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Suzuki Gets Loan to Fund Dealership Closings
A federal bankruptcy judge has granted interim approval for Japan's Suzuki Motor Corp. to loan its American unit $45 million at below-market interest rates to financing the closings of its 216 U.S. dealerships.
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A federal bankruptcy judge has granted interim approval for Japan's Suzuki Motor Corp. to loan its American unit $45 million at below-market interest rates to financing the closings of its 216 U.S. dealerships.
American Suzuki filed for Chapter 11 on Monday and said it intends to exit the country's car market.
The company is offering its dealers undisclosed cash payments if they agree within 10 days to end their franchise agreements, according to Bloomberg News. American Suzuki says it will need an additional $55 million during its bankruptcy.