Arab Today, arab today takata plunges 20 on worst case airbag recall costs 24bn
Last Updated : GMT 13:29:11
Arab Today, arab today
Arab Today, arab today

Takata plunges 20% on 'worst case' airbag recall costs $24bn

Arab Today, arab today

Arab Today, arab today Takata plunges 20% on 'worst case' airbag recall costs $24bn

Takata estimated the "worst case" scenario would involve the recall of 287.5 million airbag
Tokyo - AFP

Takata's shares plunged 20 percent in Tokyo Wednesday after Bloomberg News said the recall-related costs facing the Japanese airbag supplier could be as high as $24 billion.

Citing a person familiar with the matter, Bloomberg said the company estimated the "worst case" scenario would involve the recall of 287.5 million airbag inflators at a cost of as much as 2.7 trillion yen ($24 billion).

Takata and its automaker clients are still hashing out how the costs would be shared, the source said.

A Takata spokesperson was not immediately available to comment.

Takata plunged 19.45 percent to 414 yen, its daily loss limit, in response to the report published shortly before Japanese markets closed.
The whopping estimate comes as Takata struggles to deal with the inflator defect that can cause airbags to deploy with explosive force. This  sends metal and plastic shrapnel hurtling toward drivers and passengers -- in some cases killing them or causing grisly injuries.

At least ten deaths have been linked to the airbag ruptures and some 50 million Takata airbags have been recalled globally, including some 28 million in the United States.

In February a coalition of the world's best-known automakers, including Toyota, General Motors and BMW, said it had identified the key culprit behind the defect.

Its report found that the combination of a lack of water-absorbing chemicals, inadequate design and high temperatures could cause the airbags to rupture.
Those findings were in line with long-held suspicions that the chemical used to inflate Takata airbags can be unstable, especially in hot and humid conditions.

Also in February an independent panel advised the under-fire auto parts supplier -- which has been accused of covering up the problem for years -- to improve management oversight and automation to help move past the crisis.

Takata's programme for monitoring the quality of its airbags, installed in tens of millions of cars worldwide, was poorly designed and structured and relied too much on the automakers' oversight, the panels' report found.

It also pointed to one potential immediate problem with the airbags: the inflator propellant is often loaded by hand, not machine, potentially leading to mistakes.

Other key weaknesses pinpointed in Takata's corporate organisation were the fact that product designs can move to production even with outstanding questions unresolved.

 

Name *

E-mail *

Comment Title*

Comment *

: Characters Left

Mandatory *

Terms of use

Publishing Terms: Not to offend the author, or to persons or sanctities or attacking religions or divine self. And stay away from sectarian and racial incitement and insults.

I agree with the Terms of Use

Security Code*

Arab Today, arab today takata plunges 20 on worst case airbag recall costs 24bn Arab Today, arab today takata plunges 20 on worst case airbag recall costs 24bn

 



Arab Today, arab today
Arab Today, arab today Nasima Gamei revives heritage in jewelries

GMT 22:42 2017 Thursday ,23 February

Nasima Gamei revives heritage in jewelries
Arab Today, arab today Saudis await visitors but will they come?

GMT 11:54 2017 Thursday ,23 February

Saudis await visitors but will they come?
Arab Today, arab today Expresses Algerian history by woody figures

GMT 13:26 2017 Friday ,24 February

Expresses Algerian history by woody figures
Arab Today, arab today Mental conflict endures

GMT 07:36 2017 Friday ,24 February

Mental conflict endures
Arab Today, arab today Media host Mona Iraqi stresses her show's success

GMT 15:32 2017 Wednesday ,22 February

Media host Mona Iraqi stresses her show's success

GMT 13:40 2017 Thursday ,23 February

Muscat Securities Market loses 17 points

GMT 13:18 2017 Thursday ,23 February

Bahrain Bourse daily trading report

GMT 05:51 2017 Thursday ,23 February

Saudi stocks edge up as Brent futures rebound

GMT 20:48 2017 Wednesday ,22 February

Dividend announcements drive Muscat bourse

GMT 16:56 2017 Wednesday ,22 February

Global gold prices drop

GMT 16:01 2017 Wednesday ,22 February

Tadawul edges down 0.2%

GMT 13:22 2017 Wednesday ,22 February

Canadian stock market closes at record high

GMT 11:50 2017 Wednesday ,22 February

Most Asia markets up as Hong Kong rebounds
View News in Arabic - Business: أسواق مالية
Arab Today, arab today
Arab Today, arab today
Arab Today, arab today To hold social dialogue over secondary school

GMT 07:43 2017 Wednesday ,22 February

To hold social dialogue over secondary school
Arab Today, arab today UK appoints 1st Scotland Yard chief in 188 years

GMT 05:14 2017 Thursday ,23 February

UK appoints 1st Scotland Yard chief in 188 years
Arab Today, arab today Ex-yoga missionary unleashes rage

GMT 12:16 2017 Thursday ,23 February

Ex-yoga missionary unleashes rage
Arab Today, arab today Pluto's unruly moons

GMT 06:31 2015 Thursday ,04 June

Pluto's unruly moons
Arab Today, arab today Tesla back into red but revenue grows

GMT 07:27 2017 Thursday ,23 February

Tesla back into red but revenue grows
Arab Today, arab today Nissan enhances sales in most markets

GMT 14:08 2017 Monday ,20 February

Nissan enhances sales in most markets
Arab Today, arab today Wafaa Amer is happy for Sherihan’s return

GMT 07:36 2017 Wednesday ,22 February

Wafaa Amer is happy for Sherihan’s return
Arab Today, arab today Milan laughs while Rome cries

GMT 10:28 2017 Wednesday ,22 February

Milan laughs while Rome cries

GMT 05:19 2017 Tuesday ,21 February

Salma Rashid happy for 'A Whisper of Love'

GMT 12:35 2017 Tuesday ,21 February

63-Year-Old Woman Delivers Baby

GMT 20:02 2017 Tuesday ,21 February

Nohan Seyam designs beautiful accessories

GMT 15:53 2017 Tuesday ,21 February

Small ponds have outsized impact

GMT 20:33 2017 Friday ,17 February

To release new antiques collection

GMT 07:51 2017 Wednesday ,22 February

Mom's immune system accepts babies

GMT 17:46 2017 Saturday ,18 February

Tourist guide reveals methods of tourist attractions

GMT 13:12 2015 Saturday ,09 May

Sheikh Sultan opens Sharjah Centre

GMT 12:22 2017 Monday ,20 February

Kanye West puts hijab-wearing model
Arab Today, arab today
Arab Today, arab today
 
 Arab Today Facebook,arab today facebook  Arab Today Twitter,arab today twitter Arab Today Rss,arab today rss  Arab Today Youtube,arab today youtube  Arab Today Youtube,arab today youtube
arabstoday arabstoday arabstoday arabstoday
arabstoday arabstoday arabstoday
arabstoday
بناية النخيل - رأس النبع _ خلف السفارة الفرنسية _بيروت - لبنان
arabstoday, Arabstoday, Arabstoday