Reborn Tokyo Golden Age.

Chapter 220 What's After the Bank

In the cold and windy Akita Airport, Shirakawa Kaede and Hasegawa and their group are patiently waiting for visitors from Tokyo in the pick-up hall.

He raised his wrist and looked, it should be around 10:30.It is still very convenient to fly from Tokyo to Akita for more than an hour.

Sure enough, 5 minutes later, in the passenger passageway, Yu Arai in a windbreaker appeared in sight.

"Arai-san, I'm really sorry to interrupt your vacation."

Just after the New Year, Bai Chuanfeng was also a little embarrassed to bring Yu Arai, who was still on vacation, to Akita.

After all, he was in his early sixties, and it was still in Akita, where the climate was cold.

So today Bai Chuanfeng came to Akita Airport specially to pick him up.

Arai Yu waved his hand openly, "President Bai Chuanfeng is too polite, it doesn't matter if you move an old bone.

By the way, let's see who else is here today? After speaking, Arai Yu, who was wearing a windbreaker, moved away and gestured behind him.

"teacher?!"

Behind Yu Arai, Professor Yamada, also in a black windbreaker, was looking here with a smile.

Surprised, Bai Chuanfeng quickly stepped forward to salute, "Teacher, why are you here?"

"I haven't been to the north for decades, so I just came to take a look during my vacation."

Before Yamada finished speaking, Bai Chuanfeng took the luggage in his hand.

Seeing his disciple being so considerate, Professor Yamada smiled and shook his head.

"Since the teacher wants to see the scenery in the north, Bai Chuan will definitely accompany you around here later."

Of course, Bai Chuanfeng didn't believe that his teacher was just looking at the scenery, but there were some things that he didn't need to explain too clearly.

"Alright, let's go back to the hotel first.

The weather in the north is astonishing. In addition, it is time to take a good look at the materials you prepared for us, President Shirakawa. "

Arai Yu knew exactly what his old friend was thinking.

The scenery of the northern country may not be as attractive as these materials.

Sure enough, Professor Yamada nodded upon hearing Arai's words. "It's better to go and look at the information first, so that guy Arai doesn't miss anything."

Arai Yu stretched out his finger and nodded his old friend, who laughed.

Since the seniors all made unanimous demands, Bai Chuanfeng had nothing to hesitate, and took them directly to the hotel in the city center to stay.

Akita Airport is about 10 kilometers away from the city center, and it takes [-] minutes to drive there.

...

In the hotel, Shirakawa Kaede, Arai Yu, and Professor Yamada were sitting together studying the information of Ugo Bank.

"Ugo Bank has a total of 18 branches. They are mainly distributed in the five counties of Akita, Aomori, Iwate, Miyagi, and Yamagata."

Yu Arai raised his head, "It is indeed an out-and-out local bank, and its influence is basically concentrated in the Northeast."

"The main business scope is deposit business, loan business, investment business, and agricultural insurance business." Professor Yamada further added.

"The bank's total assets are close to 3000 billion yen, but its net assets are only about 450 billion.

The business situation is not optimistic. " Arai Yu shook his head.

The so-called total assets of 3000 billion may sound like a lot, but the biggest difference between total assets and net assets is that the total assets do not exclude the bank's liabilities.

Net assets = total assets - total liabilities.

In other words, 3000 billion-450=2550 billion yen.The 2550 billion yen is the debt of Ugo Bank.

The market value of the bank's total assets minus liabilities, the remaining 450 billion is the shareholder's equity.

"It's not bad to have 450 billion. It's better than debts exceeding assets. That's the trouble."

Professor Yamada's financial impression of Yugo Bank is not too bad.

At least there is net worth, which means that it has not reached the point of bankruptcy.

Sure enough, the ones who took the initiative to come to the door were not sweet pastries.

Yu Arai and Professor Yamada looked at each other at the same time, and then laughed at the same time.

"Then let's take a look at what the total assets of Yuhou Bank include."

Yu Arai distributed some of the information in his hands to Professor Yamada, and the two began to bury themselves in the inventory of Yuhou's main assets.

For investors, total assets and net assets are two important indicators to examine the operation of a company.

Among them, the specific items included in the total assets are also the key factors affecting whether to invest or not.

Regarding these, especially the banking industry, to be honest, Bai Chuanfeng himself is not sure.

So this requires two seniors who have been immersed in this way for many years to check it out.

"Huh?" Arai Yu, who was reading the information, suddenly let out a light sigh.

"How about it, Arai-san." Bai Chuanfeng looked at him nervously, and he himself attached great importance to this investment.

Arai Yu took off his glasses and said in surprise, "In addition to working capital and fixed assets, the total assets also include a considerable part of long-term investment and real estate resources.

Such an asset structure should be very healthy. Why is Yuhou Bank encountering a business crisis today? "

This is where Arai Yu is very confused, judging from his experience.

As long as it keeps going, Yugo Bank's future prospects will not be too bad, at least it should not be a problem to maintain stable growth.

