By Chris Sweeney, Crain News Service
OSAKA, Japan (June 25, 2015) — Nine of Toyo Tire & Rubber Co. Ltd.'s top executives have resigned, retired or been demoted, with a number of them returning salary or taking pay cuts in the wake of the firm's ongoing controversy surrounding non-compliant earthquake-proof seismic isolation rubber bearings sold in Japan.
Chairman Akira Nobuki and President Takuji Yamamoto announced their resignation at a June 23 news conference in Japan. Seven other corporate officers or advisers also resigned, retired or were demoted, according to a translated report released by Toyo.
Mr. Nobuki's resignation becomes effective July 1, and the firm's report said it will require him to return 50 percent of his pay for the last 12 months of his tenure. Mr. Yamamoto will continue to serve as president until the next emergency shareholders meeting, when Toyo said it will appoint a new management team. He will take a 50-percent pay cut for the remainder of his tenure.