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91-572: Hawker Beechcraft Corporation ( HBC ) was an American aerospace manufacturing company that built the Beechcraft and Hawker business jet lines of aircraft between 2006 and 2013. The company headquarters was in Wichita, Kansas , United States, with maintenance and manufacturing locations worldwide. The history of Hawker Beechcraft originated in 1994 when Raytheon merged its Beech Aircraft Corporation and Raytheon Corporate Jets units. In 2006, Raytheon sold

182-452: A FAR Part 135 charter operation. NetJets announced in September 2023, that it will be purchasing up to 1,500 Cessna Citation jets from Textron Aviation . Deliveries for this 15-year deal are expected to begin in 2025. NetJets Europe, also known by its corporate legal name, NetJets Transportes Aéreos, S.A., was launched in 1996 as a sister company of NetJets and is now a subsidiary. It

273-401: A "selective default" and on April 2 it failed to pay $ 28 million of interest on its unsecured and subordinated notes, which S&P rated as a full default. Hawker also reported that it had breached banking covenants and had failed to file its 10-K for 2011 on time because of problems with its internal financial reporting systems. In April 2012, the company filed its delayed year-end report with

364-491: A US$ 16.3-million 112,000-square-foot (10,400 m) facility expansion for Hawker 4000 completion work in Little Rock, Arkansas . The expansion included a new 54,000-square-foot (5,000 m) hangar bay, as well as extensions to existing buildings to provide additional woodshop, upholstery, sheet metal and storage space. In March 2007, the purchase of Raytheon Aircraft Company was finalised at US$ 3.3B. Hawker Beechcraft Inc.

455-419: A case for the discounted sale being necessary. On December 11, 2012 the judge reversed the order and permitted the sale of the 20 aircraft to proceed, requiring that each sale be reported to the court. In early December 2012, the court approved a company restructuring including US$ 525M in term loans and a revolving line of credit, selling the jet production line and renaming the company Beechcraft Corporation. Of

546-820: A government body. This term has been largely subsumed by the more encompassing term: " aerospace industry". In 2015 the aircraft production was worth US$ 180.3 billion: 61% airliners , 14% business and general aviation , 12% military aircraft , 10% military rotary wing and 3% civil rotary wing; while their MRO was worth $ 135.1 Bn or $ 315.4 Bn combined. The global aerospace industry was worth $ 838.5 billion in 2017: aircraft & engine OEMs represented 28% ($ 235 Bn), civil & military MRO & upgrades 27% ($ 226 Bn), aircraft systems & component manufacturing 26% ($ 218 Bn), satellites & space 7% ($ 59 Bn), missiles & UAVs 5% ($ 42 Bn) and other activity, including flight simulators , defense electronics, public research accounted for 7% ($ 59 Bn). The Top 10 countries with

637-452: A huge bailout". In early 2010, the company, in partnership with FlightSafety International , opened the 44,000 sq ft (4,100 m) Maintenance Learning Center, for technician training. By September 2011, the company had US$ 2.14 billion of debt outstanding. In December 2011, the company announced that it was slowing down development of the Hawker 200 jet due to the uncertain state of

728-512: A majority of the union workers voted against the contract, citing their belief that the company will leave Kansas regardless of incentives and concessions. In December 2010 the company signed an agreement with the Kansas state government to retain facilities in Wichita until at least 2020 and a minimum of 4000 employees in exchange for a US$ 40M incentive package. Kansas Governor Mark Parkinson termed it "not

819-590: A new aerospace manufacturing facility in Chihuahua, Mexico and, on March 26, 2010, appointed Hawker Pacific Singapore as its first Hawker 4000 authorized service center in Southeast Asia. In response to the late-2000s recession the company announced the lay-off of 490 employees at its Wichita facility in January 2009. On February 3, 2009, CEO Jim Schuster announced that a further 2,300 employees would be laid off before

910-640: A new company, Beechcraft Corporation , the Hawker Beechcraft name being retired. The new and much smaller company will produce the King Air line of aircraft as well as the T-6 and AT-6 military trainer/attack aircraft and the piston-powered single-engined Bonanza and twin-engined Baron aircraft. The jet line was discontinued, but the new company continued to support the aircraft already produced with parts and with engineering and airworthiness documentation. The new company

1001-552: A plan that will put the company on firm financial footing and better position Hawker Beechcraft for the future." On May 3, 2012, the company filed for Chapter 11 bankruptcy after having laid off 350 employees in late April. By mid-June 2012, the company had filed court documents outlining plans to emerge from bankruptcy. The company plan involved retaining its piston-engined and turboprop aircraft lines and reducing or eliminating its jet aircraft lines. Three different scenarios were considered, all of which involved stopping development of

