Streaksai Regulatory News (STK)

28 Feb 2006 07:00

Softbank Corp28 February 2006 February 10, 2006 Announcement of restructuring charge relating to the BBTV business, a broadband TV broadcasting service business, along with diversification of video content delivery business SOFTBANK Group (hereafter "the Group") runs BBTV, a broadband TV broadcastingservice business, which provides the TV broadcasting and video on demand (VOD)services for Yahoo! BB ADSL and Yahoo! BB hikari service customers. As announced on 19 December 2005, in order to reinforce the Group's Internetvideo content service business, SOFTBANK CORP. (hereafter "the Company")established TV Bank Corp. (Head Office: Minato-ku, Tokyo; Representative:Masayoshi Son) as a joint venture with Yahoo Japan Corporation (Head Office:Minato-ku, Tokyo; President and CEO: Masahiro Inoue) and started its operation,in December 2005. Following the start-up of the new Internet video content service business, theCompany reconsidered the future revenue generated from the use of the assetssolely used in the BBTV business and revaluated those assets. The Company herebyannounces that special loss was recorded as a result of this revaluation. The Group still continues to promote the BBTV business and further improve itsservices to customers. 1. Outline Following the new Internet video content service business, BB Cable Corporation(Head Office: Minato-ku, Tokyo; Representative: Ken Miyauchi; hereafter "BBCable"), a wholly-owned subsidiary of the Company, SOFTBANK BB Corp. (HeadOffice: Minato-ku, Tokyo; Reprentative: Masayoshi Son; hereafter "SOFTBANK BB"),and BB TECHNOLOGY Corp. (Head Office: Minato-ku, Tokyo; Representative:Masayoshi Son; hereafter "BB TECHNOLOGY"), the three companies that operate theBBTV business, have reconsidered the future revenue generated from the use ofthe assets solely used in the BBTV business and revaluated those assets. 2. Impacts on consolidated financial results In the 3rd quarter for the fiscal year ending March 31, 2006, restructuringcharge relating to BBTV business of /14.7 billion was recorded as special loss,following the reconsideration of the future revenue generated from the use ofthe assets solely used in the BBTV business and revaluation on those assets. (Details of restructuring charge relating BBTV business) Company Names Figure DetailsBB Cable Approx. 6.7 Mainly broadcasting and streaming facilities billion yenSOFTBANK BB Approx. 7.8 Set-top boxes billion yenBB TECHNOLOGY Approx. 100 Routers solely used for BBTV business million yen - The above figures are the results after the internal transaction adjustmentsundertaken for consolidated account settlement. This information is provided by RNS The company news service from the London Stock Exchange