logo
Plus   Neg
Share
Email

Takata Shares Jump On Settlement Announcement

Shares of Takata Corp. (TKTDF.PK) jumped as much as 20.25 percent in Tokyo trading after four global automakers agreed to pay $553 million to settle with owners of vehicles for losses linked to the recall of the company's products.

On the Tokyo Stock Exchange, Takata's shares are up 80.00 yen or 20.25 percent to 475.00 yen.

Documents filed on Thursday with a Miami federal court showed Toyota, Subaru, Mazda and BMW had reached a proposed settlement to compensate owners of 15.8 million vehicles for losses due to the recall of Takata's airbags.

The air bags have been linked to 11 deaths and some 180 injuries in the U.S. alone. Thursday's settlement doesn't cover personal-injury cases that are also part of the sprawling litigation against Takata and auto makers that is consolidated in the Florida court.

Other auto makers including Honda Motor Co., Ford Motor Co. and Nissan Motor Co. aren't part of the settlement, and still face lawsuits seeking recompense for financial losses.

In January Takata agreed to $1 billion in criminal penalties, including $975 million in restitution paid to carmakers who bought the airbags and consumers who were injured by them.

by RTTNews Staff Writer

For comments and feedback: editorial@rttnews.com

Business News

Quick Facts

Editors Pick
Swiss banking giant UBS Group AG reported Monday higher profit in its first quarter with increased net interest income. The company said it has had an excellent start to 2018. However, UBS shares were trading around 3 percent lower in Switzerland. All of UBS's businesses are affected by economic growth expectations, interest rates, equity market levels and foreign exchange rates. Walmart is ditching its dress code policy and is testing a new dress code that will allows "associates" to wear blue denim and shirts of any solid color. The updated dress coded guidelines now allow employees to wear blue "jeggings" and blue jeans and shirts of any solid color, according to a Walmart... Canadian investment firm Fairfax Financial Holdings Ltd. has submitted a "stalking horse" bid worth C$300 million, or $237 million, for the Canadian unit of Toys "R" Us, according to court documents. A stalking horse bid is an initial bid on the assets of a bankrupt company. The bankrupt company will choose an entity from a pool of bidders who will make the first bid on its assets.
Follow RTT