By Yuma Ikeshita / Yomiuri Shimbun Staff Writer

JA Mitsui Leasing Ltd., a major Japanese leasing company funded by Norinchukin Bank and Mitsui & Co., announced Tuesday that it will recognize 150.5 billion yen in allowance for doubtful accounts, in relation to accounts receivables acquired from U.S. auto parts supplier First Brands Group.

The Japanese leasing company added that it now forecasts a net loss of 115.7 billion yen in fiscal 2025, which ends in March. The company reported a net profit of 37.4 billion yen in the previous fiscal year.

Due to the company's deteriorating financial situation, it has requested support from Norinchukin and Mitsui. It is also in discussions to arrange a syndicated loan from Norinchukin, the three Japanese megabanks and Sumitomo Mitsui Trust Bank Ltd.

JA Mitsui Leasing decided to record the allowance for doubtful accounts after determining it would be difficult to collect payment for accounts receivable purchased by a U.S. subsidiary from First Brands, which has filed for bankruptcy.

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This article is from The Yomiuri Shimbun. Neither Dow Jones Newswires, MarketWatch, Barron's nor The Wall Street Journal were involved in the creation of this content.

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February 03, 2026 03:53 ET (08:53 GMT)

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