434 (215 + 4 + 215) x 280 mm

2014

300 Takatsuka-Cho,
Minami-Ku, Hamamatsu-shi,
Shizuoka, Japan 432-8611
http://www.globalsuzuki.com

ANNUAL REPORT 2014
Printed in Japan

FINANCIAL SECTIONCONTENTSManagement discussion and analysis.......................................................... 29
Five-Year Summary...................................................................................... 31
Consolidated Financial Statements.............................................................. 32
Consolidated Balance Sheets.............................................................................. 32
Consolidated Statements of Income andConsolidated Statements of Comprehensive Income..................................... 34
Consolidated Statements of Changes in Net Assets............................................. 36
Consolidated Statements of Cash Flows.............................................................. 37
Notes to Consolidated Financial Statements....................................................... 38
Independent Auditor’s Report.............................................................................. 63

28 SUZUKI MOTOR CORPORATION

Management discussion and analysis

Management discussion and analysis

1. Operating results(1) The operating results by segment(a) Motorcycle
The net sales increased by ¥36.3 billion (15.8%) to ¥266.6 billion year-on-year, mainly owing to the impact of the exchange
rate and launch of new large-displacement motorcycle V-Strom 1000 ABS in Europe. As for the operating income, the operating loss of ¥11.9 billion in the previous fiscal year became an operating income of ¥100 million, slightly turning into the black
for the first time in six fiscal years, mainly owing to improvement in income of large displacement motorcycles.
(b) Automobile
The Japanese domestic net sales increased year-on-year as a result of expanding its sales and strengthening the products
such as by improvement in fuel efficiency of the Alto Eco and launch of new-genre mini passenger car Hustler, in addition
to great sales of the Spacia, as well as the impact of last-minute demand due to increase in consumption tax rate. As for theoverseas, the net sales increased year-on-year mainly owing to increase in Europe, India, and Indonesia. As a result, theoverall net sales of the automobile business increased by ¥317.9 billion (13.8%) to ¥2,615.7 billion year-on-year. The operating income increased by ¥28.7 billion (19.0%) to ¥179.3 billion year-on-year, mainly owing to improvement in export profit fromJapan by the impact of the exchange rate and increase in income in Asia.
(c) Marine and Power products, etc.
The net sales increased by ¥5.8 billion (11.6%) to ¥56.0 billion year-on-year, mainly owing to increase in sales of outboard motors in Europe. The operating income increased by ¥2.4 billion (41.5%) to ¥8.3 billion year-on-year.

(2) The operating results by geographical areas(a) Japan
The net sales increased by ¥149.6 billion (9.6%) to ¥1,701.7 billion year-on-year. The Company was able to increase sales bycovering decrease in OEM sales with increase in sales of Suzuki brand vehicles, impact of the exchange rate and others. The
operating income increased by ¥32.0 billion (31.2%) to ¥134.5 billion year-on-year because of improvement of export profit
owing to the impact of the exchange rate and other causes.
(b) Europe
The net sales increased by ¥118.2 billion (45.8%) to ¥376.5 billion year-on-year owing to launch of C-segment crossovermodel SX4 S-CROSS, new large displacement motorcycle and other causes. The operating loss of ¥1.1 billion in the previous
fiscal year became an operating income of ¥4.2 billion, turning into the black.
(c) Asia
The net sales increased by ¥194.4 billion (19.8%) to ¥1,175.4 billion year-on-year mainly owing to increased sales of automobiles in Indonesia and Thailand, impact of exchange rate and other causes. The operating income increased by ¥21.3 billion(56.1%) to ¥59.4 billion year-on-year.
(d) Other areas
The net sales decreased by ¥18.1 billion (10.7%) to ¥151.0 billion year-on-year owing to winding down of automobile marketing business in the United States and other causes. The operating income decreased by ¥2.9 billion (92.1%) to ¥200 million
year-on-year.

(3) Selling, general and administrative expenses
In the current consolidated fiscal year, the amount of selling, general and administrative expenses increased by ¥93.3 billion (18.1%)
to ¥607.8 billion year-on-year because of increase of sales expenses such as advertising expenses.

(4) Other income and expenses
In the current consolidated fiscal year, the net amount of other income and expenses was a gain of ¥9.3 billion, which increased by ¥14.5
billion year-on-year. This was mainly due to decrease of loss on liquidation of subsidiaries and affiliates from the previous fiscal year.

SUZUKI MOTOR CORPORATION 29

Management discussion and analysis(5) Forecasts for the next fiscal year

As for the next fiscal year, by closely looking at the impact of recoil reduction of last-minute demand due to increase in consumption tax rate in Japan, and economic trends in emerging Asian markets such as India, Indonesia, and Thailand in overseas, The
Group will work as one to reform in every field to accomplish more than the below forecasts for the consolidated operation by
developing the business activity.
(Forecasts for the consolidated operating results-First Half)
Net Sales¥1,400.0 billion(up 2.2% year-on-year)
Operating income¥91.0 billion(up 0.8% year-on-year)
Net income¥55.0 billion(up 6.5% year-on-year)(Forecasts for the consolidated operating results-Full Year)Net Sales¥3,000.0 billion(up 2.1% year-on-year)
Operating income¥188.0 billion(up 0.1% year-on-year)
Net income¥115.0 billion(up 7.0% year-on-year)
Foreign exchange rates 100 yen/US$, 135yen/Euro, 1.65yen/Indian Rupee		
0.85yen/100Indonesian Rupiah, 3.10yen/Thai Baht
* The forecasts for next fiscal year mentioned above are based on currently available information and assumptions, containrisks and uncertainty, and do not constitute guarantees of future achievement. Please note that the actual results may greatly
vary by the changes of various factors. Those factors, which may influence the actual results, include economic conditions
and the trend of demand in major markets and the fluctuation of foreign exchange rate (mainly US dollar/Yen rate, Euro/Yen
rate and Indian Rupee/Yen rate).

2. Liquidity and capital resources(1) Cash flow

Cash flow provided by operating activities for FY2013 amounted to ¥322.9 billion (¥190.1 billion was provided in the previous fiscal year), and ¥286.6 billion was used for the acquisition of property, plant and equipment etc. in the investment activities (¥210.6
billion was used in the previous fiscal year). As a result, free cash flow amounted to ¥36.3 billion of positive (¥20.5 billion of negative for the previous fiscal year). In financing activities, ¥2.8 billion was provided by net increase of short term loan and others (¥33.6
billion was used in the previous fiscal year).
As a result, the balance of cash and cash equivalents at the end of FY2013 amounted to ¥710.6 billion and increased by ¥49.5
billion from the end of previous fiscal year.

(2) Demand for money
During the current consolidated fiscal year, The Company and consolidated subsidiaries invested a total ¥213.6 billion of capital
expenditures on various areas such as development of new model and research & development.
Capital expenditure project for the next fiscal year is ¥230.0 billion. The required fund will be covered mainly by our own funds.

3. Significant accounting policies
For information regarding significant accounting policies, please refer to the Notes to Consolidated Financial Statements.
* An amount less than 100 million yen has been rounded off in “Management discussion and analysis” section.

30 SUZUKI MOTOR CORPORATIONFive-Year Summary
SUZUKI MOTOR CORPORATIONCONSOLIDATED
Thousands of
US dollars(except per
share amounts)

Millions of yen(except per share amounts)

2014

2013

2012

2011

2010

2014

Net sales.......................................

¥2,938,314¥2,578,317¥2,512,186¥2,608,217¥2,469,063$28,549,496

Net income...................................

107,484

80,38953,88745,17428,913

1,044,346

Primary......................................

191.60143.31

96.06

80.65

62.76

1.86

Years ended March 31

Net income per share:
Fully diluted.............................

191.57131.67

88.28

74.11

55.26

1.86

Cash dividends per share............

24.00

18.00

15.00

13.00

12.00

0.23

Net assets.....................................

1,494,357

1,298,553

1,111,757

1,106,999

1,089,757

14,519,602

Total current assets.......................

1,790,832

1,560,218

1,509,568

1,372,885

1,479,336

17,400,238

Total assets...................................

2,874,074

2,487,635

2,302,439

2,224,344

2,381,314

27,925,327

Depreciation and amortization.....

117,188

93,680103,117

138,368

141,846

1,138,639

NON-CONSOLIDATED
Thousands of
US dollars(except per
share amounts)

Millions of yen(except per share amounts)

2014

2013

2012

2011

2010

2014

Net sales.......................................

¥1,498,853¥1,422,595¥1,383,269¥1,409,205¥1,286,633$14,563,284

Net income...................................

67,21936,405

15,846

10,834

7,086

653,119

Primary......................................

119.81

64.89

28.25

19.34

15.38

1.16

Fully diluted.............................

119.79

59.64

25.98

17.80

13.57

1.16

Years ended March 31

Net income per share:

Cash dividends per share............

24.00

18.00

15.00

13.00

12.00

0.23

Net assets.....................................

859,224

761,353

703,292

691,207673,8038,348,468

Total current assets.......................

1,070,668

921,352

921,669

818,964

899,655

10,402,916

Total assets...................................

1,850,068

1,641,700

1,597,903

1,524,232

1,625,023

17,975,787

Depreciation and amortization.....

33,60535,62638,532

61,26572,359326,519

Note: Yen amounts are translated into US dollars for convenience only, at ¥102.92 = US$1, the prevailing exchange rate as of March 31, 2014.

SUZUKI MOTOR CORPORATION 31

Consolidated Financial Statements
Consolidated Balance Sheets
As of March 31, 2014 and 2013

SUZUKI MOTOR CORPORATIONAND CONSOLIDATED SUBSIDIARIES

Thousands of
US dollars

Millions of yen

2014

2013

2014

¥ 710,611¥ 661,102$ 6,904,498

310,694

253,237

3,018,792

ASSETS
Current assets:
Cash and cash equivalents *NOTE 4 .....................................
Receivables:
Notes and accounts receivables-trade *NOTE 4 ...............
Allowance for doubtful accounts....................................

(4,804)(5,076)(46,681)

Inventories...........................................................................

276,285

261,380

2,684,468

Deferred tax assets.............................................................

105,064

93,3071,020,835

Other....................................................................................

392,982

296,266

3,818,325

Total current assets.............................................................

1,790,832

1,560,218

17,400,238

Land....................................................................................

238,532

211,5122,317,650

Buildings and structures.....................................................

385,797368,706

3,748,513

Machinery, equipment, vehicles...........................................

1,120,381

1,067,477

10,885,946

Tools, furniture and fixtures...................................................

378,011

338,6073,672,866

Construction in progress....................................................

96,56079,075938,2122,219,283

2,065,378

21,563,189

Accumulated depreciation.............................................

