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Report: Mitsubishi Motors president resigns

Report: Mitsubishi Motors president resigns  image

Text: Anton Andres / Photos: Mitsubishi Motors | posted May 18, 2016 12:08

Tetsuro Aikawa steps down from MMC

According to various reports, Tetsuro Aikawa, the president of of Mitsubishi Motors Corporation (MMC) will step down from his post several weeks after Mitsubishi admitted to rigging fuel economy tests. Aikawa has handed his position to MMC to the company's CEO, Osamu Masuko.

Aikawa, a longtime employee for Mitsubishi Motors, is taking the blame for the matter as he came from the same department currently under fire. The scandal was revealed when Nissan engineers noticed the Dayz kei car, a rebadged version of the Mitsubishi eK Wagon, was not matching the fuel economy claims stated by MMC. Aikawa then issued a public apology saying that the company has been overstating fuel economy figures for the past 25 years.

As a result of the revelation, Mitsubishi shares dropped sharply and sales slowed down significantly. There were talks of Nissan acquiring a large portion of Mitsubishi and less that 24 hours after the report came out, Nissan acquired a 34% stake from Mitsubishi, valued at $2.2 billion.

Osamu Masuko will now serve as the president of MMC while doing his duty as company CEO until Nissan completes the 34% equity stake.