Lower industry volumes and the massive decline in truck and SUV sales have put as many as one-third of automotive suppliers in North America at risk of bankruptcy, according to the Summer 2008 Automotive Industry Review prepared by Grant Thornton LLP Corporate Advisory and Restructuring Services. At the same time, bankruptcy concerns for the Detroit Three domestic automakers are overblown, despite recent credit downgrades by the major debt rating agencies. Chrysler is an unlikely candidate for bankruptcy, but for different reasons: the value of its assets like assembly plants, its parts and service business and its retail network.
Risk of Bankruptcy High Among Auto Industry Suppliers Anonymous The Secured Lender; Nov/Dec 2008; 64, 6; Docstoc pg. 16 Reproduced with permission of the copyright owner. Further reproduction prohibited without permission.
Pages to are hidden for
"Risk of Bankruptcy High Among Auto Industry Suppliers"Please download to view full document