Garrett Motion, Inc. provides automobile technology. The firm engages in the designing, manufacturing and selling engineered turbocharger, electric-boosting technologies for light and commercial vehicle original equipment manufacturers. It offers light vehicle gasoline, light vehicle diesel and commercial vehicle turbochargers that enhance vehicle performance, fuel economy and drivability. The company was founded on March 14, 2018 and is headquartered in Rolle, Switzerland.
Our ability to successfully operate during and reorganize the Debtors in the Chapter 11 Cases is dependent upon our ability obtain Bankruptcy Court approval of the Debtors’ motions, the outcome of Bankruptcy Court rulings and the progress of the Chapter 11 Cases in general, including the length of time the Debtors will operate in the Chapter 11 Cases.
The Chapter 11 Cases, the DIP Credit Agreement and the Stalking Horse Purchase Agreement limit the flexibility of our management team in running our business.
We may not be able to complete any Bankruptcy Court-approved sales of our Company or assets through the chapter 11 process, or we may not be able to realize adequate consideration for such sales, which would adversely affect our financial condition.
The outcome of our litigation with Honeywell is highly uncertain and could impact recoveries available to stockholders.
Operating under Bankruptcy Court protection for a long period of time may harm our business.
Delay of the Chapter 11 Cases could impact our ability to maintain our operations during the Chapter 11 Cases.
Transfers of our equity may impair our ability to utilize certain built-in losses to reduce tax payments in future years.
Our ability to prosecute the Chapter 11 Cases and obtain confirmation of the Plan may be contested by third parties with litigation.
In certain instances, a Chapter 11 proceeding may be converted to a proceeding under Chapter 7.
The COVID-19 pandemic has adversely impacted and is expected to further adversely impact our business and results of operations.
Our leveraged capital structure and liabilities to Honeywell may pose significant challenges to our overall strategic and financial flexibility and have a material adverse effect on our business, liquidity position and financial position.