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Thread: Icon is Screwing Their Customers http://eaaforums.org/images/icons/angry.gif

  1. #11
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    Quote Originally Posted by Kyle Boatright View Post
    I think this contract will greatly limit the number of airplanes they sell. I don't understand why they are choosing this path.
    The next chapter in this 8 year odyssey without a single delivery to a paying customer is Chapter 11. When this occurs, Hawkins must give back his MBA from Stanford because he has disgraced and embarrassed this prestigious school with a self-inflicted and self-imploding worst business decision ever.

    As to the 'why", just my opinion. For 8 years Icon has perfectly implemented a bold, hard sell consumer recreational product marketing strategy to the yahoo jet skiers and extreme sports knuckleheads. They have promoted the airplane in an over-the-top irresponsible and cavalier manner telling these target groups that the airplane is a just a jet ski with wings, is so simple to fly and all you need is 20 hours to get a license to fly it. Somewhere along the way Icon had an epiphany. Holy crap, all these jerk-offs holding deposit slots drank the cool-aid they've been hard selling and now they're scared s**tless that after training and delivery, they're all going to crash and burn in droves. Holy crap, they have to transfer all liability and other terms to the owners or Icon will be sued out of existence.

  2. #12
    George Sychrovsky's Avatar
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    Disclaimer ; opinions of others will vary depending on what they’re selling.

    http://the-grand-design.com/

  3. #13
    Byron J. Covey
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    The thread title is a little misleading, because ICON has no customers. They have lots of depositors, many of whom are trying to sell their so-called "delivery slot."


    BJC

  4. #14

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    http://iconaircraft.com/news/icon-ai...light-centers/

    Does this company have any intention of ever delivering airplanes? They have evidently run out of room to park completed airplanes so production is being cut from 175 to 20 for 2016.
    Lay off the workers? What happens when production resumes? More delays while new workers are trained? Are we to really believe they had no idea the supply chain couldn't keep up with production? Didn't anybody think any of this through?

    Why can't customers start taking delivery of the planes that are sitting there?
    Oh, we need to create training centers - for the plane that is claimed to be so easy to fly any beach bum with flip flops can do it?
    We need support infrastructure? What for? In case a plane accidentally falls into customer hands?
    Investors have committed to additional funding? Where do you find investors like this? I'd like to fund a unicorn expedition....

    This is my favorite quote from the pr:

    "Major revisions to ICON’s Aircraft Purchase Agreement in response to customer feedback."
    Ya think? Like "take your agreement and shove it?" how's that for "feedback?"

  5. #15

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    When does their 30 year clock on the aircraft start? Is it from date of manufacture, or on delivery?

    I'd be somewhat irked if the Icon I paid 250K for sat on their lot for a year only had 29 left when I took her on.
    The opinions and statements of this poster are largely based on facts and portray a possible version of the actual events.

  6. #16
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    Quote Originally Posted by Frank Giger View Post
    When does their 30 year clock on the aircraft start? Is it from date of manufacture, or on delivery?

    I'd be somewhat irked if the Icon I paid 250K for sat on their lot for a year only had 29 left when I took her on.
    The 30 year restriction has been removed from the newly revised agreement along with many of the previous onerous and odious clauses but there still remains some contentious stuff.

    Reduction of production by 90% this year and reduction of the workforce are serious causes for concern on many levels. All a result of the arrogance and attitude of the CEO and the trickle down effect. They need a cash infusion.

  7. #17
    George Sychrovsky's Avatar
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    I think the "I Con" is finding out that actually building airplanes is a lot harder then making computer animations

    https://www.youtube.com/watch?v=lPs0VyD-r9s
    Disclaimer ; opinions of others will vary depending on what they’re selling.

    http://the-grand-design.com/

  8. #18

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    I'm actually very pleased they pulled the scale of production back, as it shows they realized they couldn't make quality at the kind of scale they were talking about - at least not on the initial production runs.

    Somebody at Icon had a long hard look at what was coming down the line and delivered some hard truths.

    This actually says something good about the company.
    The opinions and statements of this poster are largely based on facts and portray a possible version of the actual events.

  9. #19

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    "Somebody at Icon had a long hard look at what was coming down the line and delivered some hard truths."
    Yup.

    I think they found out that every plane so far was built at a loss so they put the brakes on production.

  10. #20
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    Frank and Marty, your kindness and apologies for Icon are admirable but in their case simply undeserved. Your altruism is misplaced.

    Icon simply does not have the funding to produce on the scale that they so optimistically forecast. They have to pay for those airframes manufactured by Cirrus and they can't. They need another round of financing from the VC's and private equity before they can go forward with the original plans.

    They pissed away a lot of $ waiting for over a year to get the weight increase approved and other delays. I wonder how the city of Vaccaville is feeling after they gave Icon all those tax inducements and incentives to locate the production and admin facilities there partly in exchange for guaranteed local hiring practices. And now Icon is laying off production employees from the town and surrounding area and will not be hiring for a year at least if not more--with Icon you will not lose if you bet on more.

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