Posts Tagged ‘adam aircraft’

Adam A500 – what’s an owner to do?

Monday, August 25th, 2008

What do you do when the company that built your plane goes bankrupt and no one really seems to care?  Well the 5 owners of Adam A500 airplanes are finding out.  Although bankruptcy of aircraft manufacturers is not new the approach due to liability issues and the way they are handled is not always very “owner friendly”. 

Here is my post in response to a Denver Post Article.

“Regardless of the past owner/operator shady or not one would think the new owner would care about Public Relations. I mean I understand not wanting liability, but they did by the right to manufacture the A500 although they may not be choosing to persue it right now, because they apparently would have to spend some money to “recertify it”.

The opportunity to build some relationships with people who have spent and have the ability to spend $1 million dollars for a plane is something. I mean who do they think the market would be for the jet possibly the same people?

It is not like bankruptcy and failures are new to the aviaition industry, just look at all the various models out there that have been in and out of business several times or existed as a result of loyal owners reference Mooney, Aerostar and Commander to name a few.

There has to be some solution to at least make the specs and parts available to these owners. There have to be some partially built planes that could be used and a way to help these guys out. I mean I am sure they would bear the expense if they could just fly their “million dollar display piece”.

FAA come on lets work for a solution to let the guys fly vs be forced with a “De Lorean of the air” at least people found a way to make parts for those!”

 

Adam Aircraft Has a New Owner

Thursday, April 10th, 2008

AAI Acquisition Inc, a Russian owned company was approved by the bankruptcy court to purchase Adam Aircraft.  They bought the company for $10 million plus assumption of some liabilities. 

The company has already hired some of the old Adam employees and plans to work hard on getting the new VLJ A700 certified as quickly as possible.  The FAA however said since it is a new company they will have to start over in the certification process, but it will be much faster than start from the beginning.  Read more of an Article from the Denver Post.

Adam Aircraft struggling to come back to life…

Tuesday, April 8th, 2008

An agreement has been reached to have the assets of Adam Aircraft purchased by a new company and to reopen and operate it under new ownership, support the A500 inline twin engine airplane and continue the certification process of the A700 VLJ.  The proposed purchase must still be approved by the court in a hearing set for Wednesday, April 9, 2008. 

In the past many aircraft manufacturers have struggled to survive.  As Howard Hughes once said

“the only way to make a small fortune in aviation is to begin with a large fortune!” 

Mooney although plagued many times over the last 30+ years with cash flow issue has been able to find new buyers and make it through bankruptcy and stay around to support its past aircraft and excel in producing a strong product for the 21st century.  Others such as Beechcraft, Columbia Aircraft, Piper have had struggles of their own and made it through the trying economic times and years of aviation “issue”. 

Good luck to Adam Aircraft, hope they can be a success story too.

Denver Post Article