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1092-579: A result of these orders NetJets became Cessna 's largest business jet fleet owner. In September 2014, NetJets acquired approval to launch its aircraft charter service in China , having worked with Chinese authorities since 2012 to secure the operating certificate. In 2015, the company's pilots picketed the Wynn resort in Las Vegas where company owner Warren Buffett was hosting some of his wealthiest customers. The event

1183-422: A similar alliance with either Embraer with its E-jet E2 or Mitsubishi Heavy Industries and its MRJ . On 21 December, Boeing and Embraer confirmed to be discussing a potential combination with a transaction subject to Brazilian government regulators, the companies' boards and shareholders approvals. The weight of Airbus and Boeing could help E2 and CSeries sales but the 100-150 seats market seems slow. As

1274-508: A special program to restore U.S. competitiveness across all U.S. industries, Project Socrates , contributed to employment growth as the U.S. aerospace industry captured 72 percent of world aerospace market. By 1999 U.S. share of the world market fell to 52 percent. In the European Union , aerospace companies such as Airbus , Safran , BAE Systems , Thales , Dassault , Saab AB , Terma A/S , Patria Plc and Leonardo are participants in

1365-566: A surge in demand for private aviation during the COVID-19 pandemic , NetJets suspended its card program in August 2021. Sales restarted in March 2023. This program features "blackout" days, when service is not available due to expected high demand, such as on holidays or during major sporting events. NetJets is the largest private jet operator in the world. The data below is limited to aircraft registered on

1456-456: Is Japan ), strong transportation infrastructure (#5, #1 is Hong Kong ), a healthy economy (#10, #1 is China ), but high costs (#7, #1 is Denmark ) and average tax policy (#36, #1 is Qatar ). Following were Canada , Singapore , Switzerland and United Kingdom . Within the US, the most attractive was Washington state , due to the best Industry (#1), leading Infrastructure (#4, New Jersey

1547-403: Is #1) and Economy (#4, Texas is #1), good labor (#9, Massachusetts is #1), average tax policy (#17, Alaska is #1) but is costly (#33, Montana is #1). Washington is tied to Boeing Commercial Airplanes , earning $ 10.3 billion, is home to 1,400 aerospace-related businesses, and has the highest aerospace jobs concentration. Following are Texas, Georgia , Arizona and Colorado . In the US,

1638-605: Is based in Oeiras, Portugal , and serves more than 5,000 airports globally. Also among NetJets subsidiaries is Executive Jet Management (EJM), based in Cincinnati, Ohio, which offers aircraft management and charter services. QS Partners is the whole-aircraft brokerage arm of NetJets, launched in 2016 and officing in Columbus, Ohio; Boulder, Colorado; and London; it also exclusively resells used aircraft from NetJets' fleet. QS Security Services

1729-511: Is based. Several consolidations took place in the aerospace and defense industries over the last few decades. Airbus prominently illustrated the European airliner manufacturing consolidation in the late 1960s. Between 1988 and 2010, more than 5,452 mergers and acquisitions with a total known-value of US$ 579 billion were announced worldwide. In 1993, then United States Secretary of Defense Les Aspin and his deputy William J. Perry held

1820-449: Is charged only when an owner or guest is on board, not for ferry flights . NetJets is the largest fractional aircraft provider. In 2021 its fleet flew 478,444 hours. For companies or individuals that require less than the minimum 50 flight hours and the five-year commitment of fractional ownership, they can buy flight hours in 25-hour increments via the NetJets jet card programs. Due to

1911-471: Is the successor company to numerous British aircraft manufacturers which merged throughout the second half of the 20th century. Many of these mergers followed the 1957 Defence White Paper . Marconi Electronic Systems , a subsidiary of the General Electric Company plc , was acquired by British Aerospace for US$ 12.3 billion in 1999 merger, to form BAE Systems . In 2002, when Fairchild Dornier

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2002-517: The A320 . Tier 1 consolidation also affects engine manufacturers : GE Aerospace acquired Avio in 2013 and Rolls-Royce took control of ITP Aero . NetJets NetJets Inc. is an American company that sells fractional ownership shares in private business jets . Founded as Executive Jet Airways in 1964, it was later renamed Executive Jet Aviation . NetJets became the first private business jet charter and aircraft management company in

2093-500: The Airbus A380 , less than 100 major suppliers outsource 60% of its value, even 80% on the A350 . Boeing embraced an aggressive Tier 1 model for the 787 but with its difficulties began to question why it was earning lower margins than its suppliers while it seemed to take all the risk, ensuing its 2011 Partnering for Success initiative, as Airbus initiated its own Scope+ initiative for

