Renesas Electronics Corporation (TSE: 6723) today announced the recording of special loss in the six months ended September 30, 2013 (the period from April 1, 2013 to September 30, 2013).
1. Outline of the special loss
- Based on the results of the early retirement program announced in the press releases, “Renesas Electronics Announces Results of Early Retirement Program” dated September 27, 2013, Renesas Group recorded structural reform cost of approximately 12.3 billion yen as special loss for the six months ended September 30, 2013. Renesas anticipates the program will result in reduction of annual personnel cost by approximately 18 billion yen
- In connection with the transfer of equity interest in consolidated subsidiary, as announced in the press release “Notice Regarding Transfer of Equity Interest in Consolidated Subsidiary” dated September 27, 2013, Renesas recorded impairment loss for long-term assets, etc. of approximately 4.2 billion yen as special loss for the six months ended September 30, 2013.
In billions of yen
| Total impairment loss, etc. in the second quarter ended September 30, 2013 (the period from July 1, 2013 to September 30, 2013) (=a-b) | 3.5 | |
|---|---|---|
| (a) Total impairment loss, etc. in the six months ended September 30, 2013 (the period from April 1, 2013 to September 30, 2013) | 4.2 | |
| (b)Total impairment loss, etc. in the first quarter ended June 30, 2013 (the period from April 1, 2013 to June 30, 2013) | 0.6 | |
2. Impact on Renesas' financial results
The impact of the recording of special loss on business performance has already been incorporated into the financial results for the six months ended September 30, 2013, announced today.
Forward-Looking Statements
The statements in this press release with respect to the plans, strategies and financial outlook of Renesas Electronics and its consolidated subsidiaries (collectively “we”) are forward-looking statements involving risks and uncertainties. We caution you in advance that actual results may differ materially from such forward-looking statements due to several important factors including, but not limited to, general economic conditions in our markets, which are primarily Japan, North America, Asia, and Europe; demand for, and competitive pricing pressure on, products and services in the marketplace; ability to continue to win acceptance of products and services in these highly competitive markets; and fluctuations in currency exchange rates, particularly between the yen and the U.S. dollar. Among other factors, downturn of the world economy; deteriorating financial conditions in world markets, or deterioration in domestic and overseas stock markets, may cause actual results to differ from the projected results forecast.
About Renesas Electronics Corporation
Renesas Electronics Corporation (TSE: 6723) delivers trusted embedded design innovation with complete semiconductor solutions that enable billions of connected, intelligent devices to enhance the way people work and live. A global leader in microcontrollers, analog, power and SoC products, Renesas provides comprehensive solutions for a broad range of automotive, industrial, infrastructure, and IoT applications that help shape a limitless future. Learn more at renesas.com. Follow us on LinkedIn, Facebook, Twitter, and YouTube.
The content in the press release, including, but not limited to, product prices and specifications, is based on the information as of the date indicated on the document, but may be subject to change without prior notice.