This is the preliminary translation of the Japanese version Lawson Bank financial results provided by Lawson, Inc.

Financial Summaryfor the Third Quarter of Fiscal Year 2020 Ended December 31, 2020
February 12, 2021
Lawson Bank, Inc. (https://www.lawsonbank.jp/)

I.

Financial Results Highlights(Financial figures are truncated to the unit stated)

1.

Results of Operation (Non-consolidated)
3Q FY2019(9months)
Total revenue
Net interest income
Net fees and commissions
Other business income
Net provision of generalreserve for credit losses
General and administrativeexpenses
Ordinary business profitsOrdinary profits
Net income

2.

19,677-815
20,493-(Millions of Yen)
3Q FY2020(9months)
17,786-597
18,383-0-1

017,796

16,612

1,883
2,042
1,783

1,173
1,162
840

Balance Sheets (Non-consolidated)

Cash and due from banks
Securities
Loans
Other assets
Total assets
Deposits
Call money
Borrowed money
Other liabilities
Total liabilities
Total equity

FY2019(As of March 31, 2020)
327,36137
54,764382,163
17,71222,000290,000
29,465359,177
22,985

1(Millions of Yen)
3Q FY2020(As of December 31, 2020)
319,960
2,000
97
61,974
384,032
55,885
180,900
123,421360,20723,825

3.

Financial Ratios (Non-consolidated)
3Q FY2019(9 months)

3Q FY2020(9 months)

Expense-to-revenue ratio

90.4%

93.4%
(Millions of Yen)
3Q FY2020(As of December 31, 2020)

FY2019(As of March 31, 2020)
Risk-weighted assets

79,63380,705

Core capital

9,363

10,98111.76%

13.61%FY2019(As of March 31, 2020)
13,3673Q FY2020(As of December 31, 2020)
13,50548,86060,44747,67993,737

Capital adequacy ratio

Number of ATM units installed
Total number of banking
accounts
Number of credit cardcustomers

3Q FY2019(9 months)
Total number of ATM usage(1,000s)
Average daily ATM usage (no.
of times per day per unit)

3Q FY2020(9 months)

178,820

159,633

48.1

43.1

Note:
1. Figures of total number of ATM usage are rounded off a number less than 1,000.
2. Figures of average daily ATM usage are rounded off to one decimal places.

FY2019(As of March 31, 2020)
Number of affiliated financial
institutions (banks, companies,depositories)
Number of partner companies
for immediate accountsettlement service

3Q FY2020(As of December 31, 2020)

124127-1Note:
1. The JA Bank and JF Marine Bank are considered each as an institution depending on business categories.
2. auPAY and WebMoney prepaid card (including Lite) are considered each as an institution depending onbusiness categories.

2

II.

Financial Statements
1. Balance Sheets (Non-consolidated)(Financial figures are truncated to the unit stated)(Millions of Yen)FY20193Q FY2020(As of March 31, 2020)(As of December 31, 2020)[Assets]
Cash and due from banks
Securities
LoansSuspense payments in ATMs
Other assets
Tangible fixed assets
Intangible fixed assets
Deferred tax assets
Reserve for loan losses
Total assets[Liabilities]
Deposits
Call money

327,36137
12,736
10,14818,15913,481241-2382,163

319,960
2,000
97
22,104
11,20915,696
12,847119-2384,032

17,71222,00055,885－
180,900
110,858
3,488
8,945
129
360,207

Borrowed money
Suspense receipts of ATM
Other liabilities
Lease obligations
Accrued employees’ bonuses
Total liabilities[Equity]Common stock
Capital surplus
Retained earningsTotal shareholders’ equity
Unrealized gain (loss) on
securities
Total unrealized gain (loss)

290,000
14,437
3,448
11,402
176
359,177

Total equity
Total liabilities and equity

11,60011,600-214
22,985

3－

11,60011,600625
23,8250－022,985382,163

23,825384,0322.

Statement of Income (Non-consolidated)(Financial figures are truncated to the unit stated)(Millions of Yen)
3Q FY2019
3Q FY2020(From April 1, 2019 to(From April 1, 2020 toDecember 31, 2019)
December 31, 2020)
Ordinary income
Interest income
Interest on loans anddiscounts
Interest and dividends onsecurities
Interest on call loans
Interest income on due frombanks
Fees and commissions income
ATM commissions received
Other ordinary income
Ordinary Expenses
Interest expenses
Interest on deposits
Interest on call money
Interest on borrowed money
Other interest paid
Fees and commissions
expenses
ATM installationcommissions expenses
ATM commissions expenses
Other business expenses
General and administrative
expenses
Other ordinary expenses
Ordinary profit
Extraordinary profits
Other extraordinary profits
Extraordinary losses
Tangible fixed asset disposal
expenses
Other extraordinary losses
Net income before income taxes
Income taxes
Income taxes, local inhabitanttaxes and the enterprise taxes
Deferred income taxes
Net income

426,193-16

23,90091

9--0-6--14-225,94625,868263
24,151
799
0
4
494
300

23,88023,655
10
22,738
606
21
4
332
248

5,452

5,496

2,394

2,201

2,913
-

2,982
0

17,796

16,612

103
2,042
0
0
8

21
1,162
14

3

13

4
2,034
251

1
1,148
307

251

186

1,783

121840