Hawker Hires Bankruptcy, Restructuring Lawyers

Steve Miller, the company's new CEO, said on Tuesday that he doesn't expect to file for restructuring

Source The Wichita Eagle, Kan.

Feb. 9, 2012

2 min read

Feb. 09--A Wall Street Journal blog is reporting that Hawker Beechcraft Corp. has hired bankruptcy and restructuring lawyers, according to people familiar with the matter, it said.

Hawker has hired Kirkland & Ellis LLP, a law firm that has advised on large bankruptcies, such as United Airlines, and restructurings, such as Keystone Automotive, the Wall Street Journal said.

"Kirkland's hiring doesn't necessarily mean Hawker plans to file for bankruptcy protection or that any other restructuring is imminent," the report said.

Hawker Beechcraft spokeswoman Nicole Alexander declined comment Wednesday on the report.

Steve Miller, the company's new CEO, told The Eagle on Tuesday that he doesn't expect to file for restructuring. His charge, he said, is to get through the company's financial troubles "without even having to think about a Chapter 11 filing. That's my assignment to myself and the assignment the board had given me, (to) go figure this out."

Miller, a restructuring specialist, joined the company Tuesday.

Lenders have been watching the company closely as Hawker Beechcraft has worked to avoid breaching financial covenants on its debt with lenders. It has been close to violating those loan terms during a protracted downturn in the general aviation market. The company is currently in compliance, Alexander said Tuesday.

In December, the company hired financial advisor Perella Weinberg Partners.

Reach Molly McMillin at 316-269-6708 or [email protected]