Fuji Heavy Industries Ltd

General Motors Corp., hobbled by three straight quarters of losses, agreed to sell its stake in the Japanese maker of Subaru cars and trucks for about half the amount it paid five years ago. Toyota Motor Corp., GM's biggest competitor, would buy 8.7% of Fuji Heavy Industries Ltd. for about $315 million in cash. GM would sell the remainder of its 20% stake in Fuji Heavy, worth about $422 million, back to Fuji or on the stock market. GM is raising cash after posting $1.

General Motors Corp. is set to announce in Tokyo that it's buying a 20% stake in Fuji Heavy Industries Ltd., parent of auto maker Subaru, for about $1 billion, sources familiar with the deal said. The agreement, barring a last-minute hitch, is the latest of many mergers and alliances in the worldwide automotive industry, and helps GM fulfill its pledge to boost its share in the fast-growing Asia-Pacific market to 10% by 2005, from about 4% now.

Japanese Auto Makers Report Dismal Second-Half Earnings: Hurt by the strengthening yen, Mitsubishi Motors Corp., Japan's third-largest car maker, reported a 19% drop in net profit, to $83 million, for the six months ended Sept. 30. Sales edged up 0.7% to $12.5 billion. As the yen's value increases, prices of Japanese goods exported to foreign currencies must rise in order to keep their value in yen stable. This has cut into the exports for Japanese car makers.

Subaru Shifting Production to U.S. Plant: The auto maker's parent, Fuji Heavy Industries Ltd., will move all Legacy assembly out of Japan when its Indiana plant begins turning out 1995 models next spring, Richard Marshall of Subaru of America said. He blamed the costly yen for the change, but he would not estimate how many jobs the move might generate in Indiana.

Japan and the United States signed an agreement to begin a multibillion-dollar joint venture to develop a state-of-the-art jet fighter for Japan's air defense. The agreement, signed Tuesday, calls for St. Louis-based General Dynamics Corp. and three Japanese companies--Mitsubishi Heavy Industries Ltd., Kawasaki Heavy Industries Ltd. and Fuji Heavy Industries Ltd.--to jointly develop the new fighter based on the General Dynamics F-16.

A former Nissan executive was elected Thursday as president of Fuji Heavy Industries Co., giving Nissan effective control over the slumping manufacturer of Subaru cars. Fuji shareholders approved the selection of Isamu Kawai, former president of Nissan Diesel Motor Co., a subsidiary of Nissan Motor Co., at a meeting in Tokyo. Nissan, Japan's second-largest auto maker, is Fuji's largest shareholder, with a 4.2% stake, and its superior in a corporate grouping, or keiretsu.

In a step toward Japan's goal of developing an aircraft industry, three Japanese manufacturers have reached an agreement to take their largest role ever in development and production of a new U.S. jetliner. Mitsubishi Heavy Industries, Kawasaki Heavy Industries and Fuji Heavy Industries reached an agreement with Boeing Co.

In a step toward Japan's goal of developing an aircraft industry, three Japanese manufacturers have reached an agreement to take their largest role ever in development and production of a new U.S. jetliner. Mitsubishi Heavy Industries, Kawasaki Heavy Industries and Fuji Heavy Industries reached an agreement with Boeing Co.

A former Nissan executive was elected Thursday as president of Fuji Heavy Industries Co., giving Nissan effective control over the slumping manufacturer of Subaru cars. Fuji shareholders approved the selection of Isamu Kawai, former president of Nissan Diesel Motor Co., a subsidiary of Nissan Motor Co., at a meeting in Tokyo. Nissan, Japan's second-largest auto maker, is Fuji's largest shareholder, with a 4.2% stake, and its superior in a corporate grouping, or keiretsu.

Boeing said Friday that three Japanese aerospace firms will build 20% of the structure for the firm's next generation commercial jetliner, setting tighter limits on the Japanese role than had been expected. Under a preliminary agreement, the three Japanese firms will not become "equity partners," meaning that they will be excluded from participating in overall design and management of the new aircraft program, known as the 767-X, Boeing said.