Mazda 2009 Annual Report Download - page 71

Review of OperationsMessages from Management Mazda’s Environmental and
Safety Technology
Corporate Information Financial Section
Thousands of U.S. dollars
For the year ended March 31, 2009 North America Europe Other areas Total
International sales $7,118,367 $6,667,163 $5,761,062 $19,546,592
Notes: 1) International sales include exports by Mazda Motor Corporation and its domestic consolidated subsidiaries as well as sales (other than exports to Japan) by
overseas consolidated subsidiaries.
2) Method of segmentation and principal countries or regions belonging to each segment
a) Method: Segmentation by geographic adjacency
b) Principal countries or regions belonging to each segment
North America ...... U.S.A. and Canada
Europe ................. Russia, Germany and U.K.
Other areas .......... Australia, China and Thailand
18. RELATED PARTY TRANSACTIONS
(Additional Information)
Commencing in the year ended March 31, 2009, the Company and its consolidated subsidiaries adopted ASBJ
Statement No. 11, Accounting Standard for Related Party Disclosures, and its Implementation Guidance—ASBJ
Guidance No. 13, Guidance on Accounting Standard for Related Party Disclosures—both issued on October 17,
2006. Prior to the year ended March 31, 2009, only those transactions between the Company and its related parties
were considered for disclosure as material related party transactions. Commencing in the year ended March 31,
2009, as a result of adopting these new standards, in addition to the transactions considered for disclosure in the prior
years, those transactions between the Company’s consolidated subsidiaries and the Company’s related parties are
also considered for disclosure as material related party transactions.
During the year ended March 31, 2009, the Company purchased treasury stock from Ford Motor Company (“Ford”).
Prior to November 19, 2008, Ford had owned one-third of the Company’s voting interest, and the Company had been
an (equity method-applied) affiliate of Ford. On November 19, 2008, Ford sold part of its shares of the Company’s
common stock, and of the total shares sold by Ford, the Company purchased 96,802,000 shares at ¥184 ($1.88) per
share, or a total amount of ¥17,812 million ($181,755 thousand), through ToSTNeT-3 Off-Hour Trading System of the
Tokyo Stock Exchange. As a result, the Company is no longer an (equity method-applied) affiliate of Ford. However,
Ford still remains a major shareholder of and, as such, a related party to the Company. As of March 31, 2009, Ford
had a 14.9% voting interest of the Company.
During the year ended March 31, 2009, the Company’s consolidated foreign subsidiaries in Europe liquidated
their receivables with FCE Bank plc. (“FCE”), a subsidiary in Europe of Ford. The total amount of transactions during
the year was ¥393,490 million ($4,015,204 thousand). To the extent the transactions are subject to the guarantee
extended to FCE by the Company’s subsidiaries, the amount received is accounted for as financial liability and
reported as short-term debt in the consolidated balance sheet; otherwise, the transactions are accounted for as sale
of receivables. The balance of short-term debt in the consolidated balance sheet as of March 31, 2009 was ¥5,472
million ($55,837 thousand).
During the year ended March 31, 2009, the Company’s consolidated foreign subsidiary in the United States
recognized, based on the applicable U.S. GAAP, lease obligations for certain tooling used in production that is owned
by AutoAlliance International, Inc. (“AAI”), an affiliate which is accounted for by the equity method by the Company.
The total amount of transaction was ¥32,069 million ($327,235 thousand), and the ending balance of lease obligations
was ¥27,187 million ($277,418 thousand). The actual payments of lease obligations are made through the Company.
The Company issued guarantees of loans and letters of undertaking to provide guarantees to certain creditors
of AAI. As of March 31, 2008, guarantees of loans and letters of undertaking covered ¥16,480 million of AAI’s
obligations.
19. SUPPLEMENTARY CASH FLOW INFORMATION
Assets and liabilities related to finance lease transactions that were newly recognized in the year ended March 31,
2009 amounted to ¥34,291 million ($349,908 thousand) and ¥34,400 million ($351,020 thousand), respectively.
Also, for the year ended March 31, 2008, assets and liabilities related to finance lease transactions that were newly
recognized amounted to ¥38,743 million and ¥39,906 million, respectively.
For the year ended March 31, 2008, exercise of bonds with stock acquisition rights increased common stock by
¥555 million, increased capital surplus by ¥555 million, and decreased bonds with stock acquisition rights by ¥1,110
million.
69
                      