NEXI is committed to:
1. Providing insurance products that will
make customers feel secure andprotected in overseas transactions
2. Readily providing information andadvice to customers on theirtransactions from a preliminary stage

NEXI Mission

3. Responding promptly to the inquiries
and concerns of customers

CONTENTSI NEXI Mission

1

II Message fromthe Chairman

3

III Main Data
for Fiscal 2003

6

4. Meeting the demands of customers
and business needs
5. Speedily completing the assessmentof a claim and promptly making aclaim payment

NEXI's Resolution

6. Speedily allocating recovered money

Management Principle
SPEED

PROFESSIONALINTEGRATIONREFORMATION

IT ORIENTED

TRANSPARENCY

Nippon Export and Investment
Insurance (NEXI) commits itself tocontributing to the economy andsociety of Japan through efficient andeffective insurance business
operations. It does this by responding
precisely to customers’ needs with aquick perception of market changes
and by underwriting the risks inherent
in international transactions that cannot
be adequately protected byconventional commercial insurance.

9
IV Main Projects
Recently UnderwrittenManagement Policy
1. NEXI as an independentadministrative institution servicing the
public through its operations aims at
contributing to the stability of people’s
lives and to the sound growth of theeconomy.
2. NEXI adheres to giving first priority to
the interests of customers, responding
promptly and precisely to customer’s
individual needs, providing superior
quality customer services, andachieving the highest level ofoperating efficiency and effectiveness.
3. NEXI fully utilizes the talents of its
entire management and humanresources to accommodate theanticipated changes in the market. Its
objectives are to undertake more risk,
develop new products and to becreative in applying flexible risk
underwriting schemes. It further aims
at increasing profitability throughprudent risk control and by applying
suitable criteria to ensure long-term
growth and prosperity.
4. NEXI encourages and fosters thedevelopment of knowledge and theskills of employees through training
and makes the best use of the staff’s
diverse professional backgrounds tocreate an ideal workplace that
corresponds to current changes insociety.

V Review of
Performancein Fiscal 2003

15

VI Financial Resultfor Fiscal 2003

21

VII Profile of NEXI

35

VIII NEXI Customer
Service Charter37

Annual Report 2003 - Message from the Chairman

Message from the Chairman

Hidehiro Konno, Chairman and CEO

It is my pleasure to announce that Nippon Export andInvestment Insurance (NEXI), having been established at thedawn of the new millennium successfully ended its third
fiscal year and is now entering a new fiscal year. I hereby
express my sincere appreciation for the kind assistance andsupport that our customers and the stakeholders havecontinued to extend to us.
In reviewing the fiscal year 2003, we saw signs of economic
recovery with actual improvements in corporate profits andmodest increases in consumer spending in spite of the factthat we were still caught up in a world of uncertainties asrepresented by terrorism in the Middle East. In such asituation where the economy has been showing an upturn, it
is essential for companies with diversified activities toacquire skill in controlling the various "risks" that have cometo the surface as a result of globalization.
NEXI has provided various kinds of products to mitigate
risks in exports and in overseas investments and loans and toassist our customers by serving their needs in expanding
their business activities. In April of 2003, NEXI set up ourCustomer Service Charter and both management andemployees have been making every effort to streamline
procedures and improve the efficiency of our services.
For NEXI, this new fiscal year 2004 is the last year of thefirst medium-term plan and we have started to work for thecompletion of the initial foundation period as an independentadministrative institution. It is our intention to continue ourefforts to make NEXI more serviceable and to keep on
growing together with our customers.
We look forward to continuing to serve you all in the future.

II

We continued our efforts to serve our customers’ needs
as much as possible by improving the quality of
our customer services
We have continued to improve our customer services
in various areas through the spirit of our Customer
Service Charter
In accordance with the principles of our Customer Service Charter
we have streamlined various operational procedures in order to easethe burden of paperwork on our customers and to accelerate ourservices.
Below are examples of our newly streamlined procedures.
쐌 Started to make combined use of OCR and Excel sheets for therequired submittal documents.
쐌 Streamlined the application forms required for the Overseas
Untied Loan Insurance and unified the closing dates forapplication acceptance.
쐌 Simplified the procedures for the preliminary approval notices forsmall amount transactions.
쐌 Integrated the supplementary and additional supplementaryagreement documents for Short-Term Comprehensive Insurance.
쐌 Started electronic database services for the renewal of insurance
claim payment limit data for Short-Term Comprehensive
Insurance.
쐌 Reduced the number of required submittal documents for
insurance claim payments.

Inauguration of Intellectual Property
License Insurance
License-related business such as intellectual property rights has been
growing as a result of the expansion of the content trade. In order to deal
effectively with this trend, we have inaugurated an Intellectual Property
License Insurance. Losses arising from unrecoverable royalties
including intellectual property rights will be covered by this insurance.
Non-payment of the royalties related to copyright of animations andgames software or introduction of foreign currency remittance
restrictions in the licensees’ countries are the main reasons for theselosses. In addition, this insurance has a new policy based on thecharacteristics of the license contracts, i.e. to cover royalty payment
risks for the first five years of the license contract as a principle and to
set the maximum amount of insurance claim payments.

Suspension of royalty
payments due to a
restriction on foreign
currency remittances in
the licensee’s country

Non-payment of royalties
due to bankruptcy of acompany that has been
provided with a license
or know-how

Non-payment ofroyalties on the duedate

We have started to underwrite bonds issued in
the local currency of the countries (Asian Bonds)
Based on the government’s new initiative "Cooperation towards
Intra-ASEAN/ASEAN—Japan Economic Integration", we haveinaugurated the system of underwriting the Overseas Untied Loan
Insurance for guarantees extended by Japanese companies for the
corporate bonds which are issued in local currencies by Japanese
corporations in ASEAN countries. As a result of this system, theJapanese corporations in ASEAN countries will be able to diversify
their fund raising methods.

(Japan)Guarantor(Insured party)

Bond Issuer(Japanese company
subsidiary or affiliate)

Overseas Untied
Loan Insurance(Debt
Guarantee)
Bond Agent

NEXI

Redemption

Reinsurance
ME TI(the Ministry of Economy,
Trade and Industry)

Purchase

Investors

Reinsurance agreement with an Export Credit
Agency in Asia
We have concluded a reinsurance agreement with ECICS (ECICS Limited),the Export Credit Agency of Singapore. NEXI provides reinsurance for theexport credit insurance that ECICS underwrites for Japanese company
subsidiaries and affiliates in Asia. This agreement helps ECICS to expand its
individual underwriting and to enable Japanese company subsidiaries oraffiliates in Asian countries to reduce the risks arising from their overseas
business.
Reinsurance
NEXI

Suspension of foreign exchange transactions or foreign currency remittances(ASEAN Country)

Introduction of ECICS

E CI CS

Export Credit Insurance

Bankruptcy of the licensee company or delayed payments
Japanese company subsidiary or affiliate

Claims paid
NEXI

3

4

Annual Report 2003 - Message from the Chairman

II

Annual Report 2003 - Main Data for Fiscal 2003

III

Main Data for Fiscal 2003
An increase in the amount of underwriting of
medium and long-term transactions as a resultof expansion of percentage of indemnity
Percentage of indemnity of Export Credit Insurance (Medium and LongTerm) and Overseas Untied Loan Insurance have been improved in order tomeet our customers’ requests. Consequently the number of underwritingtransactions has increased.
Underwriting amount for medium andlong-term transactions (Non-LG)·399.29 billion (FY2002) 씮 ·673.99 billion (FY2003)

The Short-Term Trade Insurance
for Manufacturers
The Short-Term Trade Insurance for Manufacturers which wasdeveloped in 2003 to meet the needs of the manufacturers is making
a good start.
Newly contracted companies in FY2003: 15 companies(11 companies as of September 1st, FY2004)

Alleviation on terms of claim payments forpledged stocks (Overseas Investment Insurance)
In order to receive claim payments for Overseas Investment Insurance, it
was considered to be essential to release the right of pledge that had
been established on the stocks invested. However, in response to therequests of our customers we have made it possible to receive claim
payments without releasing the pledge. (This is subject to the Overseas
Untied Loan Insurance being contracted for the same transaction or withadditional premium payment.) As a result, our customers can avoid
investment risks by insurance coverage especially in the case of project
finance and it will be easier for the project organizer to collect sponsors.
At the same time, lenders can receive claim payments for their loans by
exercising their right of pledge. Thus, the whole structure of the scheme
becomes more stable.

Measures to cope with SARS problems havebeen taken (Overseas Investment Insurance)
Taking account of the spread of SARS in China where many Japanesecompany subsidiaries and affiliates are operating, NEXI has made thedecision to underwrite losses that may arise from SARS. Losses causedby suspension of their business activity due to an outbreak or the spreadof SARS are covered by the Overseas Investment Insurance as losses
under force majeure.

5

Commencing Overseas Trading Companies'
Rating Database Services
We have provided database services for Overseas Trading
Companies’ Rating only to those holding charged membership of the
JTIO (Japan Trade and Investment Organization). Now we havemade these services available to our customers and also to our future
customers, either free of charge or at a low cost.

Approval of "Participation" for transfer
schemes of uncovered part of Paris Club
claims (debt portions held by policyholders)
Formerly assignment was the only way of transferring the economic
interests of the creditor’s rights to the third party.
Recently in order to meet our customer’s requests, we have appended
the approval of transfer according to "Participation Scheme".

1. Result of Trade and Investment Insurance Business Result of Trade and Investment Insurance Business (from FY1987 to FY2003)(Unit: billion yen)

1987 1988 1989 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003

200

100

0

Debts with respect to Export Bill Insurance andShort-Term Trade Insurance for Manufacturers
will be collected through the collection agency-100
By making it mandatory to collect debts through the collection
agency, the insured are essentially relieved from the obligation ofcollecting debts. This system applies to the cases in which NEXI
paid insurance claims due to commercial risks after October 1, 2003
in the cases of Export Bill Insurance, and after April 1, 2004 in thecases of Short-Term Trade Insurance for Manufacturers.

-200

Enforcement of the new environmental
guidelines-300
The new environmental guidelines the "Guidelines on
Environmental and Social Consideration in Trade Insurance" was put
into force on October 1st, 2003 with the completion of necessary
procedures. Based on these new guidelines, we have confirmed
whether appropriate measures in regard to environment are taken by
the project organizers to prevent or mitigate negative influences tothe environment in putting the project indemnified by NEXI into
operation. Moreover to comply with these new guidelines, we have
set up procedures for submitting objections and have instituted in
NEXI an examiner of Environmental and Social Guidelines.

For details of any revisions of the above
systems and any other systems, please visit our
website (http://www.nexi.go.jp).

-400(Unit: billion yen)

Premium income

1987 1988 1989 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003
30.4 21.3 34.2 44.8 35.7 44.7 46.2 44.1 43.5 41.0 46.0 45.4 33.2 32.9 42.1 34.3 43.6

Recoveries andother income

34.9 40.0 69.3 38.7 40.7 111.2 77.3 85.2 98.3 121.2 123.0 91.3 84.6 85.3 74.5 70.2 97.7

Claims paid

-109.5 -164.8 -142.7 -198.6 -341.9 -148.2 -128.0 -80.6 -57.1 -44.4 -30.2 -16.7 -21.6 -32.4 -49.9 -65.1 -23.0(Premium+ Recoveries- Claims paid)-44.2 -103.5 -39.2 -115.1 -265.5 7.7

Fiscal Year

-4.5

48.7 84.7 117.8 138.8 120.0 96.2 85.8 66.7 39.4 118.3

6

Annual Report 2003 - Main Data for Fiscal 2003

2. Underwritten Amount

5. Claims Paid

In fiscal 2003 the total amount underwritten was 11.1 trillion yen, up 4.6% from the previous year.

The amount of claims paid in fiscal 2003 was 23 billion yen with a significant fall of 64.7% from the previous year. This wasdue to the completion of a large amount of claims payments caused by commercial events in Thailand and Indonesia and theParis Club’s rescheduling of the Indonesian sovereign debt.

 Underwritten Amount by Region

 Underwritten Amountin Fiscal 2003

(Fiscal Year)

2001

10.1

2002

10.6

2003

11.1

0

3

 Claims Paid by Risk

South America 1.9%
Africa 2.4%
Oceania 3.5%

6

North andCentral America
27.3%
9

12

15

(Unit: trillion yen) Claims Paid by Policy Term

(Commercial/Political)
Commercial Risk

Political Risk

Short Term

(Fiscal Year)

Asia
45.6%

Europe19.3%

IIIMedium-Long Term

(Fiscal Year)

2001

29.6

2002

28.8

20.3

49.9
36.3

2003 12.2 10.8

65.1

2001

28.4

21.5

2002

30.5

2003 10.3 12.7

23.0

49.9
34.6

65.1

23.0

3. Outstanding Commitment
In fiscal 2003 the outstanding commitment balance on a direct insurance basis was 8.6 trillion yen, which was 9.1%
up from the previous year.

