The boss of embattled airbag maker Takata Corp has apologised after the japanese firm filed for bankruptcy protection in Japan and said it would seek $1.588 billion in financial aid from U.S.-based auto parts supplier Key Safety Systems. Kate King reports
After 17 deaths, and the recall of a 100 million of its airbags Takata Corp filed for bankruptcy protection on Monday - facing billions of dollars in liabilities. (SOUNDBITE) (Japanese) CEO OF TAKATA CORP, SHIGEHISA TAKADA, SAYING: "I deeply apologize from my heart for damaging all those involved and the creditors." It was in 2013 that the company first admitted a problem with its airbags. They were found to contain faulty inflators, causing them to explode and spray metal shrapnel. Takata is said to have around nine billion dollars worth of debt in Japan, while court filings show its US debts could be as high as 50 billion dollars. The bankruptcy now opening the door to financial rescue by American auto parts supplier Key Safety Systems which will buy Takata's viable assets for around one-and-a-half billion dollars. (SOUNDBITE) (Japanese) CEO OF TAKATA CORP, SHIGEHISA TAKADA, SAYING: "At a suitable time after the business transfer is implemented, I will resign taking the operational responsibility and be succeeded by the new management." For years, the company has been churning out replacement inflators keeping around 60-thousand people employed. Under the take-over deal their jobs will be safe. But Takata still faces billions in lawsuits and recall-related costs to its clients, like Toyota, Honda and BMW - who fear they will have difficulty recovering their claims. SOUNDBITE ( English) WORLD FIRST CHIEF ECONOMIST, JEREMY COOK , SAYING: "The amount of money they're having to pay out or likely to pay out as far as compensation goes or would have had to before the bankruptcy filing shows that this this company really should have kind of gone down the pan a long time ago." Founded as a textiles company in 1933, Takata began producing airbags in 1987 30-years later its defeated and deflated, its shares suspended, ahead of a delisting next month.