Parent of Fuji TV posts first-ever annual net loss
The parent company of one of Japan's top broadcasters has posted its first-ever annual net loss. It comes after a scandal at Fuji Television Network prompted many firms to cancel their ads.
Fuji Media Holdings said on Friday that its group-wide net loss for the year that ended in March came to 20.1 billion yen, or about 138 million dollars.
This is the first time the firm has ended a year in the red since it became a certified broadcasting holding company in 2008 --- and the first loss since Fuji TV went public on the Tokyo Stock Exchange in 1997.
A wave of corporate sponsors pulled their commercials from Fuji TV programs after the scandal involving a major celebrity surfaced in January. The parent firm also booked an extraordinary loss on fixed assets.
Meanwhile, Fuji Media decided at its board meeting on Friday to reject a proposal from major shareholder Dalton Investments on restructuring the board.
Fuji Media instead approved a plan to recommend 11 directors not included in Dalton's proposal.
Fuji Television Network President Shimizu Kenji said: "We don't want to have a proxy fight. Our shareholders will make a final decision on this matter."
Fuji Media Holdings' general shareholders meeting is scheduled for June 25th.
Shimizu, who is set to take over as president of the parent company, said he wants to continue dialogue with all shareholders.
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