Lixil Shareholders Drop Extraordinary Meeting Request

Economy

Tokyo, May 9 (Jiji Press)--Foreign institutional investors in Lixil Group Corp. <5938> said Thursday they have dropped their request for an extraordinary meeting of shareholders on a proposal to dismiss Chairman Yoichiro Ushioda.

In the request, the four investors, including Britain's Marathon Asset Management, questioned the leadership appointments announced in autumn last year in which Kinya Seto was dismissed as chief executive officer and Ushioda replaced him.

The four sought the dismissal of CEO Ushioda and Chief Operating Officer Hirokazu Yamanashi, who took over the post of president from Seto last month.

Their request, made in March, was withdrawn because both Ushioda and Yamanashi in April announced their intention to quit the board of the housing equipment maker.

In a statement, the four investors said their departure from the board would not fully resolve the corporate governance problem at Lixil Group.

[Copyright The Jiji Press, Ltd.]

Jiji Press