Mizuho: TEPCO not exempt from debt payments

December 28, 2011

Mizuho Financial Group Inc. fully expects Tokyo Electric Power Co. to pay its debts.

Yasuhiro Sato, Mizuho president and CEO, told The Asahi Shimbun on Dec. 26 that the company will not waive loans it provided to TEPCO.

He said the main reason is that TEPCO, the operator of the disabled Fukushima No. 1 nuclear power plant, will not descend into a situation where its liabilities exceed its assets if the utility increases electricity usage fees.

When asked about the government’s request for banks to provide 1 trillion yen ($13 billion) in additional loans to the power company, Sato said Mizuho would, before making any decisions, carefully weigh several factors, including increases in electricity bills and the timing of a resumption of operations at its nuclear power plants.

“It is unclear whether the government intends for TEPCO to become an infrastructure service provider that would pursue national policies or to remain a private company,” Sato said. “We cannot make decisions on additional funding for TEPCO unless the government gives us clear ideas on that.”

  • 1
submit to reddit
Yasuhiro Sato, president and CEO of Mizuho Financial Group Inc. speaks in a Dec. 26 interview with The Asahi Shimbun. (Hirobumi Ohinata)

Yasuhiro Sato, president and CEO of Mizuho Financial Group Inc. speaks in a Dec. 26 interview with The Asahi Shimbun. (Hirobumi Ohinata)

Toggle
  • Yasuhiro Sato, president and CEO of Mizuho Financial Group Inc. speaks in a Dec. 26 interview with The Asahi Shimbun. (Hirobumi Ohinata)

More AJW