Square Enix 2014 Annual Report Download - page 60

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58
■ Year ended March 31, 2013
1. Overview of employees’ retirement benefit plan:
The Company and its domestic consolidated subsidiaries have a lump-sum retirement payment plan in accordance with their internal bylaws.
The projected benefits are allocated to periods of service on a straight-line basis. In addition, certain of the Company’s overseas subsidiaries
maintain defined contribution retirement pension plans.
2. Retirement benefit obligation:
Millions of yen
(1) Retirement benefit obligation ¥(12,674)
(2) Fair value of plan assets 7,282
(3) Net unfunded obligation (1)+(2) (5,392)
(4) Unrecognized actuarial loss 678
(5) Unrecognized amortization of prior service cost —
(6) Provision for employees’ retirement benefits (3)+(4)+(5) (4,714)
(7) Prepaid pension expenses —
(8) Provision for employees’ retirement benefits, net (6)-(7) ¥ (4,714)
3. Retirement benefit expenses:
Millions of yen
(1) Service cost ¥ 724
(2) Interest cost 125
(3) Expected return on plan assets (60)
(4) Amortization of net actuarial gain 971
(5) Amortization of prior service cost (43)
(6) Retirement benefit expenses (1)+(2)+(3)+(4)+(5) ¥1,717
Note: In addition to the retirement benefit expenses shown above, the Company recorded severance payments related to business restructuring for the years ended March 31, 2013 and
2012 amounting to ¥901 million and ¥11 million, respectively.
4. Assumptions used in accounting for the above plans:
(1) Periodic allocation method for projected benefits
Straight-line basis
(2) Discount rates
0.636–0.990%
(3) Expected rate of return on plan assets
0.973%
(4) Period over which prior service cost is amortized
1–5 years
(Prior service costs are amortized over the average of the estimated remaining service lives.)
(5) Period over which net actuarial gain or loss is amortized
1–5 years
(Actuarial gains and losses are expensed at one time in the fiscal year following the fiscal year in which they occur. Some consolidated subsidiaries
expense the gains and losses in the fiscal year following the fiscal year in which they occur on a straight-line basis over a certain number of years
within the employees’ average remaining years of service, commencing from the year each gain or loss occurred.)
Notes to Consolidated Financial Statements (JPNGAAP)