Industrial news, but two in one day four this week: Kongsberg Automotive is closing a plant in Ohio and Special Devices filed for bankruptcy. Special Devices, which makes a variety of technical components, cited the downturn in automobile sales; Kongsberg is restructuring.
Update: there were more of these than previously noted. Auto supplier Precision Parts International, which makes metal componentry, filed for Chapter 11 bankruptcy and is planning liquidation; and plastic parts maker Key Plastics also filed for Chapter 11, but plans to reorganize.
A moment of editorializing: if the market were able to signal for or against an auto industry bailout, these manufacturers are a sure sign in favor of one. The United States has hundreds of companies like the ones above who may fall in a real-world domino effect should America's car companies file for bankruptcy and wipe their credit slates clean. This author had not been in favor of industry aid, but posts like this give pause.
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