Document_and_Entity_Informatio
Document and Entity Information | 12 Months Ended |
Dec. 31, 2013 | |
Document Information [Line Items] | ' |
Document Type | '20-F |
Amendment Flag | 'false |
Document Period End Date | 31-Dec-13 |
Document Fiscal Year Focus | '2013 |
Document Fiscal Period Focus | 'FY |
Trading Symbol | 'CAJ |
Entity Registrant Name | 'CANON INC |
Entity Central Index Key | '0000016988 |
Current Fiscal Year End Date | '--12-31 |
Entity Well-known Seasoned Issuer | 'Yes |
Entity Current Reporting Status | 'Yes |
Entity Filer Category | 'Large Accelerated Filer |
Entity Common Stock, Shares Outstanding | 1,136,999,404 |
Consolidated_Balance_Sheets
Consolidated Balance Sheets (JPY ¥) | Dec. 31, 2013 | Dec. 31, 2012 |
In Millions, unless otherwise specified | ||
Current assets: | ' | ' |
Cash and cash equivalents (Note 1) | ¥ 788,909 | ¥ 666,678 |
Short-term investments (Note 2) | 47,914 | 28,322 |
Trade receivables, net (Note 3) | 608,741 | 573,375 |
Inventories (Note 4) | 553,773 | 551,623 |
Prepaid expenses and other current assets (Notes 6, 11 and 16) | 286,605 | 262,258 |
Total current assets | 2,285,942 | 2,082,256 |
Noncurrent receivables (Note 17) | 19,276 | 19,702 |
Investments (Note 2) | 70,358 | 56,617 |
Property, plant and equipment, net (Notes 5 and 6) | 1,278,730 | 1,260,364 |
Intangible assets, net (Note 7) | 145,075 | 135,736 |
Other assets (Notes 6, 7, 10 and 11) | 443,329 | 400,828 |
Total assets | 4,242,710 | 3,955,503 |
Current liabilities: | ' | ' |
Short-term loans and current portion of long-term debt (Note 8) | 1,299 | 1,866 |
Trade payables (Note 9) | 307,157 | 325,235 |
Accrued income taxes (Note 11) | 53,196 | 60,057 |
Accrued expenses (Notes 10 and 17) | 315,536 | 291,348 |
Other current liabilities (Notes 5, 11 and 16) | 171,119 | 165,929 |
Total current liabilities | 848,307 | 844,435 |
Long-term debt, excluding current installments (Note 8) | 1,448 | 2,117 |
Accrued pension and severance cost (Note 10) | 229,664 | 272,131 |
Other noncurrent liabilities (Note 11) | 96,514 | 82,518 |
Total liabilities | 1,175,933 | 1,201,201 |
Commitments and contingent liabilities (Note 17) | ' | ' |
Canon Inc. stockholders' equity: | ' | ' |
Common stock Authorized 3,000,000,000 shares; issued 1,333,763,464 shares in 2013 and 2012 | 174,762 | 174,762 |
Additional paid-in capital | 402,029 | 401,547 |
Legal reserve (Note 12) | 63,091 | 61,663 |
Retained earnings (Note 12) | 3,212,692 | 3,138,976 |
Accumulated other comprehensive income (loss) (Note 13) | -80,646 | -367,249 |
Treasury stock, at cost; 196,764,060 shares in 2013 and 180,972,173 shares in 2012 | -861,666 | -811,673 |
Total Canon Inc. stockholders' equity | 2,910,262 | 2,598,026 |
Noncontrolling interests | 156,515 | 156,276 |
Total equity | 3,066,777 | 2,754,302 |
Total liabilities and equity | ¥ 4,242,710 | ¥ 3,955,503 |
Consolidated_Balance_Sheets_Pa
Consolidated Balance Sheets (Parenthetical) | Dec. 31, 2013 | Dec. 31, 2012 |
Common stock, shares authorized | 3,000,000,000 | 3,000,000,000 |
Common stock, shares issued | 1,333,763,464 | 1,333,763,464 |
Treasury stock, shares | 196,764,060 | 180,972,173 |
Consolidated_Statements_of_Inc
Consolidated Statements of Income (JPY ¥) | 12 Months Ended | ||
In Millions, except Per Share data, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Net sales | ¥ 3,731,380 | ¥ 3,479,788 | ¥ 3,557,433 |
Cost of sales (Notes 5, 7, 10 and 17) | 1,932,959 | 1,829,822 | 1,820,670 |
Gross profit | 1,798,421 | 1,649,966 | 1,736,763 |
Operating expenses (Notes 1, 5, 7, 10, 14 and 17): | ' | ' | ' |
Selling, general and administrative expenses | 1,154,820 | 1,029,646 | 1,050,892 |
Research and development expenses | 306,324 | 296,464 | 307,800 |
Operating Expenses, Total | 1,461,144 | 1,326,110 | 1,358,692 |
Operating profit | 337,277 | 323,856 | 378,071 |
Other income (deductions): | ' | ' | ' |
Interest and dividend income | 6,579 | 6,792 | 8,432 |
Interest expense | -550 | -1,022 | -988 |
Other, net (Notes 1, 2, 16 and 19) | 4,298 | 12,931 | -10,991 |
Nonoperating Income (Expense), Total | 10,327 | 18,701 | -3,547 |
Income before income taxes | 347,604 | 342,557 | 374,524 |
Income taxes (Note 11) | 108,088 | 110,112 | 120,415 |
Consolidated net income | 239,516 | 232,445 | 254,109 |
Less: Net income attributable to noncontrolling interests | 9,033 | 7,881 | 5,479 |
Net income attributable to Canon Inc. | ¥ 230,483 | ¥ 224,564 | ¥ 248,630 |
Net income attributable to Canon Inc. stockholders per share (Note 15): | ' | ' | ' |
Basic | ¥ 200.78 | ¥ 191.34 | ¥ 204.49 |
Diluted | ¥ 200.78 | ¥ 191.34 | ¥ 204.48 |
Cash dividends per share | ¥ 130 | ¥ 130 | ¥ 120 |
Consolidated_Statements_of_Com
Consolidated Statements of Comprehensive Income (JPY ¥) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Consolidated net income | ¥ 239,516 | ¥ 232,445 | ¥ 254,109 |
Other comprehensive income (loss), net of tax (Note 13): | ' | ' | ' |
Foreign currency translation adjustments | 251,576 | 133,735 | -54,086 |
Net unrealized gains and losses on securities | 6,612 | 3,265 | -2,116 |
Net gains and losses on derivative instruments | 2,056 | -4,880 | -449 |
Pension liability adjustments | 32,669 | -12,787 | -38,377 |
Other comprehensive income (loss), Net-of-tax amount | 292,913 | 119,333 | -95,028 |
Comprehensive income | 532,429 | 351,778 | 159,081 |
Less: Comprehensive income attributable to noncontrolling interests | 14,688 | 10,824 | 1,765 |
Comprehensive income attributable to Canon Inc. | ¥ 517,741 | ¥ 340,954 | ¥ 157,316 |
Consolidated_Statements_of_Equ
Consolidated Statements of Equity (JPY ¥) | Total | Common stock | Additional paid-in capital | Legal reserve | Retained earnings | Accumulated other comprehensive income (loss) | Treasury stock | Total Canon Inc. stockholders' equity | Non- controlling interests |
In Millions, unless otherwise specified | |||||||||
Beginning Balance at Dec. 31, 2010 | ¥ 2,809,637 | ¥ 174,762 | ¥ 400,425 | ¥ 57,930 | ¥ 2,965,237 | ¥ (390,459) | ¥ (562,113) | ¥ 2,645,782 | ¥ 163,855 |
Equity transactions with noncontrolling interests and other | 337 | ' | 1,193 | ' | -609 | ' | ' | 584 | -247 |
Dividends paid to Canon Inc. stockholders | -152,784 | ' | ' | ' | -152,784 | ' | ' | -152,784 | ' |
Dividends paid to noncontrolling interests | -2,838 | ' | ' | ' | ' | ' | ' | ' | -2,838 |
Transfer to legal reserve | ' | ' | ' | 1,074 | -1,074 | ' | ' | ' | ' |
Comprehensive income: | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Net income | 254,109 | ' | ' | ' | 248,630 | ' | ' | 248,630 | 5,479 |
Other comprehensive income (loss), net of tax (Note 13): | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Foreign currency translation adjustments | -54,086 | ' | ' | ' | ' | -53,251 | ' | -53,251 | -835 |
Net unrealized gains and losses on securities | -2,116 | ' | ' | ' | ' | -2,017 | ' | -2,017 | -99 |
Net gains and losses on derivative instruments | -449 | ' | ' | ' | ' | -462 | ' | -462 | 13 |
Pension liability adjustments | -38,377 | ' | ' | ' | ' | -35,584 | ' | -35,584 | -2,793 |
Comprehensive income | 159,081 | ' | ' | ' | ' | ' | ' | 157,316 | 1,765 |
Repurchase of treasury stock, net | -99,766 | ' | -46 | ' | -102 | ' | -99,618 | -99,766 | ' |
Ending Balance at Dec. 31, 2011 | 2,713,667 | 174,762 | 401,572 | 59,004 | 3,059,298 | -481,773 | -661,731 | 2,551,132 | 162,535 |
Equity transactions with noncontrolling interests and other | -15,321 | ' | -16 | ' | 152 | -1,866 | ' | -1,730 | -13,591 |
Dividends paid to Canon Inc. stockholders | -142,362 | ' | ' | ' | -142,362 | ' | ' | -142,362 | ' |
Dividends paid to noncontrolling interests | -3,492 | ' | ' | ' | ' | ' | ' | ' | -3,492 |
Transfer to legal reserve | ' | ' | ' | 2,659 | -2,659 | ' | ' | ' | ' |
Comprehensive income: | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Net income | 232,445 | ' | ' | ' | 224,564 | ' | ' | 224,564 | 7,881 |
Other comprehensive income (loss), net of tax (Note 13): | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Foreign currency translation adjustments | 133,735 | ' | ' | ' | ' | 132,704 | ' | 132,704 | 1,031 |
Net unrealized gains and losses on securities | 3,265 | ' | ' | ' | ' | 3,148 | ' | 3,148 | 117 |
Net gains and losses on derivative instruments | -4,880 | ' | ' | ' | ' | -4,882 | ' | -4,882 | 2 |
Pension liability adjustments | -12,787 | ' | ' | ' | ' | -14,580 | ' | -14,580 | 1,793 |
Comprehensive income | 351,778 | ' | ' | ' | ' | ' | ' | 340,954 | 10,824 |
Repurchase of treasury stock, net | -149,968 | ' | -9 | ' | -17 | ' | -149,942 | -149,968 | ' |
Ending Balance at Dec. 31, 2012 | 2,754,302 | 174,762 | 401,547 | 61,663 | 3,138,976 | -367,249 | -811,673 | 2,598,026 | 156,276 |
Equity transactions with noncontrolling interests and other | -11,053 | ' | 489 | ' | 295 | -655 | ' | 129 | -11,182 |
Dividends paid to Canon Inc. stockholders | -155,627 | ' | ' | ' | -155,627 | ' | ' | -155,627 | ' |
Dividends paid to noncontrolling interests | -3,267 | ' | ' | ' | ' | ' | ' | ' | -3,267 |
Transfer to legal reserve | ' | ' | ' | 1,428 | -1,428 | ' | ' | ' | ' |
Comprehensive income: | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Net income | 239,516 | ' | ' | ' | 230,483 | ' | ' | 230,483 | 9,033 |
Other comprehensive income (loss), net of tax (Note 13): | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Foreign currency translation adjustments | 251,576 | ' | ' | ' | ' | 249,791 | ' | 249,791 | 1,785 |
Net unrealized gains and losses on securities | 6,612 | ' | ' | ' | ' | 6,097 | ' | 6,097 | 515 |
Net gains and losses on derivative instruments | 2,056 | ' | ' | ' | ' | 2,056 | ' | 2,056 | ' |
Pension liability adjustments | 32,669 | ' | ' | ' | ' | 29,314 | ' | 29,314 | 3,355 |
Comprehensive income | 532,429 | ' | ' | ' | ' | ' | ' | 517,741 | 14,688 |
Repurchase of treasury stock, net | -50,007 | ' | -7 | ' | -7 | ' | -49,993 | -50,007 | ' |
Ending Balance at Dec. 31, 2013 | ¥ 3,066,777 | ¥ 174,762 | ¥ 402,029 | ¥ 63,091 | ¥ 3,212,692 | ¥ (80,646) | ¥ (861,666) | ¥ 2,910,262 | ¥ 156,515 |
Consolidated_Statements_of_Cas
Consolidated Statements of Cash Flows (JPY ¥) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Cash flows from operating activities: | ' | ' | ' |
Consolidated net income | ¥ 239,516 | ¥ 232,445 | ¥ 254,109 |
Adjustments to reconcile consolidated net income to net cash provided by operating activities: | ' | ' | ' |
Depreciation and amortization | 275,173 | 258,133 | 261,343 |
Loss on disposal of fixed assets | 10,638 | 11,242 | 8,937 |
Impairment loss of fixed assets | ' | 7 | 598 |
Impairment loss of investments | 39 | 1,527 | 8,130 |
Equity in (earnings) losses of affiliated companies | 664 | -610 | 7,368 |
Deferred income taxes | 16,791 | 7,487 | 29,129 |
Decrease in trade receivables | 45,040 | 5,030 | 9,991 |
(Increase) decrease in inventories | 85,577 | -24,805 | -109,983 |
Increase (decrease) in trade payables | -108,622 | -102,293 | 35,766 |
Increase (decrease) in accrued income taxes | -9,432 | 12,427 | -25,653 |
Increase (decrease) in accrued expenses | -15,635 | -30,089 | 8,938 |
Increase (decrease) in accrued (prepaid) pension and severance cost | -15,568 | 5,515 | -2,315 |
Other, net | -16,539 | 8,061 | -16,796 |
Net cash provided by operating activities | 507,642 | 384,077 | 469,562 |
Cash flows from investing activities: | ' | ' | ' |
Purchases of fixed assets (Note 5) | -233,175 | -316,211 | -238,129 |
Proceeds from sale of fixed assets (Note 5) | 1,763 | 4,861 | 3,273 |
Purchases of available-for-sale securities | -5,771 | -417 | -2,160 |
Proceeds from sale and maturity of available-for-sale securities | 4,528 | 344 | 1,934 |
(Increase)decrease in time deposits, net | -12,483 | 103,137 | -34,111 |
Acquisitions of subsidiaries, net of cash acquired | -4,914 | -704 | 29 |
Purchases of other investments | -296 | -796 | -373 |
Other, net | 136 | -2,954 | 12,994 |
Net cash used in investing activities | -250,212 | -212,740 | -256,543 |
Cash flows from financing activities: | ' | ' | ' |
Proceeds from issuance of long-term debt | 1,483 | 614 | 725 |
Repayments of long-term debt | -2,334 | -3,732 | -4,670 |
Increase (decrease) in short-term loans, net | -547 | -5,055 | 2,466 |
Dividends paid | -155,627 | -142,362 | -152,784 |
Repurchases of treasury stock, net | -50,007 | -149,968 | -99,766 |
Other, net | -15,149 | -19,236 | -3,484 |
Net cash used in financing activities | -222,181 | -319,739 | -257,513 |
Effect of exchange rate changes on cash and cash equivalents | 86,982 | 41,853 | -22,858 |
Net change in cash and cash equivalents | 122,231 | -106,549 | -67,352 |
Cash and cash equivalents at beginning of year | 666,678 | 773,227 | 840,579 |
Cash and cash equivalents at end of year | 788,909 | 666,678 | 773,227 |
Cash paid during the year for: | ' | ' | ' |
Interest | 500 | 1,084 | 914 |
Income taxes | ¥ 108,950 | ¥ 98,096 | ¥ 120,696 |
Basis_of_Presentation_and_Sign
Basis of Presentation and Significant Accounting Policies | 12 Months Ended | ||
Dec. 31, 2013 | |||
Basis of Presentation and Significant Accounting Policies | ' | ||
1 | Basis of Presentation and Significant Accounting Policies | ||
(a) | Description of Business | ||
Canon Inc. (the “Company”) and subsidiaries (collectively “Canon”) is one of the world’s leading manufacturers in such fields as office products, imaging system products and industry and other products. Office products consist mainly of office multifunction devices (“MFDs”), laser multifunction printers (“MFPs”), laser printers, digital production printing systems, high speed continuous feed printers, wide-format printers and document solutions. Imaging system products consist mainly of interchangeable lens digital cameras, digital compact cameras, digital camcorders, digital cinema cameras, interchangeable lenses, inkjet printers, large-format inkjet printers, commercial photo printers, image scanners, multimedia projectors, broadcast equipment and calculators. Industry and other products consist mainly of semiconductor lithography equipment, flat panel display (“FPD”) lithography equipment, digital radiography systems, ophthalmic equipment, vacuum thin-film deposition equipment, organic LED (“OLED”) panel manufacturing equipment, die bonders, micromotors, network cameras, handy terminals and document scanners. Canon’s consolidated net sales for the years ended December 31, 2013, 2012 and 2011 were distributed as follows: the Office Business Unit 53.6%, 50.5% and 53.9%, the Imaging System Business Unit 38.8%, 40.4% and 36.9%, the Industry and Others Business Unit 10.0%, 11.7% and 11.8%, and elimination between segments 2.4%, 2.6% and 2.6%, respectively. These percentages were computed by dividing segment net sales, including intersegment sales, by consolidated net sales, based on the segment operating results described in Note 20. | |||
Sales are made principally under the Canon brand name, almost entirely through sales subsidiaries. These subsidiaries are responsible for marketing and distribution, and primarily sell to retail dealers in their geographic area. 80.8%, 79.3% and 80.5% of consolidated net sales for the years ended December 31, 2013, 2012 and 2011 were generated outside Japan, with 28.4%, 27.0% and 27.0% in the Americas, 30.1%, 29.1% and 31.3% in Europe, and 22.3%, 23.2% and 22.2% in Asia and Oceania, respectively. | |||
Canon sells laser printers on an OEM basis to Hewlett-Packard Company; such sales constituted 17.6%, 17.0% and 19.3% of consolidated net sales for the years ended December 31, 2013, 2012 and 2011, respectively, and are included in the Office Business Unit. | |||
Canon’s manufacturing operations are conducted primarily at 28 plants in Japan and 18 overseas plants which are located in countries or regions such as the United States, Germany, France, the Netherlands, Taiwan, China, Malaysia, Thailand, Vietnam and Philippines. | |||
(b) | Basis of Presentation | ||
The Company and its domestic subsidiaries maintain their books of account in conformity with financial accounting standards of Japan. Foreign subsidiaries maintain their books of account in conformity with financial accounting standards of the countries of their domicile. | |||
Certain adjustments and reclassifications have been incorporated in the accompanying consolidated financial statements to conform with U.S. generally accepted accounting principles (“GAAP”). These adjustments were not recorded in the statutory books of account. | |||
(c) | Principles of Consolidation | ||
The consolidated financial statements include the accounts of the Company, its majority owned subsidiaries and those variable interest entities where the Company or its consolidated subsidiaries are the primary beneficiaries. All significant intercompany balances and transactions have been eliminated. | |||
(d) | Use of Estimates | ||
The preparation of the consolidated financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and the disclosure of contingent assets and liabilities at the date of the consolidated financial statements and the reported amounts of revenues and expenses during the period. Significant estimates and assumptions are reflected in valuation and disclosure of revenue recognition, allowance for doubtful receivables, valuation of inventories, impairment of long-lived assets, environmental liabilities, valuation of deferred tax assets, uncertain tax positions and employee retirement and severance benefit obligations. Actual results could differ materially from those estimates. | |||
(e) | Translation of Foreign Currencies | ||
Assets and liabilities of the Company’s subsidiaries located outside Japan with functional currencies other than Japanese yen are translated into Japanese yen at the rates of exchange in effect at the balance sheet date. Income and expense items are translated at the average exchange rates prevailing during the year. Gains and losses resulting from translation of financial statements are excluded from earnings and are reported in other comprehensive income (loss). | |||
Gains and losses resulting from foreign currency transactions, including foreign exchange contracts, and translation of assets and liabilities denominated in foreign currencies are included in other income (deductions) in the consolidated statements of income. Foreign currency exchange gains and losses was a net loss of ¥1,992 million for the year ended December 31, 2013, a net gain of ¥9,130 million for the year ended December 31, 2012 and a net loss of ¥3,287 million for the year ended December 31, 2011, respectively. | |||
(f) | Cash Equivalents | ||
All highly liquid investments acquired with original maturities of three months or less are considered to be cash equivalents. Certain debt securities with original maturities of less than three months, classified as available-for-sale securities of ¥183,078 million and ¥141,729 million at December 31, 2013 and 2012, respectively, are included in cash and cash equivalents in the consolidated balance sheets. | |||
(g) | Investments | ||
Investments consist primarily of time deposits with original maturities of more than three months, debt and marketable equity securities, investments in affiliated companies and non-marketable equity securities. Canon reports investments with maturities of less than one year as short-term investments. | |||
Canon classifies investments in debt and marketable equity securities as available-for-sale or held-to-maturity securities. Canon does not hold any trading securities, which are bought and held primarily for the purpose of sale in the near term. | |||
Available-for-sale securities are recorded at fair value. Fair value is determined based on quoted market prices, projected discounted cash flows or other valuation techniques as appropriate. Unrealized holding gains and losses, net of the related tax effect, are reported as a separate component of accumulated other comprehensive income (loss) until realized. Held-to-maturity securities are recorded at amortized cost, adjusted for amortization of premiums and accretion of discounts. | |||
Available-for-sale and held-to-maturity securities are regularly reviewed for other-than-temporary declines in the carrying amount based on criteria that include the length of time and the extent to which the market value has been less than cost, the financial condition and near-term prospects of the issuer and Canon’s intent and ability to retain the investment for a period of time sufficient to allow for any anticipated recovery in market value. For debt securities for which the declines are deemed to be other-than-temporary and there is no intent to sell, impairments are separated into the amount related to credit loss, which is recognized in earnings, and the amount related to all other factors, which is recognized in other comprehensive income (loss). For debt securities for which the declines are deemed to be other-than-temporary and there is an intent to sell, impairments in their entirety are recognized in earnings. For equity securities for which the declines are deemed to be other-than-temporary, impairments in their entirety are recognized in earnings. Canon recognizes an impairment loss to the extent by which the cost basis of the investment exceeds the fair value of the investment. | |||
Realized gains and losses are determined by the average cost method and reflected in earnings. | |||
Investments in affiliated companies over which Canon has the ability to exercise significant influence, but does not hold a controlling financial interest, are accounted for by the equity method. | |||
Non-marketable equity securities in companies over which Canon does not have the ability to exercise significant influence are stated at cost and reviewed periodically for impairment. | |||
(h) | Allowance for Doubtful Receivables | ||
Allowance for doubtful trade and finance receivables is maintained for all customers based on a combination of factors, including aging analysis, macroeconomic conditions and historical experience. An additional reserve for individual accounts is recorded when Canon becomes aware of a customer’s inability to meet its financial obligations, such as in the case of bankruptcy filings. If circumstances related to customers change, estimates of the recoverability of receivables would be further adjusted. When all collection options are exhausted including legal recourse, the accounts or portions thereof are deemed to be uncollectable and charged against the allowance. | |||
(i) | Inventories | ||
Inventories are stated at the lower of cost or market value. Cost is determined by the average method for domestic inventories and principally by the first-in, first-out method for overseas inventories. | |||
(j) | Impairment of Long-Lived Assets | ||
Long-lived assets, such as property, plant and equipment, and acquired intangible assets subject to amortization, are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. Recoverability of assets to be held and used is measured by a comparison of the carrying amount of the asset and the estimated undiscounted future cash flows expected to be generated by the asset. If the carrying amount of the asset exceeds its estimated undiscounted future cash flows, an impairment charge is recognized in the amount by which the carrying amount of the asset exceeds the fair value of the asset. Assets to be disposed of by sale are reported at the lower of the carrying amount or fair value less costs to sell, and are no longer depreciated. | |||
(k) | Property, Plant and Equipment | ||
Property, plant and equipment are stated at cost. Depreciation is calculated principally by the declining-balance method, except for certain assets which are depreciated by the straight-line method over the estimated useful lives of the assets. | |||
The depreciation period ranges from 3 years to 60 years for buildings and 1 year to 20 years for machinery and equipment. | |||
Assets leased to others under operating leases are stated at cost and depreciated to the estimated residual value of the assets by the straight-line method over the lease term, generally from 2 years to 5 years. | |||
(l) | Goodwill and Other Intangible Assets | ||
Goodwill and other intangible assets with indefinite useful lives are not amortized, but are instead tested for impairment annually in the fourth quarter of each year, or more frequently if indicators of potential impairment exist. Canon performs its impairment test of goodwill using the two-step approach at the reporting unit level, which is one level below the operating segment level. All goodwill is assigned to the reporting unit or units that benefit from the synergies arising from each business combination. If the carrying amount assigned to the reporting unit exceeds the fair value of the reporting unit, Canon performs the second step to measure an impairment charge in the amount by which the carrying amount of a reporting unit’s goodwill exceeds its implied fair value. | |||
Intangible assets with finite useful lives consist primarily of software, license fees, patented technologies and customer relationships. Software and license fees are amortized using the straight-line method over the estimated useful lives, which range from 3 years to 5 years for software and 5 years to 10 years for license fees. Patented technologies are amortized using the straight-line method principally over the estimated useful life of 3 years. Customer relationships are amortized principally using the declining-balance method over the estimated useful life of 5 years. Certain costs incurred in connection with developing or obtaining internal-use software are capitalized. These costs consist primarily of payments made to third parties and the salaries of employees working on such software development. Costs incurred in connection with developing internal-use software are capitalized at the application development stage. In addition, Canon develops or obtains certain software to be sold where related costs are capitalized after establishment of technological feasibility. | |||
(m) | Environmental Liabilities | ||
Liabilities for environmental remediation and other environmental costs are accrued when environmental assessments or remedial efforts are probable and the costs can be reasonably estimated. Such liabilities are adjusted as further information develops or circumstances change. Costs of future obligations are not discounted to their present values. | |||
(n) | Income Taxes | ||
Deferred tax assets and liabilities are recognized for the estimated future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases and operating loss and tax credit carryforwards. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in income in the period that includes the enactment date. Canon records a valuation allowance to reduce the deferred tax assets to the amount that is more likely than not realizable. | |||
Canon recognizes the financial statement effects of tax positions when it is more likely than not, based on the technical merits, that the tax positions will be sustained upon examination by the tax authorities. Benefits from tax positions that meet the more-likely-than-not recognition threshold are measured at the largest amount of benefit that is greater than 50% likely of being realized upon settlement. Interest and penalties accrued related to unrecognized tax benefits are included in income taxes in the consolidated statements of income. | |||
(o) | Stock-Based Compensation | ||
Canon measures stock-based compensation cost at the grant date, based on the fair value of the award, and recognizes the cost on a straight-line basis over the requisite service period, which is the vesting period. | |||
(p) | Net Income Attributable to Canon Inc. Stockholders per Share | ||
Basic net income attributable to Canon Inc. stockholders per share is computed by dividing net income attributable to Canon Inc. by the weighted-average number of common shares outstanding during each year. Diluted net income attributable to Canon Inc. stockholders per share includes the effect from potential issuances of common stock based on the assumptions that all stock options were exercised. | |||
(q) | Revenue Recognition | ||
Canon generates revenue principally through the sale of office and imaging system products, equipment, supplies, and related services under separate contractual arrangements. Canon recognizes revenue when persuasive evidence of an arrangement exists, delivery has occurred and title and risk of loss have been transferred to the customer or services have been rendered, the sales price is fixed or determinable, and collectibility is probable. | |||
Revenue from sales of office products, such as office MFDs and laser printers, and imaging system products, such as digital cameras and inkjet printers, is recognized upon shipment or delivery, depending upon when title and risk of loss transfer to the customer. | |||
Canon also offers separately priced product maintenance contracts for most office products, for which the customer typically pays a stated base service fee plus a variable amount based on usage. Revenue from these service maintenance contracts is measured at the stated amount of the contract and recognized as services are provided and variable amounts are earned. | |||
Revenue from the sale of equipment under sales-type leases is recognized at the inception of the lease. Income on sales-type leases and direct-financing leases is recognized over the life of each respective lease using the interest method. Leases not qualifying as sales-type leases or direct-financing leases are accounted for as operating leases and related revenue is recognized ratably over the lease term. When equipment leases are bundled with product maintenance contracts, revenue is allocated based upon the estimated relative fair value of the lease and non-lease deliverables. Lease deliverables generally include equipment, financing and executory costs, while non-lease deliverables generally consist of product maintenance contracts and supplies. | |||
Revenue from sales of optical equipment, such as semiconductor lithography equipment and FPD lithography equipment that are sold with customer acceptance provisions related to their functionality, is recognized when the equipment is installed at the customer site and the specific criteria of the equipment functionality are successfully tested and demonstrated by Canon. Service revenue is derived primarily from separately priced product maintenance contracts on equipment sold to customers and is measured at the stated amount of the contract and recognized as services are provided. | |||
For all other arrangements with multiple elements, Canon allocates revenue to each element based on its relative selling price if such element meets the criteria for treatment as a separate unit of accounting. Otherwise, revenue is deferred until the undelivered elements are fulfilled and accounted for as a single unit of accounting. | |||
Canon records estimated reductions to sales at the time of sale for sales incentive programs including product discounts, customer promotions and volume-based rebates. Estimated reductions to sales are based upon historical trends and other known factors at the time of sale. Canon regularly adjusts its estimates each period in the ordinary course of establishing sales incentive program accruals based on current information. During the year ended December 31, 2012, Canon revised its estimates for sales incentive program accruals based on new information which was not available at the time that the accrual was established due to unique circumstances, such as the earthquake in Japan and the flooding in Thailand that occurred in 2011 as well as a recent shift in usage of incentive programs from mail-in rebates to instant rebates. This change in estimate caused an increase in net income attributable to Canon Inc. of ¥10,785 million, and an increase in basic and diluted net income attributable to Canon Inc. stockholders per share of ¥9.19 each. During the years ended December 31, 2013 and 2011, such adjustments were not significant. Canon also provides price protection to certain resellers of its products, and records reductions to sales for the estimated impact of price protection obligations when announced. | |||
Estimated product warranty costs are recorded at the time revenue is recognized and are included in selling, general and administrative expenses in the consolidated statements of income. Estimates for accrued product warranty costs are based on historical experience, and are affected by ongoing product failure rates, specific product class failures outside of the baseline experience, material usage and service delivery costs incurred in correcting a product failure. | |||
Taxes collected from customers and remitted to governmental authorities are excluded from revenues in the consolidated statements of income. | |||
(r) | Research and Development Costs | ||
Research and development costs are expensed as incurred. | |||
(s) | Advertising Costs | ||
Advertising costs are expensed as incurred. Advertising expenses were ¥86,398 million, ¥83,134 million and ¥81,232 million for the years ended December 31, 2013, 2012 and 2011, respectively. | |||
(t) | Shipping and Handling Costs | ||
Shipping and handling costs totaled ¥47,460 million, ¥38,499 million and ¥43,308 million for the years ended December 31, 2013, 2012 and 2011, respectively, and are included in selling, general and administrative expenses in the consolidated statements of income. | |||
(u) | Derivative Financial Instruments | ||
All derivatives are recognized at fair value and are included in prepaid expenses and other current assets, or other current liabilities in the consolidated balance sheets. | |||
Canon uses and designates certain derivatives as a hedge of a forecasted transaction or the variability of cash flows to be received or paid related to a recognized asset or liability (“cash flow” hedge). Canon formally documents all relationships between hedging instruments and hedged items, as well as its risk-management objective and strategy for undertaking various hedge transactions. Canon also formally assesses, both at the hedge’s inception and on an ongoing basis, whether the derivatives that are used in hedging transactions are highly effective in offsetting changes in cash flows of hedged items. When it is determined that a derivative is not highly effective as a hedge or that it has ceased to be a highly effective hedge, Canon discontinues hedge accounting prospectively. Changes in the fair value of a derivative that is designated and qualifies as a cash flow hedge are recorded in other comprehensive income (loss), until earnings are affected by the variability in cash flows of the hedged item. Gains and losses from hedging ineffectiveness are included in other income (deductions). Gains and losses related to the components of hedging instruments excluded from the assessment of hedge effectiveness are included in other income (deductions). | |||
Canon also uses certain derivative financial instruments which are not designated as hedges. The changes in fair values of these derivative financial instruments are immediately recorded in earnings. | |||
Canon classifies cash flows from derivatives as cash flows from operating activities in the consolidated statements of cash flows. | |||
(v) | Guarantees | ||
Canon recognizes, at the inception of a guarantee, a liability for the fair value of the obligation it has undertaken in issuing guarantees. | |||
(w) | Recently Issued Accounting Guidance | ||
In February 2013, the FASB issued an amendment which requires entities to provide information about the amounts reclassified out of accumulated other comprehensive income by component, and to present, either on the face of the statement where net income is presented or in the notes, significant amounts reclassified out of accumulated other comprehensive income by the respective line items of net income. Canon adopted this amended guidance from the quarter beginning January 1, 2013. This adoption did not have a material impact on Canon’s consolidated results of operations and financial condition. See Note 13 of the Notes to Consolidated Financial Statements. |
Investments
Investments | 12 Months Ended | ||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||
Investments | ' | ||||||||||||||||
2 | Investments | ||||||||||||||||
The cost, gross unrealized holding gains, gross unrealized holding losses and fair value for available-for-sale securities included in short-term investments and investments by major security type at December 31, 2013 and 2012 were as follows: | |||||||||||||||||
December 31, 2013 | |||||||||||||||||
Cost | Gross | Gross | Fair | ||||||||||||||
unrealized | unrealized | value | |||||||||||||||
holding gains | holding losses | ||||||||||||||||
(Millions of yen) | |||||||||||||||||
Noncurrent: | |||||||||||||||||
Government bonds | ¥ | 338 | ¥ | — | ¥ | 31 | ¥ | 307 | |||||||||
Corporate bonds | 491 | 16 | 26 | 481 | |||||||||||||
Fund trusts | 68 | — | — | 68 | |||||||||||||
Equity securities | 18,112 | 16,450 | 26 | 34,536 | |||||||||||||
¥ | 19,009 | ¥ | 16,466 | ¥ | 83 | ¥ | 35,392 | ||||||||||
December 31, 2012 | |||||||||||||||||
Cost | Gross | Gross | Fair | ||||||||||||||
unrealized | unrealized | value | |||||||||||||||
holding gains | holding losses | ||||||||||||||||
(Millions of yen) | |||||||||||||||||
Current: | |||||||||||||||||
Corporate bonds | ¥ | 30 | ¥ | — | ¥ | — | ¥ | 30 | |||||||||
Noncurrent: | |||||||||||||||||
Government bonds | ¥ | 181 | ¥ | — | ¥ | — | ¥ | 181 | |||||||||
Corporate bonds | 590 | — | 30 | 560 | |||||||||||||
Fund trusts | 1,192 | 43 | 1 | 1,234 | |||||||||||||
Equity securities | 14,866 | 7,033 | 564 | 21,335 | |||||||||||||
¥ | 16,829 | ¥ | 7,076 | ¥ | 595 | ¥ | 23,310 | ||||||||||
Maturities of available-for-sale debt securities included in investments in the accompanying consolidated balance sheets were as follows at December 31, 2013: | |||||||||||||||||
