Nissan 2006 Annual Report Download - page 76

FINANCIAL SECTION
Nissan Annual Report 2005
74
In addition to the above, at March 31, 2006, the Company was committed to provide guarantees of indebtedness of certain unconsolidated
subsidiaries and affiliates in the aggregate amount of ¥2,515 million ($21,496 thousand) at the request of the lending banks. The outstanding
balance of installment receivables sold with recourse amounted to ¥12,252 million ($104,718 thousand) at March 31, 2006.
Certain consolidated subsidiaries have entered into overdraft and loan commitment agreements amounting to ¥152,879 million ($1,306,658
thousand) with their customers and others. The loans receivable outstanding and the unused balances under these credit facilities at March 31,
2006 amounted to ¥15,627 million ($133,564 thousand) and ¥137,252 million ($1,173,094 thousand), respectively. Since many of these credit
facilities expire without being utilized and the related borrowings are sometimes subject to a review of the borrowers’ creditworthiness, any
unused amount may not necessarily be fully utilized.
17. COMMITMENTS AND CONTINGENCIES
At March 31, 2006, the Company and its consolidated subsidiaries had the following contingent liabilities:
Thousands of
Millions of yen U.S. dollars
As endorser of notes receivable discounted with banks....................................................................................................................... ¥ 3,666 $ 31,333
As guarantor of employees’ housing loans from banks and others ............................................................................................. 221,778 1,895,538
............................................................................................................................................................................................................................................................... ¥225,444 $1,926,871
16. LEASE TRANSACTIONS
a) Lessees’ accounting
Future minimum lease payments subsequent to March 31, 2006 for noncancelable operating leases are summarized as follows:
Thousands of
Year ending Mar. 31, Millions of yen U.S. dollars
2007................................................................................................................................................................................................................................................. ¥ 6,975 $ 59,615
2008 and thereafter............................................................................................................................................................................................................ 20,913 178,744
Total................................................................................................................................................................................................................................................... ¥27,888 $238,359
b) Lessors’ accounting
Future minimum lease income subsequent to March 31, 2006 from noncancelable operating leases is summarized as follows:
Thousands of
Year ending Mar. 31, Millions of yen U.S. dollars
2007................................................................................................................................................................................................................................................. ¥329,177 $2,813,479
2008 and thereafter............................................................................................................................................................................................................ 422,419 3,610,419
Total................................................................................................................................................................................................................................................... ¥751,596 $6,423,898
See Note 2 (c) for the change in the method of accounting for noncancelable lease transactions which transfer substantially all risks and rewards
associated with the ownership of assets.