http://www.usatoday.com/story/money/cars/2016/05/12/nissan-takes-34-stake-scandal-hit-mitsubishi-motors/84270134/ Nissan takes 34% stake in scandal-hit Mitsubishi Motors May 12, 2016 Mike Snider, The Associated Press
Mitsubishi has admitted to falsifying fuel econmy test data for more than 600,000 vehicles sold in Japan. Video provided by Newsy Newslook Nissan is investing $2.2 billion for a one-third stake in Mitsubishi Motors, which is in the midst of a gas mileage cheating scandal. The investment, which will make Nissan the largest shareholder in the troubled auto maker, is a "win-win" said Nissan Chief Carlos Ghosn in announcing the deal with Mitsubishi Motors Chairman Osamu Masuko. "We will support MMC as they address their challenges and welcome them as the newest member of our enlarged Alliance family," Ghosn said, who appeared with Masuko at a joint conference Thursday in Yokohama, where Nissan is headquartered. Other Mitsubishi companies such as Mitsubishi Heavy Industries, trading company Mitsubishi Corp. and the Bank of Tokyo-Mitsubishi UFJ have agreed to support the deal and will remain as Mitsubishi Motor shareholders, the companies said in a statement announcing the deal. Back in 1999, Renault invested in Nissan, at the time facing its own financial struggles. Now each companies own shares in the other as part of their alliance. The addition of Mitsubishi to the alliance will strengthen cooperation in purchasing, common vehicle platforms, technology-sharing, joint plant utilization and growth markets, the companies said. “This is a breakthrough transaction and a win-win for both Nissan and Mitsubishi Motors. It creates a dynamic new force in the automotive industry that will cooperate intensively and generate sizeable synergies,” said Ghosn, who is CEO of Nissan and Renault. Nissan and Mitsubishi will maintain separate identities, brands and dealerships, Ghosn and Masuko said. Under the deal, Nissan will purchase 506.6 million newly-issued Mitsubishi Motors shares for 468.52 yen a share. The deal is still subject to a formal signing of an agreement, regulators’ and shareholders’ approvals, but expected to close by the end of the year. Mitsubishi has been hit by a scandal over falsifying gas mileage ratings and Masuko apologized for the scandal during the news conference. “This agreement will create long-term value needed for our two companies to progress toward the future,” he said. The company on Wednesday said the cheating began with two models sold in Japan in 2014. The fuel economy ratings scandal does not include models sold in the U.S., Mitsubishi has said. Tokyo-based Mitsubishi Motors, which makes the makes the Outlander sport-utility vehicle and the i-MiEV electric car, acknowledged last month that it had systematically falsified mileage data on its eK wagon and eK Space light passenger cars, which were produced for Nissan as the Nissan Dayz and Dayz Roox. It is common for a manufacturer to sell a product made by another company under its own brand. The latest scandal surfaced after Nissan did its own mileage tests and raised questions. Nissan does not have minicars in its lineup, and placing Mitsubishi under its group umbrella would be one solution. But Nissan, which makes the March subcompact, Infinti luxury models and Leaf electric car, would face a major challenge in repairing Mitsubishi’s tarnished reputation and winning back consumer trust. In the early 2000s, Mitsubishi disclosed a shocking scandal involving cover-ups of defects such as failing brakes, faulty clutches and fuel tanks prone to falling off, dating back to the 1970s. That resulted in more than a million vehicles being recalled retroactively. In the unfolding mileage scandal, Mitsubishi has said the rigging dates back 25 years, and may involve all its models, including discontinued ones. Ghosn has saved Nissan from near-bankruptcy, imposing cost cuts that have been more efficient, if not brutal, than old-style Japanese management, which relies on cautious, harmonious decision-making by committee and vaguely defined responsibilities. Mitsubishi had an unsuccessful partnership involving foreign management, with DaimlerChrysler AG in 2000 that failed to reverse Mitsubishi’s debts and lagging sales. The collaboration gradually unraveled, ending after about five years. [© usatoday.com] http://www.wsj.com/articles/nissan-to-take-34-stake-in-mitsubishi-motors-1463038142 Nissan to Take $2.2 Billion Stake in Scandal-Hit Mitsubishi Motors May 12, 2016 Deal would see Nissan become the controlling shareholder in Mitsubishi Motors ... ... https://cleantechnica.com/2016/05/12/mitsubishi-rescued-nissan/ Mitsubishi Rescued By Nissan May 12th, 2016 ... http://www.bbc.com/news/business-36273122 Nissan to take 34% stake in Mitsubishi Motors 12 May 2016 ... http://www.ft.com/cms/s/0/25d3bf34-17d7-11e6-b197-a4af20d5575e.html#axzz48VxpnMEo Nissan to take 34% stake in Mitsubishi Motors May 12, 2016 ... http://www.nzherald.co.nz/world/news/article.cfm?c_id=2&objectid=11638273 Nissan and scandal-hit Mitsubishi in talks on partnership May 12, 2016 ... The Tokyo-based automaker, which makes the ... the i-MiEV electric car, acknowledged last month that it had systematically falsified mileage data on its ... light passenger cars, which were produced for Nissan ... ... http://www.urbandictionary.com/define.php?term=kissing%20cousin A "kissing cousin" is any cousin that is not a first cousin ... http://www.grammarphobia.com/blog/2012/09/kissing-cousins.html For EVLN EV-newswire posts use: http://evdl.org/evln/ {brucedp.150m.com} -- View this message in context: http://electric-vehicle-discussion-list.413529.n4.nabble.com/EVLN-i-Miev-EV-to-be-Leaf-s-kissin-cousin-Nissan-s-2-2B-owns-34-of-Mitsubishi-tp4682046.html Sent from the Electric Vehicle Discussion List mailing list archive at Nabble.com. _______________________________________________ UNSUBSCRIBE: http://www.evdl.org/help/index.html#usub http://lists.evdl.org/listinfo.cgi/ev-evdl.org Read EVAngel's EV News at http://evdl.org/evln/ Please discuss EV drag racing at NEDRA (http://groups.yahoo.com/group/NEDRA)
