Feeds

American LaFrance blames IBM for bankruptcy

Big Blue silences sirens

Website security in corporate America

Emergency vehicle maker American LaFrance (ALF) has claimed that a bungled implementation of IBM software contributed to the demise of its business.

The firm voluntarily filed for bankruptcy protection in the US district court of Delaware in Wilmington yesterday, in which it said that the installation of a new ERP system had caused significant disruptions to production, and given execs a massive $100m debt headache.

Privately-held ALF said in its Chapter 11 filing with the court that it had encountered significant operational difficulties after it was separated from parent company Freightliner LLC in 2005.

For 18 months after the spin-off, Freightliner provided accounting, purchasing, inventory, production, pay-roll and finance services for ALF while it worked on setting up a new computer system.

However, ALF said that when it switched to its ERP software last June, "serious deficiencies" threw its operations into chaos.

It said: "These problems have resulted in slowed production, a large unfulfilled backlog, and a lack of sufficient funds to continue operating."

But the firm, which manufactures fire trucks, ambulances and other emergency vehicles in the US, only mentions the software vendor once.

It said it was considering taking action "based upon services provided by IBM in connection with the problem-riddled transition to the ERP system".

IBM confirmed to The Register that its systems had been used by ALF but would not be drawn on any specifics.

A Big Blue spokesman said: "We are reviewing the documents filed with the court and have no further comment to make at this time." ®

Protecting against web application threats using SSL

More from The Register

next story
New 'Cosmos' browser surfs the net by TXT alone
No data plan? No WiFi? No worries ... except sluggish download speed
'Windows 9' LEAK: Microsoft's playing catchup with Linux
Multiple desktops and live tiles in restored Start button star in new vids
iOS 8 release: WebGL now runs everywhere. Hurrah for 3D graphics!
HTML 5's pretty neat ... when your browser supports it
Mathematica hits the Web
Wolfram embraces the cloud, promies private cloud cut of its number-cruncher
Google extends app refund window to two hours
You now have 120 minutes to finish that game instead of 15
Intel: Hey, enterprises, drop everything and DO HADOOP
Big Data analytics projected to run on more servers than any other app
Mozilla shutters Labs, tells nobody it's been dead for five months
Staffer's blog reveals all as projects languish on GitHub
SUSE Linux owner Attachmate gobbled by Micro Focus for $2.3bn
Merger will lead to mainframe and COBOL powerhouse
iOS 8 Healthkit gets a bug SO Apple KILLS it. That's real healthcare!
Not fit for purpose on day of launch, says Cupertino
prev story

Whitepapers

Secure remote control for conventional and virtual desktops
Balancing user privacy and privileged access, in accordance with compliance frameworks and legislation. Evaluating any potential remote control choice.
WIN a very cool portable ZX Spectrum
Win a one-off portable Spectrum built by legendary hardware hacker Ben Heck
Intelligent flash storage arrays
Tegile Intelligent Storage Arrays with IntelliFlash helps IT boost storage utilization and effciency while delivering unmatched storage savings and performance.
High Performance for All
While HPC is not new, it has traditionally been seen as a specialist area – is it now geared up to meet more mainstream requirements?
Beginner's guide to SSL certificates
De-mystify the technology involved and give you the information you need to make the best decision when considering your online security options.