2184-655: The Beechcraft Premier and Hawker 200 . One possibility was eliminating all jet production, a second was to retain the Hawker 900 and Hawker 4000 , while the third was to retain only the 900. There was also a stated possibility that the company would be purchased by third party interests as well. By early July 2012, bankruptcy court filings indicated the company was for sale, saying "the Debtors are continuing to evaluate potential sale alternatives and may elect to incorporate one or more sale or plan sponsorship transactions into

2275-567: The Bombardier Global Express pioneered the "Tier 1" supply chain model inspired by automotive industry , with 10-12 risk-sharing limited partners funding around half of the development costs. The Embraer E-Jet followed in the late 1990s with fewer than 40 primary suppliers. Tier 1 suppliers were led by Honeywell , Safran , Goodrich Corporation and Hamilton Sundstrand . In the 2000s, Rolls-Royce reduced its supplier count after bringing in automotive supply chain executives. On

2366-474: The CSeries partnership between Airbus and Bombardier Aerospace could trigger a daisy chain of reactions towards a new order. Airbus gets a new, efficient model at the lower end of the narrowbody market which provides the bulk of airliner profits and can abandon the slow selling A319 while Bombardier benefits from the growth in this expanded market even if it holds a smaller residual stake. Boeing could forge

2457-805: The Civil Aeronautics Board . The Pennsylvania Railroad argued its majority stake in EJA was legal as it consisted of non-voting stock, and anticipating approval from the CAB, EJA licensed its larger jets to foreign airlines. When the CAB instead ruled against EJA, the company now found itself deeply unprofitable, and the Pennsylvania Railroad attempted to sell off its stake. However, potential buyers lost interest after corporate spies for Pan Am acquired and leaked information on EJA's illegal interests. The Pennsylvania Railroad merged into Penn Central in 1968, and

2548-703: The Department of Defense and NASA are the two biggest consumers of aerospace technology and products. The Bureau of Labor Statistics of the United States reported that the aerospace industry employed 444,000 wage and salary jobs in 2004, many of which were in Washington and California, this marked a steep decline from the peak years during the Reagan Administration when total employment exceeded 1,000,000 aerospace industry workers. During that period of recovery

2639-593: The U.S. Securities and Exchange Commission . The filing stated that "management has concluded that there is substantial doubt about the Company’s ability to continue as a going concern...Due to the fact that we have recurring negative cash flows from operations and recurring losses from operations, we will need to seek additional financing. There is substantial doubt that we will be able to obtain additional equity or debt financing on favorable terms, or at all, in order to have sufficient liquidity to meet our cash requirements for

2730-432: The municipal government of Beijing , subject to completing the sale agreement within 45 days and regulatory approvals. The sale agreement did not include the subsidiary Hawker Beechcraft Defense Co., builder of the T-6 trainer and AT-6 light attack aircraft. Chairman Bill Boisture stated: "The decision to move forward with Superior was based on two key factors. The bid for the company was the most attractive we received during

2821-503: The "Last Supper" at the Pentagon with contractors executives who were told that there were twice as many military suppliers as he wanted to see: $ 55 billion in military–industry mergers took place from 1992 to 1997, leaving mainly Boeing , Lockheed Martin , Northrop Grumman and Raytheon . Boeing bought McDonnell Douglas for US$ 13.3 billion in 1996. Raytheon acquired Hughes Aircraft Company for $ 9.5 billion in 1997. BAE Systems

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2912-693: The CSeries, renamed A220, and E-jet E2 are more capable than their predecessors, they moved closer to the lower end of the narrowbodies . In 2018, the four Western airframers combined into two within nine months as Boeing acquired 80% of Embraer's airliners for $ 3.8 billion on July 5. On April 3, 2020, Raytheon and United Technologies Corporation (except Otis Worldwide , leaving Rockwell Collins and engine maker Pratt and Whitney ) merged to form Raytheon Technologies Corporation , with combined sales of $ 79 billion in 2019. The most prominent unions between 1995 and 2020 include those of Boeing and McDonnell Douglas;

3003-818: The French, German and Spanish parts of EADS; and United Technologies with Rockwell Collins then Raytheon, but many mergers projects did not went through: Textron-Bombardier, EADS-BAE Systems, Hawker Beechcraft-Superior Aviation, GE-Honeywell, BAE Systems-Boeing (or Lockheed Martin), Dassault-Aerospatiale, Safran-Thales, BAE Systems-Rolls-Royce or Lockheed Martin–Northrop Grumman. The largest aerospace suppliers are United Technologies with $ 28.2 billion of revenue, followed by GE Aviation with $ 24.7 billion, Safran with $ 22.5 billion, Rolls-Royce Holdings with $ 16.9 billion, Honeywell Aerospace with $ 15.2 billion and Rockwell Collins including B/E Aerospace with $ 8.1 billion. Electric aircraft development could generate large changes for

