Final Results

May 15, 2012 12:36 PM Eastern Daylight Time

Sumitomo Mitsui Financial Group, Inc. (SMFG)

Consolidated Financial Results for the Fiscal Year ended March 31, 2012

Head Office: 1-2, Marunouchi 1-chome, Chiyoda-ku, Tokyo, Japan

Stock Exchange Listings: Tokyo Stock Exchange, Osaka Securities Exchange, Nagoya Stock Exchange, New York Stock Exchange

URL: http://www.smfg.co.jp

President: Koichi Miyata

Date of Ordinary General Meeting of Shareholders: June 28, 2012

Date of Payment of Year-End Dividends: June 28, 2012

(Note) Amounts less than one million yen have been omitted.

1. Consolidated Financial Results (for the fiscal year ended March 31, 2012)

(1) Operating Results (Millions of yen, except per share data and percentages)

	Ordinary Income		Ordinary Profit		Net Income
Fiscal Year ended March 31, 2012	¥ 3,945,282	2.6 %	¥ 935,571	13.3 %	¥ 518,536	9.0 %
Fiscal Year ended March 31, 2011	3,845,861	21.5	825,428	47.7	475,895	75.2

Notes: 1. Comprehensive Income:

(a) for the fiscal year ended March 31, 2012: ¥ 665,232 million [60.9 %]

(b) for the fiscal year ended March 31, 2011: ¥ 413,375 million [(48.6) %]

2. Percentages shown in Ordinary Income, Ordinary Profit and Net Income are the increase (decrease) from the previous fiscal year.

	Net Income per Share	Net Income Per Share (Diluted)	Return on Net Assets	Ordinary Profit on Total Assets	Ordinary Profit on Ordinary Income
Fiscal Year ended March 31, 2012	¥ 374.26	¥ 373.99	10.3 %	0.7 %	23.7 %
Fiscal Year ended March 31, 2011	336.85	336.78	9.8	0.6	21.5

Note: Equity in earnings (losses) of affiliates:

(a) for the fiscal year ended March 31, 2012: ¥ (31,122) million (b) for the fiscal year ended March 31, 2011: ¥ (13,319) million

(2) Financial Position (Millions of yen, except per share data and percentages)

	Total Assets	Net Assets	Net Assets Ratio	Net Assets per Share	Capital Ratio
March 31, 2012	¥ 143,040,672	¥ 7,254,976	3.6 %	¥ 3,856.37	(Preliminary) 16.94 %
March 31, 2011	137,803,098	7,132,073	3.7	3,533.47	16.63

Notes: 1. Stockholders’ equity:

(a) as of March 31, 2012: ¥ 5,210,400 million (b) as of March 31, 2011: ¥ 5,094,493 million

2. Net Assets Ratio = {(Net assets – Stock acquisition rights – Minority interests) / Total assets} X 100

3. Capital Ratio is calculated using the method stipulated in “Criteria for a Bank Holding Company to decide whether or not the adequacy of equity capital of the Bank Holding Company and its Subsidiary Companies is appropriate in light of the circumstances such as the assets, etc. it owns, pursuant to Article 52-25 of the Banking Act” (Financial Services Agency Notification 20, issued in 2006).

(3) Cash Flows (Millions of yen)

	Cash Flows from Operating Activities	Cash Flows from Investing Activities	Cash Flows from Financing Activities	Cash and Cash Equivalents at year-end
Fiscal Year ended March 31, 2012	¥ 1,838,185	¥ (2,589,543)	¥ (300,119)	¥ 4,588,858
Fiscal Year ended March 31, 2011	13,793,737	(11,148,211)	(364,438)	5,645,094

2. Dividends on Common Stock (Millions of yen, except per share data and percentages)

	Cash Dividends per Share					Total Dividends (Annual)	Dividend Payout Ratio	Ratio of Dividends to Net Assets
	1st Quarter	2nd Quarter	3rd Quarter	4th Quarter	Annual	Total Dividends (Annual)	Dividend Payout Ratio	Ratio of Dividends to Net Assets
Fiscal Year
ended March 31, 2011	¥ –	¥ 50	¥ –	¥ 50	¥ 100	¥ 141,030	30.0 %	2.9 %
ended March 31, 2012	–	50	–	50	100	138,745	26.8	2.7
ending March 31, 2013 (Forecast)	–	50	–	50	100		29.4

Note: Dividends on unlisted preferred stocks are reported on page 3.

3. Earnings Forecast on a Consolidated Basis (for the fiscal year ending March 31, 2013)

(Millions of yen, except per share data and percentages)
	Ordinary Profit		Net Income		Net Income per Share
Six Months ending September 30, 2012	¥ 460,000	(15.8) %	¥ 250,000	(20.3) %	¥ 184.64
Fiscal Year ending March 31, 2013	910,000	(2.7)	480,000	(7.4)	354.52

Note: Percentages shown in Ordi nary Profit and Net Income are the increase (decrease) from the results of the previous fiscal year.

[Notes]

(1) There were no changes in material consolidated subsidiaries in the fiscal year.

(2) There were changes in accounting principles when preparing consolidated financial statements due to revisions in accounting standards.

(3) Number of common stocks issued (common stock)

	As of March 31, 2012	As of March 31, 2011
(a) Number of shares issued (including treasury stocks)	1,414,055,625 shares	1,414,055,625 shares
(b) Number of treasury stocks	62,939,559 shares	32,581,914 shares

	Fiscal year ended March 31, 2012	Fiscal year ended March 31, 2011
(c) Average number of shares issued in the period	1,385,505,385 shares	1,394,390,769 shares

(Note) Number of shares used in calculating “Net Income per Share” (on a consolidated basis) is reported on page 43.

[Reference] Parent Company Financial Information on a Non-consolidated Basis

Non-consolidated Financial Results (for the fiscal year ended March 31, 2012)

(1) Operating Results (Millions of yen, except per share data and percentages)

	Operating Income		Operating Profit		Ordinary Profit		Net Income
Fiscal Year
ended March 31, 2012	¥ 181,372	(18.4)%	¥ 156,470	(20.9) %	¥ 149,922	(21.7) %	¥ 149,919	(21.7) %
ended March 31, 2011	222,217	66.6	197,750	69.4	191,543	102.6	191,539	189.4

	Net Income per Share	Net Income per Share (Diluted)
Fiscal Year
ended March 31, 2012	¥ 107.06	¥ 107.04
ended March 31, 2011	131.42	131.42

Note: Percentages shown in Operating Income, Operating Profit, Ordinary Profit and Net Income are the increase (decrease) from the previous fiscal year.

(2) Financial Position (Millions of yen, except per share data and percentages)

	Total Assets	Net Assets	Net Assets Ratio	Net Assets per Share
March 31, 2012	¥ 6,153,461	¥ 4,527,629	73.6 %	¥ 3,317.44
March 31, 2011	6,237,655	4,842,914	77.6	3,282.75

Note: Stockholders ’ equity

(a) as of March 31, 2012: ¥ 4,527,031 million (b) as of March 31, 2011: ¥ 4,842,743 million

[Note on Audit Process]

This earnings report is out of the scope of the audit procedure which is required by “Financial Instruments and Exchange Act.” Therefore, the audit process of consolidated financial statement and financial statement has not been completed as of the disclosure of this earnings report.

[Dividends Information]

Dividends on Preferred Stock

(Millions of yen, except per share data)

Type

Cash Dividends per Share

Total Dividends

(Annual)

1st Quarter

2nd Quarter

3rd Quarter

4th Quarter

Annual

Preferred stock

(Type 6)

Fiscal Year ended March 31, 2011

¥ –

¥ 44,250

¥ –

¥ 44,250

¥ 88,500

¥ 6,195

<Reference> Calculation for Indices

- Return on Net Assets (consolidated basis):

Net income		X 100
{(Stockholders’ equity at beginning of year – Number of preferred stocks issued at beginning of year X Issue price) + Stockholders’ equity at year-end} / 2		X 100

- Dividend Payout Ratio (consolidated basis):

Total dividends on common stock		X 100
Net income		X 100

- Ratio of Dividends to Net Assets (consolidated basis):

Total dividends on common stock		X 100
{(Stockholders’ equity at beginning of year – Number of preferred stocks issued at beginning of year X Issue price) + Stockholders’ equity at year-end} / 2		X 100

- Forecasted Net Income per Share (consolidated basis):

Forecasted net income

Forecasted average number of common stocks during the period (excluding treasury stock) (*)

* The forecasted average number of common stocks (excluding treasury stock) during the six months ending September 30, 2012 and fiscal year ending March 31, 2013, used for the above calculations, was assumed to be 1,353,956,142 shares, taking into account that SMFG’s holdings of common shares as treasury stock decreased in April 2012, after the share exchange transaction to make Promise Co., Ltd. its wholly owned subsidiary.

This document contains “forward-looking statements” (as defined in the U.S. Private Securities Litigation Reform Act of 1995), regarding the intent, belief or current expectations of Sumitomo Mitsui Financial Group, Inc. and its management with respect to Sumitomo Mitsui Financial Group, Inc.’s future financial condition and results of operations. In many cases but not all, these statements contain words such as “anticipate”, “estimate”, “expect”, “intend”, “may”, “plan”, “probability”, “risk”, “project”, “should”, “seek”, “target” and similar expressions. Such forward-looking statements are not guarantees of future performance and involve risks and uncertainties, and actual results may differ from those expressed in or implied by such forward-looking statements contained or deemed to be contained herein. The risks and uncertainties which may affect future performance include the fragility of any economic recovery, both globally and in Japan; Sumitomo Mitsui Financial Group, Inc.’s ability to successfully implement its business and capital strategy; the success of our business alliances including those in the consumer finance industry; exposure to new risks as we expand the scope of our business; significant credit-related costs; declines in the value of Sumitomo Mitsui Financial Group, Inc.’s securities portfolio. Given these and other risks and uncertainties, you should not place undue reliance on forward-looking statements, which speak only as of the date of this document. Sumitomo Mitsui Financial Group, Inc. undertakes no obligation to update or revise any forward-looking statements. Please refer to our most recent disclosure documents such as our annual report or the registration statement on Form 20-F and other documents submitted to the U.S. Securities and Exchange Commission, as well as our earnings press releases for a more detailed description of the risks and uncertainties that may affect our financial conditions, our operating results, and investors’ decisions.

Table of Contents

I. Operating and Financial Review

1. Consolidated Operating Results for the Fiscal Year Ended March 31, 2012 (Fiscal 2011)

2. Consolidated Financial Position as of March 31, 2012

3. Dividend Policy and Dividends for Fiscal 2011 and 2012

4. Risk Factors

II. Overview of SMFG Group

III. Management Policy

1. Our Basic Policy

2. Targeted Management Indices

3. Medium- to Long-term Management Strategy

4. Issues to be Addressed

IV. Consolidated Financial Statements

1. Consolidated Balance Sheets

2. Consolidated Statements of Income and Consolidated Statements of Comprehensive Income

3. Consolidated Statements of Changes in Net Assets

4. Consolidated Statements of Cash Flows

5. Note on the Assumption as a Going Concern

6. Notes on Significant Accounting Policies for Preparing Consolidated Financial Statements

7. Unapplied Accounting Standards, etc.

8. Change in presentation

9. Additional Information

10. Notes to Consolidated Financial Statements

Notes to Consolidated Balance Sheets

Notes to Consolidated Statements of Income

Notes to Consolidated Statements of Changes in Net Assets

Notes to Consolidated Statements of Cash Flows

Fair Value of Financial Instruments

Fair Value of Securities and Money Held in Trust

Employee Retirement Benefits

Stock Options

Segment Information

Business Combination

Per Share Data

Significant Subsequent Events

V. Non-Consolidated Financial Statements

1. Non-consolidated Balance Sheets

2. Non-consolidated Statements of Income

3. Non-consolidated Statements of Changes in Net Assets

4. Note on the Assumption as a Going Concern

* (Appendix) Financial Results for the fiscal year ended March 31, 2012 Supplementary Information

I. Operating and Financial Review

1. Consolidated Operating Results for the Fiscal Year Ended March 31, 2012 (Fiscal 2011)

(1) Operating Results

During fiscal year 2011, the first year of the medium-term management plan for the three years from fiscal 2011 to 2013, Sumitomo Mitsui Financial Group, Inc. (“SMFG”) actively executed two strategies of “strengthening initiatives in strategic business areas” and “establishing a solid financial base and corporate infrastructure,” aiming to achieve the management objectives.

In fiscal 2011, net fees and commissions increased mainly as Sumitomo Mitsui Banking Corporation (“SMBC”) increased fees related to overseas loans as well as fees related to domestic loan syndication. Newly consolidated subsidiaries also contributed to the increase. As a result, ordinary income increased ¥99.4 billion year-on-year to ¥3,945.2 billion.

Ordinary expenses decreased ¥10.7 billion year-on-year to ¥3,009.7 billion. Meanwhile, general and administrative expenses increased due to the aggressive allocation of resources into focused business areas, such as our international business, and an increase of consolidated subsidiaries. On the other hand, other expenses decreased thanks to factors such as lower credit costs mainly due to SMBC’s tailored efforts to assist certain debtors to improve their businesses and financial conditions, and also similar efforts made by other consolidated subsidiaries to steadily reduce credit costs.

As a result, SMFG’s ordinary profit increased ¥110.1 billion year-on-year to ¥935.5 and net income increased ¥42.6 billion year-on-year to ¥518.5 billion.

(2) Earnings Forecast for the fiscal year ending March 31, 2013 (Fiscal 2012)

Our basic policy for fiscal 2012 is as follows: “Move forward steadily towards the targets of the medium-term management plan, capturing opportunities with proactive ideas and actions.” We will also continue to implement initiatives for the two strategies – strengthening initiatives in strategic business areas and establishing a solid financial base and corporate infrastructure – of the medium-term management plan.

As for earnings forecast on a consolidated basis, ordinary income and net income are expected to amount to ¥910 billion and ¥480 billion, respectively.

2. Consolidated Financial Position as of March 31, 2012

(1) Assets and Liabilities

Deposits were ¥84,128.5 billion, a year-on-year increase of ¥2,129.6 billion and negotiable certificates of deposit were ¥8,593.6 billion, an increase of ¥227.3 billion increase year over year.

Loans and bills discounted increased ¥1,372.2 billion to ¥62,720.5 billion year-on-year. This was mainly attributable to an increase, notably in Asia and the U. S., despite a decrease in domestic lending.

Total assets were ¥143,040.6 billion, a year-on-year increase of ¥5,237.5 billion.

(2) Net Assets

Net assets were ¥7,254.9 billion, a year-on-year increase of ¥122.9 billion. Stockholders’ equity within net assets was ¥5,014.3 billion, a year-on-year increase of ¥92.8 billion due mainly to the contribution of net income, the acquisition and cancellation of Preferred stock (Type 6), and the payment of cash dividends.

(3) Cash Flows

SMFG generated ¥1,838.1 billion of “Cash flows from operating activities,” a year-on-year decrease of ¥11,955.5 billion, used ¥2,589.5 billion of “Cash flows from investing activities,” a year-on-year increase of ¥8,558.6 billion, and used ¥300.1 billion of “Cash flows from financing activities,” a year-on-year increase of ¥64.3 billion.

Consequently, Cash and cash equivalents amounted to ¥4,588.8 billion, a decrease of ¥1,056.2 billion.

(4) Capital Ratio (preliminary)

Capital ratio was 16.94% on a consolidated basis.

3. Dividend Policy and Dividends for Fiscal 2011 and 2012

SMFG has a basic policy of steadily increasing returns to shareholders through the sustainable growth of its enterprise value, while enhancing its capital to maintain financial soundness in light of the public nature of its business as a bank holding company, and aims to realize a payout ratio of over 20% on a consolidated net income basis.

In line with this policy, SMFG decided to pay the following year-end dividends on common stocks, in view of the fiscal 2011 operating results.

Common stock:
Year-end dividends	¥ 50 per share
Annual (including interim dividend)	¥ 100	(the same as fiscal 2011)

SMFG intends to pay the following dividends for fiscal 2012, based on the earnings forecast, level of dividend payout ratio and policy of maintaining stable dividend payment.

Common stock		¥ 100 per share		(the same as fiscal 2011)
[interim dividends]		[50]

4. Risk Factors

Principal risk factors that could materially affect SMFG’s operating results and financial position are as follows. SMFG takes necessary measures to prevent/mitigate the risk of such events from occurring, and responds quickly and appropriately when such events do occur.

Risk of economic and financial environment deteriorating
Risk of SMFG’s strategy failing
Risk of joint venture, alliance, investment, merger and acquisition failing
Risk of overseas expansion failing
Risk of non-performing loans and credit costs increasing
Risks associated with equity portfolio
Risks associated with trading business and investment activities
Risks associated with foreign exchange trading
Risk of capital ratio declining
Risks resulting from natural disasters
Risks associated with transactions with counterparties in Iran and other countries designated by the U.S. Department of State as state sponsors of terrorism
Risks related to changes in laws, regulations, regimes, and other regulatory matters

(Note) The above risk factors are as of May 15, 2012.

II. Overview of SMFG Group

SMFG group conducts primary banking business through the following financial services: securities services, leasing, credit card services, consumer finance, investment banking, loans and venture capital. SMFG has 337 consolidated subsidiaries and 43 companies accounted for by the equity method.

* Consolidated subsidiary ** Equity method affiliate

(Graphic omitted)

III. Management Policy

1. Our Basic Policy

We aim to be a globally competitive and trusted financial services group by maximizing our strength of Spirit of Innovation, Speed and Solution & Execution. Our mission is as follows:

- To found our own prosperity on providing valuable services which help our customers to build their prosperity;

- To create sustainable value for our shareholders founded on growth in our business;.

- To provide a challenging and professionally rewarding work environment for our dedicated employees.

2. Targeted Management Indices

The SMFG group launched a medium-term management plan in May 2011 for the three years from fiscal 2011 to 2013 with two management objectives as follows:

- Aim for top quality in strategic business areas;

- Establish a solid financial base and corporate infrastructure to meet the challenges of financial regulations and highly competitive environment.

The following four financial objectives and targets were set with the aim of improving and seeking a balance between financial soundness, profitability, and growth.

- Achieve sufficient Core Tier I ratio as required for a global player (“financial soundness”);

- Enhance risk-return profile by improving asset quality (“profitability”);

- Aim for top-level cost efficiency among global players (“profitability”);

- Expand international business especially in Asia by capturing business opportunities in growth markets (“growth”).

Financial targets

Fiscal 2013 Targets	Financial soundness	Core Tier I ratio ^*1,2	8%
	Profitability	Consolidated net income RORA ^*2	0.8%
		Consolidated overhead ratio ^*2	50%-55%
		Overhead ratio ^*3	45%-50%
	Growth	Overseas banking profit ratio ^*4	30%

*1 Calculated based on the definition as at the full implementation of Basel III in 2019

*2 SMFG consolidated basis *3 SMBC non-consolidated basis

*4 Managerial accounting basis. Proportion of Banking profit generated by International Banking Unit

within Marketing units

3. Medium- to Long-term Management Strategy

The business environment surrounding the SMFG group, including economic and market outlook, remains unpredictable, uncertain and unstable. However, we, as a financial services group with Japan as our home market, will implement initiatives for achieving our management objectives in order to fully accommodate the financial needs of our clients in a timely and effective manner.

We, the SMFG group, will make every effort to increase shareholder value by establishing a globally competitive business, corporate and financial base, and to be a top-tier global financial services group.

4. Issues to be Addressed

(1) Strengthen initiatives in strategic business areas

(a) Financial consulting for retail customers

We will continue to make every effort to improve our financial consulting capabilities for retail customers, whose needs are diversifying, through initiatives including an expansion of product line-up in securities intermediary business and a reinforcement of insurance business at SMBC. At the same time, we will strengthen our client base by promoting a) collaboration between Middle Market Banking Unit and Consumer Banking Unit of SMBC, and b) cross-selling on a group-wide basis. In addition, we will offer products and services addressing individuals’ important life events. We will also enhance transaction services and consumer finance business for retail customers on a group-wide basis by consolidating the management function of group companies engaged in these businesses into Consumer Finance & Transaction Business Department.

(b) Tailor-made solutions for corporate clients

We will strengthen responsiveness to customers by reorganizing marketing framework and optimizing staff allocation. Specifically, we will reinforce our lending business and our solution providing capabilities in order to more effectively accommodate diversified and sophisticated financing needs of clients from the planning stage.

We will a) accommodate Japanese clients’ needs, including supporting their international business development, more effectively and in a more integrated manner, and b) reinforce growing businesses including infrastructure finance and trade finance, by expanding our global network, promoting collaboration between domestic and overseas offices and between business units, and strengthening marketing functions associated with investment banking business in Asia. In addition, we will secure stable foreign-currency funding sources to accommodate an increase of overseas assets.

(d) Broker-dealer / Investment banking

We will reinforce SMBC Nikko Securities, the principal driver of our securities business, by further promoting collaboration with SMBC and enhancing wholesale securities business capabilities for cross-border M&A and other advisory services.

(e) Non-asset businesses (payment & settlement services and asset management)

We will accommodate the transaction services needs and accompanying financing needs of corporate clients the world over by flexibly and quickly offering products and services in a more integrated manner. To this end, we will leverage the functions of newly established Transaction Business Planning Department, which devises long-term, integrated transaction services business strategies for our group and manages settlement risk, and Transaction Business Division, which promote transaction services businesses for corporate clients. Regarding our asset management business, we will reinforce collaboration within our group and with overseas asset management companies.

(2) Establish a solid financial base and corporate infrastructure

In order to strengthen our corporate infrastructure to support sustainable development of our international business, we will upgrade our risk management system, develop human resources with international business capabilities and promote national staff. We will also upgrade our group-wide management capabilities by a) diversifying and enhancing business portfolio through rebalancing while reinforcing strategic business areas, and b) pursuing operational efficiency through business process re-engineering. Regarding compliance, we will further reinforce our compliance system to address the changing regulatory environment and to more effectively meet local laws and regulations in view of the group-wide development of our international business.

Through these initiatives, we aim to achieve steady results, and further increase the value for our clients and shareholders, financial markets, and society.

