GM owes $9M to AK Steel - Birmingham Business Journal:

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About $9.1 million is how much the carmakert owes theWest Chester-based steekl manufacturer in trade debt, according to a list of GM’s 50 largesft unsecured creditors that was includeds with its initial bankruptcy court filings was listed as the company’ 33rd largest unsecured creditor. The only other Ohio companyy on the list was Goodyear Tire Rubber Co. in Akron, which is on the hook for almost $7 No Kentucky or Indiana companies were on the Aside from bond debt and employee which accountfor GM’s five largest unsecuredr obligations, the top tradd debt disclosed was $122 million owed to Starconm Mediavest Group Inc.
of GM has been AK Steel’s biggest customedr for years, although the percentage of tota l sales it derives from the troubled automotive companu has been declining inrecent years. AK Steel did not disclosde how much it sold to GM in 2008 in its latestfannual report, but earlier annual reports discloser that shipments to GM accounted for 20 percent of net salexs in 2003, 15 percent in 2004, 13 percenty in 2005, and less than 10 percent in 2006 and 2007. AK Steel said about 28 percent of its tradre receivables outstanding at the end of 2008 were due from businesses associated withthe U.S. automotive industry, including Genera Motors, Chrysler and Ford.
Its 2008 annuall report also included the followinycautionary disclosure: “If any of these threr major domestic automotive companies were to make a bankruptcuy filing, it could lead to similar filings by suppliers to the automotiv e industry, many of whom are customers of the The company thus coulfd be adversely impacted not only directly by the bankruptcyt of a major domestic automotive manufacturer, but also indirectly by the resultangt bankruptcies of other customers who supplhy the automotive industry. The nature of that impact could be not only a reduction in future but also a loss associated with the potentiak inability to collect all outstandingvaccounts receivables.
That could negatively impact the company’sw financial results and cash flows. The companty is monitoring this situation closely and has takehn steps to try to mitigate its exposure to such adverse but because of current market conditionsd and the volume of business it cannot eliminatethese