Southfield, Michigan - Lear Corp. is clear to emerge from bankruptcy following the approval of its plan of reorganisation from the US Bankruptcy Court of the Southern District of New York, a 5 Nov company statement said. The Michigan, US-based supplier of automotive seating systems first entered bankruptcy proceedings four months ago.
"Today's confirmation is an important milestone for Lear," commented Bob Rossiter, Lear ceo. "Upon emergence, we will have substantially lower debt, a strong and flexible balance sheet and in excess of one billion dollars in cash. This capital restructuring, combined with the significant operational restructuring we have completed since mid-2005, positions our company for profitable growth and long-term success," Rossiter added.
The company expects its plan of reorganisation to become effective 9 Nov, once all closing conditions have been met. (RD)