Home Tags Posts tagged with "takata shares"

takata shares

0

Takata reported its third full-year loss in four years as it grapples with the rising costs of recalling airbags.

The Japanese airbag maker announced a net loss of 13.1 billion yen ($120.5 million) for its financial year ending in March.

Takata has been hit by a huge recall of faulty, potentially deadly, airbags used by car makers worldwide, which may affect more than 100 million vehicles.

The fault has been linked to the loss of 11 lives and more than 100 injuries.Takata airbag recall Mazda and Mitsubishi

The company has acknowledged some airbag inflators explode with too much force and spray metal shrapnel into the car.

Takata has paid out $70 million in fines so far and the company’s market value has dropped more than 80% since 2014.

Some 50 million vehicles have been recalled globally and last week, US authorities added up to 40 million more.

US regulators believe the volatile chemical used in the inflators, ammonium nitrate, can cause airbags to explode with excessive force.

Globally, 12 car makers are affected with Honda being the worst hit.

Toyota, Honda, Mazda and Ford have said they will stop using Takata airbags containing ammonium nitrate for their future models.

Takata also produces seatbelts, child seats, and other safety-related car parts.

For the current year, the company forecast a net profit of 13 billion yen.

Takata shares ended on May 11 2.5% higher, after losing 11% this week and more than 80% over the year.

0

Shares in Japanese airbag maker Takata fell as much as 3.5% in morning trade before recovering, as media reports suggested more recalls over faulty airbags supplied by the company.

An additional 20 million Takata airbags would be recalled by car maker Honda, Nikkei newspaper reported on May 8.

Honda shares rose 1.6% in Tokyo, while Takata shares closed 0.3% down.Takata airbag recall 2015

Meanwhile Nikkei 225 index rose by 0.7% to close at 16,216.03, following last week’s gains in the US.

In China, shares fell in response to the disappointing trade data released on May 8, which showed that both exports and imports fell more than expected in April.

The mainland benchmark Shanghai Composite fell 2.8% to close at 2,832.11 points while Hong Kong’s Hang Seng fared better. That market index closed up 0.2% at 20,156.81.

In South Korea, the Kospi index fell 0.5% to close at a one-month low, at 1,967.81 points.

Australia’s benchmark ASX/200 rose 0.5%, closing at 5,320.70.

© © 2011 - 2023 BelleNews.com