The Chiba Bank website[IR Library]

Financial Resultsfor FY2023 ended March 2024

May 22, 2024

Table of Contents

Summary of Financial Results
Summary of Financial Results
Summary of Financial Results (Consolidated)
Net Interest Income
Securities
Operation of Foreign Bonds
Operation of Yen Bonds
Net Fees and Commissions
General & Administrative Expenses
Credit-related Expenses / FRA Claims
Measures to Control Credit-related Expenses
Earnings Forecast

4
5
6
7
8
9
10
11
12
13
14

The Mid-Term Plan / Growth Strategy
Overview of the 15th Mid-Term Plan
KPIs
The Mid-Term Profit Plan Outlook
PBR Improvement Logic Tree
Toward improving P/B ratio
Growth Strategy
Improving RORA
Continuing Growth toward FY2030 (Simulation)
Interest Rate Rise Simulation
Operating Base Average Balance / Yield of Loans and Bills
Discounted / Amount Executed
Balance of Loans / Deposits at Term-end
Loans
Residential Loans
Unsecured Loans
Branch Network
Financial Base Efficiency / Soundness / Stability
Capital Policy ①② (Capital Management /Policy Investment / Shareholder Returns)
Copyright © 2024 The Chiba Bank, Ltd. All Rights Reserved.

Alliance
RetailCorporate

Transformation Customer Experience
Through DX
Increase in Gross Profit Per Customer
Through DX
Personal Strategy ①②(Financial Products / Trust / Inheritance )Hybrid of Real and Digital Channel
Corporate Strategy ①～⑤（Corporate solutions)Cashless
New Business ①～④
DX Supporting Transformation ①～③[] Human Capital Supporting Transformation ①～③

34
38
39
40
42
43
48
49
53
56

Achieving Sustainable Management
16
17
18
19
20
21
22
23
24
25
26
27
28
29
30
31
32

E ～ GX Initiatives ①② ～S ～ Diversity / Regional Revitalization ～G ～ Governance ～

62
64
65

Progress of Business Improvement Plan
Establishment of the Purpose and Vision
True Cause Analysis of Problems / Four Measures
Changes Resulting from Business Improvement Measures/ Verification of Actual Conditions
List of Major Measures

67
68
69
70

Appendix
Chiba Prefecture Market Share / Personal Deposits
About Chiba Prefecture(Ref.) Earnings Results / Stock Price

2

72
73
74
2
2

Summary of Financial Results

33Summary of Financial Results
Strong top-line performance and restrained credit costs lead to higher net income than projected
Non-consolidated

FY2024Plan◆

Top-line gross business profit increased by 12.6 Billion yen year-on-year, reaching a record
high for the first time in 16 years since FY2007：• Net interest income decreased by 3.7 Billion yen year-on-year overall due to the
suppression of net gains on the cancelation of investment trusts by 6.1 Billion yen year-onyear for the domestic and overseas total, while domestic interest on loans and deposits wasstrong, up 3.9 Billion yen year-on-year.
• Net fees and commissions were driven by corporate solutions and cashless operations,reaching record highs for the fourth consecutive fiscal year.
• Gains/losses related to bonds increased by 14.1 Billion yen year-on-year due to the absenceof the impact of losses on the sale of foreign bonds recorded in the previous year.

◆

G&A expenses increased by 2.5 billion yen year-on-year due to investments in human capitaland strategic investments, but were within the plan, and the consolidated OHR remained at ahigh level of efficiency, in the 48% range.

◆

Credit-related expenses increased by 5.5 Billion yen year-on-year due to the implementationof preventive provisions etc., but were within the plan, and non-performing loan ratio
remained low at 0.01% year-on-year to 0.92%.

◆

Net income exceeded the consolidated plan of 61.0 Billion yen, and both non-consolidated andconsolidated profits reached record highs for the second consecutive fiscal year.

FY2022

FY2023Gross business profit

155.5

168.2

12.6

183.0

Net interest income

140.3

136.6

-3.7

146.0

Net fees and commissions

28.6

30.0

1.4

31.7

Net Trading income

1.3

1.1

-0.2

2.2

-14.8

0.3

15.1

3.0

-20.0

-5.8

14.1

1.3

82.5

85.1

2.5

88.5

73.0

83.1

10.0

94.4

93.0

88.9

-4.0

93.1

85.3

87.4

2.0

90.4

-

-

-

0.9

Net business income

73.0

83.1

10.0

93.5

Non-recurring gains/losses

8.7

2.9

-5.7

0.7

0.3

5.8

5.5

6.6

Breakdown of Profit Attributable to Owners of Parent

Reversal of loan loss reserves

0.9

0.3

-0.5

-

(non-consolidated + difference between consolidated and non-consolidated results)

Gains/losses related to stocks, etc.

8.3

9.3

1.0

7.0

Ordinary profit

81.7

86.0

4.3

94.3

Extraordinary gains/losses

-0.3

-0.2

0.0

-0.2

Net income

58.1

60.5

2.4

66.9

Credit-related expenses (-)

0.3

5.8

5.5

7.5

FY2022

FY2023

Ordinary profit

86.9

90.2

3.2

97.9

Profit attributable to owners of parent

60.2

62.4

2.1

68.0

81.8

91.7

9.8

105.2

(Billion yen)

Net other ordinary income
Gains/losses related to bonds
G&A expenses (-)
Net business income(before provisions to general allowance for loan losses)

Core business income
Excl. gains/losses on the cancelationof investment trusts
Net provisions to general allowance for loan losses (-)

Disposal of non-performing loans (-)

Consolidated(Billion yen)

ChangeChangeFY2024Plan（Of which, gain on
cancellation of investment
trusts -4.1）

60.2(before provisions to general allowance for loan losses)

Copyright © 2024 The Chiba Bank, Ltd. All Rights Reserved.

Net fees andcommissions+1.4
Net interest
income-3.7

FY2022(Billion yen)G&A expenses-2.5

Overseas net interest
income -4.4 etc.

(Ref.)
Consolidated net business income

Net trading income /Net other ordinary income+14.9Interest on domestic loans
and deposits ＋3.9
Interest and dividends on
domestic securities -2.6

Dif. between
consolidated
and nonconsolidated
Credit-related-0.2
expenses
Other
-5.5
-2.0

62.4

Gains/losses related to bonds ＋14.1 etc.
（The absence of the impact of losses on the saleof foreign bonds recorded in the previous year ）FY2023

4
4

Summary of Financial Results (Consolidated)
Difference between consolidated and non-consolidated decreased due to the removal of transitory factors
Consolidated(Billion yen)

FY2022

Subsidiaries

FY2023

ChangeConsolidated net revenue

164.1

175.4

11.2

Net interest income

136.5

132.6

-3.8

Net fees and commissions

40.4

40.9

0.4

Net trading income

1.9

1.4

-0.5

-14.8

0.3

15.2

G&A expenses (-)

88.9

92.2

3.2

Credit-related expenses (-)

0.0

6.6

6.6

-

0.0

0.0

0.0

6.6

6.6

Gains/losses related to stocks, etc.

9.0

11.1

2.1

Gains/losses on equity-method investments

0.3

0.4

0.1

Other

2.4

2.0

-0.3

Ordinary profit

86.9

90.2

3.2

Extraordinary gains/losses

-0.3

0.4

0.7

Net income pre-tax adjustment

86.6

90.6

3.9

Total corporate income taxes (-)

26.3

28.2

1.8

Net income

60.2

62.4

2.1

Profit attributable to non-controlling interests

-

-

-

Profit attributable to owners of parent

60.2

62.4

2.1

Net other ordinary income

Net provisions to general allowance
for loan losses (-)

Disposal of non-performing loans (-)(Ref.)
Consolidated net business income(before provisions to general allowance for loan losses)

Copyright © 2024 The Chiba Bank, Ltd. All Rights Reserved.

81.8

91.7

9.8

*Showing profit/loss after reclassification forconsolidated financial statements[Consolidated subsidiaries]
Company name(Billion yen)
Investment
ratio(including
indirect)

Chibagin Securities
Co., Ltd.

100%

Chibagin Leasing
Co., Ltd.

100%

Chibagin Guarantee
Co., Ltd.

100%

Chibagin JCB Card
Co., Ltd.*100%

Total of 5 othercompanies

100%
Total

Profit items(after deduction of intersubsidiary dividends)

FY2022

FY2023
ChangeOrdinary profit

0.0

0.1

0.1

Net income

0.0

-0.1

-0.2

Ordinary profit

1.0

0.7

-0.2

Net income

0.6

0.5

-0.1

Ordinary profit

6.2

5.5

-0.7

Net income

4.1

3.6

-0.5

Ordinary profit

1.2

1.2

-0.0

Net income

0.8

0.8

0.0

Ordinary profit

0.7

0.5

-0.1

Net income

0.5

1.0

0.4

Ordinary profit

9.3

8.2

-1.1

Net income

6.2

5.8

-0.3

*In April 2024, Chibagin JCB Card Co., Ltd. and Chibagin Card co., Ltd. merge in an absorption-type merger (Chibagin Card
Co., LTD. is the surviving company)[Equity method subsidiaries]
Total of 6 companies

Net income according toequity method

0.3

0.4

0.1

Dividends toparent company (-)

4.4

4.4

0.0

Dif. between consolidated
and non-consolidated*

2.1

1.8

-0.2

*After adjusting for unrealized gains, etc.

555Net Interest Income
Domestic interest on loans and deposits increased steadily, and net interest income excluding gains on the cancellation of investment trusts increased(Billion yen)
Net interest income
Domestic

FY2022140.3

FY2023

136.6

Change-3.7

FY2024Plan

146.0

Net interest income
Change

9.3

131.5

132.2

0.7

138.5

6.2

Interest on loans and deposits

100.2

104.2

3.9

108.3

4.1

Loans and bills discounted

100.5

104.5

3.9

0.0

0.0

0.2

0.2

-0.0

0.0

0.0

28.7

26.0

-2.6

26.9

0.8

Bonds

4.4

4.5

0.0

0.0

0.0

Stock dividends

11.3

11.1

-0.2

0.0

0.0

Investment funds

1.0

1.6

0.5

0.0

0.0

Investment trusts

11.8

8.7

-3.0

0.0

0.0

Gains on cancellations

5.8

1.7

-4.1

2.1

0.4

Other (market operations, etc.)

2.5

1.9

-0.6

0.0

0.0

8.8

4.4

-4.4

7.4

3.0

Loans and bills discounted

13.5

27.1

13.5

0.0

0.0

Foreign securities

19.1

27.0

7.8

0.0

0.0

Foreign securities

14.8

25.1

10.3

0.0

0.0

Foreign currency funds

2.1

1.3

-0.7

0.0

0.0

Investment trusts

2.2

0.4

-1.7

0.0

0.0

Gains on cancelations

1.7

-0.1

-1.9

0.5

0.6

Other (funding, market operations, etc.)

-23.8

-49.7

-25.8

0.0

0.0

132.6

135.1

2.4

143.3

8.2

Deposits incl. NCDs (-)
Interest and dividends on securities

Overseas

Net interest income(excluding gains on the cancellation of investment trusts)

Gains on the cancellation of investment trusts

7.6

Copyright © 2024 The Chiba Bank, Ltd. All Rights Reserved.

1.5

-6.1

2.6

1.1

(Billion yen)

131.8

123.6
6.0

124.5
5.8

21.9

21.5

25.1

95.7

97.1

98.5

FY2019FY20208.1

FY2021

140.3【Year-on-year】〔Total〕-2.6％

8.8

136.6
4.4

31.2

28.0

100.2

104.2

Domestic
interest anddividends on
securities,other-10.4％FY2023

Domestic
interest on
loans anddeposits+3.9%

FY2022

Overseas-50.1％

Factors behind change in domestic interest on loans(year-on-year)(Billion yen)

+5.5

+5.1

+4.2

+4.3

+1.3

+1.2

+1.4

Total

+3.9
+3.9
+0.0

Volume factors
Yield factors

-0.2
-3.8

-3.0

-2.8

FY2021

FY2022-5.8
FY2019FY2020

FY20236

6
6

Securities
Continue to manage portfolios with reduced risk, and increase in unrealized gains mainly on stocks after taking into account hedges
Balance*1 / Average remaining maturity*2 of securities*1 Excluding unrealized gains/losses*2 After hedging via asset swaps

4.2

1.7

5.1

5.2

2.3

2.7

【As compared toMarch 31, 2023】

4.3

4.1
2.0

2.0
2,673.2(Years)2,452.3(Billion yen)

2,315.1
2,198.4

2,011.2

282.7

165.8

186.8

310.8

366.7

169.4

425.7

373.4

269.2

525.9

351.0

546.3

561.9

497.2
461.5

549.7
498.6

399.0

3/2020

101.0

658.1

575.4

531.6

518.9

97.6

105.0

110.5

111.3

553.2

540.1

3/2021

3/2022

3/2023804.9

3/2024

Held-to-maturity securities
7.7

7.8

8.6

Copyright © 2024 The Chiba Bank, Ltd. All Rights Reserved.

9.3

3.0

Averageremainingmaturity ofyen bonds+0.2 years
Averageremainingmaturity offoreign bonds+0.0 years〔Total〕+9.0％
Government
bonds+50.5％
Municipal
bonds-13.3％
Corporatebonds, etc.
-3.7％
Investment
trusts, etc.
-0.6％
Stocks-3.3％
Foreigncurrency
securities+22.3%

Unrealized gains/losses on other securities* Including overseas CDs

250

23.8

(Billion yen)

200

182.2

150

30.0
7.9
Yen 0.1

100
50↑Gains0↓Losses

5.2 92.4
Yen 2.6

144.1

203.5
26.4
148.1

101.9

239.5

144.4

150.3

-8.3
-14.5

-11.4
-30.0
-6.8

-32.3

3/20233/2024

-50

-27.5

-100
3/20203/2021

3/2022

Other
+30.7
Total
+101.5
Stocks
+89.2

91.8
-7.2

【As compared toMarch 31, 2023】

Yen bonds-16.1
Foreign bonds-2.3■After taking into account unrealized gains/losses on deferred hedge swaps
250

23.8

(Billion yen)

200

174.9

150

30.0
Foreign 0.3
Yen 0.4

Yen 2.3
100

80.6

50
↑Gains91.8

0↓Losses
-50

-6.1
-7.2

-100

144.1

228.7
26.4
155.5
144.4

115.7

239.5

150.3

【As compared toMarch 31, 2023】

Other
+30.7
Total
+112.9Stocks
+89.2

-5.1
-10.2

-14.0
-13.7
-6.8

-24.1
-10.5

Yen bonds-10.1
Foreign bonds+3.1

3/20203/2021

3/2022

3/20233/2024

7
7

Operation of Foreign Bonds
Though overseas interest rates remained high, interest margins on foreign bonds remained positive as a result of the replacement of some bonds
Asset and funding structure$8,953 mil. as of March 2024

USD

Euro
Funding

Asset

Asset
100%

100%
Other, short-term
21%

Other 18%

40%
20%
0%

Loans (all floatinginterest rate) 33%

Floating rate bonds
32%$1,481 mil.

Asset details

Other 4%

Repo 18%
Floating interest
rate 83%

Floating interest
rate 93%

NCD 10%
Deposits
9%

Fixed rate bonds
17%

Funding

Loans (all floatinginterest rate) 24%

80%
60%

€897 mil. as of March 2024

* Short-term funding and loans with amaturity of one year or less areclassified under “floating interest rate”.

50%

Other, long-term
1%

Fixed rate 7%

Corporate bonds
7%

Interest rate structureInterest rate structure

Funding method0%Interest rate/asset
structure
Interest rate/asset …

Changes in the foreign bond portfolio
USD fixed bonds
Balance (Billion yen)

3/31/2023
166.9

Yield (%)

Around 3.5%

Procurement costs (%)

Around 4.5%

Total foreign bonds

3/31/2023

Balance (Billion yen)

633.8

Interest margin (%)

About ＋0%

Unrealized gains/losses(Billion yen)

-30.0

After Hedge(Billion yen)

-13.7

Foreign bonds operations in the third quarter of the year

USD fixed bonds

Purchase

Sale andredemption

Foreignexchange
factor

72.8

-50.8

27.7

About 5%

About 3%

USD fixed bonds (Billion yen)
Yield (%)
Losses on sales (Billion yen)

Purchase

EURO fixed bonds (Billion yen)-

Yield (%)-

Losses on sales (Billion yen)

Copyright © 2024 The Chiba Bank, Ltd. All Rights Reserved.

Sale andredemption-24.3

USD fixed bonds
Balance (Billion yen)

3/31/2024
216.6

Yield (%)

4.0％～4.5％

Procurement costs (%)

About 5%-

-2.5EURO fixed bonds

Floating interest
rate 100%* Short-term funding and loans with amaturity of one year or less areclassified under “floating interest rate”.

Currency swaps
34%

Fixed rate 17%

Floating rate bonds
72%

Sold all lowyieldingEuro
Around 0.5%
fixed bond
-2.0

Total foreign bonds

3/31/2024

Balance (Billion yen)

773.3

Interest margin (%)

About +0%

Unrealized gains/losses(Billion yen)

-32.3

After Hedge(Billion yen)

-10.5

Interest rate…
Interest
rate
structure■Operations in theprevious fiscal year
○ Improved yields by replacing bonds
through sales of low-yield fixed-rate○ Invested mainly in bonds with asset
swaps■Investment policy forthe current fiscal year
○ Considering investments mainly inbonds with asset swaps toward
expanding net interest income
88Operation of Yen Bonds
Increase net interest income by investing in fixed bonds during a period of rising interest rates while continuing to control interest rate risk
Investment and funding structure
Yen bonds￥20.5 tri. as of March 2024

Interest rate sensitivity of unrealized gains/losses (10bp)
Yen bond interest rate sensitivity by term (GPS)… ①

100%
Marketability
procurement, etc. 17%80%

Marketability
investment, etc. 35%

Over
Over
Over
Over
Over
~ 1 year 1 year~ 3 years~ 5 years~ 7 years~
10 years
3 years 5 years 7 years 10 years(Billion yen)Total

3/31/2023

-0.1

-0.6

-0.4

-0.6

-1.0

-1.3

-4.2

3/31/2024

-0.1

-0.4

-1.3

-0.9

-0.7

-1.0

-4.7

* Change in valuation gains/losses assuming each interest rate term increases by 10bp

10BPV Total (① + ②)
Total
-4.4 billion yen

Yen-denominated trust interest rate sensitivity... ②
60%

Total +0.3 billion yen( -0.2 billion yen change from Mar. 2023)

Market-linked interest
rate 13%*By holding bond bear funds,
valuation gains/losses will
improve as interest rates increase

Variable deposits 60%■Operations in

Changes in yen bond portfolio
40%

Short-term prime rate,
etc. 24%

Yen bond

Fixed (residential) 2%

Fixed (corporate) 20%

0%

Fixed deposits 15%

Investment securities
6%

Equity funding 8%

Asset

Funding

Copyright © 2024 The Chiba Bank, Ltd. All Rights Reserved.

