Visteon Corp announced today that it has filed for Chapter 11 bankruptcy protection for its U.S. operations. The U.S. auto parts maker said that its non-U.S. subsidiaries and joint ventures are not a part of the filing and will continue to operate throughout the reorganization process.
Visteon, which was spun off by Ford Motor Co in 2000, listed total assets of $4.58 billion and total debts of $5.32 billion. Visteon said it filed customary “first day motions” with the court to ensure a smooth transition into Chapter 11.
“During the reorganization period, we will seek to address our capital structure and legacy costs that are not sustainable given the current economic environment,” Visteon CEO Donald Stebbins said in a statement.
Ford is still Visteon’s biggest customer and accounted for about 31 percent of its $1.35 billion of sales last quarter.
– By: Omar Rana