TOKYO -- Growing mistrust and frustration among regional banks is adding another layer of uncertainty to Toshiba's future, as smaller lenders protest what they see as favorable treatment of major banks, forcing the company to redraw its refinancing timetable.
Toshiba, in the midst of a deep financial crisis, has offered creditors fresh collateral as an incentive to roll over existing lines of credit.
The Tokyo-based company's plan would put up shares in Toshiba Memory, a new unit to be created from its profitable semiconductor memory operations, to secure some 680 billion yen ($6.16 billion) in financing from leading lenders such as Sumitomo Mitsui Banking Corp. and Mizuho Bank. Regional banks and other lenders, which together provide 618 billion yen in financing, would be offered such assets as shares in other Toshiba group companies and real estate. read more here