)
Project finance 3rd 7th
(target)

*1 Thomson Reuters
*2 Syndicated Loans: Asia (excluding Japan), Project Finance: Asia-Pacific
(including Australia and Japan)
Trade finance-related earnings
($ million) Increased from
fiscal 2010 from
Increased
400
($ million)
EMEA fiscal 2010
400 EMEA
Americas
300 Asia Americas
300 Asia
Enhancement of International Businesses 200
SMBC has launched its Medium-Term Management Plan for 200
100
the goal of achieving a raise of the ratio for overseas earnings 100
to approximately 30% during the period of fiscal years 2011 0
0Fiscal 2010 2011 2013
to 2013 and it is aggressively investing resources in overseas Fiscal 2010 2011 2013
(target)
(target)
businesses.
Leading products
Overseas banking profit and ratio*1 Clients survey (Asia-Pacific overall ranking)*
Clients survey (Asia-Pacific overall ranking)*
(JPY billion)
200.0 Overseas banking profit (left) 40% Major companies 4th Target
Overseas profit ratio (right) 30% Major companies 4th1st among Target
147.1 154.8 Cash
150.0 30% Cash
management 1st among
Japanese banks Top 3 in Asia in
126.3 132.6 Midsized companies 4th Top 3 in Asia in
management
services Japanese for
Midsized companies 4thconsecutively bankscash management
100.0 90.6 23%
26%
20% services consecutively for cash
six years management
services
72.3
83.3 Smaller companies 3rd six years (foreignservices
banks)
20%
57.3 Smaller companies 3rd (foreign banks)
50.0 10% Yen settlement
Financial institutions 1st
Yen settlement 1st consecutively for six years
services Financial institutions 1st 1st consecutively for six years
7%
0 0%
services
Fiscal 2004 2005 2006 2007 2008 2009 2010 2011 2013 * Survey conducted by Asiamoney magazine (August 2011 edition)
(target)

12 SMFG 2012
 Customers
Topics
Corporate Business Offices, Branches
◆Joint acquisition of the aircraft-leasing business
of the Royal Bank of Scotland
On June 1, 2012, SMBC, Sumitomo Mitsui Finance and Treasury Unit Treasury Marketing Dept.
Leasing, and Sumitomo Corporation jointly acquired the Enhance customer convenience by improving our services
Planning Dept.
aircraft-leasing business of the Royal Bank of Scotland group,
Planning and research Transactions with customers
one of the major British financial institutions. This business
Customer order flow
was newly launched as SMBC Aviation Capital which is
intended to capture the growing aviation demand in emerging Trading Dept. Foreign exchange Treasury Dept. Deposits
transactions Loans
countries including Asia for further business expansion. International
Derivative Treasury Dept. Bonds
Efficient operations transactions Alternative
based on ALM Precise ALM
Bond operations investments
order-initiated trades transactions operations and
and ALM hedging liquidity
CD, CP management
transactions
Trading ALM (Asset Liability Management)
Fund and bond transactions

Interbank Market

Topics

◆Expanded Offerings of Currencies of Asia and

■ Treasury Markets
Through the Treasury Unit of SMBC, the Group offers higher
value-added services to meet further sophisticated and diverse
needs of its clients for transactions in the money, foreign
exchange, bond and derivative markets.
Other Emerging Markets
In order to meet our clients’ market transactional needs,
we are increasing our selection of foreign currencies, mainly
Asian and other emerging-market currencies. We also brief
our clients on the latest changes affecting foreign-exchange
transactions through seminars conducted by economists
specialized in Asian financial markets and through various
foreign-exchange-related tools that we provide to our clients.

More Solutions and Services for Clients’

◆Expanded Online Foreign-Exchange Transaction
Market Transactions
Services
SMBC’s Treasury Unit offers solutions appropriate for the market
We have further improved the i-Deal system, which allows
transactional needs of its clients by working with branches to our clients to execute their foreign exchange transactions on
present to its corporate clients with pertinent proposals for such the Internet, for greater convenience. Since May 2011, we
as hedging transactions, reflecting the shifting trends in the have been substantially upgrading the system by enhancing
financial markets. functions and facilitating its use. We remain committed to
The Unit also continues to improve the functions of i-Deal, optimizing services for our clients.
a system which allows our clients to execute their foreign
exchange transactions on the Internet. It will continue to support
clients by meeting their market transactional needs and offering
the highest level of services in the industry.

ALM and Trading Operations

The Treasury Unit strives to ensure sound Asset-Liability
Management (“ALM”) and stable earnings by comprehensively
controlling the balance of assets, such as loans and liabilities
including deposits, through ALM operations.
The Unit is committed to maximizing its earnings in trading
operations by consistently selecting the best possible means
for the interest-rate, foreign-exchange, commodities and other
marketplaces.

SMFG 2012 13