Toshiba has announced that it will exit the film and DVD production and distribution business and has agreed to sell its interest in Toshiba Entertainment to the Japanese advertising agency, Hakuhodo DY Media Partners.
Toshiba Corporation announced today that it has agreed to transfer its interest in Toshiba Entertainment Inc. (Toshiba Entertainment) to Hakuhodo DY Media Partners Inc. (Hakuhodo DY Media Partners). Effective May 1, 2007, Toshiba Entertainment will become a wholly owned subsidiary of Hakuhodo DY Media Partners.
Toshiba Entertainment is a film production and distributor that acquired Amuse Pictures, Inc. in 2003.
Toshiba Group is optimizing allocation of management resources through a strategic policy of "Focus and Concentration," with the objective of maximizing corporate strengths and potential for growth and profit. Following discussions of Toshiba Entertainment's film production and distribution business, and consideration of how best to secure the company's interests over the long term, Toshiba decided to transfer its 100 percent interest in the company to Hakuhodo DY Media Partners.
Toshiba seems to be cutting their losses. After backing out of the Japanese music market in December, it was only a matter of time before their film division got the axe. If you'd like to read more, Toshiba's entire press release can be found here.
