News that no additional bidders came forth to submit alternative proposals to acquire Delphi Corp. was the most read story this week on aftermarketNews.com.
On Friday, the company was expected to face an assets auction, with the winning bid proceeding to a critical sales hearing July 23, according to the Detroit News.
On June 1, Delphi announced its plan to emerge from Chapter 11 reorganization through either a modified reorganization plan or sale under Section 363 of the Bankruptcy Code through which Parnassus Holdings II LLC, an affiliate of Platinum Equity would operate Delphi’s U.S. and non-U.S. businesses with emergence capital and capital commitments of approximately $3.6 billion.
Genuine Parts Co. reported sales totaling $2.5 billion in the second quarter, a 12 percent decrease from the same period a year ago (the automotive group reported a 5 percent decrease). Net income for the quarter was $103.6 million, a decrease of 22 percent from $133.1 million recorded in the same period of the previous year.
In other bankruptcy notices, J.L. French Automotive Castings Inc. reported it has filed for Chapter 11 bankruptcy protection. The company announced plans to reduce its secured debt from approximately $280 million to approximately $65 million via debt-for-equity swaps with first and second lien term loan lenders.
Chrysler Financial announced Wednesday the company had repaid in full the $1.5 billion in Troubled Asset Relief Program (TARP) money borrowed from the federal government in January. Chrysler Financial used the TARP loans to fund more than 85,000 consumer loans to support the sale of Chrysler, Jeep and Dodge vehicles for Chrysler LLC.
And the Aftermarket Auto Parts Alliance released the industry’s first electronic parts catalog for the Mexico market. The Alliance selected WHI Solutions to develop ALLeCat, the exclusive private label electronic parts application catalog for its 10 Mexico shareholders.