IV. Consolidated Financial Statements

1. Consolidated Balance Sheets

(Millions of yen)
March 31,	2012	2011
Assets:
Cash and due from banks	¥ 7,716,291	¥ 9,233,906
Call loans and bills bought	1,291,818	851,636
Receivables under resale agreements	227,749	131,104
Receivables under securities borrowing transactions	4,539,555	4,740,410
Monetary claims bought	1,361,289	1,122,307
Trading assets	8,196,944	6,632,898
Money held in trust	23,878	24,011
Securities	42,529,950	39,952,123
Loans and bills discounted	62,720,599	61,348,355
Foreign exchanges	1,280,636	1,077,024
Lease receivables and investment assets	1,699,759	1,734,169
Other assets	4,622,756	4,604,732
Tangible fixed assets	1,180,522	1,168,908
Buildings	361,205	350,494
Land	555,179	551,839
Lease assets	9,063	10,527
Construction in progress	12,585	4,464
Other tangible fixed assets	242,488	251,583
Intangible fixed assets	799,773	674,216
Software	282,797	262,068
Goodwill	397,537	352,790
Lease assets	200	361
Other intangible fixed assets	119,237	58,995
Deferred tax assets	404,034	644,736
Customers’ liabilities for acceptances and guarantees	5,424,045	4,921,500
Reserve for possible loan losses	(978,933)	(1,058,945)
Total assets	¥ 143,040,672	¥ 137,803,098

2. Consolidated Statements of Income and Consolidated Statements of Comprehensive Income

(Consolidated Statements of Income)

(Millions of yen)
Year ended March 31,	2012	2011
Ordinary income	¥ 3,945,282	¥ 3,845,861
Interest income	1,631,592	1,612,599
Interest on loans and discounts	1,211,794	1,199,083
Interest and dividends on securities	242,086	251,311
Interest on call loans and bills bought	14,752	9,305
Interest on receivables under resale agreements	5,890	2,351
Interest on receivables under securities borrowing transactions	6,823	8,464
Interest on deposits with banks	29,742	18,592
Interest on lease transactions	68,943	71,589
Other interest income	51,560	51,900
Trust fees	1,770	2,335
Fees and commissions	955,680	897,461
Trading income	198,192	237,093
Other operating income	1,110,566	1,039,662
Lease-related income	72,525	62,810
Installment-related income	692,007	623,907
Other	346,034	352,944
Other income	47,479	56,709
Recoveries of written-off claims	4,800
Other	42,678
Ordinary expenses	3,009,711	3,020,432
Interest expenses	290,223	294,947
Interest on deposits	102,018	107,758
Interest on negotiable certificates of deposit	32,458	31,665
Interest on call money and bills sold	3,596	3,788
Interest on payables under repurchase agreements	3,694	2,753
Interest on payables under securities lending transactions	6,852	8,847
Interest on commercial paper	1,986	1,164
Interest on borrowed money	45,939	44,298
Interest on short-term bonds	1,540	2,006
Interest on bonds	76,276	66,940
Other interest expenses	15,860	25,723
Fees and commissions payments	132,099	131,230
Other operating expenses	880,998	858,243
Lease-related expenses	47,571	37,352
Installment-related expenses	649,855	587,427
Other	183,571	233,463
General and administrative expenses	1,421,363	1,355,322
Other expenses	285,027	380,688
Provision for reserve for possible loan losses	4,244	48,720
Other	280,782	331,967
Ordinary profit	935,571	825,428

(Millions of yen)
Year ended March 31,	2012	2011
Extraordinary gains	¥ 27,793	¥ 16,798
Gains on disposal of fixed assets	2,741	884
Gains on negative goodwill	－	409
Recoveries of written-off claims		2,813
Transfer from reserve for eventual future operating losses from financial instruments transactions	0	35
Other extraordinary gains	25,050	12,655
Extraordinary losses	10,397	14,913
Losses on disposal of fixed assets	6,507	5,914
Losses on impairment of fixed assets	3,861	5,411
Provision for reserve for eventual future operating losses from financial instruments transactions	29	34
Other extraordinary losses	－	3,552
Income before income taxes and minority interests	952,966	827,313
Income taxes	311,339	240,771
current	103,478	97,446
deferred	207,860	143,325
Income before minority interests	641,627	586,542
Minority interests in net income	123,090	110,646
Net income	¥ 518,536	¥ 475,895

(Consolidated Statements of Comprehensive Income)

(Millions of yen)
Year ended March 31,	2012	2011
Income before minority interests	¥ 641,627	¥ 586,542
Other comprehensive income	23,605	(173,166)
Net unrealized gains (losses) on other securities	69,103	(150,002)
Net deferred gains (losses) on hedges	(22,964)	29,587
Land revaluation excess	5,613	－
Foreign currency translation adjustments	(23,496)	(60,928)
Share of other comprehensive income of affiliates	(4,651)	8,176
Total comprehensive income	665,232	413,375
Comprehensive income attributable to shareholders of the parent	541,270	343,920
Comprehensive income attributable to minority interests	123,961	69,455

3. Consolidated Statements of Changes in Net Assets

(Millions of yen)
Year ended March 31,	2012	2011
Stockholders’ equity:
Capital stock
Balance at the beginning of the fiscal year	¥ 2,337,895	¥ 2,337,895
Changes in the fiscal year
Net changes in the fiscal year	－	－
Balance at the end of the fiscal year	2,337,895	2,337,895
Capital surplus
Balance at the beginning of the fiscal year	978,851	978,897
Changes in the fiscal year
Disposal of treasury stock	(9,047)	(46)
Cancellation of treasury stock	(210,003)	－
Net changes in the fiscal year	(219,050)	(46)
Balance at the end of the fiscal year	759,800	978,851
Retained earnings
Balance at the beginning of the fiscal year	1,776,433	1,451,945
Changes in the fiscal year
Cash dividends	(142,010)	(152,878)
Net income	518,536	475,895
Increase due to increase in subsidiaries	15	13
Increase due to decrease in subsidiaries	1	3
Decrease due to increase in subsidiaries	(7)	(13)
Decrease due to decrease in subsidiaries	(16)	(10)
Decrease due to decrease in affiliates	(90)	(126)
Reversal of land revaluation excess	(208)	1,604
Net changes in the fiscal year	376,220	324,488
Balance at the end of the fiscal year	2,152,654	1,776,433
Treasury stock
Balance at the beginning of the fiscal year	(171,760)	(124,061)
Changes in the fiscal year
Purchase of treasury stock	(321,521)	(47,759)
Disposal of treasury stock	47,242	60
Cancellation of treasury stock	210,003	－
Net changes in the fiscal year	(64,276)	(47,699)
Balance at the end of the fiscal year	(236,037)	(171,760)
Total stockholders’ equity
Balance at the beginning of the fiscal year	4,921,419	4,644,677
Changes in the fiscal year
Cash dividends	(142,010)	(152,878)
Net income	518,536	475,895
Purchase of treasury stock	(321,521)	(47,759)
Disposal of treasury stock	38,194	13
Cancellation of treasury stock	－	－
Increase due to increase in subsidiaries	15	13
Increase due to decrease in subsidiaries	1	3
Decrease due to increase in subsidiaries	(7)	(13)
Decrease due to decrease in subsidiaries	(16)	(10)
Decrease due to decrease in affiliates	(90)	(126)
Reversal of land revaluation excess	(208)	1,604
Net changes in the fiscal year	92,893	276,742
Balance at the end of the fiscal year	5,014,313	4,921,419

(continued)

(Millions of yen)
Year ended March 31,	2012	2011
Accumulated other comprehensive income:
Net unrealized gains (losses) on other securities
Balance at the beginning of the fiscal year	272,306	412,708
Changes in the fiscal year
Net changes in items other than stockholders’ equity in the fiscal year	58,127	(140,402)
Net changes in the fiscal year	58,127	(140,402)
Balance at the end of the fiscal year	330,433	272,306
Net deferred gains (losses) on hedges
Balance at the beginning of the fiscal year	(9,701)	(39,367)
Changes in the fiscal year
Net changes in items other than stockholders’ equity in the fiscal year	(22,420)	29,666
Net changes in the fiscal year	(22,420)	29,666
Balance at the end of the fiscal year	(32,122)	(9,701)
Land revaluation excess
Balance at the beginning of the fiscal year	33,357	34,955
Changes in the fiscal year
Net changes in items other than stockholders’ equity in the fiscal year	5,800	(1,597)
Net changes in the fiscal year	5,800	(1,597)
Balance at the end of the fiscal year	39,158	33,357
Foreign currency translation adjustments
Balance at the beginning of the fiscal year	(122,889)	(101,650)
Changes in the fiscal year
Net changes in items other than stockholders’ equity in the fiscal year	(18,493)	(21,238)
Net changes in the fiscal year	(18,493)	(21,238)
Balance at the end of the fiscal year	(141,382)	(122,889)
Total accumulated other comprehensive income
Balance at the beginning of the fiscal year	173,073	306,646
Changes in the fiscal year
Net changes in items other than stockholders’ equity in the fiscal year	23,013	(133,573)
Net changes in the fiscal year	23,013	(133,573)
Balance at the end of the fiscal year	196,087	173,073
Stock acquisition rights:
Balance at the beginning of the fiscal year	262	81
Changes in the fiscal year
Net changes in items other than stockholders’ equity in the fiscal year	429	180
Net changes in the fiscal year	429	180
Balance at the end of the fiscal year	692	262
Minority interests:
Balance at the beginning of the fiscal year	2,037,318	2,049,400
Changes in the fiscal year
Net changes in items other than stockholders’ equity in the fiscal year	6,564	(12,081)
Net changes in the fiscal year	6,564	(12,081)
Balance at the end of the fiscal year	2,043,883	2,037,318
Total net assets:
Balance at the beginning of the fiscal year	7,132,073	7,000,805
Changes in the fiscal year
Cash dividends	(142,010)	(152,878)
Net income	518,536	475,895
Purchase of treasury stock	(321,521)	(47,759)
Disposal of treasury stock	38,194	13
Cancellation of treasury stock	－	－
Increase due to increase in subsidiaries	15	13
Increase due to decrease in subsidiaries	1	3
Decrease due to increase in subsidiaries	(7)	(13)
Decrease due to decrease in subsidiaries	(16)	(10)
Decrease due to decrease in affiliates	(90)	(126)
Reversal of land revaluation excess	(208)	1,604
Net changes in items other than stockholders’ equity in the fiscal year	30,008	(145,474)
Net changes in the fiscal year	122,902	131,268
Balance at the end of the fiscal year	¥ 7,254,976	¥ 7,132,073

4. Consolidated Statements of Cash Flows

(Millions of yen)
Year ended March 31,	2012	2011
Cash flows from operating activities:
Income before income taxes and minority interests	¥ 952,966	¥ 827,313
Depreciation	165,113	154,267
Losses on impairment of fixed assets	3,861	5,411
Amortization of goodwill	21,681	22,938
Gains on negative goodwill	－	(409)
Gains on step acquisitions	(25,050)	(12,655)
Equity in losses of affiliates	31,122	13,319
Net change in reserve for possible loan losses	(90,007)	(13,433)
Net change in reserve for employee bonuses	2,816	1,057
Net change in reserve for executive bonuses	378	163
Net change in reserve for employee retirement benefits	(5,083)	(2,987)
Net change in reserve for executive retirement benefits	(194)	(5,642)
Net change in reserve for point service program	422	(1,420)
Net change in reserve for reimbursement of deposits	1,056	(1,810)
Net change in reserve for losses on interest repayment	(25,756)	(17,566)
Interest income	(1,631,592)	(1,612,599)
Interest expenses	290,223	294,947
Net gains on securities	(130,612)	(61,648)
Net losses from money held in trust	1,464	148
Net exchange losses	16,145	280,834
Net losses from disposal of fixed assets	3,765	5,029
Net change in trading assets	(1,588,903)	7,813
Net change in trading liabilities	1,029,341	256,101
Net change in loans and bills discounted	(828,051)	1,401,384
Net change in deposits	2,299,767	3,628,657
Net change in negotiable certificates of deposit	228,846	1,380,003
Net change in borrowed money (excluding subordinated borrowings)	(1,994,204)	4,569,942
Net change in deposits with banks	462,914	(1,196,723)
Net change in call loans and bills bought and others	(793,288)	(18,924)
Net change in receivables under securities borrowing transactions	200,855	700,211
Net change in call money and bills sold and others	472,525	165,025
Net change in commercial paper	856,129	26,333
Net change in payables under securities lending transactions	97,497	1,397,458
Net change in foreign exchanges (assets)	(205,926)	(7,663)
Net change in foreign exchanges (liabilities)	46,712	64,083
Net change in lease receivables and investment assets	30,875	152,703
Net change in short-term bonds (liabilities)	(233,809)	(101,780)
Issuance and redemption of bonds (excluding subordinated bonds)	352,424	515,688
Net change in due to trust account	227,552	56,617
Interest received	1,663,901	1,635,444
Interest paid	(295,539)	(309,401)
Other, net	327,828	(279,956)
Subtotal	1,940,166	13,918,277
Income taxes paid	(101,981)	(124,540)
Net cash provided by operating activities	1,838,185	13,793,737

(continued)

(Millions of yen)
Year ended March 31,	2012	2011
Cash flows from investing activities:
Purchases of securities	(50,614,876)	(67,169,471)
Proceeds from sale of securities	32,372,433	36,624,700
Proceeds from maturity of securities	15,925,697	19,626,268
Purchases of money held in trust	(3,011)	(6,942)
Proceeds from sale of money held in trust	1,540	5,236
Purchases of tangible fixed assets	(131,154)	(182,839)
Proceeds from sale of tangible fixed assets	30,343	6,966
Purchases of intangible fixed assets	(101,447)	(101,624)
Proceeds from sale of intangible fixed assets	24	528
Proceeds from sale of stocks of subsidiaries	－	314
Purchases of treasury stocks of subsidiaries	(1,773)	－
Proceeds from purchase of stocks of subsidiaries resulting in changes in scope of consolidation	－	59,408
Purchases of stocks of subsidiaries resulting in changes in scope of consolidation	(67,369)	(10,756)
Proceeds from sale of stocks of subsidiaries resulting in changes in scope of consolidation	50	－
Net cash used in investing activities	(2,589,543)	(11,148,211)
Cash flows from financing activities:
Proceeds from issuance of subordinated borrowings	106,000	80,000
Repayment of subordinated borrowings	(103,000)	(87,500)
Proceeds from issuance of subordinated bonds and bonds with stock acquisition rights	557,360	256,751
Repayment of subordinated bonds and bonds with stock acquisition rights	(306,471)	(314,900)
Dividends paid	(141,921)	(152,612)
Proceeds from contributions paid by minority stockholders	－	471
Repayment to minority stockholders	－	(309)
Dividends paid to minority stockholders	(93,125)	(97,609)
Purchases of treasury stock	(321,521)	(47,759)
Proceeds from disposal of treasury stock	2,390	13
Purchases of treasury stock of subsidiaries	(14)	(1,001)
Proceeds from sale of treasury stock of subsidiaries	183	17
Net cash used in financing activities	(300,119)	(364,438)
Effect of exchange rate changes on cash and cash equivalents	(4,757)	(7,185)
Net change in cash and cash equivalents	(1,056,236)	2,273,901
Cash and cash equivalents at the beginning of the period	5,645,094	3,371,193
Cash and cash equivalents at the end of the period	¥ 4,588,858	¥ 5,645,094

5. Note on the Assumption as a Going Concern

Not applicable.

6. Notes on Significant Accounting Policies for Preparing Consolidated Financial Statements

(1) Scope of consolidation
(a) Consolidated subsidiaries		337 companies
Principal companies:		Sumitomo Mitsui Banking Corporation (“SMBC”)
		THE MINATO BANK, LTD.
		Kansai Urban Banking Corporation
		Sumitomo Mitsui Banking Corporation Europe Limited
		Sumitomo Mitsui Banking Corporation (China) Limited
		SMBC Friend Securities Co., Ltd.
		SMBC Nikko Securities Inc.
		Sumitomo Mitsui Finance and Leasing Company, Limited
		Sumitomo Mitsui Card Company, Limited
		Cedyna Financial Corporation
		Promise Co., Ltd. (“Promise”)
		SMBC Finance Service Co., Ltd.
		The Japan Research Institute, Limited
		SMBC Capital Markets, Inc.

Changes in the consolidated subsidiaries in the fiscal year ended March 31, 2012 are as follows:

7 companies including Promise were included in the scope of consolidated subsidiaries as a result of a tender offer for shares of Promise by SMBC and a subscription by SMFG for new shares issued by Promise by way of third-party allotment. 30 companies including Minato Equity Support Investment Limited Partnership were also newly consolidated due to establishment and other reasons.

18 companies including SMBC Support & Solution Co., Ltd. were excluded from the scope of consolidated subsidiaries because they were no longer subsidiaries due mainly to mergers.

9 companies including Rouge Leasing Co., Ltd. were excluded from the scope of consolidation and became unconsolidated subsidiaries that are not accounted for by the equity method because they became operators of silent partnerships for lease transactions.

(b) Unconsolidated subsidiaries

Principal company: SBCS Co., Ltd.

193 subsidiaries including SMLC MAHOGANY CO., LTD. are operators of silent partnerships for lease transactions and their assets and profits/losses do not belong to them substantially. Therefore, they have been excluded from the scope of consolidation pursuant to Article 5, Paragraph 1 Item 2 of Consolidated Financial Statements Regulations.

Other unconsolidated subsidiaries including SBCS Co., Ltd. are also excluded from the scope of consolidation because their total amounts in terms of total assets, ordinary income, net income and retained earnings are immaterial, as such, they do not hinder a rational judgment of SMFG’s financial position and results of operations when excluded from the scope of consolidation.

(2) Application of the equity method

(a) Unconsolidated subsidiaries accounted for by the equity method 4 companies

Principal company: SBCS Co., Ltd.

(b) Affiliates accounted for by the equity method 39 companies

Principal companies: Sumitomo Mitsui Auto Service Company, Limited

Daiwa SB Investments Ltd.

Changes in the equity method affiliates in the fiscal year ended March 31, 2012 are as follows:

6 companies including Hitachi Capital Auto Lease Corporation became equity method affiliates due mainly to acquisitions of stocks.

6 companies including Promise Co., Ltd. were excluded from the scope of equity method affiliates because they were no longer equity method affiliates through a tender offer for shares of Promise by SMBC and a subscription by SMFG for new shares issued by Promise by way of third-party allotment. 4 companies including At-Loan Co., Ltd. were excluded from the scope of equity method affiliates because they were no longer equity method affiliates due mainly to mergers.

193 subsidiaries including SMLC MAHOGANY CO., LTD. are operators of silent partnerships for lease transactions and their assets and profits/losses do not belong to them substantially. Therefore, they have not been accounted for by the equity method pursuant to Article 10 Paragraph 1 Item 2 of Consolidated Financial Statements Regulations.

(d) Affiliates that are not accounted for by the equity method

Principal company: Daiwa SB Investments (USA) Ltd.

Affiliates that are not accounted for by the equity method are also excluded from the scope of equity method because their total amounts in terms of net income and retained earnings are immaterial, and as such, they do not hinder a rational judgment of SMFG’s financial position and results of operations when excluded from the scope of equity method.

(3) The balance sheet dates of consolidated subsidiaries

(a) The balance sheet dates of the consolidated subsidiaries are as follows:

May 31	1	company
June 30	5	companies
July 31	2	companies
September 30	3	companies
October 31	1	company
November 30	8	companies
December 31	122	companies
January 31	19	companies
February 29	9	companies
March 31	167	companies

(b) The subsidiaries with balance sheets dated May 31, June 30, July 31, September 30 and November 30 are consolidated using the financial statements as of March 31 for the purpose of consolidation. The subsidiaries with balance sheets dated October 31 are consolidated using the financial statements as of January 31. Certain subsidiaries with balance sheets dated December 31 and January 31 are consolidated using the financial statements as of March 31. Other subsidiaries are consolidated using them on their respective balance sheet dates.

Appropriate adjustments were made for material transactions during the periods between their respective balance sheet dates and the consolidated closing date.

(4) Special purpose entities

(a) Outline of special purpose entities and transactions

SMBC, a consolidated subsidiary of SMFG, provides credit lines, liquidity lines and loans to 13 special purpose entities (“SPEs”) for their fund needs and issuing of commercial paper. The SPEs are engaged in purchases of monetary claims such as receivables from SMBC customers and incorporated under the laws of the Cayman Islands or as intermediate corporations with limited liabilities.

The combined assets and liabilities of the 13 SPEs as of their most recent closing dates were ¥2,175,773 million and ¥2,175,548 million, respectively. SMBC has no voting rights in the SPEs and sends no directors or employees.

(b) Principal transactions with the SPEs as of and for the fiscal year ended March 31, 2012

Millions of yen

Balances of principal transactions as of March 31, 2012		Principal profit or loss for the fiscal year ended March 31, 2012

Item	Amount	Item	Amount

Loans and bills discounted	¥ 1,486,284	Interest on loans and discounts	¥ 13,388
Credit lines	723,383	Fees and commissions	1,842
Liquidity lines	352,547

(5) Accounting policies

(a) Standards for recognition and measurement of trading assets/liabilities and trading profits/losses

Transactions for trading purposes (seeking gains arising from short-term changes in interest rates, currency exchange rates, or market prices of securities and other market related indices or from variation among markets) are included in “Trading assets” or “Trading liabilities” on the consolidated balance sheets on a trade date basis. Profits and losses on trading-purpose transactions are recognized on a trade date basis, and recorded as “Trading income” and “Trading losses” on the consolidated statements of income.

Securities and monetary claims purchased for trading purposes are stated at the fiscal year-end market value, and financial derivatives such as swaps, futures and options are stated at amounts that would be settled if the transactions were terminated at the consolidated balance sheet date.

“Trading income” and “Trading losses” include interest received or paid during the fiscal year. The year-on-year valuation differences of securities and monetary claims are also recorded in the above-mentioned accounts. As for the derivatives, assuming that the settlement will be made in cash, the year-on-year valuation differences are also recorded in the above-mentioned accounts.

(b) Standards for recognition and measurement of securities

(i) Debt securities that consolidated subsidiaries have the positive intent and ability to hold to maturity are classified as held-to-maturity securities and are carried at amortized cost (straight-line method) using the moving-average method. Investments in unconsolidated subsidiaries and affiliates that are not accounted for by the equity method are carried at cost using the moving-average method. Securities other than trading purpose securities, held-to-maturity securities and investments in unconsolidated subsidiaries and affiliates are classified as “other securities” (available-for-sale securities). Stocks in other securities that have market prices are carried at their average market prices during the final month of the fiscal year, and bonds and others that have market prices are carried at their fiscal year-end market prices (cost of securities sold is calculated using primarily the moving-average method). Other securities which are extremely difficult to determine fair value with no available market prices are carried at cost using the moving-average method. Net unrealized gains (losses) on other securities, net of income taxes, are included in “Net assets,” after deducting the amount that is reflected in the fiscal year’s earnings by applying fair value hedge accounting.

(ii) Securities included in money held in trust are carried in the same method as in (a) and (b) (i) above.

Derivative transactions, excluding those classified as trading derivatives, are carried at fair value.

(d) Depreciation

(i) Tangible fixed assets (excluding lease assets)

Buildings owned by SMFG and SMBC are depreciated using the straight-line method. Others are depreciated using the declining-balance method. The estimated useful lives of major items are as follows:

Buildings: 7 to 50 years

Others: 2 to 20 years

Other consolidated subsidiaries depreciate tangible fixed assets primarily using the straight-line method over the estimated useful lives of the respective assets.

(ii) Intangible fixed assets

Intangible fixed assets are depreciated using the straight-line method. Capitalized software for internal use owned by SMFG and its consolidated domestic subsidiaries is depreciated over its estimated useful life (basically five years).

(iii) Lease assets

Lease assets with respect to non-transfer ownership finance leases, which are recorded in “Tangible fixed assets,” are depreciated using the straight-line method, assuming that lease terms are their expected lifetime and salvage values are zero.

(e) Reserve for possible loan losses

The reserve for possible loan losses of major consolidated subsidiaries is provided as detailed below in accordance with the internal standards for write-offs and provisions.

For claims on borrowers that have entered into bankruptcy, special liquidation proceedings or similar legal proceedings (“bankrupt borrowers”) or borrowers that are not legally or formally insolvent but are regarded as substantially in the same situation (“effectively bankrupt borrowers”), a reserve is provided based on the amount of claims, after the write-off stated below, net of the expected amount of recoveries from collateral and guarantees. For claims on borrowers that are not currently bankrupt but are perceived to have a high risk of falling into bankruptcy (“potentially bankrupt borrowers”), a reserve is provided in the amount deemed necessary based on an overall solvency assessment of the claims, net of the expected amount of recoveries from collateral and guarantees.

Discounted Cash Flows (“DCF”) method is used for claims on borrowers whose cash flows from collection of principals and interest can be rationally estimated and SMBC applies it to claims on large potentially bankrupt borrowers and claims on large borrowers requiring close monitoring that have been classified as “Past due loans (3 months or more)” or “Restructured loans,” whose total loans from SMBC exceed a certain amount. SMBC establishes a reserve for possible loan losses using the DCF method for such claims in the amount of the difference between the present value of principal and interest (calculated using the rationally estimated cash flows discounted at the initial contractual interest rate) and the book value.

For other claims, a reserve is provided based on the historical loan-loss ratio. For claims originated in specific overseas countries, an additional reserve is provided in the amount deemed necessary based on the assessment of political and economic conditions.

Branches and credit supervision departments assess all claims in accordance with the internal rules for self-assessment of assets, and the Credit Review Department, independent from these operating sections, audits their assessment. The reserve is provided based on the results of these assessments.

The reserve for possible loan losses of SMFG and other consolidated subsidiaries for general claims is provided in the amount deemed necessary based on the historical loan-loss ratios, and for doubtful claims in the amount deemed uncollectible based on assessment of each claim.

For collateralized or guaranteed claims on bankrupt borrowers and effectively bankrupt borrowers, the amount exceeding the estimated value of collateral and guarantees is deemed to be uncollectible and written off against the total outstanding amount of the claims. The amount of write-off was ¥685,871 million.