(1,524,862)(1,456,918)(14,816,000)

Total property, plant and equipment..................................

694,420

608,460

6,747,188

Investment securities *NOTE 4 ...............................................

270,329

199,249

2,626,595

Investments in affiliates *NOTE 4 ............................................

55,69948,248541,191

Assets for retirement benefits *..................................

15,862—

154,123

Property, plant and equipment: *NOTE 5

Investments and other assets:

NOTE 7

Deferred tax assets.............................................................

20,92436,179203,309

Other....................................................................................

26,00535,277

252,680

Total investments and other assets................................

388,821318,956

3,777,900

Total assets..........................................................................

¥2,874,074¥2,487,635$27,925,327

The accompanying Notes to Consolidated Financial Statements are an integral part of these statements.

32 SUZUKI MOTOR CORPORATION

Consolidated Financial Statements

Thousands of
US dollars

Millions of yen

2014

2013

2014

¥ 197,413¥ 171,790$ 1,918,122

LIABILITIES AND NET ASSETS
Current liabilities:
Short-term loans payable *NOTE 4 ........................................
Current portion of long-term loans payable *NOTE 4 and 5......

38,74835,299376,487

Accounts payable-trade *NOTE 4 ..........................................

433,819

350,472

4,215,115

Income taxes payable........................................................

46,62821,420453,055

Accrued expenses *NOTE 4 ...................................................

171,274

155,519

1,664,151

Provision for product warranties.........................................

61,44757,656

597,040

Provision for loss on liquidation of subsidiaries and affiliates.....

—

5,521

—

Deferred tax liabilities.............................................................

967

—

9,401

Other....................................................................................

106,634

86,935

1,036,093

Total current liabilities..........................................................

1,056,933

884,616

10,269,468

209,166

220,392

2,032,319

Noncurrent liabilities:
Long-term loans payable *NOTE 4 and 5 ..................................

Provision for retirement benefits *NOTE 7..............................

—

37,903—Liabilities for retirement benefits *NOTE 7 ..............................

36,918—358,712

Provision for disaster..........................................................

16,596

17,214

161,251
283,515

Deferred tax liabilities.........................................................

29,179111

Other....................................................................................

30,923

28,843

300,458

Total noncurrent liabilities...................................................

322,783

304,464

3,136,257

Total liabilities......................................................................

1,379,717

1,189,081

13,405,725

1,340,990

Net assets:
Shareholders’ equity: *NOTE 11
Capital stock:
Common stock: Authorized-1,500,000,000 shares Issued,
as of March 31, 2014 – 561,047,304..............................

138,014—

as of March 31, 2013 – 561,047,304..............................

—

138,014—

Capital surplus....................................................................

144,364

144,364

1,402,689
9,799,411

Retained earnings..............................................................

1,008,555

912,304

Treasury stock.....................................................................

(57)

(86)

(557)

Total shareholders’ equity...................................................

1,290,877

1,194,597

12,542,533

1,017,739

Accumulated other comprehensive income:
Valuation difference on available-for-sale securities.........

104,745

58,888Deferred gains or losses on hedges..................................

131

1,687

1, 276

Foreign currency translation adjustment...........................

(72,898)(108,218)(708,306)

Accumulated adjustment for retirement benefits..............

3,867

—

37,582

Total accumulated other comprehensive income.............

35,846(47,642)

348,292

Subscription rights to shares *NOTE 14 .............................

168

84

1,641

Minority interests..............................................................

167,464

151,513

1,627,134

Total net assets¥1,494,357¥1,298,553$14,519,602

Commitments and contingent liabilities *NOTE 15
Total liabilities and net assets.............................................

¥2,874,074¥2,487,635$27,925,327
SUZUKI MOTOR CORPORATION 33

Consolidated Financial Statements

Consolidated Statements of Income and Consolidated Statements of Comprehensive Income(Consolidated Statements of Income)Years ended March 31, 2014 and 2013

Thousands of
US dollars

Millions of yen

SUZUKI MOTOR CORPORATIONAND CONSOLIDATED SUBSIDIARIES

2014

2013

2014

Net sales ...............................................................................

¥2,938,314¥2,578,317$28,549,496

Cost of sales ........................................................................

2,142,754

1,919,218

20,819,610

Gross profit..........................................................................

795,559

659,098

7,729,886

Selling, general and administrative expenses ................

607,812514,534

5,905,681

Operating income...............................................................

187,747

144,564

1,824,205

Other income (expenses):
Interest and dividend income............................................

18,441

19,550179,178

Interest expense.................................................................

(6,158)(5,510)(59,839)

Equity in earnings (losses) of affiliates...............................

(115)

664

(1,119)Other, net.............................................................................

(2,823)(19,864)(27,437)

Income before income taxes..........................................

197,090

139,403

1,914,987

Current.................................................................................

67,21240,405653,058

Deferred..............................................................................

2,387

7,971

23,20069,60048,377676,258

Income taxes: *NOTE 8

Income before minority interests........................................

127,489

91,0261,238,728

Minority interests in income................................................

20,005

10,636

194,381Net income ...........................................................................

¥ 107,484

80,389$ 1,044,346¥

Yen

US dollars

Net income per share:
Primary................................................................................

¥

191.60¥143.31$

1.86

Fully diluted.........................................................................

191.57131.67

1.86

Cash dividends per share ..................................................

24.00

18.00

0.23

The accompanying Notes to Consolidated Financial Statements are an integral part of these statements.

34 SUZUKI MOTOR CORPORATION

Consolidated Financial Statements(Consolidated Statements of Comprehensive Income)Years ended March 31, 2014 and 2013

Thousands of
US dollars

Millions of yen

SUZUKI MOTOR CORPORATIONAND CONSOLIDATED SUBSIDIARIES

2014

2013

Income before minority interests ......................................

¥127,489¥91,026$1,238,728

2014

Other comprehensive income
Valuation difference on available-for-sale securities.........

47,59629,494462,459

Deferred gains or losses on hedges..................................

(1,196)

1,884(11,626)

Foreign currency translation adjustment...........................

27,55551,812

267,739

Share of other comprehensive income of associates
accounted for using equity method...................................

7,504

3,672

72,915

Change in equity.................................................................

—

6,595

—

Total other comprehensive income *NOTE 12.........................

81,45993,459791,488

Comprehensive income .....................................................

208,949

184,485

2,030,216

Comprehensive income attributable to owners of the parent

187,105

168,188

1,817,966

Comprehensive income attributable to minority interests

21,844

16,297212,250

Comprehensive income attributable to:

The accompanying Notes to Consolidated Financial Statements are an integral part of these statements.

SUZUKI MOTOR CORPORATION 35

Consolidated Financial Statements

Consolidated Statements of Changes in Net Assets
Years ended March 31, 2014 and 2013

Millions of yen

SUZUKI MOTORCORPORATIONAND CONSOLIDATEDSUBSIDIARIES
Balance as ofMarch 31, 2012
Dividends from surplus...

Thousandsof sharesof commonstock

Capitalstock

CapitalsurplusRetainedearnings

561,047¥138,014¥144,364¥834,296———(8,976)

Total othercomprehensive income

Subscription
rights toshares¥(81) ¥(128,845)¥—¥124,009——

Treasury
stock

—

—

Minority
interests

Change in equity.........

—

—

—

6,595

—

—

—

—

Net income..................

—

—

—

80,389————Purchase of treasury
stock............................

—

—

—

—

(5)

—

—

—

Net changes of items
other than shareholders’equity............................

—

—

—

—

—

81,20384

27,504561,047¥138,014¥144,364¥912,304¥(86)¥(47,642)¥84¥151,513

Dividends from surplus...

—

—

—

(11,220)

—

—

—

—

Balance as ofMarch 31, 2013
Net income..................

—

—

—

107,484

—

—

—

—

Purchase of treasury
stock............................

—

—

—

—

(5)

—

—

—

Disposal of treasury
stock............................

—

—

(13)

—

35

—

—

—

Transfer of loss on disposal of treasury stock

—

—

13

(13)

—

—

—

—

Net changes of items
other than shareholders’equity ..............................

—

—

—

—

—

83,48883

15,950561,047¥138,014¥144,364 ¥1,008,555¥(57)¥35,846¥168¥167,464

Total othercomprehensive income

Subscription
rights tosharesBalance as ofMarch 31, 2014

Thousands of US dollars
Thousandsof sharesof commonstock

Balance as ofMarch 31, 2013

Capitalstock

CapitalsurplusRetainedearnings

561,047 $1,340,990 $1,402,689

Treasurystock$8,864,214$(843)$(462,908)

Minority
interests$825 $1,472,150

Dividends from surplus...

—

—

—

(109,022)

—

—

—

—

Net income..................

—

—

—

1,044,346

—

—

—

—

Purchase of treasury
stock............................

—

—

—

—

(54)

—

—

—

Disposal of treasury
stock............................

—

—

(128)

—

341

—

—

—

Transfer of loss on disposal of treasury stock

—

—

128

(128)

—

—

—

—

Net changes of items
other than shareholders’equity ..............................

—

—

—

—

—

811,201

815

154,984

561,047 $1,340,990 $1,402,689$9,799,411$(557)$348,292

Balance as ofMarch 31, 2014

The accompanying Notes to Consolidated Financial Statements are an integral part of these statements.

