Posted on 02/14/2017 3:03:50 PM PST by RS_Rider
TOKYO — Toshiba Corp.'s chairman resigned Tuesday after the company logged such massive losses in its nuclear business that it must sell its lucrative computer-chip business to avoid going belly-up.
The company projected a 712.5 billion yen ($6.3 billion) loss for its nuclear business related to the acquisition of CB&I Stone & Webster by its U.S. nuclear unit Westinghouse. The company also said it will not take on new projects to construct nuclear plants.
President Satoshi Tsunakawa said the company also was looking for potential partners to acquire a stake in Westinghouse.
He bowed deeply at a news conference to apologize for “troubling investors and stakeholders.”
Earlier Tuesday, Toshiba delayed reporting its official financial results by a month, citing auditing problems. That sent Toshiba stock tumbling 8 percent in Tokyo trading.
After the market closed, it released unaudited numbers, warning they may change “by a wide margin.”
(Excerpt) Read more at triblive.com ...
Ouch! That’s going to leave a mark!
Investment gurus recommend diversifying with foreign stocks. But then I read stuff like this, where a company in a foreign land is allowed to just delay releasing numbers and then releases numbers but says they are baloney and I am reminded that I have no confidence in the regulation of markets in foreign lands. Heck, this is Japan! Imagine how nutty it is in Africa and South America!
“Ouch! That’s going to leave a mark!”
Hopefully the petroleum industry will absorb the talent.
“:^)
This is the kind of thing that Japanese businessmen commit hara-kiri over.
CC
The Westinghouse story of decline and dismemberment is well known. It no longer exists as an independent entity.
If Cranberry got all of the WE maintenance business, it should still be busy. Toshiba got in trouble selling an AP1000 design that wasn’t fully vetted by regulatory agencies and getting involved with the Chinese building nukes.
You can be sure if it’s Westinghouse.
Seppuku imminent
“You can be sure if it’s Westinghouse”
As the old saying goes:
We-Sting-Ho-Use
Didn’t know there was still something called Westinghouse. Used to be a great company.
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