A failed airplane manufacturer has requested that their bankruptcy case be delayed yet again. Commander Premier Aircraft owes more than $800,000 in unpaid hangar lease obligations and is asking for another continuance of the case for debt restructuring purposes.
Trouble In The Air
The Commander Premier Aircraft Corp. has been struggling to reorganize debts and satisfy debt obligations since they filed for bankruptcy. Earlier this week, the company asked a federal bankruptcy judge to continue their hearing and delay the case, for the fourth time since their filing. Still working to resolve their near $1 million in lease obligations to Cape Girardeau Regional Airport, located in Missouri, the company cites potential buyout interest as the reason for the case continuance.
Commander Premier Aircraft says they had a “late entry” in a proposal, which they say could help the company reorganize and avoid case conversion. Originally filed as a Chapter 11 case, the Cape Girardeau city officials are asking the Texas-based U.S. Bankruptcy Court to convert the case into a business Chapter 7 case. Insisting that the company is worth more liquidated than reorganized, debt holders aim to have the company “sell their parts for scrap.” However, Commander officials aren’t giving up just yet as they continue to pursue a buyout option that could include $250,000 cash up front from the investor.