3094-615: The Hawker and Beechcraft brands after having marketed them as Raytheon aircraft at the National Business Aviation Association annual convention. Raytheon announced in July 2006 the sale of its aircraft manufacturing business to focus on its core defense-related business. Bidders for the company included The Carlyle Group , Cerberus Capital Management and Onex Corporation . In October 2006, Raytheon Aircraft Company commenced

3185-476: The IRS assessments were unlawful. In 2019, a former NetJets pilot filed a lawsuit alleging that in March 2017, the company violated US Civil Right and Ohio anti-discrimination law when she was fired for being too short (5 feet 2 inches (157 cm)) to properly control the rudders of an Embraer Phenom 300. She states that male pilots who were too tall were reassigned to different aircraft, while her employment

3276-570: The NetJets fleet. On 11 June 2012, NetJets placed the largest aircraft order in private aviation history totaling US$ 17.6B. The company placed a firm order for 30 Bombardier Global 5000/6000 jets, 25 Bombardier Challenger 650 jets, 75 Bombardier Challenger 350s, 25 Cessna Citation Latitudes and 50 Embraer Phenom 300s. As a part of this purchase agreement, it also placed conditional orders for an additional 40 Bombardier Global 5000/6000s, 50 Bombardier Challenger 650, 125 Bombardier Challenger 350s, 125 Cessna Citation Latitudes and 75 Embraer Phenom 300s. As

3367-551: The US had trouble negotiating with Chinese representatives unfamiliar with US finance and bankruptcy law." In response to the failed negotiations, Hawker Beechcraft planned to emerge from bankruptcy protection by filing an amended Joint Plan of Reorganization (POR) with the US Bankruptcy Court for the Southern District of New York, and re-emerge as a stand-alone company renamed Beechcraft Corporation and focused on growing

3458-1085: The United States ( Boeing ), Montreal and Toronto in Canada ( Bombardier , Pratt & Whitney Canada ), Toulouse and Bordeaux in France ( Airbus , Dassault , ATR ), Seville in Spain and Hamburg in Germany ( Airbus ), the North-West of England and Bristol in Britain ( Airbus and AgustaWestland ), Komsomolsk-on-Amur and Irkutsk in Russia ( Sukhoi , Beriev ), Kyiv and Kharkiv in Ukraine ( Antonov ), Nagoya in Japan ( Mitsubishi Heavy Industries Aerospace and Kawasaki Heavy Industries Aerospace ), as well as São José dos Campos in Brazil where Embraer

3549-506: The aerospace suppliers. On 26 November 2018, United Technologies announced the completion of its Rockwell Collins acquisition, renaming systems supplier UTC Aerospace Systems as Collins Aerospace , for $ 23 billion of sales in 2017 and 70,000 employees, and $ 39.0 billion of sales in 2017 combined with engine manufacturer Pratt & Whitney . Before the 1980s/1990s, aircraft and aeroengine manufacturers were vertically integrated . Then Douglas aircraft outsourced large aerostructures and

3640-511: The announced deal with skepticism, indicating that the purchase price seemed high for a company with an old product line and little recent investment in research and development. Textron , the owner of Cessna , indicated that it may be interested in acquiring the company if the deal with Superior was not completed. On July 16, 2012, the International Association of Machinists and Aerospace workers (IAM), which represents some 3,500 of

3731-453: The bankruptcy proceedings senior management applied to the court for bonuses to be paid to themselves. The judge approved US$ 1.9M for 31 senior managers, but deferred a decision on a further US$ 5.3M in bonuses for the top eight executives until August 6, 2012. Senior managers said they were entitled to the bonuses because guiding the sale of the bankrupt company was difficult and time consuming. On October 18, 2012, multiple sources reported that

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3822-512: The board of directors included US Air Force generals Curtis E. LeMay and Paul Tibbets , Washington lawyer and former military pilot Bruce Sundlun , and entertainers and pilots James Stewart and Arthur Godfrey , with Lassiter serving as president and chairman of the board. Shortly after its founding, EJA began receiving regular investments from the Pennsylvania Railroad , which were managed by accountant David Bevan. In June 1965,

3913-463: The company accepting an offer to be purchased by Superior Aviation Beijing . By October 18, 2012, the negotiations for the sale had failed and the company decided to cease jet production and exited bankruptcy on its own on February 19, 2013, under a new name, Beechcraft Corporation . On February 8, 1980, Beech Aircraft Corporation became a subsidiary of Raytheon . In August 1993, Raytheon Company acquired British Aerospace Corporate Jets (producers of

4004-440: The company announced plans to emerge from bankruptcy, including US$ 600M in exit financing from JPMorgan and Credit Suisse . The company plan was given final court approval on January 31, 2013. The company named a new board of directors; Bill Boisture once again became CEO of the new Beechcraft Corporation and former CEO Steve Miller became a senior adviser to the board. The company completed its bankruptcy on February 19, 2013, as

