The Ailing Economy Continues To Plague The Aviation Industry

At this week's GAMA Annual Industry Review & Market Outlook Briefing, it was obvious to everyone in the briefing room that the positive spirit and outlook enjoyed in year's past would not be seen, again, for some time. The economic downturn/collapse/recession/mess is having a harsh affect on the aviation community... from the small-town FBO up through the largest aircraft manufacturers.

After Wednesday's not-unexpected news of the mass furloughs at what's left of Eclipse Aviation, ANN has learned that Cirrus Aircraft is continuing to refine their survival plan to not only deal with the harshness of the economy but to try and maintain a direction for future growth and product development... but it means that a sharp knife has to be used to cut away at anything that 'isn't absolutely necessary right now.'

Cirrus CEO, Brent Wouters, has confirmed directly to ANN that additional layoffs are taking place today on a number of areas at the company. Wouters emphasizes that the cuts are in areas that are currently not required for the levels of piston production needed to meet existing demand, and while some cuts have taken place in the SJ50 jet development side of the business, that the cuts are in staffing that had been supporting the development of the flying prototype and will not be needed to move the program forward to certification in the next few years.

Following his morning appearance, today, on the Fox Business Network, Wouters noted that, "Cirrus is increasing its focus on the jet... and shifting resources from the piston projects into the jet program."

Wouters added that, "Cirrus doesn't need as many technical resources now that the program has shifted from the prototype build and test phase, to the detailed airframe and systems design phase. Resource changes do not impact the jet timeline and progress, and Cirrus is focusing its personnel or financial resources in this economy on the jet program."

Specifics about the number of personnel affected were still being collected as this story was being compiled. ANN expects to have more info shortly...

FMI: www.cirrusaircraft.com, www.foxbusiness.com