The state-backed Industrial Revitalization Corp. of Japan has begun analyzing financial data provided by Daiei Inc. without a formal request from the struggling retailer, the minister in charge of industrial revitalization said Friday.
The IRCJ, which is charged with helping revive heavily indebted companies deemed otherwise viable, usually begins to analyze such firms’ finances and assets after being asked for help, Kazuyoshi Kaneko told a news conference.
But as the IRCJ is legally required to make decisions on loan purchases by the end of March, it needs to have started analyzing Daiei’s finances by early September to be ready for the nationwide supermarket chain operator’s request for assistance.
“We had late August in mind” for the IRCJ’s launch of inspections into Daiei’s finances, Kaneko said. “But it can cover it” despite the delay.
Daiei insists it can revive itself without help from the IRCJ. Its main creditor banks are meanwhile urging the company to turn to the IRCJ for assistance.
Daiei President Kunio Takagi said the company has no intention of seeking aid from the IRCJ, although it has provided certain financial information as part of informal negotiations.
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