Sumitomo Mitsui : Financial results for 3QFY2014

Sumitomo Mitsui Trust Holdings, Inc. (SuMi TRUST Holdings)

Financial Results for the Nine Months Ended December 31, 2014 [Japanese GAAP](Consolidated)

Stock exchange listings: Tokyo and Nagoya (Code: 8309) URL: http://www.smth.jp/en/index.html Representative: Kunitaro Kitamura, President

January 29, 2015

Contact: Kiyomitsu Asahi, General Manager of Financial Planning Department

TEL [phone]

Filing date of quarterly securities report (Shihanki Hokokusyo) (Scheduled): February 13, 2015

Specific trading accounts: Established Dividend payment date: － Explanatory material: Prepared

Briefing on financial results : Not scheduled

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

1. Consolidated Financial Results (for the Nine Months Ended December 31, 2014)

(1) Operating Results (%: Changes from the same period in the previous fiscal year)

Ordinary Income	Ordinary Profit	Net Income
Nine Months Ended December 31, 2014 December 31, 2013	Millions of Yen % 895,043 (0.9) 902,854 11.2	Millions of Yen % 232,561 20.3 193,311 7.0	Millions of Yen % 126,511 15.9 109,170 8.4

(Note) Comprehensive Income:

Nine months ended December 31, 2014

Nine months ended December 31, 2013

¥308,148 million, 40.1%

¥219,972 million, 140.9%

Net Income per Share of Common Stock	Net Income per Share of Common Stock (Fully Diluted)
Nine Months Ended December 31, 2014 December 31, 2013	Yen 31.83 27.80	Yen 31.82 27.80

(2) Financial Position

Total Assets	Net Assets	Net Assets to Total Assets Ratio
As of December 31, 2014 March 31, 2014	Millions of Yen 45,688,353 41,889,413	Millions of Yen 2,547,520 2,441,043	% 4.9 5.0

(Reference) Shareholders' Equity:

As of December 31, 2014

As of March 31, 2014

¥2,218,145 million

　¥2,105,375 million

(Note) Net Assets to Total Assets Ratio = (Net Assets - Subscription Rights to Shares - Minority Interests) / Total Assets

2. Cash Dividends per Share of Common Stock

Annual Cash Dividends per Share of Common Stock
1st Quarter- End	2nd Quarter- End	3rd Quarter- End	Fiscal Year- End	Total
Fiscal Year Ended March 31, 2014 Ending March 31, 2015	Yen － －	Yen 5.00 5.50	Yen － －	Yen 5.00	Yen 10.00
Fiscal Year Ended March 31, 2014 Ending March 31, 2015	Yen － －	Yen 5.00 5.50	Yen － －
Ending March 31, 2015 (Forecast)	5.50	11.00

(Notes) 1. Revision of latest announced estimates for cash dividends per share of common stock: None

2. The dividend information above represents the cash dividends on shares of common stock. For dividends on shares of other classes of stock of SuMi TRUST Holdings (unlisted)

with different rights, please refer to "Cash Dividends on Shares of Other Classes of Stock" stated below.

3. Consolidated Earnings Forecast (for the Fiscal Year Ending March 31, 2015)

(%: Changes from the same period in the previous fiscal year)

Ordinary Profit	Net Income	Net Income per Share of Common Stock
Fiscal Year Ending March 31, 2015	Millions of Yen % 275,000 6.6	Millions of Yen % 150,000 9.0	Yen 37.84

(Note) Revision of latest announced forecast of consolidated earnings: None

SuMi TRUST Holdings acquired and cancelled all of the shares of its First Series of Class VII Preferred Shares on October 1, 2014, based on the resolution of the Board of Directors. Accordingly, SuMi TRUST Holdings calculated Net Income per Share of Common Stock in the consolidated earnings forecast for the fiscal year ending March 31, 2015, by reflecting the effects of the acquisition of these preferred shares.

* Notes

(1) Changes in Significant Subsidiaries during the Nine Months Ended December 31, 2014:

　　　 (Changes in "specified subsidiaries" resulted in changes in the scope of consolidation)

(2) Specific Accounting Treatments for the Preparation of the Quarterly Consolidated Financial Statements: Yes

(For further details, please refer to "2. Matters Relating to Summary Information (Notes)" on page 2 of Accompanying Materials.)

