Hawker Beechcraft posted a $632.8 million loss last year, according to the 10-K form it filed with the Securities and Exchange Commission on Friday. CEO Steven Miller said the filing reflects “the combined effect of the prolonged weakness in our market that has continued to affect our business and the heavy debt burden” the company has operated under since 2007.
“In the coming weeks,” he added, “we expect to decide on a path forward for Hawker Beechcraft that will include a plan that will put the company on firm financial footing and better position Hawker Beechcraft for the future.”
On the other hand, the 10-K filing offered a chill view as it discussed risk factors going forward, saying management had concluded that “there is substantial doubt about our ability to continue as a going concern.” It went on to note that as of December 31, Hawker Beechcraft had $2.334 billion in total indebtedness. Additionally, the company issued letters of credit totaling $51.2 million, as well as a $124.5 million senior tranche term loan received last month to fund ongoing operations. Should Hawker Beechcraft be unable to make payments, refinance its debt or obtain new financing, the filing listed the following options: “sales of assets; sales of equity; [debt] negotiations with lenders; and/or seeking protection under Chapter 11 of the U.S. Bankruptcy Code.”