Gemini to file chapter 7

[Midnight Flyer]

Sorry to hear this guys. I know the cp over there.
Seemed to be a top notch operation.

When is all this going to end!?!?!

 

[Draginass]

Is it an orderly shutdown, or did management just pull the plug, take the phones off the hook, and leave town with the money?

 

[Colonel Savage]

...or did management just pull the plug, take the phones off the hook, and leave town with the money?

Bingo!

 

[Plunder Hound]

Very sorry to hear this fellas. Enjoyed hangin with the Gemini folks in Miami.

 

[On Your Six]

Wow - that's terrible news. Sorry to hear that. For those of you who want to keep some of those happy memories alive and relive your experience and type of flying (if that is possible), here's one way:

http://www.worldairroutes.com/Gemini.html

You'll probably recognize some of those Gemini pilots on the video too.

Good luck!

 

[tjsatter]

It gets better. The following is quoted (without permission, but thanks fedora from another message board:

quote on:

Nico's answer is pretty much it. I understood that the issues they couldn't resolve had to do with the GE leasing company wanting their planes back because they were not asked in advance for approval to transfer the leases to the new owners. It really sounds like someone dropped the ball on that one. My one fear was that the Gemini gents weren't smart enough to put this thing together. The second thing was the DOT approval. They thought that they had things smoothed out with the DOT. The Union MEC had already discovered that Gemini had not filed any of their DOT quarterly financial reports since the last quarter of 06. (no reason given by management - only comment was Huh? What quarterly reports?) Perhaps the new buyers discovered this as well and were concerned about getting approval by the DOT. It was discovered that it mike take months, and not just the few days that Gemini figured on. In the meantime, the company would need cash to continue to operate, something like 13 million dollars. the new buyers were willing to put it up but wanted a money back guarantee. If the DOT approval didn't go though, they wanted their money back. Well, we know Gemini doesn't want to give anybody any money for anything - so the deal fell though. Those meatheads deserve to be out on the streets as well, with resumes claiming to have driven a company through two bankruptcies into failure.
We all made some great friends here at Gemini, so lets continue to help each other out and try to remember the good times and not the bad.

end quote

tj

 

[B747FR8DAWG]

News article

Laurus wins Gemini Air Cargo
by John Blakeley Posted 05:33 EST, 14, Aug 2008

A Delaware judge on Thursday, Aug. 14, approved Laurus Master Fund Ltd.'s acquisition of bankrupt Gemini Air Cargo Inc.

Laurus won substantially all of Gemini's assets with a $15 million credit bid. Its victory was assured when no other qualified bidders emerged to acquire the twice-bankrupt air cargo carrier prior to a scheduled Aug. 12 auction. Judge A. Jay Cristol of the U.S. Bankruptcy Court for the Southern District of Florida in Miami approved the sale in an Aug. 14 order.
At the time of Gemini's June 18 Chapter 11 filing, Laurus was owed about $21 million on a prepetition term loan and $2.5 million on a prepetition revolver, secured by a first-priority blanket lien on all of the company's assets.

The New York hedge fund also provided a debtor-in-possession loan of up to $13.7 million. Terms of the DIP required Gemini to pursue a fast-paced liquidation process: The debtor had to reach an agreement to sell its assets by Aug. 13.
The sale to Laurus will close three business days after Thursday's order approving the transaction, court documents show.

Calls to debtor counsel Paul Steven Singerman of Berger Singerman PA were forwarded to Gemini spokesman Don Creston, who did not return calls on Thursday.
Battered by high fuel prices and a slowing economy, Dulles, Va.-based Gemini and three affiliates filed for Chapter 11 protection in Delaware on June 18.

The company also lamented a significant decrease in its "extremely profitable" Air Mobility Command business beginning in October. Gemini provides transportation for troops under contract with the U.S. Department of Defense but has seen a downturn in the business since switching contract teams in October 2007, according to court filings.

Gemini's second bankruptcy in just 22 months came on the heels of a $21.2 million loss on nearly $138.9 million in revenue in 2007. The company's sluggish pace continued this year with a first-quarter loss of almost $7 million on revenue of about $32.5 million.
The airline first filed for Chapter 11 on March 15, 2006, after maintenance-related problems that began in 2005 eventually led to canceled contracts and declining demand, prompting the need for a restructuring.

Gemini emerged from the first bankruptcy on Aug. 14, 2006, under the control of investment firms H.I.G. Capital LLC and affiliate Bayside Capital Inc.
Though it slashed roughly $50 million in long-term debt from its balance sheet during its first bankruptcy, Gemini was unable to bring costs low enough to prepare it for the current fuel price spikes.

Gemini tapped the Seabury Group LLC to market its assets during the latest bankruptcy.

 

[DA-20]

They lost the A.M.C. business beause they owed the Govt. over 2 Mil. in unpaid fuel bills.

 

[fokkers&beer]

I thought the fuel was included in those AMC contracts, but knowing Gemini they were probably getting the Gov to put on Ballast fuel on their tab.

 

[PreContact]

So the MD-11 crews get fast-tracked to the bottom of World's seniority list. What about the more senior DC10 folks?