(3) Changes in Accounting Policies, Changes in Accounting Estimates, and Restatements

1) Changes in accounting policies due to the revision of accounting standards: Yes

2) Changes in accounting policies other than 1) above: None

3) Changes in accounting estimates: None

4) Restatements: None

(For further details, please refer to "2. Matters Relating to Summary Information (Notes)" on page 2 of Accompanying Materials.)

(4) Number of Shares Issued (Common Stock)

1) Number of shares issued

(including treasury stock):

2) Number of treasury stock:

3) Average number of outstanding issued shares:

Statement Concerning the Status of the Quarterly Review Procedures

These consolidated financial results for the nine months ended December 31, 2014, are out of the scope of the quarterly review procedures required by the Financial Instruments and Exchange Act. Therefore, the quarterly review procedures on the quarterly consolidated financial statements have not been completed at the time of disclosure of these consolidated financial results for the nine months ended December 31,

2014.

Explanation Concerning the Appropriate Use of the Forecasts for Results of Operations and Other Special Matters

The forecasts for results of operations presented in this report are based on the information currently available to SuMi TRUST Holdings and certain reasonable assumptions. Actual results may differ significantly from the forecasts due to various factors.

(Cash Dividends on Shares of Other Classes of Stock)

Cash dividends per share of other classes of stock with different rights from shares of common stock are as follows:

Shares of the First Series of Class VII Preferred Stock	Annual Cash Dividends per Share
Shares of the First Series of Class VII Preferred Stock	1st Quarter- End	2nd Quarter- End	3rd Quarter- End	Fiscal Year- End	Total
Fiscal Year Ended March 31, 2014 Ending March 31, 2015	Yen － －	Yen 21.15 21.15	Yen －	Yen 21.15	Yen 42.30 21.15
Fiscal Year Ended March 31, 2014 Ending March 31, 2015	Yen － －	Yen 21.15 21.15	Yen 42.30 21.15

SuMi TRUST Holdings has acquired and cancelled all of the First Series of Class VII Preferred Stock on October 1, 2014.

Sumitomo Mitsui Trust Holdings, Inc. (SuMi TRUST Holdings) Financial Results for the Nine Months Ended December 31, 2014

[Accompanying Materials] Table of Contents

1. Qualitative Information Related to the Quarterly Consolidated Financial Statements	--------	2
(1) Qualitative Information Related to the Consolidated Results of Operations	--------	2
(2) Qualitative Information Related to the Consolidated Financial Position	--------	2
(3) Qualitative Information Related to the Consolidated Earnings Forecasts	--------	2
2. Matters Relating to Summary Information (Notes)	--------	2
(1) Specific Accounting Treatments for the Preparation of the Quarterly Consolidated Financial Statements	--------	2
(2) Changes in Accounting Policies, Changes in Accounting Estimates, and Restatements	--------	2
3. Consolidated Financial Statements	--------	3
(1) Consolidated Balance Sheets	--------	3
(2) Consolidated Statements of Income and Consolidated Statements of Comprehensive Income	--------	5
Consolidated Statements of Income	--------	5
Consolidated Statements of Comprehensive Income	--------	6
(3) Note on Going Concern Assumptions	--------	7
(4) Note on Significant Change in Total Shareholders' Equity	--------	7
(5) Note on Significant Subsequent Events	--------	8

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Sumitomo Mitsui Trust Holdings, Inc. (SuMi TRUST Holdings) Financial Results for the Nine Months Ended December 31, 2014

1. Qualitative Information Related to the Quarterly Consolidated Financial Statements

(1) Qualitative Information Related to the Consolidated Results of Operations

For the nine months ended on December 31, 2014, Net Business Profit before Credit Costs (Note) increased by ¥19.8 billion year on year to ¥232.8 billion. This was primarily due to an increase in net interest income and related profit of Sumitomo Mitsui Trust Bank, Limited (SuMi TRUST Bank).

Ordinary Profit increased by ¥39.2 billion year on year to ¥232.5 billion due to improvements in total credit costs and net gains on stocks.

