Sumitomo Mitsui Financial : Business Report for the 18th Fiscal Year

May 28, 2020 at 03:23 am

This document has been translated from a Japanese original for reference purposes only. In the event of any discrepancy between this translated document and the Japanese original, the original shall prevail. Sumitomo Mitsui Financial Group, Inc. assumes no responsibility for this translation or for direct, indirect or any other forms of damages arising from the translation.

Documents Attached to the Notice of Convocation of the Ordinary General Meeting of Shareholders

Business Report for the 18th Fiscal Year

April 1, 2019 to March 31, 2020

Sumitomo Mitsui Financial Group, Inc.

(Documents Attached to the Notice of Convocation of the Ordinary General Meeting of Shareholders)

Business Report for the 18th Fiscal Year

(April 1, 2019 to March 31, 2020)

1. Matters Regarding the Current Condition of the Company

Business Progress and Results of the Group

Economic and Financial Environment

During fiscal 2019 (fiscal year ended March 31, 2020), despite signs of a slowdown in the global economy mainly in Western developed countries and China as prolonged trade friction between the U.S. and China became a major obstacle to international trade and corporate capital investment, moderate growth continued overall up until the latter half of the year. However, since the start of the year, economic activity has been severely restricted due to the worldwide spread of the 2019 novel coronavirus disease (COVID-19). On the whole, up until the end of February, the Japanese economy continued its gradual recovery as the employment environment continued to improve and personal consumption remained firm. However, by the end of the fiscal year, the economy became increasingly sluggish due to factors such as the self-restraint of sales activities aimed at preventing the spread of COVID-19.

In the Japanese financial and capital markets, short-term interest rates reached around minus 0.05%, led by the Bank of Japan (BOJ)'s Quantitative and Qualitative Monetary Easing with Yield Curve Control. While long-term interest rates temporarily rose to the 0.1% range in March of this year due to increased demand for funding as a result of the spread of COVID-19, they subsequently fell to around 0%. The exchange rate mainly moved in the range of 105 yen to 110 yen to the U.S. dollar. While the Japanese yen temporarily appreciated to the 101 yen range to the U.S. dollar in March of this year due to the spread of COVID-19 in the U.S. and the sharp drop in crude oil prices, by the end of the fiscal year it was around 107 yen to the U.S. dollar. The Nikkei Stock Average rose to the 24,000 yen range in January 2020 after continuing to move back and forth around the 21,000 yen range in the first half of the fiscal year. However, it remained around 19,000 yen toward the end of fiscal 2019 due to growing concerns over the deterioration of corporate business performance resulting from the lasting effects of COVID-19.

Regarding financial-related laws and regulations, the "Act on Partial Amendments of Payment Services Act, etc., to Address the Diversification of Financial Transactions based on Advances in Information Technology" was passed in May 2019. The act establishes regulations for transactions using crypto assets and adds the service of providing customer information to third parties as a business of financial institutions. In addition, in March 2020, the Group of Central Bank Governors and Heads of Supervision, which oversees the Basel Committee on Banking Supervision, announced that it has deferred the implementation timeline of the outstanding Basel III standards finalized in each country by one year, resulting from the impact of the spread of COVID-19.

Business Progress and Results

Under these economic and financial circumstances, Sumitomo Mitsui Financial Group, Inc. (hereinafter, "the Company") and its subsidiaries (hereinafter, collectively with the Company, "the Group"), conducting mainly commercial banking and other financial services, including leasing, securities, and consumer finance, have worked to implement our Medium-Term Management Plan for the three fiscal years from fiscal 2017 to fiscal 2019, aimed at achieving the following vision: "We will become a global financial group that, by earning the highest trust of our customers, leads the growth of Japan and the Asian region."

During fiscal 2019, the last year of the Medium-Term Management Plan, we set the basic policy as "Realize a strong finish to the final year of the current Medium-Term Management Plan and undertake initiatives that will deliver sustainable growth, with a view to the next Medium-Term Management Plan" and carried out various initiatives based on the three core policies below to become the financial group of choice for our customers.

Core Policies

Disciplined business management
Focus on our strengths to generate growth
Integration across the Group and globally to achieve sustainable growth

Disciplined business management
In order to reinforce our asset management business, with high capital efficiency, we further

strengthened our domestic business structure through a merger between Sumitomo Mitsui Asset Management Company, Limited and Daiwa SB Investments Ltd. Furthermore, we acquired all business operations of U.K.-based TT International. In order to optimize our group structure, we speedily reorganized Sumitomo Mitsui Card Company, Limited, Cedyna Financial Corporation, and SMBC Finance Service Co., Ltd., which lead the Group's cashless payment strategy. We also accelerated implementation of operational automation using RPA (Robotic Process Automation) in each Group company, and in Sumitomo Mitsui Banking Corporation (hereinafter, "SMBC"), the completion of the transformation of all branches to next-generation branches.

(2) Focus on our strengths to generate growth

Based on our core competencies and growth opportunities, we have identified "Seven Core Business Areas" and carried out business accordingly.

[Seven Core Business Areas]

Hold the number one retail banking franchise in Japan
Build on our lead position in the Japanesemedium-sized enterprise market
Increase market share in Corporate & Investment Banking in key global markets
Establish atop-tier position in product lines where we are competitive globally
Accelerate our"Asia-centric" strategy (Note 1)
Strengthen sales and trading capability
Developasset-light businesses: trust banking and asset management

(Note 1) The reinforcement of business in Asia is our most important strategy and we aim to become a leading financial group in Asia by proactively investing resources into the region.

We advanced the following initiatives in the Retail, Wholesale, International, and Global Markets Business Units.

Retail Business Unit
The Retail Business Unit engages mainly in business aimed at retail customers.

SMBC improved convenience for customers through measures such as digitizing application procedures for consumer loans. In order to meet the diversifying asset management needs of customers, SMBC and SMBC Nikko Securities Inc. continued to collaborate to promote customer-focused wealth management business. As a result, the balances of assets under custody rose steadily. In the payment business segment, Sumitomo Mitsui Card Company, Limited and Cedyna Financial Corporation implemented measures to enrich the services available to customers, such as expanding the functions of smartphone apps, and as a result credit card purchase volumes increased steadily.

(b) Wholesale Business Unit

The Wholesale Business Unit engages in business mainly aimed at large- and medium-sized corporate clients in Japan.

For medium-sized corporate clients, the Group provided diverse solutions tailored to the growth stages of individual customers. For large-sized corporate clients, to meet increasingly advanced and complex needs, such as cross-border M&A transactions, the Group further accelerated businesses focused on providing solutions to clients' management issues including providing high value-added proposals through collaboration between Group companies, both in Japan and overseas. As the tide of digitalization continues throughout society, the Group created new businesses, such as SMBC's "Biz-Create," an online business matching service, and the launch of a cloud-based electronic contract service by SMBC CLOUDSIGN, Inc., a joint venture between the Company and Bengo4.com, Inc.

The International Business Unit engages in business aimed at Japanese and non-Japanese companies and financial institutions operating business overseas, and foreign companies operating inside Japan.

For overseas customers, as a result of the promotion of cross-selling on a global Group basis, the Group expanded the number of bond underwritings as an active book runner (Note 3), carrying on the expansion from the previous year. The Group also continued to work to enhance its business in areas in which the Group possesses particular strengths, such as aircraft leasing. In Asia, we deepened relationships with local blue chip companies and high-growth companies. In Indonesia, our consolidated subsidiary, PT Bank BTPN Tbk expanded its business as a full-line commercial bank that handles both wholesale and retail businesses and established a system capable of providing comprehensive financial services through collaborations with Group companies which engage in securities and leasing businesses.

(Note 2) As of April 1, 2020, the "International Business Unit" has been renamed to the "Global Business Unit."

(Note 3) A securities company that plays a key underwriting role when offering and selling securities.

(d) Global Markets Business Unit

The Global Markets Business Unit carries out ALM operations (Note 4) that comprehensively manage the liquidity risk and interest rate risk, and provides customers with services through marketable products such as foreign currency, derivatives, bonds, and stocks.

SMBC and SMBC Nikko Securities expanded their offerings of marketable products such as stocks, foreign currency, and derivatives, and enhanced collaboration between their sales and product development sections. Through this, they established a solution proposal-based business model that promptly meets customers' diversified investment targets and needs. In order to stabilize its procurement of foreign currency, SMBC continued to issue foreign-denominated covered bonds, which are secured by products such as SMBC's housing loan bonds.

(Note 4) Asset Liability Management: A risk management method that optimizes future asset and liability balance and seeks to maximize revenue.

Integration across the Group and globally to achieve sustainable growth
(a) Governance and management structure to maximize our business potential

The Group enhanced its product and service provision capabilities and met the diverse needs of a broad range of customers on a group-wide and global basis under the business unit system. By controlling personnel and system investment amounts, such as the focused allocation of personnel and system investment in growth fields, on a group-wide and global basis, we optimized resource allocation on a group-wide basis. Based on domestic and foreign regulatory trends, we engaged in risk management and compliance system improvement measures, such as the prevention of money laundering and financing to terrorists. In order to further strengthen our corporate governance system, in June 2019, SMBC and SMBC Nikko Securities Inc. transformed to a company with an Audit and Supervisory Committee, respectively.

(b) Digitalization

With the rapid advancement of digitalization throughout society, Group companies used digital technologies to improve operational efficiency and productivity. Sumitomo Mitsui Card Company, Limited, together with GMO Payment Gateway, Inc. and Visa Worldwide (Japan) Co., Ltd., continued the building of a next-generation payment platform and began offering "stera," a comprehensive payment platform that provides all the functions necessary for cashless payment in a single package. Sumitomo Mitsui Card Company, Limited used its cashless data to begin providing "Custella," a data analysis support service that assists clients with their sales activities.

Group companies collaborated to actively reduce environmental impacts through their operations, such as by providing support for renewable energy projects using wind or solar power. In order to implement the recommendations of the Task Force on Climate-related Financial Disclosures, established by the Financial Stability Board, which is composed of financial authorities in key countries, in April 2019, SMBC became the first G-SIFIs (Note 5) to quantitatively perform tentative calculations of the financial impact of climate change and to disclose its findings. In January 2020, it expanded its analysis scope to also include risks occurring in the process of the transition to low-carbon society, and disclosed its findings regarding the corresponding impact. The Company became a signatory to the Principles for Responsible Banking, issued in September 2019 by the United Nations Environment Programme Finance Initiative, and declared its intent to engage in business activities that contribute to the realization of sustainable society.