3/31/2024

Balance (billion yen)

1,054.2

1,141.5(Of which, Fixed Bonds)

803.2

920.6

0.20%～0.25％

Around 0.25％

Unrealized gains/losses(billion yen)

-11.6

-27.5

After hedged(billion yen)

-14.2

-24.1

Fixed Yield (%)

20%

3/31/2023

the previous fiscal year
○ In a period of low interest rates, invested inlong-term JGBs with asset swaps to secureyields while controlling interest rate risk
○ In the second half of the fiscal year,
accumulated fixed bonds to capture the risinginterest rate phase■Investment policy forthe current fiscal year
○ Carefully increasing the balance, especially in
JGBs, to improve net interest income

99Net Fees and Commissions
Achieved record highs for the fourth consecutive fiscal year due to favorable trends in corporate solutions and cashless businesses
Net fees and commissions

ChangeFY2024
Plan

ChangeFY2022

FY2023

28.6

30.0

1.4

31.7

1.6

Fees and commissions received

49.0

53.5

4.4

57.3

3.8

Fees and commissions payments (-)

20.4

23.5

3.0

25.6

2.1

(Billion yen)
Net fees and commissions<Main breakdown>

6.3

5.9

- 0.3

6.0

0.0

Investment trusts (trust fees)

1.7

1.8

0.1

1.9

0.0

Investment trusts (sales fees)

0.8

0.7

- 0.0

1.1

0.3

Annuities and whole-life insurance

1.9

1.3

- 0.5

1.0

- 0.3

Level-premium life insurance

1.2

1.7

0.4

1.8

0.1

Financial instrument intermediary

0.3

0.1

- 0.2

-

- 0.1

15.7

16.6

0.9

17.1

0.4

Private placement bonds

0.3

0.2

- 0.0

0.2

- 0.0

Syndicated loans

12.1

13.5

1.3

13.3

- 0.1

Investment trusts and personal annuities

Corporate solutions

Advisory contracts

0.5

0.5

- 0.0

0.5

0.0

M&A

0.7

0.2

- 0.4

0.7

0.4

Management succession

0.4

0.4

0.0

0.5

0.0

Business-matching

1.5

1.6

0.0

1.6

0.0

Trust/inheritance-related business

1.4

1.5

0.0

1.7

0.1

Cashless operations

1.6

2.8

1.1

4.4

1.5

Payment and settlement transactions

12.5

12.9

0.3

12.8

- 0.1

Guarantee charges and group insurance costs (-)

13.0

13.9

0.8

14.4

0.5

(Billion yen)

31.7

27.5

26.1
22.6
3.2
0.5
7.7
1.0

【Year-on-year】〔Total〕+1.6
Other
-0.5

4.4
0.6

4.4
1.3

8.1

7.1
1.4

1.1

28.6

30.0

2.3
4.4

3.4
1.6

2.9
2.8

6.3

5.9

6.0

1.4

1.5

1.7

Financial
product sales
+0.0

16.6

17.1

Trusts,inheritance+0.1

FY2023

FY2024

Corporate
solutions
+0.4

10.0

11.8

13.2

15.7

FY2019FY2020

FY2021

FY2022

Cashless+1.5(Plan)

Corporate solutions-related revenue
15.7(Billion yen)
11.8
10.0
1.1
0.2 0.2

1.2
0.2 0.2

0.3

13.2
1.3
0.3
0.6

0.6

FY2019

9.3

0.5

1.6
0.4
0.2

0.5

1.6
0.7

0.5

+0.0

0.5

9.9

12.1

13.5

Management
succession

+0.0
M&A
+0.4
Advisory
+0.0

13.3

Syndicatedloans, etc.

-0.1

0.4

0.4

0.3

0.2

0.2

FY2020

FY2021

FY2022

FY2023

FY2024(Plan)

Copyright © 2024 The Chiba Bank, Ltd. All Rights Reserved.

Business
matching

0.4

0.1

7.5

1.5
0.4
0.7

16.6

【Year-on-year】〔Total〕+0.4

17.1

Private-placement
bonds

10

-0.0

10
10

General & Administrative Expenses
OHR rose slightly due to strategic investment, but remained at a low level
G&A expenses / OHR
Non-consolidated

Major factors behind increase in G&A expenses
FY2024FY2022

FY2023G&A expenses (-)

82.5

85.1

2.5

88.5

3.4

Personnel

Personnel (-)

39.3

40.4

1.0

41.2

0.8

(-)

Non-personnel (-)

36.8

38.3

1.4

40.5

2.1

(Billion yen)Taxes (-)
OHR

ChangePlan

ChangeFY2023 (results)(Billion yen)

FY2024 (plan)

Pay raises +0.6
+1.0

Pay raises +0.8

Increased health insurance premiums +0.3

+0.8

6.2

6.3

0.0

6.7

0.4

Non-

47.73%

49.30%

1.56%

48.7%

-0.5%

personnel+1.4Strategic investments +1.5

Expanded recruitment and training +0.2

+2.1

Consolidated
47.37%

48.76%

1.38%

47.6%

-1.1%

a regular employee +0.4
Reduction of retirement benefit expenses -0.6

New investments +0.5

(-)

OHR

Expansion of the system to continue employment as

Taxes (-)

+0.0

+0.4

Increase in depreciation +0.8
Efficiency and cost reduction -0.3

Increase in consumption tax +0.4

* OHR: Expenses / (net business income – bond-related gains/losses, etc. +net provisions to general allowance for loan losses + expenses）

Expense and OHR outlook in the future

Trends in OHR

54.61%

55.00%
52.02%

52.99%

52.94%
50.90%【Year-on-year】
47.73%
47.37%

49.30%
48.76%

Nonconsolidated
OHR+1.56%
Consolidated
OHR+1.38%

Efficienthuman capital
investments

Revitalization of human resources(experienced employees)

Non-personnel
expenses

Strategic expenditures

Verification of investment effects
such as ROI

Existing expenses

Review and rationalization of existing
expenses

Gross businessprofit(Million yen)

FY2020

FY2021

Copyright © 2024 The Chiba Bank, Ltd. All Rights Reserved.

FY2022

6.7
6.5

Group
gross businessprofit per
employee(Million yen)

6.5+¥0.3 million

FY202327.0

FY20233/2024FY20243/2025

FY2025
3/2026

28.7

26.0

23.8

+¥4.9 million(+20.5%)(+4.7%)FY2022
3/2023

Improveearning
capacity
Strict costdiscipline

Top-line is forecast to exceed the planGroup
personnel
expenses per
employee

6.4

FY2019Recruitment of human resources(new graduates and mid-career)

Personnel
expenses

FY2022
3/2023

FY20233/2024FY20243/2025

FY2025
3/2026

Improving costeffectivenessas planned
Final year of the
mid-term plan
Consolidated OHR
About 45%11
11

Credit-related Expenses / FRA Claims
New NPL is remained low level, and the NPL ratio, one of the lowest among regional banks, declined further.
Disclosed claims under the Financial Reconstruction Act /non-performing loan ratio

Credit-related expenses(Billion yen)

FY2022 FY2023

FY2024
ChangePlan

Change

1.10%

1.02%

0.93%

0.92%

113.2

114.9

118.5

16.2

17.1

18.2

19.1

55.5

56.9

54.9

52.7

49.8

44.2

42.2

41.1

43.9

49.4

3/20203/2021

3/2022

3/20233/2024

0.3

5.8

5.5

7.5

1.6

Net provisions to general allowance for loan losses (-)

-2.3

-0.2

2.1

0.9

1.1

(Billion yen)

Disposal of non-performing loans (-)

2.7

6.1

3.4

6.6

0.4

118.3

115.3

Write-offs/net provisions to specific allowance, etc. (-)

6.1

7.6

1.5

9.3

1.6

18.5

Net provisions to specific allowance for loan losses (-)

1.4

-0.1

-1.5

0.5

0.6

New downgrades (-)

6.8

8.6

1.8

10.0

1.3

Existing non-performing loans (-)

0.4

0.2

-0.2

0.2

0.0

Collections, etc.

1.2

1.2

-0.0

1.0

-0.1

3.4

1.5

-1.8

2.6

1.0

0bp

4bp

4bp

5bp

1bp

Credit-related expenses (-)

Recoveries of written-off claims
Net credit cost ratio (-)

Net credit costs(－)transition(Billion yen)

9.5

10.4

↑Losses↓Gains

1.2
-2.6

0.3

8.3
7.3
3.2
-1.2

1.5
-1.7

5.8

6.1

7.6

-2.3

-0.2
-1.5

-3.4

8bp

9bp

6bp

0bp

4bp

FY2019FY2020

FY2021

FY2022

FY2023Copyright © 2024 The Chiba Bank, Ltd. All Rights Reserved.

【As compared toMarch 31, 2023】

Non-performing
loan ratio-0.01%〔Total〕 +3.5
Bankrupt andeffectively
bankrupt claims+0.8
Doubtful claims-2.9
Need-attention
claims+5.5

Non-performing loan ratio comparison with other banks〔FY2022 non-consolidated basis〕【Year-on-year】〔Total〕+5.5
7.1

10.9

0.96%

2.11%

Write-offs / Netprovision to specificallowance, etc. (-)+1.5
Net provisions togeneral allowance
for loan losses (-)+2.1
Recoveries ofwritten-off claims-1.8

Ratio (-)
+4bp

0.93%

0.84%

Chiba

Mega 3 line average

Chiba Bank

3 mega banks
average*

Averag e o f regio nal and second-tier region al banks

Regional banks, 2nd-tieraverage** Source: Simple average calculated from Nikkin Report1212

Measures to Control Credit-related Expenses
Accurate assessment of credit status / implementation of support for accompanying
Stress testing

Solution Review Meeting

Test targets: All credit customers① External environmental impact survey(monthly assessment)② Individual toss-up from branches③ Thematic surveys (printing, construction, etc.)

Extraction based on micro factors① Borrowers with a Group credit amount of ¥0.1 bil. or more (excluding residential real estate leasing,finance, and public sectors, etc.)② Borrowers whose financial condition has been independently ascertained by the credit examination section

Extraction based on Macro factors

Estimation of credit costs basedon the actual state of eachcompany

Of all creditors, excluding those selected based on micro factors,
those that appear to have been affected by the deterioration in
the external environment
Credit costs are estimated by taking
into account the effect of eachindustry based on the BOJ Tankan.

(Billion yen)

Micro factor

Macro factors

Total

FY2024 1H

5.2

1.3

6.5

FY2024 2H

3.0

2.6

5.5

Assessing the actual situation of the target borrowers at the meeting,identifying and sharing management issues with management,
investigating new risk factors, and identifying target borrowers

Solution Review Meeting
Banks that are essentiallymain borrowers with large
conservation deficits and areurgently needed

Designated Attention
Claims committee

Headquarters sales department,
Headquarters credit review
department and Group companies
New designation or cancellation of borrowers
Discussion of action policy

Chairman: Executive in Charge of Credit Unit

Advisory Specified Corporation Meeting
Approximately 900 core companies in the region
were selected as advisory specified companies
In order to provide thorough business support as apartner, the management issues of each company are
discussed deeply through meetings.

Review of FY2023(Billion yen)

Micro factor

Macro factors

Initial forecast

5.6

4.0

Actual results

Always grasp the actual
status of clients

7.4 (a)From stress test forecast borrowers (a)÷(b) =86.0%

Copyright © 2024 The Chiba Bank, Ltd. All Rights Reserved.

Not anticipated at
the time of testing

Total

-

9.6

1.2

8.6 (b)… Maintains high accuracy

Branch×
Headquarters sales department,
Headquarters credit review
department and Group companies

Understanding ofmanagement issues
with client
Providing specialized
expertise

Advisory Specified
Corporation[Total Scale]
Sales: ¥6 trillion
Ordinary income:¥350 billion
Net income:¥250 billion
0.18 million employees
1313

Earnings Forecast
Non-consolidated(Billion yen) FY2023(Billion yen)

FY2024
Plan

ChangeGross business profit

168.2

183.0

14.7

Net interest income

136.6

146.0

9.3

Net fees and commissions

30.0

31.7

1.6

Net Trading income

1.1

2.2

1.1

Net other ordinary income

0.3

3.0

2.6

-5.8

1.3

7.2

G&A expenses (-)

85.1

88.5

3.4

Net business income

83.1

94.4

11.3

88.9

93.1

4.1

87.4

90.4

2.9

-

0.9

0.9

Net business income

83.1

93.5

10.4

Non-recurring gains/losses

2.9

0.7

-2.2

5.8

6.6

0.7

0.3

-

-0.3

Gains/losses related to bonds(before provisions to general allowance for loan

Core business income
Excl. gains/losses on the cancelationof investment trusts
Net provisions to general allowance for loan losses (-)

Disposal of non-performing loans (-)
Reversal of loan loss reserves

9.3

7.0

-2.3

Ordinary profit

86.0

94.3

8.2

Extraordinary gains/losses

-0.2

-0.2

0.0

Net income

60.5

66.9

6.3

Credit-related expenses (-)

5.8

7.5

1.6

Gains/losses related to stocks, etc.

Breakdown ofProfitAttributableto Owners of
Parent(difference
betweenconsolidated
and nonconsolidated
results)

Net trading income /Net other ordinary income+3.8
Net fees andcommissions
G&A expenses+1.6
Net interest-3.4 Credit-related
incomeexpenses
+9.3
-1.6
Other
-3.4

62.4

FY2023(Billion yen)

FY2024
Plan

ChangeFY2024(plan)FY2023

FY2024
Plan

Change

136.6

146.0

9.3

132.2

138.5

6.2

104.2

108.3

4.1

26.0

26.9

0.8

1.7

2.1

0.4

4.4

7.4

3.0

Gains/losses on cancellations

- 0.1

0.5

0.6

Net fees and commissions

30.0

31.7

1.6

5.9

6.0

0.0

(Billion yen)

Net interest income
Domestic
Interest on loans and deposits
Interest and dividends on securities

Gains/losses on cancellations

Investment trusts and personal annuities

Ordinary profit

90.2

97.9

7.6

Corporate solutions

16.6

17.1

0.4

Profit attributable to owners of parent

62.4

68.0

5.5

Trust/inheritance-related business

1.5

1.7

0.1

Cashless operations

2.8

4.4

1.5

Payment and settlement transactions

12.9

12.8

- 0.1

Guarantee charges and group insurance costs (-)

13.9

14.4

0.5

(Ref.)
Consolidated net business income(before provisions to general allowance for loan

91.7

Copyright © 2024 The Chiba Bank, Ltd. All Rights Reserved.

105.2

13.4

Dif. between
consolidated
and nonconsolidated-0.7

FY2023(results)

Overseas

Consolidated

68.0

Domestic loan
average balance/yield

0.88%

0.87%
(Billion yen)

11,986.3

+2bp

+3bp

0.90%

0.90%
12,317.3

12,271.6
Excluding
Ministry of
Financeloans

11,782.2

FY2023

Excluding
Ministry of
Financeloans

FY2024(plan)

14
14

The Mid-Term Plan / Growth Strategy

15
15

Overview of the 15 th Mid-term Plan
The 15 th Mid-term Plan Engagement Bank Group

Title– Phase 1 –(Plan Period: April 2023 ~ March 2026)

Phase 2~

Operational Guideline: Evolution of the customer-focused business model■ Practice “Sustainable Management” by providing societal value to the community

Basic Policies

I. Creating the optimal customer experience
Deliver personalized proposals utilizing a wide range of data.
Provide in-person, remote, and digital channels most-suited
to the customer.

II. Enhancing the quality of existing
business

III. Providing new value

Further increase the quality of solutions
designed to address customer issues.

Provide new-found value to customers byentering into new business areas.

Bank Group
Development■ Expansion of “Value Creation Bases”

Bases

Base I

Base IIDX

Base III

GX

Alliances

Base IV

Base V

Human Capital

Goals for FY2030

Group GovernanceConsolidated ROE

Profit attributable to owners ofparentManag-ement
KPIs

To create a local
community
better suited to bringing
each person’s hope tolife

Consolidated ROE *1

75.0 billion yen

Above 7%

Consolidated net businessincomeCopyright © 2024 The Chiba Bank, Ltd. All Rights Reserved.

120.0 billion yen

Tier 1 common equity capital ratio*２

10.5% ~ 11.5%
Consolidated OHR

8%Profit attributable toowners of parent

100 billion yen

45%*1 Shareholders’ equity basis*2 Basel III full implementation finalization basis(excluding valuation differences on securities)

16
16

KPIs
(billion yen)

Gross business profit
G&A expenses (-)

FY2022
Results

FY2023Results

FY2024
Plan

155.5

168.2

183.0

82.5

Net business income

85.1

88.5

FY2025
Target194.0

Change fromFY2022

+38.4

88.0

+5.4

73.0

83.1

94.4

106.0

+32.9

Credit-related expenses (-)

0.3

5.8

7.5

8.0

+7.6

Ordinary profit

81.7

86.0

94.3

1,01.6+19.8

Net income

58.1

60.5

66.9

71.5

+13.3

(before provisions to general allowance
for loan losses)

Major Initiatives[ Basic Policy I: Creating the optimal customer experience ]◆Functional improvement and penetration of Chibagin app and portals, establishment of Mito branch andHamamatsu-cho branch◆

Sophisticated digital marketing[ Basic Policy II: Enhancing the quality of existing business ]◆Release of the four major measures for investment trusts, shift to activities focusing on fiduciary duty
and activity volume◆

Strengthening of support for accompanying by newly established of Business Consulting Office◆

Promotion of cashless to local government[ Basic Policy III: Providing new value ]◆Establishment of Himawari Green Energy and commencement of operations at Asahi Power Station◆

Launch of advertising business, utilization of real estate funds, turning profitable of Chibagin Market[ Value Creation Bases ]Profit attributable to owners ofparent company

Consolidated net businessincome(before provisions to general allowance
for loan losses)

Consolidated OHR

62.4

81.8

47.37%

Consolidated Tier 1 common
equity capital ratio*

Consolidated
ROE

60.2

(10.57%)

91.7

68.0

105.2

75.0

120.0

+14.7

ー

45%

ー

11.87%

ー

10.5%～11.5%

ー

Shareholders‘
equity basis

6.38%

6.40%

ー

Above
7%

ー

TSE base

5.68%

5.56%

ー

Around6.0%

ーCopyright © 2024 The Chiba Bank, Ltd. All Rights Reserved.

