三菱ＵＦＪフィナンシャル・グループ（8306） – Corporate Governance Report

Last Update: April 5, 2022 Mitsubishi UFJ Financial Group, Inc. President & Group CEO Hironori Kamezawa https://www.mufg.jp/english/index.html The Corporate Governance of Mitsubishi UFJ Financial Group is described below. I Basic Views on Corporate Governance, Capital Structure, Corporate Profile and Other Basic Information 1. Basic Views Mitsubishi UFJ Financial Group, Inc. (MUFG) is a holding company that encompasses several subsidiaries including MUFG Bank, Ltd., Mitsubishi UFJ Trust and Banking Corporation, and Mitsubishi UFJ Securities Holdings Co., Ltd. MUFG’s management has determined that designing and executing a corporate governance framework is one of the most important issues in achieving its medium- to long-term goal of being “the world’s most trusted financial group,” as outlined in “MUFG Way” below. Since its establishment, MUFG has worked to build a stable and effective corporate governance structure, putting emphasis on ensuring external oversight. As the company with three committees, MUFG aims to strengthen the board of directors’ oversight functions through the separation of execution and oversight at the holding company level, to construct an effective and efficient governance framework, that is more comprehensible for overseas stakeholders, as befits a G-SIBs (Global Systemically Important Banks). In April 2021, MUFG renamed its Corporate Vision as “MUFG Way” and newly defined its social purpose – the purpose of its existence, along with its shared values and medium- to long-term goal. “MUFG Way” serves as the group’s basic policy in conducting its business activities and provides guidelines for all group activities. MUFG stipulates the Code of Conduct which encapsulates the standards that guide employees’ conduct and decision-making in our day-to-day business activities under “MUFG Way”. MUFG Way Empowering a brighter future. 1.Integrity and Responsibility 2.Professionalism and Teamwork 3.Challenge Ourselves to Grow Be the world’s most trusted financial group The Code of Conduct encapsulates the standards that guide employees’ conduct and decision-making in our day-to-day business activities under “MUFG Way”. It is designed to provide guidance in times of doubt, or when we find it difficult to know if we are making the right choice. The Code of Conduct is organized into three chapters. Code of Conduct Chapter 1 Customer Focus Our customers are at the center of everything we do, and should always be the focus of our thoughts. Our aim should be to win the trust and confidence of our customers at all times. MUFG exists today because of the trust and confidence that customers have placed in us over many years. Our role is to increase and strengthen this bedrock of trust and confidence. Our activities are not driven by the prospect of short-term gains. Instead, we look to build ongoing relationships with our customers to support their long-term growth. Chapter 2 Responsibility as a Corporate Citizen As we develop our business globally, we comply with all the domestic and international laws and rules that may apply. We do all we can to maintain stability and confidence in the global financial system, and contribute to the sound and healthy growth of society. Aware of the responsibility and accountability each of us has as a member of MUFG, we carry out fair and transparent corporate activities with honesty and integrity, in a manner that supports and strengthens the trust and confidence MUFG has earned from society over many years. Chapter 3 Attitudes and Behaviors in the Workplace We strive to respond and adapt promptly to the diversifying and evolving needs of our customers and the rapidly changing environment in which we work. The working environment at MUFG fosters mutual respect, enables individuals to make the most of their abilities as professionals, and maximizes the power of teamwork across regions and different areas of business, encouraging all staff members to embrace new challenges. We work always to protect and maintain the tangible and intangible assets and property that MUFG has accumulated. In light of the growing awareness of environmental and social issues, we have identified 10 prioritized issues such as response to climate change & environmental protection, response to aging population & low birthrate, and are promoting sustainability management. With regard to climate change, we will strengthen our efforts as stated in the MUFG Carbon Neutrality Declaration. (https://www.mufg.jp/dam/pressrelease/2021/pdf/news-20210517-003_en.pdf) 1 [Reasons for Non-compliance with the Principles of the Corporate Governance Code] The contents are based on the Corporate Governance Code revised in June 2021. MUFG has determined that the design and operation of a corporate governance framework based on the concepts outlined above is one of its most important issues. MUFG implements all of these individual principles in compliance with MUFG Corporate Governance Policies. [Disclosure Based on the Principles of the Corporate Governance Code] [Principle 1.4] 1. Strategic shareholdings policy The circumstances surrounding strategic shareholdings (1) have changed greatly in recent years due to, among other things, the tightening of international financial regulations and the introduction of the Corporate Governance Code in Japan. Based on these changes, MUFG has adopted a basic policy that its Group banks (2), taking into account shareholding risk, capital efficiency and international financial regulations, shall reduce the amount of shares held for the purpose of strategic investment (3), following sufficient consultation with the relevant corporate business clients. Shares held for the purpose of strategic investment will be examined for their significance and economic rationale from the perspectives of our corporate business clients’ growth and earnings and the strengthening of business relations. We shall proceed with selling those shareholdings for which there is insufficient rationale, after securing an understanding of the relevant corporate business clients. Even where there is sufficient rationale, we may sell those shareholdings in accordance with our basic policy of reducing strategic shareholdings, taking into account, among other things, the market environment and our business and financial strategy. In fiscal year 2020, MUFG reduced its strategic shareholdings by approximately 137 billion yen (simple combined revenue of Group banks, acquisition cost basis). MUFG aims to reduce its strategic shareholdings by more than 300 billion yen over three years from fiscal year 2021 to 2023. Note: (1) “Strategic shareholdings” refers to shares excluding trading investments (shares of subsidiaries and affiliates are not included). These are classified into three categories: 1. strategic investments, 2. business strategy and 3. revitalization support, with most falling under 1. (2) “Group banks” refers to MUFG Bank, Ltd. and Mitsubishi UFJ Trust and Banking Corporation, consolidated subsidiaries of MUFG. (3) “Shares held for the purpose of strategic investment” refers to shares held for the purpose of increasing the medium- to long-term economic profits of MUFG and Group banks through maintaining and expanding comprehensive business relations with our corporate business clients. 