Sharp Will Sell Assets Worth $2.74 Billion, Fires 11,000 Employees

The sum was revealed in a leaked memo and corresponds to around 2.13 billion Euro

We knew that Sharp was going to fire a part of its workforce, but the numbers we saw in the past, while high, do not even hold a candle to the figure revealed in a leaked memo.

The memo made its way into the hands of the people at Japanese news organization Kyodo News, and contains information about another curious fact.

Apparently, Sharp is doing badly enough to have no choice but to sell some of its assets, cut ties with a certain subsidiary and lower wages.

The number of men and women that will need to look for new employment is 11,000, and the ones that stay will have to do with lower monthly incomes.

In addition, the corporation will cut production at some of the manufacturing plants located overseas.

Furthermore, Sharp will relinquish its shares in Toshiba and won't keep its stake in its subsidiary.

Other than that, the LCD TV business will go through some downsizing and the solar battery manufacture will be lowered.

Finally, after all assets have been sold, Sharp hopes to accumulate $2.74 million, or 2.13 billion Euro if exchange rates are to be believed.

We don't know exactly when the new proposed round of job cuts will take place. The 2,000 we knew of before and the other 5,000 revealed last month will start in November, so that would imply that the next few thousands will begin at the same time, or maybe in December 2012 or early 2013.

The business sector that Sharp will continue to focus on is the display-manufacturing arm for mobile devices. In fact, the restriction of resources going towards TVs and everything else mentioned above is meant to free up capital to use for small screens. Whether or not this plan works will be made clear in one or two years.

Hot right now  ·  Latest news