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UNCLAS SECTION 01 OF 10 TOKYO 000495 
 
SIPDIS 
 
SIPDIS 
 
DEPT FOR E, P, EB, EAP/J, EAP/P, EAP/PD, PA; 
WHITE HOUSE/NSC/NEC; JUSTICE FOR STU CHEMTOB IN ANTI-TRUST DIVISION; 
TREASURY/OASIA/IMI/JAPAN; DEPT PASS USTR/PUBLIC AFFAIRS OFFICE; 
SECDEF FOR JCS-J-5/JAPAN, 
DASD/ISA/EAPR/JAPAN; DEPT PASS ELECTRONICALLY TO USDA 
FAS/ITP FOR SCHROETER; PACOM HONOLULU FOR PUBLIC DIPLOMACY ADVISOR; 
CINCPAC FLT/PA/ COMNAVFORJAPAN/PA. 
 
E.O. 12958: N/A 
TAGS: OIIP KMDR KPAO PGOV PINR ECON ELAB JA
 
SUBJECT: JAPANESE MORNING PRESS HIGHLIGHTS 02/26/08 
 
 
Index: 
 
1) Top headlines 
2) Editorials 
3) Prime Minister's daily schedule (Nikkei) 
 
4) Severe public eye on Fukuda Cabinet, whose support rate plummets 
7.9 points to 28.7 PERCENT ; Over 70 PERCENT  dissatisfied with 
handling of Aegis accident  (Sankei) 
 
Defense issues: 
5) Defense Minister Ishiba knew the night of Aegis collision that 
fishing boat was spotted 12 minutes before and not two minutes but 
held back announcement  (Asahi) 
6) Iwakuni mayor announces acceptance of relocation of Atsugi jets 
to Iwakuni base  (Yomiuri) 
 
Fukuda-Lee summit meeting: 
7) Prime Minister Fukuda, ROK President Lee agree to repair strained 
bilateral ties, work toward signing an EPA  (Nikkei) 
8) Preparation to sign an EPA now made possible by Fukuda-Lee 
meeting  (Mainichi) 
9) Gist of meeting between Prime Minister Fukuda, South Korean 
President Lee  (Yomiuri) 
 
Diet affairs: 
10) Struggle now in Diet over setting date for adopting national 
budget with ruling camp wanting vote in February and opposition 
wanting to keep deliberating  (Yomiuri) 
11) Ruling parties ready to work with opposition to accept some 
revisions in controversial tax bill  (Tokyo Shimbun) 
12) Government and ruling camp moving in direction of allowing now 
dedicated gasoline tax revenue to be absorbed into general tax 
revenues  (Mainichi) 
13) DPJ President Ozawa rebuffs Fukuda's suggestion for another set 
of talks  (Mainichi) 
 
14) Japan's national debt now at a record 838 trillion yen (about 8 
trillion dollars)  (Mainichi) 
 
Articles: 
 
1) TOP HEADLINES 
 
Asahi: 
With Defense minister being informed that Aegis destroyer crew 
spotted fishing boat "12 minutes before collision," he may face 
question of whether to stay or resign 
 
Mainichi: 
Greenhouse gas emission reduction targets likely to be set for 
offices, convenience stores, schools 
 
Yomiuri: 
Japan, ROK will reopen shuttle diplomacy with emergence of new South 
Korean President Lee 
 
Nikkei: 
Sharp, Daiwa House to tie up for joint development of storage cells 
for housing in effort to make best use of solar energy generation 
 
Sankei: 
 
TOKYO 00000495  002 OF 010 
 
 
FNN poll: Cabinet approval rating falls to below 30 PERCENT  with 
more than 70 PERCENT  "do not appreciate" MSDF's response to Aegis 
destroyer collision 
 
Tokyo Shimbun: 
Defense minister was informed on the day of collision that the Aegis 
destroyer Atago spotted a fishing boat 12 minutes before collision 
 
Akahata: 
One week has passed since the Aegis destroyer collided with a 
fishing boat: Questioning of Aegis captain not conducted yet 
 
2) EDITORIALS 
 
Asahi: 
(1) Murder case in LA: What is the "new evidence"? 
(2) We hope new ROK president will live up to expectations 
 
Mainichi: 
(1) Japan-ROK summit: Japan, ROK need to look to the future 
(2) Disclosure of Microsoft basic code: We want software development 
to attract young talent 
 
