Toshiba dives on reported nuclear power losses

Toshiba dives on reported nuclear power losses January 1, 2018Leave a comment

TOKYO (Japan): Toshiba shares plunged in Tokyo Thursday following reports of big losses at its US nuclear power business.

The stock dived in excess of 17% to 238 yen after the Nikkei newspaper said the conglomerate could book losses of more than 500 billion yen (US$4.4 billion) within the nuclear reactor business.

The loss would force the troubled Japanese company, that has been incapable of move forward from an enormous accounting scandal, to find support with a government-backed lender, this business daily said.

Toshiba said in the statement that your exact figure of your potential write-down had been discovered.

“Were still discussing how to approach this matter, with zero concrete decisions are made,” it said.

Toshiba stock has fallen about 45% since company, that makes many techniques from nuclear reactors to laptops, warned a few weeks ago of a possible one-time loss on its US nuclear business.

It said costs from the acquisition during the past year by its US subsidiary Westinghouse associated with a nuclear services company will possibly visit “several billion US dollars” and hurt its earnings.

Japan’s public broadcaster NHK said Thursday Toshiba had drafted a thought money assets and delay expensive plans like layoffs for boosting its coffers by about 300 billion yen.

Toshiba might spin off its semiconductor operations into a separate firm, among other efforts, in the bid to shore up its finances, NHK plus the Nikkei said.

Toshiba said Wednesday that splitting its memory chip business was a plan, but that no conclusion were being reached.

The company continues to be besieged by problems, that include a profit-padding scandal through which bosses for a long time systematically pushed subordinates to hide weak financial results.

In the aftermath, the corporation continues to be shedding businesses and announced the sale of that medical devices unit to camera and equipment for your office maker Canon.

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