Norinchukin Warns of $12 Billion Loss on Bonds, Replaces CEO (1)

Norinchukin Bank widened its loss forecast and named a new chief executive officer as the Japanese lender tries to recover from its foreign bond investment debacle.

Taro Kitabayashi, who is currently chief financial officer, was chosen to become CEO on April 1, replacing Kazuto Oku, the bank said in a statement on Thursday, confirming reports from earlier this week.

Kazuto Oku in Tokyo on Feb. 20.

Photographer: Kiyoshi Ota/Bloomberg

Norinchukin said it may post a loss of as much as ¥1.9 trillion ($12.7 billion) in the year ending March, more than the ¥1.5 trillion it had previously projected. It expects to return to profit next fiscal year ...