Panasonic Falls as U.S. Authorities Investigate Avionics Unit
- The company says it is in full cooperation with investigation
- Panasonic also raises full-year profit and sales forecasts
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Panasonic Corp. fell in Tokyo trading after the company said its in-flight entertainment and communications systems subsidiary is under investigation by U.S. authorities for allegedly breaking bribery and securities laws.
The shares fell as much as 2.7 percent to 1,137 yen on Friday, the biggest intraday drop in three months. Panasonic Avionics Corp. is being probed by the Department of Justice and the Securities and Exchange Commission for allegedly violating the Foreign Corrupt Practices Act. Osaka-based Panasonic said it’s cooperating with the agencies, and evaluating the potential financial impact of the probe.