Modernization of the Kentucky Plant in the United States
First written in FY2018-Q3. 1 of 4 entries say "Worsened", first in FY2025. Latest entry: FY2026.
The whole theme swung hardest in 2018: 2 of 9 companies on the "Worse" side.
2 other companies' latest entry also says "Other".
- FY2026Structural reform, including improving the profitability of the U.S. business, is under way.Annual report
「With regard to the first basic policy, “improving profitability through structural reform of existing businesses,” the Company addressed immediate challenges by pursuing structural reforms, including improving the profitability of the U.S. business, and establishing sustainable selling prices.」
Following the shortfall against the U.S. business productivity improvement plan and the recognition of impairment losses, improving the profitability of the U.S. business remains a target of structural reform. No specific improvement figures for the U.S. business alone were provided. - FY2025WorsenedAnnual report
「However, the productivity improvement plan was not achieved because, among other factors, labor shortages made it difficult to retain skilled workers. Following a review of the future business plan and an impairment recoverability test, the carrying amount was reduced to fair value, and the reduction was recorded as an impairment loss.」
The productivity improvement plan for Topy America, including the Kentucky plant in the United States, was not achieved, and an impairment loss of ¥1,279 million was recorded. - FY2018Impairment loss due to lower profitabilityAnnual report
「For the operating assets of Topy America, Inc., a consolidated subsidiary of the Company, the carrying amount was reduced to the recoverable amount because the decline in profitability made recovery of the investment no longer probable, and the reduction of ¥2,007 million was recorded as an impairment loss under extraordinary losses.」
An impairment loss of ¥2,007 million was recorded on the operating assets of Topy America, including the Kentucky plant, due to lower profitability. - FY2018-Q3First statedAnnual report
「As part of these efforts, we decided to renovate the Kentucky plant of TOPY AMERICA, INC. in the United States, where major global automakers operate production sites, in the steel wheel business.」
As a measure under the medium-term management plan, the Company decided to modernize its Kentucky plant, located in an area where major U.S. automakers have production facilities.