4095-482: The company announced that it would lay off more than 400 of its remaining workers. The cuts included the closure of its service facilities in Little Rock, Arkansas , Mesa, Arizona and San Antonio, Texas as well as other cuts in Wichita. At the same time the company affirmed that future work would concentrate "on turboprop, piston, special mission and trainer/attack aircraft, as well as our parts, maintenance, repairs and refurbishment businesses." In late November 2012,

4186-426: The company made application to the bankruptcy court to sell off 20 Hawker 4000s , comprising 13 finished new 4000s, three being built and four used aircraft, at heavily discounted prices to raise money for the company. Existing owners of the aircraft type objected, indicating that this move would greatly devalue their assets. Bankruptcy judge Stuart Bernstein rejected the sale, stating that Hawker Beechcraft had not made

4277-456: The company made initial moves to reduce its carbon footprint . The company committed to buying "up to 3 million gallons" (11.4 million litres) of sustainable aviation fuel to be used at two of its bases, San Francisco and Columbus, Ohio. The company is also encouraging its customers to buy carbon offsets for their flights. The company will also buy its own offsets for its administration and training flights. As of November 2020, almost half of

4368-499: The company to a consortium of Goldman Sachs and Onex Corporation . This deal left the company with a heavy burden of debt which it struggled to support from the economic crisis of 2008 onwards. In April 2012 it defaulted on interest payments and was in breach of banking covenants; this caused widespread speculation that it would enter bankruptcy. On May 3, 2012, the company entered bankruptcy, filing voluntary petitions under Chapter 11 in US Bankruptcy Court. The bankruptcy resulted in

4459-512: The company's 18,000 employees, filed in bankruptcy court an objection to the proposed deal with Superior, warning that the sale had "broad implications for the U.S. economy and national security," and contending that Superior's proposal excludes the assumption of Hawker's three pension plans, which the Pension Benefit Guaranty Corporation estimated to be underfunded by about $ 751 million at that time. In late July 2012, during

4550-606: The company's fleet was manufactured by Textron, and the rest by Bombardier Inc. and Embraer . After reducing its delivery target for 2021 by more than half, due to decreased demand caused by the COVID-19 pandemic in 2020, the company expected to take delivery of 40 new aircraft in 2021 in anticipation of industry recovery. In February 2021, the company purchased a stake in WasteFuel, a business that will convert landfill waste into sustainable aviation fuel (SAF). NetJets plans to purchase 100 million gallons of SAF from WasteFuel over

4641-414: The company's most profitable products. A letter from company Chairman, Bill Boisture and Executive Vice-President Shawn Vick stated that their aim is to carry out the reorganization "in a strong operational and financial position." They wrote that this may result in ceasing jet production in favor of piston aircraft manufacturing or refurbishing older aircraft, indicating these "have high growth potential." At

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4732-653: The company's operating subsidiary Hawker Beechcraft Corp. The board of directors named company turn-around expert Steve Miller as the new CEO. In March 2012, the general media began carrying stories that the company would have to soon enter bankruptcy, even though the new CEO Miller had indicated he would work hard to avoid that. In February 2012 Miller had said, "My assignment is to figure out how to get through these financial headwinds without even having to think about Chapter 11 filing. Chapter 11 doesn’t do anybody any good. It’s usually not necessary." Some financial analysts indicated that with so much debt and low share prices that

4823-413: The company's request to deal with, as the company stated "serious challenges... a spectrum of possibilities for the company's future footprint...the likely impact on its workforce in all its locations." The union warned its members in the letter, "The picture we are getting is of a Hawker Beechcraft Wichita that will shrink almost immediately by 75 percent or more within two years, without a guarantee of even

4914-472: The company. Lenders holding about 70 percent of its bank debt agreed to waive covenants on that debt, and defer interest payments until June 29, 2012. The following day Reuters reported rumours that the company was negotiating a prearranged bankruptcy "within the next several weeks" to include debtor-in-possession (DIP) financing of less than $ 500M. On March 30, the company failed to pay interest on its secured credit facility, which Standard & Poors considered

5005-509: The credit, US$ 400M was used to pay off bankruptcy credit and the balance used for operations. By early January 2013, the company had agreed to let the Pension Benefit Guaranty Corporation , a United States government agency, take over two under-funded company pension plans with liabilities of US$ 1B, paving the way for a group of hedge funds to buy the company. HBC will continue to fund the pensions. On January 25, 2013,

5096-450: The economy. CEO Bill Boisture indicated the program was not canceled, saying that the aircraft program is "well positioned to continue...when the time is right." The company also announced that it was looking for relief from payments on a US$ 182 million revolving line of credit, due to the general poor economic conditions and low sales of light jets. The company was close to defaulting, but Sam Goodyear, an analyst at CreditSights predicted that

