Lear Emerges from Bankruptcy

Tough times remain behind for American automotive supplier Lear, after it announced today it has completed its court-supervised financial reorganization. In addition, Lear also announced its new common stock will be listed on the New York Stock Exchange (NYSE) starting today, with trading being done on a "when issued" basis.

"We have moved through the financial restructuring process without missing a beat operationally. We have continued to win new business globally, strengthened our industry-leading global capabilities and the spirit of the Lear team has never been more positive," Bob Rossiter, Lear CEO said in a release. "Our customer relationships remain the best in the industry, allowing us to continue winning new business in every region of the world."

Following the reorganization, Lear managed to reduce its debt obligations by some $2.8 billion. To complete the picture, Lear now has about $1 billion of debt at competitive interest rates and no near-term maturities.

Lear posted net sales backlog amounting to $1.4 billion for 2010 to 2012, 25 percent more than the prior status. Lear's new business is currently more than half sourced form outside North America.

"Thanks to the hard work and dedication of our employees, we moved through our financial restructuring expeditiously and without compromising the fundamentals that make Lear a global industry leader - our unrelenting focus on quality, our unwavering commitment to customer satisfaction, and the most talented team in the business," Rossiter concluded.

"When you add to that our strong balance sheet, competitive cost structure, and focused growth strategy, we are ideally positioned to continue our business momentum and to benefit from an industry recovery."
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About the author: Daniel Patrascu
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Daniel loves writing (or so he claims), and he uses this skill to offer readers a "behind the scenes" look at the automotive industry. He also enjoys talking about space exploration and robots, because in his view the only way forward for humanity is away from this planet, in metal bodies.
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