Nissan takes $687 mln loss as sells Russian business for 1 euro

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The deal makes Nissan the latest major company to exit Russia since Moscow sent tens of thousands of troops into Ukraine in February. theSun theSundaily news WorldNews Nissan Russia loss

In this file photo taken on June 02, 2009 then Russian Prime Minister Vladimir Putin speaks at the opening of a Nissan plant on the outskirts of Saint Petersburg. - AFPPIX: Nissan Motor Co Ltd will hand over its business in Russia to a state-owned entity for 1 euro , it said on Tuesday, taking a loss of around $687 million and exiting the country months after it was forced to halt production there.

The deal makes Nissan the latest major company to exit Russia since Moscow sent tens of thousands of troops into Ukraine in February. It also mirrors a move by Nissan’s top shareholder, French automaker Renault, which sold its majority stake in Russian carmaker Avtovaz to a Russian investor in May. Nissan said it expected an extraordinary loss of around 100 billion yen , but maintained its earnings forecast for the financial year ending in March.

Junior alliance partner Mitsubishi Motors Corp is also considering exiting Russia, the Nikkei newspaper said. A spokesperson for Mitsubishi said nothing had been decided.

 

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