Mitsubishi Motors Corp. said Friday it has been negotiating with DaimlerChrysler AG on a settlement in connection with the latter’s equity stake in Mitsubishi Fuso Truck & Bus Corp., which was spun off from MMC in January 2003.
The two are expected to agree on compensation of several billion yen for damage suffered by DaimlerChrysler from defect coverups and recall scandals involving Mitsubishi Fuso, industry sources said.
However, MMC said in a statement, “Nothing concrete has been decided yet.”
DaimlerChrysler acquired a 65 percent stake in Mitsubishi Fuso from MMC for about 140 billion yen through last March, before the defect coverup came to light and forced the truck maker to recall vehicles.
DaimlerChrysler has told MMC that these scandals have greatly damaged the stock’s value and that it was considering demanding compensation based on a clause in the stock transfer agreement.
The two companies had formed a business alliance, but their ties became shaky after DaimlerChrysler refused to provide additional financial help to the troubled Japanese carmaker last year.
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