5. 17th
Mar
Toshiba reveals use of
inappropriate accounting
practices in relation to
infrastructure project;
establishes special
Investigative committee
3rd
April
21st
July
28th
Sept
21st
Dec
4th
Jan
TOSHIBA TROUBLES
Timeline
President and CEO Hisao
Tanaka, Vice Chairman Norio
Sasaki, adviser Atsutoshi
Nishida resign
Toshiba announces sale of
Toshiba Medical Systems to
Canon for 665.5 billion yen
Westinghouse Electric
announces acquisition of
CB&I Stone & Webster
completed on Dec. 31
Toshiba announces
estimated net loss of 550
billion yen, its largest ever,
for year through March 2016
Toshiba sells entire stake in
Topcon for 49.1 billion yen
($435 million).
16th
May
Toshiba announces nomination of
Satoshi Tsunakawa as president,
CEO, former WH President
Shigenori Shiga as chairman
14th
Feb
27th
Jan
18th
Jan
27th
Dec
Toshiba announces 712.5
billion yen impairment charge
on its nuclear operations.
Toshiba officially announces
spinoff, nuclear business
dropped as area of focus.
Toshiba confirms media
reports that it plans to spin
off memory business
Toshiba announces possibility
goodwill impairment for U.S.
nuclear business will reach
hundreds of billions of yen.
2015 2016
2017
7. Overview
On July 2015, Toshiba CEO
Hisao Tanaka announced his
resignation in the face of an
accounting scandal tied to
about $1.2 Billion in overstated
operating profits.
Investigators found direct
evidence of inappropriate
accounting practices and
overstated profits in multiple
Toshiba business units,
including the visual products
unit, the PCC unit and
semiconductor unit.
This accounting misconduct
began under CEO Atsutoshi
Nishida in 2008 amid a GFC
out deeply into Toshiba
profitability. continued also
under Norio Sasaki and ended
under Tanaka.
24. Implications
Shareholders
Lack of trust
Stock Price decreased by 40%
Removed from Japan Stock Index
Lawsuits
Employees
Loss of jobs
Headcount from 2,17,000 to 1,83,000
Cut 30% jobs from customer
electronic.