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  "documentTitle": "Nidec Corp. (6594 JP)",
  "authorId": "51_Muddy_Waters",
  "authorName": "Carson C. Block",
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  "presentationDate": "2016-12-13 00:00:00",
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  "notes": "Contains qualitative feedback from former executives regarding Nidec's integration and due diligence processes, alongside a quantitative table of share swaps.",
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      "text": "One other item to note is that in FY 2008, the German entity, Nidec Motors & Actuators GmbH impaired its goodwill by €18.1 million, which cut its annual depreciation and amortization expense roughly in half (approximately €3 million). While this could have been entirely justified, it benefitted reported OP margin through decreased amortization.",
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      "text": "Mr. Nagamori has increased his holdings in Nidec when the company has fully consolidated previously publicly traded subsidiaries through share swaps. Adjusted for splits, the table below shows the shares Mr. Nagamori has received per consolidation transaction, and the approximate value at today's share price (JPY 29.5 billion).",
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      "text": "In 2012, Nidec acquired Avtron Industrial Automation, which produces industrial and commercial motor controls. A former Avtron executive told us that he understands from former colleagues “only in the last two or three months that the integration has sort of really begun to get some traction. Again, I think the reason for that is Nidec was a little bit naive and a little bit slow in pushing for a more vigorous integration program or a better structured integration program.” He also stated that Nidec’s due diligence process was lighter touch than what he was used to “I think the transaction was -- relative to other transactions I’ve seen I would say relatively painless. I think from your perspective that might suggest that perhaps Nidec did not do as vigorous or aggressive due diligence process as other acquirers might do...Nidec's diligence was very much trust but verify, but it was, what I would call, a very gentle verification. They didn't go into everything with a fine tooth comb.”",
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      "text": "for several years post acquisition expressed the opinions that during his time at Valeo post-acquisition a) it took almost four years for Nidec to attempt any major initiatives to improve performance of the business (the first major initiative in his view was shutting down the headquarters in France), b) the combination with Nidec did not help Valeo win any major customers, and c) there was no R&D synergies.",
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      "text": "115 We do not detail the number of years in order to protect the former employee’s identity. He has not been employed by the company for at least one year. 116 http://www.nidec-avtron.com/drivesystems/news/archived/avtron-industrial-automation-acquired-by-nidec 117 The former executive left Avtron at least one year ago.",
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      "text": "Oct-10 NSRV 148,200 ¥1,511,640,000; Oct-12 NSNK 306,272 ¥3,123,974,400; Oct-13 NCPL 1,179,984 ¥12,035,836,800; Oct-13 NTSC 744,000 ¥7,588,800,000; Oct-14 NCEL 282,624 ¥2,882,764,800; Oct-14 NRCJ 233,280 ¥2,379,456,000; Total 2,894,360 ¥29,522,472,000",
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      "text": "Avtron Industrial Automation:",
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      "text": "Consolidating listed subsidiaries:",
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