(Note 5) Financial institutions certified by the Financial Stability Board as being systematically and globally important.

As a result of these initiatives, the Company recorded consolidated ordinary profit and consolidated profit attributable to owners of parent of 932.0 billion yen and 703.8 billion yen, respectively, in fiscal 2019.

[Summary of Performance]

Sumitomo Mitsui Financial Group

	FY2018	FY2019

Ordinary profit	1,135.3 billion yen	932.0 billion yen

Profit attributable to owners	726.6 billion yen	703.8 billion yen
of parent

(Note) Amounts less than one hundred million yen have been rounded down.

Sumitomo Mitsui Banking Corporation (For reference)

	FY2018	FY2019

Ordinary profit	649.6 billion yen	483.9 billion yen

Net income	477.3 billion yen	317.3 billion yen

(Note) Amounts less than one hundred million yen have been rounded down.

Issues to be addressed

In fiscal 2020, we revised our mission and formulated a new Medium-Term Management Plan for the three years up to fiscal 2022.

As we move forward with our new mission and Medium-Term Management Plan, considering the significant impact to our customers and the economy caused by COVID-19, we strive to fulfill our social responsibility through the financial services that our group companies provide as financial infrastructure essential for maintaining social functions and supporting local communities and society.

For consumers in Japan, in order to respond to urgent funding needs, we are extending loans with low interest rates and providing flexibility by reviewing lending procedures. We are also upgrading our online services so that our customers can complete various transactions without coming to our branches. For corporates, we are supporting business continuity by setting up special funds to strengthen their liquidity positions and providing online services at our group companies for payments and other procedures. As for the support for local communities and society, we are making donations to medical research activities as well as the promotion of culture and arts. Furthermore, we are taking measures to prevent the spread of COVID-19 at our branches and encouraging telework to continue our services while ensuring the safety of our customers and employees.

On that basis, we will implement various initiatives to achieve our mission and management goals of our new Medium-Term Management Plan.

We have worked to achieve sustainable growth and enhance corporate value over the medium- to long-term by following our mission focusing on "Customer", "Shareholder" and "Employees" as a universal concept for group management. However, our business environment has undergone major changes including the worsening of environmental and social issues, the momentum to pursue a sustainable society, intensified competition with transcending barriers of industries, changes of organizational culture, and diversification of employees. As a way to pass down unchanging fundamental beliefs while accepting the changes to the environment, we revised our mission for the first time and added "We contribute to a sustainable society by addressing environmental and social issues". At the same time, we set a new medium- to long-term vision of becoming "A trusted global solution provider committed to the growth of our customers and advancement of society" and revised "Five values", which are to be shared by all SMBC Group employees.

In order to realize this vision, we will take steady steps by promoting various initiatives based on the three core policies under the new Medium-Term Management Plan.

Three Core Policies

(1) Transformation: Transform existing businesses

Improve profitability and efficiency by engaging in business model transformation and structural cost reform among major business areas while ensuring strategic resource allocation. Specifically, mainly in the domestic business, we will rebuild the business franchise and preform strategic reallocation of resources corresponding to the market potential and pursue the improvement of both our service quality and business productivity through digitalization and streamlining of our business administration. Furthermore, in business areas where there is growth potential, we will aim to enhance our capability of providing high-quality solutions to our customers and strengthen competitiveness of our products and services by restructuring the business model and organizational structure to maximally leverage our group capability.

(2) Growth: Seek new growth opportunities

Explore new growth opportunities including non-financial business fields and generate new added value by making investments for the future to increase our profit base. Specifically, we will (a) strengthen businesses with high asset efficiency such as asset management and payment business in response to the structural change in the financial market, (b) expand our business franchise in Asia where medium- to long term growth is expected, and (c) develop new businesses that provide solutions utilizing data and digital technology to expand our business base for future growth.

Under our business strategy of "Transformation" and "Growth", we have identified "Seven Key Strategies".

Seven Key Strategies

(3) Quality: Elevate quality in all aspects

Make a consistent effort to enhance our management system and corporate infrastructure as a global financial institution to realize sustainable growth. Specifically, as a basic management policy, we continue to ensure our customer-oriented approach and at the same time, we will take further actions such as promoting green finance and financial education programs to contribute to a sustainable society. In addition, we will continue to sophisticate human resource management and development to have employees perform at their full potential, and we will develop IT infrastructure in order to achieve both convenience improvement and strong cyber security. Furthermore, we enhance our governance system in a global basis including risk management and compliance areas.

We aim to respond to shareholder expectations by showing steady results regarding the initiatives described above. We look forward to the continued understanding and support of our shareholders.

Changes in Financial Position and Results of Operations (Consolidated Basis andNon-Consolidated Basis)

Changes in Financial Position and Results of Operations (Consolidated Basis)

				Unit: billions of yen
	FY2016	FY2017	FY2018	FY2019
	(Fiscal year ended	(Fiscal year ended	(Fiscal year ended	(Fiscal year ended
	March 31, 2017)	March 31, 2018)	March 31, 2019)	March 31, 2020)

Ordinary income	5,133.2	5,764.1	5,735.3	5,314.3

Ordinary profit	1,005.8	1,164.1	1,135.3	932.0

Profit attributable to	706.5	734.3	726.6	703.8
owners of parent

Comprehensive income	966.0	984.1	795.1	372.9

Net assets	11,234.2	11,612.8	11,451.6	10,784.9

Total assets	197,791.6	199,049.1	203,659.1	219,863.5

(Notes) 1. Amounts less than one hundred million yen have been rounded down.

2. The Company has 174 consolidated subsidiaries and 101 unconsolidated subsidiaries and related companies accounted for by the equity method as of March 31, 2020.

b. Changes in Financial Position and Results of Operations (Non-Consolidated Basis)

						Unit: billions of yen
			FY2016	FY2017	FY2018	FY2019
			(Fiscal year ended	(Fiscal year ended	(Fiscal year ended	(Fiscal year ended
			March 31, 2017)	March 31, 2018)	March 31, 2019)	March 31, 2020)

Operating income	502.4	366.3	522.5	833.8

	Dividends received	428.8	257.0	371.8	659.4

		Dividends
		received from	408.4	223.3	325.3	637.7
		banking

		subsidiaries

		Dividends
		received from	17.5	31.0	40.2	10.7
		other subsidiaries

Net income	(millions of yen)	(millions of yen)	(millions of yen)	(millions of yen)
450,775	229,300	474,196	636,128


Earnings per share	(yen)	(yen)	(yen)	(yen)
319.69	162.57	339.29	462.60


Total assets	10,457.1	12,104.9	12,991.3	14,225.4

		Investments in
		banking	4,613.8	4,613.8	4,613.7	4,613.7
		subsidiaries

		Investments in
		other	1,489.0	1,489.7	1,265.7	1,533.6
		subsidiaries

(Notes) 1. Amounts less than one hundred million yen have been rounded down.

2. "Partial Amendments to Accounting Standard for Tax Effect Accounting" (ASBJ Statement No. 28, February 16, 2018) has been adopted from the fiscal year ended March 31, 2019, whereby deferred tax assets are presented under investments and other assets, while deferred tax liabilities are presented under fixed liabilities. This change has been reflected in fiscal years ended March 31, 2018 and before as well.

Employees of the Group

			March 31, 2020
	Wholesale	Retail	International	Global	Head Office
	Markets
	Business Unit	Business Unit	Business Unit	Account
	Business Unit

Number of	7,463	32,926	29,333	1,299	15,422
employees

			March 31, 2019

		Wholesale	Retail	International	Global	Head Office
		Markets
		Business Unit	Business Unit	Business Unit	Account
		Business Unit

	Number of	7,396	34,055	28,989	1,282	14,937
	employees


(Notes) 1. The number of employees is the number of persons engaged in the Group, including local staff overseas, but not
	including employees on short-term contracts and temporary employees (14,134 persons as of March 31, 2020;
	15,089 persons as of March 31, 2019).

The number of employees is the number of persons engaged in the Company and consolidated subsidiaries.
The businesses handled by each business unit are the following.

Wholesale Business Unit:	Businesses dealing with domestic medium-to-large-sized enterprises
Retail Business Unit:	Businesses dealing with domestic individual and small-to-medium-sized
	enterprises
International Business Unit:	Businesses dealing with international (including Japanese) corporate customers
Global Markets Business Unit:	Businesses dealing with financial markets
Head Office account:	Businesses other than those above

Principal Offices of the Group

Company name		Reportable segment	Principal office	Number of branches
	As of March	As of March
						31, 2020	31, 2019
		Wholesale Business		Head Office
		Unit

		Retail Business Unit	Domestic	Tokyo Main Office	865	893
Sumitomo Mitsui		International	Osaka Head Office
	Business Unit
Banking Corporation
	Global Markets		Kobe Main Office,

		Business Unit		etc.
		Head Office Account	Overseas	New York Branch,	41	42
					etc.
		Wholesale Business
		Unit
SMBC Trust Bank Ltd.		Retail Business Unit	Head Office, etc.	35	35
		International
		Business Unit
		Wholesale Business
		Unit
		Retail Business Unit
SMBC Nikko		International	Head Office, etc.
Securities Inc.		Business Unit

		Global Markets
		Business Unit
		Head Office Account
Sumitomo Mitsui Card		Retail Business Unit	Tokyo Head Office
Company, Limited		Osaka Head Office, etc.
Cedyna Financial		Retail Business Unit	Head Office
Corporation				Tokyo Head Office, etc.
SMBC Consumer		Retail Business Unit	Head Office, etc.
Finance Co., Ltd.

