Japan's Hitachi to Book Loss Apr 11, 2005

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Hitachi Ltd, one of Japan's largest electronic makers said it will book a 66 billion yen (approx. U.S. $612 million) special loss in the year to March 2005 to finance the restructuring of its group operations and balance sheet.

Hitachi will spend 46.2 billion yen (approx. $428.4 million) on restructuring charges, including the write-down of its investment in Fujitsu Hitachi Plasma Display, which now faces a big fall in profit due to declines in global prices for plasma display panels. In addition, the company will book a 19.8 billion yen (approx. $183.6 million) extraordinary loss to write down the value of impaired assets.

To prevent the restructuring charges from impacting its profit results, Hitachi said it will book a capital gain of 41.8 billion yen (approx. $387.6 million) by selling its equity interest in undisclosed firms. (AFX)

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