2. Examination of significance and economic rationale of shareholdings At each Group bank, all shares held for the purpose of strategic investment are being confirmed for their significance and economic rationale (risk-return) over the medium- to long-term from the perspectives of our corporate business clients’ growth and earnings and the strengthening of business relations. Based on Principle 1-4 of the Corporate Governance Code, individual strategic shareholdings (4) are examined by MUFG’s Board of Directors. Economic rationale is examined based on overall business RORA(5) target value, which is set based on MUFG’s capital costs. The results of the March 31, 2021 validations are as follows. ⚫ We confirmed the validity of the significance of these shareholdings as most of the validation targets were held with the aim of enhancing the medium- to long-term economic interests of MUFG and Group banks. ⚫ Regarding economic rationality, the overall business RORA of all of the verification targets as a whole exceeded 1.2 times larger than the target value. 75% of the business partners exceeded the target value on company number basis, the sum total of the said shares MUFG held accounts for 81% on book value basis and 70% on market value basis. (6) We aim to improve profitability from business with the business partners which do not meet the target value and, if the profitability is not improved within a certain time of period, may consider selling their shares. Note: (4) The aggregate market value held as of March 31, 2021 was approx. 5.1 trillion yen (book value: approx. 1.9 trillion yen). (5) Overall business RORA (Return on Risk-Weighted Assets) is calculated by dividing Profit (Income from banking transactions and trust banking transactions with a concerned business partner group as well as stock dividends from the said group – Expected loss – Expenses etc.) by risk assets (total value of credits and shares) which are based on the internal rating based approach in comply with the capital adequacy requirements. In addition, risk asset shares are calculated based on market values. (6) The profitability is determined by whether overall business RORA of a concerned business partner group exceeded a target value or not. 3. Standards with respect to the exercise of voting rights In order to ensure the appropriate exercise of voting rights of shares held for the purpose of strategic investment, MUFG and Group banks will make comprehensive decisions on every proposal for the agenda of a shareholders meeting after confirming the following two points: (1) Will it increase the medium- to long-term corporate value and lead to continuous growth including ESG(7) elements of the relevant corporate business client? (2) Will it increase the medium- to long-term economic profits of MUFG and Group banks? Significant agenda of a shareholders meeting that could have material impact on medium- to long-term improvement of corporate value of the relevant corporate business client and economic benefit for MUFG and Group banks will be determined through communication with the relevant corporate business client, etc. as necessary. Following agendas are considered significant by MUFG and Group banks: ・ Agenda on disposal of surplus (when disposal significantly lacks balance with financial soundness and retained earnings) ・ Agenda on election of directors or corporate auditors(when the relevant corporate business client has caused a disgraceful affair, posted a loss for a certain consecutive period, Return on Equity is sluggish, or not had multiple independent officers, etc) ・ Agenda on election of outside directors or outside corporate auditors (when a concerned outside director or outside corporate auditor does not 2 satisfy a required attendance rate or the independence standards, etc) ・ Agenda on retirement benefits for corporate auditors, etc ・ Agenda on organizational restructure ・ Agenda on takeover defense, etc. The status of the exercise of voting rights of the most important strategic shareholdings(8) will be reported to MUFG’s Board of Directors. (7) Environment (E), Society (S), and Governance (G) (8) Regarding the most important strategic shareholdings, the aggregate market value held as of March 31, 2021 was approx. 3.6 trillion yen (book value: 1.2 trillion yen), covering approx. 70 percent of the total market value of the (listed) equities held by Group banks for the purpose of strategic investment. Note: [Principle 1.7] Related party transactions MUFG has established “MUFG Guidelines for Related Party Transactions” to ensure that transactions between MUFG and its related parties, such as directors and corporate executives (related party transactions), do not harm the interests of MUFG. The Guidelines provide, among other things, that transactions with related parties, such as directors and corporate executives, require the approval of the board of directors, and that when the board of directors deliberates granting such approval, the relevant director or corporate executive shall not participate in that deliberation. The “MUFG Guidelines for Related Party Transactions” can be viewed here: (https://www.mufg.jp/english/profile/governance/report/index.html#jump01) [Supplementary Principle 2.4.1] ■Approach to Ensure Diversity With the purpose above, we have positioned the three-year term of this new Medium-term Business Plan as three years of new challenges and transformation, and set the goal at the end of this three-year period to leverage our financial and digital capabilities to be the leading business partner that pioneers the futures. As the needs of society and customers change rapidly, it is increasingly important to engage in innovation that creates new services and customer experiences. Diversity is essential for generating innovation. We value individual employees with various personalities, abilities, and knowledge, and we respect their diversity. We also encourage ideas and innovative behavior that go beyond the boundaries of precedent, encourage them to constantly learn, and continue to grow. In addition, we will create a foundation where not only women, foreign nationals, and mid-career hires but also personnel with diverse individuality, abilities, and experience can thrive through the evaluation and reward based on the demonstrated abilities, which will lead to initiatives that contribute to our sustainable growth. ■Status of Voluntary and Measurable Goals for Ensuring Diversity (1)Female employees With the commitment of top management, MUFG Bank, Mitsubishi UFJ Trust and Banking Corporation, and Mitsubishi UFJ Morgan Stanley Securities have set a joint numerical target of 18% for the ratio of women in line management or higher positions in Japan by March 31, 2024. Having upgraded our conventional target, this new target places greater emphasis on increasing the ratio of women in senior managerial positions. Through the pursuit of this target, we will ensure that diverse perspectives and a sense of values are reflected in decisions made by employees hierarchically closer to top management. As of April 2021, a total of 20 women, including four foreign nationals, are serving as directors or executive officers at MUFG, MUFG Bank, Mitsubishi UFJ Trust and Banking Corporation, Mitsubishi UFJ Morgan Stanley Securities or NICOS. For women in senior management positions such as branch managers and deputy general managers, we provide special training programs for selected employees while maintaining a mentoring program. In this way, we help raise women’s awareness of the possibility of becoming officers and encourage the acquisition of sophisticated management skills. (2)Overseas employees Today, the MUFG Group has expanded into more than 50 countries around the globe, and approximately 52% of its entire workforce is accounted for by overseas employees (as of May 31, 2021). As we aim to secure and nurture professionals in a variety of fields at home and abroad, we are employing a globally unified human resources platform supporting robust processes for title management, employee evaluation, wage determination and other human resources practices