Mitsubishi 2002 Annual Report Download - page 56

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54
11. Other Income and Expenses
Other income and expenses for the years ended March 31, 2002 and 2001 consisted of the following:
(In thousands of
(In millions of yen) U.S. dollars)
Year ended March 31, 2002 2001 2002
Gain on sales of investments in securities ¥3,977 ¥7,750 $29,846
Gain (loss) on sales and disposal of property, plant and equipment
and intangible assets 266 (3,629) 1,996
Equity in income of affiliates 4,352 3,164 32,660
Foreign exchange (loss) gain (11,174) 31 (83,857)
Restructuring expense or reversal 1,644 (105,786) 12,338
Cost of extraordinary measures –(50,652) –
Amortization of net retirement benefit obligation at transition –(128,370) –
Severance payments for early retirement (14,926) –(112,015)
Amortization of consolidation goodwill (27,285) –(204,765)
Other (7,116) (32,247) (53,403)
¥(50,262) ¥(309,802) $(377,201)
Severance payments for early retirement for the year ended March 31, 2001 is included in the restructuring expense.
12. Income Taxes
MMC and its domestic consolidated subsidiaries are subject to corporation, inhabitants’ and enterprise taxes based on
taxable income, which, in the aggregate, resulted in a statutory tax rate of approximately 41% for the years ended March
31, 2002 and 2001. Income taxes of the foreign consolidated subsidiaries are based generally on the tax rates applicable in
their countries of incorporation.
The effective tax rates reflected in the consolidated statements of operations for the years ended March 31, 2002 and
2001 differ from the statutory tax rate for the following reasons:
Year ended March 31, 2002 2001
Statutory income tax rate for MMC (41.7) % (41.8) %
Income (loss) at subsidiaries (9.4) 11.3
Increase (decrease) in valuation allowance 12.4 (0.2)
Equity in income in affiliates (4.5) (0.2)
Amortization of consolidation goodwill 39.8 2.5
Increase by tax effect of subsidiaries in North America (130.1) –
Other (0.3) 1.7
Income taxes as a percentage of loss before income taxes and minority interests (133.8) (26.7)