Sumitomo Mitsui Financial : SMBC Group to Launch Jenius Bank™, a New Digital Consumer Banking Business in the U.S.

【NEWS RELEASE】

August 24, 2022

Sumitomo Mitsui Financial Group

SMBC Group to Launch Jenius BankTM, a New Digital Consumer Banking Business in the U.S.

TOKYO, August 24 2022 --- Sumitomo Mitsui Financial Group, Inc. ('SMFG", President and Group CEO Jun Ohta, together with subsidiaries "SMBC Group") announced today that it will strengthen its presence in the U.S. with a new digital consumer banking business. Jenius BankTM will launch and operate as a new division of Manufacturers Bank, a California state-chartered bank that is a wholly-owned subsidiary of SMBC Group.

SMBC Group set "Growth" as the core policy of its three-yearMedium-Term Management Plan for fiscal

years 2020 to 2022 and has been actively cultivating new business opportunities. Expansion of digital

banking businesses is a key growth strategy, especially strengthening digital banking in Asia and corporate

digital solutions in Japan. Creating a digital banking presence in the growing U.S. market will further

leverage retail banking platforms to drive sustainable growth in the Americas.

Jenius Bank will launch in the coming months with personal loans and then expand its offerings with savings and checking products within its first year. Jenius Bank has established an extensive and ongoing consumer research program that will drive product designs with direct customer input. "With the launch of Jenius Bank, we have the rare opportunity to build exceptional products from scratch that uniquely meet the needs of today's digitally-native consumers who need and expect more," said Kazuhisa Miyagawa, Chairman and CEO of Manufacturers Bank.

Built on one of the most modern banking platforms in the industry, Jenius Bank will offer a 100% digital banking experience that delivers on the promise of smarter banking for a richer life. "The new digital consumer banking business is another tangible example of SMBC Group's focus and commitment to further enhancing its customer service," said President and Group CEO Jun Ohta.

John Rosenfeld is President of Jenius Bank. He has over 20 years of experience in the financial services industry, including serving as the founder and President of Citizens Access, an online direct bank of Citizens Bank.

Leaning into a digital-first strategy, Jenius Bank has partnered with several leading technology providers to bring together an integrated platform that will deliver on consumers' holistic needs. Jenius Bank's competitive differentiation also extends to its workforce, leveraging a predominantly remote employee base.

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Jenius Bank has assembled an executive team of proven leaders from both leading banks, as well as best-in-class digital experience companies, and it expects to continue growing staff based on their expertise, not their geography.

"Jenius Bank will be a leader in data and technology, using information to provide personalized insights for consumers seeking to make the most of their money, not just manage it," said Rosenfeld. Jenius Bank is also taking a firm stand that it won't charge the punitive fees that most banks charge today, it will minimize paper and manual processing, and it will not have any physical branches. "Our target customers don't want these things, and the resulting efficiency will allow us to provide more value back to them. We are equally committed to being a fully digital bank and to providing outstanding customer service through a U.S.-based support team," Rosenfeld added.

SMBC Group will continually create new businesses that best serve and add value to customers in the rapidly evolving digital financial environment.

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