Toyota Motor shareholders approve execs' appointments

Speaking at the shareholders meeting held at the leading Japanese automaker's headquarters in the city of Toyota in Aichi Prefecture, central Japan, Toyoda highlighted the significance of the planned merger between Japanese commercial vehicle makers Hino Motors Ltd. and Mitsubishi Fuso Truck and Bus Corp., which was announced earlier this week. Hino is part of the Toyota Motor group.

"The private sector spearheaded the large-scale realignment (of the Japanese truck industry) effectively into two groups," he said.

"We'll work together in areas where we should, and compete in areas where we must," Toyoda added.

The Toyota Motor group plans to take machinery maker Toyota Industries Corp. private through a tender offer. Toyota Motor started as a spin-off from Toyota Industries.

Although all eyes were on whether the Toyota Motor management would explain the matter at Thursday's shareholders meeting, no specifics were mentioned.

Last year, major US proxy adviser Glass Lewis & Co. recommended that Toyota Motor shareholders vote against the proposal to reappoint Toyoda as a Toyota Motor director, in light of testing fraud scandals within the Toyota Motor group. This year, however, it moved in favour of the proposal.

On the scandals, Sato said that they came at a time when the auto group needed to do something new. He vowed to work on regaining trust.

Shareholders also approved a proposal for Toyota Motor to switch over to a company with an audit and supervisory committee from the current system of a company with an audit and supervisory board, to enhance management oversight by outside directors.

Some of the firm's board directors will double as members of the audit committee. Outside directors will now occupy half of the Toyota Motor board.

Former Japanese Vice Minister of Finance Shigeaki Okamoto and others were approved as new outside directors.

 [Copyright The Jiji Press, Ltd.]