Short-term borrowings at March 31, 1995 and 1996 comprise:
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In thousands of
In millions of yen U.S. dollars
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March 31 1995 1996 1996
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Loans, principally from banks, including bank overdrafts
(average interest rate of 3.17% at March 31, 1995 and
1.89% at March 31, 1996):
Secured ............................................................................ Y 3,331 Y 2,784 $ 26,019
Unsecured .......................................................................... 604,205 643,867 6,017,448
Commercial paper (interest rates of 6.21% to 6.32%
at March 31, 1995 and 5.32% to 5.62% at March 31, 1996) ........................... 12,013 17,018 159,047
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Y 619,549 Y 663,669 $ 6,202,514
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Long-term debt at March 31, 1995 and 1996 comprises:
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In thousands of
In millions of yen U.S. dollars
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March 31 1995 1996 1996
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Loans, principally from banks and insurance companies,
due 1995 to 2025 with interest rates of 2.43% to 9.60% at March 31, 1995 and
due 1996 to 2025 with interest rates of 0.697% to 9.72% at March 31, 1996:
Secured ...........................................................................Y 84,173 Y 67,617 $ 631,934
Unsecured ......................................................................... 348,502 369,136 3,449,869
5.6% to 7.15% unsecured yen bonds due 1995 to 2007 at March 31, 1995 and
due 1997 to 2007 at March 31, 1996 issued in the Euromarket ....................... 230,000 210,000 1,962,617
2.5% to 5.4% at March 31, 1995 and 2.45% to 5.4% at March 31, 1996
unsecured yen debentures due 1995 to 1999 at March 31, 1995 and
due 1997 to 2005 at March 31, 1996 ................................................ 100,000 120,000 1,121,495
Floating rate unsecured yen notes due 1997 and 1998 issued in the Euromarket ....... 30,000 30,000 280,374
2.1% unsecured yen convertible debentures due 1998, convertible currently
at Y1,414.10 for one common share, redeemable before due date .................... 19,542 19,542 182,636
1.8% unsecured yen convertible debentures due 2002, convertible currently
at Y2,066.80 for one common share, redeemable before due date .................... 95,044 95,044 888,261
1.9% unsecured yen convertible debentures due 2004, convertible currently
at Y1,962.90 for one common share, redeemable before due date .................... 118,527 118,527 1,107,729
1.7% unsecured yen convertible debentures due 1999, convertible currently
at Y976.00 for one common share, redeemable before due date ...................... 30,000 28,918 270,262
1.9% unsecured yen convertible debentures due 2001, convertible currently
at Y976.00 for one common share, redeemable before due date ...................... 40,000 39,566 369,776
1.0% unsecured Swiss Francs convertible notes (Swiss Francs 500,000 thousand--1995
and Swiss Francs 461,250 thousand--1996) due 1999, convertible currently
at Y976.00 for one common share, redeemable before due date ...................... 38,715 41,654 389,290
1.125% and 3.0% unsecured convertible notes issued by
consolidated subsidiaries due 1997 and 2000 ...................................... 4,769 5,772 53,944
6.7% mortgage yen debentures issued by a consolidated subsidiary due 1997 .......... 500 500 4,673
Other .............................................................................. 1,702 7,556 70,617
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1,141,474 1,153,832 10,783,477
Unamortized premium ................................................................ 1,566 1,096 10,243
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1,143,040 1,154,928 10,793,720
Less--Portion due within one year .................................................. 175,734 150,578 1,407,271
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Y 967,306 Y 1,004,350 $ 9,386,449
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The following are pledged as security for short-term borrowings and long-term debt at March 31, 1996:
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In thousands of
Description In millions of yen U.S. dollars
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Current notes and accounts receivable .............................................. Y 3,459 $ 32,327
Marketable securities--Noncurrent .................................................. 49 458
Long-term receivables, trade ....................................................... 9,998 93,439
Property, plant and equipment (net book value) ..................................... 172,219 1,609,523
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The mortgage debentures at March 31, 1996 are secured by mortgages on designated fixed assets of which the book value at March 31, 1996 amounts to 3,289 million yen ($30,738 thousand).
Floating rate unsecured yen notes issued in the Euromarket comprise three notes each of 10,000 million yen. The interest rates thereon in the particular interest period are 0.l percent, 0.25 percent and 0.375 percent above the three-month Euro-yen deposit rate in the London interbank market as defined in the agreements. Holders of notes paying the 0.1 percent premium and the 0.375 percent premium have rights allowing them to convert into a fixed rate until the date which is five business days prior to April 10, 1996 and March 18, 1997, respectively.
The 2.1 percent and 1.8 percent unsecured yen convertible debenture agreements stipulate, among other things, that (1) the parent company is required to deposit with a designated bank, as a sinking fund payment, amounts adjusted for redemptions and conversions made to the dates specified in the agreements and (2) certain restrictions are placed on the payment of dividends.
The agreement of the 1.9 percent unsecured yen convertible debentures due 2004 stipulates, among other things, that the parent company is required to deposit with a designated bank, as a sinking fund payment, amounts adjusted for redemptions and conversions made to the dates specified in the agreement.
The sinking fund payments, adjusted for the conversions made to March 31, 1996, are as follows:
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Sinking fund payments
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Amount of each payment
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Convertible In thousands of
debentures Date In millions of yen U.S. dollars
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1.8% March 31, 1997 and 1998 ........................................... Y 8,000 $ 74,766
March 31, 1999, 2000 and 2001 ..................................... 12,000 112,150
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1.9% March 31, 1998 .................................................... 8,527 79,692
March 31, 1999 and 2000 ........................................... 10,000 93,458
March 31, 2001, 2002 and 2003 ..................................... 14,000 130,841
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At March 31, 1996, an aggregate of 229,231 thousand shares of common stock would have been issuable upon conversion of all convertible debt of the parent company.
The company has basic agreements with lending banks to the effect that, with respect to all present or future loans with such banks, the company shall provide collateral (including sums on deposit with such banks) or guarantors therefor immediately upon the bank's request and that any collateral furnished, pursuant to such agreements or otherwise, will be applicable to all indebtedness to such banks. The mortgage debenture agreements also contain provisions which permit the lenders to require additional collateral.
Certain of the loan agreements provide, among other things, that the company submits to the lenders (upon their request) for approval its proposed appropriation of income (including dividends) before such appropriation can be submitted to the shareholders for approval.
Annual maturities and sinking fund requirements on long-term debt during the five years ending March 31, 2001 are as follows:
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In thousands of
Year ending March 31 In millions of yen U.S. dollars
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1997 ................................................................. Y158,578 $1,482,037
1998 ................................................................. 209,107 1,954,271
1999 ................................................................. 221,165 2,066,963
2000 ................................................................. 164,455 1,536,963
2001 ................................................................. 164,382 1,536,280
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