Investment in Operating Leases

12 Months Ended

Mar. 31, 2014

6. Investment in Operating Leases

Investment in operating leases at March 31, 2013 and 2014 consists of the following:


	Millions of yen
	2013			2014
Transportation equipment	¥	752,020		¥	845,820
Measuring and information-related equipment		216,026			228,386
Real estate		817,330			712,828
Other		18,020			17,799

		1,803,396			1,804,833
Accumulated depreciation		(431,329	)		(449,435	)

Net		1,372,067			1,355,398
Accrued rental receivables		23,466			20,288

	¥	1,395,533		¥	1,375,686

Gains and losses from the disposition of real estate under operating leases are disclosed separately as gains on sales of real estate under operating leases or income from discontinued operations, net in the accompanying consolidated statements of income.

For fiscal 2012, 2013 and 2014, gains on sales of operating lease assets other than real estate are ¥14,721 million, ¥14,032 million and ¥17,820 million, respectively, and are included in operating lease revenues.

Costs of operating leases include depreciation and various expenses (insurance, property tax and other). Depreciation and various expenses for fiscal 2012, 2013 and 2014 are as follows:


	Millions of yen
	2012		2013		2014
Depreciation expenses	¥	135,197	¥	145,928	¥	166,234
Various expenses		46,207		48,501		49,655

	¥	181,404	¥	194,429	¥	215,889

The operating lease contracts include non-cancelable lease terms that range up to 23 years. The minimum future rentals on non-cancelable operating leases are as follows:


Years ending March 31,	Millions of yen
2015	¥	170,645
2016		115,619
2017		83,607
2018		55,204
2019		31,553
Thereafter		65,145

Total	¥	521,773

- Definition

The entire disclosure for operating leases of a lessor. This may include a general description of lessor's leasing arrangements for operating leases, including the basis on which contingent rental payments are determined, the existence and terms of renewal or purchase options and escalation clauses, restrictions imposed by lease arrangements, such as those concerning dividends, additional debt, and further leasing, rent holidays, rent concessions, or leasehold improvement incentives and unusual provisions or conditions.

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