Mitsubishi Electric Announces Transfer of a Director, Changes in Executive Officers’ Division of Duties, and Organizational Reform

Rhea-AI Summary

Mitsubishi Electric Corporation announced a transfer of Directors effective October 1, 2021. This decision follows an investigation into improper quality control practices and aims to enhance the Board's supervisory function. Mr. Masaki Sakuyama has resigned from his position, believing that selecting the Chairman from Outside Directors will strengthen management oversight. These changes reflect the company’s ongoing commitment to corporate governance reform.

Positive

• The transfer of Directors aims to enhance board effectiveness and oversight.
• Selection of Chairman from Outside Directors may improve governance.

Negative

• The company is under investigation for improper quality control practices.
• The resignation of a Director may indicate underlying governance issues.

TOKYO--(BUSINESS WIRE)-- Mitsubishi Electric Corporation (TOKYO: 6503) announces a transfer of Directors as of October 1, 2021 as detailed below. In addition, changes were made to an individual Executive Officer’s division of duties and the organization, both effective October 1, 2021, based on resolutions passed during the extraordinary meeting of the Board of Directors.

1. Transfer of a Director (effective October 1, 2021)

(1) Reason for the Transfer

In light of the investigation into improper quality control practices and implementation of reform roadmap (First Report) disclosed today, Mr. Masaki Sakuyama has submitted his resignation because he considers that he should step aside and the Chairman of the Board should be selected from among Outside Directors in order to further strengthen the function of supervising management in an effort to enhance the effectiveness of the Board of Directors. The Company accepted his resignation.

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Media Inquiries

Takeyoshi Komatsu

Public Relations Division

Mitsubishi Electric Corporation

Tel: +81-3-3218-2346

prd.gnews@nk.MitsubishiElectric.co.jp

www.MitsubishiElectric.com/news/

Source: Mitsubishi Electric Corporation

FAQ

What are the recent changes in Mitsubishi Electric Corporation's leadership?

Mitsubishi Electric announced a transfer of Directors, effective October 1, 2021, in response to an investigation into quality control practices.

Who resigned from Mitsubishi Electric Corporation's Board of Directors?

Mr. Masaki Sakuyama resigned to strengthen the Board's management oversight.

What is the reason for the leadership changes at Mitsubishi Electric Corporation?

The changes stem from an investigation into improper quality control practices.

When did the leadership changes at Mitsubishi Electric Corporation take effect?

The changes took effect on October 1, 2021.

How does the board restructuring impact Mitsubishi Electric Corporation's governance?

The restructuring aims to improve management oversight and enhance the effectiveness of the Board of Directors.