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M'bishi Motors proposes capital change, reverse stock split

TOKYO, May 24 (Reuters) - Mitsubishi Motors Corp said it is seeking shareholder approval of a capital reorganisation - a change in accounting that would clear accumulated losses of 924.6 billion yen ($9.1 billion) by reducing capital stock by an equivalent amount.

In a statement on Friday, Japan's 7th-largest car maker by sales volume also said it was asking shareholders to approve plans for a 10-for-1 reverse stock split.

The proposed plan is aimed at preparing for a resumption of dividend payments - after a gap of around 15 years - and will be put to shareholders at the annual meeting on June 25, the company said.

"We decided to conduct a reduction in capital with the main purpose of setting up an environment in which we can resume dividend payments at an early stage," it said.