Note 1-46

(46) The balance of non-performing loans is the amount obtained by subtracting the final disposal amount of non-performing loans from existing non-performing loans and adding the amount of fresh non-performing loans. Since the outstanding balance of non-performing loans increased 9.5 trillion yen in FY2001 over the preceding year and the final disposal amount of non-performing loans was slightly more than 9 trillion yen, fresh non-performing loans came to nearly 19 trillion yen in that year. For the definition and calculation method for the final disposal amount, see Chapter 2 of the "Annual Report on Japan' s Economy and Public Finance 2000-2001."