(f) Reserve for employee bonuses

The reserve for employee bonuses is provided for payment of bonuses to employees, in the amount of estimated bonuses, which are attributable to the fiscal year.

(g) Reserve for executive bonuses

The reserve for executive bonuses is provided for payment of bonuses to executives, in the amount of estimated bonuses, which are attributable to the fiscal year.

(h) Reserve for employee retirement benefits

The reserve for employee retirement benefits is provided for payment of retirement benefits to employees, in the amount deemed accrued at the fiscal year-end, based on the projected retirement benefit obligation and the fair value of plan assets at the fiscal year-end.

Unrecognized prior service cost is amortized using the straight-line method, primarily over 9 years within the employees’ average remaining service period at incurrence.

Unrecognized net actuarial gain (loss) is amortized using the straight-line method, primarily over 9 years within the employees’ average remaining service period, commencing from the next fiscal year of incurrence.

(i) Reserve for executive retirement benefits

The reserve for executive retirement benefits is provided for payment of retirement benefits to directors, corporate auditors and other executive officers, in the amount deemed accrued at the fiscal year-end based on our internal regulations.

(j) Reserve for point service program

The reserve for point service program is provided for the potential future redemption of points awarded to customers under the “SMBC Point Pack,” credit card points programs, and other customer points award programs. The amount is calculated by converting the outstanding points into a monetary amount, and rationally estimating and recognizing the amount that will be redeemed in the future.

(k) Reserve for reimbursement of deposits

The reserve for reimbursement of deposits which were derecognized as liabilities under certain conditions is provided for the possible losses on the future claims of withdrawal based on the historical reimbursements.

(l) Reserve for losses on interest repayment

The reserve for losses on interest repayment is provided for the possible losses on future claims of repayment of interest based on historical interest repayment experience.

(m) Reserve under the special laws

The reserve under the special laws is a reserve for contingent liabilities and provided for compensation for losses from securities related transactions or derivative transactions, pursuant to Article 46-5 of the Financial Instruments and Exchange Act.

(n) Translation of foreign currency assets and liabilities

Assets and liabilities of SMFG and SMBC denominated in foreign currencies and accounts of SMBC overseas branches are translated into Japanese yen mainly at the exchange rate prevailing at the consolidated balance sheet date, with the exception of stocks of subsidiaries and affiliates translated at rates prevailing at the time of acquisition.

Other consolidated subsidiaries’ assets and liabilities denominated in foreign currencies are translated into Japanese yen at the exchange rate prevailing at their respective balance sheet dates.

(o) Lease transactions

(i) Recognition of income on finance leases

Interest income is allocated to each period.

(ii) Recognition of income on operating leases

Primarily, lease-related income is recognized on a straight-line basis over the full term of the lease, based on the contractual amount of lease fees per month.

(iii) Recognition of income and expenses on installment sales

Primarily, installment-sales-related income and installment-sales-related expenses are recognized on a due-date basis over the full period of the installment sales.

(p) Hedge accounting

(i) Hedging against interest rate changes

As for the hedge accounting method applied to hedging transactions for interest rate risk arising from financial assets and liabilities, SMBC applies deferred hedge accounting.

SMBC applies deferred hedge accounting stipulated in “Treatment for Accounting and Auditing of Application of Accounting Standard for Financial Instruments in Banking Industry” (JICPA Industry Audit Committee Report No. 24) to portfolio hedges on groups of large-volume, small-value monetary claims and debts.

As for the portfolio hedges to offset market fluctuation, SMBC assesses the effectiveness of such hedges by classifying the hedged items (such as deposits and loans) and the hedging instruments (such as interest rate swaps) by their maturity. As for the portfolio hedges to fix cash flows, SMBC assesses the effectiveness of such hedges by verifying the correlation between the hedged items and the hedging instruments.

As for the individual hedges, SMBC also assesses the effectiveness of such individual hedges.

As a result of the application of JICPA Industry Audit Committee Report No. 24, SMBC discontinued the application of hedge accounting or applied fair value hedge accounting to a portion of the hedging instruments using “macro hedge,” which had been applied in order to manage interest rate risk arising from large-volume transactions in loans, deposits and other interest-earning assets and interest-bearing liabilities as a whole using derivatives pursuant to “Temporary Treatment for Accounting and Auditing of Application of Accounting Standard for Financial Instruments in Banking Industry” (JICPA Industry Audit Committee Report No. 15). The deferred hedge losses and gains related to such a portion of hedging instruments are charged to “Interest income” or “Interest expenses” over a 12-year period (maximum) according to their maturity from the fiscal year ended March 31, 2004. At the fiscal year-end, gross amounts of deferred hedge losses and gains on “macro hedge” (before deducting tax effect) were ¥309 million and ¥188 million, respectively.

(ii) Hedging against currency fluctuations

SMBC applies deferred hedge accounting stipulated in “Treatment of Accounting and Auditing Concerning Accounting for Foreign Currency Transactions in Banking Industry” (JICPA Industry Audit Committee Report No. 25) to currency swap and foreign exchange swap transactions executed for the purpose of lending or borrowing funds in different currencies.

Pursuant to JICPA Industry Audit Committee Report No. 25, SMBC assesses the effectiveness of currency swap and foreign exchange swap transactions executed for the purpose of offsetting the risk of changes in currency exchange rates by verifying that there are foreign-currency monetary claims and debts corresponding to the foreign-currency positions.

In order to hedge risk arising from volatility of exchange rates for stocks of subsidiaries and affiliates and other securities (excluding bonds) denominated in foreign currencies, SMBC applies deferred hedge accounting or fair value hedge accounting, on the conditions that the hedged securities are designated in advance and that sufficient on-balance (actual) or off-balance (forward) liability exposure exists to cover the cost of the hedged securities denominated in the same foreign currencies.

(iii) Hedging against share price fluctuations

SMBC applies fair value hedge accounting to individual hedges offsetting the price fluctuation of the shares that are classified under other securities, and that are held for the purpose of strategic investment, and accordingly evaluates the effectiveness of such individual hedges.

(iv) Transactions between consolidated subsidiaries

As for derivative transactions between consolidated subsidiaries or internal transactions between trading accounts and other accounts (or among internal sections), SMBC manages the interest rate swaps and currency swaps that are designated as hedging instruments in accordance with the strict criteria for external transactions stipulated in JICPA Industry Audit Committee Report No. 24 and No. 25. Therefore, SMBC accounts for the gains or losses that arise from interest rate swaps and currency swaps in its earnings or defers them, rather than eliminating them.

Certain other consolidated subsidiaries apply the deferred hedge accounting or fair value hedge accounting or the special treatment for interest rate swaps.

(q) Amortization of goodwill

Goodwill on SMBC Friend Securities Co., Ltd., Sumitomo Mitsui Finance and Leasing Company, Limited, SMBC Nikko Securities Inc., Kansai Urban Banking Corporation, Cedyna Financial Corporation and Promise Co., Ltd. is amortized using the straight-line method over 20 years. Goodwill on other companies is charged or credited to income directly when incurred.

(r) Scope of “Cash and cash equivalents” on Consolidated Statement of Cash Flows

For the purposes of presenting the consolidated statement of cash flows, “Cash and cash equivalents” are cash on hand, non-interest earning deposits with banks and deposits paid to Bank of Japan.

(s) Consumption taxes

National and local consumption taxes of SMFG and its consolidated domestic subsidiaries are accounted for using the tax-excluded method.

7. Unapplied Accounting Standards, etc.

(Revisions of Accounting Standard for Consolidated Financial Statements (ASBJ Statement No. 22, revised on March 25, 2011), etc.)

A special purpose entity (“SPE”) that meets certain requirements was previously assumed not to be regarded as a subsidiary of the entity that either had invested in the SPE or assigned assets to the SPE. Following the revisions of the aforementioned accounting standard, etc., the treatment is only applied to a case where a company has assigned assets to an SPE. SMFG intends to adopt the revised accounting standard, etc. from the beginning of the fiscal year commencing on April 1, 2013.

As a result of the adoption of the revised accounting standard, etc., SPEs that have previously not been regarded as a subsidiary of SMFG but whose assets have not been assigned by SMFG will be additionally included in the scope of consolidation, resulting in inclusion of assets, liabilities, profits and losses of the SPEs in the consolidated financial statements of SMFG. Effects of adoption of the revised accounting standard, etc. are currently examined.

8. Change in Presentation

(Consolidated statements of income)

SMFG had previously presented “Gains on reversal of reserve for possible loan losses” and “Recoveries of written-off claims” as part of “Extraordinary gains” until the fiscal year ended March 31, 2011. Based on “Practical Guidelines for Accounting Standard for Financial Instruments” (JICPA Accounting System Committee Report No. 14, revised March 29, 2011), SMFG presents them as items of “Other income” after April 1, 2011. However, the figures for the fiscal year ended March 31, 2011, are stated in the previous method in accordance with the Practical Guidelines.

9. Additional Information

(Changes of Accounting Procedures and Presentation)

SMFG has adopted “Accounting Standard for Accounting Changes and Error Corrections” (ASBJ Statement No. 24, issued on December 4, 2009) and “Guidance on Accounting Standard for Accounting Changes and Error Corrections” (ASBJ Guidance No. 24, issued on December 4, 2009) for changes in accounting policies and corrections of figures on and after the beginning of the fiscal year ended March 31, 2012.

(Effects of changes in the corporate income tax rate)

Following the promulgation of the “Act for Partial Amendment of the Income Tax Act, etc. for the Purpose of Creating a Taxation System Responding to Changes in Economic and Social Structures” (Act No. 114, 2011) and the “Act on Special Measures for Securing Financial Resources Necessary to Implement Measures for Reconstruction following the Great East Japan Earthquake” (Act No. 117, 2011) on December 2, 2011, the corporate income tax rate will be lowered and a special restoration surtax will be imposed from fiscal years beginning on or after April 1, 2012. Additionally, beginning from fiscal years starting on or after April 1, 2012, the use of tax loss carryforwards will be limited to the equivalent of 80% of taxable income before deducting tax loss carryforwards. As a result of this change, net income decreased by ¥39,589 million.

10. Notes to Consolidated Financial Statements

(Notes to Consolidated Balance Sheets)

(1) Securities included stocks of unconsolidated subsidiaries and affiliates of ¥229,868 million and investments of ¥1,332 million.

(2) Japanese government bonds and stocks as a sub-account of Securities and trading securities as a sub-account of Trading assets include ¥51,022 million of unsecured loan securities for which borrowers have the right to sell or pledge.

As for the unsecured borrowed securities for which consolidated subsidiaries have the right to sell or pledge and the securities which consolidated subsidiaries purchased under resale agreements and borrowed with cash collateral, that are permitted to be sold or pledged without restrictions, ¥1,961,135 million of securities are pledged, and ¥378,167 million of securities are held in hand as of the consolidated balance sheet date.

(3) Bankrupt loans and Non-accrual loans were ¥74,218 million and ¥1,145,347 million, respectively.

“Bankrupt loans” are loans, after write-off, to legally bankrupt borrowers as defined in Article 96-1-3 and 96-1-4 of “Order for Enforcement of the Corporation Tax Act” (Cabinet Order No. 97 of 1965) and on which accrued interest income is not recognized as there is substantial doubt about the ultimate collectability of either principal or interest because they are past due for a considerable period of time or for other reasons.

“Non-accrual loans” are loans on which accrued interest income is not recognized, excluding “Bankrupt loans” and loans on which interest payments are deferred in order to support the borrowers’ recovery from financial difficulties.

(4) Past due loans (3 months or more) totaled ¥22,502 million.

“Past due loans (3 months or more)” are loans on which the principal or interest is past due for three months or more, excluding “Bankrupt loans” and “Non-accrual loans.”

(5) Restructured loans totaled ¥562,882 million.

“Restructured loans” are loans on which terms and conditions have been amended in favor of the borrowers (e.g., reduction of the original interest rate, deferral of interest payments, extension of principal repayments or debt forgiveness) in order to support the borrowers’ recovery from financial difficulties, excluding “Bankrupt loans,” “Non-accrual loans” and “Past due loans (3 months or more).”

(6) The total amount of Bankrupt loans, Non-accrual loans, Past due loans (3 months or more) and Restructured loans was ¥1,804,951 million.

The amounts of loans presented in Notes (3) to (6) above are the amounts before deduction of reserve for possible loan losses.

(7) Bills discounted are accounted for as financial transactions in accordance with JICPA Industry Audit Committee Report No. 24. SMFG’s banking subsidiaries have rights to sell or pledge bank acceptance bought, commercial bills discounted, documentary bills and foreign exchanges bought without restrictions. The total face value was ¥754,204 million.

(8) Assets pledged as collateral were as follows:

March 31, 2012		Millions of yen

Assets pledged as collateral:
Cash and due from banks		¥ 294,382
Call loans and bills bought		490,255
Monetary claims bought		7,096
Trading assets		3,715,510
Securities		7,281,341
Loans and bills discounted		2,572,382
Lease receivables and investment assets		7,740
Tangible fixed assets		14,336
Other assets (installment account receivables, etc.)		4,412

March 31, 2012		Millions of yen

Liabilities corresponding to assets pledged as collateral:
Deposits		¥ 19,144
Call money and bills sold		825,000
Payables under repurchase agreements		1,676,902
Payables under securities lending transactions		5,180,034
Trading liabilities		513,941
Borrowed money		4,312,097
Other liabilities		10,149
Acceptances and guarantees		109,212

In addition, Cash and due from banks of ¥23,993 million, Trading assets of ¥86,879 million and Securities of ¥24,367,992 million were pledged as collateral for cash settlements, variation margins of futures markets and certain other purposes.

Other assets include surety deposits and intangible of ¥124,516 million, variation margins of futures markets of ¥17,906 million, and other variation margins of ¥66,197 million.

(9) Commitment line contracts on overdrafts and loans are agreements to lend to customers, up to a prescribed amount, as long as there is no violation of any condition established in the contracts. The amount of unused commitments was ¥47,220,313 million and the amount of unused commitments whose original contract terms are within one year or unconditionally cancelable at any time was ¥39,753,611 million. Since many of these commitments are expected to expire without being drawn upon, the total amount of unused commitments does not necessarily represent actual future cash flow requirements. Many of these commitments include clauses under which SMBC and other consolidated subsidiaries can reject an application from customers or reduce the contract amounts in the event that economic conditions change, SMBC and other consolidated subsidiaries need to secure claims, or other events occur. In addition, SMBC and other consolidated subsidiaries may request the customers to pledge collateral such as premises and securities at the time of the contracts, and take necessary measures such as monitoring customers’ financial positions, revising contracts when such need arises and securing claims after the contracts are made.

(10) SMBC and another consolidated subsidiary revaluated their own land for business activities in accordance with “Act on Revaluation of Land” (the “Act”) (Act No. 34, effective March 31, 1998) and “Act for Partial Revision of Act on Revaluation of Land” (Act No. 19, effective March 31, 2001). The income taxes corresponding to the net unrealized gains are reported in “Liabilities” as “Deferred tax liabilities for land revaluation,” and the net unrealized gains, net of deferred taxes, are reported as “Land revaluation excess” in “Net assets.”

A certain affiliate also revaluated its own land for business activities in accordance with the Law. The net unrealized gains, net of deferred taxes, are reported as “Land revaluation excess” in “Net assets.”

Date of the revaluation

SMBC:

March 31, 1998 and March 31, 2002

Another consolidated subsidiary and an affiliate:

March 31, 1999 and March 31, 2002

Method of revaluation (stipulated in Article 3-3 of the Act)

SMBC:

Fair values were determined by applying appropriate adjustments for land shape and timing of appraisal to the values stipulated in Article 2-3, 2-4 or 2-5 of “Order for Enforcement of Act on Revaluation of Land” (Cabinet Order No. 119 of March 31, 1998).

Another consolidated subsidiary and an affiliate:

Fair values were determined based on the values stipulated in Article 2-3 and 2-5 of “Order for Enforcement of Act on Revaluation of Land” (Cabinet Order No. 119 of March 31, 1998).

(11) Accumulated depreciation on tangible fixed assets amounted to ¥750,082 million.

(12) Deferred gain on tangible fixed assets deductible for tax purposes amounted to ¥67,055 million.

(13) The balance of subordinated debt included in “Borrowed money” was ¥374,250 million.

(14) The balance of subordinated bonds included in “Bonds” was ¥2,402,075 million.

(15) The amount guaranteed by banking subsidiaries to privately-placed bonds (stipulated by Article 2-3 of Financial Instruments and Exchange Act) in “Securities” was ¥1,851,841 million.

(Notes to Consolidated Statements of Income)

(1) “Other income” included gains on sales of stocks and other securities of ¥15,654 million.

(2) “Other expenses” included write-off of loans of ¥90,305 million, losses on sale of stocks of ¥11,659 million, losses on devaluation of stocks and other securities of ¥31,875 million, provision for reserve for losses on interest repayment of ¥40,364 million, equity in losses of affiliates of ¥31,122 million and losses on sale of non-accrual loans of ¥25,364 million.

(3) “Other extraordinary gains” represented gains on step acquisitions of ¥25,050 million.

(4) The difference between the recoverable amount and the book value of the following assets is recognized as “Losses on impairment of fixed assets” and included in “Extraordinary losses” in the fiscal year.

Year ended March 31, 2012				Millions of yen

Area	Purpose of use		Type	Impairment loss

Tokyo metropolitan area	Branches	11 branches	Land and buildings, etc.	¥ 198
	Idle assets	38 items		1,168
	Others	4 items		58
Kinki area	Branches	31 branches	Land and buildings, etc.	393
Kinki area	Idle assets	41 items	Land and buildings, etc.	1,630
	Others	1 items		2
Others	Branches	1 branches	Land and buildings, etc.	27
	Idle assets	16 items		381

At SMBC, a branch, which continuously manages and determines its income and expenses, is the smallest unit of asset group for recognition and measurement of impairment loss of fixed assets. Assets such as corporate headquarters facilities, training facilities, data and system centers, and health and recreational facilities which do not produce cash flows that can be attributed to individual assets are treated as corporate assets. As for idle assets, impairment loss is measured individually. At SMFG and other consolidated subsidiaries, a branch or other group is the smallest asset grouping unit as well.

SMBC and other consolidated subsidiaries reduced the carrying amounts of long-lived assets of which investments are not expected to be fully recovered to their recoverable amounts, and recognized the losses as “losses on impairment of fixed assets,” which is included in “Extraordinary losses.” SMBC reduced the carrying amounts of idle assets, and other consolidated subsidiaries reduced the carrying amounts of their branches and idle assets.

The recoverable amount is calculated using net realizable value which is basically determined by subtracting the expected disposal cost from the appraisal value based on the Real Estate Appraisal Standard.

(Notes to Consolidated Statements of Changes in Net Assets)

(1) Type and number of shares issued and treasury stock

	Number of shares

Year ended March 31, 2012	As of beginning of the fiscal year	Increased in the fiscal year	Decreased in the fiscal year	As of the fiscal year-end

Shares issued
Common stock	1,414,055,625	–	–	1,414,055,625
Preferred stock (1st series type 6) (*1)	70,001	–	70,001	–

Total	1,414,125,626	–	70,001	1,414,055,625

Treasury stock
Common stock (*2)	32,581,914	45,686,368	15,328,723	62,939,559
Preferred stock (1st series type 6) (*1)	–	70,001	70,001	–

Total	32,581,914	45,756,369	15,398,724	62,939,559

(*1) Increase in number of treasury stock of the First Series Type 6 Preferred Stock

70,001 shares due to acquisition of the treasury stock that was executed on April 1, 2011 in accordance with the provision of Article 18 of the Articles of Incorporation of SMFG

Decrease in number of both treasury stock and shares issued of the First Series Type 6 Preferred Stock

70,001 shares respectively due to cancellation of those shares that was executed on April 1, 2011

(*2) Increase in the number of treasury common shares issued

45,686,368 shares due to purchase of fractional shares and also acquisition of SMFG shares through market purchases in accordance with the provision of Article 8 of the Articles of Incorporation of SMFG that were subsequently delivered to the shareholders of Promise Co., Ltd. in consideration for a share exchange.

Decrease in number of treasury common shares issued

15,328,723 shares due to sale of fractional shares, reduction of 7,363 shares through exercise of stock options and reduction of 15,321,360 shares through the allocation of SMFG shares held by SMFG Card & Credit, Inc., a consolidated subsidiary of SMFG for the purpose of wholly-owning Cedyna Financial Corporation, to the shareholders of Cedyna Financial Corporation on May 1, 2011, and sale of SMFG shares by consolidated subsidiaries.

(2) Information on stock acquisition rights

Number of shares

Millions of yen

March 31, 2012

Detail of stock acquisition rights

Type of shares

Beginning of fiscal year

Increase in the fiscal year

Decrease in the fiscal year

Fiscal year-end

Balance as of the fiscal year-end

SMFG

Stock acquisition rights as stock options

–

¥ 598

Consolidated subsidiaries

–

Total

¥ 692

(3) Information on dividends

(a) Dividends paid in the fiscal year

		Millions of yen, except per share data

Date of resolution	Type of shares	Cash dividends	Cash dividends per share	Record date	Effective date

Ordinary General Meeting of Shareholders held on June 29, 2011	Common stock	¥ 70,514	¥ 50	March 31, 2011	June 29, 2011
	Preferred stock (1st series type 6)	3,097	44,250	March 31, 2011	June 29, 2011
Meeting of the Board of Directors held on November 14, 2011	Common stock	¥ 70,514	¥ 50	September 30, 2011	December 2, 2011

(b) Dividends to be paid in the next fiscal year

Millions of yen, except per share data

Date of resolution

Type of shares

Cash dividends

Source of dividends

Cash dividends per share

Record date

Effective date

Ordinary General Meeting of
Shareholders held on June 28, 2012

Common stock

¥ 68,230

Retained earnings

¥ 50

March 31, 2012

June 28, 2012

(Notes to Consolidated Statements of Cash Flows)

(1) Reconciliation of “Cash and due from banks” of the consolidated balance sheet to “Cash and cash equivalents” at the fiscal year-end is as follows:

March 31, 2012		(Millions of yen)
Cash and due from banks		¥ 7,716,291
Interest-earning deposits, excluding deposits to Bank of Japan		(3,127,432)
Cash and cash equivalents		¥ 4,588,858

(2) 7 companies including Promise Co., Ltd. were newly consolidated following a tender offer by SMBC for shares and a subscription by SMFG for new shares by way of third-party allotment. Major assets and liabilities as of the beginning of consolidation and a summary of share acquisition cost and net expenses for the acquisition are as follows:

March 31, 2012		(Millions of yen)
Assets		¥ 1,671,681
[Loans]		795,148
[Customers’ liabilities for acceptances and guarantees]		564,528
Liabilities		(1,511,980)
[Borrowings]		(300,884)
[Reserve for losses on interest repayment]		(367,220)
[Acceptances and guarantees]		(564,528)
Stock acquisition rights		(56)
Minority interests		(3,576)
Goodwill		57,300
Stock acquisition cost of the 7 companies		213,369
Cash and cash equivalents of the 7 companies		(4,300)
Fair value of common stock of Promise owned before business combination		(21,699)
Fair value of common stock of Promise additionally acquired through subscription for shares issued by way of third-party allotment		(119,999)
Difference: Expenses required for acquisition of the 7 companies		¥ (67,369)

(Fair Value of Financial Instruments)

(1) “Consolidated balance sheet amount,” “Fair value” and “Net unrealized gains (losses)” of financial instruments as of March 31, 2012 are as follows. The amounts shown in the following table do not include financial instruments (see the next page) whose fair values are extremely difficult to determine, such as unlisted stocks classified as other securities, and stocks of subsidiaries and affiliates.

