Sanyo to Eliminate Household Appliance Division

Japan's third-largest consumer electronics maker said it would move production of household appliances into that of commercial appliances in an attempt to establish an efficient production and development structure. In the process, the company will move operation of commercial appliances to its facilities in Gunma prefecture, north of Tokyo, combining it with household appliance operation.

Reuters reported that as part of Sanyo's restructuring efforts, it would sell a building in Tokyo to Orix Corp.'s real asset arm for 9.6 billion yen ($81.5 million).

The company's household appliance division marked a 20.4 billion yen loss ($173 million) for the fiscal year which ended in March, as the losses continue this year. It aims to profit by integration with the commercial appliance division.