Healios K.K (TYO:4593) said its board approved a proposal to reduce capital stock and capital reserves and transfer surplus to retained earnings to eliminate carry-forward losses, according to a Friday filing on the Tokyo Stock Exchange.

The company plans to cut capital stock by about 1.22 billion yen and capital reserves by about 1.22 billion yen, transferring the amounts to other capital surplus. It will then move 2.43 billion yen from other capital surplus to retained earnings, bringing retained earnings to zero.

The proposal will be submitted to shareholders on March 25, with an effective date of April 30 if approved.