With the millions of recalls for faulty airbags, will Takata survive, or take the shortcut and go bust? Looks like they are very vulnerable to total failure.
With the millions of recalls for faulty airbags, will Takata survive, or take the shortcut and go bust? Looks like they are very vulnerable to total failure.
I don't see how they can survive.
Doesn't somebody have to take the fall and disembowel themselves?
They certainly can't replace all of the faulty inflators and remain solvent. The scale is just too big. I don't think there is any way to replace the inflators at all quite honestly, not all of them any way.
Yeah, I think they will survive, but they are gonna loose a lot of market share for airbags. Their 22% market share will probably be more like 4% or 5% in a year or 2.
But they are a $5 billion company with a lot of resources, and a pretty big product line (they don't make just airbags).
The airbag market is expanding rapidly (partly because of this recall).
They will tap out their insurance, draw in some investors, reduce the principle's stake, loose money for a few years, and perhaps at one point consider a bankruptcy. But I don't think they will go under.
Having said that, I still wouldn't buy their stock.
Prombron wrote: The airbag market is expanding rapidly.
Very punny, sir! 
Looking for suitors to buy the company:
http://www.detroitnews.com/story/business/autos/2016/05/31/takata-bankruptcy-buyers/85201236/
I don't really care. Usually I want the company to realize it's issues and fix them. Not here.
I just hope they stay afloat until I can get mine fixed.
The math says they won't. Other airbag manufacturers will spring up fill the void (they were by far the biggest, and one of the few airbag manufacturers around before this mess) and Takata will quietly go out of business a couple of years from now.
Well, if they were based in the states, they'd get a taxpayer funded bailout. They'll recover, but heads will definitely roll over this. As said above, airbags aren't their only product line, and it's amazing how short term the public memory is. Although outside of the industry, I doubt anyone ever heard of them before the recall.
Bankruptcy and new ownership. Too much stuff there to just auction off.
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