Toshiba to sell computer-chip business in order to save itself from bankrupcy
Toshiba is
falling apart and drastic measures are required to save the company. The
corporation’s CEO Shigenori Shiga will step down as a chairman after an
announcement that the financial results will be published after at least a
month, citing auditing problems. Before market closure unaudited numbers were
released and sent Toshiba stock 8% down.
The company
projects JPY712.5 billion ($6.3 billion) loss for its nuclear business after a
scandal related to the acquisition of US nuclear unit Westinghouse. The
Tokyo-based conglomerate said it’s at minus $1.7 billion by the end of 2016.
The company sees a way out in selling its computer-chip business, flash-memory
business and other assets.
Toshiba does not
plan on building more new nuclear plants and will concentrate on reactor
maintenance, nuclear fuel business and other non-tech branches. The company
forecasts net loss for the whole group of JPY390 billion ($3.43 billion).
Source: gsmarena
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