that are consistent with market standards. Also, we began implementing job-level based training programs on a global basis to ensure all Group members understand the MUFG Way and embrace a shared culture. For example, we provide the Global LEAD Program targeting those in managing director or similar positions at MUFG Bank, Mitsubishi UFJ Morgan Stanley Securities, Krungsri, MUFG Union Bank and other Group companies to help such individuals acquire essential leadership knowledge as well as necessary perspectives and in-depth expertise on global operations. Today, a growing number of individuals hired overseas have been promoted to managerial posts. For example, 13 of these individuals, including three women, have assumed executive officer positions at MUFG Bank (as of March 31, 2021). Currently, the percentage of foreign nationals in middle managerial positions is 29% (as of March 31, 2021, calculated by the number of overseas employees in the middle managerial positions divided by the total number of mangers both domestically and globally *1), and we will continue to work on ensuring diversity with the aim of maintaining or improving the current level in FY2022 and beyond. (3)Mid-career hires MUFG is pushing ahead with nurturing and securing genuine professionals equipped with sophisticated skills and strengths in their areas of specialty. As the expansion into new business fields requires a robust pool of employees who have specialist competencies and are ready to operate in such fields, we are also active in hiring external human resources. In fiscal 2019, MUFG, as the holding company, launched an employment framework aimed at directly hiring in-house human resources with competencies in operational fields that require highly sophisticated specialist expertise and are commonly handled by multiple Group subsidiaries (“MUFG Direct Employment System”). Under this framework, candidates are offered wages linked with external market benchmarks. There has been a progress in hiring specialists mainly in the field of governance and wealth management. Since fiscal 2020, we also have been using this system as a framework for recruiting highly qualified outside specialists, who could not be acquired under the existing compensation system. We are also working on mid-career hires through MUFG Direct Employment System. The percentage of mid-career hires in managerial positions is 9.9% (as of March. 31, 2021, calculated by mid-career hires in the middle managerial positions divided by the total number of domestic 3 managerial positions*2). In FY2022 and beyond, we will continue to work on ensuring diversity with the aim of maintaining or improving the current level. Furthermore, in fiscal 2020, we decided to allow Group employees to voluntarily apply for inclusion in this framework. This employment framework provides yet another career path for those who aim to fully take advantage of their specialist strengths on a group-wide basis, enabling them to pursue career ambitions in a way that transcends conventional human resources practices. ■Approach to Human Resource Development, Internal Environmental Development, and Implementation Status to Ensure Diversity We consider diversity an essential value enabling us to maintain organizational resilience in a time of rapid change. Accordingly, MUFG has positioned “Inclusion & Diversity” as one of the 10 priority issues to be tackled via sustainability management. Thus, we are striving to develop and foster an organization and culture in which employees with diverse values, backgrounds and perceptions of work can respect and inspire each other while freely pursuing personal growth and career success. In addition, we aim to increase employee engagement and corporate value by promoting creative and collaborative activities in which diverse opinions can be actively voiced and shared. MUFG has positioned promoting work style reforms as one of the 10 priority issues to be addressed via sustainability management. As we aim to enable employees to realize their full potential, we have promoted the revision of administrative procedures and the streamlining of meeting practices while going paperless and developing infrastructure for remote working. By doing so, we help employees allocate more time to engaging in direct communications with customers and taking on new challenges. Currently, a growing number of employees are opting for remote working due to the spread of the COVID-19 virus. Against this background, the number of satellite offices, which utilize vacant space in domestic branches and other facilities, that we maintain grew from seven in 2019 to 33. Looking ahead, we will support employees’ free choice of flexible work styles. Based on the assumption that remote working will gain a certain degree of popularity, we are planning to rebuild the main building of MUFG Bank and consolidate the headquarters functions of the holding company, MUFG Bank, Mitsubishi UFJ Trust and Banking Corporation and Mitsubishi UFJ Morgan Stanley Securities at this facility. This move to construct a new MUFG headquarters building is expected to enhance our group-wide, integrated management approach and serve as a place for innovation by gathering together and enabling interaction among diverse individuals. *1 MUFG Bank and Mitsubishi UFJ Morgan Stanley Securities cover overseas branches affiliates which are substantially treated as a branch, such as MUFG Union Bank. Mitsubishi UFJ Trust and Banking Corporation only covers overseas branches. *2 Managers are not limited to line managers (All employees who are in managerial positions are included). [Principle 2.6] Roles of Corporate Pension Funds as Asset Owners ・ MUFG Group banks adopts fund-type corporate pension plan. In order to fulfill its roles to be expected as the asset owner, the pension fund declares adherence to the “Principles for Responsible Institutional Investors” (Japan’s Stewardship Code). MUFG Bank Pension Fund (Japanese only) http://www.mufg-kikin.or.jp/stewardshipcode/index.html Mitsubishi UFJ Trust and Banking Corporation Pension Fund (Japanese only) https://www.mutb-kikin.jp/stewardship_code/stewardship_code.html ・ Upon managing the pension fund, staffs with expertise in asset management are allocated at the secretariat. In addition, a framework has been established to realize stable asset building for the participants in the corporate pension plan and appropriate management of financial administration of pension. For instance, in Asset Management Committee, consisting of the members who are well versed in the fields of human resources, finance, risk and market trading, deliberations are made on asset allocation and management style for portfolios, as well as on composition of pension fund managers. [Principle 3.1 i)] “MUFG Way” and medium-term business plan MUFG has formulated and announced “MUFG Way” and medium-term business plan. ⚫ “MUFG Way” (www.mufg.jp/english/profile/philosophy/) ⚫ Medium-term business plan (www.mufg.jp/english/profile/strategy/) [Principle 3.1 ii)] Basic approach and key policies for corporate governance See “2. Approach to corporate governance” (“2-1. Basic approach”, “2-2. Role as a holding company”, “2-3. MUFG’s governance structure”) of MUFG Corporate Governance Policies (https://www.mufg.jp/english/profile/governance/policy/) for our basic approach to, and key policies of, corporate governance. [Principle 3.1 iii)] Policies and procedures for determining compensation [Principle 3.1 iv)] Policies and procedures for elect dismissal directors See “7-3. Compensation Committee” of MUFG Corporate Governance Policies (https://www.mufg.jp/english/profile/governance/policy/) for the policies and procedures for determining the compensation of