Libbey announces plans to file for bankruptcy
One of Toledo's oldest manufacturing companies is filing for bankruptcy. Glass maker Libbey Incorporated announced that it will file for Chapter 11 bankruptcy protection.
The company points to the negative financial effects of the COVID-19 pandemic as the driving force behind the move.
According to a press release, "Libbey expects to use the court-supervised restructuring process to strengthen its balance sheet to navigate the effects of the COVID-19 pandemic and better position the Company for the future."
Some of Libbey's existing lenders have agreed to provide the company with up to $160 million in debtor-in-possession financing.
"Following court approval, the Company expects this financing, together with cash flow from operations, to support the business during the
court-supervised process," the press release said.
During the process, Libbey expects to continue to serve customers and end users.
There is no indication what this restructuring will mean for the company's workforce.