Apple's Former Sapphire Partner GT Advanced Technologies Emerges From Bankruptcy

[MacRumors]

After filing for bankruptcy in 2014, and subsequently dissolving its supplier partnership with Apple, GT Advanced Technologies today announced its return from Chapter 11 "as a newly reorganized company." A group of unnamed financial sponsors have invested $80 million to assist in GT's emergence back into the market.

"Our emergence from Chapter 11 marks the start of a new chapter for our company," said David Keck, GTAT's President and Chief Executive Officer. "Through this process, we have resolved the issues which led to our decision to seek bankruptcy court protection. With our strengthened financial flexibility, we will focus on our industry leading capabilities in the solar and sapphire markets."

Before its Chapter 11 filing, GT was Apple's Arizona-based partner in sapphire production on the iPhone. In the weeks after the filing, Chief Operating Officer of GT Advanced, Daniel Squiller, blamed its rocky partnership with Apple as the main reason behind its bankruptcy. In an officially filed affidavit, Squiller described Apple's unquestionable control over GT's sapphire production -- and a legal contract which favored Apple -- as the culprit behind the manufacturer's inability to meet Apple's production targets, and eventual bankruptcy.

After a few more reports in late 2014, centering around what Squiller claimed was Apple's brusque response to GT's indecision over signing a contract with the Cupertino company, not much else was heard regarding GT Advanced before today. On the Apple side of things, in 2015 the company confirmed plans to take over GT's former home in Mesa, Arizona to act as a "command center" for its global data network.

In an official statement, GT Advanced thanked its customers and employees during the long restructuring process and says it looks forward to the future. "We believe GTAT is well positioned for the future," Keck said. "And we are excited about our market opportunities."

Article Link: Apple's Former Sapphire Partner GT Advanced Technologies Emerges From Bankruptcy

 

[Andres Cantu]

And cue the sapphire display rumors!

 

[maflynn]

And cue the sapphire display rumors!

But not from Apple, I doubt GT Advanced Technologies will be willing to do business with Apple.

 

[Kajje]

But not from Apple, I doubt GT Advanced Technologies will be willing to do business with Apple.

Why not? Don't think Squiller has bad feelings towards Apple. He did make serious money. Not quite through legal ways and not quite to the company's benefits, but hey, nobody seemed to care where that stack of 12,000 Benjamins came from.

 

[Michaelgtrusa]

I wonder who is helping them.

 

[jamiemcd]

GT Advanced emerges from bankruptcy but nothing for the common stock holders. Glad I sold a month prior to Apple's announcement.

http://www.forbes.com/sites/chuckjo...ck-is-about-to-become-worthless/#c268eac6cb56

 

[69Mustang]

We emerged from bankruptcy!!!

/looks for new sucker

Keck: "Hey Daniel, you got a number for Samsung?"

Squiller: <tents fingers> "Heh heh. Great minds, David. Great minds.

 

[Kajje]

I wonder who is helping them.

Maybe it's a management buy-out. After all, they've made a fortune dumping their stock.

 

[kahkityoong]

But not from Apple, I doubt GT Advanced Technologies will be willing to do business with Apple.

I think it's the other way around.

 

[Seuck]

There are desperate investors and will always be. Sorry, it's just called speculation.

 

[John.B]

After a few more reports in late 2014, centering around what Squiller claimed was Apple's brusque response to GT's indecision over signing a contract with the Cupertino company...

What, no "Put on your big boy pants!" comments?

 

[JM]

And cue the sapphire display rumors!

WOOOOOOOOOOO!!!! SAPPHIRE!!! WOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOI!!!
[doublepost=1458329323][/doublepost]SAPPHIRE ACREENS!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!! MY IPHONE INDESTRUCTABLE!!!!!!! WOOOOOOOOOOOOOOO!!!!!!!!

 

[jonnysods]

The comeback kids!

Lesson learned: don't get into bed with Apple.

 

[Kajje]

The comeback kids!
Lesson learned: don't get into bed with Apple.

That's what one would say to their daughter. But this is a different situation.

It's like the guy wears protection but it's a special designed one-way prophylactic. You'll definitely get pregnant, and he'll guarantee you he will leave you for another chick.

 

[techwhiz]

The comeback kids!

Lesson learned: don't get into bed with Apple.

No.
Don't get into bed with a giant and you are a gnat. You might get crushed.
This is another one for business school. Just like Walmart and Rubbermaid.
If you tie your capital expenditures and business to a single large customer; they own you.

 

[fredfnord]

"Our emergence from Chapter 11 marks the start of a new chapter for our company," said David Keck.

Yes... chapter 13.
[doublepost=1458412921][/doublepost]Also, don't promise something you are incapable of delivering. And if you do, don't complain that the company you are dealing with won't renegotiate the contract to be more favorable to you.

If employees do this, they get fired, and typically get little to no sympathy. If company owners do this, they often get sympathy. I've never been able to grasp this.

 

[kdarling]

Be firm and refuse outside interruptions instead of being polite and letting your non-expert customer send reps to constantly make changes or suggestions.

Most importantly of all, don't sign an exclusivity agreement with a company that is not required to buy anything from you.

 

[acidsoul]

Never gonna happen,but still waiting for the day of an iPhone with a liquid metal body and saffire screen.

 

[luigiBoschin]

Maybe it's a management buy-out. After all, they've made a fortune dumping their stock.

In many countries it would have been a fraudulent bankruptcy

 

[Kajje]

Never gonna happen,but still waiting for the day of an iPhone with a liquid metal body and saffire screen.

What everybody is thinking what would happen:
Liquid metal body and saffire screen

What's really happening
Liquid metal sim-tool and saffire camera lens

 

[wesk702]

GT Advanced emerges from bankruptcy but nothing for the common stock holders. Glad I sold a month prior to Apple's announcement.

http://www.forbes.com/sites/chuckjo...ck-is-about-to-become-worthless/#c268eac6cb56

Yeah same here, I would have been F'd if I held on to it.

 

[kdarling]

Never gonna happen,but still waiting for the day of an iPhone with a liquid metal body and saffire screen.

If you're dying for such a phone, only not iOS based...

Prior to when Apple bought exclusive access to Liquid Metal in 2010, Vertu made luxury phones with LM and sapphire. Only $10,000+ new. Much cheaper used

(Vertu uses titanium now instead of LM.)

 

[groovyd]

biggest investment mistake i ever made. you can fool me once... not twice.

 

[Kenn Marks]

Yeah same here, I would have been F'd if I held on to it.

Anyone need 8000 sheets (shares) of toilet paper. I had faith they would return from Chap 11 and prior to Apple's involvement GTAT was trading between $3-$5 so I'm a patient person and was willing to wait for the company to get back on firm financial footing. Was even willing to take reverse splits as I was forced to accept in the 2008 crash. The executives asked the bankruptcy court to grant bonuses just after they filed for protection under bankruptcy laws so I hoped they would honor in some way those who continued to own their stock when they exited the bankruptcy umbrella.
I guess I learned I'm a better Materials Engineer and Semiconductor Test Engineer than a financial wizard. So I'm not interested in anyone's offer for swampland in Florida.

 

[ArmCortexA8]

This just sounds strange and odd. A company comes back from bankruptcy - WTF? I'd love to see the paperwork on this one and there must have been a lot of people with deep pockets for this to occur. Question is will they go back to making silicon or do something else?