Olympus 2012 Annual Report Download - page 89

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The Company and its consolidated subsidiaries classified fixed assets into the groups of their business segments. The significant idle properties are considered to constitute a group.
Some assets for business use were not expected to make a profit constantly because of the degradation of the business environment. As a result, carrying amounts of assets for
business use were devaluated to their recoverable amounts. The recoverable amount is measured according to the value in use. When the value in use based on future cash flow is
estimated to be negative, the assets are assumed to have no recoverable value.
Carrying amounts of idle properties were devaluated to their recoverable amounts, owing to substantial decline in the fair market value. The recoverable amounts were
estimated by net realizable value of fixed assets which were calculated based on net selling price.
19. LOSS ON FUNDS
Loss on funds of ¥327 million recorded in the consolidated statement of operations for the year ended March 31, 2011 represents the fees, etc., paid in relation to fund management.
20. PROVISION OF ALLOWANCE FOR DOUBTFUL ACCOUNTS ON FUNDS
Provision of allowance for doubtful accounts on funds of ¥2,448 million recorded in the consolidated statement of operations for the year ended March 31, 2011 corresponds to the
estimated uncollectible amount of fees recorded as a long-term account receivable in relation to the funds.
21. LOSS ON RESTRUCTURING OF BUSINESS
Loss on restructuring of business of ¥3,392 million ($42,400 thousand) recorded in the consolidated statement of operations for the year ended March 31, 2012 stems mainly from
the reorganization of the ERP business for retailers (UCS6) operated by a consolidated subsidiary of the Company.
22. EXPENSES RELATED TO RESTATEMENT OF PRIOR PERIODS
Expenses related to the restatement of prior periods of ¥2,001 million ($25,013 thousand) recorded in the consolidated statement of operations for the year ended March 31, 2012
primarily consist of costs incurred to investigate the inappropriate accounting applied by the Company, which was discovered in November 2011.
23. CASH AND CASH EQUIVALENTS
Reconciliations of cash and deposits shown in the consolidated balance sheets and cash and cash equivalents shown in the consolidated statements of cash flows as of March 31,
2012 and 2011 were as follows:
Millions of yen
Thousands of
U.S. dollars
2012 2011 2012
Cash and deposits ...................................................................................................................................................... ¥ 200,088 ¥ 213,561 $ 2,501,100
Less: time deposits with maturities over three months ................................................................................................... (1,427) (3,176) (17,837)
Cash and cash equivalents .......................................................................................................................................... ¥ 198,661 ¥ 210,385 $ 2,483,263
24. CASH FLOW RELATED TO PAYMENTS FOR ACQUISITION OF NEWLY CONSOLIDATED SUBSIDIARIES
Details of assets and liabilities when Spiration Inc., Innov-X Systems, Inc. and other subsidiaries were consolidated, acquisition costs of shares and related payments for the acquisition
for the year ended March 31, 2011 were as follows:
Millions of yen
Current assets .................................................................................................................................................................................................................... ¥ 3,246
Noncurrent assets ............................................................................................................................................................................................................... 10,807
Goodwill ............................................................................................................................................................................................................................. 7,406
Current liabilities ................................................................................................................................................................................................................. (2,921)
Noncurrent liabilities ............................................................................................................................................................................................................ (3,733)
Shareholders' equity ........................................................................................................................................................................................................... (1,251)
Sub-total: acquisition cost of newly consolidated subsidiaries ................................................................................................................................................ 13,554
Cash and cash equivalents owned by newly consolidated subsidiaries .................................................................................................................................... (1,226)
Net: payments for acquisition of newly consolidated subsidiaries ............................................................................................................................................ ¥ 12,328
OLYMPUS 󱚈 Annual Report 2012 87