Fujitsu 2003 Annual Report Download - page 43

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41
Assets pledged as collateral for bank loans and long-term debt at March 31, 2002 and 2003 are principally presented
below:
Yen U.S. Dollars
(millions) (thousands)
2002 2003 2003
Property, plant and equipment, net ¥17,013 ¥17,909 $149,242
As is customary in Japan, substantially all loans from banks (including short-term loans) are made under general
agreements which provide that, at the request of the banks, the borrower is required to provide collateral or guarantors (or
additional collateral or guarantors, as appropriate) with respect to such loans, and that all assets pledged as collateral
under such agreements will be applicable to all present and future indebtedness to the banks concerned. These general
agreements further provide that the banks have the right, as the indebtedness matures or becomes due prematurely by
default, to offset deposits at the banks against the indebtedness due to the banks.
At March 31, 2003, the Group has committed line contracts with banks aggregating ¥353,455 millions ($2,945,458
thousands). Of the total credit limit, ¥147,261 millions ($1,227,175 thousands) was used as the above short-term and
long-term borrowings, and the rest ¥206,194 millions ($1,718,283 thousands) was unused.
The current conversion prices of the 1.4%, 2.0% and zero coupon convertible bonds issued by the Company are
¥1,751.50, ¥998.00 and ¥1,201.00 per share, respectively. Each conversion price is subject to adjustment in certain
circumstances, including stock splits or free share distributions of common stock. At March 31, 2003, these convertible
bonds were convertible into approximately 246 millions shares of common stocks.
Certain outstanding convertible bonds and notes can be repurchased at any time and may be redeemed at the option of
the Company, in whole or in part, at prices ranging from 101% to 100% of their principal amounts.
The aggregate annual maturities of long-term debt subsequent to March 31, 2003 are summarized as follows:
Yen U.S. Dollars
Years ending March 31 (millions) (thousands)
2004 ¥203,425 1,695,208
2005 265,891 2,215,758
2006 165,191 1,376,592
2007 185,892 1,549,100
2008 and thereafter 640,704 5,339,200
Convertible bonds are treated solely as liabilities and value inherent in their conversion feature is not recognized as equity
in accordance with accounting principles generally accepted in Japan. The total amount of the convertible bonds has been
included in long-term debt.
$