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Business

Mitsubishi Heavy weighs pros, cons of Areva investment

Mitsubishi Heavy Industries and Areva announced a tie-up in October 2006.

TOKYO -- Japan's Mitsubishi Heavy Industries faces a difficult decision: An important business partner, French nuclear plant builder and operator Areva, has asked it to invest in its wholly owned manufacturing unit, Areva NP.

     Lending financial assistance to Areva could help both companies sell more nuclear plants in emerging markets, but Areva's business has been performing poorly for years. Throwing its lot in with the French company is a risk and would have big implications for Mitsubishi Heavy's own nuclear power operations.

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