Cost | Fair value | ||||||||||||||||
(Millions of yen) | |||||||||||||||||
Due within one year | ¥ | — | ¥ | — | |||||||||||||
Due after one year through five years | 10 | 10 | |||||||||||||||
Due after five years | 819 | 778 | |||||||||||||||
¥ | 829 | ¥ | 788 | ||||||||||||||
Gross realized gains were ¥2,360 million, ¥238 million and ¥204 million for the years ended December 31, 2013, 2012 and 2011, respectively. Gross realized losses, including write-downs for impairments that were other-than-temporary, were ¥2 million, ¥1,545 million and ¥4,281 million for the years ended December 31, 2013, 2012 and 2011, respectively. | |||||||||||||||||
At December 31, 2013, substantially all of the available-for-sale securities with unrealized losses had been in a continuous unrealized loss position for less than twelve months. | |||||||||||||||||
Time deposits with original maturities of more than three months are ¥47,914 million and ¥28,292 million at December 31, 2013 and 2012, respectively, and are included in short-term investments in the accompanying consolidated balance sheets. | |||||||||||||||||
Aggregate cost of non-marketable equity securities accounted for under the cost method totaled ¥14,794 million and ¥14,808 million at December 31, 2013 and 2012, respectively. These investments were not evaluated for impairment at December 31, 2013 and 2012, respectively, because (a) Canon did not estimate the fair value of those investments as it was not practicable to estimate the fair value of the investments and (b) Canon did not identify any events or changes in circumstances that might have had significant adverse effects on the fair value of those investments. | |||||||||||||||||
Investments in affiliated companies accounted for by the equity method amounted to ¥18,937 million and ¥17,345 million at December 31, 2013 and 2012, respectively. Canon’s share of the net earnings (losses) in affiliated companies accounted for by the equity method, included in other income (deductions), were losses of ¥664 million, earnings of ¥610 million and losses of ¥7,368 million for the years ended December 31, 2013, 2012 and 2011, respectively. |
Trade_Receivables
Trade Receivables | 12 Months Ended | ||||||||
Dec. 31, 2013 | |||||||||
Trade Receivables | ' | ||||||||
3 | Trade Receivables | ||||||||
Trade receivables are summarized as follows: | |||||||||
December 31 | |||||||||
2013 | 2012 | ||||||||
(Millions of yen) | |||||||||
Notes | ¥ | 15,461 | ¥ | 17,207 | |||||
Accounts | 606,010 | 569,138 | |||||||
621,471 | 586,345 | ||||||||
Less allowance for doubtful receivables | (12,730 | ) | (12,970 | ) | |||||
¥ | 608,741 | ¥ | 573,375 | ||||||
Inventories
Inventories | 12 Months Ended | ||||||||
Dec. 31, 2013 | |||||||||
Inventories | ' | ||||||||
4 | Inventories | ||||||||
Inventories are summarized as follows: | |||||||||
December 31 | |||||||||
2013 | 2012 | ||||||||
(Millions of yen) | |||||||||
Finished goods | ¥ | 406,443 | ¥ | 391,194 | |||||
Work in process | 128,120 | 139,923 | |||||||
Raw materials | 19,210 | 20,506 | |||||||
¥ | 553,773 | ¥ | 551,623 | ||||||
Property_Plant_and_Equipment
Property, Plant and Equipment | 12 Months Ended | ||||||||
Dec. 31, 2013 | |||||||||
Property, Plant and Equipment | ' | ||||||||
5 | Property, Plant and Equipment | ||||||||
Property, plant and equipment are stated at cost less accumulated depreciation and are summarized as follows: | |||||||||
December 31 | |||||||||
2013 | 2012 | ||||||||
(Millions of yen) | |||||||||
Land | ¥ | 282,484 | ¥ | 272,233 | |||||
Buildings | 1,570,024 | 1,447,838 | |||||||
Machinery and equipment | 1,736,107 | 1,586,827 | |||||||
Construction in progress | 73,645 | 112,919 | |||||||
3,662,260 | 3,419,817 | ||||||||
Less accumulated depreciation | (2,383,530 | ) | (2,159,453 | ) | |||||
¥ | 1,278,730 | ¥ | 1,260,364 | ||||||
Depreciation expenses for the years ended December 31, 2013, 2012 and 2011 were ¥223,158 million, ¥211,973 million and ¥210,179 million, respectively. | |||||||||
Amounts due for purchases of property, plant and equipment were ¥33,585 million and ¥38,893 million at December 31, 2013 and 2012, respectively, and are included in other current liabilities in the accompanying consolidated balance sheets. Fixed assets presented in the consolidated statements of cash flows include property, plant and equipment and intangible assets. |
Finance_Receivables_and_Operat
Finance Receivables and Operating Leases | 12 Months Ended | ||||||||
Dec. 31, 2013 | |||||||||
Finance Receivables and Operating Leases | ' | ||||||||
6 | Finance Receivables and Operating Leases | ||||||||
Finance receivables represent financing leases which consist of sales-type leases and direct-financing leases resulting from the sales of Canon’s and complementary third-party products primarily in foreign countries. These receivables typically have terms ranging from 1 year to 6 years. The components of the finance receivables, which are included in prepaid expenses and other current assets, and other assets in the accompanying consolidated balance sheets, are as follows: | |||||||||
December 31 | |||||||||
2013 | 2012 | ||||||||
(Millions of yen) | |||||||||
Total minimum lease payments receivable | ¥ | 278,621 | ¥ | 231,221 | |||||
Unguaranteed residual values | 9,566 | 8,863 | |||||||
Executory costs | (2,184 | ) | (2,598 | ) | |||||
Unearned income | (29,875 | ) | (27,521 | ) | |||||
256,128 | 209,965 | ||||||||
Less allowance for credit losses | (7,323 | ) | (6,908 | ) | |||||
248,805 | 203,057 | ||||||||
Less current portion | (91,025 | ) | (74,168 | ) | |||||
¥ | 157,780 | ¥ | 128,889 | ||||||
The activity in the allowance for credit losses is as follows: | |||||||||
Years ended December 31 | |||||||||
2013 | 2012 | ||||||||
(Millions of yen) | |||||||||
Balance at beginning of year | ¥ | 6,908 | ¥ | 7,039 | |||||
Charge-offs | (1,278 | ) | (1,304 | ) | |||||
Provision | 212 | 1,922 | |||||||
Other | 1,481 | (749 | ) | ||||||
Balance at end of year | ¥ | 7,323 | ¥ | 6,908 | |||||
Canon has policies in place to ensure that its products are sold to customers with an appropriate credit history, and continuously monitors its customers’ credit quality based on information including length of period in arrears, macroeconomic conditions, initiation of legal proceedings against customers and bankruptcy filings. The allowance for credit losses of finance receivables are evaluated collectively based on historical experience of credit losses. An additional reserve for individual accounts is recorded when Canon becomes aware of a customer’s inability to meet its financial obligations, such as in the case of bankruptcy filings. Finance receivables which are past due or individually evaluated for impairment at December 31, 2013 and 2012 are not significant. | |||||||||
The cost of equipment leased to customers under operating leases included in property, plant and equipment, net at December 31, 2013 and 2012 was ¥103,403 million and ¥80,186 million, respectively. Accumulated depreciation on equipment under operating leases at December 31, 2013 and 2012 was ¥78,821 million and ¥58,433 million, respectively. | |||||||||
The following is a schedule by year of the future minimum lease payments to be received under financing leases and noncancelable operating leases at December 31, 2013. | |||||||||
Financing leases | Operating leases | ||||||||
(Millions of yen) | |||||||||
Year ending December 31: | |||||||||
2014 | ¥ | 109,408 | ¥ | 7,639 | |||||
2015 | 82,900 | 4,154 | |||||||
2016 | 51,963 | 2,148 | |||||||
2017 | 25,423 | 1,070 | |||||||
2018 | 8,427 | 309 | |||||||
Thereafter | 500 | 419 | |||||||
¥ | 278,621 | ¥ | 15,739 | ||||||
Goodwill_and_Other_Intangible_
Goodwill and Other Intangible Assets | 12 Months Ended | ||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||
Goodwill and Other Intangible Assets | ' | ||||||||||||||||
7 | Goodwill and Other Intangible Assets | ||||||||||||||||
Intangible assets subject to amortization acquired during the years ended December 31, 2013 and 2012 totaled ¥42,630 million and ¥34,196 million, which primarily consist of software of ¥37,419 million and ¥33,985 million, respectively. The weighted average amortization periods for intangible assets in total acquired during the years ended December 31, 2013 and 2012 are approximately 4 years. The weighted average amortization periods for software acquired during the years ended December 31, 2013 and 2012 are approximately 4 years. | |||||||||||||||||
The components of intangible assets subject to amortization at December 31, 2013 and 2012 were as follows: | |||||||||||||||||
December 31, 2013 | December 31, 2012 | ||||||||||||||||
Gross | Accumulated | Gross | Accumulated | ||||||||||||||
carrying | amortization | carrying | amortization | ||||||||||||||
amount | amount | ||||||||||||||||
(Millions of yen) | |||||||||||||||||
Software | ¥ | 271,425 | ¥ | 167,411 | ¥ | 225,894 | ¥ | 131,875 | |||||||||
Customer relationships | 50,792 | 39,957 | 39,615 | 26,938 | |||||||||||||
Patented technologies | 29,067 | 24,027 | 25,900 | 19,028 | |||||||||||||
License fees | 13,194 | 7,902 | 20,142 | 14,573 | |||||||||||||
Other | 32,319 | 16,094 | 22,776 | 9,382 | |||||||||||||
¥ | 396,797 | ¥ | 255,391 | ¥ | 334,327 | ¥ | 201,796 | ||||||||||
Aggregate amortization expense for the years ended December 31, 2013, 2012 and 2011 was ¥52,015 million, ¥46,160 million and ¥51,164 million, respectively. Estimated amortization expense for intangible assets currently held for the next five years ending December 31 is ¥46,573 million in 2014, ¥31,898 million in 2015, ¥21,241 million in 2016, ¥12,464 million in 2017, and ¥7,371 million in 2018. | |||||||||||||||||
Intangible assets not subject to amortization other than goodwill at December 31, 2013 and 2012 were not significant. | |||||||||||||||||
For management reporting purposes, goodwill is not allocated to the segments. Goodwill has been allocated to its respective segment for impairment testing. | |||||||||||||||||
The changes in the carrying amount of goodwill by segment, which is included in other assets in the consolidated balance sheets, for the years ended December 31, 2013 and 2012 were as follows: | |||||||||||||||||
Year ended December 31, 2013 | |||||||||||||||||
Office | Imaging | Industry and | Total | ||||||||||||||
System | Others | ||||||||||||||||
(Millions of yen) | |||||||||||||||||
Balance at beginning of year | ¥ | 111,348 | ¥ | 12,674 | ¥ | 6,821 | ¥ | 130,843 | |||||||||
Goodwill acquired during the year | 4,083 | — | — | 4,083 | |||||||||||||
Translation adjustments and other | 23,981 | 1,203 | 1,530 | 26,714 | |||||||||||||
Balance at end of year | ¥ | 139,412 | ¥ | 13,877 | ¥ | 8,351 | ¥ | 161,640 | |||||||||
Year ended December 31, 2012 | |||||||||||||||||
Office | Imaging | Industry and | Total | ||||||||||||||
System | Others | ||||||||||||||||
(Millions of yen) | |||||||||||||||||
Balance at beginning of year | ¥ | 102,060 | ¥ | 12,088 | ¥ | 4,873 | ¥ | 119,021 | |||||||||
Goodwill acquired during the year | — | — | 961 | 961 | |||||||||||||
Translation adjustments and other | 9,288 | 586 | 987 | 10,861 | |||||||||||||
Balance at end of year | ¥ | 111,348 | ¥ | 12,674 | ¥ | 6,821 | ¥ | 130,843 | |||||||||
ShortTerm_Loans_and_LongTerm_D
Short-Term Loans and Long-Term Debt | 12 Months Ended | ||||||||
Dec. 31, 2013 | |||||||||
Short-Term Loans and Long-Term Debt | ' | ||||||||
8 | Short-Term Loans and Long-Term Debt | ||||||||
Short-term loans consisting of bank borrowings at December 31, 2013 and 2012 were ¥54 million and ¥319 million, respectively. The weighted average interest rates on short-term loans outstanding at December 31, 2013 and 2012 were 3.75% and 4.00%, respectively. | |||||||||
Long-term debt consisted of the following: | |||||||||
December 31 | |||||||||
2013 | 2012 | ||||||||
(Millions of yen) | |||||||||
Loans, principally from banks, maturing in installments through 2024; bearing weighted average interest of 1.15% and 1.94% at December 31, 2013 and 2012, respectively | ¥ | 211 | ¥ | 132 | |||||
Capital lease obligations | 2,482 | 3,532 | |||||||
2,693 | 3,664 | ||||||||
Less current portion | (1,245 | ) | (1,547 | ) | |||||
¥ | 1,448 | ¥ | 2,117 | ||||||
The aggregate annual maturities of long-term debt outstanding at December 31, 2013 were as follows: | |||||||||
(Millions of yen) | |||||||||
Year ending December 31: | |||||||||
2014 | ¥ | 1,245 | |||||||
2015 | 880 | ||||||||
2016 | 319 | ||||||||
2017 | 171 | ||||||||
2018 | 48 | ||||||||
Thereafter | 30 | ||||||||
¥ | 2,693 | ||||||||
Both short-term and long-term bank loans are made under general agreements which provide that security and guarantees for present and future indebtedness will be given upon request of the bank, and that the bank shall have the right to offset cash deposits against obligations that have become due or, in the event of default, against all obligations due to the bank. |
Trade_Payables
Trade Payables | 12 Months Ended | ||||||||
Dec. 31, 2013 | |||||||||
Trade Payables | ' | ||||||||
9 | Trade Payables | ||||||||
Trade payables are summarized as follows: | |||||||||
December 31 | |||||||||
2013 | 2012 | ||||||||
(Millions of yen) | |||||||||
Notes | ¥ | 8,005 | ¥ | 11,971 | |||||
Accounts | 299,152 | 313,264 | |||||||
¥ | 307,157 | ¥ | 325,235 | ||||||
Employee_Retirement_and_Severa
Employee Retirement and Severance Benefits | 12 Months Ended | ||||||||||||||||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||||||||||||||||
Employee Retirement and Severance Benefits | ' | ||||||||||||||||||||||||||||||||
10 | Employee Retirement and Severance Benefits | ||||||||||||||||||||||||||||||||
The Company and certain of its subsidiaries have contributory and noncontributory defined benefit pension plans covering substantially all of their employees. Benefits payable under the plans are based on employee earnings and years of service. The Company and certain of its subsidiaries also have defined contribution pension plans covering substantially all of their employees. | |||||||||||||||||||||||||||||||||
The amounts of cost recognized for the defined contribution pension plans of the Company and certain of its subsidiaries for the years ended December 31, 2013, 2012 and 2011 were ¥14,383 million, ¥13,021 million and ¥12,511 million, respectively. | |||||||||||||||||||||||||||||||||
Obligations and funded status | |||||||||||||||||||||||||||||||||
Reconciliations of beginning and ending balances of the benefit obligations and the fair value of the plan assets are as follows: | |||||||||||||||||||||||||||||||||
Japanese plans | Foreign plans | ||||||||||||||||||||||||||||||||
December 31 | December 31 | ||||||||||||||||||||||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||||||||||||||||||||||
(Millions of yen) | (Millions of yen) | ||||||||||||||||||||||||||||||||
Change in benefit obligations: | |||||||||||||||||||||||||||||||||
Benefit obligations at beginning of year | ¥ | 651,520 | ¥ | 626,924 | ¥ | 364,609 | ¥ | 262,130 | |||||||||||||||||||||||||
Service cost | 26,005 | 25,738 | 9,448 | 5,884 | |||||||||||||||||||||||||||||
Interest cost | 11,655 | 11,788 | 14,299 | 13,176 | |||||||||||||||||||||||||||||
Plan participants’ contributions | — | — | 2,617 | 2,315 | |||||||||||||||||||||||||||||
Actuarial loss | 14,959 | 6,049 | 8,981 | 45,145 | |||||||||||||||||||||||||||||
Benefits paid | (19,297 | ) | (18,979 | ) | (9,415 | ) | (10,407 | ) | |||||||||||||||||||||||||
Curtailments and settlements | — | — | (2,868 | ) | — | ||||||||||||||||||||||||||||
Foreign currency exchange rate changes | — | — | 98,901 | 46,366 | |||||||||||||||||||||||||||||
Benefit obligations at end of year | 684,842 | 651,520 | 486,572 | 364,609 | |||||||||||||||||||||||||||||
Change in plan assets: | |||||||||||||||||||||||||||||||||
Fair value of plan assets at beginning of year | 495,452 | 448,736 | 249,534 | 192,033 | |||||||||||||||||||||||||||||
Actual return on plan assets | 84,382 | 41,593 | 20,640 | 25,290 | |||||||||||||||||||||||||||||
Employer contributions | 19,810 | 22,589 | 28,705 | 7,832 | |||||||||||||||||||||||||||||
Plan participants’ contributions | — | — | 2,617 | 2,315 | |||||||||||||||||||||||||||||
Benefits paid | (17,648 | ) | (17,466 | ) | (9,106 | ) | (9,825 | ) | |||||||||||||||||||||||||
Settlements | — | — | (2,656 | ) | — | ||||||||||||||||||||||||||||
Foreign currency exchange rate changes | — | — | 70,793 | 31,889 | |||||||||||||||||||||||||||||
Fair value of plan assets at end of year | 581,996 | 495,452 | 360,527 | 249,534 | |||||||||||||||||||||||||||||
Funded status at end of year | ¥ | (102,846 | ) | ¥ | (156,068 | ) | ¥ | (126,045 | ) | ¥ | (115,075 | ) | |||||||||||||||||||||
Amounts recognized in the consolidated balance sheets at December 31, 2013 and 2012 are as follows: | |||||||||||||||||||||||||||||||||
Japanese plans | Foreign plans | ||||||||||||||||||||||||||||||||
December 31 | December 31 | ||||||||||||||||||||||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||||||||||||||||||||||
(Millions of yen) | (Millions of yen) | ||||||||||||||||||||||||||||||||
Other assets | ¥ | 559 | ¥ | — | ¥ | 1,106 | ¥ | 1,371 | |||||||||||||||||||||||||
Accrued expenses | — | — | (892 | ) | (383 | ) | |||||||||||||||||||||||||||
Accrued pension and severance cost | (103,405 | ) | (156,068 | ) | (126,259 | ) | (116,063 | ) | |||||||||||||||||||||||||
¥ | (102,846 | ) | ¥ | (156,068 | ) | ¥ | (126,045 | ) | ¥ | (115,075 | ) | ||||||||||||||||||||||
Amounts recognized in accumulated other comprehensive income (loss) at December 31, 2013 and 2012 before the effect of income taxes are as follows: | |||||||||||||||||||||||||||||||||
Japanese plans | Foreign plans | ||||||||||||||||||||||||||||||||
December 31 | December 31 | ||||||||||||||||||||||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||||||||||||||||||||||
(Millions of yen) | (Millions of yen) | ||||||||||||||||||||||||||||||||
Actuarial loss | ¥ | 186,052 | ¥ | 253,748 | ¥ | 50,344 | ¥ | 50,417 | |||||||||||||||||||||||||
Prior service credit | (105,327 | ) | (117,633 | ) | (118 | ) | (261 | ) | |||||||||||||||||||||||||
¥ | 80,725 | ¥ | 136,115 | ¥ | 50,226 | ¥ | 50,156 | ||||||||||||||||||||||||||
The accumulated benefit obligation for all defined benefit plans was as follows: | |||||||||||||||||||||||||||||||||
Japanese plans | Foreign plans | ||||||||||||||||||||||||||||||||
December 31 | December 31 | ||||||||||||||||||||||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||||||||||||||||||||||
(Millions of yen) | (Millions of yen) | ||||||||||||||||||||||||||||||||
Accumulated benefit obligation | ¥ | 631,887 | ¥ | 620,589 | ¥ | 464,195 | ¥ | 328,736 | |||||||||||||||||||||||||
The projected benefit obligations and the fair value of plan assets for the pension plans with projected benefit obligations in excess of plan assets, and the accumulated benefit obligations and the fair value of plan assets for the pension plans with accumulated benefit obligations in excess of plan assets are as follows: | |||||||||||||||||||||||||||||||||
Japanese plans | Foreign plans | ||||||||||||||||||||||||||||||||
December 31 | December 31 | ||||||||||||||||||||||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||||||||||||||||||||||
(Millions of yen) | (Millions of yen) | ||||||||||||||||||||||||||||||||
Plans with projected benefit obligations in excess of plan assets: | |||||||||||||||||||||||||||||||||
Projected benefit obligations | ¥ | 676,308 | ¥ | 651,520 | ¥ | 485,466 | ¥ | 360,742 | |||||||||||||||||||||||||
Fair value of plan assets | 572,903 | 495,452 | 358,315 | 244,296 | |||||||||||||||||||||||||||||
Plans with accumulated benefit obligations in excess of plan assets: | |||||||||||||||||||||||||||||||||
Accumulated benefit obligations | ¥ | 611,602 | ¥ | 615,551 | ¥ | 463,089 | ¥ | 324,869 | |||||||||||||||||||||||||
Fair value of plan assets | 560,093 | 489,929 | 358,315 | 244,296 | |||||||||||||||||||||||||||||
Components of net periodic benefit cost and other amounts recognized in other comprehensive income (loss) | |||||||||||||||||||||||||||||||||
Net periodic benefit cost for Canon’s employee retirement and severance defined benefit plans for the years ended December 31, 2013, 2012 and 2011 consisted of the following components: | |||||||||||||||||||||||||||||||||
Japanese plans | Foreign plans | ||||||||||||||||||||||||||||||||
Years ended December 31 | Years ended December 31 | ||||||||||||||||||||||||||||||||
2013 | 2012 | 2011 | 2013 | 2012 | 2011 | ||||||||||||||||||||||||||||
(Millions of yen) | (Millions of yen) | ||||||||||||||||||||||||||||||||
Service cost | ¥ | 26,005 | ¥ | 25,738 | ¥ | 25,875 | ¥ | 9,448 | ¥ | 5,884 | ¥ | 5,756 | |||||||||||||||||||||
Interest cost | 11,655 | 11,788 | 12,354 | 14,299 | 13,176 | 12,748 | |||||||||||||||||||||||||||
Expected return on plan assets | (15,273 | ) | (13,791 | ) | (16,485 | ) | (13,949 | ) | (11,806 | ) | (12,112 | ) | |||||||||||||||||||||
Amortization of net transition obligation | — | — | 722 | — | — | — | |||||||||||||||||||||||||||
Amortization of prior service credit | (12,306 | ) | (13,079 | ) | (13,674 | ) | (143 | ) | (116 | ) | (93 | ) | |||||||||||||||||||||
Amortization of actuarial loss | 13,546 | 16,277 | 14,462 | 2,005 | 1,351 | 621 | |||||||||||||||||||||||||||
Loss on curtailments and settlements | — | — | — | 146 | — | — | |||||||||||||||||||||||||||
¥ | 23,627 | ¥ | 26,933 | ¥ | 23,254 | ¥ | 11,806 | ¥ | 8,489 | ¥ | 6,920 | ||||||||||||||||||||||
Other changes in plan assets and benefit obligations recognized in other comprehensive income (loss) for the years ended December 31, 2013, 2012 and 2011 are summarized as follows: | |||||||||||||||||||||||||||||||||
Japanese plans | Foreign plans | ||||||||||||||||||||||||||||||||
Years ended December 31 | Years ended December 31 | ||||||||||||||||||||||||||||||||
2013 | 2012 | 2011 | 2013 | 2012 | 2011 | ||||||||||||||||||||||||||||
(Millions of yen) | (Millions of yen) | ||||||||||||||||||||||||||||||||
Current year actuarial (gain) loss | ¥ | (54,150 | ) | ¥ | (21,753 | ) | ¥ | 48,615 | ¥ | 2,290 | ¥ | 31,661 | ¥ | 13,649 | |||||||||||||||||||
Amortization of actuarial loss | (13,546 | ) | (16,277 | ) | (14,462 | ) | (2,005 | ) | (1,351 | ) | (621 | ) | |||||||||||||||||||||
Prior service credit due to amendments | — | — | (1,913 | ) | — | — | — | ||||||||||||||||||||||||||
Amortization of prior service credit | 12,306 | 13,079 | 13,674 | 143 | 116 | 93 | |||||||||||||||||||||||||||
Amortization of net transition obligation | — | — | (722 | ) | — | — | — | ||||||||||||||||||||||||||
Curtailments and settlements | — | — | — | (358 | ) | — | — | ||||||||||||||||||||||||||
¥ | (55,390 | ) | ¥ | (24,951 | ) | ¥ | 45,192 | ¥ | 70 | ¥ | 30,426 | ¥ | 13,121 | ||||||||||||||||||||
The estimated prior service credit and actuarial loss for the defined benefit pension plans that will be amortized from accumulated other comprehensive income (loss) into net periodic benefit cost over the next year are summarized as follows: | |||||||||||||||||||||||||||||||||
Japanese plans | Foreign plans | ||||||||||||||||||||||||||||||||
(Millions of yen) | (Millions of yen) | ||||||||||||||||||||||||||||||||
Prior service credit | ¥ | (12,801 | ) | ¥ | (51 | ) | |||||||||||||||||||||||||||
Actuarial loss | 9,989 | 1,800 | |||||||||||||||||||||||||||||||
Assumptions | |||||||||||||||||||||||||||||||||
Weighted-average assumptions used to determine benefit obligations are as follows: | |||||||||||||||||||||||||||||||||
Japanese plans | Foreign plans | ||||||||||||||||||||||||||||||||
December 31 | December 31 | ||||||||||||||||||||||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||||||||||||||||||||||
Discount rate | 1.6 | % | 1.8 | % | 3.8 | % | 3.6 | % | |||||||||||||||||||||||||
Assumed rate of increase in future compensation levels | 3 | % | 3 | % | 2.3 | % | 2.2 | % | |||||||||||||||||||||||||
Weighted-average assumptions used to determine net periodic benefit cost are as follows: | |||||||||||||||||||||||||||||||||
Japanese plans | Foreign plans | ||||||||||||||||||||||||||||||||
Years ended December 31 | Years ended December 31 | ||||||||||||||||||||||||||||||||
2013 | 2012 | 2011 | 2013 | 2012 | 2011 | ||||||||||||||||||||||||||||
Discount rate | 1.8 | % | 1.9 | % | 2.1 | % | 3.6 | % | 4.6 | % | 4.9 | % | |||||||||||||||||||||
Assumed rate of increase in future compensation levels | 3 | % | 3 | % | 3 | % | 2.2 | % | 2.4 | % | 2.9 | % | |||||||||||||||||||||
Expected long-term rate of return on plan assets | 3.1 | % | 3.1 | % | 3.6 | % | 5.2 | % | 5.4 | % | 5.7 | % | |||||||||||||||||||||
Canon determines the expected long-term rate of return based on the expected long-term return of the various asset categories in which it invests. Canon considers the current expectations for future returns and the actual historical returns of each plan asset category. | |||||||||||||||||||||||||||||||||
Plan assets | |||||||||||||||||||||||||||||||||
Canon’s investment policies are designed to ensure adequate plan assets are available to provide future payments of pension benefits to eligible participants. Taking into account the expected long-term rate of return on plan assets, Canon formulates a “model” portfolio comprised of the optimal combination of equity securities and debt securities. Plan assets are invested in individual equity and debt securities using the guidelines of the “model” portfolio in order to produce a total return that will match the expected return on a mid-term to long-term basis. Canon evaluates the gap between expected return and actual return of invested plan assets on an annual basis to determine if such differences necessitate a revision in the formulation of the “model” portfolio. Canon revises the “model” portfolio when and to the extent considered necessary to achieve the expected long-term rate of return on plan assets. | |||||||||||||||||||||||||||||||||
Canon’s model portfolio for Japanese plans consists of three major components: approximately 20% is invested in equity securities, approximately 55% is invested in debt securities, and approximately 25% is invested in other investment vehicles, primarily consisting of investments in life insurance company general accounts. | |||||||||||||||||||||||||||||||||
Outside Japan, investment policies vary by country, but the long-term investment objectives and strategies remain consistent. Canon’s model portfolio for foreign plans has been developed as follows: approximately 30% is invested in equity securities, approximately 50% is invested in debt securities, and approximately 20% is invested in other investment vehicles, primarily consisting of investments in real estate assets. | |||||||||||||||||||||||||||||||||
The equity securities are selected primarily from stocks that are listed on the securities exchanges. Prior to investing, Canon has investigated the business condition of the investee companies, and appropriately diversified investments by type of industry and other relevant factors. The debt securities are selected primarily from government bonds, public debt instruments, and corporate bonds. Prior to investing, Canon has investigated the quality of the issue, including rating, interest rate, and repayment dates, and has appropriately diversified the investments. Pooled funds are selected using strategies consistent with the equity and debt securities described above. As for investments in life insurance company general accounts, the contracts with the insurance companies include a guaranteed interest rate and return of capital. With respect to investments in foreign investment vehicles, Canon has investigated the stability of the underlying governments and economies, the market characteristics such as settlement systems and the taxation systems. For each such investment, Canon has selected the appropriate investment country and currency. | |||||||||||||||||||||||||||||||||
The three levels of input used to measure fair value are more fully described in Note 19. The fair values of Canon’s pension plan assets at December 31, 2013 and 2012, by asset category, are as follows: | |||||||||||||||||||||||||||||||||
December 31, 2013 | |||||||||||||||||||||||||||||||||
Japanese plans | Foreign plans | ||||||||||||||||||||||||||||||||
Level 1 | Level 2 | Level 3 | Total | Level 1 | Level 2 | Level 3 | Total | ||||||||||||||||||||||||||
(Millions of yen) | |||||||||||||||||||||||||||||||||
Equity securities: | |||||||||||||||||||||||||||||||||
Japanese companies (a) | ¥ | 51,159 | ¥ | — | ¥ | — | ¥ | 51,159 | ¥ | — | ¥ | — | ¥ | — | ¥ | — | |||||||||||||||||
Foreign companies | 10,347 | — | — | 10,347 | 43,681 | — | — | 43,681 | |||||||||||||||||||||||||
Pooled funds (b) | — | 145,417 | — | 145,417 | — | 104,933 | — | 104,933 | |||||||||||||||||||||||||
Debt securities: | |||||||||||||||||||||||||||||||||
Government bonds (c) | 124,800 | — | — | 124,800 | 44,192 | — | — | 44,192 | |||||||||||||||||||||||||
Municipal bonds | — | 1,027 | — | 1,027 | — | 2,246 | — | 2,246 | |||||||||||||||||||||||||
Corporate bonds | — | 10,543 | — | 10,543 | — | 32,921 | — | 32,921 | |||||||||||||||||||||||||
Pooled funds (d) | — | 101,583 | — | 101,583 | — | 57,518 | — | 57,518 | |||||||||||||||||||||||||
Mortgage backed securities (and other asset backed securities) | — | 9,569 | — | 9,569 | — | 5,098 | — | 5,098 | |||||||||||||||||||||||||
Life insurance company general accounts | — | 109,097 | — | 109,097 | — | 15,420 | — | 15,420 | |||||||||||||||||||||||||
Other assets | — | 17,636 | 818 | 18,454 | — | 54,518 | — | 54,518 | |||||||||||||||||||||||||
¥ | 186,306 | ¥ | 394,872 | ¥ | 818 | ¥ | 581,996 | ¥ | 87,873 | ¥ | 272,654 | ¥ | — | ¥ | 360,527 | ||||||||||||||||||
December 31, 2012 | |||||||||||||||||||||||||||||||||
Japanese plans | Foreign plans | ||||||||||||||||||||||||||||||||
Level 1 | Level 2 | Level 3 | Total | Level 1 | Level 2 | Level 3 | Total | ||||||||||||||||||||||||||
(Millions of yen) | |||||||||||||||||||||||||||||||||
Equity securities: | |||||||||||||||||||||||||||||||||
Japanese companies (e) | ¥ | 34,387 | ¥ | — | ¥ | — | ¥ | 34,387 | ¥ | — | ¥ | — | ¥ | — | ¥ | — | |||||||||||||||||
Foreign companies | 6,560 | — | — | 6,560 | 13,149 | — | — | 13,149 | |||||||||||||||||||||||||
Pooled funds (f) | — | 99,631 | — | 99,631 | — | 60,142 | — | 60,142 | |||||||||||||||||||||||||
Debt securities: | |||||||||||||||||||||||||||||||||
Government bonds (g) | 20,301 | — | — | 20,301 | 4,345 | — | — | 4,345 | |||||||||||||||||||||||||
Municipal bonds | — | 1,064 | — | 1,064 | — | 21 | — | 21 | |||||||||||||||||||||||||
Corporate bonds | — | 8,425 | — | 8,425 | — | — | — | — | |||||||||||||||||||||||||
Pooled funds (h) | — | 192,386 | — | 192,386 | — | 128,647 | — | 128,647 | |||||||||||||||||||||||||
Mortgage backed securities (and other asset backed securities) | — | 8,400 | — | 8,400 | — | 236 | — | 236 | |||||||||||||||||||||||||
Life insurance company general accounts | — | 113,179 | — | 113,179 | — | 1,857 | — | 1,857 | |||||||||||||||||||||||||
Other assets | — | 9,813 | 1,306 | 11,119 | — | 41,137 | — | 41,137 | |||||||||||||||||||||||||
¥ | 61,248 | ¥ | 432,898 | ¥ | 1,306 | ¥ | 495,452 | ¥ | 17,494 | ¥ | 232,040 | ¥ | — | ¥ | 249,534 | ||||||||||||||||||
(a) | The plan’s equity securities include common stock of the Company and certain of its subsidiaries in the amounts of ¥572 million. | ||||||||||||||||||||||||||||||||
(b) | These funds invest in listed equity securities consisting of approximately 25% Japanese companies and 75% foreign companies for Japanese plans, and mainly foreign companies for foreign plans. | ||||||||||||||||||||||||||||||||
(c) | This class includes approximately 85% Japanese government bonds and 15% foreign government bonds for Japanese plans, and mainly foreign government bonds for foreign plans. | ||||||||||||||||||||||||||||||||
(d) | These funds invest in approximately 30% Japanese government bonds, 50% foreign government bonds, 5% Japanese municipal bonds, and 15% corporate bonds for Japanese plans. These funds invest in approximately 85% foreign government bonds and 15% corporate bonds for foreign plans. | ||||||||||||||||||||||||||||||||
(e) | The plan’s equity securities include common stock of the Company and certain of its subsidiaries in the amounts of ¥565 million. | ||||||||||||||||||||||||||||||||
(f) | These funds invest in listed equity securities consisting of approximately 20% Japanese companies and 80% foreign companies for Japanese plans, and mainly foreign companies for foreign plans. | ||||||||||||||||||||||||||||||||
(g) | This class includes approximately 30% Japanese government bonds and 70% foreign government bonds for Japanese plans, and mainly foreign government bonds for foreign plans. | ||||||||||||||||||||||||||||||||
(h) | These funds invest in approximately 65% Japanese government bonds, 25% foreign government bonds, 5% Japanese municipal bonds, and 5% corporate bonds for Japanese plans. These funds invest in approximately 30% foreign government bonds and 70% corporate bonds for foreign plans. | ||||||||||||||||||||||||||||||||
Each level into which assets are categorized is based on inputs used to measure the fair value of the assets, and does not necessarily indicate the risks or ratings of the assets. | |||||||||||||||||||||||||||||||||
Level 1 assets are comprised principally of equity securities and government bonds, which are valued using unadjusted quoted market prices in active markets with sufficient volume and frequency of transactions. Level 2 assets are comprised principally of pooled funds that invest in equity and debt securities, corporate bonds and investments in life insurance company general accounts. Pooled funds are valued at their net asset values that are calculated by the sponsor of the fund and have daily liquidity. Corporate bonds are valued using quoted prices for identical assets in markets that are not active. Investments in life insurance company general accounts are valued at conversion value. | |||||||||||||||||||||||||||||||||
The fair value of Level 3 assets, consisting of hedge funds, was ¥818 million and ¥1,306 million at December 31, 2013 and 2012, respectively. Amounts of actual returns on, and purchases and sales of, these assets during the years ended December 31, 2013 and 2012 were not significant. | |||||||||||||||||||||||||||||||||
Contributions | |||||||||||||||||||||||||||||||||
Canon expects to contribute ¥13,589 million to its Japanese defined benefit pension plans and ¥7,060 million to its foreign defined benefit pension plans for the year ending December 31, 2014. | |||||||||||||||||||||||||||||||||
Estimated future benefit payments | |||||||||||||||||||||||||||||||||
The following benefit payments, which reflect expected future service, as appropriate, are expected to be paid: | |||||||||||||||||||||||||||||||||
Japanese plans | Foreign plans | ||||||||||||||||||||||||||||||||
(Millions of yen) | (Millions of yen) | ||||||||||||||||||||||||||||||||
Year ending December 31: | |||||||||||||||||||||||||||||||||
2014 | ¥ | 16,846 | ¥ | 11,782 | |||||||||||||||||||||||||||||
2015 | 18,489 | 11,417 | |||||||||||||||||||||||||||||||
2016 | 20,242 | 12,144 | |||||||||||||||||||||||||||||||
2017 | 21,713 | 12,713 | |||||||||||||||||||||||||||||||
2018 | 23,688 | 13,322 | |||||||||||||||||||||||||||||||
2019 – 2023 | 153,224 | 78,655 |
Income_Taxes
Income Taxes | 12 Months Ended | ||||||||||||
Dec. 31, 2013 | |||||||||||||
Income Taxes | ' | ||||||||||||
11 | Income Taxes | ||||||||||||
Domestic and foreign components of income before income taxes and the current and deferred income tax expense (benefit) attributable to such income are summarized as follows: | |||||||||||||
Year ended December 31, 2013 | |||||||||||||
Japanese | Foreign | Total | |||||||||||
(Millions of yen) | |||||||||||||
Income before income taxes | ¥ | 251,351 | ¥ | 96,253 | ¥ | 347,604 | |||||||
Income taxes: | |||||||||||||
Current | ¥ | 75,134 | ¥ | 16,163 | ¥ | 91,297 | |||||||
Deferred | 4,005 | 12,786 | 16,791 | ||||||||||
¥ | 79,139 | ¥ | 28,949 | ¥ | 108,088 | ||||||||
Year ended December 31, 2012 | |||||||||||||
Japanese | Foreign | Total | |||||||||||
(Millions of yen) | |||||||||||||
Income before income taxes | ¥ | 257,640 | ¥ | 84,917 | ¥ | 342,557 | |||||||
Income taxes: | |||||||||||||
Current | ¥ | 73,573 | ¥ | 29,052 | ¥ | 102,625 | |||||||
Deferred | 13,900 | (6,413 | ) | 7,487 | |||||||||
¥ | 87,473 | ¥ | 22,639 | ¥ | 110,112 | ||||||||
Year ended December 31, 2011 | |||||||||||||
Japanese | Foreign | Total | |||||||||||
(Millions of yen) | |||||||||||||
Income before income taxes | ¥ | 287,592 | ¥ | 86,932 | ¥ | 374,524 | |||||||
Income taxes: | |||||||||||||
Current | ¥ | 67,671 | ¥ | 23,615 | ¥ | 91,286 | |||||||
Deferred | 21,047 | 8,082 | 29,129 | ||||||||||
¥ | 88,718 | ¥ | 31,697 | ¥ | 120,415 | ||||||||
The Company and its domestic subsidiaries are subject to a number of income taxes, which, in the aggregate, represent a statutory income tax rate of approximately 38% for the year ended December 31, 2013 and approximately 40% for the years ended December 31, 2012 and 2011, respectively. | |||||||||||||
Amendments to the Japanese tax regulations were enacted into law on November 30, 2011. As a result of these amendments, the statutory income tax rate has been reduced from approximately 40% to 38% effective from the year ended December 31, 2013, and will be reduced to approximately 35% effective from the year ending December 31, 2016. Consequently, the statutory income tax rate utilized for deferred tax assets and liabilities which were or are expected to be settled or realized in the period from January 1, 2013 to December 31, 2015 is approximately 38% and for periods subsequent to December 31, 2015 the rate is approximately 35%. The adjustments of deferred tax assets and liabilities for this change in the tax rate amounted to ¥6,599 million and were reflected in income taxes in the consolidated statement of income for the year ended December 31, 2011. | |||||||||||||