 Outstanding Commitment

 Outstanding Commitment by Regionin Fiscal 2003

(Fiscal Year)

7.5

2002

7.9

0

2

4

South America 6.7%

8

40

50

60

70

80 (Unit: billion yen)

0

10

20

30

40

 Claims Paid by Region

South America
14.5%

North andCentralAmerica
0.6%South America
5.8%

60

70

80 (Unit: billion yen)

(Political Risk)
Africa 2.4%

Oceania 0.0%

Europe
0.6%

Asia
83.7%

50

 Claims Paid by Region(Commercial Risk)

Oceania 0.0%

Asia
59.6%

Europe11.3%

10 (Unit: trillion yen)

30

Europe0.3%

North andCentral America
16.6%
6

20

 Claims Paid by Region

North andCentral America
0.3%

Africa 4.5%

8.6

2003

10

Africa 1.1%

Oceania 1.2%
2001

0

Oceania 0.0%

Africa 0.0%

North andCentral America
0.1%South America
24.3%

Asia
73.2%

Europe
0.0%

Asia
93.1%

6. Recoveries
4. Premium Income
Premium income in fiscal 2003 (Issued invoices basis) rose to 43.6 billion yen with a 27% increase from the previous year.

The total amount of recoveries in fiscal 2003 was 97.7 billion yen with a 39% increase from the previous year being helped by thelarge amount of recoveries resulting from rescheduling agreements with the Nigerian government.

 Recoveries

 Premium Income(Fiscal Year)

42.1

2001
34.3

2002

43.6

2003
0

10

20

2001

74.5

2002

70.3

30

40

50

Asia
13.8%
Africa38.0%(Unit: billion yen)

20

40

60

80

100

(Unit: billion yen)

North andCentral America
1.1%

Europe
20.0%

97.7

2003

0

7

 Recoveries by Region(Fiscal Year)

South America
27.0%

8

Annual Report 2003 - Major Projects Recently UnderwrittenIV

Major Projects Recently Underwritten

Asia
TaiwanTaiwan Power Company - Dah Tarn Gas Turbine Power
Plant Construction Project
Mitsubishi Heavy Industries, Ltd. and the Mitsubishi
Corporation undertook the project for a gas turbine
combined cycle power plant for the Taiwan Power
Company. The power station will be constructed in Dah
Tarn in northern Taiwan and will be the world’s largest
scale gas turbine combined cycle power plant with a
total output of 4,250 megawatts. NEXI underwrote the·180 billion Export Credit Insurance for this project.

Malaysia
Export of LNG Carriers for Malaysia International
Shipping Corporation Berhad (MISC)
Mitsubishi Heavy Industries, Ltd. and Mitsui Engineering & Shipbuilding
Co., Ltd. were awarded the export contracts of six LNG carriers for MISC
(Malaysia International Shipping Corporation Berhad), Malaysia’s largest
shipping company. A syndicate of Japanese private financial institutions led
by the Mizuho Corporate Bank, Ltd. extended loans of US$410 million to
MISC for the purchasing fund of the carriers. NEXI underwrote the Export
Credit Insurance for this loan.
(The insurance contract for the first and second carriers was concluded on
March 31st, 2003 and for the remaining four carriers on April 3rd, 2003)

Indonesia
Tuban Petrochemical Project(The insurance contract was concluded on December
26th, 2003)

NEXI underwrote the Overseas Untied Loan Insurance for thefinance of US$200 million that was extended by a syndicate ofJapanese private financial institutions led by the Sumitomo
Mitsui Banking Corporation for the petrochemical plant
project in Indonesia. This is a project for the construction andoperation of a petrochemical plant undertaken by Trans-PacificPetrochemical Indonesia (TPPI) in Tuban in Eastern Java. A
financial resource for the repayment of the loan which will be
provided by P.T.Pertamina, the state-owned petroleum
company of Indonesia represents the proceeds of their sales of
low-sulfur residual oil to Mitsui & Co., Ltd. This is the first transaction for NEXI to cover the commercial riskof P.T.Pertamina.

Thailand
BLCP Coal-Fired Power Plant Project
Mitsubishi Heavy Industries, Ltd. and the Mitsubishi
Corporation were awarded the export of the power generatingmachinery for the project to construct a power plant in Thailand.
This project is being undertaken by a special purpose company
established by CLP Holdings Limited (a Hong Kong based
power company) and the Banpu Public Company (Thailand’scoal supply and power company). The power plant will supply
generated electric power to EGAT (The Electricity Generating
Authority of Thailand) under a sales contract. A syndicate ofJapanese private financial institutions led by the Bank of Tokyo-Mitsubishi, Ltd. has provided finance ofapproximately US$163 million for this export. NEXI underwrote the Export Credit Insurance for this finance.

Indonesia(The insurance contract was concluded on April 1st, 2004)

Tanjung Jati 'B' Coal-Fired Power Plant Project

ThailandIsuzu (Thailand) Co., Ltd. Corporate Bond Issue
Isuzu (Thailand) Co., Ltd., a subsidiary of Isuzu Motors Limited issued a 1 billion Thai Baht
(approximately ·2.7 billion) corporate bond for Thai investors in order to raise a plant andequipment investment fund to develop and reinforce the production capacity of pickup trucks in
Thailand. The Mizuho Corporate Bank, Ltd. provided a guarantee for the bond and NEXI
underwrote the Overseas Untied Loan Insurance for the bank’s guarantee.
(The insurance contract was concluded on April 26th, 2004)

9(The insurance contract was concluded on May 18th, 2004)

The Sumitomo Corporation was awarded the export of power
generating machinery for a power plant project in Tanjung Jati,
Indonesia. This project is to construct a power plant with the purposeof leasing it to the state-owned electricity firm of Indonesia, PT PLN.
A special purpose company has been established by a subsidiarycompany of the Sumitomo Corporation in order to undertake thisproject. A syndicate of Japanese financial institutions led by the
Sumitomo Mitsui Banking Corporation financed approximately·57.8 billion for this export. The Export Credit Insurance for thisproject was underwritten by NEXI.
(The insurance contract was concluded on July 23rd, 2003)10

Annual Report 2003 - Major Projects Recently Underwritten

IV

EuropeThe Middle East
Oman

Romania

Sohar Oil Refinery Construction Project

Export of Medical Equipment for the Romanian Ministry of Health

The JGC Corporation undertook the project of an oil refinery plant led by the government of Oman.
The project consists of the construction of an oil refinery in the Sohar industrial area of northwestern
Oman with a design capacity of 116,400 barrels of oil per day and the production of petroleum products
for the existing refinery on a consignment contract basis. A syndicate of Japanese private financial
institutions led by the Bank of Tokyo-Mitsubishi, Ltd. provided the finance of approximately US$261
million for the export and construction of the plant. NEXI underwrote the Export Credit Insurance forthis finance by the banks. This is the first transaction in which NEXI will cover a 95 % commercial risk
for a project without a government guarantee.

A Japanese company exported medical equipment for hospitals under the influence of the
Ministry of Health of Romania. The Romanian government has been addressing theimprovement of its domestic infrastructure with the aim of a future EU membership
application. ING Bank N.V. Tokyo Branch financed approximately US$2 million for thisexport contract and the Export Credit Insurance for this finance was underwritten by NEXI.
(The insurance contract was concluded on August 7th, 2003)(The insurance contract was concluded on February 4th, 2004)

RussiaExport of Construction Machines for a Russian Leasing Company

NEXI also underwrote the Export Credit Insurance for theexport of commissioning services for the design, procurement
and construction related to the oil refinery construction project,which amounts to approximately US$900 million.

A Japanese company exported construction machines for a Russian leasing company ofconstruction machines. Approximately ·400 million sales proceeds is to be paid by medium andlong term deferred payments. The Export Credit Insurance for this contract was underwritten by
NEXI.

(The insurance contract was concluded on March 26th, 2004)(The insurance contract was concluded on December 24th, 2003)

Iran
Fertilizer Plant Construction Project for the National Petrochemical Corporation (NPC)The Toyo Engineering Corporation and the Chiyoda Corporation
were awarded the contract for the project of fertilizer plant
construction to be undertaken by an affiliated company of thestate-owned petrochemical company, the National Petrochemical
Corporation (NPC). The finance of approximately ·8.3 billion
for the export of the plant was provided by the Hongkong andShanghai Banking Corporation, Ltd., Tokyo Branch (the agentbank), The Bank of Tokyo-Mitsubishi, Ltd. and the Soci t
G n rale, Tokyo Branch. NEXI underwrote the Export Credit
Insurance for this finance and this was the first time for NEXI tocover the commercial risk of NPC.

Croatia
Zagreb-Split Motorway Construction Project
For the motorway construction project in Croatia, NEXI underwrote the Overseas Untied Loan Insurance for the finance of Euro
250 million extended by a syndicate of Japanese financial institutions led by the Bank of Tokyo-Mitsubishi, Ltd., the Mizuho
Corporate Bank, Ltd. and Deutsche Bank A.G., Tokyo Branch. This project is to construct a motorway connecting Zagreb andSplit, the capital and the second largest city of Croatia being undertaken by the Hrvatske Autoceste d.o.o (Croatian MotorwaysLtd.). The finance by Japanese financial institutions is for the construction of the motorway section that connects Zadar andPrgomet. This is a significant project for Croatia in terms ofproviding a direct motorway route to the EU market.
(The insurance contract was concluded on November 25th, 2003)(The insurance contract was concluded on April 30th, 2004)

Iran
South Pars Gas Fields Development Project
A consortium led by the Toyo Engineering Corporation and the JGC Corporation was awarded
the contract to provide a natural gas processing plant in Iran. This is a project undertaken by the
National Iranian Oil Company (NIOC) to process natural gas in the South Pars gas fields of the
Persian Gulf. NEXI underwrote the Export Credit Insurance for this project, which amounts toapproximately US$1,200 million.
(The insurance contract was concluded on July 10th, 2003)

11

12

Annual Report 2003 - Major Projects Recently Underwritten

Azerbaijan, Georgia and Turkey

Latin America

BTC (Baku-Tbilisi-Ceyhan) Pipeline Project
For a project of the oil pipeline from Azerbaijan to Turkey, NEXI underwrote the Export Credit
Insurance for the portion of US$120 million out of the US$950 million loan extended by asyndicate of Japanese private financial institutions led by the Mizuho Corporate Bank, Ltd. This is
a project with a total cost of US$3.6 billion for the construction and implementation of a 1,750
km-crude oil pipeline with a design capacity of 1 million barrels of oil per day. Its function is totransport the crude oil production of the Caspian Sea oil fields, from Baku in Azerbaijan to
Ceyhan in Turkey via Tbilisi in Georgia. The total financial arrangements for the project
represented the co-finance of the export credit agencies of various countries and international
financial institutions. These include the Japan Bank for International Cooperation, EXIM Bank of
the United States, ECGD of United Kingdom, Euler Hermes of Germany, Coface of France,
SACE of Italy, the Overseas Private Investment Corporation of the United States, International
Finance Corporation and European Bank for Reconstruction and Development.
(The insurance contract was concluded on March 4th, 2004)

IV

BrazilThe Petrobras (Petroleo Brasileiro S.A.), Malhas Project:
Improvement of the Domestic Gas Pipeline Network
For the project for the gas pipeline network improvement in Brazil, NEXI underwrote theOverseas Untied Loan Insurance for the US$250 million loan extended by a syndicate ofJapanese financial institutions led by the Bank of Tokyo-Mitsubishi, Ltd. This is a project for
the improvement of the domestic gas pipeline network with the aim of supplying natural gas
to the north-eastern and south-western districts of Brazil. The project is very important for theBrazilian government as it will enable them to supply natural gas to thermal power stations in
the area. The Brazilian government is striving to establish a stable electricity supply system
in order to meet the projected increase in future electricity demand. Their energy
infrastructure is being changed from being heavily dependent on hydro-electric power
generation to the adoption of more diversified power generation sources such as thermal
power generation etc.
(The insurance contract was concluded on December 12th, 2003)

BrazilCompanhia Vale Do Rio Doce S.A.(CVRD), Sossego Copper Mine
Development Project
For the copper mine development project in Brazil, NEXI
underwrote the Overseas Untied Loan Insurance for the
US$300 million loan provided by a syndicate of Japanesefinancial institutions led by the Bank of TokyoMitsubishi, Ltd. The purpose of the finance is for themining development equipment and the cost of theconstruction and development of the infrastructure for the
project. Located in the Carajas District of northern Brazil,
this is the first copper mine development project by theCompanhia Vale Do Rio Doce S.A.(CVRD), which is theworld’s largest exporter of iron ore.
(The insurance contract was concluded on April 8th, 2004)

13

14

Annual Report 2003 - Review of Performance in Fiscal 2003

V

Review of Performance in Fiscal 2003
1. Economic Trends in Fiscal Year 2003

3. Summary of Underwriting

During FY 2003 Japanese companies increased production and exports as the world economy was heading for recovery. Exports
to Asian and EU countries were brisk, and exports of digital consumer electronics and electronic components such as
semiconductors were quite strong. The total amount of Japan’s exports was a record high of ·56.6 trillion with a 6.3% increase
from the previous fiscal year. In particular, the export to the People’s Republic of China accounted for 12.4% of the total, which is
2.5 times that of 10 years ago.
Japan’s current account surplus also reached a new high of ·17,266.6 billion. The Japanese corporate sector recognized profit
recovery with the growth in capital investments being helped by the increased foreign demand and the accelerated disposal of
non-performing debts.
Japan's Export (for reference) Underwritten Amount by Insurance TypeThe total underwritten amount was ·11,119.3 billion showing a 4.7% increase from the previous fiscal year.
In terms of the breakdown of types of insurance, export credit insurance held the largest share with ·10,796.9 billion, 6.0% up
from the previous fiscal year. In particular, export credit insurance for medium and long-term transactions showed strong
results with ·577.5 billion, a huge increase of 118.2% from the previous fiscal year. Meanwhile, overseas untied loan insurance
showed a 36.7% decline from the previous fiscal year but still kept the second largest share next to the export credit insurance
sector.

