Claims for defects in water supply construction performed in prior years and damages litigation
First written in FY2016-Q3. 5 of 7 entries say "Materialised", first in FY2016. Latest entry: FY2018.
Ohmori moved to the "Worse" side of this theme in 2016.
1 other company's latest entry also says "Dropped".
- FY2018DroppedAnnual report
「Ordinary profit was ¥307 million, an increase of ¥305 million from the prior fiscal year, when ordinary profit was ¥1 million, despite ¥15 million in costs related to the acquisition of shares in a subsidiary and other expenses. The increase was attributable to higher operating profit and the absence of the ¥300 million litigation loss recorded in the prior consolidated fiscal year.」
The lawsuit relating to the prior-year water supply construction project was not newly recorded as a loss factor in the current fiscal year; the prior-year litigation loss was described as a factor affecting past results. - FY2017MaterialisedAnnual report
「Net cash provided by operating activities was ¥221.429 million, mainly due to a payment of ¥300.077 million for damages, shown as a negative amount.」
In connection with the lawsuit relating to the prior-year water supply construction project, the company recorded a litigation-related loss of ¥300.077 million and included the damages payment in cash flows. In contrast, the standalone financial statements for the fiscal year reported no contingent liabilities. - FY2017-Q3MaterialisedAnnual report
「Of ¥349.755 million in non-operating expenses, the company recorded a litigation loss of ¥300.077 million, resulting in an ordinary loss of ¥220 million.」
The company continued to recognize a ¥300.077 million litigation loss in its financial results in connection with the lawsuit relating to the prior-year water supply construction project. - FY2017-Q2MaterialisedAnnual report
「Non-current liabilities were ¥1.320 billion. The main components were long-term borrowings of ¥702 million, a litigation loss provision of ¥302 million, and long-term accounts payable of ¥266 million.」
In addition to the continued recognition of the litigation loss provision following the first-instance judgment, operating cash outflows arose from the deposit of ¥205 million in connection with the litigation, rather than ¥2 billion in court deposits. - FY2017-Q1MaterialisedAnnual report
「Ordinary loss was ¥306 million and net loss attributable to owners of the parent was ¥307 million, mainly because the company recorded a litigation loss provision following the first-instance judgment in the damages lawsuit filed by the Tokyo Metropolitan Bureau of Waterworks.」
Following the first-instance judgment in the lawsuit relating to the prior-year water supply construction project, the company recorded a litigation loss provision, which became a factor contributing to the quarterly loss. - FY2016MaterialisedAnnual report
「Unfortunately, the court did not accept the company's arguments. On 7 October 2016, the court ruled that the company must pay ¥227,209,500 in remedial costs, an amount calculated at an annual rate of 6% from 27 December 2011 until payment, and litigation costs.」
The company lost at first instance in the ongoing damages lawsuit. It appealed to the Tokyo High Court and also stated its policy of recording a ¥252.459 million litigation loss provision in the following fiscal year as a subsequent event. - FY2016-Q3First statedAnnual report
「Regarding a water supply construction project completed by the company in a prior year, the Tokyo Metropolitan Bureau of Waterworks identified defects in the construction and demanded ¥227,209,500 from the company to cover the cost of remedying them.」
The amount claimed for remedial costs is specified, and the main text also states that the Tokyo Metropolitan Bureau of Waterworks filed a damages lawsuit and that the trial was ongoing.