If approved, GT will sell sapphire furnaces to pay back Apple loan
After much bickering in court during bankruptcy proceedings that took Apple and Wall Street by surprise, former sapphire supplier GT Advanced Technologies has worked out an agreement with the iPhone maker that will let it pursue its plan of winding down operations at its Mesa, Arizona plant and laying off nearly 700 employees. Though Apple had initially said it would work to preserve the jobs involved, the deal instead offers incentives to certain employees to help wind down the plant, and provides a way for GT to pay back the money it owes Apple.
Other sources say sapphire company has filed motion to wind down operations
More details continue to be dug up in the unexpected filing of bankruptcy by Apple sapphire supplier GT Advanced Technologies, with the Wall Street Journal reporting for the first time that the failure of the company in meeting Apple's contract requirements stems directly from a failure to deliver sapphire glass in quantities intended to be used for the iPhone 6 line. The paper does not clarify if the sapphire glass was not up to par, or the company simply couldn't make enough to meet demand.
Lack of money caused sapphire maker's cash-on-hand to dip below contractual minimums
Details are still emerging from the surprise bankruptcy filing of Apple sapphire supplier and partner GT Advanced, with new stories of possible stock shenanigans by CEO Thomas Gutierrez and speculation that the bankruptcy was brought on, at least in part, by a withheld payment from Apple. On Monday, the first day of trading following the announcement, the company's stock dropped 93 percent from $11 to around 80 cents; it rose Tuesday to close at $1.21 per share.
Company may be forced to liquidate if relief not found
Following a 10th-straight quarterly loss, electronics retailer Radio Shack noted that it may need to file for bankruptcy protections. The company, with its stock in danger of New York Stock Exchange delisting, is also reportedly evaluating other options for the future, including an outright sale, or a call for investors to boost cash stocks to survive until the generally lucrative holiday season.
Mark Karpelès ends silence on downfall, worried about remaining customer funds
Since the announcement of the Mt. Gox bankruptcy filing in February, CEO Mark Karpelès has remained silent on his feelings and events surrounding the Bitcoin exchange. That changed this week when he gave an exclusive interview to the Wall Street Journal, indicating that he was "scared, frustrated and angry" upon learning the extensive losses the exchange faced.
Total Bitcoins loss said to be 850,000 due to system weakness
Troubled Bitcoin exchange Mt. Gox filed for bankruptcy protection in Japan on Friday, breaking the silence on the company's position since suspending trading on February 24. The firm admits that it may have lost nearly half a billion dollars worth of the virtual currency when its systems were compromised by hackers. Mt. Gox is said to have $64 million in debts.
Terms of deal require Kodak to sell patent portfolio for $500 million
Eastman Kodak is attempting to draw its bankruptcy saga to a close. A deal has reportedly been reached with bondholders for $793 million in loans and other debts that could conceivably extract it from bankruptcy proceedings. A key point to the deal is Kodak being required to sell its digital photography patent portfolio for at least $500 million.
Apple claims ownership of part of sale-bound patent portfolio
Manhattan District Court Judge George Daniels has rejected Apple's bid to have its patent dispute with Kodak moved out of bankruptcy court and into district court. The move would have complicated Kodak's plan to sell its potentially lucrative patent portfolio in a sealed-bid process later this year. Kodak is attempting to auction off some 700 digital-capture patents, which have generated more than $3 billion in revenues since the turn of the century.
EMI continues suit, pursues CEO and company
In the latest maneuver during a legal battle with EMI that began in 2007, MP3Tunes has filed for bankruptcy. The move puts the ongoing case on hold, and could prevent a judgement in the matter. EMI isn't abandoning the suit, and as the CEO of MP3Tunes is a co-defendant in the case, he is personally facing liability for the alleged infringements.
Creditors getting antsy about firm's future
Troubled LTE telecom company LightSquared may default on a $1.6 billion loan and reported a net loss of $427 million for the first three quarters of 2011, forcing founder Philip Falcone to consider a "voluntary bankruptcy" to stave off creditors, Reuters reports. The move would buy time for Falcone and his hedge fund Harbinger Capital Partners to find ways to salvage the company, which has hit government resistance to its plan to create a satellite "4G" network.
Ultimate Electronics wants money refunded
Ultimate Electronics, a consumer technology chain that shuttered its stores and went out of business in April, is in court trying to recover money it paid Apple for products it received and re-sold -- a technique known as "preferential transfers" that could see the defunct chain recover as much as $420,000 from Apple, AppleInsider reports. It is normally used only to try and recover the last payments a company sent its suppliers.