Tokyo - Pioneer Corp plans to raise 2.5 billion yen (25.85 million dollars) in fresh capital from one of its business partners, Honda Motor Co, the firm said Tuesday. Honda will pay 170 yen for each of Pioneer's 14.7 million new shares and to become the second-largest shareholder with a 6.54-per-cent stake after Sharp Corp, according to Japan's business daily The Nikkei.

Tokyo - Honda Motor Co reported Tuesday its net profit plunged 77.2 per cent in fiscal 2008 that ended March 31, to 137 billion yen (1.4 billion dollars) as it suffered from the yen's surge and a sales decline caused by the global economic downturn. Japan's second-largest automaker saw operating profit nosedive 80.1 per cent to 189.6 billion yen because of sales declines, increased raw material costs and a stronger yen, the company said.

Sales for the year dropped 16.6 per cent to 10.01 trillion yen from the previous fiscal year.

Tokyo - Tokyo stocks lost more than 2 per cent to close Tuesday trading on fears of swine flu and concerns over the US economy. The benchmark Nikkei 225 Stock Average plunged 232.57 points, or 2.67 per cent, to close at 8,493.77.

The broader Topix index of all first-section issues was also down 21.11 points, or 2.53 per cent, at 811.99.

The market entered positive territory at the end of morning trading on pharmaceutical shares.

Tokyo  - The Japanese government on Tuesday urged its citizens to postpone trips to Mexico and those who live there to return at an early date.

Prime Minister Taro Aso has set up a task force Tuesday morning and raised the alert level after the World Health Organization (WHO) upgraded the pandemic alert level to phase 4, following a swine flu outbreak in Mexico which may have caused as many as 149 deaths so far.

Phase 4 means that there is sustained human-to-human transmission of the virus in at least one country, according to the WHO.

Tokyo - Sharp Corp incurred a net loss for fiscal 2008 after the company introduced inventory control, cost-reduction measures and structural reforms, it said Monday. The Japanese electronics company reported a net loss of 125.82 billion yen (1.3 billion dollars) the fiscal year that ended March 31, a reversal from the profit of 101.92 billion yen the previous fiscal year.

Tokyo - Japanese electronics companies Renesas Technology and NEC Electronics have agreed to merge their business operations by April 2010 to become the nation's largest semiconductor maker and the world's third-largest chipmaker, the companies announced Monday. The move was designed to ensure the companies' survival during the global downturn. They are expected to sign the deal in July.

Renesas, a joint venture between Hitachi Ltd and Mitsubishi Electric, is the country's second-largest chipmaker after market leader Toshiba.