A reconciliation of the Japanese statutory income tax rate and the effective income tax rate as a percentage of income before income taxes is as follows: | |||||||||||||
Years ended December 31 | |||||||||||||
2013 | 2012 | 2011 | |||||||||||
Japanese statutory income tax rate | 38 | % | 40 | % | 40 | % | |||||||
Increase (reduction) in income taxes resulting from: | |||||||||||||
Expenses not deductible for tax purposes | 0.9 | 0.8 | 0.6 | ||||||||||
Income of foreign subsidiaries taxed at lower than Japanese statutory tax rate | (3.3 | ) | (4.3 | ) | (4.3 | ) | |||||||
Tax credit for research and development expenses | (5.4 | ) | (5.7 | ) | (3.9 | ) | |||||||
Change in valuation allowance | 0.2 | (1.7 | ) | (0.5 | ) | ||||||||
Effect of enacted changes in tax laws and rates on Japanese tax | — | — | 1.8 | ||||||||||
Other | 0.7 | 3 | (1.5 | ) | |||||||||
Effective income tax rate | 31.1 | % | 32.1 | % | 32.2 | % | |||||||
Net deferred income tax assets and liabilities are included in the accompanying consolidated balance sheets under the following captions: | |||||||||||||
December 31 | |||||||||||||
2013 | 2012 | ||||||||||||
(Millions of yen) | |||||||||||||
Prepaid expenses and other current assets | ¥ | 61,902 | ¥ | 62,358 | |||||||||
Other assets | 103,539 | 121,934 | |||||||||||
Other current liabilities | (3,621 | ) | (2,662 | ) | |||||||||
Other noncurrent liabilities | (63,129 | ) | (44,712 | ) | |||||||||
¥ | 98,691 | ¥ | 136,918 | ||||||||||
The tax effects of temporary differences that give rise to the deferred tax assets and deferred tax liabilities at December 31, 2013 and 2012 are presented below: | |||||||||||||
December 31 | |||||||||||||
2013 | 2012 | ||||||||||||
(Millions of yen) | |||||||||||||
Deferred tax assets: | |||||||||||||
Inventories | ¥ | 12,988 | ¥ | 13,040 | |||||||||
Accrued business tax | 4,448 | 4,754 | |||||||||||
Accrued pension and severance cost | 59,964 | 86,442 | |||||||||||
Research and development – costs capitalized for tax purposes | 10,978 | 12,658 | |||||||||||
Property, plant and equipment | 26,626 | 28,780 | |||||||||||
Accrued expenses | 37,153 | 36,528 | |||||||||||
Net operating losses carried forward | 38,439 | 32,494 | |||||||||||
Other | 44,482 | 41,366 | |||||||||||
235,078 | 256,062 | ||||||||||||
Less valuation allowance | (35,055 | ) | (32,167 | ) | |||||||||
Total deferred tax assets | 200,023 | 223,895 | |||||||||||
Deferred tax liabilities: | |||||||||||||
Undistributed earnings of foreign subsidiaries | (10,876 | ) | (8,235 | ) | |||||||||
Net unrealized gains on securities | (5,740 | ) | (2,437 | ) | |||||||||
Tax deductible reserve | (6,160 | ) | (6,417 | ) | |||||||||
Financing lease revenue | (50,605 | ) | (41,417 | ) | |||||||||
Prepaid pension and severance cost | (671 | ) | (1,073 | ) | |||||||||
Other | (27,280 | ) | (27,398 | ) | |||||||||
Total deferred tax liabilities | (101,332 | ) | (86,977 | ) | |||||||||
Net deferred tax assets | ¥ | 98,691 | ¥ | 136,918 | |||||||||
The net changes in the total valuation allowance were an increase of ¥2,888 million for the year ended December 31, 2013, and decreases of ¥1,621 million and ¥1,519 million for the years ended December 31, 2012 and 2011, respectively. | |||||||||||||
Based upon the level of historical taxable income and projections for future taxable income over the periods which the net deductible temporary differences are expected to reverse, management believes it is more likely than not that Canon will realize the benefits of these deferred tax assets, net of the existing valuation allowance, at December 31, 2013. | |||||||||||||
At December 31, 2013, Canon had net operating losses which can be carried forward for income tax purposes of ¥167,138 million to reduce future taxable income. Periods available to reduce future taxable income vary in each tax jurisdiction and generally range from one year to an indefinite period as follows: | |||||||||||||
(Millions of yen) | |||||||||||||
Within one year | ¥ | 1,453 | |||||||||||
After one year through five years | 23,656 | ||||||||||||
After five years through ten years | 46,346 | ||||||||||||
After ten years through twenty years | 62,054 | ||||||||||||
Indefinite period | 33,629 | ||||||||||||
Total | ¥ | 167,138 | |||||||||||
Income taxes have not been accrued on undistributed earnings of domestic subsidiaries as the tax law provides a means by which the dividends from a domestic subsidiary can be received tax free. | |||||||||||||
Canon has not recognized deferred tax liabilities of ¥29,833 million for a portion of undistributed earnings of foreign subsidiaries that arose for the year ended December 31, 2013 and prior years because Canon currently does not expect to have such amounts distributed or paid as dividends to the Company in the foreseeable future. Deferred tax liabilities will be recognized when Canon expects that it will realize those undistributed earnings in a taxable manner, such as through receipt of dividends or sale of the investments. At December 31, 2013, such undistributed earnings of these subsidiaries were ¥939,460 million. | |||||||||||||
A reconciliation of the beginning and ending amount of unrecognized tax benefits is as follows: | |||||||||||||
Years ended December 31 | |||||||||||||
2013 | 2012 | 2011 | |||||||||||
(Millions of yen) | |||||||||||||
Balance at beginning of year | ¥ | 7,711 | ¥ | 2,933 | ¥ | 6,035 | |||||||
Additions for tax positions of the current year | 312 | 869 | 149 | ||||||||||
Additions for tax positions of prior years | 388 | 4,903 | 431 | ||||||||||
Reductions for tax positions of prior years | (3,141 | ) | (1,546 | ) | (2,139 | ) | |||||||
Settlements with tax authorities | (347 | ) | (41 | ) | (1,264 | ) | |||||||
Other | 1,278 | 593 | (279 | ) | |||||||||
Balance at end of year | ¥ | 6,201 | ¥ | 7,711 | ¥ | 2,933 | |||||||
The total amounts of unrecognized tax benefits that would reduce the effective tax rate, if recognized, are ¥6,201 million and ¥7,711 million at December 31, 2013 and 2012, respectively. | |||||||||||||
Although Canon believes its estimates and assumptions of unrecognized tax benefits are reasonable, uncertainty regarding the final determination of tax audit settlements and any related litigation could affect the effective tax rate in the future period. Based on each of the items of which Canon is aware at December 31, 2013, no significant changes to the unrecognized tax benefits are expected within the next twelve months. | |||||||||||||
Canon recognizes interest and penalties accrued related to unrecognized tax benefits in income taxes. Both interest and penalties accrued at December 31, 2013 and 2012, and interest and penalties included in income taxes for the years ended December 31, 2013, 2012 and 2011 are not significant. | |||||||||||||
Canon files income tax returns in Japan and various foreign tax jurisdictions. In Japan, Canon is no longer subject to regular income tax examinations by the tax authority for years before 2012. While there has been no specific indication by the tax authority that Canon will be subject to a transfer pricing examination in the near future, the tax authority could conduct a transfer pricing examination for years after 2006. In other major foreign tax jurisdictions, including the United States and the Netherlands, Canon is no longer subject to income tax examinations by tax authorities for years before 2006 with few exceptions. The tax authorities are currently conducting income tax examinations of Canon’s income tax returns for years after 2005 in major foreign tax jurisdictions. |
Legal_Reserve_and_Retained_Ear
Legal Reserve and Retained Earnings | 12 Months Ended | ||
Dec. 31, 2013 | |||
Legal Reserve and Retained Earnings | ' | ||
12 | Legal Reserve and Retained Earnings | ||
The Corporation Law of Japan provides that an amount equal to 10% of distributions from retained earnings paid by the Company and its Japanese subsidiaries be appropriated as a legal reserve. No further appropriations are required when the total amount of the additional paid-in capital and the legal reserve equals 25% of their respective stated capital. The Corporation Law of Japan also provides that additional paid-in capital and legal reserve are available for appropriations by the resolution of the stockholders. Certain foreign subsidiaries are also required to appropriate their earnings to legal reserves under the laws of the respective countries. | |||
Cash dividends and appropriations to the legal reserve charged to retained earnings for the years ended December 31, 2013, 2012 and 2011 represent dividends paid out during those years and the related appropriations to the legal reserve. Retained earnings at December 31, 2013 did not reflect current year-end dividends in the amount of ¥73,905 million which were approved by the stockholders in March 2014. | |||
The amount available for dividends under the Corporation Law of Japan is based on the amount recorded in the Company’s nonconsolidated books of account in accordance with financial accounting standards of Japan. Such amount was ¥1,055,590 million at December 31, 2013. | |||
Retained earnings at December 31, 2013 included Canon’s equity in undistributed earnings of affiliated companies accounted for by the equity method in the amount of ¥16,423 million. |
Other_Comprehensive_Income_Los
Other Comprehensive Income (Loss) | 12 Months Ended | ||||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||||
Other Comprehensive Income (Loss) | ' | ||||||||||||||||||||
13 | Other Comprehensive Income (Loss) | ||||||||||||||||||||
Changes in accumulated other comprehensive income (loss) for the years ended December 31, 2012 and 2011 are as follows: | |||||||||||||||||||||
Foreign | Unrealized | Gains and | Pension | Total | |||||||||||||||||
currency | gains and | losses on | liability | ||||||||||||||||||
translation | losses on | derivative | adjustments | ||||||||||||||||||
adjustments | securities | instruments | |||||||||||||||||||
(Millions of yen) | |||||||||||||||||||||
Balance at December 31, 2010 | ¥ | (325,612 | ) | ¥ | 3,020 | ¥ | 917 | ¥ | (68,784 | ) | ¥ | (390,459 | ) | ||||||||
Adjustments for the year | (53,251 | ) | (2,017 | ) | (462 | ) | (35,584 | ) | (91,314 | ) | |||||||||||
Balance at December 31, 2011 | (378,863 | ) | 1,003 | 455 | (104,368 | ) | (481,773 | ) | |||||||||||||
Adjustments for the year | 131,129 | 3,143 | (4,917 | ) | (14,831 | ) | 114,524 | ||||||||||||||
Balance at December 31, 2012 | ¥ | (247,734 | ) | ¥ | 4,146 | ¥ | (4,462 | ) | ¥ | (119,199 | ) | ¥ | (367,249 | ) | |||||||
Changes in accumulated other comprehensive income (loss) for the year ended December 31, 2013 are as follows: | |||||||||||||||||||||
Foreign | Unrealized | Gains and | Pension | Total | |||||||||||||||||
currency | gains and | losses on | liability | ||||||||||||||||||
translation | losses on | derivative | adjustments | ||||||||||||||||||
adjustments | securities | instruments | |||||||||||||||||||
(Millions of yen) | |||||||||||||||||||||
Balance at December 31, 2012 | ¥ | (247,734 | ) | ¥ | 4,146 | ¥ | (4,462 | ) | ¥ | (119,199 | ) | ¥ | (367,249 | ) | |||||||
Equity transaction with noncontrolling interests and other | (323 | ) | (1 | ) | (2 | ) | (329 | ) | (655 | ) | |||||||||||
Other comprehensive income(loss) before reclassifications | 249,791 | 7,449 | (7,551 | ) | 27,153 | 276,842 | |||||||||||||||
Amounts reclassified from accumulated other comprehensive income (loss) | — | (1,352 | ) | 9,607 | 2,161 | 10,416 | |||||||||||||||
Net change during the year | 249,468 | 6,096 | 2,054 | 28,985 | 286,603 | ||||||||||||||||
Balance at December 31, 2013 | ¥ | 1,734 | ¥ | 10,242 | ¥ | (2,408 | ) | ¥ | (90,214 | ) | ¥ | (80,646 | ) | ||||||||
Reclassifications out of accumulated other comprehensive income (loss) at December 31, 2013 are as follows: | |||||||||||||||||||||
Year ended December 31, 2013 | |||||||||||||||||||||
Amount reclassified from | Affected line items in consolidated | ||||||||||||||||||||
accumulated other | statements of income | ||||||||||||||||||||
comprehensive income (loss) *1 | |||||||||||||||||||||
(Millions of yen) | |||||||||||||||||||||
Unrealized gains and losses on securities | ¥ | (2,358 | ) | Other, net | |||||||||||||||||
613 | Income taxes | ||||||||||||||||||||
(1,745 | ) | Consolidated net income | |||||||||||||||||||
393 | Net income attributable to noncontrolling interests | ||||||||||||||||||||
(1,352 | ) | Net income attributable to Canon Inc. | |||||||||||||||||||
Gains and losses on derivative instruments | 15,387 | Other, net | |||||||||||||||||||
(5,780 | ) | Income taxes | |||||||||||||||||||
9,607 | Consolidated net income | ||||||||||||||||||||
— | Net income attributable to noncontrolling interests | ||||||||||||||||||||
9,607 | Net income attributable to Canon Inc. | ||||||||||||||||||||
Pension liability adjustments | 3,460 | See Note 10 | |||||||||||||||||||
(1,037 | ) | Income taxes | |||||||||||||||||||
2,423 | Consolidated net income | ||||||||||||||||||||
(262 | ) | Net income attributable to noncontrolling interests | |||||||||||||||||||
2,161 | Net income attributable to Canon Inc. | ||||||||||||||||||||
Total amount reclassified, net of tax and noncontrolling interests | ¥ | 10,416 | |||||||||||||||||||
*1 | Amounts in parentheses indicate gains in consolidated statements of income. | ||||||||||||||||||||
Tax effects allocated to each component of other comprehensive income (loss) and reclassification adjustments, including amounts attributable to noncontrolling interests, are as follows: | |||||||||||||||||||||
Years ended December 31 | |||||||||||||||||||||
Before-tax | Tax (expense) | Net-of-tax | |||||||||||||||||||
amount | or benefit | amount | |||||||||||||||||||
(Millions of yen) | |||||||||||||||||||||
2013:00:00 | |||||||||||||||||||||
Foreign currency translation adjustments | ¥ | 253,707 | ¥ | (2,131 | ) | ¥ | 251,576 | ||||||||||||||
Net unrealized gains and losses on securities: | |||||||||||||||||||||
Amount arising during the year | 12,669 | (4,312 | ) | 8,357 | |||||||||||||||||
Reclassification adjustments for gains and losses realized in net income | (2,358 | ) | 613 | (1,745 | ) | ||||||||||||||||
Net change during the year | 10,311 | (3,699 | ) | 6,612 | |||||||||||||||||
Net gains and losses on derivative instruments: | |||||||||||||||||||||
Amount arising during the year | (12,145 | ) | 4,594 | (7,551 | ) | ||||||||||||||||
Reclassification adjustments for gains and losses realized in net income | 15,387 | (5,780 | ) | 9,607 | |||||||||||||||||
Net change during the year | 3,242 | (1,186 | ) | 2,056 | |||||||||||||||||
Pension liability adjustments: | |||||||||||||||||||||
Amount arising during the year | 51,860 | (21,614 | ) | 30,246 | |||||||||||||||||
Reclassification adjustments for gains and losses realized in net income | 3,460 | (1,037 | ) | 2,423 | |||||||||||||||||
Net change during the year | 55,320 | (22,651 | ) | 32,669 | |||||||||||||||||
Other comprehensive income (loss) | ¥ | 322,580 | ¥ | (29,667 | ) | ¥ | 292,913 | ||||||||||||||
2012:00:00 | |||||||||||||||||||||
Foreign currency translation adjustments | ¥ | 134,930 | ¥ | (1,195 | ) | ¥ | 133,735 | ||||||||||||||
Net unrealized gains and losses on securities: | |||||||||||||||||||||
Amount arising during the year | 3,418 | (1,004 | ) | 2,414 | |||||||||||||||||
Reclassification adjustments for gains and losses realized in net income | 1,307 | (456 | ) | 851 | |||||||||||||||||
Net change during the year | 4,725 | (1,460 | ) | 3,265 | |||||||||||||||||
Net gains and losses on derivative instruments: | |||||||||||||||||||||
Amount arising during the year | (10,647 | ) | 4,041 | (6,606 | ) | ||||||||||||||||
Reclassification adjustments for gains and losses realized in net income | 2,440 | (714 | ) | 1,726 | |||||||||||||||||
Net change during the year | (8,207 | ) | 3,327 | (4,880 | ) | ||||||||||||||||
Pension liability adjustments: | |||||||||||||||||||||
Amount arising during the year | (13,888 | ) | (1,738 | ) | (15,626 | ) | |||||||||||||||
Reclassification adjustments for gains and losses realized in net income | 4,433 | (1,594 | ) | 2,839 | |||||||||||||||||
Net change during the year | (9,455 | ) | (3,332 | ) | (12,787 | ) | |||||||||||||||
Other comprehensive income (loss) | ¥ | 121,993 | ¥ | (2,660 | ) | ¥ | 119,333 | ||||||||||||||
Years ended December 31 | |||||||||||||||||||||
Before-tax | Tax (expense) | Net-of-tax | |||||||||||||||||||
amount | or benefit | amount | |||||||||||||||||||
(Millions of yen) | |||||||||||||||||||||
2011:00:00 | |||||||||||||||||||||
Foreign currency translation adjustments | ¥ | (53,839 | ) | ¥ | (247 | ) | ¥ | (54,086 | ) | ||||||||||||
Net unrealized gains and losses on securities: | |||||||||||||||||||||
Amount arising during the year | (7,571 | ) | 3,010 | (4,561 | ) | ||||||||||||||||
Reclassification adjustments for gains and losses realized in net income | 4,077 | (1,632 | ) | 2,445 | |||||||||||||||||
Net change during the year | (3,494 | ) | 1,378 | (2,116 | ) | ||||||||||||||||
Net gains and losses on derivative instruments: | |||||||||||||||||||||
Amount arising during the year | 4,221 | (1,708 | ) | 2,513 | |||||||||||||||||
Reclassification adjustments for gains and losses realized in net income | (5,006 | ) | 2,044 | (2,962 | ) | ||||||||||||||||
Net change during the year | (785 | ) | 336 | (449 | ) | ||||||||||||||||
Pension liability adjustments: | |||||||||||||||||||||
Amount arising during the year | (59,928 | ) | 20,252 | (39,676 | ) | ||||||||||||||||
Reclassification adjustments for gains and losses realized in net income | 2,038 | (739 | ) | 1,299 | |||||||||||||||||
Net change during the year | (57,890 | ) | 19,513 | (38,377 | ) | ||||||||||||||||
Other comprehensive income (loss) | ¥ | (116,008 | ) | ¥ | 20,980 | ¥ | (95,028 | ) | |||||||||||||
StockBased_Compensation
Stock-Based Compensation | 12 Months Ended | ||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||
Stock-Based Compensation | ' | ||||||||||||||||
14 | Stock-Based Compensation | ||||||||||||||||
On May 1, 2011, based on the approval of the stockholders, the Company granted stock options to its directors, executive officers and certain employees to acquire 912,000 shares of common stock. These option awards vest after two years of continued service beginning on the grant date and have a four year contractual term. The grant-date fair value per share of the stock options granted during the year ended December 31, 2011 was ¥772. | |||||||||||||||||
On May 1, 2010, based on the approval of the stockholders, the Company granted stock options to its directors, executive officers and certain employees to acquire 890,000 shares of common stock. These option awards vest after two years of continued service beginning on the grant date and have a four year contractual term. The grant-date fair value per share of the stock options granted during the year ended December 31, 2010 was ¥988. | |||||||||||||||||
On May 1, 2009, based on the approval of the stockholders, the Company granted stock options to its directors, executive officers and certain employees to acquire 954,000 shares of common stock. These option awards vest after two years of continued service beginning on the grant date and have a four year contractual term. The grant-date fair value per share of the stock options granted during the year ended December 31, 2009 was ¥699. | |||||||||||||||||
On May 1, 2008, based on the approval of the stockholders, the Company granted stock options to its directors, executive officers and certain employees to acquire 592,000 shares of common stock. These option awards vest after two years of continued service beginning on the grant date and have a four year contractual term. The grant-date fair value per share of the stock options granted during the year ended December 31, 2008 was ¥1,247. | |||||||||||||||||
The compensation cost recognized for these stock options for the years ended December 31, 2013, 2012 and 2011 was ¥95 million, ¥364 million and ¥748 million, respectively, and is included in selling, general and administrative expenses in the consolidated statements of income. | |||||||||||||||||
The fair value of each option award was estimated on the date of grant using the Black-Scholes option pricing model that incorporates the assumptions presented below: | |||||||||||||||||
Year ended | |||||||||||||||||
December 31, 2011 | |||||||||||||||||
Expected term of option (in years) | 4 | ||||||||||||||||
Expected volatility | 36.44 | % | |||||||||||||||
Dividend yield | 3.16 | % | |||||||||||||||
Risk-free interest rate | 0.44 | % | |||||||||||||||
A summary of option activity under the stock option plans as of and for the years ended December 31, 2013, 2012 and 2011 is presented below: | |||||||||||||||||
Shares | Weighted–average | Weighted–average | Aggregate | ||||||||||||||
exercise price | remaining | intrinsic value | |||||||||||||||
contractual term | |||||||||||||||||
(Yen) | (Year) | (Millions of yen) | |||||||||||||||
Outstanding at January 1, 2011 | 2,220,000 | ¥ | 4,354 | 2.5 | ¥ | 722 | |||||||||||
Granted | 912,000 | 3,990 | |||||||||||||||
Exercised | (65,800 | ) | 3,287 | ||||||||||||||
Forfeited | (24,000 | ) | 4,282 | ||||||||||||||
Outstanding at December 31, 2011 | 3,042,200 | 4,268 | 2 | 88 | |||||||||||||
Exercised | (10,800 | ) | 3,287 | ||||||||||||||
Forfeited | (305,000 | ) | 4,493 | ||||||||||||||
Outstanding at December 31, 2012 | 2,726,400 | 4,247 | 1.6 | 37 | |||||||||||||
Exercised | (8,600 | ) | 3,287 | ||||||||||||||
Forfeited | (60,400 | ) | 4,461 | ||||||||||||||
Outstanding at December 31, 2013 | 2,657,400 | ¥ | 4,245 | 1 | ¥ | 28 | |||||||||||
Exercisable at December 31, 2013 | 2,657,400 | ¥ | 4,245 | 1 | ¥ | 28 | |||||||||||
At December 31, 2013, all outstanding option awards were vested. | |||||||||||||||||
A summary of the status of the Company’s nonvested shares at December 31, 2013, and changes during the year ended December 31, 2013, is presented below: | |||||||||||||||||
Year ended December 31, 2013 | |||||||||||||||||
Shares | Weighted-average | ||||||||||||||||
grant-date fair value | |||||||||||||||||
(Yen) | |||||||||||||||||
Nonvested at beginning of year | 738,000 | ¥ | 772 | ||||||||||||||
Vested | (738,000 | ) | 772 | ||||||||||||||
Forfeited | — | — | |||||||||||||||
Nonvested at end of year | — | — | |||||||||||||||
The total fair value of shares vested during the years ended December 31, 2013, 2012 and 2011 was ¥570 million, ¥848 million and ¥547 million, respectively. Cash received from the exercise of stock options for the years ended December 31, 2013, 2012 and 2011 was ¥28 million, ¥35 million and ¥216 million, respectively. |
Net_Income_Attributable_to_Can
Net Income Attributable to Canon Inc. Stockholders per Share | 12 Months Ended | ||||||||||||
Dec. 31, 2013 | |||||||||||||
Net Income Attributable to Canon Inc. Stockholders per Share | ' | ||||||||||||
15 | Net Income Attributable to Canon Inc. Stockholders per Share | ||||||||||||
A reconciliation of the numerators and denominators of basic and diluted net income attributable to Canon Inc. stockholders per share computations is as follows: | |||||||||||||
Years ended December 31 | |||||||||||||
2013 | 2012 | 2011 | |||||||||||
(Millions of yen) | |||||||||||||
Net income attributable to Canon Inc. | ¥ | 230,483 | ¥ | 224,564 | ¥ | 248,630 | |||||||
(Number of shares) | |||||||||||||
Average common shares outstanding | 1,147,933,835 | 1,173,647,835 | 1,215,832,419 | ||||||||||
Effect of dilutive securities: | |||||||||||||
Stock options | 8,466 | 20,574 | 60,552 | ||||||||||
Diluted common shares outstanding | 1,147,942,301 | 1,173,668,409 | 1,215,892,971 | ||||||||||
(Yen) | |||||||||||||
Net income attributable to Canon Inc. stockholders per share: | |||||||||||||
Basic | ¥ | 200.78 | ¥ | 191.34 | ¥ | 204.49 | |||||||
Diluted | 200.78 | 191.34 | 204.48 | ||||||||||
The computation of diluted net income attributable to Canon Inc. stockholders per share for the years ended December 31, 2013, 2012 and 2011 excludes certain outstanding stock options because the effect would be anti-dilutive. |
Derivatives_and_Hedging_Activi
Derivatives and Hedging Activities | 12 Months Ended | ||||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||||
Derivatives and Hedging Activities | ' | ||||||||||||||||||||
16 | Derivatives and Hedging Activities | ||||||||||||||||||||
Risk management policy | |||||||||||||||||||||
Canon operates internationally, exposing it to the risk of changes in foreign currency exchange rates. Derivative financial instruments are comprised principally of foreign exchange contracts utilized by the Company and certain of its subsidiaries to reduce the risk. Canon assesses foreign currency exchange rate risk by continually monitoring changes in the exposures and by evaluating hedging opportunities. Canon does not hold or issue derivative financial instruments for trading purposes. Canon is also exposed to credit-related losses in the event of non-performance by counterparties to derivative financial instruments, but it is not expected that any counterparties will fail to meet their obligations. Most of the counterparties are internationally recognized financial institutions and selected by Canon taking into account their financial condition, and contracts are diversified across a number of major financial institutions. | |||||||||||||||||||||
Foreign currency exchange rate risk management | |||||||||||||||||||||
Canon’s international operations expose Canon to the risk of changes in foreign currency exchange rates. Canon uses foreign exchange contracts to manage certain foreign currency exchange exposures principally from the exchange of U.S. dollars and euros into Japanese yen. These contracts are primarily used to hedge the foreign currency exposure of forecasted intercompany sales and intercompany trade receivables that are denominated in foreign currencies. In accordance with Canon’s policy, a specific portion of foreign currency exposure resulting from forecasted intercompany sales are hedged using foreign exchange contracts which principally mature within three months. | |||||||||||||||||||||
Cash flow hedge | |||||||||||||||||||||
Changes in the fair value of derivative financial instruments designated as cash flow hedges, including foreign exchange contracts associated with forecasted intercompany sales, are reported in accumulated other comprehensive income (loss). These amounts are subsequently reclassified into earnings through other income (deductions) in the same period as the hedged items affect earnings. Substantially all amounts recorded in accumulated other comprehensive income (loss) at year-end are expected to be recognized in earnings over the next twelve months. Canon excludes the time value component from the assessment of hedge effectiveness. Changes in the fair value of a foreign exchange contract for the period between the date that the forecasted intercompany sales occur and its maturity date are recognized in earnings and not considered hedge ineffectiveness. | |||||||||||||||||||||
Derivatives not designated as hedges | |||||||||||||||||||||
Canon has entered into certain foreign exchange contracts to primarily offset the earnings impact related to fluctuations in foreign currency exchange rates associated with certain assets denominated in foreign currencies. Although these foreign exchange contracts have not been designated as hedges as required in order to apply hedge accounting, the contracts are effective from an economic perspective. The changes in the fair value of these contracts are recorded in earnings immediately. | |||||||||||||||||||||
Contract amounts of foreign exchange contracts at December 31, 2013 and 2012 are set forth below: | |||||||||||||||||||||
December 31 | |||||||||||||||||||||
2013 | 2012 | ||||||||||||||||||||
(Millions of yen) | |||||||||||||||||||||
To sell foreign currencies | ¥ | 374,699 | ¥ | 420,272 | |||||||||||||||||
To buy foreign currencies | 44,726 | 66,563 | |||||||||||||||||||
Fair value of derivative instruments in the consolidated balance sheets | |||||||||||||||||||||
The following tables present Canon’s derivative instruments measured at gross fair value as reflected in the consolidated balance sheets at December 31, 2013 and 2012. | |||||||||||||||||||||
Derivatives designated as hedging instruments | |||||||||||||||||||||
Fair value | |||||||||||||||||||||
December 31 | |||||||||||||||||||||
Balance sheet location | 2013 | 2012 | |||||||||||||||||||
(Millions of yen) | |||||||||||||||||||||
Assets: | |||||||||||||||||||||
Foreign exchange contracts | Prepaid expenses and other current assets | ¥ | 44 | ¥ | 443 | ||||||||||||||||
Liabilities: | |||||||||||||||||||||
Foreign exchange contracts | Other current liabilities | 2,267 | 4,472 | ||||||||||||||||||
Derivatives not designated as hedging instruments | |||||||||||||||||||||
Fair value | |||||||||||||||||||||
December 31 | |||||||||||||||||||||
Balance sheet location | 2013 | 2012 | |||||||||||||||||||
(Millions of yen) | |||||||||||||||||||||
Assets: | |||||||||||||||||||||
Foreign exchange contracts | Prepaid expenses and other current assets | ¥ | 210 | ¥ | 388 | ||||||||||||||||
Liabilities: | |||||||||||||||||||||
Foreign exchange contracts | Other current liabilities | 12,678 | 21,021 | ||||||||||||||||||
Effect of derivative instruments in the consolidated statements of income | |||||||||||||||||||||
The following tables present the effect of Canon’s derivative instruments in the consolidated statements of income for the years ended December 31, 2013, 2012 and 2011. | |||||||||||||||||||||
Derivatives in cash flow hedging relationships | |||||||||||||||||||||
Years ended December 31 | |||||||||||||||||||||
Gain (loss) | Gain (loss) reclassified from | Gain (loss) recognized in income | |||||||||||||||||||
recognized in OCI | accumulated OCI into income | (ineffective portion and amount | |||||||||||||||||||
(effective portion) | (effective portion) | excluded from effectiveness testing) | |||||||||||||||||||
Amount | Location | Amount | Location | Amount | |||||||||||||||||
(Millions of yen) | |||||||||||||||||||||
2013:00:00 | |||||||||||||||||||||
Foreign exchange contracts | ¥ | 3,242 | Other, net | ¥ | (15,387 | ) | Other, net | ¥ | (111 | ) | |||||||||||
2012:00:00 | |||||||||||||||||||||
Foreign exchange contracts | (8,207 | ) | Other, net | (2,440 | ) | Other, net | (221 | ) | |||||||||||||
2011:00:00 | |||||||||||||||||||||
Foreign exchange contracts | (785 | ) | Other, net | 5,006 | Other, net | (457 | ) | ||||||||||||||
Derivatives not designated as hedging instruments | |||||||||||||||||||||
Gain (loss) recognized in income on derivative | |||||||||||||||||||||
Years ended December 31 | |||||||||||||||||||||
Location | 2013 | 2012 | 2011 | ||||||||||||||||||
(Millions of yen) | |||||||||||||||||||||
Foreign exchange contracts | Other, net | ¥ | (61,787 | ) | ¥ | (30,602 | ) | ¥ | 11,168 |
Commitments_and_Contingent_Lia
Commitments and Contingent Liabilities | 12 Months Ended | ||||||||
Dec. 31, 2013 | |||||||||
Commitments and Contingent Liabilities | ' | ||||||||
17 | Commitments and Contingent Liabilities | ||||||||
Commitments | |||||||||
At December 31, 2013, commitments outstanding for the purchase of property, plant and equipment approximated ¥26,218 million, and commitments outstanding for the purchase of parts and raw materials approximated ¥73,914 million. | |||||||||
Canon occupies sales offices and other facilities under lease arrangements accounted for as operating leases. Deposits made under such arrangements aggregated ¥13,448 million and ¥13,313 million at December 31, 2013 and 2012, respectively, and are included in noncurrent receivables in the accompanying consolidated balance sheets. Rental expenses under such operating lease arrangements amounted to ¥44,562 million, ¥40,273 million and ¥38,167 million for the years ended December 31, 2013, 2012 and 2011, respectively. | |||||||||
Future minimum lease payments required under noncancelable operating leases that have initial or remaining lease terms in excess of one year at December 31, 2013 are as follows: | |||||||||
(Millions of yen) | |||||||||
Year ending December 31: | |||||||||
2014 | ¥ | 28,523 | |||||||
2015 | 20,337 | ||||||||
2016 | 17,578 | ||||||||
2017 | 10,046 | ||||||||
2018 | 6,400 | ||||||||
Thereafter | 13,180 | ||||||||
Total future minimum lease payments | ¥ | 96,064 | |||||||
Guarantees | |||||||||
Canon provides guarantees for bank loans of its employees, affiliates and other companies. The guarantees for the employees are principally made for their housing loans. The guarantees of loans of its affiliates and other companies are made to ensure that those companies operate with less financial risk. | |||||||||
For each guarantee provided, Canon would have to perform under a guarantee if the borrower defaults on a payment within the contract periods of 1 year to 30 years, in the case of employees with housing loans, and of 1 year to 10 years, in the case of affiliates and other companies. The maximum amount of undiscounted payments Canon would have had to make in the event of default is ¥12,315 million at December 31, 2013. The carrying amounts of the liabilities recognized for Canon’s obligations as a guarantor under those guarantees at December 31, 2013 were not significant. | |||||||||
Canon also issues contractual product warranties under which it generally guarantees the performance of products delivered and services rendered for a certain period or term. Changes in accrued product warranty cost for the years ended December 31, 2013 and 2012 are summarized as follows: | |||||||||
Years ended December 31 | |||||||||
2013 | 2012 | ||||||||
(Millions of yen) | |||||||||
Balance at beginning of year | ¥ | 12,163 | ¥ | 11,691 | |||||
Addition | 13,467 | 13,553 | |||||||
Utilization | (12,922 | ) | (12,503 | ) | |||||
Other | (1,818 | ) | (578 | ) | |||||
Balance at end of year | ¥ | 10,890 | ¥ | 12,163 | |||||
Legal proceedings | |||||||||
Canon is involved in various claims and legal actions arising in the ordinary course of business. Canon has recorded provisions for liabilities when it is probable that liabilities have been incurred and the amount of loss can be reasonably estimated. Canon reviews these provisions at least quarterly and adjusts these provisions to reflect the impact of the negotiations, settlements, rulings, advice of legal counsel and other information and events pertaining to a particular case. Based on its experience, although litigation is inherently unpredictable, Canon believes that any damage amounts claimed in outstanding matters are not a meaningful indicator of Canon’s potential liability. In the opinion of management, any reasonably possible range of losses from outstanding matters would not have a material adverse effect on Canon’s consolidated financial position, results of operations, or cash flows. |
Disclosures_about_the_Fair_Val
Disclosures about the Fair Value of Financial Instruments and Concentrations of Credit Risk | 12 Months Ended | ||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||
Disclosures about the Fair Value of Financial Instruments and Concentrations of Credit Risk | ' | ||||||||||||||||
18 | Disclosures about the Fair Value of Financial Instruments and Concentrations of Credit Risk | ||||||||||||||||
Fair value of financial instruments | |||||||||||||||||
The estimated fair values of Canon’s financial instruments at December 31, 2013 and 2012 are set forth below. The following summary excludes cash and cash equivalents, trade receivables, finance receivables, noncurrent receivables, short-term loans, trade payables and accrued expenses for which fair values approximate their carrying amounts. The summary also excludes investments which are disclosed in Note 2. | |||||||||||||||||
December 31 | |||||||||||||||||
2013 | 2012 | ||||||||||||||||
Carrying | Estimated | Carrying | Estimated | ||||||||||||||
amount | fair value | amount | fair value | ||||||||||||||
(Millions of yen) | |||||||||||||||||
Long-term debt, including current installments | ¥ | (2,693 | ) | ¥ | (2,693 | ) | ¥ | (3,664 | ) | ¥ | (3,654 | ) | |||||
Foreign exchange contracts: | |||||||||||||||||
Assets | 254 | 254 | 831 | 831 | |||||||||||||
Liabilities | (14,945 | ) | (14,945 | ) | (25,493 | ) | (25,493 | ) | |||||||||
The following methods and assumptions are used to estimate the fair value in the above table. | |||||||||||||||||
Long-term debt | |||||||||||||||||
Canon’s long-term debt instruments are classified as Level 2 instruments and valued based on the present value of future cash flows associated with each instrument discounted using current market borrowing rates for similar debt instruments of comparable maturity. The levels are more fully described in Note 19. | |||||||||||||||||
Foreign exchange contracts | |||||||||||||||||
The fair values of foreign exchange contracts are measured based on the market price obtained from financial institutions. | |||||||||||||||||
Limitations of fair value estimates | |||||||||||||||||
Fair value estimates are made at a specific point in time, based on relevant market information and information about the financial instruments. These estimates are subjective in nature and involve uncertainties and matters of significant judgment and therefore cannot be determined with precision. Changes in assumptions could significantly affect the estimates. | |||||||||||||||||
Concentrations of credit risk | |||||||||||||||||
At December 31, 2013 and 2012, one customer accounted for approximately 15% and 18% of consolidated trade receivables, respectively. Although Canon does not expect that the customer will fail to meet its obligations, Canon is potentially exposed to concentrations of credit risk if the customer failed to perform according to the terms of the contracts. |
