Visteon files for bankruptcy

Auto parts supplier Visteon Corp. said Thursday it — along with some of its U.S. units — has filed for Chapter 11 bankruptcy protection, as the company struggles with reduced demand from automakers amid plans for extended plant shutdowns this summer.

The company filed its petition in the U.S. Bankruptcy Court for the District of Delaware. The company's Visteon UK Ltd. unit separately filed for bankruptcy protection last month and closed three British plants.

The Van Buren Township, Mich.-based auto parts supplier earlier this month posted a sharp drop in first-quarter revenue as automakers cut back on their output in the face of dwindling car sales. According to Visteon's latest quarterly filing with regulators, the company had total liabilities of $3.96 billion and total assets of $4.56 billion at March 31. Cash and short-term investments totaled $625 million.

"During the reorganization period, we will seek to address our capital structure and legacy costs that are not sustainable given the current economic environment," said Donald J. Stebbins, chairman and chief executive, in a statement.