Administrators appointed to Aero Inventory plc

Jim Tucker, Richard Heis and Allan Graham of KPMG have today been appointed joint administrators of Aero Inventory plc, the AIM-listed aircraft parts wholesaler, together with its subsidiary Aero Inventory (UK) Limited ("the Companies”).

 

The Companies trade globally, with their UK head office in New Barnet, Hertfordshire and UK operations based around Stansted, Essex.

The appointment, which was made at the request of the Companies' directors, follows the suspension of trading in Aero Inventory's shares on 26 October and a subsequent market update on 3 November. Trading in the Company's shares remains suspended.

Jim Tucker, KPMG partner and lead administrator, commented:

"With a predicted combined loss across the airline sector of $11 billion this year, some of the resulting pressures were bound to feed through to the parts supply chain. Ultimately, Aero was unable to generate enough cash to service its commitments. The administrators note the recent public announcements made by the group in relation to the valuation of its inventory, and will be investigating these matters fully.”

He added: "The priority now is to stabilise the business. We are already in discussions with all major customers about their future servicing requirements. Unfortunately, the group does not have the resources to retain its workforce in full, so 135 of its 200 UK based employees have had to be made redundant.”

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For further information, please contact:

Patrick Tooher, Head of Media Relations, KPMG
020 7694 2597/07831 314671

Alison Anderson, PR manager, KPMG
0113 254 2980/07733 453065

KPMG Press Office: 020 7694 8773

About KPMG

KPMG LLP, a UK limited liability partnership, is a subsidiary of KPMG Europe LLP and operates from 22 offices across the UK with 11,500 partners and staff.  The UK firm recorded a turnover of €2.2 billion in the year ended September 2008. KPMG is a global network of professional firms providing Audit, Tax, and Advisory services. We operate in 148 countries and have more than 113,000 professionals working in member firms around the world. The independent member firms of the KPMG network are affiliated with KPMG International, a Swiss cooperative. KPMG International provides no client services.