14. Short-Term and Long-Term Debt

Short-term debt consists of borrowings from financial institutions, commercial paper and notes.

The composition of short-term debt and the weighted average contract interest rate on short-term debt at March 31, 2013 and 2014 are as follows:

March 31, 2013


	Millions of yen		Weighted average rate
Short-term debt in Japan, mainly from banks	¥	164,046		0.4	%
Short-term debt outside Japan, mainly from banks		104,542		3.3
Commercial paper in Japan		146,944		0.2
Commercial paper outside Japan		4,560		3.8
Notes in Japan		40		0.9
Notes outside Japan		594		4.3

	¥	420,726		1.1

March 31, 2014


	Millions of yen		Weighted average rate
Short-term debt in Japan, mainly from banks	¥	44,488		0.5	%
Short-term debt outside Japan, mainly from banks		164,110		3.2
Commercial paper in Japan		89,958		0.2
Commercial paper outside Japan		11,035		3.9

	¥	309,591		2.0

The composition of long-term debt, the weighted average contract interest rate on long-term debt and the repayment due dates at March 31, 2013 and 2014 are as follows:

March 31, 2013


	Due (Fiscal Year)		Millions of yen		Weighted average rate
Banks:
Fixed rate		2014~2025	¥	339,565		2.6	%
Floating rate		2014~2027		1,233,059		1.1
Insurance companies and others:
Fixed rate		2014~2023		280,729		1.6
Floating rate		2014~2028		246,055		0.9
Unsecured bonds		2014~2021		1,173,902		1.8
Unsecured convertible bonds with stock acquisition rights		2014		50,289		1.0
Unsecured notes under medium-term note program		2014~2018		58,169		2.9
Payables under securitized lease receivables		2014~2019		160,163		0.9
Payables under securitized loan receivables and investment in securities		2014~2039		519,603		4.9

			¥	4,061,534		2.0

March 31, 2014


	Due (Fiscal Year)		Millions of yen		Weighted average rate
Banks:
Fixed rate		2015~2030	¥	416,417		2.3	%
Floating rate		2015~2030		1,475,384		1.1
Insurance companies and others:
Fixed rate		2015~2024		287,403		1.4
Floating rate		2017~2028		251,021		0.7
Unsecured bonds		2015~2024		1,128,788		1.9
Unsecured notes under medium-term note program		2016~2018		46,034		3.2
Payables under securitized lease receivables		2018~2019		122,723		0.8
Payables under securitized loan receivables and investment in securities		2018~2040		131,104		4.1

			¥	3,858,874		1.6

The repayment schedule for the next five years and thereafter for long-term debt at March 31, 2014 is as follows:


Years ending March 31,	Millions of yen
2015	¥	706,325
2016		766,654
2017		806,441
2018		697,123
2019		374,957
Thereafter		507,374

Total	¥	3,858,874

For borrowings from banks, insurance companies and other financial institutions, and for bonds, interest payments are usually paid semi-annually and principal repayments are made upon maturity of the loan contracts or bonds. For medium-term notes, interest payments are mainly made semi-annually and principal is repaid upon maturity of the notes.

For unsecured convertible bond with stock acquisition rights, the Company issued series three unsecured convertible bond with stock acquisition rights of ¥150,000 million in December 2008. There were no balance of convertible bonds as of March 31, 2014.

During fiscal 2012, 2013 and 2014, the Company and certain subsidiaries recognized net amortization expenses of premiums and discounts of bonds and medium-term notes, and deferred issuance costs of bonds and medium-term notes in the amount of ¥3,999 million, ¥1,002 million and ¥618 million, respectively.

Total committed credit lines for the Company and its subsidiaries were ¥481,096 million and ¥469,747 million at March 31, 2013 and 2014, respectively, and, of these lines, ¥439,530 million and ¥427,225 million were available at March 31, 2013 and 2014, respectively. Of the available committed credit lines, ¥230,586 million and ¥282,609 million were long-term committed credit lines at March 31, 2013 and 2014, respectively.

Some of the debt and commitment contracts contain covenant clauses, and some of these include financial restrictions, such as maintenance of certain ORIX Corporation shareholders’ equity ratios. As of March 31, 2014, the Company and its subsidiaries were in compliance with such objective covenant requirements.

The agreements related to debt payable to banks provide that the banks under certain circumstances may request additional security for loans and have the right to offset cash deposited against any short-term or long-term debt that becomes due and, in case of default and certain other specified events, against all other debt payable to the banks.

Other than the assets of the consolidated VIEs pledged as collateral for financing described in Note 11 (“Variable Interest Entities”), the Company and certain subsidiaries provide the following assets as collateral for the short-term and long-term debt payables to financial institutions as of March 31, 2014:


	Millions of yen
Minimum lease payments, loans and investment in operating leases	¥	96,083
Investment in securities		130,991
Other operating assets		61,784
Other assets		50,206

	¥	339,064

As of March 31, 2014, investment in securities of ¥27,238 million was pledged for primarily collateral deposits.

Under loan agreements relating to short-term and long-term debt from commercial banks and certain insurance companies, the Company and certain subsidiaries are required to provide collateral against these debts at any time if requested by the lenders. The Company and the subsidiaries did not receive any such requests from the lenders as of March 31, 2014.