The way things are going, this news may be repeated for several more quarters.
Honda slashes profit forecast amid global downturn
TOKYO (AP) -- Japanese automaker Honda slashed its profit forecast for the fiscal year Wednesday and announced that managers will take a 10 percent pay cut amid a global downturn in the auto industry.President Takeo Fukui blamed the revisions on declining demand set off by the U.S. financial crisis and the nose-diving dollar, which recently fell to a 13-year low against the yen.
Japan's second-biggest automaker now expects 185 billion yen ($2.06 billion) in group net profit for the fiscal year ending March 31, 2009. That's less than a third of the 600 billion yen it earned last fiscal year.
Tokyo-based Honda has already twice revised its forecast. In October, it said it expected 485 billion yen in profit.
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