Aircraft Ownership
Adam Aircraft files for Chapter 7
Adam Aircraft Industries on Feb. 15 filed for Chapter 7 under the federal bankruptcy code.
The U.S. Bankruptcy Court in Denver has appointed a trustee, Jeffrey Weinman of Denver, to oversee the case.
Workers began attending job fairs Monday with several companies, including Piper Aircraft, Honda Aircraft, Gulfstream Aerospace, Epic Aircraft, Cirrus Design, Bombardier Aerospace, and others.
The company, based at Centennial Airport in Denver, suspended operations on Feb. 11 after failing to secure up to $150 million in long-term financial commitments. It had some 800 employees.
Adam claimed a backlog of 400 orders for its two aircraft models, the A500 piston twin and the A700 jet. Adam has as yet been unable to clear FAA certification hurdles for its A700, and Adam officials had repeatedly assured investors the company was on track for A700 type certification this year.
The company planned to produce three A500s a month beginning this summer, and up to 15 A700s a month after it received FAA certification.
Updated February 19, 2008
