Eclipse Jet LLC Led By Members Of Ad Hoc Customer
Committee
First, there was Eclipse Aviation Corporation; then, when that
company entered Chapter 11 bankruptcy last year, a foreign-backed
entity named EclipseJet Aviation International purported to rescue
the diminutive planemaker from the ashes. That promise proved to be
a spectacular failure... and
Eclipse entered Chapter 7 liquidation last
month.
Now, as the assets of the once-promising Albuquerque, NM-based
manufacturer go out to bid, several entities have made known they
intend to purchase the assets, and at least in some fashion rescue
the brand. A new group, called Eclipse Jet LLC, threw its hat into
the ring last week... and its leaders say they will offer what
competing bids do not.
Eclipse Jet LLC was formed by the leaders of the Ad Hoc Customer
Committee and Steering Committee,
formed in December 2008. Mike Press -- a
retired USAF colonel who took delivery of the fourth production
Eclipse 500, and runs a private company to broker Eclipse
delivery positions -- teamed with position holder and 60 percent
depositor Mason Holland to organize a group of owners and
depositors to bid to acquire the assets of Eclipse, with the
intention of providing both support for existing customers, as well
as restarting production of the Eclipse 500.
Press says he brings 20-years of aircraft manufacturing
experience working for Northrop Grumman and Boeing to he table,
while Holland is a 24-year veteran of private equity acquisition
and founder and Chairman of one of the leading insurance-benefit
software companies in the US.
"Many of the owners are my personal
friends, whom I've introduced to Eclipse and sold them their
aircraft," said Press. "I am responsible for them, and Mason and I
have organized an exceptional team to lead a bid to fulfill my
responsibility to current Eclipse owners and depositors. Mason and
I have been very careful to hand pick a team that brings to bear
industry experience and expertise in the formation and
capitalization of enduring ventures. We believe that our work will
benefit Eclipse owners and depositors in the near and the long
term."
"I have been a depositor with Eclipse and an active member in
the E5C for five years," Holland added. "I see the opportunity
today to both restore the vision of Eclipse and honor the company's
commitments to owners and depositors. Further, based upon my
experience in starting and operating technology companies, I see
the opportunity to reorganize Eclipse as a sustainable company in
the aviation industry."
To date, two other competing bids for the Eclipse assets have
been made public.
Eclipse Services and Support LLC is the name
of the cooperative backed by Linear Air CEO Bill Herp, that intends
to bid on technical and support assets to keep the existing fleet
of 259 Eclipse 500 very-light jets in service. Another plan, backed
by aerospace executive Phil Friedman, intends to purchase all
assets under the auspices of his company
New Eclipse Acquisition LLC, to both provide
support to existing owners and to eventually start producing new
aircraft.
Eclipse Jet says those plans -- as well as other private bid
attempts rumored to be in the works -- "appear to exploit the
predicament faced today by Eclipse owners," by relying on the
captive Eclipse 500 customer market to accept high parts and labor
prices in order to create a solvent enterprise. Furthermore, only
Friedman's bid says anything about restarting Eclipse 500
production.
"The owners need service and support and many of the depositors
still have the dream of flying a jet aircraft. We are going to
fulfill both objectives," says Press. "While we do not want to
compete with the "Co-op" plan, we know the only true way to reduce
Eclipse 500 operating costs is to form a professionally-managed
aviation company that builds long-term, growth relationships with
vendors and suppliers, expanding the Eclipse 500 fleet to generate
key economics of scale.
"We agree with David Green's (leader of the "Co-op" plan)
estimate regarding the value of the assets at $10-20 million, but
we intend to capitalize Eclipse Jet with considerably more capital
to better serve owners and depositors and offer them options the
"Co-op" plan cannot afford," Press concluded.
Eclipse Jet intends to announce the details of its plan
shortly.
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