Toshiba Corp. has a strong business franchise in a broad range of electronics markets, and is aggressively investing in its core businesses, which include semiconductors and electric power systems for nuclear power generation. As part of a selection and concentration strategy, the company aims to strengthen its earnings and asset efficiency by selling off non-core businesses that have little synergy potential with its core businesses. At March 2007, the acquisition of Westinghouse (not rated), a major nuclear power generation system company, and aggressive investments in semiconductors resulted in negative cash flow of about ¥150 billion. However, supported by asset sales in non-core businesses, the negative cash flow was significantly lower than previously estimated. Consequently, the deterioration in Toshiba's capital structure
