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Mitsubishi president resigns in wake of fuel economy scandal

Mitsubishi has announced the resignation of two of its top executives as the company is embroiled in a scandal over its fuel-economy figures. Chief among the resignations is Tetsuro Aikawa, the company's president and chief operating officer (pictured above at left, bowing), who assumed the position less than two years ago. Joining Aikawa-san on the way out is Ryugo Nakao, one of three executive vice presidents of the company and the man responsible for product planning and quality at Mitsubishi. Though two of his principal deputies are leaving, the top executive at Mitsubishi retains his seat for the time being. Osamu Masuko (pictured above at right, seated) serves as both chairman and CEO, however with Nissan assuming over a third of the company's ownership, Masuko-san could still be replaced. A shareholders meeting is scheduled for June 24, when Aikawa and Nakao's resignations are set to take effect. According to the statement below, the company "will decide on the successors of both Representative Directors at our board of directors' meeting and make an announcement promptly." The resignations of the top officials come in the wake of revelations that Mitsubishi had falsely reported the fuel-economy figures of its vehicles for decades. The broadening scandal was uncovered when Nissan tested vehicles which Mitsubishi manufactures on its behalf and found discrepancies. As his company prepares to take control of the ailing automaker, Nissan chief Carlos Ghosn says that the greatest challenge will be restoring Mitsubishi's reputation. In a similar development, Suzuki also admitted to improper fuel-economy testing. The rival automaker claims that the measures were taken without the knowledge of senior management. Related Video: Personnel Changes (Resignation) of Members of the Board Tokyo, May 18, 2016 - Mitsubishi Motors Corporation (MMC) announced resignation of members of the board as follows: 1. Member of the Board who will resign Tetsuro Aikawa President and COO, Representative Director Ryugo Nakao Executive Vice President, Representative Director 2. Reason for resignations As our announcement today on the Report to the Ministry of Land, Infrastructure, Transport and Tourism concerning improper conduct in fuel consumption testing of vehicles manufactured by MMC shows, MMC has caused tremendous trouble and concern to our customers and all of our stakeholders. Considering this, Mr. Aikawa and Mr.

2021 Mitsubishi Outlander PHEV gets more power and more range

There's a brand new Mitsubishi Outlander for the 2022 model year, and we've been told that a plug-in hybrid version is on the way. But before that happens, Mitsubishi has given the current Outlander PHEV an under-the-skin refresh for 2021 that brings more power, more range and a new trim level. Despite the upgrades, the starting price hasn't budged. The Outlander PHEV gets a new 2.4-liter engine rated at 126 horsepower and 148 pound-feet of torque that replaces the previous 2.0-liter engine. A rear-axle-mounted electric motor adds 70kW of electric power, up 10kW over the old version. Add it all up and the powertrain spins out a total of 221 hp, up 31 ponies from the previous model. Updated software is said to improve "synchronization between battery and engine," which Mitsubishi says yields reductions in noise, vibration and harshness. All Outlander PHEVs are equipped with Mitsubishi's Super All-Wheel Control all-wheel drive system, and the 2021 edition gains Sport and Snow driving modes. Along with the power boost, the Outlander PHEV's battery capacity increases from 12.0 kW/h to 13.8 kW/h. That adds two additional miles of all-electric range for a total of up to 24 miles. Mitsubishi also says the top speed under electric power with no assistance from the gasoline engine rises from 79 mph to 83 mph. According to the EPA, the 2021 Outlander PHEV scores a combined 74 MPGe while running in hybrid electric mode and 26 MPG combined once the battery is depleted. That's an improvement of one mile per gallon. In addition to last year's SEL and GT trim levels, the 2021 Outlander PHEV gains an LE edition. The new trim adds a blacked-out grille, dark chrome dual spoke 18-inch alloy wheels and a blackout design for the front and rear bumpers. Also standard on the LE are a sunroof and upgraded audio system. Despite the significant upgrades for 2021, the Outlander PHEV SEL starts at the same $37,490 asking price as before. The LE costs $39,190 and the top-spec GT lists at $43,190. Buyers are eligible for $6,587 in federal tax credits, which is up $751 compared to the 2020 model year due to the increase in battery capacity. The 2021 Outlander PHEV is available at Mitsubishi dealerships now.

Nissan to pull out of venture fund with Renault in cost-cutting drive, insiders say

TOKYO — Nissan is likely to pull out from a venture capital fund it runs with alliance partners Renault and Mitsubishi Motors, as part of the Japanese automaker's drive to cut costs and conserve cash, two sources said. Nissan will formally take a decision on whether to leave the fund, Alliance Ventures, by the end of this month, the two Nissan insiders told Reuters, declining to be identified because the information has not been made public. The likely move comes after Nissan's junior partner, Mitsubishi Motors Corp, told an alliance meeting last week that it would no longer continue to inject money into the fund, one of the sources said. The decision to leave the Amsterdam-based fund was all but a done deal, the other source said, adding: "Of course we're out. The house is on fire." A Nissan spokeswoman said it was speculation and declined to comment. A Mitsubishi spokesman said no decision had been made. The move comes as Nissan — which has seen its earnings slump — is now facing a downturn in China, its biggest market, due to the impact of the coronavirus outbreak. China sales plunged 80% last month. It also highlights the extent of the automaker's cost-cutting under new CEO Makoto Uchida, who is under pressure for a quick turnaround. Alliance Ventures is aimed at finding "learning opportunities" for the alliance through investing in startups, and is supposed get up to $200 million (153.3 million pounds) a year from the three alliance partners, although it never achieves that full amount, the first source said. It was set up under former alliance head Carlos Ghosn, whose dramatic arrest in Japan culminated in an escape to his childhood home of Lebanon in December. Ghosn faces multiple charges in Japan, including of under-reporting earnings and misappropriation of company funds, all of which he denies. According to its website, the fund was set up with a $200 million initial investment and aims for up to $1 billion by 2023. Portfolio companies include WeRide, a Chinese robo-taxi startup and Tekion Corp, a cloud-based retail platform for cars. "It wasn't established by Ghosn as a way to make money. It was for those learning opportunities we get from investing in smart startups," the first source said. "But given the tough financial situation we are facing, we are looking at investment return." Reporting by Norihiko Shirouzu; Editing by David Dolan/Louise Heavens/Susan Fenton.