Annual Report 2012

The aggregate annual maturities of long-term debt outstanding at March 31, 2012 are as follows:
Millions of yen Thousands of U.S. dollars (Note 1)
2012 2012
2012········································································································ ¥ 50,874 $ 618,980
2013········································································································ 32,961 401,034
2014········································································································ 51,004 620,562
2015 and thereafter ················································································· 105,415 1,282,577
Total ································································································· ¥ 240,254 $ 2,923,153
As is customary in Japan, long-term and short-term bank loans
are made under general agreements which provide that additional
securities and guarantees for present and future indebtedness will be
given under certain circumstances at the request of the bank.
11. Accrued Pension and Severance Liabilities
In addition, the agreements provide that the bank has the right to
offset cash deposits against any long-term and short-term bank loan
that becomes due, and in case of default and certain other specified
events, against all other loans payable to the bank.
The Company and certain consolidated subsidiaries have defined benefit pension plans and unfunded retirement benefit plans, and defined
contribution pension plan for employees. The following table sets forth the changes in projected benefit obligation, plan assets and funded status
of the Company and its consolidated subsidiaries at March 31, 2012 and 2011.
Millions of yen Thousands of U.S. dollars (Note 1)
2012 2011 2012
1) Projected benefit obligation ······························································ ¥ (8,770) ¥ (8,799) $ (106,704)
2) Fair value of plan assets ··································································· 6,141 6,182 74,717
3) Projected benefit obligation in excess of plan assets 1)+2) ··············· (2,629) (2,617) (31,987)
4) Unrecognized actuarial (gain) loss ···················································· 669 1,039 8,140
5) Unrecognized past service obligation ··············································· (9) (12) (110)
6) Total 3)+4)+5) ·················································································· (1,969) (1,590) (23,957)
7) Prepaid pension cost ······································································ 19 26 231
8) Accrued pension and severance liabilities 6)-7) ································ ¥ (1,988) ¥ (1,616) $ (24,188)
The breakdown of net pension and severance costs for the years ended March 31, 2012 and 2011 were as follows:
Millions of yen Thousands of U.S. dollars (Note 1)
2012 2011 2012
Service cost ·························································································· ¥ 614 ¥ 698 $ 7,470
Interest cost ························································································· 152 178 1,849
Expected return on plan assets ···························································· (102) (117) (1,241)
Amortization of actuarial gain ································································ 264 97 3,212
Amortization of past service obligation ·················································· (3) (3) (37)
Other ···································································································· 264 114 3,212
Net pension and severance costs ························································· ¥ 1,189 ¥ 967 $ 14,465
The assumptions used in the accounting for the above benefit plans were as follows:
2012 2011
Discount rate ························································································ Primarily 1.8% Primarily 1.8%
Expected rate of return on plan assets·················································· Primarily 1.5% Primarily 1.5%
Amortization period of past service obligation ······································· Primarily 5 years Primarily 5 years
Amortization period of actuarial differences ··········································· Primarily 5 years Primarily 5 years
12. Commitments and Contingent Liabilities
The Company and its consolidated subsidiaries had the following commitments and contingent liabilities:
Millions of yen Thousands of U.S. dollars (Note 1)
2012 2011 2012
Export drafts discounted ······································································ ¥ 9 ¥ 78 $ 110
Trade notes receivable discounted ························································ 10 30 122
Total ······························································································· ¥ 19 ¥ 108 $ 232
Nipro Corporation Annual Report 2012 42