Risk of penalties under long-term outsourcing contracts following the temporary suspension of the Hakusan plant
First written in FY2020-Q1. 18 of 21 entries say "Mitigated", first in FY2020-Q2. Latest entry: FY2026-H1.
0 other companies' latest entry also says "Mitigated".
- FY2026-H1MitigatedAnnual report
「Interim consolidated accounting period ended 30 September 2025 (1) Guarantees of liabilities: None.」
Regarding debt guarantees related to long-term outsourcing agreements associated with the transfer of the Hakusan Plant, the company stated that there were no applicable matters at the end of the six-month period. The previous guarantee risk was no longer disclosed. - FY2025-H1MitigatedAnnual report
「As a result, the estimated amount of debt guarantees as of the end of the interim consolidated accounting period was ¥53 million.」
The expected amount of guarantees related to long-term outsourcing agreements associated with the transfer of the Hakusan Plant declined from ¥245 million at the end of the previous fiscal year to ¥53 million, reducing guarantee risk. - FY2024MitigatedAnnual report
「The amount of debt guarantees expected to be outstanding at the end of the current consolidated fiscal year as a result of this was ¥245 million.」
The estimated amount of guarantees related to long-term outsourcing agreements associated with the transfer of the Hakusan Plant declined from ¥954 million in the previous fiscal year to ¥245 million, reducing guarantee risk. - FY2024-Q3MitigatedAnnual report
「The amount of guarantees expected to be provided at the end of the third quarter of the current consolidated fiscal period in connection with this matter was ¥422 million.」
The estimated amount of debt guarantees related to long-term outsourcing agreements associated with the transfer of the Hakusan Plant decreased from ¥599 million at the end of the previous quarter to ¥422 million, reducing guarantee risk. - FY2024-Q2MitigatedAnnual report
「As a result, the expected amount of debt guarantees at the end of the second-quarter consolidated accounting period was ¥599 million.」
The expected amount of guarantees related to long-term outsourcing agreements associated with the transfer of the Hakusan Plant declined from ¥954 million at the end of the previous fiscal year to ¥599 million. - FY2024-Q1MitigatedAnnual report
「The amount of debt guarantees expected to be outstanding at the end of the first quarter of the current consolidated accounting period as a result of this was ¥776 million.」
The amount of debt guarantees expected to arise in connection with the long-term outsourcing agreement accompanying the transfer of the Hakusan Plant declined from ¥954 million at the end of the previous fiscal year to ¥776 million. - FY2023MitigatedAnnual report
「The amount of debt guarantees expected to be incurred as of the end of the consolidated fiscal year was ¥954 million.」
The estimated amount of guarantees for liabilities related to the long-term outsourcing agreement associated with the transfer of the Hakusan Plant declined from ¥1,662 million at the end of the previous fiscal year to ¥954 million. - FY2023-Q3MitigatedAnnual report
「As a result, the amount of expected guarantees as of the end of the third quarter of the current consolidated accounting period was ¥1,131 million.」
The expected amount of debt guarantees related to long-term outsourcing agreements accompanying the transfer of the Hakusan Plant declined to ¥1,131 million from ¥1,662 million at the end of the previous fiscal year and ¥1,308 million at the end of the previous quarter. Guarantee risk remains, but the expected amount has decreased. - FY2023-Q2MitigatedAnnual report
「The amount of debt guarantees expected to be incurred as of the end of the second quarter of the consolidated fiscal year was ¥1,308 million.」
The estimated amount of guarantees related to long-term outsourcing agreements associated with the transfer of the Hakusan Plant declined from ¥1,662 million at the end of the previous fiscal year to ¥1,308 million. Guarantee risk remains, but the estimated amount decreased. - FY2023-Q1MitigatedAnnual report
「The amount of guarantees expected to be provided as of the end of the first quarter of the current consolidated fiscal year was ¥1,485 million.」
The expected amount of debt guarantees related to long-term outsourcing agreements associated with the transfer of the Hakusan Plant decreased from ¥1,662 million at the end of the previous fiscal year to ¥1,485 million. Guarantee risk remains, but the expected amount has declined. - FY2022MitigatedAnnual report
「The expected amount of debt guarantees at the end of the current consolidated fiscal year was ¥1,662 million.」
The estimated amount of guarantees related to long-term outsourcing contracts associated with the transfer of the Hakusan Plant decreased from ¥2,408 million at the end of the previous fiscal year to ¥1,662 million. - FY2022-Q3MitigatedAnnual report
「The estimated amount of guarantees at the end of the third quarter of the fiscal year was ¥1,839 million. The Company stated that this estimate could change due to the occurrence of new events or other factors.」
The estimated amount of guarantees related to long-term outsourcing agreements associated with the transfer of the Hakusan Plant declined to ¥1,839 million from ¥2,408 million at the end of the previous fiscal year. Guarantee risks remain, but the estimated amount decreased. - FY2022-Q2MitigatedAnnual report