36 SUZUKI MOTOR CORPORATION$1,641 $1,627,134

Consolidated Financial Statements

Consolidated Statements of Cash Flows
Years ended March 31, 2014 and 2013

SUZUKI MOTOR CORPORATIONAND CONSOLIDATED SUBSIDIARIESCash flows from operating activities
Income before income taxes..............................................
Depreciation and amortization...........................................
Impairment loss..................................................................
Increase (decrease) in provision for loss on liquidation ofsubsidiaries and affiliates...................................................
Increase (decrease) in allowance for doubtful accounts
Interest and dividends income...........................................
Interest expenses...............................................................
Foreign exchange losses (gains).......................................
Equity in (earnings) losses of affiliates...............................
Loss (gain) on valuation of securities................................
Loss (gain) on sales of investment securities....................
Loss (gain) on sales of property, plant and equipment....
Decrease (increase) in notes and accounts receivable-trade.
Decrease (increase) in inventories....................................
Increase (decrease) in notes and accounts payable-trade.
Increase (decrease) in accrued expenses.......................
Other, net.............................................................................
SubtotalInterest and dividends income received...........................
Interest expenses paid.......................................................
Income taxes paid..............................................................
Net cash provided by (used in) operating activities
Cash flows from investing activities
Payments into time deposits..............................................
Proceeds from withdrawal of time deposits......................
Purchases of short-term investment securities.................
Proceeds from sales of short-term investment securities.
Purchases of property, plant and equipment....................
Proceeds from sales of property, plant and equipment....
Purchases of investment securities...................................
Proceeds from sales of investment securities...................
Payments of loans receivable............................................
Collection of loans receivable............................................
Other, net.............................................................................
Net cash provided by (used in) investing activities
Cash flows from financing activities
Net increase (decrease) in short-term loans payable.......
Proceeds from long-term loans payable...........................
Repayment of long-term loans payable............................
Redemption of bonds.........................................................
Purchase of treasury stock.................................................
Cash dividends paid..........................................................
Cash dividends paid to minority shareholders..................
Other, net.............................................................................
Net cash provided by (used in) financing activities
Effect of exchange rate changes on cash and cash equivalents
Net increase (decrease) in cash and cash equivalents
Cash and cash equivalents at beginning of period
Cash and cash equivalents at end of period *NOTE 10

Thousands of
US dollars

Millions of yen

2014

2013

2014

¥197,090
117,188
1,029¥139,403
93,680458$1,914,987
1,138,639
10,000(5,521)(699)(18,441)
6,158
6,718
115
44
(17)
(290)
(49,559)(10)
72,664
12,68012,621
351,772
18,999(5,646)(42,209)
322,9155,521
44(19,550)
5,510
670
(664)
3,849
—
200
10,247(3,029)(8,142)
11,608(30,049)
209,759
19,466(5,211)(33,957)
190,057(53,648)(6,798)(179,178)
59,83965,278
1,119
428
(167)
(2,823)(481,530)(101)
706,030
123,207
122,633
3,417,917
184,601(54,861)(410,119)
3,137,537(77,477)
38,842(209,912)
165,156(204,739)
4,421(2,712)623(1,086)555(230)(286,559)(32,908)
41,603(113,726)
64,127(163,929)
3,505(4,002)—(436)
673(5,465)(210,559)(752,797)
377,409(2,039,567)
1,604,705(1,989,302)
42,956(26,356)
6,059(10,556)
5,392(2,235)(2,784,292)

24,691
30,000(38,488)—(5)(11,219)(2,133)(35)
2,809
10,34249,508661,102¥710,611(8,603)
190,482(54,708)(149,975)(5)(8,975)(1,814)(32)(33,632)
4,706(49,427)
710,530¥661,102239,907291,488(373,966)—(54)(109,012)(20,727)(340)
27,295
100,495
481,035
6,423,463$6,904,498

The accompanying Notes to Consolidated Financial Statements are an integral part of these statements.

SUZUKI MOTOR CORPORATION 37

Consolidated Financial Statements

Notes to Consolidated Financial Statements
NOTE 1: Basis of presenting consolidated financial statements

The accompanying consolidated financial statements of Suzuki Motor Corporation (The Company), consolidated Subsidiaries,
and Affilites (The Group) have been prepared on the basis of generally accepted accounting principles and practices in Japan,
and the consolidated financial statements were filed with the Financial Services Agency as required by the Financial Instruments
and Exchange Act of Japan.
The preparation of the consolidated financial statements requires the management to select and adopt accounting standards andmake estimates and assumptions that affect the reported amount of assets and liabilities, revenue and expenses, and the corresponding methods of disclosure.
As such, the management’s estimates are made reasonably based on historical results. But due to the inherent uncertainty involved in making estimates, actual results could differ from these estimates.
For the convenience of readers outside Japan, certain reclassifications and modifications have been made to the original consolidated financial statements.
As permitted, an amount of less than one million yen has been omitted. For the convenience of readers, the consolidated financial
statements, including the opening balance of shareholders’ equity, have been presented in US dollars by translating all Japanese yenamounts on the basis of 102.92 to US$1, the rate of exchange prevailing as of March 31, 2014. Consequently, the totals shown in the
consolidated financial statements (both in yen and in US dollars) do not necessarily agree with the sum of the individual amounts.

NOTE 2: Summary of significant accounting policies(a) Principles of consolidation
The consolidated financial statements for the years ended March 31, 2014 and 2013, include the accounts of The Group. And
the numbers of consolidated subsidiaries are 133 and 135 respectively. All significant inter-company accounts and transactions are eliminated in consolidation. Investments in affiliated companies are accounted for by the equity method.
The difference at the time of acquisition between the cost and underlying net equity of investments in consolidated subsidiaries (goodwill) and in affiliated companies accounted for under the equity method is, as a rule, amortized on a straight-line
basis over a period of five years after appropriate adjustments.
The account settlement date of 28 consolidated subsidiaries is December 31, but Magyar Suzuki Corporation Ltd. and 4 others are consolidated based on the financial statements of provisional account settlement as of March 31. Other 23 subsidiaries are consolidated with the financial statements based on their respective account settlement date.
The account settlement date of other consolidated subsidiaries is the same as the consolidated account settlement date.
(b) Allowance for doubtful accounts
In order to allow for loss from bad debts, estimated uncollectible amount based on actual ratio of bad debt is appropriated as
to general receivable. As for specific receivable with higher default possibility, recoverable amount is estimated respectively
and uncollectible amount is appropriated.
(c) Allowance for investment loss
The differences between the book value and the fair value of securities and investment not quoted at an exchange are determined and appropriated as reserve in order to allow for losses from these investments.
(d) Provision for product warranties
The provision is appropriated into this account based on the warranty agreement and past experience in order to allow for
expenses related to the maintenance service of products sold.
(e) Provision for directors’ bonuses
In order to defray bonuses for directors and company auditors, estimated amount of such bonuses is appropriated.
(f) Provision for loss on liquidation of subsidiaries and affiliates
Reasonably estimated amount is appropriated for anticipated loss caused by liquidation and restructuring of businesses operated by subsidiaries and affiliates.
(g) Provision for directors’ retirement benefits
The amount to be paid at the end of fiscal year had been posted pursuant to The Company’s regulations on the retirement
allowance of Directors and Company Auditors. However, The Company’s retirement benefit system for them was abolishedat the closure of the Ordinary General Meeting of Shareholders held on June 2006. And it was approved at Ordinary General
Meeting of Shareholders that reappointed Directors and Company Auditors were paid their retirement benefit at the time of
their retirement, based on their years of service. Estimated amount of such retirement benefits is appropriated at the end of thecurrent consolidated fiscal year. Furthermore, for the Directors and Company Auditors of some consolidated subsidiaries, theamount to be paid at the end of the year was posted pursuant to their regulation on the retirement allowance of Directors andCompany Auditors.

38 SUZUKI MOTOR CORPORATION

Consolidated Financial Statements(h) Provision for disaster
Reasonably estimated amount is appropriated for anticipated loss mainly caused by relocation of plants and facilities locatedin the Ryuyo Region in Iwata City, Shizuoka Prefecture where massive tsunami damages caused by Tokai and Tonankai Earthquake are anticipated.
(i) Provision for product liabilities
With regards to the products exported to North American market, to prepare for the payment of compensation, not covered
by “Product Liability Insurance” the anticipated amount to be borne by The Group is computed and provided on the basis ofactual results in the past.
(j) Provision for recycling expenses
The provision is appropriated for an estimated expense related to the recycle of products of The Company based on actual
sales.
(k) Short-term investment securities and Investment securities
The Company and its subsidiaries hold securities of listed companies, which have a risk of price fluctuations, and non-listedcompanies whose stock prices are difficult to be evaluated.
If we judge the decline in investment value is not temporary, we recognize revaluation loss based on the reasonable standard.
If the stock market falls, we may incur significant loss on valuation of securities.
Securities have to be classified into four categories: trading securities; held-to-maturity debt securities; investments of The
Company in equity securities issued by consolidated subsidiaries and affiliates; and available-for-sale securities.
According to this classification, securities held by The Company and its subsidiaries are available-for-sale securities. Available-for-sale securities for which market quotations are available are stated at market value method based on the market
values as of the consolidated account settlement date (The evaluation differences shall be reported as other comprehensive
income, and sales costs shall be calculated mainly by the moving average method).
Available-for-sale securities for which market quotations are unavailable are stated at cost by a moving average method.
(l) Hedge accounting
Gains or losses arising from changes in fair value of the derivatives designated as “hedging instruments” are deferred
until the gains and losses on the hedged items or transactions are recognized.
If foreign currency forward contracts meet certain criteria, exceptional hedge accounting is applied and these contracts
are handled together with hedged items.
The derivatives designated as hedging instruments by The Company and its subsidiaries are principally forward exchange contracts, interest swaps and cross currency interest rate swaps. The related hedged items are foreign currency
denominated transaction and borrowings.
The Company and its subsidiaries have a policy to utilize the above hedging instruments in order to reduce our exposure to the risk of interest rate and foreign exchange fluctuation. Thus, our purchases of the hedging instruments arelimited to, at maximum, the amounts of the hedged items. The Company and its subsidiaries evaluate effectiveness of its
hedging activities by reference to the accumulated gains or losses on the hedging instruments and the related hedged
items from the commencement of the hedges.
(m) Foreign currency translation
All monetary assets and liabilities denominated in foreign currencies, whether long-term or short-term are translated into Japanese yenat the exchange rates prevailing at the balance sheet date. Resulting gains and losses are included in net income or loss for the period.
Assets and liabilities of the foreign subsidiaries and affiliates are translated into Japanese yen at the exchange rates prevailing at thebalance sheet date.
The components of net assets are translated into Japanese yen at their historical rates. Profit and loss accounts for the fiscal year aretranslated into Japanese yen using the average exchange rate during the fiscal year. Differences in yen amounts arising from the use ofdifferent rates are presented as “foreign currency translation adjustments” and “minority interests” in the net assets.
(n) Inventories
Stated at cost mainly determined by the gross average method (Figures on the consolidated balance sheet are measured by
the method of book devaluation based on the reduction of profitability).