Yomiuri: 
(1) ROK President Lee: Best opportunity for Japan, U.S., ROK to 
rebuild trilateral ties 
(2) ShinGinkyo Tokyo should withdraw from market 
 
Nikkei: 
(1) We expect ROK President Lee to do his part on DPRK, EPA 
(2) Destruction of satellite by missile leaves us with concern about 
space arms race 
 
Sankei: 
(1) New ROK president: Japan, ROK should look to the future instead 
of the past 
(2) Murder case in LA: Time to debate statute of limitations on 
murder 
 
Tokyo Shimbun: 
(1) Japan, ROK need to work to stabilize Asia 
(2) Microsoft: Now is time to open everything 
 
Akahata: 
(1) One week has passed since collision of Aegis destroyer and 
fishing boat: Intensive discussion essential to shed light on truth 
 
3) Prime Minister's Official Residence (Kantei) 
 
Prime Minister's schedule, February 25 
 
NIKKEI (Page 2) (Full) 
February 26, 2008 
 
Morning 
Attended the inauguration of Lee Myung Bak as president of South 
Korea at the National Assembly plaza in Seoul. 
 
Afternoon 
Held a meeting with President Lee at the Blue House. 
 
Night 
 
TOKYO 00000495  003 OF 010 
 
 
Departed from Seoul Air Base. 
 
20:52 
Arrived at Haneda Airport. 
 
21:25 
Arrived at his official residence. 
 
4) Poll: Cabinet support falls below 30 PERCENT 
 
SANKEI (Top play) (Abridged) 
February 26, 2008 
 
The Sankei Shimbun and Fuji News Network (FNN) conducted a joint 
public opinion survey on Feb. 23-24, in which the rate of public 
support for Prime Minister Yasuo Fukuda's cabinet dropped 7.9 
percentage points from the last survey (taken Jan. 13-14 this year) 
to 28.7 PERCENT . The Fukuda cabinet's support rate fell below 30 
PERCENT  for the first time. Meanwhile, its nonsupport rate rose 4.9 
points to 52.2 PERCENT , also topping 50 PERCENT  for the first 
time. In the breakdown of public support for political parties, the 
ruling Liberal Democratic Party stood at 27.8 PERCENT , down 4.3 
points. The leading opposition Democratic Party of Japan (Minshuto) 
was at 25.3 PERCENT . 
 
On a gender basis, the Fukuda cabinet's support rate among women was 
higher than that among men, scoring 31.1 PERCENT  from women and 
26.1 PERCENT  from men. However, the Fukuda cabinet's popularity 
rating among women was down 9.3 points from the last survey. In 
addition, the Fukuda cabinet's approval rating among men also 
dropped 6.4 PERCENT . This can be taken as a factor that caused the 
support rate to fall below 30 PERCENT  in the survey this time. 
 
In the survey, respondents were asked what they thought about the 
Fukuda cabinet's response to the recent collision of a Maritime 
Self-Defense Force Aegis destroyer with a fishing boat. To this 
question, positive answers came from 11.6 PERCENT , with negative 
answers accounting for 76.1 PERCENT . As seen from these figures, 
many were concerned about the Fukuda administration's crisis 
management capability. Respondents were also asked about the Fukuda 
cabinet's handling of a series of recent incidents caused by U.S. 
service members in Japan. To this question, negative answers 
accounted for 70 PERCENT . Respondents were further asked about the 
Fukuda cabinet's economic policy and its way of dealing with the 
government's pension record-keeping flaws. In response, negative 
answers accounted for over 60 PERCENT . 
 
In addition, the survey also asked respondents if they would support 
a "grand coalition" of the LDP and the DPJ. In response, 30.5 
PERCENT  answered "yes," with 50.8 PERCENT  saying "no." Meanwhile, 
they were asked if they would like to see political realignment. To 
this question, "yes" accounted for 58.9 PERCENT . As is evident from 
these figures, the public is critical of the idea of the LDP and DPJ 
joining hands. On the other hand, the public is dissatisfied with 
the present-day framework of government. 
 
