Plastech Gets OK To Borrow $87M From Customers

By Brendan Pierson

Law360, New York (May 02, 2008, 12:00 AM ET) -- Bankrupt auto parts maker Plastech Engineered Products Inc. won permission on Thursday to borrow from four of its biggest customers through the end of August to stay in business.

The new financing arrangement allows Plastech to incur up to $87 million in outstanding debt at any given time, according to an order by Judge Phillip J. Shefferly of the U.S. Bankruptcy Court for the Eastern District of Michigan.

The new financing will come from General Motors Corp., Ford Motor Co., Johnson Controls Inc., and Chrysler LLC,...
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