SoftBank Results Presentation Deck slide image

SoftBank Results Presentation Deck

Investments and Debt Financing to WeWork from the WeWork Investment Subsidiary-2 Debt Type Purchase of unsecured notes Liabilities related to loan commitment Liabilities related to financial guarantee contract Total Cumulative debt financing amount USD 2.9 bn 1,800 USD 2.9 bn 1,800 Cumulative gain (loss) 44 -256 USD 2.9 bn 140 -72 Consolidated Statement of Financial Position Carrying amount (Minuses show liabilities) FY19-end Account Other financial assets Other financial liabilities -1,334 Dec 31, 2020 -819 equity of WeWork, evaluated by the Company Sep 30, 2020 Mar 31, 2021 USD 2.2 bn -2,153 FY20-end USD 3.8 bn 1,173 -92 -220 861 Account SoftBank Other gain (loss) Consolidated Statement of Income Gain (loss) FY19 -826 -459 Group -1,285 (USD mn) * Allowances for losses from the financial guarantee contract and the loan commitment are recorded as "other financial liabilities" in the Consolidated Statement of Financial Position. The Company did not record gains or losses relating to the agreement on these contracts on the Consolidated Statement of Income at the time of execution, since the Company acquired consideration for the agreement (warrants convertible for preferred stock of WeWork at $0.01 per share). Subsequently, at the previous fiscal year-end, the Company recorded provision for allowance for losses following a deterioration in WeWork's credit risk, which was reversed during the fiscal year mainly due to the improvement of WeWork's credit risk. For liabilities related to the loan commitment, when the WeWork Investment Subsidiary purchased the unsecured notes, a corresponding amount was reversed from "other financial liabilities" and deducted from the initial recognition amount of loan receivable recorded as "other financial assets." The unsecured notes are regularly amortized from the time when the loan receivable was recognized. Liabilities related to financial guarantee contract are regularly amortized from the fourth quarter of the previous year, when the guarantee started. (Reference) Fair value of the entire Mar 31, 2020 Jun 30, 2020 FY20 44 570 599 1,213 Accounting 12
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