U.S. auto parts maker Hayes Lemmerz International Inc (HAYZ.O) said on Monday it filed for Chapter 11 bankruptcy.
Northville, Michigan-based Hayes said lenders holding a majority of
its secured debt have reached an agreement regarding a restructuring of
the company's debt.
Hayes added that it received commitments for up to $100 million in debtor-in-possession (DIP) financing from certain lenders.
In its filing with the U.S. Bankruptcy Court for the District of
Delaware, Hayes listed total assets of $1.34 billion and total debt of
The company, which makes wheels and other auto components, said it
expects to continue its operations in the normal course of business
during the financial restructuring process with no interruption in its
supply to customers.
Upon confirmation of a plan of reorganization, the DIP lenders will
convert certain of their loans into equity and will own substantially
all of the equity of the reorganized company, Hayes said.
The case is In re: Hayes Lemmerz International, Inc., U.S. Bankruptcy Court, District of Delaware, No. 09-11655.