BW20030725000010  20030725T094654Z UTC


( BW)(SUMITOMO-TRUST-&-BANKING)(SMB) 1st Quarter Results

    Business Editors
    UK REGULATORY NEWS

    TOKYO--(BUSINESS WIRE)--July 25, 2003--

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Company                   The Sumitomo Trust and Banking Co., Ltd.
Information               4-4, Marunouchi 1-chome, Chiyoda-ku, TOKYO, 100-8233 Japan
July 25, 2003
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                             Financial Information of 1st Quarter of Fiscal Year 2003 --

The Sumitomo Trust and Banking Company, Limited (hereinafter, "the
Bank") announces its financial information of 1st quarter of fiscal
year 2003 ended June 30, 2003. The information below is voluntarily
disclosed, based on -- "Front-Loaded Reform Program" announced by
Government Committee and "The Project for Structural Reform of the --
Securities Market" announced by FSA.
     Note: The financial information below is unaudited.

1.       Assets Classified under Financial Reconstruction Law (Non-consolidated) 

Banking Account
------------------------------------------ ------------------------------------------------------------------------------
                                                                          Billions of Yen
                                           ------------------------------------------------------------------------------
                                           -------------------------- ------------------------- -------------------------
                                                           Jun. 2003                 Mar. 2003                 Dec. 2002
------------------------------------------ -------------------------- ------------------------- -------------------------
------------------------------------------ -------------------------- ------------------------- -------------------------
Loans in Bankruptcy and    Practical                            21.4                      22.0                      50.2
Bankruptcy
Doubtful Loans                                                 156.8                     159.8                     219.5
Substandard Loans                                              154.0                     156.6                     171.5
------------------------------------------ -------------------------- ------------------------- -------------------------
------------------------------------------ -------------------------- ------------------------- -------------------------
Total                                                          332.1                     338.4                     441.2
------------------------------------------ -------------------------- ------------------------- -------------------------

Trust Account (Principal Guaranteed)
------------------------------------------ ------------------------------------------------------------------------------
                                                                          Billions of Yen
                                           ------------------------------------------------------------------------------
                                           -------------------------- ------------------------- -------------------------
                                                           Jun. 2003                 Mar. 2003                 Dec. 2002
------------------------------------------ -------------------------- ------------------------- -------------------------
------------------------------------------ -------------------------- ------------------------- -------------------------
Loans in Bankruptcy and    Practical                             6.6                       7.1                       9.8
Bankruptcy
Doubtful Loans                                                  14.6                      16.9                      26.0
Substandard Loans                                               38.3                      39.9                      69.0
------------------------------------------ -------------------------- ------------------------- -------------------------
------------------------------------------ -------------------------- ------------------------- -------------------------
Total                                                           59.5                      63.8                     104.7
------------------------------------------ -------------------------- ------------------------- -------------------------

Banking and Trust Account
------------------------------------------ ------------------------------------------------------------------------------
                                                                          Billions of Yen
                                           ------------------------------------------------------------------------------
                                           -------------------------- ------------------------- -------------------------
                                                           Jun. 2003                 Mar. 2003                 Dec. 2002
------------------------------------------ -------------------------- ------------------------- -------------------------
------------------------------------------ -------------------------- ------------------------- -------------------------
Loans in Bankruptcy and Practical                               28.0                      29.0                      60.0
Bankruptcy
Doubtful Loans                                                 171.3                     176.7                     245.4
Substandard Loans                                              192.2                     196.5                     240.5
------------------------------------------ -------------------------- ------------------------- -------------------------
------------------------------------------ -------------------------- ------------------------- -------------------------
Total                                                          391.6                     402.2                     545.9
------------------------------------------ -------------------------- ------------------------- -------------------------
Note:
1.       Loans in Bankruptcy and practical Bankruptcy, Doubtful Loans
(a)          As for these categories for June 2003, the Bank
             reclassified the debtors who exhibited significant
             financial deterioration during the 1st quarter such as
             failed repayment, negative networth or a significant
             sales decline, in addition to bankruptcy and bills
             dishonored. As for these categories for December 2002,
             the Bank only reclassified the debtors who were bankrupt
             or bills dishonored during the 3rd quarter.
(b)          The figures are before write-off and cash reserve, and do
             not reflect the changes in the liquidation estimate of
             collateral. However, the amount of collection and sales
             to third parties during the quarter is taken into
             account.
2.       Substandard Loans
(a)          As for this category for June 2003, the Bank revised the
             figures by identifying debtors who had been classified
             either in "Special Mention" or "Ordinary" category at the
             end of semi-annual fiscal term, but thereafter became
             3-month overdue or given mitigation to terms and
             conditions of loans.
         The figures reflect the increases along with new lending and
         decreases due to collection.

