Nissan's Shareholders Raise their Concerns

Things between Nissan and their shareholders are getting more and more turbulent. If you’re not caught up yet, former Nissan executive Carlos Ghosn is now an international fugitive after various allegations of financial wrongdoing. Before that, Ghosn was the founding chairman and CEO of Renault Nissan, and is credited with reviving the brand. After a number of arrests, Ghosn eventually escaped custody and resurfaced in Lebanon, much to the chagrin of Japanese officials.
Carlos Ghosn
Last Tuesday, February 18, 2020, Nissan shareholders made sure that their feelings are known as they expressed their outrage at the Japanese automaker’s shareholder’s meeting for crashing stock prices, zero dividends and quarterly losses after the ungraceful exit of Ghosn. The shareholders got up one by one and demanded that Nissan Motor Co. quickly fix diminishing car sales, repair its disgraced brand name, and have executives give up their pay. New Chief Executive Makoto Uchida apologized to shareholders for having “allowed the misconduct” of Ghosn and promised better governance, transparency and financial results, but pleaded for more time. He said a turnaround plan will be announced in May, which one shareholder immediately criticized as too late. “We are in a disastrous situation,” Uchida commented of the Ghosn scandal. “It was shocking, and I denounce it.” Uchida was tapped in December to replace Hiroto Saikawa, who was Ghosn’s successor.
Makoto Uchida
Saikawa resigned last year after he too, had allegations surface about his own dubious personal income. At the meeting, one shareholder asked if Saikawa was giving up his retirement pay. “Global sales of Nissan vehicles have plunged. Nissan recorded red ink for the quarter through December, the first such quarterly loss in 11 years,” a press release stated. “Hanging over the entire meeting was Nissan’s plummeting fortunes, its reputation tarnished over not only the Ghosn scandal but the shaky way it was handled at the company. Shareholders said they saw confusion in management. One argued no one would want to buy a car from a company that looked as disorganized as Nissan. At one point, several shareholders began shouting at each other. Another shareholder proposed putting a bounty on Ghosn’s head so he could be brought back from Lebanon to stand trial. Japan and Lebanon do not have an extradition treaty. Ghosn, who has insisted on his innocence, has said he was targeted with trumped up charges because of what he called a conspiracy at Nissan to block a fuller merger with Renault,” the article continued. As the shareholders grew more and more anxious about the future of the company, Uchida attempted to reassure them by promising that Nissan will get out of this sticky situation and prosper once again.  

Also Read: Here's How Carlos Ghosn's Dramatic Saga is Unfolding in the News
Nissan's First Subscription Service Allows Drivers to Switch Cars DAILY

Read All

Featured Articles

Recommended Articles For You

Read All

Featured Cars

  • Upcoming

Car Articles From Zigwheels

  • News
  • Article Feature
  • Advisory Stories
  • Road Test
  • Set your road trips on these dates this Apr.
    Set your road trips on these dates this Apr.
    Ruben Manahan IV . Mar 31, 2025
  • Zigwheels PH's March 2025 wrap-up
    Zigwheels PH's March 2025 wrap-up
    Cesar Miguel . Mar 31, 2025
  • Porsche Macan Turbo, Taycan Turbo GT star in short film alongside David Guetta
    Porsche Macan Turbo, Taycan Turbo GT star in short film alongside David Guetta
    Paulo Papa . Mar 31, 2025
  • Li Auto enters PH market
    Li Auto enters PH market
    Ruben Manahan IV . Mar 31, 2025
  • JAC PH previews upcoming T9 pickup truck
    JAC PH previews upcoming T9 pickup truck
    Cesar Miguel . Mar 31, 2025
  • Here’s a close look inside the BYD Shark 6 DMO
    Here’s a close look inside the BYD Shark 6 DMO
    Cesar Miguel . Mar 25, 2025
  • Ford ‘Raptor’ trucks, SUV showcased in Dubai dunes
    Ford ‘Raptor’ trucks, SUV showcased in Dubai dunes
    Paulo Papa . Mar 21, 2025
  • Here are the BYD Shark 6 DMO's 3 available colors in PH
    Here are the BYD Shark 6 DMO's 3 available colors in PH
    Paulo Papa . Mar 18, 2025
  • Women celebrities and their cars
    Women celebrities and their cars
    Paulo Papa . Mar 17, 2025
  • 5 reasons that make the Nissan Z NISMO an exciting coupe
    5 reasons that make the Nissan Z NISMO an exciting coupe
    Cesar Miguel . Mar 17, 2025
  • Do you really need 4x4 for overlanding?
    Do you really need 4x4 for overlanding?
    Cesar Miguel . Mar 26, 2025
  • Number coding 2025: what you need to know
    Number coding 2025: what you need to know
    Paulo Papa . Mar 09, 2025
  • EVs still require lubrication, JAMA execs say
    EVs still require lubrication, JAMA execs say
    Paulo Papa . Mar 09, 2025
  • Ensure your vehicle is Summer road trip-ready by following these tips
    Ensure your vehicle is Summer road trip-ready by following these tips
    Paulo Papa . Mar 06, 2025
  • Loving your car 101: how to protect your car’s interior
    Loving your car 101: how to protect your car’s interior
    Paulo Papa . Feb 17, 2025
  • Changan CS15: no-fuss daily driver
    Changan CS15: no-fuss daily driver
    Cesar Miguel . Mar 27, 2025
  • First drive: Mercedes-Benz EQE 350+ AMG Line
    First drive: Mercedes-Benz EQE 350+ AMG Line
    Paulo Papa . Mar 21, 2025
  • BYD Shark 6 DMO: first impressions
    BYD Shark 6 DMO: first impressions
    Cesar Miguel . Mar 19, 2025
  • Changan Uni-T: bold and classy
    Changan Uni-T: bold and classy
    Ruben Manahan IV . Mar 14, 2025
  • JAC JS2 Pro: ideal 'first car' option
    JAC JS2 Pro: ideal 'first car' option
    Paulo Papa . Mar 10, 2025