Ailing retail giant Daiei Inc. is likely to name Managing Director Toshio Hasumi as the successor to Kunio Takagi, who will step down as president Friday to take responsibility for the firm’s financial problems, informed sources said Wednesday.
Daiei will make the decision official at an extraordinary board meeting Friday, they said.
Hasumi, 58, has built his career at the retail giant mostly in planning and financial management. He has experience in negotiating with Daiei’s main creditor banks.
Shinji Seino, 53, a senior managing director, has also been named as a potential candidate for president. He was sent to the Daiei board by UFJ Bank, one of the creditors.
The sources said Hasumi will probably be chosen due partly to the need to maintain morale among Daiei workers.
Takagi, 60, said last Friday he would resign to take responsibility for Daiei’s financial troubles, which have led it to seek a bailout from the state-backed Industrial Revitalization Corp. of Japan.
Heihachiro Yoshino, 66, is expected to step down as Daiei chairman.
Takagi is expected to remain as a board member for the time being, according to the sources, but will leave the board after a formal revival plan is decided.
The sources said the IRCJ is proceeding with its assessment of Daiei’s assets and wants to choose a sponsor company or companies after deciding around the end of December how to turn the business around.
The successor to Takagi will take the helm of the Daiei group on a provisional basis until another president is selected by the sponsoring companies in line with their revival plan, the sources said.
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