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Nissan board meets but doesn't pick a replacement for Ghosn

YOKOHAMA, Japan — Nissan's board met Monday but failed to pick a new chairman to replace Carlos Ghosn, who was arrested last month on charges of violating financial regulations, saying more discussion was needed. Nissan Motor Co. Chief Executive Hiroto Saikawa told reporters that the board approved a special committee of outsiders to strengthen governance at the company. A date for the selection of a chairman was not decided. "We plan to be cautious in this process, and I do not plan to rush this," Saikawa said. The recommendations for beefing up governance are due in March, and Saikawa said he was willing to wait until then to choose a chairman. The board meeting came amid an unfolding scandal that threatens the Japanese automaker's two-decade alliance with Renault SA of France and its global brand, and highlights shoddy governance at the manufacturer of the Leaf electric car. Related: Carlos Ghosn coup theory grows: Did Nissan set him up for a fall? Ghosn and another board member Greg Kelly were formally charged last week with falsifying financial reports in underreporting Ghosn's income by about 5 billion yen ($44 million) from 2011 to 2015. They were arrested Nov. 19 by Tokyo prosecutors and remain in detention. A source close to Ghosn's family says Ghosn is innocent, as the alleged income was never decided upon or paid. Aubrey Harwell, the U.S. lawyer for Kelly, an American, says he is innocent, and that Nissan insiders and outside experts had advised him that the financial reporting was proper. The chairman must be selected from among the board members. Three outside board members — race-car driver Keiko Ihara; Masakazu Toyoda, an academic; and Jean-Baptiste Duzan, formerly of Renault — are making that decision. The special committee for governance includes the three outside board members and four other outsiders, including former judge Seiichiro Nishioka. One candidate for chairman is Saikawa, who was hand-picked by Ghosn to succeed him as chief executive. He has denounced Ghosn and Kelly as the "masterminds" in a scheme to falsify income reports and abuse company money and assets. Renault has kept Ghosn as chief executive and chairman, saying its investigation has not found wrongdoing in the awarding of Ghosn's compensation. Saikawa called on directors at Renault to heed its reasons for sacking Ghosn, but Renault's interim chairman Philippe Lagayette said on Friday that its board had not considered a replacement.

Infiniti Q50 Eau Rouge to cost over $100,000?

Enthusiasts have been clamoring for Infiniti to build a car like the Q50 Eau Rouge for years. In concept form, it employs the GT-R's much-loved 3.8-liter twin-turbo V6, tuned to produce 560 horsepower and 442 pound-feet of torque, with the whole works slid underneath fetching luxury sedan bodywork with carbon fiber aero aids. At this point, the model is rumored to be all but certain for production. The company recently even put Sebastian Vettel in one to show it off. However, Infiniti President Johan de Nysschen is suggesting that the model's lifetime could be brief, limited and rather expensive.
The Infiniti boss recently gave a long interview to Motor Trend that spilled a lot of beans about the Eau Rouge. While he refused to officially admit that the super sedan was on the way, he admits that he's "pushing the Eau Rouge concept for commercialization."
According to de Nysschen, if built, the production version will hew closely to the concept with the engine from the GT-R, but the seven-speed automatic transmission and all-wheel drive system will come from the Q70. And while that would make the Eau Rouge a performance powerhouse, it might also be a rarity on the road:

Nissan Recalls More Than One Million Vehicles For Air Bags

Nissan is recalling just over one million cars, SUVs and vans because the front passenger air bags may not inflate in a crash. It's the company's second recall to fix the same problem. The recall affects the Altima midsize car, Leaf electric car, Pathfinder SUV and Sentra compact models from the 2013 and 2014 model years, as well as the NV200 Taxi van and Infiniti JX35 SUV from 2013. Also covered are the Infiniti QX60 and Q50 SUVs from 2014. In documents filed with the National Highway Traffic Safety Administration, Nissan says the vehicles' computer software may not detect an adult in the passenger seat. If that happens, the air bags won't inflate. Nissan will notify owners and dealers will update the software for free. The recall is expected to start in mid-April. Most of the vehicles were recalled in February of last year for a similar problem. Dealers replaced seat sensors, but Nissan said it continued to get consumer complaints and warranty claims in vehicles that had been repaired. Front passenger seats have sensors that determine the passenger's weight and turn off air bags off if a child is on board. The malfunctioning sensors can turn the air bags off even if an adult is in the seat. Nissan received three reports of air bags failing to inflate in a crash. Spokesman Steve Yeager said in an e-mail that he is not sure if anyone was hurt in those incidents. There have been no deaths due to the problem, he said. The recall affects almost 990,000 vehicles in the U.S., another 60,000 in Canada and small numbers in other countries, Yeager said. Related Gallery Nissan Searches For Identity In America