Avantair bankruptcy?

[AeroBoy]

I've heard from multiple sources that Avantair has filed for bankruptcy, and has shut down and laid off all employees -- if anyone can confirm, please PM me asap. Thanks.

 

[crewfoodmonkey]

And they aren't paying anyone for the time worked during their last pay period. They filed an 8-k that confirms the layoffs.

 

[crewfoodmonkey]

http://biz.yahoo.com/e/130626/aair8-k.html

 

[RoughAir]

Form 8K posted today for Avantair:
Form 8-K for AVANTAIR, INC

26-Jun-2013

Other Events


Item 8.01 Other Events.
On June 26, 2013, Avantair, Inc. (the "Company") commenced employee furloughs as the Company addresses liquidity issues and seeks alternative financing arrangements that it hopes will enable it to resume operations as quickly and efficiently as possible. In addition, on June 24, 2013 the Company received notice of service of a class action lawsuit filed by Heisman Square, L.L.C. in Oklahoma County District Court, Oklahoma.

On June 13, 2013, the Company also entered into a Forbearance Agreement with Midsouth Services, Inc. and Clear Aircraft, Inc. ("Lessor") related to past due lease payments for certain core fleet aircraft leased to the Company by the Lessor. On June 18, 2013 and June 25, 2013, the Company was notified by the Lessor that it was in breach of the terms of the Forbearance Agreement and the Lessor has been exercising and will continue to exercise all rights and remedies available under the Forbearance Agreement and applicable law, including taking possession of its leased aircraft and aircraft engines.

Read more: http://avantairowners.freeforums.ne...action=display&thread=1&page=20#ixzz2XMM7XThC
​

 

[NoJoy]

Yes grim indeed-

 

[DC8-PFE]

As an employee, I can confirm that all is true.

 

[gutshotdraw]

Sorry to hear it DC8. Truly. The second stand-down was pretty much the handwriting on the wall.

Hope all Avantair pilots and staff find new and better employment soon.

Sad.

 

[CALRepublic]

Form 8K posted today for Avantair:
Form 8-K for AVANTAIR, INC

26-Jun-2013

Other Events


Item 8.01 Other Events.
On June 26, 2013, Avantair, Inc. (the "Company") commenced employee furloughs as the Company addresses liquidity issues and seeks alternative financing arrangements that it hopes will enable it to resume operations as quickly and efficiently as possible.

this makes no sense.. are they filling for chapt 7 (liquidation) or Chpt 11 (protection from creditors)???

I'm not sure this fractional can file chapt. 11 with their financial history being what it is and no cash flow? How do you convince someone with deep pockets to back you up in court?

I don't think a judge and their creditors would go for a chapter 11 filing.. my guess is they're done

 

[justreading]

this makes no sense.. are they filling for chapt 7 (liquidation) or Chpt 11 (protection from creditors)???

I'm not sure this fractional can file chapt. 11 with their financial history being what it is and no cash flow? How do you convince someone with deep pockets to back you up in court?

I don't think a judge and their creditors would go for a chapter 11 filing.. my guess is they're done

My hope is this was somewhat pre packaged. I think they are in negotiations with Piaggio Aero (they cannot afford for Avantair to implode) talks broke down and they filed for bankruptcy. This also clears the equity, about $6 million. Let's hope for Piaggio Avanti to come in and put things back together for the pilots and staff (management can spend the next several years defending themselves against fraud allegations).

 

[hrofcr]

As someone who practiced law a LONG time ago, those of you who have been laid off, and will not receive pasy for the last weeks worked, should contact either the Federal or the FL Wage and Hour people, to see if any Fed or FL employment laws have been broken. One other wrinkle that was true 20+ years ago - if Avantair has not paid all the withheld Fed taxes (income and social security), anyone who was a signer on the payroll account can be PERSONALLY liable for the taxes withheld but not paid to the Feds.

We haven't flown with Avantair since before the October stand down - but all the staffers we ever dealt with were lovely people.

And for small, publicly-traded companies like Avantair, management doesn't get rich off their salaries; they make the really big bucks from their stock options. Guess what the stocks currently held by the board members and senior officers are worth now, versus two or three years ago? NADA!