Key Developments: Erickson Air-Crane Inc (EAC.W)
20.81USD
18 Jun 2013
$0.94 (+4.73%)
$19.87
$20.81
$20.81
$20.81
200
216
$29.13
$5.43
Latest Key Developments (Source: Significant Developments)
Levi & Korsinsky Announces Investigation into Possible Breaches of Fiduciary Duty by Board & the Majority Shareholder of Erickson Air-Crane Inc
Levi & Korsinsky announced that it is investigating the Board of Directors and the majority shareholder of Erickson Air-Crane Inc for possible breaches of fiduciary duty and other violations of state law in connection with the purchase of Evergreen Helicopters, Inc. (Evergreen). Full Article
Erickson Air-Crane Inc Announces Contract Extension With Fluor
Erickson Air-Crane Inc announced that it has received an annual option year subcontract extension for its work with Fluor Corporation, a engineering, procurement, construction, maintenance, and project management services contractor. The award was made to Evergreen Helicopters ("EHI"), a recently acquired and now wholly owned subsidiary of Erickson, which will continue to provide multiple rotary wing aircraft for both cargo and transport mission requirements in support of deployed forces in Afghanistan, as well as for reconstruction activity. The total value of the contract renewal is in excess of $100 million; the Company noted the prime contract which this award supports derives its funding from portions of the Defense budget not subject to sequestration. Full Article
Lifshitz Law Firm Announces Investigation Of Erickson Air-Crane Inc
Lifshitz Law Firm announced an investigation into possible breaches of fiduciary duty in connection with Erickson Air-Crane Inc's (EAC) purchase of Evergreen Helicopters. On June 13, 2013, SeekingAlpha.com reported that ZM Funds, the controlling shareholder of EAC, influenced EAC's purchase of Evergreen Helicopters so that ZM Funds could exchange roughly $120 million in distressed debt of Evergreen Helicopters for EAC shares. A recent SEC filing indicates that ZM Funds intends to sell its remaining EAC shares. Full Article
Levi & Korsinsky Announces Investigation Into Possible Breaches Of Fiduciary Duty By Board And Shareholder Of Erickson Air-Crane Inc
Levi & Korsinsky announced that it is investigating the Board of Directors and the majority shareholder of Erickson Air-Crane, Inc. (Erickson or the Company) for possible breaches of fiduciary duty and other violations of state law in connection with the purchase of Evergreen Helicopters, Inc. (Evergreen). Evergreen was in financial distress up to its acquisition by Erickson, with suppliers withholding parts due to unpaid bills and a resulting inability to maintain its aircraft. As a result of this financial situation, it was unlikely Evergreen would be able to pay off the substantial second lien debt it owed to a group of private equity funds collectively known as ZM Funds. This consortium held, at the time, 60% of Erickson stock. Then on March 20, 2013, Erickson announced it had agreed to acquire Evergreen for $250 million-a deal that effectively allowed ZM Funds to exchange approximately $120 million in distressed debt of Evergreen Helicopters for millions of Erickson shares. Full Article
Erickson Air-Crane Inc Receives Aviation Services Contract
Erickson Air-Crane Inc announced that it has won an extension to its prime contract with USTRANSCOM (U.S. Transportation Command) to provide essential services in support of overseas operations in Afghanistan. The award was made to Evergreen Helicopters (EHI), a recently acquired and now wholly owned subsidiary of Erickson. Under the contract, the Company will provide multiple aircraft, pilots and ground crews for both passenger and cargo transport services in support of current operations. The total value of the contract extension is approximately $24 million; the Company noted the award derives its funding from portions of the Defense budget not subject to sequestration. Full Article
Law Offices of Howard G. Smith Announces Investigation of Erickson Air-Crane Inc
Law Offices of Howard G. Smith announced that it is investigating potential claims against the Board of Directors of Erickson Air-Crane Inc (EAC or the Company) related to the Company`s acquisition of Evergreen Helicopters, Inc. A report published on June 13, 2013 on SeekingAlpha.com states that ZM Funds, the controlling shareholder of EAC, influenced the Company`s purchase of Evergreen Helicopters so that ZM Funds could exchange roughly $120 million in distressed debt of Evergreen Helicopters for millions of more valuable shares of EAC. A recent EAC filing with the United States Securities and Exchange Commission indicates that ZM Funds intends to sell all of its remaining shares of EAC. This investigation concerns whether the Board of Directors of EAC breached their fiduciary duties to stockholders by purchasing Evergreen Helicopters, and whether the Company has disclosed all material information to shareholders about the transaction. Full Article
