Toyota 2010 Annual Report Download - page 58

56
TOYOTA ANNUAL REPORT 2010
For information regarding debt obligations,
capital lease obligations, operating lease
obligations and other obligations, including
amounts maturing in each of the next fi ve years,
see notes 13, 22 and 23 to the consolidated
fi nancial statements. In addition, as part of
Toyotas normal business practices, Toyota enters
into long-term arrangements with suppliers for
purchases of certain raw materials, components
and services. These arrangements may contain
fi xed/minimum quantity purchase requirements.
Toyota enters into such arrangements to
facilitate an adequate supply of these materials
and services.
Toyota is unable to make reasonable estimates
of the period of cash settlement with respect to
liabilities recognized for uncertain tax benefi ts,
and accordingly such liabilities are excluded from
the table above. See note 16 to the consolidated
fi nancial statements for further discussion.
Toyota expects to contribute ¥111,112 million to
its pension plans in fi scal 2011.
Contractual obligations and commitments
The following tables summarize Toyotas contractual obligations and commercial commitments as of
March 31, 2010:
Yen in millions
Payments due by period
Total Less than 1 year 1 to 3 years 3 to 5 years 5 years and after
Contractual Obligations:
Short-term borrowings (note 13)
Loans ·····························································
￥ 804,066 ￥ 804,066 ￥ ̶ ￥ ̶ ￥ ̶
Commercial paper ································· 2,475,607 2,475,607 ̶ ̶ ̶
Long-term debt* (note13) ······················ 9,191,490 2,194,235 4,232,077 1,464,523 1,300,655
Capital lease obligations (note 13) ····· 42,243 24,089 4,224 2,415 11,515
Non-cancelable operating lease
obligations (note 22) ····························
51,953 9,900 14,629 9,302 18,122
Commitments for the purchase of property,
plant and other assets (note 23) ······················
74,529 37,026 20,879 1,622 15,002
Total ······························································· ￥ 12,639,888 ￥ 5,544,923 ￥ 4,271,809 ￥ 1,477,862 ￥ 1,345,294
* Long-term debt represents future principal payments.
The maximum potential amount of future
payments as of March 31, 2010 is ¥1,604.8 billion.
Liabilities for these guarantees of ¥5.9 billion
have been provided as of March 31, 2010. Under
these guarantee contracts, Toyota is entitled
to recover any amounts paid by it from the
customers whose obligations it guaranteed.
Yen in millions
Total
amounts
committed
Amount of Commitment Expiration Per Period
Less than 1 year 1 to 3 years 3 to 5 years 5 years and after
Commercial Commitments (note 23):
Maximum potential exposure to
guarantees given in the
ordinary course of business
￥1,604,893 ￥460,460 ￥729,509 ￥311,760 ￥103,164
Total Commercial Commitments ········· ￥1,604,893 ￥460,460 ￥729,509 ￥311,760 ￥103,164
Toyota does not have any signifi cant related
party transactions other than transactions with
affi liated companies in the ordinary course
of business. See note 12 to the consolidated
fi nancial statements for further discussion.
In October 2000, the European Union enforced
a directive that requires member states to
promulgate regulations implementing the
following:
• manufacturers shall bear all or a signifi cant
part of the costs for taking back end-of-life
vehicles put on the market after July 1, 2002
and dismantling and recycling those vehicles.
Beginning January 1, 2007, this requirement will
also be applicable to vehicles put on the market
before July 1, 2002;
• manufacturers may not use certain hazardous
materials in vehicles sold after July 2003;
• vehicles type-approved and put on the market
after December 15, 2008 shall be re-usable
and/or recyclable to a minimum of 85% by
weight per vehicle and shall be re-usable and/
or recoverable to a minimum of 95% by weight
per vehicle; and
• end-of-life vehicles must meet actual re-use of
80% and re-use as material or energy of 85%,
respectively, of vehicle weight by 2006, rising to
85% and 95%, respectively, by 2015.
See note 23 to the consolidated fi nancial
statements for further discussion.
Related party transactions
Legislation regarding end-of-life vehicles
Recent accounting pronouncements in the United States
In June 2009, the Financial Accounting Standards
Board (FASB) issued updated guidance of
accounting for and disclosure of transfers and
servicing. This guidance eliminates the concept
of a qualifying special purpose entity, changes
the requirements for derecognizing fi nancial
Financial Section
Financial Section Investor Information
Corporate Information Special Feature
Consolidated
Performance Highlights
Business Overview
Top Messages
Management's Discussion and Analysis of
Financial Condition and Results of Operations