Respondents were next asked how long they thought the Fukuda cabinet 
would continue. To this question, "until around the next election 
for the House of Representatives" topped all other answers at 49.1 
PERCENT , followed by "until around the fall of next year" at 33.6 
PERCENT . Respondents were also asked when they would like the next 
House of Representatives election to take place. To this question, 
 
TOKYO 00000495  004 OF 010 
 
 
however, "after this July's G-8 summit in Japan and during the 
latter half of this year" accounted for 45.3 PERCENT , topping all 
other answers. "Upon the current term's expiry or early next year" 
was at 34 PERCENT . 
 
5) Defense minister informed that night that Aegis destroyer crew 
spotted fishing boat "12 minutes before"; Could affect whether he 
will resign or not 
 
ASAHI (Top play) (Excerpts) 
February 26, 2008 
 
The Ministry of Defense (MOD) initially announced that the Maritime 
Self-Defense Force's (MSDF) Aegis destroyer Atago crew had spotted 
the fishing boat Seitokumaru "two minutes before the collision," but 
afterwards MOD corrected that time and said it was "12 minutes 
before." In this connection, it was learned that Defense Minister 
Ishiba on the night of the 19th was informed that it was "12 minutes 
before," but that at a press briefing held later by the Maritime 
Staff Office (MSO), MOD did not give correct information and instead 
it said it was "two minutes before." As the reason why it did so, 
MOD explained that because it did not fully confirm the time before 
the collision, it refrained from saying it was '12 minutes before.' 
But if this was done to intentionally conceal the fact, the question 
of whether Ishiba will stay or resign in office could be affected. 
 
According to MOD, the MSO told the Aegis destroyer's chief navigator 
to come to the MSO by a helicopter at 10:00 a.m. of Feb. 19 before 
the start of the Japan Coast Guard's (JCG) questioning. In the MSO, 
the chief navigator told the MSO staff that it was two minutes 
before he had spotted the fishing boat. This information was 
conveyed by the MSO staff to Ishiba around noon of that day. Based 
on the information, Ishiba said at a ruling Liberal Democratic 
Party's (LDP) division meeting that started at 5:00 p.m. of that 
day: "The Aegis destroyer spotted the fishing boat two minutes 
before colliding with it." 
 
At a press briefing held at 11:00 p.m. of that day, the MSO's 
Operations and Plans Department director-general declared: "The 
Aegis destroyer spotted the light of the fishing boat two minutes 
before colliding with it." MOD's explanation about this announcement 
was that at that point in time, MOD did not fully confirm the time, 
so it announced the same as it did at an LDP division meeting. 
 
At a Lower House Security Committee session on Feb. 22, Ishiba said, 
"It is only natural for me to take responsibility if there is any 
covering up. I have always cut off my retreat when I serve in the 
ministerial post." This remark implied that he would resign if a 
concealment of information comes to light. 
 
6) Iwakuni mayor to accept U.S. jet relocation 
 
YOMIURI (Page 2) (Full) 
February 26, 2008 
 
Yoshihiko Fukuda, the newly elected mayor of Iwakuni City in 
Yamaguchi Prefecture has now made up his mind to accept a 
government-proposed plan to relocate U.S. carrier-borne fighter jets 
from the U.S. Navy's Atsugi base in Kanagawa Prefecture to the U.S. 
Marine Corps' Iwakuni base in his city along with the realignment of 
U.S. forces in Japan, city officials said yesterday. Fukuda will 
clarify the decision before his city's municipal assembly in its 
 
TOKYO 00000495  005 OF 010 
 
 
opening session on Feb. 28. He will shortly come up to Tokyo and 
formally convey his decision to the government. The relocation plan 
has been at a standstill because his predecessor, Katsusuke Ihara, 
had raised an objection. The plan, however, is now expected to make 
progress. 
 
Fukuda will address his city's assembly at the opening of its 
regular session. In his policy speech there, the mayor will 
appreciate the government for considering a plan to ease the city's 
base-hosting burden, including noise abatement measures, officials 
said. He will state before the assembly that he thinks he should 
basically cooperate on the U.S. military's realignment if the 
government takes specific measures, according to the officials. 
 