SUZUKI MOTOR CORPORATION 39

Consolidated Financial Statements(o) Method of depreciation and amortization of significant depreciable assets
a. Property, plant and equipment (excluding lease assets)	����������������� Mainly declining balance method for The Company and domestic subsidiaries and mainly straight-line
method for foreign subsidiaries.
Main durable years are as follows:
3 to 75 years
Buildings and structures		
Machinery, equipment and vehicles 3 to 15 years
b. Intangible assets (excluding lease assets)	����������������� Straight-line method
c. Lease assets
Finance lease which transfer ownership	����������������� Straight-line method with the lease period as the durable years. As to lease assets with guaranteed residual
value under lease agreement, remaining value is the guaranteed residual value. And as to other lease assets, remaining value would be zero.
(p) Income taxes
The provision for income taxes is computed based on the income before income taxes included in the consolidated statements of income. The assets and liability approach is adopted to recognize deferred tax assets and liabilities for the expected
future tax consequences of temporary differences between the carrying amounts and the tax bases of assets and liabilities.
In making a valuation for the possibility of collection of deferred tax assets, The Company and its subsidiaries estimate their future taxable income reasonably. If the estimated amount of future taxable income decrease, deferred tax assets may decrease
and income taxes expenses may be posted.
Consolidated tax payment has been applied to The Company and its domestic wholly owned subsidiaries since the year
ended March 31, 2012.
(q) Retirement benefits
With regard to calculation of retirement benefit obligations, straight-line basis method was used to attribute expected benefit toperiod up to the end of this fiscal year. With regard to past service costs, they are treated as expense on a straight-line basis
over the certain years within the period of average length of employees’ remaining service years at the time when it occurs.
As for the actuarial gain or loss, the amounts, prorated on a straight-line basis over the certain years within the period of average length of employees’ remaining service years in each year in which the differences occur, are respectively treated as
expenses from the next term of the year in which they arise.
Retirement benefit cost and retirement benefit obligation are calculated based on the actuarial assumptions, which include
discount rate, assumed return of investment ratio, revaluation ratio, salary rise ratio, retirement ratio and mortality ratio. Discount rate is decided on the basis of yield on low-risk, long-term bonds, and assumed return of investment ratio is decided
based on the investment policies of pension assets of each pension system etc.
Decreased yield on long-term bond leads to a decrease in discount rate and has an adverse influence on the calculation ofretirement benefit cost. However, the pension system adopted by The Company has a cash balance type plan, and thus therevaluation ratio, which is one of the base ratios, can reduce adverse effects caused by a decrease in the discount rate.
If the investment yield of pension assets is less than the assumed return of investment ratio, it will have an adverse effect on
the calculation of retirement benefit cost. But by focusing on low-risk investments, this influence should be minimal in the caseof the pension fund systems of The Company and its subsidiaries.
(r) Net income per sharePrimary net income per share is computed based on the weighted average number of shares issued during the respective
years. Fully diluted net income per share is computed assuming that all stock options are exercised. Cash dividends per
share are the amounts applicable to the respective periods including dividends to be paid after the end of the period.
(s) Cash and cash equivalents
All highly liquid investments with original maturities of three months or less when purchased are considered cash equivalents.
(t) Reclassification
Certain reclassifications of previously reported amounts are made to conform to current classifications.

40 SUZUKI MOTOR CORPORATION

Consolidated Financial Statements

NOTE 3: Changes in accounting principles and accounting estimates(a) Application of accounting standard for retirement benefits
Accounting Standard for Retirement Benefits (Accounting Standards Board of Japan (ASBJ) Statement No.26 of 17 May 2012)
and Guidance on Accounting Standard for Retirement Benefits (ASBJ Guidance No.25 of 17 May 2012) has been applied
since the end of this fiscal year. (Except body text stipulated in article 35 of the Accounting Standard for Retirement Benefits
and article 67 of Guidance on Accounting Standard for Retirement Benefits) Pension assets are deducted from retirement
benefit obligation and the net amount is recognized as liability for retirement benefits, and previously unrecognized actuarial
gains or losses and past service costs are recognized as liabilities for retirement benefits.
In accordance with transitional accounting as stipulated in article 37 of the Accounting Standard for Retirement Benefits, theeffect of the change in accounting policies arising from initial application is recognized in accumulated adjustments for retirement benefit within the accumulated other comprehensive income.
As a result, ¥15,862 million of assets for retirement benefits and ¥36,918 million of liabilities for retirement benefits were recognized,
and Accumulated Other Comprehensive Income increased by ¥3,867 million, and minority interests decreased by ¥6 million.
(b) New accounting standards not yet applied
Accounting Standard for Retirement Benefits (Accounting Standards Board of Japan (ASBJ) Statement No.26 of 17 May 2012)
and Guidance on Accounting Standard for Retirement Benefits (ASBJ Guidance No.25 of 17 May 2012)
a. Overview
The accounting methods for unrecognized actuarial gains or losses and past service costs as well as the calculation
method for retirement benefit obligations and service costs and the enhancement of disclosure have been revised.
b. Application date
The revision of the calculation method for retirement benefit obligations and service costs will be applied from the beginningof the consolidated fiscal year on or after April 1, 2014. Since transitional handling has been specified in mentioned above accounting standard, the standard will not be applied retrospectively to the consolidated financial statements of prior periods.
c. Effect of applying accounting standard
The effect on the consolidated financial statements is being reviewed as of March 31, 2014.

NOTE 4: Financial Instruments(a) Matters for conditions of financial instrumentsa. Policy for financial instruments
As for the fund management, The Group uses short-term deposits and short-term investment securities, and as for thefund-raising, The Group uses borrowings from financial institutions such as banks and issuance of bonds. The Group uses
derivatives to hedge and manage the risks of interest-rates and exchange-rates fluctuations, and does not use derivatives
for speculation purposes.
b. Type of financial instruments, risks and risk management
With respect to customers’ credit risks from operating receivables such as notes and accounts receivables-trade, in orderto mitigate the risks, The Group identifies credit standing of major counterparties and manages due date and receivablebalance of each counterparty in line with our rules and regulations for credit control. The Group hedges risks of exchangerate fluctuations from operating receivables denominated in foreign currency by forward exchange contract in principle.
Investment securities are mainly stocks of companies with which The Group has business relationship, and as for listed
stocks, The Group quarterly identifies those fair values and reports them to the Board of Directors.
Most of accounts payable-trade are due within one year.
Applications of borrowings are fund for operating capital (mainly short-term) and capital expenditures (long-term), and The Group
uses interest-rate swaps for the interest rate risks of some long-term borrowings to fix interest expenses. Also, The Group uses
cross currency interest rate swaps for fluctuation of exchange rate in repayment of principle and interest rate risk to fix cash flow.
Objectives of derivative transactions are foreign currency forward contracts to hedge the risks of exchange-rate fluctuations
related to receivables denominated in foreign currencies, interest rate swaps to hedge the risks of fluctuations in interest rate
related to borrowings, and cross currency interest rate swaps to hedge the risk of fluctuation in exchange rate and interest rate
related to borrowings. The Group executes and manages derivatives within the actual demand in line with our rules and regulations which set out the authority to trade. In addition, in using derivatives, The Group deals with financial institutions whichhave high credit grade in order to reduce credit risks. With respect to hedge accounting, also please see Note 2 (l).
In addition, each of The Group company manages liquidity risk related to accounts payable and borrowings by making afinancial plan.
c. Supplement to fair values of financial instruments
Fair values of financial instruments include values based on quoted prices in active markets and values assessed by rational valuation techniques in case quoted prices are not available. Because the rational valuation techniques include variablefactors, the results of valuation may differ when different assumption is applied.

SUZUKI MOTOR CORPORATION 41

Consolidated Financial Statements(b) Matters for fair values of the financial instruments
Carrying amounts in the consolidated balance sheet, fair values and difference as of March 31, 2014 and 2013 were as follows. Financial instruments whose fair value cannot be reliably determined are not included in the below table.
Millions of yen
2013

2014

Cash and deposits
Notes and accounts receivables-trade
Short-term investment securities andInvestment securities
Available-for-sale securities
Investments in affiliates
Total of assets
Accounts payable-trade
Short-term loans payable
Current portion of long-term loans payable
Accrued expenses
Long-term loans payable
Total of liabilities
Derivatives
Hedge accounting is applied
Hedge accounting is not applied

Carrying
amount¥358,851
310,694—
527

Carrying
amount¥279,009
253,237

Fair value

Difference¥358,851
311,221¥¥279,009
253,225¥—(12)

863,514252
1,533,838
433,819
197,413
38,779171,274
207,874
1,049,160

—
(261)
265
—
—
(31)
—
1,291
1,260

738,687513
1,271,448
350,472
171,790
35,299155,519
220,392
933,474

738,687357
1,271,279
350,472
171,79035,313
155,519
218,067
931,164

—
(155)
(168)
—
—
(14)
—
2,324
2,310

51
1,160

51
1,160

—
—

2,596
(1,845)2,596(1,845)——2014
Carrying
amount$3,486,699
3,018,792$3,486,699
3,023,913

8,390,152
4,989
14,900,634
4,215,115
1,918,122
376,487
1,664,151
2,032,319
10,206,195

8,390,152
2,448
14,903,215
4,215,115
1,918,122
376,791
1,664,151
2,019,765
10,193,946—(2,541)
2,580
—
—
(304)
—
12,553
12,249504
11,280504
11,280——Fair value

Difference
$

—
5,121

(*): Assets or liabilities derived from derivatives are shown on a net basis and net liabilities are shown as ( ).

42 SUZUKI MOTOR CORPORATION

Difference

863,514513
1,533,573
433,819
197,413
38,748171,274
209,166
1,050,421

Thousands of US dollars

Cash and deposits
Notes and accounts receivables-trade
Short-term investment securities andInvestment securities
Available-for-sale securities
Investments in affiliates
Total of assets
Accounts payable-trade
Short-term loans payable
Current portion of long-term loans payable
Accrued expenses
Long-term loans payable
Total of liabilities
Derivatives
Hedge accounting is applied
Hedge accounting is not applied

Fair value

Consolidated Financial Statements*1. Matters for methods used to measure fair values of financial instruments
Assets:a. Cash and deposits
Because fair values of deposits are approximately equal to the book values, book values are used as fair values.
b. Notes and accounts receivables-trade
Fair values of sales finance receivables are calculated on the discount method by the expected rate applied to newloan contract, on each receivable classified into a certain term.
Notes and accounts receivables-trade except sales finance are settled in short term and those fair values are approximately equal to the book values. So book values are used as fair values.
c. Short-term investment securities and Investment securities
As to these fair values, fair values of stock are prices of exchanges. As to negotiable certificate of deposit and othertypes of securities, book values are used as fair values because they are settled in short term and those fair values
are approximately equal to the book values.
Liabilities:
a. Accounts payable-trade, Short-term loans payable and Accrued expenses
Because these are settled in short term and those fair values are approximately equal to the book values, such bookvalues are used.
b. Current portion of long-term loans payable and Long-term loans payable
These fair values are measured by discounting based on the estimated interest rates at which similar new loans withsame amount of principal and interest could have been borrowed.
Derivatives:
Please refer to Note 4 (d) Derivative transactions.
*2. Financial instruments whose fair value cannot be reliably determined as of March 31, 2014 and 2013
Thousands of
US dollars

Millions of yen

2014

2013

2014

Unlisted stock other than stocks of affiliates¥18,747¥18,876¥182,151

Unlisted stock of affiliates..............................

17,077

16,569165,928

Others.............................................................

