Stream Reports Non-Recoverable Debt From Subsidiary's Trading Partner

TOKYO, Jul 17 (Pulse News Wire) – Stream CO.,LTD. (3071.T) announced that its subsidiary, X-One Corporation, has declared non-recoverable debt related to trade receivables.

The total amount includes loans of ¥262 million and accrued interest of ¥1 million, totaling ¥263 million. This represents 8.83% of the consolidated net assets. X-One had extended financial support to the trading partner since 2023 to expand its operations but faced challenges due to the partner’s inability to meet initial plans.

Despite ongoing negotiations, the conclusion was reached that the partner could not continue operations, leading to the declaration of non-recoverability. Regarding the impact, the company stated that the loan portion of ¥262 million has already been accounted for in previous years' provisions. However, the accrued interest of ¥1 million will be recognized as a special loss during the interim period of the fiscal year ending January 2027.