American Suzuki Motor Corporation (“ASMC”) Receives Bankruptcy Court Approval of Agreement with Ally Financial Inc. and

  American Suzuki Motor Corporation (“ASMC”) Receives Bankruptcy Court
  Approval of Agreement with Ally Financial Inc. and Certain Affiliates
  (“Ally”) to Enable Continuation of Automotive Financing Programs

 Ally and certain affiliates to continue zero percent consumer financing and
              dealer floorplan financing for automotive products

 Financing programs for motorcycles, ATV and marine products to continue with
GE Capital’s Retail Finance and Commercial Distribution Finance businesses and
                             Sheffield Financial

Business Wire

BREA, Calif. -- November 16, 2012

American Suzuki Motor Corporation (“ASMC” or “the Company”), today announced
that it has received Bankruptcy Court approval of its agreement with Ally
Financial Inc. and certain of its affiliates (“Ally”), including American
Suzuki Financial Services Company, to assume certain agreements with Ally that
support Ally’s provision of automotive dealer floorplan financing and retail
financing programs, including zero percent for qualified buyers of Suzuki
automobiles. The agreement will help ensure that ASMC’s automotive dealers and
consumers have continued access to wholesale and retail financing for Suzuki
automobiles.

As previously announced, all automobile warranties will continue to be fully
honored, in accordance with their terms, and parts and service will continue
to be provided to consumers through ASMC’s continued service and parts dealer
network.

Also, on November 7, 2012, ASMC obtained authority to continue its financing
relationships with GE Capital’s Retail Finance and Commercial Distribution
Finance businesses, which provide motorcycle and ATV consumer financing
programs, as well as motorcycle, ATV and marine dealer inventory financing,
respectively. By Court approval of these motions, dealers and consumers of
Suzuki products will continue to have access to wholesale and retail financing
in the same manner as before the Company’s November 5, 2012, chapter 11
filing.The Court also approved the continuation of existing agreements with
Sheffield Financial for consumer financing for motorcycle and ATV products.

ASMC has begun working within its current U.S. Automotive dealer network to
help structure a smooth transition from new automobile sales to exclusively
parts and service operations. ASMC intends to market and sell its remaining
U.S. automobile inventory through its automotive dealer network, many of whom
have expressed interest in continuing to order and receive shipments of Suzuki
automobiles as long as they remain available. Through and after the
restructuring, all warranties will be fully honored and automobile parts and
services will be provided to consumers through the dealer network.

ASMC announced on November 5, 2012, that it plans to realign its business to
focus on the long-term growth of its Motorcycles/ATV and Marine divisions and
to wind down and discontinue new automobile sales in the continental U.S.,
following a thorough review of its current position and future opportunities
in the U.S. automotive market. ASMC determined that the best path to achieve
this realignment in an efficient and orderly manner was to restructure its
operations under chapter 11. The case was filed in the United States
Bankruptcy Court, Central District of California in Santa Ana.

Additional information regarding ASMC’s business realignment can be found at
the Company’s website, www.suzuki.com or via an information hotline at
1-877-465-4819.

Contact:

MEDIA CONTACTS:
Rachel Rosenblatt
FTI Consulting
917-626-9683
rachel.rosenblatt@fticonsulting.com
or
Kal Goldberg
FTI Consulting
917-741-1013
kal.goldberg@fticonsulting.com
 
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