directors. See “7-2. Nominating and Governance Committee” of MUFG Corporate Governance Policies (https://www.mufg.jp/english/profile/governance/policy/) for the policies and procedures for elect dismissal of senior management and nomination of directors. [Principle 3.1 v)] Grounds for elect dismissal of senior management and nomination of director candidates For explanation on elect dismissal and nomination of individual senior management and director candidates based on iv) see “7-2. Nominating and Governance Committee” of MUFG Corporate Governance Policies (https://www.mufg.jp/english/profile/governance/policy/) and here: 4 (https://www.mufg.jp/english/profile/governance/report/index.html#jump02) [Supplementary Principle 3.1.3] MUFG discloses its sustainability initiatives in its Integrated Report and MUFG Sustainability Report. ・Integrated Report (https://www.mufg.jp/english/ir/report/annual_report/index.html) ・MUFG Sustainability Report (https://www.mufg.jp/english/csr/report/index.html) MUFG supports the recommendations on climate-related financial disclosures formulated by the Task Force on Climate-related Financial Disclosures (TCFD). In line with these recommendations, we are disclosing information on climate change-related risks and opportunities in our Governance, Strategy, Risk Management, and Metrics and Targets. Details of our disclosures based on the TCFD recommendations can be found on pages 79-82 of our Integrated Report (MUFG Report 2021) and pages 44-79 of MUFG Sustainability Report 2021. The relevant initiatives are overseen by the board of directors. To develop human resources that embody the “MUFG Way”, MUFG offers a variety of human resource development programs, including those in digital and global fields, as well as systems and training to promote the success of diverse human resources, and career challenge programs that support the growth and challenge of each employee. MUFG is also working to enhance engagement with employees through initiatives such as townhall meetings by top management members and promotion of the “MUFG Way”. Relevant specific initiatives can be found on pages 71-74 of our Integrated Report (MUFG Report 2021). Additionally, the number of employees, the total training hours, the number of employees using support programs and leaves, the average annual salary etc. can be found on pages 149-153 of the MUFG Sustainability Report 2021. ・Integrated Report(https://www.mufg.jp/dam/ir/report/annual_report/pdf/ir2021_all_en.pdf) ・MUFG Sustainability Report(https://www.mufg.jp/dam/csr/report/2021/en_all_print.pdf) In the area of intellectual capital, MUFG is working on open innovation aimed at creating new businesses by utilizing the technologies and knowledge of startups through investment and other activities. In addition, we aim to establish our standing as a financial and digital platform operator by broadly providing a new model of financial services in collaboration with external businesses with large numbers of customer contact points. In addition, we are using digital technologies to reduce the volume of operations and to use intellectual capital in growth areas. [Supplementary Principle 4.1.1] Summary of scope of delegation to management See “3-1. Role of the Board of Directors” of MUFG Corporate Governance Policies (https://www.mufg.jp/english/profile/governance/policy/) for a summary of the scope of delegation to management. [Principle 4.8] Effective Use of Independent Directors [Principle 4.9] Independence standards of outside directors See “5-1. Composition” of MUFG Corporate Governance Policies (https://www.mufg.jp/english/profile/governance/policy/) for the policy to have independent outside directors compose a majority of the board in principle. See 2.1 of this report (“Independent directors”) for independence standards of MUFG aimed at securing the independence of independent outside directors. [Supplementary Principle 4.11.1] View on the balance of knowledge, experience and skills, and diversity and size, of the board of directors as a whole The Board of Directors of MUFG decides key management policies and is responsible for management oversight. In order for the Board of Directors to appropriately fulfill its role, it is necessary to have an appropriately balanced composition as a whole with diverse knowledge and expertise related to finance, financial accounting, risk management, compliance and so forth as well as diversity, in addition to deep knowledge of MUFG Group’s business. Specifically, it is as follows. ・Independent outside directors shall have a wealth of knowledge and experience in the fields of corporate management, finance, financial accounting and law and the qualities required for oversight of the execution of duties by management from an independent and objective standpoint. ・Executive directors shall have extensive knowledge of MUFG Group’s business and the ability to appropriately perform management of MUFG Group. ・In addition, the Board of Directors as a whole has directors who have the experience in “global” fields in view of the MUFG’s business development and “IT and digital” and “sustainability” to lead the resolution of social issues such as the digital shift and climate change. 5 Current Directors Mariko Fujii Keiko Honda Kaoru Kato Satoko Kuwabara Toby S. Myerson Hirofumi Nomoto Yasushi Shingai Koichi Tsuji Tarisa Watanagase Ritsuo Ogura Kenichi Miyanaga Kanetsugu Mike Hironori Kamezawa Saburo Araki Iwao Nagashima Junichi Hanzawa Corporate MGT ● ● ● Outside Directors Executive Directors Knowledge , expertise and experience Finance ● ● ● Financial accounting ● ● Law ● ● IT/Digital Sustain Global ability ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● Internal directors shall have extensive knowledge of MUFG Group’s business and the ability to appropriately perform management of MUFG Group. See “5-1. Composition” and “5-2. Election of Directors” of MUFG Corporate Governance Policies (https://www.mufg.jp/english/profile/governance/policy/) for policies and procedures for election of directors outlining MUFG’s view on the balance of knowledge, experience and skills, and the diversity and size, of the board of directors as a whole. [Supplementary Principle 4.11.2] Information on directors and outside directors who have concurrent posts See pages 70-71 of Notice of Convocation of the 16th Annual General Meeting of Shareholders (https://www.mufg.jp/dam/ir/stock/meeting/pdf/convocation2106_en.pdf) for information on directors and outside directors who have concurrent posts. [Supplementary Principle 4.11.3] Evaluation of the Board of Directors ⚫ ⚫ Every year, MUFG analyzes and evaluates the effectiveness of the Board of Directors, and then reviews and implements measures against any issues discovered. By using a PDCA cycle to review the progress in improvement, MUFG is engaged in the continual enhancement of the abilities of the Board of Directors and the Committees. Following the advice of a third-party external consultant, MUFG conducts questionnaires and interviews of all directors on issues relating to the Board of Directors and the committees, including their structures, managements, and contributions made, as well as how they conduct proposals and discussions. And the result is discussed at the Nominating and Governance Committee and meeting of the Board of Directors. ⚫ The summary of the evaluation for the Board of Directors for fiscal year 2020 is as follows: (1) So far the Board of Directors of the Company has made various initiatives to improve the effectiveness of governance, including ①diversification of directors, ②sharing of important issues faced by the Group (important issue map), and ③exchanging opinions with outside directors’ meetings and audit