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Wednesday, December 17, 2014

CORRECTED-GT Advanced Tech modifies bankruptcy deal with Apple, (NASDAQ: AAPL)

GT Advanced Technologies Inc altered its settlement with former partner Apple Inc to produce more near-term cash to support its emergence from bankruptcy, a lawyer for the sapphire maker told a court on Monday.The new terms should be worth $50 million more than the original settlement, according to an attorney for GT noteholders, providing financing critical to return the business to its pre-Apple focus on selling sapphire furnaces.The Merrimack, New Hampshire-based company abandoned the furnace business in 2013 when it agreed to begin supplying Apple with scratch-resistant sapphire material for iPhone screens. But Apple then turned to a different material for the screen of its iPhone 6 model.GT Advanced, which invested heavily into increasing production of sapphire materials for Apple, blamed the supply agreement for forcing it into bankruptcy in October, a move that shocked investors and sent its stock plummeting more than 90 percent to under $1 before Nasdaq suspended the shares.

Apple Inc. (Apple) designs, manufactures and markets mobile communication and media devices, personal computers, and portable digital music players, and a variety of related software, services, peripherals, networking solutions, and third-party digital content and applications. Shares of AAPL traded higher by 0.63% or $0.6729/share to $107.42. In the past year, the shares have traded as low as $70.51 and as high as $119.75. On average, 53864900 shares of AAPL exchange hands on a given day and today's volume is recorded at 25531420.