Nissan's director Makoto Uchida has no doubt that the car brand will go bankrupt if there is no rescue plan after an expected deficit of 3.8 billion kroner.
Nissan's CEO warns that the car brand faces bankruptcy if a rescue plan is not found. The car brand is in the midst of a dire economy, to say the least, and is struggling to compete on its own.
"Under the current circumstances, it is difficult to keep up with competitors solely like Nissan," says Makoto Uchida, according to Nikkei Business .
Nissan has been trying for a long time to find a partner that can make just a little more economic sense.
Previous negotiations with Honda about a merger broke down in February, putting further pressure on management.
According to reports from Japan, Nissan is now considering investments from Honda, but cooperation with Mitsubishi or the Taiwanese technology company Foxconn is also being discussed.
Bankruptcy could trigger massive losses at Nissan and in Japan
However, a possible deal with Honda could mean a management change, with Uchida leaving his post. The news agency writes this week that the board is openly considering kicking Uchida out.
The economically depressed situation at Nissan has only worsened recently.
The Japanese had originally forecast a profit of $2.5 billion for the fiscal year ending in March.
But now the people in the accounting department expect a total loss of 536 million dollars. This corresponds to a loss of 3.8 billion kroner.
To shore up its finances, Nissan has already decided to cut 9,000 permanent jobs. At the same time, it is cutting back on factories in the US.
In England, where the brand builds the Qashqai SUV, half of the brand's factory in Sunderland has already been closed.
However, all hope is not lost for the Japanese. Foxconn, which builds iPhones for Apple, is considering, according to unconfirmed rumors, buying Renault out of the joint alliance the car brands currently form.
Honda is said to have insisted on the same thing, as negotiations with Nissan stalled. At the same time, Japanese authorities are said to have put pressure on Honda to ensure that Nissan remains in Japanese hands and avoids a foreign takeover.
After plans for a joint holding company with Honda fell through, Nissan is forced to find a new solution quickly. Last year, Nissan executives said they were running out of money within a year.
