2020_1q_omron_e

6/38 Adjusted Disclosures (by Segment)

Next, the adjustments to full-year segment disclosures for continuing operations. In reclassifying our businesses into continuing operations and discontinued operations, there is a positive ￥3bn impact on EMC sales and a negative ￥3.5bn impact on Eliminations & Corporate operating income. EMC is selling some products to customers via internal sales to AEC. Upon the business transfer, EMC will shift to selling these products directly to the customers. The reclassification reflects the impact of the change, increasing segment sales by ￥3bn. The adjustment to the Eliminations and Corporate line reflects the absence of the management and brand usage fees that AEC has been paying to HQ. Please refer to slide 31 for the profit and loss statement for discontinued operations.