Xerox ends agreement with Japan’s Fujifilms

NEW YORK — Copier company Xerox Corp. has ended an agreement to combine with Japan’s Fujifilm Holdings and is entering a settlement deal with investors Carl Icahn and Darwin Deason.

The two companies had announced earlier this year that Fuji Xerox, their 56-year-old joint venture, would combine with Xerox, with Fujifilm Holdings taking a 50.1 per cent stake in the newly formed company, New Fuji Xerox. The deal was meant to be part of a restructuring that, along with other reforms, would save the companies an estimated $1.7 billion a year by 2022.

But Norwalk, Connecticut-based Xerox said in a statement on Sunday that the deal was being terminated because of Fujifilm’s failure to enter into negotiations on improved terms.

Xerox said it has appointed five new board members and a new CEO.