— Effective as of today, Mitsubishi Motors Corporation (MMC) and DaimlerChrysler (DC) concluded a final agreement regarding compensation for quality issues and recalls related to Mitsubishi Fuso Truck and Bus Corporation (MFTBC) based on an earlier LOI agreement between both companies from February 8, 2005.
The main details of the agreement entail the following:
- A cash payment from MMC to DC
- The transfer of MMC's 20% stake in MFTBC to DC
- The agreement that MMC will continue to maintain 100% ownership of NedCar
- Additional operative cooperation between MMC and MFTBC in various other areas
The assumed impact on profit and loss from this settlement was accounted for in the Company's revised forecast for fiscal 2004 that was announced on January 28, 2005.
