Press Conference by Ikko Nakatsuka, Minister for Financial Services

(Excerpt)

(Tuesday, November 20, 2012, from 10:40 a.m. to 10:50 a.m.)

[Questions & Answers]

Q.

Yesterday, three major non-life insurance companies announced their financial results. In the first half, MS&AD Insurance Group and NKSJ Holdings slipped into the red. How do you view the business environment for non-life insurance companies?

A.

During the past several years, natural disasters have occurred frequently. That has apparently affected their business.

As for individual companies' financial results, I hope that they will conduct business based on appropriate risk management.

Q.

Today, the Osaka Securities Exchange and the Tokyo Stock Exchange are holding extraordinary shareholders' meetings in preparation for their business integration. Their business integration plan is expected to be approved. Could you comment on that?

A.

The intensive discussions and efforts that have been made by relevant parties toward the planned merger early next year are bearing fruit today.

Under the government's Comprehensive Strategy for the Rebirth of Japan, we hope that they will do their part as an Asian financial center and we also expect that they will play the central role as a comprehensive exchange.

As President Saito has said he will try to ensure that the merger will be greater than the sum of its parts, I have great expectations for it.

(End)