Toshiba, which bought a majority stake in Pennsylvania-based nuclear power company Westinghouse in 2006, earlier said that it had received internal information late last month about irregularities during the acquisition. He bowed deeply at a news conference to apologize for "troubling" investors and stakeholders. President Satoshi Tsunakawa said the company also was looking for potential partners to acquire a stake in Westinghouse. Shigenori Shiga, its chair, will step down Wednesday to take responsibility for the losses, the company said. Then, after the stock market had closed, Toshiba said that it would take a $6.3 billion hit related to Westinghouse's acquisition in December of Stone & Webster, a nuclear construction business, from Chicago Bridge & Iron in December. The company's shares fell eight per cent in local trading Tuesday. Instead, the company said that it was "not ready" to make the announcement and asked for another month to file. Toshiba executives were due to deliver the company's quarterly earnings announcement Tuesday - the deadline for the Tokyo Stock Exchange rule to report earnings within 45 days - but they failed to show up. The news came a day after government statistics showed that the Japanese economy grew by an anemic 0.2 per cent in the three months to December, the third consecutive quarter that growth in the world's third largest economy had slowed. "It would even impact Japan's sovereign credit rating if there's a knock-on effect." ![]() "This is one of Japan's historic corporations and it's very important to the Japanese economy, so this could be very significant for Japan," said Tom O'Sullivan, a Tokyo-based energy analyst. ![]() ![]() nuclear business.Īnalysts are now speculating about the possibility that Toshiba, which employs almost 200,000 people in Japan and has significant investments in the United States, will have to file for bankruptcy. TOKYO - The chaos at Toshiba, the Japanese corporate giant, deepened Tuesday, with its chair resigning and the company saying it would book a $6.3 billion loss related to its U.S.
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