Following news earlier today that GT Advanced Technologies has made a request to the court to wind down its operations in both Arizona and Massachusetts, MacRumors highlights a new pair of filings that reveal additional details. Specifically, in the first filing the company is asking the court to void its contracts with Apple, describing them as “oppressive and burdensome.” GT notes that the agreements are “not a source of potential value” to the company, its creditors or its investors and that the agreements “constitute an unnecessary drain” on the company’s resources.
Despite asking for the agreements to be voided, GT has asked that it still be permitted to maintain its right to pursue further claims against Apple in relation to the agreements.
The second filing discusses the procedures the company plans to follow to wind down its sapphire production facilities, specifically to allow high-value sapphire boules that are currently being grown in the company’s furnaces to be completed—process that can take up to 30 days.
The company expects to maintain a crew of employees to handle the process of monitoring and preparing the boules for sale, followed by smaller groups of employees that will be required to properly shut down and clean up the furnaces and facilities. The final closure is expected to come December 31, and GT projects that 890 employees will ultimately lose their jobs as a result of the shutdown.
