Toshiba may add more outside directors after accounting irregularities

TOKYO (Reuters) - Toshiba Corp <6502.T> may appoint more outside board members to help prevent a recurrence of accounting irregularities that are currently under investigation, the company's CEO said on Thursday.

TOSHIBA (JP6502.TK)has not been able to close its books for the year that ended in March because of the probe, with profits likely overstated by around 54 billion yen ($436 million) in recent years. It has also skipped its year-end dividend.

Chief Executive Hisao Tanaka told a shareholders' meeting that, while a third-party committee was still examining the extent and cause of the accounting problems, the company was eyeing ways to improve oversight.

"To ensure this does not happen again, we are considering the appointment of more outside directors and improving governance," he said.

Four of Toshiba's 16 board members are independent.

Tanaka also said the company was still undecided on when it could resume dividends. Sources familiar with the company's plans have said the company was considering an extraordinary dividend to compensate for the missed year-end payment.

The third-party investigation is expected to announce details on the irregularities around mid-July. So far, the company has said its problems included not booking appropriate losses and expenses, as well as underestimating material costs.

The company has said the issues involved smart meter sales to a major utility and electronic systems for highway toll booths.

(Reporting by Ritsuko Ando; Editing by Edmund Klamann)