557

1,295

5,416

Available-for-sale securitiesThose fair values cannot be reliably measured because market values are unavailable and future cash flows cannot be
estimated. So they are not included in “short-term investment securities and investment securities”.

SUZUKI MOTOR CORPORATION 43

Consolidated Financial Statements*3. The amounts to be redeemed after the account settlement date of monetary receivables and available-for-sale securities
Millions of yen
2013

2014
Within1 yearCash and deposits
Notes andaccounts receivables- trade
Securities and investment
securities with maturities
Total

Over 1 year,
Within5 years

Over 5 years,
Within
10 years—¥ —¥ 279,009

249,336

60,831

526

612,489¥1,220,677—¥60,831—¥526¥ 358,851¥

Thousands of US dollars
2014
Within1 yearCash and deposits
Notes andaccounts receivables- trade
Securities and i nvestment
securities with maturities
Total

44 SUZUKI MOTOR CORPORATION

Within1 year

$ 3,486,699

Over 1 year,
Within5 years$—

Over 5 years,
Within
10 years$—

2,422,623

519,052

5,116

5,951,125$11,860,449—$519,052—$5,116

Over 1 year,
Within5 years¥

Over 5 years,
Within
10 years—¥ —203,859

48,822555

559,609¥1,042,478—¥48,822—¥555

Consolidated Financial Statements(c) Securities
a. Available-for-sale securities with market value as of March 31, 2014 and 2013
Millions of yen

2014
Acquisition
cost

2013

Carrying
AmountDifference

Acquisition
cost

Carrying
AmountDifference¥ 158,148¥ 86,883¥176,008¥ 89,124

Securities for which the carrying amount exceeds the acquisition costs
Stocks.....................................................

¥ 91,865¥250,014

Bonds.....................................................

—

—

—

—

—

—

Others.....................................................

175,441

181,767

6,325

144,648

147,424

2,776

Sub-Total¥267,307¥431,782¥ 164,474¥231,531¥323,432¥ 91,901¥¥¥

Securities for which the carrying amount does not exceed the acquisition costs
Stocks.....................................................

¥

1,928

¥

1,567

¥

(361)

5,158

4,356

(801)

Bonds.....................................................

5,000

5,000

—

—

—

—

Others.....................................................

425,164

425,164—

410,898

410,898—

Sub-Total¥432,093¥431,732¥(361)¥416,056¥415,255¥

Total¥699,401¥863,514¥164,113¥647,588¥738,687¥91,099(801)

Thousands of US dollars

2014
Acquisition
cost

Carrying
AmountDifference

Securities for which the carrying amount exceeds the acquisition costs
Stocks.....................................................

$ 892,593$2,429,211$1,536,618

Bonds.....................................................

—

—

—

Others.....................................................

1,704,643

1,766,106

61,462

Sub-Total$2,597,237$4,195,318$1,598,080

Securities for which the carrying amount does not exceed the acquisition costs
Stocks.....................................................
Bonds.....................................................

$

18,739$48,581

15,231$(3,507)

48,581Others.....................................................

4,131,021

4,131,021

Sub-Total$4,198,342$4,194,834

Total$ 6,795,579 $ 8,390,152——$(3,507)$1,594,573

b. Available-for-sale securities sold during 2014 and 2013
Thousands of
US dollars

Millions of yen

2013

2014

2014

Amounts sold......................................................................

¥165,779¥64,127$1,610,764

Gains on sales of available-for-sale securities..................

17

—

167

Loss on sales of available-for-sale securities ...................

0

—

0

SUZUKI MOTOR CORPORATION 45

Consolidated Financial Statements(d) Derivative transactions
The contract/notional amounts of derivatives which are shown in the below table do not represent The Group’s exposure tomarket risk. As to fair values of derivatives which are shown in the below tables, commodity transactions are valued based onmarket price. Other transactions are valued based on the price offered by financial institutions.
a. Derivative transactions to which hedge accounting is not applied as of March 31, 2014 and 2013
Millions of yen

Currency related transactions (non-market transactions)
2013

2014
Type
Foreign currency
forward contracts
Selling
USD
Buying
USD
JPY
Total

Contract/
notional
amountAmountdue after
one year¥ ——17,687
11,405¥29,093———

Fair value

¥

—

Gain
(loss)

Contract/
notional
amountAmountdue after
one year¥—¥ 2,323

—

¥

(142)
(262)
¥(404)

17,35638,808¥58,488———(6)(2,772)¥(2,705)

(142)
(262)
¥(404)

Fair value

73

Gain
(loss)¥

73(6)(2,772)¥(2,705)

Thousands of US dollars
2014
Type
Foreign currency
forward contracts
Buying
USD
JPY
Total

Contract/
notional
amountAmountdue after
one year

Fair value

Gain(loss)$171,861
110,819$282,681———$(1,384)(2,547)$(3,932)$(1,384)(2,547)$(3,932)

Cross currency interest rate swap transactions (non-market transactions)Type
Pay fixed
receive floating
Pay PHP
receive USD
Pay floatingreceive floating
Pay INR
receive USD
Total

Contract/
notional
amount2014
Amountdue after
Fair value
one year¥1,200¥7,153¥8,353

4,769¥4,769

¥

—

84

1,536
¥1,620Gain(loss)

Contract/
notional
amount

¥

¥

84

1,536
¥1,620Thousands of US dollars
2014
Type
Pay fixed
receive floating
Pay PHP
receive USD
Pay floatingreceive floating
Pay INR
receive USD
Total
46 SUZUKI MOTOR CORPORATION

Contract/
notional
amountAmountdue after
one year$11,659$

69,510$81,169

46,340$46,340—

Fair value$

822

14,927$15,750

Millions of yen

Gain(loss)$

822

14,927$15,750—

6,537¥6,5372013
Amountdue after
Fair value
one year¥Gain(loss)

—

¥ —

¥ —

6,537
¥6,537

762
¥762

762
¥762

Consolidated Financial Statements

Commodity-related transactions (market transactions)

Millions of yen
2013

2014
Type
Commodity
Futures contract
Buying
Total

Contract/
notional
amountAmountdue after
one year

Fair value¥4,545¥4,545

—
—

¥(55)
¥(55)

Gain
(loss)

¥(55)
¥(55)

Contract/
notional
amountAmountdue after
one year

Fair value¥7,592¥7,592

—
—

¥97
¥97

Gain
(loss)¥97¥97

Thousands of US dollars
2014
Type

Contract/
notional
amountAmountdue after
one year

Fair value

Gain(loss)

Commodity
Futures contract$44,164$(537)$(537)
Buying—Total$44,164—$(537)$(537)
Earthquake-related transactions
Fair values for derivative contract relating to earthquakes were not measured due to characteristic of instruments. So they are
not accounted for at fair values.
b. Derivative transactions to which hedge accounting is applied as of March 31, 2014 and 2013
Currency related transactions
Principle hedged item: Account receivable-trade, account payable-trade and long-term debt

Millions of yen

2013
2014
Contract/
Amount due
Contract/
Amount due
Fair value
notional amount after one year
notional amount after one year
Foreign currency forward contracts (Principle hedge accounting)Selling
USD¥22,369—¥ 3,847—¥ (35)
EUR
18,902
—
1,367
—
(7)
CAD
1,583
—
80
—
0
AUD
2,941
—
3,265
—
(95)
NZD
515
—
1,256
—
(40)
GBP
522
—
221
—
(1)
MXN
832
—
827
—
(6)
Buying
USD
1,498
—
70
—
2
EUR
2,304
—
7,225
—
(3)
JPY
7,200
—
—
—
—
Currency option transactions (Principle hedge accounting)
Buying
JPY
2,578
—
—
—
—
Foreign currency forward contracts (Exceptional hedge accounting)Selling
USD
5,654
—
616
—
*
EUR
6,831
—
8,947
—
*
CAD
1,279
—
15
—
*
AUD
3,455
—
2,039
—
*
NZD
563
—
350
—
*
GBP
1,173
—
301
—
*
MXN
1,149
—
691
—
*
CNY
295
—
56
—
*
Buying
USD
383
—
—
—
*
EUR
477
—
679
—
*
JPY
412
—
—
—
*
Total
¥82,925—¥31,862—¥(188)Type

Fair value

¥

745
(130)
(30)
(151)
(14)
(49)
(25)

(46)
(19)
(1,158)

(356)

*
*
*
*
*
*
*
*
*
*
*
¥(1,237)SUZUKI MOTOR CORPORATION 47

Consolidated Financial Statements

Thousands of US dollars
2014
Type
Contract/
Amount due
Fair value
notional amount after one year
Foreign currency forward contracts (Principal hedge accounting)Selling
USD$ 37,378—$ (348)EUR
13,285
—
(75)
CAD
786
—
4
AUD
31,732—(927)
NZD
12,207
—
(396)
GBP
2,152
—
(10)
MXN
8,043
—
(63)
Buying
USD
689
—
27
EUR
70,203—(37)
Foreign currency forward contracts (Exceptional hedge accounting)Selling
USD
5,985
—
*
EUR
86,940
—
*
CAD
154
—
*
AUD
19,817
—
*
NZD
3,406
—
*
GBP
2,932
—
*
MXN
6,722
—
*
CNY
545
—
*
Buying
EUR
6,604
—
*
Total
$309,588—$(1,827)* Because these foreign currency forward contracts are handled together with hedged items, their fair values are included in that of hedged items.

48 SUZUKI MOTOR CORPORATION

Consolidated Financial Statements

Cross currency interest rate swap transactions
Principal hedged item: long-term debt
2014
Type
Contract/
Amount due
notional amount after one year
Principle hedge accounting
Pay fixed
receive floating
Pay JPY
receive USD¥121,243¥121,243
Pay fixed
receive floating
Pay IDR
receive USD
3,782
2,319
Pay fixed
receive floating
Pay THB
receive USD
12,94012,940Total¥137,965¥136,502

Millions of yen
2013
Contract/
Amount due
notional amount after one year

Fair value

Fair value¥ (73)¥121,000¥121,000¥3,910

2

1,896

675

(35)

311
¥240

—
¥122,896—¥121,675—¥3,875

Thousands of US dollars
2014
Type
Contract/
Amount due
notional amount after one year
Principle hedge accounting
Pay fixed
receive floating$1,178,031$1,178,031
Pay JPY
receive USD
Pay fixed
receive floating
36,753
22,535
Pay IDR
receive USD
Pay fixed
receive floating
125,730
125,730
Pay THB
receive USD
Total$1,340,515$1,326,298

Fair value$ (718)26

3,024$2,332

Commodity transactions
Principal hedged item: raw materials and supplies
2013
2014
Contract/
Amount due
Contract/
Amount due
Fair value
notional amount after one year
notional amount after one year
Commodity futures contract (Principle hedge accounting)
Buying
¥536
—
¥—
—
¥—
Total
¥536
—
¥—
—
¥—
Type

Millions of yen
Fair value
¥(41)
¥(41)

SUZUKI MOTOR CORPORATION 49

Consolidated Financial Statements

NOTE 5: Short-term borrowings and long-term debt

Short-term borrowings as of March 31, 2014 and 2013 were as follows. The annual interest rates of short-term borrowings as of March 31, 2014
were from 0.24 percent to 12.25 percent.
Thousands of
US dollars

Millions of yen

2013

2014

2014

Short-term loans payable and current portion of Long-termloans payable
Secured...............................................................................

