Japanese television maker Sharp (SHCAY.PK) has secured a 360 billion yen syndicated loan from Mizuho Corporate Bank Ltd. and the Bank of Tokyo-Mitsubishi UFJ Ltd to ensure the stability of the troubled company's working capital, Sharp said in a regulatory filing.
The funding consists of 180 billion yen in term loan and a maximum of another 180 billion yen in uncommitted line of credit. The contract term is between September 28, 2012 and June 30, 2013.
Sharp has been going through a tough period with unimpressive performance, amid a stronger yen and a dip in demand for televisions. In August, the firm reported a sharply wider first-quarter net loss and sees a net loss for the year.
Early this month, the company signed an agreement with its labor union regarding the implementation of a voluntary retirement program and measures to reinforce business foundations.
It was also reported that Sharp was planning to slash over 10,000 jobs, or about 18 percent of its workforce, and is in talks to sell assets including overseas plants.
The stock is currently down 2.5 percent in Tokyo at 194 yen.
Click here to receive FREE breaking news email alerts for Sharp Corp. and others in your portfolio
by RTT Staff Writer
For comments and feedback: editorial@rttnews.com
Business News