Flight Design In Insolvency

Light Sport manufacturer Flight Design has filed for insolvency in Germany, saying it's run out of cash because a major customer hasn't paid its bill. The company announced the move with a notice on its website on Dec.14. "The insolvency application became necessary because, on the one hand, an international customer has not yet paid undisputed claims in the mid-six-figure range and another payment in the mid-six-figure range was also delayed," the website notice said. Flight Design has aircraft all over the world and is one of the most common Light Sport aircraft in service in the U.S.

Marcello Di Stefano was named the insolvency administrator and appears confident the company can emerge with some short-term financing. “The company’s order situation is good and the products have a very good reputation on the international market, and the outstanding debts are manageable,” said Di Stefano. He said he'll be looking for bridge money while going after the unpaid accounts. "This would make it possible to maintain the Flight Design Group with its EASA Design and Production Organizations and the F-Series and CT-Series aircraft and to finalize the existing orders and hand over the aircraft to the customers.” The company is based in Germany but 70 of its 100 employees are in the Czech Republic.