Japan's Honda Motor Co sliced 6.5 percent off its core annual profit forecast as it set aside hundreds of millions of dollars in extra cash to cover an extended car recall to replace potentially faulty air bags made by Takata Corp. Reporting its third-quarter earnings fell by nearly a quarter as it soaked up recall costs, Japan's third-largest automaker said it now expects an operating profit of 720 billion yen for the year to March 31. It previously forecast 770 billion yen, but has set aside an extra 50 billion yen to cover what it said were quality-related costs including the Takata air bag recalls.