SAIKAWA TO STAY ON AS NISSAN CEO
Reappointment seen as rebuff to Renault’s merger bid
NISSAN Motor Co said yesterday Hiroto Saikawa would stay on as chief executive officer, backing the protege of former boss Carlos Ghosn even as top shareholder Renault pushed for a change in the Japanese carmaker’s leadership.
Saikawa’s re-appointment was likely to be seen as a rebuff to Renault, which had been pushing for leadership change at Nissan as a prelude to merger talks, said sources at both companies.
Saikawa, who had long opposed full integration, was seen as an obstacle to a tie-up, said several people.
Nissan’s lacklustre performance in the months since the dramatic ouster of Ghosn, following his arrest on charges of financial misconduct, has sparked concern at Renault.
Analysts estimate that Nissan’s planned 30 per cent dividend cut this year will wipe around €130 million (RM605.8 million) off Renault’s earnings.
Nissan said Renault chief executive Thierry Bollore would join its board while Renault chairman Jean-Dominique Senard would remain on the board.
The appointments will be presented for approval at a shareholder meeting next month.
There had been widespread speculation about Saikawa’s future and the make-up of the board after Nissan this week flagged a 28 per cent drop in annual profit and slashed the dividend, underscoring its struggle to turn the page after Ghosn.
Nissan would also increase the number of board seats to 11 from eight, it said, seven of which would be outside directors.
The make-up of Nissan’s board has vast implications for the Nissan-Renault alliance. The unequal relationship between them — smaller Renault has the bigger stake in Nissan — has long been a source of friction.