¥

—

¥

—

$

—

Unsecured..........................................................................

236,161

207,0902,294,609

Lease obligations due within one year..................................

46

27

452

¥236,207¥207,118$2,295,061

Long-term debt as of March 31, 2014 and 2013 were as follows:
Thousands of
US dollars

Millions of yen

2014

2013

Secured...............................................................................

¥

¥

2014

Long-term loans payable maturing through 2019
236

307

$

2,293

Unsecured..........................................................................

208,930

220,084

Lease obligations due more than one year...........................

72

21

702

Other interest-bearing debts (Long-term guarantee deposited)

13,655

12,716132,683¥222,894¥233,130$2,165,705

2,030,025

As is customary in Japan, both short-term and long-term bank loans are subject to general agreements which provide that the banks
may, under certain circumstances, request additional security for those loans, and may treat any security furnished to the banks, as wellas cash deposited with them, as security for all present and future indebtedness.

50 SUZUKI MOTOR CORPORATION

Consolidated Financial Statements

The aggregate annual maturities of long-term debt, excluding other interest-bearing debt, outstanding as of March 31, 2014 were as follows:
Millions of yen

Thousands of
US dollars

2016........................................................................................

¥ 95,383$ 926,775

2017........................................................................................

36,375353,4312018........................................................................................

77,475752,777

2019........................................................................................

3

33

Year ending March 31

Thereafter................................................................................

0

2¥209,238$2,033,021

Millions of yen

Thousands of
US dollars¥ 793$ 7,712

Assets pledged as collateral as of March 31, 2014:

Property, plant and equipment..............................................
Other intangible assets..........................................................

319

3,107

¥1,113$10,820

Millions of yen

Thousands of
US dollars¥236$2,293

Secured liabilities as of March 31, 2014:

Long-term loans payable.......................................................
Others (noncurrent liabilities).................................................

529

5,144

¥765

$7,438NOTE 6: Loan commitment
The Company has the commitment line contract with five banks for effective financing. The outstanding balance of this contract as ofMarch 31, 2014 and 2013 were as follows:
Thousands of
US dollars

Millions of yen

2013

2014

2014

Commitment line contract total..............................................

¥200,000¥200,000$1,943,256

Actual loan balance................................................................

—

—

—

¥200,000¥200,000$1,943,256

VarianceSUZUKI MOTOR CORPORATION 51

Consolidated Financial Statements

NOTE 7: Retirement and severance benefit(Year ended March 31, 2013)(a) Outline of adopted retirement benefit systems
As for The Company, cash balance corporate pension plan and lump-sum retirement benefit plan are established. And as for someof consolidated subsidiaries, defined benefit corporate pension plan and lump-sum retirement benefit plan are established.
(b) Component of retirement benefit obligation as of March 31, 2013
a. Retirement benefit obligation

Millions of yen¥(108,739)

b. Pension assets

83,842c. Unfunded retirement benefit obligation (a+b)¥ (24,897)

d. Unrecognized difference by an actuarial calculation(810)

e. Unrecognized past service cost (decrease of liabilities)(4,063)f. Net amount in consolidated balance sheet (c+d+e)(29,771)

g Prepaid pension cost

8,131

h. Provision for retirement benefits (f-g)¥ (37,903)

Remarks: 1) The premium retirement allowance paid on a temporary basis is not included.
2) Some of subsidiaries adopt simplified methods for the calculation of retirement benefits.
(c) Component of retirement benefit cost for year ended March 31, 2013

Millions of yen

a. Service cost

¥5,214b. Interest cost

2,101c. Assumed return on investment(699)

d. Amortized amount of actuarial difference

1,497

e. Amortized amount of past service cost(734)

f. Retirement benefit cost (a+b+c+d+e)¥7,379Remarks: “a. Service cost” includes retirement benefits cost of some of subsidiaries caluculated by simplified methods.
(d) Items related to the calculation standard for the retirement benefit obligationa. Allocation method of the estimatedamount of retirement benefits: Straight-line basis

b. Discount rate

: Mainly 2.00%

c. Reassessment rate

: 1.50%d. Assumed return of investment ratio: Mainly 0.77%

e. Number of years for amortization: Mainly 15 yearsof past service cost		 To be amortized by straight-line method with		 certain term within the employees’ average remaining
		 service years at the time when the difference was caused.
f. Number of years for amortization: Mainly 15 yearsof actuarial difference		 To be amortized from the next fiscal year
		 by straight-line method with certain term within the		 employees’ average remaining service years at the time			 when the difference was caused.

52 SUZUKI MOTOR CORPORATION

Consolidated Financial Statements(Year ended March 31, 2014)
1. Outline of adopted retirement benefit systems
As for The Company, cash balance corporate pension plan and lump-sum retirement benefit plan are established. And as forsome of consolidated subsidiaries, defined benefit corporate pension plan and lump-sum retirement benefit plan are established. As for some foreign consolidated subsidiaries, defined contribution plan are established.
Some consolidated subsidiaries adopt simplified methods for the calculation of retirement benefits.
2. Defined benefit plan(a) Reconciliation of retirement benefit obligation from the opening balance to the closing balance
Millions of yen

Opening balance of retirement benefit obligation

Thousands of
US dollars¥108,739$1,056,548

Service cost

6,024

58,538Interest cost

2,199

21,373

Actuarial differences arised in current fiscal year
Retirement allowance paid

(611)

(5,940)(4,940)(48,003)

Past service cost arised in current fiscal year

159

1,551

Others(475)(4,623)¥111,096$1,079,445

Closing balance of retirement benefit obligation(b) Reconciliation of pension assets from the opening balance to the closing balance
Millions of yen

Thousands of
US dollars

Opening balance of pension assets¥83,842$814,639

Expected return on pension assets

825

8,022

Actuarial differences arised in current fiscal year

808

7,851

Contribution from employers

8,028

78,002Retirement allowance paid

(3,512)(34,127)48

468¥90,040$874,856

OthersClosing balance of pension assets(c) Reconciliation between closing balance of retirement benefit obligation and pension assets and net amount of liability/asset
for retirement benefits recognized in consolidated balance sheet
Millions of yen

Thousands of
US dollars

Defined benefit obligation of funded severance plan

¥82,668$803,232

Plan asset(90,040)(874,856)(7,371)(71,623)

Defined benefit obligation of unfunded severance plan

28,427276,212

Net amount of liability and asset for retirement benefits
recognized in consolidated balance sheet¥21,056$204,589

Liability for retirement benefits¥36,918$358,712

Asset for retirement benefits(15,862)(154,123)

Net amount of liability and asset for retirement benefits
recognized in consolidated balance sheet¥21,056$204,589

SUZUKI MOTOR CORPORATION 53

Consolidated Financial Statements(d) Breakdown of retirement benefit expenses
Millions of yen

Thousands of
US dollars

Service cost

¥6,024$58,538

Interest cost

2,199

21,373

Expected return on plan assets(825)(8,022)

Recognition of actuarial gain and losses

527

5,122

Amortization of past service cost

(636)

(6,182)Others(656)(6,382)¥6,633$64,448

Total amount of retirement benefit expenses for defined
benefit plans(e) Accumulated adjustment for retirement benefit
Breakdown of accumulated adjustment for retirement benefit recognized were as follows:
Millions of yen

Unrecognized past service cost

¥3,276

Thousands of
US dollars$31,837

Unrecognized actuarial gain and losses

2,742

26,642

Total¥6,018$58,480(f) Plan assets
a. Major breakdown of pension assets
Portion of major components to total pension assets were as follows:
Debt securities

51.1%

General account of life insurance companies

38.0%

Others

10.9%

Total

100.0%

b. Method to determine long-term expected return on plan assets
Expected return on pension assets were determined by considering the current and anticipated future portfolio of pension
assets and current and anticipated future long-term performance of various asset classes that comprise pension assets.
(g) Actuarial assumptions
Discount rate

2.00%

Expected long-term return on pension assets

0.82%

3. Defined contribution plan
Contribution to defined contribution plan by The Company and consolidated subsidiaries is 216 million yen(2,104 thousand US dollars).

54 SUZUKI MOTOR CORPORATION

Consolidated Financial Statements

NOTE 8: Income taxes
Breakdown of deferred tax assets and deferred tax liabilities by their main occurrence causes were as follows:
Thousands of
US dollars

Millions of yen

2014

2013

2014

Excess-depreciation and Impairment loss........................

¥ 59,105¥ 68,083$ 574,283

Various reserves..................................................................

39,54841,433384,268

Unrealized profits elimination.............................................

20,876

18,725

202,839

Loss on valuation of securities...........................................

12,254

12,648

119,071

Deferred tax assets

Deferred assets and others................................................

3,367

3,154

32,723

Others..................................................................................

82,757

76,845804,095

Gross deferred tax assets total........................................

217,910

220,892

2,117,283

Valuation allowance............................................................

(54,930)(48,183)(533,715)

Deferred tax assets total..................................................

¥162,980¥172,708$1,583,567

Valuation difference on available-for-sale securities.........

¥(56,219)¥ (30,468)$(546,247)

Variance from the complete market value method of
consolidated subsidiaries..................................................

(5,243)(5,167)(50,948)

Reserve for advanced depreciation of noncurrent assets....

(3,603)(3,555)(35,012)

Others..................................................................................

(2,071)(4,140)(20,131)

Deferred tax liabilities

Deferred tax liabilities total...............................................

(67,138)(43,332)(652,340)

Net amounts of deferred tax assets...................................

¥ 95,841¥129,376$ 931,226

The differences between the statutory tax rate and the effective tax rate were summarized as follows:

Statutory tax rate.....................................................................

2014

2013

37.2%

37.2%

Effect of change of tax rate................................................

3.1%

2.7%

Tax credit.............................................................................

(3.3%)(5.9%)Tax rate difference (consolidated overseas subsidiaries).

(2.0%)—%

Others..................................................................................

0.3%

0.7%

Effective tax rate.....................................................................

