MMC to erase cumulative losses

Kyodo

Mitsubishi Motors Corp. plans to dip into its capital and reserves to eliminate ¥924.6 billion in cumulative losses within fiscal 2013 to next March, company sources said Thursday.

The losses were accumulated when the company’s sales slumped following the revelation it had concealed vehicle defects in and after 2000.

Mitsubishi group companies, including Mitsubishi Heavy Industries Ltd. and Bank of Tokyo-Mitsubishi UFJ, have rescued the automaker by purchasing a total of ¥600 billion in preferred shares.