committees with major business companies. Based on the evaluation of the Board of Directors in fiscal 2019, we implemented various measures aimed at “clarification, substantiation, and simplification” in order to further promote the board’s contribution to the enhancement of corporate value. For example, from the important issue map, the Board of Directors has extracted issues that should be noted in particular and taken them up as discussion theme in an organized way to improve the effectiveness and efficiency of the Board of Directors. (2) On the other hand, in addition to the continuation of long-term ultra-low interest rates and low growth rates and progress in digitalization, it is essential to maintain and strengthen resilience and further evolve governance for sustainable growth as the business environment continues to change significantly, such as social and economic transformation triggered by the COVID-19 pandemic. Issues to be addressed for fiscal year 2021; ✓ The need for further deepening and materialization of discussions at the Board of Directors that contribute to the enhancement of corporate value ✓ Need to strengthen monitoring in line with new business strategies and risks ✓ Need to facilitate ongoing initiatives to reform MUFG’s corporate culture ✓ Further fulfilling the functions of the Committees ⚫ Based on the above, the Board of Directors continuously aims to enhance the effectiveness of its corporate governance structure, responding to the extended expectations of stakeholders, with the aim of facilitating sustainable growth of the Company and increasing its corporate value over the medium- to long-term. [Supplementary Principle 4.14.2] Support for directors sufficient information. ⚫ MUFG has established a board of directors’secretariat in order to provide directors, including independent outside directors, with Agenda items and discussion materials shall, in principle, be provided prior to the meetings of the board of directors to ensure that directors have an opportunity to understand the issues in advance. Orientation training that covers MUFG’s business and management environment is provided particularly to independent outside directors at the time of the assumption of office and on a continuous basis thereafter so that they are provided with necessary information, including 6 ⚫ ⚫ information on matters other than the agenda items of the meetings of the board of directors. ⚫ Advice from outside professionals is provided at MUFG’s expense in cases where such advice is necessary for directors to perform their duties. [Principle 5.1] Policies for dialogue with shareholders Through dialogue with shareholders, MUFG seeks their understanding of MUFG’s business strategy and so forth and strives to take appropriate actions based on an understanding of shareholders’perspectives. Dialogue with shareholders is achieved via appropriate exchange of information and organized cooperation between the divisions, such as Financial Planning Division, Corporate Administration Division, Corporate Planning Division, and Public Relations Office in Corporate Planning Division. As the director responsible for the Financial Planning Division, Group CFO exercises comprehensive oversight over Investor Relations Office, which generally handles investor relations activities, Office of the CFO, which generally handles matters on financial and capital management, and Financial Accounting Office, which generally handles settlement and accounting. ⚫ ⚫ ⚫ MUFG carries out the following initiatives in order to encourage constructive dialogue with shareholders: (1) Issuance of an Integrated Report to aid deeper understanding of MUFG’s strategy and values (2) Individual interviews to major institutional investors, both domestic and overseas, after the announcement of financial results (3) Provision of additional explanation on specific agenda items to major institutional investors, both domestic and overseas, before general meetings of shareholders (4) Periodic explanatory sessions for individual investors, attended by the President & CEO, etc. (5) Biannual meetings to explain financial results to analysts and institutional investors, conducted by President & CEO and Group CFO (6) Annual Investors Day to explain business strategy to analysts and institutional investors, conducted by respective Head of Business Group (7) Annual small meeting with outside directors ⚫ Comments and requests provided by major shareholders and investors in the course of dialogue are reported to the board of directors and to management. ⚫ MUFG seeks to ensure that information is disclosed in a fair and timely manner. From the perspective of ensuring the fairness and soundness of the securities market, MUFG recognizes the importance of managing the security of undisclosed material information that would influence investment decisions and practices strict information security. 2. Capital Structure Percentage of Foreign Shareholders From 20 % to less than 30% [Status of Major Shareholders] Name/Company Name Number of Shares Percentage Owned (shares) (%) The Master Trust Bank of Japan, Ltd. (Trust account) 1,800,486,600 13.98 The Bank of New York Mellon as Depositary Bank for DR Holders The Master Trust Bank of Japan, Ltd. (Meiji Yasuda Life Insurance Company retirement 175,000,000 Custody Bank of Japan, Ltd. (Trust account) SSBTC CLIENT OMNIBUS ACCOUNT State Street Bank West Client-Treaty 505234 benefit trust account) JP Morgan Chace Bank 385781 Toyota Motor Corporation Nippon Life Insurance Company SMBC Nikko Securities Inc. Controlling Shareholder (except for Parent Company) Parent Company － － 7 691,385,957 313,678,323 210,443,791 210,273,898 164,011,561 149,263,153 142,562,953 135,051,800 5.37 2.43 1.63 1.63 1.35 1.27 1.15 1.10 1.04 Supplementary Explanation Sumitomo Mitsui Trust Bank, Limited. submitted a substantial shareholding report to the Director General of the Kanto Finance Bureau dated June 19,2020. Mizuho Securities Co., Ltd. submitted a substantial shareholding report (change report) to the Director General of the Kanto Finance Bureau dated December 22,2020. 3. Corporate Attributes Listed Stock Markets and Market Sections Tokyo Stock Exchange/Prime, Nagoya Stock Exchange/Premier Fiscal-Year End Type of Business Number of Employees (consolidated) as of the End of Previous Fiscal Year Sales (consolidated) as of the End of Previous Fiscal Year Number of Consolidated Subsidiaries as of the End of the Previous Fiscal Year March Banks More than 1000 More than ¥1 trillion From 100 to less than 300 4. Policy on Measures to Protect Minority Shareholders in Conducting Transactions with Controlling Shareholder – 5. Other Special Circumstances which may have Material Impact on Corporate Governance Within subsidiaries of MUFG, ACOM CO., LTD. is listed on the domestic financial instruments exchange. The MUFG Group develops various businesses for achieving its medium- to long-term goal of being “the world’s most trusted financial group” as outlined in “MUFG Way”, and ACOM CO., LTD. contributes to the increase of the corporate value of the MUFG Group as the core company for the consumer finance business of the MUFG Group under the business and capital alliance with MUFG and its subsidiary, MUFG Bank, Ltd. As a company with an Audit & Supervisory Committee, ACOM CO., LTD. works to ensure the effectiveness of its governance framework aiming to improve the transparency and the objectivity of its management by having an Audit & Supervisory Committee mainly composed of outside directors which conducts audit and supervisory functions. MUFG manages the business of ACOM CO., LTD. respecting its independence. MUFG receives the report from and consults with ACOM CO., LTD. concerning its