「The expected amount of guarantees for liabilities at the end of the second-quarter consolidated accounting period was ¥2,017 million. The Company stated that this expected amount may change due to the occurrence of new events or other factors.」
The estimated amount of guarantees for liabilities related to the long-term outsourcing contract associated with the transfer of the Hakusan plant declined from ¥2,408 million at the end of the previous fiscal year to ¥2,017 million. Guarantee risk remains, but the estimated amount also declined from the end of the previous quarter. - FY2022-Q1MitigatedAnnual report
「The expected amount of debt guarantees at the end of the first quarter of the current consolidated fiscal period was ¥2,194 million.」
The expected amount of guarantees for liabilities related to the long-term outsourcing agreement associated with the transfer of the Hakusan Plant decreased to ¥2,194 million from ¥2,408 million at the end of the previous fiscal year. - FY2021-Q3MitigatedAnnual report
「Accordingly, the amount of guarantees expected to be provided as of the end of the third quarter consolidated accounting period was ¥2,622 million. The expected amount may change in the future due to the occurrence of new events or other factors.」
In connection with the transfer of the Hakusan Plant, the transferee succeeded to the long-term outsourcing agreement, and the company’s risk changed from the possibility of directly bearing penalties and other costs to providing a joint and several guarantee with the transferee. The estimated amount of guaranteed obligations was ¥2,622 million. - FY2021-Q2ReframedAnnual report
「The company agreed that, if the transferee of the plant's assets succeeds to the outsourcing agreement, effective 1 October of that year, the company will jointly and severally guarantee with the transferee any damages incurred by businesses outside the group.」
The risk of penalties under long-term outsourcing agreements associated with the suspension of the Hakusan Plant changed to joint and several guarantee obligations with the transferee in connection with the transfer of the plant's assets. The unexpired balance at the end of the second quarter was stated to be ¥2,836 million. - FY2021-Q1MitigatedAnnual report
「At the end of the first quarter of the current consolidated fiscal period, the total unexpired balance was ¥2,542 million.」
Regarding the long-term outsourcing agreement related to the suspension of operations at the Hakusan Plant, the remaining balance declined to ¥2,542 million from ¥10,648 million at the end of the previous fiscal year. The filing did not state that the possibility of penalties or other payments had been completely eliminated. - FY2020RestatedAnnual report
「At the Hakusan Plant, the company has entered into long-term outsourcing agreements with multiple non-Group contractors for operating water-treatment facilities and other equipment required for production. At the end of the consolidated fiscal year, the total outstanding balance under these agreements was ¥10,648 million, with remaining terms of 1 to 7 years.」
The risks, including penalties under long-term outsourcing contracts associated with the continued suspension of the Hakusan plant, were reiterated. The unexpired balance was ¥10,648 million, and the possibility of liabilities arising upon suspension or termination remains. - FY2020-Q3MitigatedAnnual report
「The company has entered into long-term outsourcing agreements with multiple external contractors for operating water-treatment facilities and other equipment required for production at the Hakusan Plant. The total unexpired balance at the end of the third quarter of the current consolidated fiscal period was ¥10,602 million, with 2 to 7 years remaining.」
The remaining balance of the long-term outsourcing agreement associated with the suspension of the Hakusan Plant declined from ¥11,554 million at the end of the second quarter to ¥10,602 million. The possibility of penalties and other costs if operations do not resume remains. - FY2020-Q2MitigatedAnnual report
「At the Hakusan Plant, the Company has entered into long-term outsourcing agreements with several non-Group contractors for operating water-treatment and other equipment required for production. At the end of the second quarter of the current consolidated fiscal year, the total unexpired balance was ¥11,554 million, with 2 to 7 years remaining.」
The risk of penalties and other costs if the Hakusan Plant is not restarted remains, but the remaining balance under the long-term outsourcing agreement declined from ¥12,505 million at the end of the first quarter to ¥11,554 million. - FY2020-Q1First statedAnnual report
「At the Hakusan Plant, the Company had entered into long-term outsourcing agreements with multiple companies outside the Group for operating water treatment and other facilities required for production. The total unexpired balance at the end of the first quarter of the fiscal year was ¥12,505 million, with 2 to 7 years remaining. Although the Board of Directors resolved on 12 June 2019 to temporarily suspend operations at the Hakusan Plant, if operations are not resumed, the Company may be required to recognize and pay liabilities such as penalties under these long-term outsourcing agreements.」
In connection with the temporary suspension of operations at the Hakusan Plant, the possibility of penalties and other costs arising if operations do not resume was newly identified as a risk for long-term outsourcing agreements with an unexpired balance of ¥12,505 million and remaining terms of 2 to 7 years.