5187-405: The end of October 2010. On October 16, 2010, union machinists at Hawker Beechcraft voted against a new seven-year contract that would have included a 10% pay cut and higher worker health insurance contributions aimed at keeping the company from moving its operations out of Kansas. Union leadership had recommended that its rank and file accept the company's offer rather than risk losing their jobs, but

5278-442: The end of October 2012 Vick confirmed that the company would end jet production in favor of a new single-engine turboprop based on the Beechcraft Premier fuselage. The news of the company's planned cessation of jet production produced a great deal of negative reaction from owners of existing HBC-produced jets, who feared that parts and other support would be hard to get, reducing the value of their aircraft. In early November 2012,

5369-418: The end of the year. The company indicated that orders for aircraft had slowed down, especially by fractional jet operators. Schuster said: The government's stimulus package has failed to sufficiently loosen credit markets, which are absolutely vital to the success of HBC and our industry...The media and some politicians have cast general aviation as a wasteful extravagance instead of a critical business tool and

5460-513: The global aerospace industry and research effort. In Russia , large aerospace companies like Oboronprom and the United Aircraft Corporation (encompassing Mikoyan , Sukhoi , Ilyushin , Tupolev , Yakovlev , and Irkut , which includes Beriev ) are among the major global players in this industry. Important locations of the civil aerospace industry worldwide include Seattle , Wichita, Kansas , Dayton, Ohio and St. Louis in

5551-623: The largest industrial bases in 2017 were the United States with $ 408.4 billion (representing 49% of the whole), followed by France with $ 69 billion (8.2%), then China with $ 61.2 billion (7.3%), the United Kingdom with $ 48.8 billion (5.8%), Germany with $ 46.2 billion (5.5%), Russia with $ 27.1 billion (3.2%), Canada with $ 24 billion (2.9%), Japan with $ 21 billion (2.5%), Spain with $ 14 billion (1.7%) and India with $ 11 billion (1.3%). These ten countries represent $ 731 billion or 87.2% of

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5642-454: The last few jobs staying". The move would reduce the company's work force from 6000 to 1500 workers. CEO Bill Boisture confirmed the situation indicating that demand for the company's products had declined drastically and permanently and that the company may move significant amounts of work to Mississippi, Louisiana, or even outside the United States. In September 2010 the company announced further cuts of 350 salaried positions to be completed by

5733-573: The lenders would rearrange the debt rather than force the company to liquidate, as their return in the prevailing market conditions would be poor. In January 2012, the company's Beechcraft AT-6 lost out to Embraer's Tucano in a competition to supply 20 light attack jets to Afghanistan. This contract has since been cancelled due to mistakes in the paperwork and Hawker Beechcraft challenged the deal in court. The company underwent management changes in February 2012, with CEO Bill Boisture becoming chairman of

5824-411: The midsized British Aerospace BAe 125 line) from British Aerospace and renamed the company Raytheon Corporate Jets . In mid-September 1994, Beech Aircraft Corporation and Raytheon Corporate Jets were merged to form Raytheon Aircraft. Raytheon decided to use the Hawker name to show the lineage of the series from Hawker Siddeley and Hawker Aircraft . In early 2002, Raytheon announced the return of

5915-480: The negotiations between Superior Aviation Beijing and Hawker Beechcraft had failed, with a press release from Hawker Beechcraft ascribing the failure to the fact that "the proposed transaction with Superior could not be completed on terms acceptable to the company." Specific problems included national security concerns as "the company's defense operations were integrated with its civilian businesses that proved difficult to untangle", and legal complications, as "advisers in

6006-625: The next 10 years as part of the deal. In March 2021, NetJets announced that it had ordered 20 Aerion AS2s supersonic business jets. The memorandum of understanding between NetJets and Aerion called for the two companies to operate a larger "Aerion Connect" network. Aerion abruptly announced its closure on 21 May 2021, due to the inability to raise the needed capital to continue. The company announced in March 2022, that it would partner with Lilium GmbH to establish an eVTOL network in Florida . NetJets will buy 150 Lilium Jets and operate them under

6097-443: The next twelve months." The company reported that it had lost over US$ 1B in the previous two years, had US$ 2.3B in debt and had already missed some interest payments. The SEC filing also stated that the company might sell off assets and equity, renegotiate its debt and may have to enter Chapter 11 bankruptcy to resolve its problems. CEO Miller stated that the company will "decide on a path forward for Hawker Beechcraft that will include

