Nissan Motor Co. (TYO:7201) is preparing to replace Chief Executive Officer Makoto Uchida after weak earnings and failed merger talks with Honda (TYO:7267), Bloomberg News reported Thursday, citing sources familiar with the matter.

The company is gauging interest in potential successors, with CFO Jeremie Papin a likely candidate, the news agency noted, citing a report from Japanese publication Diamond.

Uchida, 58, warned of an 80 billion yen net loss for the fiscal year ending March, a sharp reversal from the 380 billion yen profit forecast nine months ago, Bloomberg reported.

Nissan faces record debt due next year, with all major rating agencies downgrading it to junk.

(Market Chatter news is derived from conversations with market professionals globally. This information is believed to be from reliable sources but may include rumor and speculation. Accuracy is not guaranteed.)

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