The Japan Research		Head Office Account	Tokyo Head Office
Institute, Limited				Osaka Head Office, etc.
Sumitomo Mitsui DS
Asset Management		Head Office Account	Head Office, etc.
Company, Limited
(Note) The businesses handled by each business unit are the following.
Wholesale Business Unit:	Businesses dealing with domestic medium-to-large-sized enterprises
Retail Business Unit:		Businesses dealing with domestic individual and small-to-medium-sized enterprises
International Business Unit:	Businesses dealing with international (including Japanese) corporate customers
Global Markets Business Unit: Businesses dealing with financial markets
Head Office account:		Businesses other than those above

Capital Investment of the Groupa. Total Amount of Capital Investment

Unit: millions of yen

Company name	Reportable segment	Amount

Sumitomo Mitsui Financial Group, Inc.	Head Office Account	15,844

	Wholesale Business Unit
Sumitomo Mitsui Banking Corporation	Retail Business Unit
International Business Unit	105,833
	Global Markets Business Unit
	Head Office Account
	Wholesale Business Unit
SMBC Trust Bank Ltd.	Retail Business Unit	5,279
	International Business Unit
	Wholesale Business Unit
	Retail Business Unit
SMBC Nikko Securities Inc.	International Business Unit	29,405
	Global Markets Business Unit
	Head Office Account
Sumitomo Mitsui Card Company, Limited	Retail Business Unit	23,015

Cedyna Financial Corporation	Retail Business Unit	8,204

SMBC Consumer Finance Co., Ltd.	Retail Business Unit	8,334

The Japan Research Institute, Limited	Head Office Account	7,728

Sumitomo Mitsui DS Asset Management Company,	Head Office Account	2,304
Limited

Others	-	26,106

Total		232,055

(Notes)	1. Amounts less than one million yen have been rounded down.
	2. The businesses handled by each business unit are the following.
	Wholesale Business Unit:	Businesses dealing with domestic medium-to-large-sized enterprises
	Retail Business Unit:	Businesses dealing with domestic individual and small-to-medium-sized
			enterprises
	International Business Unit:	Businesses dealing with international (including Japanese) corporate customers
	Global Markets Business Unit: Businesses dealing with financial markets
	Head Office account:	Businesses other than those above
b. Establishment of Principal Facilities, etc.		Unit: millions of yen

Company name	Reportable segment		Description		Amount

Sumitomo Mitsui	Head Office Account		Branch facilities, etc.		15,745
Financial Group, Inc.


		Wholesale Business Unit		Branch facilities, etc.		19,402
Sumitomo Mitsui	Retail Business Unit
International Business Unit
Banking Corporation
Global Markets Business Unit		Software		59,000

		Head Office Account
(Notes)	1. Amounts less than	one million yen have been rounded down.
	2. The businesses handled by each business unit are the following.
	Wholesale Business Unit:	Businesses dealing with domestic medium-to-large-sized enterprises
	Retail Business Unit:	Businesses dealing with domestic individual and small-to-medium-sized
			enterprises
	International Business Unit:	Businesses dealing with international (including Japanese) corporate customers
	Global Markets Business Unit: Businesses dealing with financial markets
	Head Office account:	Businesses other than those above
			13

Parent Company and Principal Subsidiaries, etc.

Parent Company Not applicable.
Principal Subsidiaries, etc.

				Capital	Percentage
Company name	Location	Main business	Date of	of the
(millions of	Company's	Other
establishment
			yen)	voting

					rights (%)

Sumitomo Mitsui Banking	Chiyoda-ku, Tokyo	Commercial banking	June 6, 1996	1,770,996	100.00	-
Corporation


SMBC Trust Bank Ltd.	Minato-ku, Tokyo	Commercial banking	February 25,	87,550	100.00	-
and trust services	1986	(100.00)


Sumitomo Mitsui Finance			February 4,
and Leasing Company,	Chiyoda-ku, Tokyo	Leasing	15,000	50.00	-
1963
Limited

SMBC Nikko Securities Inc.	Chiyoda-ku, Tokyo	Securities	June 15, 2009	10,000	100.00	-

Sumitomo Mitsui Card	Chuo-ku, Osaka	Credit card	December 26,	34,000	100.00	-
Company, Limited	1967


Cedyna Financial Corporation	Naka-ku, Nagoya	Credit card and	September 11,	82,843	100.00	-
Installment	1950	(100.00)


SMBC Consumer Finance	Chuo-ku, Tokyo	Consumer lending	March 20,	140,737	100.00	-
Co., Ltd.	1962


		System
The Japan Research Institute,		development,
Shinagawa-ku, Tokyo	data processing,	November 1,	10,000	100.00	-
Limited	management	2002

		consulting, and
		economic research
Sumitomo Mitsui DS Asset		Investment advisory
Management Company,	Minato-ku, Tokyo	and investment trust	July 15, 1985	2,000	50.12	-
Limited		management
Sumitomo Mitsui Banking	London, U.K.	Commercial banking	March 5,	348,192	100.00
[USD 3.2	-
Corporation Europe Limited	2003	(100.00)
		billion]

Sumitomo Mitsui Banking	Shanghai, People's	Commercial banking	April 27,	153,100	100.00
[RMB 10	-
Corporation (China) Limited	Republic of China	2009	(100.00)
	billion]

PT Bank BTPN Tbk	Jakarta, Republic of	Commercial banking	February 5,	1,075	93.52
[IDR 162.9	-
Indonesia	1958	(93.52)
		billion]

SMBC Americas Holdings,	Wilmington,	Bank Holding	August 8,	0	100.00	-
Inc.	Delaware, U.S.A.	Company	1990	[USD 2,100]	(100.00)


SMBC Guarantee Co., Ltd.	Minato-ku, Tokyo	Credit guarantee	July 14, 1976	187,720	100.00	-
(100.00)


Sumitomo Mitsui Auto	Shinjuku-ku, Tokyo	Leasing	February 21,	13,636	21.99	-
Service Company, Limited	1981

(Notes) 1. The capital has been rounded down to the nearest unit and the percentage of the Company's voting rights in subsidiaries has been rounded down to the nearest second decimal place.

The capital denominated in foreign currency has been translated into Japanese yen at the exchange rate as of the account closing date.
Figures in parentheses ( ) in the voting rights column indicate voting rights held indirectly.
Daiwa SB Investments Ltd., which was previously stated, has been excluded from the Company's equity method affiliates because this company ceased to exist due to the merger with Sumitomo Mitsui Asset Management Company, Limited on April 1, 2019. In addition, Sumitomo Mitsui Asset Management Company, Limited has changed its name to Sumitomo Mitsui DS Asset Management Company, Limited.

(7) Major Borrowings

	Balance of borrowings	Investment in the Company
Creditor
Number of shares held	Percentage of voting
(millions of yen)
		(100 shares)	rights (%)
Sumitomo Mitsui Banking	1,228,030	-	-
Corporation

(Note) Amounts less than one million yen have been rounded down.

Material Matters regarding Business Transfer, etc.

Date of business transfer, etc.

Status of business transfer, etc.

Sumitomo Mitsui Asset Management Company, Limited and Daiwa SB

April 1, 2019Investments Ltd. merged on April 1, 2019 and the merged company has changed its name to Sumitomo Mitsui DS Asset Management Company, Limited.

2. Matters regarding Directors and Corporate Executive Officers

Directors and Corporate Executive Officersa. Directors

(As of March 31, 2020)

Name	Position and responsibility	Significant concurrent positions	Other

Takeshi Kunibe	Chairman of the Board	Director of TAISHO	-
	Member of the Nominating	PHARMACEUTICAL HOLDINGS
	Committee	Co., Ltd.
	Member of the	Director of NEC Corporation
	Compensation Committee
Jun Ohta*	Director	-	-
	Member of the
	Compensation Committee
Makoto Takashima	Director	President of Sumitomo Mitsui	-
		Banking Corporation
		(Representative Director)
Haruyuki Nagata*	Director	Director of Sumitomo Mitsui Banking	-
		Corporation
Toru Nakashima*	Director	Director of Sumitomo Mitsui Banking	-
		Corporation
Atsuhiko Inoue	Director	Director of Sumitomo Mitsui Banking	-
	Member of the Audit	Corporation
	Committee
Toru Mikami	Director	-	-
	Member of the Audit
	Committee
Tetsuya Kubo	Director	Representative Director, Chairman of	-
		the Board of SMBC Nikko Securities
		Inc.
Masayuki Matsumoto	Director (outside)	Special Advisor of Central Japan	-
	Member of the Nominating	Railway Company
	Committee
	Member of the Audit
	Committee (Chairman)
Arthur M. Mitchell	Director (outside)	Attorney at Law, admitted in New	-
	Member of the Nominating	York
	Committee	Registered Foreign Attorney in Japan
	Member of the
	Compensation Committee
Shozo Yamazaki	Director (outside)	Certified Public Accountant	He has
	Member of the Audit	Status of other concurrent positions	considerable
	Committee	shall be as described in "Concurrent	expertise in
		Positions and Other Details on	finance and
		Outside Directors" below.	accounting.

Name	Position and responsibility	Significant concurrent positions	Other

Masaharu Kohno	Director (outside)	Status of concurrent positions shall be	-
	Member of the Nominating	as described in "Concurrent Positions
	Committee	and Other Details on Outside
		Directors" below.
Yoshinobu Tsutsui	Director (outside)	Chairman of NIPPON LIFE	-
	Member of the Nominating	INSURANCE COMPANY
	Committee (Chairman)	Status of other concurrent positions
	Member of the	shall be as described in "Concurrent
	Compensation Committee	Positions and Other Details on
		Outside Directors" below.
Katsuyoshi Shinbo	Director (outside)	Attorney at Law	-
	Member of the Audit	Status of other concurrent positions
	Committee	shall be as described in "Concurrent
	Member of the	Positions and Other Details on
	Compensation Committee	Outside Directors" below.
	(Chairman)
Eriko Sakurai	Director (outside)	Chairman and CEO of Dow Toray	-
	Member of the Nominating	Co., Ltd.
	Committee	Status of other concurrent positions
	Member of the	shall be as described in "Concurrent
	Compensation Committee	Positions and Other Details on
		Outside Directors" below.

(Notes) 1. Directors Messrs. Masayuki Matsumoto, Arthur M. Mitchell, Shozo Yamazaki, Masaharu Kohno, Yoshinobu Tsutsui, Katsuyoshi Shinbo and Ms. Eriko Sakurai are Outside Directors as provided for in Article 2, Item 15 of the Companies Act.

