Japanese auto major Mitsubishi Motors will appoint Tetsuro Aikawa as their new president, replacing Mr. Osamu Masuko, who led the comoany for last nine years. After stepping aside, Mr. Masuko will become the chairman of the company.
The change will be effective from April 1 as Chairman Takashi Nishioka will be resigning from his post. Mr. Aikawa will be faced with the task of putting the car maker on a growth track by relying on operational tie-ups to save costs and make up for its lack of scale.
Recently, Mitsubishi Motors raised more than 2 billion USD mainly to buy back preferred shares issued to its sibling companies in the Mitsubishi group, which funded the automaker's bailout after a failed capital alliance with then Daimler-Chrysler and a debilitating recall cover-up scandal.
Last year, the company announced a potentially wide-ranging project-based alliance with Nissan Motor Co and Renault SA that would allow it to tap the Franco-Japanese group's resources to develop cars jointly.
Mr. Aikawa, a 35-year veteran of Mitsubishi Motors, hails from an engineering background with expertise in product development and manufacturing. His father is a former president and chairman of the car maker's top shareholder, Mitsubishi Heavy Industries Ltd, earning him the moniker "Prince" within the Mitsubishi conglomerate. Masuko, 64, has won wide respect among investors since arriving in 2005 from trading house affiliate Mitsubishi Corp with the seemingly herculean task of reviving the battered carmaker.