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Tokyo Electric shares tumble more than 8 pct

Published 04/11/2011, 08:37 PM
Updated 04/11/2011, 08:40 PM
JP225
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April 12 (Reuters) - Shares of Tokyo Electric Power Co , the operator of the stricken Fukushima Daiichi nuclear power plant, fell more than 8 percent to as low as 458 yen on Tuesday, pulling back after posting strong gains in the last two sessions.

Tokyo Electric shares came under strong selling pressure on a report in the Nikkei daily on Tuesday that the power giant would not pay a dividend for the previous financial year to March and would also forgo payouts for the current year, hit by increasing losses related to a crippled nuclear plant after last month's devastating earthquake. [ID:nL3E7FB32A]

JP Morgan also said in a research report obtained by Reuters that the power company could face 2 trillion yen ($23.6 billion) in special losses in the current business year to March 2012 to compensate communities near the nuclear plant. [ID:nL3E7FB3NH]

Last Wednesday, the shares fell to a record low of 292 yen on concerns over huge damages payments related to the safety crisis at its Fukushima Daiichi nuclear power plant. ($1 = 84.600 Japanese Yen) (Reporting by Chikafumi Hodo; Editing by Edmund Klamann)

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