(by Sh. Nakata)

Japan shares ended down on Monday as investors unloaded exporters after renewed security concerns and higher oil prices cast a shadow over the outlook for the U.S. economy.

The benchmark Nikkei 225 average was off 0.9 per cent at 11,222.24, while the broader Topix index was off 0.3 per cent at 1,135.64.

On Sunday United States raised its security alert level for certain financial institutions on Sunday, saying intelligence suggested the possibility of attacks. Intelligence signaled a possible al Qaeda attack and declared a high-level threat alert for the World Bank and the International Monetary Fund, as well as the New York Stock Exchange and other financial institutions such as Citigroup and Prudential Financial.

Sony was down 0.5 per cent at Y3,890 while Canon was off 0.4 per cent at Y5,420. Toshiba fell 0.7 per cent to Y406 while Fujitsu was down 0.4 per cent to Y687.

Elsewhere, shares of UFJ were down 2.5 per cent to Y436,000. UFJ is the subject of a takeover battle brewing between MTFG and SMFG, two of Japan’s leading banks. Shares of MTFG were down 2.6 per cent to Y971,000 and SMFG was off 2.7 per cent at Y653,000. Shares of Mizuho, Japan’s largest bank, were up 1 per cent at Y426,000.

Shares of Daiei, the heavily indebted retailer, closed down 3.4 per cent at Y256. Investors took profits after shares rose by more than 10 per cent on Friday, on reports that the company was considering selling off non-core assets, such as a restaurant chain and real estate, as part of its efforts to reduce its debt. According to media reports, Daiei’s creditors are working on a new business plan that would significantly reduce its debt and increase its financial aid.