Shareholders of the Tokyo Electric Power Company (TEPCO) on Wednesday approved the utility's proposal to receive billions of dollars of public funds to help rebuild its depleted finances.
The decision formalizes a plan to effectively put TEPCO under government control with a 75 percent stake in exchange for an injection of about $12 billion in public funds.
The bailout is seen as a key step in proceeding with compensation for local residents affected by last year's accident at the Fukushima-Daiichi nuclear power plant operated by TEPCO. The massive tsunami of March, 2011 had severely damaged four of the plant's reactors triggering meltdowns and radiation leaks. Tens of thousands of people fled their homes in the worst atomic disaster since Chernobyl. Residents in 20-kilometer radius of the stricken plant were evacuated.
Wednesday's annual shareholders meeting also decided to reshuffle TEPCO's top executives, with Chairman Tsunehisa Katsumata and President Toshio Nishizawa resigning to take responsibility on the part of management. A majority of the new directors are being appointed from outside the company.
With all its proposals endorsed by the shareholders, TEPCO will begin drafting specific restructuring plans. As the top shareholder, the government will now have a major influence in how the company rebuilds itself and compensates people affected by the accident, Japan's NHK broadcaster reported.
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June 19, 2026 16:46 ET Major central banks continued to dominate the economic news flow this week too, led by the Federal Reserve, as they announced their latest policy decisions. The Federal Reserve policy session was in focus as it was the first to be led by the new chief Kevin Warsh. In Europe, central banks of the U.K. and Switzerland announced their rate decisions. In Asia, the Bank of Japan drew attention for its policy moves, while data out of China threw some light on the state of the economy.