Takata Warns of Larger Losses on Airbag Recalls

Takata Corp. says it now expects to lose 25 billion yen ($214 million) in the current fiscal year on charges related to recalls of its defective airbag inflators.

The Japanese supplier previously forecast a loss of 24 billion yen ($206 million) on the widening crisis. So far 11 carmakers have recalled more than 14 million vehicles worldwide to replace Takata inflators that could explode when triggered.

The company concedes it is "not possible to predict" future recall costs. In the past two weeks several carmakers have expanded callbacks to replace Takata inflators in the U.S.

One big reason for the widening recalls is a lack of ability to determine accurately which vehicles may contain faulty inflators. U.S. campaigns have been limited to high-temperature, high-humidity regions, because the inflators appear to be sensitive to moisture.

America's National Highway Traffic Safety Administration says there is no evidence that Takata airbag inflators in other climates pose a threat.