December 23, 1990
TOKYO -- Japan's mammoth banks, international lending's macho money dealers of the late 1980s but the shy maidens of the past 10 months, are deep in a shake-up at home that will preoccupy them for most of the early 1990s.The shake-up will virtually suspend the spectacular growth of international lending by Japanese banks, which swelled by 20 percent to 50 percent a year through most of the late 1980s and powered much of the world economy's expansion in those years.Its effects already are visible in the form of huge reductions in theJapanese purchases that helped to keep interest rates under control at U.S. Treasury auctions for much of the past decade.
August 22, 1995
Domestic role cited in run on pesoResidents of Mexico, not fleeing foreign investors, started the run on the Mexican peso that brought its collapse last year, according to an International Monetary Fund report."
December 30, 1997
SWALLOWING the bitter pills, South Korea's National Assembly yesterday enacted the stringent financial reforms that President-elect Kim Dae Jung opposed before his Dec. 18 election and now concedes to be necessary.As a result, a single regulatory agency will police banks, brokerages and insurance companies. The ceiling will rise on foreign ownership of firms. The central bank will have swifter power over interest rates. Subsidiaries of a conglomerate will no longer cross-fund each other's expansion.
March 29, 1995
TOKYO -- Two of Japan's most powerful financial institutions, the Bank of Tokyo and the Mitsubishi Bank, announced yesterday that they will merge, creating the world's largest bank.With about $819 billion in assets, the new bank would be about a third larger than the Sumitomo Bank, now the biggest with $604 billion, and more than three times the size of Citicorp, the largest in the United States.If the deal goes through, the new behemoth, tentatively called the Tokyo Mitsubishi Bank, would combine two of the strongest banks in Japan, where the banking industry has been shaken in recent years by the collapse of the country's stock and real estate markets.
December 24, 1990
TOKYO Japan's Finance Ministry has begun an investigation into whether Japanese brokerage houses intimidated two Japanese companies into canceling an agreement to issue new bonds through Salomon Brothers, an American brokerage with offices in Tokyo.The ministry's confirmation that the investigation is taking place out of the public eye appears to be a tacit acknowledgement of a discriminatory practice that the ministry has long said does not exist.The case has potentially broader implications, both for American efforts to obtain fairer competition in the Japanese financial markets and for the Finance Ministry's battle to keep other Japanese regulators out of its territory.
January 28, 1995
Sale of Wellcome PLC pushedWellcome PLC's largest shareholder said yesterday that it would press ahead with its plan to sell its 39.5 percent stake in the pharmaceutical company to Glaxo PLC, diminishing Wellcome's chances of evading Glaxo's $14 billion hostile takeover offer by attracting another bidder.To Wellcome, the decision was a continued if widely expected betrayal by the shareholder, the Wellcome Trust, a charity that until 1986 was the sole owner of the company.Wellcome was still left with some hope of finding an alternative buyer, because the trust can back out of its deal with Glaxo if a higher offer comes along within 21 days after Glaxo sends details of its offer to Wellcome's shareholders, probably next week.