Recaro, the Car World’s Famous Seat Maker, Files for Bankruptcy

Automotive seat manufacturer Recaro Automotive, which has been providing car seats for various automakers for six decades, has filed for bankruptcy as of July 29th. Local outlets are reporting that employees of the company were unaware of the filing. The company employs nearly 1,000 people, according to German media outlet Heise Online.

The company began as an automotive coachbuilder called Reuterr Carosserie in 1906, supplying car bodies for the likes of Porsche and Volkswagen until switching its focus to seats in the 1960s, changing its name to Recaro in 1963. The company’s equipment became known for its quality bolstering and safety features; over the years Recaro seats have been fitted as standard equipment to various high-performance models from Ford, Volkswagen, Aston Martin and many others. The company also produces aftermarket seats for both the racing and restoration markets, from includes FIA-approved racing seats, and classic black leather and Pepita fabric seats for air-cooled Porsche 911s.

The news appears to have come as a shock, at least to the 215 workers in the IG Metall trade union who work at the factory in Kircheim unter Teck near Stuttgart, Germany. “The workforce and we were not informed about the step and found out about it via the intranet,” IG Metall boss Alessandro Lieb said, according to German news outlet Süddeutsche Zeitung.

The bankruptcy filing in Esslingen District Court will allow Recaro’s operations to continue for the time being, under the supervision of an administrator. The administrator is charged with reviewing the financials of the company as well as management practices. The separate Recaro Group, which manufactures and licenses child safety seats, aircraft seats, gaming chairs and seats for soccer stadiums, is not affected by this filing.