Asset Value Decline and Disposal Loss Risks for Vessels, Aircraft and Other Assets

「減損損失 177 －」

「Impairment losses 1,545 1,382」

「Impairment losses － 120」

「During the consolidated fiscal year, the carrying amounts of assets held for sale were reduced to their recoverable amounts because their expected sale prices were below their carrying amounts. For groups of operating assets whose profitability had deteriorated significantly due to weak performance and other factors, the carrying amounts were also reduced to their recoverable amounts. The resulting reduction of ¥1,545 million was recognised as an impairment loss under extraordinary losses.」

「Impairment losses 27,951 162」

「Impairment losses 18,810 154」

「Impairment losses 17,844 －」

「During the consolidated fiscal year, the carrying amounts of assets held for sale were reduced to their recoverable amounts because their expected sale prices were below their carrying amounts. For groups of goodwill and operating assets whose profitability had deteriorated significantly due to weak performance and other factors, the carrying amounts were also reduced to their recoverable amounts. The resulting reduction of ¥27,951 million was recognised as an impairment loss under extraordinary losses.」

「Impairment losses 792 21,477」

「Impairment losses 144 18,810」

「Impairment losses 11 17,844」

「During the consolidated fiscal year, the carrying amounts of assets held for sale were reduced to their recoverable amounts because their expected sale prices were below their carrying amounts. For groups of operating assets whose profitability had deteriorated significantly due to weak performance and other factors, the carrying amounts were also reduced to their recoverable amounts. The resulting reduction of ¥2,810 million was recognised as an impairment loss under extraordinary losses.」

「Impairment losses 8,341 144」

「Impairment losses 18,192 10,334」

「Impairment losses 1,028 8,341」

「During the consolidated fiscal year, the carrying amounts of assets held for sale were reduced to their recoverable amounts because their expected sale prices were below their carrying amounts. For groups of operating assets whose profitability had deteriorated significantly due to weak performance and other factors, the carrying amounts were also reduced to their recoverable amounts. The resulting reduction of ¥20,655 million was recognised as an impairment loss under extraordinary losses.」

「In the air transport business, the decline in demand caused by the US-China trade dispute and other factors continued, resulting in lower cargo load factors and freight rates and the recognition of a loss. In addition, as the downturn in the air cargo market continued to be worse than expected, we reviewed the future recoverability of fixed assets, including aircraft, spare engines and parts, and recognised approximately ¥15.7 billion in extraordinary losses as impairment losses in the third quarter.」

「During the consolidated fiscal year, the carrying amounts of assets held for sale were reduced to their recoverable amounts because their expected sale prices were below their carrying amounts. For groups of operating assets whose profitability had deteriorated significantly due to weak performance and other factors, the carrying amounts were also reduced to their recoverable amounts. The resulting reduction of ¥18,886 million was recognised as an impairment loss under extraordinary losses.」

「In addition, as one of the improvement measures described above, we decided to limit the aircraft operated to a single model, the Boeing 747-8F. In connection with this, we recognised extraordinary losses, including impairment losses on the Boeing 747-400F aircraft and spare engines held.」

「When market conditions are weak and the market prices of vessels and aircraft are falling, there may be cases in which vessels and aircraft that have not been fully depreciated must be sold at prices below their carrying amounts, potentially resulting in a loss on sale.」

「When market conditions are weak and the market prices of vessels and aircraft are falling, there may be cases in which vessels and aircraft that have not been fully depreciated must be sold at prices below their carrying amounts, potentially resulting in a loss on sale. Even if they are not sold, if the current market downturn does not recover or worsens further, the value of vessels, aircraft and other assets may decline, potentially resulting in impairment losses.」