Global automotive suppliers bounce back
The automotive supplier industry has certainly seen better days, but according to a new report by BBK , an international business advisory firm, the financial situation of large global automotive suppliers has stabilized over the last year.
The percentage of companies reported to be amidst financial problems, decreased by 5%, from 22% in 2006 to 17% in 2007. The study also notes that privately owned North American suppliers are still extremely vulnerable to any industry changes. Half of all such suppliers have potential to find themselves in financial trouble.
Publicly-owned North American suppliers are slightly more stable with only a 26% chance of anticipated financial distress.
A comprehensive version of the report can be found on the BBK ratings website .