(Unit: · billion)(Unit: · billion/$ million)

Fiscal Year

1998

1999

2000

2001

2002

2003

Total Export

49,449.3

48,547.6

52,045.2

48,592.8

52,727.1

56,060.9

3.8

1.8

7.2

6.6

8.5

6.3

Fiscal Year
Year-to-year change (%)

2001

2002

10,380.99,737.9

10,182.9

10,796.9$101,858

97.1

6.0

10,113.7

9,647.1

9,918.2

10,219.5$96,410

91.9

3.0

267.2

90.8

264.7

577.5

$5,4485.2

118.2

Export Bill Insurance

67.3

60.6

53.5

41.9

$395

0.4

21.8

Export Bond Insurance

51.6

50.2

-

-

-

-

-

Prepayment Import Insurance

1.2

1.8

0.6

0.8

$7

0.0

35.5

Export Credit Insurance
Short term

(Source: Trade Statistics, Ministry of Finance)

Medium and long term

2. Summary of Trade and Investment Insurance Business Underwritten AmountFiscal Year
Underwritten Amount(Unit: · billion)

1998

1999

2000

2001

2002

2003

Year-to-yearchange (%)

13,968.9

12,024.7

10,811.6

10,136.6

10,618.0

11,119.3

4.7

Overseas Investment Insurance

85.9

55.6

41.8

63.8

$602

0.6

52.8

Overseas Untied Loan Insurance

224.8

230.6

339.3

214.8

$2,0261.9

36.7

Short-Term Trade Insurance for
Manufacturers

-

-

-

1.2

$11

0.0

-

10,811.6

10,136.6

10,618.0

11,119.3$104,899

100.0

4.7

Total

 Outstanding Commitment

Year-to-year
Composition(%) change (%)

2003

2000

(Unit: · billion)

Fiscal Year

1998

1999

2000

2001

2002

2003

Year-to-yearchange (%)

Outstanding Commitment

8,569.2

7,315.6

7,523.0

7,549.1

7,874.2

8,593.9

9.1

 Operating Income(Note 3) Because of the rounding up or down of the fractions, the sum of the items in the columns does not necessarily coincide with the total amount.

(Unit: · billion)

Fiscal Year

1998

1999

2000

2001

2002

2003

Year-to-yearchange (%)

Premium Income (Note 1)

45.4

33.2

32.9

42.1

34.3

43.6

27.0

Recoveries (Note 2)

91.2

84.6

85.3

74.5

70.3

97.7

39.0

Total

136.6

117.7

118.2

116.6

104.6

141.3

35.1

(Note 1) The amount of insurance premiums income includes the refunded insurance premiums.
The premium income after FY2001 is on an issued bill basis. However, the premium income from FY1987 to FY2000 is on an actual payment
receipt basis (the calculation basis is different for the periods before and after FY2001).
(Note 2) The amounts of recoveries from FY2001 are on a payment notice receipt basis. However, the amounts of recoveries from FY1987 to FY2000
are on an actual payment receipt basis (the calculation basis is different for the periods before and after FY2001).

 Claims Paid

15

(Unit: · billion)

Fiscal Year

1998

1999

2000

2001

2002

2003

Year-to-yearchange (%)

Claims Paid

16.7

21.6

32.4

49.9

65.1

23.0

64.7

16

Annual Report 2003 - Review of Performance in Fiscal 2003

왎 Underwritten Amount by Region

4. Outstanding Commitment

In terms of a regional breakdown based on original insurance, insurance for Asian transactions held the largest share of ·5,633.4
billion, followed by insurance for North and Central American transactions of ·3,370.4 billion. Meanwhile, insurance for European
transactions showed a sharp rise by 31.9% from the previous fiscal year.
(Unit: · billion/$ million)

Composition(%)

Year-to-yearchange (%)$53,145

45.6

14.0

2,373.6$22,393

19.3

31.9

4,036.4

3,370.4$31,796

27.3

왕16.5

379.0

226.8

238.3

$2,248

1.9

5.1

211.8

273.8

402.6

293.5

$2,769

2.4

왕27.1

339.9

276.2

341.2

433.8

$4,0933.5

27.2

FY2003

Region

FY2000FY2001

FY2002

Asia

4,101.6

4,334.6

4,943.6

5,633.4

Europe2,236.2

1,708.3

1,799.9

North and Central America

4,427.3

4,074.3

South America

469.2

AfricaOceania(Note 4) Methods used to identify each transaction by country are as follows.
Pre-shipment - country of the consignee of the shipment
Post-shipment- country of the payer (when guaranteed, country of the guarantor)(Note 5) The total underwritten amount by region does not coincide with that by insurance type because it includes some transactions that are doubly
computed, i.e., for both pre-shipment and post-shipment.
(Note 6) Middle East and Central Asia are included in Asia (the same applies hereafter).
(Note 7) Central and Eastern Europe and Russia are included in Europe (the same applies hereafter).

왎 Top Ten Countries and Regions of Underwritten Amount in FY2003(Unit: · billion/$ million)

Order

V

Country왎 Outstanding Commitment by Insurance TypeIn fiscal year 2003, the outstanding commitment totaled ·8,593.9 billion with a 9.1% increase from the previous fiscal year.
Reviewed by insurance type, export credit insurance showed the largest amount of ·6,995.4 billion, followed by overseas untied
loan insurance of ·1,047.3 billion.
(Unit: · billion/$ million)

Composition(%)

Year-to-yearchange (%)$65,995

81.4

13.8

5,327.2$50,257

62.0

12.8

1,421.1

1,668.2$15,738

19.4

17.4

15.4

10.5

9.4

$89

0.1

왕9.9

9.9

8.3

6.8

$65

0.1

왕17.5

0.5

0.8

0.3

0.5

$4

0.0

55.5

Overseas Investment Insurance

819.0

747.0

630.3

533.2

$5,030

6.2

왕15.4

Overseas Untied Loan Insurance

696.1

837.2

1,080.4

1,047.3$9,881

12.2

왕3.1

Short-Term Trade Insurance for
Manufacturers

-

-

-

1.2

$11

0.0

-

7,523.0

7,549.1

7,874.2

8,593.9$81,074

100.0

9.1

2003

Fiscal Year

2000

2001

2002

Export Credit Insurance

5,933.9

5,938.9

6,144.4

6,995.4

Short term

4,188.6

4,465.8

4,723.3

Medium and long term

1,745.3

1,473. 1

Export Bill Insurance

16.8

Export Bond Insurance

56.7

Prepayment Import Insurance

Total

Underwritten Amount1

U.S.A.

2,291.0$21,6132

People s Republic of China

1,254.0$11,833

왎 Outstanding Commitment Balance by Region

3

Taiwan595.7$5,620

4

U.K.

561.0

$5,2925Singapore

437.0$4,123

Reviewed from the perspective of regional breakdown, the outstanding commitment balance for Asian transactions was thelargest with ·5,234.9 billion, 10.9 % up from the previous fiscal year. The outstanding commitment balance for European
transactions was relatively small with ·993.0 billion but this marked a sharp rise of 43.1% from the previous fiscal year.

6

Panama (flag of convenience vessel)

423.4$3,995

7

South Korea

413.6$3,902

Region

FY2000FY2001

FY2002

8

Hong Kong

412.8$3,894Asia

4,466.4

4,396.0

4,719.8

5,234.9

9Indonesia

400.6$3,779Europe

786.7

684.7

693.8

10

Australia

375.1$3,538

North and Central America

1,411.0

1,476.0

South America

633.1

AfricaOceania(Unit: · billion/$ million)

Composition(%)

Year-to-yearchange (%)$49,386

59.6

10.9

993.0

$9,36811.3

43.1

1,427.7

1,461.5$13,787

16.6

2.4

658.0

607.6

591.7

$5,583

6.7

왕2.6

274.1

349.9

517.7

393.2

$3,710

4.5

왕24.0

87.1

86.4

72.2

108.0

$1,0191.2

49.6

FY2003(Note 8) Methods used to identify each transaction by country are as follows.
Pre-shipment - country of the consignee of the shipment
Post-shipment- country of the payer (when guaranteed, country of the guarantor)(Note 9) The total outstanding commitment by region does not coincide with that by insurance type because it includes some transactions that are
doubly computed, i.e., for both pre-shipment and post-shipment.

17

18

Annual Report 2003 - Review of Performance in Fiscal 2003

5. Insurance Claims Paid

6. Recoveries

왎 Insurance Claims Paid by Insurance Type and by Risk
In FY2003 the total amount of insurance claim payments declined to · 23.0 billion with a significant fall of 64.7% from theprevious fiscal year. This was because a series of large insurance claim payments had been completed.
(Unit: · billion/$ million)

FY2000Type of Insurance

FY2001

Commer- Politicalcial Risk
Risk

Total

Total

FY2002

Commer- Politicalcial Risk
Risk

FY2003

Commer- Politicalcial Risk
Risk

Total

Total

Commercial Risk

49.5 29.4 20.1

49.6 13.9 35.7

20.1

$190 10.0$94 10.1$96

Short term

7.8

7.7

28.2 27.9

30.3 13.9 16.4

10.1

$95 10.0

$94

0.1

$1

왎 Recoveries by Risk

Medium and long term

24.1

4.8 19.3

21.3

1.5 19.8

19.4

0.1 19.3

10.1

$95

0

$0 10.1$95

Fiscal Year

Export Bill Insurance

0.4

0.4

-

0.2

0.2

-

0.3

0.3

-

0.2

$2

0.2

$2

-

-

Export Bond Insurance

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

Prepayment Import Insurance

0.1

0.1

-

-

-

-

-

-

-

-

-

-

-

Overseas Investment Insurance

-

-

-

-

-

-

-

-

-

0.5

$5

-

-

0.5

$5

Overseas Untied Loan Insurance

-

-

-

0.2

-

0.2

15.2 14.6

0.6

2.1

$20

2.0

$19

0.1

$1

(Note 10) The amount of recoveries from FY2001 is on a payment notice receipt basis.
Whereas recoveries for FY2000 is on an actual payment receipt basis (thecalculation basis is different for the periods before and after FY2001).

Short-Term Trade Insurance
for Manufacturers

-

-

-

-

-

-

-

-

-

-

-

-

-

-

왎 Recoveries by Region

Total

32.4 13.0 19.4

0.1

0

0

0.3

-

49.9 29.6 20.3

65.1 28.8 36.3

FY2001

FY200223.0$217 12.2 $115 10.8 $102

왎 Insurance Claims Paid by Region
Region(Unit: · billion/$ million)

FY2000Commer- Politicalcial Risk
Risk

Asia

20.2

6.2 14.1

46 27.2 18.8

47.6 28.4 19.2

19.3

Europe

5.7

0.6

5.1

1.5

0.9

0.7

0.1

0.1

0

0.1

North and Central America

4.5

4.4

0

1

1

0

0.1

0.1

0

South America

1.7

1.7

0

0.2

0.2

0

17

0.3 16.6

Africa

0.3

0.1

0.2

1.1

0.3

0.9

0.5

0

Total

32.4

0

0

13 19.4

Total

0

Commer- Politicalcial Risk
Risk

FY2003

Total

Oceania

0

0

Total

0.5

Order Country

Total Claims Paid

$75

$1

0.1

$1

0

$0

0.1

$1

0.1

$1

0

$0

3.3

$31

0.7

$7

2.6

$25

0.3

$3

0

$0

0.3

$3

$0

0

$0

0

$0

0
23

0

Commercial Risk

Political Risk

7.9

0

0

Commercial Risk

$182 11.4 $107

65.1 28.8 36.3

049.9 29.6 20.3

Commer- Politicalcial Risk
Risk

Total

왎 Top Five Countries of Insurance Claims Paid in FY2003

19

Political Risk

Recoveries for FY2003 amounted to ·97.7 billion, with an increase of ·27.4 billion, showing a significant rise of 39% from theprevious fiscal year. This was mainly helped by ·27.5 billion recoveries from Nigeria, which represents 28% of the total
recoveries, in accordance with the bilateral agreement concerning Paris Club rescheduling with the Nigerian Government.
In terms of breakdown by risk, most of the recoveries were on political events, which accounted for ·94.2 billion representing
96.5% of the total recoveries. Recoveries from commercial risk related transactions were small with ·3.5 billion, or 3.5% of thetotal recoveries.
The top five countries of recoveries are as follows: Nigeria (·27.5 billion), Brazil (·24.6 billion), Russia (·9.9 billion), Poland(·8.0 billion), and Philippines (·7.0 billion).

