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Nissan Motors (7201.T) said Monday that its CEO, Hiroshima Nishikawa, will resign on September 16, before acknowledging that his salary was too high, marking further turmoil for the company, which has been hit by scandals and sharp profit falls.
Kawabata admitted last week that he was paid about $440,000 more. Nissan Motor said it would temporarily replace Hiroshima Nishikawa in running Changshan Naikyo and was expected to find a long-term successor by the end of October.
The sudden resignation of Hiroshima Nishikawa marked the dramatic exit of a senior executive who was appointed to support the automaker after the arrest and dismissal of former chairman Ghosn.
Hiroshima Nishikawa, a disciple of Ghosn, took over the CEO position from Ghosn in 2017, and Ghosn retained the chairman position. During his short term as CEO, he has been plagued by tensions with Renault (RENA. PA), the largest shareholder, and declining profits. Nissan's share price has fallen by nearly a quarter this year.
"Hiroshima Nishi has recently hinted at his intention to resign and he will resign on September 16, which is in line with his wish to hand over power to a new generation of Nissan leaders," Yasushi Kimura, chairman of Nissan's board of directors, said at a news conference.


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