(CNN) – Japanese auto giant Nissan said it will cut production capacity by 20% and close its vehicle manufacturing plant in Barcelona as part of a radical restructuring.
Nissan CEO Makoto Uchida did not say how many jobs will be lost. He said the company has yet to consult with unions and stakeholders.
The decision comes after Nissan revealed its first annual operating loss in more than a decade.
LOOK: As sales fall, problems for Nissan increase
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The company posted an operating loss of 40.5 billion yen ($ 376 million) for its fiscal year ending March, compared to an operating profit of 318 billion yen ($ 2.9 billion) for its previous fiscal year.
It was the company’s worst performance since 2009.
More pain could be on the way. Given the uncertainty surrounding the coronavirus pandemic, “it is difficult to reasonably forecast a prospect for fiscal year 2020 at this time,” Uchida said Thursday in a profit presentation.
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