Nikon 2004 Annual Report Download - page 32

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30
The aggregate annual maturities of long-term debt for the years following March 31, 2004 were as follows:
Year Ending
March 31
2005
2006
2007
2008
2009
Thereafter
Total
Thousands of
U.S. Dollars
$120,416
156,299
725,721
195,856
51,566
421,042
$1,670,900
¥12,727
16,519
76,701
20,700
5,450
44,501
¥176,598
Millions of Yen
The yen zero coupon convertible bonds were issued with stock acquisition rights to subscribe for shares of common stock of the Company.
The stock acquisition rights are exercisable through March 16, 2007 at ¥1,857 per share. The stock acquisition rights outstanding at March 31,
2004 entitled the holders to subscribe for 30,156,165 shares which was computed using the above-mentioned exercise price.
The yen zero coupon convertible bonds were issued with stock acquisition rights to subscribe for shares of common stock of the Company.
The stock acquisition rights are exercisable through March 14, 2011 at ¥2,058 per share. The stock acquisition rights outstanding at March 31,
2004 entitled the holders to subscribe for 16,763,848 shares which was computed using the above-mentioned exercise price.
At March 31, 2004, the following assets were pledged as collateral for long-term debt.
Notes and accounts receivable-trade
Investment securities
Total
Thousands of
U.S. Dollars
2004
$198,328
65,868
$264,196
2004
¥20,961
6,962
¥27,923
Millions of Yen
Liabilities secured by the above assets were as follows:
Short-term borrowings
Long-term debt, including current portion
Total
Thousands of
U.S. Dollars
2004
$7,634
30,761
$38,395
2004
¥807
3,251
¥4,058
Millions of Yen
As is customary in Japan, the Company maintains substantial deposit balances with banks with which it has borrowings. Such deposit
balances are not legally or contractually restricted as to withdrawal.
General agreements with respective banks provide, as is customary in Japan, that additional collateral must be provided under certain
circumstances if requested by such banks and that certain banks have the right to offset cash deposited with them against any long-term or
short-term debt or obligation that becomes due and, in case of default and certain other specified events, against all other debts payable to
the banks. The Group has never been requested to provide any additional collateral.
7. RETIREMENT AND PENSION PLANS
The Company and major domestic subsidiaries have non-contributory funded defined benefit pension plans covering substantially all of its
employees. Certain foreign subsidiaries also have contributory defined benefit pension plans. Under the pension plan, employees terminating
their employment are, in most circumstances, entitled to pension benefits determined by reference to basic rates of pay at the time of
termination, length of service and certain other factors.
On April 1, 2004, the Company revised the pension plan and implemented a defined benefit corporate pension plan (cash balance plan).
As a result, the projected benefit obligation is to be decreased by ¥18,004 million ($170,356 thousand) and the amount is being amortized as
prior service cost over 10 years as of April 1, 2004.