To ensure audit effectiveness, the Company has elected twonon-executive Directors Messrs. Atsuhiko Inoue and Toru Mikami as full-time members of the Audit Committee.
Directors with an asterisk (*) concurrently serve as Corporate Executive Officers.
The Company has designated Directors Messrs. Masayuki Matsumoto, Arthur M. Mitchell, Shozo Yamazaki, Masaharu Kohno, Yoshinobu Tsutsui, Katsuyoshi Shinbo and Ms. Eriko Sakurai as Independent Directors in accordance with the requirements of the financial instruments exchanges in Japan, such as Tokyo Stock Exchange, Inc.
Change in significant concurrent position as of April 1, 2020:

	Director	Tetsuya Kubo	Advisor of SMBC Nikko Securities Inc.
Directors who resigned during the Fiscal Year
	Name	Position and responsibility	Significant concurrent positions	Other

	Koichi Miyata	Chairman of the Board	Chairman of the Board of Sumitomo	Resigned on
		Member of the Nominating	Mitsui Banking Corporation	April 1, 2019
		Committee	Director of SONY CORPORATION
		Member of the	Corporate Auditor of Isetan
		Compensation Committee	Mitsukoshi Holdings Ltd.
	Kozo Ogino*	Director	Director of Sumitomo Mitsui Banking	Resigned on
			Corporation	April 1, 2019
			(Representative Director)

(Notes) 1.	Position and responsibility and significant concurrent positions are reported as of the date of resignation.
2.	The director with an asterisk (*) concurrently served as Corporate Executive Officer.

b. Corporate Executive Officers

(As of March 31, 2020)

Name	Position and responsibility	Significant concurrent positions	Other

Jun Ohta*	President	-	-
	(Representative Corporate
	Executive Officer)
	Group CEO
Gotaro Michihiro	Deputy President and	Director of Sumitomo Mitsui	-
	Corporate Executive Officer	Banking Corporation
	(Representative Corporate	(Representative Director)
	Executive Officer)
	Co-Head of Wholesale
	Business Unit
Masahiko Oshima	Deputy President and	Director of Sumitomo Mitsui	-
	Corporate Executive Officer	Banking Corporation
	(Representative Corporate	(Representative Director)
	Executive Officer)
	Head of International Business
	Unit
Toshikazu Yaku	Deputy President and	Director of Sumitomo Mitsui	-
	Corporate Executive Officer	Banking Corporation
	(Representative Corporate	(Representative Director)
	Executive Officer)
	Group CCO and Group CHRO
	Responsible for General
	Affairs Dept., Human
	Resources Dept., Quality
	Management Dept. and
	Administrative Services Dept.
Katsunori Tanizaki	Senior Managing Corporate	Senior Managing Executive Officer	-
	Executive Officer	of Sumitomo Mitsui Banking
	Group CDIO	Corporation
	Responsible for IT Innovation	Representative Director, President
	Dept.	and CEO of The Japan Research
		Institute, Limited
Naoki Tamura	Senior Managing Corporate	Senior Managing Executive Officer	-
	Executive Officer	of Sumitomo Mitsui Banking
	Head of Retail Business Unit	Corporation
Hiroshi Munemasa	Senior Managing Corporate	Senior Managing Executive Officer	-
	Executive Officer	of Sumitomo Mitsui Banking
	Head of Global Markets	Corporation
	Business Unit
Kimio Matsuura	Senior Managing Corporate	Senior Managing Executive Officer	-
	Executive Officer	of Sumitomo Mitsui Banking
	Co-Head of Wholesale	Corporation
	Business Unit
Haruyuki Nagata*	Senior Managing Corporate	Director of Sumitomo Mitsui	-
	Executive Officer	Banking Corporation
	Group CRO
	Responsible for Corporate
	Risk Management Dept. and
	Credit & Investment Planning
	Dept.

Name	Position and responsibility	Significant concurrent positions	Other

Toru Nakashima*	Senior Managing Corporate	Director of Sumitomo Mitsui	-
	Executive Officer	Banking Corporation
	Group CFO and Group CSO
	Responsible for Public
	Relations Dept., Corporate
	Planning Dept., Financial
	Accounting Dept. and
	Subsidiaries & Affiliates Dept.
Shoji Masuda	Managing Corporate Executive Director of Sumitomo Mitsui	-
	Officer	Banking Corporation
	Group CIO	Director of The Japan Research
	Responsible for IT Planning	Institute, Limited
	Dept., Data Management Dept.
	and Operations Planning Dept.

(Notes) 1. Corporate Executive Officers with an asterisk (*) concurrently serve as Directors.

CEO: Chief Executive Officer
CCO: Chief Compliance Officer
CHRO: Chief Human Resources Officer
CDIO: Chief Digital Innovation Officer
CRO: Chief Risk Officer
CFO: Chief Financial Officer
CSO: Chief Strategy Officer
CIO: Chief Information Officer
Changes in positions and responsibilities and in significant concurrent positions as of April 1, 2020:

Deputy President and Corporate	Masahiko Oshima	Head of Global Business Unit (On April 1, the
Executive Officer (Representative		International Business Unit was renamed to the
Corporate Executive Officer)		Global Business Unit)
Deputy President and Corporate	Toshikazu Yaku	Group CCO and Group CHRO
Executive Officer (Representative		Responsible for General Affairs Dept., Human
Corporate Executive Officer)		Resources Dept., Quality Management Dept.,
		Compliance Dept. and Administrative Services
		Dept.
Senior Managing Corporate Executive	Katsunori Tanizaki	No longer responsible for IT Innovation Dept.
Officer		Group CDIO
		Responsible for Digital Solution Division and
		Digital Strategy Dept.
Senior Managing Corporate Executive	Hiroshi Munemasa	Resigned from Senior Managing Corporate
Officer		Executive Officer
		Resigned from Senior Managing Executive
		Officer of Sumitomo Mitsui Banking Corporation
Senior Managing Corporate Executive	Haruyuki Nagata	Group CRO
Officer		Responsible for Corporate Risk Management
		Dept., Risk Management Dept., Americas
		Division and Credit & Investment Planning Dept.
Senior Managing Corporate Executive	Toru Nakashima	No longer responsible for Subsidiaries &
Officer		Affiliates Dept.
		Group CFO and Group CSO
		Responsible for Public Relations Dept., Corporate
		Planning Dept., Business Development Dept. and
		Financial Accounting Dept.
Managing Corporate Executive Officer	Shoji Masuda	Senior Managing Corporate Executive Officer
		Group CIO
		Responsible for IT Planning Dept., System
		Security Planning Dept., Data Management Dept.
		and Operations Planning Dept.
Assumption of Corporate Executive Officers as of April 1, 2020:
	Fumiharu Kozuka	Senior Managing Corporate Executive Officer
		Group CAE (Chief Audit Executive)
		Responsible for Audit Dept.
	Masamichi Koike	Senior Managing Corporate Executive Officer
		Head of Global Markets Business Unit

Senior Managing Executive Officer of Sumitomo

Mitsui Banking Corporation

Changes in responsibilities as of May 1, 2020:
Deputy President and Corporate	Toshikazu Yaku	Discharged from Group CCO
Executive Officer		No longer responsible for Compliance Dept.
(Representative Corporate Executive

Officer)

Assumption of Corporate Executive Officers as of May 1, 2020:

Tetsuro Imaeda	Senior Managing Corporate Executive Officer
	Group CCO
	Responsible for Compliance Dept.
	Director of Sumitomo Mitsui Banking
	Corporation

Corporate Executive Officers who resigned during the Fiscal Year

Name	Position and responsibility	Significant concurrent positions	Other

Takeshi Kunibe*	President	Director of NEC Corporation	Resigned on April
	(Representative Corporate		1, 2019
	Executive Officer)
	Group CEO
Kozo Ogino*	Deputy President and	Director of Sumitomo Mitsui	Resigned on April
	Corporate Executive Officer	Banking Corporation	1, 2019
	Group CRO	(Representative Director)
	Responsible for Corporate
	Risk Management Dept. and
	Credit & Investment
	Planning Dept.
Manabu Narita	Deputy President and	Director of Sumitomo Mitsui	Resigned on April
	Corporate Executive Officer	Banking Corporation	1, 2019
	Head of Wholesale Business	(Representative Director)
	Unit

(Notes) 1.	Position and responsibility and significant concurrent positions are reported as of the date of resignation.
2.	Corporate Executive Officers with an asterisk (*) concurrently served as Directors.

Compensation, etc. for Directors and Corporate Executive Officers

		Unit: millions of yen
Classification	Persons paid	Compensation, etc.

Directors	13	353

Corporate Executive	11	542
Officers

Total	24	896

(Notes) 1. Amounts less than one million yen have been rounded down.

Corporate Executive Officers do not receive an employee salary nor do they receive consideration for the performance of other duties.
Compensation, etc. paid to Directors concurrently serving as Corporate Executive Officers is included in the amount for Corporate Executive Officers.
Theabove-written amounts of compensation, etc. include expenses of 174 million yen (35 million yen for Directors and 138 million yen for Corporate Executive Officers) related to the payment of bonuses to Directors and Corporate Executive Officers.
Theabove-written amounts include "Compensation, etc. for Outside Directors" as mentioned below.

Policy for Individual Compensation for Directors and Corporate Executive Officers

The Company hereby establishes the Executive Compensation Policy (the "Policy") in order to provide guiding principles to determine individual remuneration for its directors, corporate executive officers and executive officers (the "Executives").

The Policy's aim is that executive compensation pursuant to it shall provide the appropriate incentives for the Executives to pursue the Group's Mission and medium- to long-term vision.

Sumitomo Mitsui Banking Corporation, one of the Company's main subsidiaries, shall determine its executive compensations in accordance with this Policy.

1. Core Principles

Our executive compensation shall be determined in accordance with the core principles below:

The executive compensation aims at providing appropriate incentives toward the realization of the Group's Mission and Vision.
The Company's executive compensation shall reflect the changing business environment and theshort-, medium- and long-term performance of the SMBC Group, and shall account for contributions to shareholder value and customer satisfaction as well as the realization of a sustainable society.
Individual remuneration shall reflect the assigned roles and responsibilities as well as the performance of the each Executive.
The Company shall research and review market practices, including the use ofthird-party surveys, in order to provide its Executives with a competitive remuneration package.
The Company's executive compensation shall discourage excessiverisk-taking and foster a prudent risk culture expected of a financial institution.
Both external and internal regulations/guidelines on executive compensation shall be observed and respected.
The Company shall establish appropriate governance and controls of the compensation process, and shall regularly review to update its executive compensation practices according to changing market practices and/or business environment.

