Mitsubishi UFJ Financial Group, Japan’s largest bank, said on Monday it would have to write down the value of its subprime-related investments by as much as Y30bn ($260m) – six times more than previously announced.

That write-down, combined with losses at credit card unit Mitsubishi UFJ Nicos, would likely cause the bank to fall 25 per cent short of its full year profit forecast of Y800bn, Japanese newspaper Mainichi Shimbun said on Sunday.