As banks and the government desperately work to solve the issue of mounting problem loans, many of which were extended to the construction industry, financially troubled contractor Fujita Corp. said Friday that it plans to merge its key construction division with Mitsui Construction Co. and Sumitomo Construction Co.
The two construction firms already agreed last month to merge their operations.
Fujita will be split into two units "as soon as possible," one specializing in the main construction business and one that will succeed the company's troubled real asset business, according to the midsize contractor.