While some felt the move to halt funding to the unprofitable Japanese automaker might end Schrempp's reign at DCX, this was not to be the case. The automaker's supervisory board backed him and his global strategy during the Thursday meeting, keeping him in the top job.
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| With a company at stake, Yoichiro Okazaki was quickly appointed as the new president, CEO and chairman of MMC on Friday. (Photo: Trevor Hofmann, Canadian Auto Press) |
Meanwhile, Yoichiro Okazaki was appointed president, CEO and chairman of MMC on Friday. Not wasting any time, Okazaki laid out a new 250 billion yen (USD$2.3 billion) revival plan according to reports, which would see MMC maintain ownership of its Japanese plants while expanding its business in Southeast Asia.
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| The short term future of Mitsubishi is still very much up in the air, never mind their long term vision. (Photo: Mitsubishi Motor Canada) |
While holding onto its plants in Japan will be crucial to MMC going forward, whether or not it plans to continue producing cars in Australia is still up in the air. On the subject, ex-MMC exec Rolf Eckrodt previously commented, "We need to find out where capacity is excessive, and if it's too much we need to take specific measures. Right now, we're not at that stage."
Well, maybe then MMC wasn't at that stage, but the automaker surely is now. "Mitsubishi Motors is facing its toughest challenge ever -- one that threatens the very existence of the company," Okazaki stated in a news conference.
The rumor mill is rampant, with reports of MMC seeking financial support from Toyota Motor Corp., the highest capitalized automaker in the world. Both automakers issued denials.