Feeds

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

Something the Japanese biz will actually make a profit on

Bridging the IT gap between rising business demands and ageing tools

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. ®

Application security programs and practises

More from The Register

next story
BBC goes offline in MASSIVE COCKUP: Stephen Fry partly muzzled
Auntie tight-lipped as major outage rolls on
iPad? More like iFAD: We reveal why Apple fell into IBM's arms
But never fear fanbois, you're still lapping up iPhones, Macs
Philip K Dick 'Nazi alternate reality' story to be made into TV series
Amazon Studios, Ridley Scott firm to produce The Man in the High Castle
Stick a 4K in them: Super high-res TVs are DONE
4,000 pixels is niche now... Don't say we didn't warn you
Amazon Reveals One Weird Trick: A Loss On Almost $20bn In Sales
Investors really hate it: Share price plunge as growth SLOWS in key AWS division
Bose says today is F*** With Dre Day: Beats sued in patent battle
Music gear giant seeks some of that sweet, sweet Apple pie
There's NOTHING on TV in Europe – American video DOMINATES
Even France's mega subsidies don't stop US content onslaught
You! Pirate! Stop pirating, or we shall admonish you politely. Repeatedly, if necessary
And we shall go about telling people you smell. No, not really
Too many IT conferences to cover? MICROSOFT to the RESCUE!
Yet more word of cuts emerges from Redmond
prev story

Whitepapers

Designing a Defense for Mobile Applications
Learn about the various considerations for defending mobile applications - from the application architecture itself to the myriad testing technologies.
Implementing global e-invoicing with guaranteed legal certainty
Explaining the role local tax compliance plays in successful supply chain management and e-business and how leading global brands are addressing this.
Top 8 considerations to enable and simplify mobility
In this whitepaper learn how to successfully add mobile capabilities simply and cost effectively.
Seven Steps to Software Security
Seven practical steps you can begin to take today to secure your applications and prevent the damages a successful cyber-attack can cause.
Boost IT visibility and business value
How building a great service catalog relieves pressure points and demonstrates the value of IT service management.