Wohl & Fruchter LLP Announces Investigation Of Potential Breaches Of Fiduciary Duty By The Board And Controlling Shareholder Of Erickson Air-crane Inc
Wohl & Fruchter LLP announced that it is investigating the board of directors (Board) and the controlling shareholder of Erickson Air-Crane Incorporated (Erickson) possible breaches of fiduciary duty and other violations of state law in connection with Erickson's recent acquisition of Evergreen Helicopters, Inc. (Evergreen). Wohl & Fruchter's investigation concerns, among other things, whether the acquisition of Evergreen constituted a breach of fiduciary duty by the Erickson Board and ZM Funds due to self-dealing by ZM Funds in connection with the transaction. Full Article
Erickson Air-Crane Inc Updates FY 2013 Guidance
Erickson Air-Crane Inc updated fiscal 2103 guidance for revenues and adjusted EBITDA. The Company now expects to report fiscal 2013 revenues in the range of $325 to $335 million and it expects adjusted EBITDA for fiscal 2013 in the range of $93 to $101 million. On a pro forma basis, as if the acquisition and associated financing had occurred on January 1, 2013, the Company expects fiscal 2013 revenues in the range of $385 to $395 million and adjusted EBITDA for fiscal 2013 in the range of $108 to $116 million. The guidance provided is operational and adjusted and therefore does not include any acquisition-related expenses (including the $2.3 million incurred in the first quarter), purchase accounting adjustments, restructuring expenses, or other similar items. The Company noted that its guidance also does not yet include any effect from the planned but still pending acquisition of Air Amazonia from HRT. The guidance below does incorporate a preliminary estimate of synergies expected to be realized this year. Full Article
Erickson Air-Crane Inc Announces Offering of Second Priority Senior Secured Notes due 2020
Erickson Air-Crane Inc announced that it intends to offer $400 million of its second priority senior secured notes due 2020 to qualified institutional buyers pursuant to Rule 144A under the Securities Act of 1933, as amended, and outside the United States in compliance with Regulations. The notes will be Erickson's second priority senior secured obligations and will be guaranteed by certain of Erickson's existing and future domestic subsidiaries. Erickson intends to use the net proceeds of the offering to finance a portion of the purchase price for the previously-announced proposed acquisition of Evergreen Helicopters, Inc a subsidiary of Evergreen International Aviation Inc finance the initial consideration for the previously-announced proposed acquisition of Air Amazonia Serviços Aéreos Ltda., the aerial services business of HRT Participacoes em Petroleo, S.A., refinance its existing unsecured subordinated notes due 2015 and unsecured subordinated notes due 2016, refinance its existing senior secured asset-based revolving credit facility and pay related fees and expenses. Any remaining net proceeds will be used for general corporate purposes. Full Article
Erickson Air-Crane Inc Renews Contracts With Key Canadian Timber And Logging Partners
Erickson Air-Crane Inc announced that it has further cemented its position as the timber heavy lift service provider of choice in Canada, signing contracts with Helifor Canada (Helifor), an affiliate of Columbia Helicopters, and Western Forest Products Inc. (Western). For each of the two contracts, Erickson, which manufactures and maintains a fleet of S-64 heavy lift rotorcraft, will be providing one S-64E model helicopter - capable of lifting up to 20,000 pounds at a time - with pilots, full field maintenance support crews, parts, and components. The Aircrane will be used to remove timber in remote, rugged terrain in coastal British Columbia, as an environmentally responsible alternative to incursive ground logging.Erickson will additionally provide expert lift services for precision placement of transmission towers for powerline construction in western Canada. Full Article
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