Short-term borrowings at March 31, 1996 and 1997 comprise:
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In thousands of
In millions of yen U.S. dollars
-------------------- ---------------
March 31 1996 1997 1997
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Loans, principally from banks, including bank overdrafts
(average interest rate of 1.89% at March 31, 1996 and
2.20% at March 31, 1997):
Secured...................................................... Y 2,784 Y 2,282 $ 18,403
Unsecured.................................................... 643,867 700,316 5,647,710
Commercial paper (interest rates of 5.32% to 5.62%
at March 31, 1996 and 5.23% to 5.90% at March 31, 1997)........ 17,018 40,330 325,242
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Y663,669 Y742,928 $5,991,355
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Long-term debt at March 31, 1996 and 1997 comprises:
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In thousands of
In millions of yen U.S. dollars
------------------------ ----------------
March 31 1996 1997 1997
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Loans, principally from banks and insurance companies,
due 1996 to 2009 with interest rates of 0.697% to 9.72% at March 31, 1996 and
due 1997 to 2010 with interest rates of 0.511% to 9.72% at March 31, 1997:
Secured..........................................................................Y 67,617 Y 58,680 $ 473,226
Unsecured........................................................................ 369,136 431,458 3,479,500
5.6% to 7.15% unsecured yen bonds due 1997 to 2007 at March 31, 1996 and
due 1997 to 2007 at March 31, 1997 issued in the Euromarket...................... 210,000 160,000 1,290,323
2.45% to 3.3% at March 31, 1996 and 2.45% to 3.3% at March 31, 1997
unsecured yen debentures due 1997 to 2005 at March 31, 1996 and
due 1997 to 2005 at March 31, 1997............................................... 120,000 120,000 967,742
Floating rate unsecured yen notes due 1997 and 1998 issued in the Euromarket....... 30,000 30,000 241,935
2.1% unsecured yen convertible debentures due 1998, convertible currently
at Y1,414.10 for one common share, redeemable before due date.................... 19,542 19,540 157,581
1.8% unsecured yen convertible debentures due 2002, convertible currently
at Y2,066.80 for one common share, redeemable before due date.................... 95,044 95,042 766,468
1.9% unsecured yen convertible debentures due 2004, convertible currently
at Y1,962.90 for one common share, redeemable before due date.................... 118,527 118,527 955,863
1.7% unsecured yen convertible debentures due 1999, convertible currently
at Y976.00 for one common share, redeemable before due date...................... 28,918 26,180 211,129
1.9% unsecured yen convertible debentures due 2001, convertible currently
at Y976.00 for one common share, redeemable before due date...................... 39,566 30,343 244,702
1.0% unsecured yen convertible debentures due 2011, convertible currently
at Y1,375.00 for one common share, redeemable before due date.................... - 99,977 806,266
1.0% unsecured Swiss Francs convertible notes (Swiss Francs 461,250 thousand "1996
and Swiss Francs 383,350 thousand" 1997) due 1999, convertible currently
at Y976.00 for one common share, redeemable before due date...................... 41,654 33,117 267,072
1.125% and 3.0% unsecured convertible notes issued by
consolidated subsidiaries due 1997 and 2000...................................... 5,772 2,119 17,089
6.7% mortgage secured yen debentures issued by a consolidated subsidiary due 1997.. 500 - -
Other.............................................................................. 7,556 1,340 10,806
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1,153,832 1,226,323 9,889,702
Unamortized premium................................................................ 1,096 680 5,484
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1,154,928 1,227,003 9,895,186
Less--Portion due within one year.................................................. 150,578 211,289 1,703,944
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Y1,004,350 Y1,015,714 $8,191,242
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The following are pledged as security for short-term borrowings and long-term debt at March 31, 1997:
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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 14,831 $ 119,605
Marketable securities-Noncurrent............................... 49 395
Long-term receivables, trade................................... 7,545 60,847
Property, plant and equipment (net book value)................. 189,258 1,526,274
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Floating rate unsecured yen notes issued in the Euromarket comprise three notes each of Y10,000 million. The interest rates thereon in the particular interest period are 0.1 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.
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. Under the agreements the parent company deposited, instead of the cash, marketable securities amounting to Y2,232 million and Y11,844 million at March 31, 1996 and 1997, respectively.
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, 1997, are as follows:
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Sinking fund payments
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Amount of each payment
-------------------------------------
Convertible In thousands of
debentures Date In millions of yen U.S. dollars
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1.8% March 31, 1998................................. Y 8,000 $ 64,516
March 31, 1999, 2000 and 2001.................. 12,000 96,774
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1.9% March 31, 1998................................. 8,527 68,766
March 31, 1999 and 2000........................ 10,000 80,645
March 31, 2001, 2002 and 2003.................. 14,000 112,903
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At March 31, 1997, an aggregate of 282,499 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.
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, 2002 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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1998........................................................ Y227,816 $1,837,226
1999........................................................ 236,069 1,903,782
2000........................................................ 200,341 1,615,653
2001........................................................ 177,802 1,433,887
2002........................................................ 148,492 1,197,516
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