Mitsubishi 2005 Annual Report Download - page 65

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MITSUBISHI MOTORS CORPORATION
Annual Report 2005
Financial Section
The following groups of assets at the Pajero plant were pledged as collateral for the debt from The Development
Bank of Japan and others to Pajero Manufacturing Corporation, a consolidated subsidiary, at March 31, 2005 and
2004, respectively.
In thousands of
In millions of yen U.S. dollars
2005 2004 2005
Buildings and structures ¥3,424 ¥3,038 $31,884
Machinery and equipment 2,585 2,478 24,073
Land 1,540 1,542 14,340
¥7,549 ¥7,060 $70,298
The following groups of assets at the Suiryo Plastics plant were pledged as collateral for the debt from The
Hyakujushi Bank, Ltd. and others to Suiryo Plastics Co., Ltd., a consolidated subsidiary, at March 31, 2005 and
2004, respectively.
In thousands of
In millions of yen U.S. dollars
2005 2004 2005
Buildings and structures ¥1,123 ¥1,199 $10,457
Machinery and equipment 944 1,189 8,793
Land 194 194 1,811
¥2,261 ¥2,583 $21,062
The obligations secured by such collateral at March 31, 2005 and 2004 were as follows:
In thousands of
In millions of yen U.S. dollars
2005 2004 2005
Short-term borrowings and long-term debt ¥383,281 ¥231,613 $3,569,062
10. STOCKHOLDERS’ EQUITY
The Commercial Code of Japan (the “Code”) provides that an amount equal to at least 10% of the amount to be
disbursed as a distribution of earnings should be appropriated to the legal reserve until the sum of the legal reserve
and capital surplus equals at least 25% of the common stock account. The Code also stipulates that, to the extent
that the sum of capital surplus account and the legal reserve exceed 25% of the common stock account, the
amount of any such excess is available for appropriation by resolution of the stockholders. MMC and its domestic
subsidiaries have provided these amounts in accordance with the Code.
Unrealized holding gain on securities and derivative financial instruments is not available for dividends.
At the stockholders’ meeting held on June 25, 2003, the disposition of the non-consolidated accumulated
deficit of MMC of ¥197,179 million ($1,865,637 thousand) by offset against capital surplus was approved, as
permitted by the Code. As a result, the capital surplus decreased by the same amount.
MMC is authorized to issue 3,425,000 shares of convertible preferred stock that are classified as Series A, B and
G (3 times in each series), and has originally issued 682,000 shares (526,193 shares are issued at March 31, 2005).
The holders of each series convertible preferred stock are not entitled voting right, but the holders of Series A
and G (except for Series B) are entitled to the dividend of preferred stock will be paid 50,000 yen per share to the
holders each year after 2009.
MMC also distributes residual claims to the holders of each series convertible preferred stock by solely payment
of one million yen per share of preferred stock in order of payment.