Michigan semi truck parts manufacturer files for Chapter 11 bankruptcy protection

Published:

A major commercial vehicle parts manufacturer filed for bankruptcy protection as part of a plan to restructure, the company announced this week.

On October 9, Livonia, Michigan-headquartered Accuride announced that the company filed for Chapter 11 bankruptcy protection in the U.S. and for Companies’ Creditors Arrangement Act (CCAA) in Canada.

Accuride says that plants will remain open and business will operate as usual without interruption.

The company says that it expects to “emerge” from the bankruptcy proceedings within 90 to 100 days from filing, with a confirmed plan of reorganization.

Accuride says that lenders have provided $30 million in Debtor-in-Possession financing to allow normal operations to continue and to meet obligations to employees, suppliers, and customers as they come due.

“Accuride’s reorganization efforts are designed to create a healthier capital structure that will allow the Company to remain a leader in the global wheel market,” said Robin Kendrick, Accuride’s President and CEO. “Accuride anticipates a quick emergence from Chapter 11, with a de-levered balance sheet and improved capital structure. I am confident this reorganization will give Accuride the financial flexibility it needs to grow its business and support its employees, customers, and suppliers.”

Accuride produces steel and aluminum commercial vehicle wheels and wheel-end components and assemblies.