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Our Operating Area

The Industry of Prefecture

In , the economy possesses various strengths that are embedded in Kyoto’s unique added-value industrial structure, including high-tech industries developed by adding a new wisdom to the excellent techniques of traditional industries, as well as the tourism industry and the traditional industries built upon the city’s 1,200 years of history and culture.

Top Nationally Ranked Product Categories of Kyoto Prefecture by Value of Shipments Sector Product category Value of shipments Pollution measuring instruments 10.5 billion yen (30%) Spectral photometers 11.5 billion yen (44%) High-tech and research tools Material testing machines 12.0 billion yen (38%) Medical X-ray equipment 21.9 billion yen (15%) Ready-made kimono, obi 7.2 billion yen (39%) Traditional crafts Chirimen textile 3.1 billion yen (79%) (Source) Food and beverages 62.6 billion yen (14%) METI: FY2017 industry statistics (domestic market share in %)

Operating Area and Population within the Area — Aiming to be a comprehensive and convenient regional

Our Network — The populations within areas in our operating area and their prefectural rankings (As of October 1, 2017) —

Aichi Prefecture: 2 Kyoto Prefecture: 111 2.6 million people, 13th Overseas: 4 Representative Offices : 14 Hyogo Prefecture: 8 1.4 million people, 26th Prefecture: 1 5.5 million people, 7th

Osaka Prefecture: 31 8.8 million people, 3rd Number of Branches Prefecture: 7 in Our Operating Area 1.3 million people, 30th (As of March 31) Kyoto Shiga Nara Hyogo Other Total population within our operating area: 19.7 million people 200 Percentage of total population of : approximately 16% 168 169 172 174 174 150

Establishment of the Kigyo Support Office and the Kyoto Keizai Center Sub-branch 100 The Kyoto Keizai Center is a new hub for the economy of Kyoto. We have established a Kigyo Support Office and Head Office Business Department Kyoto Keizai Center Sub-branch here to support small and medium-sized companies. “Kigyo” means “start-up” and “company” in Japanese, so the Kigyo Support 50 Office coordinates and cooperates with various organizations and supporting institutions to assist start-ups and the growth of companies. It serves as a support hub for budding entrepreneurs and business owners, and offers various consultation Third Floor, Kyoto Keizai Center and one-stop solutions for management issues. 0 2015 2016 2017 2018 2019

6 The , Ltd. Annual Report 2019 Support for Overseas Operations

The Bank makes use of its overseas network to support customers who are engaged in conducting business operations globally.

Creation of an Overseas Network

Overseas Network Dalian Representative Office Industrial and Commercial Bank of China Limited Bank of China (Formed a partnership in August 2005) KYOTO CHINA International Division Representative Office

State Bank of India Hong Kong Representative Office CTBC Financial Holding Co., Ltd. (Formed a partnership in February 2013) (Formed a partnership in September 2013)

The Bank of East Asia, Limited INDIA (Formed a partnership in March 2016) THAILAND Bangkok Representative Office THE

Kasikorn Bank Metropolitan Bank and Trust Company (Formed a partnership in December 2005) VIETNAM (Formed a partnership in July 2013)

Joint Stock Commercial Bank for Investment and Development of Vietnam (Formed a partnership in August 2015) Vietnam Export Import Commercial Joint Stock Bank (Formed a partnership in August 2014)

.... The Bank of Kyoto Representative Office and Head Office

.... Partnerships with Overseas INDONESIA

Bank Negara Indonesia (Formed a partnership in April 2012) MEXICO

Banco Nacional de México, S.A., integrante del Grupo Financiero Banamex (Formed a partnership in September 2016)

Fiscal 2018 Loans to Overseas Subsidiaries of Japanese Companies Stand-by L/Cs Total of 22 L/Cs executed Cross-Border Loans Total of 35 loans executed For China RMB denominated 16 L/Cs For Taiwan JPY denominated 3 loans For China USD denominated 2 L/Cs For China JPY denominated 2 loans For China JPY denominated 1 L/C For Thailand THB denominated 16 loans For Taiwan USD denominated 1 L/C For Hong Kong USD denominated 5 loans For Thailand THB denominated 1 L/C For Vietnam JPY denominated 2 loans For U.S. USD denominated 1 L/C For Vietnam USD denominated 1 loan For Singapore JPY denominated 1 loan For Singapore USD denominated 1 loan For Malaysia JPY denominated 1 loan For U.S. USD denominated 3 loans

The Bank of Kyoto, Ltd. Annual Report 2019 7