New Head Of Scandal-Hit Kobe Steel May Seek Mergers For Some Business Units

www.oann.com | 3/16/2018 | Staff
adele2234 (Posted by) Level 3
(Reuters) – Kobe Steel’s new president on Friday said he may seek mergers or alliances outside the company for one or more of its business divisions, as he battles to repair damage from a data fraud scandal that roiled Japanese industry.

Mitsugu Yamaguchi faces a difficult challenge to rebuild credibility at the 112-year-old steelmaker, which sent shockwaves through global supply chains after revealing widespread tampering of specifications on products used in planes, trains and automobiles.

Safety - Issues - Company - Shares - Losses

While no safety issues have been identified and the company’s shares have recovered much of their sharp losses from the early days of the scandal, Kobe Steel faces a U.S. Department of Justice investigation that may yet prove costly.

Consumers in the United States and Canada have also filed lawsuits against Japan’s third-largest steelmaker.

Kobe - Steel - Certificates - Quality - Customers

Kobe Steel has lost certificates of industrial quality that may make it harder to sell to certain customers.

“I will fully carry out my responsibilities to prevent any recurrences and regain trust,” Yamaguchi, 60, said at a press conference.

Company

He said the company was unlikely to seek a...
(Excerpt) Read more at: www.oann.com
Wake Up To Breaking News!
Sign In or Register to comment.

Welcome to Long Room!

Where The World Finds Its News!