7) Fukuda, Lee agree to repair Japan-ROK relations and hold EPA 
preliminary talks 
 
NIKKEI (Page 1) (Excerpts) 
February 26, 2008 
 
Hiroshi Minegishi, Seoul 
 
Prime Minister Yasuo Fukuda held talks with new South Korean 
President Lee Myung Bak at the Blue House presidential office 
yesterday afternoon in which the two leaders agreed to rebuild 
Japan-South Korea relations which were strained during the previous 
Roh Moo Hyun administration over the historical and Yasukuni issues. 
They also agreed to begin preliminary talks to resume the economic 
partnership agreement (EPA) talks, which have been on hold for three 
years. A decision was also made for President Lee's visit to Japan 
in April as part of the reciprocal visits by top leaders of Japan 
and South Korea. 
 
Prime Minister Fukuda called for building a new Japan-South Korea 
era, saying: "The two countries are most important to each other. I 
would like to forge relations in which we can exchange views 
frankly." President Lee agreed with Fukuda. They also agreed to 
strengthen cooperative ties between Japan, the United States, and 
South Korea in order to press North Korea to abandon its nuclear 
programs. 
 
The prime minister also invited South Korea to attend the G8 Lake 
Toya Summit Outreach Meeting to be held in July. President Lee 
expressed his gratitude in response. 
 
The Japan-ROK EPA talks that started in December 2003 have not been 
held since in November 2004 when South Korea, which sought 90 
PERCENT  of the agricultural market be opened up, expressed 
displeasure with Japan's response. 
 
The prime minister said: "(An EPA) is necessary in order to 
strengthen economic relations between the two countries. I would 
like see preliminary talks between the two countries in order to 
determine a direction (of the EPA talks)." In response, the 
president said, "I agree." 
 
8) Fukuda, Lee agree to hold preliminary talks on resuming EPA 
negotiations 
 
MAINICHI (Page 9) (Full) 
February 26, 2008 
 
 
TOKYO 00000495  006 OF 010 
 
 
In a meeting held between Prime Minister Yasuo Fukuda and new South 
Korean President Lee Myung Bak yesterday, the two leaders decided to 
hold preliminary talks on reopening negotiations talks on forming a 
bilateral economic partnership agreement (EPA) after a hiatus of 
about three years. Between the two countries, there are such 
historical issues as Japan's colonial rule of South Korea. These 
issues stand in the way of moves to strengthen bilateral economic 
relations between the two neighbors. Japan-South Korea relations are 
now set to grow stronger under the new president, who places 
emphasis on rebuilding the economy. 
 
"Talks (on concluding an EPA) have been suspended over many years, 
so let's start with preliminary talks." Fukuda and Lee agreed to set 
moves in motion to resume EPA negotiations. Both sides are expected 
to discuss specifics when Lee visits to Japan in April. In the 
summit, they also shared the need for the two countries to further 
deepen bilateral economic ties. It is now expected that EPA 
negotiations will rapidly make headway. 
 
Japan and South Korea started EPA negotiations in December 2003. 
South Korea called on Japan to open its agricultural market 90 
PERCENT , but Japan responded to the request in a cautious manner, 
upsetting its negotiator. Since November 2004, no negotiations have 
been held. Japan has lagged behind other countries in competition 
over EPAs. Based on the judgment that concluding an EPA with South 
Korea is indispensable, Japan has been exploring ways to resume 
negotiations. 
 
With the inauguration of Lee, who places emphasis on revitalizing 
the economy, is turning the situation around. Some observers 
anticipate that the growing mood for building a new Japan-South 
Korea era will prompt both sides to reach an agreement in EPA 
negotiations. In the Korean automobile industry, however, many are 
still calling for caution about concluding an EPA. Meanwhile, Japan 
remains opposed to significantly opening its agricultural market. 
The rift between the two countries is still wide. 
 
9) Gist of Fukuda-Lee meeting 
 
YOMIURI (Page 4) (Full) 
February 26, 2008 
 
The following is a gist of the summit meeting held on February 25 
between Prime Minister Yasuo Fukuda and South Korean President Lee 
Myung Bak: 
 
Japan-ROK relations 
 
Prime Minister Fukuda: This is your first summit meeting as 
president of South Korea. I am grateful for this opportunity, 
believing it reflects your true feelings. South Korea is our most 
important neighbor. I would like to build a new Japan-South Korea 
era working with you, Mr. President. 
 
President Lee: Cooperation between our two countries can wield great 
influence in the international community. You, Mr. Prime Minister 
are placing high priority on policy toward Asia. I totally agree 
with you. 
 
Prime minister: It is important to recognize what took place in the 
past as facts and humbly face history. We must always consider what 
the other party thinks. It is important to discuss the future from 
 
TOKYO 00000495  007 OF 010 
 
 
such a perspective. 
 
