Another Andersen client hits the bricks
Another major American client of Andersen, aluminum producer Kaiser, has filed for bankruptcy protection.
Kaiser Aluminum Corp filed for Chapter 11 protection yesterday, blaming its collapse on crippling debts and ‘unusually weak market conditions’.
Kaiser chief executive Jack Hockema said: ‘We have been burdened by debt for too long’ adding that capital at the company would need to be overhauled. But he reassured ‘core business remained sound’.
He told all employees to return to work ‘as normal’ and also said pension plans would be unaffected.
There is no suggestion that Andersen is in involved in the company’s failure.
The company has secured $300m in financing from the Bank of America to restructure its business and ensure it kept its operations up and running.
Kasier employs more than 6,000 workers and has assets valued at $3.3bn. It owns a 49% stake in Anglesey Aluminum Limited a smelting plant in Wales, and also has interests in Australia, Ghana and Jamaica.