Sumitomo Mitsui Financial Group, Inc.

 

 

 

Notice regarding Establishment of Limit for Acquiring Own Stock, Etc. (Establishment of Limit for Acquiring Own Stock pursuant to

the Provisions of Item 3, Article 155 and Paragraph 1, Article 156 of the Japanese Corporate Law)

 

 

 

TOKYO, October 13, 2006 --- Sumitomo Mitsui Financial Group, Inc. (SMFG, President: Teisuke Kitayama) hereby announces that SMFG’s board of directors resolved at a meeting held today on establishment of a limit for acquiring its own stock and other agenda as described below, so that SMFG can cope with the disposition of SMFG’s common shares in market transactions by The Resolution and Collection Corporation (RCC), which RCC is expected to carry out at the request of SMFG.

SMFG established the limit for acquiring its own stock pursuant to Article 8 of the Articles of Incorporation as described in 2.(2) below, in addition to the one established by the resolution at the annual general shareholders’ meeting held on June 29, 2006, in order to prepare for possible rise in stock price and thereby ensure the repayment of outstanding public funds in their entirety.

Details of the method of acquisition will be determined in due course, taking SMFG’s financial conditions, stock price and other factors into consideration. SMFG will ask Deposit Insurance Corporation of Japan through RCC for disposal of the common shares when SMFG decides to acquire them at a later date.

 

 

Establishment of the limit for acquiring SMFG’s own stock, etc.

1. Reason for establishment of the limit for acquiring SMFG’s own stock, etc.

To acquire SMFG’s common shares, including 60,466 common shares* issued and delivered in exchange for the public fund preferred stock, as to which the right to request acquisition was exercised.

*60,466 common shares were delivered to RCC in exchange for the part of SMFG’s Type 3 Preferred Stock as to which RCC exercised its right to request acquisition.

Summary of the acquisition is as follows:

Type of stock acquired	Type 3 Preferred Stock
Total amount of acquisition price	JPY 50,000,000,000
Date of request for acquisition	September 29, 2006
Acquisition price at which a common share is issued and delivered in exchange for Type 3 Preferred Stock	JPY 826,900
Number of common shares delivered in exchange for Type 3 Preferred Stock	60,466 shares

For more details, please refer to the press release dated September 28, 2006 , titled “Notice regarding Repayment of Public Fund Preferred Stock”.

2. Details of the limit for acquisition, etc.

(1) Acquisition of SMFG’s own stock in accordance with the resolution at the annual general shareholders’ meeting held on June 29, 2006

- Type of stock to be acquired           : Common stock

- Number of shares to be acquired    : 60,466 shares (Upper limit)

- Amount of cash to be tendered in    

 exchange for the acquired stock      : JPY 79,639,200,000 (Upper limit)

- Acquisition period                          : From October 16, 2006 to December 29, 2006

 

(2) The limit for acquiring SMFG’s own stock established pursuant to Article 8 of the Articles of Incorporation

- Type of stock to be acquired           : Common stock

- Number of shares to be acquired    : 6,700 shares (Upper limit)

- Amount of cash to be tendered in    

 exchange for the acquired shares    : JPY 10,000,000,000 (Upper limit)

- Acquisition period                          : From October 16, 2006 to December 29, 2006

 

It follows from the board resolutions described in (1) and (2) above that an aggregate upper limit on the number of shares to be acquired is 67,166 shares and an aggregate upper limit on the amount of cash to be tendered in exchange for the acquired stock is JPY 89,639,200,000.

 

(Reference)

1. Details of the limit for acquiring SMFG’s own stock established by the resolution at the annual general shareholders’ meeting held on June 29, 2006

Type of stock to be acquired	Number of shares to be acquired	Amount of cash to be tendered in exchange for the acquired shares
Common stock	Upper limit  1,000,000 shares	Upper limit  JPY 1,200,000,000,000
Type 2 Preferred Stock	Upper limit    67,000 shares	Upper limit  JPY 1,200,000,000,000
Type 3 Preferred Stock	Upper limit   695,000 shares	Upper limit  JPY 1,200,000,000,000
Total	Aggregate upper limit  1,762,000 shares	Aggregate upper limit  JPY 1,200,000,000,000

 

2. The results of acquisition using the limit described in 1 above as of October 13, 2006

Type of stock acquired	Number of shares acquired	Amount of cash tendered in exchange for the acquired shares
Common stock	0 shares	JPY 0
Type 2 Preferred Stock	67,000 shares	JPY 245,079,300,000
Type 3 Preferred Stock	645,000 shares	JPY 875,281,500,000
Total	Total        712,000 shares	Total      JPY 1,120,360,800,000

 

 

 

 

This “Notice regarding Establishment of Limit for Acquiring Own Stock, Etc.” is published in order to publicly announce the facts herein described, not to solicit anyone into making any investment in or outside of Japan , nor for any other similar purposes.