Emails and company documents seen by the media show that Nissan has asked some suppliers to allow it to postpone payments to free up short-term funds. The troubled Japanese automaker is struggling to raise cash.
Ivan Espinosa, the new Nissan CEO who took office in April, has previously announced plans to cut about 15% of its global workforce and close seven factories over the next two years, with the goal of cutting costs by 500 billion yen ($3.4 billion).
Nissan recorded an annual net loss of $4.5 billion in the fiscal year ending in March, dragged down by declining sales and aging models, and declined to give a financial forecast for this year.
The letter shows that Nissan has now asked some suppliers in the UK and the EU to accept delayed payments.
The email shows that the move will give the company more cash at the end of the first quarter from April to June, and Nissan had made a similar request before the end of the fiscal year in March.
It is not uncommon for companies to ask suppliers to defer payments to free up cash. Nissan said in a statement that it has encouraged some suppliers to work with more flexible payment terms to support its free cash flow.
"They can choose to pay immediately or pay later with interest," Nissan said.