Hawker Beechcraft, which is in the process of restructuring under U.S. Chapter 11 bankruptcy protection, posted a $33.8 million net loss on sales totaling $149.9 million last month. In documents filed with the U.S. Bankruptcy Court in New York earlier this week, the company reported spending $1.5 million on restructuring costs, $5.4 million on reorganization items and $8.8 million on research and development.
Hawker Beechcraft announced at 3:30 p.m. EST today that it has reached an agreement with a “significant number” of its senior secured lenders and senior bondholders on the terms of a financial restructuring plan that will “strengthen the company for the future and eliminate approximately $2.5 billion in debt and approximately $125 million of annual cash interest expense.” To move this process forward, the Wichita-based OEM and certain of its subsidiaries today filed voluntary petitions under the Chapter 11 bankruptcy code.
Hawker Beechcraft yesterday secured more time to solve its debt problems through a restructuring plan, with lenders granting a 90-day forbearance agreement. The move staves off the immediate threat of a filing for Chapter 11 bankruptcy protection–a move that has been widely expected by industry analysts.
The manufacturer, which is owned by Onex and GS Partners (a division of investment banking giant Goldman Sachs), announced it had “reached an agreement with certain lenders that will provide the company with approximately $120 million of additional liquidity.”
Completion and refurbishment specialist Pats Aircraft Systems, has executed the final steps in a restructuring agreement with its lenders that formally establishes the Georgetown, Del.-based center as “a fully capitalized, stand-alone company with a significantly reduced debt structure.”
Quest Aircraft Co. of Sandpoint, Idaho, introduced an executive interior for its rugged Kodiak turboprop single at EAA AirVenture at Oshkosh, Wis., last week.
DeCrane Aerospace, founded in 1987 by the late entrepreneur Jack DeCrane with the idea of assembling under a single umbrella all aspects of cabin refurbishment and completion, has found a buyer.
Since late 2006 DeCrane Aerospace has undergone an internal restructuring that included a name change, a headquarters relocation, a shift in marketing strategy and a refinancing effort.
Organizationally troubled Sentient Flight Group will be undergoing a restructuring, only a few weeks after the Weymouth, Mass.-based charter operator and management firm announced that company chairman Gregory Campbell would be replacing Steve Hankin as CEO.
The restructuring program that Quebec-based CAE has adopted to improve its financial position will not affect SimuFlite, Andrew Arnovitz, director of investor relations for CAE, told AIN. He emphasized, “SimuFlite accounts for about 50 percent of our overall CAE training revenues. The restructuring will in no way affect our SimuFlite customers.”
Anchorage, Alaska-based regional airline Era Aviation in late December filed for Chapter 11 bankruptcy protection after its main source of capital decided to restrict its funding in a dispute over cash-flow targets.