Flight of the Lady Part-1

 Chapter 7 

Location: The Manager's Office at the Tokyo Branch of the Far Eastern Bank

Riding the waves of the IT bubble, I naturally widened my eyes at the profit reports that had been ejected.Although I had anticipated it, hearing the actual numbers was staggering.

"In the listing of a U.S. browser company, Moonlight Fund gained a profit of $100 million. Additionally, through investments and stock purchases in IT companies during the same period, we have secured nearly another $100 million in profits. And here are the earnings from foreign exchange transactions."

While maintaining a calm appearance on the surface, I trembled inwardly at the report.

The money sleeping in the U.S. amounted to $200 million at this point.

The profits had swelled to this extent, a fact I knew in theory, but it was all thanks to the massive waves of the times.

Converting it to dollars when it dropped below 80 yen, and the IT-related companies we invested in multiplied several hundred times in returns. The returns from foreign exchange transactions, now recovered at 1 dollar to 100 yen, had inflated to 50 billion yen

[T/N : Internet national pricing of Currencies. When Runa invested it was 1 dollar= nearly 80 yen but now 1 dollar= 100 yen]

"In our capacity as the Tokyo branch of the Far Eastern Bank, we've diligently ridden this financial wave for the young lady, leading to a profit of 50 billion yen on your end."

Using the collateral of IT company stocks, taking loans and engaging in forex exchange involving Far Eastern Life insurance, they succeeded greatly , gaining titles like 'Hedge Fund Manager of the Far East' or 'The Man Who Saved the Bank of Japan' among those involved.

Amid the gloom that settled over the banking sector after the burst of the economic bubble, there was a scarcity of instances exhibiting profits at this remarkable magnitude.

If you are at the right era and riding the right wave, money accumulates to this extent. I came to realize that.

"One could say Ichijou is on the rise with this. Let's involve him in various shady dealings even more." I said.

"Whether to be happy or sad about it..." Ichijou lamented.

But after that, Ichijou's gaze sharpens.

Around this point, I suddenly thought that he wasn't just a trader but a banker.

"Bad debt disposal.... is It okay use this money?"

"Of course. Since it's spare change, let's use it as we please♪"

The former Far Eastern Group companies that incorporated into the Keikka-in Group include Far Eastern Bank, Far Eastern Land Development, Far Eastern Hotel, and Far Eastern Life. Due to Far Eastern Land Development contributing to the construction costs of Far Eastern Hotel and Far Eastern Bank providing loans for land acquisition costs for Far Eastern Land Development, a massive amount of bad debt spanning three companies arose with the burst of the bubble.

Furthermore, Far Eastern Life, a subsidiary of Far Eastern Bank, suffered from the bad debt disposal issues as Far Eastern Bank's unrealized losses affected its deteriorating management. With the absorption of Far Eastern Group into the Keikka-in Group, the bad debts of Far Eastern Group had debt Guarantor as the Keikka-in Group.

In other words, the root of Far Eastern Group's bad debt lies in Far Eastern Land Development.

"the company applied for the reorganization law for the Far Eastern land development.is that okay?"

"In exchange, I'll acquire the Far Eastern hotel at a high price."

The mechanism for handling non-performing loans is as follows.

Initially, Moonlight Fund secures ownership of the Far Eastern Hotel from Far Eastern Land Development at a cost of 30 billion yen. Despite Far Eastern Land Development being already under the jurisdiction of Far Eastern Bank, the acquired funds are strategically utilized to settle bad debts, prompting the application for corporate reorganization law and subsequent liquidation.

Consequently, the overall liabilities witness a reduction to approximately 15 billion yen, shouldered by Far Eastern Bank. This burden is alleviated by leveraging profits generated by the Tokyo branch.

Subsequently, Moonlight Fund strategically invests the remaining 20 billion yen into Far Eastern Bank. Simultaneously, they undertake the acquisition of Far East Bank shares held by Far Eastern Life, assuming a supportive role as a shareholder.

"Tachibana"

when i call Tachibana's name, he bows quietly, understanding that Tachibana and Ichijou are will be the ones actually working since i can't openly move.

"Yes. Preparations have already been made with relevant parties. Since it's a non-performing loan process, no one wants to get involved, only exception is you my the young lady."

The arrangement of a butler managing the aftermath left by the parent for the child clarifies why there is little scrutiny. I can still continue to rely on Tachibana and Ichijou to shield me from further inquiries.

.

"Breaking news from Yamagata: Far Eastern Land Development, headquartered in Sakata City, has officially filed for corporate reorganization today in the Yamagata District Court, essentially declaring bankruptcy. The company's total liabilities amount to a staggering 15 billion yen.

