Scandal-hit Toshiba to see losses of around Rs 30,000 crore

The company said it will cut 6,800 positions in its lifestyle business by introducing early retirement programmes and repositioning personnel, as well as carry out other structural reforms.

Scandal-hit Toshiba is likely to post huge losses as a result of restructuring and retirement programmes. Toshiba said it expects a 550 billion yen net loss for the year to March, exploding from a 37.8 billion yen loss in the previous 12 months.
 
The company said it will cut 6,800 positions in its lifestyle business by introducing early retirement programmes and repositioning personnel, as well as carry out other structural reforms. 
 
The news is the latest blow to the 140-year-old firm after it was this year hit by revelations that executives systematically pressured underlings to inflate profits 
in a years-long scheme to hide poor results.
 
One of the most damaging accounting scandals to hit Japan in recent years, the case forced Toshiba's incumbent president and seven other top executives to 
resign.
 
Toshiba, which sells everything from rice cookers to nuclear reactors, has admitted it had inflated profits by about USD 1.2 billion since the 2008 global 
financial crisis.
 
Toshiba's statement came two weeks after the Securities and Exchange Surveillance Commission watchdog said the company should be slapped with a 
record USD 60 million fine over the scandal.
 
Source: Agencies

Add new comment