Auto supplier Visteon files for bankruptcyVisteon, the former auto supply division of Ford Motor Co., filed Thursday for bankruptcy bankruptcy, in law, settlement of the liabilities of a person or organization wholly or partially unable to meet financial obligations. The purposes are to distribute, through a court-appointed receiver, the bankrupt's assets equitably among creditors and, in most protection, the latest victim of the deepening deep·en tr. & intr.v. deep·ened, deep·en·ing, deep·ens To make or become deep or deeper. Noun 1. deepening - a process of becoming deeper and more profound crisis in the auto sector. Michigan-based Visteon filed under chapter 11 of the bankruptcy code Bankruptcy Code may refer to:
New debt obtained by a firm during the Chapter 11 bankruptcy process, Federal Bankruptcy Rule 4001 (c)(1). This financing is unique because it is secured, that is, it has priority over existing debt, equity and other claims. . "Visteon expects to fund its operations with its US cash balance, cash flows from operations and a debtor-in-possession facility," the company said. "Ford Motor Company has executed a commitment letter to support debtor-in-possession financing for Visteon's restructuring restructuring - The transformation from one representation form to another at the same relative abstraction level, while preserving the subject system's external behaviour (functionality and semantics). efforts and to ensure long-term continuity of supply. Other global customers have also expressed their support." Visteon said it had assets of 4.58 billion dollars, making it one of the largest auto suppliers, and listed debts of 5.3 billion. No Visteon subsidiaries or joint ventures outside the US are part of the filing. But Visteon's British subsidiary sought creditor An individual to whom an obligation is owed because he or she has given something of value in exchange. One who may legally demand and receive money, either through the fulfillment of a contract or due to injury sustained as a result of another's Negligence protection in March. "Visteon is taking this step to maximize the long-term value of the company," said chairman and chief executive Donald Stebbins. "During the reorganization period, we will seek to address our capital structure and legacy costs Legacy costs is a term formed by analogy with the computer industry's legacy systems. Legacy costs are those incured by an organization in prior years under different leadership or when the entity's priorities and resources were different. that are not sustainable given the current economic environment. The results of these actions, combined with our innovative products and excellent product quality, will allow Visteon to emerge a financially sound and well-positioned company." Visteon joins in bankruptcy General Motors' former parts division, Delphi, which has been under court supervision since 2005. Chrysler, the number three automaker, is seeking a quick emergence from bankruptcy after its court filing April 30, while GM itself is widely expected to seek bankruptcy reorganization. Visteon operates in 27 countries and employs 31,000 people. Ford represents around 30 percent of its business, with South Korea's Hyundai accounting for 25 percent. French-based Renault-Nissan represents some seven percent of sales and Peugeot-Citroen six percent. 
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