Nissan Motor Co., facing its first loss in nine years, will slash 20,000 jobs, shift production abroad, cut dividend payments and have a chief recovery officer oversee it all. It may not be enough to halt the earnings slide.
Nissan's net loss will widen to ¥310 billion ($3.4 billion) next fiscal year from the company's forecast of a ¥265 billion loss for the year ending in March, according to the median of 17 analyst estimates.
Chief Executive Carlos Ghosn plans to cut labor costs in high-wage countries and reduce capital expenditures by a combined 18 percent next year. Car sales are plunging even faster with demand for Tokyo-based Nissan's vehicles plummeting 31 percent in both the U.S. and Japan in January.