Brother International 2011 Annual Report Download - page 36

Download and view the complete annual report

Please find page 36 of the 2011 Brother International annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report.

Page out of 60

  • 1
  • 2
  • 3
  • 4
  • 5
  • 6
  • 7
  • 8
  • 9
  • 10
  • 11
  • 12
  • 13
  • 14
  • 15
  • 16
  • 17
  • 18
  • 19
  • 20
  • 21
  • 22
  • 23
  • 24
  • 25
  • 26
  • 27
  • 28
  • 29
  • 30
  • 31
  • 32
  • 33
  • 34
  • 35
  • 36
  • 37
  • 38
  • 39
  • 40
  • 41
  • 42
  • 43
  • 44
  • 45
  • 46
  • 47
  • 48
  • 49
  • 50
  • 51
  • 52
  • 53
  • 54
  • 55
  • 56
  • 57
  • 58
  • 59
  • 60

Brother Industries, Ltd. and Consolidated Subsidiaries
For the Years ended March 31, 2011 and 2010
34 Brother Annual Report 2011
The components of net periodic benefit costs for the years ended March 31, 2011 and 2010 were as follows:
Millions of Yen
Thousands of
U.S. Dollars
2011 2010 2011
Service cost ¥ 1,638 ¥ 1,993 $ 19,735
Interest cost 1,434 1,578 17,277
Expected return on plan assets (1,517) (1,448) (18,277)
Recognized actuarial loss 2,201 1,941 26,518
Amortization of prior service bene t (274) 43 (3,301)
Additional retirement payments and others 147 164 1,771
Loss on transfer to de ned contribution pension plan —2,985 —
Bene t cost for past years —715 —
Contribution to de ned contribution pension plans 1,413 1,022 17,024
Net periodic retirement bene ts cost ¥ 5,042 ¥ 8,993 $ 60,747
Assumptions used for the years ended March 31, 2011 and 2010 were as follows:
2011 2010
Periodic recognition of projected bene t obligation Straight-line method Straight-line method
Discount rate Principally from 1.5% to 2.0% Principally from 1.5% to 2.0%
Expected rate of return on plan assets Principally 3.0% Principally 3.0%
Recognition period of actuarial gain / loss Principally from 7 years to 17 years Principally from 7 years to 17 years
Amortization period of prior service bene t / cost Principally from 7 years to 16 years Principally from 7 years to 16 years
10. Asset Retirement Obligations
(a) Outline of asset retirement obligations
The Group’s asset retirement obligations are primarily the result of legal obligations for the removal of leasehold improvements, the restoration
of premises to the original condition, and the removal of liquid crystal in the karaoke machines upon the termination of the lease of karaoke
house.
(b) Method applied to computation of the asset retirement obligations
The estimated period until the asset retirement obligations are implemented are 1 to 34 years from the acquisition. The discounted rates used
for computation of the asset retirement obligations are 0.16% to 3.48%.
The changes in asset retirement obligations for the year ended March 31, 2011 were as follows:
2011
Millions of Yen
Thousands of
U.S. Dollars
Balance at beginning of year ¥ 1,089 $ 13,120
Reconciliation associated with passage of time 14 169
Reduction associated with settlement of asset retirement obligations (81) (976)
Balance at end of year ¥ 1,022 $ 12,313
Notes to Consolidated Financial Statements