Hitachi, Hit Hard, Scrambles Management

Japanese electronics giant Hitachi (HIT Quote) has announced a bewildering array of executive changes after posting a massive 371 billion yen ($4.1 billion) third-quarter loss Tuesday.

The company, which has been battered by the global economic downturn, also expects its worst-ever full-year loss of $7.8 billion for the fiscal year through March, a stark contrast to the $16.9 billion profit it forecast in October.

After recently announcing 7,000 job cuts and a major global restructuring plan, the Tokyo-based firm is now overhauling its management team, reshuffling more than 20 executives.

Hitachi is even swapping out executives in high-profile positions such as that of chief technology officer (CTO) and chief information security officer (CISO).

Naoya Takahashi has been appointed Hitachi's CTO and CISO. These roles are currently held, respectively, by Junzo Kawakami and Manabu Shinomoto. Kawamaki will now become an adviser to the firm, and Shinomoto will become CEO of Hitachi Kokusai Electric, according to a statement.

Previously Takahashi was executive vice president of the company's information and telecommunications systems group.

In the U.S., Hitachi's Global Storage Technologies subsidiary appointed its CFO Stephen Milligan as president, taking over from Hiroaki Nakanishi, who will remain chairman while also working as Hitachi's executive vice president for global strategy.

Despite Hitachi's third-quarter loss, the firm's shares rose $1.38, or 5.08%, to $28.54 in Tuesday trading, possibly as a result of its restructuring efforts.

The slew of management changes, which will take effect in April, aim to breathe life into Hitachi's business at a time of massive economic uncertainty.