(Group Governance) Penetration of the Purpose and Vision, strengthening group-wide management◆(GX) Expansion of disclosure related to TCFD, release of C-Checker◆(Alliance）Collaboration with JUUDANKAI

Change in profit attributable to owners of parent(Three years of the mid-term plan)+38.1

48.76%

before the application ofBasel III full implementation◆*Basel III full implementation finalization basis(excluding valuation differences on securities)

Including bond-related
gains/losses rebound of＋20.0

Net feesand commissions+11.3
Net interest
income+7.2

60.2

FY2022(results)(billion yen)

Other
+19.8
G&A
expenses-5.4
Creditcosts-7.6

Of whichfinancial products sales + 4.1
Corporate solutions +1.7

Dif. between consolidated
and non-consolidated+1.3
StockPensions,relatedetc.
gains losses
-1.9
-3.3

75.0
Taxes
-6.6

FY2025(plan)

17
17

The Mid-Term Profit Plan Outlook
Aiming to Achieve 75.0 billion yen while controlling upside and downside
Upside/downside from initial profit attributable to ownersof parent company forecast of the Mid-term Plan

Upside from the initial forecast

1(Billion yen)

Net interest income○ Improvement in domestic net interest income due to a rise in loan interest rates○ Increase in stock dividends

UpsideNet trading income /２
Net other ordinary
incomeUpside３+4.9
G&A
expenses Credit
Net fees
costs
-2.8
and
-2.1
commissions
Stock-related+9.9
gains losses

Upside１

Down
Side ２

Net
interest
income+10.9
Down
Side １

62.4

2

Credit cost
○ To reduce credit cost through solution review meetings○ Reversal of reserves accumulated conservatively

3

Upside４

Gains/losses related to stocks, etc.
○ Increase in gains on sales of stocks due to the rise in the stock market

-4.3

75.0

Others-5.5

Dif. between
consolidated
and nonconsolidated+1.6

4

Others○ Decrease in pension liabilities due to a rise in long-term interest rates

Downside from the initial forecast

1

Net fees and commissions○ Subordinated progress in earnings from sales of financial products comparedwith initial plan

Down
Side ３

2

Expenses○ Increase in expenses due to expansion of human capital investment

3
FY2023(results)

Copyright © 2024 The Chiba Bank, Ltd. All Rights Reserved.

FY2025(plan)

Dif. between consolidated and non-consolidated○ Chibagin Securities: Subordinated earnings progress due to focus on post-sales follow-up

18
18

PBR Improvement Logic Tree・Strengthening investment while considering
portfolio balance
・Strategically invest capital, people, goods andmoney

Improvement of RORA by sector(refer to page 22)

・Expansion of customer base by increasing
lending and strengthening branch network
・Thorough cross-use and solution proposals

Loans … +5.0% compared with 3/2023
New branches opening … Mito Branch,
Hamamatsu-cho Branch, Shinjuku West
Corporate Banking Office・Implementation of digital marketing strategies
・Increasing digital customers and improving unit
pricesNumber of registered app users reaches
1 million
50% active account penetration by theend of the current mid-term plan・Thorough investment contributing to theimprovement of revenue
・Reduce OHR to about 45%

Thorough implementation of investment
discipline (5-year ROI: 141%)
Consolidated OHR of 45% for the final
year of the mid-term plan・Strengthening credit management using stresstesting・Controlling credit cost by providing thoroughsupport for accompanying

Credit-related expense ratio remained
low at 4 basis points in FY2023

・Maintain a dividend payout ratio of over 35%,
aiming for a long-term target of 40%

Increased dividend by ¥4 in FY2023
Increased dividend by ¥4 in FY2024(plan)
5-year average dividend growth rate of
14.8% (P33)

Controllingshareholder
returns andgrowth investment

・Additional return of over-range capital

Share buybacks results ¥10 billion in current
mid-term plan (FY2023 interim results)
Continued consideration of flexibly sharebuybacks

・Investment in new businesses and inorganic

Increase in
expected
profit growth
rate

Newly establishment of Himawari Green
EnergyNewly establishment of TSUBASA-AML Center
Utilization of real estate funds

Refine existing
businesses
Provide new value

・Steadily implementing the strategies outlined in
the mid-term Plan
・Regular reviews and progress reports¥62.4 billion compared to FY2023 profit
plan of ¥61.0
Profit growth rate plan for current fiscal
year +9%

Reduction incost ofstockholders'equityExpanded
information
disclosure
Strengthen
engagement

Approach to P/B ratio
P/B ratio＝

ROE

× P/E ratio

１
Cost of shareholders’ equity－ profit growth rate
ROE
improvement

P/B
ratio

RORA
improvement

Range
managementof CET1 ratio

improv-ementP/E ratio
Improvement

Changes in the domestic
interest rate situation
Copyright © 2024 The Chiba Bank, Ltd. All Rights Reserved.

Investment inhigh RORA assets

Strengthening fee
business

Cost control

Increasing
dividend payout
ratio・Preparation and disclosure of materials inaccordance with investor requests

Enhancement of communication by internaland external directors(Multiple IR Day events and participation in
conferences for overseas investors)

・Increase in the number of investor meetings and Enhancing IR for individual investors
information sessions held

19
19

Toward improving P/B ratio
Changes in P/B ratio and ROE(from Mar. 2006 to Mar. 2024)

Perspective on the P/B ratio*
P/B ratio

＝
＝

ROE
ROE

×

PER

÷

Cost of shareholders’ equity－ profit growth rate

2

*ROE listed below isbased on TSE baseP/B ratio

PER 18.3x(times)

FY2005

1.8

PER 14.7x
FY2006

1.6

1.4

If ROE ≧ (cost of shareholders’ equity－profit growth rate), P/B ratio will be 1 or over

1.2

P/B ratio 1x

1

PER 7.4x

P/B ratio improvement measures

0.8

The Bank’s current P/B ratio is approximately 0.8.
In order to achieve a P/B ratio of 1, we will need a strategy of improving our ROE andincreasing our profit growth rate while lowering equity costs.

ROE⇒ Improve

Equity costs⇒ Lower

FY2007

Profit growth rate

⇒ Increase

FY20080.6

FY2019
0.2

(%)

0
0

2

4

6

P24

*The Bank’s administrative equity costs are estimated using CAPM

Improvement measures
Further improve ROE◼ Improve ROE by
improving RORA
7％ or overapprox.8％

6.38％
FY2022

FY2025

FY2030Lower capital costs

Ongoing profit growth◼ Reduce “information asymmetry”
between the Bank andshareholders by expanding
non-financial disclosures andimproving shareholder
engagement◼ Consolidated net income plan

Shrinking risk premium beta

(Billion yen)

60.2

75.0

100.0

FY2023
P/B ratio approx. 0.8x
(ROE about 5.5%)

FY2025

FY2030PER 7.4x

Copyright © 2024 The Chiba Bank, Ltd. All Rights Reserved.

8

FY2025interest rate rise
scenario 2

FY2025plan

PER 14.7x

FY2022Current mid-term planPrevious mid-term plan
FY2005 ～ FY2019

0.4

10

12

ROE
TSE base

P/B ratio approx. 1.2x
(ROE about 8%)

P/B ratio approx. 0.9x
(ROE around 6%)

Final year of theprevious midterm plan
Final year of the (FY2022)
second previous
mid-term plan
(FY2019)

P/B ratio 1x

P/B ratio to exceed 1x
in the current mid-termplan is in sight
20
20

Growth Strategy
FY2022 results

Fortify existing business

Net income…￥60.2 bil.
RORA…0.75％

ROE*…6.38％(TSE base) 5.68%

Resource allocation
Identify 370 employees via rationalization/
review of branch network, and allocate
them to growth areas

PeopleReorganization

PeopleNote

Head Office(planning)

55

Strengthen sales branch
support structure

Head Office (sales)

85

Enhance specialists

Head Office(administration)

40

Consolidate administration ofsales branches at Head OfficeGroup companies

60

Prioritize sales divisions

Sales branch

110

Branch opening, enhance RM

HR development

20

RM development, DX trainee etc.

Total

Corporate

RetailIncrease market share in areas
abandoned by other banks
Increase loans via new branches

Enhance businesssuccession, M&A

Improve consulting
Improve proposals to nonborrowers

Diversified financemenu

Financial
product

Housingloan

Trust/
Inheritance

Increase in net income from fortifying existing business… approx. ￥12.0 bil.

RORA improvement…+0.05％
Digital/new business
Digital+1.4 bil.

Additional app, portal
featuresInternet Loan Center

Four major measures
for invest trust

Transaction data, credit
checks using AI, etc.

370

Things/money

Comprehensive financial
consulting(Billion yen)

Strategic
investments

Expen
-ses

Existing
business

5.6

1.8

Branch network, sales branchterminal maintenance, etc.

Digital/ne
w business

6.9

3.5

App, portal, BaaS, advertising,
etc.

Other

3.5

8.7

Human capital, digital
infrastructure, etc.

Total

16.0

14.0

New business+1.6 bil.

Cashless

Advertising

electric powerbusiness

Chibagin Market

BaaS

Metaverse

Real estate fund

Energy business

On-Ad

Anti-money
laundering center

Collaboration withSony Bank

Increase in net income from new business initiatives… approx. ￥3.0 bil.
RORA improvement…+0.03％

Notes

FY2025 plan

30.0
※ ROE: Shareholders' equity basis

Copyright © 2024 The Chiba Bank, Ltd. All Rights Reserved.

Net income…￥75.0 bil.
RORA…0.83％

ROE*…
7％ or over

(TSE base) about 6%

21
21

Improving RORA
RORA and OHR by division and asset generally improved, continuing efforts to improve RORA

Net income RORA

Gross business profit RORA and OHR by asset and division (FY2023)
Other OHR of retail business(FY2022 ⇒ FY2023)
Sales of financial products: 128% ⇒ 138％
Cashless: 70% ⇒ 70%
Trust inheritance: 75% ⇒ 76%

Unsecured loans

Improve RORA and OHR

4.0%①Promotion of Chibagin app②Promotion of cross-use③Steady uptake of interest
rate hikes

2024/30.8%

2026/32023/30.6%

3.0%Gross business profit RORA

FY2022

3.0

FY2023

Residential
loans

2.0%

SMEs/
Sole proprietors
1.0%

Real-Estate
Rental①Promotion of corporate
portal use②Steady uptake of interest
rate hikes(trillion yen)
5.0
6.0

4.0

1.3%

2023/32026/31.1%

2024/30.9%
1.0(trillion yen)
2.0

1.5

Risk assets

Risk assets

Strengthening
fee business

Strengthening
fee business

Build up pipeline of corporate
solutionsImprove RORA and
OHR

Large/mid-sizedcorporations

Deepening of digital marketing
Expansion of cross-use
Cross-use(Billion yen)

15.7
3.1

16.6

17.5

2.8

4.0

13.8

13.4

Product use

10.0

0.0%
40%

1.5%

Net income RORA

*Bubble size: gross business profit

1.0%

Net income RORA*Cashless only consolidated basis due to JCB business transformation to the Bank,and Others are shown on a non-consolidated basis.

RORA in the retail sector

RORA in the corporate sector•Division that does not use risk-weighted
assets•OHR control through “digital utilization”
and “individual comprehensive consulting

30%

20%

10%

*Since OHR of each division does not include HQ expenses,tend to be low overall*In calculating RORA, risk-weighted assets were converted to the Basel III finalization
full implementation standard

OHR
Copyright © 2024 The Chiba Bank, Ltd. All Rights Reserved.

1.8
12.4

Account use

8.1
Account only
FY2019FY2022

FY2023

FY2025(Plan)*Including management succession advisory services (retrospectively changed)

DigitalCustomerNon-digital
Customer

22
22

Continuing Growth toward FY2030 (Simulation)
Fortify existing business, strengthen new businesses and digital initiatives. Capture domestic interest rates hike as upside.
Current mid-term plan

From the next mid-term plan

Rise in domestic
interest rates

ROE
About 8%ROE
above 7.0%

¥75.0
billion

ROE
6.40%
ROE
6.38%

¥100.0billionNew businesses
and digital businesses¥3.0 billion¥62.4
billion¥60.2
billionFortify existing business¥12.0 billion

Return on investment in
3.4 years

Strategic system investment and expenses
totaling approximately ¥20.0 billion over three years
Human capital investment
approximately ¥0.4 billion (FY2025)

FY2022

ROE improvement
effect resulting fromrising interest rates

FY2023Further strategic spending

FY2024FY2025

FY2028FY2030(1st year)(2nd year)(5th year)(7th year)

Scenario 1+0.12%+0.15%+0.16%

Scenario 2+0.65%+1.58%

Scenario 2 /ROE

Copyright © 2024 The Chiba Bank, Ltd. All Rights Reserved.

8.5~9.0%(TSE base) about 8%

Achieving P/B ratio 1.0x
*If PER 14.7x in FY2023 ismaintained+1.56%
above 9%(TSE base) around 8.5%

About 10%(TSE base) above 9.0%

23
23

Interest Rate Rise Simulation
Simulation of interest rate increase due to change in BOJ's policy rate
JPY investment and funding structure￥19.9 tri. as of Dec. 2023
Marketability
procurement, etc.
3.2

Marketability
investment, etc.
6.7

Variable deposits
11.9

Fixed (corporate)
4.3

Fixed deposits 3.1
Equity funding, etc.
1.5

(trillion yen)

Basic balance

0.9

0.2
1.2

1.7
Macro-addedbalances

excessreserve

3.8

1.5

Asset

Funding

3/2024(After September 2024) Average interest rate in December 2023 + 0.60%

2.0

0.4

0.1

2.8
1.2

0.4

3.1

3.3

1.7

2.1

0.7

3.0

1.5

1.0

Call money,
etc.

Asset
Funding
3/2025(estimated)

Copyright © 2024 The Chiba Bank, Ltd. All Rights Reserved.

0.8

1.0

26.0
1.2

3.0

1.4

1.4

1.4

1.4

1.4

-2.5

-3.2

-3.7

-4.0

-4.0

3.0

23.0

Fixed

2.3

3.0

BOJ
operations

Balance of loans
and securitiesto-deposit, etc.

Total

3.7

2.7

Profits +0.12%
decrease
FY2024effectFinal year of
the mid-term plan

Yen bonds

9.9
Market-linked
interest rate

7.5

Bank of Japan’scurrent account

7.7
4.9

+0.15%+0.15%+0.15%+0.16%FY2025

FY2026FY2027

FY2028

31.0

2.0
23.1

34.9

37.5

2.6

3.2

(billion yen)

23.1

23.1

Prime

15.0

19.2

21.3

0.2

9.1

2.2

13.4

13.4

13.4

13.4

7.4

7.4

7.4

7.4

-28.1

-29.9

-30.8

-31.0
¥31.6 billion
increase inunrealized losses+1.56% on yendenominatedFY2028 bonds-12.8
Deposit¥10.9 billion increase inunrealized losses
on yen-denominated bonds

ROE effect

2.9

1.1

rate

(billion yen)

Final year of
the mid-term plan

Asset
Funding
BOJ current account
Changes in the structure of asset and funding
0.2

・TIBOR (until September 2024) maintaining the rate after the change of policy

・Short-term prime rate +0.5% from September 2024

Profitincrease
effectFixed (residential)
0.4

legal reserve

・10-year JGB yield of 1.5%

(estimated based on recent actual interest rates)

・Short-term prime rate remains unchanged

Short-term prime
rate, etc.4.8

Investment
securities 0.9

Policy rate to be raised to 0.5% in September 2024

・Month average interest rates remains unchanged in April 2024

Market-linked
interest rate 2.5

Ministry of Finance
loans
0.3

Scenario 2Interest rates remains unchanged(Trillion yen)

Excluding Ministry of
Finance loans
2.2

Scenario 1⚫ Calculated based on the difference from the market interest rate in December 2023.
⚫ Calculated on the assumption that the outstanding balance is unchanged from theportfolio at the end of December 2023.
⚫ 60% pass-through rate of fixed-rate loans for corporate.
⚫ Short-term prime rate is unchanged since December 2023.
⚫ Deposit interest rate is raised from April 2024.
⚫ Repurchase the same amount when the JGB matures, reflecting the rise in market
interest rates.

ROE effect+0.65%+1.58%+1.67%+1.66%FY2024FY2025

FY2026FY2027⚫ Calculated based on the difference from the market interest rate in December 2023.
⚫ Calculated on the assumption that the outstanding balance is unchanged from theportfolio at the end of December 2023.
⚫ JGB yields are assumed to rise in parallel with all maturities (+0.89%).
⚫ 60% pass-through rate of fixed-rate loans for corporate and 80% pass-through rate ofprime loans.
⚫ Deposit interest rates are assumed to be raised in view of a rise in market interest rates.
⚫ Repurchase the same amount when the JGB matures, reflecting the rise in market
interest rates.

24
24

Operating Base (Average Balance / Yield of Loans and Bills Discounted / Amount Executed)
Yields on domestic loans reversed to positive, and execution amount have been favorable for both corporation and residential loans
Domestic Operations
Average balance / yield of loans and bills discounted* ① ”Yield on loans and bills discounted” and ②” Yield on deposits” (which includes
NCDs) are rounded down to the second decimal place. “Difference between average
yield on loans and deposits” is the difference between ① and ②.

0.95%

0.95%

0.92%

0.89%

0.92%

0.89%

0.87%
0.87%

0.87％
0.87%

(Billion yen)

10,049.3

11,048.2

10,584.5

FY2019FY2020Excluding Ministry of Finance loans

FY2021

11,529.1

FY2022

11,986.3

FY2023

Avg. balance

9,891.9

10,391.5

10,844.0

11,276.1

11,782.2

Yield

0.97%

0.94%

0.91%

0.89%

0.88%

【Year-on-year】

2.73%
1.32%
1.06%

1.00%

(Billion yen)

1.06%
0.97%

1.06%

0.56%

510.1

478.2
418.1

406.2

FY2019FY2020
FY2021
Copyright © 2024 The Chiba Bank, Ltd. All Rights Reserved.

