Japan's Hitachi Forecasts Wider Fiscal Loss

TOKYO -- Japanese electronics maker Hitachi(HIT Quote) said Thursday its loss for the fiscal year ended March will be wider than its previous forecast, ballooning to 788 billion yen ($8 billion) after writing down the value of tax refunds it expects.

Hitachi, which makes everything from home appliances to medical equipment, already had been expecting its worst ever net loss of 700 billion yen as a global slump squelches demand.

The 788 billion yen of red ink would be the worst annual loss for a Japanese manufacturer, according to Shinko Research Institute. It would be the second-largest in Japanese corporate history after an 834.6 billion yen loss reported by telecommunications giant Nippon Telegraph and Telephone for the fiscal year ending March 2002, Shinko said.

Hitachi said in a statement it was forecasting a wider loss because the global slowdown will result in its business being smaller and the tax refunds it had factored into its books also would be smaller. ...