Mitsubishi Motors Corporation (MMC) has announced changes to its executive roster including new board member nominations which include several top Nissan Motor executives.
The changes, subject to approval at MMC's extraordinary shareholders' meeting scheduled for 14 December 2016, include Nissan Motor chairman, president and CEO Carlos Ghosn as representative director and board chairman; Takeshi Isayama, a former chairman of Carlyle Group Japan, Hiroshi Karube, a corporate vice president of Nissan Motor, and Hitoshi Kawaguchi, senior vice resident, CSO (chief sustainability officer), Nissan as outside directors and board members.
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Three current board members are to retire while seven will be reappointed.
Nissan Motor recently named Trevor Mann chief operating officer (COO). He was previously chief performance officer.
Nissan last month warned it expected a larger loss for fiscal year 2016/2017 (ending 31 March 2017) than previously forecast. It now sees a net loss of JPY240,000m (US$2.3bn) compared with an earlier prediction it would lose JPY145,000m. It made a JPY73,000m net profit in fiscal 2015/2016.
MMC cited a number of factors including "additional costs towards quality measures in market" which it said had "resulted in a forecast operating income loss of JPY32,000m and a net income loss of JPY220,000m due to the improper conduct in fuel economy testing-related losses".
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By GlobalDataIt also cited a JPY10,000m impact from "delay in recovering emerging markets' sales volume in regions including the Middle East plus Central and South America, JPY34,000m for currency effects, a JPY38,000m "quality measures" hit and revisions to an "impairment loss" at its Mizushima plant of JPY15,000m.
The troubled automaker's fuel economy falsification scandal drew the ire of minicar OEM supply customer Nissan which subsequently hiked its stake to 34% and named its own executives to key management and board posts at MMC.
