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American Suzuki gets $100M in financing to go out of business... buy more cars?

American Suzuki Motor Corporation (ASMC), which declared bankruptcy in early November, has been approved by the courts for up to $100 million in debtor-in-possession financing to enable it to shutter its US car business. ASMC had received a $45 million loan from the Japanese parent company, Suzuki Motor Corporation (SMC), last month in order to make repayment deals with its franchise dealers. At the same time, ASMC was awaiting final court approval of this larger loan.
Out of the newly approved funds, $50 million can be used for operations, and oddly, the other $50 million can be put toward purchases of new inventory from SMC. That's right, even as existing inventory was headed for a smooth exit with the help of incentives, customer demand for orphan Suzuki models is so strong - last month's sales were up 22 percent compared to 2011 - that ASMC plans to purchase 2,500 additional cars from SMC that were built after the bankruptcy announcement. Good news for the owners of those vehicles: the top 50 dealers, representing more than 98 percent of ASMC sales, will become parts and services centers.
The press release below has more information. Unlike its recent tenure here, the end of Suzuki cars in the US looks like it's going rather well.

Five-door forbidden fruit: Suzuki Jimny gets bigger

If you’ve always wanted a Suzuki Jimny, but import laws and its small two-door body style held you back, thereÂ’s some good news. No, you cannot import a new one to the United States. Sorry to burst that bubble. The good news is that Suzuki just announced a five-door Jimny for people needing more space, at least if they live in India. The third-generation Jimny landed in 2018 and has remained a three-door since, making this a significant development for off-road fans and people upset with Suzuki for not selling it in the United States. Maruti Suzuki holds massive market share in India, so itÂ’s not surprising to see the automaker coming out with new Jimny variants. The pint-sized SUV measures more than a foot longer than its three-door counterpart but still carries the modelÂ’s signature upright boxy shape and modest accommodations. A 1.5-liter engine making 105 horsepower comes paired with a five-speed manual or four-speed automatic and four-wheel drive. Though small, the Jimny five-door manages serious off-roading with a 36-degree approach angle, a 50-degree departure angle, and a 24-degree breakover angle. The SUV rides on 15-inch wheels and three-link rigid axle suspension with coil springs. It also features an old-school ladder frame, which helps deliver that impressive off-road ability, but likely impacts on-road comfort. Jimny buyers get a surprising number of niceties, including a 9-inch infotainment display with wireless Apple CarPlay and Android Auto. ThereÂ’s also a rearview camera and a premium stereo option. The top Alpha trim level adds push-button start, cruise control, and a leather-wrapped steering wheel. We donÂ’t have pricing details for the five-door Jimny, but the three-door variant starts at around $24,000 in other markets, such as Mexico. Suzuki will build the Jimny at its facility in Gurugram, India. Orders are open now, with deliveries planned to start in May. The automaker said it would soon expand the five-door to other markets, including Latin America and Australia.      

Junkyard Gem: 2010 Suzuki Kizashi SE

American Suzuki Motor Corporation filed for bankruptcy in 2012, and new Suzuki-badged cars stopped being sold here the following year (meanwhile, Suzuki went on to create one of the biggest-selling cars in its home market). While many of the United States-market Suzukis of the previous decade had been Daewoos beneath the emblems, the Kizashi sedan was designed and manufactured entirely by Suzuki. There were high hopes – at first – that it would revive the brand's American fortunes. Here's a first-model-year example, found in a San Francsico Bay Area self-service yard a few months back. The word Kizashi means "something great is coming" in Japanese, but the Great Recession and the decreasing popularity of non-truck-shaped new vehicles in the United States kept sales of these cars low (even as Monster Tajima broke the ten-minute barrier in a Suzuki at Pikes Peak). You could buy a new Kizashi here until American Suzuki folded its tent and left in 2013, leaving just two-wheeled Suzukis available here for highway use. That was unfortunate because the Kizashi provided a lot of value for the price. This Kizashi SE had an MSRP starting at $21,499 (about $27,085 in 2021 dollars), and it had a pleasant interior and a bunch of unexpected standard features. You got keyless ignition, power seats with memory, 17" alloy wheels and a pretty decent seven-speaker audio system with USB and Bluetooth inputs (both of which were still uncommon in lower-priced cars at the time). If you upgraded to the GTS or SLS trim levels ($22,499 and $24,399, respectively), you got goodies including a thumping 10-speaker Rockford Fosgate audio system, a power sunroof and 18-inch wheels. But unless you were selling Hayabusas or KingQuads, 2010 wasn't a great time to have a Suzuki sign in front of your American showroom. The days of Geo- and Chevrolet-badged Suzukis roaming every American road ended with the Metro and Tracker; by the end, only the Kizashi, SX4 and Grand Vitara remained here. It appears that a Ford dealership in Pennsylvania sold this car at some point prior to its migration west. The 2.4-liter four-cylinder made 185 horsepower, better than its four-cylinder Mazda6 and Altima rivals. Smaller-displacement versions of the J24B engine went into the Aerio, Esteem, Sidekick, Tracker, and Vitara; the Grand Vitara got the 2.4. A six-speed manual transmission was available in the Kizashi's other trim levels, but SE buyers had to take the CVT. This content is hosted by a third party.