According to reports, Ford and General Motors are negotiating potential financing solutions with the bankrupt auto parts supplier First Brands

The Financial Times reported that Ford (F.US) and General Motors (GM.US) are negotiating potential financing solutions with bankrupt auto parts supplier First Brands to ensure the company can maintain operations during the bankruptcy process. Additionally, several automakers are participating in broader negotiations to reach an agreement through prepayment for parts, with discussions nearing completion, although the agreement may still fall through.

The report indicates that despite multiple automakers being involved in the negotiations, Ford may be the party with the greatest risk exposure. First Brands produces critical components for Ford and General Motors, including windshield washer parts for the Ford F-150 pickup truck.

First Brands announced yesterday (26th) that it would begin a gradual shutdown of some North American operations, including Brake Parts, Cardone, and Autolite, while maintaining operations in other areas and seeking asset buyers. The company disclosed over $10 billion in liabilities at the end of September last year and subsequently filed for bankruptcy protection