Canon 2006 Annual Report Download - page 86

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84
Year ended December 31 Thousands of U.S. dollars
Before-Tax Tax (Expense) Net-of-Tax
Amount or Benefit Amount
2006:
Foreign currency translation adjustments $ 416,117 (7,462) 408,655
Net unrealized gains and losses on securities:
Amount arising during the year 31,160 (12,622) 18,538
Reclassification adjustments for gains and losses realized in net income (3,261) 1,462 (1,799)
Net change during the year 27,899 (11,160) 16,739
Net gains and losses on derivative instruments:
Amount arising during the year (59,883) 24,017 (35,866)
Reclassification adjustments for gains and losses realized in net income 53,017 (21,260) 31,757
Net change during the year (6,866) 2,757 (4,109)
Minimum pension liability adjustments (36,899) 6,857 (30,042)
Other comprehensive income (loss) $ 400,251 (9,008) 391,243
(18) Net Income per Share
The basic and diluted net income per share as well as the
number of shares has been calculated to reflect the three-for-
two stock split that was completed on July 1, 2006.
Areconciliation of the numerators and denominators of basic
and diluted net income per share computations is as follows:
Year ended December 31 Thousands of
Millions of yen U.S. dollars
2006 2005 2004 2006
Net income ¥ 455,325 384,096 343,344 $3,826,261
Effect of dilutive securities:
1.20% Japanese yen convertible debentures,
due 2005 —524 —
1.30% Japanese yen convertible debentures,
due 2008 818 72 67
Diluted net income ¥ 455,333 384,119 343,440 $3,826,328
Number of shares
Average common shares outstanding 1,331,542,074 1,330,760,715 1,328,047,686
Effect of dilutive securities:
1.20% Japanese yen convertible debentures,
due 2005 —185,755 694,235
1.30% Japanese yen convertible debentures,
due 2008 474,796 1,118,931 3,187,917
Diluted common shares outstanding 1,332,016,870 1,332,065,401 1,331,929,838
Yen U.S. dollars
Net income per share:
Basic ¥ 341.95 288.63 258.53 $2.87
Diluted 341.84 288.36 257.85 2.87
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS, CONTINUED
CANON INC. AND SUBSIDIARIES