Sky King secures DIP financial backing for its reorganization

Sky King, Inc. (Sky King Airlines) (Lakeland) has announced the successful negotiation of Debtor in Possession financing and intends to seek immediate court approval. The private investment consortium providing the financing is represented by Dr. Daniel Carson, an experienced aviation executive and entrepreneur. Sky King and the investment group have not announced plans for the company but are certain the airline will put forth a formal plan of reorganization in the near future. Sky King’s President, Frank Visconti stated: “This is simply the next step in the long process of restructuring and preparing the Company for the future. We are proud of the work we have done and are excited to welcome Dr. Carson and his associates into the process as they bring not only capital but equally important expansion opportunities in new markets.”

Sky King began operating in 1995 under FAR Part 125 and in 2002, the Company was granted Part 121 operating authority by the Federal Aviation Administration. Operating a fleet of Boeing 737 aircraft, the Company serves the Tour Operator, Private Charter and Public Charter markets, serving numerous Casino operators, sports franchises and scheduled flight service providers. One specific market served by Sky King involves over 150 flights per month between the US and Cuba on behalf of several US Treasury Department licensed service providers. Sky King filed for Chapter 11 Bankruptcy protection on August 31st, 2012 after two of Sky King’s largest clients in 2011 and 2012 ceased operations with substantial, unpaid debt to Sky King; these were among several factors ultimately contributing to the Company’s decision to seek Chapter 11 reorganization protection.

Copyright Photo: Brian Mcdonough. Boeing 737-4Q8 N916SK (msn 24706) with rare titles approaches Miami International Airport after finishing a Cuban charter.

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