Eclipse Aerospace assumes ownership of Eclipse Aviation

With no last-minute bids emerging for the assets of Eclipse Aviation, a federal bankruptcy judge in Albuquerque approved the $40 million offer from Eclipse Aerospace for the assets of the pioneering builder of the Eclipse 500 very light jet. Eclipse entered Chapter 11 bankruptcy proceedings in November last year, which was subsequently modified to Chapter 7 in February 2009.

According to Mason Holland, president and CEO of Eclipse Aerospace, the new firm has begun taking on staff hiring about 15 engineers, managers and other staff.

The new company was established on 9 May and began offering services and modifications on the Eclipse 500 from 1 June. According to Holland, operations at the Albuquerque facility will begin next month.

Holland has emphasised that the company's first order of business is to get parts flowing to owners, followed by performing modifications and upgrades to existing airplanes.

There are 259 Eclipse 500s in existence, some of which are grounded for parts, whilst all need upgrades. The upgrades will have to be paid for by owners.

Next phase of operations will involve buying airplanes which will be refurbished and resold ''like new and with a limited warranty.''