Now that Beechcraft Corp. has exited Chapter 11 bankruptcy, it has to sell its closed Hawker business-jet line and focus on maintaining its existing fleet of piston and turboprop aircraft. According to CEO Bill Boisture, there has been considerable interest in the Hawker line and the company is considering a number of options.
According to Hawker Beechcraft, its creditors voted "overwhelmingly" to approve its reorganization plan. The company will receive $600 million in exit financing that will come in the form of a term loan and revolving line of credit. "The reorganized Beechcraft Corporation will emerge from this process in a strong operational and financial position, with the working capital and flexibility to execute a strategy building around our core products ... which will enable the company well into the future," said Hawker Beechcraft Chairman Bill Boisture.
Pension Benefit Guaranty Corp. and Hawker Beechcraft have struck an agreement in which PBGC will take over two pension plans for salaried Hawker employees. A hearing in U.S. bankruptcy court has been set for Jan. 17.
Hawker Beechcraft has set Jan. 31 as the date the company will emerge from bankruptcy as the stand-alone company Beechcraft Corp. During a hearing, a federal bankruptcy judge indicated the company's reorganization plan would be approved after a few revisions are made.