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Toshiba faces hurdles in quitting nuclear business

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Struggling Japanese electronics company Toshiba is looking to pull out of the US nuclear power plant business in a bid to turn around its finances.Toshiba postponed the release of its April-to-December earnings report for a second time on Tuesday. The report will not be available until April.Company executives say they need more time to finish investigating accounting irregularities involving huge losses at Westinghouse, their US nuclear business unit.They are considering selling their stake in Westinghouse. But they also face the challenge of stemming losses at the US subsidiary.The officials are already in talks with potential buyers, but sources say a deal will not be easy. They say Toshiba might end up with a big financial burden. It may also face difficulties finding a buyer if the US government imposes restrictions to protect nuclear technology.Toshiba's president and CEO is hopeful a solution will materialize. Satoshi Tsunakawa said it is not impossible to sell Westinghouse if its overall operations are taken into account.In the meantime, Westinghouse officials are weighing the option of filing for Chapter 11 bankruptcy.Tsunakawa said a variety of options are on the table, but that no decisions have yet been made.Toshiba executives said on Wednesday that they are going to meet with about 80 financial institutions, including their main creditor banks. They plan to explain their restructuring strategy, and ask for continued lending and other support.

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