KDDI Corp. will implement a 10 percent reduction in directors' remuneration for a three-month period beginning in October, KDDI President Tadashi Onodera said Thursday.
The move comes after the firm in late September revised downward its fiscal 2001 earnings forecast.
"The move is aimed at sharing the sense of emergency with our directors," Onodera told a news conference.
On Sept. 28, the nation's second-largest telecom carrier said it was expecting consolidated net profits of 35 billion yen for the current fiscal year through March 31.
This represents a downward revision of 45.3 percent from the 64 billion yen it predicted in May.
KDDI also slashed its pretax-profit estimate to 70 billion yen from 110 billion yen.
A four-year business plan currently being pursued by the firm is aimed at reducing its interest-bearing debts by 1 trillion yen from the current 2 trillion yen by March 2005.
KDDI needs to review this schedule by November, however, when it will report its earnings results for the April-September first half, Onodera said.