Renault to report $11.2 billion loss on Nissan stake in first half
PARIS (Reuters) -French carmaker Renault said on Tuesday it will report an estimated 9.5 billion euro ($11.20 billion) non-cash loss on its stake in Nissan Motor in the first half after changing the way it accounts for the investment.
Renault, which holds a 35.7% stake in Nissan, said in the future, any change in the value of the holding would be directly recognised in equity and assessed based on Nissan's share price, with no impact on its net income.
The change, which it also said will have no effect on dividends paid by Renault, comes after the two companies agreed to loosen their ties and adjust a two-decade partnership to help support the Japanese firm's recovery.
($1 = 0.8483 euros)
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