31.9 12.5 19.4

Export Credit Insurance

V(Unit: · billion/$ million)

2000

2001

2002

2003

Political Risk

80.4

73.6

67.3

94.3

Commercial Risk

4.9

1.0

3.0

3.5

Total

85.3

74.5

70.3

97.7

Reviewed from the perspective of regional breakdown, recoveries from Asia totaled ·13.5 billion with a 3.6% increase from theprevious fiscal year. Of this figure, recoveries from the Philippines was ·7.0 billion (·7.3 billion for the previous fiscal year) and thosefrom the People’s Republic of China ·2.9 billion (·2.3 billion for the previous fiscal year), which includes recoveries concerning largescale credit commercial events. These two countries accounted for 73% of the total recoveries from Asia.
Recoveries from Europe declined to ·19.5 billion with ·3.6 billion, a 15.7% decrease from the previous fiscal year. Recoveries from
Russia were ·9.9 billion (·9.3 billion for the previous fiscal year), those from Poland ·8.1 billion (·10.5 billion for the previous fiscal
year) and those from Bulgaria ·0.9 billion (·3.2 billion for the previous fiscal year), which together occupied 97% of the total recoveries
from Europe.
Recoveries from North and Central America were ·1.1 billion, down 28.6% from the previous fiscal year, among which
recoveries from the Dominican Republic of ·0.6 billion (·1.2 billion for the previous fiscal year) which represented 54% of thetotal recoveries from the region.
·26.4 billion was recovered from South America with a 3.3 % increase from the previous year. Recoveries from Brazil were ·24.6
billion (·2.3 billion for the previous fiscal year), ·1.0 billion from Ecuador (·1.8 billion for the previous fiscal year) and ·0.7 billion
from Peru (·0.6 billion for the previous fiscal year). Those three nations accounted for 99% of total recoveries from South America.
The recoveries from Africa amounted to ·37.1 billion with a huge increase of 434.7%. Recoveries from Nigeria were ·27.5 billion (norecovery for the previous year), those from Egypt ·3.6 billion (·3.4 billion for the previous fiscal year) and those from Algeria ·3.3
billion (·3.0 billion for the previous fiscal year), which occupied 93% of total recoveries from Africa.

$217 12.2 $115 10.8 $102

(Unit: · billion/$ million)

Political Risk

(Unit: · billion/$ million)

Composition(%)

Year-to-yearchange (%)

$128

13.8

3.6

19.6

$185

20.0

왕15.7

1.5

1.1

$10

1.1

왕28.6

28.3

25.6

26.4

$249

27.0

3.3

Region

FY2000FY2001

FY2002

Asia

16.3

10.4

13.1

13.5

Europe

12.4

28.1

23.2

North and Central America

14.0

1.7

South America

36.4

FY2003

1

Indonesia

8.9

$84

2.1

$20

6.8

$64

2

South Korea

7.1

$67

7.1

$67

0

0

3

Argentina

3.3

$31

0.7

$6

2.6

$25

Africa

6. 2

6.0

6.9

37.1

$350

38.0

434.7

4

Thailand

2.0

$19

2.0

$19

0

0

Oceania

0

0

0

0

$0

0.0

-

5

Iraq

1.0

$9

0

0

1.0

$9

Total

85.3

74.5

70.3

97.7

$922

100.0

39

20

Annual Report 2003 - Financial Result for Fiscal 2003

VI

Financial Result for Fiscal 2003
1. Fiscal 2003 in Review

2. Financial Statements

Nippon Export and Investment Insurance (NEXI), an independent administrative institution
submitted the financial statements of the third year (fiscal year 2003, ended March 31st, 2004) tothe Minister of Economy, Trade and Industry on June 25th, 2004 and the Ministry approval was
obtained on July 1st, 2004.

 Financial Statements Overview
Below are the highlights of
NEXI’s financial statements forthe third year (fiscal year 2003),
compared with the first andsecond years 2001 & 2002.

Balance Sheet (As of March 31st, 2004)
Titles(Unit: · million)

AmountCash and cash items(Liabilities)
61,104

Provision for outstanding claims

176(Unit: · million)

Securities

28,009Provision for underwriting reserve

8,061

3rd year(FY2003)

2nd year(FY2002)

1st year(FY2001)

Receivables from subrogated claims

345,997

Reinsurance payable

9,800

Accrued income

125,479

Deposits received

Net premiums written

9,253

5,875

7,390

Accrued premiums

5,316

Prepaid insurance premiums

5,238

Ordinary profit and loss

931

825

1,738

Reinsurance recoverable

10,046

Accrued amount payable

8,731

Extraordinary profit and loss

17,112

6,408

20,140

Buildings (Note 2)

144

Suspense receipts

Total profit of the year

18,043

7,233

18,402Equipments and fixtures (Note 3)642

Reserve for bonus payments

Total assets

217,309

166,125

150,084

Deposits

390

Reserve for retirement allowances

Net assets

183,712

134,815

122,754

Other assets

Item

Reserve for uncollectibles

1,328

In fiscal 2003, underwritings of medium and long-term transactions both in export credit
insurance and overseas untied loan insurance increased considerably. At the same time
underwritings of NEXI’s short-term export credit insurance, which represents the mainstream
business, also increased owing to brisk exports by Japanese companies. Under these favorable
circumstances, our financial results for fiscal 2003 marked · 9.25 billion of the net premiums
written and · 0.9 billion of the ordinary profit.
In accordance with the ordinance of the Ministry of Economy, Trade and Industry, profits derived
from recoveries of the debts provided by the government as capital investment are to be booked as
an extraordinary profit (NEXI has been granted the right to receive recoveries relating toinsurance claim payments made under rescheduling agreements between governments). In fiscal
2003, large amounts of recoveries were received as a result of the rescheduling agreement with
the Nigerian Government and an extraordinary profit of · 17.1 billion was accordingly booked bystatute.
As described above, the total profit for fiscal 2003 was · 18.0 billion and the entire amount wasbooked as the reserve according to the law.

 Administrative Services Cost
The administrative services cost is computed by adding up the opportunity cost and the"operational expenses", i.e., the expenses on the statement of income deducting income other thanoperational expense subsidies. As NEXI does not receive any operational expense subsidies, thenegative figure of the net profit for the current year is approximately equal to the "operational
expenses". The administrative services cost for fiscal 2003 was minus · 16.3 billion which wascomputed by adding "operational expenses" to the opportunity cost of the investment by thegovernment. The negative figure for the administrative services cost means that NEXI was able toperform its business without any burden on the taxpayers.

278

0
117
55

Other liabilities

1,140

Total Liabilities

33,596

361,147

 Profits and Losses

21

AmountTitles(Assets)(Shareholders’ Equity)
Capital stock
Government investment

104,352
35,683

Capital surplus (Note 5)
Retained earnings

Total Assets

217,309

Surplus reserve

25,635

Unappropriated retained earnings

18,043(net profit of the current year)(18,043)

Total retained earnings

43,677

Total Shareholders’ Equity

183,712

Total Liabilities and Shareholders’ Equity

217,309(Notes) 1: Amounts less than one million yen but more than 500 thousand yen
have been rounded up to one million yen. However, amounts lessthan 500 thousand yen have been omitted.
2: Accumulated depreciation of buildings is · 45 million.
3: Accumulated depreciation of equipment and fixtures is · 874 million.
4: Accumulated depreciation of vehicles is · 8 million.
5: Breakdown of capital surplus is as follows.
Amount of the difference related to the appraisal ofreceivables from subrogated claims(Unit: · million)

Recognized amount of rescheduled receivables

113,347

Difference from foreign exchange rates of rescheduled claims

13,872

Difference of credit claims

3,990Difference of reserve for uncollectibles

59,803

Net

35,68322

Annual Report 2003 - Financial Result for Fiscal 2003

Profit and Loss Statement (From April 1st, 2003 to March 31st, 2004)
Titles(Unit: · million)

AmountOrdinary Income

Ordinary Profit and Loss

Net premiums written (Note 2)

Premiums received

9,253

Premiums paid on outward reinsurance

왕32,574
왕23,019

43,198

14

Payments for insurance claims

9

Claims received from outward reinsurance

Other ordinary income

161
8,505

14,371

Income from recovery of subrogated claims by the government

36,995

Income from recovery of subrogated claims

왕3,539Net claims paid (Note 3)402

Outlays for distribution of money recoveredrelated to subrogated claims

Amount allocated to provision for outstanding claims

76

Outlays for distribution of money recovered related to subrogated claims by the government

왕77,577

Expected amount of insurance claim recovery (Note 4)

왕131

Personnel expenses

왕1,504

Provision for underwriting reserve

3,327

Other operating expenses

왕2,705

Foreign exchange loss

45

Sub-totalInterest paid

20

Interest and dividends received

Other ordinary expenses

62

Interest and dividends paid

931

Extraordinary Profit

20,731
15,351
왕19

Net cash flow of operating activities

31,691

Profit relating to subrogated claims invested by the government (Note 5)

67,083

2

Others4,705

Ordinary Profit
Extraordinary
Profit and Loss

9,436Interest on securities
Ordinary Expenses(Unit: · million)

Ⅰ Cash Flow from Operating Activities

Interest income

Operating and administrative expenses

36,063

Ⅱ Cash Flow from Investment Activities
왕69,300

31,691

Outlays for placing time deposits

14,579

Income from time deposits withdrawn

33,400Losses relating to subrogated claims invested by the government (Note 5)495

Outlays for acquisition of securities

왕28,093

Amount allocated to reserve for uncollectible subrogated claims invested by the government

14,084

Income from redemption of securities

3,000

Total Profit of the Current Year

18,043Outlays for acquision of fixed assets

왕519

Extraordinary Loss

(Notes) 1: Amounts less than one million yen but morethan 500 thousand yen have been rounded up to
one million yen. However, amounts less than
500 thousand yen have been omitted.
2: Breakdown of net premiums written is as(Unit: · million)

Premiums of original insurance written

44,783

Refund of outward reinsurance premiums paid

1,197

Premiums written on inward reinsurance

84

Premiums paid on outward reinsurance

왕36,811
왕0

Sales commissions (General Insurance)

9,253

Net

5: Profits and losses of receivables invested by thegovernment have been booked as extraordinary profit
and loss. This is in accordance with "Article 2 of the
supplementary rules of the ministerial ordinance withregard to the finance and accounting of the Independent
Administrative Institution Nippon Export Investment
Insurance"(Ministry of Economy, Trade and Industry
ordinance No.104 dated March 29th, 2001)

3: Breakdown of net claims paid is as follows:(Unit: · million)

Interest income from subrogated claims
invested by the government

31,589Recovery of unrescheduled subrogatedclaims invested by the government

77

Foreign exchange profit in rescheduled
subrogated claims invested by the government

232

Insurance claims paid
Reinsurance claims recoveredNet

23,019(2) Breakdown of loss concerning the subrogated claims
invested by the government is as follows: (Unit: · million)

왕345

Payments in financial lease
Net cash flow of financial activities

왕45

Ⅵ Balance of Cash at the Beginning of the Current Year

42,031Ⅶ Balance of Cash at the End of the Current Year

16,104(Note 1) Amounts of less than one million yen but more than 500 thousand yen have beenrounded up to one million yen. However, amounts less than 500 thousand yen havebeen omitted.
(Note 2) Breakdown of cash at the end of the current year by title of balance sheet is as follows:(Unit: · million)

Elimination loss subrogated by claims paid

133

Cash and cash items

Recognized amount of subrogated claims
invested by the government

357

Time deposits

왕10,000

Certificate of deposits

왕35,000

Total

햲 Difference of the booking value of estimated recovery from subrogated claims due to왕345
왕25,927

Ⅴ Net Decrease of Cash402

4: Breakdown of estimated amount of insurance
claim recovery is as follows:왕61,600

Ⅲ Cash Flow from Financial Activities

왕22,618

Others5495(Unit: · million)commercial risks between the current year end and the previous year end

118햳 Recovery of receivables subrogated by claims paid due to commercial risks

4햴 Recovery of non-ledger assets from subrogated claims due to political risks

9

Total

Net cash flow of investment activities

31,691

Total(Unit: · million)

왕87

Outlays for placing deposits

Ⅳ Foreign Exchange Difference related to Cash

(1) Breakdown of profit concerning subrogated claims
invested by the government is as follows:

Others23

Statement of Cash Flow (From April 1st, 2003 to March 31st, 2004)

VI

Balance of cash at the end of current year

61,104

16,104(Note 3) Important noncash transactions
Acquisition of assets by financial lease(Unit: · million)

Equipment and fixtures (System-related assets)

9

Total

9

131

24

Annual Report 2003 - Financial Result for Fiscal 2003

Statement of Administrative Services Costs (From April 1st, 2003 to March 31st, 2004)

VI

N o te s(Unit: · million)

왕17,884

Ⅰ Operating Expense
Net claims paid
Amount allocated to provision for outstanding claims

76
왕131

Amount allocated to provision for underwriting reserve

3,327

Operating and administrative expenses
Interest
Other ordinary expenses
Extraordinary Loss

(1) Depreciation of tangible fixed assets
Depreciation of tangible fixed assets purchased with a value
exceeding ·200,000, either singly or by set, has been
calculated by adopting a straight-line depreciation method.
This is in accordance with the estimated serviceable life
stipulated in the Corporate Tax Law defining that the residual
value is to be 10% of the purchase value. However, thedepreciation of buildings (limited to incidental facilities), hasbeen calculated by a straight-line depreciation method thatsets its residual value at ·1 as the memorandum value.

