PHI, Inc. (OTC: PHIIQ; PHIKQ) (“PHI” or the “Company”) announced that the Company and its principal U.S. subsidiaries, including PHI Air Medical, have emerged from Chapter 11 bankruptcy protection, successfully completing the Company’s debt restructuring process and implementing the Chapter 11 reorganization plan confirmed by the U.S. Bankruptcy Court for the Northern District of Texas on July 30, 2019. PHI now believes that it has one of the industry’s leading debt structures and a strengthened balance sheet that positions it for long-term success.
“Our ability to successfully emerge from bankruptcy less than six months after our Chapter 11 filings and strengthen our balance sheet, while maintaining and continuing to expand our safety and service commitments, is a testament to the hard work of our talented employees and the strength of our relationships with our customers and partners,” PHI Chief Executive Officer Lance Bospflug said. “We have now reached all of the key goals that we set for ourselves at the beginning of this process – including a more sustainable debt structure and a stronger balance sheet. However, this milestone is just the beginning of what we plan to achieve moving forward. We have ambitious plans for our Company to support not only our customers and the industries we serve, but also to support our workforce – one of the most highly-skilled and committed workforces in the aviation services industry. We will continue to build on our successes and leadership position as we look to grow, to drive innovation and to better serve our customers for years to come.”
As a result of completing the bankruptcy process, the Company reduced its debt by approximately $500 million, with PHI’s former unsecured creditors now owning 100% of the Company’s equity, subject to dilution in connection with future stock issuances including issuances of incentive equity grants to key personnel and potential issuances of stock to the holders of certain warrants issued to former equity holders. In connection with this process, the Company also closed a $225 million new five-year term loan and received new equity capital from certain of its former unsecured creditors.
Upon closing, Mr. Al A. Gonsoulin retired from the role of Chief Executive Officer and Chairman of the Board of PHI. Mr. Lance Bospflug has transitioned from serving as President and Chief Operating Officer to become PHI’s new Chief Executive Officer and part of the Company’s new Board of Directors.
“I am honored with the responsibility to lead this storied company forward. On behalf of the Board of Directors and the entire PHI team, I want to thank Al Gonsoulin for his many years of dedicated service and important contributions to so many in our business,” Bospflug continued. “PHI has been a leader in aviation and continues to be recognized as being at the forefront of safety and operations globally. We are grateful to Al for all he has done for the industry and PHI, and we wish him all the best in his retirement.”
For additional information on the transactions consummated in connection with the Company’s emergence from bankruptcy, including the installation of a newly-appointed Board of Directors, please see PHI’s Current Report on Form 8-K, which is expected to be filed within the next couple of days, and the documents filed in connection with the bankruptcy process, available at https://cases.primeclerk.com/PHI.
Questions regarding distributions under the Company’s reorganization plan can be directed to the Company’s claims agent, Prime Clerk, at [email protected] or +1 (844) 216-8745.
- Air BP rolls out Airfield Automation digital technology across São Paulo heliports
- Bell Announces Delivery of First Bell 505 to Horizon International Flight Academy
- Frost & Sullivan Presents the Evolving UAM Landscape Up to 2040
- Sikorsky Donates S-76® Airframe
- EASA certifies Safran Aneto-1K in Leonardo AW189K
- New helipad opens at Maidstone Hospital
- CEO of Chinook Helicopters in Abbotsford among nation’s Most Powerful Women
- Southwest Fuel Systems Announces New Triumph Hydromechanical Unit MRO Capability for RR M250 Engines
- Airbus delivers first SAR H145 for German Armed Forces ahead of schedule
- Permali to supply ballistic protection for Royal Navy Commando Merlin fleet
- New app launched for owners to track inspections, maintenance, billing etc
- RYAN AEROSPACE launches HELIMOD Mark III PLUS+ at I/ITSEC
- Elbit helps add Integrated Weapon System to MD530MG
- AMSTAT announces an upgraded Dashboard for AMSTAT Premier and Connect
- Air Evac Lifeteam closes two Arkansas bases
- Horizon purchased Entrol a Bell 505 FTD Level 2 simulator
- Reiser wins Australian Forces contract for MRH90 Maintenance Training Rig
- Major Trauma Centre first in UK to benefit from weather station
- Transformative Vertical Flight 2020 and eVTOL Symposium
- StandardAero and Thales Team on AS350 autopilot