One Aviation

The One Aviation Corporation, stylized as ONE Aviation, is a company that was formed in 2015 to merge the aircraft manufacturers Eclipse Aerospace and Kestrel Aircraft. The company has its headquarters in Albuquerque, New Mexico, United States.

One Aviation
TypePrivate
IndustryAerospace
Founded2015
Headquarters
Albuquerque, New Mexico
,
United States
Key people
Alan Klapmeier (CEO)
Steve Serfling (COO)[1]
ProductsEclipse 550, Kestrel K-350
OwnerCitiking International
DivisionsEclipse Aerospace and Kestrel Aircraft
Websitewww.oneaviation.aero
Eclipse 550 twin engine VLJ
Kestrel K-350 single-engine turboprop aircraft

One Aviation produced the Eclipse 550 very light jet from 2015–2018, and is currently developing the Eclipse 700. It was developing the Kestrel K-350 turboprop aircraft but suspended the design in 2017 due to financial and legal challenges.

In October 2018, One Aviation filed for Chapter 11 Bankruptcy while it underwent operational restructuring. A Chinese company, Citiking International, acquired the company from bankruptcy to support its subsequent operations. The acquisition was cleared on March 9, 2020.

Organization

Alan Klapmeier, the former CEO of Kestrel, and before that, Cirrus Aircraft, was named as the first CEO of One Aviation, with former Eclipse Aerospace CEO Mason Holland as Chairman.[2][3]

The new company initially produced the Eclipse 550, which had been in production at Eclipse Aerospace, and intends to complete certification of the Kestrel K-350.[4] The company has a unified management and business operation along with a single supply system and marketing and sales team, but the two previous manufacturing lines continue at their current locations: Albuquerque, New Mexico and Chicago, Illinois for the Eclipse, and Superior, Wisconsin and Brunswick, Maine for the Kestrel.[4]

History

The merger of Eclipse and Kestrel to form the new company was announced on 15 April 2015 at the AERO Friedrichshafen aviation trade show.[4][5]

In 2016, One Aviation announced that it was devoting its resources to developing an improved version of the Eclipse 550, the Eclipse 700. The company suspended the Kestrel K-350 project and in March 2017 announced that it would phase out Eclipse 550 production, to concentrate on the EA700.[6] The first testbed for the aircraft's new wing was flown in September 2017, mounted on an existing Eclipse 500 fuselage.[7]

In October 2017 the state of Wisconsin announced that it would commence legal action against the Kestrel Aircraft division of One Aviation for failure to repay US$4M in loans, plus more in tax benefits, given to the company since 2012 to develop the K-350. Kestrel has repaid $865,490 of the $4M but has missed all payments since November 2016.[8] $20 million of state-backed tax credits were tied to the creation of 600 jobs for production, but one-tenth were hired and $700,000 were credited. Kestrel received $9 million of federal tax credits instead of $90 million. The state is seeking $3.6 million as of April 2018.[6]

Also in October 2017, the company was evicted from its Brunswick facility after falling more than a year behind on rent[8] and laid off workers at all four locations, a move it said was part of transitioning production from the EA550 to the EA700. One Aviation is currently seeking external partnerships and investment.[9]

On April 26, 2018, The City of Albuquerque ordered One Aviation and Eclipse Aerospace to vacate leased properties at Albuquerque International Sunport or to reimburse $895,000 in back rent by May 8, secured by an Eclipse 500 prototype, currently serving as the Eclipse 700 wing testbed.[10]

On May 8, 2018, One Aviation paid $162,000 and requested a financial agreement through its restructuring but on May 16, the city refused and served a notice of eviction. One Aviation promised immediate payment of the remaining $790,000, to leave its paint and production facilities, and to continue operations from a remaining hangar. The company indicated that new investors should stabilize its core business: maintenance, upgrades, and parts to the current fleet of 286 airplanes, then grow it by restarting production of the EA550 and develop the EA700.[11] At the end of May 2018, Citiking International US, incorporated in Delaware seven months prior, settled all back rent with $1,081,657 paid to the city.[12]

On October 10, 2018, One Aviation announced it had voluntarily filed for Chapter 11 bankruptcy. The company secured financing to carry on normal operations while it restructures, including support for the existing Eclipse 500/550 fleet and development of the Eclipse 700. The company did not respond to aviation media requests for whether it will continue development of the Kestrel or not.[13][14]

One Aviation did not deliver any aircraft in 2018 or 2019, and had debts of nearly $200 million. A Chinese group, an investor in the company since October 2017, stepped in through Citiking International, after the Chapter 11 filing. One Aviation had orders for 15 aircraft and was planning to deliver up to 50 a year by 2024. Its reorganization includes a post-Chapter 11 debt facility of $17 million.[15] On March 9, 2020, the acquisition was cleared by the Committee on Foreign Investment in the United States of the United States Department of the Treasury for Citiking International to become the new owner of the company.[16][17]

