New Alliances 2008 For Mitsubishi

Two further ties were established between the companies in 2008, first with the establishment of a jointly owned production facility inKaluga which will manufacture up to 160,000 Outlander-based SUVs for the fast-growing Russian market.^[20] They are also collaborating in the research and development of electric powertrains for small urban vehicles.^[21] Japanese newspaper Nikkei claims that Peugeot Citroën will sell the electric city car Mitsubishi i MiEV in Europe by 2011.^[22]

http://en.wikipedia.org/wiki/Mitsubishi_Motors

Colt & Lonsdale[edit]

The Colt name appears frequently in Mitsubishi's history since its introduction as a rear-engined 600cc sedan in the early 1960s. Today, it most commonly refers to the Mitsubishi Colt subcompact in the company's line-up, but is also the name of MMC's import/distribution company in the United Kingdom, the Colt Car Company, established in 1974. 

Proton[edit]

Proton of Malaysia was initially very dependent on this Japanese company, only assembling their 1985 Proton Saga using MMC components at a newly established facility in Shah Alam. Subsequent models like the Wira and Perdana were based on theLancer/Colt and Galant/Eterna respectively, before the company finally produced an entirely self-developed vehicle with 2001's Waja, and the 2004's Proton Gen-2. At its peak, the carmaker controlled 75 percent of its domestic market, even after Mitsubishi ended their 22-year partnership in 2005, selling their 7.9 percent stake for RM384 million^[23] to Khazanah Nasional Berhad. However, in October 2008, Proton renewed its technology transfer agreements with MMC, and the Proton Inspira [Proton Waja replacement] is to be based on the Mitsubishi Lancer platform and official launched on 10 November 2010.

Proton[edit]

Proton of Malaysia was initially very dependent on this Japanese company, only assembling their 1985 Proton Saga using MMC components at a newly established facility in Shah Alam. Subsequent models like the Wira and Perdana were based on theLancer/Colt and Galant/Eterna respectively, before the company finally produced an entirely self-developed vehicle with 2001's Waja, and the 2004's Proton Gen-2. At its peak, the carmaker controlled 75 percent of its domestic market, even after Mitsubishi ended their 22-year partnership in 2005, selling their 7.9 percent stake for RM384 million^[23] to Khazanah Nasional Berhad. However, in October 2008, Proton renewed its technology transfer agreements with MMC, and the Proton Inspira [Proton Waja replacement] is to be based on the Mitsubishi Lancer platform and official launched on 10 November 2010.

Recent troubles[edit]

Asian economic downturn[edit]

The benefits Mitsubishi had seen because of its strong presence in south-east Asia reversed themselves as a result of the economic crisis in the region which began in 1991 with the advent of the collapse of the Japanese asset price bubble, referred to in Japan as the beginning of the Lost Decade and continued to 1997. The collapse was partly the result of the Plaza Accord agreement in 1985, which sought to equalize the United States dollar with the Japanese yen and the German mark. In September of that year the company closed its Thai factory in response to a crash in the country's currency and plummeting consumer demand. The large truck plant, which had produced 8,700 trucks in 1996, was shut down indefinitely. In addition, Mitsubishi had little support from sales in Japan, which slowed considerably throughout 1997 and were affected by that country's own economic uncertainty into 1998. Other Japanese automakers, such as Toyota and Honda, bolstered their own slipping domestic sales with success in the U.S.

However, with a comparatively small percentage of the American market, the impact of the turmoil in the Asian economy had a greater effect on Mitsubishi, and the company's 1997 losses were the worst in its history. In addition, it lost both its rank as the third largest automaker in Japan to Mazda, and market share overseas. Its stock price fell precipitously, prompting the company to cancel its year-end dividend payment.^[25]

In November 1997, Mitsubishi hired Katsuhiko Kawasoe to replace Takemune Kimura as company president. Kawasoe unveiled an aggressive restructuring program that aimed to cut costs by ¥350 billion in three years, reduce personnel by 1,400, and return the company to profitability by 1998. But while the program had some initial success, the company's sales were still stagnant as the Asian economy continued to sputter. In 1999, Mitsubishi was forced once again to skip dividend payments. Its interest-bearing debt totalled ¥1.7 trillion.