    *Classification under Financial Reconstruction Law / Debtor-classification under Self-Assessment Compared
   --------------------------------------------------- -----------------------------------------------------------------
              Financial Reconstruction Law                                     Self-Assessment
   --------------------------------------------------- -----------------------------------------------------------------
   --------------------------------------------------- -----------------------------------------------------------------
   Loans in Bankruptcy and Practical Bankruptcy        Legally Bankrupt ("Hatan") and Virtually Bankrupt
                                                       ("Jissitsu-Hatan")
   --------------------------------------------------- -----------------------------------------------------------------
   --------------------------------------------------- -----------------------------------------------------------------
   Doubtful Loans                                      Potentially Bankrupt ("Hatan-Kenen")
   --------------------------------------------------- -----------------------------------------------------------------
   --------------------------------------------------- -----------------------------------------------------------------
   Substandard Loans                                   Principal  or  interest  3-month  overdue,  or terms  conditions
                                                       mitigated among Special Mention ("Yo-Chui")
   --------------------------------------------------- -----------------------------------------------------------------

2.   Loans to Debtors in "Special Mention" and "Ordinary" Category (Non-consolidated)
     (Debtor Classification under Self-Assessment)

       Banking and Trust Account
--------------------------------------------- --------------------------------------------------------------------------
                                                                           Billions of Yen
                                              --------------------------------------------------------------------------
                                              ------------------------ ------------------------ ------------------------
                                                            Jun. 2003                Mar. 2003                Dec. 2002
--------------------------------------------- ------------------------ ------------------------ ------------------------
Substandard                                                     202.8                    209.5                    278.7
Special Mention excluding Substandard                           661.7                    703.2                    861.1
Ordinary                                                      9,543.2                 10,048.4                  9,744.3
--------------------------------------------- ------------------------ ------------------------ ------------------------

3.       BIS Capital Adequacy Ratio Forecast (Consolidated)
---------------------------------- ---------------------------------- ----------------------------------
                                               Sep. 2003                     Mar. 2003 (Actual)
---------------------------------- ---------------------------------- ----------------------------------
---------------------------------- ---------------------------------- ----------------------------------
Capital Adequacy Ratio                       11.0 - 11.5%                          10.48%
Tier I Ratio                                  6.0 - 6.5%                            6.09%
---------------------------------- ---------------------------------- ----------------------------------
Note: 1. Forecast is subject to change.
      2. Forecast is based on the value of stocks calculated by using
         the average market price during the last one month of the 1st
         quarter.

4.       Securities Market Value Information (Non-consolidated)
     (Excluding securities whose market values are not available)