On October 22, 2020 it was announced that Citiking was "ousted from the sale process" and that an American-based company, AML Global Eclipse LLC, owned by Briton Christopher Harborne, intends to purchase the assets of Eclipse Aerospace for $5.25M, including the Eclipse Aircraft project.[18][19][20] The court hearing for the sale is set for November 2020, with objections from Citiking International US being heard.[19][20] The Kestrel division of the company was not included in the bid.[20]

By the time its assets were up for sale in October 2020, Eclipse Aerospace and One Aviation combined had completed and sold a total of 33 aircraft, all of them Eclipse 550 models.[21]

Aircraft
Model name First flight Number built Type
Eclipse 700 (Project Canada) September 2017 1 prototype wing design Six seat, twin-engine jet
Eclipse 550 March 2013 33 as of 2020 Six seat, twin-engine jet
Kestrel K-350 July 2006 1 proof-of-concept as of 2015 Six seat, single-engine turboprop

References
  1. ONE Aviation (2020). "Leadership". oneaviation.aero. Archived from the original on June 24, 2020. Retrieved October 26, 2020.
  2. Haines, Thomas B. (April 15, 2015). "Eclipse, Kestrel Merge to Form ONE". AOPA. Archived from the original on September 8, 2019. Retrieved May 21, 2015.
  3. "Eclipse and Kestrel unite to form ONE Aviation". General Aviation News. April 15, 2015. Archived from the original on March 28, 2019. Retrieved May 21, 2015.
  4. Bergqvist, Pia (April 16, 2015). "Eclipse and Kestrel Join as ONE Aviation". Flying. Archived from the original on October 26, 2020. Retrieved April 18, 2015.
  5. Grady, Mary (April 15, 2015). "Kestrel And Eclipse Join Forces". AVweb. Archived from the original on October 26, 2020. Retrieved April 17, 2015.
  6. Mark Huber and Rob Finfrock (April 12, 2018). "One Aviation Braces as Wisconsin Prepares Kestrel Suit". AIN. Archived from the original on July 11, 2018.
  7. Rob Finfrock (September 5, 2017). "Eclipse 700 Testbed Takes Flight". AIN. Archived from the original on September 27, 2018.
  8. Grady, Mary (October 12, 2017). "Kestrel Stalls In Wisconsin, Maine". AVweb. Archived from the original on October 26, 2020. Retrieved October 13, 2017.
  9. Grady, Mary (October 24, 2017). "One Aviation Lays Off Staff". AVweb. Archived from the original on October 26, 2020. Retrieved October 26, 2017.
  10. Rob Finfrock (May 3, 2018). "City of Albuquerque Serves Eviction Notice to One Aviation". AIN online. Archived from the original on September 10, 2018.
  11. Rob Finfrock (May 17, 2018). "One Aviation Makes Appeal To Stay at ABQ". AIN online. Archived from the original on June 4, 2020.
  12. Rob Finfrock (June 14, 2018). "Eclipse Reaches Settlement To Continue Operating at ABQ". AIN online. Archived from the original on June 4, 2020.
  13. Rob Finfrock (October 10, 2018). "One Aviation Enters Chapter 11 Restructuring". AIN online. Archived from the original on June 4, 2020.
  14. Grady, Mary (October 10, 2018). "One Aviation Files Chapter 11 Bankruptcy". AVweb. Archived from the original on October 26, 2020. Retrieved October 12, 2018.
  15. Molly McMillin and John Morris (October 15, 2018). "Chinese Investor Rescues Eclipse, to Buy Company". Aviation Week Network. Archived from the original on October 26, 2020.CS1 maint: uses authors parameter (link)
  16. "US Clears Bankrupt One Aviation For Foreign Acquisition". AOPA. March 12, 2020. Archived from the original on June 10, 2020.
  17. "ONE Aviation Clears CFIUS Review for Acquisition by Citiking International US LLC" (Press release). Paul Hastings LLP. March 9, 2020. Archived from the original on August 8, 2020.
  18. "AML Global Eclipse LLC to purchase the Eclipse Aircraft project". October 22, 2020. Archived from the original on October 26, 2020. Retrieved October 23, 2020.
  19. "AML Global Seeks To Buy Eclipse Aero Assets for $5.25M". Aviation International News. October 22, 2020. Archived from the original on October 24, 2020. Retrieved October 23, 2020.
  20. Niles, Russ (October 25, 2020). "Eclipse Assets May Be Sold For $5.25 Million". AVweb. Archived from the original on October 26, 2020. Retrieved October 26, 2020.
  21. Bertorelli, Paul (October 29, 2020). "Eclipse: Yet Another Resurrection". AvWeb. Archived from the original on October 30, 2020. Retrieved October 30, 2020.
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