The Company's consolidated financial statements are prepared in conformity with United States generally accepted accounting principles.
From this fiscal year, the Company has applied SFAS No.133, "Accounting for Derivative Instruments and Hedging Activities," and SFAS No.138, "Accounting for Certain Derivative Instruments and Certain Hedging Activities, as amendment of SFAS No.133."
Comprehensive income (loss) was reported as a loss of 184.0 billion yen ($1.55 billion) for the first half ended September 30, 2001, and a loss of 21.8 billiion yen for the first half ended September 30, 2000. Comprehensive income (loss) includes net income, increases (decreases) in cumulative translation adjustments, unrealized holding gains (losses) of available-for-sale securities and unrealized gains (losses) of certain derivative intsruments.
Beginning in this fiscal year, Matsushita discloses sales breakdown and business segment information according to the newly reclassified product segments; AVC Networks, Home Appliances, Industrial Equipment, and Components and Devices. Accordingly, sales breakdown and business segment information for the second quarter and first half of fiscal 2001 are restated to correspond to the new segment reclassifications.
Restructuring charges in "other income (deductions)" of the consolidated statement of income for the first half ended September 30, 2001 and 2000 include one-time expenses associated with the implementation of the regional-based employee remuneration system and early retirement programs.
Number of consolidated companies: 337
Number of companies reflected by the equity method: 47
United States dollar amounts are translated from yen for convenience at the rate of U.S. $1.00 = 119 yen, the approximate rate on the Tokyo Foreign Exchange Market on September 28, 2001.