TAKATA, Japan's largest airbag maker, has been bankrupt for billions of dollars due to defects in its products, the biggest bankruptcy of a Japanese company to date.
The company said in a statement that the decision was taken by its board of directors and led to a freeze on trading of the company's shares on the Japanese stock exchange, after the accumulation of the decline of shares by about 80% since the middle of this month.
The company's obligations exceed $ 8 billion and $ 988 million, making Takata's bankruptcy the largest ever for a Japanese company.
The company's bankruptcy in Tokyo is aimed at facilitating debt restructuring, securing protection of Japanese legislation and avoiding default, according to the company, which said it would seek emergency funding from Japanese agencies to continue its activities.
The company's president, Shigihia Takada, apologized at a press conference for creditors, asking them to "understand and support" the "restructuring" process, according to local media.
For his part, Japanese Economy, Trade and Industry Minister Hiroshiji Seko said bankruptcy was "inevitable."
Established in 1933, Takata is one of the world's leading suppliers of airbags and other road safety devices and has been experiencing economic difficulties since 2008 due to defects in its airbags
No comments:
Post a Comment