ROANOKE TIMES
Copyright (c) 1996, Roanoke Times
DATE: Friday, April 12, 1996 TAG: 9604120090
SECTION: BUSINESS PAGE: A-7 EDITION: METRO
DATELINE: TOKYO
SOURCE: Associated Press
Ford Motor Co. will assume virtual control of ailing Mazda Motor Corp., which has been battered by Japan's recession and the strong yen.
Mazda and Ford put out a joint statement this morning confirming reports that Ford would increase its share in Mazda to 33.4 percent of the company's shares, and that Mazda would voluntarily cede management control.
Trading in Mazda shares was suspended today in Tokyo after the news reports of the impending changes.
The increased share alone does not give Ford control, but analysts said that, coupled with the top-level management changes, it would effectively put the U.S. company in the driver's seat.
The development comes only days before President Clinton is to visit Japan, and the same day on which the White House is to release a report touting American progress in the Japanese auto market.
LENGTH: Short : 28 linesby CNB