Net Income for the period increased by ¥17.3 billion year on year to ¥126.5 billion. There was a positive effect from a change in the example categories of SuMi TRUST Bank under the practical guidelines for tax effect accounting, while SuMi TRUST Bank posted banking IT system integration costs as Extraordinary Losses.

(Note) For further details of Net Business Profit before Credit Costs, please refer to the "Explanatory Material

/ 3rd Quarter of Fiscal Year 2014 Ended on December 31, 2014."

(2) Qualitative Information Related to the Consolidated Financial Position

As of December 31, 2014, consolidated Total Assets increased by ¥3,798.9 billion to ¥45,688.3 billion and consolidated

Total Net Assets also increased by ¥106.4 billion to ¥2,547.5 billion from the end of the previous fiscal year.

In particular, Loans and Bills Discounted increased by ¥1,390.1 billion to ¥25,214.2 billion, Securities decreased by ¥

458.6 billion to ¥ 5,305.7 billion, and Deposits increased by ¥ 174.7 billion to ¥ 24,298.0 billion from the end of the previous fiscal year.

(3) Qualitative Information Related to the Consolidated Earnings Forecasts

There are no changes to the consolidated earnings forecasts for the fiscal year ending March 31, 2015 (Ordinary

Profit: ¥275.0 billion, Net Income: ¥150.0 billion), which were announced on November 13, 2014.

2. Matters Relating to Summary Information (Notes)

(1) Specific Accounting Treatments for the Preparation of the Quarterly Consolidated Financial Statements

(Income tax expenses)

Income tax expenses of certain consolidated subsidiaries are calculated by reasonably estimating the effective tax rate based on the expected income before income tax (net of the effects of deferred taxes) for the fiscal year to which the nine-month period pertains, and multiplying income before income tax for the nine-month period by the estimated effective tax rate.

(2) Changes in Accounting Policies, Changes in Accounting Estimates, and Restatements

(Changes in Accounting Policy)

(Application of Accounting Standard for Retirement Benefits)

SuMi TRUST Holdings applied the "Accounting Standard for Retirement Benefits" (ASBJ Statement No. 26 of May 17,

2012) (the "Accounting Standard") and the "Guidance on Accounting Standard for Retirement Benefits" (ASBJ Guidance No. 25 of May 17, 2012) (the "Guidance") from the three months ended June 30, 2014, specifically items prescribed at paragraph 35 of the Accounting Standard and paragraph 67 of the Guidance. In accordance with the Accounting Standard and the Guidance, SuMi TRUST Holdings reviewed the calculation methods for Defined benefit obligations and service cost, and revised the methods to attribute Retirement Benefits to periods of service under the plan's benefit formula for both SuMi TRUST Bank and some consolidated subsidiaries. Previously, SuMi TRUST Bank applied a point basis and the consolidated subsidiaries applied a straight-line basis. In addition, SuMi TRUST Bank and other consolidated subsidiaries changed the method of determining the discount rate to a method that applies a single weighted-average discount rate reflecting the estimated amount of benefit payments, in principle.

For the application of the Accounting Standard and the Guidance, SuMi TRUST Holdings adopted the transitional provision at paragraph 37 of the Accounting Standard, recording the amounts of the change in the calculation methods for defined benefit obligations and service cost by adjusting Retained Earnings at the beginning of the nine months ended December 31, 2014.

As a result, Assets for Retirement Benefits decreased by ¥46,709 million, Liabilities for Retirement Benefits increased by ¥1,036 million, and Retained Earnings decreased by ¥30,729 million as of the beginning of the nine months ended December 31, 2014. The effects to Ordinary Profit and Income before Income Taxes and Minority Interests for the nine months ended December 31, 2014, are immaterial.