422.7

FY2022

FY2023

293.2

285.3
280.0

Difference
between average
yield on loans anddeposits*+0.00%

Average balanceof loans and bills
discounted+3.9％【Year-on-year】
Average yield on
loans and bills
discounted＋2.11%

3.20%(million yen)

Average yield on
loans and bills
discounted+0.00%

Overseas Operations
Average balance / yield of loans and bills discounted
5.31%

Net interest income per day from loans in yen currency(non-consolidated)

Difference between
average yield on
loans and deposits*-0.50%

Average balance ofloans and bills
discounted+20.6％

275.1
269.2
264.8

264.5

265.0

'3/19

'9/19

'3/20

'9/20

270.8

'3/21

272.2

272.0

'9/21

'3/22

'9/22

'3/23

'9/23

'3/24

Trends in corporate loans amounts executed*Extraction of loans on deeds, loans on bills, and discounts on traders (excluding overdraft, spot loans, etc.)(billion yen)

1,554.5

3/20201,755.1

3/2021

1,561.9

3/2022

1,782.1

3/2023

1,978.1

3/202425
25

Operating Base (Balance of Loans / Deposits at Term-end)
Loans to corporation loans, residential loans, and other consumer loans continued to increase, and deposits have also steadily increased

Balance of loans at term-end(Billion yen)

12,768.0
12,153.6

10,616.5
240.3
409.8
178.6

11,206.4
243.7
409.7
184.2

11,691.3
265.4
470.9
189.9

316.9
423.1
199.6

422.1
370.8
215.3

4,026.0
3,917.7
3,736.1

3,834.3

3,632.3

Balance of domestic loans at term-end (by region)【As compared toMarch 31, 2023】〔Total〕+5.0％
Overseas
operations+33.1％
Public bonds-12.3％
Other
consumer
loans
+7.8％
Residential
loans
+2.7％

(Billion yen)

10,376.2

3,204.0

10,962.6

3,497.5

11,425.9

3,775.1

11,836.7

3,984.2

12,345.8

4,302.6

562.8

581.0

590.6

599.3

6,635.1

6,902.2

7,069.7

7,261.8

7,443.7

3/20203/2021

3/2022

3/20233/2024536.9【As compared toMarch 31, 2023】〔Total〕+4.3％

outside Chiba
Pref.
+7.9％
Chiba Pref.
(regional
revitalization areas)+1.4％

Chiba Pref.
(growth areas)+2.5％

Balance of deposits at term-end

4,839.0

5,179.3

5,426.3

5,753.7(Billion yen)

6,098.0
SMEs+5.9％

12,788.9
289.3
783.8

14,104.5
282.0
956.3

2,822.3

14,787.6
266.5
982.0
3,003.7

15,424.4
332.7
1,117.7
3,055.5

15,951.6
404.2
1,161.7
3,174.8

1,542.4

1,635.6

3/20203/2021
3/2022
3/2023Copyright © 2024 The Chiba Bank, Ltd. All Rights Reserved.

3/2024

1,316.3

1,453.1

1,504.2

9,305.2

3/2020Overseas
operations,
JOM accounts+21.4％
Public sector+3.9％

2,410.3
Large/midsizedcorporations+6.0％【As compared toMarch 31, 2023】〔Total〕+3.4％

10,043.7

10,535.3

10,918.3

11,210.7

3/2021

3/2022

3/20233/2024

Corporate+3.9％
Retail
+2.6％

26

26
26

Operating Base (Loans)
Strong demand for housing has led to a strong loan portfolio with a high conservation ratio, contributing to the soundness of our loan assets, one of our strengths

Number of corporate borrowers (domestic only, excl. public)(Borrowers)

51,578Proportion of loans by industry (as of 9/2023)

51,68750,734
Chiba
千葉
Bank

49,332Wholesale, Manufa
retailcturing

Real estate,leasing※Non-Consolidated (Source: Nikkin)

Finance,insurance

Other

28.3%
7.5% 6.5% 4.3%

Real estate
rental 22.1%

53.4%

47,866
46,931
46,18198％ areSMEs, etc.

Regionalbanks'
地銀平均
average(62 (62)
lines)
3 megaChiba
メガ3行平均banks'
Bank
average

3/18

3/19

3/20

3/21

3/22

3/23

3/24

0%

17.7%

21.1%

10%

8.8%

20%

30%

5.2%

16.9%

40%

59.6%

11.9%

50%

41.3%

60%

70%

605.6

512.7

507.8

488.0

Chiba
Bank

370.1

3 megabanks'
average

メガ3行平均

3/18

21.8%

地銀平均

415.5

3/19

3/20

Copyright © 2024 The Chiba Bank, Ltd. All Rights Reserved.

3/21

3/22

3/23

3/24

12.6%

57.4%

千葉

Regionalbanks'
average
(62)

449.0

3/17

Guarantee

Real estate

584.4

552.8

383.9

80%

90%

100%

※Non-Consolidated (Source: Nikkin)

Post-COVID(Billion yen)

3/16

9.3%

Proportion of loans by collateral (as of 9/2023)

Guarantee association loan balance

3/15

8.2%

7.3%

0%

34.4%

20%

Other

29.0%

1.0%

0.8%

43.0%

23.5%

10%

Credit

65.2%

30%

40%

50%

60%

4.0%

70%

80%

90%

100%

27
27

Operating Base (Residential Loans)
Optimize proposals at each stage: Review ➡ Loan execution ➡ Repayment

Residential loans delinquency/guarantor rate

Residential loan balance(Billion yen)3917.73548.63632.33736.1

4,026.03834.3

Substitute amount and thesubstitute rate

Delinquent loan balance anddelinquency rate
0.60％

0.18％

0.43％

3431.10.30％(billion yen)3281.715.4

3140.511.9

3016.30.04％(billion yen)

4.4
1.5
'3/12

3/15

3/16

3/17

3/18

3/19

3/20

3/21

3/22

3/23

'3/15

3/24

357.0
328.1
78.1

349.2
85.3

352.4
90.4

376.6
347.3
91.9

(Thousand cases)

200

116.7

202

204

206

'3/15

'3/18

196

263.8

261.9

255.3

Chiba Pref.

'3/20

'3/21

'3/22

'3/23

'3/24

Measures to improve user engagement New
3/21

3/22

Copyright © 2024 The Chiba Bank, Ltd. All Rights Reserved.

3/23

3/24

'3/23'3/24

86%

Chibagin
App

52%
3/21

95%
94%

259.9
'3/19

3/20

93%

82%
77%

249.9

'3/21

Credit debit

93%

192

Other

3/19

'3/12

Proportion of incidental transactions

Number of mortgage holders(Billion yen)

276.0

'3/21 '3/23'3/24

Expansion of cross-use of housing loans at entrance/ Improve engagement

Residential loan execution total

80.9

'3/18

3/22

3/23

3/24

Plans to hold music concerts exclusively for residential loan customers (jointly with Sony Bank)
28
28

Operating Base (Unsecured Loans)
Steady growth in unsecured loan balances and promotion of non face-to-face transaction through Chibagin app
Unsecured loan balance

Overdue loan balance/delinquency rate
210.7

(billion yen)

142.2

157.8

126.3
107.8
77.0
39.9

89.5
45.0

51.3

56.5

60.0

49.3

'3/14

'3/15

59.2

61.7

60.7

64.2

69.4

1.12％

2.15％

Card loan

0.37％

40.2

37.0

183.6
170.4 177.0

Card loans(Chibagin Securities)

Multipurpose loans(Chibagin Securities)

194.0

85.6

97.7

62.8

74.9

'3/16

'3/17

'3/18

'3/19

108.7

117.8

122.9

129.8

141.2

Multipurpose

0.26

0.22

0.14

(billion yen)

'3/20

'3/21

'3/22

'3/23

'3/24

'3/12

(billion yen)

'3/15

36.3
32.2
2.8
1.4
11.5

3.5
1.6
12.0

39.1
3.7
1.9

11.4

13.0

38.0
2.0
2.2
11.2

42.0
2.0
2.3

Other
Reno.

14.0

13.7

16.3

19.0

20.3

'3/18

'3/19

'3/20

22.4

23.9

'3/22

Copyright © 2024 The Chiba Bank, Ltd. All Rights Reserved.

'3/23

'3/24

'3/18

'3/21

'3/24

Amount of executedof card loans(billion yen)

0.3

33.0

Others

3.0

9.8

7.2

Car

FY2022
'3/21

'3/15

17.4
16.8

School28.9'3/24 '3/12(thousand cases)

13.7

25.3

'3/21

Number of new contracts forcard loans by product category(billion yen)

40.6
1.9
1.8

'3/18

Number of new contracts and amount executedby product category of card loan

Multipurpose loan execution total
47.4
2.2
2.1

1.41％

0.44

FY2023

30.2
Quick-Power

In-app loan
"One loan"

FY2022・”One Loan,” an in-app loan, accounts for approximately 40%
of new contracts in the first year since its launch in March 2023

FY202329
29

Operating Base (Branch Network)
Expand the market share in the prefecture and strengthen sales in the Tokyo metropolitan area through our strong branch network and digital channel
Domestic branch network(Excluding branch-in-branch, sub branch, loan centers, online branch etc.)

IbarakiPrefecture

SaitamaPrefecture

3 branches
Tokyo
Metropolitan
Government

15 branches

To strengthen sales
in the Tokyo
metropolitan area

4 branches

2024/4～
Expansion of the sales area
throughout Tokyo andneighboring prefectures

Chiba
Prefecture

37% of127

branches

Osaka
Prefecturebank branches
in Chiba
Prefecture

Further establishmentof new bases

As of 3/31/2024<New branches>

1 branch
Share of branches
in Chiba Prefecture
35%
387
71
182

134

37%

2023/11～
Mito Branch

Chiba Bank
prefectural
share[Total]

340
48
165

127

Chiba Bank
106
branches

Other banks

Other regionalbanks in Chiba
Pref.*2(Mega banks andprefectural regionalbanks)

3/20193/2024
Copyright © 2024 The Chiba Bank, Ltd. All Rights Reserved.

Mar. 2019

Other banks Chiba Bank
(Mega banks andprefectural
regional banks)

Expansion of the Area Sales Officesystem(Collection of know-how andimprovement of efficiency)

2023/12～
Hamamatsu-cho Branch

Comprehensive branch share

Major Banks*1

Chiba Bank

Maintenance of the comprehensive
branch network(Differentiation from Other Banks in
the Prefecture)

2024/6～
Shinjuku West Corporate
Banking OfficeNew2024/4～
Mobara Area Sales Office102

branches

Mar. 2024

Achieving both top-line improvement and low OHR
through a full and efficient network

Expansion of the Bank share of
the comprehensive branchOver the past 5 years, the number of comprehensive
branches of other banks has declined*1. Mitsubishi UFJ, Sumitomo Mitsui, Mizuho, Resona*2. Keiyo and Chiba Kogyo

30
30

Financial Base (Efficiency / Soundness / Stability)
Building strong financial base through efficient business management and high soundness at the top level of Japanese banks, and stable capital management
Consolidated capital adequacy ratio /risk-weighted asset total

Low OHR/ Low non-performing loan ratio※Flash report

16.24%

Non-performing loan ratio
compared to other banks

OHR compared to other banks

16.20%[as of 2023/3]

12.79%

Lower value indicates more efficient management

2.11%

68.1%

12.12%
12.28%
11.51%

47.0%

Chiba

Chiba

(Billion yen)

0.93%

49.4%

7,705.5

0.84%

8,098.7
956.6

1,039.1
Mega 3 line average

3 megabanks
average*

Averag e o f regio nal and second-tier region al banks
Chiba

Chiba

Reg. banks/2 nd -tieraverage *※Source: Simple average calculated from Nikkin Report[Result differs from Bank calculations,quoted here for comparison only]

Mega 3 line average

3 megabanks
average*

Averag e o f regio nal and second-tier region al banksReg. banks/2 nd -tieraverage *※Source: Nikkin Report(simple average, non-consolidated basis)■ Achieve high cost-efficient and stable performance due to low OHR and
low Non-performing loan ratio

Controlling capital cost

Copyright © 2024 The Chiba Bank, Ltd. All Rights Reserved.

12.11%

11.63%

11.94%

11.54%

8,455.9

8,698.6

1,112.9

1,159.6

6,666.3

7,142.0

7,342.9

7,538.9

3/20203/2021

3/2022

3/2023(%)

2023/32024/3

Total capital adequacy ratio
CET1 ratio

11.63
11.54

16.24
16.20

10.57

13.89

Excluding unrealized gains/losses
on securities【As compared toMarch 31, 2023】

Capital adequacy ratio+4.60%
CET1 ratio+4.66%Start of applicationof Basel III
finalization（March

31,2024)

Total risk-weighted
assets -20.5％

6,912.9
0.0

Floor adjustments

6,912.9

Risk-weighted assets
before floor adjustments

3/2024

Rough calculationof balance sheet asof 3/2024
on a Basel III
finalization basis.

Finalization
completed
13.88
13.84
11.87

31
31

Capital Policy ① (Capital Management)
Maintaining the policy of target range of 10.5% to 11.5% for CET1 ratio*
Perspective of capital management

CET1 ratio* target(%)

InorganicNet
income investment
Asset
accumulation DX
investment
Shareholders
returnBasel III
finalization basis
11.87%

Additional
shareholder return,
etc.

11.5%
TargetRange

Appropriate
level

Growth investment

10.5%
Capitalaccumulation

2024/3
期初

当期純利益

資産積み上げ分

DX投資（無形固定資産）

インオーガニック投資

株主還元

Aiming level
期末Concept of capital utilization

Forecast to exceed 2024/3③ Inorganic investment■ Strengthening shareholder returns

Copyright © 2024 The Chiba Bank, Ltd. All Rights Reserved.

54.0

Consolidated
shareholder
return ratio
Consolidated
Dividend ratio

50.3

48.6

52.9

41.7
29.9

22.9

22.0

24.5

28.1

29.9

32.6

33.9

(Yen)

13

15

36.9

37.6

18

17

2H
Dividend

7.5

7.5

8

10

11

7.5

7.5

8

8

9

11

13

15

1H
Dividend

'17/3

'18/3

'19/3

'20/3

'21/3

'22/3

'23/3

24/3

+1

+2

+2

+4

+4

+4

5-year ROI
141%(expected)

Recovery in 3.4 years on averagedue to investment effect

18
25/3

(estimate)+4

Major measures
・Addition of app and portal functions
・Cashless・Development of digital infrastructure
・New business

Investment effectConsider further strategic system investment
in consideration of ROI■ Increase investments/assets that contribute to improving ROE over the
medium to long term
① Further accumulation of risk assets (loans, securities, etc.)② Increase intangible fixed assets through further strategic system investments

47.9

Strategic system investment and expenses① Accumulation of profits,➁ Accumulation of risk-weighted assets③ Payment of dividends / Share buy-backUtilize capital to target range

51.2*CET1 ratio on a Basel III finalization basis excluding
unrealized gains/losses on securities[Premises] In the mid-term plan and the next plan
CET1 ratio of 2029/3

Dividend ratio: over 35%
Long-term goal: 40%

Shareholder return policy

Recovery image of investments and expenses
associated with measures implemented in thecurrent mid-term Plan

Investment expenses
Approximately 20.0 billion yen incurrent medium-term plan
FY2023

FY2024FY2025

FY2028FY2029

Aim to further improve ROE by utilizing
capital through the accumulation of
intangible fixed assets*※Items to be deducted from capital in calculating
CET1 ratio

3232

Capital Policy ② (Strengthening of returns and reduction of cross-shareholdings)
High Total Shareholder Return and Dividend Growth Rate compared to other banks / steadily reduce cross-shareholdings in line with the policy in the Corporate Governance Report

Total Shareholder Return

Ratio of cross-shareholdings to consolidated net assets*Cross-shareholdings are shown on a non-consolidated basis

Five Years from March 2019 to March 2024

24.45%

21.86%

256.9%

21.95%

19.90%【As compared toMarch 31, 2023】

17.06%(Billion yen)230.1%

196.1%

193.9%

254.6

203.1
* TOPIX*Top reg.
3 megabanks
Chibabanks average
averageaverage* Average of the top five regional banks in terms of total assets (four banks excluding Chiba)* Average of TOPIX is calculated base on TOPIX Net Total Return Index* Average of other banks is calculated as simple average.

110.5

95.9

82.1

Book value cut in half in four years
3/2020Five-year period from FY3/2019 to FY3/2024

211.1
201.6

113.2

Dividend Growth Rate (Dividend per Share)
Five years
100.0%

232.5

3/2021

3/2022

Ratio of crossshareholdings
to consolidated
net assets(Market value)-2.84%

3/2023

56.6

Market value-9.5

Book value-25.5

3/2024

Cross-shareholdings/number of stocks held

Annualaverage

313

56.5%

14.8%

Chiba

41.3%
137

9.2%

139

6.9%

3 megabanks*Top reg.
averagebanks average* Average of the top five regional banks in terms of total assets (four banks excluding Chiba)* Average of other banks is calculated as simple average.

Copyright © 2024 The Chiba Bank, Ltd. All Rights Reserved.

306

285
138

265
139

241
141

176

167

147

126

100

3/20203/2021

3/2022

3/20233/2024

Unlisted Stock

Listed stock

33
33

Alliance / TSUBASA Alliance
Expanding collaboration in a wide range of areas, starting with system linkages
System linkage

Sales collaboration and administrative collaboration

Improved development capabilities and cost reduction effects◼ Sales collaboration using a wide-area information network

New◼ Fundamental system: five banks introduced

To strengthen business matching, LBO loans, and real estate nonrecourse loans(Introduced by Toho Bank in January this year and expanded to fivebanks)
Reducing development costs and ｍutual use of backup locations◼ Cooperation with regional trading companies
Support for the establishment of regional trading companies by Gunma Bank
Joint store openings in Marche◼ App: seven banks introduced◼ Ten-Bank Joint Seminar◼ Other: collaboration at the time of introduction of thefollowing system
System overview

Corresponding banks (excluding
Chiba)

Responding to the “My Number”
new law

Daishi Hokuetsu, Chugoku, Toho,
and North PacificResponse to invoice system

Chugoku, North Pacific

Transfer control system

Daishi Hokuetsu

Broadcast for zengin more timesystemDaishi Hokuetsu, Chugoku and North
Pacific

TSUBASA general purpose
paperless system

Daishi Hokuetsu and Chugoku

Loan management system

Simultaneous revision of medical fees and nursing care fees web
seminarNumber of main borrowers
Source: Teikoku Databank,Ltd.
“National Main Bank Trend Survey 2023”(thousand companies)

Daishi Hokuetsu,North Pacific and
Toho◼ API linkage: developing services that leverage our customer base

Activities of the joint venture company“T&I” Number of individual user IDs on the API platform

3.32(Million)

2.55

T&I
total

1.71
1.08
0.40
0.08
'20/3

0.42
'21/3

0.65
'22/3

0.85
'23/3

1.06
'24/3

Chiba
Bank

Copyright © 2024 The Chiba Bank, Ltd. All Rights Reserved.

