Piper to abandon the Piper Sport
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Piper to abandon the Piper Sport
Piper Aircraft Inc. will terminate its business relationship with Czech Republic-based Czech Sport Aircraft to market that company’s Light Sport Aircraft, citing differences in business philosophies.
“After a year working with Czech Sport Aircraft, Piper determined that it is in our company’s best long-term interests to discontinue the business relationship which distributed a Light Sport Aircraft manufactured by the Czech company and distributed under Piper’s brand by a separate distributor network,” said Piper CEO Geoffrey Berger. “Clearly, the company has a different business perspective and approach to the market than Czech Sport Aircraft,” he added.
“After a year working with Czech Sport Aircraft, Piper determined that it is in our company’s best long-term interests to discontinue the business relationship which distributed a Light Sport Aircraft manufactured by the Czech company and distributed under Piper’s brand by a separate distributor network,” said Piper CEO Geoffrey Berger. “Clearly, the company has a different business perspective and approach to the market than Czech Sport Aircraft,” he added.
Wonder where this leaves owners?
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How many Piper versions have been sold? It would be interesting to know what these differences are! Presumably, the aircraft can continue to be sold by them with its restricted type certificate or as a kit?
Flying the PiperSport
I just got back from Kissimmee after a family Xmas vacation and flew both the SportCruiser and the PiperSport. They are identical to fly and delightful little aeroplanes.
This was my first time in LSAs and using Rotax engines and my main comment is that the handling is a little "skittish" after being used to PA-28s and C-172s. The rotation at 40 kts and landing at a similar speed were pretty easy to get used to and there was nothing untoward about the rest of the handling.
Thoroughly enjoyed meself.
The major difference between the SportCruiser and the PiperSport was the instrument fit. The SportCruiser has conventional instrumentation (to about Tiger Moth level of fit) and the PiperSport has glass on each side and an autopilot. LHS for flight instruments and RHS for engine and systems.
This was my first time in LSAs and using Rotax engines and my main comment is that the handling is a little "skittish" after being used to PA-28s and C-172s. The rotation at 40 kts and landing at a similar speed were pretty easy to get used to and there was nothing untoward about the rest of the handling.
Thoroughly enjoyed meself.
The major difference between the SportCruiser and the PiperSport was the instrument fit. The SportCruiser has conventional instrumentation (to about Tiger Moth level of fit) and the PiperSport has glass on each side and an autopilot. LHS for flight instruments and RHS for engine and systems.
Last edited by Dave Gittins; 13th Jan 2011 at 13:37.
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A glass cockpit is an option on the SC.
I am inclined to think that this move buy Piper is about business rather than a reflection on the aircraft.
I am inclined to think that this move buy Piper is about business rather than a reflection on the aircraft.
Last edited by A and C; 13th Jan 2011 at 23:02.
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... more about business than a reflection on the aircraft.....
Well, I cannot say I am impressed with Piper first going for this cooperation and then ending it so soon.... Heads should roll, this is not good business, not is it good for Piper's name.
An aircraft company should not be run through knee-jerk management
Well, I cannot say I am impressed with Piper first going for this cooperation and then ending it so soon.... Heads should roll, this is not good business, not is it good for Piper's name.
An aircraft company should not be run through knee-jerk management
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Piper is supported mainly by spares sales and the occassional PA46 sale.
The company doesn't have a future. The PA28 etc fleet has perhaps another 20 years to run, during which it will decline continually. The PA46 is very dated and hangs in there only because nobody has gone for that niche. The Meridian has competition from the Jetprop but most JP conversions are done on used Malibu airframes. The Piperjet is way way behind everybody else, into a market which is much smaller than most expected a few years ago.
In a company like that it will be extremely hard to retain any talent - especially in the USA. It's a bit like Honeywell (GA dept) - hardly anybody left in there with any get up and go.
As a Czech myself, it would not suprise me if the Czech company was playing funny games too. The Czechs are very good at that - the ex communists make the trickiest capitalists because they think all bets are off when it comes to acceptable corporate behaviour. Didn't they have an American owner?
The company doesn't have a future. The PA28 etc fleet has perhaps another 20 years to run, during which it will decline continually. The PA46 is very dated and hangs in there only because nobody has gone for that niche. The Meridian has competition from the Jetprop but most JP conversions are done on used Malibu airframes. The Piperjet is way way behind everybody else, into a market which is much smaller than most expected a few years ago.
In a company like that it will be extremely hard to retain any talent - especially in the USA. It's a bit like Honeywell (GA dept) - hardly anybody left in there with any get up and go.
As a Czech myself, it would not suprise me if the Czech company was playing funny games too. The Czechs are very good at that - the ex communists make the trickiest capitalists because they think all bets are off when it comes to acceptable corporate behaviour. Didn't they have an American owner?
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As a Czech myself, it would not suprise me if the Czech company was playing funny games too. The Czechs are very good at that - the ex communists make the trickiest capitalists because they think all bets are off when it comes to acceptable corporate behaviour. Didn't they have an American owner?
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How to Buy a Company Cheaply
A wonderful contribution from a friend of mine, reproduced below (hope he doesn't mind!):
How to buy an aircraft manufacturer very cheaply.....