6188-513: The office with armed guards of his own shortly after, but they were stopped by Sundlun's guards. Lassiter was later sued for his role in diverting $ 21 million of PRR money into EJA, much of which had gone to his personal expenses. Sundlun, Robert L. Scott Jr. and Joseph S. Sinclair bought out the Penn Central interest in EJA in 1972 and stabilized the company's finances. Paul Tibbets became president in 1976. In 1984, Executive Jet Aviation

6279-468: The optics of opulence and the environmental issues of private jet transport, but NetJets President of Sales, Marketing and Service, Patrick Gallagher noted in May 2020, that the health risks associated with flying on commercial airlines during the pandemic had trumped those concerns. The company introduced regular employee COVID-19 testing to try to contain the risks of an outbreak on its aircraft. In October 2020,

6370-471: The owner's aircraft is unavailable for some reason, another aircraft of the same type, or a larger aircraft, will be provided. Fractional owners pay monthly maintenance fees for a minimum of 50 annual flight hours and a five-year commitment, as well as operating fees by the hour for use of aircraft. Alternatively, customers may buy flight hours in 25-hour increments by way of jet card programs. Fractional owners also pay an occupied hourly operating fee, but it

6461-518: The owners, Onex and Goldman's share in the company may well now be zero. Some analysts indicated that bankruptcy was inevitable. Scott Chan, an analyst with Canaccord Genuity in Toronto stated, "Unless things turn around, this company could go bankrupt soon. Time is running out." Another analyst added, "I think everybody is pretty sure it’s when, not if." On March 27, 2012, the company struck a deal for $ 120m of interim financing to give it time to recapitalize

6552-424: The period April to June 2009, but had orders totalling US$ 366M cancelled in the same period. Overall the company's sales were reduced from US$ 1.03B in the second quarter of 2008 to US$ 816.3M in the same period of 2009. One customer, NetJets , cancelled orders for 12 aircraft and deferred all other scheduled deliveries until the end of 2010. By late August 2009, the company laid off an additional 300 workers, bringing

6643-409: The plan." From a list of 35 potential buyers, six had expressed serious interest in purchasing the company's assets. At the same time the company laid off a further 125 workers, bringing the total to 906. On July 9, 2012, the company accepted an offer of purchase for US$ 1.79 billion by China-based Superior Aviation Beijing , a holding company in part owned by E-Town , an economic development agency of

6734-756: The railroad purchased a majority of shares in EJA, despite the fact that rail carriers were barred from owning air carriers by the Federal Aviation Act of 1958 . To hide the investments from the PRR board, Bevan made the payments through a subsidiary, the American Contract Company, which he was president of. EJA initially began operations in 1964 with a fleet of ten Learjet 23 aircraft. The company soon moved to acquire competitors and larger aircraft, including two 707 jets and two 727 jets from Boeing , but these could not be operated without approval from

6825-469: The rest in the King Air line. This set of lay-offs brought the total lay-offs to 3,553 since October 2008, which was about 36 percent of the company workforce. The company reported that it lost more than US$ 63M in the first quarter of 2010, even after it cut 2,700 jobs in 2009. In July 2010 the union representing workers at Hawker Beechcraft sent a letter to its members explaining that it was in negotiations at

6916-399: The search for a buyer continued. Penn Central and EJA were ultimately fined $ 70,000 by the CAB in 1969. In 1970, the trustee for Penn Central's EJA shares voted to oust Lassiter and replace him with Bruce Sundlun . On July 1, the day before he was voted in as president, Sundlun led a midnight raid on EJA's corporate offices with the assistance of Pinkertons . Lassiter attempted to retake

7007-681: The source of millions of American jobs...This is an extremely painful step for the HBC family and community, but one that is absolutely necessary. While I wish I could commit to you that this will be our final action, I cannot do so at this time given the extreme volatility in the marketplace. After completing cuts of 25% of its workforce (2800 employees) between October 2008 and August 2009, the company indicated that further significant cuts were required. The company's second quarter 2009 results over 2008 data showed that aircraft deliveries had fallen from 129 to 78 aircraft. The company achieved orders of US$ 450M during

7098-529: The strategic review process and the going-forward plan offered the most continuity for our business, allowing us to preserve jobs, product lines and our ability to maintain our commitments to our customers." On July 17, 2012 the bankruptcy court judge granted the company approval to enter the exclusive period of negotiation with Superior Aviation, calling the arrangement a sound exercise of the company's business judgement. The 45-day period included US$ 50M in interim financing from Superior. Aviation analysts reacted to

7189-522: The total number of layoffs to 3100. On August 31, 2009, the company indicated that it was slowing development of the Beechcraft Premier II , moving its first delivery date into late 2012 or early 2013 due to the poor market for business aircraft. In late September 2009 the company issued 60-day lay-off notices for another 240 employees. These cuts included 87 positions on the Horizon production line and

