Sony battery recall will hurt brand, business

As Sony Corp.’s battery recall spreads, analysts are wondering how much business Sony could lose to competitors in the battery business and whether Sony’s general reputation has been tarnished.

So far, companies have stayed mum about their plans in terms of their supply relationship with Sony, saying they have no plans now to change suppliers but that they wouldn’t comment on the future.

Industry observers say computer makers are likely to look hard at shifting at least some of their business away from Sony and giving it to its two main competitors in the battery business, Sanyo Electric Co. and Panasonic Shikoku Electronics Co.

“Sony’s brand is severely damaged,” said Roger Kay, president of Endpoint Technologies Associates, a market-research firm. “I think it’s going to be a question whether they can be in the battery business at all.”

“Boeing Co. has promoted the longtime head of its sales team for the Asia-Pacific region to vice president of the jet maker’s Seattle-based commercial airplane sales unit, the company said Monday.

Larry Dickenson, 63, replaces Scott Carson, who was named president and chief executive of the commercial airplanes division last month when his predecessor, Alan Mulally, left Boeing to become CEO at Ford Motor Co.

“General Motors Corp.’s board should have plenty to talk about when it meets Tuesday.

An Oct. 15 deadline is fast approaching for evaluating a proposal to join the Renault-Nissan alliance — an idea that has the backing of a major shareholder but has met with skepticism from management.

Meanwhile, the shareholder behind the idea, billionaire investor Kirk Kerkorian, has ratcheted up the pressure by announcing his intention to increase his stake and pushing for an independent evaluation of the alliance proposal.

But deadline pressure and one active shareholder won’t necessarily force the board to take action. The study period for the alliance proposal could always be extended, as Chairman and Chief Executive Rick Wagoner last week suggested might happen.

GM spokesman Brian Akre said Tuesday’s meeting is a regularly scheduled monthly event. He declined to comment on the agenda.

Kerkorian, whose private equity firm, Tracinda Corp., is represented on the board by Jerome York, said in a filing to the Securities and Exchange Commission on Thursday that he wants to buy up to 12 million more shares of GM.