A group of 13 automakers will contribute as much as $130 million to compensate those injured by faulty Takata Corp. air bag inflators as part of a deal to resolve the Japanese company's bankruptcy, a U.S. plaintiffs' attorney said.
The agreement clears the way for the sale of Takata's noninflator business to Key Safety Systems, a unit of China's Ningo Joyson Electric Corp., for $1.6 billion, helping to ensure a steady supply of car parts for the world's biggest automakers.
Takata and its U.S. unit, TK Holdings Inc., filed for bankruptcy last year in the wake of the world's largest automotive safety recall, triggered by air bag inflators that can explode with excessive force, unleashing metal shrapnel inside cars and trucks.