Recent Accidents/Lawsuits Blamed For Troubled Future for Turbo-Prop Kit Hotrod Manufacturer

The folks at Evolution Aircraft are not answering phones right now and after several weeks of unpleasant news and rumors, it appears that Evolution Aircraft may be in trouble. Possibly, permanent trouble.

A number of Evolution customers reported concerns after recent communications from the factory admitted to issues with the business.

In early October Evolution admitted to layoffs and other issues... "Tuesday afternoon October 3, 2017, we had to lay-off 22 full-time employees out of 49 total," noted CEO Bob Wolstenholme, who resumed management of the company following the departure of Kevin Eldridge.

The company has had more than its share of difficulties of late... there have been five serious accidents in the last two years, despite what appears to be a well-crafted design that seems to have been built to a fairly high standard. A recent accident, one with fairly high visibility has already spawned the obligatory lawsuit and created issues with their insurability.

In his communications Wolstenholme disclosed a host of concerns... "Up until recently, I believed the improvements we have achieved in both the product and the marketing were enough to keep us going. However, several recent incidents out of our control created a bit of a crisis for our company. These include the market for aircraft insurance and delays in deliveries of some redesigned high value-added components. This caused me to question our ability to sustain the sales volume necessary to support us for the long-term with recent staff size."

As a result of these concerns, some recent sales reversals, and other issues, Wolstenholme admitted that the company was going to have to retrench... "Rather than expend all our resources hoping sales will come in time, we decided the best course of action was to “right-size” our workforce to what is needed to complete the work we already have until I can secure adequate investment to move forward. As you might imagine, I have been and am continuing to work with a number of investors to re-capitalize the business."

At this point, the company is not answering phones or emails, and its future is cloudy. While a cash infusion may be helpful in the short term, the company is going to have to deal with supplier issues, the accident rate  and the resultant legal insurance issues that have transpired. We'll keep you informed as info becomes available. 

FYI -- this current state of affairs affects only the Evolution Aircraft operation and NOT Lancair International that served as the foundation for the Evolution effort but has since been sold off and has undertaken operations in Uvalde, TX. 

FMI: www.evolutionaircraft.com