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Sumitomo Mitsui Trust Holdings, Inc. (SuMi TRUST Holdings) Financial Results for the Nine Months Ended December 31, 2014

3. Consolidated Financial Statements

(1) Consolidated Balance Sheets

Assets：

(Millions of Yen)

As of As of
March 31, 2014 December 31, 2014

Cash and Due from Banks 6,916,949 8,984,081
Call Loans and Bills Bought 651,552 504,184

Receivables under Resale Agreements 88,069 138,104
Receivables under Securities Borrowing Transactions 289,377 309,779

Monetary Claims Bought 936,435 798,547
Trading Assets 537,029 1,122,803

Money Held in Trust 13,344 1,605
Securities 5,764,450 5,305,798

Loans and Bills Discounted 23,824,035 25,214,222
Foreign Exchanges 12,114 14,475

Lease Receivables and Investment Assets 540,204 522,642
Other Assets 1,333,355 1,772,004

Tangible Fixed Assets 229,583 225,699
Intangible Fixed Assets 210,536 160,102

Assets for Retirement Benefits 150,153 117,712
Deferred Tax Assets 17,128 14,463

Customers' Liabilities for Acceptances and Guarantees 485,384 571,360
Allowance for Loan Losses (110,289) (89,233)

Total Assets 41,889,413 45,688,353

Liabilities：

Deposits 24,123,328 24,298,060
Negotiable Certificates of Deposit 5,100,179 7,252,706

Call Money and Bills Sold 200,005 278,688
Payables under Repurchase Agreements 1,291,641 813,760

Payables under Securities Lending Transactions ― 2,042
Trading Liabilities 214,104 778,527

Borrowed Money 1,906,117 2,210,991
Foreign Exchanges 124 897

Short-Term Bonds Payable 904,882 1,168,657
Bonds Payable 1,057,772 1,104,019

Borrowed Money from Trust Account 2,941,748 3,042,113
Other Liabilities 1,139,718 1,463,306

Provision for Bonuses 15,415 6,218
Provision for Directors' Bonuses 255 180

Liabilities for Retirement Benefits 11,311 11,448
Provision for Reimbursement of Deposits 3,917 3,637

Provision for Contingent Losses 8,800 8,739
Deferred Tax Liabilities 39,705 121,766

Deferred Tax Liabilities for Land Revaluation 3,954 3,712
Acceptances and Guarantees 485,384 571,360

Total Liabilities 39,448,370 43,140,832

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Sumitomo Mitsui Trust Holdings, Inc. (SuMi TRUST Holdings) Financial Results for the Nine Months Ended December 31, 2014

(Continued)

Net Assets：

(Millions of Yen)

As of As of
March 31, 2014 December 31, 2014

Capital Stock 261,608 261,608
Capital Surplus 754,267 645,260

Retained Earnings 886,491 937,127
Treasury Stock (591) (618)

Total Shareholders' Equity 1,901,775 1,843,378

Valuation Differences on Available-for-Sale Securities 229,637 400,828

Deferred Gains (Losses) on Hedges (12,585) (21,274) Revaluation Reserve for Land (5,761) (6,198) Foreign Currency Translation Adjustments 7,343 13,223
Adjustments for Retirement Benefits (15,033) (11,810)

Total Accumulated Other Comprehensive Income 203,599 374,767

Subscription Rights to Shares 47 238

Minority Interests 335,620 329,136

Total Net Assets 2,441,043 2,547,520

Total Liabilities and Net Assets 41,889,413 45,688,353

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Sumitomo Mitsui Trust Holdings, Inc. (SuMi TRUST Holdings) Financial Results for the Nine Months Ended December 31, 2014

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

Consolidated Statements of Income

(Millions of Yen)

For the Nine Months Ended

December 31, 2013 December 31, 2014

Ordinary Income: 902,854 895,043

Trust Fees 76,106 77,253
Interest Income: 264,214 273,114

Interest on Loans and Discounts 183,916 196,423
Interest and Dividends on Securities 67,741 59,833