Far Eastern Land Development, which expanded its operations as the parent company of Far Eastern Hotel during the economic boom, is now grappling with substantial non-performing loans due to the plummeting land prices in the aftermath of the bubble burst.

In a strategic move preceding the application, Far Eastern Hotel was acquired by a US fund known as MOONLIGHT FUND for a hefty sum of 30 billion yen. All remaining liabilities are being managed through loans from Far Eastern Bank.

This development is expected to lead to Far Eastern Bank recording a significant special loss of 15 billion yen. However, it's crucial to note that their revenue forecast remains unchanged amidst these challenging circumstances."

"Far Eastern bank, based in Sakata city, Yamagata Prefecture, has decided to accept investment from the Keikka-in family. In addition to acquiring Far Eastern bank shares held by Far Eastern life, Far Eastern bank itself will undergo a third-party allocation* of new shares, resulting in a planned ownership ratio of 33%. the second-tier regional bank, Far Eastern bank, has been struggling with non-performing loan processing for some time, and the recent application for corporate reorganization by Far Eastern Land development marks the end of that process. The Keikka-in Group, led by the Keikka-in Dukedom, has taken responsibility for handling bad debts of its subsidiary companies, and the local economic community welcomes the resolution of Far Eastern bank's non-performing loan issues."

[T/N- Third-party allocation, in a financial context, refers to the issuance of new securities or shares by a company to a party other than existing shareholders or underwriters. This "third party" could be individuals, institutional investors, or entities not directly involved in the company's initial offerings.(from Google)]

.

"ding!"

I just stare at what has been placed on the table in the living room of my house. The head Maid, Keiko-san, who brought grape juice and cake, sighs when she sees me gazing at the item that was brought with a security guard at the request of Ichijou.

"Are you still looking at it, Young lady?"

"I'm savoring the power of money. care to join?"

"I'm good!" 

What was placed there is One billion yen, neatly packaged in plastic. it was brought by the tokyo branch of Far Eastern Bank, received from the bank of japan, and brought to this mansion in the form of a withdrawal. So, as a precaution, security guards are watching over a surreal scene of a little girl staring at one billion yen in the corner of the room , and mask of innocent child seem to be coming off.

"With this, you can buy a whole new life if you want. I want you to realize that."

"I've savored my fair share of luxury; now, it suffices for me to quietly oversee the young lady's affairs."

Keiko-san probably had her fair share of luxury through my grandfather's favor, perhaps leading to her own boutique in the upscale Ginza district. This level of refined living characterizes her past experiences. The initial use of the funds went towards securing the university expenses of Keiko-san's daughter, Aki Tokitou, who received them with heartfelt joy. I didn't missed the tears glistening in Keiko-san's eyes as she witnessed Aki's happy moments. The economic foundation is firmly established, ensuring the continued functionality of this old but trusty place until my maturation.

"You don't have to force yourself to grow up, Young lady."

While placing grape juice and cake, Keiko-san says to me as if advising. This person, who dealt with my sudden change with ease, is strong.

"Tachibana and I will serve you until you grow up, so please become a beautiful lady at your own pace."

"yeah."

I naturally nodded, and seeing that, Keiko-san smiled happily. Perhaps It would have been favorable for my pursuits to cease here. Yet, history's inclination is to propel the triumphant even higher until their eventual downfall.

.

"Young lady, the branch manager of Far Eastern bank, Ichijou, is here."

I tilted my head at the voice of katsura naomi-san. Huh? Did he come to receive this one billion? looking at the security guard, he shook his head, apparently not knowing.

"Well, that's fine. Let him in. Naomi-san, please prepare tea and sweets for Ichijou-san."

I asked Keiko-san to let Ichijou-san in. Without paying any attention to the one billion on the table, Ichijou-san looked at me and said decisively.

"Our MOF specialist sent an urgent report. 'The Ministry of Finance has its eye on our non-performing loan processing.' There is a possibility that they may intervene depending on the situation." 

Huh? Why is the ministry of finance getting involved with us?

________________________________________________

[Japan Premium Loan]

The Premium Loan for lending money to japanese banks struggling with non-performing loans. saying, 'it's dangerous, so i'll increase the interest rate,' the market is indeed ruthless.

[Foreign Exchange Trading(Forex)]

A super-secret technique made possible by the fact that the exchange rate fell below 80 yen per dollar in 1995.

[MOF Specialist]

A Colloquial term for 'Negotiation Specialist with the Ministry of Finance.' despite being criticized for the no-pant shabu-shabu incident*, they continue to exist as FSA specialists (Financial Services Agency Negotiation Specialists).

[T/N- some kind of $€% scandal]