Toshiba 2012 Annual Report Download - page 78

08 TOSHIBA Annual Report 2012
Management's Discussion and Analysis
The Group also entered into an agreement with Western Digital Corporation on Toshiba's acquisition of certain of
Western Digital's 3.5-inch HDD manufacturing equipment and stock sales of Toshiba Storage Device (Thailand), Co., Ltd,
one of the Group's consolidated companies. The Group completed the transaction in May 2012.
PLANS FOR CONSTRUCTING NEW FACILITIES AND RETIRING EXISTING FACILITIES
The Group plans to increase the amount of capital expenditure and investments & loans to 1370.0 billion yen for the 3
years from FY2011. The Group also plans to set “Shiftable funds”, which enables the Company to make decisions of
investments speedily as well as flexibly in response to change of business environment, and executes strategic
investments.
At the end of this fiscal year ending March 31, 2012, investment for newly-established facilities and upgrades of
equipment is planned to be amounted as 300.0 billion yen in FY2012 (based on the value of orders placed and including
intangible assets; hereinafter the same). This figure includes the Group's portion of the investment made by Flash Alliance,
Ltd. and Flash Forward, LLC. and others, which are companies accounted for by the equity method. The funds for capital
expenditures will be financed by the internal funds.
In the segment of the Electronic Devices, in November 2011, the Company has decided to phase out three facilities
during the first half fiscal year of 2012: Kitakyushu Operations and Hamaoka Toshiba Electronics Corporation, which carry
out front-end production of optical semiconductors; and Toshiba Components Co., Ltd., an assembly facility for power
semiconductors.
billions of yen As of March 31, 2012
Business Segment Planned Capital Investments for
FY2012 Major Contents and Purposes
Digital Products 18.0 −
Electronic Devices 140.0 Manufacturing facilities for NAND flash memories,
Manufacturing facilities for HDDs, etc.
Social Infrastructures 80.0 Enhancement of Power systems businesses, etc.
Home Appliances 20.0 Manufacturing facilities for Home appliances, etc.
Others 42.0 −
Total 300.0 −
Notes: 1) Consumption taxes are not included in these capital investment plans.
2) Retiring material facilities is not planned except for routine renewal of facilities.
3) The major planned new facilities and equipment upgrades in FY2012 are as follows:
As of March 31, 2012
Name of
Company and
Office
Place Business
Segment Type of Facility Planned Beginning
Capacity
Improvement
after
Completion
of
Construction
Flash Forward
LLC., and others Yokkaichi, Mie Electronic
Devices
Manufacturing facilities
for semiconductors, etc. July 2012
Enhancement of
manufacturing
facilities, etc.
FINANCIAL POSITION
Total assets increased by 351.9 billion yen from the end of March 2011 to 5,731.2 billion yen ($69,893.2 million), due to
strategic investments aimed at strengthening global competitiveness.
Shareholders' equity, or equity attributable to the shareholders of the Company, was 867.3 billion yen ($10,576.4
million), the same level as at the end of March 2011. There was a decrease of 46.4 billion yen in accumulated other
comprehensive loss, reflecting impacts from fluctuations in foreign exchange rates and a downturn in stock market prices
and the payment of a dividend to shareholders, but net income (loss) attributable to shareholders of the Company stood
at a positive 73.7 billion yen.
Total interest-bearing debt increased by 154.5 billion yen from the end of March 2011 to 1,235.8 billion yen ($15,070.3
million).
As a result of the total assets increase resulting from strategic investments, the shareholders' equity ratio at the end of
March 2012 was 15.1%, a 1.0-point decline from the end of March 2011, and the debt-to-equity ratio at the end of March
2012 was 142%, a 17-point increase from the end of March 2011.