Sony plunges 8.25% on massive share sale plan

Who would buy shares in Sony until it rids itself of its loss making businesses?

Shares in Sony plunged 8.25% Tuesday on dilution fears after the Japanese electronics giant announced plans to raise 441 billion yen through stock and bond sales.

Only in Japan would a company that has been losing money for several years be able to raise cash via a stock offering -- except of course for a pure start-up. But, since most of Sony's shares are held by its banks and close business partners, this is really nothing more than a new round of financing. And with Sony's bonds are rated as junk, it cannot go down that road. Japan Inc. at its worst -- still desperate to keep a broken model alive.