Enstrom’s biggest problem was Enstrom. They always wanted to be elite hand made toys, at least the last twenty years. The Turbines sold well to foreign governments because they gave such a good warranty. They would be totaled before the foreign government had to really work on them themselves. The foreigners are really hard on equipment.
When the old CEO retired, there was no one to keep the hands out of the Chinese cookie jar. He retired for different reasons but he could say no to the Chinese; they didn’t like it but respected it. After he left, They were cash flush, but use to being poor, as a company, the departments spent money on gadgets and gizmos that were not going to make them money. Then the rotor head AD hit which the FAA ripped off the owners. They did a two face deal. It really hurt the older helicopters because they had to spend a good chunk to keep them serviceable or be worthless. They had projects that were under control and then money wasted on them. The Chinese thought money would solve all problems too and kept giving it to them.
The production certificate is like your pilots license; it’s a license to produce. If you loose it all the way, you have to start over. The bankruptcy judge will know this and entertain the offers to keep it together. They are going whole hog with chapter 7. That’s the only way to get rid of the Chinese, but is also the most dangerous because it all can be broken up. If they had gone 11, the owners and union can hold it hostage, because it can’t be broken up; there would be no way to shake the debt. I know last year there was someone who offered to buy it at asking price, but the Chinese wanted to raise it after setting the hook. They said no way to playing games and backed out. What will happen, I don’t know.
EAB Enstrom? F Lee Bailey( name drop, only time I met him)told me he tried to buy one in parts to build one, but they wouldn’t sell it to him. He owned the company during the 70s. There is already a Sikorsky S-52 homebuilt. No barn burner seller.
Helicopter Manufacturer | Vertical Aviation Technologies, Inc. | Sanford
Helicopters are great tools but are expensive tools. Some people have expensive tools at home because they can. They always expect to get something out of them when they get rid of them. A homebuilt helicopter can’t go to work which is 90 of all helicopters. Value for a homebuilt helicopter is lower than an airplane for the amount of work and cost because the buying audience is so small.
