Key Plastics L.L.C., one of the leading manufacturers of engineered plastic components for the global automotive industry, recently announced converting US$115 mln of senior secured debt into equity and the closing of an additional US$20 mln equity investment, spelling an end to its Chapter 11 creditor protection. The company announced completion of its prepackaged reorganization on February 13, 2009. The additional investment was led by Wayzata Investment Partners LLC, which became the Company's controlling shareholder. In addition, the Company entered into a new US$25 mln credit facility.
"Our goal was to position ourselves to be one of the beneficiaries of our customers' supplier consolidation strategies as the supply base contracts at a greater pace in 2009. We have achieved that goal, with Key Plastics now being largely debt free and maintaining very high levels of quality and delivery," said Ralph Ralston, President & COO of the Company's North American operations.