7280-459: The whole industry. In 2018, the new commercial aircraft value is projected for $ 270.4 billion while business aircraft will amount for $ 18 billion and civil helicopters for $ 4 billion. In September 2018, PwC ranked aerospace manufacturing attractiveness: the most attractive country was the United States , with $ 240 billion in sales in 2017, due to the sheer size of the industry (#1) and educated workforce (#1), low geopolitical risk (#4, #1

7371-515: The world. The idea came from retired Air Force Brigadier General Olbert F. "Dick" Lassiter, who had experience running the Air Mission Squadron, an air taxi service for the Air Force. The idea was to run a similar service for private companies, with a pool of corporate jets providing transportation instead of each company having to purchase and maintain their own plane. The founding members of

7462-431: The world. It launched its fractional ownership business in 1986 and became a subsidiary of Berkshire Hathaway in 1998. The company was founded in 1964 and originally known as Executive Jet Airways . The name was later changed to Executive Jet Aviation (EJA), and again in 2002 to NetJets, after Berkshire Hathaway purchased it in 1998. NetJets was the first private business jet charter and aircraft management company in

7553-500: Was bankrupt , Airbus, Boeing or Bombardier declined to take the 728JET /928JET large regional jet program as mainline and regional aircraft manufacturers were split and Airbus was digesting its ill-fated Fokker acquisition a decade earlier. On September 4, 2017, United Technologies acquired Rockwell Collins in cash and stock for $ 23 billion, $ 30 billion including Rockwell Collins' net debt, for $ 500+ million of synergies expected by year four. The Oct. 16, 2017 announcement of

7644-606: Was a new company formed by the Canadian investment firm Onex Partners and GS Capital Partners , an affiliate of global finance house Goldman Sachs . It operated under the name Hawker Beechcraft Corporation (HBC). 2007 marked the 75th anniversary of Beechcraft and the 60th anniversary of the Beechcraft Bonanza , which is the longest running production line of all time. In 2007 and 2008, the company increased its overseas expansion efforts. On October 25, 2007, HBC officially opened

7735-451: Was acquired in 2014 by Textron Aviation , under which the Beechcraft brand name survives. Aerospace manufacturing The aircraft industry is the industry supporting aviation by building aircraft and manufacturing aircraft parts for their maintenance . This includes aircraft and parts used for civil aviation and military aviation . Most production is done pursuant to type certificates and Defense Standards issued by

7826-589: Was launched by NetJets in October 2019 with "tiered security packages" based on passenger needs and threat level at destination. Initially only available at Paris Le Bourget and in Mexico, future plans include worldwide coverage by 2023. NetJets sells fractions of specific aircraft, chosen from several available types at the time of purchase. Owners then have guaranteed access (50–400 hours annually, depending on share size) to that aircraft with as little as four hours' notice. If

7917-435: Was officially announced becoming the first fractional aircraft ownership format in history. Around the same time, painted on every NetJets US aircraft is a registration ending with QS, symbolizing the concept of selling quarter shares of an aircraft—a feature that is still representative of the NetJets brand today. In 1998, Berkshire Hathaway acquired EJA and NetJets Inc from Richard Santulli for US$ 725 million, half of which

8008-754: Was paid in stock. NetJets soon expanded to Europe and then Russia, and by 2006, it was the largest operator of business jets in Europe. The company operated a fleet of nine Boeing 737-700 Boeing Business Jets in the mid-2000s, since then sold off. In early August 2009, Santulli resigned as CEO and was replaced by David Sokol . Shortly afterward, NetJets moved its corporate headquarters from New Jersey back to its original home in Columbus, Ohio . In 2010, NetJets acquired Marquis Jet from founders Jesse Itzler and Kenny Dichter . The prepaid Marquis Jet card allowed customers to purchase 25 hours of guaranteed flight time on

8099-411: Was purchased by mathematician and former Goldman Sachs executive Richard Santulli who owned a business that leased helicopters to service providers of offshore oil operations. When Santulli became chairman and CEO of the corporation, he closely examined 22 years of pilot logbooks, and began to envision a new economic model where several individuals could own one aircraft. In 1987, the NetJets program

8190-489: Was symbolic of deteriorating labor relations within the company at this time. The Internal Revenue Service (IRS) had sought back taxes and penalties of $ 643 million from NetJets for periods beginning in 2003, including on its maintenance and service fees. NetJets filed a lawsuit challenging the IRS assessments. In January 2015, the United States District Court issued a decision in NetJets' favor, holding that

8281-399: Was terminated without the opportunity to fly a different plane. An Ohio federal judge ruled in favor of NetJets in 2022, citing the plaintiff's failure to prove sex discrimination. In the spring of 2020, the company saw a boom in demand, as wealthy individuals sought to avoid the risks of airline flying during the COVID-19 pandemic . Previously, many potential customers had concerns about

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