Over 300 Throughout Company Will Be Let Go

In response to the ailing economy and credit crisis -- "as well as political and media grandstanding against the business aviation industry" -- this week Duncan Aviation implemented a reduction in its nationwide work force, the first in its 53-year history. ANN first reported on the impending layoffs early Monday.

The reduction in force affects nearly every single department at Duncan Aviation and impacts 304 positions, including 170 at its Lincoln, NE facility; 122 at its Battle Creek and Kalamazoo, MI locations; and 12 in the company’s nationwide network of smaller satellite avionics and engine locations throughout the United States. Affected workers were told of the news Monday afternoon.

"It has been a tough, emotional time for everyone with connections to Duncan Aviation," said company Chairman Todd Duncan. "We have always been proud of being able to weather tough times with our work force intact. This recession, however, has been drastically different for our industry from any other recession we have seen. The sharp decline in flying by companies that own business aircraft combined with global business closings, reductions in spending and political grandstanding against our very livelihoods has created an environment that has left us no choice but to downsize."

Duncan states senior managers at the company have spent the last two months looking hard at declining business projections, areas to cut costs and even implementing reduced hours and wage cuts from 5-25% for team members companywide in an effort to hold layoffs at bay.

It quickly became apparent, however, that the industry has been severely affected and will be significantly down for most if not all of 2009, leaving Duncan Aviation no choice but to "right-size" our employee base with anticipated work levels, Duncan continues.

"From the moment we made the decision to move forward with layoffs, we have been very mindful about conducting them in the most respectful and dignified way possible. We want to help those employees have a successful transition out of the company and hope that, one day, we will be able to hire them back with Duncan Aviation," said company President Aaron Hilkemann.

Contradicting earlier reports, Hilkemann added the company has not altered its planned expansion into Provo, UT "at this time."

FMI: www.duncanaviation.aero