Hawker Beechcraft
Bought from Raytheon for $3.3 billion on borrowed money just before the 2008 crash, Hawker Beechcraft shed thousands of jobs, failed to sell itself to China and walked out of bankruptcy without its jets.
Hawker Beechcraft: the company and the aircraft that made its name
A $3.3 billion leveraged bet
In March 2007 Raytheon completed the sale of its aircraft business to Goldman Sachs and Onex for $3.3 billion. The new Hawker Beechcraft Corporation inherited two proud lines: Beechcraft, whose Bonanza had been in production for 60 years, and the Hawker jets descended from the de Havilland and BAe 125. It also inherited a heavy load of debt, just as the business-jet market was about to fall off a cliff.
Crash and Chapter 11
By the end of 2009 about 3,553 jobs, 36 per cent of the workforce, had gone; quarterly deliveries fell from 129 to 78, and NetJets cancelled 12 aircraft. With $2.3 billion of debt, the company missed interest payments in spring 2012 and filed for Chapter 11 on 3 May 2012. A $1.79 billion sale to Superior Aviation Beijing was agreed in July, then collapsed in October, partly because the defence business, builder of the T-6 Texan II, proved hard to untangle.
Beechcraft without the Hawker
So Hawker Beechcraft reorganised itself. It stopped building jets, abandoned the Hawker 200 and Premier II, and on 19 February 2013 emerged as Beechcraft Corporation, focused on King Airs, Bonanzas, Barons and the T-6. Textron Aviation bought it in 2014.
Hawker Beechcraft in numbers
The company
- In short
- Founded 2007
- Formed when Goldman Sachs and Onex bought Raytheon Aircraft for $3.3 billion
- Headquarters Wichita, Kansas
- Chapter 11 filing 3 May 2012
- Emerged as Beechcraft Corporation, 19 February 2013
Production
- Best known for
- King Air, Hawker 800XP/900XP
- Beechcraft Bonanza, Baron, King Air, 1900
- Hawker 400XP, 750, 850XP, 900XP, 4000
- Premier I light jet
- T-6 Texan II and AT-6 for the military
Today
- Now
- Merged into Beechcraft / Textron Aviation
- Jet production ended 2013
- Beechcraft brand under Textron Aviation since 2014
The numbers
- Purchase price from Raytheon
- US$3.3 billion2007
- Job cuts Oct 2008 – Sept 2009
- 3,553 (about 36% of workforce)
- Debt
- US$2.3 billion2012
- Quarterly deliveries
- 129 (Q2 2008) to 78 (Q2 2009)
- Failed sale price to Superior Aviation Beijing
- US$1.79 billion2012
Every notable Hawker Beechcraft aircraft
Photos: U.S. Air Force · public domain
| Aircraft | Role | First flight | Built | Status | Note |
|---|---|---|---|---|---|
| Hawker 750 / 850XP / 900XP | Midsize business jet | In service | Descendants of the de Havilland / BAe 125 | ||
| Hawker 4000 | Super-midsize business jet | In service | Composite fuselage; 20 sold off at discount in bankruptcy | ||
| Hawker 400XP | Light business jet | In service | |||
| Beechcraft Premier I | Light business jet | In service | Premier II development halted | ||
| Beechcraft King Air | Twin turboprop | In production | Continued by Beechcraft and Textron Aviation | ||
| Beechcraft T-6 Texan II | Military trainer | In production | Built by Hawker Beechcraft Defense Co. |
Hawker Beechcraft aircraft in the world’s air forces
2 air forces in the Order of Battle fly or flew Hawker Beechcraft types. 2 of them still have one in service.
| Air force | In service | Formerly flown |
|---|---|---|
| Mozambique Air Force | Hawker 850XP | |
| Pakistan Naval Air Arm | Hawker 850XP |
Where Hawker Beechcraft built, who led it, what it achieved
Factories
- Wichita · Wichita, Kansas — Headquarters and main plant
- Chihuahua · Chihuahua, Mexico — Opened 25 October 2007
- Little Rock · Little Rock, Arkansas — Hawker completion centre; service facility closed 2012
- Chester · Chester, United Kingdom
- Salina · Salina, Kansas
People
- Jim Schuster · CEO — Led the 2009 lay-offs
- Bill Boisture · CEO, later chairman — CEO again of the new Beechcraft Corporation, 2013
- Steve Miller · CEO from February 2012 — Turnaround specialist
Hawker Beechcraft, year by year
Raytheon merges Beech and Raytheon Corporate Jets into Raytheon Aircraft
Raytheon announces sale of its aircraft business
Sale to Goldman Sachs and Onex closes; Hawker Beechcraft formed
Chihuahua, Mexico, plant opens
2,300 further lay-offs announced
Kansas incentive deal to keep Wichita jobs
Chapter 11 filing
Superior Aviation Beijing offer accepted
Sale to Superior collapses; jets to be dropped
Emerges as Beechcraft Corporation
Beechcraft acquired by Textron Aviation
Everything people ask about Hawker Beechcraft
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