ORIX Auto and the Chiba Bank Partner Up Over Collateral Loans for Commercial Vehicles

TOKYO, Japan – April 11, 2018 – ORIX Auto Corporation. (Head Office: Minato-ku, Tokyo; President: Katsunobu Kamei) recently entered into a business partnership with the Chiba Bank, Ltd. (Head Office: Chiba City, Chiba Prefecture; President: Hidetoshi Sakuma) regarding a loan guarantee business using commercial vehicles as collateral, and announced that they will began handling a “Tokyo Metropolis Asset Based Lending System” starting from April 16, 2018.

Within Tokyo, in order to provide new means to finance small to medium-sized businesses in Japan, the “Tokyo Metropolitan Government Asset Based Lending System”, was put into effect from May 1, 2014, allowing small to medium-sized businesses to use a wide range of movable items and receivables as collateral. ORIX Auto Corporation plays a role in evaluating the value of commercial vehicles among collateral properties that fall under this system, as well as setting the collateral and guaranteeing the debt of the loan.

Asset Based Lending (ABL) is a different means of raising funds from the conventional financing practices using land or other real estate as collateral, and is expected to expand and become more widespread as options for raising funds for corporate customers and individual business owners increase.
Regional banks all over the country are actively engaged in ABL, with 5.8 times the number of cases in 2016 compared to 2012, and 6.4 times increase in loan amount (9,408 cases/1,295.7 billion yen).

ORIX Auto Corporation, mainly through its vehicle management and lease/rental of approximately 1.3 million vehicles through used car sales and more, has cultivated its superior expertise into business partnerships with 105 financial institutions guaranteeing commercial vehicles as movable collateral, and responding to the diverse financing needs of SME customers. In the future, ORIX Auto Corporation will continue striving to provide services that make full use of the company’s detailed knowledge regarding vehicle value estimates.

Contact Information:
ORIX Corporation
Corporate Planning Department
Tel: +81-3-3435-3121

About ORIX:
ORIX Corporation (TSE: 8591; NYSE: IX) is an opportunistic, diversified, innovation-driven global powerhouse with a proven track record of profitability. Established in 1964, ORIX at present operates a diverse portfolio of businesses in the operations, financial services, and investment spaces. ORIX’s highly complementary business activities span industries including: energy, private equity, infrastructure, automotive, ship and aircraft, real estate and retail financial services. ORIX has also spread its business globally by establishing locations in a total of 40 countries and regions across the world. Through its business activities, ORIX has long been committed to corporate citizenship and environmental sustainability. For more details, please visit our website: http://www.orix.co.jp/grp/en/
(As of September 30, 2017)

Caution Concerning Forward Looking Statements:
These documents may contain forward-looking statements about expected future events and financial results that involve risks and uncertainties. Such statements are based on our current expectations and are subject to uncertainties and risks that could cause actual results that differ materially from those described in the forward-looking statements. Factors that could cause such a difference include, but are not limited to, those described under “Risk Factors” in the Company’s annual report on Form 20-F filed with the United States Securities and Exchange Commission and under “(4) Risk Factors” of the “1. Summary of Consolidated Financial Results” of the “Consolidated Financial Results April 1, 2016 – March 31, 2017.”