Banking Account
 ------------- -----------------------------------------------------------------------------------------------------------
                                                            Billions of Yen
               -----------------------------------------------------------------------------------------------------------
               -------------------------------- -- --------------------------------- -- ----------------------------------
                          Jun. 2003                           Mar. 2003                             Dec. 2002
 ------------- -------------------------------- -- --------------------------------- -- ----------------------------------
 ------------- -------- ----------------------- -- --------- ----------------------- -- --------- ------------------------
               Market      Unrealized Gain          Market      Unrealized Gain          Market       Unrealized Gain
                Value                               Value                                Value
               -------- ----------------------- -- ---------                         -- --------- ------------------------
               -------- ------- ------- ------- -- --------- ------- ------ -------- -- --------- ------- ------- --------
                           Net   Gains  Losses                  Net  Gains   Losses                  Net   Gains   Losses
 ------------- -------- ------- ------- ------- -- --------- ------- ------ -------- -- --------- ------- ------- --------
 Stocks          546.2   -12.6    62.2    74.9        525.1   -63.6   35.3     99.0        624.1  -193.6    35.0    228.6
 Japanese      1,419.8    -1.9     7.2     9.1      1,103.3     8.4    8.5      0.0      1,123.5     8.4     9.7      1.3
 Bonds
 Others        1,873.9    33.3    47.2    13.9      1,606.9    35.6   47.1     11.4      1,907.6    45.5    54.5      9.0
 ------------- -------- ------- ------- ------- -- --------- ------- ------ -------- -- --------- ------- ------- --------
 ------------- -------- ------- ------- ------- -- --------- ------- ------ -------- -- --------- ------- ------- --------
 Total         3,840.0    18.7   116.7    97.9      3,235.4   -19.5   91.0    110.6      3,655.4  -139.6    99.3    239.0
 ------------- -------- ------- ------- ------- -- --------- ------- ------ -------- -- --------- ------- ------- --------
Note:
1.         Values are calculated by using the average market prices
           during the last one month of the 1st quarter as for
           "Stocks," and by using the market prices at the end of 1st
           quarter as for "Japanese bonds" and "Others."
2.       There are no investments in subsidiaries and affiliates with market price.
3.       "Others" represents mainly US Treasury Bonds/Notes and German Bunds.
4.       Figures for Jun. 2003 and Dec. 2002 are before  amortization/accumulation  and  devaluation.  Devaluation for
           Mar. 2003 was 95.6 billion yen.


5. Unrealized Gains/Losses on Financial Derivatives to be reflected upon
   the Statement of Income (Non-consolidated) 

   (Including derivatives on Trading Account)
------------------------------------------ ------------------------------------------------------------------------------
                                                                          Billions of Yen
                                           ------------------------------------------------------------------------------
                                           -------------------------- ------------------------- -------------------------
                                                           Jun. 2003                 Mar. 2003                 Dec. 2002
------------------------------------------ -------------------------- ------------------------- -------------------------
------------------------------------------ -------------------------- ------------------------- -------------------------
Interest Rate Related Transactions                              11.0                       4.4                       5.4
Stock Related Transactions                                      -0.4                       0.0                       0.1
Bond Related Transactions                                        3.3                      -0.2                       0.1
Currency Related Transactions                                    8.5                       3.2                       3.1
Credit Derivative Transactions                                  -0.2                      -0.1                       0.0
------------------------------------------ -------------------------- ------------------------- -------------------------
------------------------------------------ -------------------------- ------------------------- -------------------------
Total                                                           22.2                       7.3                       8.9
------------------------------------------ -------------------------- ------------------------- -------------------------
Note:  Due to the change in the hedge accounting for Banks in Japan,
       derivative transactions which had been applied with the
       previous hedge accounting rules but has not been applied with
       the new rules, are included in the above figures. Deferred
       unrealized losses as permitted by the new hedge accounting
       rules in the amount of 17.1 billion yen are included in the
       above figures.

6.       Unrealized  Gains/Losses on Financial Derivatives as Hedge Tool and Financial  Derivatives  Calculated on the
     Accrual Basis (Non-consolidated)
----------------------------------------- ------------------------ -------------------------- -----------------------
                                                                   Billions of Yen
                                          ------------------------ -------------------------- -----------------------
                                                                   -------------------------- -----------------------
                                                        Jun. 2003                  Mar. 2003               Dec. 2002
----------------------------------------- ------------------------ -------------------------- -----------------------
----------------------------------------- ------------------------ -------------------------- -----------------------
Interest Rate Related Transactions                          -20.2                      -36.1                   -34.2
Bond Related Transactions                                       -                        0.1                   -26.6
Currency Related Transactions                                 0.7                          -                       -
----------------------------------------- ------------------------ -------------------------- -----------------------
----------------------------------------- ------------------------ -------------------------- -----------------------
Total                                                       -19.4                      -36.0                   -60.9
----------------------------------------- ------------------------ -------------------------- -----------------------