Fees and Commissions 234,897 241,018
Trading Income 20,890 26,680

Other Ordinary Income 236,091 215,755
Other Income 70,654 61,221

Ordinary Expenses： 709,543 662,482

Interest Expenses: 100,611 94,318

Interest on Deposits 50,533 48,232
Fees and Commissions Payments 52,615 54,201

Trading Expenses 103 157
Other Ordinary Expenses 186,714 172,701

General and Administrative Expenses 300,258 302,209
Other Expenses 69,239 38,893

Ordinary Profit 193,311 232,561

Extraordinary Income： 303 1,620

Gains on Disposal of Fixed Assets 303 1,620
Extraordinary Losses： 2,233 58,719

Losses on Disposal of Fixed Assets 1,245 1,501
Impairment Losses 987 2,624

Other Extraordinary Losses 　　　　　　　 　　　　 　　　― 54,592

Income before Income Taxes and Minority Interests 191,381 175,462

Income Taxes: 68,407 39,403
Current 18,706 30,456

Deferred 49,701 8,947

Income before Minority Interests 122,974 136,059

Minority Interests in Income 13,804 9,548

Net Income 109,170 126,511

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Sumitomo Mitsui Trust Holdings, Inc. (SuMi TRUST Holdings) Financial Results for the Nine Months Ended December 31, 2014

Consolidated Statements of Comprehensive Income

(Millions of Yen)

For the Nine Months Ended

December 31, 2013 December 31, 2014

Income before Minority Interests 122,974 136,059

Other Comprehensive Income (Loss)： 96,998 172,088

Valuation Differences on Available-for-Sale Securities 80,892 160,639

Deferred Gains (Losses) on Hedges 4,817 (2,941) Foreign Currency Translation Adjustments 7,810 5,055

Adjustments for Retirement Benefits 　　　　　　　 　　　　 　　　― 3,241

Attributable to Equity Method Affiliates 3,478 6,093

Comprehensive Income: 219,972 308,148

Comprehensive Income Attributable to Owners of the Parent 205,797 298,116

Comprehensive Income Attributable to Minority Interests 14,174 10,031

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Sumitomo Mitsui Trust Holdings, Inc. (SuMi TRUST Holdings) Financial Results for the Nine Months Ended December 31, 2014

(3) Note on Going Concern Assumptions

There is no applicable information.

(4) Note on Significant Change in Total Shareholders' Equity
For the Nine Months Ended December 31, 2014 (from April 1, 2014 to December 31, 2014)

(Millions of Yen)

Capital Stock	Capital Surplus	Retained Earnings	Treasury Stock	Total Shareholders' Equity
Balance at the Beginning of the Current Period	261,608	754,267	886,491	(591)	1,901,775
Cumulative Effect of Changes in Accounting Policy	(30,729)	(30,729)
Balance after Cumulative Effect of Changes in Accounting Policy at the Beginning of the Current Period	261,608	754,267	855,761	(591)	1,871,046
Changes of Items during the Nine Months Ended December 31, 2014:
Cash Dividends	(45,582)	(45,582)
Net Income	126,511	126,511
Purchase of Treasury Stock (Note)	(109,050)	(109,050)
Disposal of Treasury Stock	0	16	17
Cancellation of Treasury Stock (Note)	(109,006)	109,006
Reversal of Revaluation Reserve for Land	437	437
Total of Changes of Items during the Nine Months Ended December 31, 2014		(109,006)	81,365	(27)	(27,667)
Balance at the End of the Current Period	261,608	645,260	937,127	(618)	1,843,378

(Note) The figure mainly represents the acquisition and cancellation of First Series of Class VII Preferred Stock, which were resolved at the meeting of the

Board of Directors held on July 31, 2014.

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Sumitomo Mitsui Trust Holdings, Inc. (SuMi TRUST Holdings) Financial Results for the Nine Months Ended December 31, 2014

(5) Note on Significant Subsequent Events

(Repurchase of Own Shares)

The Board of SuMi TRUST Holdings' Directors resolved at the meeting held on January 29, 2015 to repurchase its own shares pursuant to the provision of its Articles of Incorporation in accordance with Article

459, Paragraph 1 of the Companies Act of Japan.

1) Reason for Repurchase :SuMi TRUST Holdings will repurchase its own shares in order to improve shareholder return as well as capital efficiency.

2) Class of shares to be repurchased :Common stock of SuMi TRUST Holdings

3) Total number of shares to be repurchased :Up to 39,000,000 shares

4) Total amount of repurchase :Up to JPY 20,000,000,000

5) Repurchase period :From January 30, 2015 to June 30, 2015

6) Repurchase method :Market purchases on the Tokyo Stock Exchange based on a discretionary trading contract

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