* Takata could face more costs if car makers expand air bag
* Takata says still studying impact on annual profit
(Adds Takata saying still studying impact on annual forecast,
share price move and background)
TOKYO, July 18 Takata Corp said on
Friday it would book a special loss of around 45 billion yen
($440 million) in the April-June quarter after several car
makers recently recalled vehicles due to potential problems with
its air bags.
Automakers including Honda Motor Co, Toyota Motor
Corp and BMW have said they were recalling
vehicles to fix Takata-made air bags that could explode and
shoot out shrapnel.
The cost of the latest recalls, announced in June and July,
could increase if a safety investigation in the United States
finds evidence that driving in high humidity increases the risk
of the air bags exploding, or if car makers decide to expand the
recalls beyond certain U.S. regions.
Takata said it is still studying the impact of the special
loss on its full-year forecast. The company currently expects to
post 16 billion yen in net profit for the year ending in March
In the year to March 2013, Takata took a $300 million charge
and posted a record 21.1 billion yen net loss after car makers
recalled 4 million vehicles worldwide over passenger-side air
Takata shares ended down 2.2 percent at 1,916 yen prior to
the announcement, underperforming Tokyo's benchmark Nikkei
average that fell 1.0 percent. Takata shares have dropped nearly
15 percent over the last month, after car makers started to
announce the most recent round of recalls.
More than 12 million vehicles have been recalled over the
last five years by multiple automakers due to potential problems
with Takata air bags.
($1 = 101.3500 Japanese Yen)
(Reporting by Yoko Kubota; Editing by Chang-Ran Kim and Miral