Sony’s in a ‘Bag of Hurt’

Aaron Souppouris, reporting for The Verge:

The second charge is due to what Sony calls “demand for physical media contracting faster than anticipated,” especially in Europe. Because of this, Sony says it does not believe the business will generate “sufficient cash flow in the future to recover the carrying amount of long-lived assets.” It anticipates an impairment charge on those assets, and a second charge on the overall value of its disc manufacturing business, which will amount to 25 billion yen ($245 million).

★ Thursday, 1 May 2014