Fair_Value_Measurements
Fair Value Measurements | 12 Months Ended | ||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||
Fair Value Measurements | ' | ||||||||||||||||
19 | Fair Value Measurements | ||||||||||||||||
Fair value is the price that would be received to sell an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants at the measurement date. A three-level fair value hierarchy that prioritizes the inputs used to measure fair value is as follows: | |||||||||||||||||
Level 1 | - | Inputs are quoted prices in active markets for identical assets or liabilities. | |||||||||||||||
Level 2 | - | Inputs are quoted prices for similar assets or liabilities in active markets, quoted prices for identical or similar assets or liabilities in markets that are not active, inputs other than quoted prices that are observable, and inputs that are derived principally from or corroborated by observable market data by correlation or other means. | |||||||||||||||
Level 3 | - | Inputs are derived from valuation techniques in which one or more significant inputs or value drivers are unobservable, which reflect the reporting entity’s own assumptions about the assumptions that market participants would use in establishing a price. | |||||||||||||||
Assets and liabilities measured at fair value on a recurring basis | |||||||||||||||||
The following tables present Canon’s assets and liabilities that are measured at fair value on a recurring basis consistent with the fair value hierarchy at December 31, 2013 and 2012. | |||||||||||||||||
December 31, 2013 | |||||||||||||||||
Level 1 | Level 2 | Level 3 | Total | ||||||||||||||
(Millions of yen) | |||||||||||||||||
Assets: | |||||||||||||||||
Cash and cash equivalents | ¥ | — | ¥ | 183,078 | ¥ | — | ¥ | 183,078 | |||||||||
Available-for-sale (noncurrent): | |||||||||||||||||
Government bonds | 307 | — | — | 307 | |||||||||||||
Corporate bonds | — | 141 | 340 | 481 | |||||||||||||
Fund trusts | 11 | 57 | — | 68 | |||||||||||||
Equity securities | 34,536 | — | — | 34,536 | |||||||||||||
Derivatives | — | 254 | — | 254 | |||||||||||||
Total assets | ¥ | 34,854 | ¥ | 183,530 | ¥ | 340 | ¥ | 218,724 | |||||||||
Liabilities: | |||||||||||||||||
Derivatives | ¥ | — | ¥ | 14,945 | ¥ | — | ¥ | 14,945 | |||||||||
Total liabilities | ¥ | — | ¥ | 14,945 | ¥ | — | ¥ | 14,945 | |||||||||
December 31, 2012 | |||||||||||||||||
Level 1 | Level 2 | Level 3 | Total | ||||||||||||||
(Millions of yen) | |||||||||||||||||
Assets: | |||||||||||||||||
Cash and cash equivalents | ¥ | — | ¥ | 141,729 | ¥ | — | ¥ | 141,729 | |||||||||
Available-for-sale (current): | |||||||||||||||||
Corporate bonds | 30 | — | — | 30 | |||||||||||||
Available-for-sale (noncurrent): | |||||||||||||||||
Government bonds | 181 | — | — | 181 | |||||||||||||
Corporate bonds | — | 116 | 444 | 560 | |||||||||||||
Fund trusts | 159 | 1,075 | — | 1,234 | |||||||||||||
Equity securities | 21,335 | — | — | 21,335 | |||||||||||||
Derivatives | — | 831 | — | 831 | |||||||||||||
Total assets | ¥ | 21,705 | ¥ | 143,751 | ¥ | 444 | ¥ | 165,900 | |||||||||
Liabilities: | |||||||||||||||||
Derivatives | ¥ | — | ¥ | 25,493 | ¥ | — | ¥ | 25,493 | |||||||||
Total liabilities | ¥ | — | ¥ | 25,493 | ¥ | — | ¥ | 25,493 | |||||||||
Level 1 investments are comprised principally of Japanese equity securities, which are valued using an unadjusted quoted market price in active markets with sufficient volume and frequency of transactions. Level 2 cash and cash equivalents are valued based on market approach, using quoted prices for identical assets in markets that are not active. Level 3 investments are mainly comprised of corporate bonds, which are valued based on cost approach, using unobservable inputs as the market for the assets was not active at the measurement date. | |||||||||||||||||
Derivative financial instruments are comprised of foreign exchange contracts. Level 2 derivatives are valued using quotes obtained from counterparties or third parties, which are periodically validated by pricing models using observable market inputs, such as foreign currency exchange rates and interest rates, based on market approach. | |||||||||||||||||
The following table presents the changes in Level 3 assets measured on a recurring basis, consisting primarily of corporate bonds, for the years ended December 31, 2013 and 2012. | |||||||||||||||||
Years ended December 31 | |||||||||||||||||
2013 | 2012 | ||||||||||||||||
(Millions of yen) | |||||||||||||||||
Balance at beginning of year | ¥ | 444 | ¥ | 454 | |||||||||||||
Total gains or losses (realized or unrealized): | |||||||||||||||||
Included in earnings | 1 | 3 | |||||||||||||||
Included in other comprehensive income (loss) | 36 | 2 | |||||||||||||||
Purchases, issuances, and settlements | (141 | ) | (15 | ) | |||||||||||||
Balance at end of year | ¥ | 340 | ¥ | 444 | |||||||||||||
Gains and losses included in earnings are mainly related to corporate bonds still held at December 31, 2013 and 2012, and are reported in “Other, net” in the consolidated statements of income. | |||||||||||||||||
Assets and liabilities measured at fair value on a nonrecurring basis | |||||||||||||||||
During the years ended December 31, 2013 and 2012, there were no circumstances that required any significant assets or liabilities to be measured at fair value on a nonrecurring basis. |
Segment_Information
Segment Information | 12 Months Ended | ||||||||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||||||||
Segment Information | ' | ||||||||||||||||||||||||
20 | Segment Information | ||||||||||||||||||||||||
Canon operates its business in three segments: the Office Business Unit, the Imaging System Business Unit, and the Industry and Others Business Unit, which are based on the organizational structure and information reviewed by Canon’s management to evaluate results and allocate resources. | |||||||||||||||||||||||||
The primary products included in each segment are as follows: | |||||||||||||||||||||||||
Office Business Unit: | Office multifunction devices (MFDs) / Laser multifunction printers (MFPs) / Laser printers / Digital production printing systems / High speed continuous feed printers / Wide-format printers / Document solutions | ||||||||||||||||||||||||
Imaging System Business Unit: | Interchangeable lens digital cameras / Digital compact cameras / Digital camcorders / Digital cinema cameras / Interchangeable lenses / Inkjet printers / Large-format inkjet printers / Commercial photo printers / Image scanners / Multimedia projectors / Broadcast equipment / Calculators | ||||||||||||||||||||||||
Industry and Others Business Unit: | Semiconductor lithography equipment / Flat panel display (FPD) lithography equipment / Digital radiography systems / Ophthalmic equipment / Vacuum thin-film deposition equipment / Organic LED (OLED) panel manufacturing equipment / Die bonders / Micromotors /Network cameras / Handy terminals / Document scanners | ||||||||||||||||||||||||
The accounting policies of the segments are substantially the same as those described in the significant accounting policies in Note 1. Canon evaluates performance of, and allocates resources to, each segment based on operating profit. | |||||||||||||||||||||||||
Information about operating results and assets for each segment as of and for the years ended December 31, 2013, 2012 and 2011 is as follows: | |||||||||||||||||||||||||
Office | Imaging | Industry and | Corporate and | Consolidated | |||||||||||||||||||||
System | Others | eliminations | |||||||||||||||||||||||
(Millions of yen) | |||||||||||||||||||||||||
2013:00:00 | |||||||||||||||||||||||||
Net sales: | |||||||||||||||||||||||||
External customers | ¥ | 1,993,898 | ¥ | 1,448,186 | ¥ | 289,296 | ¥ | — | ¥ | 3,731,380 | |||||||||||||||
Intersegment | 6,175 | 752 | 85,574 | (92,501 | ) | — | |||||||||||||||||||
Total | 2,000,073 | 1,448,938 | 374,870 | (92,501 | ) | 3,731,380 | |||||||||||||||||||
Operating cost and expenses | 1,733,165 | 1,245,144 | 400,201 | 15,593 | 3,394,103 | ||||||||||||||||||||
Operating profit(loss) | ¥ | 266,908 | ¥ | 203,794 | ¥ | (25,331 | ) | ¥ | (108,094 | ) | ¥ | 337,277 | |||||||||||||
Total assets | ¥ | 954,803 | ¥ | 584,856 | ¥ | 328,202 | ¥ | 2,374,849 | ¥ | 4,242,710 | |||||||||||||||
Depreciation and amortization | 88,344 | 56,564 | 37,072 | 93,193 | 275,173 | ||||||||||||||||||||
Capital expenditures | 54,644 | 44,112 | 27,040 | 101,682 | 227,478 | ||||||||||||||||||||
2012:00:00 | |||||||||||||||||||||||||
Net sales: | |||||||||||||||||||||||||
External customers | ¥ | 1,751,960 | ¥ | 1,404,394 | ¥ | 323,434 | ¥ | — | ¥ | 3,479,788 | |||||||||||||||
Intersegment | 5,615 | 1,577 | 84,406 | (91,598 | ) | — | |||||||||||||||||||
Total | 1,757,575 | 1,405,971 | 407,840 | (91,598 | ) | 3,479,788 | |||||||||||||||||||
Operating cost and expenses | 1,553,997 | 1,195,653 | 401,930 | 4,352 | 3,155,932 | ||||||||||||||||||||
Operating profit | ¥ | 203,578 | ¥ | 210,318 | ¥ | 5,910 | ¥ | (95,950 | ) | ¥ | 323,856 | ||||||||||||||
Total assets | ¥ | 927,543 | ¥ | 614,328 | ¥ | 337,899 | ¥ | 2,075,733 | ¥ | 3,955,503 | |||||||||||||||
Depreciation and amortization | 77,660 | 53,664 | 34,264 | 92,545 | 258,133 | ||||||||||||||||||||
Capital expenditures | 58,402 | 58,142 | 44,086 | 146,031 | 306,661 | ||||||||||||||||||||
2011:00:00 | |||||||||||||||||||||||||
Net sales: | |||||||||||||||||||||||||
External customers | ¥ | 1,912,112 | ¥ | 1,311,023 | ¥ | 334,298 | ¥ | — | ¥ | 3,557,433 | |||||||||||||||
Intersegment | 5,831 | 1,021 | 86,565 | (93,417 | ) | — | |||||||||||||||||||
Total | 1,917,943 | 1,312,044 | 420,863 | (93,417 | ) | 3,557,433 | |||||||||||||||||||
Operating cost and expenses | 1,658,678 | 1,100,750 | 396,563 | 23,371 | 3,179,362 | ||||||||||||||||||||
Operating profit | ¥ | 259,265 | ¥ | 211,294 | ¥ | 24,300 | ¥ | (116,788 | ) | ¥ | 378,071 | ||||||||||||||
Total assets | ¥ | 907,433 | ¥ | 452,809 | ¥ | 362,638 | ¥ | 2,207,847 | ¥ | 3,930,727 | |||||||||||||||
Depreciation and amortization | 93,196 | 45,609 | 29,685 | 92,853 | 261,343 | ||||||||||||||||||||
Capital expenditures | 53,888 | 48,192 | 37,648 | 122,753 | 262,481 | ||||||||||||||||||||
Intersegment sales are recorded at the same prices used in transactions with third parties. Expenses not directly associated with specific segments are allocated based on the most reasonable measures applicable. Corporate expenses include certain corporate research and development expenses. Segment assets are based on those directly associated with each segment. Corporate assets primarily consist of cash and cash equivalents, investments, deferred tax assets, goodwill and corporate properties. Capital expenditures represent the additions to property, plant and equipment and intangible assets measured on an accrual basis. In 2013, based on the realignment of Canon’s internal reporting structure, certain financial assets have been transferred from Corporate to the Office Business Unit. Corresponding amounts of total assets as of December 31, 2012 and 2011 have been reclassified to conform with the current year presentation. | |||||||||||||||||||||||||
Information about product sales to external customers by business unit for the years ended December 31, 2013, 2012 and 2011 is as follows: | |||||||||||||||||||||||||
Years ended December 31 | |||||||||||||||||||||||||
2013 | 2012 | 2011 | |||||||||||||||||||||||
(Millions of yen) | |||||||||||||||||||||||||
Office | |||||||||||||||||||||||||
Monochrome copiers | ¥ | 312,973 | ¥ | 274,021 | ¥ | 276,225 | |||||||||||||||||||
Color copiers | 381,848 | 324,851 | 322,321 | ||||||||||||||||||||||
Printers | 841,436 | 766,382 | 902,756 | ||||||||||||||||||||||
Others | 457,641 | 386,706 | 410,810 | ||||||||||||||||||||||
Total | 1,993,898 | 1,751,960 | 1,912,112 | ||||||||||||||||||||||
Imaging System | |||||||||||||||||||||||||
Cameras | 973,517 | 990,549 | 928,047 | ||||||||||||||||||||||
Inkjet printers | 363,070 | 312,429 | 315,526 | ||||||||||||||||||||||
Others | 111,599 | 101,416 | 67,450 | ||||||||||||||||||||||
Total | 1,448,186 | 1,404,394 | 1,311,023 | ||||||||||||||||||||||
Industry and Others | |||||||||||||||||||||||||
Lithography equipment | 62,116 | 62,892 | 81,556 | ||||||||||||||||||||||
Others | 227,180 | 260,542 | 252,742 | ||||||||||||||||||||||
Total | 289,296 | 323,434 | 334,298 | ||||||||||||||||||||||
Consolidated | ¥ | 3,731,380 | ¥ | 3,479,788 | ¥ | 3,557,433 | |||||||||||||||||||
Information by major geographic area as of and for the years ended December 31, 2013, 2012 and 2011 is as follows: | |||||||||||||||||||||||||
2013 | 2012 | 2011 | |||||||||||||||||||||||
(Millions of yen) | |||||||||||||||||||||||||
Net sales: | |||||||||||||||||||||||||
Japan | ¥ | 715,863 | ¥ | 720,286 | ¥ | 694,450 | |||||||||||||||||||
Americas | 1,059,501 | 939,873 | 961,955 | ||||||||||||||||||||||
Europe | 1,124,929 | 1,014,038 | 1,113,065 | ||||||||||||||||||||||
Asia and Oceania | 831,087 | 805,591 | 787,963 | ||||||||||||||||||||||
Total | ¥ | 3,731,380 | ¥ | 3,479,788 | ¥ | 3,557,433 | |||||||||||||||||||
Long-lived assets: | |||||||||||||||||||||||||
Japan | ¥ | 984,231 | ¥ | 1,032,598 | ¥ | 1,070,412 | |||||||||||||||||||
Americas | 131,660 | 112,163 | 85,824 | ||||||||||||||||||||||
Europe | 111,609 | 91,904 | 83,296 | ||||||||||||||||||||||
Asia and Oceania | 196,305 | 159,435 | 89,334 | ||||||||||||||||||||||
Total | ¥ | 1,423,805 | ¥ | 1,396,100 | ¥ | 1,328,866 | |||||||||||||||||||
Net sales are attributed to areas based on the location where the product is shipped to the customers. Other than in Japan and the United States, Canon does not conduct business in any individual country in which its sales in that country exceed 10% of consolidated net sales. Net sales in the United States were ¥960,213 million, ¥763,870 million and ¥779,652 million for the years ended December 31, 2013, 2012 and 2011, respectively. | |||||||||||||||||||||||||
Long-lived assets represent property, plant and equipment and intangible assets for each geographic area. | |||||||||||||||||||||||||
The following information is based on the location of the Company and its subsidiaries as of and for the years ended December 31, 2013, 2012 and 2011. In addition to the disclosure requirements under U.S. GAAP, Canon discloses this information in order to provide financial statements users with useful information. | |||||||||||||||||||||||||
Japan | Americas | Europe | Asia and Oceania | Corporate and | Consolidated | ||||||||||||||||||||
eliminations | |||||||||||||||||||||||||
(Millions of yen) | |||||||||||||||||||||||||
2013:00:00 | |||||||||||||||||||||||||
Net sales: | |||||||||||||||||||||||||
External customers | ¥ | 797,501 | ¥ | 1,056,096 | ¥ | 1,124,603 | ¥ | 753,180 | ¥ | — | ¥ | 3,731,380 | |||||||||||||
Intersegment | 1,855,181 | 11,774 | 53,281 | 881,765 | (2,802,001 | ) | — | ||||||||||||||||||
Total | 2,652,682 | 1,067,870 | 1,177,884 | 1,634,945 | (2,802,001 | ) | 3,731,380 | ||||||||||||||||||
Operating cost and expenses | 2,326,351 | 1,043,487 | 1,171,357 | 1,574,125 | (2,721,217 | ) | 3,394,103 | ||||||||||||||||||
Operating profit | ¥ | 326,331 | ¥ | 24,383 | ¥ | 6,527 | ¥ | 60,820 | ¥ | (80,784 | ) | ¥ | 337,277 | ||||||||||||
Total assets | ¥ | 1,152,398 | ¥ | 447,039 | ¥ | 496,549 | ¥ | 631,827 | ¥ | 1,514,897 | ¥ | 4,242,710 | |||||||||||||
2012:00:00 | |||||||||||||||||||||||||
Net sales: | |||||||||||||||||||||||||
External customers | ¥ | 834,406 | ¥ | 932,987 | ¥ | 1,010,922 | ¥ | 701,473 | ¥ | — | ¥ | 3,479,788 | |||||||||||||
Intersegment | 1,829,834 | 23,767 | 5,650 | 781,836 | (2,641,087 | ) | — | ||||||||||||||||||
Total | 2,664,240 | 956,754 | 1,016,572 | 1,483,309 | (2,641,087 | ) | 3,479,788 | ||||||||||||||||||
Operating cost and expenses | 2,336,536 | 937,111 | 972,585 | 1,437,527 | (2,527,827 | ) | 3,155,932 | ||||||||||||||||||
Operating profit | ¥ | 327,704 | ¥ | 19,643 | ¥ | 43,987 | ¥ | 45,782 | ¥ | (113,260 | ) | ¥ | 323,856 | ||||||||||||
Total assets | ¥ | 1,206,702 | ¥ | 339,918 | ¥ | 457,592 | ¥ | 548,583 | ¥ | 1,402,708 | ¥ | 3,955,503 | |||||||||||||
2011:00:00 | |||||||||||||||||||||||||
Net sales: | |||||||||||||||||||||||||
External customers | ¥ | 807,883 | ¥ | 952,833 | ¥ | 1,109,256 | ¥ | 687,461 | ¥ | — | ¥ | 3,557,433 | |||||||||||||
Intersegment | 1,873,157 | 16,217 | 4,681 | 744,179 | (2,638,234 | ) | — | ||||||||||||||||||
Total | 2,681,040 | 969,050 | 1,113,937 | 1,431,640 | (2,638,234 | ) | 3,557,433 | ||||||||||||||||||
Operating cost and expenses | 2,273,336 | 948,593 | 1,069,489 | 1,388,580 | (2,500,636 | ) | 3,179,362 | ||||||||||||||||||
Operating profit | ¥ | 407,704 | ¥ | 20,457 | ¥ | 44,448 | ¥ | 43,060 | ¥ | (137,598 | ) | ¥ | 378,071 | ||||||||||||
Total assets | ¥ | 1,236,468 | ¥ | 250,131 | ¥ | 427,030 | ¥ | 442,263 | ¥ | 1,574,835 | ¥ | 3,930,727 | |||||||||||||
Subsequent_Event
Subsequent Event | 12 Months Ended | ||
Dec. 31, 2013 | |||
Subsequent Event | ' | ||
21 | Subsequent Event | ||
On February 18, 2014, the Board of Directors of the Company approved and implemented a plan to repurchase up to 18 million shares of the Company’s common stock at a cost of up to ¥50,000 million for the period from February 19, 2014 to April 4, 2014. Such repurchases are intended to improve capital efficiency and ensure flexible capital strategy. Common stock repurchased in the Tokyo Stock Exchange between February 19, 2014 and March 4, 2014 under the aforementioned plan was 15,957,600 shares at a cost of ¥50,000 million. |
Schedule_II_Valuation_and_Qual
Schedule II Valuation and Qualifying Accounts | 12 Months Ended | ||||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||||
Schedule II Valuation and Qualifying Accounts | ' | ||||||||||||||||||||
Canon Inc. and Subsidiaries | |||||||||||||||||||||
Schedule II Valuation and Qualifying Accounts | |||||||||||||||||||||
Balance at | Addition- | Deduction | Translation | Balance | |||||||||||||||||
beginning of | charged to | bad debts | adjustments | at end of | |||||||||||||||||
period | income | written off | and other | period | |||||||||||||||||
(Millions of yen) | |||||||||||||||||||||
Year ended December 31, 2013: | |||||||||||||||||||||
Allowance for doubtful receivables | |||||||||||||||||||||
Trade receivables | ¥ | 12,970 | ¥ | 1,235 | ¥ | (4,173 | ) | ¥ | 2,698 | ¥ | 12,730 | ||||||||||
Finance receivables | 6,908 | 212 | (1,278 | ) | 1,481 | 7,323 | |||||||||||||||
Year ended December 31, 2012: | |||||||||||||||||||||
Allowance for doubtful receivables | |||||||||||||||||||||
Trade receivables | ¥ | 11,563 | ¥ | 2,149 | ¥ | (2,382 | ) | ¥ | 1,640 | ¥ | 12,970 | ||||||||||
Finance receivables | 7,039 | 1,922 | (1,304 | ) | (749 | ) | 6,908 | ||||||||||||||
Year ended December 31, 2011: | |||||||||||||||||||||
Allowance for doubtful receivables | |||||||||||||||||||||
Trade receivables | ¥ | 14,920 | ¥ | 492 | ¥ | (3,995 | ) | ¥ | 146 | ¥ | 11,563 | ||||||||||
Finance receivables | 7,983 | 2,052 | (1,937 | ) | (1,059 | ) | 7,039 |
Basis_of_Presentation_and_Sign1
Basis of Presentation and Significant Accounting Policies (Policies) | 12 Months Ended | |
Dec. 31, 2013 | ||
Description of Business | ' | |
(a) | Description of Business | |
Canon Inc. (the “Company”) and subsidiaries (collectively “Canon”) is one of the world’s leading manufacturers in such fields as office products, imaging system products and industry and other products. Office products consist mainly of office multifunction devices (“MFDs”), laser multifunction printers (“MFPs”), laser printers, digital production printing systems, high speed continuous feed printers, wide-format printers and document solutions. Imaging system products consist mainly of interchangeable lens digital cameras, digital compact cameras, digital camcorders, digital cinema cameras, interchangeable lenses, inkjet printers, large-format inkjet printers, commercial photo printers, image scanners, multimedia projectors, broadcast equipment and calculators. Industry and other products consist mainly of semiconductor lithography equipment, flat panel display (“FPD”) lithography equipment, digital radiography systems, ophthalmic equipment, vacuum thin-film deposition equipment, organic LED (“OLED”) panel manufacturing equipment, die bonders, micromotors, network cameras, handy terminals and document scanners. Canon’s consolidated net sales for the years ended December 31, 2013, 2012 and 2011 were distributed as follows: the Office Business Unit 53.6%, 50.5% and 53.9%, the Imaging System Business Unit 38.8%, 40.4% and 36.9%, the Industry and Others Business Unit 10.0%, 11.7% and 11.8%, and elimination between segments 2.4%, 2.6% and 2.6%, respectively. These percentages were computed by dividing segment net sales, including intersegment sales, by consolidated net sales, based on the segment operating results described in Note 20. | ||
Sales are made principally under the Canon brand name, almost entirely through sales subsidiaries. These subsidiaries are responsible for marketing and distribution, and primarily sell to retail dealers in their geographic area. 80.8%, 79.3% and 80.5% of consolidated net sales for the years ended December 31, 2013, 2012 and 2011 were generated outside Japan, with 28.4%, 27.0% and 27.0% in the Americas, 30.1%, 29.1% and 31.3% in Europe, and 22.3%, 23.2% and 22.2% in Asia and Oceania, respectively. | ||
Canon sells laser printers on an OEM basis to Hewlett-Packard Company; such sales constituted 17.6%, 17.0% and 19.3% of consolidated net sales for the years ended December 31, 2013, 2012 and 2011, respectively, and are included in the Office Business Unit. | ||
Canon’s manufacturing operations are conducted primarily at 28 plants in Japan and 18 overseas plants which are located in countries or regions such as the United States, Germany, France, the Netherlands, Taiwan, China, Malaysia, Thailand, Vietnam and Philippines. | ||
Basis of Presentation | ' | |
(b) | Basis of Presentation | |
The Company and its domestic subsidiaries maintain their books of account in conformity with financial accounting standards of Japan. Foreign subsidiaries maintain their books of account in conformity with financial accounting standards of the countries of their domicile. | ||
Certain adjustments and reclassifications have been incorporated in the accompanying consolidated financial statements to conform with U.S. generally accepted accounting principles (“GAAP”). These adjustments were not recorded in the statutory books of account. | ||
Principles of Consolidation | ' | |
(c) | Principles of Consolidation | |
The consolidated financial statements include the accounts of the Company, its majority owned subsidiaries and those variable interest entities where the Company or its consolidated subsidiaries are the primary beneficiaries. All significant intercompany balances and transactions have been eliminated. | ||
Use of Estimates | ' | |
(d) | Use of Estimates | |
The preparation of the consolidated financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and the disclosure of contingent assets and liabilities at the date of the consolidated financial statements and the reported amounts of revenues and expenses during the period. Significant estimates and assumptions are reflected in valuation and disclosure of revenue recognition, allowance for doubtful receivables, valuation of inventories, impairment of long-lived assets, environmental liabilities, valuation of deferred tax assets, uncertain tax positions and employee retirement and severance benefit obligations. Actual results could differ materially from those estimates. | ||
Translation of Foreign Currencies | ' | |
(e) | Translation of Foreign Currencies | |
Assets and liabilities of the Company’s subsidiaries located outside Japan with functional currencies other than Japanese yen are translated into Japanese yen at the rates of exchange in effect at the balance sheet date. Income and expense items are translated at the average exchange rates prevailing during the year. Gains and losses resulting from translation of financial statements are excluded from earnings and are reported in other comprehensive income (loss). | ||
Gains and losses resulting from foreign currency transactions, including foreign exchange contracts, and translation of assets and liabilities denominated in foreign currencies are included in other income (deductions) in the consolidated statements of income. Foreign currency exchange gains and losses was a net loss of ¥1,992 million for the year ended December 31, 2013, a net gain of ¥9,130 million for the year ended December 31, 2012 and a net loss of ¥3,287 million for the year ended December 31, 2011, respectively. | ||
Cash Equivalents | ' | |
(f) | Cash Equivalents | |
All highly liquid investments acquired with original maturities of three months or less are considered to be cash equivalents. Certain debt securities with original maturities of less than three months, classified as available-for-sale securities of ¥183,078 million and ¥141,729 million at December 31, 2013 and 2012, respectively, are included in cash and cash equivalents in the consolidated balance sheets. | ||
Investments | ' | |
(g) | Investments | |
Investments consist primarily of time deposits with original maturities of more than three months, debt and marketable equity securities, investments in affiliated companies and non-marketable equity securities. Canon reports investments with maturities of less than one year as short-term investments. | ||
Canon classifies investments in debt and marketable equity securities as available-for-sale or held-to-maturity securities. Canon does not hold any trading securities, which are bought and held primarily for the purpose of sale in the near term. | ||
Available-for-sale securities are recorded at fair value. Fair value is determined based on quoted market prices, projected discounted cash flows or other valuation techniques as appropriate. Unrealized holding gains and losses, net of the related tax effect, are reported as a separate component of accumulated other comprehensive income (loss) until realized. Held-to-maturity securities are recorded at amortized cost, adjusted for amortization of premiums and accretion of discounts. | ||
Available-for-sale and held-to-maturity securities are regularly reviewed for other-than-temporary declines in the carrying amount based on criteria that include the length of time and the extent to which the market value has been less than cost, the financial condition and near-term prospects of the issuer and Canon’s intent and ability to retain the investment for a period of time sufficient to allow for any anticipated recovery in market value. For debt securities for which the declines are deemed to be other-than-temporary and there is no intent to sell, impairments are separated into the amount related to credit loss, which is recognized in earnings, and the amount related to all other factors, which is recognized in other comprehensive income (loss). For debt securities for which the declines are deemed to be other-than-temporary and there is an intent to sell, impairments in their entirety are recognized in earnings. For equity securities for which the declines are deemed to be other-than-temporary, impairments in their entirety are recognized in earnings. Canon recognizes an impairment loss to the extent by which the cost basis of the investment exceeds the fair value of the investment. | ||
Realized gains and losses are determined by the average cost method and reflected in earnings. | ||
Investments in affiliated companies over which Canon has the ability to exercise significant influence, but does not hold a controlling financial interest, are accounted for by the equity method. | ||
Non-marketable equity securities in companies over which Canon does not have the ability to exercise significant influence are stated at cost and reviewed periodically for impairment. | ||
Allowance for Doubtful Receivables | ' | |
(h) | Allowance for Doubtful Receivables | |
Allowance for doubtful trade and finance receivables is maintained for all customers based on a combination of factors, including aging analysis, macroeconomic conditions and historical experience. An additional reserve for individual accounts is recorded when Canon becomes aware of a customer’s inability to meet its financial obligations, such as in the case of bankruptcy filings. If circumstances related to customers change, estimates of the recoverability of receivables would be further adjusted. When all collection options are exhausted including legal recourse, the accounts or portions thereof are deemed to be uncollectable and charged against the allowance. | ||
Inventories | ' | |
(i) | Inventories | |
Inventories are stated at the lower of cost or market value. Cost is determined by the average method for domestic inventories and principally by the first-in, first-out method for overseas inventories. | ||
Impairment of Long-Lived Assets | ' | |
(j) | Impairment of Long-Lived Assets | |
Long-lived assets, such as property, plant and equipment, and acquired intangible assets subject to amortization, are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. Recoverability of assets to be held and used is measured by a comparison of the carrying amount of the asset and the estimated undiscounted future cash flows expected to be generated by the asset. If the carrying amount of the asset exceeds its estimated undiscounted future cash flows, an impairment charge is recognized in the amount by which the carrying amount of the asset exceeds the fair value of the asset. Assets to be disposed of by sale are reported at the lower of the carrying amount or fair value less costs to sell, and are no longer depreciated. | ||
Property, Plant and Equipment | ' | |
(k) | Property, Plant and Equipment | |
Property, plant and equipment are stated at cost. Depreciation is calculated principally by the declining-balance method, except for certain assets which are depreciated by the straight-line method over the estimated useful lives of the assets. | ||
The depreciation period ranges from 3 years to 60 years for buildings and 1 year to 20 years for machinery and equipment. | ||
Assets leased to others under operating leases are stated at cost and depreciated to the estimated residual value of the assets by the straight-line method over the lease term, generally from 2 years to 5 years. | ||
Goodwill and Other Intangible Assets | ' | |
(l) | Goodwill and Other Intangible Assets | |
Goodwill and other intangible assets with indefinite useful lives are not amortized, but are instead tested for impairment annually in the fourth quarter of each year, or more frequently if indicators of potential impairment exist. Canon performs its impairment test of goodwill using the two-step approach at the reporting unit level, which is one level below the operating segment level. All goodwill is assigned to the reporting unit or units that benefit from the synergies arising from each business combination. If the carrying amount assigned to the reporting unit exceeds the fair value of the reporting unit, Canon performs the second step to measure an impairment charge in the amount by which the carrying amount of a reporting unit’s goodwill exceeds its implied fair value. | ||
Intangible assets with finite useful lives consist primarily of software, license fees, patented technologies and customer relationships. Software and license fees are amortized using the straight-line method over the estimated useful lives, which range from 3 years to 5 years for software and 5 years to 10 years for license fees. Patented technologies are amortized using the straight-line method principally over the estimated useful life of 3 years. Customer relationships are amortized principally using the declining-balance method over the estimated useful life of 5 years. Certain costs incurred in connection with developing or obtaining internal-use software are capitalized. These costs consist primarily of payments made to third parties and the salaries of employees working on such software development. Costs incurred in connection with developing internal-use software are capitalized at the application development stage. In addition, Canon develops or obtains certain software to be sold where related costs are capitalized after establishment of technological feasibility. | ||
Environmental Liabilities | ' | |
(m) | Environmental Liabilities | |
Liabilities for environmental remediation and other environmental costs are accrued when environmental assessments or remedial efforts are probable and the costs can be reasonably estimated. Such liabilities are adjusted as further information develops or circumstances change. Costs of future obligations are not discounted to their present values. | ||
Income Taxes | ' | |
(n) | Income Taxes | |
Deferred tax assets and liabilities are recognized for the estimated future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases and operating loss and tax credit carryforwards. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in income in the period that includes the enactment date. Canon records a valuation allowance to reduce the deferred tax assets to the amount that is more likely than not realizable. | ||
Canon recognizes the financial statement effects of tax positions when it is more likely than not, based on the technical merits, that the tax positions will be sustained upon examination by the tax authorities. Benefits from tax positions that meet the more-likely-than-not recognition threshold are measured at the largest amount of benefit that is greater than 50% likely of being realized upon settlement. Interest and penalties accrued related to unrecognized tax benefits are included in income taxes in the consolidated statements of income. | ||
Stock-Based Compensation | ' | |
(o) | Stock-Based Compensation | |
Canon measures stock-based compensation cost at the grant date, based on the fair value of the award, and recognizes the cost on a straight-line basis over the requisite service period, which is the vesting period. | ||
Net Income Attributable to Canon Inc. Stockholders per Share | ' | |
(p) | Net Income Attributable to Canon Inc. Stockholders per Share | |
Basic net income attributable to Canon Inc. stockholders per share is computed by dividing net income attributable to Canon Inc. by the weighted-average number of common shares outstanding during each year. Diluted net income attributable to Canon Inc. stockholders per share includes the effect from potential issuances of common stock based on the assumptions that all stock options were exercised. | ||
Revenue Recognition | ' | |
(q) | Revenue Recognition | |
Canon generates revenue principally through the sale of office and imaging system products, equipment, supplies, and related services under separate contractual arrangements. Canon recognizes revenue when persuasive evidence of an arrangement exists, delivery has occurred and title and risk of loss have been transferred to the customer or services have been rendered, the sales price is fixed or determinable, and collectibility is probable. | ||
Revenue from sales of office products, such as office MFDs and laser printers, and imaging system products, such as digital cameras and inkjet printers, is recognized upon shipment or delivery, depending upon when title and risk of loss transfer to the customer. | ||
Canon also offers separately priced product maintenance contracts for most office products, for which the customer typically pays a stated base service fee plus a variable amount based on usage. Revenue from these service maintenance contracts is measured at the stated amount of the contract and recognized as services are provided and variable amounts are earned. | ||
Revenue from the sale of equipment under sales-type leases is recognized at the inception of the lease. Income on sales-type leases and direct-financing leases is recognized over the life of each respective lease using the interest method. Leases not qualifying as sales-type leases or direct-financing leases are accounted for as operating leases and related revenue is recognized ratably over the lease term. When equipment leases are bundled with product maintenance contracts, revenue is allocated based upon the estimated relative fair value of the lease and non-lease deliverables. Lease deliverables generally include equipment, financing and executory costs, while non-lease deliverables generally consist of product maintenance contracts and supplies. | ||
Revenue from sales of optical equipment, such as semiconductor lithography equipment and FPD lithography equipment that are sold with customer acceptance provisions related to their functionality, is recognized when the equipment is installed at the customer site and the specific criteria of the equipment functionality are successfully tested and demonstrated by Canon. Service revenue is derived primarily from separately priced product maintenance contracts on equipment sold to customers and is measured at the stated amount of the contract and recognized as services are provided. | ||
For all other arrangements with multiple elements, Canon allocates revenue to each element based on its relative selling price if such element meets the criteria for treatment as a separate unit of accounting. Otherwise, revenue is deferred until the undelivered elements are fulfilled and accounted for as a single unit of accounting. | ||
