Smaller creditors to stand by Sharp

Kyodo

At the request of the financially beleaguered consumer electronics maker, Sharp Corp.’s smaller lenders, including Resona and regional banks, are expected to continue extending loans totaling some ¥68 billion due for repayment at the end of this month, sources said Thursday.

Sharp’s main creditors, Mizuho Corporate Bank and the Bank of Tokyo-Mitsubishi UFJ, set up a ¥150 billion credit line in late August, to help the Osaka-based company procure funds to redeem its commercial paper and other needs.

The lenders will likely consider extending additional loans of around ¥300 billion after studying a restructuring program Sharp is expected to draw up by the end of this month, the sources said.