Renault Demands Nissan Hold Extra Shareholders' Meeting: WSJ

Economy

New York, Dec. 16 (Jiji Press)--French automaker Renault SA has demanded that its alliance partner Nissan Motor Co. <7201> hold an extraordinary shareholders' meeting soon, The Wall Street Journal reported Sunday.

In a letter dated Friday to Nissan President Hiroto Saikawa, Thierry Bollore, Renault's deputy chief executive officer, urged Saikawa to call the extra shareholders' meeting "as promptly as practicable."

The move indicates the intent of Renault, which owns 43.4 pct of the major Japanese automaker, to take the lead in picking a successor to Carlos Ghosh, who had headed Nissan as chairman until he was arrested with his aide by Tokyo prosecutors last month on charges of underreporting his executive pay in financial statements, observers said. The two and Nissan were indicted on Dec. 10.

Bollore wrote in the letter that Nissan's "indictment creates significant risks to Renault, as Nissan's largest shareholder, and to the stability of our industrial alliance," the U.S. business daily said.

"We believe a shareholder forum would be the best manner of addressing these matters in an open and transparent fashion," Bollore was also quoted as saying in the letter.

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