Takata Corp. saw their profits plunge as they began paying the price for an immense air-bag recall
As reported by NASDAQ, “Takata’s latest quarterly earnings, released Friday, pointed to the company’s continued struggles, which have been exacerbated by a strong yen. Revenue fell 6.6% to ¥ 169 billion ($1.67 billion) and net profit dropped 33% to ¥ 2.1 billion.”
The key problem with the Takata air-bags were the inflaters, which deployed the air-bags too powerfully. When that happened, metal and plastic debris would hit vehicle occupants.
Up to 15 deaths have been linked to the inflator problem, and the total number of recalled Takata air-bags may reach 100 million.
Is your car on the Takata recall list?
The Takata recall list is massive, and Takata is urging drivers to ensure their car does not have the faulty air-bag. Here is what the Takata recall website says:
“Tens of millions of defective airbags are under recall. Even a minor fender bender can cause these airbags to rupture, spraying metal shrapnel into drivers and passengers.
In response, the government has issued the largest safety recall in U.S. history. Dealerships are replacing defective airbags in their vehicles for free.”
USA – To find out if your car or truck is on the recall list, CLICK HERE
Takata recall list Canada – CLICK HERE
As Takata tries to move beyond the recall, they still face headwinds. As reported by Bloomberg, “Takata’s efforts to restructure and secure potential buyers could be complicated by findings of pervasive data manipulation and misrepresentations to automakers. An ongoing audit commissioned jointly by Takata and Honda has found the supplier routinely manipulated results of air-bag inflator tests reported to the carmaker.”
This will complicate Takata’s most important task, which is to rebuild trust with the millions of customers understandably upset about their lives being put in potential danger.
Read more about Takata
- NASDAQ: http://www.nasdaq.com/article/takata-earnings-driven-down-by-35-million-charge-20160805-00195
- BLOOMBERG: http://www.bloomberg.com/news/articles/2016-08-05/takata-profit-declines-33-as-air-bag-maker-plans-restructuring