Any takers? any roumors?
http://news.businessweek.com/article.asp?documentKey=1376-LDHOWR0YHQ0Y01-1PV4GSBQ08KF32SR1GA1P88S64
Gulfstream Airlines Headed for Jan. 4 Auction
Whether airline owner Gulfstream International Group Inc. continues flying beyond the first week of January will depend on the outcome of a Jan. 4 auction for the parent of Gulfstream International Airlines Inc.
Yesterday, the bankruptcy judge in Fort Lauderdale, Florida, approved procedures whereby bids for the airline are due on Jan. 3, in advance of a Jan. 4 auction and a hearing on Jan. 5 to approve the sale.
Absent a buyer, Gulfstream will be in default under an agreement with aircraft owner Raytheon Aircraft Credit. Default would allow Raytheon to repossess the 21 aircraft it provides.
Gulfstream is working on an agreement to sell the airline to Chicago-based Victory Park Capital Advisors LLC, the provider of financing for the Chapter 11 case. Any deal to buy the airline must be acceptable to Waltham, Massachusetts-based Raytheon.
Gulfstream said it won't accept an offer to purchase only the operating certificate. If a buyer intends to run the business as an airline, it would presumably be required to confirm a Chapter 11 plan to avoid the need for seeking a new operating certificate from the Federal Aviation Administration.
A buyer is eligible to take advantage of an offer from Raytheon to sell the aircraft at a specified price. The price isn't being made public. Gulfstream said it doesn't have enough funding to continue operating in Chapter 11 absent a quick sale.
Gulfstream filed for Chapter 11 reorganization on Nov. 4 in Fort Lauderdale, where it is based.
Gulfstream had assets of $13.6 million and $26 million in total liabilities on the June 30 balance sheet. Revenue of $46.3 million for the first half of 2010 resulted in a $1.6 million operating loss and a $2.8 million net loss. Revenue in 2009 was $87.3 million.
On entering Chapter 11, Gulfstream had 23 turboprop aircraft seating 19 passengers each. The company at the outset had more than 150 daily flights from Florida, the Bahamas and Ohio. Gulfstream operates under code-sharing arrangements with Continental Airlines Inc., UAL Corp.'s United Airlines and Copa Airlines.
The case is In re Gulfstream International Group Inc., 10-44131, U.S. Bankruptcy Court, Southern District of Florida (Fort Lauderdale).
http://news.businessweek.com/article.asp?documentKey=1376-LDHOWR0YHQ0Y01-1PV4GSBQ08KF32SR1GA1P88S64
Gulfstream Airlines Headed for Jan. 4 Auction
Whether airline owner Gulfstream International Group Inc. continues flying beyond the first week of January will depend on the outcome of a Jan. 4 auction for the parent of Gulfstream International Airlines Inc.
Yesterday, the bankruptcy judge in Fort Lauderdale, Florida, approved procedures whereby bids for the airline are due on Jan. 3, in advance of a Jan. 4 auction and a hearing on Jan. 5 to approve the sale.
Absent a buyer, Gulfstream will be in default under an agreement with aircraft owner Raytheon Aircraft Credit. Default would allow Raytheon to repossess the 21 aircraft it provides.
Gulfstream is working on an agreement to sell the airline to Chicago-based Victory Park Capital Advisors LLC, the provider of financing for the Chapter 11 case. Any deal to buy the airline must be acceptable to Waltham, Massachusetts-based Raytheon.
Gulfstream said it won't accept an offer to purchase only the operating certificate. If a buyer intends to run the business as an airline, it would presumably be required to confirm a Chapter 11 plan to avoid the need for seeking a new operating certificate from the Federal Aviation Administration.
A buyer is eligible to take advantage of an offer from Raytheon to sell the aircraft at a specified price. The price isn't being made public. Gulfstream said it doesn't have enough funding to continue operating in Chapter 11 absent a quick sale.
Gulfstream filed for Chapter 11 reorganization on Nov. 4 in Fort Lauderdale, where it is based.
Gulfstream had assets of $13.6 million and $26 million in total liabilities on the June 30 balance sheet. Revenue of $46.3 million for the first half of 2010 resulted in a $1.6 million operating loss and a $2.8 million net loss. Revenue in 2009 was $87.3 million.
On entering Chapter 11, Gulfstream had 23 turboprop aircraft seating 19 passengers each. The company at the outset had more than 150 daily flights from Florida, the Bahamas and Ohio. Gulfstream operates under code-sharing arrangements with Continental Airlines Inc., UAL Corp.'s United Airlines and Copa Airlines.
The case is In re Gulfstream International Group Inc., 10-44131, U.S. Bankruptcy Court, Southern District of Florida (Fort Lauderdale).
