Toshiba To Speed Up Selection Process For Successor To CEO Satoshi Tsunakawa; To Conduct Inquiry

Japanese conglomerate Toshiba Corp. (TOSYY.PK,TOSBF.PK) Friday said it will accelerate the selection process for a successor to Satoshi Tsunakawa as CEO that can drive the changes needed in Toshiba in the medium term.

In an open letter to the company's shareholders, Osamu Nagayama, Chairperson of Toshiba's Board of Directors, said the company will also conduct an inquiry, with third party participation, into why the recent unacceptable events occurred. An earlier investigation showed unfair practices in last year's board selection process. The company aims to stop recurrence of such incidents.

On Sunday, the company said it has amended slate of nominees for directors, committee members and executive officers as major shareholders demanded accountability after the investigation about last year's board selection process.

In mid April, Toshiba announced the appointment of Tsunakawa to succeed Nobuaki Kurumatani as Representative Executive Officer, President and CEO.

Nagayama now said, "You would have seen that we have already taken decisive and immediate action following the release of the Investigation Report, amending the slate of nominees for directors, committee members and executive officers ahead of the upcoming AGM on June 25."

The company further said it will begin a thorough search for additional independent Board members with strong experience in managing a complex global business.

The Board has hired Makinson Cowell, an independent global investor study firm, to gather non-attributable feedback to provide with a broad and transparent set of shareholder opinions as the firm makes important strategic decisions.

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