402

Estimated recoveries
Foreign exchange losses

45
4,705
20
62
14,57923,084(Deduction)
Net premiums written

왕9,253

Interest received

왕14Interest on securities

왕9

Other ordinary income
Extraordinary Profit

왕2
왕31,691

왕40,968-

Ⅱ Equivalent amount of depreciation out of profit and loss account
Ⅲ Estimated increase of retirement allowances other than
the reserve for retirement allowances
Opportunity costs of increases in retirement allowances for
employees who are on loan from governmental ministries

73

73

Ⅳ Opportunity costs
Opportunity cost of using national property free of charge

38

Opportunity cost concerning investment by the government

1,461

Ⅴ Administrative services cost

Ⅰ. Important Accounting Principles
1. Accounting procedures of depreciation

Expense on Income Statement

1,498
왕16,312(Notes) 1: Amounts of less than one million yen but more than 500 thousand yen have been rounded up to one million yen.
However, amounts less than 500 thousand yen have been omitted.
2: Opportunity costs for increases in retirement allowances of employees who are on loan from governmental
ministries had been posted up to the previous year in Section IV, Opportunity costs. However, due to the revisionof Q & As concerning "Accounting Principles of Independent Administrative institutions" and "Interpretation of
Accounting Principles of Independent Administrative institutions" (revised in March, 2003, Q 24-4), this item wasconsequently posted in Section III, Estimated increase of retirement allowances other than the reserve fund for
retirement allowances.

(2) Amortization of intangible fixed assets
Amortization of the trademark right has been calculated by astraight-line depreciation method which fixes its residual
value at ·0 in accordance with the estimated serviceable life
stipulated in the Corporate Tax Law.
Amortization of computer software with a four yearavailability period being used in-house has been calculated
by a straight-line depreciation method that sets its residual
value at ·0 by applying the relative availability period to theestimated serviceable life.
However, part of the computer software will be replaced by
the new system from April, 2006 notwithstanding theremaining period of its availability. Therefore, amortization of
the software which will be disused has been calculated byapplying March 2006 to the termination date of the estimatedserviceable life. Consequently the amortization amount forthe computer software is increased by ·33 million, which has
led to an increase in operating and administrative expensesof the same amount. As a result both the ordinary profit andthe net profit of the current year have decreased by the same
figure.
2. Calculation basis of the reserve for retirement
allowances and its estimate
In order to prepare for retirement allowances payments forboard members and employees, a reserve is provided basedon 100% of the amount of retirement allowances that are
required by the rules of payment of retirement allowances forboard members and also by those that apply to employees
respectively.
3. Calculation method of provision for underwriting reserve
provision for outstanding claims, reserve for subrogatedclaims, and uncollectible subrogated claims
Provision for underwriting reserve, provision for outstanding
claims, reserve for subrogated claims and reserve foruncollectible subrogated claims have been booked with therespective amount which has been calculated in accordancewith the following ordinance. "Concerning the calculation
methods ordained by the Minister of Economy, Trade andIndustry, pursuant to the articles of the ministerial ordinancewith regard to the finance and accounting of the Independent
Administrative Institution Nippon Export Investment
Insurance" (Heisei 13¥03¥27 Trade No.2 dated March 29th,
2001).

4. Calculation basis of reserve for bonus payments and its
estimate
In order to prepare for payment of bonus for board members
and employees, a reserve is provided based on the amountthat resides in the current year according to the rules of
remuneration of board members and employees respectively.
5. Appreciation basis and method for securities
Appreciation of bonds that are owned with the purpose ofbeing held until maturity has been done by adopting anamortized cost method (straight-line method).
6. Appreciation method of money claims and debts inforeign currencies
Money claims and debts in foreign currencies have beentranslated into Japanese yen at the exchange rates
prevailing at the end of the fiscal year.
7. Calculation method of opportunity costs in the statementof administrative services cost
(1) Calculation method of opportunity cost of using national
property free of charge
Opportunity cost arising from using national property free ofcharge for the facilities of NEXI, such as offices and so forth
has been calculated by referring to the average rents statedin the White Paper on Real Estate 2003.
 Computer room on the second floor of the annex to themain building of the Ministry of Economy, Trade andIndustry
 NEXI, Osaka in the Osaka Bureau of Economy, Tradeand Industry facility of the joint government officebuilding
 NEXI, Nagoya in the main building of the Nagoya
Bureau of Economy, Trade and Industry(2) Interest rate for the calculation of opportunity costs relating
to investment by the government
The yield of 10-year government bonds (1.4% p.a.) has been
applied.
(3) Calculation of opportunity costs for increases in theretirement allowances of the employees who are on loan fromgovernmental ministry
For the employees who are on loan from the Ministry of
Economy, Trade and Industry, the increased amount of
retirement allowances which occurred during the service
period of the current year has been booked.
8. Accounting and depreciation methods applied to leasetransactions
Financial lease transactions, of which the acquired value
equivalent exceeds ·3 million, either singly or by set, havebeen booked in accordance with the accounting proceduresof typical sales transactions. Depreciation has been booked
by a straight-line method, which sets its residual value at ·0
by applying the relative contract period as the estimatedserviceable life.

Ⅱ. Important Debt Assumption Undertaken
Not applicable.

Ⅲ. Important Subsequent Events
Not applicable.

25

26

Annual Report 2003 - Financial Result for Fiscal 2003

Ⅳ . Translation of accounting titles distinctive to NEXI
TitlesSubrogated claims

Total of assets of subrogated insurance claims and estimated amount of potential subrogated insurance
claims with regard to the reserve for outstanding claim payments.

Accrued Premiums

Accrued insurance premiums due from policyholders arising from insurance contracted.

Reinsurance recoverable

Receivables arising from reinsurance provided by the government.
- Accrued premiums on reinsurance to be refunded by the government- Accrued claims from reinsurance to be paid by the government

Provision foroutstanding claims

Amount which is considered to be necessary in order to cover losses under insurance contract which wasincurred in the fiscal year and also losses recognized as having been incurred at the end of the fiscal year.
This amount has been booked in accordance with the following ordinance: " Concerning the calculation
methods ordained by the Minister of Economy, Trade and Industry, pursuant to the articles of the ministerial
ordinance with regard to the finance and accounting of the Independent Administrative Institution, Nippon
Export Investment Insurance" (Heisei 13¥03¥27 Trade No.2 dated March 29th, 2001).

Provision forunderwriting reserve

Amount in order to prepare for possible future claim payments under insurance and reinsurance contracts
that NEXI has accepted. This has been booked in accordance with the following ordinance: "Concerning
calculation methods ordained by the Minister of Economy, Trade and Industry, pursuant to the articles ofthe ministerial ordinance with regard to the finance and accounting of the Independent Administrative
Institution, Nippon Export Investment Insurance" (Heisei 13¥03¥27 Trade No.2 dated March 29th, 2001).

Reinsurance payable

Amount due from NEXI arising from reinsurance provided by the government

Prepaid insurance premiums

Insurance premiums received with insurance commitment contracts starting from the next fiscal year or

Net premiums written

Amount calculated by deducting premiums paid on reinsurance from insurance premiums written. Insurance
premiums written are the total amount of original insurance premiums written and insurance premiums
written on inward reinsurance.

Net claims paid

Amount calculated by deducting recoveries of reinsurance claims paid from insurance claims paid.
Insurance claims paid are the total amount of insurance claim payments of original insurance and those on
inward reinsurance.

Estimated insurance
claim recovery

This title represents the total amount of the following items:- Subrogated claims that were incurred on claim payment.
- Recoveries of subrogated claims due to commercial risks- Recoveries of non-ledger asset subrogated claims due to political risks. Difference of the booking value
between the current year end and the previous year end, of the estimated amount of anticipatedsubrogated claims in relation to establishment of the reserve for outstanding claim payments- Difference of the booking value between the current year end and the previous year end, of the estimatedamount of recoveries in relation to asset of subrogated claims due to commercial risks

Amount allocated to provision foroutstanding claims

27Statement of Appropriation of Profit (Dated July 1st, 2004)
Translation

Ⅰ Inappropriate income of the year
18,042,684,147

Ⅱ Appropriation of profit
Reserve

18,042,684,147

Capital Surplus
Appreciation differenceof receivables fromsubrogated claims

Appreciation difference of receivables from subrogated claims invested by the government excluding thoserelated to accrued income. This has been calculated in accordance with the following ordinance: "Theministerial ordinance to correct the previous ministerial ordinance with regard to the finance and accountingof the Independent Administrative Institution, Nippon Export Investment Insurance" (Article No. 49 in theministerial ordinance of the Ministry of Economy, Trade and Industry, dated March 31st, 2003). The amount
has been booked as capital surplus as stipulated in the ministerial ordinance.

• Recognized amount ofrescheduled receivables

Rescheduled subrogated claims due to political risks invested by the government, of which therescheduling agreement was completed on or after April 1st, 2002.

• Foreign exchange difference ofrescheduled receivables

Foreign exchange difference booked at the end of the fiscal year of the rescheduled receivables fromsubrogated claims in foreign currency due to political risks invested by the government.

• Appreciation difference ofcredit claims

Appreciation difference booked at the end of the fiscal year of the rescheduled receivables from subrogatedclaims due to commercial risks invested by the government. This is pursuant to the ministerial ordinancewith regard to the finance and accounting of the Independent Administrative Institution, Nippon Export
Investment Insurance" (Heisei 13¥03¥27 Trade No.2 dated March 29th, 2001).

• Differences in the reserve foruncollectibles

Differences in the reserve for uncollectibles booked at the end of the fiscal year, with regard to therescheduled receivables from subrogated claims due to political risks invested by the government. This ispursuant to the ministerial ordinance with regard to the finance and accounting of the Independent
Administrative Institution Nippon Export Investment Insurance" (Heisei 13¥03¥27 Trade No.2 dated March
29th, 2001).

18,042,684,147

Accompanied Specifications(Amounts of less than one million yen but more than 500 thousand yen have been rounded up to
one million yen. However, amounts of less than 500 thousand yen have been omitted.)

1. Specification of Acquisition, Disposal and Depreciation of Fixed Assets(Depreciation includes off-profit and loss account depreciation according to Article 86 of theministerial ordinance)
Type of Assets
Building
Tangible fixed assets Equipment and fixtures(Depreciation on profit
Vehiclesand loss account)
Total

Balance atIncrease forthe beginning the currentof the year
year

Decrease forthe current
year

Balance atthe end of
the year(Unit: · million)

Accumulated depreciation(Depreciation forthe current year)

Net balance
for thecurrent year

171

18

0

189

45

16

144

1,498

19

2

1,515

874

378

642

8

8

3

0

2

1,712

926

396

786

8

-

1,677

-

37

Tangible fixed assets N.A.
(Depreciation off profit
Total
and loss account)

-

-

-

-

-

-

-

-

-

-

-

-

-

-

Non-depreciable assets

-

N.A.

Total of tangible
fixed assets

Equipment and fixtures

-

-

-

189

45

16

144

1,498

19

2

1,515

874

378

642

8

8

3

0
786

8

-

1,677
2

-

37
-

2

1,712

926

396

-

2

0

0

1

742

645

-

1,387

623

316

764

743

645

-

1,389

623

316

766

Deposits

303

87

-

390

-

-

Total

303

87

-

390

-

-

390

28,009--28,009Securities-

31,011

3,003

Remarks-

0

Intangible fixed assets
Software(Other assets)
Total
Other assets-

18

Vehicles
Total

-

171

Building

Trademark rights
Amount allocated to the provision for the underwriting reserve of the current year.

(Unit: ·)18,042,684,147

Total profit of the year

Amount allocated to the provision for outstanding claims of the current year.