Canon records estimated reductions to sales at the time of sale for sales incentive programs including product discounts, customer promotions and volume-based rebates. Estimated reductions to sales are based upon historical trends and other known factors at the time of sale. Canon regularly adjusts its estimates each period in the ordinary course of establishing sales incentive program accruals based on current information. During the year ended December 31, 2012, Canon revised its estimates for sales incentive program accruals based on new information which was not available at the time that the accrual was established due to unique circumstances, such as the earthquake in Japan and the flooding in Thailand that occurred in 2011 as well as a recent shift in usage of incentive programs from mail-in rebates to instant rebates. This change in estimate caused an increase in net income attributable to Canon Inc. of ¥10,785 million, and an increase in basic and diluted net income attributable to Canon Inc. stockholders per share of ¥9.19 each. During the years ended December 31, 2013 and 2011, such adjustments were not significant. Canon also provides price protection to certain resellers of its products, and records reductions to sales for the estimated impact of price protection obligations when announced. | ||
Estimated product warranty costs are recorded at the time revenue is recognized and are included in selling, general and administrative expenses in the consolidated statements of income. Estimates for accrued product warranty costs are based on historical experience, and are affected by ongoing product failure rates, specific product class failures outside of the baseline experience, material usage and service delivery costs incurred in correcting a product failure. | ||
Taxes collected from customers and remitted to governmental authorities are excluded from revenues in the consolidated statements of income. | ||
Research and Development Costs | ' | |
(r) | Research and Development Costs | |
Research and development costs are expensed as incurred. | ||
Advertising Costs | ' | |
(s) | Advertising Costs | |
Advertising costs are expensed as incurred. Advertising expenses were ¥86,398 million, ¥83,134 million and ¥81,232 million for the years ended December 31, 2013, 2012 and 2011, respectively. | ||
Shipping and Handling Costs | ' | |
(t) | Shipping and Handling Costs | |
Shipping and handling costs totaled ¥47,460 million, ¥38,499 million and ¥43,308 million for the years ended December 31, 2013, 2012 and 2011, respectively, and are included in selling, general and administrative expenses in the consolidated statements of income. | ||
Derivative Financial Instruments | ' | |
(u) | Derivative Financial Instruments | |
All derivatives are recognized at fair value and are included in prepaid expenses and other current assets, or other current liabilities in the consolidated balance sheets. | ||
Canon uses and designates certain derivatives as a hedge of a forecasted transaction or the variability of cash flows to be received or paid related to a recognized asset or liability (“cash flow” hedge). Canon formally documents all relationships between hedging instruments and hedged items, as well as its risk-management objective and strategy for undertaking various hedge transactions. Canon also formally assesses, both at the hedge’s inception and on an ongoing basis, whether the derivatives that are used in hedging transactions are highly effective in offsetting changes in cash flows of hedged items. When it is determined that a derivative is not highly effective as a hedge or that it has ceased to be a highly effective hedge, Canon discontinues hedge accounting prospectively. Changes in the fair value of a derivative that is designated and qualifies as a cash flow hedge are recorded in other comprehensive income (loss), until earnings are affected by the variability in cash flows of the hedged item. Gains and losses from hedging ineffectiveness are included in other income (deductions). Gains and losses related to the components of hedging instruments excluded from the assessment of hedge effectiveness are included in other income (deductions). | ||
Canon also uses certain derivative financial instruments which are not designated as hedges. The changes in fair values of these derivative financial instruments are immediately recorded in earnings. | ||
Canon classifies cash flows from derivatives as cash flows from operating activities in the consolidated statements of cash flows. | ||
Guarantees | ' | |
(v) | Guarantees | |
Canon recognizes, at the inception of a guarantee, a liability for the fair value of the obligation it has undertaken in issuing guarantees. | ||
Recently Issued Accounting Guidance | ' | |
(w) | Recently Issued Accounting Guidance | |
In February 2013, the FASB issued an amendment which requires entities to provide information about the amounts reclassified out of accumulated other comprehensive income by component, and to present, either on the face of the statement where net income is presented or in the notes, significant amounts reclassified out of accumulated other comprehensive income by the respective line items of net income. Canon adopted this amended guidance from the quarter beginning January 1, 2013. This adoption did not have a material impact on Canon’s consolidated results of operations and financial condition. See Note 13 of the Notes to Consolidated Financial Statements. |
Investments_Tables
Investments (Tables) | 12 Months Ended | ||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||
Available-for-Sale Securities | ' | ||||||||||||||||
The cost, gross unrealized holding gains, gross unrealized holding losses and fair value for available-for-sale securities included in short-term investments and investments by major security type at December 31, 2013 and 2012 were as follows: | |||||||||||||||||
December 31, 2013 | |||||||||||||||||
Cost | Gross | Gross | Fair | ||||||||||||||
unrealized | unrealized | value | |||||||||||||||
holding gains | holding losses | ||||||||||||||||
(Millions of yen) | |||||||||||||||||
Noncurrent: | |||||||||||||||||
Government bonds | ¥ | 338 | ¥ | — | ¥ | 31 | ¥ | 307 | |||||||||
Corporate bonds | 491 | 16 | 26 | 481 | |||||||||||||
Fund trusts | 68 | — | — | 68 | |||||||||||||
Equity securities | 18,112 | 16,450 | 26 | 34,536 | |||||||||||||
¥ | 19,009 | ¥ | 16,466 | ¥ | 83 | ¥ | 35,392 | ||||||||||
December 31, 2012 | |||||||||||||||||
Cost | Gross | Gross | Fair | ||||||||||||||
unrealized | unrealized | value | |||||||||||||||
holding gains | holding losses | ||||||||||||||||
(Millions of yen) | |||||||||||||||||
Current: | |||||||||||||||||
Corporate bonds | ¥ | 30 | ¥ | — | ¥ | — | ¥ | 30 | |||||||||
Noncurrent: | |||||||||||||||||
Government bonds | ¥ | 181 | ¥ | — | ¥ | — | ¥ | 181 | |||||||||
Corporate bonds | 590 | — | 30 | 560 | |||||||||||||
Fund trusts | 1,192 | 43 | 1 | 1,234 | |||||||||||||
Equity securities | 14,866 | 7,033 | 564 | 21,335 | |||||||||||||
¥ | 16,829 | ¥ | 7,076 | ¥ | 595 | ¥ | 23,310 | ||||||||||
Maturities of Available-for-Sale Debt Securities | ' | ||||||||||||||||
Maturities of available-for-sale debt securities included in investments in the accompanying consolidated balance sheets were as follows at December 31, 2013: | |||||||||||||||||
Cost | Fair value | ||||||||||||||||
(Millions of yen) | |||||||||||||||||
Due within one year | ¥ | — | ¥ | — | |||||||||||||
Due after one year through five years | 10 | 10 | |||||||||||||||
Due after five years | 819 | 778 | |||||||||||||||
¥ | 829 | ¥ | 788 | ||||||||||||||
Trade_Receivables_Tables
Trade Receivables (Tables) | 12 Months Ended | ||||||||
Dec. 31, 2013 | |||||||||
Trade Receivables | ' | ||||||||
Trade receivables are summarized as follows: | |||||||||
December 31 | |||||||||
2013 | 2012 | ||||||||
(Millions of yen) | |||||||||
Notes | ¥ | 15,461 | ¥ | 17,207 | |||||
Accounts | 606,010 | 569,138 | |||||||
621,471 | 586,345 | ||||||||
Less allowance for doubtful receivables | (12,730 | ) | (12,970 | ) | |||||
¥ | 608,741 | ¥ | 573,375 | ||||||
Inventories_Tables
Inventories (Tables) | 12 Months Ended | ||||||||
Dec. 31, 2013 | |||||||||
Inventories | ' | ||||||||
Inventories are summarized as follows: | |||||||||
December 31 | |||||||||
2013 | 2012 | ||||||||
(Millions of yen) | |||||||||
Finished goods | ¥ | 406,443 | ¥ | 391,194 | |||||
Work in process | 128,120 | 139,923 | |||||||
Raw materials | 19,210 | 20,506 | |||||||
¥ | 553,773 | ¥ | 551,623 | ||||||
Property_Plant_and_Equipment_T
Property, Plant and Equipment (Tables) | 12 Months Ended | ||||||||
Dec. 31, 2013 | |||||||||
Property, Plant and Equipment | ' | ||||||||
Property, plant and equipment are stated at cost less accumulated depreciation and are summarized as follows: | |||||||||
December 31 | |||||||||
2013 | 2012 | ||||||||
(Millions of yen) | |||||||||
Land | ¥ | 282,484 | ¥ | 272,233 | |||||
Buildings | 1,570,024 | 1,447,838 | |||||||
Machinery and equipment | 1,736,107 | 1,586,827 | |||||||
Construction in progress | 73,645 | 112,919 | |||||||
3,662,260 | 3,419,817 | ||||||||
Less accumulated depreciation | (2,383,530 | ) | (2,159,453 | ) | |||||
¥ | 1,278,730 | ¥ | 1,260,364 | ||||||
Finance_Receivables_and_Operat1
Finance Receivables and Operating Leases (Tables) | 12 Months Ended | ||||||||
Dec. 31, 2013 | |||||||||
Components of Financing Receivable | ' | ||||||||
The components of the finance receivables, which are included in prepaid expenses and other current assets, and other assets in the accompanying consolidated balance sheets, are as follows: | |||||||||
December 31 | |||||||||
2013 | 2012 | ||||||||
(Millions of yen) | |||||||||
Total minimum lease payments receivable | ¥ | 278,621 | ¥ | 231,221 | |||||
Unguaranteed residual values | 9,566 | 8,863 | |||||||
Executory costs | (2,184 | ) | (2,598 | ) | |||||
Unearned income | (29,875 | ) | (27,521 | ) | |||||
256,128 | 209,965 | ||||||||
Less allowance for credit losses | (7,323 | ) | (6,908 | ) | |||||
248,805 | 203,057 | ||||||||
Less current portion | (91,025 | ) | (74,168 | ) | |||||
¥ | 157,780 | ¥ | 128,889 | ||||||
Allowance for Credit Losses | ' | ||||||||
The activity in the allowance for credit losses is as follows: | |||||||||
Years ended December 31 | |||||||||
2013 | 2012 | ||||||||
(Millions of yen) | |||||||||
Balance at beginning of year | ¥ | 6,908 | ¥ | 7,039 | |||||
Charge-offs | (1,278 | ) | (1,304 | ) | |||||
Provision | 212 | 1,922 | |||||||
Other | 1,481 | (749 | ) | ||||||
Balance at end of year | ¥ | 7,323 | ¥ | 6,908 | |||||
Future Minimum Lease Payments to be Received under Financing Leases and Noncancelable Operating Leases | ' | ||||||||
The following is a schedule by year of the future minimum lease payments to be received under financing leases and noncancelable operating leases at December 31, 2013. | |||||||||
Financing leases | Operating leases | ||||||||
(Millions of yen) | |||||||||
Year ending December 31: | |||||||||
2014 | ¥ | 109,408 | ¥ | 7,639 | |||||
2015 | 82,900 | 4,154 | |||||||
2016 | 51,963 | 2,148 | |||||||
2017 | 25,423 | 1,070 | |||||||
2018 | 8,427 | 309 | |||||||
Thereafter | 500 | 419 | |||||||
¥ | 278,621 | ¥ | 15,739 | ||||||
Goodwill_and_Other_Intangible_1
Goodwill and Other Intangible Assets (Tables) | 12 Months Ended | ||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||
Components of Intangible Assets Subject to Amortization | ' | ||||||||||||||||
The components of intangible assets subject to amortization at December 31, 2013 and 2012 were as follows: | |||||||||||||||||
December 31, 2013 | December 31, 2012 | ||||||||||||||||
Gross | Accumulated | Gross | Accumulated | ||||||||||||||
carrying | amortization | carrying | amortization | ||||||||||||||
amount | amount | ||||||||||||||||
(Millions of yen) | |||||||||||||||||
Software | ¥ | 271,425 | ¥ | 167,411 | ¥ | 225,894 | ¥ | 131,875 | |||||||||
Customer relationships | 50,792 | 39,957 | 39,615 | 26,938 | |||||||||||||
Patented technologies | 29,067 | 24,027 | 25,900 | 19,028 | |||||||||||||
License fees | 13,194 | 7,902 | 20,142 | 14,573 | |||||||||||||
Other | 32,319 | 16,094 | 22,776 | 9,382 | |||||||||||||
¥ | 396,797 | ¥ | 255,391 | ¥ | 334,327 | ¥ | 201,796 | ||||||||||
Changes in Carrying Amount of Goodwill | ' | ||||||||||||||||
The changes in the carrying amount of goodwill by segment, which is included in other assets in the consolidated balance sheets, for the years ended December 31, 2013 and 2012 were as follows: | |||||||||||||||||
Year ended December 31, 2013 | |||||||||||||||||
Office | Imaging | Industry and | Total | ||||||||||||||
System | Others | ||||||||||||||||
(Millions of yen) | |||||||||||||||||
Balance at beginning of year | ¥ | 111,348 | ¥ | 12,674 | ¥ | 6,821 | ¥ | 130,843 | |||||||||
Goodwill acquired during the year | 4,083 | — | — | 4,083 | |||||||||||||
Translation adjustments and other | 23,981 | 1,203 | 1,530 | 26,714 | |||||||||||||
Balance at end of year | ¥ | 139,412 | ¥ | 13,877 | ¥ | 8,351 | ¥ | 161,640 | |||||||||
Year ended December 31, 2012 | |||||||||||||||||
Office | Imaging | Industry and | Total | ||||||||||||||
System | Others | ||||||||||||||||
(Millions of yen) | |||||||||||||||||
Balance at beginning of year | ¥ | 102,060 | ¥ | 12,088 | ¥ | 4,873 | ¥ | 119,021 | |||||||||
Goodwill acquired during the year | — | — | 961 | 961 | |||||||||||||
Translation adjustments and other | 9,288 | 586 | 987 | 10,861 | |||||||||||||
Balance at end of year | ¥ | 111,348 | ¥ | 12,674 | ¥ | 6,821 | ¥ | 130,843 | |||||||||
ShortTerm_Loans_and_LongTerm_D1
Short-Term Loans and Long-Term Debt (Tables) | 12 Months Ended | ||||||||
Dec. 31, 2013 | |||||||||
Long-Term Debt | ' | ||||||||
Long-term debt consisted of the following: | |||||||||
December 31 | |||||||||
2013 | 2012 | ||||||||
(Millions of yen) | |||||||||
Loans, principally from banks, maturing in installments through 2024; bearing weighted average interest of 1.15% and 1.94% at December 31, 2013 and 2012, respectively | ¥ | 211 | ¥ | 132 | |||||
Capital lease obligations | 2,482 | 3,532 | |||||||
2,693 | 3,664 | ||||||||
Less current portion | (1,245 | ) | (1,547 | ) | |||||
¥ | 1,448 | ¥ | 2,117 | ||||||
Aggregate Annual Maturities of Long-Term Debt Outstanding | ' | ||||||||
The aggregate annual maturities of long-term debt outstanding at December 31, 2013 were as follows: | |||||||||
(Millions of yen) | |||||||||
Year ending December 31: | |||||||||
2014 | ¥ | 1,245 | |||||||
2015 | 880 | ||||||||
2016 | 319 | ||||||||
2017 | 171 | ||||||||
2018 | 48 | ||||||||
Thereafter | 30 | ||||||||
¥ | 2,693 | ||||||||
Trade_Payables_Tables
Trade Payables (Tables) | 12 Months Ended | ||||||||
Dec. 31, 2013 | |||||||||
Trade Payables | ' | ||||||||
Trade payables are summarized as follows: | |||||||||
December 31 | |||||||||
2013 | 2012 | ||||||||
(Millions of yen) | |||||||||
Notes | ¥ | 8,005 | ¥ | 11,971 | |||||
Accounts | 299,152 | 313,264 | |||||||
¥ | 307,157 | ¥ | 325,235 | ||||||
Employee_Retirement_and_Severa1
Employee Retirement and Severance Benefits (Tables) | 12 Months Ended | ||||||||||||||||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||||||||||||||||
Benefit Obligations and Fair Value of Plan Assets | ' | ||||||||||||||||||||||||||||||||
Reconciliations of beginning and ending balances of the benefit obligations and the fair value of the plan assets are as follows: | |||||||||||||||||||||||||||||||||
Japanese plans | Foreign plans | ||||||||||||||||||||||||||||||||
December 31 | December 31 | ||||||||||||||||||||||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||||||||||||||||||||||
(Millions of yen) | (Millions of yen) | ||||||||||||||||||||||||||||||||
Change in benefit obligations: | |||||||||||||||||||||||||||||||||
Benefit obligations at beginning of year | ¥ | 651,520 | ¥ | 626,924 | ¥ | 364,609 | ¥ | 262,130 | |||||||||||||||||||||||||
Service cost | 26,005 | 25,738 | 9,448 | 5,884 | |||||||||||||||||||||||||||||
Interest cost | 11,655 | 11,788 | 14,299 | 13,176 | |||||||||||||||||||||||||||||
Plan participants’ contributions | — | — | 2,617 | 2,315 | |||||||||||||||||||||||||||||
Actuarial loss | 14,959 | 6,049 | 8,981 | 45,145 | |||||||||||||||||||||||||||||
Benefits paid | (19,297 | ) | (18,979 | ) | (9,415 | ) | (10,407 | ) | |||||||||||||||||||||||||
Curtailments and settlements | — | — | (2,868 | ) | — | ||||||||||||||||||||||||||||
Foreign currency exchange rate changes | — | — | 98,901 | 46,366 | |||||||||||||||||||||||||||||
Benefit obligations at end of year | 684,842 | 651,520 | 486,572 | 364,609 | |||||||||||||||||||||||||||||
Change in plan assets: | |||||||||||||||||||||||||||||||||
Fair value of plan assets at beginning of year | 495,452 | 448,736 | 249,534 | 192,033 | |||||||||||||||||||||||||||||
Actual return on plan assets | 84,382 | 41,593 | 20,640 | 25,290 | |||||||||||||||||||||||||||||
Employer contributions | 19,810 | 22,589 | 28,705 | 7,832 | |||||||||||||||||||||||||||||
Plan participants’ contributions | — | — | 2,617 | 2,315 | |||||||||||||||||||||||||||||
Benefits paid | (17,648 | ) | (17,466 | ) | (9,106 | ) | (9,825 | ) | |||||||||||||||||||||||||
Settlements | — | — | (2,656 | ) | — | ||||||||||||||||||||||||||||
Foreign currency exchange rate changes | — | — | 70,793 | 31,889 | |||||||||||||||||||||||||||||
Fair value of plan assets at end of year | 581,996 | 495,452 | 360,527 | 249,534 | |||||||||||||||||||||||||||||
Funded status at end of year | ¥ | (102,846 | ) | ¥ | (156,068 | ) | ¥ | (126,045 | ) | ¥ | (115,075 | ) | |||||||||||||||||||||
Amounts Recognized in Consolidated Balance Sheets | ' | ||||||||||||||||||||||||||||||||
Amounts recognized in the consolidated balance sheets at December 31, 2013 and 2012 are as follows: | |||||||||||||||||||||||||||||||||
Japanese plans | Foreign plans | ||||||||||||||||||||||||||||||||
December 31 | December 31 | ||||||||||||||||||||||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||||||||||||||||||||||
(Millions of yen) | (Millions of yen) | ||||||||||||||||||||||||||||||||
Other assets | ¥ | 559 | ¥ | — | ¥ | 1,106 | ¥ | 1,371 | |||||||||||||||||||||||||
Accrued expenses | — | — | (892 | ) | (383 | ) | |||||||||||||||||||||||||||
Accrued pension and severance cost | (103,405 | ) | (156,068 | ) | (126,259 | ) | (116,063 | ) | |||||||||||||||||||||||||
¥ | (102,846 | ) | ¥ | (156,068 | ) | ¥ | (126,045 | ) | ¥ | (115,075 | ) | ||||||||||||||||||||||
Recognized Accumulated Other Comprehensive Income (Loss) Before Income Taxes | ' | ||||||||||||||||||||||||||||||||
Amounts recognized in accumulated other comprehensive income (loss) at December 31, 2013 and 2012 before the effect of income taxes are as follows: | |||||||||||||||||||||||||||||||||
Japanese plans | Foreign plans | ||||||||||||||||||||||||||||||||
December 31 | December 31 | ||||||||||||||||||||||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||||||||||||||||||||||
(Millions of yen) | (Millions of yen) | ||||||||||||||||||||||||||||||||
Actuarial loss | ¥ | 186,052 | ¥ | 253,748 | ¥ | 50,344 | ¥ | 50,417 | |||||||||||||||||||||||||
Prior service credit | (105,327 | ) | (117,633 | ) | (118 | ) | (261 | ) | |||||||||||||||||||||||||
¥ | 80,725 | ¥ | 136,115 | ¥ | 50,226 | ¥ | 50,156 | ||||||||||||||||||||||||||
Accumulated Benefit Obligation for All Defined Benefit Plans | ' | ||||||||||||||||||||||||||||||||
The accumulated benefit obligation for all defined benefit plans was as follows: | |||||||||||||||||||||||||||||||||
Japanese plans | Foreign plans | ||||||||||||||||||||||||||||||||
December 31 | December 31 | ||||||||||||||||||||||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||||||||||||||||||||||
(Millions of yen) | (Millions of yen) | ||||||||||||||||||||||||||||||||
Accumulated benefit obligation | ¥ | 631,887 | ¥ | 620,589 | ¥ | 464,195 | ¥ | 328,736 | |||||||||||||||||||||||||
Plans with Projected Benefit Obligations in Excess of Plan Assets and Plans with Accumulated Benefit Obligations in Excess of Plan Assets | ' | ||||||||||||||||||||||||||||||||
The projected benefit obligations and the fair value of plan assets for the pension plans with projected benefit obligations in excess of plan assets, and the accumulated benefit obligations and the fair value of plan assets for the pension plans with accumulated benefit obligations in excess of plan assets are as follows: | |||||||||||||||||||||||||||||||||
Japanese plans | Foreign plans | ||||||||||||||||||||||||||||||||
December 31 | December 31 | ||||||||||||||||||||||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||||||||||||||||||||||
(Millions of yen) | (Millions of yen) | ||||||||||||||||||||||||||||||||
Plans with projected benefit obligations in excess of plan assets: | |||||||||||||||||||||||||||||||||
Projected benefit obligations | ¥ | 676,308 | ¥ | 651,520 | ¥ | 485,466 | ¥ | 360,742 | |||||||||||||||||||||||||
Fair value of plan assets | 572,903 | 495,452 | 358,315 | 244,296 | |||||||||||||||||||||||||||||
Plans with accumulated benefit obligations in excess of plan assets: | |||||||||||||||||||||||||||||||||
Accumulated benefit obligations | ¥ | 611,602 | ¥ | 615,551 | ¥ | 463,089 | ¥ | 324,869 | |||||||||||||||||||||||||
Fair value of plan assets | 560,093 | 489,929 | 358,315 | 244,296 | |||||||||||||||||||||||||||||
Net Periodic Benefit Cost for Employee Retirement and Severance Defined Benefit Plans | ' | ||||||||||||||||||||||||||||||||
Net periodic benefit cost for Canon’s employee retirement and severance defined benefit plans for the years ended December 31, 2013, 2012 and 2011 consisted of the following components: | |||||||||||||||||||||||||||||||||
Japanese plans | Foreign plans | ||||||||||||||||||||||||||||||||
Years ended December 31 | Years ended December 31 | ||||||||||||||||||||||||||||||||
2013 | 2012 | 2011 | 2013 | 2012 | 2011 | ||||||||||||||||||||||||||||
(Millions of yen) | (Millions of yen) | ||||||||||||||||||||||||||||||||
Service cost | ¥ | 26,005 | ¥ | 25,738 | ¥ | 25,875 | ¥ | 9,448 | ¥ | 5,884 | ¥ | 5,756 | |||||||||||||||||||||
Interest cost | 11,655 | 11,788 | 12,354 | 14,299 | 13,176 | 12,748 | |||||||||||||||||||||||||||
Expected return on plan assets | (15,273 | ) | (13,791 | ) | (16,485 | ) | (13,949 | ) | (11,806 | ) | (12,112 | ) | |||||||||||||||||||||
Amortization of net transition obligation | — | — | 722 | — | — | — | |||||||||||||||||||||||||||
Amortization of prior service credit | (12,306 | ) | (13,079 | ) | (13,674 | ) | (143 | ) | (116 | ) | (93 | ) | |||||||||||||||||||||
Amortization of actuarial loss | 13,546 | 16,277 | 14,462 | 2,005 | 1,351 | 621 | |||||||||||||||||||||||||||
Loss on curtailments and settlements | — | — | — | 146 | — | — | |||||||||||||||||||||||||||
¥ | 23,627 | ¥ | 26,933 | ¥ | 23,254 | ¥ | 11,806 | ¥ | 8,489 | ¥ | 6,920 | ||||||||||||||||||||||
Other Changes in Plan Assets and Benefit Obligations Recognized in Other Comprehensive Income (Loss) | ' | ||||||||||||||||||||||||||||||||
Other changes in plan assets and benefit obligations recognized in other comprehensive income (loss) for the years ended December 31, 2013, 2012 and 2011 are summarized as follows: | |||||||||||||||||||||||||||||||||
Japanese plans | Foreign plans | ||||||||||||||||||||||||||||||||
Years ended December 31 | Years ended December 31 | ||||||||||||||||||||||||||||||||
2013 | 2012 | 2011 | 2013 | 2012 | 2011 | ||||||||||||||||||||||||||||
(Millions of yen) | (Millions of yen) | ||||||||||||||||||||||||||||||||
Current year actuarial (gain) loss | ¥ | (54,150 | ) | ¥ | (21,753 | ) | ¥ | 48,615 | ¥ | 2,290 | ¥ | 31,661 | ¥ | 13,649 | |||||||||||||||||||
Amortization of actuarial loss | (13,546 | ) | (16,277 | ) | (14,462 | ) | (2,005 | ) | (1,351 | ) | (621 | ) | |||||||||||||||||||||
Prior service credit due to amendments | — | — | (1,913 | ) | — | — | — | ||||||||||||||||||||||||||
Amortization of prior service credit | 12,306 | 13,079 | 13,674 | 143 | 116 | 93 | |||||||||||||||||||||||||||
Amortization of net transition obligation | — | — | (722 | ) | — | — | — | ||||||||||||||||||||||||||
Curtailments and settlements | — | — | — | (358 | ) | — | — | ||||||||||||||||||||||||||
¥ | (55,390 | ) | ¥ | (24,951 | ) | ¥ | 45,192 | ¥ | 70 | ¥ | 30,426 | ¥ | 13,121 | ||||||||||||||||||||
Summary of Estimated Defined Benefit Pension Plans Amortized from Accumulated Other Comprehensive Income (Loss) into Next Year Benefit Cost | ' | ||||||||||||||||||||||||||||||||
The estimated prior service credit and actuarial loss for the defined benefit pension plans that will be amortized from accumulated other comprehensive income (loss) into net periodic benefit cost over the next year are summarized as follows: | |||||||||||||||||||||||||||||||||
Japanese plans | Foreign plans | ||||||||||||||||||||||||||||||||
(Millions of yen) | (Millions of yen) | ||||||||||||||||||||||||||||||||
Prior service credit | ¥ | (12,801 | ) | ¥ | (51 | ) | |||||||||||||||||||||||||||
Actuarial loss | 9,989 | 1,800 | |||||||||||||||||||||||||||||||
Weighted-Average Assumptions Used to Determine Benefit Obligations | ' | ||||||||||||||||||||||||||||||||
Weighted-average assumptions used to determine benefit obligations are as follows: | |||||||||||||||||||||||||||||||||
Japanese plans | Foreign plans | ||||||||||||||||||||||||||||||||
December 31 | December 31 | ||||||||||||||||||||||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||||||||||||||||||||||
Discount rate | 1.6 | % | 1.8 | % | 3.8 | % | 3.6 | % | |||||||||||||||||||||||||
Assumed rate of increase in future compensation levels | 3 | % | 3 | % | 2.3 | % | 2.2 | % | |||||||||||||||||||||||||
Weighted-Average Assumptions Used to Determine Net Periodic Benefit Cost | ' | ||||||||||||||||||||||||||||||||
Weighted-average assumptions used to determine net periodic benefit cost are as follows: | |||||||||||||||||||||||||||||||||
Japanese plans | Foreign plans | ||||||||||||||||||||||||||||||||
Years ended December 31 | Years ended December 31 | ||||||||||||||||||||||||||||||||
2013 | 2012 | 2011 | 2013 | 2012 | 2011 | ||||||||||||||||||||||||||||
Discount rate | 1.8 | % | 1.9 | % | 2.1 | % | 3.6 | % | 4.6 | % | 4.9 | % | |||||||||||||||||||||
Assumed rate of increase in future compensation levels | 3 | % | 3 | % | 3 | % | 2.2 | % | 2.4 | % | 2.9 | % | |||||||||||||||||||||
Expected long-term rate of return on plan assets | 3.1 | % | 3.1 | % | 3.6 | % | 5.2 | % | 5.4 | % | 5.7 | % | |||||||||||||||||||||
Fair Values of Company's Pension Plans Assets | ' | ||||||||||||||||||||||||||||||||
The fair values of Canon’s pension plan assets at December 31, 2013 and 2012, by asset category, are as follows: | |||||||||||||||||||||||||||||||||
December 31, 2013 | |||||||||||||||||||||||||||||||||
Japanese plans | Foreign plans | ||||||||||||||||||||||||||||||||
Level 1 | Level 2 | Level 3 | Total | Level 1 | Level 2 | Level 3 | Total | ||||||||||||||||||||||||||
(Millions of yen) | |||||||||||||||||||||||||||||||||
Equity securities: | |||||||||||||||||||||||||||||||||
Japanese companies (a) | ¥ | 51,159 | ¥ | — | ¥ | — | ¥ | 51,159 | ¥ | — | ¥ | — | ¥ | — | ¥ | — | |||||||||||||||||
Foreign companies | 10,347 | — | — | 10,347 | 43,681 | — | — | 43,681 | |||||||||||||||||||||||||
Pooled funds (b) | — | 145,417 | — | 145,417 | — | 104,933 | — | 104,933 | |||||||||||||||||||||||||
Debt securities: | |||||||||||||||||||||||||||||||||
Government bonds (c) | 124,800 | — | — | 124,800 | 44,192 | — | — | 44,192 | |||||||||||||||||||||||||
Municipal bonds | — | 1,027 | — | 1,027 | — | 2,246 | — | 2,246 | |||||||||||||||||||||||||
Corporate bonds | — | 10,543 | — | 10,543 | — | 32,921 | — | 32,921 | |||||||||||||||||||||||||
Pooled funds (d) | — | 101,583 | — | 101,583 | — | 57,518 | — | 57,518 | |||||||||||||||||||||||||
Mortgage backed securities (and other asset backed securities) | — | 9,569 | — | 9,569 | — | 5,098 | — | 5,098 | |||||||||||||||||||||||||
Life insurance company general accounts | — | 109,097 | — | 109,097 | — | 15,420 | — | 15,420 | |||||||||||||||||||||||||
Other assets | — | 17,636 | 818 | 18,454 | — | 54,518 | — | 54,518 | |||||||||||||||||||||||||
¥ | 186,306 | ¥ | 394,872 | ¥ | 818 | ¥ | 581,996 | ¥ | 87,873 | ¥ | 272,654 | ¥ | — | ¥ | 360,527 | ||||||||||||||||||
December 31, 2012 | |||||||||||||||||||||||||||||||||
Japanese plans | Foreign plans | ||||||||||||||||||||||||||||||||
Level 1 | Level 2 | Level 3 | Total | Level 1 | Level 2 | Level 3 | Total | ||||||||||||||||||||||||||
(Millions of yen) | |||||||||||||||||||||||||||||||||
Equity securities: | |||||||||||||||||||||||||||||||||
Japanese companies (e) | ¥ | 34,387 | ¥ | — | ¥ | — | ¥ | 34,387 | ¥ | — | ¥ | — | ¥ | — | ¥ | — | |||||||||||||||||
Foreign companies | 6,560 | — | — | 6,560 | 13,149 | — | — | 13,149 | |||||||||||||||||||||||||
Pooled funds (f) | — | 99,631 | — | 99,631 | — | 60,142 | — | 60,142 | |||||||||||||||||||||||||
Debt securities: | |||||||||||||||||||||||||||||||||
Government bonds (g) | 20,301 | — | — | 20,301 | 4,345 | — | — | 4,345 | |||||||||||||||||||||||||
Municipal bonds | — | 1,064 | — | 1,064 | — | 21 | — | 21 | |||||||||||||||||||||||||
Corporate bonds | — | 8,425 | — | 8,425 | — | — | — | — | |||||||||||||||||||||||||
Pooled funds (h) | — | 192,386 | — | 192,386 | — | 128,647 | — | 128,647 | |||||||||||||||||||||||||
Mortgage backed securities (and other asset backed securities) | — | 8,400 | — | 8,400 | — | 236 | — | 236 | |||||||||||||||||||||||||
Life insurance company general accounts | — | 113,179 | — | 113,179 | — | 1,857 | — | 1,857 | |||||||||||||||||||||||||
Other assets | — | 9,813 | 1,306 | 11,119 | — | 41,137 | — | 41,137 | |||||||||||||||||||||||||
¥ | 61,248 | ¥ | 432,898 | ¥ | 1,306 | ¥ | 495,452 | ¥ | 17,494 | ¥ | 232,040 | ¥ | — | ¥ | 249,534 | ||||||||||||||||||
(a) | The plan’s equity securities include common stock of the Company and certain of its subsidiaries in the amounts of ¥572 million. | ||||||||||||||||||||||||||||||||
(b) | These funds invest in listed equity securities consisting of approximately 25% Japanese companies and 75% foreign companies for Japanese plans, and mainly foreign companies for foreign plans. | ||||||||||||||||||||||||||||||||
(c) | This class includes approximately 85% Japanese government bonds and 15% foreign government bonds for Japanese plans, and mainly foreign government bonds for foreign plans. | ||||||||||||||||||||||||||||||||
(d) | These funds invest in approximately 30% Japanese government bonds, 50% foreign government bonds, 5% Japanese municipal bonds, and 15% corporate bonds for Japanese plans. These funds invest in approximately 85% foreign government bonds and 15% corporate bonds for foreign plans. | ||||||||||||||||||||||||||||||||
(e) | The plan’s equity securities include common stock of the Company and certain of its subsidiaries in the amounts of ¥565 million. | ||||||||||||||||||||||||||||||||
(f) | These funds invest in listed equity securities consisting of approximately 20% Japanese companies and 80% foreign companies for Japanese plans, and mainly foreign companies for foreign plans. | ||||||||||||||||||||||||||||||||
(g) | This class includes approximately 30% Japanese government bonds and 70% foreign government bonds for Japanese plans, and mainly foreign government bonds for foreign plans. | ||||||||||||||||||||||||||||||||
(h) | These funds invest in approximately 65% Japanese government bonds, 25% foreign government bonds, 5% Japanese municipal bonds, and 5% corporate bonds for Japanese plans. These funds invest in approximately 30% foreign government bonds and 70% corporate bonds for foreign plans. | ||||||||||||||||||||||||||||||||
Benefit Payments, Reflect Expected Future Service | ' | ||||||||||||||||||||||||||||||||
The following benefit payments, which reflect expected future service, as appropriate, are expected to be paid: | |||||||||||||||||||||||||||||||||
Japanese plans | Foreign plans | ||||||||||||||||||||||||||||||||
(Millions of yen) | (Millions of yen) | ||||||||||||||||||||||||||||||||
Year ending December 31: | |||||||||||||||||||||||||||||||||
2014 | ¥ | 16,846 | ¥ | 11,782 | |||||||||||||||||||||||||||||
2015 | 18,489 | 11,417 | |||||||||||||||||||||||||||||||
2016 | 20,242 | 12,144 | |||||||||||||||||||||||||||||||
2017 | 21,713 | 12,713 | |||||||||||||||||||||||||||||||
2018 | 23,688 | 13,322 | |||||||||||||||||||||||||||||||
2019 – 2023 | 153,224 | 78,655 |
Income_Taxes_Tables
Income Taxes (Tables) | 12 Months Ended | ||||||||||||
Dec. 31, 2013 | |||||||||||||
Components of Income Before Income Taxes and Current and Deferred Income Tax Expense (Benefit) | ' | ||||||||||||
Domestic and foreign components of income before income taxes and the current and deferred income tax expense (benefit) attributable to such income are summarized as follows: | |||||||||||||
Year ended December 31, 2013 | |||||||||||||
Japanese | Foreign | Total | |||||||||||
(Millions of yen) | |||||||||||||
Income before income taxes | ¥ | 251,351 | ¥ | 96,253 | ¥ | 347,604 | |||||||
Income taxes: | |||||||||||||
Current | ¥ | 75,134 | ¥ | 16,163 | ¥ | 91,297 | |||||||
Deferred | 4,005 | 12,786 | 16,791 | ||||||||||
¥ | 79,139 | ¥ | 28,949 | ¥ | 108,088 | ||||||||
Year ended December 31, 2012 | |||||||||||||
Japanese | Foreign | Total | |||||||||||
(Millions of yen) | |||||||||||||
Income before income taxes | ¥ | 257,640 | ¥ | 84,917 | ¥ | 342,557 | |||||||
Income taxes: | |||||||||||||
Current | ¥ | 73,573 | ¥ | 29,052 | ¥ | 102,625 | |||||||
Deferred | 13,900 | (6,413 | ) | 7,487 | |||||||||
¥ | 87,473 | ¥ | 22,639 | ¥ | 110,112 | ||||||||
Year ended December 31, 2011 | |||||||||||||
Japanese | Foreign | Total | |||||||||||
(Millions of yen) | |||||||||||||
Income before income taxes | ¥ | 287,592 | ¥ | 86,932 | ¥ | 374,524 | |||||||
Income taxes: | |||||||||||||
Current | ¥ | 67,671 | ¥ | 23,615 | ¥ | 91,286 | |||||||
Deferred | 21,047 | 8,082 | 29,129 | ||||||||||
¥ | 88,718 | ¥ | 31,697 | ¥ | 120,415 | ||||||||
Reconciliation of Japanese Statutory Income Tax Rate and Effective Income Tax Rate | ' | ||||||||||||
A reconciliation of the Japanese statutory income tax rate and the effective income tax rate as a percentage of income before income taxes is as follows: | |||||||||||||
Years ended December 31 | |||||||||||||
2013 | 2012 | 2011 | |||||||||||
Japanese statutory income tax rate | 38 | % | 40 | % | 40 | % | |||||||
Increase (reduction) in income taxes resulting from: | |||||||||||||
Expenses not deductible for tax purposes | 0.9 | 0.8 | 0.6 | ||||||||||
Income of foreign subsidiaries taxed at lower than Japanese statutory tax rate | (3.3 | ) | (4.3 | ) | (4.3 | ) | |||||||
Tax credit for research and development expenses | (5.4 | ) | (5.7 | ) | (3.9 | ) | |||||||
Change in valuation allowance | 0.2 | (1.7 | ) | (0.5 | ) | ||||||||
Effect of enacted changes in tax laws and rates on Japanese tax | — | — | 1.8 | ||||||||||
Other | 0.7 | 3 | (1.5 | ) | |||||||||
Effective income tax rate | 31.1 | % | 32.1 | % | 32.2 | % | |||||||
Net Deferred Income Tax Assets and Liabilities | ' | ||||||||||||
Net deferred income tax assets and liabilities are included in the accompanying consolidated balance sheets under the following captions: | |||||||||||||
December 31 | |||||||||||||
2013 | 2012 | ||||||||||||
(Millions of yen) | |||||||||||||
Prepaid expenses and other current assets | ¥ | 61,902 | ¥ | 62,358 | |||||||||
Other assets | 103,539 | 121,934 | |||||||||||
Other current liabilities | (3,621 | ) | (2,662 | ) | |||||||||
Other noncurrent liabilities | (63,129 | ) | (44,712 | ) | |||||||||
¥ | 98,691 | ¥ | 136,918 | ||||||||||
Tax Effects of Temporary Differences to Deferred Tax Assets and Deferred Tax Liabilities | ' | ||||||||||||
The tax effects of temporary differences that give rise to the deferred tax assets and deferred tax liabilities at December 31, 2013 and 2012 are presented below: | |||||||||||||
December 31 | |||||||||||||
2013 | 2012 | ||||||||||||
(Millions of yen) | |||||||||||||
Deferred tax assets: | |||||||||||||
Inventories | ¥ | 12,988 | ¥ | 13,040 | |||||||||
Accrued business tax | 4,448 | 4,754 | |||||||||||
Accrued pension and severance cost | 59,964 | 86,442 | |||||||||||
Research and development – costs capitalized for tax purposes | 10,978 | 12,658 | |||||||||||
Property, plant and equipment | 26,626 | 28,780 | |||||||||||
Accrued expenses | 37,153 | 36,528 | |||||||||||
Net operating losses carried forward | 38,439 | 32,494 | |||||||||||
Other | 44,482 | 41,366 | |||||||||||
235,078 | 256,062 | ||||||||||||
Less valuation allowance | (35,055 | ) | (32,167 | ) | |||||||||
Total deferred tax assets | 200,023 | 223,895 | |||||||||||
Deferred tax liabilities: | |||||||||||||
Undistributed earnings of foreign subsidiaries | (10,876 | ) | (8,235 | ) | |||||||||
Net unrealized gains on securities | (5,740 | ) | (2,437 | ) | |||||||||
Tax deductible reserve | (6,160 | ) | (6,417 | ) | |||||||||
Financing lease revenue | (50,605 | ) | (41,417 | ) | |||||||||
Prepaid pension and severance cost | (671 | ) | (1,073 | ) | |||||||||
Other | (27,280 | ) | (27,398 | ) | |||||||||
Total deferred tax liabilities | (101,332 | ) | (86,977 | ) | |||||||||
Net deferred tax assets | ¥ | 98,691 | ¥ | 136,918 | |||||||||
Periods Available to Reduce Future Taxable Income | ' | ||||||||||||
Periods available to reduce future taxable income vary in each tax jurisdiction and generally range from one year to an indefinite period as follows: | |||||||||||||
(Millions of yen) | |||||||||||||
Within one year | ¥ | 1,453 | |||||||||||
After one year through five years | 23,656 | ||||||||||||
After five years through ten years | 46,346 | ||||||||||||
After ten years through twenty years | 62,054 | ||||||||||||
Indefinite period | 33,629 | ||||||||||||
Total | ¥ | 167,138 | |||||||||||
Reconciliation of Beginning and Ending Amount of Unrecognized Tax Benefits | ' | ||||||||||||
A reconciliation of the beginning and ending amount of unrecognized tax benefits is as follows: | |||||||||||||
Years ended December 31 | |||||||||||||
2013 | 2012 | 2011 | |||||||||||
(Millions of yen) | |||||||||||||
Balance at beginning of year | ¥ | 7,711 | ¥ | 2,933 | ¥ | 6,035 | |||||||
Additions for tax positions of the current year | 312 | 869 | 149 | ||||||||||
Additions for tax positions of prior years | 388 | 4,903 | 431 | ||||||||||
Reductions for tax positions of prior years | (3,141 | ) | (1,546 | ) | (2,139 | ) | |||||||
Settlements with tax authorities | (347 | ) | (41 | ) | (1,264 | ) | |||||||
