In Bankruptcy In The News, Blog

Hawker Beechcraft is an international aviation company, which specializes in developing business jets, pistons, and military planes. This company has filed for bankruptcy and is pleading with the court to grant them millions of extra dollars in order to be able to pay their top executives more money in bonuses for the year. They claim that their employees are hardworking and intelligent and deserve to be rewarded for their time and efforts. Hawker Beechcraft claims that in order for their company to rise up out of bankruptcy there is still a lot of work to be done, and by giving the executives bonuses it will ensure that they will continue to work hard during the financially challenging time for the company. Not only was the company seeking $5.3 million on behalf of their executives, but in May when they filed for bankruptcy they were also seeking $1.9 million for 31 other employee bonuses.

Unfortunately for Beechcraft, both the U.S. Justice Department’s bankruptcy agency and machinists unions have stated their disagreements with the Hawker Beechcraft millions of dollars bonus plans. The aviation company claims that the bonuses are for a twofold purpose. First, their employees are already working in order reorganize the company in a way that it would be able to be a private business. Secondly, they are also preparing all that is necessary for the company to be taken over by other if selling it becomes the only option. Not only this, but the executives are required to do all these things as quickly as possible in order to see to it that it can be complete by the end of the year. As of now there are many obstacles in place against this company, and they will need the help of very powerful lawyers to see that their bankruptcy goals are met in this time.