Through a subsidiary of KTM Components GmbH, which Vöcklabruck Metal Foundry GmbHis at his own request on Friday in the Wels regional court Bankruptcy proceedings been opened. 134 employees lose their jobs, the credit protection association KSV1870 has the liabilities with them 3.5 million euros quantified. The reason for the bankruptcy was the production stop at KTM for several weeks. KTM Components GmbH is one of the two insolvent subsidiaries of the also insolvent KTM AG.
Only taken over in September
KTM Components GmbH only took over the foundry on September 1st. Half of the sales came from KTM AG, which was also insolvent. After the motorcycle manufacturer had until March Production temporarily suspended the metal foundry should also interrupt its production from December 13th to January 13th and reduce its general production plan by 50 percent. Because of the forecast massive decline in sales and the fact that the cost structure not a sufficiently fast adaptation “We are allowed to adapt to this situation, but no positive result can be shown for 2025,” is how the situation is described.
No money available to bridge the gap
The management assumed that KTM AG would support the foundry through appropriate advance payments necessary liquidity will be equipped to cover the running costs during the phase of the planned production shutdown bridge. This was also promised by the board of directors of KTM AG, but this no longer happened due to the bankruptcy.
In addition to KTM, there are also other well-known customers
The Vöcklabruck metal foundry, known as VMG for short, is open Aluminum castings specialized. For KTM, the company produced, among other things, motorcycle swing arms, wheel hubs, gearbox housings, valve housings and more. In addition to KTM, VMG also had other well-known customers, including BMW, General Electric, Siemens or the fire engine manufacturer Rosenbauer.