TOKYO \u2014
Trading in Takata shares was suspended in Tokyo Thursday following a report that two bidders are set to propose court-mediated rescue plans for the airbag maker at the centre of the auto industry\u2019s biggest safety recall.
Sweden\u2019s Autoliv, the world\u2019s leading air bag manufacturer, and a consortium led by U. S. auto parts maker Key Safety Systems, are both expected to present their competing proposals as early as this week, Japan\u2019s leading Nikkei business daily reported.
A court-mediated overhaul is seen as likely to win support from Takata\u2019s customers, which include most of the world\u2019s biggest automakers, after they recalled more than 100 million airbags globally, the Nikkei said.
Takata shares did not trade at the start Thursday as the Tokyo Stock Exchange suspended activity. They closed at 867 yen Wednesday.
The huge recall came after the discovery of a defect in Takata airbags that can cause them to inflate with excessive force, sending metal and plastic shrapnel from the inflator canister hurtling towards drivers and passengers.
The problem has been linked to at least 15 deaths and scores of injuries worldwide.
Thursday\u2019s report in the Nikkei, which did not cite sources, said a committee charged with Takata\u2019s overhaul has been mulling proposals from five possible investors, but that Autoliv and the Key Safety camp are the only candidates remaining.
After consulting with automakers and Takata\u2019s founding family, the committee plans to make a final decision on the proposals as early as February, the story said.
Takata declined to comment on the details of the article.
\u201cThe report is not what we have announced, and we have not heard the (two) proposals,\u201d a Takata spokesman told AFP.
Last week, Takata agreed to plead guilty to fraud and pay $1 billion to settle the faulty airbag scandal with U. S. regulators, but that was not likely to be the end of its liabilities over the affair.
The United States also has indicted three former Takata executives, bringing the first criminal charges in the case.
\u00a9 2017 AFP<\/p>\n