	Millions of yen

March 31, 2012	Consolidated balance sheet amount	Fair value	Net unrealized gains (losses)

1) Cash and due from banks (*1)	¥ 7,711,078	¥ 7,715,673	¥ 4,594
2) Call loans and bills bought (*1)	1,290,685	1,291,614	928
3) Receivables under resale agreements	227,749	228,471	722
4) Receivables under securities borrowing transactions	4,539,555	4,539,555	–
5) Monetary claims bought (*1)	1,354,400	1,360,792	6,391
6) Trading assets
Securities classified as trading purposes	4,285,328	4,285,328	–
7) Money held in trust	23,878	23,878	–
8) Securities
Bonds classified as held-to-maturity	5,277,668	5,346,853	69,184
Other securities	36,403,944	36,403,944	–
9) Loans and bills discounted	62,720,599
Reserve for possible loan losses (*1)	(757,820)

	61,962,778	63,076,899	1,114,120

10) Foreign exchanges (*1)	1,276,510	1,281,154	4,643
11) Lease receivables and investment assets (*1)	1,690,977	1,771,120	80,143

Total assets	¥ 126,044,556	¥ 127,325,285	¥ 1,280,729

1) Deposits	84,128,561	84,136,544	7,982
2) Negotiable certificates of deposit	8,593,638	8,593,118	(519)
3) Call money and bills sold	2,144,599	2,144,599	(0)
4) Payables under repurchase agreements	1,676,902	1,676,902	–
5) Payables under securities lending transactions	5,810,730	5,810,730	–
6) Commercial paper	1,193,249	1,193,249	–
7) Trading liabilities
Trading securities sold for short sales	2,172,857	2,172,857	–
8) Borrowed money	8,839,648	8,856,720	17,072
9) Foreign exchanges	302,580	302,580	–
10) Short-term bonds	949,388	949,385	(3)
11) Bonds	4,641,927	4,771,814	129,886
12) Due to trust account	443,723	443,723	–

Total liabilities	¥ 120,897,808	¥ 121,052,227	¥ 154,418

Derivative transactions (*2)
Hedge accounting not applied	[102,744]	[102,744]	–
Hedge accounting applied	308,082	308,082	–

Total	¥ 205,338	¥ 205,338	¥ –

(*1) The amounts do not include general reserve for possible loan losses and specific reserve for possible loan losses. The reserves for possible losses on “Cash and due from banks,” “Call loans and bills bought,” “Monetary claims bought,” “Foreign exchanges,” and “Lease receivables and investment assets” are deducted directly from “Consolidated balance sheet amount” since they are immaterial.

(*2) The amounts collectively represent the derivative transactions which are recorded on “Trading assets,” “Trading liabilities,” “Other assets” and “Other liabilities.” Debts and credits arising from derivative transactions are presented on a net basis.

Debts and credits arising from derivative transactions are presented on a net basis, with a net debt presented in square brackets.

(2) Consolidated balance sheet amount of financial instruments whose fair values are extremely difficult to determine are as follows.

March 31, 2012		Millions of yen

Monetary claims bought
Monetary claims bought without market prices (*1)		¥ 6,062
Securities
Unlisted stocks, etc. (*2,4)		271,149
Investments in partnerships, etc. (*3,4)		345,987

Total		¥ 623,198

(*1) They are beneficiary claims that (a) behave more like equity than debt, (b) do not have market prices, and (c) it is difficult to rationally estimate their values.

(*2) They are not included in the scope of fair value disclosure since there are no market prices and it is extremely difficult to determine their fair values.

(*3) They are capital contributions with no market prices. The above-stated amount includes the book value amount of investments in the partnership of which SMFG records net changes in their balance sheets and statements of income.

(*4) Unlisted stocks and investments in partnership totaling ¥9,292 million was written-off in the fiscal year ended March 31, 2012.

(Fair Value of Securities and Money Held in Trust)

(1) Securities

The amounts shown in the following tables include trading securities and short-term bonds classified as “Trading assets,” negotiable certificates of deposit bought classified as “Cash and due from banks” and beneficiary claims on loan trusts classified as “Monetary claims bought,” in addition to “Securities” stated in the consolidated balance sheet.

(a) Securities classified as trading purposes

As of March 31, 2012		Millions of yen

Valuations gains (losses) included in the earnings for the fiscal year		¥ 16,879

(b) Bonds classified as held-to-maturity

		Millions of yen

As of March 31, 2012		Consolidated balance sheet amount	Fair value	Net unrealized gains (losses)

Bonds with unrealized gains	Japanese government bonds	¥ 4,787,498	¥ 4,849,443	¥ 61,944
	Japanese local government bonds	175,423	178,243	2,819
	Japanese corporate bonds	237,210	241,726	4,515
	Other	2,695	2,703	8

	Subtotal	¥ 5,202,828	¥ 5,272,117	¥ 69,288

Bonds with unrealized losses	Japanese government bonds	¥ 70,020	¥ 69,930	¥ (90)
	Japanese local government bonds	2,302	2,298	(3)
	Japanese corporate bonds	713	710	(3)
	Other	10,402	10,396	(6)

	Subtotal	83,438	83,335	(103)

Total		¥ 5,286,267	¥ 5,355,452	¥ 69,184

			Millions of yen

As of March 31, 2012			Consolidated balance sheet amount	Acquisition cost	Net unrealized gains (losses)

Other securities with unrealized gains	Stocks		¥ 1,193,663	¥ 703,589	¥ 490,074
	Bonds		24,475,020	24,356,856	118,164
	Japanese government bonds		21,717,683	21,654,331	63,351
	Japanese local government bonds		289,456	287,307	2,149
	Japanese corporate bonds		2,467,880	2,415,217	52,663
	Other		4,649,021	4,510,332	138,689

	Subtotal		¥ 30,317,706	¥ 29,570,777	¥ 746,928

Other securities with unrealized losses	Stocks		¥ 946,993	¥ 1,165,606	¥ (218,613)
	Bonds		3,209,463	3,215,812	(6,348)
		Japanese government bonds	2,751,854	2,752,509	(654)
		Japanese local government bonds	7,702	7,717	(15)
		Japanese corporate bonds	449,906	455,585	(5,678)
	Other		2,461,368	2,508,349	(46,981)

	Subtotal		6,617,825	6,889,769	(271,943)

Total			¥ 36,935,531	¥ 36,460,546	¥ 474,984

(Notes)

1. Net unrealized gains (losses) on other securities shown above include gains of ¥196 million that are recognized in the fiscal year’s earnings by applying fair value hedge accounting.

2. Other securities whose fair values are extremely difficult to determine are as follows.

		Millions of yen

As of March 31, 2012		Consolidated balance sheet amount

Stocks		¥ 265,512
Other		357,686
Total		¥ 623,198

These amounts are not included in “(c) Other securities” since there are no market prices and it is extremely difficult to determine their fair values.

(d) Held-to-maturity bonds sold during the fiscal year

There are no corresponding transactions.

(e) Other securities sold during the fiscal year

		Millions of yen

Year ended March 31, 2012		Sales amount	Gains on sales	Losses on sales

Stocks		¥ 33,752	¥ 8,921	¥ (3,221)
Bonds		16,676,636	39,724	(2,586)
	Japanese government bonds	16,261,807	38,204	(2,115)
	Japanese local government bonds	178,423	553	(256)
	Japanese corporate bonds	236,405	966	(214)
Other		15,598,701	143,163	(16,788)

Total		¥ 32,309,090	¥ 191,809	¥ (22,596)

(f) Change of classification of securities

There are no corresponding transactions.

(g) Write-down of securities

Other securities with fair value are considered as impaired if the fair value decreases materially below the acquisition cost and such decline is not considered as recoverable. The fair value is recognized as the consolidated balance sheet amount and the amount of write-down is accounted for as valuation loss for the fiscal year. Valuation loss for the fiscal year was ¥27,988 million. The rule for determining “material decline” is as follows and is based on the classification of issuers under the rules of self-assessment of assets.

	Bankrupt/ Effectively bankrupt/ Potentially bankrupt issuers			: Fair value is lower than acquisition cost.
	Issuers requiring caution			: Fair value is 30% or more lower than acquisition cost.
	Normal issuers			: Fair value is 50% or more lower than acquisition cost.

Bankrupt issuers: Issuers that are legally bankrupt or formally declared bankrupt.

Effectively bankrupt issuers: Issuers that are not legally bankrupt but regarded as substantially bankrupt.

Potentially bankrupt issuers: Issuers that are not bankrupt now, but are perceived to have a high risk of falling into bankruptcy.

Issuers requiring caution: Issuers that are identified for close monitoring.

Normal issuers: Issuers other than the above four categories of issuers.

(2) Money Held in Trust

(a) Money held in trust classified as trading purposes

As of March 31, 2012		Millions of yen

Valuations gains (losses) included in the earnings for the fiscal year		¥ (2)

(b) Money held in trust classified as held-to-maturity

There are no corresponding transactions.

	Millions of yen

As of March 31, 2012	Consolidated balance sheet amount	Acquisition cost	Net unrealized gains (losses)	Unrealized gains	Unrealized losses

Other money held in trust	¥ 22,430	¥ 22,477	¥ (46)	¥ –	¥ (46)

(Note) Consolidated balance sheet amount is calculated using market prices at the fiscal year-end.

(3) Net Unrealized Gains (Losses) on Other Securities and Other Money Held in Trust

Net unrealized gains (losses) on other securities that is reported on the consolidated balance sheet is shown as follows:

As of March 31, 2012		Millions of yen

Net unrealized gains (losses)		¥ 474,803
Other securities		474,849
Other money held in trust		(46)
(–) Deferred tax liabilities		138,439

Net unrealized gains (losses) on other securities (before following adjustment)		336,363

(–) Minority interests		13,124
(+) SMFG’s interest in net unrealized gains (losses) on valuation of other securities held by affiliates accounted for by the equity method		7,194

Net unrealized gains (losses) on other securities		¥ 330,433

(Notes)

1. Net unrealized gains (losses) on other securities shown above include gains of ¥196 million that is recognized in the fiscal year’s earnings by applying fair value hedge accounting.

2. Net unrealized gains (losses) included foreign currency translation adjustments on non-marketable securities denominated in foreign currencies.

(Employee Retirement Benefits)

(1) Outline of employee retirement benefits

Consolidated subsidiaries in Japan have contributory funded defined benefit pension plans such as employee pension plans and lump-sum severance indemnity plans. Certain domestic consolidated subsidiaries in Japan adopt defined-contribution pension plan and have general type of employee pension plans. They may grant additional benefits in case where certain requirements are met when employees retire.

Some overseas consolidated subsidiaries adopt defined-benefit pension plans and defined-contribution pension plans. SMBC and some consolidated subsidiaries in Japan contributed some of their marketable equity securities to employee retirement benefit trusts.

(2) Projected benefit obligation

As of March 31, 2012		Millions of yen

Projected benefit obligation	(A)	¥ (990,449)
Plan assets	(B)	902,254

Unfunded projected benefit obligation	(C) = (A)+(B)	(88,194)
Unrecognized net actuarial gain or loss	(D)	261,128
Unrecognized prior service cost	(E)	(6,624)

Net amount recorded on the consolidated balance sheet	(F) = (C)+(D)+(E)	166,309
Prepaid pension cost	(G)	212,221

Reserve for employee retirement benefits	(F)-(G)	¥ (45,911)

(Note)

Some consolidated subsidiaries adopt simple method in calculating projected benefit obligation.

(3) Pension expenses

Year ended March 31, 2012		Millions of yen

Service cost		¥ 24,646
Interest cost on projected benefit obligation		24,013
Expected return on plan assets		(27,169)
Amortization of unrecognized net actuarial gain or loss		38,736
Amortization of unrecognized prior service cost		(6,542)
Other (nonrecurring additional retirement allowance paid and other)		5,136

Pension expenses		¥ 58,820

(Notes)

1. Pension expenses of consolidated subsidiaries which adopt simple method are included in “Service cost.”

2. Premium paid to defined-contribution pension is included in “Other.”

(4) Assumptions

Year ended March 31, 2012
(a) Discount rate	Domestic consolidated subsidiaries	1.15% - 2.5%
	Overseas consolidated subsidiaries	4.7% - 7.0%
(b) Expected rate of return on plan assets	Domestic consolidated subsidiaries	0% - 4.1%
	Overseas consolidated subsidiaries	3.8% - 5.5%
(c) Allocation of estimated amount of retirement benefits	Allocated to each period by the straight-line method
(d) Term to amortize unrecognized prior service cost	Mainly 9 years (amortized using the straight-line method, within the employees’ average remaining service period at incurrence)
(e) Term to amortize unrecognized net actuarial gain or loss	Mainly 9 years (amortized using the straight-line method, primarily over 9 years within the employees’ average remaining service period, commencing from the next fiscal year of incurrence)

(Stock Options)

(1) Amount of stock options to be expensed in the fiscal year

General and administrative expenses ¥431 million

(2) Outline of stock options and changes

(a) SMFG

(i) Outline of stock options

Date of resolution	June 27, 2002	July 28, 2010	July 29, 2011

Title and number of grantees	Directors and employees of SMFG and SMBC 677	Directors of SMFG: 8 Corporate auditors of SMFG: 3 Executive officers of SMFG: 2 Directors, corporate auditors, executive officers of SMBC: 69	Directors of SMFG: 9 Corporate auditors of SMFG: 3 Executive officers of SMFG: 2 Directors, corporate auditors, executive officers of SMBC: 71
Number of stock options (*1)	Common shares 162,000 (*2)	Common shares: 102,600	Common shares: 268,200
Grant date	August 30, 2002	August 13, 2010	August 16, 2011
Condition for vesting	N.A.	Stock acquisition right holders may exercise stock acquisition rights from the day when they are relieved of their positions either as a director, corporate auditor or executive officer of SMFG and SMBC.	Stock acquisition right holders may exercise stock acquisition rights from the day when they are relieved of their positions either as a director, corporate auditor or executive officer of SMFG and SMBC.
Requisite service period	N.A.	June 29, 2010 to the closing of the ordinary general meeting of shareholders of SMFG for the fiscal year ended March 31, 2011.	June 29, 2011 to the closing of the ordinary general meeting of shareholders of SMFG for the fiscal year ended March 31, 2012.
Exercise period	June 28, 2004 to June 27, 2012	August 13, 2010 to August 12, 2040	August 16, 2011 to August 15, 2041

(*) 1. Reported in terms of shares of stock.

2. Reported in consideration of the 100-for-1 stock split implemented on January 4, 2009.

(ii) Stock options granted and changes

	Number of stock options

Date of resolution	June 27, 2002	July 28, 2010	July 29, 2011

Before vested
Previous fiscal year-end	–	102,600	–
Granted	–	–	268,200
Forfeited	–	1,900	2,000
Vested	–	26,300	5,900
Outstanding	–	74,400	260,300
After vested
Previous fiscal year-end	108,100	–	–
Vested	–	26,300	5,900
Exercised	–	500	–
Forfeited	–	–	–
Exercisable	108,100	25,800	5,900

Price information

	Yen

Date of resolution	June 27, 2002	July 28, 2010	July 29, 2011

Exercise price	¥ 6,649	¥ 1	¥ 1
Average exercise price	–	2,336	–
Fair value at the grant date	–	2,215	1,872

(iii) Valuation technique used for valuating fair value of stock options

Stock options granted in the fiscal year were valuated using the following valuation technique.

- Valuation technique: Black-Scholes option-pricing model

- Principal parameters used in the option-pricing model

Date of resolution		July 29, 2011

Expected volatility (*1)		51.64%
Average expected life (*2)		4 years
Expected dividends (*3)		¥100 per share
Risk-free interest rate (*4)		0.30%

(*) 1. Calculated based on the actual stock prices during 4 years from August 17, 2007 to August 16, 2011.

2. The average expected life could not be estimated rationally due to insufficient amount of data.

Therefore, it was estimated based on average assumption periods of officers of SMFG and consolidated subsidiaries.

3. Expected dividends are based on the actual dividends on common stock for the fiscal year ended March 31, 2012.

4. Japanese government bond yield corresponding to the average expected life.

(iv) Method of estimating number of stock options vested

Only the actual number of forfeited stock options is reflected because it is difficult to rationally estimate the actual number of stock options that will be forfeited in the future.

(b) A consolidated subsidiary, Kansai Urban Banking Corporation

(i) Outline of stock options

Date of resolution	June 28, 2001	June 27, 2002	June 27, 2003	June 29, 2004

Title and number of grantees	Directors and employees 45	Directors and employees 44	Directors and employees 65	Directors and employees 174
Number of stock options	Common shares 238,000	Common shares 234,000	Common shares 306,000	Common shares 399,000
Grant date	July 31, 2001	July 31, 2002	July 31, 2003	July 30, 2004
Condition for vesting	N.A.	N.A.	N.A.	N.A.
Requisite service period	N.A.	N.A.	N.A.	N.A.
Exercise period	June 29, 2003 to June 28, 2011	June 28, 2004 to June 27, 2012	June 28, 2005 to June 27, 2013	June 30, 2006 to June 29, 2014

Date of resolution	June 29, 2005	June 29, 2006	June 29, 2006	June 28, 2007

Title and number of grantees	Directors and employees 183	Directors 9	Officers not doubling as directors 14, Employees 46	Directors 10
Number of stock options	Common shares 464,000	Common shares 162,000	Common shares 115,000	Common shares 174,000
Grant date	July 29, 2005	July 31, 2006	July 31, 2006	July 31, 2007
Condition for vesting	N.A.	N.A.	N.A.	N.A.
Requisite service period	N.A.	N.A.	N.A.	N.A.
Exercise period	June 30, 2007 to June 29, 2015	June 30, 2008 to June 29, 2016	June 30, 2008 to June 29, 2016	June 29, 2009 to June 28, 2017

Date of resolution	June 28, 2007	June 27, 2008	June 26, 2009

Title and number of grantees	Officers not doubling as directors 14, Employees 48	Directors 9, Officers not doubling as directors 16, Employees 45	Directors 11, Officers not doubling as directors 14, Employees 57
Number of stock options	Common shares 112,000	Common shares 289,000	Common shares 350,000
Grant date	July 31, 2007	July 31, 2008	July 31, 2009
Condition for vesting	N.A.	N.A.	N.A.
Requisite service period	N.A.	N.A.	N.A.
Exercise period	June 29, 2009 to June 28, 2017	June 28, 2010 to June 27, 2018	June 27, 2011 to June 26, 2019

(ii) Stock options granted and changes

Number of stock options

Date of resolution	June 28, 2001	June 27, 2002	June 27, 2003	June 29, 2004

Before vested;
Previous fiscal year-end	－	－	－	－
Granted	－	－	－	－
Forfeited	－	－	－	－
Vested	－	－	－	－
Outstanding	－	－	－	－
After vested;
Previous fiscal year-end	94,000	126,000	210,000	302,000
Vested	－	－	－	－
Exercised	10,000	14,000	－	－
Forfeited	84,000	6,000	18,000	17,000
Exercisable	－	106,000	192,000	285,000

Date of resolution	June 29, 2005	June 29, 2006	June 29, 2006	June 28, 2007

Before vested;
Previous fiscal year-end	－	－	－	－
Granted	－	－	－	－
Forfeited	－	－	－	－
Vested	－	－	－	－
Outstanding	－	－	－	－
After vested;
Previous fiscal year-end	431,000	162,000	115,000	174,000
Vested	－	－	－	－
Exercised	－	－	－	－
Forfeited	39,000	－	－	－
Exercisable	392,000	162,000	115,000	174,000

Date of resolution	June 28, 2007	June 27, 2008	June 26, 2009

Before vested;
Previous fiscal year-end	－	－	350,000
Granted	－	－	－
Forfeited	－	－	－
Vested	－	－	350,000
Outstanding	－	－	－
After vested;
Previous fiscal year-end	112,000	289,000	－
Vested	－	－	350,000
Exercised	－	－	－
Forfeited	－	－	－
Exercisable	112,000	289,000	350,000

Price information

Date of resolution	June 28, 2001	June 27, 2002	June 27, 2003	June 29, 2004

Exercise price	¥ 155	¥ 131	¥ 179	¥ 202
Average exercise price	143	145	－	－
Fair value at the grant date	－	－	－	－

Date of resolution	June 29, 2005	June 29, 2006	June 29, 2006	June 28, 2007

Exercise price	¥ 313	¥ 490	¥ 490	¥ 461
Average exercise price	－	－	－	－
Fair value at the grant date	－	138	138	96

Date of resolution	June 28, 2007	June 27, 2008	June 26, 2009

Exercise price	¥ 461	¥ 302	¥ 193
Average exercise price	－	－	－
Fair value at the grant date	96	37	51

(iii) Method of estimating number of stock options vested

Only the actual number of forfeited stock options is reflected because it is difficult to rationally estimate the actual number of stock options that will be forfeited in the future.

(Segment Information)

(1) Information on profit and loss amount by reportable segment

	Millions of yen

	Banking Business

	SMBC

Fiscal year ended March 31, 2012	Consumer Banking Unit	Middle Market Banking Unit	Corporate Banking Unit	International Banking Unit	Treasury Unit	Head office account	Sub-total	Others	Total

Gross profit	¥ 383,666	¥ 422,825	¥ 212,650	¥ 197,436	¥ 319,333	¥ (3,398)	¥ 1,532,511	¥ 231,326	¥ 1,763,837
Interest income	326,923	256,800	136,592	111,625	123,120	1,818	956,878	156,627	1,113,505
Non-interest income	56,743	166,025	76,058	85,811	196,213	(5,217)	575,632	74,698	650,331

Expenses	(289,506)	(222,756)	(38,214)	(64,941)	(19,206)	(84,872)	(719,495)	(131,761)	(851,257)

Other profit or loss	－	－	－	－	－	－	－	(20,529)	(20,529)

Consolidated net business profit	¥ 94,160	¥ 200,069	¥ 174,436	¥ 132,495	¥ 300,127	¥ (88,271)	¥ 813,015	¥ 79,035	¥ 892,050

	Millions of yen

	Securities Services				Leasing

Fiscal year ended March 31, 2012	SMBC Friend Securities Co., Ltd.	SMBC Nikko Securities Inc.	Others	Total	Sumitomo Mitsui Finance and Leasing Company, Limited	Others	Total

Gross profit	¥ 47,395	¥ 221,254	¥ 9,219	¥ 277,869	¥ 88,546	¥ 5,215	¥ 93,761
Interest income	503	(2,536)	1,285	(747)	55,791	(1,062)	54,728
Non-interest income	46,891	223,790	7,934	278,617	32,755	6,277	39,032

Expenses	(39,083)	(180,076)	(5,356)	(224,516)	(28,100)	(11,429)	(39,529)

Other profit or loss	(7)	(1,206)	(1,327)	(2,541)	(1,027)	9,212	8,185

Consolidated net business profit	¥ 8,305	¥ 39,970	¥ 2,535	¥ 50,811	¥ 59,419	¥ 2,998	¥ 62,417

	Millions of yen

	Credit Card Services

Fiscal year ended March 31, 2012	Sumitomo Mitsui Card Company, Limited	Cedyna Financial Corporation	Others	Total	Other Business	Grand Total

Gross profit	¥ 179,322	¥ 160,083	¥ 6,527	¥ 345,933	¥ 128,680	¥ 2,610,082
Interest income	18,544	36,379	1,939	56,863	125,160	1,349,510
Non-interest income	160,777	123,704	4,588	289,070	3,520	1,260,572

Expenses	(126,589)	(120,545)	(5,096)	(252,232)	(6,992)	(1,374,526)

Other profit or loss	(9,587)	(67,201)	2,889	(73,899)	(132,824)	(221,609)

Consolidated net business profit	¥ 43,144	¥ (27,662)	¥ 4,320	¥ 19,802	¥ (11,136)	¥ 1,013,946

(Notes)

1. Consolidated net business profit = SMBC’s non-consolidated banking profit + SMFG’s non-consolidated ordinary profit + Other subsidiaries’ ordinary profit (excluding nonrecurring factors) + Equity method affiliates’ ordinary profit X Ownership ratio – Internal transactions (dividends, etc.)

2. Other profit or loss = Non-operating profit or loss of consolidated subsidiaries except SMBC + Equity method affiliates’ ordinary profit X Ownership ratio, etc.

3. Consolidated net business profit = Operating profit of each company for SMBC Friend Securities Co., Ltd., SMBC Nikko Securities Inc., Sumitomo Mitsui Finance and Leasing Company, Limited, Sumitomo Mitsui Card Company, Limited, and Cedyna Financial Corporation, and their non-operating profits or losses are classified as “Others” in each segment.

4. “Other business” includes profits/losses to be offset as internal transactions between segments.

