JAPAN POST PLANS SPRING 2015 FLOTATION

Japan Post Holdings plans to float during the first half of 2015, six months earlier than planned, company president Taizo Nishimuro said late last week. Japan Post's mail delivery, banking and insurance arms suffered in financial year 2012, leading to concern that if a flotation were delayed for too long potential investors might feel that it would be too late for the promised growth plans to be implemented. On Friday Japan Post said that it had linked up with American Family Life Assurance Co (Aflac) in a move that would permit Aflac to sell cancer insurance via Japan Post's branch network, which consists of 20,000 post offices. Currently Aflac is allowed to sell in 1,000 post offices. Aflac already has about 70% of the Japanese cancer insurance market. Nikkei reported that the move by Japan Post was apparently intended to calm US concerns about foreign players' disadvantages in the Japanese life sales market. This was expressed formally at preliminary bilateral talks on the Trans-Pacific partnership after Japan Post had announced plans to diversify its own insurance unit.