Toyota has forecast its first loss in 71 years of trading!

Posted by admin on 22 December, 2008 under Business news | Read the First Comment

The US car manufacturers are not the only companies struggling in the present economic crisis with Toyota bracing itself for its first lost in 71 years.

The Yen has been strengthening recently and with the world economic slow-down Toyota finds itself in an unusual position with demand for its cars falling, it is expected to report a loss of 150 billion Yen (£1.13 billion). To compare Toyota reported a profit of 2.27 trillion Yen (£17.13 billion), which puts things into perspective.

Of course the USA is one of Toyota’s key markets, so where the US economy is in crisis sales are being hit hard, as we see President Bush throwing cash of some $17.4 billion (£11.78 billion) at struggling carmakers General Motors and Chrysler in order to stave off bankruptcy as they too see demand at an all time low.