Toshiba May Be Demoted by Tokyo Stock Exchange

The video discusses Toshiba's ongoing audit issues, particularly the lack of approval from Pricewaterhouse Coopers on their financial results. Despite this, Toshiba proceeded to file their earnings, which was somewhat expected by analysts and investors. The Tokyo Stock Exchange (TSC) is investigating Toshiba for accounting irregularities, with potential consequences including delisting or downgrading in the Topix index. The video also highlights Toshiba's historical accounting problems and the political implications of delisting a company employing over 100,000 people. Future developments, such as the memory chip sale and potential bids from Foxconn or the Japanese government, are expected to dominate headlines.

What was Toshiba's decision regarding their financial results in the absence of auditor approval?

• They decided not to file the results at all.

• They decided to wait for the auditor's approval.

• They filed the results without the auditor's approval.

• They hired a new auditor to review the results.

What is one potential action the TSC might take against Toshiba?

• Increase Toshiba's stock value.

• Delist Toshiba from the stock exchange.

• Merge Toshiba with another company.

• Provide financial aid to Toshiba.

What could happen if Toshiba is moved from the first to the second section of the Topix index?

• Toshiba's market value would increase significantly.

• Toshiba's shares would be included in more indexes.

• Investors would need to buy more Toshiba shares.

• Investors holding the Topix index would have to sell Toshiba shares.

What has been a recurring issue for Toshiba since 2015?

• Stable management structure.

• Successful mergers and acquisitions.

• Accounting irregularities.

• Consistent profit growth.

What major decision is expected to dominate Toshiba's headlines in the near future?

• The appointment of a new CEO.

• A merger with a competitor.

• The launch of a new product line.

• The sale of their memory chip business.