Middle East Financial Firm Antes Up

There's good news and bad news at Liberty Aircraft. The good news is that struggling Liberty Aerospace says that Kuwait Finance House in Bahrain has agreed to buy up 75% of the stock in Liberty's parent company. The bad news is that Liberty says its management and staff will remain unchanged (which we understand has been in quite some disarray and sorely lacking in credibility after years of broken promises).

KFH Bahrain, General Manager Mr. Abdulhakeem Alkhayyat said, "Liberty's healthy order book and their step-by-step fulfillment of their business plan convinced us that Liberty represents the right investment for KFH Bahrain and its investors."

In a statement to ANN, Liberty said Kuwait Finance House has a robust financial position with balance sheet assets in excess of US$11 billion, is rated A2 by Moody's and has a strong track record of investment, including a US$800 million investment in the aviation sector through its Millennium Aircraft Leasing Company which owns and leases commercial airliners to major international airlines.

Regarding the timing of the investment, Tiarks said, "Liberty's strategy has been to first complete the FAR Part 23 Type Certification of our remarkable aircraft and then to identify a global financial partner that will allow us to roll out our business plan with strength and confidence. The history, commitment and global positioning of Kuwait Finance House, Bahrain, is absolutely ideal, allowing Liberty to bring its XL2 aircraft to the international marketplace, and to support it for many years to come."

The Liberty XL2 is the first all-new two-seat aircraft to receive full US certification in the past 30 years.

FMI: www.libertyaircraft.com