(2) Difference between total amount of consolidated net business profit by reportable segment and ordinary profit on consolidated statements of income (adjustment of difference)

Fiscal year ended March 31, 2012		Millions of yen

Consolidated net business profit		¥ 1,013,946
Credit costs of SMBC		(58,647)
Losses on stocks of SMBC		(15,153)
Amortization of unrecognized retirement benefit obligation of SMBC		(31,632)
Ordinary profit of consolidated subsidiaries other than reportable segment		81,398
Amortization of goodwill other than reportable segment		(14,996)
Adjustment of profit or loss of equity method affiliates		(5,553)
Others		(33,790)

Ordinary profit on consolidated statements of income		¥ 935,571

(Notes)

1. Total credit cost = Provision for reserve for possible loan losses + Write-off of loans + Losses on sales of delinquent loans – Recoveries of written-off claims

2. Losses on stocks = Gains on sale of stocks – Losses on sale of stocks – Losses on devaluation of stocks

3. Adjustment of profit or loss of equity method affiliates = Equity method affiliates’ net income X Ownership ratio – Equity method affiliates’ ordinary profit X Ownership ratio

(Business Combination)

Promise Co., Ltd. consolidated as a subsidiary through a tender offer for shares and a subscription for new shares issued by way of third-party allotment

Sumitomo Mitsui Banking Corporation (“SMBC”), a consolidated subsidiary of SMFG, implemented a tender offer for the purpose of acquiring the shares of common stock, the first series of stock acquisition rights for the stock compensation-type stock options, the second series of stock acquisition rights for the stock compensation-type stock options, the third series of stock acquisition rights for the stock compensation-type stock options and the euro yen callable bonds with stock acquisition rights due 2015 issued by Promise Co., Ltd. (“Promise”). In addition, SMFG fully subscribed shares issued by Promise through the third-party allotment executed on December 26, 2011. As a result of the above, SMFG consolidated Promise as a subsidiary, which had been an equity method affiliates of SMFG. The outline of the business combination through acquisition is as follows:

(1) Outline of the business combination

(a) Name of the acquired company and its business

Promise (Consumer finance)

(b) Main reasons for the business combination

Our basic policy is to acquire 100% stake of Promise aiming for strengthening financial base of Promise and to building up a corporate infrastructure accommodating group-wide prompt and flexible decision making. Through the initiatives, we aim to strengthen the collaboration between Promise and SMFG group companies, and expand consumer finance business centering on Promise which has a competitive advantage in the industry. To this end, we made Promise our consolidated subsidiary through a tender offer by SMBC and a subscription of third-party allotment by SMFG in fiscal 2011.

December 7, 2011

(d) Legal form of the business combination

Consolidated as a subsidiary through a tender offer for shares of Promise by SMBC and a subscription by SMFG for new shares issued by Promise by way of third-party allotment

(e) Name of the controlling entity after the business combination

Sumitomo Mitsui Financial Group, Inc.

(f) Percentage share of voting rights SMFG has acquired

Percentage share of voting rights owned before business combination		22%
Percentage share of voting rights additionally acquired through tender offer		72%
Percentage share of voting rights additionally acquired through subscription for shares issued by way of third-party allotment		4%
Percentage share of voting rights after acquisition		98%

(g) Main reason the company was acquired

SMFG acquired a majority of voting rights of Promise and consolidated it as a subsidiary.

(2) Period of the acquired company’s financial results included in the consolidated statements of income

From April 1, 2011 to March 31, 2012

Note that as the deemed acquisition date is December 31, 2011, gain or loss related to the acquired company for the period from April 1, 2011 to December 31, 2011 is presented as gain or loss from investments by the equity method in the consolidated statements of income.

(3) Acquisition cost of the acquired company

		Millions of yen
Fair value of common stock of Promise owned before business combination		¥ 21,699
Fair value of common stock of Promise additionally acquired through tender offer		70,995
Fair value of common stock of Promise additionally acquired through subscription for shares issued by way of third-party allotment		119,999
Expenses directly required for acquisition		674
Acquisition cost of the acquired company		¥ 213,369

(4) Difference between acquisition cost of the acquired company and total acquisition cost of individual transactions leading to acquisition

		Millions of yen
Acquisition cost of the acquired company		¥ 213,369
Total acquisition cost of individual transactions leading to acquisition		188,318
Difference (gains on step acquisitions)		¥ 25,050

(5) Goodwill, reason for recognizing goodwill, amortization method and amortization period

(a) Amount of goodwill

¥ 57,300 million

(b) Reason for recognizing goodwill

SMFG accounted for the difference between the acquisition cost and the equivalent amount of SMFG’s interests in Promise as goodwill.

Straight-line method over 20 years

(6) Amounts of assets and liabilities acquired on the day of the business combination

(a) Assets

		Millions of yen
Total assets		¥ 1,671,681
Loans and bills discounted		795,148
Customers’ liabilities for acceptances and guarantees		564,528

(b) Liabilities

		Millions of yen
Total liabilities		¥ 1,511,980
Borrowed money		300,884
Reserve for losses on interest repayment		367,220
Acceptances and guarantees		564,528

(7) Approximate amounts and their calculation method of impact on the consolidated statements of income for the fiscal year ended March 31, 2012, assuming that the business combinations had been completed on the commencement date of the fiscal year

(a) Estimates of the differences between the ordinary income and other income data, assuming that the business combinations had been completed on the commencement date of the fiscal year and the actual ordinary income and other income data that are recorded in the consolidated statements of income are as follows:

		Millions of yen
Ordinary income		¥ 143,349
Ordinary profit		(152,690)
Net income		(186,332)

Note: Ordinary income is presented as a counterpart of sales of companies in other industries.

(b) Calculation method of the approximate amounts and material assumptions

The approximate amounts were calculated retroactively to the commencement date of the fiscal year based on the amounts stated in Promise and its consolidated subsidiaries’ statements of income for the period from April 1, 2011 to December 31, 2011, including the amount of amortization of goodwill for the same period, and are different from results of operation if the business combination had been completed on the commencement date of the fiscal year.

The information mentioned above has not been audited by KPMG AZSA LLC.

Making Cedyna Financial Corporation a wholly-owned subsidiary

SMFG Card & Credit, Inc. (“FGCC”) made Cedyna Financial Corporation (“Cedyna”) a wholly-owned subsidiary by a share exchange with an effective date of May 1, 2011 (the “Share Exchange”). The outline of transactions under common control is as follows:

(1) Outline of the transactions

(a) Name and business of combined entities

Acquisition company: FGCC (Management of subsidiaries and affiliates)

Acquired company: Cedyna (Credit card services)

(b) Date of business combination

May 1, 2011

Exchange of shares

(d) Name of the entity after the reorganization

Sumitomo Mitsui Financial Group, Inc.

(e) Outline and purpose of the transaction

SMFG and FGCC decided that they needed to establish a system which allowed more timely and flexible decision-making in order to take various measures to “establish the number one credit card business entity in Japan.” Therefore, SMFG made Cedyna a wholly-owned subsidiary of FGCC.

(2) Accounting methods

SMFG applies the accounting procedures stipulated by Articles 45 and 46 of the “Accounting Standard for Business Combinations” (ASBJ Statement No. 21).

(3) Acquisition cost of the additionally acquired stocks of subsidiaries

Millions of yen
Fair value of common stock of Cedyna additionally acquired		¥ 37,535
Expenses directly required for acquisition		80
Acquisition cost of the additionally acquired stocks of subsidiaries		¥ 37,616

(4) Share exchange ratio, its basis for determination, number of shares delivered

(a) Type of shares and share exchange ratio

Common shares

SMFG 1 : Cedyna 0.06

Note: 0.06 shares of SMFG common stock was allotted and delivered per share of Cedyna common stock.

(b) Basis for determination of share exchange ratio

Nikko Cordial Securities Inc. (currently SMBC Nikko Securities Inc.) and Nomura Securities Co., Ltd. were appointed by FGCC and Cedyna, respectively, as third party valuation institutions in order to ensure the fairness and appropriateness in determining the share exchange ratio for the Share Exchange. FGCC and Cedyna engaged in negotiations and discussions with reference to the share exchange ratio analysis provided by the above third party valuation institutions and with consideration for SMFG’s and Cedyna’s financial conditions, performance trends and stock price movements. As a result, FGCC and Cedyna each determined that the share exchange ratio set forth in (a) above was beneficial to the shareholders of both SMFG and Cedyna, and SMFG, FGCC and Cedyna agreed and decided.

14,702 thousand common shares of SMFG

(5) Goodwill, reason for recognizing goodwill, amortization method and amortization period

(a) Amount of goodwill

¥9,087 million

(b) Reason for recognizing goodwill

SMFG accounted for the difference between the acquisition cost and the equivalent amount of SMFG’s interests in Cedyna as goodwill.

Straight-line method over 20 years

(Per Share Data)

As of and year ended March 31, 2012		Yen

Net assets per share		¥ 3,856.37
Net income per share		374.26
Net income per share (diluted)		373.99

(Notes)

1. Net income per share and Net income per share (diluted) are calculated based on the followings:

Year ended March 31, 2012		Millions of yen, except number of shares

Net income per share
Net income		¥ 518,536
Amount not to attributable to common stockholders		－
Net income attributable to common stock		518,536
Average number of common stock during the period (in thousands)		1,385,505

Net income per share (diluted)
Adjustment for net income		(278)
Adjustment of dilutive shares issued by subsidiaries and affiliates		(278)
Increase in number of common stock (in thousands)		243
Stock acquisition rights (in thousands)		243

Outline of dilutive shares which were not included in the calculation of “Net income per share (diluted)” for the fiscal year ended March 31, 2012 because they do not have dilutive effect:		Stock acquisition rights: 1 type (Number of stock acquisition rights issued by resolution at the general shareholder’s meeting on June 27, 2002: 1,081 units) * The number of shares to be issued upon exercise of each stock acquisition right is 100 common shares of SMFG.

2. Net assets per share is calculated based on the followings:

Year ended March 31, 2012		Millions of yen, except number of shares

Net assets		¥ 7,254,976
Amount excluded from Net assets		2,044,575
Stock acquisition rights		692
Minority interests		2,043,883
Net assets attributable to common stock at the fiscal year-end		5,210,400
Number of common stock at the fiscal year-end used for the calculation of Net assets per share (in thousands)		1,351,116

(Application of New Accounting Standards)

SMFG has adopted the “Accounting Standard for Earnings Per Share” (Accounting Standards Board of Japan (“ASBJ”) Statement No. 2), “Guidance on Accounting Standard for Earnings Per Share” (ASBJ Guidance No. 4) and “Practical Solution on Accounting for Earnings Per Share” (ASBJ PITF No. 9) starting from the fiscal year beginning on April 1, 2011. This change has a little impact on the calculation of diluted net income per share.

(Significant Subsequent Events)

Making Promise Co., Ltd. a wholly-owned subsidiary

SMFG made Promise Co., Ltd. (“Promise”) a wholly-owned subsidiary by a share exchange with an effective date of April 1, 2012 (the “Share Exchange”). The outline of transactions under common controls is as follows:

(1) Outline of the transactions

(a) Name and business of combined entities

- Acquisition company: Sumitomo Mitsui Financial Group, Inc. (Bank holding company)

- Acquired company: Promise (Consumer finance)

(b) Date of business combination

April 1, 2012

Exchange of shares

(d) Name of the entity after the reorganization

Sumitomo Mitsui Financial Group, Inc.

(e) Outline and purpose of the transaction

SMFG has considered it as our basic policy to wholly-own Promise in order to i) strengthen Promise’s financial base to effectively achieve expansion of the consumer finance business with Promise acting at its core in SMFG through further enforcement of cooperation between Promise and SMFG group companies and the establishment of a competitive advantage in the industry of Promise as the initiative, and ii) build up an infrastructure accommodating more timely and flexible group-wide decision making. In line with this policy, SMFG made Promise a wholly-owned subsidiary.

(2) Share exchange ratio, its basis for determination, number of shares delivered

(a) Type of shares and share exchange ratio

Common shares

SMFG 1 : Promise 0.36

* 0.36 shares of SMFG common stock was allotted and delivered per share of Promise common stock.

(b) Basis for determination of share exchange ratio

SMFG and Promise separately appointed a financial advisor or third party valuation institution, both independent of the two companies, in order to ensure fairness and appropriateness in determining the share exchange ratio for the Share Exchange. SMFG appointed Goldman Sachs Japan Co. Ltd. as the financial advisor while Promise appointed Houlihan Lokey K.K. as the third party valuation institution. To determine the share exchange ratio, SMFG and Promise separately considered it carefully with reference to the share exchange ratio provided by the above financial advisor and third party valuation institution, with which they also engaged in discussions and negotiations. With regard to the valuation of Promise’s share price, SMFG and Promise took account of the tender offer price for Promise’s common stocks, undertaken by SMBC prior to the Share Exchange as a bench mark in addition to the conditions and results of the tender offer, SMFG’s share price movements and other factors. As a result, SMFG and Promise concluded that the share exchange ratio set forth in (a) above was reasonable and beneficial to the shareholders of the two companies, subsequently agreeing and accepting it for the transaction.

45,660 thousand common shares of SMFG

Sumitomo Mitsui Financial Group, Inc.

V. Non-Consolidated Financial Statements

1. Non-consolidated Balance Sheets

(Millions of yen)
March 31,	2012	2011
Assets:
Current assets
Cash and due from banks	¥ 67,323	¥ 54,154
Prepaid expenses	29	29
Accrued income	17	32
Accrued income tax refunds	33,266	41,382
Other current assets	1,216	798
Total current assets	101,852	96,397
Fixed assets
Tangible fixed assets
Buildings	0	0
Equipment	0	0
Total tangible fixed assets	0	0
Intangible fixed assets
Software	16	8
Total intangible fixed assets	16	8
Investments and other assets
Investments in subsidiaries and affiliates	6,051,591	6,141,248
Total investments and other assets	6,051,591	6,141,248
Total fixed assets	6,051,608	6,141,258
Total assets	¥ 6,153,461	¥ 6,237,655
Liabilities:
Current liabilities
Short-term borrowings	¥ 1,228,030	¥ 997,030
Accounts payable	990	940
Accrued expenses	3,082	3,054
Income taxes payable	16	25
Business office taxes payable	6	5
Reserve for employee bonuses	127	107
Reserve for executive bonuses	83	91
Other current liabilities	594	586
Total current liabilities	1,232,931	1,001,841
Fixed liabilities
Bonds	392,900	392,900
Total fixed liabilities	392,900	392,900
Total liabilities	1,625,831	1,394,741
Net assets:
Stockholders’ equity
Capital stock	2,337,895	2,337,895
Capital surplus
Capital reserve	1,559,374	1,559,374
Other capital surplus	63,592	273,652
Total capital surplus	1,622,966	1,833,027
Retained earnings
Other retained earnings
Voluntary reserve	30,420	30,420
Retained earnings brought forward	690,676	684,883
Total retained earnings	721,096	715,303
Treasury stock	(154,926)	(43,482)
Total stockholders’ equity	4,527,031	4,842,743
Stock acquisition rights	598	170
Total net assets	4,527,629	4,842,914
Total liabilities and net assets	¥ 6,153,461	¥ 6,237,655

2. Non-consolidated Statements of Income

(Millions of yen)
Year ended March 31,	2012	2011

Operating income:
Dividends on investments in subsidiaries and affiliates	¥ 166,272	¥ 206,865
Fees and commissions received from subsidiaries	15,100	15,352
Total operating income	181,372	222,217
Operating expenses:
General and administrative expenses	8,434	7,999
Interest on bonds	16,468	16,468
Total operating expenses	24,902	24,467
Operating profit	156,470	197,750
Non-operating income:
Interest income on deposits	88	68
Fees and commissions income	0	1
Other non-operating income	19	40
Total non-operating income	109	110
Non-operating expenses:
Interest on borrowings	6,485	6,290
Fees and commissions payments	163	26
Other non-operating expenses	8	0
Total non-operating expenses	6,657	6,317
Ordinary profit	149,922	191,543
Income before income taxes	149,922	191,543
Income taxes, current	3	3
Income taxes	3	3
Net income	¥ 149,919	¥ 191,539

3. Non-consolidated Statements of Changes in Net Assets

(Millions of yen)
Year ended March 31,	2012	2011
Stockholders’ equity:
Capital stock
Balance at the beginning of the fiscal year	¥ 2,337,895	¥ 2,337,895
Changes in the fiscal year
Net changes in the fiscal year	－	－
Balance at the end of the fiscal year	2,337,895	2,337,895
Capital surplus
Capital reserve
Balance at the beginning of the fiscal year	1,559,374	1,559,374
Changes in the fiscal year
Net changes in the fiscal year	－	－
Balance at the end of the fiscal year	1,559,374	1,559,374
Other capital surplus
Balance at the beginning of the fiscal year	273,652	273,699
Changes in the fiscal year
Disposal of treasury stock	(57)	(46)
Cancellation of treasury stock	(210,003)	－
Net changes in the fiscal year	(210,060)	(46)
Balance at the end of the fiscal year	63,592	273,652
Total capital surplus
Balance at the beginning of the fiscal year	1,833,027	1,833,073
Changes in the fiscal year
Disposal of treasury stock	(57)	(46)
Cancellation of treasury stock	(210,003)	－
Net changes in the fiscal year	(210,060)	(46)
Balance at the end of the fiscal year	1,622,966	1,833,027
Retained earnings
Other retained earnings
Voluntary reserve
Balance at the beginning of the fiscal year	30,420	30,420
Changes in the fiscal year
Net changes in the fiscal year	－	－
Balance at the end of the fiscal year	30,420	30,420
Retained earnings brought forward
Balance at the beginning of the fiscal year	684,883	647,622
Changes in the fiscal year
Cash dividends	(144,126)	(154,278)
Net income	149,919	191,539
Net changes in the fiscal year	5,792	37,260
Balance at the end of the fiscal year	690,676	684,883
Total retained earnings
Balance at the beginning of the fiscal year	715,303	678,042
Changes in the fiscal year
Cash dividends	(144,126)	(154,278)
Net income	149,919	191,539
Net changes in the fiscal year	5,792	37,260
Balance at the end of the fiscal year	721,096	715,303

(continued)

(Millions of yen)
Year ended March 31,	2012	2011
Treasury stock
Balance at the beginning of the fiscal year	(43,482)	(43,437)
Changes in the fiscal year
Purchase of treasury stock	(321,521)	(105)
Disposal of treasury stock	74	60
Cancellation of treasury stock	210,003	－
Net changes in the fiscal year	(111,444)	(45)
Balance at the end of the fiscal year	(154,926)	(43,482)
Total stockholders’ equity
Balance at the beginning of the fiscal year	4,842,743	4,805,574
Changes in the fiscal year
Cash dividends	(144,126)	(154,278)
Net income	149,919	191,539
Purchase of treasury stock	(321,521)	(105)
Disposal of treasury stock	17	13
Cancellation of treasury stock	－	－
Net changes in the fiscal year	(315,711)	37,169
Balance at the end of the fiscal year	4,527,031	4,842,743
Stock acquisition rights:
Balance at the beginning of the fiscal year	170	－
Changes in the fiscal year
Net changes in items other than stockholders’ equity in the fiscal year	427	170
Net changes in the fiscal year	427	170
Balance at the end of the fiscal year	598	170
Total net assets:
Balance at the beginning of the fiscal year	4,842,914	4,805,574
Changes in the fiscal year
Cash dividends	(144,126)	(154,278)
Net income	149,919	191,539
Purchase of treasury stock	(321,521)	(105)
Disposal of treasury stock	17	13
Cancellation of treasury stock	－	－
Net changes in items other than stockholders’ equity in the fiscal year	427	170
Net changes in the fiscal year	(315,284)	37,340
Balance at the end of the fiscal year	¥ 4,527,629	¥ 4,842,914

4. Note on the Assumption as a Going Concern

Not applicable.

Financial Results

Fiscal Year 3/2012

-Supplementary Information-

Table of Contents



1.	Income Analysis	Consolidated	Non-consolidated
2.	Banking Profit per Employee / Overhead Ratio		Non-consolidated
3.	Interest Spread (Domestic)		Non-consolidated
4.	Gains (Losses) on Securities		Non-consolidated
5.	Unrealized Gains (Losses) on Securities	Consolidated	Non-consolidated
6.	Balance of Securities, Classified by Maturity		Non-consolidated
7.	Overview of Derivative Transactions (on Deferred Hedge Accounting Basis)		Non-consolidated
8.	Employee Retirement Benefits	Consolidated	Non-consolidated
9.	BIS Capital Ratio	Consolidated	Non-consolidated
10.	ROE	Consolidated
11.	Balance of Problem Assets, Classified by Financial Reconstruction Law and Self-Assessment, and Write-Offs / Reserves		Non-consolidated
12.	Risk-Monitored Loans	Consolidated	Non-consolidated
13.	Reserve for Possible Loan Losses and Reserve Ratio	Consolidated	Non-consolidated
14.	Problem Assets Based on the Financial Reconstruction Law and the Coverage	Consolidated	Non-consolidated
15.	Results of Off-Balancing of Problem Assets		Non-consolidated
16.	Loan Portfolio, Classified by Industry		Non-consolidated
17.	Loan Portfolio, Classified by Country		Non-consolidated
18.	Balance of Deposits and Loans		Non-consolidated
19.	Number of Directors and Employees		Non-consolidated
20.	Number of Offices		Non-consolidated
21.	Deferred Tax Assets	Consolidated	Non-consolidated
22.	Earnings Forecast for FY3/2013	Consolidated	Non-consolidated
(Reference 1) FY3/2012 Performance and FY3/2013 Management Policy
(Reference 2) Exposure to Securitized Products
(Reference 3) Financial Statements of SMBC

Notes	1. Consolidated: Consolidated figures of Sumitomo Mitsui Financial Group, Inc. ("SMFG")
	2. Non-consolidated: Non-consolidated figures of Sumitomo Mitsui Banking Corporation ("SMBC")

This document contains “forward-looking statements” (as defined in the U.S. Private Securities Litigation Reform Act of 1995), regarding the intent, belief or current expectations of us and our managements with respect to our future financial condition and results of operations. In many cases but not all, these statements contain words such as “anticipate”, “estimate”, “expect”, “intend”, “may”, “plan”, “probability”, “risk”, “project”, “should”, “seek”, “target” and similar expressions. Such forward-looking statements are not guarantees of future performance and involve risks and uncertainties, and actual results may differ from those expressed in or implied by such forward-looking statements contained or deemed to be contained herein. The risks and uncertainties which may affect future performance include the fragility of any economic recovery, both globally and in Japan; our ability to successfully implement its business and capital strategy; the success of our business alliances including those in the consumer finance industry; exposure to new risks as we expand the scope of our business; significant credit-related costs; declines in the value of our securities portfolio. Given these and other risks and uncertainties, you should not place undue reliance on forward-looking statements, which speak only as of the date of this document. We undertake no obligation to update or revise any forward-looking statements. Please refer to our most recent disclosure documents such as our annual report or the registration statement on Form 20-F and other documents submitted to the U.S. Securities and Exchange Commission, as well as our earnings press releases for a more detailed description of the risks and uncertainties that may affect our financial conditions, our operating results, and investors’ decisions.

