Under millionaire loss, Philips sells audio and video unit

Philips will get rid of all the audio and video deals, selling them for 150 million euros (R $ 408.7 million) Japanese company Funai Electric in an operation that marks the company’s departure from its more traditional operations.

The Dutch idea, according to Reuters, to focus on more profitable segments of home appliances, health and food. Philips has struggled for years to compete with Asian brands that sell electronics at lower costs; the company had already separated the television unit when it entered into, in early 2012, a joint venture with TPV, from hong kong.

This Tuesday, 29, Philips reported having suffered a net loss of 355 million euros (R $ 967.3 million) in the fourth quarter of 2012 – something already expected, due to the amount of debt accumulated by the company.

Philips owes 509 million euros (R $ 1.3 billion) to the European Union for a fine for cartel practices in the television business. In addition, the restructuring charges (to be paid because of the integration of some operations) increased to 380 million euros (R $ 1.03 billion), when 300 million euros (R $ 817.5 million) were expected .

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