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Nissan plans to cut over 10,000 jobs globally: source

FILE PHOTO: A Nissan logo is pictured during the media day for the Shanghai auto show in Shanghai, China April 16, 2019. REUTERS/Aly Song/File Photo

TOKYO (Reuters) – Nissan Motor Co Ltd (7201.T) is planning to cut more than 10,000 jobs globally to help turn around its business, a source said on Wednesday, showing a tough road ahead for the automaker which is also reeling from the ouster of former Chairman Carlos Ghosn.

The cuts include the 4,800 already announced in May, and will mostly be at factories overseas with low utilization rates, said the person familiar with the matter, adding that the move would be announced along with financial results on Thursday.

The move was first reported by Kyodo late on Tuesday. Nissan told Reuters it had no comment.

In May, Nissan forecast a 28% plunge in its annual operating profit after a 45% fall in the previous year, putting it on course for the weakest earnings in 11 years.

The Renault-Nissan alliance has been under strain since the arrest and ousting of Ghosn late last year on charges of financial misconduct.

Reporting by Maki Shiraki and Naomi Tajitsu; Writing by Ritsuko Ando; Editing by Jacqueline Wong and Christopher Cushing

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