Apple and GTAT scores ended $439 million debt was free

A year ago, apple sapphire suppliers very special advanced science and Technology (GTAT) and Apple announced the bankruptcy process is part company each going his own way, although good, but GTAT still owe Apple $439 million, 4, "the Wall Street journal" reported that GT and apple finally reached an agreement on the debt repayment.

According to the documents submitted to the U.S. bankruptcy court, GTAT will auction had to buy Apple sapphire screen sapphire manufacturing equipment, GT keeps up to 600 manufacturing sapphire furnace, and all the unsold items for Apple disposal. A year ago GT announced that they were planning to sell more than 2000 smelters in Arizona to pay off their debts, but none of them could sell them and force them to go to the auction.

GTAT had spent about $900 million to cover the sapphire plant in Arizona, where Apple advanced $439 million, Apple will reach the agreement of cooperation between the two sides to provide relief when GT loan, and the pot of the auction proceeds will be shared equally between the two parties. GT announced bankruptcy after the layoffs of 700 people, earlier this year, GT and then cut off more than 40% employees.

Because sapphire is harder than glass, apple looks at this point to lend money to GT to allow them to produce the next generation of iPhone materials used. But the middle of the process of error, whether it is GT said Apple has been changing the specification and requirements, or apple alleged that GT did not have the ability to reach the standard, GT are stuck in the absence of customers and heavy loans.

The Wall Street journal pointed out that GT is expected to December 31st, you can sell these furnaces, the best option is to invite bidders to participate in the auction, the auction time is November 23rd. GT and apple into the auction process, but also to wait for the bankruptcy judge signed the plan.