Toshiba’s woes continue

ToshibaToshiba is finding it tricky to move beyond its $1.3 billion accounting scandal.

The company has booked a $318 million net loss for the past financial year and pledged a bold restructuring.

The submission of its books, twice postponed due to its accounting woes, helped to allay concerns that the company was about to be delisted.

Shares in Toshiba rose 1.8 percent on Monday, but they are still down around 30 percent since its accounting problems were disclosed in early April.

Analysts warned that the company still had to tackle deep-rooted problems particularly what it was going to do with its unprofitable PC and TV businesses.

The accounting woes are also not going away because the company is facing shedloads of shareholder lawsuits.

The weaker assessment included a more conservative estimate on the value of its investment in South Texas Project, a US power plant project. The company, however, denied speculation that it would need to draw down deferred tax assets on Westinghouse, its US based nuclear business.

The company’s new Chief Executive, Masashi Muromachi, promised to announce a restructuring plan for its semiconductor, PC and TV businesses by the year end. He also said it was reconsidering plans by his predecessor, who stepped down amid the scandal in July, to grow the healthcare unit through acquisitions.

The company also announced on Monday that former Shiseido president Shinzo Maeda would be the head of a revamped 11 member board, the majority of which are external directors, pending approval at an extraordinary shareholders’ meeting at the end of the month.