In a significant development within the automotive industry, First Brands Group, a major auto parts manufacturer known for its brands like Fram and Raybestos, has filed for Chapter 11 bankruptcy protection amid alarming financial disclosures. The company is facing liabilities estimated between $10 billion and $50 billion, alongside a staggering supply chain finance debt exceeding $866 million. The bankruptcy filing comes after weeks of scrutiny from lenders and allegations of multiple pledging of invoices. This situation has triggered distress in the credit markets and has raised concerns about the broader implications for the U.S. auto industry, particularly regarding rising credit pain among low-income households. Analysts are closely watching this case, which some view as a potential precursor to wider economic challenges, reminiscent of the financial crisis of the past.