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Takata Plans to File for Bankruptcy as Soon as Next Week, Source Says

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Bloomberg business news

Takata Said to Plan Bankruptcy Filing

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Takata Corp. plans to file for bankruptcy as soon as next week, paving the way for a sale of the 84-year-old Japanese air-bag maker behind the biggest safety recall in automotive history.

The supplier is expected to seek protection in its home country first, with its U.S. subsidiary filing for Chapter 11 bankruptcy shortly thereafter, according to a person familiar with the matter, who asked not to identified because the matter isn’t public and the timing could change. Trading on Takata shares were suspended by Tokyo Stock Exchange from 8:20 a.m. to confirm the authenticity of media reports, the exchange said on its website.