New

Company name

Investor

Description of business

TSUBASA
Alliance Co., Ltd.

All 10 banks in the alliance

Advice and recommendations toimprove operational efficiency,
entrustment of office work

T&I innovation
Center Co., Ltd.

6 banks in the alliance
IBM Japan, Ltd

Fintec's research, planning anddevelopment of services

Onad Co., Ltd.

3 banks in the alliance
Nomura Securities Co.,Ltd.

Financial advisory specialization
See page 51 for details

TSUBASA-AML
Center Co., Ltd.

3banks in the alliance
Nomura ResearchInstitute,Ltd.

Advanced and more efficient AML
See page 48 for details

61.0

68.0

76.0

MizuhoResona
HD

SMBC

140.0

94.0

MUFG

TSUBASA
Alliance

SDGs and Human Resource Development◼ Clear folder collection and recycling campaign
All TSUBASA member banks participate◼ TSUBASA Trainee System
Strengthen mutual understanding and cooperation of the alliance (Chiba Bank
accepted eight participants)◼ TSUBASA cross-mentor system (second time as in the previous year)
Each bank's director serves as a mentor to other banks' female executives.

34
34

Alliance / Chiba-Musashino Alliance and Chiba-Yokohama Partnership
Leveraging collaboration in the Tokyo metropolitan area, we will further increase our presence in the sales area and accumulate results

Chiba-Musashino Alliance

Chiba-Yokohama Partnership
Developing know-how among top
regional banks

Realization of an evolved regional bank
◼ Expanding presence in the Tokyo metropolitan area

Effective amount

Phase 1

Phase 2

(Initial to March 2021)(2021/4～2026/3)

Cooperation among top
regional banks in theTokyo metropolitan area

14.3 billion yen

Plan achieved
1.5 years aheadof schedule

Cumulative total
15.0 billion yen

26.8 billion yen

Five-year plan
Cumulative total
20.0 billion yen(March 31,2024)

16.6 billion yen

11.7 billion yen
Cumulative total

Effective amount
Cumulative total
35.9 billion yen◼ Accelerate collaboration and commonality in all areas

New regional bankcollaboration model that
does not involve
management integration

8.4 billion yen
1.5 billion yen

7.9 billion yen
4.6 billion yen

2020/32021/32022/32023/32024/3

New Five-Year Plan (April 2024 to March 2029)
2021/32022/32023/32024/3

Improving the presence of the Tokyo metropolitan area

2026/3～Creating value for customers through Chiba and Yokohama ～Major Initiatives

Target effect: 25.0 billion yen (Pursuing alliance effects for further buildup)◼ Collaboration at the Hamamatsu-cho Branch:
Conversion of Hamamatsu-cho corporate sales office, ajoint base, into a branch office(December 2023)

Collaboration among
the three banks◼ Expansion of mutual human resource exchanges:① Expansion of the scope of management-level personnel
exchange (personnel, diversity, and digital) started in
2021② Personnel exchange with liaison officers of branch offices◼ Joint hosting of seminars, etc.

Copyright © 2024 The Chiba Bank, Ltd. All Rights Reserved.

• Start-up seminar• Migration and two-stronghold
residence seminar• SDGs seminars, etc.

Corporate

Expansion of sales branchcollaboration, etc.,
centered on branches in
Tokyo

DigitalDeveloping digital humanresources and considering
cooperative measures in
the advertising businessIndividual

Collaboration, etc. that
contributes to the realization ofAsset Management Nation

Sustainability

Strengthening efforts tocontribute to the ESG
strategies of both banks

35
35

Alliance / Collaboration with JUUDANKAI / Cross-industry Collaboration
Improve the organization's ability to deliver value through diverse collaboration

JUUDANKAISony Bank
Development with a view
to deepening anddeveloping

Both groups, which have affinity for systems-related fields,
will share knowledge and expertise
Enhancing customer services andcontributing to sustainable growth in eachregional economy

Realization of efficient system operation
and business processes

SystemTask Force

Operational Efficiency
Task Force

Joint research

Joint research⚫Next-generation systems andsubsystems⚫Digital field⚫Measures for anti-money laundering⚫ Labor saving measures inbranch operations⚫ Operational efficiency

Cyber Security
Task Force
Joint research⚫ Cybersecurity measures

Sharing of know-how⚫ Cyber risk management

Mutual provision of digital technologies, products
and services■Utilizing the latest digital technologies
Introduction of telepresence system “Mado" at
Mito Branch and Hamamatsu-cho Branch“Large Naked Eye Stereoscopic Display" in
the Innovation LoungeNew■Mutual provision of products and services
that are the strengths of both banks
Foreign currency
Housing loan customer service
services
Collaboration Agreement on
Crowdfunding

Chiba Bank (Chigin Store)

Sony Bank・Expansion of market
・Test marketing

TSUBASA Alliance

JUUDANKAI・Nationwide PR ofthe company's products
・Fund procurement
Local company

Joint research on the use of technology■Joint research on the use of block chains■Joint research on DX of housing loans■Joint research for the development of asustainable society
Copyright © 2024 The Chiba Bank, Ltd. All Rights Reserved.

Trust and inheritanceNew

Invest in Sustainability
Linked Bonds issued bySony Bank(February 2024)
36
36

Alliance Initiatives● Top-level coordination committee

The first half of FY 2023
● Holding a meeting of presidents★TSUBASA Alliance Co., Ltd., HP established★Introduction of “TSUBASA General Purpose
Paperless System”(Daishi-Hokuetsu Bank)●Alliance Promotion Committee★Mutual exchange of personnel between
headquarters management and sales branchpersonnel (continued implementation)

The second half of FY2023● Holding a meeting of presidents★Established TSUBASA-AML Center Co., Ltd.
★Migration to TSUBASASA core system collaboration (Toho Bank)★Established TSUBASA / JUUDANKAI Joint Research Group★Joint sponsorship of "Simultaneous revision of medical and nursing
care fees web seminor” (all 10 banks)

From FY2024★Sponsorship of the Osaka
Expo★Holding a joint study
session for theheadquarter generalmanagers● Alliance Promotion Committee★ Conversion of Hamamatsu-cho corporate sales office intoa branch office and co-transfer[CMA/CYP related seminar]★”Startup Seminar2023”(Supported by Musashino Bank and Bank of Yokohama)★“Online Seminar on Migration and Settlement”● Holding a meeting of presidents★Joint sponsorship of “Chibagin-Hamagin student
business contest 2023”★Hosting“Local Government DX Promotion Fair +Hybrid Seminar”(supported by Bank of Yokohama)● Holding steering committee meetings(Joint sponsored by Chiba Bank, Musashino Bank, Bank of Yokohama ,and Kanagawa Bank)★"SDGs Seminar“(Joint sponsored by Chiba Bank, Musashino Bank, and Bank of Yokohama)● Holding a meeting of presidents★Seminar on “Supporting People‘s Life 100 Years at the End of Life”(Joint sponsored by Chiba Bank and Bank of Yokohama)● Holding steering committee meetings★ Introduction of telepresence system “Mado" at Mito Branch★Start of collaboration with “Sony Bank Gate”★ Preferential foreign currency exchange campaign
at Narita Airport Branch Office

Copyright © 2024 The Chiba Bank, Ltd. All Rights Reserved.

★Formulation of new
five year plan

★Preferential foreign currency exchange campaign at Narita Airport
Branch Office (the second time)★Invest in Sustainability Linked Bonds issued by Sony Bank
★Joint donations to TABLE FOR TWO★“Large Naked Eye
Stereoscopic Display"in the Innovation Lounge★Life events for housing
loan customers to be cohosted

3737

Transforming Customer Experience Through DX
Transforming customer experience by achieving proposals that meet customer needs in a timely manner in all channels
Realized changes
The number of registered users of the app increased to over 1 million, compared to approximately 3 million active accounts.
(operating account penetration rate: 33%)
Percentage of transactions using app (monthly comparison)
Number of remittancetransfers*

Opening of ordinarysavings account*

35.0%

tax and publicfinance collection

Opening of investment
trust accountApril 2023
Release26.6%+19.3%

+9.4%

+2.6%

7.3%

2024/32023/3

38.7%

Opening of
NISA accountApril 2023
Release35.9%

FY2020

FY2023

Number ofcases

5.44 million

7.01 million

+28%

Fees

1.58 billion
yen

1.99 billion
yen

+25%

Rate ofincrease

Number of transfers
Total transfer fees
Transaction costs
Copyright © 2024 The Chiba Bank, Ltd. All Rights Reserved.

April 2023
Release

52.2%

6.6%

2024/32023/32024/32023/32024/32023/32024/3

Effect of digitization on outgoing transfers
Overalloutgoing
transfers

Card loan contract

4.0%

25.6%
2023/3※ Only open ordinary savings accounts is web accounts opening

Further transformation ofcustomer experience

Integrate dataat all customer contacts
Predicting needs throughdata analysis /AI
Approaching customer using data
in various channels“Just when I was interested,
I got a 〇〇 from Chiba Bank”

Proposal in person
TelephoneDM
E-mailApp notification

Chiba Bank understand me...

Become Chiba Bank Group fans2023/32024/3To the bank's
growthExpansion ofcross-use
Improvement of
productivity
Further
improvement ofgross businessprofit per employee
3838Retail Business (Increase in Gross Profit Per Customer Through DX)
Aim to increase the number of digital customers and increase the unit price of customers by promoting the use of products and services
Improvement process of retail business revenue
based on the DX Strategy
Strategy 1
Shift to digital customers
Increase customer resolution throughdata analysis
Example of display

Strategy 2
Increase in the number ofcustomers using products

Change in customer composition
during the mid-term period2026/325%
Non-digital

Account use*1
48%¥ 6 thou.

1.93 million people

1.25 mil. people

31%

57%

Digital1.80 mil. people

43%

28.0 mil. People

69%

PeopleTransaction category

0.73 million people

Non-digital
2.40 mil. People

Non-digital

3.00 mil.

75%

Product use
15%¥ 29 thou.

DigitalDigital1.00 mil. people

Total of 4.06
Million people(plan)

2024/32023/3

Increase customer satisfaction and shift
upward to the transaction category

Cross-use*2
4%¥ 73 thou.

Classification of customers
Percentage of individual
customers
Gross profit per capita*1. Account use: Customers who satisfy any of the following conditions: salary/pension receipt, balance of ¥ 300 thou. or more, and use of account transfer*2. Cross-use: Uses two or more types of products

Total of 4.00 mil. people

Total of 4.06 mil. people

Total of 4.20 mil. people+0.2 million people
during the mid-term plan
Change in revenue composition
during the mid-term period2026/3 (plan)

Revenue from digital
customers is over 50%

2024/32023/3

Account only
33%
¥ 0.4 thou.

Non-digital

1.39 million people
Non-digital
customers
69%¥7 thou.

Digitalcustomers
31%¥16 thou.

Digital segment
Copyright © 2024 The Chiba Bank, Ltd. All Rights Reserved.

¥ 15.8 bil.

Non-digital¥ 20.3 bil.

¥ 19.7 bil.

¥ 17.6 bil.

49%

46%

54%

Total of ¥37.9 bil.

36%

Non-digital

Digital+¥2.1 bil.

Digital¥ 20.3 bil.

51%

Total of ¥40.0 bil.
+ ¥6.0 billion
during the mid-term plan

Digital¥ 28.1 bil.

64%

Total of ¥43.9 bil.
39
39

Personal Strategy ① (Financial Products Sales)
Eliminate profit targets and shift to activities in the best interests of customers
Sales activities after elimination of revenue targets

Proposal support by roboadvisor

Increased work efficiency and longer interviews with customers
App Investment
Trust

Chibagin
Money Guide

Four major measures
The “Okane no Basket”(Money Basket)◼ Achieving advanced
consulting proposals throughthe use of new investment
trust proposal tools

the “Okane no Basket”(Money Basket)

Paperless

Introduction of four major measures

Improvement of knowledge of
responsible staff

Review of sales evaluation method
Improvement of efficiency
Increased number of interviews

Contract
success rate

Unit sales
price

Improve the number of effective interviews, number of contracts, and unit sales
price by establishing new activities.
Improve customer resolution⇒ Increased opportunities for
proposals

Before Business
Improvement Order

March 2024

22%

51%

※Results in May 2023

Non-digital
customers◼ Improvement of convenience by making all
applications and back office work paperless

Amount of work reduction

Customer's commitment amount per time
Before introduction

After introduction¥3 million¥5 million

Chibagin Money Guide

2023/4～◼ Creating points of contact with customers who do notcome to the branch

6 hours/month

Increased time for consulting

proposals

10%

The second half of
FY2023560 per day

1,150 per day

Number of PV of asset management-related
homepages(2024/3)
YoY change Approximately 6 times

2023/4～

Changes in the opening of investment trust accounts

4,859

The first half of
FY 2023

Copyright © 2024 The Chiba Bank, Ltd. All Rights Reserved.

App investment trust(Number of cases)

Number of effective interviews

Digital customers

2023/5～Per representative

Ratio of sales and non-face-to-face of investment trusts

Branchmaanagedcustomers

Complete paperless operation

Improvement of ability tomake proposals

Number ofeffective
interviews

Sales
performance◼ After-sales support

Chibagin
AcademyRatings of activities volume2023/6～31%

40%
Non-faceto-faceapplication
rate

12%

4,458

3,744

2,089

2,539

FY2023
1H

FY20232H

Face-to-face

4,902

550

675

FY2022
1H

FY20222H

Non-face-toface(app/Web)40
40

Personal Strategy ② (Financial Product Sales, Trust and Inheritance)
Providing lifelong support through proposals tailored to each customer's life stage
Trust and inheritance-related business

Fees and commissions from financial products（Billion yen）

61%

52%
42%

44%

49%

7.7

8.1

0.6

0.7

7.1

6.3

2.0

0.6
1.4

Other0.1
0.3
1.2

2.6

1.3

1.1

2.4

2.0

1.5

1.4

FY2019FY2020

1.5
1.4

1.9

5.9
0.1
1.7

0.8

1.3
0.7

1.7

1.7

1.8

FY2021

FY2022

FY2023【Year-on-year】
Recurring
revenue rate
+12%
〔Total〕 -0.3
Fin. instrument
intermediary-0.2
Level-premium
insurance+0.4
Annuities, wholelife insurance-0.5
Investment trusts（sale）-0.0
Investment trusts(trust fees)+0.1

Future income from held testaments

Service Profit(Billion yen)

1.10

1.45

1.48

0.29

0.37

1.57
0.41

0.28
1.15

1.16

1.11

0.82

328.7
263.7

168.1
132.3
37.2
94.1
FY201936.5
124.0
FY2020【Year-on-year】〔Total〕-15.0％

300.6
22.0

116.3
37.9
124.4
FY2021

Copyright © 2024 The Chiba Bank, Ltd. All Rights Reserved.

206.8
6.0
48.3
66.2
86.1
FY2022

175.7
1.0
26.9
83.2
64.4
FY2023Fund wrap-83.2％
Chibagin
Securities-44.1％
Personalannuities+25.7％
Investment
trusts-25.1％（Billion yen）
3.34
2.85

4.21

3.92

0.86

0.73

0.57
Partners

0.45

Partners

2.77

2.39

3.34

3.19

Chiba Bank
'21/3

'22/3

'23/3

'24/3

Develop new products/
improve existing products

Two-family homes

Nursing homes

Travel products

Funeral/headstones

Use of Chibagin Market

Expand transactions
utilizing held assets

781.4

705.1

Dig
deep

Investment
products
Insurance
Sale of realestate

'21/3

'22/3

'23/3

'24/3

'24/3

Expand business matching

Total assets uncovered throughinheritance operations

519.0

'23/3

Renovations
Lateraldevelopment

613.8

'22/3

Develop non-financial services

Gain the trust of our customers andunderstand other financial assets（Billion yen）

Chiba
Bank
'21/3

Expand trust /inheritance operations

Financial product sales (Group total)(Billion yen)

Fourteen
consecutive
years
highest record
updateStrengthen
collaboration
On Ad
Hoken No
Madoguchi

41
41Corporate Business (Increase Revenue Through a Hybrid of Real and Digital Channel)
Contribute to solving social issues in the community by getting to know our clients well and providing continuous solution proposals as an assistant to management
Improvement process of corporate business revenue

Form strong customer connections through digital and in-person channels

Highly-convenient digital contact points
DigitalDigital channel that serves as a hub for eachservice that connects business operators and banks

Basic financial and communication functions
Chibagin
Business Portal

Business information■ Strengthen customer connections

Digital services
Borrowers＋ Non-borrowers■ Accumulate transaction data (including other banks)

Transaction category

Indispensable basic infrastructure
for business activity

Expand corecustomer

Expandborrowers

Advisory Specified
corporate
About 900 customers¥10,400 thousand

Example of display
Classification ofcustomers
Annual gross profit percompany

Borrowers
About 0.05 million
customers¥1,300 thousand

Client with active deposits(non-lending)About 0.097 million customers¥42 thousand

Hybrid of in-person and digital

In-person

Provide the expertise of a consulting firm

Corporate portal
contract client(64% of borrowers)

Corporate portal
non-contracted client(36% of borrowers)

Close support for essential management
issuesGrowth support

Revitalization
supportSuccession support

DX

GX

WX

Copyright © 2024 The Chiba Bank, Ltd. All Rights Reserved.

Digital segment

4242

Corporate Strategy ① (Strengthening Corporate Solutions ①)
Revenue from corporate solutions reached a record high for the 13th consecutive year
Corporate solutions-related revenue

Bank-arranged project finance / PFI*Initiatives after April 2020

*No breakdown for ”Other” (0.01 billion yen for FY2023 1H)

15.70
1.52
13.21

(Billion yen)

10.08

9.14

1.18

1.10
0.02
0.19
0.09

0.19
0.29
0.20

11.84

1.33

1.20

0.49
0.60
0.31

0.31
0.25
0.22

0.53
0.73
0.40

16.67

【Year-on-year】〔Total〕+0.97

1.61

Business
matching
+0.09

0.52
0.28
0.44

Advisory-0.00

Management
succession
+0.03

12.14

7.09

PFI

M&A
-0.45

13.54

9.33

Projectfinance

Syndicatedloans, etc.
+1.39

Gunma
Shinmaki megasolar
Aichi Tahara
Biomass energy
generation

Tomatohbiomass energy
generation

Bulk Solar insouthwest Ibaraki

Selection of sea area foroffshore wind power
generation(Only locations in Chiba Pref.
where chosen within Kanto
area)

9.98

7.55

Choshi
Kodaira City school lunch project
Tachikawa City school lunch project
Hiratsuka-shi school lunch project

0.61

0.63

0.43

0.43

0.34

0.25

FY2018FY2109FY2020

FY2021

FY2022

FY2023

Privateplacement
bonds
-0.08

Ichihara Yawata
Wharf biomassenergy generation
Ichihara City school lunch project

Copyright © 2024 The Chiba Bank, Ltd. All Rights Reserved.

