BBS files for bankruptcy
01-05-2011, 05:20 PM
#1
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BBS files for bankruptcy
Report: BBS files for bankruptcy... again
by Jeff Glucker (RSS feed) on Jan 5th 2011 at 2:45PM
BBS WheelGerman wheel manufacturer BBS has declared bankruptcy, and it's not the first time. Back in 2007, BBS was plagued with financial difficulties but Punch International stepped in to provide much-needed capital. The news of a second bankruptcy, which was filed on December 30, apparently came as a shock to the hundreds of employees and even corporate partner IG Metall. The latter was getting ready to put a few million bucks into BBS and rival company Ronal was ready to buy BBS' Herbolzheim factory. We can only hope that BBS makes a strong recovery and we're not forced to look at BBS Bear wheels. [Source: Faz via Fourtitude]
Filed under: Aftermarket, Europe, Earnings/Financials
http://www.autoblog.com/2011/01/05/r...tcy-yes-again/
by Jeff Glucker (RSS feed) on Jan 5th 2011 at 2:45PM
BBS WheelGerman wheel manufacturer BBS has declared bankruptcy, and it's not the first time. Back in 2007, BBS was plagued with financial difficulties but Punch International stepped in to provide much-needed capital. The news of a second bankruptcy, which was filed on December 30, apparently came as a shock to the hundreds of employees and even corporate partner IG Metall. The latter was getting ready to put a few million bucks into BBS and rival company Ronal was ready to buy BBS' Herbolzheim factory. We can only hope that BBS makes a strong recovery and we're not forced to look at BBS Bear wheels. [Source: Faz via Fourtitude]
Filed under: Aftermarket, Europe, Earnings/Financials
http://www.autoblog.com/2011/01/05/r...tcy-yes-again/
01-05-2011, 05:50 PM
#3
Rennlist Member
Posted on 6 speed by Tire Rack:
This is BBS' official word, sent to us by the head of their US operations in GA last night:
To our valued customers,
BBS has been the recognized leader in the premium wheel category for 40 plus years. As BBS of America, Inc. brings to a close the 2010 year in a much healthier manner; we are very bullish on the 2011 year with a much stronger program in all phases of the North American business.
However, some difficulties have beset our parent company, BBS International GmbH. While not posing any immediate difficulties to our North American operations, we want you to be aware of this information.
BBS International GmbH has filed for Insolvency Protection in what amounts to be a Management Reorganization (similar to our Chapter 11 protection) during a difficult period while in negotiation to sell the one high volume plant in Herbolzheim, Germany. While the sale of this plant (high volume
production plant for the OE market) is pending to the Ronal organization, it put undue pressure on credit within BBS International GmbH. This filing will enable BBS International GmbH to continue to do business as usual while the Management is restructured and the sale of the Herbolzheim plant is completed. The sale of the Herbolzheim plant will allow for further investment and streamlining to be
made at the Schiltach operation (BBS International GmbH headquarters). The investment in the Schiltach operation will enable BBS to re-focus on its core business of high end Aftermarket, Motorsport and Premium Original Equipment product for the worlds leading automotive manufacturers.
BBS of America, Inc. is in business and is fully operational. The plants in Germany are also fully operational and product is due to be released after this holiday period in the normal manner. The new German product that we have arriving for the spring selling season is still on plan. Our forged wheel business with our partner BBS Japan is also unaffected as we have some new offerings on the forged side of the business also arriving in the spring.
We will do all that is possible to support our customers during this time. We fully expect to continue with our aggressive business plan in 2011.
Hopefully this clears things up. BBS isn't going anywhere anytime soon.
This is BBS' official word, sent to us by the head of their US operations in GA last night:
To our valued customers,
BBS has been the recognized leader in the premium wheel category for 40 plus years. As BBS of America, Inc. brings to a close the 2010 year in a much healthier manner; we are very bullish on the 2011 year with a much stronger program in all phases of the North American business.
However, some difficulties have beset our parent company, BBS International GmbH. While not posing any immediate difficulties to our North American operations, we want you to be aware of this information.
BBS International GmbH has filed for Insolvency Protection in what amounts to be a Management Reorganization (similar to our Chapter 11 protection) during a difficult period while in negotiation to sell the one high volume plant in Herbolzheim, Germany. While the sale of this plant (high volume
production plant for the OE market) is pending to the Ronal organization, it put undue pressure on credit within BBS International GmbH. This filing will enable BBS International GmbH to continue to do business as usual while the Management is restructured and the sale of the Herbolzheim plant is completed. The sale of the Herbolzheim plant will allow for further investment and streamlining to be
made at the Schiltach operation (BBS International GmbH headquarters). The investment in the Schiltach operation will enable BBS to re-focus on its core business of high end Aftermarket, Motorsport and Premium Original Equipment product for the worlds leading automotive manufacturers.
BBS of America, Inc. is in business and is fully operational. The plants in Germany are also fully operational and product is due to be released after this holiday period in the normal manner. The new German product that we have arriving for the spring selling season is still on plan. Our forged wheel business with our partner BBS Japan is also unaffected as we have some new offerings on the forged side of the business also arriving in the spring.
We will do all that is possible to support our customers during this time. We fully expect to continue with our aggressive business plan in 2011.
Hopefully this clears things up. BBS isn't going anywhere anytime soon.
01-05-2011, 05:50 PM
#4
Rennlist Member
Doesn't every European company do the euro version of chapter 11 every 5 years or so when possible?
It's the only way to have a change to get the permission from the judge to let some people go.
You know, the ones that are past their trial contract with an age determinded (Not performance) salary with a company car, gas card and company phone but rarely show up, except to tell the owner that "they can't take it anymore" but won't resign either....
It's the only way to have a change to get the permission from the judge to let some people go.
You know, the ones that are past their trial contract with an age determinded (Not performance) salary with a company car, gas card and company phone but rarely show up, except to tell the owner that "they can't take it anymore" but won't resign either....
01-06-2011, 03:29 AM
#5
Former Vendor
Doesn't every European company do the euro version of chapter 11 every 5 years or so when possible?
It's the only way to have a change to get the permission from the judge to let some people go.
You know, the ones that are past their trial contract with an age determinded (Not performance) salary with a company car, gas card and company phone but rarely show up, except to tell the owner that "they can't take it anymore" but won't resign either....
It's the only way to have a change to get the permission from the judge to let some people go.
You know, the ones that are past their trial contract with an age determinded (Not performance) salary with a company car, gas card and company phone but rarely show up, except to tell the owner that "they can't take it anymore" but won't resign either....
BS.