Other | 1,278 | 593 | (279 | ) | |||||||||
Balance at end of year | ¥ | 6,201 | ¥ | 7,711 | ¥ | 2,933 | |||||||
Other_Comprehensive_Income_Los1
Other Comprehensive Income (Loss) (Tables) | 12 Months Ended | ||||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||||
Change in Accumulated Other Comprehensive Income (Loss) | ' | ||||||||||||||||||||
Changes in accumulated other comprehensive income (loss) for the years ended December 31, 2012 and 2011 are as follows: | |||||||||||||||||||||
Foreign | Unrealized | Gains and | Pension | Total | |||||||||||||||||
currency | gains and | losses on | liability | ||||||||||||||||||
translation | losses on | derivative | adjustments | ||||||||||||||||||
adjustments | securities | instruments | |||||||||||||||||||
(Millions of yen) | |||||||||||||||||||||
Balance at December 31, 2010 | ¥ | (325,612 | ) | ¥ | 3,020 | ¥ | 917 | ¥ | (68,784 | ) | ¥ | (390,459 | ) | ||||||||
Adjustments for the year | (53,251 | ) | (2,017 | ) | (462 | ) | (35,584 | ) | (91,314 | ) | |||||||||||
Balance at December 31, 2011 | (378,863 | ) | 1,003 | 455 | (104,368 | ) | (481,773 | ) | |||||||||||||
Adjustments for the year | 131,129 | 3,143 | (4,917 | ) | (14,831 | ) | 114,524 | ||||||||||||||
Balance at December 31, 2012 | ¥ | (247,734 | ) | ¥ | 4,146 | ¥ | (4,462 | ) | ¥ | (119,199 | ) | ¥ | (367,249 | ) | |||||||
Changes in accumulated other comprehensive income (loss) for the year ended December 31, 2013 are as follows: | |||||||||||||||||||||
Foreign | Unrealized | Gains and | Pension | Total | |||||||||||||||||
currency | gains and | losses on | liability | ||||||||||||||||||
translation | losses on | derivative | adjustments | ||||||||||||||||||
adjustments | securities | instruments | |||||||||||||||||||
(Millions of yen) | |||||||||||||||||||||
Balance at December 31, 2012 | ¥ | (247,734 | ) | ¥ | 4,146 | ¥ | (4,462 | ) | ¥ | (119,199 | ) | ¥ | (367,249 | ) | |||||||
Equity transaction with noncontrolling interests and other | (323 | ) | (1 | ) | (2 | ) | (329 | ) | (655 | ) | |||||||||||
Other comprehensive income(loss) before reclassifications | 249,791 | 7,449 | (7,551 | ) | 27,153 | 276,842 | |||||||||||||||
Amounts reclassified from accumulated other comprehensive income (loss) | — | (1,352 | ) | 9,607 | 2,161 | 10,416 | |||||||||||||||
Net change during the year | 249,468 | 6,096 | 2,054 | 28,985 | 286,603 | ||||||||||||||||
Balance at December 31, 2013 | ¥ | 1,734 | ¥ | 10,242 | ¥ | (2,408 | ) | ¥ | (90,214 | ) | ¥ | (80,646 | ) | ||||||||
Reclassifications Out of Accumulated Other Comprehensive Income (Loss) | ' | ||||||||||||||||||||
Reclassifications out of accumulated other comprehensive income (loss) at December 31, 2013 are as follows: | |||||||||||||||||||||
Year ended December 31, 2013 | |||||||||||||||||||||
Amount reclassified from | Affected line items in consolidated | ||||||||||||||||||||
accumulated other | statements of income | ||||||||||||||||||||
comprehensive income (loss) *1 | |||||||||||||||||||||
(Millions of yen) | |||||||||||||||||||||
Unrealized gains and losses on securities | ¥ | (2,358 | ) | Other, net | |||||||||||||||||
613 | Income taxes | ||||||||||||||||||||
(1,745 | ) | Consolidated net income | |||||||||||||||||||
393 | Net income attributable to noncontrolling interests | ||||||||||||||||||||
(1,352 | ) | Net income attributable to Canon Inc. | |||||||||||||||||||
Gains and losses on derivative instruments | 15,387 | Other, net | |||||||||||||||||||
(5,780 | ) | Income taxes | |||||||||||||||||||
9,607 | Consolidated net income | ||||||||||||||||||||
— | Net income attributable to noncontrolling interests | ||||||||||||||||||||
9,607 | Net income attributable to Canon Inc. | ||||||||||||||||||||
Pension liability adjustments | 3,460 | See Note 10 | |||||||||||||||||||
(1,037 | ) | Income taxes | |||||||||||||||||||
2,423 | Consolidated net income | ||||||||||||||||||||
(262 | ) | Net income attributable to noncontrolling interests | |||||||||||||||||||
2,161 | Net income attributable to Canon Inc. | ||||||||||||||||||||
Total amount reclassified, net of tax and noncontrolling interests | ¥ | 10,416 | |||||||||||||||||||
*1 | Amounts in parentheses indicate gains in consolidated statements of income. | ||||||||||||||||||||
Tax Effects Allocated to Other Comprehensive Income (Loss) and Reclassification Adjustments, Including Amounts Attributable to Noncontrolling Interests | ' | ||||||||||||||||||||
Tax effects allocated to each component of other comprehensive income (loss) and reclassification adjustments, including amounts attributable to noncontrolling interests, are as follows: | |||||||||||||||||||||
Years ended December 31 | |||||||||||||||||||||
Before-tax | Tax (expense) | Net-of-tax | |||||||||||||||||||
amount | or benefit | amount | |||||||||||||||||||
(Millions of yen) | |||||||||||||||||||||
2013:00:00 | |||||||||||||||||||||
Foreign currency translation adjustments | ¥ | 253,707 | ¥ | (2,131 | ) | ¥ | 251,576 | ||||||||||||||
Net unrealized gains and losses on securities: | |||||||||||||||||||||
Amount arising during the year | 12,669 | (4,312 | ) | 8,357 | |||||||||||||||||
Reclassification adjustments for gains and losses realized in net income | (2,358 | ) | 613 | (1,745 | ) | ||||||||||||||||
Net change during the year | 10,311 | (3,699 | ) | 6,612 | |||||||||||||||||
Net gains and losses on derivative instruments: | |||||||||||||||||||||
Amount arising during the year | (12,145 | ) | 4,594 | (7,551 | ) | ||||||||||||||||
Reclassification adjustments for gains and losses realized in net income | 15,387 | (5,780 | ) | 9,607 | |||||||||||||||||
Net change during the year | 3,242 | (1,186 | ) | 2,056 | |||||||||||||||||
Pension liability adjustments: | |||||||||||||||||||||
Amount arising during the year | 51,860 | (21,614 | ) | 30,246 | |||||||||||||||||
Reclassification adjustments for gains and losses realized in net income | 3,460 | (1,037 | ) | 2,423 | |||||||||||||||||
Net change during the year | 55,320 | (22,651 | ) | 32,669 | |||||||||||||||||
Other comprehensive income (loss) | ¥ | 322,580 | ¥ | (29,667 | ) | ¥ | 292,913 | ||||||||||||||
2012:00:00 | |||||||||||||||||||||
Foreign currency translation adjustments | ¥ | 134,930 | ¥ | (1,195 | ) | ¥ | 133,735 | ||||||||||||||
Net unrealized gains and losses on securities: | |||||||||||||||||||||
Amount arising during the year | 3,418 | (1,004 | ) | 2,414 | |||||||||||||||||
Reclassification adjustments for gains and losses realized in net income | 1,307 | (456 | ) | 851 | |||||||||||||||||
Net change during the year | 4,725 | (1,460 | ) | 3,265 | |||||||||||||||||
Net gains and losses on derivative instruments: | |||||||||||||||||||||
Amount arising during the year | (10,647 | ) | 4,041 | (6,606 | ) | ||||||||||||||||
Reclassification adjustments for gains and losses realized in net income | 2,440 | (714 | ) | 1,726 | |||||||||||||||||
Net change during the year | (8,207 | ) | 3,327 | (4,880 | ) | ||||||||||||||||
Pension liability adjustments: | |||||||||||||||||||||
Amount arising during the year | (13,888 | ) | (1,738 | ) | (15,626 | ) | |||||||||||||||
Reclassification adjustments for gains and losses realized in net income | 4,433 | (1,594 | ) | 2,839 | |||||||||||||||||
Net change during the year | (9,455 | ) | (3,332 | ) | (12,787 | ) | |||||||||||||||
Other comprehensive income (loss) | ¥ | 121,993 | ¥ | (2,660 | ) | ¥ | 119,333 | ||||||||||||||
Years ended December 31 | |||||||||||||||||||||
Before-tax | Tax (expense) | Net-of-tax | |||||||||||||||||||
amount | or benefit | amount | |||||||||||||||||||
(Millions of yen) | |||||||||||||||||||||
2011:00:00 | |||||||||||||||||||||
Foreign currency translation adjustments | ¥ | (53,839 | ) | ¥ | (247 | ) | ¥ | (54,086 | ) | ||||||||||||
Net unrealized gains and losses on securities: | |||||||||||||||||||||
Amount arising during the year | (7,571 | ) | 3,010 | (4,561 | ) | ||||||||||||||||
Reclassification adjustments for gains and losses realized in net income | 4,077 | (1,632 | ) | 2,445 | |||||||||||||||||
Net change during the year | (3,494 | ) | 1,378 | (2,116 | ) | ||||||||||||||||
Net gains and losses on derivative instruments: | |||||||||||||||||||||
Amount arising during the year | 4,221 | (1,708 | ) | 2,513 | |||||||||||||||||
Reclassification adjustments for gains and losses realized in net income | (5,006 | ) | 2,044 | (2,962 | ) | ||||||||||||||||
Net change during the year | (785 | ) | 336 | (449 | ) | ||||||||||||||||
Pension liability adjustments: | |||||||||||||||||||||
Amount arising during the year | (59,928 | ) | 20,252 | (39,676 | ) | ||||||||||||||||
Reclassification adjustments for gains and losses realized in net income | 2,038 | (739 | ) | 1,299 | |||||||||||||||||
Net change during the year | (57,890 | ) | 19,513 | (38,377 | ) | ||||||||||||||||
Other comprehensive income (loss) | ¥ | (116,008 | ) | ¥ | 20,980 | ¥ | (95,028 | ) | |||||||||||||
StockBased_Compensation_Tables
Stock-Based Compensation (Tables) | 12 Months Ended | ||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||
Fair Value of Option Award Estimated on Date of Grant Using Black-Scholes Option Pricing Model | ' | ||||||||||||||||
The fair value of each option award was estimated on the date of grant using the Black-Scholes option pricing model that incorporates the assumptions presented below: | |||||||||||||||||
Year ended | |||||||||||||||||
December 31, 2011 | |||||||||||||||||
Expected term of option (in years) | 4 | ||||||||||||||||
Expected volatility | 36.44 | % | |||||||||||||||
Dividend yield | 3.16 | % | |||||||||||||||
Risk-free interest rate | 0.44 | % | |||||||||||||||
Summary of Option Activity Under Stock Option Plans | ' | ||||||||||||||||
A summary of option activity under the stock option plans as of and for the years ended December 31, 2013, 2012 and 2011 is presented below: | |||||||||||||||||
Shares | Weighted–average | Weighted–average | Aggregate | ||||||||||||||
exercise price | remaining | intrinsic value | |||||||||||||||
contractual term | |||||||||||||||||
(Yen) | (Year) | (Millions of yen) | |||||||||||||||
Outstanding at January 1, 2011 | 2,220,000 | ¥ | 4,354 | 2.5 | ¥ | 722 | |||||||||||
Granted | 912,000 | 3,990 | |||||||||||||||
Exercised | (65,800 | ) | 3,287 | ||||||||||||||
Forfeited | (24,000 | ) | 4,282 | ||||||||||||||
Outstanding at December 31, 2011 | 3,042,200 | 4,268 | 2 | 88 | |||||||||||||
Exercised | (10,800 | ) | 3,287 | ||||||||||||||
Forfeited | (305,000 | ) | 4,493 | ||||||||||||||
Outstanding at December 31, 2012 | 2,726,400 | 4,247 | 1.6 | 37 | |||||||||||||
Exercised | (8,600 | ) | 3,287 | ||||||||||||||
Forfeited | (60,400 | ) | 4,461 | ||||||||||||||
Outstanding at December 31, 2013 | 2,657,400 | ¥ | 4,245 | 1 | ¥ | 28 | |||||||||||
Exercisable at December 31, 2013 | 2,657,400 | ¥ | 4,245 | 1 | ¥ | 28 | |||||||||||
Summary of Nonvested Shares | ' | ||||||||||||||||
A summary of the status of the Company’s nonvested shares at December 31, 2013, and changes during the year ended December 31, 2013, is presented below: | |||||||||||||||||
Year ended December 31, 2013 | |||||||||||||||||
Shares | Weighted-average | ||||||||||||||||
grant-date fair value | |||||||||||||||||
(Yen) | |||||||||||||||||
Nonvested at beginning of year | 738,000 | ¥ | 772 | ||||||||||||||
Vested | (738,000 | ) | 772 | ||||||||||||||
Forfeited | — | — | |||||||||||||||
Nonvested at end of year | — | — | |||||||||||||||
Net_Income_Attributable_to_Can1
Net Income Attributable to Canon Inc. Stockholders per Share (Tables) | 12 Months Ended | ||||||||||||
Dec. 31, 2013 | |||||||||||||
Reconciliation of Basic and Diluted Net Income Attributable to Canon Inc. Stockholders Per Share | ' | ||||||||||||
A reconciliation of the numerators and denominators of basic and diluted net income attributable to Canon Inc. stockholders per share computations is as follows: | |||||||||||||
Years ended December 31 | |||||||||||||
2013 | 2012 | 2011 | |||||||||||
(Millions of yen) | |||||||||||||
Net income attributable to Canon Inc. | ¥ | 230,483 | ¥ | 224,564 | ¥ | 248,630 | |||||||
(Number of shares) | |||||||||||||
Average common shares outstanding | 1,147,933,835 | 1,173,647,835 | 1,215,832,419 | ||||||||||
Effect of dilutive securities: | |||||||||||||
Stock options | 8,466 | 20,574 | 60,552 | ||||||||||
Diluted common shares outstanding | 1,147,942,301 | 1,173,668,409 | 1,215,892,971 | ||||||||||
(Yen) | |||||||||||||
Net income attributable to Canon Inc. stockholders per share: | |||||||||||||
Basic | ¥ | 200.78 | ¥ | 191.34 | ¥ | 204.49 | |||||||
Diluted | 200.78 | 191.34 | 204.48 |
Derivatives_and_Hedging_Activi1
Derivatives and Hedging Activities (Tables) | 12 Months Ended | ||||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||||
Contract Amounts of Foreign Exchange Contracts | ' | ||||||||||||||||||||
Contract amounts of foreign exchange contracts at December 31, 2013 and 2012 are set forth below: | |||||||||||||||||||||
December 31 | |||||||||||||||||||||
2013 | 2012 | ||||||||||||||||||||
(Millions of yen) | |||||||||||||||||||||
To sell foreign currencies | ¥ | 374,699 | ¥ | 420,272 | |||||||||||||||||
To buy foreign currencies | 44,726 | 66,563 | |||||||||||||||||||
Cash Flow Hedging | ' | ||||||||||||||||||||
Effect of Derivative Instruments on Consolidated Statement of Income | ' | ||||||||||||||||||||
The following tables present the effect of Canon’s derivative instruments in the consolidated statements of income for the years ended December 31, 2013, 2012 and 2011. | |||||||||||||||||||||
Derivatives in cash flow hedging relationships | |||||||||||||||||||||
Years ended December 31 | |||||||||||||||||||||
Gain (loss) | Gain (loss) reclassified from | Gain (loss) recognized in income | |||||||||||||||||||
recognized in OCI | accumulated OCI into income | (ineffective portion and amount | |||||||||||||||||||
(effective portion) | (effective portion) | excluded from effectiveness testing) | |||||||||||||||||||
Amount | Location | Amount | Location | Amount | |||||||||||||||||
(Millions of yen) | |||||||||||||||||||||
2013:00:00 | |||||||||||||||||||||
Foreign exchange contracts | ¥ | 3,242 | Other, net | ¥ | (15,387 | ) | Other, net | ¥ | (111 | ) | |||||||||||
2012:00:00 | |||||||||||||||||||||
Foreign exchange contracts | (8,207 | ) | Other, net | (2,440 | ) | Other, net | (221 | ) | |||||||||||||
2011:00:00 | |||||||||||||||||||||
Foreign exchange contracts | (785 | ) | Other, net | 5,006 | Other, net | (457 | ) | ||||||||||||||
Designated as Hedging Instrument | ' | ||||||||||||||||||||
Fair Value of Derivative Instruments in Consolidated Balance Sheet | ' | ||||||||||||||||||||
The following tables present Canon’s derivative instruments measured at gross fair value as reflected in the consolidated balance sheets at December 31, 2013 and 2012. | |||||||||||||||||||||
Derivatives designated as hedging instruments | |||||||||||||||||||||
Fair value | |||||||||||||||||||||
December 31 | |||||||||||||||||||||
Balance sheet location | 2013 | 2012 | |||||||||||||||||||
(Millions of yen) | |||||||||||||||||||||
Assets: | |||||||||||||||||||||
Foreign exchange contracts | Prepaid expenses and other current assets | ¥ | 44 | ¥ | 443 | ||||||||||||||||
Liabilities: | |||||||||||||||||||||
Foreign exchange contracts | Other current liabilities | 2,267 | 4,472 | ||||||||||||||||||
Not Designated as Hedging Instrument | ' | ||||||||||||||||||||
Fair Value of Derivative Instruments in Consolidated Balance Sheet | ' | ||||||||||||||||||||
Derivatives not designated as hedging instruments | |||||||||||||||||||||
Fair value | |||||||||||||||||||||
December 31 | |||||||||||||||||||||
Balance sheet location | 2013 | 2012 | |||||||||||||||||||
(Millions of yen) | |||||||||||||||||||||
Assets: | |||||||||||||||||||||
Foreign exchange contracts | Prepaid expenses and other current assets | ¥ | 210 | ¥ | 388 | ||||||||||||||||
Liabilities: | |||||||||||||||||||||
Foreign exchange contracts | Other current liabilities | 12,678 | 21,021 | ||||||||||||||||||
Effect of Derivative Instruments on Consolidated Statement of Income | ' | ||||||||||||||||||||
Derivatives not designated as hedging instruments | |||||||||||||||||||||
Gain (loss) recognized in income on derivative | |||||||||||||||||||||
Years ended December 31 | |||||||||||||||||||||
Location | 2013 | 2012 | 2011 | ||||||||||||||||||
(Millions of yen) | |||||||||||||||||||||
Foreign exchange contracts | Other, net | ¥ | (61,787 | ) | ¥ | (30,602 | ) | ¥ | 11,168 |
Commitments_and_Contingent_Lia1
Commitments and Contingent Liabilities (Tables) | 12 Months Ended | ||||||||
Dec. 31, 2013 | |||||||||
Future Minimum Lease Payments Required under Noncancelable Operating Leases | ' | ||||||||
Future minimum lease payments required under noncancelable operating leases that have initial or remaining lease terms in excess of one year at December 31, 2013 are as follows: | |||||||||
(Millions of yen) | |||||||||
Year ending December 31: | |||||||||
2014 | ¥ | 28,523 | |||||||
2015 | 20,337 | ||||||||
2016 | 17,578 | ||||||||
2017 | 10,046 | ||||||||
2018 | 6,400 | ||||||||
Thereafter | 13,180 | ||||||||
Total future minimum lease payments | ¥ | 96,064 | |||||||
Changes in Accrued Product Warranty Cost | ' | ||||||||
Changes in accrued product warranty cost for the years ended December 31, 2013 and 2012 are summarized as follows: | |||||||||
Years ended December 31 | |||||||||
2013 | 2012 | ||||||||
(Millions of yen) | |||||||||
Balance at beginning of year | ¥ | 12,163 | ¥ | 11,691 | |||||
Addition | 13,467 | 13,553 | |||||||
Utilization | (12,922 | ) | (12,503 | ) | |||||
Other | (1,818 | ) | (578 | ) | |||||
Balance at end of year | ¥ | 10,890 | ¥ | 12,163 | |||||
Disclosures_about_the_Fair_Val1
Disclosures about the Fair Value of Financial Instruments and Concentrations of Credit Risk (Tables) | 12 Months Ended | ||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||
Estimated Fair Values of Canon's Financial Instruments | ' | ||||||||||||||||
The estimated fair values of Canon’s financial instruments at December 31, 2013 and 2012 are set forth below. The following summary excludes cash and cash equivalents, trade receivables, finance receivables, noncurrent receivables, short-term loans, trade payables and accrued expenses for which fair values approximate their carrying amounts. The summary also excludes investments which are disclosed in Note 2. | |||||||||||||||||
December 31 | |||||||||||||||||
2013 | 2012 | ||||||||||||||||
Carrying | Estimated | Carrying | Estimated | ||||||||||||||
amount | fair value | amount | fair value | ||||||||||||||
(Millions of yen) | |||||||||||||||||
Long-term debt, including current installments | ¥ | (2,693 | ) | ¥ | (2,693 | ) | ¥ | (3,664 | ) | ¥ | (3,654 | ) | |||||
Foreign exchange contracts: | |||||||||||||||||
Assets | 254 | 254 | 831 | 831 | |||||||||||||
Liabilities | (14,945 | ) | (14,945 | ) | (25,493 | ) | (25,493 | ) |
Fair_Value_Measurements_Tables
Fair Value Measurements (Tables) | 12 Months Ended | ||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||
Assets and Liabilities Measured at Fair Value on Recurring Basis | ' | ||||||||||||||||
The following tables present Canon’s assets and liabilities that are measured at fair value on a recurring basis consistent with the fair value hierarchy at December 31, 2013 and 2012. | |||||||||||||||||
December 31, 2013 | |||||||||||||||||
Level 1 | Level 2 | Level 3 | Total | ||||||||||||||
(Millions of yen) | |||||||||||||||||
Assets: | |||||||||||||||||
Cash and cash equivalents | ¥ | — | ¥ | 183,078 | ¥ | — | ¥ | 183,078 | |||||||||
Available-for-sale (noncurrent): | |||||||||||||||||
Government bonds | 307 | — | — | 307 | |||||||||||||
Corporate bonds | — | 141 | 340 | 481 | |||||||||||||
Fund trusts | 11 | 57 | — | 68 | |||||||||||||
Equity securities | 34,536 | — | — | 34,536 | |||||||||||||
Derivatives | — | 254 | — | 254 | |||||||||||||
Total assets | ¥ | 34,854 | ¥ | 183,530 | ¥ | 340 | ¥ | 218,724 | |||||||||
Liabilities: | |||||||||||||||||
Derivatives | ¥ | — | ¥ | 14,945 | ¥ | — | ¥ | 14,945 | |||||||||
Total liabilities | ¥ | — | ¥ | 14,945 | ¥ | — | ¥ | 14,945 | |||||||||
December 31, 2012 | |||||||||||||||||
Level 1 | Level 2 | Level 3 | Total | ||||||||||||||
(Millions of yen) | |||||||||||||||||
Assets: | |||||||||||||||||
Cash and cash equivalents | ¥ | — | ¥ | 141,729 | ¥ | — | ¥ | 141,729 | |||||||||
Available-for-sale (current): | |||||||||||||||||
Corporate bonds | 30 | — | — | 30 | |||||||||||||
Available-for-sale (noncurrent): | |||||||||||||||||
Government bonds | 181 | — | — | 181 | |||||||||||||
Corporate bonds | — | 116 | 444 | 560 | |||||||||||||
Fund trusts | 159 | 1,075 | — | 1,234 | |||||||||||||
Equity securities | 21,335 | — | — | 21,335 | |||||||||||||
Derivatives | — | 831 | — | 831 | |||||||||||||
Total assets | ¥ | 21,705 | ¥ | 143,751 | ¥ | 444 | ¥ | 165,900 | |||||||||
Liabilities: | |||||||||||||||||
Derivatives | ¥ | — | ¥ | 25,493 | ¥ | — | ¥ | 25,493 | |||||||||
Total liabilities | ¥ | — | ¥ | 25,493 | ¥ | — | ¥ | 25,493 | |||||||||
Changes in Level 3 Assets Measured on Recurring Basis | ' | ||||||||||||||||
The following table presents the changes in Level 3 assets measured on a recurring basis, consisting primarily of corporate bonds, for the years ended December 31, 2013 and 2012. | |||||||||||||||||
Years ended December 31 | |||||||||||||||||
2013 | 2012 | ||||||||||||||||
(Millions of yen) | |||||||||||||||||
Balance at beginning of year | ¥ | 444 | ¥ | 454 | |||||||||||||
Total gains or losses (realized or unrealized): | |||||||||||||||||
Included in earnings | 1 | 3 | |||||||||||||||
Included in other comprehensive income (loss) | 36 | 2 | |||||||||||||||
Purchases, issuances, and settlements | (141 | ) | (15 | ) | |||||||||||||
Balance at end of year | ¥ | 340 | ¥ | 444 | |||||||||||||
Segment_Information_Tables
Segment Information (Tables) | 12 Months Ended | ||||||||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||||||||
Product Sales to External Customers by Business Unit | ' | ||||||||||||||||||||||||
Information about product sales to external customers by business unit for the years ended December 31, 2013, 2012 and 2011 is as follows: | |||||||||||||||||||||||||
Years ended December 31 | |||||||||||||||||||||||||
2013 | 2012 | 2011 | |||||||||||||||||||||||
(Millions of yen) | |||||||||||||||||||||||||
Office | |||||||||||||||||||||||||
Monochrome copiers | ¥ | 312,973 | ¥ | 274,021 | ¥ | 276,225 | |||||||||||||||||||
Color copiers | 381,848 | 324,851 | 322,321 | ||||||||||||||||||||||
Printers | 841,436 | 766,382 | 902,756 | ||||||||||||||||||||||
Others | 457,641 | 386,706 | 410,810 | ||||||||||||||||||||||
Total | 1,993,898 | 1,751,960 | 1,912,112 | ||||||||||||||||||||||
Imaging System | |||||||||||||||||||||||||
Cameras | 973,517 | 990,549 | 928,047 | ||||||||||||||||||||||
Inkjet printers | 363,070 | 312,429 | 315,526 | ||||||||||||||||||||||
Others | 111,599 | 101,416 | 67,450 | ||||||||||||||||||||||
Total | 1,448,186 | 1,404,394 | 1,311,023 | ||||||||||||||||||||||
Industry and Others | |||||||||||||||||||||||||
Lithography equipment | 62,116 | 62,892 | 81,556 | ||||||||||||||||||||||
Others | 227,180 | 260,542 | 252,742 | ||||||||||||||||||||||
Total | 289,296 | 323,434 | 334,298 | ||||||||||||||||||||||
Consolidated | ¥ | 3,731,380 | ¥ | 3,479,788 | ¥ | 3,557,433 | |||||||||||||||||||
Information by Major Geographic Area | ' | ||||||||||||||||||||||||
Information by major geographic area as of and for the years ended December 31, 2013, 2012 and 2011 is as follows: | |||||||||||||||||||||||||
2013 | 2012 | 2011 | |||||||||||||||||||||||
(Millions of yen) | |||||||||||||||||||||||||
Net sales: | |||||||||||||||||||||||||
Japan | ¥ | 715,863 | ¥ | 720,286 | ¥ | 694,450 | |||||||||||||||||||
Americas | 1,059,501 | 939,873 | 961,955 | ||||||||||||||||||||||
Europe | 1,124,929 | 1,014,038 | 1,113,065 | ||||||||||||||||||||||
Asia and Oceania | 831,087 | 805,591 | 787,963 | ||||||||||||||||||||||
Total | ¥ | 3,731,380 | ¥ | 3,479,788 | ¥ | 3,557,433 | |||||||||||||||||||
Long-lived assets: | |||||||||||||||||||||||||
Japan | ¥ | 984,231 | ¥ | 1,032,598 | ¥ | 1,070,412 | |||||||||||||||||||
Americas | 131,660 | 112,163 | 85,824 | ||||||||||||||||||||||
Europe | 111,609 | 91,904 | 83,296 | ||||||||||||||||||||||
Asia and Oceania | 196,305 | 159,435 | 89,334 | ||||||||||||||||||||||
Total | ¥ | 1,423,805 | ¥ | 1,396,100 | ¥ | 1,328,866 | |||||||||||||||||||
Business Segment | ' | ||||||||||||||||||||||||
Geographic Supplemental Information | ' | ||||||||||||||||||||||||
Information about operating results and assets for each segment as of and for the years ended December 31, 2013, 2012 and 2011 is as follows: | |||||||||||||||||||||||||
Office | Imaging | Industry and | Corporate and | Consolidated | |||||||||||||||||||||
System | Others | eliminations | |||||||||||||||||||||||
(Millions of yen) | |||||||||||||||||||||||||
2013:00:00 | |||||||||||||||||||||||||
Net sales: | |||||||||||||||||||||||||
External customers | ¥ | 1,993,898 | ¥ | 1,448,186 | ¥ | 289,296 | ¥ | — | ¥ | 3,731,380 | |||||||||||||||
Intersegment | 6,175 | 752 | 85,574 | (92,501 | ) | — | |||||||||||||||||||
Total | 2,000,073 | 1,448,938 | 374,870 | (92,501 | ) | 3,731,380 | |||||||||||||||||||
Operating cost and expenses | 1,733,165 | 1,245,144 | 400,201 | 15,593 | 3,394,103 | ||||||||||||||||||||
Operating profit(loss) | ¥ | 266,908 | ¥ | 203,794 | ¥ | (25,331 | ) | ¥ | (108,094 | ) | ¥ | 337,277 | |||||||||||||
Total assets | ¥ | 954,803 | ¥ | 584,856 | ¥ | 328,202 | ¥ | 2,374,849 | ¥ | 4,242,710 | |||||||||||||||
Depreciation and amortization | 88,344 | 56,564 | 37,072 | 93,193 | 275,173 | ||||||||||||||||||||
Capital expenditures | 54,644 | 44,112 | 27,040 | 101,682 | 227,478 | ||||||||||||||||||||
2012:00:00 | |||||||||||||||||||||||||
Net sales: | |||||||||||||||||||||||||
External customers | ¥ | 1,751,960 | ¥ | 1,404,394 | ¥ | 323,434 | ¥ | — | ¥ | 3,479,788 | |||||||||||||||
Intersegment | 5,615 | 1,577 | 84,406 | (91,598 | ) | — | |||||||||||||||||||
Total | 1,757,575 | 1,405,971 | 407,840 | (91,598 | ) | 3,479,788 | |||||||||||||||||||
Operating cost and expenses | 1,553,997 | 1,195,653 | 401,930 | 4,352 | 3,155,932 | ||||||||||||||||||||
Operating profit | ¥ | 203,578 | ¥ | 210,318 | ¥ | 5,910 | ¥ | (95,950 | ) | ¥ | 323,856 | ||||||||||||||
Total assets | ¥ | 927,543 | ¥ | 614,328 | ¥ | 337,899 | ¥ | 2,075,733 | ¥ | 3,955,503 | |||||||||||||||
Depreciation and amortization | 77,660 | 53,664 | 34,264 | 92,545 | 258,133 | ||||||||||||||||||||
Capital expenditures | 58,402 | 58,142 | 44,086 | 146,031 | 306,661 | ||||||||||||||||||||
2011:00:00 | |||||||||||||||||||||||||
Net sales: | |||||||||||||||||||||||||
External customers | ¥ | 1,912,112 | ¥ | 1,311,023 | ¥ | 334,298 | ¥ | — | ¥ | 3,557,433 | |||||||||||||||
Intersegment | 5,831 | 1,021 | 86,565 | (93,417 | ) | — | |||||||||||||||||||
Total | 1,917,943 | 1,312,044 | 420,863 | (93,417 | ) | 3,557,433 | |||||||||||||||||||
Operating cost and expenses | 1,658,678 | 1,100,750 | 396,563 | 23,371 | 3,179,362 | ||||||||||||||||||||
Operating profit | ¥ | 259,265 | ¥ | 211,294 | ¥ | 24,300 | ¥ | (116,788 | ) | ¥ | 378,071 | ||||||||||||||
Total assets | ¥ | 907,433 | ¥ | 452,809 | ¥ | 362,638 | ¥ | 2,207,847 | ¥ | 3,930,727 | |||||||||||||||
Depreciation and amortization | 93,196 | 45,609 | 29,685 | 92,853 | 261,343 | ||||||||||||||||||||
Capital expenditures | 53,888 | 48,192 | 37,648 | 122,753 | 262,481 | ||||||||||||||||||||
Geographical Segment | ' | ||||||||||||||||||||||||
Geographic Supplemental Information | ' | ||||||||||||||||||||||||
The following information is based on the location of the Company and its subsidiaries as of and for the years ended December 31, 2013, 2012 and 2011. In addition to the disclosure requirements under U.S. GAAP, Canon discloses this information in order to provide financial statements users with useful information. | |||||||||||||||||||||||||
Japan | Americas | Europe | Asia and Oceania | Corporate and | Consolidated | ||||||||||||||||||||
eliminations | |||||||||||||||||||||||||
(Millions of yen) | |||||||||||||||||||||||||
2013:00:00 | |||||||||||||||||||||||||
Net sales: | |||||||||||||||||||||||||
External customers | ¥ | 797,501 | ¥ | 1,056,096 | ¥ | 1,124,603 | ¥ | 753,180 | ¥ | — | ¥ | 3,731,380 | |||||||||||||
Intersegment | 1,855,181 | 11,774 | 53,281 | 881,765 | (2,802,001 | ) | — | ||||||||||||||||||
Total | 2,652,682 | 1,067,870 | 1,177,884 | 1,634,945 | (2,802,001 | ) | 3,731,380 | ||||||||||||||||||
Operating cost and expenses | 2,326,351 | 1,043,487 | 1,171,357 | 1,574,125 | (2,721,217 | ) | 3,394,103 | ||||||||||||||||||
Operating profit | ¥ | 326,331 | ¥ | 24,383 | ¥ | 6,527 | ¥ | 60,820 | ¥ | (80,784 | ) | ¥ | 337,277 | ||||||||||||
Total assets | ¥ | 1,152,398 | ¥ | 447,039 | ¥ | 496,549 | ¥ | 631,827 | ¥ | 1,514,897 | ¥ | 4,242,710 | |||||||||||||
2012:00:00 | |||||||||||||||||||||||||
Net sales: | |||||||||||||||||||||||||
External customers | ¥ | 834,406 | ¥ | 932,987 | ¥ | 1,010,922 | ¥ | 701,473 | ¥ | — | ¥ | 3,479,788 | |||||||||||||
Intersegment | 1,829,834 | 23,767 | 5,650 | 781,836 | (2,641,087 | ) | — | ||||||||||||||||||
Total | 2,664,240 | 956,754 | 1,016,572 | 1,483,309 | (2,641,087 | ) | 3,479,788 | ||||||||||||||||||
Operating cost and expenses | 2,336,536 | 937,111 | 972,585 | 1,437,527 | (2,527,827 | ) | 3,155,932 | ||||||||||||||||||
Operating profit | ¥ | 327,704 | ¥ | 19,643 | ¥ | 43,987 | ¥ | 45,782 | ¥ | (113,260 | ) | ¥ | 323,856 | ||||||||||||
Total assets | ¥ | 1,206,702 | ¥ | 339,918 | ¥ | 457,592 | ¥ | 548,583 | ¥ | 1,402,708 | ¥ | 3,955,503 | |||||||||||||
2011:00:00 | |||||||||||||||||||||||||
Net sales: | |||||||||||||||||||||||||
External customers | ¥ | 807,883 | ¥ | 952,833 | ¥ | 1,109,256 | ¥ | 687,461 | ¥ | — | ¥ | 3,557,433 | |||||||||||||
Intersegment | 1,873,157 | 16,217 | 4,681 | 744,179 | (2,638,234 | ) | — | ||||||||||||||||||
Total | 2,681,040 | 969,050 | 1,113,937 | 1,431,640 | (2,638,234 | ) | 3,557,433 | ||||||||||||||||||
Operating cost and expenses | 2,273,336 | 948,593 | 1,069,489 | 1,388,580 | (2,500,636 | ) | 3,179,362 | ||||||||||||||||||
Operating profit | ¥ | 407,704 | ¥ | 20,457 | ¥ | 44,448 | ¥ | 43,060 | ¥ | (137,598 | ) | ¥ | 378,071 | ||||||||||||
Total assets | ¥ | 1,236,468 | ¥ | 250,131 | ¥ | 427,030 | ¥ | 442,263 | ¥ | 1,574,835 | ¥ | 3,930,727 | |||||||||||||
Basis_of_Presentation_and_Sign2
Basis of Presentation and Significant Accounting Policies - Additional Information (Detail) (JPY ¥) | 12 Months Ended | ||
In Millions, except Per Share data, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Significant Accounting Policies [Line Items] | ' | ' | ' |
Foreign currency exchange gains(losses) | ¥ (1,992) | ¥ 9,130 | ¥ (3,287) |
Change in estimates of net income (loss) | ' | 10,785 | ' |
Increase in basic and diluted net income attributable to Canon Inc. | ' | ¥ 9.19 | ' |
Advertising expenses | 86,398 | 83,134 | 81,232 |
Shipping and handling cost | 47,460 | 38,499 | 43,308 |
Patented Technology | ' | ' | ' |
Significant Accounting Policies [Line Items] | ' | ' | ' |
Intangible assets, useful life | '3 years | ' | ' |
Customer Relationships | ' | ' | ' |
Significant Accounting Policies [Line Items] | ' | ' | ' |
Intangible assets, useful life | '5 years | ' | ' |
Maximum | Computer software, intangible asset | ' | ' | ' |
Significant Accounting Policies [Line Items] | ' | ' | ' |
Intangible assets, useful life | '5 years | ' | ' |
Maximum | License Fees | ' | ' | ' |
Significant Accounting Policies [Line Items] | ' | ' | ' |
Intangible assets, useful life | '10 years | ' | ' |
Maximum | Building | ' | ' | ' |
Significant Accounting Policies [Line Items] | ' | ' | ' |
Depreciation period | '60 years | ' | ' |
Maximum | Machinery and Equipment | ' | ' | ' |
Significant Accounting Policies [Line Items] | ' | ' | ' |
Depreciation period | '20 years | ' | ' |
Maximum | Assets Leased to Others | ' | ' | ' |
Significant Accounting Policies [Line Items] | ' | ' | ' |
Depreciation period | '5 years | ' | ' |
Minimum | ' | ' | ' |
Significant Accounting Policies [Line Items] | ' | ' | ' |
Benefits from tax positions | 50.00% | ' | ' |
Minimum | Computer software, intangible asset | ' | ' | ' |
Significant Accounting Policies [Line Items] | ' | ' | ' |
Intangible assets, useful life | '3 years | ' | ' |
Minimum | License Fees | ' | ' | ' |
Significant Accounting Policies [Line Items] | ' | ' | ' |
Intangible assets, useful life | '5 years | ' | ' |
Minimum | Building | ' | ' | ' |
Significant Accounting Policies [Line Items] | ' | ' | ' |
Depreciation period | '3 years | ' | ' |
Minimum | Machinery and Equipment | ' | ' | ' |
Significant Accounting Policies [Line Items] | ' | ' | ' |
Depreciation period | '1 year | ' | ' |
Minimum | Assets Leased to Others | ' | ' | ' |
Significant Accounting Policies [Line Items] | ' | ' | ' |
Depreciation period | '2 years | ' | ' |
Available-for-sale Securities | ' | ' | ' |
Significant Accounting Policies [Line Items] | ' | ' | ' |
Cash equivalents | ¥ 183,078 | ¥ 141,729 | ' |
Available-for-sale Securities | Maximum | ' | ' | ' |
Significant Accounting Policies [Line Items] | ' | ' | ' |
Cash equivalents, maturity period | '3 months | '3 months | ' |
Foreign Country | ' | ' | ' |
Significant Accounting Policies [Line Items] | ' | ' | ' |
Net sales Percentage | 80.80% | 79.30% | 80.50% |
Number of manufacturing plants | 18 | ' | ' |
Americas | ' | ' | ' |
Significant Accounting Policies [Line Items] | ' | ' | ' |
Net sales Percentage | 28.40% | 27.00% | 27.00% |
Europe | ' | ' | ' |
Significant Accounting Policies [Line Items] | ' | ' | ' |
Net sales Percentage | 30.10% | 29.10% | 31.30% |
Asia and Oceania | ' | ' | ' |
Significant Accounting Policies [Line Items] | ' | ' | ' |
Net sales Percentage | 22.30% | 23.20% | 22.20% |
JAPAN | ' | ' | ' |
Significant Accounting Policies [Line Items] | ' | ' | ' |
Number of manufacturing plants | 28 | ' | ' |
Office Business Unit | ' | ' | ' |
Significant Accounting Policies [Line Items] | ' | ' | ' |
Net sales Percentage | 53.60% | 50.50% | 53.90% |
Imaging System Business Unit | ' | ' | ' |
Significant Accounting Policies [Line Items] | ' | ' | ' |
Net sales Percentage | 38.80% | 40.40% | 36.90% |
Industry and Others Business Unit | ' | ' | ' |
Significant Accounting Policies [Line Items] | ' | ' | ' |
Net sales Percentage | 10.00% | 11.70% | 11.80% |
Intersegment Eliminations | ' | ' | ' |
Significant Accounting Policies [Line Items] | ' | ' | ' |
Net sales Percentage | 2.40% | 2.60% | 2.60% |
Hewlett Packard Company | ' | ' | ' |
Significant Accounting Policies [Line Items] | ' | ' | ' |
Net sales Percentage | 17.60% | 17.00% | 19.30% |
AvailableForSale_Securities_In
Available-For-Sale Securities Included in Short-Term Investments and Investments By Major Security Type (Detail) (JPY ¥) | Dec. 31, 2013 | Dec. 31, 2012 |
In Millions, unless otherwise specified | ||
Available for sale Securities Current | Corporate Bonds | ' | ' |
Schedule of Available-for-sale Securities [Line Items] | ' | ' |
Cost | ' | ¥ 30 |
Fair value | ' | 30 |
Available for sale Securities Non Current | ' | ' |
Schedule of Available-for-sale Securities [Line Items] | ' | ' |
Cost | 19,009 | 16,829 |
Gross unrealized holding gains | 16,466 | 7,076 |
Gross unrealized holding losses | 83 | 595 |
Fair value | 35,392 | 23,310 |
Available for sale Securities Non Current | Corporate Bonds | ' | ' |
Schedule of Available-for-sale Securities [Line Items] | ' | ' |
Cost | 491 | 590 |
Gross unrealized holding gains | 16 | ' |
Gross unrealized holding losses | 26 | 30 |
Fair value | 481 | 560 |
Available for sale Securities Non Current | Government Bonds | ' | ' |
Schedule of Available-for-sale Securities [Line Items] | ' | ' |
Cost | 338 | 181 |
Gross unrealized holding losses | 31 | ' |
Fair value | 307 | 181 |
Available for sale Securities Non Current | Fund Trusts | ' | ' |
Schedule of Available-for-sale Securities [Line Items] | ' | ' |
Cost | 68 | 1,192 |
Gross unrealized holding gains | ' | 43 |
Gross unrealized holding losses | ' | 1 |
Fair value | 68 | 1,234 |
Available for sale Securities Non Current | Equity Securities | ' | ' |
Schedule of Available-for-sale Securities [Line Items] | ' | ' |
Cost | 18,112 | 14,866 |
Gross unrealized holding gains | 16,450 | 7,033 |
Gross unrealized holding losses | 26 | 564 |
Fair value | ¥ 34,536 | ¥ 21,335 |
Maturities_of_AvailableForSale
Maturities of Available-For-Sale Debt Securities Included in Investments (Detail) (JPY ¥) | Dec. 31, 2013 |
In Millions, unless otherwise specified | |
Cost | ' |
Due within one year | ' |
Due after one year through five years | 10 |
Due after five years | 819 |
Available-for-sale Securities, Debt Maturities, Amortized Cost Basis, Total | 829 |
Fair value | ' |
Due within one year | ' |
Due after one year through five years | 10 |
Due after five years | 778 |
Available-for-sale Securities, Debt Securities, Total | ¥ 788 |
Investments_Additional_Informa
Investments - Additional Information (Detail) (JPY ¥) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Schedule of Investments [Line Items] | ' | ' | ' |
Gross realized gains | ¥ 2,360 | ¥ 238 | ¥ 204 |
Gross realized losses | 2 | 1,545 | 4,281 |
Time deposits with original maturities of more than three months | 47,914 | 28,292 | ' |
Aggregate cost of non-marketable equity securities accounted for under the cost method | 14,794 | 14,808 | ' |
Investments in affiliated companies accounted for by the equity method | 18,937 | 17,345 | ' |
Canon's share of net earnings (losses) in affiliated companies accounted for by the equity method, included in other income (deductions) | ¥ (664) | ¥ 610 | ¥ (7,368) |
Trade_Receivables_Detail
Trade Receivables (Detail) (JPY ¥) | Dec. 31, 2013 | Dec. 31, 2012 |
In Millions, unless otherwise specified | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' |
Notes | ¥ 15,461 | ¥ 17,207 |
Accounts | 606,010 | 569,138 |
