Toshiba 2011 Annual Report Download - page 119

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53
Millions of yen
2011 2010
March 31
Carrying
amount Fair value
Carrying
amount Fair value
Nonderivatives:
Liabilities:
Long-term debt, including current portion ¥ (879,397) ¥ (882,341) ¥ (1,111,583) ¥ (1,121,241)
Thousands of U.S. dollars
2011
March 31
Carrying
amount Fair value
Nonderivatives:
Liabilities:
Long-term debt, including current portion $ (10,595,145) $ (10,630,614)
The above table excludes the financial instruments for which fair values approximate their carrying amounts and those
related to leasing activities. The table also excludes marketable securities and other investments which are disclosed in
Note 6.
In assessing the fair value of these financial instruments, the Group uses a variety of methods and assumptions, which
are based on estimates of market conditions and risks existing at that time. For certain instruments, including cash and
cash equivalents, notes and accounts receivable-trade, short-term borrowings, notes and accounts payable-trade and
accounts payable-other and accrued expenses, it is assumed that the carrying amount approximated fair value for the
majority of these instruments because of their short maturities. Quoted market prices are used for a part of marketable
securities and other investments. For long-term debt, fair value is estimated using market quotes, or where market quotes
are not available, using estimated discounted future cash flows. Other techniques, such as estimated discounted value of
future cash flows, and replacement cost, are used to determine fair value for the remaining financial instruments. These
fair values are not necessarily indicative of the amounts that could be realized in a current market exchange.
The effect of derivative instruments on the consolidated statements of income for the year ended March 31, 2011 is as
follows:
Cash flow hedge:
Millions of yen
Amount of gain (loss)
recognized in OCI
Amount of gain (loss)
reclassified from accumulated
OCI into income (loss)
Amount of gain (loss)
recognized in income (loss)
(Ineffective portion and
amount excluded
from effectiveness testing)
Amount
recognized Location Amount
recognized Location Amount
recognized
Forward exchange contracts ¥ 2,181 Other income ¥ 1,355 Other income ¥ 284
Interest rate swap agreements (657) Other expense (2,430) Other income 8
Derivatives not designated as hedging instruments:
Millions of yen
Amount of gain (loss)
recognized in income (loss)
Location Amount
recognized
Forward exchange contracts Other income ¥ 1,611
Currency options Other income 162