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(iii) Stock-related transactions
At March 31, 2014
Yen
(millions)
U.S. Dollars
(thousands)
Type of hedge
accounting Type of transaction
Principal item
hedged
Contract
amount
Contract
amount
over 1 year Fair value
Contract
amount
Contract
amount
over 1 year Fair value
Deferral hedge Option transaction
to sell a stock
Investment
Securities
¥555 ¥555 ¥588 $5,388 $5,388 $5,709
At March 31, 2013
Yen
(millions)
Type of hedge
accounting Type of transaction
Principal item
hedged
Contract
amount
Contract
amount
over 1 year Fair value
Deferral hedge Option transaction
to sell a stock
Investment
Securities ¥555 ¥555 ¥688
The fair value is based on an option pricing model.
14. Retirement Benefits
The Company and the majority of the consolidated subsidiaries in Japan have unfunded lump-sum retirement plans which, in general,
cover all employees who retire before a retirement age prescribed in their internal labor codes. The employees are entitled to the ben-
efits primarily based on their length of service and base salary as of the retirement date.
In addition, the Company and the majority of the consolidated subsidiaries in Japan participate in contributory defined benefit plans
which cover substantially all employees. The major contributory defined benefit plan (the “Plan”), which is referred to as the Fujitsu
Corporate Pension Fund, entitles employees upon retirement at the normal retirement age to either a lump-sum payment or pension
annuity payments for life commencing at age 60, or a combination of both based on their length of service, base salary and the number
of years of participation in the Plan. The contributions of the Company and the subsidiaries covered by the Plan and their employees are
made to the Fujitsu Corporate Pension Fund which is an external organization.
The Fujitsu Welfare Pension Fund, in which the Company and certain consolidated subsidiaries in Japan participated, received
approval of an elimination of the future benefit obligations of the substitutional portion on March 23, 2004, and then received approval
of transfer of past benefit obligation of the substitutional portion on September 1, 2005 from the Minister of Health, Labour and Wel-
fare. Accordingly, Fujitsu Welfare Pension Fund changed to the Defined Benefit Corporate Plan based on the Japanese Defined Benefit
Corporate Pension Law from the Japanese Welfare Pension Plan based on the Japanese Welfare Pension Insurance Law, and concurrently
a part of the pension system was revised.
In April 2014, the Group decided to convert a part of the defined benefit plan to a cash balance plan and a defined contribution
plan, effective from October 2014.
The majority of the consolidated subsidiaries outside Japan have defined benefit plans and/or defined contribution plans covering
substantially all their employees. The major defined benefit pension plans provided outside Japan are the plans that Fujitsu Services
Holdings PLC (including its consolidated subsidiaries, “FS”) and Fujitsu Technology Solutions (Holding) B.V. (including its consolidated
subsidiaries) provide. The major defined contribution pension plans provided outside Japan are the plans that FS and Fujitsu Australia
Limited (including its consolidated subsidiaries) provide. The defined benefit pension plan provided by FS entitles employees to pay-
ments based on their length of service and salary. The defined benefit section of the plan was closed to new entrants effective the year
ended March 31, 2001. New employees are, however, eligible for membership of the defined contribution section of the plan. For the
year ended March 31, 2011, FS started to switch future accrual of benefits relevant to the employees participating in the defined benefit
section of the plan to the defined contribution section of the plan and completed for the year ended March 31, 2012. For the year ended
March 31, 2013, a special payment of ¥114,360 million (800 million Pound Sterling) was made into pension schemes of FS so as to
make up the deficit—projected benefit obligation in excess of plan assets—. Also, the investment portfolio of plan assets was shifted
toward bonds for the purpose of asset-liability matching.
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
143
FUJITSU LIMITED ANNUAL REPORT 2014
MANAGEMENT FACTS & FIGURESRESPONSIBILITYPERFORMANCE