Honda slashes forecast again, shares hit

Wed Dec 17, 2008 11:05pm GMT
 
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* Honda cuts profit forecast by 2/3, worse than feared

* Shares fall 7.9 percent in U.S. trading

* GM, Chrysler await rejigged U.S. bailout plan

* Nissan cuts further 78,000 units from Japan production

* GM opens new 150,000 unit China plant with SAIC

(Adds New York share price moves for Honda, Toyota, Nissan)

By Chang-Ran Kim, Asia autos correspondent

TOKYO (Reuters) - Japan's Honda Motor Co (7267.T) issued its third profit warning this year, slashing its operating forecast by two-thirds as the global recession batters car sales and sends the yen soaring.

The deeper-than-expected revision at Japan's No.2 automaker could touch off similar moves at domestic rivals Toyota Motor Corp (7203.T) and Nissan Motor Co (7201.T), also reeling from the dollar's fall to 13-year lows against the yen JPY=.  Continued...

 

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