important corporate matters under the contract relating to the business management. II Business Management Organization and Other Corporate Governance Systems regarding Decision-making, Execution of Business, and Oversight in Management 1. Organizational Composition and Operation Organization Form Company with Three Committees (Nominating, Audit and Compensation) [Members of the Board of Directors] Maximum Number of Directors Stipulated Articles of Incorporation in 20 persons Term of Office Stipulated in Articles of Incorporation 1 year Chairperson of the Board Number of Directors Company Chairperson 16 persons [Outside Directors] Number of Outside Directors Number of Independent Directors 9 persons 9 persons 8 Outside Directors’ Relationship with the Company (1) Name Attribute Mariko Fujii Keiko Honda Kaoru Kato Satoko Kuwabara Toby S. Myerson Hirofumi Nomoto Yasushi Shingai Koichi Tsuji Scholar Scholar From another company Lawyer Lawyer From another company From another company Certified Public Accountant Tarisa Watanagase Other Relationship with the Company(*) a b c d e f g h i ｊ ｋ * Categories for “Relationship with the Company” *1 when the director presently falls or has recently fallen under the category *2 when the director fell under the category in the past *3 when a close relative of the director presently falls or has recently fallen under the category *4 when a close relative of the director fell under the category in the past a. Executive of the Company or its subsidiaries b. Non-executive director or executive of a parent company of the Company c. Executive of a fellow subsidiary company of the Company d. A party whose major client or supplier is the Company or an executive thereof e. Major client or supplier of the Company or an executive thereof f. Consultant, accountant or legal professional who receives a large amount of monetary consideration or other property from the Company besides compensation as a Director/kansayaku g. Major shareholder of the Company (or an executive of the said major shareholder if the shareholder is a legal entity) h. Executive of a client or supplier company of the Company (which does not correspond to any of d, e, or f) (the director himself/herself i. Executive of a company, between which and the Company outside directors/kansayaku are mutually appointed (the director himself/herself only) only) j. Executive of a company or organization that receives a donation from the Company (the director himself/herself only) k. Others Outside Directors’ Relationship with the Company (2) Assigned Committee Name Nominating Compensation Audit Independent Director Supplementary Explanation of the Relationship Mariko Fujii * * * Reasons of Appointment After serving at the Ministry of Finance, Ms. Fujii has served in various important positions, including Professor of Research Center for Advanced Science and Technology of the University of Tokyo and Ambassador Extraordinary and Plenipotentiary of Japan and has built expertise and abundant experience in the areas of finance and economy through her career. The Company has appointed her as an outside director since she is expected to contribute to the effective enhancement of the board of directors’ decision-making and oversight functions, with the aim of facilitating sustainable growth of the Company and increasing its corporate value over the medium- to long-term. She does not infringe the independence criteria put in place by the Tokyo Stock Exchange and satisfies the MUFG Independence Standards for Outside Directors. 9 Based on the above, MUFG determined that she would be an outside director with no conflict of interest with ordinary shareholders, and thus appointed her as an independent director. After serving at the McKinsey & Company, Inc. Japan, Ms. Honda has served in various important positions, including CEO of the World Bank Group’s Multilateral Investment Guarantee Agency (MIGA) and has built expertise and abundant experience in the areas of finance and economy through her career. The Company has appointed her as an outside director since she is expected to contribute to the effective enhancement of the board of directors’ decision-making and oversight functions, with the aim of facilitating sustainable growth of the Company and increasing its corporate value over the medium- to long-term. She does not infringe the independence criteria put in place by the Tokyo Stock Exchange and satisfies the MUFG Independence Standards for Outside Directors. Based on the above, MUFG determined that she would be an outside director with no conflict of interest with ordinary shareholders, and thus appointed her as an independent director. Having held various key positions at NTT DOCOMO Inc., including President and Chief Executive Officer and Corporate Advisor, Mr. Kato has affluent experience, knowledge and wisdom as a corporate manager. The Company has appointed him as an outside director since he is expected to contribute to the effective enhancement of the board of directors’ decision-making and oversight functions, with the aim of facilitating sustainable growth of the Company and increasing its corporate value over the medium- to long-term. He does not infringe the independence criteria put in place by the Tokyo Stock Exchange and satisfies the MUFG Independence Standards for Outside Directors. He currently serves as Corporate Advisor of NTT DOCOMO Inc., with which the Company had business accounting for less than 1% of NTT DOCOMO Inc.’s consolidated net sales and the Company’s consolidated gross profit in fiscal year 2020. Based on the above, MUFG determined that he would be an outside director with no conflict of interest with ordinary shareholders, and thus appointed him as an independent director. Ms. Kuwabara has extensive experience as an attorney and professional insight on general legal affairs. The Company has appointed her as an outside director since she is expected to contribute to the effective enhancement of the board of directors’ decision-making and oversight functions, with the aim of facilitating sustainable growth of the Company and increasing its corporate value over the medium- to long-term. She does not infringe the independence criteria put in place by the Tokyo Stock Exchange and satisfies the MUFG Independence Standards for Outside Directors. She currently serves as Partner of Gaien Partners, with which the Company has no transaction. In addition, although she had been Partner of Mori Hamada & Matsumoto in the past, she resigned from the firm in April 2020, and has not been involved in its management. Also, the business between Mori Hamada & Matsumoto and the Company accounts for less than 1% of the Mori Hamada & Matsumoto’s net sales in fiscal year 2020. In light of this, among other reasons, such relationship would not affect her independence from the Company. Based on the above, MUFG determined that she would be an outside director with no conflict of interest with ordinary shareholders, and thus appointed her as an independent director. Mr. Myerson has extensive experience as an attorney and professional insight on the fields of corporate legal affairs and successful mergers, acquisitions divestiture and takeover transactions. The Company has appointed him as an outside director since he is expected to contribute extensive global outlook to the effective enhancement of Keiko Honda * * Kaoru Kato * * * * Satoko Kuwabara * * * * 10 Toby S. Myerson the board of directors’ decision-making and oversight functions, with the aim of facilitating sustainable growth of the Company and increasing its corporate valueover the medium- to long-term. He does not infringe the independence criteria put in place by the Tokyo Stock Exchange and satisfies