Electronic Investment Instructions to Four Trust Banks Implemented in SaaS Service RESPORT^® for the Real Estate Securitization Market- Mitsubishi UFJ Trust and Banking, Sumitomo Trust & Banking, Mizuho Trust & Banking, and Chuo Mitsui Trust and Banking to begin service use -

NTT DATA Corporation (President and CEO: Toru Yamashita) is pleased to announce the completion of agreements with four trust banks for use of its SaaS ^{(Note 1)} service for the real estate securitization market, RESPORT/Investment Instruction Service for Trustees ^{(Note 2)}, which went into operation January 5, 2009. The four trust banks, with which contract negotiations began last year, are Mitsubishi UFJ Trust and Banking, Sumitomo Trust & Banking, Mizuho Trust & Banking, and Chuo Mitsui Trust and Banking.
The service will over time make it possible for the current paper-based issuing of investment instructions to the four trust banks to be replaced by online electronic transactions.
NTT DATA will continue working with the four trust banks to promote standardization of instruction operations, boosting the real estate securitization market and aiming for a further increase in the added value of services.

Details

The real estate securitization market has grown rapidly in recent years, aided by the legal foundation provided by such laws as the Investment Trust Act and the Act on Securitization of Assets. As a result, the number of written instructions passed between asset management companies ^{(Note 3)} and trust banks for properties converted to trust beneficiary rights ^{(Note 4)} has swelled to hundreds of thousands of documents per year.

At the same time, the real estate securitization market has become subject to heightened demands from society for internal control, investor protection, security and other assurances.

Against this background, NTT DATA started a project on electronic issuing of instructions to trustees, as a concrete step toward provision of infrastructure employing information technology centering on workflow and digital authentication. The aim is to achieve more efficient instruction operations, raise productivity, and strengthen internal control.

In January 2007, a study group was formed bringing together asset management companies and trust banks supportive of the project aims. After deliberating on the digitization of instructions including standardization of the document format and workflow, actual provision as a SaaS service began January 5, 2009. The service is called RESPORT/Investment Instruction Service for Trustees.

Last year NTT DATA began contract negotiations with Mitsubishi UFJ Trust and Banking, Sumitomo Trust & Banking, Mizuho Trust & Banking, and Chuo Mitsui Trust and Banking on use of the service, resulting in successive agreements with the four trust banks. With the conclusion of agreements with all four trust banks, capability is now being implemented that will allow instructions to be issued to the banks as electronic data using RESPORT, in place of the traditional paper-based transactions.

NTT DATA will continue working with the four trust banks to promote standardization of instruction operations, boosting the real estate securitization market and aiming for a further increase in the added value of services.

Overview of RESPORT

By means of a SaaS platform that supports electronic operations for creating instructions to trustees, digital signing, submission, and storage, RESPORT provides a uniform service for data sharing among property management companies ^{(Note 5)}, asset management companies, and trust banks.

Features of the Service and Advantages for Users

Improved accuracy and efficiency of operations

• Better efficiency due to workflow and format standardization
• Greater accuracy from use of master data for entry assistance and automatic detection of entry errors
• Improved searchability from automatic archiving (in database) of investment instructions
• Workflow status and due date management using To-Do list function
• Speedier operations thanks to online processing of in-house approval and other procedures as well as outside procedures such as issuance, receipt, and return
• Sharing of instruction data among all involved players
• Reprocessing and secondary utilization of instructions through digitization

Enhanced security and internal control

• Operation traceability based on history management of workflow and approval actions
• Stronger internal control of operations due to privilege management per case and per process
• Improved security resulting from workflow without third-party intervention and from information viewing wall
• Secure long-term storage of originals thanks to digital authentication technology

Lower costs

• Fewer deliveries
• Fewer documents for reduced storage space needs

Environmental benefits

• Lower CO2 emissions due to reduced paper use

Web site

http://www.resport.jp

Future Developments and Goals

In working to add further value to the RESPORT service, NTT DATA will be collaborating with the four trust banks on the following themes.

1. Studying ways of increasing the scope and value of RESPORT use in order to make the service more convenient for users
2. Increasing awareness of RESPORT among real estate securitization market players, so that its widespread use can bring the expected improvements in productivity and accuracy to the market as a whole

Notes
1 SaaS (Software as a Service) : A service providing software to users over a network.
2 Trustee: An entity to which a consignor entrusts trust assets or rights, and which manages and disposes of the entrusted assets or rights as an investment on behalf of the beneficiaries.
3 Asset management company: A company entrusted by investors (financiers) to operate, administer and manage acquired assets.
4 Trust beneficiary rights: The rights to benefit from the result of management and operation of property assigned based on a trust use agreement.
5 Property management company: A company contracted with the real estate property owner to administer and manage the property.
* RESPORT^® is a trademark of NTT DATA Corporation.
* Origin of the name RESPORT^®:

• It includes the desire to be used as a portal site (entry way) to the real estate securitization market.
• Additionally, as RES (=real estate securitization) and PORT are places where many kinds of people gather, it contains the notion that this service aims to become a place where the various real estate securitization players gather, helping the market prosper.