Trade Accounts And Notes Receivable Gross Current, Total | 621,471 | 586,345 |
Less allowance for doubtful receivables | -12,730 | -12,970 |
Trade receivables, net (Note 3) | ¥ 608,741 | ¥ 573,375 |
Inventories_Detail
Inventories (Detail) (JPY ¥) | Dec. 31, 2013 | Dec. 31, 2012 |
In Millions, unless otherwise specified | ||
Inventory [Line Items] | ' | ' |
Finished goods | ¥ 406,443 | ¥ 391,194 |
Work in process | 128,120 | 139,923 |
Raw materials | 19,210 | 20,506 |
Inventories (Note 4) | ¥ 553,773 | ¥ 551,623 |
Property_Plant_and_Equipment_D
Property, Plant and Equipment (Detail) (JPY ¥) | Dec. 31, 2013 | Dec. 31, 2012 |
In Millions, unless otherwise specified | ||
Property, Plant and Equipment [Line Items] | ' | ' |
Land | ¥ 282,484 | ¥ 272,233 |
Buildings | 1,570,024 | 1,447,838 |
Machinery and equipment | 1,736,107 | 1,586,827 |
Construction in progress | 73,645 | 112,919 |
Property, Plant and Equipment, Gross, Total | 3,662,260 | 3,419,817 |
Less accumulated depreciation | -2,383,530 | -2,159,453 |
Property, plant and equipment, net (Notes 5 and 6) | ¥ 1,278,730 | ¥ 1,260,364 |
Property_Plant_and_Equipment_A
Property, Plant and Equipment - Additional Information (Detail) (JPY ¥) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Property, Plant, and Equipment Disclosure [Line Items] | ' | ' | ' |
Depreciation expenses | ¥ 223,158 | ¥ 211,973 | ¥ 210,179 |
Amount due for purchase of property, plant and equipment | ¥ 33,585 | ¥ 38,893 | ' |
Finance_Receivables_and_Operat2
Finance Receivables and Operating Leases - Additional Information (Detail) (JPY ¥) | 12 Months Ended | |||
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2012 |
Minimum | Maximum | Equipment Leased to Customers | Equipment Leased to Customers | |
Leases Disclosure [Line Items] | ' | ' | ' | ' |
Term of financing receivables | '1 year | '6 years | ' | ' |
Property, plant and equipment lease | ' | ' | ¥ 103,403 | ¥ 80,186 |
Accumulated depreciation on property, plant and equipment lease | ' | ' | ¥ 78,821 | ¥ 58,433 |
Components_of_Finance_Receivab
Components of Finance Receivables (Detail) (JPY ¥) | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
In Millions, unless otherwise specified | |||
Leases Disclosure [Line Items] | ' | ' | ' |
Total minimum lease payments receivable | ¥ 278,621 | ¥ 231,221 | ' |
Unguaranteed residual values | 9,566 | 8,863 | ' |
Executory costs | -2,184 | -2,598 | ' |
Unearned income | -29,875 | -27,521 | ' |
Financing Receivable, Gross , Total | 256,128 | 209,965 | ' |
Less allowance for credit losses | -7,323 | -6,908 | -7,039 |
Capital Leases, Net Investment in Direct Financing and Sales Type Leases, Total | 248,805 | 203,057 | ' |
Less current portion | -91,025 | -74,168 | ' |
Capital Leases, Lessor Balance Sheet, Net Investment in Direct Financing and Sales Type Leases, Noncurrent, Total | ¥ 157,780 | ¥ 128,889 | ' |
Activity_in_Allowance_for_Cred
Activity in Allowance for Credit Losses (Detail) (JPY ¥) | 12 Months Ended | |
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 |
Financing Receivable, Allowance for Credit Losses [Line Items] | ' | ' |
Balance at beginning of year | ¥ 6,908 | ¥ 7,039 |
Charge-offs | -1,278 | -1,304 |
Provision | 212 | 1,922 |
Other | 1,481 | -749 |
Balance at end of year | ¥ 7,323 | ¥ 6,908 |
Future_Minimum_Lease_Payments_
Future Minimum Lease Payments to be Received Under Financing Leases and Noncancelable Operating Leases (Detail) (JPY ¥) | Dec. 31, 2013 | Dec. 31, 2012 |
In Millions, unless otherwise specified | ||
Financing leases | ' | ' |
2014 | ¥ 109,408 | ' |
2015 | 82,900 | ' |
2016 | 51,963 | ' |
2017 | 25,423 | ' |
2018 | 8,427 | ' |
Thereafter | 500 | ' |
Total minimum lease payments receivable | 278,621 | 231,221 |
Operating leases | ' | ' |
2014 | 7,639 | ' |
2015 | 4,154 | ' |
2016 | 2,148 | ' |
2017 | 1,070 | ' |
2018 | 309 | ' |
Thereafter | 419 | ' |
Operating Leases, Future Minimum Payments Receivable, Total | ¥ 15,739 | ' |
Goodwill_and_Other_Intangible_2
Goodwill and Other Intangible Assets - Additional Information (Detail) (JPY ¥) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Goodwill and Intangible Assets Disclosure [Line Items] | ' | ' | ' |
Intangible assets developed or acquired | ¥ 42,630 | ¥ 34,196 | ' |
Aggregate amortization expense | 52,015 | 46,160 | 51,164 |
Estimated amortization expense for intangible assets, 2014 | 46,573 | ' | ' |
Estimated amortization expense for intangible assets, 2015 | 31,898 | ' | ' |
Estimated amortization expense for intangible assets, 2016 | 21,241 | ' | ' |
Estimated amortization expense for intangible assets, 2017 | 12,464 | ' | ' |
Estimated amortization expense for intangible assets, 2018 | 7,371 | ' | ' |
Computer software, intangible asset | ' | ' | ' |
Goodwill and Intangible Assets Disclosure [Line Items] | ' | ' | ' |
Intangible assets developed or acquired | ¥ 37,419 | ¥ 33,985 | ' |
Weighted average amortization period for acquired intangible assets | '4 years | '4 years | ' |
Intangible Assets | ' | ' | ' |
Goodwill and Intangible Assets Disclosure [Line Items] | ' | ' | ' |
Weighted average amortization period for acquired intangible assets | '4 years | '4 years | ' |
Components_of_Intangible_Asset
Components of Intangible Assets Subject to Amortization (Detail) (JPY ¥) | Dec. 31, 2013 | Dec. 31, 2012 |
In Millions, unless otherwise specified | ||
Finite-Lived Intangible Assets [Line Items] | ' | ' |
Gross carrying amount | ¥ 396,797 | ¥ 334,327 |
Accumulated amortization | 255,391 | 201,796 |
Computer software, intangible asset | ' | ' |
Finite-Lived Intangible Assets [Line Items] | ' | ' |
Gross carrying amount | 271,425 | 225,894 |
Accumulated amortization | 167,411 | 131,875 |
Customer Relationships | ' | ' |
Finite-Lived Intangible Assets [Line Items] | ' | ' |
Gross carrying amount | 50,792 | 39,615 |
Accumulated amortization | 39,957 | 26,938 |
Patented Technology | ' | ' |
Finite-Lived Intangible Assets [Line Items] | ' | ' |
Gross carrying amount | 29,067 | 25,900 |
Accumulated amortization | 24,027 | 19,028 |
License Fees | ' | ' |
Finite-Lived Intangible Assets [Line Items] | ' | ' |
Gross carrying amount | 13,194 | 20,142 |
Accumulated amortization | 7,902 | 14,573 |
Other | ' | ' |
Finite-Lived Intangible Assets [Line Items] | ' | ' |
Gross carrying amount | 32,319 | 22,776 |
Accumulated amortization | ¥ 16,094 | ¥ 9,382 |
Changes_in_Carrying_Amount_of_
Changes in Carrying Amount of Goodwill by Segment (Detail) (JPY ¥) | 12 Months Ended | |
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 |
Goodwill [Line Items] | ' | ' |
Balance at beginning of year | ¥ 130,843 | ¥ 119,021 |
Goodwill acquired during the year | 4,083 | 961 |
Translation adjustments and other | 26,714 | 10,861 |
Balance at end of year | 161,640 | 130,843 |
Office Business Unit | ' | ' |
Goodwill [Line Items] | ' | ' |
Balance at beginning of year | 111,348 | 102,060 |
Goodwill acquired during the year | 4,083 | ' |
Translation adjustments and other | 23,981 | 9,288 |
Balance at end of year | 139,412 | 111,348 |
Imaging System Business Unit | ' | ' |
Goodwill [Line Items] | ' | ' |
Balance at beginning of year | 12,674 | 12,088 |
Translation adjustments and other | 1,203 | 586 |
Balance at end of year | 13,877 | 12,674 |
Industry and Others Business Unit | ' | ' |
Goodwill [Line Items] | ' | ' |
Balance at beginning of year | 6,821 | 4,873 |
Goodwill acquired during the year | ' | 961 |
Translation adjustments and other | 1,530 | 987 |
Balance at end of year | ¥ 8,351 | ¥ 6,821 |
ShortTerm_Loans_and_LongTerm_D2
Short-Term Loans and Long-Term Debt - Additional Information (Detail) (JPY ¥) | Dec. 31, 2013 | Dec. 31, 2012 |
In Millions, unless otherwise specified | ||
Debt Disclosure [Line Items] | ' | ' |
Short-term loans consisting of bank borrowings | ¥ 54 | ¥ 319 |
Weighted average interest rate on short-term loans outstanding | 3.75% | 4.00% |
LongTerm_Debt_Detail
Long-Term Debt (Detail) (JPY ¥) | Dec. 31, 2013 | Dec. 31, 2012 |
In Millions, unless otherwise specified | ||
Debt Outstanding [Line Items] | ' | ' |
Loans, principally from banks, maturing in installments through 2024; bearing weighted average interest of 1.15% and 1.94% at December 31, 2013 and 2012, respectively | ¥ 211 | ¥ 132 |
Capital lease obligations | 2,482 | 3,532 |
Long-term debt, including current installments | 2,693 | 3,664 |
Less current portion | -1,245 | -1,547 |
Long-term debt, excluding current installments (Note 8) | ¥ 1,448 | ¥ 2,117 |
LongTerm_Debt_Parenthetical_De
Long-Term Debt (Parenthetical) (Detail) | 12 Months Ended | |
Dec. 31, 2013 | Dec. 31, 2012 | |
Debt Outstanding [Line Items] | ' | ' |
Loans, principally from banks, weighted average interest rate | 1.15% | 1.94% |
Loans, principally from banks, maturity year | '2024 | ' |
Aggregate_Annual_Maturities_of
Aggregate Annual Maturities of Long-Term Debt Outstanding (Detail) (JPY ¥) | Dec. 31, 2013 | Dec. 31, 2012 |
In Millions, unless otherwise specified | ||
Long Term Debt Maturities Repayments Of Principal [Line Items] | ' | ' |
2014 | ¥ 1,245 | ' |
2015 | 880 | ' |
2016 | 319 | ' |
2017 | 171 | ' |
2018 | 48 | ' |
Thereafter | 30 | ' |
Long-term debt, including current installments | ¥ 2,693 | ¥ 3,664 |
Trade_Payables_Detail
Trade Payables (Detail) (JPY ¥) | Dec. 31, 2013 | Dec. 31, 2012 |
In Millions, unless otherwise specified | ||
Accounts Payable [Line Items] | ' | ' |
Notes | ¥ 8,005 | ¥ 11,971 |
Accounts | 299,152 | 313,264 |
Trade payables (Note 9) | ¥ 307,157 | ¥ 325,235 |
Employee_Retirement_and_Severa2
Employee Retirement and Severance Benefits - Additional Information (Detail) (JPY ¥) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Employee Benefits Disclosure [Line Items] | ' | ' | ' |
Defined contribution pension plans | ¥ 14,383 | ¥ 13,021 | ¥ 12,511 |
Japanese Plans | ' | ' | ' |
Employee Benefits Disclosure [Line Items] | ' | ' | ' |
Fair Value of other assets | 581,996 | 495,452 | 448,736 |
Contribution in defined benefit pension plan | 13,589 | ' | ' |
Japanese Plans | Fair Value, Inputs, Level 3 | ' | ' | ' |
Employee Benefits Disclosure [Line Items] | ' | ' | ' |
Fair Value of other assets | 818 | 1,306 | ' |
Japanese Plans | Equity Securities | ' | ' | ' |
Employee Benefits Disclosure [Line Items] | ' | ' | ' |
Invested in other plan assets | 20.00% | ' | ' |
Japanese Plans | Debt Securities | ' | ' | ' |
Employee Benefits Disclosure [Line Items] | ' | ' | ' |
Invested in other plan assets | 55.00% | ' | ' |
Japanese Plans | Life Insurance | ' | ' | ' |
Employee Benefits Disclosure [Line Items] | ' | ' | ' |
Invested in other plan assets | 25.00% | ' | ' |
Foreign Plans | ' | ' | ' |
Employee Benefits Disclosure [Line Items] | ' | ' | ' |
Fair Value of other assets | 360,527 | 249,534 | 192,033 |
Contribution in defined benefit pension plan | ¥ 7,060 | ' | ' |
Foreign Plans | Equity Securities | ' | ' | ' |
Employee Benefits Disclosure [Line Items] | ' | ' | ' |
Invested in other plan assets | 30.00% | ' | ' |
Foreign Plans | Debt Securities | ' | ' | ' |
Employee Benefits Disclosure [Line Items] | ' | ' | ' |
Invested in other plan assets | 50.00% | ' | ' |
Foreign Plans | Real estate assets | ' | ' | ' |
Employee Benefits Disclosure [Line Items] | ' | ' | ' |
Invested in other plan assets | 20.00% | ' | ' |
Reconciliations_of_Beginning_a
Reconciliations of Beginning and Ending Balances of Benefit Obligations and Fair Value of Plan Assets (Detail) (JPY ¥) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Japanese Plans | ' | ' | ' |
Change in benefit obligations: | ' | ' | ' |
Benefit obligations at beginning of year | ¥ 651,520 | ¥ 626,924 | ' |
Service cost | 26,005 | 25,738 | 25,875 |
Interest cost | 11,655 | 11,788 | 12,354 |
Actuarial loss | 14,959 | 6,049 | ' |
Benefits paid | -19,297 | -18,979 | ' |
Benefit obligations at end of year | 684,842 | 651,520 | 626,924 |
Change in plan assets: | ' | ' | ' |
Fair value of plan assets at beginning of year | 495,452 | 448,736 | ' |
Actual return on plan assets | 84,382 | 41,593 | ' |
Employer contributions | 19,810 | 22,589 | ' |
Benefits paid | -17,648 | -17,466 | ' |
Fair value of plan assets at end of year | 581,996 | 495,452 | 448,736 |
Funded status at end of year | -102,846 | -156,068 | ' |
Foreign Plans | ' | ' | ' |
Change in benefit obligations: | ' | ' | ' |
Benefit obligations at beginning of year | 364,609 | 262,130 | ' |
Service cost | 9,448 | 5,884 | 5,756 |
Interest cost | 14,299 | 13,176 | 12,748 |
Plan participants' contributions | 2,617 | 2,315 | ' |
Actuarial loss | 8,981 | 45,145 | ' |
Benefits paid | -9,415 | -10,407 | ' |
Curtailments and settlements | -2,868 | ' | ' |
Foreign currency exchange rate changes | 98,901 | 46,366 | ' |
Benefit obligations at end of year | 486,572 | 364,609 | 262,130 |
Change in plan assets: | ' | ' | ' |
Fair value of plan assets at beginning of year | 249,534 | 192,033 | ' |
Actual return on plan assets | 20,640 | 25,290 | ' |
Employer contributions | 28,705 | 7,832 | ' |
Plan participants' contributions | 2,617 | 2,315 | ' |
Benefits paid | -9,106 | -9,825 | ' |
Settlements | -2,656 | ' | ' |
Foreign currency exchange rate changes | 70,793 | 31,889 | ' |
Fair value of plan assets at end of year | 360,527 | 249,534 | 192,033 |
Funded status at end of year | ¥ (126,045) | ¥ (115,075) | ' |
Amounts_Recognized_in_Consolid
Amounts Recognized in Consolidated Balance Sheets (Detail) (JPY ¥) | Dec. 31, 2013 | Dec. 31, 2012 |
In Millions, unless otherwise specified | ||
Defined Benefit Plan Disclosure [Line Items] | ' | ' |
Accrued pension and severance cost | ¥ (229,664) | ¥ (272,131) |
Japanese Plans | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' |
Other assets | 559 | ' |
Accrued pension and severance cost | -103,405 | -156,068 |
Defined Benefit Plan, Amounts Recognized in Balance Sheet, Total | -102,846 | -156,068 |
Foreign Plans | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' |
Other assets | 1,106 | 1,371 |
Accrued expenses | -892 | -383 |
Accrued pension and severance cost | -126,259 | -116,063 |
Defined Benefit Plan, Amounts Recognized in Balance Sheet, Total | ¥ (126,045) | ¥ (115,075) |
Amounts_Recognized_in_Accumula
Amounts Recognized in Accumulated Other Comprehensive Income (Loss) Before Effect of Income Taxes (Detail) (JPY ¥) | Dec. 31, 2013 | Dec. 31, 2012 |
In Millions, unless otherwise specified | ||
Japanese Plans | ' | ' |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ' | ' |
Actuarial loss | ¥ 186,052 | ¥ 253,748 |
Prior service credit | -105,327 | -117,633 |
Pension and Other Postretirement Benefit Plans, Accumulated Other Comprehensive Income (Loss), before Tax, Total | 80,725 | 136,115 |
Foreign Plans | ' | ' |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ' | ' |
Actuarial loss | 50,344 | 50,417 |
Prior service credit | -118 | -261 |
Pension and Other Postretirement Benefit Plans, Accumulated Other Comprehensive Income (Loss), before Tax, Total | ¥ 50,226 | ¥ 50,156 |
Accumulated_Benefit_Obligation
Accumulated Benefit Obligation for All Defined Benefit Plans (Detail) (JPY ¥) | Dec. 31, 2013 | Dec. 31, 2012 |
In Millions, unless otherwise specified | ||
Japanese Plans | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' |
Accumulated benefit obligation | ¥ 631,887 | ¥ 620,589 |
Foreign Plans | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' |
Accumulated benefit obligation | ¥ 464,195 | ¥ 328,736 |
Pension_Plans_with_Projected_a
Pension Plans with Projected and Accumulated Benefit Obligations in Excess of Plan Assets (Detail) (JPY ¥) | Dec. 31, 2013 | Dec. 31, 2012 |
In Millions, unless otherwise specified | ||
Japanese Plans | ' | ' |
Plans with projected benefit obligations in excess of plan assets: | ' | ' |
Projected benefit obligations | ¥ 676,308 | ¥ 651,520 |
Fair value of plan assets | 572,903 | 495,452 |
Plans with accumulated benefit obligations in excess of plan assets: | ' | ' |
Accumulated benefit obligations | 611,602 | 615,551 |
Fair value of plan assets | 560,093 | 489,929 |
Foreign Plans | ' | ' |
Plans with projected benefit obligations in excess of plan assets: | ' | ' |
Projected benefit obligations | 485,466 | 360,742 |
Fair value of plan assets | 358,315 | 244,296 |
Plans with accumulated benefit obligations in excess of plan assets: | ' | ' |
Accumulated benefit obligations | 463,089 | 324,869 |
Fair value of plan assets | ¥ 358,315 | ¥ 244,296 |
Components_of_Net_Periodic_Ben
Components of Net Periodic Benefit Cost (Detail) (JPY ¥) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Japanese Plans | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' |
Service cost | ¥ 26,005 | ¥ 25,738 | ¥ 25,875 |
Interest cost | 11,655 | 11,788 | 12,354 |
Expected return on plan assets | -15,273 | -13,791 | -16,485 |
Amortization of net transition obligation | ' | ' | 722 |
Amortization of prior service credit | -12,306 | -13,079 | -13,674 |
Amortization of actuarial loss | 13,546 | 16,277 | 14,462 |
Defined Benefit Plan, Net Periodic Benefit Cost, Total | 23,627 | 26,933 | 23,254 |
Foreign Plans | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' |
Service cost | 9,448 | 5,884 | 5,756 |
Interest cost | 14,299 | 13,176 | 12,748 |
Expected return on plan assets | -13,949 | -11,806 | -12,112 |
Amortization of prior service credit | -143 | -116 | -93 |
Amortization of actuarial loss | 2,005 | 1,351 | 621 |
Loss on curtailments and settlements | 146 | ' | ' |
Defined Benefit Plan, Net Periodic Benefit Cost, Total | ¥ 11,806 | ¥ 8,489 | ¥ 6,920 |
Other_Changes_in_Plan_Assets_a
Other Changes in Plan Assets and Benefit Obligations Recognized in Other Comprehensive Income (Loss) (Detail) (JPY ¥) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' |
Current year actuarial (gain) loss | ¥ 51,860 | ¥ (13,888) | ¥ (59,928) |
Japanese Plans | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' |
Current year actuarial (gain) loss | -54,150 | -21,753 | 48,615 |
Amortization of actuarial loss | -13,546 | -16,277 | -14,462 |
Prior service credit due to amendments | ' | ' | -1,913 |
Amortization of prior service credit | 12,306 | 13,079 | 13,674 |
Amortization of net transition obligation | ' | ' | -722 |
Defined Benefit Plan, Amounts Recognized in Other Comprehensive Income (Loss), Net Actuarial Gain (Loss), before Tax, Total | -55,390 | -24,951 | 45,192 |
Foreign Plans | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' |
Current year actuarial (gain) loss | 2,290 | 31,661 | 13,649 |
Amortization of actuarial loss | -2,005 | -1,351 | -621 |
Amortization of prior service credit | 143 | 116 | 93 |
Curtailments and settlements | -358 | ' | ' |
Defined Benefit Plan, Amounts Recognized in Other Comprehensive Income (Loss), Net Actuarial Gain (Loss), before Tax, Total | ¥ 70 | ¥ 30,426 | ¥ 13,121 |
Summary_of_Defined_Benefit_Pen
Summary of Defined Benefit Pension Plans Amortized from Accumulated Other Comprehensive Income (Loss) into Net Periodic Benefit Cost over Next Year (Detail) (JPY ¥) | 12 Months Ended |
In Millions, unless otherwise specified | Dec. 31, 2013 |
Japanese Plans | ' |
Defined Benefit Plan Disclosure [Line Items] | ' |
Prior service credit | ¥ (12,801) |
Actuarial loss | 9,989 |
Foreign Plans | ' |
Defined Benefit Plan Disclosure [Line Items] | ' |
Prior service credit | -51 |
Actuarial loss | ¥ 1,800 |
WeightedAverage_Assumptions_Us
Weighted-Average Assumptions Used to Determine Benefit Obligations (Detail) | Dec. 31, 2013 | Dec. 31, 2012 |
Japanese Plans | ' | ' |
Schedule of Net Periodic Benefit Costs Weighted Average Assumptions [Line Items] | ' | ' |
Discount rate | 1.60% | 1.80% |
Assumed rate of increase in future compensation levels | 3.00% | 3.00% |
Foreign Plans | ' | ' |
Schedule of Net Periodic Benefit Costs Weighted Average Assumptions [Line Items] | ' | ' |
Discount rate | 3.80% | 3.60% |
Assumed rate of increase in future compensation levels | 2.30% | 2.20% |
WeightedAverage_Assumptions_Us1
Weighted-Average Assumptions Used to Determine Net Periodic Benefit Cost (Detail) | 12 Months Ended | ||
Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | |
Japanese Plans | ' | ' | ' |
Schedule of Net Periodic Benefit Costs Weighted Average Assumptions [Line Items] | ' | ' | ' |
Discount rate | 1.80% | 1.90% | 2.10% |
Assumed rate of increase in future compensation levels | 3.00% | 3.00% | 3.00% |
Expected long-term rate of return on plan assets | 3.10% | 3.10% | 3.60% |
Foreign Plans | ' | ' | ' |
Schedule of Net Periodic Benefit Costs Weighted Average Assumptions [Line Items] | ' | ' | ' |
Discount rate | 3.60% | 4.60% | 4.90% |
Assumed rate of increase in future compensation levels | 2.20% | 2.40% | 2.90% |
Expected long-term rate of return on plan assets | 5.20% | 5.40% | 5.70% |
Fair_Values_of_Companys_Pensio
Fair Values of Company's Pension Plans Assets (Detail) (JPY ¥) | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | ||
In Millions, unless otherwise specified | |||||
Japanese Plans | ' | ' | ' | ||
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ||
Fair values of Company's pension plans assets | ¥ 581,996 | ¥ 495,452 | ¥ 448,736 | ||
Japanese Plans | Japanese Companies Equity Securities | ' | ' | ' | ||
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ||
Fair values of Company's pension plans assets | 51,159 | [1] | 34,387 | [2] | ' |
Japanese Plans | Foreign Corporate Equity Securities | ' | ' | ' | ||
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ||
Fair values of Company's pension plans assets | 10,347 | 6,560 | ' | ||
Japanese Plans | Pooled Equity Securities Funds | ' | ' | ' | ||
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ||
Fair values of Company's pension plans assets | 145,417 | [3] | 99,631 | [4] | ' |
Japanese Plans | Government Bonds | ' | ' | ' | ||
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ||
Fair values of Company's pension plans assets | 124,800 | [5] | 20,301 | [6] | ' |
Japanese Plans | Municipal Bonds | ' | ' | ' | ||
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ||
Fair values of Company's pension plans assets | 1,027 | 1,064 | ' | ||
Japanese Plans | Corporate Bonds | ' | ' | ' | ||
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ||
Fair values of Company's pension plans assets | 10,543 | 8,425 | ' | ||
Japanese Plans | Pooled Debt Securities Funds | ' | ' | ' | ||
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ||
Fair values of Company's pension plans assets | 101,583 | [7] | 192,386 | [8] | ' |
Japanese Plans | Mortgage and Asset Backed Securities | ' | ' | ' | ||
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ||
Fair values of Company's pension plans assets | 9,569 | 8,400 | ' | ||
Japanese Plans | Life Insurance Company General Accounts | ' | ' | ' | ||
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ||
Fair values of Company's pension plans assets | 109,097 | 113,179 | ' | ||
Japanese Plans | Other Assets | ' | ' | ' | ||
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ||
Fair values of Company's pension plans assets | 18,454 | 11,119 | ' | ||
Japanese Plans | Fair Value, Inputs, Level 1 | ' | ' | ' | ||
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ||
Fair values of Company's pension plans assets | 186,306 | 61,248 | ' | ||
Japanese Plans | Fair Value, Inputs, Level 1 | Japanese Companies Equity Securities | ' | ' | ' | ||
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ||
Fair values of Company's pension plans assets | 51,159 | [1] | 34,387 | [2] | ' |
Japanese Plans | Fair Value, Inputs, Level 1 | Foreign Corporate Equity Securities | ' | ' | ' | ||
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ||
Fair values of Company's pension plans assets | 10,347 | 6,560 | ' | ||
Japanese Plans | Fair Value, Inputs, Level 1 | Government Bonds | ' | ' | ' | ||
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ||
Fair values of Company's pension plans assets | 124,800 | [5] | 20,301 | [6] | ' |
Japanese Plans | Fair Value, Inputs, Level 2 | ' | ' | ' | ||
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ||
Fair values of Company's pension plans assets | 394,872 | 432,898 | ' | ||
Japanese Plans | Fair Value, Inputs, Level 2 | Pooled Equity Securities Funds | ' | ' | ' | ||
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ||
Fair values of Company's pension plans assets | 145,417 | [3] | 99,631 | [4] | ' |
Japanese Plans | Fair Value, Inputs, Level 2 | Municipal Bonds | ' | ' | ' | ||
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ||
Fair values of Company's pension plans assets | 1,027 | 1,064 | ' | ||
Japanese Plans | Fair Value, Inputs, Level 2 | Corporate Bonds | ' | ' | ' | ||
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ||
Fair values of Company's pension plans assets | 10,543 | 8,425 | ' | ||
Japanese Plans | Fair Value, Inputs, Level 2 | Pooled Debt Securities Funds | ' | ' | ' | ||
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ||
Fair values of Company's pension plans assets | 101,583 | [7] | 192,386 | [8] | ' |
Japanese Plans | Fair Value, Inputs, Level 2 | Mortgage and Asset Backed Securities | ' | ' | ' | ||
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ||
Fair values of Company's pension plans assets | 9,569 | 8,400 | ' | ||
Japanese Plans | Fair Value, Inputs, Level 2 | Life Insurance Company General Accounts | ' | ' | ' | ||
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ||
Fair values of Company's pension plans assets | 109,097 | 113,179 | ' | ||
Japanese Plans | Fair Value, Inputs, Level 2 | Other Assets | ' | ' | ' | ||
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ||
Fair values of Company's pension plans assets | 17,636 | 9,813 | ' | ||
Japanese Plans | Fair Value, Inputs, Level 3 | ' | ' | ' | ||
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ||
Fair values of Company's pension plans assets | 818 | 1,306 | ' | ||
Japanese Plans | Fair Value, Inputs, Level 3 | Other Assets | ' | ' | ' | ||
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ||
Fair values of Company's pension plans assets | 818 | 1,306 | ' | ||
Foreign Plans | ' | ' | ' | ||
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ||
Fair values of Company's pension plans assets | 360,527 | 249,534 | 192,033 | ||
Foreign Plans | Foreign Corporate Equity Securities | ' | ' | ' | ||
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ||
Fair values of Company's pension plans assets | 43,681 | 13,149 | ' | ||
Foreign Plans | Pooled Equity Securities Funds | ' | ' | ' | ||
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ||
Fair values of Company's pension plans assets | 104,933 | [3] | 60,142 | [4] | ' |
Foreign Plans | Government Bonds | ' | ' | ' | ||
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ||
Fair values of Company's pension plans assets | 44,192 | [5] | 4,345 | [6] | ' |
Foreign Plans | Municipal Bonds | ' | ' | ' | ||
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ||
Fair values of Company's pension plans assets | 2,246 | 21 | ' | ||
Foreign Plans | Corporate Bonds | ' | ' | ' | ||
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ||
Fair values of Company's pension plans assets | 32,921 | ' | ' | ||
Foreign Plans | Pooled Debt Securities Funds | ' | ' | ' | ||
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ||
Fair values of Company's pension plans assets | 57,518 | [7] | 128,647 | [8] | ' |
Foreign Plans | Mortgage and Asset Backed Securities | ' | ' | ' | ||
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ||
Fair values of Company's pension plans assets | 5,098 | 236 | ' | ||
Foreign Plans | Life Insurance Company General Accounts | ' | ' | ' | ||
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ||
Fair values of Company's pension plans assets | 15,420 | 1,857 | ' | ||
Foreign Plans | Other Assets | ' | ' | ' | ||
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ||
Fair values of Company's pension plans assets | 54,518 | 41,137 | ' | ||
Foreign Plans | Fair Value, Inputs, Level 1 | ' | ' | ' | ||
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ||
Fair values of Company's pension plans assets | 87,873 | 17,494 | ' | ||
Foreign Plans | Fair Value, Inputs, Level 1 | Foreign Corporate Equity Securities | ' | ' | ' | ||
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ||
Fair values of Company's pension plans assets | 43,681 | 13,149 | ' | ||
Foreign Plans | Fair Value, Inputs, Level 1 | Government Bonds | ' | ' | ' | ||
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ||
Fair values of Company's pension plans assets | 44,192 | [5] | 4,345 | [6] | ' |
Foreign Plans | Fair Value, Inputs, Level 2 | ' | ' | ' | ||
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ||
Fair values of Company's pension plans assets | 272,654 | 232,040 | ' | ||
Foreign Plans | Fair Value, Inputs, Level 2 | Pooled Equity Securities Funds | ' | ' | ' | ||
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ||
Fair values of Company's pension plans assets | 104,933 | [3] | 60,142 | [4] | ' |
Foreign Plans | Fair Value, Inputs, Level 2 | Municipal Bonds | ' | ' | ' | ||
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ||
Fair values of Company's pension plans assets | 2,246 | 21 | ' | ||
Foreign Plans | Fair Value, Inputs, Level 2 | Corporate Bonds | ' | ' | ' | ||
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ||
Fair values of Company's pension plans assets | 32,921 | ' | ' | ||
Foreign Plans | Fair Value, Inputs, Level 2 | Pooled Debt Securities Funds | ' | ' | ' | ||
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ||
Fair values of Company's pension plans assets | 57,518 | [7] | 128,647 | [8] | ' |
Foreign Plans | Fair Value, Inputs, Level 2 | Mortgage and Asset Backed Securities | ' | ' | ' | ||
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ||
Fair values of Company's pension plans assets | 5,098 | 236 | ' | ||
Foreign Plans | Fair Value, Inputs, Level 2 | Life Insurance Company General Accounts | ' | ' | ' | ||
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ||
Fair values of Company's pension plans assets | 15,420 | 1,857 | ' | ||
Foreign Plans | Fair Value, Inputs, Level 2 | Other Assets | ' | ' | ' | ||
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ||
Fair values of Company's pension plans assets | ¥ 54,518 | ¥ 41,137 | ' | ||
[1] | The plan's equity securities include common stock of the Company and certain of its subsidiaries in the amounts of ¥572 million. | ||||
[2] | The plan's equity securities include common stock of the Company and certain of its subsidiaries in the amounts of ¥565 million. | ||||
[3] | These funds invest in listed equity securities consisting of approximately 25% Japanese companies and 75% foreign companies for Japanese plans, and mainly foreign companies for foreign plans. | ||||
[4] | These funds invest in listed equity securities consisting of approximately 20% Japanese companies and 80% foreign companies for Japanese plans, and mainly foreign companies for foreign plans. | ||||
[5] | This class includes approximately 85% Japanese government bonds and 15% foreign government bonds for Japanese plans, and mainly foreign government bonds for foreign plans. | ||||
[6] | This class includes approximately 30% Japanese government bonds and 70% foreign government bonds for Japanese plans, and mainly foreign government bonds for foreign plans. | ||||
[7] | These funds invest in approximately 30% Japanese government bonds, 50% foreign government bonds, 5% Japanese municipal bonds, and 15% corporate bonds for Japanese plans. These funds invest in approximately 85% foreign government bonds and 15% corporate bonds for foreign plans. | ||||
[8] | These funds invest in approximately 65% Japanese government bonds, 25% foreign government bonds, 5% Japanese municipal bonds, and 5% corporate bonds for Japanese plans. These funds invest in approximately 30% foreign government bonds and 70% corporate bonds for foreign plans. |
Fair_Values_of_Companys_Pensio1
Fair Values of Company's Pension Plans Assets (Parenthetical) (Detail) (JPY ¥) | Dec. 31, 2013 | Dec. 31, 2012 |
In Millions, unless otherwise specified | ||
Defined Benefit Plan Disclosure [Line Items] | ' | ' |
Defined Benefit Plan, Amount of Employer and Related Party Securities Included in Plan Assets | ¥ 572 | ¥ 565 |
Japanese Companies Equity Securities | Japanese Plans | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' |
Plan assets investment allocation | 25.00% | 20.00% |
Foreign Corporate Equity Securities | Foreign Plans | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' |
Plan assets investment allocation | 75.00% | 80.00% |
Corporate Bonds | Japanese Plans | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' |
Plan assets investment allocation | 15.00% | 5.00% |
Corporate Bonds | Foreign Plans | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' |
Plan assets investment allocation | 15.00% | 70.00% |
Japanese Municipal Bonds Securities | Japanese Plans | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' |
Plan assets investment allocation | 5.00% | 5.00% |
Japanese Government Bond Securities | Japanese Plans | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' |
Plan assets investment allocation | 30.00% | 65.00% |
Japanese Government Bond Securities | Japanese Plans | Total Japanese Government Bond Securities | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' |
Plan assets investment allocation | 85.00% | 30.00% |
Foreign Government Bonds | Foreign Plans | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' |
Plan assets investment allocation | 15.00% | 70.00% |
Foreign Government Debt Securities | Japanese Plans | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' |
Plan assets investment allocation | 50.00% | 25.00% |
Foreign Government Debt Securities | Foreign Plans | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' |
Plan assets investment allocation | 85.00% | 30.00% |
Expected_Future_Service_Benefi
Expected Future Service Benefit Payments (Detail) (JPY ¥) | Dec. 31, 2013 |
In Millions, unless otherwise specified | |
Japanese Plans | ' |
Schedule of Pension and Other Postretirement Benefits Expected Benefit Payments [Line Items] | ' |
Year ending December 31, 2014 | ¥ 16,846 |
Year ending December 31, 2015 | 18,489 |
Year ending December 31, 2016 | 20,242 |
Year ending December 31, 2017 | 21,713 |
Year ending December 31, 2018 | 23,688 |
Year ending December 31, 2019 - 2023 | 153,224 |
Foreign Plans | ' |
Schedule of Pension and Other Postretirement Benefits Expected Benefit Payments [Line Items] | ' |
Year ending December 31, 2014 | 11,782 |
Year ending December 31, 2015 | 11,417 |
Year ending December 31, 2016 | 12,144 |
Year ending December 31, 2017 | 12,713 |
Year ending December 31, 2018 | 13,322 |
Year ending December 31, 2019 - 2023 | ¥ 78,655 |
Components_of_Income_Before_In
Components of Income Before Income Taxes and Current and Deferred Income Tax Expense (Benefit) (Detail) (JPY ¥) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Income Taxes [Line Items] | ' | ' | ' |
Income before income taxes | ¥ 347,604 | ¥ 342,557 | ¥ 374,524 |
Income taxes: | ' | ' | ' |
Current | 91,297 | 102,625 | 91,286 |
Deferred | 16,791 | 7,487 | 29,129 |
Income taxes | 108,088 | 110,112 | 120,415 |
Domestic Country | ' | ' | ' |
Income Taxes [Line Items] | ' | ' | ' |
Income before income taxes | 251,351 | 257,640 | 287,592 |
Income taxes: | ' | ' | ' |
Current | 75,134 | 73,573 | 67,671 |
Deferred | 4,005 | 13,900 | 21,047 |
Income taxes | 79,139 | 87,473 | 88,718 |
Foreign Country | ' | ' | ' |
Income Taxes [Line Items] | ' | ' | ' |
Income before income taxes | 96,253 | 84,917 | 86,932 |
Income taxes: | ' | ' | ' |
Current | 16,163 | 29,052 | 23,615 |
Deferred | 12,786 | -6,413 | 8,082 |
Income taxes | ¥ 28,949 | ¥ 22,639 | ¥ 31,697 |
Income_Taxes_Additional_Inform
Income Taxes - Additional Information (Detail) (JPY ¥) | 12 Months Ended | 1 Months Ended | 12 Months Ended | |||
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Nov. 30, 2011 | Nov. 30, 2011 | Dec. 31, 2011 |
January 1, 2013 to December 31, 2015 | Subsequent to December 31, 2015 | Reduction in Taxes | ||||
Income Taxes [Line Items] | ' | ' | ' | ' | ' | ' |
Japanese statutory income tax rate | 38.00% | 40.00% | 40.00% | 38.00% | 35.00% | ' |
Adjustments of deferred tax assets and liabilities for tax rate | ' | ' | ' | ' | ' | ¥ 6,599 |
Net increase (decrease) in the total valuation allowance | 2,888 | -1,621 | -1,519 | ' | ' | ' |
Net operating losses which can be carried forward for income tax purposes to reduce future taxable income | 167,138 | ' | ' | ' | ' | ' |
Deferred tax liabilities not recognized for a portion of undistributed earnings of foreign subsidiaries | 29,833 | ' | ' | ' | ' | ' |
Undistributed earnings of subsidiaries for which tax liabilities were not recognized earlier | 939,460 | ' | ' | ' | ' | ' |
Total amounts of unrecognized tax benefits that would reduce the effective tax rate, if recognized | ¥ 6,201 | ¥ 7,711 | ' | ' | ' | ' |
Reconciliation_of_Japanese_Sta
Reconciliation of Japanese Statutory Income Tax Rate and Effective Income Tax Rate (Detail) | 12 Months Ended | ||
Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | |
Reconciliation of Statutory Federal Tax Rate [Line Items] | ' | ' | ' |
Japanese statutory income tax rate | 38.00% | 40.00% | 40.00% |
Increase (reduction) in income taxes resulting from: | ' | ' | ' |
Expenses not deductible for tax purposes | 0.90% | 0.80% | 0.60% |
Income of foreign subsidiaries taxed at lower than Japanese statutory tax rate | -3.30% | -4.30% | -4.30% |
Tax credit for research and development expenses | -5.40% | -5.70% | -3.90% |
Change in valuation allowance | 0.20% | -1.70% | -0.50% |
Effect of enacted changes in tax laws and rates on Japanese tax | ' | ' | 1.80% |
Other | 0.70% | 3.00% | -1.50% |
Effective income tax rate | 31.10% | 32.10% | 32.20% |
Deferred_Income_Tax_Assets_and
Deferred Income Tax Assets and Liabilities (Detail) (JPY ¥) | Dec. 31, 2013 | Dec. 31, 2012 |
In Millions, unless otherwise specified | ||
Schedule of Deferred Income Tax Assets and Liabilities [Line Items] | ' | ' |
