Mitsubishi Aircraft to Undergo Restructuring

Economy

Tokyo, May 26 (Jiji Press)--Mitsubishi Heavy Industries Ltd. <7011> is considering closing two North American bases of Mitsubishi Aircraft Corp., the developer of the SpaceJet regional aircraft, informed sources said Tuesday.

The Japanese heavy machinery maker is also considering cutting jobs at the subsidiary based in Toyoyama, Aichi Prefecture, central Japan, the sources said.

The restructuring plan comes in line with Mitsubishi Heavy's announcement on May 11 of a review of the jet's development schedule and a 50 pct cut in its development costs for fiscal 2020.

The two bases are Mitsubishi Aircraft's U.S. headquarters and its Canadian base. Its flight test base in Washington state will be maintained.

Mitsubishi Heavy aims to halve the subsidiary's some 1,600 domestic workers through relocations.

[Copyright The Jiji Press, Ltd.]

Jiji Press