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Toshiba execs under fire at shareholder meeting as loss forecast balloons

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So, another Japanese conglomerate starts to go down the spout. No doubt we will also start to hear reports of Mitsubishi staff being forced to do copious amounts of overtime for free.

This reflects Abe's economic policies quite well. The list of large Japanese companies that have collapsed over the last decade is extensive. His policies do not allow for the downward spiral of Japanese companies. He is still living in the bubble era and relying on markets that no longer belong to Japan.

2 ( +5 / -3 )

Spot on Disill, all CEOs, are 70 plus yo most government leaders and middle to small business owners too. Their last education experience was 50 years ago. Their heyday was 30 years ago and they can't let it go, the idea that they are Satchio and must be obeyed is no longer annoying it's nationally damaging...maybe I'm not reflecting on it enough. Whenever I buy something particularly a business I research and do due Dilligence not just view it as I wish it to be or from my memory.

2 ( +5 / -3 )

That scandal laid bare serious problems with Toshiba’s internal controls and governance.

Problems with internal controls and governance at a major Japanese company?? I'm shocked!

2 ( +3 / -1 )

Who in their right mind own Toshiba shares. Run by dinosaurs who like to cover things up and cook the books. They are clowns in business suits who should be doing time. Annual meetings in Japan are just exercises in window dressing while ripping their shareholders off. My advice to Japanese is to put all your money elsewhere.

2 ( +3 / -1 )

Construction of six nuclear power plants with 1500 mw capacity each under Indo-US civil nuclear power agreement which were assigned to Toshiba's Westinghouse unit is lying in a state of uncertainty.It is still not clear whether Toshiba will be able to implement these power plants in India or not ?

1 ( +1 / -0 )

In 2006 Toshiba paid 5.5 billion USD for Westinghouse. That investment is now worth negative 9 billion USD. This was supposed to have been the future of the company. Because Toshiba now has a negative net-worth, it has one year to turn things around or else be delisted from Tosho.

Investors therefore had very little choice but to approve the transfer of the company's memory business to Toshiba Memory Corp., in preparation for its sale. The spin-off business is expected to sell for between 13 to 18 billion USD. It is Toshiba's most valuable asset, generating more than 50% of company's overall operating profit.

In other words, Toshiba will return to profitability, but will be severely gutted. This, combined with accounting fraud going back to at least 2005 under former presidents Atsutoshi Nishida, Norio Sasaki, and Hisao Tanaka, has in essence wiped out all its shareholders' equity - expected to be valued at negative 1.35 billion USD or a loss of about 7 billion USD.

No wonder all these shareholders are pissed off. The resignation of Shigenori Shiga is not enough. The entire incompetent and deceitful board of directors and senior management need to go.

3 ( +4 / -1 )

Tip of the iceburg old boys companies can't rely on government contracts anymore

1 ( +2 / -1 )

2 years ago I bought a Toshiba Satellite notebook when in Japan. From day one the thing shorted out and rebooted every time I picked it up or pressed mildly on the trackpad. So flimsy the board warped inside. Removed the HDD and threw it on the bin. Never bought such junk in my life. Ironically, the HDD wasn't even Toshiba. HGST. Should have shorted the stock and made my money back.

3 ( +6 / -3 )

Raises grave concerns over Japanese governance and control in the corporate sector. There is a reason why despite what should be considerable potential I have not nor do I intend to invest in any Japanese shares. Apologies are so much hot air, those responsible should at a minimum resign en mass and probably be prosecuted for malfeasance.

1 ( +2 / -1 )

Another giant firm with too much old dead wood. Let in the fresh saplings or watch it all burn.

1 ( +2 / -1 )

ultimately, westinghouse's purchase of a construction firm without clearly understanding that company's financial liabilities pushed them into bankrucpcy

1 ( +1 / -0 )

The age range of Toshiba's executives is 62-79. The investors quoted in the article are in their seventies. The company has a long history of fibbing about its figures, which is rife in Japan. Dishonesty is a standard practice. Their products were once superb, and are now basically trash. The traditional markets no longer exist for company's like Toshiba, and the old men at the top are fossils in an industry that needs to be dynamic and at the cutting edge. Sad in a way, but so many established firms are set up like this one, and will eventually run into the same difficulties.

1 ( +1 / -0 )

Annual meetings in Japan are just exercises in window dressing while ripping their shareholders off. bigetek.com. My advice to Japanese is to put all your money elsewhere

0 ( +1 / -1 )

Problems with internal controls and governance at a major Japanese company?? I'm shocked!

Cooking of books in Japan is rife, look at online travel agency TellmeClub that just went bankrupt under heavy debt and have been found to have cooked the books since 2014 to show profit when in reality it was in red. Auditing here is a joke.

1 ( +2 / -1 )

@drlucifer - I know, I was being sarcastic, in case you weren't sure ;-)

2 ( +2 / -0 )

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