the MUFG Independence Standards for Outside Directors. Although he served as a Partner and Co-Head of the Global Mergers and Acquisitions Group of Paul, Weiss, Rifkind, Wharton & Garrison LLP, he left the Firm in December 2016, and has not been involved in its management after resignation. In addition, although he currently serves as Chairman & CEO of Longsight Strategic Advisors LLC, a strategic advisory firm he established in January 2017, there is no relation between this company and the Company. In light of this and other reasons, such relationship would not affect his independence from the Company. Based on the above, MUFG determined that he would be an outside director with no conflict of interest with ordinary shareholders, and thus appointed him as an independent director. Having held various key positions at Tokyu Corporation, including President & Representative Director and currently assuming the role of Chairman & Representative Director, Mr. Nomoto has affluent experience, knowledge and wisdom as a corporate manager. The Company has appointed him as an outside director since he is expected to contribute to the effective enhancement of the board of directors’ decision-making and oversight functions, with the aim of facilitating sustainable growth of the Company and increasing its corporate value over the medium- to long-term. He does not infringe the independence criteria put in place by the Tokyo Stock Exchange and satisfies the MUFG Independence Standards for Outside Directors. He currently serves as Chairman & Representative Director of Tokyu Corporation, with which the Company had business accounting for less than 1% of the Tokyu Corporation’s consolidated net sales and the Company’s consolidated gross profit in fiscal year 2020. Based on the above, MUFG determined that he would be an outside director with no conflict of interest with ordinary shareholders, and thus appointed him as an independent director. Having served in various important positions, including Member of the Board, Senior Vice President and Chief Finance Officer (CFO) of Japan Tobacco Inc. (JT), Executive Vice President and Deputy CEO and CFO of JT International S.A., and Executive Vice President and Representative Director and Executive Vice President of JT, Mr. Shingai has affluent experience as a global corporate manager and professional insight not only in corporate finance, but also M&A and corporate management after M&A. The Company has appointed him as an outside director since he is expected to contribute to the effective enhancement of the board of directors’ decision-making function and oversight function, with the aim of facilitating sustainable growth of the Company and increasing its corporate value over the medium- to long-term. In light of this, among other reasons, such relationship would not affect his independence from the Company. He resigned as Member of the Board of JT in March 2018 and has not been involved in its management or business execution since his resignation. In addition, the Company had business accounting for less than 1% of the Japan Tobacco Inc.’s consolidated net sales and the Company’s consolidated gross profit in fiscal year 2020. Based on the above, MUFG determined that he would be an outside director with no conflict of interest with ordinary shareholders, and thus appointed him as an independent director. Mr. Tsuji has affluent experience as a certified public accountant and professional insight in accounting and auditing. The Company has appointed him as an outside director since he is expected to contribute to the effective enhancement of the board of directors’ decision-making and oversight functions, with the aim of facilitating sustainable Hirofumi Nomoto * * * Yasushi Shingai * * Koichi Tsuji * * 11 growth of the Company and increasing its corporate value over the medium- to long-term. He does not infringe the independence criteria put in place by the Tokyo Stock Exchange and satisfies the MUFG Independence Standards for Outside Directors. Although he had been Chairman & CEO of Ernst & Young ShinNihon LLC in the past, he resigned from the post in June 2019. Following his resignation from Ernst & Young ShinNihon LLC, he served as Chairman & CEO of EY Japan Godo Kaisha, but he resigned from the post in June 2021 and has not been involved in its management. In light of this, among other reasons, such relationship would not affect his independence from the Company. Based on the above, MUFG determined that he would be an outside director with no conflict of interest with ordinary shareholders, and thus appointed him as an independent director. Ms. Watanagase has extensive experience as the former Governor of the Bank of Thailand, the central bank of the country, and professional insight on finance and economics. The Company has appointed her as an outside director since she is expected to contribute extensive global outlook to the effective enhancement of the board of directors’ decision-making and oversight functions, with the aim of facilitating sustainable growth of the Company and increasing its corporate value over the medium- to long-term. Although she has not been directly involved in the management of a corporation, except as outside director or outside corporate auditor, the Company believes that she is well qualified to act as an outside director because of the reason stated above. She does not infringe the independence criteria put in place by the Tokyo Stock Exchange and satisfies the MUFG Independence Standards for Outside Directors. Based on the above, MUFG determined that she would be an outside director with no conflict of interest with ordinary shareholders, and thus appointed her as an independent director. Tarisa Watanagase * [Committees] Committee’s Composition and Attributes of Chairperson All Committee Members Nominating Committee Compensation Committee Audit Committee 5 5 6 Full-Time Members Inside Directors Outside Directors Chairperson 1 1 2 4 4 4 Outside Director Outside Director Outside Director [Corporate Executives (Shikkoyaku)] Number of Corporate Executives (Shikkoyaku) 18 persons Status of Additional Duties Name Representative Authority Additional Duties as Director Nominating Committee Member Compensation Committee Member Additional Duties as Employee Kanetsugu Mike No Hironori Kamezawa Yes Yoshitaka Shiba No Tetsuya Yonehana Yes Yes Yes No No No Yes No No 12 No Yes No No No No Yes No 0 0 2 Naomi Hayashi Atsushi Miyata Takayuki Yasuda Teruyuki Sasaki Hiroshi Mori Masakazu Osawa Yutaka Miyashita Yes Keitaro Tsukiyama No Fumitaka Nakahama No Yes Yes No No No No No No No No No Toshiki Ochi Hiroyuki Seki Hideaki Takase Kenichi Yamato Shuichi Yokoyama [Auditing Structure] No No No No No No No No No No No No No No No No No No No No No No No No No No No No No No No No No No No No No No No No No No No No No No No No No No No No No No No No Appointment of Directors and/or Staff to Support the Audit Committee Appointed Matters related to the Independence of Such Directors and/or Staff from Corporate Executives (Shikkoyaku) The Audit Committee Office was established to assist the Audit Committee in performing its duties and is under the control of the Audit Committee. Matters including the assigning of employees to provide assistance to the Audit Committee in performing its duties and the independence of those employees are considered in a manner that respects the intention of the Audit Committee. Cooperation among Audit Committee, Accounting Auditors, and Internal Audit Departments The internal audit divisions at the Company and directly owned subsidiaries of the Company shall, as required, build a collaborative relationship with the Audit Committee (Audit & Supervisory Committee or Corporate