Sep. 28--TOKYO -- Leisure services provider Tokyo Dome Corp. said Thursday it will withdraw from the operations of six resort facilities to turn around its overall performance from the worst-ever red-ink results posted in the February-July period this year.

Tokyo Dome will also sell its financial services arm Korakuen Finance Co. and concentrate its business resources on Tokyo Dome City, its key leisure complex in central Tokyo, the firm said.

The six resort facilities it will seek to sell are five golf courses in the prefectures of Hokkaido, Tochigi, Ibaraki, Chiba and Oita as well as a ski resort in Niigata Prefecture.

Tokyo Dome said it reached a basic agreement the same day with U.S.-based investment fund Lone Star to sell Korakuen Finance.

Tokyo Dome's consolidated net balance for the February-July period sank into the red with a 97.10 billion yen loss, its worst-ever midterm loss, from a profit of 2.97 billion yen a year before.

The company also revised downward its projections for the net balance for the 12-month period to Jan. 31, 2007, saying it now expects to book a largest-ever loss of 86.1 billion yen, compared with a 29 billion yen loss forecast in March.

Shinji Kushiro, an operating officer, said at a news conference, "The withdrawal from these unprofitable operations will enable our company to post stable revenues and profits down the road." The company said it will seek to return to the black in the business year to Jan. 31, 2008, by conducting additional capital outlays for new facilities in Tokyo Dome City.

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By Kyodo News International, Tokyo

To see more of Kyodo News International, go to http://www.kyodonews.com

Copyright (c) 2006, Kyodo News International, Tokyo

Distributed by McClatchy-Tribune Business News.

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Story from REDORBIT NEWS: http://www.redorbit.com/news/display/?id=673882

Published: 2006/09/28 15:00:26 CDT

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