Designated as
promotion area
(10 areas
nationwide)

Izumi/
Kujukuri
Designated as apromising area
(9 areas
nationwide)

43
43

Corporate Strategy ② (Strengthening Corporate Solutions ➁ / Advisory)
Thorough support as an management assistant（cases)

100%
227

239

Corporate advisory

5

0.19

0.02
FY20180.53

FY2019

0.31

0.52

80%

11%
6%
1%

0.49
（billion yen)

FY2020

8%
3%

243

137
47

Strengthening problem-solving capabilities

Contract breakdown

Number of contracts/
fee income

FY2021

FY2022

60%

14%

11%
6%

11%

19%

6%

17%

26%

FY2023

Number of projects(as of the end of March 2024)

7%

19%

11%
17%

40%
10%

CompleteUnderconsideration
*1

280
cases

Yearlymeetings
*2

600
cases

Incl. 60 ICT
consultations

Incl. 260 ICT
consultations

7%

20%

12%
36%
19%

15%

2%
9%
7%
4%

17%

2022/3

Organizational
restructure
Tourism
strategy
SubsidysupportManagement
system
Labor

11%
15%
2023/3

Utilization of intra-group resources

Digitalization
25%

21%

0%
2021/3

Other

Chibagin ResearchInstitute

Capturing external resources and accumulation of know-how
Acceptance of temporary transfersfrom consulting companies

2024/3

Applications for ICT consultations

Company A (forwarding agent)

ICT consultations

Number of
consultations

Issue : response to the 2024 Problem for Carriers

Contract
success rate

Step1

Improving the momentum for digitization in SMEs

Accumulation of proposal know-how

Copyright © 2024 The Chiba Bank, Ltd. All Rights Reserved.

Secondment to a consulting
company

Mid-term/management
strategy※ 1 Including the number of contracts in FY 2023 *2 the number of consultations in the past year

Improving ICT consultations’ awareness

Chibagin Computer
Service

Recognizing the issue of limiting overtime working hours (the2024 problem), the company is struggling to select a system thatmatches its own needs. Contribute to solving problems by close
support, from the viewpoint of visualizing work flow.

Support for analysis
of current situation

Step2➡ Support for

selection of system

➡

Step3
Support forestablishment ofoperation
44
44

Corporate Strategy ③ (Strengthening Corporate Solutions ③ / M&A and Business Succession)Acquisition of know-how on M&A and business succession ➡ Value-up of regional businesses and support for smooth succession
M&A/business succession

Expansion of project stock

ClosedProjects(M&A/businesssuccession)

Closedproject

In action

600
cases
Start (July 2009)

227

148
103

Active project
30
cases

214

Consideration of hands-on support using buyout funds

60
cases

Limited Partnership

98

60
0.73

Revenue(M&A only)

Stock proposal

1,400
cases

0.60
0.29

Current (March 31, 2024)

0.19（billion yen)

0.25

0.28

FY2018 FY2019 FY2020 FY2021 FY2022 FY2023

Advisory committee
members
Advisory
Personnel forcommittee
hands-onConsultation Expressionof opinion

General Partner
Area distribution of M&A deals for saleSuccessionless cases in the region
Accumulation of small- and mediumscale projects by leveraging customer
base and network

Outside theprefecture
20%

Buyout fund
EquityInvestments

Collaboration

EquityInvestments

External advisor

Closecollaborationin project
team

Project manager

In Chiba
prefecture 80％

Mainly inareas notadjacent toTokyo

Involvement in large-scale projects
through accumulation of know-how andcustomer needs

Personnel forhands-on

Personnel forhands-on

Personnel forhands-onBank headquarters
Group companies

Investment and hands-on support

Introduction of management
succession database
Reliable accumulation of
information

Utilization of funds both within andoutside the group

Long-term, continuous approachclosely with the management

Copyright © 2024 The Chiba Bank, Ltd. All Rights Reserved.

Support for smooth business succession for regional businesses

Hands-on support
45
45

Corporate Strategy ④ （Overseas Operations）
Use of the largest overseas network among Japanese regional banks
Non-Japan credit

Overseas network

By region
Trainee sent to Yokohama
Bank Shanghai Branch

London Branch

Latin America/
Middle East

New York Branch

2%

Shanghai Representative Office
Bangkok Representative Office
Trainee fromMusashinoHong Kong Branch
Singapore Representative OfficeOcenia4%

Trainee from
Yokohama,Shiga

Alliance

12/2023

TSUBASA

21
13(Cases)3

5Country

Related overseas office

Singapore

Chiba Hong Kong Branch/Musashino Bank Itabashi
Branch /Gunma Bank Toda Branch

25

28

31

35

37

38
Chiba/
Yokohama
Chiba/
Musashino

15

8

USD
$6,109 million

3/2024
Latin
America/
Middle East
1%
Asia
11%

North America
44%

Ocenia3%

Guaranteed byinternationalorganizations andexport credit
agencies 3%

Europe24%

North America
58%

Europe31%

Total co-financing with partner banks (overseas operations)
Date

Guaranteed byinternationalorganizations andexport credit
agencies 5%

Asia
14%
* Trainee program was partiallyhalted due to COVID-19

FY2023 2H
major
initiatives

USD$4,803 million

3/2019Trainee fromMusashino*Includes credit to non-Japanese companies indomestic branches and market divisions

By credit rating
Unrated(majority
profile)
11%
BBB
26%

BBB－
3％

Unrated(majority
profile)9%

ECA, other1%
AA and above
31%

A
31%

ECA, other
0%

BBB
24%

BBB－
3％

AA and above
43%

A
24%

TSUBASA*S&P/Moody’s lower rating
1H
2H
FY20181H
2H
FY20191H
2H
FY2020

1H
2H
FY2021

1H
2H
FY2022

Copyright © 2024 The Chiba Bank, Ltd. All Rights Reserved.

1H
2H
FY202346
46

Corporate Strategy ⑤ （Real Estate Loans）
Real estate rental loans increased steadily while credit risk remained low
Real estate rental loan balance(Billion yen)
1,635.9

2,034.7

2,180.9 2,250.2

2,369.5

2,453.3 2,515.3

2,629.9 2683.0

Default rate*2773.3*Default: rank-down to “potential bankrupt” or below (case number
basis)

2.68%
2.16%

1,805.1

0.68%

Nonrealestaterental0.08%

Overall

3/10 3/11 3/12 3/13 3/14 3/15 3/16 3/17 3/18 3/19 3/20 3/21 3/22 3/23 3/24

Realestaterental

1.01%
3/15

3/23

3/17

3/18

3/19

3/20

3/21

By borrower type

3/22

3/23

9/23

3/24

By use〔3/2024 / case number basis〕

Officeworker15%(annual rate)

Landlord,
etc.
32%

Small
22%

Commercial
10%

Residential
90%

Real estate rental businessbalance/ratio of modified loans

6.3％Manager
31%

0.26％
0.25％

99.4
1.3％

(Cash flow before payment of principal and interestof the property ÷ Amount of principal and interest payment)

Commercial

0.37％

0.28%
0.17％

0.36%
0.15％

(Billion yen)

If less than 100%, rental
income cannot cover
repayments and expenses.

Copyright © 2024 The Chiba Bank, Ltd. All Rights Reserved.

6.8

6.0

4.6

5.5

3/17

3/19

3/21

3/23 3/24

0.8

0.6

0.8

0.6

3/18

3/19

3/20

3/21

Overall

4.6

40.1

3/15

Overall
0.22％

0.20％
0.19%
0.16%
0.14%
0.00%
9.0
(Billion yen)
5.5

Average for Bank-financed properties:148％

DSCR: Single property balanceReal estate rental business
Balance/ratio of overdue loans

0.23%

Occupancy Average for Bank-financed properties: 95.8%(Residential 95.9% Commercial 94.3%)
rate*National average: 83.3%

DSCR

0.72%

2.4

1.3

Commercial

0.0
3/22

3/23

3/24
47
47

CashlessExpanding transactions with local governments and large chain stores to further strengthen the cashless base
Number of group cardholders and franchise locations
Number ofcardholders

From October 2019
To enter the franchised locations by the Bank

1.18

0.73
0.54

0.63

0.038

0.033

0.028

0.068

0.042

0.049

0.047

Number of
franchise locations

2020/32021/32022/32023/32024/32025/32026/3*Profit of group company are calculated based on the same criteria as the banks (Fees and commissions received).

Approximately 60 basis points ofthe transaction volume is profit*

1,000.4

746.3
631.1

6.2

509.8
425.1
3.0

3.2

3.1

Transaction
volume *2020/30.24

0.32

FY2021

FY2022

FY2023

2.9
Mar.

4.4

2021/32023/3

Franchiselocations(10/2019~)+31.0％

5.1

6.4

10.7

11.9

13.3

Sep.

Mar.

Sep.

Mar.

Sep.

Mar.

2021

15.8

0.78

(Thou.)

2025/3Copyright © 2024 The Chiba Bank, Ltd. All Rights Reserved.

2026/3

2021

1.41

1.80

Sep.

2.39

2024

2.62

3.27
420

146

210

266

Sep.

Mar.

Sep.

Mar.

2022

Enhancement of
Proposal

Streamlining back office
operations

Mar.

2023

322

Chibagin
Card

Chiba Bank

New Initiatives

2022

Transaction volume *2023/10Company name changed

2024/4～

Strengthening service
improvement

14.5

ChibaginDC card2024/4 merger

13.10

8.56

Number of TSUBASA Visa Debit cardholders andtransaction amount

0.39

2024/3

7.67

4.75

7.9

2020

4.8

Profit2022/3

3.45

2.01

0.62

0.15

Number of locations

1.52(Billion yen)

437.1
3.8

(Billion yen)88Mar.
2019/30.17

0.78*Number of locations and transaction volume exclude those transferred from Chibagin JCB(Billion yen)

457.1

0.68

*Expenses incurred before the launch of TSUBASA Visa Debit
operations are recorded in the month of the start of operations.

(Thou.
locations)Group transaction volume and profits

Transaction
volume0.003
0.003
FY20190.59
0.42

Number of franchise locations and transaction volume(million customers / locations)

2019/3

0.09
0.04
0.04
FY2020【Year-on-year】 Until now〔Total〕+18.2％
Chibagin
Chiba BankTSUBASA Visa
JCB card
Debit(10/2020~)
2023/10 JCB card-related+13.6%
operations were transferred

1.10

0.93

0.92

0.83

0.54

(Billionyen)

From October 2020
Issuance of VISA debit

Completion of group business restructuring

Profit from new cashless operations

2023

369

Number ofcardholders

Sep.

Mar.
2024

*Transaction volume: monthly settlement amount for the relevant month

Enhancement of point of sale register function•

Linking point of sale register and payment
terminals (For dispensing pharmacies)•

Provision of mobile point of sale services

Signing of agreement regarding referral of
franchisees
Choshi Tourism
In the future, contracts to be
Association
signed with another tourism(February 2024)

association

Strengthening cooperation with app•

Single sign-on connection from app to debit
cardholders website (planned)•

Application function (planned)48
48

New Business ① (AML / Metavases / Energy / BaaS)
Started operation of new power plants through Himawari Green Energy
TSUBASA-AML Center Co., Ltd.
TSUBASA banks

Metaverse

TSUBASA-AML Center Co., Ltd.

Bank A・Increasing the sophistication and efficiency ofoperations through the consolidation of know-how
・Effects of reducing system and personnel costs

BaaS businessNew home showroom experience is offered by
Metaverse

Provide financial
and other functions

Business operators

Bank BFinal
decision✓ Separate management ofdata for each bank

AI

Business
operator
customers• Rating model• Monitoring scenario• List maintenance(1) Operation aggregation

Cashless
Platform

Loans

AML system

Database

Energy business(2) Planning operations

TSUBASA-AML Center Co., Ltd.
(Chiba, Daishi Hokuetsu, Chugoku and NRI
participated)

Wholly-owned subsidiary
Himawari Green Energy Co., Ltd.
■Power generation
management
Operation/management of
power plants

Collaboration■Sale of energy
Sell and generate energy in-house

TSUBASA Alliance, Co., Ltd.
(TSUBASA alliance 10 banks participated)
AML Center

Copyright © 2024 The Chiba Bank, Ltd. All Rights Reserved.

■Others
Consulting service
Environmental value referral

ChibaginGroup

Energyretailers

Regionalcustomers■ Starting operation of the power plant

1st

New
2nd

Dec. 2023

Apr. 2024

Kimitsu
AsahiPower Plant Power Plant

Annualelectricity
production
About
1,150万kWh

Number ofhouseholds
About 3,200
households

In multiple
cases
under
consideration

Equivalent to about 35%of the Bank group's
electricity consumption■ Starting intermediation of Feed-in Tariff
non-fossil certificate (Mar. 2024)
49
49

New Business ② (Chibagin Market)
Chibagin Market turned profitable as planned in its third year of operation, accelerating efforts for STEP 2 onward.
House purchase concierge

Regional trading company: Chibagin Market
STEP1 regional production“Trigger regional revitalization” within Chiba
Crowdfunding

EC site25-49 years old
No housing loans with
the Bank
About 1.6 mil.
customers About 4 mil.

Revenue image
IncomeBranding
Income summary

customers

2

Expenditure
1st
year

Establishment of new business model that stands upstreamof commercial distribution
Uncover hidden
needs through datautilization/personali
zationHouse purchaseconcierge service

Realtors

Chibagn Market

Chibagin Leasing

Chibagn Market

Support consumption activity of new lifestyles and “Connect to life”

2nd
year

3rd
year

4th
year

5th
year

0.25 mil. customers(about 15%)
have the potential to consider
purchasing a home

Concierge service target

Strengthening channels to approach targets
Turn profitable in FY2023 (3rdyear) as originally planned

Websiteadvertising

Landing page
production

Owned media

Auto leasing for individuals

Starting to provide services
for group executives andemployees[Major Areas]

Identify needs and issues
Education

Statistically grasped through e-mailmarketing

The bank's Digital Strategy Division is also using the database to identify potential
homebuyers out of 4 million customers.

Chibagin Leasing

Health/nursing

1

Service sophistication to be
expanded to generalcustomers
Chibagn Market

Consideration of car
concierge

Food retailers

Copyright © 2024 The Chiba Bank, Ltd. All Rights Reserved.

50
50

New Businesses ③ (Advertising)
Providing services at every stage, from brand recognition to purchase of products and services by consumers
Brand awareness and response media

Advertising media business▼Digital signage in front of Chiba
StationrecognitionBranstrategyInterested
and concerned
Comparingand examining
Purch
-ase

Digitalsignage(in front of
Chiba Station)(Within the
Bank)

Smart
phone
(Chigin app)

▼Chibagin app _recommendation

Operationscreen▼ATM corner signage
Advertising

Advertising

AdvertisingTopdisplayLeadgenerate-onstrategy▼lobby signage▼ATM top displayAdvertisingWebadvertising

Advertising

Advertising(Listing)

E-mail addelivery※Under consideration

Type of media

Destination media

Consumer situations

Advertising consulting services

Support for business issues
Financial consultancy
Copyright © 2024 The Chiba Bank, Ltd. All Rights Reserved.

Number of sites

Number of
Ad space

Digital Signage in Chiba Station

One place

12 spaces

Branch lobby signage

152 stores

270 spaces

ATM signage

93 stores

270 spaces

ATM top display

12 stores

108 spaces

1 million

3 spaces

Total advertising spaces

663 spaces(Number of Registrants)

App

CustomerMarketing support in
Collaboration with▼e-mail*

As of the end of
March 2024
Ratio of contract

About 34%

Gross business profit

Onionnews Inc.
(20% owned by the Bank)

Advertising planning,production, and operation
support2023/10～Full-scale development

3

5

8

11

12

14

FY2023(Annualized figures)¥0.16 billion

FY2025(plan)¥0.3 billion(Million yen)

Oct.

Nov.

Dec.

Jan.

FY2023 2H

Feb.

Mar.

51
51

New Business ④ (On Ad / Real Estate Fund / Joint Business Plan)
Remote Financial Consulting Service: On ad

On Ad

Joint Business Plan (JBP) with Google Cloud

Agreed in January 2024

Contribution to“Financial Wellness”

New

Neutrality

Individual

Corporate
ServiceUtilization of Google's marketing tool, Google CloudMarketing with online advertising and video

High rated by paying interviewees

98% of users are
satisfied with thecontent of theinterview

SatisfiedCompleted
Online27%

Specialized
adviceVery satisfied
71%

Data analysis technology with Google Cloud's AI and machine learning
Development of cloud data environment

95% of users
intend to reuse theservice

High-level solutions via real estate funds

Enhancing One-to-One marketing
Accelerating the accumulation of know-how through
JBP by strengthening the system

Step-by-step expansion of the pipeline
while deeply exploring each customer's management issues

Different advertising companies and individual
budgets for each product
Other ongoingprojects

Examples of management issues

OfficeWe want to develop a new logistics
facility, but we don't want to expand
balance sheet

We want to liquidate fixed assets to fundnew store openings and store
renovations.

Real estate fundFinancial institutions
and investors
including Chiba Bank

Copyright © 2024 The Chiba Bank, Ltd. All Rights Reserved.

App

Card

NISA ･･･

Bid tendercompetition

Advertising
company A

Advertising
company B

Advertising
company C ･･･

Decreased
learning
efficiency

BudgetBudgetBudget ･･･

Eachproduct

Unsecuredloans

WorkingGroup

Working
Group

Advertising
company X

Advertising
company Y

Residence
Logistics facilities

Finance

Lack ofcordination

Organize into two working groups andstrengthen the system

Community-based
commercial facilities

Hotels, etc.

