This is a gloomy week for motorsports, Autobacs Seven primarily known as Super Autobacs to monkey tuners alike in the auto aftermarket industry have witnessed yet another unforeseen turn in events. On Feburary 4, 2009 Autobacs Seven filed for chapter 11 which protects Autobacs Seven from creditors and continue the business as they re-evaluate a business plan that can help revive the company by possibly selling a portion of its assets. What does this mean for you monkey-tuners? well for one the two American outlets; Stanton and Covina; in California are in risk of closing up shop.
Update 02/07/09
Autobacs Strauss and Autobacs USA are subsidiaries of Autobacs Seven, this bankruptcy only applies to the stores in the Unites States. We have yet to determine how much of an affect this will have on the world market.
Stay tuned monkey-tuners...
Update 02/08/09
Autobacs released an udpdated income statement on February 6, 2009 stating:
(Tokyo, Japan) — AUTOBACS SEVEN Co., Ltd. (“the Company,” Representative Director and CEO: Setsuo Wakuda), announced today a revision of its performance forecasts for the fiscal year ending March 31, 2009, which were announced on November 7, 2008. Additionally, the Company released notes on its Extraordinary Losses that occurred during the 3rd quarter ended December 31, 2008.
It looks like Autobacs Seven will suffer in the world market with their "Extraordinary Losses" with a posting loss of JPY 4,565 million in restructuring the business in the consolidated form. JPY 8,242 million of losses on U.S. subsidiaries on non-consolidated forms. To sum this up Super Autobacs in the US of A was not quite the Walmart of the automobile industry that investors had hoped for; with the downfall of the economy, who is to blame for all the nonsense that is spreading like the bubonic plague of the dark ages, at this rate those of you with a squash fetish better get your air fresheners before even those manufacturers go out of business...
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