SON: Sony Corporation: Sony Corporation of America Announces Closing on Sale
of 550 Madison Avenue Building
UK Regulatory Announcement
March 15, 2013
Sony Corporation of America Announces Closing on Sale of 550 Madison Avenue
Sony Corporation of America (“SCA”), a wholly owned subsidiary of Sony
Corporation (“Sony”), today announced that it has closed on the previously
announced sale of its U.S. headquarters building, located at 550 Madison
Avenue in New York City, to a consortium led by The Chetrit Group, a New
York-based owner of commercial properties in New York City and other major US
real estate markets. As previously announced, the sale price was $1.1 billion.
After repaying debt related to the building and other transaction costs, Sony
will receive net cash proceeds of approximately $770 million and expects to
realize a gain on the sale of approximately $685 million to be recorded as
operating income, both as previously announced. SCA and other Sony businesses
will remain in the building for up to three years under a leaseback
arrangement with the purchaser. Sony is currently reevaluating the impact of
this sale and other factors on Sony’s forecast of the consolidated financial
results for the fiscal year ending March 31, 2013.
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