2. Compensation Programme

The Company's executive compensation programme (the "Programme") shall have three components: base salary, cash bonus, and stock compensation.
However, compensation for Outside Directors and Members of the Audit Committee is composed of base salary only, in light of their roles to oversee the execution of duties of executive officers, etc.
In order to hold the Executives accountable and provide them with appropriate incentives for the performance of the Group, the Programme targets the variable compensation component of total remuneration at 40%, if paid at standard levels. Corresponding with performance and the business environment, the variable component could range from 0% to 150% of the standard levels, which shall be determined by performance of the Executives.

In order to enhance shareholding of the Executives and align their interests with shareholders, the Programme targets itsstock-based compensation components at 25% of total remuneration, if paid at standard levels.
The above target levels shall be appropriately set in accordance with the roles, responsibilities, etc. of each Executive.
Base salary shall be paid in cash and shall be, in principle, determined by the corporate titles of each Executive, reflecting the roles, responsibilities, etc.
Annual incentives shall be determined based on the annual performance of the Group, the group company and the business unit each Executive is accountable for, as well as on the performance of the each Executive reviewed both fromshort-term and medium-/long-term perspectives. 70% of the determined amount shall be paid as cash bonus and the remaining 30% shall be paid under Stock Compensation Plan II (annual performance share plan).
Stock compensation plans consist of Stock Compensation Plan I (the "Plan I"), under which the remuneration of the Executives shall be determined based on the Group'smedium-term performance, etc., Stock Compensation Plan II (the "Plan II"), determined based on the Group's annual performance, etc. and Stock Compensation Plan III (the "Plan III"), determined based on corporate titles, etc.
1. Under the stock compensation plans, the Executives shall receive remuneration via shares of the Company common stock. The transfer of such stock shall be restricted for appropriately defined periods.
2. Remuneration under Plan I shall be determined based on the Group's performance against theMedium-term Management Plan, performance of the Company shares, and the results of customer satisfaction surveys, etc.
3. Remunerations under Plan II shall be determined based on the annual performance of the Group, the group company, and the business unit each Executive is accountable for, as well as on the performance of each Executive reviewed both from ashort-term and medium-/long-term perspectives. Remuneration paid by restricted shares, they shall effectively act as deferred compensation.
4. Remuneration under Plan III shall be determined based on corporate titles, roles, and responsibilities, etc.
In the event of material amendments to the financial statements or material reputational damages caused by the Executives, remunerations under the Plans could be reduced or fully forfeit.
Notwithstanding the above, executive compensation for the Executives hired locally overseas and the Executives domiciled outside Japan shall be individually designed and determined not only in accordance with the above Core Principles, but also with consideration to local regulations and taxes, guidelines, and other local market practices, whilst ensuring the compensation should not incentivize excessiverisk-taking.

3. Governance and Control of the Compensation Processes

The Company, as a Company with Three Committees, has established a Compensation Committee to resolve the following:
- The Policy, the Programme, and relevant regulations.
- Individual remunerations for the Company's directors and corporate executive officers.
In addition to the above, the Company Compensation Committee shall review and discuss the below:
- The individual remuneration for the Company's other executive officers.
- Executive compensation programmes/practices of group companies of the Company, etc.

4. Amendments to and Abolition of the Policy

Amendments to and abolition of the Policy shall be resolved at the Compensation Committee.

Liability Limitation Agreement

Name	Summary of Liability Limitation Agreement

Masayuki Matsumoto
Arthur M. Mitchell	In accordance with the provisions provided for in Article 427, Paragraph 1 of the
Shozo Yamazaki
Companies Act (the "Act"), the Company has entered into agreements with the
Masaharu Kohno	Outside Directors stated in the left column to limit the liability provided for in
	Article 423, Paragraph 1 of the Act to the higher of either (i) 10 million yen or (ii)
Yoshinobu Tsutsui
	the minimum amount provided for in Article 427, Paragraph 1 of the Act.
Katsuyoshi Shinbo

Eriko Sakurai

3. Matters regarding Outside Directors

Concurrent Positions and Other Details on Outside Directors

	(As of March 31, 2020)
Name	Concurrent positions and other details

Masayuki Matsumoto	Special Advisor of Central Japan Railway Company
Shozo Yamazaki	Director of EBARA CORPORATION (outside)
Masaharu Kohno	Director of DOUTOR・NICHIRES Holdings Co., Ltd. (outside)

Yoshinobu Tsutsui	Chairman of NIPPON LIFE INSURANCE COMPANY
	Director of Imperial Hotel, Ltd. (outside)
	Director of Panasonic Corporation (outside)
	Audit & Supervisory Board Member of West Japan Railway Company (outside)
Katsuyoshi Shinbo	Corporate Auditor of Mitsui Chemicals, Inc. (outside)
Eriko Sakurai	Chairman and CEO of Dow Toray Co., Ltd.
	Executor, Dow Switzerland Holding GmbH, which is a Representative Partner of
	Dow Silicones Holding Japan G.K.
	Director of SONY CORPORATION (outside)

(Note) There is no other relationship to be disclosed between the Company and the companies or entities in which the Outside Directors of the Company concurrently serve.

Major Activities of Outside Directors

Name	Term of	Attendance of the Board of	Opinions issued at the Board of
Directors meeting, etc. and other
Office	Directors meeting, etc.
	activities


Masayuki Matsumoto	2 years and	Board of Directors meetings	12/12	He mainly provides suggestions and
	9 months	Nominating Committee	4/5	comments based on his considerable
		meetings		experience as a chief executive and high
		Audit Committee meetings	15/15	level of insight.
Arthur M. Mitchell	4 years and	Board of Directors meetings	12/12	He mainly provides suggestions and
	9 months	Nominating Committee	5/5	comments based on his considerable
		meetings		experience as an attorney at law and high
		Compensation Committee	6/6	level of insight.
		meetings
Shozo Yamazaki	2 years and	Board of Directors meetings	12/12	He mainly provides suggestions and
	9 months	Audit Committee meetings	15/15	comments based on his considerable
				experience as a Certified Public
				Accountant and high level of insight.
Masaharu Kohno	4 years and	Board of Directors meetings	12/12	He mainly provides suggestions and
	9 months	Nominating Committee	5/5	comments based on his considerable
		meetings		experience as a diplomat and high level of
				insight.
Yoshinobu Tsutsui	2 years and	Board of Directors meetings	12/12	He mainly provides suggestions and
	9 months	Nominating Committee	5/5	comments based on his considerable
		meetings		experience as a chief executive and high
		Compensation Committee	5/6	level of insight.
		meetings
Katsuyoshi Shinbo	2 years and	Board of Directors meetings	12/12	He mainly provides suggestions and
	9 months	Audit Committee meetings	15/15	comments based on his considerable
		Compensation Committee	6/6	experience as an attorney at law and high
		meetings		level of insight.
Eriko Sakurai	4 years and	Board of Directors meetings	12/12	She mainly provides suggestions and
	9 months	Nominating Committee	5/5	comments based on her considerable
		meetings		experience as a chief executive and high
		Compensation Committee	6/6	level of insight.
		meetings

(Note) Periods of service of the Directors above of less than one month have been rounded down.

Compensation, etc. for Outside Directors

			Unit: millions of yen
	Persons paid	Compensation, etc. paid by	Compensation, etc. paid by
	parent company, etc. of the
		the Company	Company


Total amount of	7	114	-
compensation, etc.


(Notes) 1. Amounts less than one million yen have been rounded down.
2. No expenses have been incurred in connection with the payment of bonuses to Outside Directors.

4. Matters regarding Shares of the Company

(1) Number of Shares

	(Number of shares)
Total number of shares authorized to be issued
Common stock	3,000,000,000
Preferred stock (Type 5)	167,000
Preferred stock (Type 7)	167,000
Preferred stock (Type 8)	115,000
Preferred stock (Type 9)	115,000
Total number of shares issued
Common stock	1,373,171,556

Number of Shareholders as of March 31, 2019

	(Number of shareholders)
Common stock	327,658

(3) Major Shareholders

Common Stock

	Name of shareholder	Number of shares held and percentage of shares held

Number of shares held	Percentage of shares held
		(100 shares)	(%)
	The Master Trust Bank of Japan, Ltd. (Trust	971,566	7.09
	Account)

	Japan Trustee Services Bank, Ltd. (Trust	783,326	5.71
	Account)

	Japan Trustee Services Bank, Ltd. (Trust	403,326	2.94
	Account 9)

	Japan Trustee Services Bank, Ltd. (Trust	293,202	2.14
	Account 7)

	NATSCUMCO	281,213	2.05

	Japan Trustee Services Bank, Ltd. (Trust	277,859	2.02
	Account 5)

	JP MORGAN CHASE BANK 385151	263,874	1.92

	SSBTC CLIENT OMNIBUS ACCOUNT	254,092	1.85

	STATE STREET BANK WEST CLIENT -	193,533	1.41
	TREATY 505234

	Barclays Securities Japan Limited	184,841	1.34

	(Notes) 1. Listed here are the top ten shareholders in terms of their respective ratio of stock holding against the total number
	of outstanding shares (excluding treasury shares).

2. Numbers of shares less than one hundred have been rounded down and the percentage of shares held has been rounded down to the nearest second decimal place.

5. Matters regarding the Accounting Auditor

(1) Accounting Auditor

Name	Compensation, etc. for the fiscal year	Other

KPMG AZSA LLC	Compensation, etc. pertaining to the	1. The Audit Committee confirmed
and discussed the details of the
Toshihiro Otsuka	activities specified in Article 2,	audit plan, the status of
Paragraph 1 of the Certified Public	performance of duties, and the
Designated Limited Liability	Accountants Act: 1,810 million yen	basis for calculation of the
Partner			estimate of compensation of the
Noriaki Habuto			Accounting Auditor. As a result,
		the Audit Committee gave
Designated Limited Liability			approval set forth in Article 399,
Partner			Paragraphs 1 and 4 of the
Kazuhide Niki			Companies Act for the
		compensation, etc. of the
Designated Limited Liability			Accounting Auditor.
Partner		Of the above, compensation, etc.	2. The Company paid the
		Accounting Auditor for general
		as Accounting Auditor: 282 million	training for employees of
		yen	internal audit departments, etc.,
			which fell outside the scope of
			the activities specified in Article
			2, Paragraph 1 of the Certified
			Public Accountants Act.

(Notes) 1. Amounts less than one million yen have been rounded down.