Auditor at directly owned subsidiaries of the Company) and Independent Auditors and work towards efficient implementation of internal audit. The internal audit divisions at the Company and directly owned subsidiaries of the Company shall support the oversight function of the board of directors by collaborating and working together under the guidance of the internal audit division at the Company. The Company has been holding sessions for exchanging views between the internal audit divisions and the Audit Committee, between the internal audit divisions and the Independent Auditor when required, sharing information related to audit measures and audit results. Also, the relationship between Internal Audit, Audit Committee audits and accounting audits, and departments with internal control functions is such that the Internal Audit Division, Audit Committee and accounting auditors conduct audits from a standpoint that is independent of the departments with internal control functions. However, departments with internal control functions cooperate during these audits so that they can be conducted efficiently and appropriately. [Independent Directors] Number of Independent Directors 9 persons Matters Relating to Independent Directors MUFG has designated all outside directors who fulfil independent director requirements as Independent Directors. The “Independence Standards for Outside Directors” as stipulated by MUFG are described below. MUFG Independence Standards for Outside Directors 1. (1) The person does not serve as a Director, Corporate Executive, Executive Officer, Manager or other employee (hereinafter “Executive”) of the Company or its subsidiaries, and has not served as an Executive of the Company or its subsidiaries in the 10 years prior to his or her appointment. (2) If the person at some time during the 10 years prior to his or her appointment had served as a Director, Accounting Advisor or Corporate Auditor (excluding a person who served as an Executive) of the Company or its subsidiaries, he or she had not served as an Executive in the 10 years prior to his or her appointment as such Director, Accounting Advisor or Corporate Auditor. 2. (1) The person is not a person or an Executive thereof who deals with the Company or its major subsidiaries (1) as a major business partner (2) and has not been an Executive thereof in the last 3 years. 13 (2) The person is not a major business partner or an Executive thereof of the Company or its major subsidiaries, and has not been an Executive thereof in the last 3 years. 3. If the person is a consultant, accounting expert or legal expert, he or she has not received more than an average of 10 million yen per year in monetary or other assets from the Company excluding executive compensation, in the last 3 years, and is not an employee or other member of an accounting and law firms which deals with the Company as a major business partner (3). 4. The person is not a spouse or a relative within the second degree of kinship of a Director, Executive Officer, Corporate Officer of the Company or its subsidiaries or a person whose independence from the Company has not been deemed to be assured by reason of Requirements 2 and 3 above. 5. The person is not a current major shareholder (4) of the Company or an Executive thereof. 6. The person is not an audit corporation or an employee or other member of such audit corporation of the Company or its subsidiaries, and has not engaged in the audit operations of the Company or its subsidiaries as such employee in the last 3 years. Note: (1) Major subsidiaries: MUFG Bank, Ltd., Mitsubishi UFJ Trust and Banking Corporation, Mitsubishi UFJ Securities Holding Co., Ltd. (2) Major business partner: Based on the criterion of 2% or more of annual consolidated net sales (annual consolidated gross profits in the case of the Company). (3) Major business partner: Based on the criterion of 2% or more of annual net sales. (4) Major shareholder: Shareholder holding 10% or more of total voting rights Incentive Policies for Director and/or Corporate performance-based stock compensation plan A performance-based stock compensation plan using a trust structure was implemented in fiscal year 2016 as a new incentive plan in place of the previous stock compensation type stock option plan. In addition,cash bonuses are linked to individual performance. [Incentives] Executives (Shikkoyaku) Supplementary Explanation Recipients of Stock Options Supplementary Explanation [Remuneration for Directors and Corporate Executives] Disclosure of Individual Directors’ Compensation Partial disclosure Disclosure of Individual Corporate Executive s’ (Shikkoyaku) Compensation Partial disclosure Supplementary Explanation related to these Matters Cash Bonuses (Adjustable): 12 Performance-based Stock Compensation (Non-Adjustable): 4 Performance-based Stock Compensation (Adjustable): 13 Retirement Allowances (Cash/Non-Adjustable): – (2) Total Compensation for Corporate Executives: 2,438; Applicable persons: 20 (Details) Annual Base Salary (Cash/Non-Adjustable): 1,203 Cash Bonuses (Adjustable): 527 Performance-based Stock Compensation (Non-Adjustable): 421 Performance-based Stock Compensation (Adjustable): 158 Retirement Allowances (Cash/Non-Adjustable): 127 (3) Total Compensation for Outside Directors: 232; Applicable persons: 10 (Details) Annual Base Salary (Cash/Non-Adjustable): 232 Cash Bonuses (Adjustable): – Performance-based Stock Compensation (Non-Adjustable): – Performance-based Stock Compensation (Adjustable): – Retirement Allowances (Cash/Non-Adjustable): – 14 1. Total amount of compensation etc. for Officers, total amount of compensation etc. by class, and number of applicable persons (units: million yen, persons) (1) Total Compensation for Directors (excluding Outside Directors): 178; Applicable persons: 4 (Details) Annual Base Salary (Cash/Non-Adjustable): 147 Note: 1.The total payments made for director and corporate executives from MUFG and subsidiaries is shown. 2.See “1.-(2) Total Compensation for corporate executives” for the total payments made for corporate executives also serving as directors. 3. On July 1, 2016, MUFG introduced a performance-based stock compensation plan using a trust structure called Board Incentive Plan as Non-cash compensation. Total compensation in the table above includes expenses associated with the right to receive shares granted under the plan and the amounts of compensation provided during the fiscal year 2020. 2. Total amount of consolidated compensation, etc., by Officers (units: million yen) (1) Nobuyuki Hirano (Corporate Executive) Total Consolidated Compensation: 236 (Details) Company Classification: MUFG Annual Base Salary (Cash/Non-Adjustable): 48 Cash Bonuses (Adjustable): 26 Performance-based Stock Compensation (Non-Adjustable): 10 Performance-based Stock Compensation (Adjustable): 21 Retirement Allowances (Cash/Non-Adjustable): – (Details) Company Classification: MUFG Bank, Ltd. Annual Base Salary (Cash/Non-Adjustable): – Cash Bonuses (Adjustable): – Performance-based Stock Compensation (Non-Adjustable): – Performance-based Stock Compensation (Adjustable): 1 Retirement Allowances (Cash/Non-Adjustable): 127 (2) Kanetsugu Mike (Corporate Executive) Total Consolidated Compensation: 168 (Details) Company Classification: MUFG Annual Base Salary (Cash/Non-Adjustable): 41 Cash Bonuses (Adjustable): 16 Performance-based Stock Compensation (Non-Adjustable): 10 Performance-based Stock Compensation (Adjustable): 8 Retirement Allowances (Cash/Non-Adjustable): – (Details) Company Classification: MUFG Bank, Ltd. Annual Base Salary (Cash/Non-Adjustable): 41 Cash Bonuses (Adjustable): 22 Performance-based Stock Compensation (Non-Adjustable): 17 Performance-based Stock Com