The Japanese automaker, sale which tries to recover from the mileage scandal, drug appointed Toshihiro Suzuki as its new chief executive effective immediately.
Following the fuel-economy tests scandal, the now-former CEO Osamu Suzuki said earlier this month he would step down from his role effective June 29, at the company’s shareholders annual meeting, as a way of acknowledge Suzuki’s wrongdoings of using nonconforming fuel emissions tests for almost all its cars sold in Japan. And the board of directors has just named its son to take his place -Toshihiro Suzuki -, with Osamu Suzuki staying on as chairman of the automaker.
To avoid for such a scandal, that has been affecting 2.14 million vehicles from 14 branded models and 12 more sold under other brands, to ever re-emerge, Suzuki committed to take several measures, such as better training for engineers, improving its fuel-economy testing systems and promoting whistle-blowing. Suzuki reported on May an 18 percent drop of its domestic minivehicle sales, as a consequence of the scandal.
Beside the sales drop, a further and much heavier impact on its earning is expected to come from the volatility in the Indian rupee and euro, the company said at the meeting. Because of currency issues, which triggered a 62.0-billion-yen loss (606 million dollars), Suzuki closed the last financial year with a 7.8 percent slip in annual operating profit.