Toshiba Corp may lay off staff in its underperforming home appliances, TV and PC businesses and seek a partner for its nuclear operations to overhaul the company after a $1.3-billion accounting scandal, its CEO Masashi Muromachi said on Thursday.
“The latest accounting problems might have been driven by the fact that some of our businesses have lost earnings power. We must urgently take action in these businesses,” he told a roundtable of reporters.
Toshiba has launched a new management team.
Muromachi said that the restructuring steps may temporarily hurt the company’s capital base, already weak compared with rivals such as Hitachi Ltd.
Toshiba is unable to raise funds through bond and equity issuance.
The company plans to finance restructuring by tapping into bank loans if needed, Muromachi said.