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Takata boss to step down

Tuesday, June 28, 2016 - 01:12

Takata Corp's chief executive says he will resign after a ''new management regime'' is found, finally bowing to calls for change so that the auto parts supplier can move ahead in dealing with a multi-billion dollar airbag recall. Sonia Legg reports

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This time last year he was offering his condolences now Takata's Chief Executive is falling on his sword. Shigehisa Takada says he'll step down once a "new regime" is in place, finally bowing to calls for change at the beleaguered auto parts supplier. (SOUNDBITE) (English) ETX CAPITAL, HEAD OF TRADING, JOE RUNDLE SAYING: "I don't think it's a surprise. The depth of the scandal and the problems there makes his position untenable so yes he had to offer himself - whether it's best for the company to have a period of uncertainty during a troubled time I am not entirely sure." The Japanese firm's airbag woes first emerged in 2008. Since then fatalities have been linked to its inflators and recalls have mounted. Three annual losses followed and shares tumbled - 90 percent since early 2014. Takata's also facing a potential bill of $10 billion if its found solely responsible for the fault. Investment bank Lazard is now trying to help and 30 potential investors are said to be showing an interest. A solution is reportedly expected by November - but Shigehisa Takada - a third generation leader for the firm - won't be part of it.

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Takata boss to step down

Tuesday, June 28, 2016 - 01:12