1. The audit agreement between the Company and the Accounting Auditor does not and cannot practically distinguish between compensation, etc. for audits stipulated by the Companies Act and those stipulated by the Financial Instruments and Exchange Act. For this reason, "Of the above, compensation, etc. as Accounting Auditor" above includes the compensation, etc. amount for audits based on the Financial Instruments and Exchange Act.
2. Total amount of moneys and other financial benefits payable by the Company and subsidiaries (excluding unconsolidated subsidiaries) to the Accounting Auditor is 3,951 million yen. This total includes fund auditing compensation.
Liability Limitation AgreementNot applicable.
Other Matters regarding the Accounting Auditor

Policy for Decisions on Dismissal or Nonreappointment of Accounting Auditor
The Audit Committee discusses whether to dismiss the Accounting Auditor where they fall under any of the grounds set forth in each item of Paragraph 1 of Article 340 of the Companies Act. In addition to that, when it is determined to be difficult for the Accounting Auditor to appropriately execute his or her duty, the Audit Committee discusses whether to forward a proposal for the dismissal or nonreappointment of the Accounting Auditor to the general meeting of shareholders in accordance with Article 404, Paragraph 2, Item 2 of the Companies Act.
From among the Company's significant subsidiaries, Sumitomo Mitsui Banking Corporation Europe Limited, Sumitomo Mitsui Banking Corporation (China) Limited, PT Bank BTPN Tbk and SMBC Americas Holdings, Inc. were audited by an Accounting Auditor other than the Company's (or by person(s) with equivalent qualifications in foreign countries).

6. Matters regarding Specified Wholly Owned Subsidiary

		Total book value	Total assets of the
Company Name	Address	Company
(millions of yen)
		(millions of yen)


Sumitomo Mitsui	1-2, Marunouchi
1-chome,Chiyoda-ku,	4,613,790	14,225,470
Banking Corporation
Tokyo, Japan

(Note) Amounts less than one million yen have been rounded down.

7. Others

Policy Regarding the Exercise of Authority Given to the Board of Directors under the Articles of Incorporation pursuant to paragraph 1, Article 459 of the Companies Act

The Company stipulated in Article 8 of its Articles of Incorporation that except as otherwise provided by applicable law, the Company may, by resolution of its Board of Directors, acquire for value its own shares with agreement of shareholders pursuant to Item 1, paragraph 1 of Article 459 of the Companies Act. For acquisition of its own shares, the Company will appropriately act after comprehensively assessing the status of its capital, investment opportunities for future growth and other factors.

Consolidated Balance Sheet

(As of March 31, 2020)

		Unit: millions of yen
Account	Amount	Account	Amount
(Assets)		(Liabilities)
Cash and due from banks	61,768,573	Deposits	127,042,217
Call loans and bills bought	896,739	Negotiable certificates of deposit	10,180,435
Receivables under resale agreements	8,753,816	Call money and bills sold	3,740,539
Receivables under securities borrowing	5,005,103	Payables under repurchase agreements	13,237,913
transactions
	Payables under securities lending
Monetary claims bought	4,559,429	2,385,607
transactions

Trading assets	7,361,253	Commercial paper	1,409,249
Money held in trust	353	Trading liabilities	6,084,528
Securities	27,128,751	Borrowed money	15,210,894
Loans and bills discounted	82,517,609	Foreign exchanges	1,461,308
Foreign exchanges	2,063,284	Short-term bonds	379,000
Lease receivables and investment assets	219,733	Bonds	9,235,639
Other assets	8,298,393	Due to trust account	1,811,355
Tangible fixed assets	1,450,323	Other liabilities	7,011,967
Assets for rent	506,755	Reserve for employee bonuses	73,868
Buildings	341,505	Reserve for executive bonuses	3,362
Land	423,346	Net defined benefit liability	35,777
Lease assets	28,933	Reserve for executive retirement benefits	1,270
Construction in progress	46,138	Reserve for point service program	26,576
Other tangible fixed assets	103,645	Reserve for reimbursement of deposits	4,687
Intangible fixed assets	753,579	Reserve for losses on interest repayment	142,890
Software	440,407	Reserves under the special laws	3,145
Goodwill	194,289	Deferred tax liabilities	257,384
Lease assets	986	Deferred tax liabilities for land	30,111
revaluation

Other intangible fixed assets	117,896	Acceptances and guarantees	9,308,882
Net defined benefit asset	230,573	Total liabilities	209,078,615
Deferred tax assets	26,314	(Net assets)
Customers' liabilities for acceptances	9,308,882	Capital stock	2,339,964
and guarantees
(479,197)
Reserve for possible loan losses	Capital surplus	692,003
		Retained earnings	6,336,311
		Treasury stock	(13,983)
		Total stockholders' equity	9,354,296
		Net unrealized gains (losses) on other	1,371,407
		securities

		Net deferred gains (losses) on hedges	82,257
		Land revaluation excess	36,878
		Foreign currency translation adjustments	(32,839)
		Accumulated remeasurements of defined	(92,030)
		benefit plans

		Total accumulated other comprehensive	1,365,673
		income

		Stock acquisition rights	2,064
		Non-controlling interests	62,869
		Total net assets	10,784,903
Total assets	219,863,518	Total liabilities and net assets	219,863,518

Consolidated Statement of Income

(From April 1, 2019 to March 31, 2020)

	Unit: millions of yen
Account	Amount
Ordinary income	2,456,364	5,314,313
Interest income
Interest on loans and discounts	1,693,016
Interest and dividends on securities	346,822
Interest on call loans and bills bought	15,890
Interest on receivables under resale agreements	31,449
Interest on receivables under securities borrowing transactions	21,247
Interest on deposits with banks	80,924
Interest on lease transactions	7,307
Other interest income	259,705
Trust fees	4,701
Fees and commissions	1,287,538
Trading income	262,826
Other operating income	1,050,065
Lease-related income	39,123
Installment-related income	752,775
Other	258,166
Other income	252,816
Recoveries of written-off claims	12,414
Other	240,401
Ordinary expenses	1,179,770	4,382,249
Interest expenses
Interest on deposits	441,477
Interest on negotiable certificates of deposit	131,849
Interest on call money and bills sold	10,284
Interest on payables under repurchase agreements	131,320
Interest on payables under securities lending transactions	1,111
Interest on commercial paper	31,525
Interest on borrowed money	57,632
Interest on short-term bonds	29
Interest on bonds	220,874
Other interest expenses	153,666
Fees and commissions payments	204,188
Other operating expenses	908,951
Lease-related expenses	26,514
Installment-related expenses	722,440
Other	159,997
General and administrative expenses	1,739,603
Other expenses	349,734
Provision for reserve for possible loan losses	70,571
Other	279,163
Ordinary profit		932,064
Extraordinary gains	1,855	23,896
Gains on disposal of fixed assets
Other extraordinary gains	22,040
Extraordinary losses	1,910	67,314
Losses on disposal of fixed assets
Losses on impairment of fixed assets	65,106
Provision for reserve for eventual future operating losses from	297
financial instruments transactions

Income before income taxes	213,526	888,646
Income taxes-current
Income taxes-deferred	(45,842)
Income taxes		167,684
Profit		720,962
Profit attributable to non-controlling interests		17,078
Profit attributable to owners of parent		703,883

Consolidated Statement of Changes in Net Assets

(From April 1, 2019 to March 31, 2020)

																Unit: millions of yen
							Stockholders' equity

	Capital stock		Capital surplus		Retained earnings			Treasury stock		Total stockholders' equity
Balance at April 1, 2019		2,339,443			739,047		5,992,247			(16,302)			9,054,436

Changes in the year

Issuance of new stock		521				521											1,043

Cash dividends								(255,834)							(255,834)

Profit attributable to owners of parent								703,883							703,883

Purchase of treasury stock													(100,088)			(100,088)

Disposal of treasury stock					(250)							733			483

Cancellation of treasury stock					(101,673)							101,673			-

Changes in shareholders' interest due to
transaction with non-controlling					(47,565)											(47,565)
interests
Decrease due to decrease in subsidiaries								(945)							(945)

Decrease due to decrease in affiliates								(679)							(679)
accounted for by the equity method

Reversal of land revaluation excess								(435)							(435)

Transfer from retained earnings to					101,923		(101,923)							-
capital surplus

Net changes in items other than
stockholders' equity in the year
Net changes in the year		521			(47,044)		344,064			2,318			299,860

Balance at March 31, 2020		2,339,964			692,003		6,336,311			(13,983)			9,354,296


		Accumulated other comprehensive income

	Net				Foreign	Accumulated				Total	Stock			Non-	Total net
	unrealized	Net deferred	Land	remeasure-		accumulated
	currency		acquisition		controlling
	gains (losses)	gains (losses)	revaluation	ments of				other		assets
	translation				rights			interests
	on other	on hedges	excess	defined benefit		comprehen-
	adjustments
	securities				plans		sive income

Balance at April 1, 2019	1,688,852	(54,650)	36,547		50,379	(7,244)			1,713,884	4,750		678,540	11,451,611

Changes in the year

Issuance of new stock																	1,043

Cash dividends																	(255,834)

Profit attributable to owners of parent																	703,883

Purchase of treasury stock																	(100,088)

Disposal of treasury stock																	483

Cancellation of treasury stock																	-

Changes in shareholders' interest due to
transaction with non-controlling																	(47,565)
interests
Decrease due to decrease in subsidiaries																	(945)

Decrease due to decrease in affiliates																	(679)
accounted for by the equity method

Reversal of land revaluation excess																	(435)

Transfer from retained earnings to																	-
capital surplus

Net changes in items other than	(317,445)	136,907		331		(83,219)	(84,785)			(348,211)	(2,685)		(615,671)	(966,568)
stockholders' equity in the year

Net changes in the year	(317,445)	136,907		331		(83,219)	(84,785)			(348,211)	(2,685)		(615,671)	(666,708)

Balance at March 31, 2020	1,371,407	82,257		36,878		(32,839)	(92,030)			1,365,673	2,064		62,869	10,784,903

Non-Consolidated Balance Sheet

(As of March 31, 2020)