Diversification/inefficiency

Establishment of JBP Strategic Budget

Consolidation/efficiency

52
52

DX Supporting Transformation ①
Evolution of the customer-focused business model

Creating the optimal
customer experience
Evolution of customer-focusedbusiness model

Retail Customer Needs

Regional Ecosystem Strategy

Personalization Strategy

Evolution of Financial Operations

PaperlessSeal-less

Develop digital infrastructure toconnect to customers

Creation of Non-financial Operations
Platform

App
Corporate portal

Develop infrastructure for more
efficient banking operations

Corporate Customer Needs

Regional
suppliers
BaaS
New technology

Support operations throughplatforms and new technology

ChibagnMarketAD

Digital support for needs

Digital support for sales

Advertising

Digital marketing to improve strategic outcomes
Accelerate strategy through human resources development

Copyright © 2024 The Chiba Bank, Ltd. All Rights Reserved.

53

53
53

DX Supporting Transformation ② Chibagin App
Developing an app that can solve any problem
Implemented alreadyExpand functionality

Solve any problem
through a single channel

Familiar financial services via the app
Digitalize branch transactions

Number of app registrtions /penetration rate
Operating customer penetration rate*

305

2021/3Fulfillment of financial services
Convenient and safe services

From FY3/26• Barcode payment• Payments/transfers• Balance/transaction statement• Timed deposits/cancelations/account openings• Online account openings/transfers• Public personalauthentication• Registration of publicmoney receipt account• Notifications• Ongoing customer
management• Loan repayment schedule • Early repayment of• In-app loan
residential loans• Trust Inquiry• Fund wrap balance• Trust account openings• Securities accountbalance• Foreign currency
deposits/insurance

33.8％(Thousand)
10.6%

50.0%

Future plans
FY3/25

25.5%
17.8%

514

2022/3

Number of app
registrants
1.5 million people

2023/3Collaboration with other services• Google Pay/Apple Pay• Unified local tax QR• API collaboration• Collaboration withlocal governments,
other industries, My
Number system• App promotion incorporating data analysis
results• Notice of debit schedule• Asset/contract
information listing• Engagement tool

• Customization• Passbook mode (detail search, memo
registration, etc.)• Continual improvement of conducting wire,
buttons, etc.

• Continual improvement
of UI/UX• Authentication
collaboration to otherchannels

About ¼972

738

Connect to lifeof the Chiba
Prefecture population

2024/32026/3※Number of Chibagin app registrations ÷ number of individual active customers(Plan)

Increase customer cotact points
Personalization• Household accounting
review/LP simulation

Transaction/asset visualization, proposals tailored to customers■Number of app users per day

150 thou. people(As of the end of March 2024)※Number of users who used the app at least once

Penetration rate of young people (under 34 years old)*in Chiba Prefecture
31.3%(Thousand)
20.5%
19.3%
17.8%

229

2023/3248

2023/9264

About 1/3of the young people
in Chiba Prefecture2024/3※Number of registered Chibagin app aged 15-34 ÷ Prefectural population (15-34)

2026/3

Improved UI/UX
Comfortable smartphone experience
Simple operation, exciting design

Communication
Consulting anytime, anywhere• Branch appointments• Introduction of friends• Advertisement delivery• Chat/online
consulting, etc.

Smooth communication/coordination with in-person transactions(Expected)

Copyright © 2024 The Chiba Bank, Ltd. All Rights Reserved.

54
54

DX Supporting Transformation ③ Corporate Portal
Portal site that is functional and easy to understand for all customers

・Portal site that is functional and easy to understand for all customers
・Implement functions that allow for administrative streamlining as an online branch(corporate transaction cosulting)

Aim to be a familiar bankonline and in-person

Solid Line: actual results

1

Try the app

Complete transactions through theportal without needing to visit a branch

2

Understand services
Obtain the information you need,when necessar you need it

3

Consult/apply
Properly solving company problems

Dotted line: future goal

Number of portal
registrations/penetration rate
Portal penetration rate*1

Deliver bank services

Provide solutions

In-person transactions(Thousand)Concierge

Deposits

Complete transaction management
onlineAccount balance/transaction statement

Transaction trends(graph)Compare account info

Display account ofother banks

Financing
Borrowing reference

Repayment schedule

Account borrowing/repayment receipt

Digitization of
documents

Advanced operations

Information delivery

CO2 emissions measurement

In-persontransactions

New services

FOREX

Online financing

Digital contact points
Personalized ・Maintain/increase transactions with net depositors
recommendations and small accounts

・Acquire new customer segments

Notifications, etc.
Notification itemchange46.1

Number ofcorporate portal
registrations*2

2024/32026/317.4

2022/32023/3※1 Number of corporate portal registrations ÷ number of individual
active customers※2 Excluding accounts that have no history of logging in(plan)

Addition of functions◼ Chibagin e-Tax data entry (1/2024～)
Online submission of tax return data filed
electronically via e-TAX is available◼ C-checker (9/2023～)

Balance certificate
issuance

Introduce to all customers

60.0

34.8

Virtual transactions

Smooth collaboration with Web-EB

27.1%

Seminar information

Group solutions showcase

Improve collaboration
with ext. services

52.9%

・Improve existing customer relationships
・Strengthen consulting capability

Chibagin manual
Information dispatch

70.0%

65.6%

Utilize contact points

Copyright © 2024 The Chiba Bank, Ltd. All Rights Reserved.

Marketing

Improve operational productivity
Transaction channels suitable for customers

Visualization of CO2 emissions from
customers' business activities

55
55

Human Capital Supporting Transformation ①
Build an organization that creates new social value based on the "two human resources strategies"
To create a local community better suited to bringing each person’s hope to life

Purpose
Vision

An Engagement Bank Group that works closely with the community

Human Resource Development Policy: Become someone who keeps fighting for the customer
Based on our human resources development policy, we will actively invest in human resources
development to enhance the capabilities of each and every employee of the Group, leading to thesustainable growth of the local community and the Group.

Mission in thehuman
resources
sectionThe mid-term
plan
human
resource
strategy✓ Develop human resources approach people and work with sincerity as professionals✓ Develop human resources who can think and act autonomously with empathy for the Purpose✓ Respect each employee’s hope and create a comfortable workplace① Career development

➢

Major
initiatives
recently

Creation of an “Organization with high personnel
engagement”

Development of a “Chiba Bank Group
where people grow”➢

Support for growth
Development ofmanagemen personnel /personnel in charge ofcorporate and retailbusiness
Support for Challenges
Expansion of job posting
and trainees

Copyright © 2024 The Chiba Bank, Ltd. All Rights Reserved.

➁ Job satisfaction④ Unified Groupmanagement③ Diverse organization➢➢➢

Raising salary
Raising starting salary
Basic salary raising
Expansion and revisionof dormitories➢

Supporting the activities
of senior and veteranemployees➢➢

Group personnel
exchange
Establishment ofTransfer system fromthe group companies
Standardization of
personnel management
system

⑤ Human resources
portfolio➢

To strengthen career
recruitment➢

Establishment ofProfessional courses➢

To Continue DX trainees

Unified group recruiting
56
56

Human Capital Supporting Transformation ②
Human Resource Development Policy“Become someone who keeps fighting for thecustomer”.

KPI

Three core elements¥0.3 billion

Management personnel
development Program

Number of 86 people
trainees
FY2023 results

Personnel in charge of corporate andretail business development programs

280 people
Plan for cumulative total for theperiod of the mid-term plan

② Job satisfaction

Pillars of humanresources strategy

Engagement survey

Sustained salary increases

Expansion and review ofsingle-person dormitories

Raising in starting salary

Development of a
“Chiba Bank Group
where people grow”③ Diverse organization

Creation of an“Organization with highpersonnel engagement”

Continued employment after
65 years old (senior)

Senior staff branch
general manager

Enhancement of the Bank’s
employee continuity system

Expanded childcare
leave system

116 rooms
158 rooms
FY2025 plan

Transfer system for group companies

Group-wide development of personnel management system⑤ Human resources portfolio
Referral adoption

FY2024 planNew
FY2023 results
dormitories
for employee④ Unified group management
Group-wide hiring

5.6%

Ration of raisingsalaryProfessional courses

Group human
240 people
resources exchange FY2023 results

Net business income(before provisions to generalallowance for loan losses)

per the bank and companies
employee¥26 million

To strengthen career recruitment

DX trainee

Number of Recruitmentof mid-career employees

100 people¥23 million

FY2023 results¥20 million

Realization of the Bank Group's Purpose and Vision

Expansion of job
postings and trainees

gain more
supporters

FY2025 plan

➀ Career development

Human Resource
Development Policy

utilize your own
strengths¥0.4 billion

Measures

Chibagin Academy

think things
through

FY2023 results

Providing value to customers and regional communities/Improving employee productivity

Human capital
investment

FY2025

FY2024FY2023Copyright © 2024 The Chiba Bank, Ltd. All Rights Reserved.

57
57

Human Capital Supporting Transformation ③
Expansion of investment amount and number of employees trained (investment target) / Development of the system that enables diverse human resources to play an active role
Introduction of a new personnel system (from April 2024)

Personnel development

Previous Mitd-term Plan results

Professional courses

Current Mid-term Plan

(2020/4～2023/3)(2023/4～2026/3)

148

280

nearly・Appointed in specialized fields
・Job-based salary only・Design to increase the range of bonuses due to job
performancepeopleDoubling

peopleFY2023
results

Mid-Term Plan(cumulative total)

Corporate sales

10 people

50 people

Retail sales

10 people

50 people

DX personnel

25 people

60 people

External trainees dispatch

30 people

90 people

Management personnel

11 people

30 people

Total

86 people

280 people

・Relocation of employees within the group forexisting group companies employees with highmotivation and abilityGroup companies ➡ Transfer to the Bank

414(¥Million)

173

Equivalent towage hike rate

1.4%

242

Traning costs/
qualification
incentives, etc.

Training costs/
Incentive for
qualification, etc.

System expenses

Change from
2023/3

Traning institute＋¥170 million
2021/3
Investment
peremployee(¥ thou.)

44

2022/357

2023/32024/32026/3(Plan)

65

79

112

Copyright © 2024 The Chiba Bank, Ltd. All Rights Reserved.

・Expanding dif. Between consolidated and nonconsolidated through the revitalization of thegroup companies

Measures to raise salary for each level
Basic salary increase

219

・Retention of existing professionally oriented
the bank employees

Transfer system from the group companies

Human capital investment

293

・Expansion of career recruitment ofhighly-skilled specialists

Establishment of job/specialist-type personnel system

Policy to implement the
average salary raise of 5.6%
(July 2024)
Raising in starting salary

0.23
millionyen

Supporting the activities of veterans[ Bank employees (over 55 years old) ]・Increase the position promotion of employees
over 55 years old[ Senior (over 60 years old) ]・Position promotion system
・Introduction of bonuses
・Continuing system over 65 years old

0.26
millionyen
From April 2025

58
58

Human Capital Supporting Transformation ④
Expansion of investment amount and number of employees trained (investment target) / Development of the system that enables diverse human resources to play an active role
Recruitment of mid-career employees

Group unified human resources management

Recruitment
channelCareer hiring trends

Recruitment
consultancy
service(People)Advertising
placement
Scouts from job
information
websites

100
30

15
FY2021

FY2022

Referral

FY2023※Includes temporary employees, dispatched employees, and employees on secondment.

Direct applicationfrom websites

Unified group recruiting (new graduates joining the bank in April 2024)■ Chigin Computer Service (CCS)
Joined the bank as the engineer course (13 employees) and assigned to CCS■ Chibagin Securities and Chibagin Leasing: Hired in the same course as
the bank general employment

Enhancement of group human resources management (from April 2024)
Introduction of the bank-implemented talentmanagement system to all group companies

・Implementation of group unified personnel measures
・ Deepen understanding of personnel among groupcompanies and work closely with together

Chibagin Academy
Breakdown of recruited career(People)Breakdown of former industry(People)Sales
17※Plan to expand the content in the future
At any time, anywhere, or many times

Corporate

Learning time results

solutions19

18

Other professonal※ Calculated on average total study hours per person per year

Non financial
DX

36

Launched in April 2023, and released morethan 6,000 titles under 1,511 titles.

industry
41

Market10

Financial(hours)industry

Enhanced content almost achieved
initial targets
39.4

59

40.0

Unify learning tools

16.0
Individualized training programs
FY2022

Copyright © 2024 The Chiba Bank, Ltd. All Rights Reserved.

FY2023

FY2025(Plan)

59
59

Achieving Sustainable Management6060

Towards Realizing Sustainable Management
Achieve both social value and economic value through our long-term aims

Sustainable management =“long-term aims” + “ economic value ＋ social value (solving social issues) "Chiba Bank Group declaration on SDGs

Regional
economy andcommunity

Aging
population

Contribute to therevitalization of theregional economy andlocal communities

Support safe andsecure lives for theelderly

Financialservices

Diversity

Environmental
conservation

Provide financial
services for better life

Promote diversity andwork style reforms

Contribute to theconservation of asustainable environment

External evaluation
CDP score for climate change
FY2023
received"A-" rating◆ Global average :「C」

Copyright © 2024 The Chiba Bank, Ltd. All Rights Reserved.

Chibagin Securities

The inclusion of The Chiba Bank, Ltd. in the MSCI Index or the use of the MSCI logo, trademark,service mark, or index name does not mean that MSCI or its affiliates sponsor, recommend, oradvertise The Chiba Bank, Ltd. The MSCI Index is the exclusive property of MSCI. The names andlogos of MSCI and the MSCI Index are trademarks or service marks of MSCI or its affiliates.

PlatinumEruboshiacquisition

Platinum
Kurumin
Plus
Certification

61
61

E ～ GX Initiatives ① ～Contribute to the sustainable development of the entire Chiba prefecture through regional decarbonization
Chibagin Group Carbon Neutrality
Activities of Chibagin Group

Solution

Collaboration with local
governments◼

Expand use of
ZEB/energy-saving
renewable energy
branches

Become carbon neutral by March, 2031
※SCOPE1+SCOPE2 emissions of the Bank◼

Chiba SDGs Partners◼

Installation of
LED lights

Introduction of
hybrid vehicles

Installation of solar
power generators

3/2026
TargetSupport for areas◼ Incorporate ESG issues into businessevaluations◼ Business succession consulting

Carbon-neutrality consulting

Corporate ◼ Greenhouse gas emission measurement
Customers
support◼ Solar power generator installation
support◼ Sustainable housing support discount◼ Discount SDGs loans
RetailCustomers

Copyright © 2024 The Chiba Bank, Ltd. All Rights Reserved.

0.6 trillion yen¥ 1.2 trillion
achievedahead ofschedule

Promotion of Chiba SDGs
Utilization of network

3/20233/20243/2031

3/2023(billion yen)

2050
Sustainable developmentof Chiba prefecture
Entire prefecture
becomes carbon neutral

3/20243/20263/2031C-checker✓

962.7

3/2026
Target¥ 0.6 trillion
achievedahead ofschedule

0.4 trillion yen

Balance of sustainable financeSupport for customers’ decarbonization

Support for SDGs Management

Target1 trillion yen

1.4 trillion yen
0.9 trillion yen

advancing decarbonizationLED

Of these,
Environment-related
finance

Increase number ofcompanies registered as◼

Target2 trillion yen

SustainablefinanceComprehensive SDGs
partnership agreements

Utilization of
Himawari Green
Energy(amount achieved
from April, 2019)

Cumulative amount of sustainable finance executed✓

Visualization of CO2 emissions from
customers' business activities
Free of charge for Chibagin BusinessPortal subscribers

665.0

Annual power generation through renewableenergy financing and project finance(Domestic cumulative total)
About 2.35 million households(Cumulative total within Chiba prefecture)
About 0.55 million households(About 20% of the 2.8 million
households in Chiba Prefecture)

3/20233/202462
62

E ～ GX Initiatives ② ～Responding to climate change (initiatives related to the TCFD recommendations)
CO2 emission※Subject to SCOPE1+SCOPE2 associated with own emissions

SCOPE1・SCOPE2
22,74819,016

18,783

2,425

2,493

SCOP1

2,766
12,316

Approx. 46%
reduction comparedto FY2013

2,408
16,591FY2019FY2020

FY2030CO2 emissions
net zeroTo 2050

FY2022

Damage to the Bank's real estate collateraldue to typhoons, torrential rains, and otherwind and flood disasters, and businessstagnation of the Bank's loan customers

the deterioration of business performance of financing
customers, calculated based on the damage to the
Bank’s real estate collateral as a result of typhoon,
torrential rain and other storm and flood damage andthe percentage of the Bank’s building sitesubmerged¥6 ～7 bil.

9,908

FY2021

7/2023 disclosure

Increased credit costs (Domestic)

6,000

FY2025(Target)Sea level rise

7/2022 disclosure(Achieve carbon neutrality*)

15,663CO2 emissions (absolute value)

FY2013

Physicalrisks

18,429SCOP2

16,290Large-scale storm and flood
disasters, etc.

Acquisition of third-party
certification
From FY2021(tons-CO2)
Total

Scenario analysis of climate change risks

Increase in credit costs (Domestic)¥7 ～ 8 bil. ※1

Transition to a decarbonized society

FY2030(Target)SCOPE3(t-CO2/million yen)

Category 15 total *(investments and loans)

Expansion of the measurement scope anddisclosure for Category 15
7/2022(investments and loans)Amountreleased

Carbon strength(t-CO2)-

disclosure

12,622,906✓

Percentage of loan
amount to be measured*

Expansion of the measurement
scope

Of which beverages and foods

3.78

499,479

Of which, metals and mining

10.26

1,776,486

Of which, chemicals

4.90

450,184

Of which oil & gas

7.50

76,030Of which, construction materials
and capital goods

5.12

555,363

Of which, automobiles

4.44

45,657

Of which, electriicity

29.08

678,320

Of which real estate
management and development

0.68

462,983

Expansion of disclosure categories

Of which, land transport

3.83

550,927

Of which, marine transport

16.77

267,452(In addition to categories 6, 7, and 15,
1, 2, 3, 4, and 5 are newly disclosed.)

Of which air transport

12.14

27,555

Copyright © 2024 The Chiba Bank, Ltd. All Rights Reserved.

30.8%

Bottom-up approach

7/2023
disclosure

Bottom-up + top-down
approach✓Transi-tion
risks

7/2022 disclosure

7/2023 disclosure[Target sectors]
Coal, oil, gas, electricity, and steel[Target sectors]
Addition of chemical sector

Increase in credit costs

Increase in credit cost

Maximum of ¥27 bil.

