American Suzuki Motor Corporation (“ASMC”) Receives Bankruptcy Court Approval of up to $100 Million in Debtor-In-Possession

  American Suzuki Motor Corporation (“ASMC”) Receives Bankruptcy Court
  Approval of up to $100 Million in Debtor-In-Possession (“DIP”) Financing

 ASMC continues realignment to focus on Motorcycles/ATV and Marine divisions

Company intends to bring additional automobile inventory from Japan to dealers
           in the continental U.S. to meet current consumer demand

Business Wire

BREA, Calif. -- December 06, 2012

American Suzuki Motor Corporation (“ASMC” or “the Company”) today announced
that it has received Court approval for Debtor-In-Possession (“DIP”)
financing. As a result, the Company will be able to borrow up to $50 million
for operations and up to $50 million for purchases of inventory from Suzuki
Motor Corporation (“SMC”). These funds will help ensure that ASMC has the cash
necessary to operate its business during the pendency of the chapter 11 case.
The motion was previously granted Court approval, on an interim basis, on
November 7, 2012.

In response to continued consumer demand, dealer interest has remained high in
continuing to order and receive shipments of Suzuki automobiles as long as
they remain available, ASMC intends to use a portion of the DIP funds to
purchase and ship 2,500 additional cars from Japan to the continental U.S.,
which have been manufactured since ASMC announced its restructuring. Earlier
this week, the Company released its November 2012 sales numbers, reporting
that it sold more than 2200 units last month, an increase of 22% compared to
the same period last year.

As previously announced, ASMC is continuing to market and sell its remaining
U.S. automobile inventory through its national network of automotive dealers.
Further, ASMC continues to provide marketing and incentives to help promote
the continued sale of the automobiles remaining in dealer inventory and the
pipeline. This includes, zero percent financing for up to 72 months for
qualified customers through an agreement with Ally Financial Inc. 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 parts and service dealer network. As of November 30 2012,
automotive dealers representing all of the top 50 and more than 98% of the
total volume of ASMC’s continental U.S. automobile sales have agreed to
transition to parts and services operations.

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, or via an information hotline at


FTI Consulting
Rachel Rosenblatt, 917-626-9683
FTI Consulting
Kal Goldberg, 917-741-1013
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