Financial Highlights for FY3/2012
1. Income Analysis
	SMBC non-consolidated			(Millions of yen)
					FY3/2012		FY3/2011
						Change
	Gross banking profit			1	1,532,511	752	1,531,759
	Excluding gains (losses) on bonds			2	1,379,974	(4,664)	1,384,638
		Gross domestic profit		3	1,097,760	(16,569)	1,114,329
		Excluding gains (losses) on bonds		4	1,074,567	(11,374)	1,085,941
			Net interest income	5	849,250	(18,334)	867,584
			Trust fees	6	1,716	(583)	2,299
			Net fees and commissions	7	215,129	6,321	208,808
			Net trading income	8	5,112	4,172	940
			Net other operating income	9	26,550	(8,146)	34,696
			Gains (losses) on bonds	10	23,192	(5,196)	28,388
		Gross international profit		11	434,750	17,321	417,429
		Excluding gains (losses) on bonds		12	305,406	6,709	298,697
			Net interest income	13	107,627	7,387	100,240
			Net fees and commissions	14	103,778	9,920	93,858
			Net trading income	15	78,938	(71,191)	150,129
			Net other operating income	16	144,406	71,206	73,200
			Gains (losses) on bonds	17	129,343	10,611	118,732
	Expenses (excluding non-recurring losses)			18	(719,495)	(20,298)	(699,197)
		Personnel expenses		19	(259,782)	(9,940)	(249,842)
		Non-personnel expenses		20	(422,854)	(11,383)	(411,471)
		Taxes		21	(36,858)	1,025	(37,883)
	Banking profit (before provision for general reserve for possible loan losses)			22	813,015	(19,547)	832,562
	Excluding gains (losses) on bonds			23	660,478	(24,963)	685,441
	Provision for general reserve for possible loan losses			24	43,780	31,445	12,335
	Banking profit			25	856,796	11,899	844,897
		Gains (losses) on bonds		26	152,536	5,416	147,120
	Non-recurring gains (losses)			27	(161,453)	87,740	(249,193)
		Credit costs		28	(103,662)	3,998	(107,660)
		Recoveries of written-off claims		29	1,234	1,234	-
		Gains (losses) on stocks		30	(15,153)	72,132	(87,285)
			Gains on sale of stocks and other securities	31	20,562	(1,109)	21,671
			Losses on sale of stocks and other securities	32	(7,074)	(5,470)	(1,604)
			Losses on devaluation of stocks and other securities	33	(28,642)	78,711	(107,353)
		Other non-recurring gains (losses)		34	(43,871)	10,376	(54,247)
	Ordinary profit			35	695,342	99,638	595,704
	Extraordinary gains (losses)			36	(3,349)	3,515	(6,864)
		Gains (losses) on disposal of fixed assets		37	(717)	1,619	(2,336)
		Losses on impairment of fixed assets		38	(2,632)	1,656	(4,288)
		Recoveries of written-off claims		39	-	(1,055)	1,055
	Income before income taxes			40	691,992	103,153	588,839
	Income taxes - current			41	(44,703)	(2,317)	(42,386)
	Income taxes - deferred			42	(169,315)	(44,042)	(125,273)
	Net income			43	477,973	56,793	421,180

	Total credit cost (24+28+29+39)			44	(58,647)	35,622	(94,269)
		Provision for general reserve for possible loan losses		45	43,780	31,445	12,335
		Write-off of loans		46	(15,797)	54,978	(70,775)
		Provision for specific reserve for possible loan losses		47	(59,196)	(32,092)	(27,104)
		Losses on sales of delinquent loans		48	(28,767)	(19,074)	(9,693)
		Provision for loan loss reserve for specific overseas countries		49	98	185	(87)
		Recoveries of written-off claims		50	1,234	179	1,055

		Notes	1. Amounts less than 1 million yen are rounded down. Figures in parenthesis indicate the amount of loss or decrease.
			2. "Recoveries of written-off claims" which were included in "Extraordinary gains (losses)" are included in "Non-recurring gains (losses)" since the fiscal year beginning on or after April 1, 2011.

Consolidated				(Millions of yen)
				FY3/2012		FY3/2011
					Change
Consolidated gross profit			1	2,594,482	89,752	2,504,730
	Net interest income		2	1,341,369	23,718	1,317,651
	Trust fees		3	1,770	(565)	2,335
	Net fees and commissions		4	823,580	57,350	766,230
	Net trading income		5	198,192	(38,901)	237,093
	Net other operating income		6	229,568	48,149	181,419
General and administrative expenses			7	(1,421,363)	(66,041)	(1,355,322)
Credit costs			8	(126,055)	94,107	(220,162)
	Write-off of loans		9	(90,305)	66,266	(156,571)
	Provision for specific reserve for possible loan losses		10	(111,227)	(47,653)	(63,574)
	Provision for general reserve for possible loan losses		11	106,512	91,593	14,919
	Other credit costs		12	(31,035)	(16,100)	(14,935)
Recoveries of written-off claims			13	4,800	4,800	-
Gains (losses) on stocks			14	(27,880)	64,069	(91,949)
Equity in earnings (losses) of affiliates			15	(31,122)	(17,803)	(13,319)
Other income (expenses)			16	(57,289)	(58,741)	1,452
Ordinary profit			17	935,571	110,143	825,428
Extraordinary gains (losses)			18	17,395	15,511	1,884
	Gains on step acquisitions		19	25,050	12,395	12,655
	Losses on impairment of fixed assets		20	(3,861)	1,550	(5,411)
	Recoveries of written-off claims		21	-	(2,813)	2,813
Income before income taxes and minority interests			22	952,966	125,653	827,313
Income taxes - current			23	(103,478)	(6,032)	(97,446)
Income taxes - deferred			24	(207,860)	(64,535)	(143,325)
Income before minority interests			25	641,627	55,085	586,542
Minority interests in net income			26	(123,090)	(12,444)	(110,646)
Net income			27	518,536	42,641	475,895
	Notes	1. Consolidated gross profit = (Interest income - Interest expenses) + Trust fees + (Fees and commissions - Fees and commissions payments)
		+ (Trading income - Trading losses) + (Other operating income - Other operating expenses)
		2. "Recoveries of written-off claims" which were included in "Extraordinary gains (losses)" are included in "Ordinary profit" since the fiscal year
		2. beginning on or after April 1, 2011.

Total credit cost (8+13+21)			28	(121,255)	96,093	(217,348)


(Reference)				(Billions of yen)
Consolidated net business profit			29	1,013.9	11.9	1,002.0
	Note	Consolidated net business profit = (SMBC's non-consolidated banking profit (before provision for general reserve for possible loan losses))
		+ (Other consolidated subsidiaries' ordinary profit (excluding non-recurring items)) + (Affiliates' ordinary profit) X (Ownership ratio)
		- (Internal transactions (dividends, etc.))

		(Number of consolidated subsidiaries and affiliates)

				Mar. 31, 2012	Change	Mar. 31, 2011
		Consolidated subsidiaries	30	337	10	327
		Equity method affiliates	31	43	(4)	47

2. Banking Profit per Employee / Overhead Ratio
	SMBC non-consolidated			(Millions of yen, %)
					FY3/2012		FY3/2011
						Change
	(1)Banking profit (before provision for general reserve for possible loan losses)				813,015	(19,547)	832,562
		Per employee (thousands of yen)			35,140	(1,129)	36,269
	(2)Banking profit				856,796	11,899	844,897
		Per employee (thousands of yen)			37,033	227	36,806
	(3)Banking profit (before provision for general reserve for possible loan losses, excluding gains (losses) on bonds)				660,478	(24,963)	685,441
		Per employee (thousands of yen)			28,547	(1,313)	29,860

	Overhead ratio				46.9	1.3	45.6
		Notes	1. Employees include executive officers (other than board members) and overseas local staff, and exclude temporary staff,
			employees temporarily transferred from other companies, and transferred staff to other companies.
			2. Banking profit per employee is calculated on the basis of the average number of employees during the period.
			3. Overhead ratio = Expenses (excluding non-recurring losses) / Gross banking profit

3. Interest Spread (Domestic)

(Table omitted)

4. Gains (Losses) on Securities
	SMBC non-consolidated		(Millions of yen)
				FY3/2012		FY3/2011
					Change
	Gains (losses) on bonds			152,536	5,416	147,120
		Gains on sales		169,117	(31,361)	200,478
		Losses on sales		(10,888)	35,276	(46,164)
		Gains on redemption		0	-	0
		Losses on redemption		(5,692)	1,502	(7,194)
		Losses on devaluation		-	-	-

	Gains (losses) on stocks			(15,153)	72,132	(87,285)
		Gains on sales		20,562	(1,109)	21,671
		Losses on sales		(7,074)	(5,470)	(1,604)
		Losses on devaluation		(28,642)	78,711	(107,353)

5. Unrealized Gains (Losses) on Securities

SMBC non-consolidated											(Millions of yen)
			Mar. 31, 2012					Mar. 31, 2011
			Balance sheet amount	Net unrealized gains (losses)				Balance sheet amount	Net unrealized gains (losses)

				(a)	(a) - (b)	Gains	Losses		(b)	Gains	Losses
	Held-to-maturity purpose		5,163,764	67,902	8,972	67,993	90	4,071,733	58,930	60,394	1,463
	Stocks of subsidiaries and affiliates		2,324,041	(21,499)	6,449	622	22,122	2,228,437	(27,948)	521	28,470
	Other securities		35,440,979	388,982	83,361	672,572	283,590	33,980,684	305,621	662,003	356,382
		Stocks	2,250,672	228,453	(47,015)	466,871	238,418	2,338,455	275,468	468,639	193,170
		Bonds	26,306,672	104,356	32,425	109,504	5,148	24,303,221	71,931	99,888	27,956
		Others	6,883,634	56,172	97,950	96,196	40,024	7,339,007	(41,778)	93,476	135,254
	Other money held in trust		5,805	(46)	(88)	-	46	8,875	42	42	-
	Total		42,934,589	435,338	98,692	741,188	305,850	40,289,730	336,646	722,962	386,315
		Stocks	3,472,964	217,149	(44,140)	467,494	250,345	3,494,297	261,289	469,161	207,871
		Bonds	31,470,436	172,259	41,398	177,497	5,238	28,374,954	130,861	160,282	29,420
		Others	7,991,189	45,930	101,435	96,196	50,266	8,420,478	(55,505)	93,518	149,023

(Reference) Outstanding balance and amount sold of stocks in Other securities

(Table Omitted)

Consolidated											(Millions of yen)
			Mar. 31, 2012					Mar. 31, 2011
			Balance sheet amount	Net unrealized gains (losses)				Balance sheet amount	Net unrealized gains (losses)

				(a)	(a) - (b)	Gains	Losses		(b)	Gains	Losses
	Held-to-maturity purpose		5,286,267	69,184	9,327	69,288	103	4,189,272	59,857	61,389	1,531
	Other securities		37,558,730	474,984	104,085	746,928	271,943	35,972,442	370,899	720,864	349,965
		Stocks	2,406,170	271,461	(40,495)	490,074	218,613	2,486,258	311,956	487,773	175,817
		Bonds	27,684,484	111,815	35,045	118,164	6,348	25,560,012	76,770	108,640	31,870
		Others	7,468,076	91,708	109,535	138,689	46,981	7,926,170	(17,827)	124,449	142,277
	Other money held in trust		22,430	(46)	(88)	-	46	22,569	42	42	-
	Total		42,867,429	544,122	113,323	816,216	272,093	40,184,285	430,799	782,295	351,496
		Stocks	2,406,170	271,461	(40,495)	490,074	218,613	2,486,258	311,956	487,773	175,817
		Bonds	32,957,653	180,998	44,359	187,444	6,445	29,734,790	136,639	170,021	33,382
		Others	7,503,605	91,662	109,458	138,697	47,034	7,963,235	(17,796)	124,500	142,297
Notes		1. The figures above include negotiable certificates of deposit in "Cash and due from banks" and beneficiary claims on loan trust in "Monetary claims bought."

		2. Stocks within Other securities and foreign stocks within Others of Other securities are valuated with the average market price during the final month of the fiscal year.
		2. Rest of the securities are valuated at market prices as of the balance sheet date.

		3. Other securities and Other money held in trust are valuated and recorded on the balance sheet at market prices. Unrealized gains (losses) indicate the difference between
		the acquisition costs (or amortized costs) and the balance sheet amounts.
		Net unrealized gains (losses) on Other securities include gains which are recognized in the statements of income by applying fair value hedge accounting and
		not recorded directly to Net assets, accordingly. The amounts as of March 31, 2012 and March 31, 2011, are 196 million yen and 1,153 million yen, respectively,
		in the statements of income.

		4. Floating-rate Japanese government bonds which SMBC held as Other securities are carried on the balance sheet at their reasonably estimated amounts in
		accordance with the "Practical Solution on Measurement of Fair Value of Financial Assets" (Accounting Standard Board of Japan Practical Issues Task Force No. 25)

6. Balance of Securities, Classified by Maturity

Balance of other securities with maturities and bonds of held-to-maturity

(Table Omitted)

7. Overview of Derivative Transactions (on Deferred Hedge Accounting Basis)

SMBC non-consolidated					(Billions of yen)
		Mar. 31, 2012				Mar. 31, 2011
				Net	Net			Net	Net
		Assets	Liabilities	assets	deferred	Assets	Liabilities	assets	deferred
		(a)	(b)	(a) - (b)	gains (losses)	(c)	(d)	(c) - (d)	gains (losses)
	Interest rate swaps	103.6	66.2	37.4	(36.4)	57.6	30.9	26.7	(17.6)
	Currency swaps	288.7	10.1	278.6	(7.2)	352.3	13.9	338.4	6.0
	Others	3.1	0.6	2.5	132.0	2.1	1.6	0.5	126.7
Total		395.4	76.9	318.5	88.4	412.0	46.4	365.6	115.1

Notes 1. Derivative transactions are valuated at fair value on the balance sheet.
Notes 2. SMBC applied deferred hedge or fair value hedge accounting based on Practical Guidelines for Accounting Standard for Financial Instruments
Notes 2. as well as deferred hedge accounting for banking industry based on JICPA Industry Audit Committee Report No.24 and No.25.
Notes 3. Figures for Net deferred gains (losses) are those before application of tax effect accounting.

(Appendix) Contract amount of interest rate swaps (on deferred hedge accounting basis), classified by maturity
									(Billions of yen)
		Mar. 31, 2012				Mar. 31, 2011

		1 year or less	More than 1 year to 5 years	More than 5 years	Total	1 year or less	More than 1 year to 5 years	More than 5 years	Total
	Receivable fixed rate / payable floating rate	5,351.6	12,797.4	5,922.6	24,071.6	4,960.9	14,496.3	4,676.4	24,133.6
	Receivable floating rate / payable fixed rate	1,368.6	4,693.8	5,533.2	11,595.6	613.2	5,360.0	6,047.3	12,020.5
	Receivable floating rate / payable floating rate	20.0	9.3	-	29.3	0.5	29.4	-	29.9
Total		6,740.2	17,500.5	11,455.8	35,696.5	5,574.6	19,885.7	10,723.7	36,184.0

8. Employee Retirement Benefits

(1) Projected benefit obligation

	SMBC non-consolidated						(Millions of yen)
					Mar. 31, 2012		Mar. 31, 2011
						Change
	Projected benefit obligation			(A)	843,362	(2,837)	846,199
			<Discount rate>		<2.5%>	< - >	<2.5%>
		Fair value of plan assets		(B)	802,733	5,594	797,139
		Reserve for employee retirement benefits		(C)	-	-	-
		Prepaid pension cost		(D)	204,033	5,712	198,321
		Unrecognized prior service cost (deductible from the obligation)		(E)	(4,538)	4,951	(9,489)
		Unrecognized net actuarial gain (loss)		(A-B-C+D-E)	249,200	(7,671)	256,871


	(Reference) Consolidated						(Millions of yen)
					Mar. 31, 2012		Mar. 31, 2011
						Change
	Projected benefit obligation			(A)	990,449	14,178	976,271
		Fair value of plan assets		(B)	902,254	18,999	883,255
		Reserve for employee retirement benefits		(C)	45,911	1,307	44,604
		Prepaid pension cost		(D)	212,221	4,224	207,997
		Unrecognized prior service cost (deductible from the obligation)		(E)	(6,624)	3,741	(10,365)
		Unrecognized net actuarial gain (loss)		(A-B-C+D-E)	261,128	(5,647)	266,775


(2) Pension expenses

	SMBC non-consolidated						(Millions of yen)
					FY3/2012		FY3/2011
						Change
	Pension expenses				46,025	(5,233)	51,258
		Service cost			17,725	513	17,212
		Interest cost on projected benefit obligation			21,154	207	20,947
		Expected returns on plan assets			(25,057)	490	(25,547)
		Amortization of unrecognized prior service cost			(4,950)	223	(5,173)
		Amortization of unrecognized net actuarial gain (loss)			36,583	(6,610)	43,193
		Others			569	(58)	627

	(Reference) Consolidated						(Millions of yen)
					FY3/2012		FY3/2011
						Change
	Pension expenses				58,820	(5,168)	63,988

9. BIS Capital Ratio

	Consolidated				(Billions of yen, %)
			Mar. 31, 2012 (a)		Mar. 31, 2011
			[Preliminary]	(a) - (b)	(b)
	(1) Capital ratio		16.94	0.31	16.63
		Tier I ratio	12.29	(0.18)	12.47
	(2) Tier I		6,274.4	(49.6)	6,324.0
	(3) Tier II		2,771.1	234.1	2,537.0
	(4) Subtraction items		397.5	(30.6)	428.1
	(5) Total capital (2) + (3) - (4)		8,648.0	215.1	8,432.9
	(6) Risk-adjusted assets		51,043.2	349.5	50,693.7
	(7) Required capital (6) X 8%		4,083.5	28.0	4,055.5

	SMBC consolidated
	Capital ratio (BIS Guidelines)		19.64	0.48	19.16

	SMBC non-consolidated
	Capital ratio (BIS Guidelines)		21.92	0.47	21.45




	10. ROE

	Consolidated				(%)
			FY3/2012		FY3/2011
			(a)	(a) - (b)	(b)
	ROE (denominator: Total stockholders' equity)		10.4	0.5	9.9
	Note
	ROE (denominator: Total = stockholders' equity)	Net income				X100
	ROE (denominator: Total = stockholders' equity)	{(Total stockholders' equity at the beginning of the term) + (Total stockholders' equity at the end of the term)} / 2				X100

11. Balance of Problem Assets, Classified by Financial Reconstruction Law and Self-Assessment,

and Write-Offs / Reserves

SMBC non-consolidated, as of Mar. 31, 2012

(Billions of yen)

Category of Borrowers under Self-Assessment

Problem Assets based on the Financial Reconstruction Law

Classification under Self-Assessment

Reserve for possible loan losses

Reserve Ratio

Classification I

Classification II

Classification III

Classification IV

Bankrupt Borrowers

Bankrupt and Quasi-Bankrupt Assets

Portion of claims secured by collateral or guarantees, etc.

Fully
reserved

Specific Reserve

20.1

100%

Effectively Bankrupt Borrowers

134.4 (i)

119.4 (a)

15.0

Direct Write-Offs (*1)

(*2)

(*3)

（Change from Mar. 31, 2011: (4.1) )

Doubtful Assets

Portion of claims secured by collateral or guarantees, etc.

Necessary
amount reserved

Potentially Bankrupt Borrowers

229.4

75.84%

779.6 (ii)

477.1 (b)

302.5

(*2)

(*3)

（Change from Mar. 31, 2011: +94.8 )

Substandard Loans

Portion of Substandard
Loans secured by
collateral or guarantees,
etc.

General Reserve
for Substandard Loans

268.8 (iii)

62.48%

Borrowers Requiring Caution

（Change from Mar. 31, 2011: (34.2) )

132.0 (c)

85.7

(*3)

(Claims to Substandard Borrowers)

19.69%

Claims to Borrowers
Requiring Caution,
excluding claims to
Substandard Borrowers

6.69%

(*3)

Normal Assets

[14.12%

]

General Reserve

(*4)

Normal Borrowers

62,493.6

Claims to
Normal
Borrowers

439.5

0.21%

(*4)

Loan loss Reserve for Specific Overseas Countries

0.2

Total

Problem asset ratio

Total Reserve for

possible loan losses

689.2

Reserve Ratio (*5)

63,676.4 (iv)

((v)/(iv))

(Change from Mar. 31, 2011)

D: Specific Reserve + General Reserve for Substandard Loans

335.2

(D/C)

1.86%

＋0.05%

73.79%

A=(i)+(ii)+(iii)

Portion secured by collateral or guarantees, etc.

C: Unsecured portion ( A - B )

Coverage Ratio

1,182.8 (v)

(a)+(b)+(c)

728.5

454.3

((B+D)/A)

（Change from Mar. 31, 2011: +56.5 )

89.93%

	*1 Includes amount of direct reduction totaling 334.9 billion yen.
	*2 Includes reserve for assets that are not subject to disclosure based on the Financial Reconstruction Law standards.
	(Bankrupt/Effectively Bankrupt Borrowers: 5.1 billion yen, Potentially Bankrupt Borrowers: 30.6 billion yen)
	*3 Reserve ratios for claims on Bankrupt Borrowers, Effectively Bankrupt Borrowers, Potentially Bankrupt Borrowers, Substandard
	*3 Borrowers and Borrowers Requiring Caution including Substandard Borrowers are the proportion of reserve for the possible loan
	*3 losses to each category's total claims, excluding the portion secured by collateral or guarantees, etc.
	*4 Reserve ratios for claims on Normal Borrowers and Borrowers Requiring Caution (excluding claims to Substandard Borrowers) are
	*4 the proportion of the reserve for possible loan losses to the respective claims of each category.
	*4 The reserve ratio for unsecured claims on Borrowers Requiring Caution (excluding claims to Substandard Borrowers) is shown in [ ].
	*5 The proportion of the reserve to the claims, excluding the portion secured by collateral or guarantees, etc.

12. Risk-Monitored Loans

	SMBC non-consolidated			(Millions of yen, %)
			Mar. 31, 2012				Mar. 31, 2011

				Ratio				Ratio
			(a)	(b)	(a) - (c)	(b) - (d)	(c)	(d)
	Risk-monitored loans	Bankrupt loans	57,503	0.1	(8,299)	0.0	65,802	0.1
		Non-accrual loans	816,705	1.4	94,913	0.1	721,792	1.3
		Past due loans (3 months or more)	10,531	0.0	(1,796)	0.0	12,327	0.0
		Restructured loans	258,312	0.5	(32,370)	0.0	290,682	0.5
		Total	1,143,053	2.0	52,448	0.0	1,090,605	2.0

	Total loans (term-end balance)		56,411,492	100.0	1,173,879		55,237,613	100.0

		Amount of direct reduction	295,908		(130,295)		426,203

	Consolidated		(Millions of yen, %)
			Mar. 31, 2012				Mar. 31, 2011

				Ratio				Ratio
			(a)	(b)	(a) - (c)	(b) - (d)	(c)	(d)
	Risk-monitored loans	Bankrupt loans	74,218	0.1	(16,559)	0.0	90,777	0.1
		Non-accrual loans	1,145,347	1.8	113,519	0.1	1,031,828	1.7
		Past due loans (3 months or more)	22,502	0.0	(2,936)	0.0	25,438	0.0
		Restructured loans	562,882	0.9	64,559	0.1	498,323	0.8
		Total	1,804,951	2.9	158,582	0.2	1,646,369	2.7

	Total loans (term-end balance)		62,720,599	100.0	1,372,244		61,348,355	100.0

		Amount of direct reduction	596,075		(139,563)		735,638


13. Reserve for Possible Loan Losses and Reserve Ratio

	SMBC non-consolidated		(Millions of yen, %)
			Mar. 31, 2012				Mar. 31, 2011

				Reserve ratio				Reserve ratio
			(a)	(b)	(a) - (c)	(b) - (d)	(c)	(d)
	Reserve for possible loan losses		689,215	60.30	(22,307)	(4.94)	711,522	65.24
		General reserve	439,534		(43,781)		483,315
		Specific reserve	249,507		21,572		227,935
		Loan loss reserve for specific overseas countries	173		(99)		272

		Amount of direct reduction	334,900		(161,305)		496,205

	Consolidated		(Millions of yen, %)
			Mar. 31, 2012				Mar. 31, 2011

				Reserve ratio				Reserve ratio
			(a)	(b)	(a) - (c)	(b) - (d)	(c)	(d)
	Reserve for possible loan losses		978,933	54.24	(80,012)	(10.08)	1,058,945	64.32
		General reserve	593,338		(102,816)		696,154
		Specific reserve	385,416		23,279		362,137
		Loan loss reserve for specific overseas countries	178		(475)		653

		Amount of direct reduction	685,871		(181,995)		867,866

	Note	Reserve ratio: Reserve for possible loan losses / Risk-monitored loans. After direct reduction.