7.       Unwinding of Cross-Shareholding (Non-consolidated, Cost basis)
-------------------------------------------------------------
                      Billions of Yen
-------------------------------------------------------------
------------------------------ --------------------------- --
        Projection for FY2003             As of Jun. 2003
------------------------------ --------------------------- --
------------------------------ --------------------------- --
                        150.0                        30.0
------------------------------ --------------------------- --

8.       Ending Balance of Domestic Loans (Non-consolidated)
------------------------------------------ ------------------------------------------------------------------------------
                                                                          Billions of Yen
                                           ------------------------------------------------------------------------------
                                           -------------------------- ------------------------- -------------------------
                                                           Jun. 2003                 Mar. 2003                 Dec. 2002
------------------------------------------ -------------------------- ------------------------- -------------------------
------------------------------------------ -------------------------- ------------------------- -------------------------
Trust Account (Principal Guaranteed)                         1,444.5                   1,543.9                   1,720.4
Banking Account                                              8,306.3                   8,760.6                   8,556.9
------------------------------------------ -------------------------- ------------------------- -------------------------
------------------------------------------ -------------------------- ------------------------- -------------------------
Total                                                        9,750.8                  10,304.6                  10,277.4
------------------------------------------ -------------------------- ------------------------- -------------------------

9.       Ending Balance of Principal Guaranteed Trust and Domestic Deposits (Non-consolidated)
----------------------------------------------------- -------------------------------------------------------------------
                                                                               Billions of Yen
                                                      -------------------------------------------------------------------
                                                      ---------------------- ---------------------- ---------------------
                                                                  Jun. 2003              Mar. 2003             Dec. 2002
----------------------------------------------------- ---------------------- ---------------------- ---------------------
----------------------------------------------------- ---------------------- ---------------------- ---------------------
Trust A/C (Principal Guaranteed)                                    2,831.7                3,079.4               3,242.6
         Individuals                                                2,278.6                2,423.4               2,623.5
         Corporations and other organizations                         553.1                  656.0                 619.1
----------------------------------------------------- ---------------------- ---------------------- ---------------------
----------------------------------------------------- ---------------------- ---------------------- ---------------------
Banking A/C                                                         8,029.1                7,941.8               7,492.7
         Individuals                                                5,574.9                5,395.5               5,193.3
         Corporations and other organizations                       2,454.1                2,546.2               2,299.3
----------------------------------------------------- ---------------------- ---------------------- ---------------------
----------------------------------------------------- ---------------------- ---------------------- ---------------------
Total                                                              10,860.8               11,021.3              10,735.3
----------------------------------------------------- ---------------------- ---------------------- ---------------------

10.      Volume of Entrusted Assets (Non-consolidated)
------------------------------------------ ------------------------------------------------------------------------------
                                                                          Billions of Yen
                                           ------------------------------------------------------------------------------
                                           -------------------------- ------------------------- -------------------------
                                                           Jun. 2003                 Mar. 2003                 Dec. 2002
------------------------------------------ -------------------------- ------------------------- -------------------------
------------------------------------------ -------------------------- ------------------------- -------------------------
Money Trust                                                 18,159.5                  20,108.2                  19,203.7
Pension Trust                                                4,918.5                   5,477.8                   5,702.5
Securities Asset Management Trust                            6,559.2                   6,804.6                   7,427.1
Securities Trust                                             8,866.9                   8,430.2                   8,733.4
------------------------------------------ -------------------------- ------------------------- -------------------------


 For further information, please contact
 Koichi Onaka, Head of IR Office, Financial Management Dept.
 Telephone: +81-3-3286-8354   Facsimile: +81-3-3286-4654


   Short Name: Sumitomo Tst & Bnkg.
   Category Code: QRF
   Sequence Number: 00007598
   Time of Receipt (offset from UTC): 20030725T102131+0100

    --30--sm/uk*

    CONTACT: Sumitomo Trust & Banking

    KEYWORD: JAPAN UNITED KINGDOM INTERNATIONAL EUROPE
    INDUSTRY KEYWORD: BANKING
    SOURCE: Sumitomo Tst & Bnkg

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