(Appendix)                                                                                                                                                     

Minato Bank Announces

Revision of Earnings and Dividends Forecast for Fiscal Year 2007

                                                                                                                                                                                     

 

KOBE, Japan, April 4, 2008 --- The Minato Bank, Limited ("Minato Bank") announces its revision of earnings and dividends forecast for the fiscal year 2007 ended March 31, 2008, which was previously published on November 14, 2007.   

                                                                                                                                                         

1.      Revision of earnings forecast (Fiscal year ended March 31, 2008)                                          

(Consolidated) (Millions of yen, except percentages and per share amounts)             

	Total income	Ordinary profit	Net income	Net income per share
Previous forecast (A)	80,200	13,800	7,300	17.78
Revised forecast (B)	81,300	8,200	5,900	14.37
Difference (B)−(A)	1,100	(5,600)	(1,400)	(3.41)
Percentage change	1.4%	(40.6)%	(19.2)%	(19.2)%
(Reference) Fiscal year 2006	75,703	12,153	6,948	17.76

(Non-consolidated) (Millions of yen, except percentages and per share amounts) 

	Total income	Ordinary profit	Net income	Net income per share
Previous forecast (A)	72,200	12,600	6,500	15.83
Revised forecast (B)	73,300	7,000	4,800	11.69
Difference (B)−(A)	1,100	(5,600)	(1,700)	(4.14)
Percentage change	1.5%	(44.4)%	(26.2)%	(26.1)%
(Reference) Fiscal year 2006	67,698	10,368	5,577	14.25

                                                                                                                                                         

2. Reason for the revision of earnings forecast

                                                       

"Minato Bank expects ordinary profit to have decreased 5.6 billion yen both on consolidated and non-consolidated bases to 8.2 billion yen and 7.0 billion yen, respectively, due to a 3.6 billion yen increase in disposal of problem loans and a 2.6 billion yen increase in provision for general reserve for possible loan losses compared with the previous forecast mainly due to the deterioration of some borrowers with large-exposure.

Net income on consolidated and non-consolidated bases are expected to be 5.9 billion yen and 4.8 billion yen, respectively.

                                                                                                                                                         

 

3.Revision of dividends forecast                                                                                                      

 

	Dividends per share (yen)
	Year-end	Fiscal 2007
Previous forecast	5.00	5.00
Revised forecast	4.00	4.00
(Reference) Fiscal year 2006	4.00	4.00

             

4. Reason for the revision of dividends forecast                                                                                                                                                                  

"Minato Bank expects net income on a non-consolidated basis to have decreased 0.7 billion yen to 4.8 billion yen year on year, 1.7 billion yen below the previous forecast.

Accordingly, Minato Bank, under the stable dividend policy, has revised the year-end dividend forecast to 4 yen, unchanged from the previous fiscal year.