		Unit: millions of yen
Account	Amount	Account	Amount

(Assets)		(Liabilities)
Current assets	680,051	Current liabilities	1,586,051
Cash and due from banks	174,641	Short-term borrowings	1,228,030
Prepaid expenses	413	Accounts payable	39,682
Accrued income	45,660	Accrued expenses	44,409
Accrued income tax refunds	127,541	Income taxes payable	12
Current portion of long-term loans
receivable from subsidiaries and	272,025	Business office taxes payable	39
affiliates
Other current assets	59,769	Reserve for employee bonuses	769
		Reserve for executive bonuses	410
		Current portion of bonds payable	272,025
		Other current liabilities	673
Fixed assets	13,545,418	Fixed liabilities	6,673,150
Tangible fixed assets	29,557	Bonds	6,441,874
Buildings	80	Long-term borrowings	231,275

Equipment	12	Total liabilities	8,259,202

Construction in progress	29,464	(Net assets)
Intangible fixed assets	270	Stockholders' equity	5,964,203
Software	270	Capital stock	2,339,964
Investments and other assets	13,515,590	Capital surplus	1,561,442
Investment securities	645	Capital reserve	1,561,442
Investments in subsidiaries and	6,341,210	Retained earnings	2,076,780
affiliates

Long-term loans receivable from	7,173,150	Other retained earnings	2,076,780
subsidiaries and affiliates

Long-term prepaid expenses	104	Voluntary reserve	30,420
Deferred tax assets	476	Retained earnings brought	2,046,360
forward

Other	3	Treasury stock	(13,983)
		Stock acquisition rights	2,064

		Total net assets	5,966,267

Total assets	14,225,470	Total liabilities and net assets	14,225,470

Non-Consolidated Statement of Income

(From April 1, 2019 to March 31, 2020)

		Unit: millions of yen
Account	Amount

Operating income		833,835
Dividends on investments in subsidiaries and	659,428
affiliates

Fees and commissions received from subsidiaries	9,087
and affiliates

Interest on loans receivable from subsidiaries and	165,319
affiliates

Operating expenses		194,525
General and administrative expenses	26,146
Interest on bonds	161,535
Interest on long-term borrowings	6,843

Operating profit		639,310
Non-operating income		202
Interest income on deposits	70
Fees and commissions income	1
Other non-operating income	130
Non-operating expenses		10,249

Interest on short-term borrowings	4,312
Fees and commissions payments	120
Amortization of bond issuance cost	5,816

Ordinary profit		629,263

Income before income taxes		629,263
Income taxes-current	(6,803)
Income taxes-deferred	(62)
Total income taxes		(6,865)


Net income		636,128

Non-Consolidated Statement of Changes in Net Assets

(From April 1, 2019 to March 31, 2020)

										Unit: millions of yen
					Stockholders' equity

	Capital stock					Capital surplus
		Capital reserve		Other capital surplus		Total capital surplus

Balance at April 1, 2019	2,339,443		1,560,921			-			1,560,921

Changes in the year

Issuance of new stock			521		521						521

Cash dividends

Net income

Purchase of treasury stock

Disposal of treasury stock								(250)			(250)

Cancellation of treasury stock								(101,673)			(101,673)

Transfer from retained earnings to								101,923			101,923
capital surplus

Net changes in items other than
stockholders' equity in the year
Net changes in the year			521		521			-			521

Balance at March 31, 2020	2,339,964		1,561,442			-			1,561,442


				Stockholders' equity
			Retained earnings				Total	Stock	Total net
	Other retained earnings			Treasury	acquisition
	Total retained	stockholders'	assets
					stock	rights
	Voluntary reserve		Retained earnings	earnings		equity
		brought forward

Balance at April 1, 2019	30,420		1,767,989	1,798,409	(16,302)	5,682,471	2,539	5,685,011

Changes in the year

Issuance of new stock								1,043		1,043

Cash dividends			(255,834)	(255,834)		(255,834)		(255,834)

Net income			636,128	636,128		636,128		636,128
Purchase of treasury stock							(100,088)	(100,088)		(100,088)

Disposal of treasury stock							733	483		483

Cancellation of treasury stock							101,673	-		-
Transfer from retained earnings to			(101,923)	(101,923)		-		-
capital surplus

Net changes in items other than										(475)	(475)
stockholders' equity in the year

Net changes in the year	-		278,370	278,370	2,318	281,732	(475)	281,256

Balance at March 31, 2020	30,420		2,046,360	2,076,780	(13,983)	5,964,203	2,064	5,966,267

[The Independent Auditor's Report herein is the English translation of the Independent Auditor's Report (issued in the Japanese language) as required by the Companies Act.]

Independent Auditor's Report

The Board of Directors

Sumitomo Mitsui Financial Group, Inc.

Opinion

May 11, 2020

KPMG AZSA LLC

Tokyo Office

Toshihiro Otsuka (Seal)

Designated Limited Liability Partner

Engagement Partner

Certified Public Accountant

Noriaki Habuto (Seal)

Designated Limited Liability Partner

Engagement Partner

Certified Public Accountant

Kazuhide Niki (Seal)

Designated Limited Liability Partner

Engagement Partner

Certified Public Accountant

We have audited the consolidated financial statements, which comprise the consolidated balance sheet, the consolidated statement of income, the consolidated statement of changes in net assets, basis of presentation, significant accounting policies and the related notes, of Sumitomo Mitsui Financial Group, Inc., ("the Company") and its consolidated subsidiaries (collectively referred to as "the Group"), as at March 31, 2020 and for the year from April 1, 2019 to March 31, 2020 in accordance with Article 444-4 of the Companies Act.

In our opinion, the consolidated financial statements referred to above present fairly, in all material respects, the consolidated financial position and the results of operations of the Group for the period, for which the consolidated financial statements were prepared, in accordance with accounting principles generally accepted in Japan.

Basis for the Opinion

We conducted our audit in accordance with auditing standards generally accepted in Japan. Our responsibilities under those standards are further described in the Auditor's Responsibilities for the Audit of the Consolidated Financial Statements section of our report. We are independent of the Group in accordance with the ethical requirements that are relevant to our audit of the consolidated financial statements in Japan, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Responsibilities of Management and the Audit Committee for the Consolidated Financial Statements Management is responsible for the preparation and fair presentation of the consolidated financial statements in accordance with accounting principles generally accepted in Japan, and for such internal control as management determines is necessary to enable the preparation of consolidated financial statements that are free from material misstatement, whether due to fraud or error.

In preparing the consolidated financial statements, management is responsible for assessing the Group's ability to continue as a going concern, disclosing, as applicable, matters related to going concern in accordance with accounting principles generally accepted in Japan.

The audit committee are responsible for overseeing the directors' performance of their duties including the design, implementation and maintenance of the Group's financial reporting process.

Auditor's Responsibilities for the Audit of the Consolidated Financial Statements

Our objectives are to obtain reasonable assurance about whether the consolidated financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor's report that includes our opinion. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these consolidated financial statements.

As part of our audit in accordance with auditing standards generally accepted in Japan, we exercise professional judgment and maintain professional skepticism throughout the audit. We also:

Identify and assess the risks of material misstatement of the consolidated financial statements, whether due to fraud or error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is

sufficient and appropriate to provide a basis for our opinion. The selection and application of audit procedures depends on the auditor's judgment.

Obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances, while the objective of the audit is not to express an opinion on the effectiveness of the Group's internal control.
Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made by management.
Conclude on the appropriateness of management's use of the going concern basis of accounting and based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions that may cast significant doubt on the Group's ability to continue as a going concern. If we conclude that a material uncertainty exists, we are required to draw attention in our auditor's report to the related disclosures in the consolidated financial statements or, if such disclosures are inadequate, to modify our opinion. Our conclusions are based on the audit evidence obtained up to the date of our auditor's report. However, future events or conditions may cause the Group to cease to continue as a going concern.
Evaluate whether the presentation and disclosures in the consolidated financial statements are in accordance with accounting standards generally accepted in Japan, the overall presentation, structure and content of the consolidated financial statements, including the disclosures, and whether the consolidated financial statements represent the underlying transactions and events in a manner that achieves fair presentation.
Obtain sufficient appropriate audit evidence regarding the financial information of the entities or business activities within the Group to express an opinion on the consolidated financial statements. We are responsible for the direction, supervision and performance of the group audit. We remain solely responsible for our audit opinion.

We communicate with the audit committee regarding, among other matters, the planned scope and timing of the audit, significant audit findings, including any significant deficiencies in internal control that we identify during our audit.

We also provide the audit committee with a statement that we have complied with relevant ethical requirements regarding independence, and communicate with them all relationships and other matters that may reasonably be thought to bear on our independence, and where applicable, related safeguards.

Interest required to be disclosed by the Certified Public Accountants Act of Japan

We do not have any interest in the Group which is required to be disclosed pursuant to the provisions of the Certified Public Accountants Act of Japan.

[The Independent Auditor's Report herein is the English translation of the Independent Auditor's Report (issued in the Japanese language) as required by the Companies Act.]

Independent Auditor's Report

The Board of Directors

Sumitomo Mitsui Financial Group, Inc.

Opinion

May 11, 2020

KPMG AZSA LLC

Tokyo Office

Toshihiro Otsuka (Seal)

Designated Limited Liability Partner

Engagement Partner

Certified Public Accountant

Noriaki Habuto (Seal)

Designated Limited Liability Partner

Engagement Partner

Certified Public Accountant

Kazuhide Niki (Seal)

Designated Limited Liability Partner

Engagement Partner

Certified Public Accountant

We have audited the financial statements, which comprise the balance sheet, the statement of income, the statement of changes in net assets, basis of presentation, significant accounting policies and the related notes, and the supplementary schedules of Sumitomo Mitsui Financial Group, Inc. ("the Company") as at March 31, 2020 and for the year from April 1, 2019 to March 31, 2020 in accordance with Article 436-2-1 of the Companies Act.

In our opinion, the financial statements and the supplementary schedules referred to above present fairly, in all material respects, the financial position and the results of operations of the Company for the period, for which the financial statements and the supplementary schedules were prepared, in accordance with accounting principles generally accepted in Japan.

Basis for the Opinion

We conducted our audit in accordance with auditing standards generally accepted in Japan. Our responsibilities under those standards are further described in the Auditor's Responsibilities for the Audit of the Financial Statements and Others section of our report. We are independent of the Company in accordance with the ethical requirements that are relevant to our audit of the financial statements in Japan, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Responsibilities of Management and The audit committee for the Financial Statements and Others Management is responsible for the preparation and fair presentation of the financial statements and the supplementary schedules in accordance with accounting principles generally accepted in Japan, and for such internal control as management determines is necessary to enable the preparation of financial statements and the supplementary schedules that are free from material misstatement, whether due to fraud or error.

