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Notes:
1) Methods to determine the estimated fair value of fi nancial instruments and other matters related to securities and derivative transactions
Cash and deposits and Notes and accounts receivable
Since these items are settled in a short period of time, their carrying value approximates fair value.
Investment securities
The fair value of stocks is based on quoted market prices. The fair value of debt securities and investment trust fund is based on either quot-
ed market prices or prices provided by the fi nancial institutions making markets in these securities. For information on securities classifi ed by
holding purpose, please refer to Note 5 “Securities.”
Notes and accounts payable and Short-term borrowings
Since these items are settled in a short period of time, their carrying value approximates fair value.
Bonds
The fair value of bonds is based on the present value of the total of principal and interest discounted by an interest rate determined by taking
into account the remaining period of each bond and current credit risk.
Long-term borrowings
The fair value of long-term borrowings is based on the present value of the total of principal and interest discounted by the interest rate to be
applied if similar new borrowings were entered into.
Derivatives transactions
Please refer to Note 30 “Derivative fi nancial instruments.”
2) Financial instruments for which it is extremely diffi cult to determine the fair value as of March 31, 2013 and 2014
Millions of yen
Thousands of
U.S. dollars
2013 2014 2014
1) Non-listed equity securities ............................................................................................................... ¥ 737 ¥ 442 $ 4,291
2) Others .............................................................................................................................................. 1,847 2,153 20,903
Total ..................................................................................................................................................... ¥2,584 ¥2,595 $25,194
Because no quoted market price is available and estimating their future cash fl ow is deemed to be prohibitively expensive, therefore,
it is extremely diffi cult to determine the fair value, the above fi nancial instruments are not included in the above table.
3) Redemption schedule for receivables and marketable securities with maturities at March 31, 2013 and 2014
As of March 31, 2013 Millions of yen
Within a year
Over a year
but within
fi ve years
Over fi ve years
but within
ten years
Over
ten years
Cash and deposits .................................................................................................. ¥229,570 ¥ — ¥ — ¥ —
Notes and accounts receivable ................................................................................ 125,231 — — —
Investment securities
Held-to-maturity debt securities
1) National and local government bonds ....................................................... — — — —
2) Corporate bonds ...................................................................................... — — — —
Other marketable securities with maturities
1) Corporate bonds ...................................................................................... — — — —
2) Other ........................................................................................................ 705 1,141 — —
Total ........................................................................................................................ ¥355,506 ¥1,141 ¥ — ¥ —
As of March 31, 2014 Millions of yen
Within a year
Over a year
but within
fi ve years
Over fi ve years
but within
ten years
Over
ten years
Cash and deposits .................................................................................................. ¥252,093 ¥ — ¥ — ¥ —
Notes and accounts receivable ................................................................................ 132,233 — — —
Investment securities
Held-to-maturity debt securities
1) National and local government bonds ....................................................... — — — —
2) Corporate bonds ...................................................................................... — — — —
Other marketable securities with maturities
1) Corporate bonds ...................................................................................... — — — —
2) Other ........................................................................................................ 781 1,372 — —
Total ........................................................................................................................ ¥385,107 ¥1,372 ¥ — ¥ —
(4) Supplementary explanation of the estimated fair value of  nancial instruments
The fair value of fi nancial instruments is based on their quoted market price, if available. When there is no quoted market price available,
fairvalue is reasonably estimated. Since various assumptions and factors are refl ected in estimating the fair value, different assumptions
andfactors could result in different fair values. In addition, the notional amounts of derivatives in Note 30 “Derivative fi nancial instruments”
are not necessarily indicative of the actual market risk involved in derivative transactions.
Estimated Fair Value of Financial Instruments
Carrying value of fi nancial instruments on the consolidated balance sheets as of March 31, 2013 and 2014 and estimated fair value are
shown in the following table. The following table does not include fi nancial instruments for which it is extremely diffi cult to determine the fair
value (refer to 2)) below:
As of March 31, 2013 Millions of yen
Carrying value
Estimated
fair value Difference
Assets
1) Cash and deposits ........................................................................................................................ ¥229,610 ¥229,610 ¥ —
2) Notes and accounts receivable ..................................................................................................... 125,231 125,231 —
3) Investment securities ..................................................................................................................... 43,904 43,904 —
Total .................................................................................................................................................. ¥398,745 ¥398,745 ¥ —
Liabilities
1) Notes and accounts payable ......................................................................................................... ¥ 42,272 ¥ 42,272 ¥ —
2) Short-term borrowings .................................................................................................................. 39,637 39,637 —
3) Bonds, including current maturities ............................................................................................... 90,000 90,424 424
4) Long-term borrowings, including current maturities ....................................................................... 430,753 442,623 11,870
Total .................................................................................................................................................. ¥602,662 ¥614,956 ¥12,294
Derivatives* ........................................................................................................................................... ¥ (185) ¥ (185) ¥ —
As of March 31, 2014 Millions of yen
Carrying value
Estimated
fair value Difference
Assets
1) Cash and deposits ........................................................................................................................ ¥252,121 ¥252,121 ¥ —
2) Notes and accounts receivable ..................................................................................................... 132,233 132,233 —
3) Investment securities ..................................................................................................................... 51,070 51,070 —
Total .................................................................................................................................................. ¥435,424 ¥435,424 ¥ —
Liabilities
1) Notes and accounts payable ......................................................................................................... ¥ 45,409 ¥ 45,409 ¥ —
2) Short-term borrowings .................................................................................................................. 16,966 16,966 —
3) Bonds, including current maturities ............................................................................................... 55,000 56,325 1,325
4) Long-term borrowings, including current maturities ....................................................................... 343,865 353,494 9,629
Total .................................................................................................................................................. ¥461,240 ¥472,194 ¥10,954
Derivatives* ........................................................................................................................................... ¥ (115) ¥ (115) ¥ —
As of March 31, 2014 Thousands of U.S. dollars
Carrying value
Estimated
fair value Difference
Assets
1) Cash and deposits ........................................................................................................................ $2,447,777 $2,447,777 $ —
2) Notes and accounts receivable ..................................................................................................... 1,283,816 1,283,816 —
3) Investment securities ..................................................................................................................... 495,825 495,825 —
Total .................................................................................................................................................. $4,227,418 $4,227,418 $ —
Liabilities
1) Notes and accounts payable ......................................................................................................... $ 440,864 $ 440,864 $ —
2) Short-term borrowings .................................................................................................................. 164,718 164,718 —
3) Bonds, including current maturities ............................................................................................... 533,981 546,845 12,864
4) Long-term borrowings, including current maturities ....................................................................... 3,338,495 3,431,981 93,486
Total .................................................................................................................................................. $4,478,058 $4,584,408 $106,350
Derivatives* ........................................................................................................................................... $ (1,117) $ (1,117) $ —
* The value of assets and liabilities arising from derivatives is shown at net value, with the amount in parentheses representing net liability position.
Notes to the Consolidated Financial Statements
81
OLYMPUS Annual Report 2014
80 OLYMPUS Annual Report 2014