Takata files for bankruptcy protection in the US and Japan

Tokyo

TAKATA Corp filed for bankruptcy protection in the biggest postwar Japanese corporate failure in the manufacturing industry, as the 84-year-old company buckled under liabilities from millions of recalled airbags that have been linked to more than a dozen deaths.

The Tokyo-based company and its units filed for creditor protection in the US and Japan. The Chapter 11 bankruptcy in Delaware listed more than US$10 billion in liabilities, including claims from carmakers including Honda Motor Co - the biggest user of the airbags - and Toyota Motor Corp, as well as individuals who have brought class-action lawsuits.

The filing is the culmination of a saga that began with a recall more than eight years ago but has spiralled as the company's malfunctioning airbag inflators - which sent shards of metal at drivers and passengers - have been linked to at least 17 deaths worldwide. It also removes the final hurdle for the supplier to be acquired by Key Safety Systems Inc, a un…