Sumitomo Mitsui Banking Corp. announced Wednesday a sharp increase in loan-loss charges and large losses in its shareholdings, prompting it to revise its 2001 earnings forecast from a consolidated net profit of 180 billion yen to a 150 billion yen net loss.
The nation's second-largest lender said it plans to write off 1 trillion yen worth of bad loans this business year, more than double its original 400 billion yen forecast.
"This will ensure that we can cut credit costs for the following fiscal year," SMBC President Yoshifumi Nishikawa told a news conference. "We want to be ready for future risks."