Seven & i expects extraordinary loss, revises forecasts on Sogo & Seibu sale

TOKYO (Reuters) - Japan's Seven & i said on Friday it expects an extraordinary loss and revised financial forecasts after the sale of its Sogo & Seibu department store unit.

The retail giant expects to record a total extraordinary loss of 145.7 billion yen ($1.0 billion) for the second quarter of the fiscal year ending in February.

It also revised mid-year and full-year forecasts to reflect the loss, adjusting its operating profit estimate 2.3% higher for the year ended in February, while cutting its net income guidance by 19.3%.

The company's Seibu Ikebukuro store reopened on Friday following a one-day strike from workers protesting the sale of the unit to U.S. fund Fortress Investment Group.

The deal closed after Seven & i reduced Sogo & Seibu's sale value by 30 billion yen from the originally agreed 250 billion yen. After adjusting for net debt and working capital, the final transfer price is estimated to be 85 million yen, Seven & i said.

($1 = 145.5600 yen)

(Reporting by Rocky Swift; Editing by Tom Hogue)