Apple picks the bones of sapphire maker GT Advanced Tech
Apple (AAPL) is poised to pick the bones of GT Advanced Technologies as the sapphire glass supplier goes through Chapter 11 bankruptcy reorganization. Apple had structured a supplier agreement with GT (GTAT) that was heavily in its favor. It likely will take possession of the sapphire furnaces it funded and also get access to GT intellectual property that will allow it to produce sapphire display covers on its own. “Last fall when GT (GTAT) announced its deal to supply sapphire to Apple (AAPL), we were concerned that the terms were overly favorable for Apple and potentially hazardous for GT,” Pacific Crest analyst Weston Twigg said in a research note Monday. “Red flags emerged last quarter as GT wasn’t on track to meet its obligations to Apple.” GT is now obligated to start repaying Apple about $22 million per quarter beginning Q1 2015, he said. But Apple is not obligated to buy sapphire…