35.3%

34.7%

SUZUKI MOTOR CORPORATION 55

Consolidated Financial Statements

NOTE 9: Research and development costs
Research and development costs included in selling, general and administrative expenses, for the years ended March 31, 2014 and2013 were as follows:
Thousands of
US dollars

Millions of yen

Research and development costs.........................................

2014

2013

2014

¥127,090¥119,269$1,234,843

NOTE 10: Cash and cash equivalents
Cash and cash equivalents as of March 31, 2014 and 2013 were as follows:
Thousands of
US dollars

Millions of yen

2014

2013

2014

Cash and deposits.............................................................

¥358,851¥279,009$3,486,699

Short-term investment securities........................................

612,489

559,609

5,951,125

Time deposits with maturities of over three months..........

(73,370)(34,845)(712,886)

Bonds etc. with redemption period of over three months.

(187,359)(142,670)(1,820,440)¥710,611¥661,102$6,904,498

NOTE 11: Net assets
The Companies Act of Japan requires that at least 50% of the contribution of new shares be included in capital stock. The portion to berecorded as capital stock is determined by resolution of the meeting of the Board of Directors. Proceeds in excess of the capital stock
should be credited to “legal capital surplus”.
The Companies Act provides that an amount equivalent to 10% of cash dividends should be appropriated as a legal capital surplus orlegal retained earnings until total amount of them reaches a certain limit, defined as 25% of the capital stock.
The Companies Act allows both legal capital surplus and legal retained earnings to be transferred to the capital stock following the approval at an Ordinary General Meeting of Shareholders.
The legal retained earnings of The Company and its subsidiaries are included in “retained earnings” on the consolidated balance sheet
and are not shown separately.
According to the Companies Act, the articles of incorporation allow to repurchase treasury stock and dispose of such treasury stock byresolution of meeting of the Board of Directors.

56 SUZUKI MOTOR CORPORATION

Consolidated Financial Statements

NOTE 12: Other comprehensive income
Other comprehensive income in the current consolidated fiscal year comprised were as follows:
Thousands of
US dollars

Millions of yen

2014

2013

2014

¥73,280¥48,141$ 712,011

Valuation difference on available-for-sale securities
Unrealized loss (gain) arising during the period...............
Reclassification adjustment of unrealized gain (loss)
through profit or loss...........................................................

40(3,305)392

Before tax effect..................................................................

73,32044,835

712,404

Tax effect.............................................................................

(25,724)(15,340)(249,944)

Balance at the end of the period........................................

¥47,596¥29,494$ 462,459¥ (4,119)¥ 3,126$ (40,024)

Deferred gains or losses on hedges
Unrealized loss (gain) arising during the period...............
Reclassification adjustment of unrealized gain (loss)
through profit or loss...........................................................

1,785

447

17,353

Before tax effect..................................................................

(2,333)

3,573(22,671)

Tax effect.............................................................................

1,136(1,689)11,044

Balance at the end of the period........................................

¥ (1,196)¥ 1,884$ (11,626)¥27,748¥45,254$ 269,610

Foreign currency translation adjustment
Unrealized loss (gain) arising during the period...............
Reclassification adjustment of unrealized gain (loss)
through profit or loss...........................................................
Balance at the end of the period

(192)

6,557

(1,871)¥27,555¥51,812$ 267,739¥ 7,504¥ 3,672$ 72,915¥—¥ 6,595$¥81,459¥93,459$ 791,488

Share of other comprehensive income of associates
accounted for using equity method
Unrealized loss (gain) arising during the period
Change in equity
The amount arising during the period...............................
Total other comprehensive income................................

NOTE 13: Cash dividends

Resolution
Ordinary General
Meeting of Shareholders
held on June 27, 2013

Total amount of cash dividends
Cash dividends per share—

Meeting of theBoard of Directors
held on November 1, 2013

¥5,610 million$54,510 thousand¥5,610 million$54,511 thousand¥10.00$0.097¥10.00$0.097

Record date

March 31, 2013

September 30, 2013

Effective dateJune 28, 2013

November 29, 2013

Dividends which record date was in the current consolidated fiscal year and effective date was in the next fiscal year
Resolution
Ordinary General
Meeting of Shareholders
held on June 27, 2014
Total amount of cash dividends
Cash dividends per share¥7,854 million$76,317 thousand¥14.00$0.136

Record date

March 31, 2014

Effective dateJune 30, 2014
SUZUKI MOTOR CORPORATION 57

Consolidated Financial Statements

NOTE 14: Stock option plan
The Company adopts stock option plan by using subscription rights to shares.
The plan was adopted at the Ordinary General Meeting of Shareholders and meeting of the Board of Directors held on June 28, 2012,
June 27, 2013 and June 27, 2014 based on The Company Act of Japan.
The details of the plan were as follows:
1. Resolution dateJune 28, 2012
2. Category and number of people to whom stock options are granted
10 Directors of The Company (excluding Outside Directors)
6 Managing Officers who do not concurrently serve as Directors
3. Class of shares that are the subject of subscription rights to shares
Common stock of The Company
4. Number of shares
74,000 shares
5. Amount to be paid for subscription rights to shares
1 yen per 1 share
6. Period during which subscription rights to shares can be exercised
From July 21, 2012 to July 20, 2042
7. Terms of exercise of subscription rights to shares(1) A person who is allocated subscription rights to shares shall be able to exercise share subscription rights only up until
10th day (the next business day if the 10th day falls on a non-business day) from the day immediately following the dateof resignation as The Company’s Director as well as the Senior Managing Officer or Managing Officer without the role of
Director being served concurrently.
(2) If a person who is allocated subscription rights to shares was dead, heir may exercise the rights.
8. Matters relating to assignment of subscription rights to shares
The acquisition of subscription rights to shares by assignment shall require the approval of the Board of Directors of The
Company.
9. Matters relating to subrogation payment
None

1. Resolution dateJune 27, 2013
2. Category and number of people to whom stock options are granted
7 Directors of The Company (excluding Outside Director)
10 Senior Managing Officers and Managing Officers who do not concurrently serve as Directors
3. Class of shares that are the subject of subscription rights to shares
Same to the plan adopted at June 28, 2012
4. Number of shares
46,200 shares
5. Amount to be paid for subscription rights to shares
Same to the plan adopted at June 28, 2012.
6. Period during which subscription rights to shares can be exercised
From July 20, 2013 to July 19, 2043
7. Terms of exercise of subscription rights to shares
Same to the plan adopted at June 28, 2012
8. Matters relating to assignment of subscription rights to shares
Same to the plan adopted at June 28, 2012
9. Matters relating to subrogation payment
Same to the plan adopted at June 28, 2012

58 SUZUKI MOTOR CORPORATION

Consolidated Financial Statements

1. Resolution dateJune 27, 2014
2. Category and number of people to whom stock options are granted
7 Directors of The Company (excluding Outside Director)
6 Managing Officers who do not concurrently serve as Directors
3. Class of shares that are the subject of subscription rights to shares
Same to the plan adopted at June 28, 2012
4. Number of shares
37,700 shares
5. Amount to be paid for subscription rights to shares
Same to the plan adopted at June 28, 2012.
6. Period during which subscription rights to shares can be exercised
From July 23, 2014 to July 22, 2044
7. Terms of exercise of subscription rights to shares
Same to the plan adopted at June 28, 2012
8. Matters relating to assignment of subscription rights to shares
Same to the plan adopted at June 28, 2012
9. Matters relating to subrogation payment
Same to the plan adopted at June 28, 2012

NOTE 15: Contingent liabilities
As of March 31, 2014 and 2013, The Company and some of consolidated subsidiaries had the contingent liabilities as follows:
Thousands of
US dollars

Millions of yen

2013

2014

2014

Guarantee of indebtedness of affiliates and others..........

¥8,277¥8,159$80,427

Trade notes discounted......................................................

—

51

—

¥8,277¥8,210$80,427

NOTE 16: Segment Information
1. Outline of reportable segments
The reportable segments of The Company are the components of The Company business for which discrete financial information is available, and whose operating results are regularly reviewed by our decision-making body such as Board of Directors
to make decisions about resources to be allocated to the segment and to assess its performance.
The Group has three reportable segments of “Motorcycle”, “Automobile” and “Marine and Power products, etc.” based on theform of management organization and nature of products and services.
Main products and services of each segment are as follows:
Segment

Main products and services

Motorcycle

Motorcycles, All-terrain vehicles

Automobile

Minivehicles, Sub-compact vehicles, Standard-sized vehicles

Marine and Power products, etc.

Outboard motors, Engines for snowmobiles, etc., Electro senior vehicles, Houses

2. Methods of measurement for the amounts of net sales, profit or loss, assets and other items for each reportable segment
The accounting policies of the reportable segments are consistent to the description of the “Summary of significant accounting
policies” (Note2).

SUZUKI MOTOR CORPORATION 59

Consolidated Financial Statements

3. Information about the amounts of net sales, profit or loss, assets and other items by reportable segment (Years ended March 31)
Millions of yen

2014
Motorcycle

Net Sales:
Net sales to external customers....
Segment profit........................
Segment assets......................
Other content:
Depreciation...............................
Amortization of goodwill.............
Impairment loss..........................
Investment in associates
accounted for by equity method...
Increase in property, plant andequipment and intangible assets....

Automobile

Marine & Powerproducts, etc.

Adjustment

Consolidated¥——¥2,938,314
187,747¥266,602
105¥2,615,664
179,296¥56,046
8,346

222,413

1,649,071

42,668959,9212,874,074

7,268
453
128

109,024
1,609
900

896
101
0

—
—
—

117,188
2,164
1,029

15,33540,27687—

55,69922,847

189,604

1,167—

213,619

Millions of yen

2013
Motorcycle

Net Sales:
Net sales to external customers....
Segment profit (loss)..............
Segment assets......................
Other content:
Depreciation...............................
Amortization of goodwill.............
Impairment loss..........................
Investment in associates
accounted for by equity method...
Increase in property, plant andequipment and intangible assets....

Automobile

Marine & Powerproducts, etc.

Adjustment

Consolidated¥——¥2,578,317
144,564¥230,290(11,946)¥2,297,814
150,613¥50,212
5,896

196,638

1,462,165

43,847784,983

2,487,635

5,910
392
27

86,866
1,466
431

903
89
—

—
—
—

93,6801,948
458

12,83535,215

197—

48,24815,683

152,701

903—

169,288

Thousands of US dollars

2014
Motorcycle

Net Sales:
Net sales to external customers....
Segment profit .......................
Segment assets......................
Other content:
Depreciation...............................
Amortization of goodwill.............
Impairment loss..........................
Investment in associates
accounted for by equity method...
Increase in property, plant andequipment and intangible assets....

