Tokyo - JVC Kenwood announced last week that it will realign three business units into the
company to improve efficiency and bolster development and production capabilities.
According to reports in Japan, the holding company and three separate operations under it will merge into one business by early October. The move is expected to be completed by the end of fiscal 2011.
The new company will continue production using the JVC and Kenwood brand names, the reports said.
Business units under the holding company include: Victor Co. of Japan Ltd. (JVC); car electronics maker J&K Car Electronics Corp.; and Kenwood Corp., which makes home audio and communications equipment.
The company last year was forced to issue a warning about its status as a going concern after posting a net loss of more than 30 billion yen ($360 million) for the year to March 2009, and further losses in the first three quarters of the current business year.
The company has slashed jobs and sold off certain business operations in an effort to remove the warning by year's end.