Mikey Campbell
New details of Apple sapphire partner supplier GT Advanced revealed on Thursday, with one report saying the sapphire maker asked the court for permission to "wind down" operations at its manufacturing plant.
According to Re/code, GT asked a U.S. bankruptcy court judge to close the plant. Details on the motion are unavailable as the company asked to keep documents sealed to protect confidential contracts made with Apple.
Earlier this week, GT Advanced filed for Chapter 11 bankruptcy protection, a move Apple called "surprising." Last November, the Cupertino tech giant inked a $578 million deal with GT to build out a state-of-the-art sapphire production facility in Mesa, Ariz.
It was later learned that Apple paid four out of five advances, but withheld a final $139 million payment due in October for unknown reasons. Follow-up reports claim Apple tried to help GT meet contractual obligations that would qualify the firm to receive this final installment, which was due in October.
For its part, Apple said it remains dedicated to the jobs created in Arizona and is currently working with government officials to make sure those positions are not liquidated. It is not clear what the company intends to do if GT successfully closes the site.
Judge Henry Boroff has reportedly scheduled an Oct. 15 hearing to further examine the motion.
Mike Wuerthele
William Gallagher
Amber Neely
Christine McKee
Sponsored Content
61 Comments
Sorry if this has already been suggested, but why doesn't Apple just buy them?
[quote name="AppleInsider" url="/t/182746/appe-sapphire-partner-gt-advanced-seeks-to-wind-down-plant-operations#post_2616224"]New details of Apple sapphire partner supplier GT Advanced revealed on Thursday, with one report saying the sapphire maker asked the court for permission to "wind down" operations at its manufacturing plant. Judge Henry Boroff has reportedly scheduled an Oct. 15 hearing to further examine the motion.[/quote] Apple lawyers will flash mob the court room... That judge will see more silk suits that day then he's seen all his life.
Crooks, they pocketed the money
If I'd risk a WAG, I'd say somebody got really greedy when Apple's big bucks came into play.
[quote name="bizzare" url="/t/182746/appe-sapphire-partner-gt-advanced-seeks-to-wind-down-plant-operations#post_2616236"]Crooks, they pocketed the money[/quote] I'm pretty sure Apple isn't going to lose much, if anything, here, since I think all the equipment they bought will go back to them.