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Toshiba delays earnings release again on troubled U.S. nuclear unit

The headquarters of Toshiba Corp. is pictured from a Mainichi Shimbun helicopter in Tokyo's Chiyoda Ward in this January, 2017 file photo. (Mainichi)

TOKYO (Kyodo) -- Toshiba Corp. once again pushed back the release of its financial results Tuesday, a month after missing the initial deadline due to the need for more time to look into an accounting problem at its U.S. nuclear unit.

    The company said President Satoshi Tsunakawa will hold a press conference and explain the situation at its head office in Tokyo from 4 p.m.

    "We deeply apologize for causing stakeholders and investors trouble," Toshiba said in a statement released Tuesday.

    The company said it has filed an application for another postponement with the Kanto Local Finance Bureau, a unit of the Financial Services Agency.

    If the application is approved, the deadline for filing the earnings results will be April 11. If Toshiba cannot meet the new deadline, the company could be delisted from the Tokyo stock market.

    The Japanese conglomerate last month postponed by one month the Feb. 14 release of its financial results for the April to December period, citing the need to launch an investigation after a whistleblower alleged "inappropriate pressure" at the U.S. unit, Westinghouse Electric Co., over the purchase of a U.S. nuclear plant construction company.

    Toshiba is also studying Chapter 11 bankruptcy protection for the troubled U.S. unit.

    The potential filing for Chapter 11 could increase the already huge losses related to its U.S. nuclear business to more than 1 trillion yen ($8.7 billion), according to sources.

    In February, Toshiba said it expected a loss of 712.5 billion yen in its U.S. nuclear business for the nine months through December on an unaudited basis due to plant project delays leading to cost overruns.

    It also estimated a group net loss of 390 billion yen for the full year through March 31, in a reversal from its previous forecast of a 145 billion yen profit, and said it likely fell into negative net worth of 150 billion yen at the end of the year.

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