Galaxy Aerospace has been formally incorporated in the USA to complete, market and support Israel Aircraft Industries Galaxy and Astra SPX business aircraft. The company expects to select a site for the new joint venture's permanent headquarters and aircraft-completion and service centre within the next 60 days, says Brian Barents, its president and chief executive.
The joint venture includes the former Learjet president who has an equity stake in the company, Israel Aircraft Industries (IAI), which manufactures the long-range business jets, and the Pritzker family, which owns the Hyatt Hotels chain. Galaxy takes over work which was previously done by AstraJet.
Barents expects to make the final location selection within "the next 60 days". Candidate cities named by Barents include Dallas, Little Rock and Wichita. Houston and Austin are said to also be under consideration.
"It would be possible to accept the first 'green' aircraft in the first quarter of 1998 if we can make a decision within the next 30 to 60 days. Locating an existing facility with a turn-key operation would be appealing to us, but we are looking at a whole range of things," says Barents.
Barents says that plans call for delivery of 12-18 Astra SPXs and 18-24 Galaxys a year. The first flight of the $14.6 million twin-engine Galaxy is scheduled for the fourth quarter of this year, leading to certification and delivery to the completion centre a year later.
Hyatt president Tom Pritzker will not divulge the extent of his family's stake in Galaxy Aerospace, except to say that it is "a substantial amount of money" and a long-term commitment. It is reported, however, that the family's initial investment was $50 million, with more to come. Barents also declines to say what his equity stake is worth. Galaxy Aerospace holds 20 deposits for Galaxys.
Source: Flight International
