Toshiba has confirmed it is cutting thousands of jobs in its television unit.
It was announced by the company that it will be halving the department – with the loss of 3,000 jobs in total – while it will also close down two of its three overseas TV manufacturing facilities.
The share price of the firm dropped on the back of the news it is letting thousands of members of staff go. Stocks were down by more than one per cent today (September 30th).
Toshiba has stated falling sales of televisions have meant it has had little choice but to cut the size of this department of the business.
It is now set to focus on areas of growth in Asia and Africa and end sales in "unprofitable regions" in the coming months and years.
In a statement, Toshiba said the changes were aimed "toward improving profitability and strengthening foundations of the business".
Learn about the Asian markets and CFD trading at City Index
StoneX Financial Ltd (trading as “City Index”) is an execution-only service provider. This material, whether or not it states any opinions, is for general information purposes only and it does not take into account your personal circumstances or objectives. This material has been prepared using the thoughts and opinions of the author and these may change. However, City Index does not plan to provide further updates to any material once published and it is not under any obligation to keep this material up to date. This material is short term in nature and may only relate to facts and circumstances existing at a specific time or day. Nothing in this material is (or should be considered to be) financial, investment, legal, tax or other advice and no reliance should be placed on it.
No opinion given in this material constitutes a recommendation by City Index or the author that any particular investment, security, transaction or investment strategy is suitable for any specific person. The material has not been prepared in accordance with legal requirements designed to promote the independence of investment research. Although City Index is not specifically prevented from dealing before providing this material, City Index does not seek to take advantage of the material prior to its dissemination. This material is not intended for distribution to, or use by, any person in any country or jurisdiction where such distribution or use would be contrary to local law or regulation.