Troubled U.S. nuclear business Westinghouse Electric filed for Chapter 11 protection from creditors, Japanese owner Toshiba announced Wednesday.
A bankruptcy filing will allow Pittsburgh-based Westinghouse, whose nuclear plant projects has been hit with billions of dollars of losses, to renegotiate or break its construction contracts and to limit exposure to future losses.
The Japanese firm said Westinghouse-related liabilities totaled $9.8 billion as of December, adding that the troubled unit will be deconsolidated at the end of the month. Westinghouse will no longer be under its control and from its financial results, The company said.
Founded by George Westinghouse in 1886, Westinghouse is what was in 19th and early 20th centuries a major industrial conglomerate that helped change the world.