Alpine 2007 Annual Report Download - page 26

Download and view the complete annual report

Please find page 26 of the 2007 Alpine annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report.

Page out of 40

  • 1
  • 2
  • 3
  • 4
  • 5
  • 6
  • 7
  • 8
  • 9
  • 10
  • 11
  • 12
  • 13
  • 14
  • 15
  • 16
  • 17
  • 18
  • 19
  • 20
  • 21
  • 22
  • 23
  • 24
  • 25
  • 26
  • 27
  • 28
  • 29
  • 30
  • 31
  • 32
  • 33
  • 34
  • 35
  • 36
  • 37
  • 38
  • 39
  • 40

24
8. Employees’ Severance and Retirement Benefits
Employees’ severance and retirement benefits included in the liability in the consolidated balance sheets and the related expenses for 2007 and 2006,
which were determined based on the amounts obtained by actuarial calculations, were as follows:
2007 2006 2007
Employees’ severance and retirement benefits:
Projected benefit obligation ¥(9,376) ¥(8,964) (79,424)
Unamortized prior service cost — — —
Unamortized actuarial differences 622 916 5,269
Pension assets 9,772 9,194 82,778
Prepaid pension expense (1,638) (1,735) (13,875)
Employees’ severance and retirement benefits ¥(620) ¥(589) $(5,252)
Thousands of U.S. Dollars
Millions of Yen
2007 2006 2005 2007
Severance and retirement benefit expenses:
Service costs – Benefits earned during the year ¥382 ¥360 ¥599 $3,236
Interest costs on projected benefit obligation 200 192 332 1,694
Expected return on plan assets (217) (182) (210) (1,838)
Amortization of prior service costs — (1,097) (218) —
Amortization of actuarial differences 111 179 313 940
Additional retirement benefit 48 2 3 407
Other expenses (Defined Contribution, etc.) 144 152 — 1,220
Severance and retirement benefit expenses ¥668 ¥(394) ¥819 $5,659
Gain on return of the substitutional portion of
welfare pension insurance — (10) (1,091) —
Loss on change in the retirement pension scheme — — 199 —
Total ¥668 ¥(404) ¥(73) $5,659
Millions of Yen Thousands of U.S. Dollars
An overseas subsidiary has adopted the Defined Benefit Pension Scheme; pension assets of ¥508 million (US$4,303 thousand) are not included in
the above table.
The discount rate and the rate of expected return on plan assets used by the Company were 2.5% for 2007, 2006 and 2005. The estimated amount
of all retirement benefits to be paid at the future retirement date was allocated equally to each service year using the estimated number of total service
years. Prior service costs were recognized as expense within one year, and actuarial gains or losses were recognized as income or expense using the
straight-line method over 16 years.