Suppliers Visteon, Metaldyne file for bankruptcy protection

Source: Detroit Free Press

Suppliers Visteon, Metaldyne file for bankruptcy protection
FREE PRESS STAFF AND WIRE REPORTS • MAY 28, 2009


Metro Detroit auto parts suppliers Visteon Corp. and Metaldyne Corp. filed for bankruptcy protection today, as both parts makers struggle amid steep declines in demand for vehicles and face cash droughts with extended plant shutdowns this summer.

The two companies employ more than 35,000 workers, many of whom are located in the Detroit area.

But it appears the two companies will take different courses in their respective bankruptcy cases.

Visteon filed for Chapter 11 in with the intent of reorganizing its business. Meanwhile, Metaldyne, a U.S. subsidiary to Japanese auto supplier Asahi Tec Corp., filed for bankruptcy expecting to sell parts of its U.S. operations.

Read more: http://www.freep.com/article/20090528/BUSINESS01/90528018/Suppliers+Visteon++Metaldyne+file+for+bankruptcy+protection