Amount allocated to provision forunderwriting reserve

VI

390

2. Specification of Inventories
Not applicable.

28Annual Report 2003 - Financial Result for Fiscal 2003

3. Specification of Securities(1) Securities booked as liquid assets
Not applicable.

6. Specification of Bonds
Not applicable.

(2) Securities booked as investment and other assets

Securities owned with the purpose of being held until maturity

Type and Description

AffiliatedCompanies’
SharesTotal amount offace value

Booking valueon theBalance Sheet

2,500

2,645

2,647

Appreciationdifference includedin the expenses of
the current year

7. Specification of Reserves
Increase of thecurrent year

Purposive use

Reserve for Bonus Payments

129

117

129

-

117

Total

129

117

129

-

117

Classification

Remarks-(Unit: · million)

Balance atthe beginningof the year

2,500

2,556

-

2,589

2,500

2,588

-

2,388

2,500

2,389

-

2,507

2,500

2,507

-

498

500

498

-

1,497

1,500

1,497

-

998

1,000

998

-

Receivables from subrogated claims

498

500

498

-

Accrued income

498

500

498

-

Ordinary receivables

995

1,000

995

-

Receivables related to subrogated claims

943

1,000

943

-

1,012

1,000

1,012

-

Government-Guaranteed Public Corporation
Bond (The 824th Issue)
Government-Guaranteed Central Japan
International Airport Co., Ltd. Bond (The 6th Issue)
Government-Guaranteed Deposit Insurance
Corporation of Japan Bond (The 94th Issue)
Government-Guaranteed Nippon Life FinanceCorporation Bond (The 12th Issue)
Government-Guaranteed Public Corporation
Bond (The 772nd Issue)

2,431

2,500

2,431

-

1,199

1,200

1,199

-

Other assets

2,494

2,500

2,494

-

Ordinary receivables

1,299

1,300

1,299

-

Total

963

900

963

-

Total

28,011

27,90028,009

Hokkaido Prefectural Government 5-year Public
Issue Public Bond (The 9th Issue in 2003)
Tokyo Metropolitan Government Public Issue
Public Bond (The 607th Issue)
Kanagawa Prefectural Government Public Issue
Public Bond (The 125th Issue)
Kanagawa Prefectural Government 5-year
Public Issue Public Bond (The 9th Issue)
Kyoto Prefectural Government Public Issue
Public Bond (The 4th Issue in 2003)
Osaka Prefectural Government 5-year Public
Issue Public Bond (The 8th Issue)
Hiroshima Prefectural Government Public Bond
(The 2nd Special Issue in 2002)
Osaka Prefectural Government Public Bond
(The 217th Special Issue)

Acquired value

Value of net
assets multipliedby holding share

Booking value on
the Balance Sheet

N.A.

-

-

-

-

Total

-

-

-

-

Classification(Unit: · million)

Balance of Reservefor Loan/Receivable Losses

Balance atthe beginningof the year

Changes in
the current
year

Balance atthe end of
the year

Balance atthe beginningof the year

Changes in
the current
year

Balance atthe end of
the year262,555

83,442345,997

168,266

75,463

243,729

Ordinary receivables

Remarks

0

11

11

0

0

0

117,884

7,584

125,469

110,778

6,640

117,418

5,894

왕578

5,316

0

0

0

5,418

4,628

10,046

0

0

0

75

왕14

61

0

0

0

391,828

95,072486,900

279,043

82,103361,147

Reinsurance recoverable
Ordinary receivables

9. Specification of Reserve for Retirement Allowances
Remarks

Increase of
the current
year

Decrease of
the current
year

Balance at theend of the
year

-

-

-

-

Retirement lump-sum money payables

-

-

-

-

Welfare pension fund-related payables

-

-

-

-

Payables related to contribution toresource reduction

-

-

-

-

Payables related to contribution to
government pension

-

-

-

-

Payables due from employees’ unrecognizedservices in the past and unrecognized differencesin the mathematical calculations

-

-

-

-

Pension assets

-

-

-

-

Reserve for retirement allowances

26

32

3

55

Total amount of retirement allowances payables

Appreciation difference Appreciation
included in the expenses difference of Remarksof the current year
other securities

N.A.

-

-

-

-

-

Total

-

-

-

-

-

(Unit: · million)

Balance atthe beginningof the year

Classification

Booking value on
the Balance Sheet

5. Specification of Long-Term Borrowings
Not applicable.

Balance at the Remarks
end of the year

Accrued Premiums written

Market Value

4. Specification of Long-Term Loans
Not applicable.

OthersBalance of Loans/Receivables

Acquired value

28,009Decrease of the current year

8. Specification of Reserve for Loan/Receivable Losses

Appreciation difference
included in the expensesof the current year

Total amountbooked on the
Balance Sheet

29(Unit: · million)

2,557

Type and Description
Other
Securities

Acquiredvalue

Coupon bearing 10 year-Government Bond
(The 220th Issue)
Coupon bearing 10-year Government Bond
(The 230th Issue)
Coupon bearing 10-year Government Bond
(The 238th Issue)
Coupon bearing 10-year Government Bond
(The 249th Issue)
Coupon bearing 5-year Government Bond
(The 35th Issue)

Description

VI

Remarks

Amounts to be paid at theend of the year are shown.

30

Annual Report 2003 - Financial Result for Fiscal 2003

10. Specification of Statutory Reserve(Unit: · million)

Balance atthe beginning of the year

Classification

Increase forthe current year

Decrease forthe current year

Balance atthe end of the year

100

176

100

176

(Note1)

Provision for underwriting reserve

4,734

8,061

4,734

8,061

(Note1)

Reserve for uncollectibles

279,043

361,147

279,043

361,147(Note 2)

Total

283,877

369,384

283,877

369,384(Notes) 1: The amount booked has been calculated in accordance with the following ordinance: "About calculation methods ordained by the Minister of
Economy, Trade and Industry, pursuant to the articles of the ministerial ordinance with regard to the finance and accounting of the Independent
Administrative Institution, Nippon Export Investment Insurance" (Heisei 13¥03¥27 Trade No.2 dated 29th March, 2001). Accumulation andutilization of the reserve has been made based on re-evaluation of reserve at the end of each fiscal year.
2: The details of the reserve for loan/receivable losses and the balance of loans/receivables subject to reserve are shown for comparison in theabove "8. Secification of Reserves for Loan/Receivable Losses".

11. Specification of Debt Guarantee
Not applicable.

12. Specification of Capital and Capital Surplus

Capital(Unit: · million)

Balance atthe beginningof the year

Increase forthe current
year

Decrease forthe current
year

Balance atthe end of
the year

Government Investment

104,352--

104,352

Total

104,352--

104,352

4,828

113,347

82,49335,683 difference of subrogated claims

Classification

CapitalSurplus Total

4,828

113,347

Accumulated depreciation
off profit and loss account-

Net Amount

4,828

113,347

Remarks

Balance atthe beginningof the year

Increase forthe current
year-

invested by the government excluding
those related to accrued income.

82,49335,683--82,49335,683

18,402(Unit: · million)

7,233

Decrease forthe current
year-

Balance atthe beginningof the year

Remarks

25,635

The whole amount for theunappropriated income forthe year as at the end of theprevious year has been booked
as the reserve fund.

Not applicable.

15. Specification of Operational Expense Subsidies Payables and Income fromOperational Expense Subsidies
Not applicable.

16. Specification of Financial Resource Procedures other than Operational Expense
Subsidies provided by the Government

31

Board members
Employees
Total

(800)
67,206(-)
1,281,692(800)
1,348,898

Retirement allowances
Amount paid
Number of people

(-)
151

(-)
3,246
(-)
-

(-)
1
(-)
-

(1)
155

(-)
3,246

(-)
1

(1)
4

(Notes)1: Outline of the remuneration standard for board members is as follows:(*)The Vice Chairman who is the first in line to undertake the Chairman’s
Chairman and CEO·1,209,700
or CEO’s job on his behalf.
Vice Chairman (*)·1,033,300
Other benefits and allowances have been paid in accordance with "theVice Chairman·958,000
rules of remuneration payments for board members of the independent
Auditor·755,900
administrative institution Nippon Export and Investment Insurance".
(The above amount represents monthly payments.) A part-time auditor is paid ·800,000 as annual remuneration.
2: Number of people paid for employees’ salary represents the annual average number of employees who received salaries.
3: Remuneration for a part-time auditor is shown above separately with the figure in brackets. (This figure is included in theamount of remunerations for board members)
4: Outline of the salary standard for employees is as follows: Employee’s salary consists of wages and some benefits andallowances.Salaries are paid in accordance with "the rules of salary payments of the independent administrative institution
Nippon Export and Investment Insurance".
5: Retirement allowances for board members are to be paid in accordance with "the rules of retirement allowances payments forboard members of the independent administrative institution Nippon Export and Investment Insurance".
6: Retirement allowances for employees are to be paid in accordance with "the rules of retirement allowances of the
independent administrative institution Nippon Export and Investment Insurance".

18. Segment Information to be disclosed

19. Specifications of the Essential Assets, Liabilities and Income
 Cash and Cash Items(Unit: · million)

14. Specification of Utilization of the Reserve for Specific Purpose

Not applicable.

Classification

Disclosure of the relative information is omitted in this annual report, as NEXI is operated by single segment.

13. Specification of Reserve FundReserve fund in accordance with
the Item No.1 in the Article No. 44of the Law concerning generalrules of independent administrative
institutions(Unit: · thousand for the amount paid)

Remunerations/Salaries
Amount paid
Number of people paid

Amounts represent appreciation

Appreciation difference ofreceivables from subrogatedclaimsClassification

17. Specification of Remunerations for Board Members and Salaries for Employees

Remarks

Provision for outstanding claims

VI

Classification
Certificates of Deposit
Ordinary Deposit
Time Deposit
Cash
Total

Amount35,000
16,10410,000061,104

Remarks

 Subrogated claims
Classification
Rescheduled receivables due to political risks(breakdown by country)
Nigeria
Cuba
RussiaArgentina
Algeria
Others
Receivables due to commercial risks
Total(Unit: · million)

Amount341,941
99,78047,451
44,03339,623
17,33893,715
4,056
345,997

Remarks

AmountRemarks

 Accrued income(Unit: · million)

Classification
Accrued interest from rescheduled receivables due to political risks
Accrued interest from bank deposits
Total

125,46911
125,47932

Annual Report 2003 - Financial Result for Fiscal 2003

 Accrued premiums(Unit: · million)

Classification

Amount Net premiums written

Remarks

Classification

Amount4,127Export Credit Insurance

6,858

Overseas Untied Loan Insurance

1,049

Overseas Untied Loan Insurance

1,832

Reinsurance accepted82

Overseas Investment Insurance

465

Export Bill Insurance

56

Export Bill Insurance

75

Overseas Investment Insurance

2

Inward Reinsurance

17

Prepayment Import Insurance0

Short-Term Trade Insurance for Manufacturers

6

Prepayment Import Insurance

5,316

Total

 Receivables on reinsurance
AmountAccrued reinsurance claim payments due from the government

9,401

Accrued reinsurance premiums due to be refunded by the government

645

Remarks

1
9,253

 Reinsurance payable
Amount Operating expense and administrative expense
Classification
Business consignment cost

10,046Classification(Unit: · million)

AmountSalaries

940

Data processing cost

570

(Unit: · million)

Depreciation Cost

397

Remarks

Rents

360

8,559

Amortization of software

316

Accrued recoveries of reinsurance claims due to the government

1,242

Bonus

282

9,800

Statutory welfare cost

145

Consulting fees (Lawyers, Accountants and so forth)144

Allocation of bonus payments reserve

117

Overseas traveling cost

98

Communication and transportation cost67

 Prepaid Insurance PremiumClassification(Unit: · million)

AmountRemarks

Insurance premiums received with insurance commitment
contracts starting from the next fiscal year or later

5,238

Maintenance fee

62

Total

5,238

Allocation of retirement allowances payments reserve

32

Advertising expenses

22

Water and electricity costs

19

Training cost14

 Accrued payables
Classification
Interest subtracted relating to rescheduled receivables
due to political risks
Securities to be delivered in April, 2004

(Unit: · million)

AmountRemarks

Membership cost

14

4,612

Consumables

13

2,917

Printing and book binding costs

12

Premiums planned to be refunded

469

Others31

Development cost of the next computer system

335

Total

4,705

Remodeling cost of the current computer system

267

Interest subtracted relating to receivables due to commercial risks

115

Others

16

Total

8,731

Remarks

1,051

Accrued reinsurance premiums due to the government
Total

Remarks(Unit: · million)

Classification

Total

33

(Unit: · million)

Export Credit Insurance

Total

VI

34

Annual Report 2003 - Profile of NEXIVII

Profile of NEXI

Yukio Kitazume
Vice Chairman

Hidehiro Konno
Chairman and CEO왎 Date of Establishment

April 1st, 2001

왎 Governing Law

The Law concerning the general rules of independent administrative institutions
The Trade and Investment Insurance Law

왎 Business Aim

To perform insurance business efficiently and effectively by underwriting those risks occurring
through international business activities that cannot be covered by ordinary insurances.

