Mitsubishi UFJ Revises View, Sees $2.6B Loss

Japan's biggest bank said Friday it now expects a fiscal-year loss of 260 billion yen ($2.62 billion), a reversal from its previous forecast of a profit of 50 billion yen.
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Japan's biggest bank

Mitsubishi UFJ Financial

(MTU)

said it now expects a fiscal-year loss of 260 billion yen ($2.62 billion), a reversal from its previous forecast of a profit of 50 billion yen.

In a statement Friday, the bank said the expected loss for the year ended March 31, was mainly because of impairment losses on marketable equity securities, caused by a collapse in stock prices.

"These decreases were mainly due to an increase in net losses onequity securities caused by further decline in market share prices, and a recording of valuation allowanceagainst deferred tax assets as a result of re-assessing collectability of its deferred tax assets," Mitsubishi UFJ said.