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CANON ANNUAL REPORT 2015
58
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
tax liabilities were ¥2,682 million as of December 31, 2015.
In January 2016, the FASB issued an amendment which
addresses certain aspects of recognition, measurement, pre-
sentation, and disclosure of financial instruments. This guid-
ance includes the requirement that equity investments be
measured at fair value with changes in the fair value recog-
nized in net income. This guidance is effective for annual
reporting periods beginning after December 15, 2017, and
early adoption is permitted for certain provisions. Canon is
currently evaluating the adoption date and the effect that the
adoption of this guidance will have on its consolidated results
of operations and financial condition.
In February 2016, the FASB issued an amendment which
requires lessees to recognize most leases on their balance
sheets but recognize expenses on their income statements in a
manner similar to current guidance. For lessors, the guidance
modifies the classification criteria and the accounting for sales-
type and direct financing leases. This guidance is effective for
annual reporting periods beginning after December 15, 2018,
and early adoption is permitted. Canon is currently evaluat-
ing the adoption date and the effect that the adoption of this
guidance will have on its consolidated results of operations
and financial condition.
2. INVESTMENTS
The cost, gross unrealized holding gains, gross unrealized holding losses and fair value for available-for-sale securities included in
investments by major security type at December 31, 2015 and 2014 were as follows:
December 31
Millions of yen Cost
Gross unrealized
holding gains
Gross unrealized
holding losses Fair value
2015: Noncurrent:
Government bonds ¥ 298 ¥ — ¥ 11 ¥ 287
Corporate bonds 6 195 — 201
Fund trusts 63 1 — 64
Equity securities 20,461 23,482 1,094 42,849
¥ 20,828 ¥ 23,678 ¥ 1,105 ¥ 43,401
Millions of yen Cost
Gross unrealized
holding gains
Gross unrealized
holding losses Fair value
2014: Noncurrent:
Government bonds ¥ 331 ¥ — ¥ 6 ¥ 325
Corporate bonds 512 153 29 636
Fund trusts 84 — — 84
Equity securities 20,905 19,765 17 40,653
¥ 21,832 ¥ 19,918 ¥ 52 ¥ 41,698
Maturities of available-for-sale debt securities included in investments in the accompanying consolidated balance sheets were
as follows at December 31, 2015:
Millions of yen
Cost Fair value
Due after five years ¥ 304 ¥ 488
¥ 304 ¥ 488
Gross realized gains were ¥329 million, ¥2,540 million and
¥2,360 million for the years ended December 31, 2015, 2014
and 2013, respectively. Gross realized losses, including write-
downs for impairments that were other-than-temporary, were
¥31 million, ¥31 million and ¥2 million for the years ended
December 31, 2015, 2014 and 2013, respectively.
At December 31, 2015, substantially all of the available-for-sale
securities with unrealized losses had been in a continuous unreal-
ized loss position for less than twelve months.
Time deposits with original maturities of more than three
months are ¥20,651 million and ¥71,863 million at December
31, 2015 and 2014, respectively, and are included in short-term