14. Problem Assets Based on the Financial Reconstruction Law and the Coverage

	SMBC non-consolidated			(Millions of yen, %)
				Mar. 31, 2012		Mar. 31, 2011
				(a)	(a) - (b)	(b)
		Bankrupt and quasi-bankrupt assets		134,361	(4,072)	138,433
		Doubtful assets		779,641	94,815	684,826
		Substandard loans		268,844	(34,166)	303,010
	Total (A)			1,182,847	56,578	1,126,269

		Normal assets		62,493,590	1,467,753	61,025,837
		Total (B)		63,676,437	1,524,331	62,152,106
	Problem asset ratio (A/B)			1.86	0.05	1.81

	Amount of direct reduction			334,900	(161,305)	496,205

		Note	Problem assets based on the Financial Reconstruction Law include loans, acceptances and guarantees,
			suspense payments, and other credit-type assets.

				(Millions of yen)
				Mar. 31, 2012		Mar. 31, 2011
				(a)	(a) - (b)	(b)
	Total coverage (C)			1,063,775	77,261	986,514
		Reserve for possible loan losses* (D)		335,213	4,687	330,526
		Amount recoverable by guarantees, collateral and others (E)		728,561	72,573	655,988
	* Sum of general reserve for substandard loans and specific reserve

						(%)
	Coverage ratio (C) / (A)			89.93	2.34	87.59
	Coverage ratio calculated with total reserve for possible loan losses included in the numerator			119.86	(1.56)	121.42

						(%)
	Reserve ratio to unsecured assets (D) / (A - E)			73.79	3.51	70.28
	Reserve ratio calculated with total reserve for possible loan losses included in the numerator			151.71	0.41	151.30


	Consolidated			(Millions of yen, %)
				Mar. 31, 2012		Mar. 31, 2011
				(a)	(a) - (b)	(b)
		Bankrupt and quasi-bankrupt assets		259,670	(21,941)	281,611
		Doubtful assets		1,017,631	141,794	875,837
		Substandard loans		580,351	47,478	532,873
	Total (A)			1,857,653	167,332	1,690,321
		Normal assets		69,826,134	1,957,380	67,868,754
		Total (B)		71,683,787	2,124,712	69,559,075
	Problem asset ratio (A/B)			2.59	0.16	2.43

				(Millions of yen)
				Mar. 31, 2012		Mar. 31, 2011
				(a)	(a) - (b)	(b)
	Total coverage (C)			1,519,780	89,197	1,430,583
		Reserve for possible loan losses (D)		446,818	11,161	435,657
		Amount recoverable due to guarantees, collateral and others (E)		1,072,962	78,036	994,926

						(%)
	Coverage ratio (C) / (A)			81.81	(2.82)	84.63
	Coverage ratio calculated with total reserve for possible loan losses included in the numerator			110.46	(11.05)	121.51

						(%)
	Reserve ratio to unsecured assets (D) / (A - E)			56.94	(5.71)	62.65
	Reserve ratio calculated with total reserve for possible loan losses included in the numerator			124.75	(27.53)	152.28

15. Results of Off-Balancing of Problem Assets
	SMBC non-consolidated

	Results of the first half-year							(Billions of yen)
			Mar. 31, 2011		Change in the six months ended Sep. 30, 2011			Sep. 30, 2011
						Problem assets newly classified during the six months ended Sep. 30, 2011	Amount of off-balancing

	Bankrupt and quasi-bankrupt assets		138.5		(12.2)	28.7	(40.9)	126.3
	Doubtful assets		684.8		33.6	159.5	(125.9)	718.4

	Total		823.3		21.4	(*1) 188.2	(166.8)	844.7

	Result of measures connected to off-balancing (*2)		120.1					104.9

		Breakdown of off-balancing by factor (*3)	Disposition by borrowers' liquidation				(13.3)
			Reconstructive disposition				(9.1)
			Improvement in debtors' performance due to reconstructive disposition				-
			Loan sales to market				(108.7)
			Direct write-offs				91.3
			Others				(127.0)
				Collection/repayment, etc.			(99.8)
				Improvement in debtors' performance			(27.2)
			Total				(166.8)


	Results of the second half-year							(Billions of yen)

			Sep. 30, 2011		Change in the six months ended Mar. 31, 2012	Problem assets newly classified during the six months ended Mar. 31, 2012	Amount of off-balancing	Mar. 31, 2012

	Bankrupt and quasi-bankrupt assets		126.3		8.1	42.5	(34.4)	134.4
	Doubtful assets		718.4		61.2	179.7	(118.5)	779.6

	Total		844.7		69.3	222.2	(*1) (152.9)	914.0

	Result of measures connected to off-balancing(*2)		104.9					63.6

		Breakdown of off-balancing by factor (*3)	Disposition by borrowers' liquidation				(29.2)
			Reconstructive disposition				(16.7)
			Improvement in debtors' performance due to reconstructive disposition				(0.2)
			Loan sales to market				(81.1)
			Direct write-offs				88.1
			Others				(113.8)
				Collection/repayment, etc.			(93.4)
				Improvement in debtors' performance			(20.4)
			Total				(152.9)

	*1	The amount of Problem assets newly classified during the six months ended Sep. 30, 2011 and off-balanced in the six months ended Mar. 31, 2012 was 62.9 billion yen.
	*2	The measures connected to off-balancing are legal reorganizations and other similar measures, corporate splits to good companies and bad companies, partial direct write-offs of
		retail exposure to individuals and small- and medium-sized enterprises, and trusts to RCC for the purpose of revitalization which is scheduled to be off-balanced before the maturity.
	*3	1. "Disposition by borrowers' liquidation" refers to abandonment or write-off of loans involved in bankruptcy liquidation proceedings (bankruptcy or special liquidations).
		2. "Reconstructive disposition" refers to abandonment of loans involved in reconstructive bankruptcy proceedings (corporate reorganization and civil rehabilitation),
		debt forgiveness involved in special mediation or other types of civil mediation, or debt forgiveness for restructuring involved in private reorganization.

16. Loan Portfolio, Classified by Industry

(1) Loans and bills discounted, classified by industry

	SMBC non-consolidated			(Millions of yen, %)
				Mar. 31, 2012			Mar. 31, 2011
				(a)	Ratio	(a) - (b)	(b)	Ratio
	Domestic offices (excluding Japan offshore banking account)			47,217,955	100.0	(633,111)	47,851,066	100.0
		Manufacturing		5,701,247	12.1	68,556	5,632,691	11.8
		Agriculture, forestry, fisheries, and mining		133,829	0.3	(11,348)	145,177	0.3
		Construction		714,741	1.5	(56,244)	770,985	1.6
		Transportation, communications and public enterprises		3,988,144	8.5	375,748	3,612,396	7.5
		Wholesale and retail		3,691,342	7.8	(122,938)	3,814,280	8.0
		Finance and insurance		5,828,625	12.3	(106,094)	5,934,719	12.4
		Real estate and goods rental and leasing		6,185,671	13.1	(197,692)	6,383,363	13.3
		Various services		3,197,121	6.8	(239,318)	3,436,439	7.2
		Municipalities		949,628	2.0	(156,123)	1,105,751	2.3
		Others		16,827,603	35.6	(187,658)	17,015,261	35.6
	Overseas offices and Japan offshore banking accounts			9,193,536	100.0	1,806,989	7,386,547	100.0
		Public sector		47,641	0.5	28,154	19,487	0.3
		Financial institutions		624,804	6.8	69,042	555,762	7.5
		Commerce and industry		7,828,495	85.2	1,581,799	6,246,696	84.6
		Others		692,595	7.5	127,996	564,599	7.6
	Total			56,411,492	-	1,173,879	55,237,613	-

		Risk-Monitored Loans		(Millions of yen, %)
				Mar. 31, 2012			Mar. 31, 2011
				(a)	Ratio	(a) - (b)	(b)	Ratio
		Domestic offices (excluding Japan offshore banking account)		1,064,161	100.0	87,993	976,168	100.0
			Manufacturing	121,668	11.4	15,345	106,323	10.9
			Agriculture, forestry, fisheries, and mining	3,108	0.3	(685)	3,793	0.4
			Construction	76,350	7.2	6,057	70,293	7.2
			Transportation, communications and public enterprises	148,702	14.0	61,355	87,347	9.0
			Wholesale and retail	153,463	14.4	35,114	118,349	12.1
			Finance and insurance	13,589	1.3	3,645	9,944	1.0
			Real estate and goods rental and leasing	307,679	28.9	(9,636)	317,315	32.5
			Various services	152,035	14.3	(22,875)	174,910	17.9
			Municipalities	-	-	-	-	-
			Others	87,562	8.2	(329)	87,891	9.0
		Overseas offices and Japan offshore banking accounts		78,892	100.0	(35,544)	114,436	100.0
			Public sector	-	-	-	-	-
			Financial institutions	3,181	4.0	(2,244)	5,425	4.7
			Commerce and industry	75,710	96.0	(33,300)	109,010	95.3
			Others	-	-	-	-	-
		Total		1,143,053	-	52,448	1,090,605	-

(2) Problem assets based on the Financial Reconstruction Law classified by industry, and reserve ratio

SMBC non-consolidated						(Millions of yen, %)
			Mar. 31, 2012			Mar. 31, 2011
			(a)	Reserve ratio	(a) - (b)	(b)
Domestic offices (excluding Japan offshore banking account)			1,094,392	74.3	94,681	999,711
	Manufacturing		127,033	82.7	15,619	111,414
	Agriculture, forestry, fisheries, and mining		3,117	56.7	(911)	4,028
	Construction		78,924	77.1	4,574	74,350
	Transportation, communications and public enterprises		148,851	69.7	60,979	87,872
	Wholesale and retail		160,356	70.6	38,838	121,518
	Finance and insurance		14,428	53.5	3,624	10,804
	Real estate and goods rental and leasing		317,476	85.0	(3,412)	320,888
	Various services		154,678	58.7	(23,999)	178,677
	Municipalities		-	-	-	-
	Others		89,523	100.0	(633)	90,156
Overseas offices and Japan offshore banking accounts			88,454	70.4	(38,104)	126,558
	Public sector		-	-	-	-
	Financial institutions		3,640	98.9	(2,243)	5,883
	Commerce and industry		84,813	69.3	(35,861)	120,674
	Others		-	-	-	-
Total			1,182,847	73.8	56,578	1,126,269
	Notes 1.	Problem assets based on the Financial Reconstruction Law include loans, acceptances and guarantees, suspense payments,
		and other credit-type assets.
	2.	Reserve ratio = (Reserve for possible loan losses) / (Assets excluding amounts recoverable due to guarantees, collateral and others) X 100
		Reserve for possible loan losses is sum of general reserve for substandard loans and specific reserve.



SMBC non-consolidated			(Millions of yen)
			Mar. 31, 2012		Mar. 31, 2011
			(a)	(a) - (b)	(b)
Consumer loans			15,206,143	(163,141)	15,369,284
	Housing loans		14,336,810	(153,958)	14,490,768
		Residential purpose	11,196,588	54,930	11,141,658
	Other consumer loans		869,332	(9,184)	878,516



SMBC non-consolidated					(Millions of yen, %)
			Mar. 31, 2012		Mar. 31, 2011
			(a)	(a) - (b)	(b)
Outstanding balance			33,230,726	(582,692)	33,813,418
Ratio to total loans			70.4	(0.3)	70.7
Note	Outstanding balance does not include loans at overseas offices and Japan offshore banking accounts.

17. Loan Portfolio, Classified by Country

SMBC non-consolidated

(1) Loans to specific overseas countries

(Table Omitted)

(2) Loans outstanding, classified by major domicile
						(Millions of yen, %)
			Mar. 31, 2012			Mar. 31, 2011
			(a)	Ratio	(a) - (b)	(b)	Ratio
	Asia		3,103,175	31.3	786,725	2,316,450	28.1
		Indonesia	121,478	1.2	34,063	87,415	1.0
		Thailand	322,327	3.2	11,414	310,913	3.8
		Korea	264,840	2.7	70,152	194,688	2.4
		Hong Kong	839,154	8.5	214,644	624,510	7.6
		China	200,487	2.0	109,349	91,138	1.1
		Singapore	745,226	7.5	194,390	550,836	6.7
		India	257,247	2.6	68,779	188,468	2.3
		Others	352,412	3.6	83,934	268,478	3.2
	Oceania		680,168	6.9	68,952	611,216	7.4
	North America		2,915,121	29.4	509,392	2,405,729	29.2
	Central and South America		981,138	9.9	83,656	897,482	10.9
		Brazil	163,050	1.7	34,974	128,076	1.6
		Panama	595,748	6.0	27,115	568,633	6.9
		Others	222,339	2.2	21,567	200,772	2.4
	Western Europe		1,318,001	13.3	138,930	1,179,071	14.3
	Eastern Europe		352,850	3.5	84,182	268,668	3.3
		Russia	315,079	3.1	91,961	223,118	2.7
		Others	37,770	0.4	(7,780)	45,550	0.6
	Others		563,640	5.7	8,236	555,404	6.8
	Total		9,914,094	100.0	1,680,071	8,234,023	100.0
	Note Classified by domicile of debtors.

(3) Problem assets based on the Financial Reconstruction Law, classified by domicile

Table Omitted

18. Balance of Deposits and Loans

SMBC non-consolidated

(1) Balance of deposits and loans

				(Millions of yen, %)
			FY3/2012		FY3/2011
			(a)	(a) - (b)	(b)
	Deposits (period-end balance)		75,804,088	1,767,619	74,036,469
	Deposits (average balance)		73,565,472	4,102,505	69,462,967
		Domestic units	64,890,957	3,212,144	61,678,813
	Loans (period-end balance)		56,411,492	1,173,879	55,237,613
	Loans (average balance)		56,658,263	423,216	56,235,047
		Domestic units	46,332,489	(1,204,512)	47,537,001
	Note Deposits do not include "negotiable certificates of deposit."

(2) Balance of deposits, classified by type of depositor
				(Millions of yen)
			Mar. 31, 2012		Mar. 31, 2011
			(a)	(a) - (b)	(b)
	Domestic deposits		74,721,212	1,672,215	73,048,997
		Individual	37,696,735	1,043,058	36,653,677
		Corporate	37,024,477	629,157	36,395,320
	Note Figures are before adjustment on interoffice accounts in transit.
	Note Excludes "negotiable certificates of deposit" and Japan offshore banking accounts.

	(Reference)			(Billions of yen)
			Mar. 31, 2012		Mar. 31, 2011
			(a)	(a) - (b)	(b)
	Balance of investment trusts		2,735.8	(303.6)	3,039.4
		Balance to individuals	2,421.5	(303.5)	2,725.0
	Note Balance of investment trusts is recognized on a contract basis and measured according to each
	Note fund's net asset balance at term-end.

				(Billions of yen)
			FY3/2012		FY3/2011
			(a)	(a) - (b)	(b)
	Sales of investment trusts to individuals		971.8	(156.3)	1,128.1

	Sales of Pension-type insurance		176.6	(15.5)	192.1

19. Number of Directors and Employees

SMBC non-consolidated
		Mar. 31, 2012		Mar. 31, 2011
		(a)	(a) - (b)	(b)
Directors and auditors^*1		24	(1)	25
Executive officers^*2		59	(1)	60
Employees^*3		22,686	162	22,524
*1	Include those of SMFG.
*2	Exclude board members.
*3	Include overseas local staff but exclude executive officers, contract employees, and temporary staff.
	Number of employees is reported on the basis of full-time workers.

20. Number of Offices

SMBC non-consolidated
		Mar. 31, 2012		Mar. 31, 2011
		(a)	(a) - (b)	(b)
Domestic branches^*1		437	2	435
Domestic sub-branches and agents^*2		160	(6)	166
Overseas branches		15	-	15
Overseas sub-branches		10	3	7
Overseas representative offices		10	(1)	11
*1	Branches specialized in receiving money transfers, controlling ATMs in convenience stores, and international
	business operations are excluded.
*2	Number of SMBC's bank agents.

(Reference)
Sumitomo Mitsui Banking Corporation Europe Limited		5	1	4
Sumitomo Mitsui Banking Corporation (China) Limited		12	1	11

21. Deferred Tax Assets
									(Reference)
(1) Deferred Tax Assets on the Balance Sheet								(Billions of yen)	Temporary differences

	SMBC Non-consolidated					Mar. 31, 2012	Change from Mar. 31, 2011	Mar. 31, 2011	Mar. 31, 2012
	(a) Total deferred tax assets			(b-c)	1	368.2	(161.7)	529.9
		(b) Subtotal of deferred tax assets			2	985.7	(330.4)	1,316.1	2,661.3
			Reserve for possible loan losses		3	219.4	(32.6)	252.0	605.9
			Write-off of loans		4	91.4	(55.6)	147.0	245.1
			Taxable write-off of securities		5	436.5	(118.3)	554.8	1,218.1
			Reserve for employee retirement benefits		6	50.7	(6.5)	57.2	139.7
			Depreciation		7	5.0	(3.1)	8.1	13.6
			Reserve for possible losses on investments		8	3.6	(2.0)	5.6	10.2
			Net unrealized losses on other securities		9	50.8	5.5	45.3	139.4
			Net deferred losses on hedges		10	16.9	11.0	5.9	47.7
			Net operating loss carryforwards		11	36.5	(123.5)	160.0	38.0
			Others		12	74.9	(5.3)	80.2	203.6
		(c) Valuation allowance			13	617.5	(168.7)	786.2
	(d) Total deferred tax liabilities				14	182.8	29.8	153.0	512.3
		Gain on securities contributed to employee retirement benefits trust			15	36.2	(5.2)	41.4	101.8
		Net unrealized gains on other securities			16	128.6	39.6	89.0	361.6
		Net deferred gains on hedges			17	-	-	-	-
		Others			18	18.0	(4.6)	22.6	48.9
	Net deferred tax assets (Balance sheet amount)			(a-d)	19	185.4	(191.5)	376.9
		Amount corresponding to the deferred tax assets shown in line 10		(*1)	20	16.9	11.0	5.9	47.7
		Amount corresponding to the deferred tax liabilities shown in line 16		(*2)	21	(107.6)	(33.0)	(74.6)	(388.7)
		Net deferred tax assets excluding the amount shown in line 20 and 21			22	276.1	(169.5)	445.6	715.4

	Consolidated
	(e) Net deferred tax assets				23	350.2	(274.0)	624.2
	(f) Tier I capital				24	6,274.4	(49.6)	6,324.0
		Net deferred tax assets / Tier I capital		(e/f)	25	5.6%	(4.3)%	9.9%

		*1	Companies may consider net deferred losses on hedges to be collectable, in case they assess the collectability of deferred tax assets on the basis of their future taxable income as stipulated in examples (4) proviso of the practical guidelines on assessing the collectability of deferred tax assets issued by the JICPA. (ASBJ Guidance No.8 "Guidance on Accounting Standard for Presentation of Net Assets in the Balance Sheet")
		*2	Deferred tax assets are recognized on the balance sheet on a net basis after offsetting against deferred tax liabilities arising from net unrealized gains on other securities. But the collectability is assessed for the gross deferred tax assets, before offsetting against deferred tax liabilities. (JICPA Auditing Committee Report No.70 "Auditing Treatment Regarding Application of Tax Effect Accounting to Valuation Differences on Other Securities and Losses on Impairment of Fixed Assets")
		*3	The corporate income tax rate will be lowered and a special restoration surtax will be imposed from the fiscal year beginning on or after April 1, 2012. As a result, the effective income tax rate for calculation of SMBC's deferred tax assets and deferred tax liabilities, previously 40.63%, is now 37.94% for the temporary differences that are considered to be reversible during FY3/2013 to FY3/2015, and 35.57% for the temporary differences that are considered to be reversible after April 1, 2015 and thereafter.

(2) Reason for Recognition of Deferred Tax Assets

(a) Recognition Criteria

Practical Guideline, examples (4) proviso

(1)

SMBC has significant tax loss carryforwards resulting from taking the measures described below in order to quickly strengthen its financial base, and are accordingly judged to be attributable to extraordinary factors. As a result, with regard to temporary differences which are considered to be reversible, SMBC recognized deferred tax assets within the limits of the estimated future taxable income for the period (approximately 5 years) pursuant to the practical guidelines on assessing the collectability of deferred tax assets issued by the JICPA

("Practical Guidelines") (*1).

(a)

Disposal of Non-performing Loans

SMBC established internal standards for write-offs and provisions based on self-assessment in accordance with the "Prompt Corrective Action" adopted in FY3/1999 pursuant to the law concerning the maintenance of sound management of financial institutions (June 1996). SMBC has been aggressively disposing of non-performing loans and bolstering provisions against the risk of asset deterioration under the severe business environment of a prolonged sluggish economy.

In addition, pursuant to the government's "Program for Financial Revival" of October 2002, SMBC accelerated the disposal of non-performing loans in order to reduce the problem asset ratio to half by the end of FY3/2005. As a result, SMBC achieved this target 6 months ahead of schedule, in the first half of FY3/2005.

In these processes, the amount of taxable disposals of non-performing loans (*2) increased and accumulated. Afterwards, despite of the increased amount of the taxable disposal due to the credit cost, the realized amount of taxable disposals also increased steadily.

(b)

Disposal of Unrealized Losses on Stocks

SMBC has been accelerating its effort to reduce stockholdings in order to lower the risk of stock price fluctuations, and to comply, at an early date, with the regulation limiting stockholdings that was adopted in FY3/2002.

During FY3/2003, SMBC sold stocks and reduced the balance by approximately 1.1 trillion yen, and also disposed in lump sum unrealized losses on stocks of approximately 1.2 trillion yen by writing off impaired stocks and using the gains on the March 2003 merger. Consequently, SMBC complied with the regulation limiting stockholdings at the end of FY3/2003, before the deadline.

As a result, the outstanding balance of taxable write-offs of securities (*2) increased temporarily from approximately 0.1 trillion yen as of March 31, 1999 to approximately 1.5 trillion yen as of March 31, 2003. Afterwards, despite of the increased amount of the taxable disposal resulting from the reducing the balance of the stocks and securities, taxable write-offs of securities carried out in the past were realized through the sales of the securities stocks.

(2)

Consequently, tax loss carryforwards (*2) amounted to approximately 40 billion yen as of March 31, 2012. No tax loss carryforwards related to corporate taxes have expired in the past.

JICPA Auditing Committee Report No.66 "Auditing Treatment Regarding Judgment of Realizability of Deferred Tax Assets"

Corresponds to "Temporary differences" in the table on the previous page.

(b) Period for Future Taxable Income to be estimated

5 years

(Billions of yen)

Estimates of next 5 years

[Basic Policy]

Banking profit (before provision for

3,650.0

(1)

Estimate when the temporary differences will be reversed

general reserve for possible loan losses)

(2)

Conservatively estimate the taxable income before adjustments for

Income before income taxes

1,972.4

the next 5 years

(a)

Rationally make earnings projection for the next five years, based on internal management plans.

Adjustments to taxable income

189.0

(excluding reversal of temporary

(b)

Reduce the earnings projection by reasonable amount, reflecting the uncertainty of the projection.

differences as of Mar. 31, 2012)

Taxable income before adjustments

2,161.4

(c)

Add the necessary adjustments if any.

(A+B)

(3)

Calculate and record the amount of "deferred tax assets" by multiplying

effective tax rate and the taxable income before adjustments estimated

Deferred tax assets corresponding to

802.2

above.

taxable income before adjustments

(Reference) Income of final return before deducting operating loss carryforwards for the last 5 years

(Billions of yen)

FY3/2008

FY3/2009

FY3/2010

FY3/2011

FY3/2012

Income of final return

before deducting operating loss carryforwards

746.7

350.4

615.7

637.8

308.8

Notes

(Income of final return before deduction of operating loss carryforwards)

= (Taxable income before adjustments for each fiscal year) - (Temporary differences to be reversed for each fiscal year)

Since the final declaration for the corporate income tax is done by the end of June, the figures for FY3/2012 are estimated.

