Nissan Panel To Propose Bigger Role For External Directors In Ghosn Scandal’s Wake

www.oann.com | 3/6/2019 | Staff
melanie7 (Posted by) Level 3
TOKYO (Reuters) – A committee tasked with revamping corporate governance at Nissan Motor Co is expected to recommend on Wednesday a bigger role for external directors in overseeing the Japanese automaker following Carlos Ghosn’s arrest and ouster as chairman.

The independent panel will announce the results of its three-month audit of Nissan’s governance-related procedures, as the company seeks to draw a line under a near two-decade-long period during which Ghosn wielded outsized influence in his dual roles as its chairman and CEO for much of that time.

Power - Structure - Japan - Automaker - Committee

To decentralize the power structure at Japan’s second-largest automaker, the seven-member committee will likely also suggest that the company establish committees for board member nominations, auditing and for determining executive pay, according to a person familiar with the matter.

It may also recommend splitting the positions of company chairman, a role held by veteran top executives, and chairman of the board, who presides over board meetings, and that the latter position should be held by an external director.

Committee - Comment - Matter - Briefing - Wednesday

The committee was not immediately reachable for comment, but has previously declined to comment on the matter. It will hold a briefing on Wednesday evening to release the recommendations.

Like executives at many Japanese companies, Ghosn held both chairmanship positions at Nissan, adding to his influence at the automaker.

Nissan - Power - Ghosn - Executives - Auto

Nissan has said that too much power had been concentrated on Ghosn, one of the most feted executives in the global auto industry who orchestrated Nissan’s financial recovery in the early 2000s and created the blueprint for the automaking alliance between Nissan and France’s Renault SA.

At the...
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