DaimlerChrysler, Mitsubishi Discuss New Terms

DaimlerChrysler said it’s renegotiating terms of an investment in Mitsubishi Motors Co. to obtain greater control of Japan’s No. 3 auto maker, whose reputation and shares have been hurt by a recall scandal. DaimlerChrysler said the talks have been “fruitful” and a new agreement could be reached soon. The Stuttgart, Germany-based company wants to raise its stake to 40%, altering a July plan to buy 34% for almost $2 billion, said NHK television news, without citing sources. It also wants to increase representation on the 10-member management board from three. DaimlerChrysler’s agreement with Mitsubishi “is too hands-off,” said Daiwa Securities analyst John Buckland. “There are enough problems at Mitsubishi to justify a stronger role.” DaimlerChrysler wouldn’t discuss the specifics of negotiations with Mitsubishi. Mitsubishi Motors said in a statement that its talks with DaimlerChrysler involve changes to quality control and cooperation issues, without elaborating.