Sony was urged to improve entertainment industry by major shareholder U.S. hedge fund Third Point LLC, as the latter said Tuesday that the summer films released by a Sony unit were “failures”.
Third Point criticized Sony Chief Executive Officer Kazuo Hirai for not holding anyone accountable for failures of science fiction film “After Earth” and action movie “White House Down”, in an official letter issued in April.
“Entertainment’s U.S.-based business is being ineffectively overseen and needs its own governance structure led by a board whose job it will be to worry about such troubling results”, said the U.S. fund, which holds 7 percent of Sony shares, Kyodo reports.
“After Earth” and “White House Down” were box office flops worldwide, as their grosses could not match their immense budgets.
Sony Corporation commonly referred to as Sony, is a All Japan newsese multinational conglomerate corporation headquartered in Tokyo. Its diversified business is primarily focused on the electronics, game, entertainment and financial services sectors. The company is one of the leading manufacturers of electronic products for the consumer and professional markets. Sony is ranked 87th on the 2012 list of Fortune Global 500.