BBS has filed for bankruptcy...

[tirebob]

http://www.autoevolution.com/news/bb...tcy-29268.html

Looks like the end to an era... Hopefully they will come back from the brink again!

[R_Ethug]

Re: BBS has filed for bankruptcy...

i thought tirerack owned BBS? or just BBS Usa?

[tirebob]

Re: BBS has filed for bankruptcy...

They just had some exclusive distribution rights thing or some ****...

[cam_wmh]

Re: BBS has filed for bankruptcy...

They declared in 2007 as well.

[onceover]

Re: BBS has filed for bankruptcy...

Great. Now used sets will be even more expensive :(

[R_Ethug]

Re: BBS has filed for bankruptcy...

and replicas galore or someone buys the designs (if thats possible)

i always wanted a set of REs

[RONDAL]

Re: BBS has filed for bankruptcy...

welcome to trying to do business in germany at the moment. bloody unions

[MusicalGenius]

Re: BBS has filed for bankruptcy...

A sad notice indeed.

[Kor]

Re: BBS has filed for bankruptcy...

They must seriously mismanage their company because PLENTY of other companies make great wheels and make a profit. BBS has no excuse for bankruptcy!!!

[CGDoig]

Re: BBS has filed for bankruptcy...

It's because nobody buys them new already lol. Wtb: good set of RS'.

[RONDAL]

Re: BBS has filed for bankruptcy...

They must seriously mismanage their company because PLENTY of other companies make great wheels and make a profit. BBS has no excuse for bankruptcy!!!

with knockoffs a dime a dozen for a 1/4 of the costs, competitors finally into the game fully, and manufacturers like BMW, audi, VW not using their wheels as much for OEM wheels, they've definetly lost a lot of market share.

Couple that with the fact they operate in one of the most expensive places to do business and it does make it tough. But they really do need to get someone to better manage their finances

[JLam]

Re: BBS has filed for bankruptcy...

It depends more on their capital structure, if they are levered up and one of their large financiers decide to pull their investment, the company is more likely to be illiquid. Now are they insolvent or illiquid thats the real question?

[RONDAL]

Re: BBS has filed for bankruptcy...

more info:


from keith@apr...

Keith@APR;6050695
Regarding the bankruptcy....

Its not what most think of when they think of a company being insolvent.

Its a deal between the business and those that hold the businesses debt to allow the business to continue to operate and to allow for some of their debt to be restructured/forgiven/repaid.

What is happening to BBS GmbH is that their management team is being ousted, they are selling off an OEM wheel factory to a competitor to generate cash (I assume to repay some debt) while they replace the management team and restructure their core business.

Its not a going out of business deal at all. Its a bit of downsizing to get rid of an unprofitable segment of their business whilst replacing the management team.

BBS GmbH will be stronger and better after this is over.

The idea is to lose some of this low margin OEM business and focus on Motorsport, Aftermarket and Premium OEM business.

Basically, no more RC type OEM wheels and getting rid of the factory that makes them is all that's really happening.

[luunta]

Re: BBS has filed for bankruptcy...

more info:


from keith@apr...

Keith@APR;6050695
Regarding the bankruptcy....

Its not what most think of when they think of a company being insolvent.

Its a deal between the business and those that hold the businesses debt to allow the business to continue to operate and to allow for some of their debt to be restructured/forgiven/repaid.

What is happening to BBS GmbH is that their management team is being ousted, they are selling off an OEM wheel factory to a competitor to generate cash (I assume to repay some debt) while they replace the management team and restructure their core business.

Its not a going out of business deal at all. Its a bit of downsizing to get rid of an unprofitable segment of their business whilst replacing the management team.

BBS GmbH will be stronger and better after this is over.

The idea is to lose some of this low margin OEM business and focus on Motorsport, Aftermarket and Premium OEM business.

Basically, no more RC type OEM wheels and getting rid of the factory that makes them is all that's really happening.

this makes a lot more sense. good info andrew.

[popp]

Re: BBS has filed for bankruptcy...

Directly from my BBS rep....

There is no bankruptcy it’s reorganization -- it’s like Chapter 11 in the US. *They are selling a huge facility to Ronal and until that deal is complete they are strapped for cash.* BBS here is not really affected and production in Germany is not interrupted so supply shouldn’t be an issue.*