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ROCHERLEA car parts maker ACL Bearings Co needs $8 million within weeks to keep the business in operation and almost 300 people in work.
ACL chairman Ivan James has this morning confirmed that he has written to the Federal Government seeking urgent assistance because it must soon repay a $3.5 million debt to GE Finance and $3 million to two industry supporters, understood to be Ford and Holden.
And in another blow, the bearings maker has lost its contract with Toyota, which has decided to access parts from Japan.
Mr James said the troubled company was back to the position it was in last October, when it first sought a $10 million loan from the State Government.
At that time, the State Government refused the financial assistance unless the Federal Government went guarantor.
It still has a $2.5 million loan on the table, but only if it is the first mortgage.
Despite having a $6.2 billion automotive industry package at its disposal, the Federal Government has previously ruled out giving ACL a loan.
Bass Labor MHR Jodie Campbell has been contacted for comment about whether that stance could be reversed.
Mr James said GE's decision to call in the $3.5 million debt was a blow.
``Contrary to previous indications and work we have been doing since early January they will not renew the loan,'' Mr James said.
``They have lost their Triple A rating in the US, so they are restricted in access to capital and GE has changed the way it does business in Australia and we are too small for them now.''
Mr James said the industry loans, understood to be from their biggest customers Holden and Ford, always had a short time-frame associated with them.
The Toyota decision would account for two to three per cent of total sales but was not a ``death blow'', Mr James said.
``It's a blow to our pride more than anything else,'' Mr James said.
If ACL's financial stability could be assured, Toyota would reverse its decision, Mr James said.
ACL staff are being briefed on the situation today. They have already moved onto a four day week to help the company survive a downturn in orders.
| Product Model | Inside Diameter | Outside Diameter | Thickness |
| 11212 KOYO | 60 | 110 | 62 |
| 7301 KOYO | 12 | 37 | 12 |