(Reuters) - Tokyo Electric Power Co (9501.T) has asked the government for an injection of 1 trillion yen ($12 billion) in what would be Japan's biggest public bailout outside the banking sector, as it struggles with the aftermath of the Fukushima nuclear crisis.
The utility, widely known as Tepco, said on Thursday it had also sought 845.9 billion yen from a government-backed bailout body to help compensate victims of the tsunami-triggered accident - the world's worst nuclear disaster in 25 years.
Without the bailout, which must be approved by Trade Minister Yukio Edano, Tepco - which supplies electricity to 45 million people in and around Tokyo - could face insolvency, which in turn would mean massive losses for its lenders and bondholders.
Tepco President Toshio Nishizawa said the company's capital has fallen to 620 billion yen, from around 2 trillion yen before the March 11 disasters last year, underscoring the urgency of the fund injection.
"If this situation continues, there is a real possibility that we will become insolvent," he told a news conference. "I am painfully aware that our financial situation is extremely dire."
Read more: http://www.reuters.com/article/2012/03/29/us-tepco-idUSBRE82S0F620120329
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