Sharp Rebuts Latest Rumours

Sharp has issued a further denial to reports in Nikkei this week that it is planning job cuts, capital enforcement and a revised earnings forecast.

Nikkei had claimed that Sharp was seeking a ¥200 billion ($1.6 billion) capital injection from its main banks,Mizuho Bank and Bank of Tokyo-Mitsubishi UFJ, which was ¥50 billion ($410 million) more than its initial request. The report also said that Sharp was planning to cut more than 10% of its Japanese workforce, equating to around 3,000 jobs, through voluntary early retirement.

Sharp said: “Under the current severe business environment, Sharp is considering various options to reduce overall fixed costs, but no specific decisions are made apart from the voluntary salary cut of directors and executive officers which was announced earlier”, and reiterated that an announcement would be made in May 2015.