AboutThatCarBlog.com » Nissan

Big Three Losses

Frank — Thu, 23 Jul 2009 12:00:51 +0000

No, not that Big Three, it’s the other Big Three: Honda, Nissan and Toyota. The Detroit News reported that weak demand here and in their home market will cause them to report more losses when they issue earnings statements at the end of the fiscal year in Japan which was June 30^th.

Toyota Motor Corp., Honda Motor Co. and Nissan Motor Co. warned investors that the early part of this year would be difficult after they sank into the red during the fiscal fourth quarter that ran to March 31. Honda and Nissan will report their results in the last week of July and Toyota on Aug. 4.

Toyota alone expects to lose 600 billion yen, that’s $6.4 billion, in the first half of the year and 250 billion yen or $2.65 billion in the second half of the year. The result will be the largest loss the automakers have ever suffered.

Honda and Nissan are each expected to report a 100 billion yen loss in the first quarter of this fiscal year.

Japan’s Big Three is reporting their worst financial results in years because of weak demand in nearly all major markets which include the U.S. and Russia where sales suddenly collapsed. Russia had become the leading market for Japanese automakers in Europe accounting for 20 to 30 percent of sales.

A global economy will certainly lift all boats but it can sink all boats as well.

Nissan at 50

Frank — Fri, 17 Oct 2008 04:02:00 +0000

Nissan Celebrates 50 Years in U.S. Market

A few years ago, Ford celebrated its 100th birthday and now GM is doing the same thing. Both companies are part of the American business old guard. But something just as significant is taking place.

In 1958, the first Datsun sedan arrived in the U.S. for sale. It was the 1200 pickup truck and had a not so whopping 48 horsepower 1200 cc engine encased in thick body panels. That was 50 years ago and since then much has happened.

Datsun became Nissan and taught marketers everywhere that you just don’t change your name. Nissan moved from hip and savvy Los Angeles to Nashville, Tennessee. Along the way, it was taken over by French automaker Renault. That move may have done much to save the Japanese automaker from obliteration in this market.

Nissan eventually built manufacturing facilities in this country, in Tennessee to be specific. And it’s now taking steps to insure that it last another 50 years on these shores. The company is offering employees at its assembly plants in Smyrna and Decherd, Tenn., either $100,000 or $125,000 lump sum buyout packages.

During its half century here, Nissan has become so Americanized that it’s doing some of the same things that Chrysler, Ford and GM are doing to remain viable.

Frank S. Washington