Mazda 2016 Annual Report Download - page 61

9 SHORT-TERM DEBT AND LONG-TERM DEBT
Short-term debt as of March 31, 2016 and 2015 consisted of loans, principally from banks with
interest averaging 1.38% and 1.42% for the respective years.
Long-term debt as of March 31, 2016 and 2015 consisted of the following:
Millions of yen
Thousands of
U.S. dollars
As of March 31 2016 2015 2016
Domestic unsecured bonds due serially 2016 through
2019 at rate of 0.32% to 0.35% per annum ¥ 20,350
(*)
¥ 40,450 $ 180,088
Loans principally from banks, maturing through 2072:
Secured loans 40,930
48,946
362,212
Unsecured loans 433,529
489,964
3,836,540
Lease obligations, maturing through 2023 5,180
4,982
45,841
Subtotal 499,989
584,342
4,424,681
Amount due within one year (143,044)
(96,132)
(1,265,876)
Total ¥ 356,945
¥488,210
$ 3,158,805
(*) As of March 31, 2016, certain of these unsecured bonds amounting to ¥350 million ($3,097 thousand) are bank- guaranteed under the
condition that assets are pledged to the bank as collateral by the issuer of the bonds.
The annual interest rates applicable to long-term loans and lease obligations outstanding
averaged 1.07% and 1.33%, respectively, for obligations due within one year and 2.23% and
1.35%, respectively, for obligations due after one year at March 31, 2016.
The annual interest rates applicable to long-term loans and lease obligations outstanding
averaged 1.68% and 1.51%, respectively, for obligations due within one year and 1.95% and
1.47%, respectively, for obligations due after one year at March 31, 2015.
As is customary in Japan, general agreements with banks include provisions that security and
guarantees will be provided if requested by banks. Banks have the right to offset cash deposited
with them against any debt or obligation that becomes due and, in the case of default or certain
other specified events, against all debts payable to banks.
The annual maturities of long-term debt at March 31, 2016 were as follows:
Year ending March 31 Millions of yen
Thousands of
U.S. dollars
2017
¥143,044 $1,265,876
2018 90,316 799,257
2019 94,814 839,062
2020 45,809 405,389
2021 32,932 291,434
Thereafter 93,074 823,663
Total ¥499,989 $4,424,681
The assets pledged as collateral for short-term debt of ¥34,099 million ($301,761 thousand) and
¥33,973 million, and long-term debt of ¥41,280 million ($365,310 thousand) and ¥49,396 million
at March 31, 2016 and 2015, respectively, were as follows:
Millions of yen
Thousands of
U.S. dollars
As of March 31 2016 2015 2016
Property, plant and equipment, at net book value ¥420,323 ¥412,999
$3,719,673
Inventories 68,911
61,797
609,832
Other 47,891
63,498
423,814
Total ¥537,125
¥538,294
$4,753,319
10 EMPLOYEES’ SEVERANCE AND RETIREMENT BENEFITS
The Group has contributory defined contribution plans and defined benefit plans, and
non-contributory defined benefit plans. For the accounting policies for retirement benefits,
refer to Note 2, “Employees’ severance and retirement benefits”.
Reconciliations of beginning and ending balances of the retirement benefit obligations and the
plan assets for the years ended March 31, 2016 and 2015 were as follows:
Millions of yen
Thousands of
U.S. dollars
For the years ended March 31 2016 2015 2016
Movements in retirement benefit obligations:
Balance at beginning of year ¥314,252
¥301,619
$2,780,991
C umulative effects of changes in
accounting policies —
(3,082) —
Restated balance 314,252
298,537
2,780,991
Service cost 11,126
9,900
98,460
Interest cost 3,864
4,611
34,195
Actuarial losses/(gains) 25,497
14,543
225,637
Benefits paid (15,148)
(16,074)
(134,053)
Past service costs 14
—
124
Other (2,188)
2,735
(19,363)
Balance at end of year ¥337,417
¥314,252
$2,985,991
Notes to Consolidated Financial Statements
MAZDA ANNUAL REPORT 2016
59 Financial Section
Message from
Management
Review of Operations
Drivers of Value Creation
Foundations Underpinning
Sustainable Growth
Contents