60 SUZUKI MOTOR CORPORATION

Automobile$2,590,388 $25,414,540
1,020
1,742,091

Marine & Powerproducts, etc.

$ 544,567
81,0922,161,031

16,022,851

414,575

70,6201,059,312

4,407
1,251

15,6388,747

149,004
221,993

Adjustment$

Consolidated— $28,549,496—
1,824,205

9,326,868

27,925,327

8,705

—

1,138,639

983
2

—
—

21,02910,000391,335

851—

541,191

1,842,251

11,346—2,075,592

Consolidated Financial Statements(Reference information)
As reference information, operating results by geographical areas were as follows:(a) The amount of net sales, operating income or loss based on location of
The Company and its consolidated subsidiaries (Years ended March 31)
Millions of yen

2014
Japan

Europe

Asia

Other
areas

Eliminations

Consolidated¥150,296¥¥2,938,314

Net Sales:
Net sales to external customers....
Internal net sales or transfer
among geographical areas...........
Total
Operating income..............................

¥1,309,383¥360,465¥1,118,169—

392,284

16,00057,185679(466,149)—

1,701,667

376,466

1,175,355

150,975(466,149)

2,938,314

134,513

4,154

59,419241(10,582)

187,747

Millions of yen

2013
Japan

Europe

Asia

Other
areas

Net sales to external customers....

¥1,203,474¥ 254,692¥ 951,713¥ 168,437

Internal net sales or transfer
among geographical areas...........

348,576

3,594

29,2981,552,050

258,287

102,516(1,062)Eliminations

Consolidated¥—¥2,578,317

660(382,129)—

981,012

169,097(382,129)

2,578,317

38,071

3,052

1,986

144,564

Eliminations

Consolidated

Net Sales:

Total
Operating income (loss)....................

Thousands of US dollars

2014
Japan

Europe

Other
areas

Asia

Net sales:
Net sales to external customers.... $12,722,338
Internal net sales or transfer
among geographical areas...........
Total
Operating income..............................

$3,502,383 $10,864,455$1,460,318 $

3,811,545

155,467

555,629

6,597

16,533,884

3,657,850

11,420,085

1,466,916

1,306,974

40,361

577,338

2,350— $28,549,496(4,529,239)—(4,529,239) 28,549,496(102,819)

1,824,205* “Other areas” consists principally of North America, Oceania and South America.

SUZUKI MOTOR CORPORATION 61

Consolidated Financial Statements(b) The amount of net sales based on external customers (Years ended March 31)
Millions of yen

2014
Net sales........................................

Japan

India

Others¥1,132,732¥708,316¥1,097,265

Consolidated¥2,938,314

Millions of yen

2013
Net sales........................................

Japan

India

Others¥1,040,948¥647,390¥889,977

Consolidated¥2,578,317

Thousands of US dollars

2014
Japan

Net sales........................................

62 SUZUKI MOTOR CORPORATION$11,005,950

India$6,882,207

OthersConsolidated$10,661,338$28,549,496

Consolidated Financial Statements

Independent Auditor’s Report
To the Board of Directors of
Suzuki Motor Corporation
We have audited the accompanying consolidated financial statements of Suzuki Motor Corporation and its
subsidiaries, which comprise the consolidated balance sheet as at March 31, 2014, and the consolidated
statement of income, statement of comprehensive income, statement of changes in net assets and statementof cash flows for the year then ended, all expressed in Japanese Yen, and a summary of significant accounting
policies and other explanatory information.
Management’s Responsibility for the Consolidated Financial Statements
Management is responsible for the preparation and fair presentation of these consolidated financial statementsin accordance with accounting principles generally accepted in Japan, and for such internal control as management determines is necessary to enable the preparation of consolidated financial statements that are freefrom material misstatement, whether due to fraud or error.
Auditor’s Responsibility
Our responsibility is to express an opinion on these consolidated financial statements based on our audit. We
conducted our audit in accordance with auditing standards generally accepted in Japan. Those standards
require that we plan and perform the audit to obtain reasonable assurance about whether the consolidated
financial statements are free from material misstatement.
An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in the
consolidated financial statements. The procedures selected depend on the auditor’s judgment, including theassessment of the risks of material misstatement of the consolidated financial statements, whether due to fraud
or error. In making those risk assessments, the auditor considers internal control relevant to the entity’s preparation and fair presentation of the consolidated financial statements in order to design audit procedures that areappropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of theentity’s internal control. An audit also includes evaluating the appropriateness of accounting policies used andthe reasonableness of accounting estimates made by management, as well as evaluating the overall presentation of the consolidated financial statements.
We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our
audit opinion.
OpinionIn our opinion, the consolidated financial statements referred to above present fairly, in all material respects, theconsolidated financial position of Suzuki Motor Corporation and its consolidated subsidiaries as at March 31,
2014, and the consolidated results of their operations and their cash flows for the year then ended in accordance with accounting principles generally accepted in Japan.
The amounts expressed in U.S. dollars, which are provided solely for the convenience of the reader, have beentranslated on the basis set forth in Note 1 to the accompanying consolidated financial statements.

Seimei Audit Corporation
Tokyo, Japan
June 27, 2014

SUZUKI MOTOR CORPORATION 63

Company Outline
1. Company NameSUZUKI MOTOR CORPORATION

2. Date of Incorporation

March 1920
June 1954
October 1990

3. Head Office

Incorporated as Suzuki Loom Manufacturing Co.
Name changed to Suzuki Motor Co., Ltd.
Name changed to Suzuki Motor Corporation

300 Takatsuka-cho, Minami-ku, Hamamatsu-shi, Shizuoka 432-8611 Japan
Mailing Address : Hamamatsu-Nishi, P.O.Box 1 Naka-ku, Hamamatsu-shi, Shizuoka, Japan
Website Address : http://www.globalsuzuki.com

4. Main Products

Motorcycles, Automobiles, Outboard Motors, Motorized Wheelchairs,
Electro Senior Vehicles, Industrial Equipment

5. Fiscal Year-End

March 31

6. Public Accounting Firm

Seimei Audit Corporation

7. Capital and Shareholders
Capital(as of March 31, 2014)¥138,014 million

Total number of authorized shares

1,500 million

Total number of shares issued

561,047,304

Number of shareholders

38,451

Stock Listing

Tokyo Stock Exchange

Securities Code7269

Ordinary General Meeting of Shareholders

June

Record Dates• Ordinary General Meeting of Shareholders March 31• Year-End Dividend March 31• Interim Dividend September 30

Shareholders’ Register Manager

Sumitomo Mitsui Trsut Bank, Limited
4-1, Marunouchi 1-chome, Chiyoda-ku, Tokyo<Ten Major Shareholders>Number of Shares Held

Shareholding Ratio

Volkswagen AG

111,610

19.9

The Master Trust Bank of Japan, Ltd. (Trust Account)

22,8744.1

Tokio Marine & Nichido Fire Insurance Co., Ltd.

17,961

3.2

Japan Trustee Services Bank, Ltd. (Trust Account)

16,912

3.0

The Bank of Tokyo-Mitsubishi UFJ, Ltd.

16,0002.9

The Shizuoka Bank, Ltd.

14,500

2.6

Resona Bank, Ltd.

13,0002.3

The Bank of New York - JASDEC Non-Treaty Account

10,8681.9

Sompo Japan Insurance Inc.

7,761

1.4

Nippon Steel & Sumitomo Metal Corporation

7,759

1.4

Name of Shareholder(Thousands of Shares)(%)(Note) *1. Number of shares disregards and rounds off figures of less than 1,000 shares.
*2. Our Company holds 6,740 of treasury stocks.
*3. Shareholding ratio is calculated eliminating treasury stocks held by our Company.

64 SUZUKI MOTOR CORPORATION

Company Outline

Suzuki Group

Subsidiaries: 134 companies (71 in domestic, 63 in overseas)   Affiliates: 37 companies(1) Major Domestic Subsidiaries[Manufacturing Subsidiaries]
Suzuki Auto Parts Mfg. Co., Ltd.
Hamamatsu Pipe Co., Ltd.
Suzuki Akita Auto Parts Mfg. Co., Ltd.
Snic Co., Ltd.
Suzuki Toyama Auto Parts Mfg. Co., Ltd.
Suzuki Kasei Co., Ltd.

(2) Major Overseas Subsidiaries[Marketing Subsidiaries]
30 directly managed overseas marketing companies[EUROPE]
Germany
Spain
Italy
FranceHungaryUK
Austria
PolandSuzuki International Europe GmbH
Suzuki Motor Iberica, S.A.U.
Suzuki Italia S.p.A.
Suzuki France S.A.S.
Magyar Suzuki Corporation Ltd.
Suzuki GB PLC
Suzuki Austria Automobil Handels G.m.b.H
Suzuki Motor Poland SP.Z.O.O.

[AMERICA]
USA
USA
CanadaMexicoColombia

Suzuki Motor of America, Inc.
Suzuki Manufacturing of America Corporation
Suzuki Canada Inc.
Suzuki Motor de Mexico S.A. DE C.V.
Suzuki Motor de Colombia S.A.

[Non-Manufacturing Subsidiaries]
Suzuki Transportation & Packing Co., Ltd.
Suzuki Business Co., Ltd.
Bell Art Co., Ltd.

[Marketing Subsidiaries]
54 directly managed domestic marketing companies[ASIA]India
India
PakistanIndonesia
ThailandThailand
Malaysia
Philippines
Cambodia
China
VietnamTaiwanMyanmar

Maruti Suzuki India Ltd.
Suzuki Motorcycle India Private Limited
Pak Suzuki Motor Co., Ltd.
PT. Suzuki Indomobil Motor
Thai Suzuki Motor Co., Ltd.
Suzuki Motor (Thailand) Co., Ltd.
Suzuki Motorcycle Malaysia SDN.BHD.
Suzuki Philippines Inc.
Cambodia Suzuki Motor Co., Ltd.
Suzuki Motor (China) Investment Co., Ltd.
Vietnam Suzuki Corporation
Taiwan Suzuki Automobile Corporation
Suzuki (Myanmar) Motor Co., Ltd.

[OCEANIA]
Australia
New Zealand

Suzuki Australia Pty. Ltd.
Suzuki New Zealand Ltd.

[AFRICA]South Africa

Suzuki Auto South Africa (Pty.) Ltd.

SUZUKI MOTOR CORPORATION 65

434 (215 + 4 + 215) x 280 mm

2014

300 Takatsuka-Cho,
Minami-Ku, Hamamatsu-shi,
Shizuoka, Japan 432-8611
http://www.globalsuzuki.com

ANNUAL REPORT 2014
Printed in Japan