1.   A Yasuda Trust spokesman, who asked not to be identified, said the bank was considering the sale of subordinated bonds to raise capital.

2.   Holders of subordinated bonds would have to wait their turn behind other creditors and bondholders to get their money back if the company issuing the securities fails.

3.   Other Japanese banks suffered even sharper falls in capital, prompting the Finance Ministry to lift a ban on ordinary commercial banks selling subordinated bonds.

4.   Some of the money also will be used to purchase preferred shares and subordinated bonds issued by banks which agree to take over failed lenders.

5.   Subordinated bonds are bonds the company repays last if it goes bankrupt or defaults.

6.   Subordinated bonds are bonds with lower priority than other securities when dividends are paid or assets are distributed in bankruptcy.

7.   Subordinated bonds limit the right of bondholders to seek repayment on principal if a bond issuer becomes insolvent.

8.   The banks are issuing either preferred shares, which carry no voting rights, or subordinated bonds, which carry fewer creditor rights than other bonds.

9.   The trust banks also said they may sell preferred stock and subordinated bonds to boost shrinking capital.

10.   A second tranche of subordinated bonds can also be issued and purchased by existing lenders, Asian governments, multilateral agencies or strategic investors.