October 31, 2017
Payment Received in Respect of Arbitration Award Regarding Stake in Tata Teleservices
TOKYO, JAPAN, October 31, 2017 --- NTT DOCOMO, INC. announced today that it has received from Tata Sons Limited ("Tata Sons") payment of the award amount in accordance with the High Court of Delhi's decision regarding DOCOMO's stake in Tata Teleservices Limited ("TTSL"). DOCOMO previously announced the court's decision in a press release entitled "Court Decision Regarding Stake in Tata Teleservices" dated May 1, 2017.
- Amount Received by DOCOMO
- Transfer of TTSL Shares
Concurrent with the receipt of the above amount, all shares in TTSL held by DOCOMO have been transferred to Tata Sons and companies designated by Tata Sons.
- Financial Impact and Partial Adjustment to Forecasts of Consolidated Financial Results
DOCOMO expects to include the award amount of ¥144.9 billion in other income on its consolidated financial statements for the three-month period ending December 31, 2017.
Concurrent with the receipt of the above award amount, all shares in TTSL held by DOCOMO have been transferred to Tata Sons and companies designated by Tata Sons. Upon the transfer of DOCOMO's shares in TTSL, DOCOMO no longer accounts for investments in TTSL under the equity method. Accordingly, DOCOMO expects to include a loss on transfer of investments in affiliates of ¥29.8 billion, equal to the reclassification adjustments of foreign currency translation adjustments, in other expense on its consolidated financial statements for the three-month period ending December 31, 2017.
As a result, net income attributable to NTT DOCOMO, INC. will be adjusted to ¥740 billion and free cash flow will be adjusted to ¥855 billion in DOCOMO's forecasts of consolidated financial results for the fiscal year ending March 31, 2018.
Adjustment to Forecasts of Consolidated Financial Results (Billions of yen)
|Fiscal year ending
March 31, 2018
|Fiscal year ending
March 31, 2018
|Net income attributable to
NTT DOCOMO, INC.
|Free cash flow (excluding
changes in investments for
- The amount received includes interest earned and other costs awarded.
- Changes in investments for cash management purposes: Changes by purchases, redemption at maturity and disposals of financial instruments held for cash management purposes with original maturities of longer than three months.
Explanation for forecasts of operations:
This release contains forward-looking statements such as forecasts of results of operations, management strategies, objectives and plans, forecasts of operational data such as the expected number of subscriptions, and the expected dividend payments. All forward-looking statements that are not historical facts are based on management's current plans, expectations, assumptions and estimates based on the information available as of the date of this release. Some of the projected numbers in this report were derived using certain assumptions that were indispensable for making such projections in addition to historical facts. These forward-looking statements are subject to various known and unknown risks, uncertainties and other factors that could cause our actual results to differ materially from those contained in or suggested by any forward-looking statement. With regard to various known and unknown risks, uncertainties and other factors, please see our latest Annual reports on Form 20-F submitted to the U.S. Securities and Exchange Commission.