Westinghouse Electric Co LLC, the nuclear power plant developer owned by Japanese electronics companyToshiba Corp (6502.T), is taking offers for a financing package to help it go through U.S. bankruptcy, people familiar with the matter said on Monday. Toshiba is reviewing proposals from financial institutions and investment firms about a so-called debtor-in-possession loan, which would carry the company through a potential bankruptcy, said two people familiar with the situation. The size of this financing package is expected to exceed $500 million, the people added. Should it file for bankruptcy, the money would allow Westinghouse to continue to pay employees and build four nuclear power plants in Georgia and South Carolina, commissioned by local utility companies. These would be the first nuclear power plants built in the United States in more than 30 years.
Reuters 20th March 2017 read more »
Fixing Toshiba has become a problem for both the Japanese and American governments, with intervention under consideration to protect valuable nuclear and chip technology as well as jobs. The two sides began feeling out the issue Thursday as Japan’s Hiroshige Seko, minister of economy, trade and industry, met with Commerce Secretary Wilbur Ross and Energy Secretary Rick Perry. The Washington contingent reportedly started off by stating that Toshiba unit Westinghouse Electric is building nuclear reactors in the U.S. — a point that needed no confirmation — and went on to say that Toshiba’s financial stability is vital to America.
Nikkei Asian review 18th March 2017 read more »
Concerns are mounting within the administration of U.S. President Donald Trump that his economic policies could be negatively affected if Toshiba Corp.’s U.S. subsidiary Westinghouse Electric Co. (see below) files for bankruptcy, according to a source familiar with related proceedings in the U.S. Commerce Department.
Japan News 17th March 2017 read more »