The NTSB has released the preliminary accident report on the April 3 ditching of a Hawker Beechcraft King Air C90GTx. The ditching occurred during a delivery flight of the new turboprop twin from the Hawker Beechcraft Corp.
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.
As of April 16, Hawker Beechcraft had not released its 2011 financial report, but the obligatory 10-K form filed with the Securities and Exchange Commission paints a picture of a difficult road ahead for the company.
In a statement issued April 13 announcing the filing, CEO Steve Miller said the document 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.”
About a week after it revealed that it posted a $632.8 million loss last year, Hawker Beechcraft issued a 60-day warning to workers yesterday, noting that it “will lay off approximately 350 employees in several areas of operations in Wichita.” The company currently employs about 4,700 workers in Wichita.
Hawker Beechcraft lost $632.8 million last year, according to the 10-K form it filed with the Securities and Exchange Commission on Friday.
GAMA released its revised 2011 annual report today, now that Hawker Beechcraft has issued its fourth-quarter and Fiscal Year 2011 financial results. Turboprop deliveries fell from 368 aircraft in 2010 to 361 last year, down 1.9 percent, while business jet shipments descended to 703, down 7.9 percent from 763 jets in 2010. Billings decreased slightly to $19.644 billion last year, down 0.4 percent from $19.715 billion in 2010.
Hawker Beechcraft Global Customer Support (GCS) has appointed Shanghai Hawker Pacific Business Aviation Service Center its first authorized service center in mainland China. Located at Shanghai Hongqiao International Airport, Shanghai Hawker Pacific will provide service to Hawker owners and operators in the Northern Asia Pacific region.
In an SEC filing yesterday, Hawker Beechcraft said its losses for all of 2011 could total $481.8 million, including $304.9 million in restructuring and impairment charges, versus a $173.9 million loss in 2010. Subtracting the losses from the first through third quarter, this means that Hawker Beechcraft could post a fourth-quarter loss of $267.1 million. These 2011 numbers, however, are still preliminary and could change, the company noted.
After delays of nearly a year, the U.S. Air Force announced in late February that it had selected Sierra Nevada and its partner Embraer Defense and Security as winners of its light air support (LAS) contract, an award that carries an initial value of $427.5 million.
February’s Singapore Airshow confirmed a trend that has been brewing for some time: that Indonesia is emerging as a business aviation hotspot in the Asia Pacific region. Last year the country’s economy grew at its fastest pace since the 1997-98 Asian financial crisis, with gross domestic product expanding by 6.5 percent.