Higher capital quality than its major domestic peers Adequate risk management system Potential support from government if necessary Profitability below average of major financial groups Risk of rise in credit costs due to economic downturn Impairment of marketable securities due to sluggish share prices Appraisal and impairment losses given the deteriorating domestic equity market and overseas asset-backed securities (ABS) market The ratings on Bank of Tokyo-Mitsubishi UFJ Ltd. (BTMU; A+/Stable/A-1) reflect its sound financial profile on a consolidated basis in addition to the consolidated financial profile and market position of its parent, Mitsubishi UFJ Financial Group Inc. (MUFG; A/Stable/--), Japan's largest banking group. The ratings are attributed to BTMU's close business links with affiliated group companies and MUFG's control of