"If I'm not mistaken, it must be because of the heavy snow in the northeast."

At this time, Professor Yamada, who had read the materials in his hand, raised his head and asked.

"Ueda Ueda of Ugo Bank did say that because of the risk of a shortage of capital chain at Daxue Club."

Bai Chuanfeng remembered the explanation given by that Ueda-san when he met Kikuji Sasaki last time.

"Then it makes sense." Professor Yamada handed the mid-week materials to Yu Arai.

"The non-performing assets of Yuhou Bank are mainly concentrated in the loan business and insurance business.

Because of the heavy snowfall, some farmers were unable to repay their loans, and insurance compensation for agricultural losses was also a large expense.

If you encounter a shortage of capital chain, there will indeed be operational risks. "

Although Yuhou Bank has a positive net asset value, the net assets do not represent cash.

It may also be a fixed asset, or a long-term investment with stable income.

"Then..." Bai Chuanfeng put his eyes on the two seniors, "Is Yuhou Bank worth it?"

Arai Hiroshi and Professor Yamada looked at each other, and then their eyes became extremely serious, "At all costs!"

"Eh?" Bai Chuanfeng was confused by their serious expressions.

Although he also attached great importance to this investment, Bai Chuanfeng was surprised by their expression of "absolutely not to be missed".

"Shirakawa" Professor Yamada got up and went to the window, looked at the snow on the streets of Akita, pondered for a while before speaking again.

"Remember what I said in class about the history of the Japanese banking industry?"

Bai Chuanfeng stared at his teacher's back, and nodded subconsciously when he heard his question, "I remember."

"Then what are the characteristics of the banking industry during the post-war recovery period?" Yamada continued to ask without looking back.

"Implement the main bank system, with banks leading the development of the financial system.

Banks provide financing for enterprises, hold a large number of shares in enterprises, and even access the operation and management of enterprises. "

For this part of the content, Bai Chuanfeng also studied hard.

"How long did this period last?"

"55 years ago was the recovery period, 73 years ago was the period of high-speed development, and 80 years ago was the period of economic stability."

"What about now?"

"Now..." Bai Chuanfeng paused, "With the collapse of the Bretton Woods system, the reform of the monetary system seems to be deduced in the direction of deregulation and liberalization."

During this period of time, Japan's mainstream economic media are discussing the possibility of financial market liberalization.

The Nihong government also seems to have a tendency to relax the regulation of the financial industry, so Bai Chuanfeng answered in this way.

"Financial liberalization?" Professor Yamada asked back.

"Presumably the government no longer imposes strict regulations on financial institutions, and banks no longer pursue large stakes in companies?"

Bai Chuanfeng answered tentatively.

"No!" Professor Yamada turned his head and interrupted Bai Chuanfeng's imagination.

"Remember, Bai Chuan, the government will never loosen the regulation on financial institutions.

And if the bank has the opportunity, it will not give up its large shareholding in the enterprise.

The so-called financial market liberalization, the gradual separation and flexibility of banks and enterprises.

These arguments are nothing more than compromises made by capital under international pressure.

As for the contents of the book..." Professor Yamada waved his hand, "Just read it. "

Bai Chuanfeng looked at his teacher in a daze. This was the first time he denied his teaching content in front of his face.

"The relationship between banks and companies, from the post-war recovery period... no, from the Meiji Restoration. Banks have never given up seeking control of companies.

In Neon, the importance of banks to the development of enterprises is self-evident.

If banks can form shareholdings in a large number of companies through cross-shareholdings or other means.

Then..." Professor Yamada stared straight at Bai Chuanfeng with a strange light in his eyes.

Bai Chuanfeng shuddered directly, he thought of those two words, chaebol!

"Okay, it's too early to say these things." Arai Yu came out to smooth things over.

Alas, the old friend is still a little too impatient.

When Bai Chuanfeng recovered his senses and looked at his teacher, the latter was already sitting on the sofa beside him, drinking tea slowly.

The generous statement just now was like a dream.

"President Shirakawa, my opinion about Ugo Bank remains unchanged."

Arai Yu put away the information on the table, his face was equally solemn, "At all costs!"

The old friend was impatient, and I was equally impatient.

After all, this is a once-in-a-lifetime opportunity. Whether you can embark on an unimagined path may depend on this encounter.

After all, it is a bank, and this license alone is extremely rare.

The establishment of a financial institution in Japan requires a separate application to the Ministry of Finance.

And the bank needs the direct approval of the chief minister of the cabinet, so the difficulty can be imagined.

So even for that license, you must go all out.

In addition, due to strict supervision, the banking industry cannot be compatible with the trust industry and the securities industry.

However, for some banks with sufficient scale and qualifications, they can set up subsidiaries to operate independently.

Ugo Bank, Yu Arai has already checked.Although there is no such business now, the qualifications are sufficient.

Then in the future... Arai Yu cast his eyes on Bai Chuanfeng on the sofa.

The latter's eyes are flickering, and he doesn't know what he is thinking.

(End of this chapter)