왎 Competent Minister

The Minister of Economy, Trade and Industry

왎 Capital· 104,352,324,369 (Fully invested by the Japanese Government) (Unchanged from the previous year)왎 Number of Employees

153 (as at the end of March, 2004) (Unchanged from the previous year)

왎 Scope of Business1. To perform trade and investment insurance business according to Chapter 3 of the Trade andInvestment Insurance Law.
2. To perform any business accompanied by the above.
3. To accept reinsurance of the insurance commitment of international institutions, foreign
governments and foreign corporations that perform insurance business, including reinsurance ofundertaking losses covered by trade and investment insurance and corresponding losses.
4. To reinsure NEXI’s insurance commitment under the Trade and Investment Law, having theJapanese government as the other party of the (insurance) contract according to Chapter 4 of theTrade and Investment Insurance Law. In addition, to reinsure NEXI’s insurance commitmentswith contracted parties such as international institutions, foreign governments and foreign
corporations, including the reinsurance of undertaking losses covered by trade and investment.

왎 Brief History

July, 1999

Mutsuo Hatano
Vice Chairman

The Law concerning the general rules of Independent Administrative Institutions
was approved.
December, 1999 The Law to partly amend the Trade and Investment Insurance Law was approved.
April, 2001
The independent administrative institution, Nippon Export and Investment
Insurance was established.
(For reference)
March, 1950
The Trade and Investment Insurance Law was approved.
Thereafter, trade and investment insurance has been managed by the Ministry of Economy, Tradeand Industry (formerly the Ministry of International Trade and Industry).

Yutaka Miyake
Corporate Auditor

Takashi Imai
Corporate Auditor왎 Offices왎 Members of the Board and the Audit Board
Chairman and CEO

Hidehiro Konno

Vice Chairman

Mutsuo Hatano

Vice Chairman

Yukio Kitazume

NEXI, Osaka
Aioi-sonpo Yodoyabashi Building 8th Floor, 3-1-22, Kitahama, Chuo-ku, Osaka City,
Osaka 541-0041, Japan
Tel: 81-(0)6-6233-4017
Fax: 81-(0)6-6233-4001

Corporate Auditor (Full time) Yutaka Miyake
Corporate Auditor (Part time) Takashi Imai

왎 Main Insurance

Products

35

Head Office
Chiyoda First Building, East Wing 3rd Floor, 3-8-1, Nishi-Kanda, Chiyoda-ku,
Tokyo 101-8359, Japan
Tel: 81-(0)3-3512-7650
Fax: 81-(0)3-3512-7660¥ Export Credit Insurance¥ Short-Term Trade Insurance for Manufacturers¥ Overseas Untied Loan Insurance¥ Overseas Investment Insurance¥ Export Bill Insurance¥ Prepayment Import Insurance36

Annual Report 2003 - NEXI Customer Service Charter

VIII

NEXI Customer Service Charter ( J u l y 1 , 2 0 0 4 )NEXI Spirit(1) NEXI’s mission is to assist customers in conducting
international business with a sense of security by
reducing the risks incidental to their businesses.
To this end, NEXI works hard to understand thecustomer viewpoints, precisely meet their needs andprovide efficient and high-quality services, thereby
enhancing customer satisfaction and establishing mutual
trust.
(2) NEXI, implementing its customer-focused policy, willcontinue to:
1. Improve the quality of services,
2. Broaden the range of risk coverage,
3. Promote the efficiency of operations, and
4. Increase the transparency of management.

NEXI Pledges to the Customer
NEXI is committed to:(1) Providing insurance products that will makecustomers feel secure and protected in overseas
transactions(2) Readily providing information and advice tocustomers on their transactions from a preliminary
stage(3) Responding promptly to the inquiries and concernsof customers(4) Meeting the demands of customers and businessneeds(5) Speedily completing the assessment of a claim andpromptly making a claim payment(6) Speedily allocating recovered money(1) Providing insurance products that will make customers
feel secure and protected in overseas transactions
1) If you suspect that your international transactions,
including exports, foreign investment and overseas
lending, may incur any risk, please visit our website(http://www.nexi.go.jp) and find the insurance productsection, or contact the following offices.
Customer Relations Office (Head Office):
Tel: 81-(0)3-3512-7712 (Direct)● Customer Relations Office (NEXI, Osaka):
Tel: 81-(0)6-6233-4018●

2) To provide customers with further knowledge about
our insurance products that are beneficial tointernational business, we are always pleased todispatch our staff to your office at your request. Pleasefeel free to contact us.
(2) Readily providing information and advice to customers
on their transactions from a preliminary stage.
If you plan to initiate international transactions, such asexports and overseas investment, NEXI’s service is37

available for you.
We will be pleased to consult with you at an early stageof project formation and propose the most appropriate
insurance product to minimize any risk involved.
*For your enquiries, please see the NEXI directory as
below, in order to find out where to contact or phone us.
Customer Relations Office (Head Office):
Tel: 81-(0)3-3512-7712 (Direct)
Fax: 81-(0)3-3512-7687
E-mail: okyakusama@nexi.go.jp● Customer Relations Office (NEXI, Osaka):
Fax: 81-(0)6-6233-4001●(3) Responding promptly to the inquiries and concerns ofcustomers
1) If you have any questions about insurance products,
please call or e-mail the Customer Relations Office or
any relevant group. We will quickly respond.
2) To estimate an insurance premium, please use thepremium calculation simulator on our website.
If you give us information on your planned transaction,
the group in charge will estimate a premium on thesame day of the inquiry, in principle, or on the following
business day at the latest. (For medium or long-term
non-L/G transactions, however, we will answer within
five business days.)
If the group in charge finds it difficult to answer yourinquiry within these time limits, the group will promptly
notify you to that effect and give the reason for thedelay and the expected date of answer.

If we find it difficult to meet an accelerated deadline,
we will promptly report the expected date of completionof necessary procedures.
(5) Speedily completing the assessment of a claim andpromptly making a claim payment

4) If you have any questions about trade insurance
system for a specific project, please consult the group in
charge or the Customer Relations Office. We willanswer within five business days at the latest.
Should we find it difficult to answer within the statedperiod, you will be promptly notified to that effect andbe given the reason for the delay and the expected dateof answer.
(4) Meeting the demands of customers and business needs
1) We appreciate the customers’ consulting with us with
sufficient lead time as our assessment may take longer
than expected.
2) If it becomes necessary to accelerate procedures forsuch reasons as faster-than-expected progress innegotiations for an export contract, please consult withus. We will always keep in mind the importance of yourbusiness needs and do our utmost to meet accelerated
deadlines.

3) A collection of rules concerning trade insurance(including insurance policy provisions for all of our
insurance products)
4) Underwriting policies

1) Upon receipt of the customers’ insurance claims, wewill assess the details in light of the insurance policy
provisions to determine the amount of the claim to be
paid. We will make a payment within a stipulated time.
(Within two months of receipt of the claim. This rule
does not apply, however, in case where more time isrequired for survey.) For the application for insurance
claims, customers are requested to steadily execute theduty of notification and the duty of loss prevention andreduction stipulated in such documents as the insurance
policy provisions. In addition, customers are also
requested to submit all necessary documents stipulated
in the insurance policy provisions and other regulations
within a specified time.
2) In the event that any inadequacy is found in thesubmitted claim or other documents in light of theinsurance policy provisions, and other regulations. We
will notify the customers to that effect within three daysof the receipt of the documents.
3) In order to pay claims within the period stipulated in
the insurance policy provisions, and other regulations,
we appreciate your understanding and cooperation,
including the early submission of documents necessary
for assessment.
(6) Speedily allocating recovered money3) Should the group in charge find any inadequacy inthe forms submitted, such as the pre-application form
and the insurance application form (other thanenvironment-related forms), we will notify you within
five business days of our receipt at the latest.

2) Description of our insurance products

1) When money is recovered with regard to the debt for
which a customer has entrusted us with the exercise ofrecovery rights, we will promptly distribute therecovered money in accordance with the insurance
policy provisions, etc.
2) To allocate money recovered according to Paris Clubdebt rescheduling or other programs, in principle, we willcomplete remittance procedures to the relevant customer
accounts by the business day following the confirmation of
the receipt of the full amount in a NEXI account.

Disclosure
NEXI discloses various kinds of information on our website(http://www.nexi.go.jp) and in our annual report.
(1) Please visit our website for comprehensive information
on trade insurance, which we hope will be helpful.
NEXI website features:
1) Recent developments (including changes in systems
and underwriting policies and business results for thelast half-year period)5) Country categories
6) Simulation of premium calculations
7) Application procedures
8) Procedures to be adopted after occurrence of an
insured event9) Examples of insurance claim payments cases10) Brochures on NEXI’s insurance products11) Downloadable insurance policy provisions, detailed
rules concerning procedures, various application forms(2) Our annual report (in Japanese and English) offers theresults of our trade insurance business and our financial
statements.
Other publications are also available, including NEXI
corporate brochures and leaflets on our insurance products.
Please feel free to call the Public Relations Group or the
Customer Relations Office of the Head Office.
(3) For inquiries regarding our website, annual report orany other public relations material, please contact the
Public Relations Group of the Head Office.

Your Comments and Complaints
We work constantly to enhance customer satisfaction. If
you experience difficulty with any procedure or have acomplaint about our services, we will quickly address the
problem.
(1) If you have trouble, we will quickly address the
problem.If any problem arises, such as insurance-related
procedures, please let us know the details of the
problem and your request. We will immediately
ascertain the cause of the trouble and solve the problem.
(2) If you have any complaint about our services orhandling of a specific project, please inform theCustomer Relations Office.
1) For any complaint about our services, please provide
the details to the Customer Relations Office in writingor via e-mail.
After examining your problem, the Customer Relations
Office will notify you about how we will deal with it.
When it is difficult for us to address the problem
promptly, we will let you know the reason for thedifficulty and what action we will take.

38

Annual Report 2003 - NEXI Customer Service Charter2) If there is any complaint about the handling of a
specific project, please provide the details to theCustomer Relations Office in writing or via e-mail.
After re-examining details about the handling of the
project, the Customer Relations Office will inform youof the results of our examination without delay.
If it is difficult for us to report the results promptly, theCustomer Relations Office will inform you of its reason
and expected schedule.

procedures, such as buyer registration), pleasecontact:
Short-Term Transactions (Terms of Less Than Two
Years)●

Customer Relations Office(1) NEXI has established the "Customer Relations Office"to provide more efficient services for our customers inaccordance with our customer-oriented policy.

●

Customer Relations Office (Head Office):
Tel: 81-(0)3-3512-7712 (Direct)
Fax: 81-(0)3-3512-7687
E-mail: okyakusama@nexi.go.jp● Customer Relations Office (NEXI, Osaka):
Tel: 81-(0)6-6233-4018
Fax 81-(0)6-6233-4001●●(2) The Customer Relations Office offers customer support bylooking at the situation from the customer’s position. All
types of questions and inquiries are welcome, including
those about trade finance, the appropriate group to handle
your planned project, and the handling of a specific project.
We will take prompt action in these matters.

About This Customer Service Charter
NEXI staff members act quickly at all times, and thisCharter will be kept under constant review. Please do nothesitate to make any comments about this Charter or NEXI
in general.

NEXI Directory●

Head Office - Underwriting Group No.2
(Tel: 81-(0)3-3512-7668)- Consultation, individual assessment and issuance of
informal approval of transactions for Export Credit
Insurance, Export Bond Insurance and Prepayment
Import Insurance which do not fulfill the insurance
requirements by country such as for amount limits
Head Office - Business Administration Group(Tel: 81-(0)3-3512-7664)- Consultation and individual assessment oftransactions for all kinds of insurances fulfilling theinsurance requirements by country such as for amountlimits- Consultation and individual assessment of insurance
claims for Export Bill Insurance
NEXI, Osaka - Underwriting Group(Tel: 81-(0)6-6233-4018)- Consultation and individual assessment oftransactions for Export Credit Insurance (SpecificInsurance, Comprehensive Insurance with Exporters’
Association, Short-Term Comprehensive Insurance)
fulfilling the insurance requirements by country suchas for amount limits- Consultation and individual assessment oftransactions for Short-Term Trade Insurance for
Manufacturers- Consultation and individual assessment of insurance
claims for Export Bill Insurance

Medium & Long-Term Transactions (Terms of Two
Years or Over)●For general inquiries, including questions about theoutline of trade insurance, please contact:

Customer Relations Office (Head Office):
Tel 81-(0)3-3512-7712 (Direct)
Fax: 81-(0)3-3512-7687
E-mail: okyakusama@nexi.go.jp● Head Office - Underwriting Group No.1
Tel: 81-(0)3-3512-7667 (Direct)● NEXI, Osaka - Customer Relations OfficeTel: 81-(0)6-6233-4018
Fax: 81-(0)6-6233-4001●

Head Office - Underwriting Group No.2
(Tel: 81-(0)3-3512-7668)- Consultation, individual assessment and issuance of
informal approval of transactions for Export Credit
Insurance, Export Bond Insurance and Prepayment
Import Insurance- Consultation over underwriting and assessment
regarding transactions with direct government loans or
government guarantees, or transactions without
government guarantees for which insurance cover isrequested only for political risks.
- Consultation, individual assessment and issuance of
informal approval of transactions for Overseas
Investment Insurance

●

●

39

●

Head Office - Project Group No.1
(Tel: 81-(0)3-3512-7672)- Consultation over underwriting and assessment withregard to non-L/G transactions (project finance andcorporate finance) in the oil and gas fields

Various application procedures, including approval ofpledgeHead Office - Project Group No.3
(Tel: 81-(0)3-3512-7674)- Consultation over underwriting and assessment withregard to non-L/G transactions (project finance andcorporate finance) in fields related to infrastructure,including telecommunications, railways, andmanufacturing

Various types of notification, such as notification ofredemption date

Head Office - Project Group No.4
(Tel: 81-(0)3-3512-7675)- With respect to Overseas Untied Loan Insurance,
consultation over underwriting and assessment
regarding transactions with direct government loans or
government guarantees and transactions without
government or other guarantees for which insurance
cover is requested only for political risks.

