NGK INSULATORS, LTD.


Global menu

  1. Home>
  2. NGK News>
  3. 2014>
  4. December 10, 2014

Main contents.

December 10, 2014

Company Name: NGK INSULATORS, LTD.
Listing Code: 5333
Stock Exchange Listings: Tokyo and Nagoya
Representative: Taku Oshima (Mr.)
President
Contact: Hideaki Shindo (Mr.)
General Manager
Finance & Accounting Department
(TEL: +81-52-872-7230)

Notice Regarding Gain on Change in Equity due to Issuance of New Shares and Disposal of Treasury Stock by Associate Accounted for by Using the Equity Method

NGK Insulators, Ltd. (President Taku Oshima; Headquarters: Nagoya, Japan; NGK) announced today that it will post "gain on change in equity" as extraordinary income on the grounds that its associate accounted for by using the equity method METAWATER Co., Ltd. (METAWATER) is set to issue new shares and dispose of its treasury stock both through public offering undertaken for a stock exchange listing.

1. Details of the Event

NGK's associate accounted for by using the equity method METAWATER is set to issue new shares and dispose of its treasury stock both through public offering (offer price: \2,400 per share, number of new shares to be issued: 5,000,000, number of treasury stock to be disposed of: 5,000,000, share delivery date: December 19, 2014). As a result, while the percentage of NGK's ownership of the associate will fall, the value of its equity interest will rise as net assets of the associate increases. In light of this, NGK will post "gain on change in equity" as extraordinary income in the consolidated financial results for the nine months ending December 31, 2014.

2. Impact of the Event on the Consolidated Profit and Loss

Extraordinary income for the nine months ending December 31, 2014 associated with "gain on change in equity" is expected to be approximately \3,400 million, but on the other hand the percentage of NGK's ownership of METAWATER will decline. As a result, "equity in earnings of unconsolidated subsidiaries and associated companies" (that reflects METAWATER's net income for the year ending March 31, 2015) to be posted as non-operating income for the same period is expected to be lower than previously forecast.

If there is a need to revise forecasts of consolidated financial results for the year ending March 31, 2015, including these changes stated above, NGK will immediately disclose updated information.


NGK News menu

NGK News


Page top

NGK INSULATORS, LTD.