Toshiba 2003 Annual Report Download - page 48

Long-term debt at March 31, 2003 and 2002 comprise the following: Thousands of
Millions of yen U.S. dollars
March 31 2003 2002 2003
Loans, principally from banks and insurance
companies, due 2003 to 2034 with weighted
average interest rate of 1.15% at March 31,
2003 and due 2002 to 2034 with weighted
average interest rate of 1.20% at March 31, 2002:
Secured ¥ 11,233 ¥ 19,268 $ 93,608
Unsecured 597,895 574,838 4,982,459
Unsecured yen bonds, due 2003 to 2008 with
interest ranging from 0.49% to 3.025% at March
31, 2003 and due 2002 to 2008 with interest
ranging from 0.60% to 3.025% at March 31,
2002 475,667 420,622 3,963,892
Euro yen medium-term notes, due 2003 to 2008
with interest ranging from zero % to 2.34%
at March 31, 2003 and due 2002 to 2008 with
interest ranging from zero % to 2.34% at March
31, 2002 (swapped for floating rate (LIBOR, etc.)
or fixed rate yen obligations) 28,525 39,375 237,708
Unsecured yen bonds of subsidiaries, due
2004 with interest ranging from 1.69% to 3.00%
at March 31, 2003 and due 2002 to 2004 with
interest ranging from 0.95% to 3.00% at March
31, 2002 12,000 14,000 100,000
1.825% secured yen bonds of a subsidiary
due 2004 300 300 2,500
Euro yen or U.S. dollar medium-term notes of
subsidiaries, due 2003 to 2012 with interest
ranging from 0.09% to 3.70% at March 31, 2003
and due 2002 to 2012 with interest ranging from
zero % to 4.00% at March 31, 2002 (swapped
for floating rate (LIBOR, etc.) U.S. dollar, Yen or
Euro obligations) 96,959 88,456 807,992
Zero % unsecured yen convertible debentures
of a subsidiary due 2004 convertible currently
at ¥803 per share 2,820 2,820 23,500
1,225,399 1,159,679 10,211,659
Less—Portion due within one year (343,373) (270,924) (2,861,442)
¥ 882,026 ¥ 888,755 $ 7,350,217
Certain of the secured loan agreements contain provisions, which permit the lenders to require additional collat-
eral. Substantially all of the unsecured loan agreements permit the lenders to require collateral or guarantors for
such loans. Certain of the secured and unsecured loan agreements require prior approval by the banks and trustees
before any distributions (including cash dividends) may be made from current or retained earnings.
Assets pledged as collateral for short-term borrowings and long-term debt at March 31, 2003 are property, plant
and equipment with a book value of ¥53,030 million ($441,917 thousand).
The aggregate annual maturities of long-term debt are as follows: Thousands of
Year ending March 31 Millions of yen U.S. dollars
2004 ¥ 343,373 $ 2,861,442
2005 228,053 1,900,442
2006 287,028 2,391,900
2007 119,295 994,125
2008 127,395 1,061,625
Thereafter 120,255 1,002,125
¥1,225,399 $10,211,659
All employees whose services with the Company are terminated are usually entitled to lump-sum severance indem-
nities determined by reference to their current basic rate of pay, length of service and conditions under which the
termination occurs. The obligation for the severance indemnity benefits is provided for through accruals and fund-
ing of tax-qualified non-contributory pension plans and contributory trusteed employee pension funds.
Toshiba Corporation and certain subsidiaries in Japan have Employees’ Pension Fund Plans (“EPFs”), which are
contributory defined benefit pension plans under the Japanese Welfare Pension Insurance Law (“JWPIL”).
These plans are composed of a substitutional portion which is the obligation related to the government-defined ben-
46 TOSHIBA CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
10.
ACCRUED
PENSION AND
SEVERANCE
COSTS
ｱﾆﾚﾎﾟp34-55(英)6.18 03.6.25 5:41 PM ページ 46