Maximum of ¥30 bil.*2

Consider adding air transport sectors
in the future
Ratio of carbon-related assets to *3

To 2050

Percentage of loan
amount to be measured*

Disclosure of breakdown
by industry

86.9%
Expansion ofbottom-up
approaches by
C-Checker

total loans and other assets of the Bank
7/2022 disclosure[Target sectors]
Energy(Excluding water supply and renewableenergy generation projects)

1.2%

7/2023 disclosure[Target sectors]
Transportation, materials and buildings,
Agriculture, food and forestry
products sector added

36.4%*1 Calculated based on IPCC RCP4.5 and RCP8.5 scenarios (4°C scenario).
*2 Calculated based on IEA's NZE scenario and NGFS's Net Zero 2050 and Below 2°C scenarios.

* The scope of measurement was expanded, and estimated values wereused for loans to borrowers whose emissions were not measured or notdisclosed. Percentage of loans to general business corporations, public
sector, and sole proprietors that are subject to measurement*3. Total of loans, acceptances and guarantees, foreign exchange, private placements, etc. as of March 31, 2023. 1.4% of loans as ofMarch 31, 2023 were to sectors subject to the 2022/7 disclosure.

63
63

S ～ Diversity / Regional Revitalization ～Strengthening the promotion of diversity as a corporate strategy, supporting initiatives that contribute to regional revitalization
Indicators related to diversity

Regional development

FY2021

FY2022

FY2023

Target in
2026 July

25.5%

27.2%

28.4%

(492)

(523)

(551)

30%

16.8%

17.9%

18.8%

(112)

(120)

(126)

-

Percentage of employees
taking paid leave

72%

77.1%

83.5%

80%

Percentage of men taking
child-care leave

102.9%

Percentage of leadership
positions held by women*(No. of persons)
Percentage of supervisory
and managerial positions
held by women(No. of persons)113.8%

112.8%

Regional revitalization project
Tourism business support〇In addition to the Narita Night Time Economy Creation Project (rightimage), support is also provided for the efforts of local governments
and companies in the prefecture.
〇In addition to the Chiba Bank, the Chibagin Market and the Chibagin
Research Institute are working together to promote the project.

Chiba City Monorail vitalization project100%〇Crowdfunding supported along railway lines and seven projects

ongoingachieved their target monetary value.

*Staff with subordinates and staff in equivalent positions, such as branch manager, who areresponsible for organizational management as responsible for operations.

Chiba Gastronomy AWARD
Percentage of women branch
Senior Deputy Managers

Percentage of womenbranch General Managers
10 years ago(July 2013)

Men
93.0%

Present(July 2023)

10 years ago(July 2013)

Women

Women

Women

7.0%

13.5%

13.4%

Approximately
doubled in
86.5%
10 years
Men

Copyright © 2024 The Chiba Bank, Ltd. All Rights Reserved.

Present(July 2023)

Approximately
4 times in
10 years
Men

Women

49.7%

50.3%

✓

"Chiba Gastronomy AWARD" was implemented to discoverrestaurants and producers that fully express the appeal of Chiba's
food✓

From among more than 500 entries, decided on Top 30 of each therestaurant division and the producer division

February 2024
“Chiba Gastronomy Award”
implemented presentation and award ceremony(crowdfunding)Chibagin Market

Men
86.6%

64
64

G ～ Governance ～Strengthen efforts to enhance governanceOutside Director
Outside Audit &Supervisory
Board Members

Advanced Governance /Diversification of the Board of Directors

General Meeting of Shareholders

Supervision

Audit

Appointment, remuneration andCorporate Advisory Committee

Board of Directors
Audit &
Supervisory
Board

Changed the Chairman of the Board of Directors
to an Outside Director (April 2024)

New

Appointed the Bank's first representative
director (April 2024)

New

Shorting terms of office for directors(2 years ⇒ 1 year) (scheduled for June 2024)

Scheduled forJune 2024

Scheduled forJune 2024

Business execution

Audit

Outside Director
Chairman

Outside Director
Committee ChairNew

Introduced Performance-Linked Restricted Stock

New Remuneration Plan

Board of Designated Directors(scheduled for June 2024)

President (Group Chief Executive Officer)

NewGroup CxO and others

CEO

CSO

CRO

CBO

CIO

CDTO

CHRO

Group Chief
Executive
OfficerGroup Chief
Strategy Officer

Group Chief
Risk Officer

Group Chief
Business
OfficerGroup Chief
Information
OfficerGroup Chief
DigitalTransformation
OfficerGroup Chief
Human
Resources
Officer

Increasing the ratio of outside directors(scheduled for June 2024)
Ratio of Independent Directors(scheduled for June 2024)

44%
4/9 people

Headquarters
Direction/
Management

BranchDiscussion/
Reports

Group companies, etc.

Audit

Audit andInspection
Division

Ratio of Female Directors

33%
3/9 people

Copyright © 2024 The Chiba Bank, Ltd. All Rights Reserved.

65
65

Progress of Business Improvement Plan

66
66

Establishment of the Purpose and Vision

To create a local community better suited to bringing each person’s hope to life

PurposeCustomer

Chibagin Group

Fiduciary Duty
PolicyEmployees
Human Resources
Development Policies

Contribute to the resolution of regionalsocietal issues

Job satisfaction/compensation
supporters

Investor

Dividends

Fiduciary Duty Policy -Policy for acting "for the customer”Offer an empathetic set ofvaluesSupport for prosperous lifestyles

Human Resources Development Policy-Policy for "Promoting the growth and development of employees”“Become someone who keeps fighting for the customer”.
think things throughutilize your own
strengths

gain more supporters

Three Pledges - Action principles for the achievement of the Purpose and the implementation of fiduciary dutyWhenever making a proposal to a customer or making a business decision, we always stop and think, will this proposal or decision lead tothe realization of the customer's
wish

VisionCopyright © 2024 The Chiba Bank, Ltd. All Rights Reserved.

a solution to the customer's
problemthe realization of prosperous
lifestyles for the customer

An Engagement Bank Group that works closely with the community
67
67

True Cause Analysis of Problems / Four Measures
The most important initiative is the penetration and thoroughness of the Purpose and Vision etc., which are common to all issues.

True cause analysis

Issue of establishment of operational
management system(problem of incentive mechanism)• The system in which structured bonds were evaluated inrelation to the volume of operations.
• While there was a preference for sales of structured
bonds, the problems and risks associated with structured
bonds were underestimated.

Major Initiatives①
Penetration and thoroughness of
the Purpose and Vision

Establishment of
Business Operation
SystemFour major measures for investment trusts
Elimination of profit targets for retail business
Focus on Fiduciary Duty and activity
Training of retail comprehensive consultants

Issue of internal management system• In the 1st line, the three elements of (1) motivation, (2)opportunity, and (3) justification were established.
• In the 2nd line and 3rd line, the problem of risk detection
capability and response to detected risks wereinsufficient.

②③
Continued message
dissemination by
management to employee

Strengthening Internal
Control System

Diversification and sophistication of monitoring
methods
Advanced analysis of customer feedback(introduction of RPA and AI)

Penetration of Fiduciary Duty
PolicyIssue of business management system• Group governance issues
Problems in understanding the current situation,
identifying issues, and managing the progress of
instructions• Organizational culture issues
Management is unable to respond appropriately to
problems in business operations and internal control
systems

Copyright © 2024 The Chiba Bank, Ltd. All Rights Reserved.

Including the Purpose Vision
Penetration and thoroughness

Penetration of Human
Resource Development Policy④
Establishment of the Group Improvement OfficeStrengthening Business
Management System

The chairman of the Board of Directors waschanged to an Outside Director
Introduced Skill Matrix for Executives of groupcompanies

68
68

Changes Resulting from Business Improvement Measures / Verification of Actual Conditions
Business improvement measures have significantly changed how individual business should be/ Internal and external indicators are monitored to promote effective improvements
Status of Activities

Gathering of internal opinions

Changes in channels (sales of investment trusts)

May 2023

Employee engagement

FY2023 4Q

80%

Non-face-toface

22%

Other Initiatives

Face-toface
78%
Before the Business
Improvement Order

Non-faceto-face53%

Fce-toface
47%

Sympathize with the Chiba
Bank Group's Purpose andVisionHearings throughPurpose and Vision Penetrate
Project Team

Compliance questionnaire

Internal hotline system

Fiduciary Duty hearing

Change in activity volume

Number of effective
interviews with retailcustomerApprox.
doubleSales result of financial
products

Gathering of external opinions
Improvement in customer
satisfaction (NPS*1)

4Q results turned topositive YoY

CX index *2

7.00

FY20232H

FY20224Q

FY20234Q

FY2023
1H

Revenue from retail business

Entire retailbusiness

Sale of financial
products
Investment trust sales
revenue turned positive YoY
in 4Q(billion yen)(billion yen)

6.3

40.0

+2.1 billion
yen*1 NPS® is registered trademark of Bain & Company,
Fred Reichheld, NICE Systems, Inc.

Copyright ©FY2022
2024 The ChibaFY2023
Bank, Ltd. All Rights Reserved.

FY2023

5.50
5.00

Other Initiatives

5.9
FY2022

6.00

2H

Customer interviews with
headquarters staff

37.9

-6%

FY2023

Advanced analysis ofcustomer feedback

In 2022
April to May

Highest point in thebanking industry*4～～～～

FY2023
1H

6.50

Highest point in thebanking industry*4

In 2023
October to November

Business Improvement
Order in June 2023
Average of banking
industry*3
FY2022Average of banking
industry*3
FY2023*2 CX index is based on CXMM🄬 of Nomura Research Institute, Ltd.
CXMM🄬is a registered trademark of Nomura Research Institute, Ltd.
https://www.nri.com/jp/service/solution/fis/cxmm （Japanese）*3 CX Benchmark Survey FY2023 is a survey conducted by Nomura Research Institute, Ltd.
Implementation period: FY2022 figures are for December 2021,
and FY2023 figures are for December 2023.
*4 The highest score among banks that introduced CXMM🄬 in the most recent year
since the completion of the survey analysis for each year of Chiba Bank

69
69

List of Major Measures① Penetration and thoroughness of
the Purpose and Vision

Implementation
timing

Implementation*1

Conducted engagement survey

September 2023●

Opened Chotto line to group companies

September 2023●

October 2023●

Introduced conformity verification tools

March 2024●●

Introduced 360-degree evaluation to group companies

1H of 2024●

Review of the 2nd line system (establishment of the Customer Support
Monitoring Office)October 2023●

December 2023●

Implementation
timing

Implementation*1

Add*2

Displaying the Purpose and Vision on internal PCs and business cards

September 2023●

Reviewed Fiduciary Duty Policy, established Fiduciary Duty Handbook

October 2023●

Established Three Pledges

October 2023●

Monthly Fiduciary Duty study meeting by all employees

October 2023●

Career support based on human resource development policies at personnel
interviews

October 2023●

Discussion by project team (two subcommittees in the bottom)

December 2023●

On the 23rd of every month, distributed video messages by Directors

December 2023●

Start of Fiduciary Duty hearing

December 2023●

Senior management and compliance training

December 2023●

Implemented Fiduciary Duty Special Award

2H of FY2023●●

April 2024●●

Implementation
timing

Implementation*1

Add*2

April 2023●

Through participation in the meetings of the Securities Audit
Department by the Bank's Audit Department, strengthening groupcooperation in the auditing department

April 2023●

④ Strengthening Business Management System

September 2023●

October 2023●

Establishment of the Group Improvement Office

October 2023●

Implementated customer satisfaction surveys for all group companies
customer

Customer interviews by headquarters staff about sales of financial
products
Advanced analysis of customer feedback (introduction of RPA and AI)

Linking performance reviews to human resource development policies

Specialist training in retail comprehensive consulting

proposalability

Implementated the four major measures concerning investment-typefinancial instruments

Eliminated return of profits incentives completely from the Securities
transactions based on the Bank referrals

Incentive

To eliminate banks' profit targets for the retail business*1 Including ongoing measures after implementation[All 57 measures (major measures are listed on this page)][Additional Nine measures (based on notices)]*3 The measures that have not yet been implemented are highlighted[Three measures not yet been implemented (ongoing)]

Copyright © 2024 The Chiba Bank, Ltd. All Rights Reserved.

Dispatch of Directors and general managers from the bank to thesecurities

The chairman of the Board of Directors was changed to an Outside
Director
One on One meeting with the president of group company presidents
Opinion exchange meetings between the bank Directors and groupcompanies
Introducted Skill Matrix for Executives of group companies

Organizational
culture*2 Addition from business improvement plan originally submitted●

President as in charge of the Audit Department and deeply involved in
PDCA
Introduced culture audits

Add*2

●

September 2024

September 2024

Group governanceTraining and video distribution for Fiduciary Duty, behavioral change
to focus on activity volume

Diversification and sophistication of monitoring methods(Phone recording system, voice and video recording of visits,)

3rd line② Establishment of the operational
management system

2nd line●

Newly established practical training for newly appointed internal
administration supervisors

1st line●③ Strengthening internal control system

October 2023●

March 2024●

September 2023●

Implementation
timing

Implementation*1

April 2023●

October 2023●

November 2023●

April 2024●

September 2023●

September 2023●

April 2024

●

Add*2

●

70
70

Appendix

71
71

Chiba Prefecture Market Share / Personal Deposits
Establishing an overwhelming operating base in Chiba Prefecture
Loan and deposit balances in Chiba prefecture / share
Source: Finance Journal

Deposits

28.5%
24.3%

22.9%

26.0%
51.7

3/20083/201338.6%

3/20183/2023

40.4%

40.5%

Total bankdeposits in
Chiba Pref.

6.7

5.8

Of which, depositsbalance int payroll
and pension account3/20203/2021

3/2022

Individual deposit ratio (3/2023)

3/20233/2024Rate of increase (compared to 3/2022)
3.6%

67.7%

2.4%

46.4%

1.2%

7.8
Chiba
Bank
Chiba

3/20086,237.2

6,094.8

5,873.6

72.3%(Trillion yen)

5.2

5,596.2

Personal deposits compared with other banks
Chiba
Bank
share

19.3
16.8

15.0

14.1

Total personal
deposits

5,168.9

Chiba
Bank

Loans
36.9%

9,305.2

14.7

11.4

9.4

11,210.7

10,918.3

10,535.3

10,043.7

Total bankdeposits in
Chiba Pref.

(Trillion yen)

8.0(Billion yen)

43.8

38.7

35.2

Chiba
Bank
share

Trends in personal deposits balance

3/20133/2018

Copyright © 2024 The Chiba Bank, Ltd. All Rights Reserved.

3/2023Chiba
Bank

3 megabanks
average
Mega 3 line average

Regionalbanks, 2nd-tieraverage
Averag e o f regio nal and second-tier region al banks

Chiba

Chiba
Bank

3 megabanks
average
Mega 3 line average※Source: Simple average calculated from Nikkin Report (March 2023)

Regionalbanks, 2nd-tieraverage
Averag e o f regio nal and second-tier region al banks

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About Chiba Prefecture
The economic environment in Chiba Prefecture is good.

Population

6.28 million
No.6
nationwide

Gross

Prefectural
IncomePrimary
industry

prefectural
products

18.7 trillion yen
No.6
nationwide

No.5
nationwide¥0.1 trillion

GDP

Secondary
No.9
industry nationwide¥5.3 trillion

Tertiary
No.7
industry nationwide¥15.2 trillion

20.7 trillion yen
No.7
nationwide

Size of the Chiba Prefecture economy(compared to major world countries)
Total assets of Chiba Bank (compared to the largest bank)(USD Bil.)

252.7

246.0

229.0

212.2

195.9

188.9

Sources: Ministry of Internal Affairs and Communications Statistics Bureau, "Population Census" (FY2020);
Cabinet Office, Economic and Social Research Institute, "Prefectural Accounts" (FY2020)

Chile

Population and number of households in Chiba Prefecture

141

157

181
555

201

217

232

605
579 592

251
621

260

276

280

283

286

622

628

627

627

627 (10,000 households)
Population

514
473

(10,000 people)

1980 1985 1990 1995 2000 2005 2010 2015 2020 2021 2022 2023

Copyright © 2024 The Chiba Bank, Ltd. All Rights Reserved.

Number ofhouseholds*As of Oct. 1 of each year

Sources: Statistics Bureau, Ministry of Internal Affairs andCommunications, "National Census" (~2020)
Chiba Prefecture "Chiba Prefecture Monthly Permanent Resident
Population Survey Monthly Report" (2021~)

Czech
Republic

PortugalNew
Chiba
ChibaPref.
Pref. Greece
Zealand

Total assets of largest bank in each country/region
148.2
90.0

109.0

104.7

86.6

80.3

Caixa Geral de
Bank New National
Bank of
CSOB Czech CSOBANZ Bank
Czech ANZCaixa
Banco
de
Depositos
Zealand
GreeceRepublic e
Geral de New ZealandRepublic
Credito
Depositos
Inversiones

Chiba Bank

Chiba
Bank

OPT Bank
Eurobank
Holdings

Sources:<GDP> Cabinet “Annual Accounts of the Japanese Economy for FY2021 (Flows) Point (released on December, 2022)" andOECD "Annual National Accounts Database (as of March 2023)".
< Total assets of the largest domestic banks >The Bankers (2023 edition), Calculated based on the exchange rate on the date of financial
results from each company's disclosed data.

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(Ref.) Earnings Results / Stock Price(Billion yen)

(Yen)

1400

FY2023
Record highnet income
Stock price:¥1,344(April 26, 2024)

1200

70

60

Line graph:Bank's stock price (left axis)
1000

50

800

40

600

400

200

0

FY2022
Record highnet income
Stock price:¥1,037(March 9, 2023)

FY2006
Record highnet income
Stock price:¥1,206(Feb. 23, 2007)

Bar graph:consolidated net income (right axis)

30

20FY2014
Record highnet income
Stock price:¥1,037(Apr. 22, 2015)

100
FY2004 FY2005 FY2006 FY2007 FY2008 FY2009 FY2010 FY2011 FY2021 FY2013 FY2014 FY2015 FY2016 FY2017 FY2018 FY2019 FY2020 FY2021 FY2022 FY2023 FY2024

Copyright © 2024 The Chiba Bank, Ltd. All Rights Reserved.

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Inquiries related to this presentation should be addressed to:

The Chiba Bank, Ltd.
Corporate Planning Division
Investor Relations
Tel: 043-301-8459
Fax: 043-242-9121
E-Mail: ir@chibabank.co.jp
This material was prepared only for the purpose of providing information and does not solicit
the purchase or sale of any specific securities.
All or part of the matters described in this material may be revised or changed without priornotice. This materials contains forward-looking statements. These statements are notrepresented as providing a guarantee of the Bank’s future performance, and actual results may
be subject to risks and uncertainties. Please note that future performance may differ due tochange in business environment, etc.