In preparing the financial statements and the supplementary schedules, management is responsible for assessing the Company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern in accordance with accounting principles generally accepted in Japan.

The audit committee are responsible for overseeing the directors' performance of their duties including the design, implementation and maintenance of the Company's financial reporting process.

Auditor's Responsibilities for the Audit of the Financial Statements and Others

Our objectives are to obtain reasonable assurance about whether the financial statements and the supplementary schedules as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor's report that includes our opinion. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements and the supplementary schedules.

As part of our audit in accordance with auditing standards generally accepted in Japan, we exercise professional judgment and maintain professional skepticism throughout the audit. We also:

Identify and assess the risks of material misstatement of the financial statements and the supplementary schedules, whether due to fraud or error, design and perform audit procedures responsive to those risks, and

obtain audit evidence that is sufficient and appropriate to provide a basis for our opinion. The selection and application of audit procedures depends on the auditor's judgment

Obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances, while the objective of the audit is not to express an opinion on the effectiveness of the Company's internal control.
Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made by management.
Conclude on the appropriateness of management's use of the going concern basis of accounting and based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions that may cast significant doubt on the Company's ability to continue as a going concern. If we conclude that a material uncertainty exists, we are required to draw attention in our auditor's report to the related disclosures in the financial statements and the supplementary schedules or, if such disclosures are inadequate, to modify our opinion. Our conclusions are based on the audit evidence obtained up to the date of our auditor's report. However, future events or conditions may cause the Company to cease to continue as a going concern.
Evaluate whether the presentation and disclosures in the financial statements and the supplementary schedules are in accordance with accounting standards generally accepted in Japan, the overall presentation, structure and content of the financial statements and the supplementary schedules, including the disclosures, and whether the financial statements and the supplementary schedules represent the underlying transactions and events in a manner that achieves fair presentation.

Interest required to be disclosed by the Certified Public Accountants Act of Japan

We do not have any interest in the Company which is required to be disclosed pursuant to the provisions of the Certified Public Accountants Act of Japan.

[English Translation of the Audit Committee's report Originally Issued in the Japanese Language]

Audit Report

The Audit Committee has audited the execution of duties by Directors and Corporate Executive Officers of the Company for the 18th fiscal year from April 1, 2019 to March 31, 2020, and hereby reports the method and the results of the audit as follows:

1. Auditing Method and Details Thereof

The Audit Committee periodically received reports from the Directors, Corporate Executive Officers and other relevant personnel with respect to the content of resolutions made by the Board of Directors regarding matters prescribed by Article 416, Paragraph 1, Item 1 (b) and (e) of the Companies Act of Japan, and with respect to the status of establishment and operations of the systems that have been developed in compliance with such resolutions (internal control systems), sought their explanations as necessary, and expressed an opinion. In addition, the Audit Committee conducted audits based on the following methods.

In accordance with the auditing policies, including allocation of duties established by the Audit Committee, the Audit Committee attended important meetings, received reports from the Directors, Corporate Executive Officers and other relevant personnel on matters regarding the execution of their duties, sought explanations as necessary, inspected importantinternal-approval documents, and examined the operations and financial position of the Company, by deploying the department in charge of internal audits and in cooperation with the internal control departments of the Company. As for the subsidiaries of the Company, the Audit Committee shared information with the Directors and the Corporate Auditors and other related persons of the subsidiaries and, when necessary, received reports from the subsidiaries regarding their businesses. In regard to the Company's internal control over financial reporting, the Audit Committee received reports on the assessment of such internal control from the Directors, Corporate Executive Officers and other relevant personnel and reports on the status of audit thereof from KPMG AZSA LLC, and also sought their explanations as necessary.
The Audit Committee monitored and examined whether the Accounting Auditor maintained its independence and implemented appropriate audits, as well as received reports from the Accounting Auditor regarding the execution of its duties and sought explanations as necessary. The Audit Committee also received notification from the Accounting Auditor that the "System for ensuring appropriate execution of the duties of the Accounting Auditor" (as enumerated in each Item of Article 131 of the Company Accounting Regulation Ordinance) has been prepared in accordance with the "Quality Control Standards for Auditing" (issued by the Business Accounting Council on October 28, 2005) and other relevant standards, and sought explanations as necessary.

Based on the foregoing method, the Audit Committee reviewed the business report and the supplementary schedules, the consolidated financial statements for this fiscal year (consolidated balance sheet, consolidated statement of income, and consolidated statement of changes in net assets) as well as the non-consolidated financial statements for this fiscal year (non-consolidated balance sheet, non-consolidated statement of income, and non-consolidated statement of changes in net assets) and supplementary schedules thereto.

2. Audit Results

Audit Results on the Business Report, etc.

In our opinion, the business report and the supplementary schedules fairly represent the Company's condition in conformity with the applicable laws and regulations as well as the Articles of Incorporation of the Company.
We have found no evidence of misconduct or material facts in violation of the applicable laws and regulations, nor of any violation with respect to the Articles of Incorporation of the Company, related to performance of duties by the Directors and Corporate Executive Officers.
In our opinion, the content of the resolutions of the Board of Directors regarding the internal control systems is appropriate. In addition, we have found no matters on which to remark in regard to the content of the Business Report and the execution of duties by the Directors and Corporate Executive Officers regarding the internal control systems including the internal control over financial reporting.

Results of Audit of the Consolidated Financial statements
In our opinion, the method and the results of the audit used and conducted by KPMG AZSA LLC, the Accounting Auditor, are appropriate.
Results of Audit of theNon-Consolidated Financial statements and Supplementary Schedules
In our opinion, the method and the results of the audit used and conducted by KPMG AZSA LLC, the Accounting Auditor, are appropriate.

May 12, 2020

The Audit Committee of Sumitomo Mitsui Financial Group, Inc.

Audit Committee Member	Masayuki Matsumoto (Seal)
Audit Committee Member	Shozo Yamazaki (Seal)
Audit Committee Member	Katsuyoshi Shinbo (Seal)
Audit Committee Member	Atsuhiko Inoue (Seal)
Audit Committee Member	Toru Mikami (Seal)

(Note) Messrs. Masayuki Matsumoto, Shozo Yamazaki and Katsuyoshi Shinbo are Outside Directors pursuant to Article 2, Item 15 and Article 400, Paragraph 3 of the Companies Act of Japan.

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Sumitomo Mitsui Financial Group Inc. published this content on 27 May 2020 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 28 May 2020 07:22:09 UTC

Market Closed - Japan Exchange Other stock markets 02:00:00 2024-05-17 EDT			5-day change	1st Jan Change
9,723 ^JPY	+3.44%		+8.03%	+41.32%

05-17	Coconala Acquires a Consulting Firm and EK Partners	MT
05-17	Japan's Nikkei ends lower on tepid Wall Street, BOJ policy uncertainty	RE

Coconala Acquires a Consulting Firm and EK Partners	05-17	MT
Japan's Nikkei ends lower on tepid Wall Street, BOJ policy uncertainty	05-17	RE
Japan's Nikkei skids on Wall Street weakness and BOJ policy uncertainty	05-16	RE
Asian Equities Traded in the US as American Depositary Receipts Rise in Wednesday Trading	05-15	MT
Japan's Sumitomo Mitsui Q4 profit surges, forecasts higher results this year	05-15	RE
Sumitomo Mitsui Financial Group, Inc. announces an Equity Buyback for 15,000,000 shares, representing 1.14% for ¥100,000 million.	05-15	CI
Sumitomo Mitsui Financial Group, Inc. authorizes a Buyback Plan.	05-14	CI
Japan's Sumitomo Mitsui Financial Expects To Surpass 1 Trln Yen In Net Profit In FY25 - Nikkei	05-13	RE
JAPAN'S SUMITOMO MITSUI FINANCIAL GROUP EXPECTS TO SURPASS 1 TRL…	05-13	RE
Industrial & Infrastructure Fund Investment Secures 3 Billion Yen Loan to Pay Debt	05-08	MT
RHB Banking Names Chief for RHB Islamic International Asset Management	05-08	MT
Nikkei Says Sumitomo Mitsui Credit Card Unit To Slash Merchant Fees By 30%	05-07	RE
SUMITOMO MITSUI CARD'S NEW RATE IS EXPECTED TO RESULT IN A LOSS…	05-07	RE
SUMITOMO MITSUI CARD IN MAY TO LOWER PROCESSING FEE ON SMARTPHON…	05-07	RE
Joshin Denki Disposes 1.15 Billion Yen Worth of Shares as Restricted Stock Compensation	05-07	MT
Financial Partners to Borrow 33 Billion Yen for Property Purchase	04-30	MT
Ichigo Office REIT Investment Secures Fixed Rates for 2 Billion Loans In Swap Deal	04-26	MT
Star Asia Investment Secures Short-term Loan of 1 Billion Yen	04-26	MT
Nippon Prologis REIT Secures 6 Billion Yen Loan; Executes Interest Rate Swaps	04-26	MT
Sparx Group's Space Frontier Fund Invests in UK-based Blue Skies Space	04-24	MT
Ispace to Borrow 7 Billion Yen for Debt Payment, Missions 3 and 6 Development	04-24	MT
Nippon Building Fund Secures 6 Billion Yen Loan to Repay Debt	04-24	MT
Financial Partners to Secure Bank Loans of Up to 16 Billion Yen	04-24	MT
KDX Realty Investment to Borrow 15.55 Billion Yen for Debt Payment	04-23	MT
NTT UD REIT Investment Secures 2 Billion Yen of Debt Financing	04-22	MT

	1st Jan change	Capi.
SUMITOMO MITSUI FINANCIAL GROUP, INC.	+41.32%	82.19B
JPMORGAN CHASE & CO.	+20.43%	590B
BANK OF AMERICA CORPORATION	+16.75%	307B
INDUSTRIAL AND COMMERCIAL BANK OF CHINA LIMITED	+23.30%	257B
WELLS FARGO & COMPANY	+24.18%	213B
CHINA CONSTRUCTION BANK CORPORATION	+25.81%	190B
BANK OF CHINA LIMITED	+29.53%	172B
HSBC HOLDINGS PLC	+9.68%	164B
ROYAL BANK OF CANADA	+8.46%	151B
COMMONWEALTH BANK OF AUSTRALIA	+8.26%	135B

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