Certification of the Adam Aircraft A700 has again stalled after a "strategic realignment" by owner AAI Acquisitions, which could not secure sufficient capital after buying rights to the production certificate for the very light jet in April.
Most of the more than 200 employees at company's production plant in Colorado were given layoff notices on 27 October, including employees who had been rehired after losing their jobs when Adam Aircraft Industries went bankrupt in February. AAIA is wholly owned by Russian companies Industrial Investors and Kaskol, which also operate Moscow-based air taxi operator Dexter.
"We had 209 employees, but will continue with just over 30, representing the key disciplines," says Steve Patrick, vice-president of flight-test and programme management for AAIA.
 |
|---|
© AAI |
All development and flight tests at the Centennial airport facility south of Denver have been suspended and the company says the remaining staff will stay in place until the board of directors decides on a new certification and delivery schedule. Both were set for 2010, dependent on an infusion of $200 million that would have seen 500 employees at the plant by the end of 2009.
"We believe we had the right investors, the right leadership, the right team, and the right product. However, worldwide economic conditions have caused us to reassess our plans," says Patrick.
Source: Flight International
