[NukeNet] Toshiba Completes Purchase of Westinghouse & Expects Large Nuke Power Expansion

[Bill Smirnow]

 Mothersalert: http://www.mothersalert.org
http://www.mothersalert.org/moreinfo.html



http://www.nytimes.com/aponline/business/AP-Japan-Toshiba-Westinghouse.html
     Toshiba Completes Purchase of Westinghouse
  a..                E-Mail
  b.. Print
  c.. Save



By THE ASSOCIATED PRESS
Published: October 17, 2006
Filed at 5:56 a.m. ET

TOKYO (AP) -- Toshiba has completed the purchase
of Westinghouse Electric Co., acquiring a 77
percent stake in the U.S. producer of atomic power
plant equipment for US$4.16 billion, the Japanese
electronics maker said Tuesday.

The Shaw Group Inc. of the U.S. bought a 20
percent stake for US$1.08 billion, it said.

Japanese heavy machinery maker Ishikawajima-Harima
Heavy Industries Co. purchased a 3 percent stake
for US$162 million, Toshiba said in a statement.

The move is key to strengthening Toshiba's nuclear
power generation operations as a global business,
it said.

Toshiba is a leading supplier of nuclear power
plants in Japan, with a 35 percent share of
generation capacity. The Westinghouse deal means
Toshiba will gain a 28 percent share of the global
market, according to the company.

By acquiring Westinghouse, Toshiba gains another
technology in nuclear plants. Toshiba's strength
is in boiling water reactors, while Westinghouse
specializes in pressurized water reactors.

Westinghouse Electric, which remains headquartered
in Monroeville, Pennsylvania, becomes a Toshiba
group company.

In February, British Nuclear Fuels PLC agreed to
sell its Westinghouse operations, along with its
U.S. unit, BNFL USA Group, to Toshiba for US$5.4
billion.

Tuesday's shares of investment were in line with
their agreement announced earlier this month.
Toshiba also said it will continue to hold talks
with other potential partners for running
Westinghouse.

By making Westinghouse its group company, Toshiba
expects the scale of its nuclear power business to
rapidly expand to 700 billion yen (US$5.9 billion;
euro4.7 billion) in 2015, and to 900 billion yen
(US$7.6 billion; euro6.1 billion) in 2020, from
200 billion yen (US$1.7 billion; euro1.4 billion)
today, Toshiba said.

Toshiba said earlier this month that it cleared
all antitrust reviews and completed all the
necessary regulatory filings in both the U.S. and
the European Union.