Mitsubishi SpaceJet builder slashes capital 99% to offset losses

NAGOYA, Japan -- The company behind the Mitsubishi SpaceJet reduced its capital by more than 99% last month to help cover losses stemming from its now-frozen plan to build Japan's first jetliner.

Mitsubishi Aircraft, a unit of Mitsubishi Heavy Industries, cut its capital to 500 million yen ($4.6 million) from 135 billion yen. Capital reserves were eliminated. Capital and capital reserves had previously totaled 270 billion yen.