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  "documentTitle": "Nidec Corp. (6594 JP)",
  "authorId": "51_Muddy_Waters",
  "authorName": "Carson C. Block",
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  "sourceTypeSlug": "short_seller",
  "sourceTypeLabel": "Short seller",
  "presentationDate": "2016-12-13 00:00:00",
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  "notes": "The slide uses direct quotes from earnings calls to expose management's potential manipulation of financial reporting.",
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      "text": "On the Q3 2012 call, management acknowledges conditions do not necessitate the impairments, and indicates to us that they view impairments as a matter of its discretion.",
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      "text": "On the Q3 2012 call, management acknowledges conditions do not necessitate the impairments, and indicates to us that they view impairments as a matter of its discretion.",
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      "text": "On the Q3 and Q4 2012 calls, management made multiple statements that were positive about the outlook for HDD. However, Small Precision Motors recorded over half of the write-offs.",
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      "text": "On the Q3 2012 call announcing the write-downs, management seems to us to admit that their primary motivation in taking the charges is to improve future reported profits.",
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      "kind": "paragraph",
      "text": "Footnotes and supporting quotes from Nagamori regarding structural reforms, cash expenditures, and market outlooks.",
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      "text": "And we should like to mention that although the amount for the structural reforms and other adjustments is JPY 40 billion, the actual cash out would be, in other words, the actual expenditures would be 10% of that. And what we will be doing is the cash out itself will be in the amount of JPY 4 billion. And so therefore, for the remaining JPY 36 billion, it will be on a noncash basis. And in other words, what will be carried out are impairments, or we'll be taking out reserves. — Nagamori (CEO)",
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