Hitachi Zosen to Cut Outlook on Settlement with U.S. Firm
Osaka, Oct. 4 (Jiji Press)--Hitachi Zosen Corp. <7004> said Friday it has lowered its consolidated net profit projection for the year ending in March 2020 from 5 billion yen to one billion yen due to settlement payments to a U.S. construction firm.
The Japanese heavy machinery maker said it will book a special loss of some 7 billion yen due to payments to settle a lawsuit that the U.S. company filed in 2016, seeking damages after an excavator that Hitachi Zosen supplied halted during tunnel construction.
Hitachi Zosen agreed to pay 5 million dollars and repair costs to settle the lawsuit, the company said.
[Copyright The Jiji Press, Ltd.]