Toshiba 2006 Annual Report Download - page 68

(“SFAS 153”). SFAS 153 eliminates the exception from fair value measurement for nonmonetary exchanges of similar productive
assets in paragraph 21(b) of APB Opinion No. 29, Accounting for Nonmonetary Transactions, and replaces it with an exception for
exchanges that do not have commercial substance. SFAS 153 specifies that a nonmonetary exchange has commercial substance if the
future cash flows of the entity are expected to change significantly as a result of the exchange. SFAS 153 is effective for the fiscal peri-
ods beginning after June 15, 2005 and is required to be adopted by the Company in the fiscal year beginning April 1, 2006. The
adoption of SFAS 153 did not have a material impact on its results of operations and financial condition of the Company.
In May 2005, the FASB issued SFAS No. 154, Accounting Changes and Error Corrections, a replacement of APB Opinion No. 20
and FASB Statement No. 3 (“SFAS 154’’). SFAS 154 replaces APB Opinion No. 20, Accounting Changes, and SFAS No. 3,
Reporting Accounting Changes in Interim Financial Statements, and provides guidance on the accounting for and reporting of
accounting changes and error corrections. SFAS 154 establishes retrospective application, or the latest practicable date, as
the required method for reporting a change in accounting principle and the reporting of a correction of an error. SFAS 154
is effective for accounting changes and corrections of errors made in fiscal years beginning after December 15, 2005. The
adoption of SFAS 154 did not have a material impact on its results of operations and financial condition of the Company.
RECLASSIFICATIONS
Certain reclassifications to the prior year’s consolidated financial statements and related footnote amounts have been made to
conform to the presentation for the current year.
3. U.S. DOLLAR AMOUNTS
U.S. dollar amounts are included solely for convenience of readers. These translations should not be construed as a representation
that the yen could be converted into U.S. dollars at this rate or any other rates. The amounts shown in U.S. dollars are not
intended to be computed in accordance with generally accepted accounting principles in the United States for the translation of
foreign currency amounts. The rate of ¥117=U.S.$1, the approximate current rate of exchange at March 31, 2006, has been used
throughout for the purpose of presentation of the U.S. dollar amounts in the accompanying consolidated financial statements.
4. MARKETABLE SECURITIES AND OTHER INVESTMENTS
The aggregate cost, gross unrealized holding gains and losses, and aggregate fair value for marketable equity securities and
debt securities classified as available-for-sale securities by security type at March 31, 2006 and 2005 are as follows:
Millions of yen
Gross unrealized Gross unrealized
Cost holding gains holding losses Fair value
March 31, 2006:
Equity securities ¥54,160 ¥ 99,096 ¥ 726 ¥ 152,530
Debt securities 1,191 0 0 1,191
¥55,351 ¥ 99,096 ¥ 726 ¥ 153,721
March 31, 2005:
Equity securities ¥ 53,802 ¥ 57,117 ¥ 920 ¥ 109,999
Debt securities 284 0 0 284
¥54,086 ¥ 57,117 ¥ 920 ¥ 110,283
Thousands of U.S. dollars
Gross unrealized Gross unrealized
Cost holding gains holding losses Fair value
March 31, 2006:
Equity securities $462,906 $ 846,974 $ 6,205 $ 1,303,675
Debt securities 10,179 0 0 10,179
$473,085 $ 846,974 $ 6,205 $ 1,313,854
At March 31, 2006, debt securities mainly consisted of corporate debt securities.
Contractual maturities of debt securities classified as available-for-sale at March 31, 2006 are as follows:
Millions of yen Thousands of U.S. dollars
March 31, 2006: Cost Fair value Cost Fair value
Due within one year ¥ 3 ¥ 3 $ 25 $ 25
Due after one year 1,188 1,188 10,154 10,154
¥1,191 ¥ 1,191 $ 10,179 $ 10,179
Notes to Consolidated Financial Statements
Toshiba Corporation and Subsidiaries
March 31, 2006