Olympus hit by Titanic losses

Troubled Olympus, which is fighting to recover from an accounting scandal, forecast a $412 million full-year net loss.

According to Reuters,  the outfit was dragged down in large part by its ailing camera business and it also had to start printing its real figures in the wake of the $1.7 billion accounting fraud.

The losses are not expected to put the dampers on investment partners becoming interested in the outfit. The company makes a killing from its endoscope business which saw its profit rise seven percent year-on-year during the quarter.

We suspect it might have to give up on cameras to satisfy the partners named as being interested including Fujifilm, Sony, Panasonic and Samsung.

Olympus President Shuichi Takayama has said news on any alliances must wait until new management is appointed after its annual shareholders’ meeting in April.

In December, Olympus filed five years’ worth of corrected earnings statements to satisfy regulators and shareholders. At the end of September its net assets were slashed by about a fifth and its declared profits were declared impossible,

The accounting scandal erupted when Olympus fired its British chief executive Michael Woodford on October 14, after he raised concerns about dubious book-keeping and was promptly fired for not doing things the Japanise way.

According to AP, Olympus is hoping that the April 20 shareholder meeting to mark a turning point in the scandal. Six of its 11 member board, including president Takayama, will quit.