Prepaid expenses and other current assets | ¥ 61,902 | ¥ 62,358 |
Other assets | 103,539 | 121,934 |
Other current liabilities | -3,621 | -2,662 |
Other noncurrent liabilities | -63,129 | -44,712 |
Net deferred tax assets | ¥ 98,691 | ¥ 136,918 |
Tax_Effects_of_Temporary_Diffe
Tax Effects of Temporary Differences to Deferred Tax Assets and Deferred Tax Liabilities (Detail) (JPY ¥) | Dec. 31, 2013 | Dec. 31, 2012 |
In Millions, unless otherwise specified | ||
Deferred tax assets: | ' | ' |
Inventories | ¥ 12,988 | ¥ 13,040 |
Accrued business tax | 4,448 | 4,754 |
Accrued pension and severance cost | 59,964 | 86,442 |
Research and development - costs capitalized for tax purposes | 10,978 | 12,658 |
Property, plant and equipment | 26,626 | 28,780 |
Accrued expenses | 37,153 | 36,528 |
Net operating losses carried forward | 38,439 | 32,494 |
Other | 44,482 | 41,366 |
Deferred Tax Assets, Gross, Total | 235,078 | 256,062 |
Less valuation allowance | -35,055 | -32,167 |
Total deferred tax assets | 200,023 | 223,895 |
Deferred tax liabilities: | ' | ' |
Undistributed earnings of foreign subsidiaries | -10,876 | -8,235 |
Net unrealized gains on securities | -5,740 | -2,437 |
Tax deductible reserve | -6,160 | -6,417 |
Financing lease revenue | -50,605 | -41,417 |
Prepaid pension and severance cost | -671 | -1,073 |
Other | -27,280 | -27,398 |
Total deferred tax liabilities | -101,332 | -86,977 |
Net deferred tax assets | ¥ 98,691 | ¥ 136,918 |
Periods_Available_to_Reduce_Fu
Periods Available to Reduce Future Taxable Income (Detail) (JPY ¥) | Dec. 31, 2013 |
In Millions, unless otherwise specified | |
Tax Credit Carryforward [Line Items] | ' |
Within one year | ¥ 1,453 |
After one year through five years | 23,656 |
After five years through ten years | 46,346 |
After ten years through twenty years | 62,054 |
Indefinite period | 33,629 |
Total | ¥ 167,138 |
Reconciliation_of_Beginning_an
Reconciliation of Beginning and Ending Amount of Unrecognized Tax Benefits (Detail) (JPY ¥) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Reconciliation of Unrecognized Tax Benefits [Line Items] | ' | ' | ' |
Balance at beginning of year | ¥ 7,711 | ¥ 2,933 | ¥ 6,035 |
Additions for tax positions of the current year | 312 | 869 | 149 |
Additions for tax positions of prior years | 388 | 4,903 | 431 |
Reductions for tax positions of prior years | -3,141 | -1,546 | -2,139 |
Settlements with tax authorities | -347 | -41 | -1,264 |
Other | 1,278 | 593 | -279 |
Balance at end of year | ¥ 6,201 | ¥ 7,711 | ¥ 2,933 |
Legal_Reserve_and_Retained_Ear1
Legal Reserve and Retained Earnings - Additional Information (Detail) (JPY ¥) | 12 Months Ended |
In Millions, unless otherwise specified | Dec. 31, 2013 |
Stockholders Equity Note [Line Items] | ' |
Percentage of legal reserve appropriated from distributions from retained earnings paid by Canon Inc. and its subsidiaries | 10.00% |
Appropriations not required if percentage of additional paid in capital and legal reserve equals specific percentage of respective stated capital | 25.00% |
Year end dividends approved by stockholders | ¥ 73,905 |
Amount available for dividends under the Corporation Law of Japan | 1,055,590 |
Retained earnings included Canon's equity in undistributed earnings of affiliated companies accounted for by the equity method | ¥ 16,423 |
Change_in_Accumulated_Other_Co
Change in Accumulated Other Comprehensive Income (Loss) (Detail) (JPY ¥) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ' | ' | ' |
Balance at beginning of year | ¥ (367,249) | ¥ (481,773) | ¥ (390,459) |
Equity transactions with noncontrolling interests and other | -655 | ' | ' |
Other comprehensive income (loss) before reclassifications | 276,842 | ' | ' |
Amounts reclassified from accumulated other comprehensive income (loss) | 10,416 | ' | ' |
Net change during the period | 286,603 | 114,524 | -91,314 |
Balance at end of year | -80,646 | -367,249 | -481,773 |
Foreign currency translation adjustments | ' | ' | ' |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ' | ' | ' |
Balance at beginning of year | -247,734 | -378,863 | -325,612 |
Equity transactions with noncontrolling interests and other | -323 | ' | ' |
Other comprehensive income (loss) before reclassifications | 249,791 | ' | ' |
Net change during the period | 249,468 | 131,129 | -53,251 |
Balance at end of year | 1,734 | -247,734 | -378,863 |
Unrealized gains and losses on securities | ' | ' | ' |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ' | ' | ' |
Balance at beginning of year | 4,146 | 1,003 | 3,020 |
Equity transactions with noncontrolling interests and other | -1 | ' | ' |
Other comprehensive income (loss) before reclassifications | 7,449 | ' | ' |
Amounts reclassified from accumulated other comprehensive income (loss) | -1,352 | ' | ' |
Net change during the period | 6,096 | 3,143 | -2,017 |
Balance at end of year | 10,242 | 4,146 | 1,003 |
Gains and losses on derivatives instruments | ' | ' | ' |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ' | ' | ' |
Balance at beginning of year | -4,462 | 455 | 917 |
Equity transactions with noncontrolling interests and other | -2 | ' | ' |
Other comprehensive income (loss) before reclassifications | -7,551 | ' | ' |
Amounts reclassified from accumulated other comprehensive income (loss) | 9,607 | ' | ' |
Net change during the period | 2,054 | -4,917 | -462 |
Balance at end of year | -2,408 | -4,462 | 455 |
Pension liability adjustments | ' | ' | ' |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ' | ' | ' |
Balance at beginning of year | -119,199 | -104,368 | -68,784 |
Equity transactions with noncontrolling interests and other | -329 | ' | ' |
Other comprehensive income (loss) before reclassifications | 27,153 | ' | ' |
Amounts reclassified from accumulated other comprehensive income (loss) | 2,161 | ' | ' |
Net change during the period | 28,985 | -14,831 | -35,584 |
Balance at end of year | ¥ (90,214) | ¥ (119,199) | ¥ (104,368) |
Reclassifications_Out_of_Accum
Reclassifications Out of Accumulated Other Comprehensive Income (Loss) (Detail) (JPY ¥) | 12 Months Ended | |||
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | |
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ' | ' | ' | |
Other, net | ¥ (4,298) | ¥ (12,931) | ¥ 10,991 | |
Income taxes | 108,088 | 110,112 | 120,415 | |
Consolidated net income | -239,516 | -232,445 | -254,109 | |
Net income attributable to noncontrolling interests | 9,033 | 7,881 | 5,479 | |
Net income attributable to Canon Inc. | -230,483 | -224,564 | -248,630 | |
Total amount reclassified, net of tax and noncontrolling interests | 10,416 | ' | ' | |
Unrealized gains and losses on securities | ' | ' | ' | |
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ' | ' | ' | |
Total amount reclassified, net of tax and noncontrolling interests | -1,352 | ' | ' | |
Gains and losses on derivatives instruments | ' | ' | ' | |
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ' | ' | ' | |
Total amount reclassified, net of tax and noncontrolling interests | 9,607 | ' | ' | |
Pension liability adjustments | ' | ' | ' | |
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ' | ' | ' | |
Total amount reclassified, net of tax and noncontrolling interests | 2,161 | ' | ' | |
Reclassification out of Accumulated Other Comprehensive Income | ' | ' | ' | |
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ' | ' | ' | |
Total amount reclassified, net of tax and noncontrolling interests | 10,416 | [1] | ' | ' |
Reclassification out of Accumulated Other Comprehensive Income | Unrealized gains and losses on securities | ' | ' | ' | |
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ' | ' | ' | |
Other, net | -2,358 | [1] | ' | ' |
Income taxes | 613 | [1] | ' | ' |
Consolidated net income | -1,745 | [1] | ' | ' |
Net income attributable to noncontrolling interests | 393 | [1] | ' | ' |
Net income attributable to Canon Inc. | -1,352 | [1] | ' | ' |
Reclassification out of Accumulated Other Comprehensive Income | Gains and losses on derivatives instruments | ' | ' | ' | |
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ' | ' | ' | |
Other, net | 15,387 | [1] | ' | ' |
Income taxes | -5,780 | [1] | ' | ' |
Consolidated net income | 9,607 | [1] | ' | ' |
Net income attributable to Canon Inc. | 9,607 | [1] | ' | ' |
Reclassification out of Accumulated Other Comprehensive Income | Pension liability adjustments | ' | ' | ' | |
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ' | ' | ' | |
Other, net | 3,460 | [1] | ' | ' |
Income taxes | -1,037 | [1] | ' | ' |
Consolidated net income | 2,423 | [1] | ' | ' |
Net income attributable to noncontrolling interests | -262 | [1] | ' | ' |
Net income attributable to Canon Inc. | ¥ 2,161 | [1] | ' | ' |
[1] | Amounts in parentheses indicate gains in consolidated statements of income. |
Tax_Effects_Allocated_to_Other
Tax Effects Allocated to Other Comprehensive Income (Loss) and Reclassification Adjustments, Including Amounts Attributable to Noncontrolling Interests (Detail) (JPY ¥) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Comprehensive Income (Loss) [Line Items] | ' | ' | ' |
Foreign currency translation adjustments, Before-tax amount | ¥ 253,707 | ¥ 134,930 | ¥ (53,839) |
Net unrealized gains and losses on securities, Before-tax amount: | ' | ' | ' |
Amount arising during the year, Before-tax amount | 12,669 | 3,418 | -7,571 |
Reclassification adjustments for gains and losses realized in net income, Before-tax amount | -2,358 | 1,307 | 4,077 |
Net change during the year, Before-tax amount | 10,311 | 4,725 | -3,494 |
Net gains and losses on derivative instruments, Before-tax amount: | ' | ' | ' |
Amount arising during the year, Before-tax amount | -12,145 | -10,647 | 4,221 |
Reclassification adjustments for gains and losses realized in net income, Before-tax amount | 15,387 | 2,440 | -5,006 |
Net change during the year, Before-tax amount | 3,242 | -8,207 | -785 |
Pension liability adjustments, Before-tax amount: | ' | ' | ' |
Amount arising during the year, Before-tax amount | 51,860 | -13,888 | -59,928 |
Reclassification adjustments for gains and losses realized in net income, Before-tax amount | 3,460 | 4,433 | 2,038 |
Net change during the year, Before-tax amount | 55,320 | -9,455 | -57,890 |
Other Comprehensive Income (Loss), Before-tax amount | 322,580 | 121,993 | -116,008 |
Foreign currency translation adjustments, Tax (expense) or benefit | -2,131 | -1,195 | -247 |
Net unrealized gains and losses on securities, Tax (expense) or benefit: | ' | ' | ' |
Amount arising during the year, Tax (expense) or benefit | -4,312 | -1,004 | 3,010 |
Reclassification adjustments for gains and losses realized in net income, Tax (expense) or benefit | 613 | -456 | -1,632 |
Net change during the year, Tax (expense) or benefit | -3,699 | -1,460 | 1,378 |
Net gains and losses on derivative instruments, Tax (expense) or benefit: | ' | ' | ' |
Amount arising during the year, Tax (expense) or benefit | 4,594 | 4,041 | -1,708 |
Reclassification adjustments for gains and losses realized in net income, Tax (expense) or benefit | -5,780 | -714 | 2,044 |
Net change during the year, Tax (expense) or benefit | -1,186 | 3,327 | 336 |
Pension liability adjustments, Tax (expense) or benefit: | ' | ' | ' |
Amount arising during the year, Tax (expense) or benefit | -21,614 | -1,738 | 20,252 |
Reclassification adjustments for gains and losses realized in net income, Tax (expense) or benefit | -1,037 | -1,594 | -739 |
Net change during the year, Tax (expense) or benefit | -22,651 | -3,332 | 19,513 |
Other comprehensive income (loss), Tax (expense) or benefit | -29,667 | -2,660 | 20,980 |
Foreign currency translation adjustments, Net-of-tax amount | 251,576 | 133,735 | -54,086 |
Net unrealized gains and losses on securities, Net-of-tax amount: | ' | ' | ' |
Amount arising during the year, Net-of-tax amount | 8,357 | 2,414 | -4,561 |
Reclassification adjustments for gains and losses realized in net income, Net-of-tax amount | -1,745 | 851 | 2,445 |
Net change during the year, Net-of-tax amount | 6,612 | 3,265 | -2,116 |
Net gains and losses on derivative instruments, Net-of-tax amount: | ' | ' | ' |
Amount arising during the year, Net-of-tax amount | -7,551 | -6,606 | 2,513 |
Reclassification adjustments for gains and losses realized in net income, Net-of-tax amount | 9,607 | 1,726 | -2,962 |
Net change during the year, Net-of-tax amount | 2,056 | -4,880 | -449 |
Pension liability adjustments, Net-of-tax amount: | ' | ' | ' |
Amount arising during the year, Net-of-tax amount | 30,246 | -15,626 | -39,676 |
Reclassification adjustments for gains and losses realized in net income, Net-of-tax amount | 2,423 | 2,839 | 1,299 |
Net change during the year, Net-of-tax amount | 32,669 | -12,787 | -38,377 |
Other comprehensive income (loss), Net-of-tax amount | ¥ 292,913 | ¥ 119,333 | ¥ (95,028) |
StockBased_Compensation_Additi
Stock-Based Compensation - Additional Information (Detail) (JPY ¥) | 12 Months Ended | |||||||||
In Millions, except Share data, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | 1-May-11 | Dec. 31, 2010 | 1-May-10 | Dec. 31, 2009 | 1-May-09 | Dec. 31, 2008 | 1-May-08 |
Y | Y | Y | Y | |||||||
Compensation Related Costs Share Based Payments Disclosure [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Number of common stock shares authorized to be acquired under stock options granted | ' | ' | ' | 912,000 | ' | 890,000 | ' | 954,000 | ' | 592,000 |
Vesting period | ' | ' | ' | '2 years | ' | '2 years | ' | '2 years | ' | '2 years |
Contractual term (in years) | ' | ' | ' | 4 | ' | 4 | ' | 4 | ' | 4 |
Grant-date fair value per share of stock options | ' | ' | ¥ 772 | ' | ¥ 988 | ' | ¥ 699 | ' | ¥ 1,247 | ' |
Recognized compensation cost for stock options | ¥ 95 | ¥ 364 | ¥ 748 | ' | ' | ' | ' | ' | ' | ' |
Fair value of vested shares | 570 | 848 | 547 | ' | ' | ' | ' | ' | ' | ' |
Cash received from the exercise of stock options | ¥ 28 | ¥ 35 | ¥ 216 | ' | ' | ' | ' | ' | ' | ' |
Fair_Value_of_Option_Award_Est
Fair Value of Option Award Estimated on Date of Grant Using Black-Scholes Option Pricing Model (Detail) | 12 Months Ended |
Dec. 31, 2011 | |
Share based Compensation Arrangement by Share based Payment Award, Fair Value Assumptions, Method Used [Line Items] | ' |
Expected term of option (in years) | '4 years |
Expected volatility | 36.44% |
Dividend yield | 3.16% |
Risk-free interest rate | 0.44% |
Summary_of_Option_Activity_Und
Summary of Option Activity Under Stock Option Plans (Detail) (JPY ¥) | 12 Months Ended | |||
In Millions, except Share data, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2010 |
Shares | ' | ' | ' | ' |
Outstanding at beginning of year | 2,726,400 | 3,042,200 | 2,220,000 | ' |
Granted | ' | ' | 912,000 | ' |
Exercised | -8,600 | -10,800 | -65,800 | ' |
Forfeited | -60,400 | -305,000 | -24,000 | ' |
Outstanding at end of year | 2,657,400 | 2,726,400 | 3,042,200 | 2,220,000 |
Exercisable at end of year | 2,657,400 | ' | ' | ' |
Weighted-Average Exercise Price | ' | ' | ' | ' |
Outstanding at beginning of year | ¥ 4,247 | ¥ 4,268 | ¥ 4,354 | ' |
Granted | ' | ' | ¥ 3,990 | ' |
Exercised | ¥ 3,287 | ¥ 3,287 | ¥ 3,287 | ' |
Forfeited | ¥ 4,461 | ¥ 4,493 | ¥ 4,282 | ' |
Outstanding at end of year | ¥ 4,245 | ¥ 4,247 | ¥ 4,268 | ¥ 4,354 |
Exercisable at end of year | ¥ 4,245 | ' | ' | ' |
Weighted-Average Remaining Contractual Term | ' | ' | ' | ' |
Outstanding at end of year | '1 year | '1 year 7 months 6 days | '2 years | '2 years 6 months |
Exercisable at end of year | '1 year | ' | ' | ' |
Aggregate Intrinsic Value | ' | ' | ' | ' |
Outstanding at beginning of year | ¥ 37 | ¥ 88 | ¥ 722 | ' |
Outstanding at end of year | 28 | 37 | 88 | 722 |
Exercisable at end of year | ¥ 28 | ' | ' | ' |
Summary_of_Non_Vested_Shares_D
Summary of Non Vested Shares (Detail) (JPY ¥) | 12 Months Ended |
Dec. 31, 2013 | |
Shares | ' |
Nonvested at beginning of year | 738,000 |
Vested | -738,000 |
Forfeited | ' |
Weighted Average Grant-Date Fair Value | ' |
Nonvested at beginning of year | ¥ 772 |
Vested | ¥ 772 |
Forfeited | ' |
Reconciliation_of_Numerators_a
Reconciliation of Numerators and Denominators of Basic and Diluted Net Income Attributable to Canon Inc. Stockholders Per Share Computations (Detail) (JPY ¥) | 12 Months Ended | ||
In Millions, except Share data, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Earnings Per Share Disclosure [Line Items] | ' | ' | ' |
Net income attributable to Canon Inc. | ¥ 230,483 | ¥ 224,564 | ¥ 248,630 |
Average common shares outstanding | 1,147,933,835 | 1,173,647,835 | 1,215,832,419 |
Stock options | 8,466 | 20,574 | 60,552 |
Diluted common shares outstanding | 1,147,942,301 | 1,173,668,409 | 1,215,892,971 |
Net income attributable to Canon Inc. stockholders per share: | ' | ' | ' |
Basic | ¥ 200.78 | ¥ 191.34 | ¥ 204.49 |
Diluted | ¥ 200.78 | ¥ 191.34 | ¥ 204.48 |
Contract_Amounts_of_Foreign_Ex
Contract Amounts of Foreign Exchange Contracts (Detail) (JPY ¥) | Dec. 31, 2013 | Dec. 31, 2012 |
In Millions, unless otherwise specified | ||
Foreign currency to sell | ' | ' |
Derivative Instruments And Hedging Activities Disclosure [Line Items] | ' | ' |
To buy foreign currencies | ¥ 374,699 | ¥ 420,272 |
Foreign currency to buy | ' | ' |
Derivative Instruments And Hedging Activities Disclosure [Line Items] | ' | ' |
To buy foreign currencies | ¥ 44,726 | ¥ 66,563 |
Fair_Value_of_Derivative_Instr
Fair Value of Derivative Instruments in Consolidated Balance Sheet (Detail) (Foreign Exchange Contract, JPY ¥) | Dec. 31, 2013 | Dec. 31, 2012 |
In Millions, unless otherwise specified | ||
Prepaid Expenses and Other Current Assets | ' | ' |
Derivatives, Fair Value [Line Items] | ' | ' |
Derivative assets designated as Hedging Instrument | ¥ 44 | ¥ 443 |
Derivative assets not designated as Hedging Instrument | 210 | 388 |
Other Current Liabilities | ' | ' |
Derivatives, Fair Value [Line Items] | ' | ' |
Derivatives liabilities designated as hedging instruments | 2,267 | 4,472 |
Derivatives liabilities not designated as hedging instruments | ¥ 12,678 | ¥ 21,021 |
Effect_of_Derivative_Instrumen
Effect of Derivative Instruments on Consolidated Statements of Income (Detail) (Cash Flow Hedging, Foreign Exchange Contract, Other Nonoperating Income Expense, JPY ¥) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Cash Flow Hedging | Foreign Exchange Contract | Other Nonoperating Income Expense | ' | ' | ' |
Derivative Instruments, Gain (Loss) [Line Items] | ' | ' | ' |
Gain (loss) recognized in OCI (effective portion) | ¥ 3,242 | ¥ (8,207) | ¥ (785) |
Gain (loss) reclassified from accumulated OCI into income (effective portion) | -15,387 | -2,440 | 5,006 |
Gain (loss) recognized in income (ineffective portion and amount excluded from effectiveness testing) | ¥ (111) | ¥ (221) | ¥ (457) |
Derivatives_not_Designated_as_
Derivatives not Designated as Hedging Instruments (Detail) (Not Designated as Hedging Instrument, Foreign Exchange Contract, Other Nonoperating Income Expense, JPY ¥) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Not Designated as Hedging Instrument | Foreign Exchange Contract | Other Nonoperating Income Expense | ' | ' | ' |
Derivative Instruments, Gain (Loss) [Line Items] | ' | ' | ' |
Gain (loss) recognized in income on derivative | ¥ (61,787) | ¥ (30,602) | ¥ 11,168 |
Commitments_and_Contingent_Lia2
Commitments and Contingent Liabilities - Additional Information (Detail) (JPY ¥) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Commitments and Contingencies Disclosure [Line Items] | ' | ' | ' |
Deposits made under lease arrangements included in noncurrent receivables | ¥ 13,448 | ¥ 13,313 | ' |
Rental expenses under the operating lease arrangements | 44,562 | 40,273 | 38,167 |
Maximum amount of undiscounted payments in case of default | 12,315 | ' | ' |
Employees with Housing Loan | Minimum | ' | ' | ' |
Commitments and Contingencies Disclosure [Line Items] | ' | ' | ' |
Guarantee contract period | '1 year | ' | ' |
Employees with Housing Loan | Maximum | ' | ' | ' |
Commitments and Contingencies Disclosure [Line Items] | ' | ' | ' |
Guarantee contract period | '30 years | ' | ' |
Affiliates and Other Companies | Minimum | ' | ' | ' |
Commitments and Contingencies Disclosure [Line Items] | ' | ' | ' |
Guarantee contract period | '1 year | ' | ' |
Affiliates and Other Companies | Maximum | ' | ' | ' |
Commitments and Contingencies Disclosure [Line Items] | ' | ' | ' |
Guarantee contract period | '10 years | ' | ' |
Purchase of Property, Plant and Equipment | ' | ' | ' |
Commitments and Contingencies Disclosure [Line Items] | ' | ' | ' |
Commitments outstanding | 26,218 | ' | ' |
Purchase of Parts and Raw Materials | ' | ' | ' |
Commitments and Contingencies Disclosure [Line Items] | ' | ' | ' |
Commitments outstanding | ¥ 73,914 | ' | ' |
Future_Minimum_Lease_Payments_1
Future Minimum Lease Payments Required Under Noncancelable Operating Leases (Detail) (JPY ¥) | Dec. 31, 2013 |
In Millions, unless otherwise specified | |
Schedule of Operating Leases [Line Items] | ' |
2014 | ¥ 28,523 |
2015 | 20,337 |
2016 | 17,578 |
2017 | 10,046 |
2018 | 6,400 |
Thereafter | 13,180 |
Total future minimum lease payments | ¥ 96,064 |
Changes_in_Accrued_Product_War
Changes in Accrued Product Warranty Cost (Detail) (JPY ¥) | 12 Months Ended | |
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 |
Product Liability Contingency [Line Items] | ' | ' |
Balance at beginning of year | ¥ 12,163 | ¥ 11,691 |
Addition | 13,467 | 13,553 |
Utilization | -12,922 | -12,503 |
Other | -1,818 | -578 |
Balance at end of year | ¥ 10,890 | ¥ 12,163 |
Estimated_Fair_Values_of_Canon
Estimated Fair Values of Canon's Financial Instruments (Detail) (JPY ¥) | Dec. 31, 2013 | Dec. 31, 2012 |
In Millions, unless otherwise specified | ||
Carrying Amounts and Fair Values of Financial Instruments [Line Items] | ' | ' |
Long-term debt, including current installments | ¥ (2,693) | ¥ (3,664) |
Carrying (Reported) Amount, Fair Value Disclosure | ' | ' |
Carrying Amounts and Fair Values of Financial Instruments [Line Items] | ' | ' |
Long-term debt, including current installments | -2,693 | -3,664 |
Foreign exchange contract assets | 254 | 831 |
Foreign exchange contract liabilities | -14,945 | -25,493 |
Estimate of Fair Value, Fair Value Disclosure | ' | ' |
Carrying Amounts and Fair Values of Financial Instruments [Line Items] | ' | ' |
Long-term debt, including current installments | -2,693 | -3,654 |
Foreign exchange contract assets | 254 | 831 |
Foreign exchange contract liabilities | ¥ (14,945) | ¥ (25,493) |
Disclosures_about_Fair_Value_o
Disclosures about Fair Value of Financial Instruments and Concentrations of Credit Risk - Additional Information (Detail) | Dec. 31, 2013 | Dec. 31, 2012 |
Fair Value, Measurement Inputs, Disclosure [Line Items] | ' | ' |
Percentage of consolidated trade receivables accounted by single customer | 15.00% | 18.00% |
Assets_and_Liabilities_Measure
Assets and Liabilities Measured at Fair Value (Detail) (JPY ¥) | Dec. 31, 2013 | Dec. 31, 2012 |
In Millions, unless otherwise specified | ||
Assets: | ' | ' |
Cash and cash equivalents | ¥ 183,078 | ¥ 141,729 |
Derivatives | 254 | 831 |
Total assets | 218,724 | 165,900 |
Liabilities: | ' | ' |
Derivatives | 14,945 | 25,493 |
Total liabilities | 14,945 | 25,493 |
Government Bonds | ' | ' |
Assets: | ' | ' |
Available-for-sale (noncurrent) | 307 | 181 |
Corporate Bonds | ' | ' |
Assets: | ' | ' |
Available-for-sale (noncurrent) | 481 | 560 |
Available-for-sale (current) | ' | 30 |
Fund Trusts | ' | ' |
Assets: | ' | ' |
Available-for-sale (noncurrent) | 68 | 1,234 |
Equity Securities | ' | ' |
Assets: | ' | ' |
Available-for-sale (noncurrent) | 34,536 | 21,335 |
Fair Value, Inputs, Level 1 | ' | ' |
Assets: | ' | ' |
Total assets | 34,854 | 21,705 |
Fair Value, Inputs, Level 1 | Government Bonds | ' | ' |
Assets: | ' | ' |
Available-for-sale (noncurrent) | 307 | 181 |
Fair Value, Inputs, Level 1 | Corporate Bonds | ' | ' |
Assets: | ' | ' |
Available-for-sale (current) | ' | 30 |
Fair Value, Inputs, Level 1 | Fund Trusts | ' | ' |
Assets: | ' | ' |
Available-for-sale (noncurrent) | 11 | 159 |
Fair Value, Inputs, Level 1 | Equity Securities | ' | ' |
Assets: | ' | ' |
Available-for-sale (noncurrent) | 34,536 | 21,335 |
Fair Value, Inputs, Level 2 | ' | ' |
Assets: | ' | ' |
Cash and cash equivalents | 183,078 | 141,729 |
Derivatives | 254 | 831 |
Total assets | 183,530 | 143,751 |
Liabilities: | ' | ' |
Derivatives | 14,945 | 25,493 |
Total liabilities | 14,945 | 25,493 |
Fair Value, Inputs, Level 2 | Corporate Bonds | ' | ' |
Assets: | ' | ' |
Available-for-sale (noncurrent) | 141 | 116 |
Fair Value, Inputs, Level 2 | Fund Trusts | ' | ' |
Assets: | ' | ' |
Available-for-sale (noncurrent) | 57 | 1,075 |
Fair Value, Inputs, Level 3 | ' | ' |
Assets: | ' | ' |
Total assets | 340 | 444 |
Fair Value, Inputs, Level 3 | Corporate Bonds | ' | ' |
Assets: | ' | ' |
Available-for-sale (noncurrent) | ¥ 340 | ¥ 444 |
Changes_in_Level_3_Assets_Meas
Changes in Level 3 Assets Measured on Recurring Basis (Detail) (JPY ¥) | 12 Months Ended | |
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ' | ' |
Balance at beginning of year | ¥ 444 | ¥ 454 |
Total gains or losses (realized or unrealized): | ' | ' |
Included in earnings | 1 | 3 |
Included in other comprehensive income (loss) | 36 | 2 |
Purchases, issuances, and settlements | -141 | -15 |
Balance at end of year | ¥ 340 | ¥ 444 |
Segment_Information_Additional
Segment Information - Additional Information (Detail) (JPY ¥) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Segment | |||
Revenue, Major Customer [Line Items] | ' | ' | ' |
Operating business segments | 3 | ' | ' |
Minimum sales as a percentage of net consolidated sales to conduct business in any individual country | 10.00% | 10.00% | 10.00% |
Net sales | ¥ 3,731,380 | ¥ 3,479,788 | ¥ 3,557,433 |
UNITED STATES | ' | ' | ' |
Revenue, Major Customer [Line Items] | ' | ' | ' |
Net sales | ¥ 960,213 | ¥ 763,870 | ¥ 779,652 |
Information_about_Operating_Re
Information about Operating Results and Assets for Each Segment (Detail) (JPY ¥) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Net sales: | ' | ' | ' |
Net sales | ¥ 3,731,380 | ¥ 3,479,788 | ¥ 3,557,433 |
Operating cost and expenses | 3,394,103 | 3,155,932 | 3,179,362 |
Operating profit (loss) | 337,277 | 323,856 | 378,071 |
Total assets | 4,242,710 | 3,955,503 | 3,930,727 |
Depreciation and amortization | 275,173 | 258,133 | 261,343 |
Capital expenditures | 227,478 | 306,661 | 262,481 |
External Customers | ' | ' | ' |
Net sales: | ' | ' | ' |
Net sales | 3,731,380 | 3,479,788 | 3,557,433 |
Office Business Unit | ' | ' | ' |
Net sales: | ' | ' | ' |
Net sales | 2,000,073 | 1,757,575 | 1,917,943 |
Operating cost and expenses | 1,733,165 | 1,553,997 | 1,658,678 |
Operating profit (loss) | 266,908 | 203,578 | 259,265 |
Total assets | 954,803 | 927,543 | 907,433 |
Depreciation and amortization | 88,344 | 77,660 | 93,196 |
Capital expenditures | 54,644 | 58,402 | 53,888 |
Office Business Unit | External Customers | ' | ' | ' |
Net sales: | ' | ' | ' |
Net sales | 1,993,898 | 1,751,960 | 1,912,112 |
Office Business Unit | Intersegment Eliminations | ' | ' | ' |
Net sales: | ' | ' | ' |
Net sales | 6,175 | 5,615 | 5,831 |
Imaging System Business Unit | ' | ' | ' |
Net sales: | ' | ' | ' |
Net sales | 1,448,938 | 1,405,971 | 1,312,044 |
Operating cost and expenses | 1,245,144 | 1,195,653 | 1,100,750 |
Operating profit (loss) | 203,794 | 210,318 | 211,294 |
Total assets | 584,856 | 614,328 | 452,809 |
Depreciation and amortization | 56,564 | 53,664 | 45,609 |
Capital expenditures | 44,112 | 58,142 | 48,192 |
Imaging System Business Unit | External Customers | ' | ' | ' |
Net sales: | ' | ' | ' |
Net sales | 1,448,186 | 1,404,394 | 1,311,023 |
Imaging System Business Unit | Intersegment Eliminations | ' | ' | ' |
Net sales: | ' | ' | ' |
Net sales | 752 | 1,577 | 1,021 |
Industry and Others Business Unit | ' | ' | ' |
Net sales: | ' | ' | ' |
Net sales | 374,870 | 407,840 | 420,863 |
Operating cost and expenses | 400,201 | 401,930 | 396,563 |
Operating profit (loss) | -25,331 | 5,910 | 24,300 |
Total assets | 328,202 | 337,899 | 362,638 |
Depreciation and amortization | 37,072 | 34,264 | 29,685 |
Capital expenditures | 27,040 | 44,086 | 37,648 |
Industry and Others Business Unit | External Customers | ' | ' | ' |
Net sales: | ' | ' | ' |
Net sales | 289,296 | 323,434 | 334,298 |
Industry and Others Business Unit | Intersegment Eliminations | ' | ' | ' |
Net sales: | ' | ' | ' |
Net sales | 85,574 | 84,406 | 86,565 |
Corporate and eliminations | ' | ' | ' |
Net sales: | ' | ' | ' |
Net sales | -92,501 | -91,598 | -93,417 |
Operating cost and expenses | 15,593 | 4,352 | 23,371 |
Operating profit (loss) | -108,094 | -95,950 | -116,788 |
Total assets | 2,374,849 | 2,075,733 | 2,207,847 |
Depreciation and amortization | 93,193 | 92,545 | 92,853 |
Capital expenditures | 101,682 | 146,031 | 122,753 |
Corporate and eliminations | Intersegment Eliminations | ' | ' | ' |
Net sales: | ' | ' | ' |
Net sales | ¥ (92,501) | ¥ (91,598) | ¥ (93,417) |
Product_Sales_to_External_Cust
Product Sales to External Customers by Business Unit (Detail) (JPY ¥) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Revenue, Major Customer [Line Items] | ' | ' | ' |
Net sales | ¥ 3,731,380 | ¥ 3,479,788 | ¥ 3,557,433 |
Office Business Unit | ' | ' | ' |
Revenue, Major Customer [Line Items] | ' | ' | ' |
Net sales | 2,000,073 | 1,757,575 | 1,917,943 |
Imaging System Business Unit | ' | ' | ' |
Revenue, Major Customer [Line Items] | ' | ' | ' |
Net sales | 1,448,938 | 1,405,971 | 1,312,044 |
Industry and Others Business Unit | ' | ' | ' |
Revenue, Major Customer [Line Items] | ' | ' | ' |
Net sales | 374,870 | 407,840 | 420,863 |
External Customers | ' | ' | ' |
Revenue, Major Customer [Line Items] | ' | ' | ' |
Net sales | 3,731,380 | 3,479,788 | 3,557,433 |
External Customers | Office Business Unit | ' | ' | ' |
Revenue, Major Customer [Line Items] | ' | ' | ' |
Net sales | 1,993,898 | 1,751,960 | 1,912,112 |
External Customers | Office Business Unit | Monochrome Copiers | ' | ' | ' |
Revenue, Major Customer [Line Items] | ' | ' | ' |
Net sales | 312,973 | 274,021 | 276,225 |
External Customers | Office Business Unit | Color Copiers | ' | ' | ' |
Revenue, Major Customer [Line Items] | ' | ' | ' |
Net sales | 381,848 | 324,851 | 322,321 |
External Customers | Office Business Unit | Printers | ' | ' | ' |
Revenue, Major Customer [Line Items] | ' | ' | ' |
Net sales | 841,436 | 766,382 | 902,756 |
External Customers | Office Business Unit | Others | ' | ' | ' |
Revenue, Major Customer [Line Items] | ' | ' | ' |
Net sales | 457,641 | 386,706 | 410,810 |
External Customers | Imaging System Business Unit | ' | ' | ' |
Revenue, Major Customer [Line Items] | ' | ' | ' |
Net sales | 1,448,186 | 1,404,394 | 1,311,023 |
External Customers | Imaging System Business Unit | Cameras | ' | ' | ' |
Revenue, Major Customer [Line Items] | ' | ' | ' |
Net sales | 973,517 | 990,549 | 928,047 |
External Customers | Imaging System Business Unit | Inkjet Printers | ' | ' | ' |
Revenue, Major Customer [Line Items] | ' | ' | ' |
Net sales | 363,070 | 312,429 | 315,526 |
External Customers | Imaging System Business Unit | Others | ' | ' | ' |
Revenue, Major Customer [Line Items] | ' | ' | ' |
Net sales | 111,599 | 101,416 | 67,450 |
External Customers | Industry and Others Business Unit | ' | ' | ' |
Revenue, Major Customer [Line Items] | ' | ' | ' |
Net sales | 289,296 | 323,434 | 334,298 |
External Customers | Industry and Others Business Unit | Lithography Equipment | ' | ' | ' |
Revenue, Major Customer [Line Items] | ' | ' | ' |
Net sales | 62,116 | 62,892 | 81,556 |
External Customers | Industry and Others Business Unit | Others | ' | ' | ' |
Revenue, Major Customer [Line Items] | ' | ' | ' |
Net sales | ¥ 227,180 | ¥ 260,542 | ¥ 252,742 |
Information_by_Major_Geographi
Information by Major Geographic Area (Detail) (JPY ¥) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Net sales: | ' | ' | ' |
Net sales | ¥ 3,731,380 | ¥ 3,479,788 | ¥ 3,557,433 |
Operating Segments | ' | ' | ' |
Net sales: | ' | ' | ' |
Net sales | 3,731,380 | 3,479,788 | 3,557,433 |
Long-lived assets: | ' | ' | ' |
Long-lived assets | 1,423,805 | 1,396,100 | 1,328,866 |
Domestic Country | ' | ' | ' |
Net sales: | ' | ' | ' |
Net sales | 2,652,682 | 2,664,240 | 2,681,040 |
Domestic Country | Operating Segments | ' | ' | ' |
Net sales: | ' | ' | ' |
Net sales | 715,863 | 720,286 | 694,450 |
Long-lived assets: | ' | ' | ' |
Long-lived assets | 984,231 | 1,032,598 | 1,070,412 |
Americas | ' | ' | ' |
Net sales: | ' | ' | ' |
Net sales | 1,067,870 | 956,754 | 969,050 |
Americas | Operating Segments | ' | ' | ' |
Net sales: | ' | ' | ' |
Net sales | 1,059,501 | 939,873 | 961,955 |
Long-lived assets: | ' | ' | ' |
Long-lived assets | 131,660 | 112,163 | 85,824 |
Europe | ' | ' | ' |
Net sales: | ' | ' | ' |
Net sales | 1,177,884 | 1,016,572 | 1,113,937 |
Europe | Operating Segments | ' | ' | ' |
Net sales: | ' | ' | ' |
Net sales | 1,124,929 | 1,014,038 | 1,113,065 |
Long-lived assets: | ' | ' | ' |
Long-lived assets | 111,609 | 91,904 | 83,296 |
Asia and Oceania | ' | ' | ' |
Net sales: | ' | ' | ' |
Net sales | 1,634,945 | 1,483,309 | 1,431,640 |
Asia and Oceania | Operating Segments | ' | ' | ' |
Net sales: | ' | ' | ' |
Net sales | 831,087 | 805,591 | 787,963 |
Long-lived assets: | ' | ' | ' |
Long-lived assets | ¥ 196,305 | ¥ 159,435 | ¥ 89,334 |
Geographic_Supplemental_Inform
Geographic Supplemental Information (Detail) (JPY ¥) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Net sales: | ' | ' | ' |
Net sales | ¥ 3,731,380 | ¥ 3,479,788 | ¥ 3,557,433 |
Operating cost and expenses | 3,394,103 | 3,155,932 | 3,179,362 |
Operating profit | 337,277 | 323,856 | 378,071 |
Total assets | 4,242,710 | 3,955,503 | 3,930,727 |
External Customers | ' | ' | ' |
Net sales: | ' | ' | ' |
Net sales | 3,731,380 | 3,479,788 | 3,557,433 |
Domestic Country | ' | ' | ' |
Net sales: | ' | ' | ' |
Net sales | 2,652,682 | 2,664,240 | 2,681,040 |
Operating cost and expenses | 2,326,351 | 2,336,536 | 2,273,336 |
Operating profit | 326,331 | 327,704 | 407,704 |
Total assets | 1,152,398 | 1,206,702 | 1,236,468 |
Domestic Country | External Customers | ' | ' | ' |
Net sales: | ' | ' | ' |
Net sales | 797,501 | 834,406 | 807,883 |
Domestic Country | Intersegment Eliminations | ' | ' | ' |
Net sales: | ' | ' | ' |
Net sales | 1,855,181 | 1,829,834 | 1,873,157 |
Americas | ' | ' | ' |
Net sales: | ' | ' | ' |
Net sales | 1,067,870 | 956,754 | 969,050 |
Operating cost and expenses | 1,043,487 | 937,111 | 948,593 |
Operating profit | 24,383 | 19,643 | 20,457 |
Total assets | 447,039 | 339,918 | 250,131 |
Americas | External Customers | ' | ' | ' |
Net sales: | ' | ' | ' |
Net sales | 1,056,096 | 932,987 | 952,833 |
Americas | Intersegment Eliminations | ' | ' | ' |
Net sales: | ' | ' | ' |
Net sales | 11,774 | 23,767 | 16,217 |
Europe | ' | ' | ' |
Net sales: | ' | ' | ' |
Net sales | 1,177,884 | 1,016,572 | 1,113,937 |
Operating cost and expenses | 1,171,357 | 972,585 | 1,069,489 |
Operating profit | 6,527 | 43,987 | 44,448 |
Total assets | 496,549 | 457,592 | 427,030 |
Europe | External Customers | ' | ' | ' |
Net sales: | ' | ' | ' |
Net sales | 1,124,603 | 1,010,922 | 1,109,256 |
Europe | Intersegment Eliminations | ' | ' | ' |
Net sales: | ' | ' | ' |
Net sales | 53,281 | 5,650 | 4,681 |
Asia and Oceania | ' | ' | ' |
Net sales: | ' | ' | ' |
Net sales | 1,634,945 | 1,483,309 | 1,431,640 |
Operating cost and expenses | 1,574,125 | 1,437,527 | 1,388,580 |
Operating profit | 60,820 | 45,782 | 43,060 |
Total assets | 631,827 | 548,583 | 442,263 |
Asia and Oceania | External Customers | ' | ' | ' |
Net sales: | ' | ' | ' |
Net sales | 753,180 | 701,473 | 687,461 |
Asia and Oceania | Intersegment Eliminations | ' | ' | ' |
Net sales: | ' | ' | ' |
Net sales | 881,765 | 781,836 | 744,179 |
Corporate and eliminations | ' | ' | ' |
Net sales: | ' | ' | ' |
Net sales | -2,802,001 | -2,641,087 | -2,638,234 |
Operating cost and expenses | -2,721,217 | -2,527,827 | -2,500,636 |
Operating profit | -80,784 | -113,260 | -137,598 |
Total assets | 1,514,897 | 1,402,708 | 1,574,835 |
Corporate and eliminations | Intersegment Eliminations | ' | ' | ' |
Net sales: | ' | ' | ' |
Net sales | ¥ (2,802,001) | ¥ (2,641,087) | ¥ (2,638,234) |
Subsequent_Event_Additional_In
Subsequent Event - Additional Information (Detail) (Subsequent Event, JPY ¥) | 0 Months Ended | 1 Months Ended | |
In Millions, except Share data, unless otherwise specified | Mar. 04, 2014 | Feb. 18, 2014 | Feb. 18, 2014 |
Maximum | |||
Subsequent Event [Line Items] | ' | ' | ' |
Number of shares approved to be repurchased by Board of Directors | ' | ' | 18,000,000 |
Cost of shares approved to be repurchased by Board of Directors | ' | ' | ¥ 50,000 |
Share repurchase, beginning period | ' | 19-Feb-14 | ' |
Share repurchase, ending period | ' | 4-Apr-14 | ' |
Common stock repurchased, shares | 15,957,600 | ' | ' |
Common stock repurchased, cost | ¥ 50,000 | ' | ' |
Valuation_and_Qualifying_Accou
Valuation and Qualifying Accounts (Detail) (JPY ¥) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Trade Receivables | ' | ' | ' |
Valuation and Qualifying Accounts Disclosure [Line Items] | ' | ' | ' |
Balance at beginning of period | ¥ 12,970 | ¥ 11,563 | ¥ 14,920 |
Addition- charged to income | 1,235 | 2,149 | 492 |
Deduction bad debts written off | -4,173 | -2,382 | -3,995 |
Translation adjustments and other | 2,698 | 1,640 | 146 |
Balance at end of period | 12,730 | 12,970 | 11,563 |
Finance Receivables | ' | ' | ' |
Valuation and Qualifying Accounts Disclosure [Line Items] | ' | ' | ' |
Balance at beginning of period | 6,908 | 7,039 | 7,983 |
Addition- charged to income | 212 | 1,922 | 2,052 |
Deduction bad debts written off | -1,278 | -1,304 | -1,937 |
Translation adjustments and other | 1,481 | -749 | -1,059 |
Balance at end of period | ¥ 7,323 | ¥ 6,908 | ¥ 7,039 |