U.S. Bankruptcy CourtWestern District of North Carolina (Wilkesboro)Bankruptcy Petition #: 11-50641 | |
River Hawk Aviation, Inc. |
In a Reuters article dated November 27, 2008 entitled Richard Girouard Joins River Hawk Board , Management forecasted revenues from the Company's existing operating subsidiaries to be approximately $14-$15 million for the upcoming twelve months ending September 2008. Apparently this was a rosy scenario projection when one looks at what has happened over the subsequent 3 1/2 years.
The Hound has detailed the problems associated with the former and current Fixed Based Operators and the subsequent problems partially inherited and otherwise mismanaged by all parties associated with the Hickory Regional Airport. These parties include Hickory City Elected Officials and Administration who have failed to take the bull by the horns and have allowed this problem to fester since at least 2007 and the former and current operators of the airport who have apparently not been working in good faith with City Officials since River Hawk acquired Profile in 2007. The City didn't have a clue of what was happening during that acquisition and in the subsequent time period River Hawk has struggled to meet its financial obligations including those to the City. The City has known the issues and failed to act prior to and since I wrote the following on September 30, 2009 - Mind Blowing - The City's Mismanagement of the Hickory Regional Airport.
During the past two years we have seen more information come to light that shows that River Hawk wasn't going to succeed at the Hickory Airport, but for some reason the City has decided to sit on its hands and let the situation continue to deteriorate. I think it is time that the City answer questions from outside of their constant closed sessions. I don't think those closed sessions meetings related to this issue have occurred except as a method to save face. I think everyone who is honest with themselves has to believe that the deteriorating situation at the airport is an embarrassment.
The lack of a viable airport hurts the economic prospects of Hickory! The lack of a viable airport hurts the the tax base in Hickory! The lack of a viable airport hurts existing and prospective business generation in Hickory!
I would like to ask if our City Officials would operate in the same fashion they have in this situation if they had leased out one of their personal properties for someone else to operate in the same manner that our local airport has been operated in the past several years. I personally don't think they would have tolerated it. Yet, what we see here is a situation very similar to what people gripe about when it comes to higher level politics and governance. If River Hawk would have succeeded, then their profits would have gone to Wall Street investors, but since they have failed our community is the one who has taken the hit. Aviators know of the mismanagement of the Hickory Airport and they have been bypassing it for the last several years. While other airports in the area (Statesville and Lincolnton) have been growing, our airport is dead. Our airport used to be a viable hub for Piedmont Airlines and now there is hardly any activity at all.
We have seen the loss of the viability of our airport become a huge social loss for the community and our City leaders don't seem to care. What we see here is that profits would have been privatized and benefited private parties, such as the current owners of River Hawk (and the former FBO administrator who is now a stakeholder in River Hawk), and the loss has been socialized; because the years that have gone by will probably mean that the Hickory Airport will never be able to recover and will most likely never be a viable Center of Aviation again.
We have seen this same scenario countless times involving multiple issues over the last several years. Where is the accountability? Wake up or kiss it all goodbye!!!
7 comments:
Not to anyone's surprise, I doubt it. I queried the HDR website and the last story I found concerning Riverhawk Aviation was a piece about Profile Aviation from December 2008. So the local paper either doesn't know, doesn't care, or has been instructed to avoid the story since it conveys the 'wrong' image about the area.
The HDR knows about this issue, so they cannot feign ignorance.
Great story James, as a member and former president of a non-profit organization based at the Hickory Airport, we have been trying for over a decade to get things to change there and at city council.
But our ideas and requests have always fallen on deaf ears or have been ignored.
Everyone in our organization wishes the best for the airport but without some real management by those who know and use the airport I am afraid that things will decline even further.
From what I have been understand riverhawk is a liquidation company, they buy lucrative businesses, sell off the assets, pocket the money, file bankruptcy, and move on to the next sucker
Very good article. There is no question that everyone just stood by and watched a bad situation deteriorate to a total disaster. I have personal knowledge of several multi-plane operators who left Hickory for nearby airports. Only one minor correction though, the previous operator of the FBO, formerly Profile Aviation was also "taken to the cleaners" by the Riverhawk boys. This was obviously a horrible experience for all those connected to the FBO especially the dedicated employees who were simply innocent bystanders.
Interesting note..... Richard Girouard went to prison.
RiverHawk is most definitely a predatory company. This is not the first time that they have taken over a company, sucked it dry, then filed bankruptcy only to move on to the next victim. They do not honor their debts, but expect those with debts owed to them to "settle up quickly." Poor business practices across the board. The airport is a crucial business in this area, and has the potential to really help Hickory and the surrounding area financially, if only it were in the right hands. Students who do their flight training at Hickory Regional are feeling the hurt too. Some are scared to hand their hard-earned money over to a company who is mismanaging funds and can't stay afloat. Upcoming pilots are crucial, considering that we are about to see mass-retirement of airline pilots. It is a sad situation and I hope they get it resolved quickly, and get a trustworthy company in to take over the FBO.
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