Fujitsu 2007 Annual Report Download - page 75

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At March 31, 2007, the Group had committed line contracts with banks aggregating ¥218,046
million ($1,847,847 thousand). Of the total credit limit, ¥5,594 million ($47,407 thousand) was used
as the above short-term and long-term borrowings and the rest, ¥212,452 million ($1,800,440 thou-
sand), was unused.
The current conversion price of the zero coupon convertible bonds issued by the Company is ¥1,201.00
per share. Each conversion price is subject to adjustment in certain circumstances, including stock splits
or free share distributions of common stock. At March 31, 2007, the convertible bonds were convertible
into approximately 208 million shares of common stock.
Certain outstanding convertible bonds and notes can be repurchased at any time and may be re-
deemed at the option of the Company, in whole or in part, at 100% of their principal amounts.
The aggregate annual maturities of long-term debt subsequent to March 31, 2007 are summarized
as follows:
Yen U.S. Dollars
Years ending March 31 (millions) (thousands)
2008 ¥185,814 $1,574,695
2009 103,059 873,381
2010 305,764 2,591,221
2011 50,521 428,144
2012 and thereafter 60,223 510,364
Total ¥705,381 $5,977,805
Convertible bonds are treated solely as liabilities and value inherent in their conversion feature is not
recognized as equity in accordance with accounting principles and practices generally accepted in Japan.
The total amount of the convertible bonds has been included in “long-term debt.”
Assets pledged as collateral for short-term borrowings and long-term debt at March 31, 2006 and
2007 are principally presented below:
Yen U.S. Dollars
(millions) (thousands)
At March 31 2006 2007 2007
Property, plant and equipment, net ¥2,790 ¥2,765 $23,432
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.
Annual Report 2007 73