Feeds

Cash-ravenous Sony will flog Manhattan HQ for $1.1 BEELLION

Something the Japanese biz will actually make a profit on

High performance access to file storage

Sony is ready to flog its sky-scraping US HQ in Manhattan for $1.1bn to get hold of some much-needed cash.

After debts on the building have been settled up, the entertainment giant expects to walk away with $770m - that's $685m more than it paid for it in 2002. However, by way of comparison, the firm recorded a $5.7bn net loss for its last fiscal year.

"Sony is undertaking a range of initiatives to strengthen its financial foundation and business competitiveness and for future growth," the company said in a canned statement.

"At the same time, Sony is balancing cash inflows and outflows while working to improve its cash flow by carefully selecting investments, selling assets and strengthening control of working capital such as inventory.

"This sale is made as a part of such initiatives."

Sony and its businesses, including the music and movies divisions, will stay in the Madison Avenue skyscraper for up to three years in a leaseback agreement with the buyers, a consortium led by real-estate biz The Chetrit Group.

The Japanese giant said it expected the deal to be done by March this year and it would rejig the numbers in its fiscal year forecast to take the sale into account.

Sony has lost money every year for the past four years as it failed to make an impact in the mobile devices market while its PlayStations remained in hot competition with Xbox and Wii consoles; its handheld gaming gear didn't make the splash the firm was hoping for, either.

Like many other older tech firms, Sony has started restructuring itself to focus on more profitable markets. So far, the company has sold off its chemical subsidiary and cut thousands of jobs. ®

High performance access to file storage

More from The Register

next story
Audio fans, prepare yourself for the Second Coming ... of Blu-ray
High Fidelity Pure Audio – is this what your ears have been waiting for?
Dropbox defends fantastically badly timed Condoleezza Rice appointment
'Nothing is going to change with Dr. Rice's appointment,' file sharer promises
Nokia offers 'voluntary retirement' to 6,000+ Indian employees
India's 'predictability and stability' cited as mobe-maker's tax payment deadline nears
Apple DOMINATES the Valley, rakes in more profit than Google, HP, Intel, Cisco COMBINED
Cook & Co. also pay more taxes than those four worthies PLUS eBay and Oracle
It may be ILLEGAL to run Heartbleed health checks – IT lawyer
Do the right thing, earn up to 10 years in clink
France bans managers from contacting workers outside business hours
«Email? Mais non ... il est plus tard que six heures du soir!»
Adrian Mole author Sue Townsend dies at 68
RIP Blighty's best-selling author of the 1980s
Zucker punched: Google gobbles Facebook-wooed Titan Aerospace
Up, up and away in my beautiful balloon flying broadband-bot
Analysts: Bright future for smartphones, tablets, wearables
There's plenty of good money to be made if you stay out of the PC market
prev story

Whitepapers

Mainstay ROI - Does application security pay?
In this whitepaper learn how you and your enterprise might benefit from better software security.
Five 3D headsets to be won!
We were so impressed by the Durovis Dive headset we’ve asked the company to give some away to Reg readers.
3 Big data security analytics techniques
Applying these Big Data security analytics techniques can help you make your business safer by detecting attacks early, before significant damage is done.
The benefits of software based PBX
Why you should break free from your proprietary PBX and how to leverage your existing server hardware.
Mobile application security study
Download this report to see the alarming realities regarding the sheer number of applications vulnerable to attack, as well as the most common and easily addressable vulnerability errors.