Square Enix 2012 Annual Report Download - page 55

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53
c) Changes to aggregate asset retirement obligations
Millions of yen
Fiscal year ended March 31, 2012 Fiscal year ended March 31, 2011
Beginning balance ¥ 721 ¥649
Increase due to procurement of property and
equipment 21
Accretion expense 78
Decrease due to fulfillment of asset retirement
obligations (58) (9)
Decrease due to change in estimates (517) —
Other (3) 71
Ending balance ¥ 152 ¥721
d) Change in estimates on applicable asset retirement obligations
The Company and some of its consolidated subsidiaries made the decision in the fiscal year ended March 31, 2012 to relocate the head office and its
neighboring offices in the fiscal year ending on March 31, 2013. Consequently, because a more precise estimate of asset retirement obligations could
be determined, the Company changed the asset retirement obligations estimate that had been booked for the obligations to restore premises to their
original state in accordance with the respective real estate lease contracts of these buildings.
Matters Relating to Real Estate Leases, Etc.
■ Year ended March 31, 2011
Not applicable
■ Year ended March 31, 2012
Not applicable
Segment Information
[Consolidated Business Segment Information]
[Segment Information]
■ Year ended March 31, 2012
1. Outline of reporting segments
The Company’s reporting segments are business units for which
abstracted financial data is available and periodically reviewed by the
Board of Directors to determine resource allocation and to evaluate
business performance.
In a rapidly evolving business environment, the Company seeks
to provide high-quality entertainment content and services through a
variety of environment to match customer lifestyles.
Accordingly, the Company maintains four business segments,
each dedicated to a particular entertainment content and service
format: (1) the “Digital Entertainment” segment, for interactive digital
content for game consoles (including handheld game machines),
personal computers and mobile phones (including smartphones); (2)
the “Amusement” segment, for amusement facility operation as well
as the sale and rental of arcade game machines; (3) the “Publication”
segment, for publication of comic books, game strategy books and
comic magazines; and (4) the “Merchandising” segment, for planning,
production, distribution and licensing of derivative products. These are
the Company’s reporting segments.
2. Calculating reporting segment sales, income (loss), assets and other
items
Accounting treatment methods applied to financial results of reporting
segments are the same as those used in the preparation of the
Company’s consolidated financial statements. Reporting segment
income corresponds to operating income. Intersegment sales are
based on prevailing prices in the market for the content and/or
services provided.