President: I would like to realize cooperation while looking toward 
the future. 
 
North Korea 
 
Prime minister: I would like to see cooperative ties between Japan 
and South Korea and between Japan, the United States and South Korea 
strengthened further in our efforts to denuclearize North Korea. 
 
President: I also would like to see close cooperation between Japan, 
the United States, and South Korea. I am fully aware of Japan's 
positions (on the abduction issue and other matters). 
 
Economic cooperation 
 
Prime minister: I would like to see preliminary talks on a 
Japan-South Korea Economic Partnership Agreement (EPA). 
 
President: I will study ways to resume the talks. 
 
Prime minister: I would like to see cooperation on energy policy and 
policy toward small and medium-sized companies, as well. It is 
important to strengthen the dialogue and cooperation of business 
circles. 
 
President: I totally agree with you. 
 
10) Fierce battle between ruling and opposition camps over when to 
take vote on budget bill 
 
YOMIURI (Page 4) (Excerpts) 
February 26, 2008 
 
The House of Representatives Budget Committee approved yesterday to 
open an ad hoc subcommittee on Feb. 27 and 28 by a majority of the 
ruling parties, paving the way for an environment for taking a vote 
a bill on the budget for fiscal 2008 as early as the 28th. The 
ruling coalition aims to pass taxation-related bills, including one 
to amend the Special Taxation Measures Law, which would retain the 
current provisional tax for gasoline, through the Lower House by the 
end of this month. The opposition camp, however, intends to put up 
do-or-die resistance, calling for concentrated deliberations on the 
road-use revenue issue and the collision between a Self-Defense 
Force Aegis ship and fishing boat. Intertwined with the Diet 
approval of a new governor of the Bank of Japan, a tug-of-war has 
now reached a crucial stage between the ruling and opposition camp 
at the Lower House. 
 
The Diet affairs chiefs of the two Diet chambers from the ruling 
Liberal Democratic Party (LDP) and its junior coalition partner New 
Komeito confirmed yesterday a policy of getting the FY2008 budget 
and taxation-related bills through the Lower House before the end of 
February. In yesterday's meeting of the Budget Committee directors, 
the two ruling parties proposed putting the bills to a vote on the 
28th. 
 
11) Ruling parties to approve revision to provisional tax rate bill 
subject to DPJ coming up with counterproposal 
 
TOKYO SHIMBUN (Page 2) (Full) 
 
TOKYO 00000495  008 OF 010 
 
 
February 26, 2008 
 
The ruling parties yesterday decided to respond to the Democratic 
Party of Japan's (DPJ or Minshuto) call for a revision to their bill 
amending the Special Tax Measures Law, which includes the 
maintaining of the special rate on the gas tax, if it presents a 
counterproposal to the Upper House. 
 
Ruling party members, especially road lobby members in the Liberal 
Democratic Party (LDP), who have strong influence on road 
administration, had been strongly opposing the idea of revising the 
bill. However, the LDP leadership has judged that there is a strong 
possibility that if the ruling parties do not lend an ear to the 
DPJ, which controls the Upper House as the no. 1 party, it would 
delay a roll call on the bill, causing the provisional rate to 
expire. 
 
Regarding the issue of whether to revise the bill amending the 
Special Tax Measures Law, proposals, such as shortening the margin 
of the extension of the provisional tax rate from the planned 10 
years, taking a second look at the mid-term road construction 
program, which includes 59 trillion yen as project expenses covering 
10 years and turning part of special-purpose road construction 
revenue sources, such as the gas tax, into an environment tax, have 
been floated in the ruling camp. 
 
However, the views of the DPJ, which is calling for scrapping the 
provisional tax rate and reallocating special-purpose road 
construction revenues for other uses, are far apart from the ruling 
camp-sponsored bill amending the Special Tax Measures Law. So 
revision talks will likely encounter difficulties. 
 
Prime Minister Yasuo Fukuda on Feb. 24 expressed his intention to 
positively respond to the opposition camp's call for a revision of 
the bill. He told reporters in Seoul, which he was visiting then, "I 
will deliberate on the bill with the possibility of revising it and 
securing Diet passage within the current fiscal year into 
consideration." 
 