22. Earnings Forecast for FY3/2013

(1) Earnings

	Consolidated				(Billions of yen)
			FY3/2013 Forecast		FY3/2012
			1H FY3/2013		Result
	Ordinary profit		460.0	910.0	935.6
	Net income		250.0	480.0	518.5

	(Reference)
	SMBC non-consolidated				(Billions of yen)
			FY3/2013 Forecast		FY3/2012
			1H FY3/2013		Result
		Gross banking profit	730.0	1,470.0	1,532.5
		Expenses	(360.0)	(720.0)	(719.5)
	Banking profit (before provision for general reserve for possible loan losses)		370.0	750.0	813.0
	Ordinary profit		310.0	600.0	695.3
	Net income		200.0	380.0	478.0

	Total credit cost (*)		(30.0)	(100.0)	(58.6)
	*	(Provision for general reserve for possible loan losses) + (Credit costs) + (Gains on reversal of reserve for possible loan losses)
		+ (Recoveries of written-off claims)

(2) Dividends

					(Yen)
			FY3/2013 Forecast		FY3/2012
			Interim	Annual	Annual Result
	Dividend per share for common stock		50	100	100

	(Reference)				(Billions of yen)
	Total dividend		70.5	141.0	138.7

(Reference 1) FY3/2012 performance and FY3/2013 management policy

Management and financial objectives of medium-term management plan (FY3/2012-2014, announced May 2011)

Management objectives

Aim for top quality in strategic business areas
Establish a solid financial base and corporate infrastructure to meet the challenges of financial regulations and highly competitive environment

Financial objectives

To improve and seek a balance between financial soundness, profitability and growth

FY3/2012 summary: A good start for the first year of the medium-term management plan

Overview of FY3/2012 financial performance

SMBC non-consolidated

Gross banking profit - Increased overall in the Marketing Units led by International Banking Unit; high level of profit maintained in the Treasury Unit

Total credit cost - Decreased due to an improvement in asset quality and reversal of provisions

SMFG consolidated

Net income - Increased due to good performance of SMBC, despite negative impact of additional provisions for refund claims in Promise and Cedyna

[Table omitted ]

Progress of strategic initiatives

Development of international business

- Established 4 marketing offices in emerging markets, mainly in Asia, and increased overseas headcount

- Enhanced business promotion platform for Japanese corporations in Greater China Area

- Promoted transaction services business for Japanese corporations

- Agreed to acquire aircraft leasing business from RBS Group

- Diversified and enhanced foreign-currency funding sources

Synergies between SMBC and SMBC Nikko

- Established capability within SMBC Nikko for handling global offerings by Japanese corporations

- Developed the business and capital alliance with Moelis & Company for cross-border M&A and other advisory services

- Strengthened cooperation between SMBC and SMBC Nikko in securities intermediary business

Credit card / consumer finance business

- Fully prepared for refund claims and increased SMFG's stakes in Promise and Cedyna to 100% to strengthen group's earnings base

"3Cs" Management principles

Team SMFG, Team SMBC

Cross Selling
Credit Control
Cost Control

Progress towards financial targets in the medium-term management plan

[Table omitted ]

Basic policy for FY3/2013: Move forward steadily towards the targets of the medium-term management plan, capturing opportunities with proactive ideas and actions

"Development of international business" and "synergies between SMBC and SMBC Nikko" continue to be our growth drivers, while focusing on the "3Cs"

Strengthen initiatives in strategic business areas

Financial consulting for retail customers

Expand product line-up in securities intermediary business, reinforce insurance business at SMBC
Grow marketing function for business owners by leveraging financial consultants assigned to corporate business offices
Promote collaboration between SMBC and Promise

Tailor-made solutions for corporate clients

Strengthen responsiveness to customers by reorganizing marketing framework and optimizing staff allocation
Effectively accommodate diversified and sophisticated financing needs of clients from the planning stage

Commercial banking in emerging markets, especially Asia

Promote collaboration between domestic and overseas offices and between business units to further support clients
Reinforce growing businesses including infrastructure finance and trade finance
Secure stable foreign-currency funding sources to accommodate an increase of overseas assets

Broker-dealer/ Investment banking

Promote collaboration between SMBC and SMBC Nikko in areas including investment banking and sales of investment products
Strengthen cross-border M&A and other advisory services by leveraging alliance with Moelis & Company

Non-asset businesses (payment & settlement services and asset management)

Strengthen planning and marketing functions of transaction services business by establishing
Transaction Business Planning Department and Transaction Business Division
Promote collaboration between overseas alliance partners and our group companies in asset management business

Establish a solid financial base and corporate infrastructure

Extend best practice in management throughout the SMFG group

Diversify and enhance business portfolio, promote collaboration among group companies, and reinforce internal management system

Develop corporate infrastructure to support growing international network

Reinforce corporate infrastructure for sustainable growth including profitability management, risk management, and human resource development

Maximize operational efficiency

Pursue operational efficiency by, for example, reinforcing front-line sections and streamlining headquarters

(Reference 2) Exposure to Securitized Products

1. Securitized Products

	Consolidated											(Billions of yen)
				March 31, 2012						March 31, 2011
				Balances (after provisions and write-offs)	Change from Mar. 2011	Overseas	Change from Mar. 2011	Net unrealized gains/losses (after write-offs)	Change from Mar. 2011	Balances (after provisions and write-offs)	Overseas	Net unrealized gains/losses (after write-offs)
		Cards		49.4	46.8	49.4	46.8	0.2	0.3	2.6	2.6	(0.1)
		CLO		0.7	(0.8)	0.7	(0.8)	1.5	0.3	1.5	1.5	1.2
		CMBS		19.4	6.7	7.4	7.4	0.6	0.5	12.7	-	0.1
		RMBS, etc.		0.1	(0.0)	0.1	(0.0)	0.1	(0.2)	0.1	0.1	0.3
		Total		69.6	52.7	57.6	53.4	2.4	0.9	16.9	4.2	1.5

	Notes		1. Balance of sub-prime related products is approx. 0.1 billion yen.
			2. There is no amount of ABCP.
			3. Excludes RMBS issued by GSE and Japan Housing Finance Agency, and SMBC's exposure to subordinated beneficiaries owned through
			the securitization of SMBC's loan receivables, etc.
			4. No loss was recorded on securitized products in FY3/2012.

2. Transactions with Monoline Insurance Companies

(1) Credit derivatives (Credit Default Swap ["CDS"]) transactions with monoline insurance companies

Consolidated

(Billions of yen)

March 31, 2012

March 31, 2011

March 31, 2012

March 31, 2011

Net exposure

Change

from

Mar. 2011

Reserve for possible loan losses

Net exposure

Reserve for possible loan losses

Amount of reference assets

Change

from

Mar. 2011

Amount of reference assets

Exposure to CDS transactions with monoline insurance companies

3.0

0.1

1.0

2.9

0.8

236.1

(85.2)

321.3

Notes

1. Reference assets do not include subprime-related assets.

2. SMFG recorded loss on those transactions of approx. 0.2 billion yen in FY3/2012.

(2) Loans and investments guaranteed by monoline insurance companies etc.

Consolidated

(Billions of yen)

March 31, 2012

March 31, 2011

Exposure

Change

from

Mar. 2011

Reserve for possible loan losses

Exposure

Reserve for possible loan losses

Loans and investments guaranteed or insured by monoline insurance companies

7.6

(1.8)

0.0

9.4

0.0

Note Underlying assets do not include subprime-related assets.

3. Leveraged Loans

	Consolidated									(Billions of yen)
				March 31, 2012					March 31, 2011
				Loans	Change from Mar. 2011	Undrawn commitments	Change from Mar. 2011	Reserve for possible loan losses	Loans	Undrawn commitments	Reserve for possible loan losses
		Europe		151.2	(45.7)	20.7	(2.7)	4.7	196.9	23.4	7.5
		Japan		131.0	(52.5)	22.3	6.8	1.3	183.5	15.5	12.7
		United States		75.6	(1.6)	51.1	(15.0)	5.0	77.2	66.1	11.0
		Asia (excluding Japan)		62.0	(3.4)	5.7	(2.0)	-	65.4	7.7	1.0
	Total			419.8	(103.2)	99.8	(12.9)	11.0	523.0	112.7	32.2

	Notes		1. Above figures include the amount to be sold of approx. 8 billion yen.
			In FY3/2012, we sold leveraged loans of approx. 34 billion yen, and loss on the sale amounted to approx. 13 billion yen.
			2. Above figures do not include leveraged loans which are included in underlying assets of "1. Securitized Products" shown on page 21.
			3. Reserves for possible loan losses do not include general reserve for possible loan losses against normal borrowers.

4. Asset Backed Commercial Paper (ABCP) Programs as Sponsor

We sponsor issuance of ABCP, whose reference assets are such as clients' receivables, in order to fulfill clients' financing needs. Most of the reference assets are high-grade claims of corporate clients and do not include sub-prime loan related assets.

Consolidated

(Billions of yen)

March 31, 2012

March 31, 2011

Notional amount

Change from

Mar. 2011

Overseas

Change from

Mar. 2011

Notional amount

Overseas

Reference assets related to

Asset Backed Commercial

Paper (ABCP) Programs

as Sponsor

599.9

126.7

230.9

36.2

473.2

194.7

(Reference) In addition, we provide liquidity supports for ABCP programs which are sponsored by other banks.

Total notional amount of reference assets of such programs are approx. 46 billion yen.

5. Others

We have no securities issued by Structured Investment Vehicles.

(Reference 3) Financial Statements of SMBC
	1. Condensed Balance Sheet
		SMBC non-consolidated						(Millions of yen)
						March 31, 2012 (A)	March 31, 2011 (B)	Change (A-B)

			Assets
			Cash and due from banks			6,618,725	8,102,186	(1,483,461)
			Call loans			526,068	261,540	264,528
			Receivables under resale agreements			203,768	96,665	107,103
			Receivables under securities borrowing transactions			726,677	402,928	323,749
			Bills bought			21,171	26,580	(5,409)
			Monetary claims bought			626,146	509,773	116,373
			Trading assets			3,777,835	3,623,461	154,374
			Money held in trust			7,253	10,316	(3,063)
			Securities			42,441,134	39,853,432	2,587,702
			Loans and bills discounted			56,411,492	55,237,613	1,173,879
			Foreign exchanges			1,024,074	1,000,964	23,110
			Other assets			1,981,695	1,994,996	(13,301)
			Tangible fixed assets			730,939	717,568	13,371
			Intangible fixed assets			154,892	142,321	12,571
			Deferred tax assets			185,428	376,899	(191,471)
			Customers' liabilities for acceptances and guarantees			4,299,577	3,852,949	446,628
			Reserve for possible loan losses			(689,215)	(711,522)	22,307
			Reserve for possible losses on investments			(10,195)	(13,769)	3,574
			Total assets			119,037,469	115,484,907	3,552,562
			Liabilities
			Deposits			75,804,088	74,036,469	1,767,619
			Negotiable certificates of deposit			8,588,746	8,406,816	181,930
			Call money			1,877,900	2,272,758	(394,858)
			Payables under repurchase agreements			562,867	503,315	59,552
			Payables under securities lending transactions			4,539,644	4,760,920	(221,276)
			Commercial paper			1,193,249	337,120	856,129
			Trading liabilities			3,503,085	3,015,835	487,250
			Borrowed money			5,181,294	5,952,326	(771,032)
			Foreign exchanges			341,400	272,253	69,147
			Short-term bonds			19,999	40,999	(21,000)
			Bonds			4,215,610	3,670,355	545,255
			Due to trust account			443,723	216,171	227,552
			Other liabilities			2,693,465	2,521,061	172,404
			Reserve for employee bonuses			10,798	10,019	779
			Reserve for executive bonuses			609	692	(83)
			Reserve for point service program			2,503	1,586	917
			Reserve for reimbursement of deposits			9,854	8,872	982
			Deferred tax liabilities for land revaluation			39,385	45,091	(5,706)
			Acceptances and guarantees			4,299,577	3,852,949	446,628
			Total liabilities			113,327,806	109,925,614	3,402,192
			Net assets
			Capital stock			1,770,996	1,770,996	-
			Capital surplus			2,481,273	2,481,273	-
				Capital reserve		1,771,043	1,771,043	-
				Other capital surplus		710,229	710,229	-
			Retained earnings			1,255,108	935,992	319,116
				Other retained earnings		1,255,108	935,992	319,116
					Voluntary reserve for retirement allowances	1,656	1,656	-
					Voluntary reserve	219,845	219,845	-
					Retained earnings brought forward	1,033,606	714,490	319,116
			Treasury stock			(210,003)	-	(210,003)
			Total stockholders' equity			5,297,375	5,188,262	109,113

			Net unrealized gains (losses) on other securities			281,109	229,885	51,224
			Net deferred gains (losses) on hedges			105,391	121,109	(15,718)
			Land revaluation excess			25,786	20,035	5,751
			Total valuation and translation adjustments			412,288	371,030	41,258
			Total net assets			5,709,663	5,559,293	150,370
			Total liabilities and net assets			119,037,469	115,484,907	3,552,562
			Note		Amounts less than 1 million yen are rounded down. Figures in parenthesis indicate the amount of loss or decrease.

2. Condensed Income Statement

	SMBC non-consolidated						(Millions of yen)
					FY3/2012 (A)	FY3/2011 (B)	Change (A-B)

		Ordinary income			2,018,585	2,108,724	(90,139)
			Interest income		1,239,535	1,259,403	(19,868)
				Interest on loans and discounts	937,403	957,181	(19,778)
				Interest and dividends on securities	226,631	240,380	(13,749)
			Trust fees		1,736	2,299	(563)
			Fees and commissions		453,877	439,770	14,107
			Trading income		84,051	151,070	(67,019)
			Other operating income		193,341	218,075	(24,734)
			Other income		46,043	38,105	7,938
		Ordinary expenses			1,323,243	1,513,020	(189,777)
			Interest expenses		282,668	291,595	(8,927)
				Interest on deposits	68,335	78,517	(10,182)
			Fees and commissions payments		134,989	137,103	(2,114)
			Trading losses		-	-	-
			Other operating expenses		22,384	110,177	(87,793)
			General and administrative expenses		752,436	738,447	13,989
			Other expenses		130,763	235,696	(104,933)
		Ordinary profit			695,342	595,704	99,638
		Extraordinary gains			2,456	1,863	593
		Extraordinary losses			5,806	8,728	(2,922)
		Income before income taxes			691,992	588,839	103,153
		Income taxes - current			44,703	42,386	2,317
		Income taxes - deferred			169,315	125,273	44,042
		Total income taxes			214,018	167,659	46,359
		Net income			477,973	421,180	56,793
	Note			Amounts less than 1 million yen are rounded down. Figures in parenthesis indicate the amount of loss or decrease.

3. Statement of Changes in Net Assets

	SMBC non-consolidated

	Year ended March 31, 2012(Millions of yen)
					Capital surplus		Retained earnings
				Capital stock	Capital reserve	Other capital surplus	Other retained earnings			Treasury stock	Total stockholders' equity
							Voluntary reserve for retirement allowances	Voluntary reserve	Retained earnings brought forward
		Balance at the beginning of the period		1,770,996	1,771,043	710,229	1,656	219,845	714,490	-	5,188,262
		Changes in the period
			Cash dividends						(158,645)		(158,645)
			Net income						477,973		477,973
			Purchase of treasury stock							(210,003)	(210,003)
			Transfer from land revaluation excess						(212)		(212)
			Net changes in the items other than stockholders' equity in the period
		Net changes in the period		-	-	-	-	-	319,115	(210,003)	109,112
		Balance at the end of the period		1,770,996	1,771,043	710,229	1,656	219,845	1,033,606	(210,003)	5,297,375

(Millions of yen)
			Valuation and translation adjustments
			Net unrealized gains on other securities	Net deferred gains (losses) on hedges	Land revaluation excess	Total valuation and translation adjustments	Total net assets
	Balance at the beginning of the period		229,885	121,109	20,035	371,030	5,559,293
	Changes in the period
		Cash dividends					(158,645)
		Net income					477,973
		Purchase of treasury stock					(210,003)
		Transfer from land revaluation excess					(212)
		Net changes in the items other than stockholders' equity in the period	51,223	(15,717)	5,751	41,257	41,257
	Net changes in the period		51,223	(15,717)	5,751	41,257	150,370
	Balance at the end of the period		281,109	105,391	25,786	412,288	5,709,663
	Note Amounts less than 1 million yen are rounded down. Figures in parenthesis indicate the amount of loss or decrease.

SMBC non-consolidated

Year ended March 31, 2011
		(Millions of yen)
				Capital surplus		Retained earnings
			Capital stock	Capital reserve	Other capital surplus	Other retained earnings				Total stockholders' equity
						Reserve for losses on overseas investments	Voluntary reserve for retirement allowances	Voluntary reserve	Retained earnings brought forward
	Balance at the beginning of the period		1,770,996	1,771,043	702,514	0	1,656	219,845	482,983	4,949,040
	Changes in the period
		Increase due to share exchange			7,715					7,715
		Transfer from reserve for losses on overseas investments				(0)			0	-
		Cash dividends							(191,173)	(191,173)
		Net income							421,180	421,180
		Transfer from land revaluation excess							1,500	1,500
		Net changes in the items other than stockholders' equity in the period
	Net changes in the period		-	-	7,715	(0)	-	-	231,506	239,222
	Balance at the end of the period		1,770,996	1,771,043	710,229	-	1,656	219,845	714,490	5,188,262

	(Millions of yen)
		Valuation and translation adjustments
		Net unrealized gains on other securities	Net deferred gains (losses) on hedges	Land revaluation excess	Total valuation and translation adjustments	Total net assets
Balance at the beginning of the period		379,353	48,020	21,535	448,909	5,397,949
Changes in the period
	Increase due to share exchange					7,715
	Transfer from reserve for losses on overseas investments					-
	Cash dividends					(191,173)
	Net income					421,180
	Transfer from land revaluation excess					1,500
	Net changes in the items other than stockholders' equity in the period	(149,467)	73,088	(1,500)	(77,878)	(77,878)
Net changes in the period		(149,467)	73,088	(1,500)	(77,878)	161,343
Balance at the end of the period		229,885	121,109	20,035	371,030	5,559,293
Note Amounts less than 1 million yen are rounded down. Figures in parenthesis indicate the amount of loss or decrease.

4. Market Value Information on Securities

SMBC Non-consolidated

[1] Securities
	In addition to "Securities" stated in the non-consolidated balance sheet, negotiable certificates of deposit classified as "Cash and due from banks" and beneficiary claims on loan trust classified as "Monetary claims bought" are included in the amounts below.

(1) Bonds classified as held-to-maturity
	(Millions of yen)
			Type	Mar. 31, 2012
				Balance sheet amount	Fair value	Net unrealized gains (losses)
	Bonds whose fair value is above the balance sheet amount		Japanese government bonds	4,787,498	4,849,443	61,944
			Japanese local government bonds	90,616	92,719	2,102
			Japanese corporate bonds	215,627	219,573	3,945
			Subtotal	5,093,743	5,161,736	67,993
	Bonds whose fair value is below the balance sheet amount		Japanese government bonds	70,020	69,930	(90)
			Japanese local government bonds	-	-	-
			Japanese corporate bonds	-	-	-
			Subtotal	70,020	69,930	(90)
	Total			5,163,764	5,231,666	67,902

(2）Investments in subsidiaries and affiliates
	(Millions of yen)
				Mar. 31, 2012
				Balance sheet amount	Fair value	Net unrealized gains (losses)
	Stocks of subsidiaries			61,661	50,402	(11,258)
	Stocks of affiliates			32,819	22,578	(10,240)
	Total			94,480	72,980	(21,499)
		Note Stocks of subsidiaries and affiliates whose fair value is extremely difficult to determine.

								(Millions of yen)
								Balance sheet amount
				Stocks of subsidiaries				2,099,169
				Stocks of affiliates				101,297
				Others				29,093
				Total				2,229,560
				These amounts are not included in "Investments of subsidiaries and affiliates" shown above since there are
				no market prices and it is extremely difficult to determine their fair values.

(3) Other securities
	(Millions of yen)
		Type		Mar. 31, 2012
				Balance sheet amount	Acquisition cost	Net unrealized gains (losses)
	Securities whose balance sheet amount is above the acquisition cost	Stocks		1,123,341	656,469	466,871
		Bonds		23,311,642	23,202,137	109,504
			Japanese government bonds	20,984,459	20,925,435	59,023
			Japanese local government bonds	136,885	136,001	883
			Japanese corporate bonds	2,190,297	2,140,700	49,597
		Others		4,501,070	4,404,873	96,196
		Subtotal		28,936,053	28,263,480	672,572
	Securities whose balance sheet amount is below the acquisition cost	Stocks		922,246	1,160,665	(238,418)
		Bonds		2,995,029	3,000,178	(5,148)
			Japanese government bonds	2,630,960	2,631,507	(546)
			Japanese local government bonds	1,672	1,679	(7)
			Japanese corporate bonds	362,396	366,991	(4,594)
		Others		2,060,646	2,100,671	(40,024)
		Subtotal		5,977,923	6,261,514	(283,590)
	Total			34,913,977	34,524,995	388,982

Note	1. Net unrealized gains (losses) on Other securities shown above include gains of 196 million yen that are
	recognized in the statement of income by applying fair value hedge accounting.
	2. Securities whose fair value is extremely difficult to determine.
		(Millions of yen)
		Balance sheet amount
	Stocks	205,083
	Others	321,917
	Total	527,001
	These amounts are not included in "Other securities" shown above since there are no market prices and it is
	extremely difficult to determine their fair values.

(4) Write-down of securities

	Other securities with fair value are considered as impaired if the fair value decreases materially below the acquisition cost, and such decline is not considered recoverable. The fair value is recognized as the balance sheet amount and the amount of write-down is accounted for as valuation loss for this period. Valuation loss for this period is 23,468 million yen. The rule for determining "material decline" is as follows and is based on the classification of issuers under the rules of self-assessment of assets.

	Bankrupt/Effectively bankrupt/Potentially bankrupt issuers	Fair value is lower than acquisition cost.
	Issuers requiring caution	Fair value is 30% or more lower than acquisition cost.
	Normal issuers	Fair value is 50% or more lower than acquisition cost.

	Bankrupt issuers: Issuers that are legally bankrupt or formally declared bankrupt
	Effectively bankrupt issuers: Issuers that are not legally bankrupt but regarded as substantially bankrupt
	Potentially bankrupt issuers: Issuers that are not currently bankrupt but perceived to have a high risk of falling into bankruptcy
	Issuers requiring caution: Issuers that are identified for close monitoring
	Normal issuers: Issuers other than the above four categories of issuers

[2] Money held in trust

Other money held in trust (Other than classified as trading or held-to-maturity purpose)

(Millions of yen)

March 31, 2012

Balance sheet amount

Acquisition cost

Net unrealized gains (losses)

of which

whose balance

sheet amount

is above the

acquisition cost

of which

whose balance

sheet amount

is below the

acquisition cost

Other money held in trust

5,805

5,852

(46)

5. Statements of Trust Assets and Liabilities

SMBC non-consolidated			(Millions of yen)
	March 31,	March 31,	Change
	2012 (A)	2012 (B)	(A-B)
Loans and bills discounted	235,829	237,383	(1,554)
Securities	424,478	444,664	(20,186)
Beneficiary claims	9,991	-	9,991
Securities held in custody accounts	-	3,046	(3,046)
Monetary claims	621,656	548,973	72,683
Tangible fixed assets	7	22	(15)
Intangible fixed assets	-	7	(7)
Other claims	1,529	2,474	(945)
Call loans	100,732	79,427	21,305
Due from banking account	443,723	216,171	227,552
Cash and due from banks	53,904	43,638	10,266
Others	0	284	(284)
Total Assets	1,891,853	1,576,094	315,759
Designated money trusts	821,292	615,685	205,607
Specified money trusts	228,033	176,511	51,522
Money in trusts other than money trusts	220,605	220,007	598
Security trusts	-	3,221	(3,221)
Monetary claims trusts	617,858	554,703	63,155
Equipment trusts	24	45	(21)
Composite trusts	4,039	5,919	(1,880)
Total liabilities	1,891,853	1,576,094	315,759

Notes				1. Amounts less than 1 million yen are rounded down.
				2. SMBC has no co-operative trusts under other trust bank's administration.
				3. SMBC does not handle any trusts with principal indemnification.
				4. Balance of self-declaration of trust, which is not included in the table above, was 85,721 million yen on March 31, 2012 and 57,547 million yen on March 31, 2011.

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http://www.smfg.co.jp/english/investor/financial/latest_statement.html

Category Code: FR

Sequence Number: 326810

Time of Receipt (offset from UTC): 20120515T104916+0100

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