Tuesday, February 19, 2013
Beechcraft Formally Exits Bankruptcy
Hawker Beechcraft announced its formal emergence from Chapter 11 bankruptcy Tuesday as Beechcraft, two weeks after a bankruptcy judge approved its reorganization plan.
The company has $600 million in place for long-term financing, and new ownership; about 90 percent of whom are financial institutions that were its secured creditors during the bankruptcy it filed for in May 2012, citing reduced demand for business jets.
Beechcraft has dropped its Hawker-branded business jets product line to focus on its King Air family aircraft, piston engine Bonanza and its defense products including the T-6 military trainer.
“We have a strong line of versatile and globally renowned products like the King Air turboprop and the T-6 military trainer aircraft, and the largest global customer support network in the industry. Our highly skilled and dedicated work force is focused on building aircraft of exceptional quality and reliability. With these elements as our foundation for the future, we will compete worldwide and we will win,” said Bill Boisture, CEO of Beechcraft.
Boisture said that despite dropping its business jet line, the company will be heavily investing in new product development. Beechcraft’s global customer support team will continue supporting all Hawker and Beechcraft aircraft at its more than 90 authorized service centers worldwide.
Beechcraft is hoping to land its first major defense contract as a new company later this week when the U.S. Air Force makes its final decision on a $300 million Light Air Support contract to provide the Afghan Air Force with a fleet of propeller planes. More