Election Committee Chairman Makoto Koga, a heavyweight in the LDP's 
road policy clique in the Diet, on Feb. 23 indicated his intention 
to approve a revision to the bill on condition that the DPJ submits 
a counterproposal. 
 
12) Surplus gas tax revenues: Government, ruling parties mulling 
stricter enforcement of reallocation of road funds for other uses, 
shifting stance to talks to revise amendment to special tax measures 
law 
 
MAINICHI (Page 1) (Excerpt) 
February 26, 2008 
 
The government and the ruling parties yesterday started 
reconsidering the bill amending the Road Construction Revenues 
Special Exemption Law aimed at reallocating revenues from the 
gasoline tax that exceed road construction expenses in each fiscal 
year for other uses. Specifically, they are looking into the 
possibility of deleting a provision stipulating that the amount of 
money equal to road funds reallocated for other uses should be 
transferred to special-purpose road construction funds for the 
following fiscal year and beyond. This proposal was intended to 
enable the construction of roads as planned, while reallocating road 
 
TOKYO 00000495  009 OF 010 
 
 
funds for other uses as well. However, in an effort to enact the 
bill amending the Special Tax Measures Law, which incorporates an 
extension of the special rate on the gas tax, the government and the 
ruling camp decided to use the scrapping of that proposal as a 
trigger for revision talks with the Democratic Party of Japan (DPJ 
or Minshuto). 
 
13) Ozawa reveals Prime Minister Fukuda sounded him out on another 
direct meeting, but he declined 
 
MAINICHI (Page 2) (Full) 
February 26, 2008 
 
Ichiro Ozawa, president of the main opposition Democratic Party of 
Japan (DPJ or Minshuto), revealed yesterday at a press conference in 
Kumamoto City that Prime Minister Yasuo Fukuda's side had sounded 
out him about a face-to-face meeting on the issue of selecting a new 
Bank of Japan governor, but he had declined the offer, saying: 
"Since there has been no progress since (the grand alliance uproar) 
last year, I will not hold a direct meeting with the Prime 
Minister." 
 
Fukuda is believed to have a desire to form a grand alliance. 
Therefore, he might have approached Ozawa to hold a meeting taking 
advantage of the issue of selecting a new BOJ governor. Fukuda told 
reporters about a possible meeting with Ozawa: "I cannot predict 
whether there will be need for it or not." 
 
It has been decided that the government will present its choice of 
new BOJ governor to the steering committees of the two Diet 
chambers. Despite that, if Fukuda considered a face-to-face meeting 
with Ozawa, speculation would erupt in political circles. 
 
Ozawa said in the press conference: "I was not directly sounded 
out." Some in the DPJ are still worried and doubts that Ozawa may 
rekindle the grand alliance notion in concert with Fukuda. The 
reason for Ozawa having clarified Fukuda's secret approach seems to 
a desire to sweep away such doubts in his party. 
 
14) National debt hits record 838 trillion yen at end of 2007 
 
MAINICHI (Page 9) (Full) 
February 26, 2008 
 
The balance of the nation's debt jumped to a record 838 trillion yen 
as of the end of last year, up 4,306.8 billion yen from the level 
posted Sept. 30, according to the Finance Ministry yesterday. This 
figure is 5,741.9 billion yen larger than the level at the end of 
December 2006. The balance of per-capita debt is calculated at 6.56 
million yen, up about 50,000 yen from the year before. 
 
The Finance Ministry announces the balance of the nation's debt, 
calculated by adding the government's borrowings and financing bills 
(FB), every three months. Of the total, government bonds increased 
3,365.3 billion yen to 534,514.5 billion yen. Investment-and-loan 
bonds climbed 845.5 billion yen to 141,043.4 billion yen. 
 
Borrowing under the general and special accounts of the national 
budget reached 57,036.6 billion yen, up 119.9 billion yen. FB, used 
to make up for temporary funding shortages, stood at 102,326.9 
billion yen, up 222.9 billion yen. The amount worked out by 
deducting the total amount of investment-and-loan bonds and FB from 
 
TOKYO 00000495  010 OF 010 
 
 
the balance of debt is regarded as the balance of long-term debt. 
The Finance Ministry estimates this amount at approximately 607 
trillion yen as of the end of fiscal 2007. The total amount of the 
central and local governments' long-term debt is expected to reach 
about 772 trillion yen. 
 
SCHIEFFER