1. Create great expectations that you want a close operating relationship with the manufacturer
2. Agree exclusive distribution rights – the manufacturer is now totally dependent on you.
3. Try to buy the company.
4. The private owners want too much money.
5. Break the exclusive distribution agreement. The manufacturer was dependent on you and is now left high-and-dry.
6. Manufacturer goes bankrupt (or nearly does).
7. Step in and buy the company for next-to-nothing.
8. Be hailed as a great hero for saving many jobs.
9. Be hailed by your shareholders as a genius for buying a superb aircraft production line for next-to-nothing
10. Take over managing the factory, improve efficiency, customer care and response times.
11. You now own a world-beating product with no start up costs and little risk for your shareholders.
As they say across the pond, "go figure".......
How to buy an aircraft manufacturer very cheaply.....
1. Create great expectations that you want a close operating relationship with the manufacturer
2. Agree exclusive distribution rights – the manufacturer is now totally dependent on you.
3. Try to buy the company.
4. The private owners want too much money.
5. Break the exclusive distribution agreement. The manufacturer was dependent on you and is now left high-and-dry.
6. Manufacturer goes bankrupt (or nearly does).
7. Step in and buy the company for next-to-nothing.
8. Be hailed as a great hero for saving many jobs.
9. Be hailed by your shareholders as a genius for buying a superb aircraft production line for next-to-nothing
10. Take over managing the factory, improve efficiency, customer care and response times.
11. You now own a world-beating product with no start up costs and little risk for your shareholders.
As they say across the pond, "go figure".......
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2. Agree exclusive distribution rights – the manufacturer is now totally dependent on you.
... and
I want to update you on our activities in the US since the announcement. I can tell you that the existing US PiperSport distributors have been meeting via
phone conference daily and have today agreed to work together to explore
business structures with CSA, continue to build spare parts inventories and
change very little in how we import, assemble and distribute the Czech airplane
in the US for now. We want to continue to stabilize service and support. Most
of us already carry and hold spare parts for our customers.
The US distributor group will try to get the message of unity and continuity to
the market while we prepare to meet with CSA executive leadership in Sebring
Florida this month. We want to continue forward supporting the Czech aircraft
(can I say SportCruiser again yet?).
phone conference daily and have today agreed to work together to explore
business structures with CSA, continue to build spare parts inventories and
change very little in how we import, assemble and distribute the Czech airplane
in the US for now. We want to continue to stabilize service and support. Most
of us already carry and hold spare parts for our customers.
The US distributor group will try to get the message of unity and continuity to
the market while we prepare to meet with CSA executive leadership in Sebring
Florida this month. We want to continue forward supporting the Czech aircraft
(can I say SportCruiser again yet?).
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Not sure your reply to (2) is correct.....all the SC's were sold BEFORE the Piper deal, CSA terminated its reseller contracts, and stated on its own website that the SC was no longer available. Now, sure, CSA can put humpty back together again, and go back to the old arrangement, but meantime the drop off in orders WILL hurt them. The question is, do they have enough cash to ride it out. Hope so.
I notice that the Piper Sport is still on Piper's website, notwithstanding the news about the coming break in business relationship also being there.
I can't honestly say I'm surprised; I've had dealings with Piper and CzAW - they're chalk and cheese, and there are things in the way that CzAW do business, that if I were running Piper, I'd not be at-all comfortable with.
G
I can't honestly say I'm surprised; I've had dealings with Piper and CzAW - they're chalk and cheese, and there are things in the way that CzAW do business, that if I were running Piper, I'd not be at-all comfortable with.
G
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They must have inventory to sell off. The CSA website has reverted to Sport Cruiser.
CZAW never had dealings with Piper. CSA is a different company, under different management and ownership, but they are still chalk and cheese with Piper.
Having bought both a Zenair and Sport Cruiser kit from CZAW, I would prefer to deal with Chip than the new lot any day.
CZAW never had dealings with Piper. CSA is a different company, under different management and ownership, but they are still chalk and cheese with Piper.
Having bought both a Zenair and Sport Cruiser kit from CZAW, I would prefer to deal with Chip than the new lot any day.
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Chip was forced out by the Slav finance lot who had as I understand it provided much of the finance for Chip's expansion to enable SportCruiser production. They then formed CSAW when they got rid him (pretty close to the original company name of CZAW?) by making CZAW bankrupt.
They are an interesting and pretty hard headed bunch as it would appear Piper have now found out. It will be interesting to see where it all ends!
They are an interesting and pretty hard headed bunch as it would appear Piper have now found out. It will be interesting to see where it all ends!
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They then formed CSAW when they got rid him (pretty close to the original company name of CZAW?) by making CZAW bankrupt.
As far as I know, Chip is in Prague. It probably won't be long before he surfaces with another business. After all, he initially went to CZ to build surfboards.
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I heard that the guy in the UK who got the SportCruiser through as an LAA kit lost his position as the UK importer at the same time as Chip's departure...
That was when the new importer suddenly appeared (!) and then that was all going to get interesting as Piper UK (part of Piper Germany) felt that they ought to be the UK rep for the PiperSport (not surprisingly). In fact, I also heard the Piper UK had just won that battle before Piper pulled the plug.
At the time of the Piper deal, it was also mentioned that (allegedly), Chip had some kind of rights over the SC and Piper had paid the wrong person/people...!
Anyone know if there was any substance to the above rumours?
That was when the new importer suddenly appeared (!) and then that was all going to get interesting as Piper UK (part of Piper Germany) felt that they ought to be the UK rep for the PiperSport (not surprisingly). In fact, I also heard the Piper UK had just won that battle before Piper pulled the plug.
At the time of the Piper deal, it was also mentioned that (allegedly), Chip had some kind of rights over the SC and Piper had paid the wrong person/people...!
Anyone know if there was any substance to the above rumours?