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12. Research and Development Costs
Research and development costs charged to income were ¥35,977 million ($386,849 thousand) and ¥54,790 million for the years
ended March 31, 2010 and 2009, respectively.
13. Leases
The Group leases certain land, machinery and equipment, office space, warehouses, computer equipment and employees’
residential facilities.
The minimum rental commitments under noncancellable operating leases at March 31, 2010 were as follows:
Millions of Yen
Thousands of
U.S. Dollars
2010 2010
Operating leases:
Within one year ¥1,792 $19,269
Over one year 3,943 42,398
Total ¥5,735 $61,667
14. Restructuring Costs
A breakdown of restructuring costs for the years ended March 31, 2010 and 2009 was as follows:
Millions of Yen
Thousands of
U.S. Dollars
2010 2009 2010
Special termination benefits ¥17,337 ¥16,898 $186,419
Expected amount payable for settlement of retirement benefit obligations –1,620 –
Loss on settlement of retirement benefit obligations 739 1,098 7,946
Expenses related to withdrawal from plasma display business –3,382 –
Facilities removal-related expenses with regard to consolidations of offices 1,191 –12,807
Others 2,608 1,746 28,043
Total ¥21,875 ¥24,744 $235,215
15. Financial Instruments and Related Disclosures
In March 2008, the ASBJ revised ASBJ Statement No. 10
“Accounting Standard for Financial Instruments” and issued
ASBJ Guidance No. 19 “Guidance on Accounting Standard for
Financial Instruments and Related Disclosures.” This account-
ing standard and the guidance are applicable to financial
instruments and related disclosures at the end of the fiscal
years ending on or after March 31, 2010 with early adoption
permitted from the beginning of the fiscal years ending before
March 31, 2010. The Group applied the revised accounting
standard and the new guidance effective March 31, 2010.
(1) Group Policy for financial instruments
The Group has a policy to invest cash surplus, if any, only
in short-term deposit or other financial instruments which
have similar nature. The Group raises funds by bank loans
and/or from capital markets through bonds. Derivatives are
used, not for speculative purposes, to manage exposure to
financial risks as described in (2) below.
43
PIONEER CORPORATION Annual Report 2010