For inquiries about the following matters, pleasecontact the respective office.
Ratings for, and credit management of, non-Japanesetrading companies and banks:

Head Office - Credit Administration Group(Tel: 81-(0)3-3512-7684)● NEXI, Osaka - Administration Group(Tel: 81-(0)6-6233-4017)●

Insurance application forms:

Head Office - Business Administration Group(Tel: 81-(0)3-3512-7664)● NEXI, Osaka - Underwriting Group(Tel: 81-(0)6-6233-4018)●

Issue of insurance policies

Head Office - Business Administration Group(Tel: 81-(0)3-3512-7664)● NEXI, Osaka - Underwriting Group(Tel: 81-(0)6-6233-4018)

Head Office - Business Administration Group(Tel: 81-(0)3-3512-7664)● NEXI, Osaka - Underwriting Group(Tel: 81-(0)6-6233-4018)●

Head Office - Business Administration Group(Tel: 81-(0)3-3512-7664)● NEXI, Osaka - Underwriting Group(Tel: 81-(0)6-6233-4018)●

Notice of occurrence of risks, notification of losses
and credit advice

Head Office - Claims Service & Recovery Group(Tel: 81-(0)3-3512-7663)● NEXI, Osaka - Underwriting Group(Tel: 81-(0)6-6233-4018)●

Claim and assessment of insured events

Head Office - Claims Service & Recovery Group(Tel: 81-(0)3-3512-7663)● NEXI, Osaka - Underwriting Group(Tel: 81-(0)6-6233-4018)●

For inquiries about Paris Club rescheduling, allocationof recoveries and so forth●

Head Office - Asset Management Department,
Recovery Services Group(Tel: 81- (0)3-3512-7725)

For inquiries about assessments of recoverable
assets other than the above and recovery business ingeneralHead Office - Asset Management Department, Asset
Planning Group(Tel: 81-(0)3-3512-7658)● NEXI, Osaka - Underwriting Group(Tel: 81-(0)6-6233-4018)●●"Guidelines on Environmental and Social
Considerations in Trade Insurance"●

Head Office - Environment Group(Tel: 81-(0)3-3512-7685)

Collection or refund of insurance premiums

Head Office - Business Administration Group(Tel: 81-(0)3-3512-7664)● NEXI, Osaka - Underwriting Group(Tel: 81-(0)6-6233-4018)●

Acceptance and handling of applications foralteration

Head Office - Business Administration Group(Tel: 81-(0)3-3512-7664)● NEXI, Osaka - Underwriting Group(Tel: 81-(0)6-6233-4018)●

For inquiries about matters ranging fromconsultation over trade insurance underwriting toassessment associated with specific transactions(including terms of cover, country categories,
international agreements and insurance application

Head Office - Project Group No.2
(Tel: 81-(0)3-3512-7673)- Consultation over underwriting and assessment withregard to non-L/G transactions (project finance andcorporate finance) in the fields of power generationand mining

VIII

Disclosure●

Head Office - Administration Group(Tel: 81-(0)3-3512-7656)

Public relations, including our website and annual
report●Head Office - Public Relations Group(Tel: 81-(0)3-3512-7655)

40

Nippon Export and Investment Insurance Organization Chartfrom July 2004
Chairman and CEO

AuditorVice Chairman

Examiner¥ Environmental and Social Consideration
Guidelines in Trade Insurance¥ Planning of overall strategy for
claims assessment, recovery, andrecoverable asset management

81-(0)3-3512-7654¥ Planning of medium-and long-term
management strategy

Administration Group81-(0)3-3512-7656¥ Human resource and welfare
management¥ Documentation management

Accounting Group81-(0)3-3512-7657¥ Accounting service¥ Fund management

Treasury Group81-(0)3-3512-7659¥ Receipts and disbursement ofdeposit and securities and record
keeping¥ Recording of balance of capital

System Office
81-(0)3-3512-7715¥ Promoting and controlling theinformatization of NEXI

System Administration Group81-(0)3-3512-7677¥ Planning of the insurance information
system¥ Procurement and maintenance for the
insurance information system(hardware) and the local area network

System Development &Statistics Group¥ Planning of sales strategies¥ Re-insurance with Export Credit
Agencies¥ Handling oil/gas-related
medium/long-term transactions
which have non-L/G (e.g.project
finance and corporate finance)

Customer Relations OfficeEnvironment Group81-(0)3-3512-7673¥ Handling customer inquiries andrequests about insurance services

81-(0)3-3512-7725
Business Promotion Group¥ Environmental and social reviews
based on the Guidelines on
Environmental and Social
Consideration in Trade Insurance¥ Correspondence to the OECD
meeting dealing with the issues onexport credits and the environment

Project Group No.3

81-(0)3-3512-7714¥ Sales promotion

Underwriting Group No.1
81-(0)3-3512-7667¥ Sale of Export Credit Insurance,
Short-Term Trade Insurance for
Manufacturers, Export Bill
Insurance, Prepayment ImportInsurance, Export Bond Insurance¥ Management of special agreements
in Comprehensive Insurance

81-(0)3-3512-7674

Country Risk Analysis Group¥ Handling infrastructure-related
medium/long-term transactions
which have non-L/G (e.g.project
finance and corporate finance)

81-(0)3-3512-7686

33-(0)1-4261-5879
33-(0)1-4261-5049
Cover area: Europe, Africa, andMiddle East

Underwriting Group

NEXI, New York¥ Planning and implementation ofbusiness strategy at the branch¥ Duties relating to Export Credit
insurance¥ Duties relating to Export Bill Insurance

c/o JETRO
1221 Avenue of the Americas,
42 FI,McGraw-Hill Bldg.
New York N.Y.10020 USA

Customer Relations Office

Cover area: North, Central, andSouth America

1-212-819-7769
1-212-819-7796

81-(0)6-6233-4018¥ Handling customer inquiries andrequests about insurance services

NEXI, Singapore
c/o JETRO
16 Raffles Quay #37-02A,
Hong Leong Bldg.
Singapore 048581

65-6221-8174
65-6220-7242

Credit Administration Group

Cover area: Asia and Oceania

81-(0)3-3512-7684

81-(0)3-3512-7675¥ Planning management of credit
exposure to overseas buyer and bank
¥ Rating and establishing credit limit ofoverseas buyer and bank
¥ Analysis of creditworthiness ofoverseas buyer and bank

¥ Underwriting the Overseas Untied
Loan Insurance for transactions with
L/G, and for political risks of non-L/Gtransactions

81-(0)3-3512-7668

c/o JETRO
166,rue de Rivoli,
75001 Paris France¥ Duties relating to credit exposure
management of overseas buyers
and banks¥ Total management at the branch¥ Investigation,analysis and evaluationof country risk
¥ Correspondence to the OECD
Export Credit Group Meeting
concerning country risk evaluation

Project Group No.4

Underwriting Group No.2

NEXI, Paris

Administration Group81-(0)6-6233-4018

81-(0)3-3512-7685¥ Handling power generation,mining
and steel manufacturing-related
medium/long-term transactions
which have non-L/G (e.g.project
finance and corporate finance)

Recovery Services Group¥ Management of recoverable assets,
and planning and allocation ofrecovered claims¥ Overseas matters

81-(0)6-6233-4017
81-(0)6-6233-4001

81-(0)6-6233-4017¥ Assessment of underwriting and claim¥ Operation of the insurance system
including underwriting conditions or
policy, premium rates and so on¥ Correspondence to international
standards such as the OECD guidelines

Project Group No.2

81-(0)3-3512-7712¥ Underwriting of specific short-term
export credit transactions¥ Underwriting of medium/long-term
export credit transactions with L/G¥ Underwriting of Overseas
Investment Insurance

Business Administration Group81-(0)3-35127664

48th

Tokyo Dome
Sotobori St.
Kandagawa River

49th

Comedie
FrancaisenSt.
Rue St-Honore

e
Lin
way
Sub
Mita

Jonan Credit
Association

Place duPalais Royal

Cecil St.

NEXI ParisAve.
ve. of the Americas (6th Ave.)ve.)

Hotel duLouvreay
Collyer Qu

AIA Tower
ower

Rockefeller Center (B, D, F,
F, Q)
Rue de Rivoli

Hong Leong Bldg.
Rockefeller Center

Shinjuku Subway Line

Head Office

MRT

7th Ave.
ve.

McGraw-Hill Bldg.

M1

都
営
地
下
鉄
Senshu Univ.
三
Murata Boki
田線 Hanzomon Subway Line
Mizuho Bank
Yasukuni
国 通 St.
り Jimbocho Sta.
靖

Oohara Boki
School

52nd

Broadway
49th St. (N, R)

Metro No.1
Palais Royal
Musee du Louvre
entranceusa

Kudanshita Sta.

Hak

Nishikanda
Ramp

Avenue de l' Opera

Nihon Univ.

NEXI

51st

50th St. (1, 9)

Rue Moliere

JR Chuo Line
Tokyo
okyo
Dental College
Hospital

50th

Rue Richelieu

M7

JR Suidobashi Sta.

St.

¥ Underwriting andalteration of short-term
standard transactions¥ Concluding of
insurance contracts
and other officeprocedures related toshort-term nonstandard andmedium/long-termtransactions¥ Office procedures
related to notifications
and applicants before
occurrences of losses

No.5

41

81-(0)3-3512-7683

81-(0)3-3512-7672

dai

81-(0)3-3512-7655¥ Correspondence to press and duties
relating to PR such as website
management and issuance of
pamphlets¥ Sharing information and interaction
with other Export Credit Agencies¥ Administration of the overseas
representative offices

Credit Analysis and Control Group81-(0)3-3512-7665

Sen

Public Relations Group

Project Group No.1

Business Planning Group

ine
ay L
ubw
ai S
Toz

¥ Development and maintenance forthe insurance information system(software)¥ Administration of statistics relating toinsurance¥ Planning of loss prevention¥ Assessment of insurance claims¥ Recovery of insurance claims paid

Overseas Offices

The front branch of the Export Credit
Insurance in the western part of Japan

way
ress
Exp
tan
opli
Metr

81-(0)3-3512-7715

81-(0)3-3512-7680
81-(0)3-3512-7689

Claims Service & Recovery Group81-(0)3-3512-7663

Strategic Planning Group81-(0)3-3512-7670
81-(0)3-3512-7688

81-(0)3-3512-7661
81-(0)3-3512-7679
81-(0)3-3512-7687

NEXI, Osakay¥ Total management¥ Communications with the Ministry of
Economy, Trade and Industry andthe institutions concerned¥ Planning to improve the insurance
system81-(0)3-3512-7658

Financial Risk Management
Departmentua

81-(0)3-3512-7653

Asset Planning Group

Structured and Trade FinanceInsurance Department

sQ

General Management Group81-(0)3-3512-7676

Underwriting Departmentffle

81-(0)3-3512-7651
81-(0)3-3512-7669

Asset Management
Department

Ra

Planning and Administration
Department

Musee du Louvre

NEXI, Paris

NEXI, New YorkNEXI, Singapore

Chiyoda First Building, 3-8-1 Nishikanda, Chiyoda-ku,
Tokyo 101-8359, Japan
Tel: 81-(0)3-3512-7650 Fax: 81-(0)3-3512-7660

42

Annual Report 2003

Nippon Export and Investment Insurance
Chiyoda First Building, East Wing 3rd Floor, 3-8-1, Nishi-Kanda,
Chiyoda-ku, Tokyo 101-8359, Japan
Tel: 81-(0)3-3512-7650 Fax: 81-(0)3-3512-7660 http://www.nexi.go.jp
Inquiries:
Public Relations Group, Planning and Administration Department
Tel: 81-(0)3-3512-7655 Fax: 81-(0)3-3512-7660 e-mail:info@nexi.go.jp

Printed in Japan on recycled paper.