Enstrom Helicopter Files for Bankruptcy After 64-Year Run

The company struggled to make money in the wake of the slumping helicopter market and the pandemic.

Monday, January 24, 2022 at 05:12 PM ET

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In all, about 30 workers lost their jobs due to the closure of Enstrom Helicopter Corp. [Courtesy: Enstrom Helicopter Corp.]

Key Takeaways:

Enstrom Helicopter Corp. closed its factory doors on January 21 after nearly 65 years in business, declaring Chapter 7 bankruptcy due to "several financial difficulties" exacerbated by the pandemic and declining market demand.
Despite a 2012 acquisition and significant investment from a Chinese firm that aimed to turn the brand around, the company ultimately succumbed to a persistent slump in rotorcraft sales, which saw a 20.7 percent decrease in the piston helicopter market from 2019 to 2020.
The closure resulted in all 30 employees losing their jobs and existing contracts becoming null and void, though company leaders are optimistic about a "second chance" with multiple parties interested in acquiring its assets out of bankruptcy.

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After nearly 65 years in business, Enstrom Helicopter Corp. closed its factory doors on January 21 after declaring Chapter 7 bankruptcy.

Despite building more than 1,300 helicopters that were sold to customers in more than 50 countries, the Michigan-based company announced that “several financial difficulties,” some related to the pandemic, compelled its owners to close the company.