SkyStar Aircraft Corp., manufacturer of the popular Kitfox aircraft kit, filed for bankruptcy Oct. 14. According to Skystar’s attorney, David Kras, the kit maker had been struggling financially since Sept. 11, 2001. “The doors are locked and the bankruptcy trustee has the key,” he said, adding it would be at least 90 days before the case arrived in court due to a backlog of bankruptcy filings in Idaho.
According to the court documents, the company’s assets total $1.1 million, while liabilities are $1.7 million.
The future of the company is anyone’s guess, he added. “It is cold comfort, but there is a possibility that people who have ordered parts may get a pay out or they may be able to deal in the future with a company that is smaller, leaner and better structured,” Kras said. “Eventually a better company may come from the ashes.”