Millions of yen Thousands of U.S. dollars (Note 3) 2008 2007 2008 Liabilities and net assets Current liabilities: Notes and accounts payable ................................................................................ \ 20,467 \ 21,530 $ 224,840 Short-term bank loans (Note 8) ........................................................................... 9,712 4,877 106,698 Current portion of long-term debt (Note 8) ......................................................... 1,858 3,725 20,418 Commercial paper ............................................................................................... 6,000 11,000 65,912 Deferred tax liabilities (Note 10) ........................................................................... 1 . 21 Accrued income taxes ......................................................................................... 1,106 3,522 12,150 Other current liabilities ........................................................................................ 7,529 7,413 82,712 Total current liabilities .............................................................................................. 46,676 52,068 512,754 Long-term liabilities: Long-term debt (Note 8) ...................................................................................... 7,997 6,867 87,859 Deferred tax liabilities (Note 10) ........................................................................... 1,167 1,320 12,825 Accrued retirement benefits for employees (Note 9) ............................................ 655 723 7,204 Accrued retirement benefits for directors ............................................................. 122 148 1,347 Other long-term liabilities .................................................................................... 2,795 2,614 30,711 Total long-term liabilities .......................................................................................... 12,739 11,673 139,948 Commitments and contingencies (Note 17) Net assets: Shareholders’ equity (Notes 11, 16 and 19): Common stock, without par value: Authorized . 550,000,000 shares Issued: 2008 . 263,992,598 shares ........................................................................ 20,886 . 229,445 2007 . 263,992,598 shares ........................................................................ . 20,886 . Capital surplus ................................................................................................ 15,085 15,073 165,722 Retained earnings ........................................................................................... 63,904 64,096 702,017 Treasury stock (Note 15) ................................................................................. (877) (725) (9,638) Total shareholders’ equity .................................................................................... 98,999 99,331 1,087,547 Valuation and translation adjustments: Unrealized holding gain on securities .............................................................. 1,047 5,841 11,504 Unrealized gain on hedging derivatives ........................................................... 0 2 5 Translation adjustments .................................................................................. (775) 163 (8,517) Total valuation and translation adjustments ......................................................... 272 6,007 2,992 Minority interests ................................................................................................ 13,776 13,599 151,345 Total net assets ........................................................................................................ 113,048 118,939 1,241,884 Total liabilities and net assets .............................................................................. \172,464 \182,681 $1,894,587 Toagosei Co., Ltd. 27