Adam Aircraft sees bright future in Ogden

Branch's manufacturing could begin in 2 months

Published: Thursday, March 17, 2005 9:21 a.m. MST
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OGDEN — In as little as two months from now, Adam Aircraft Industries will have employees hard at work building aircraft at a facility at the south end of Ogden-Hinckley Airport.

How quickly the staff grows after that depends on demand for the company's planes, designed for business people and air taxi use.

The Colorado-based company on Wednesday announced it will produce both its A500 twin-propeller and A700 AdamJet twin-jet aircraft at the new Kemp Ogden Airport Gateway Center.

"We're doing something relatively new, so it's a little hard to forecast the demand for our products," chief executive officer Rick Adam said during a news conference at the center. "We currently have several hundred airplanes on order. We have an order backlog that's in the several hundreds of millions.

"If that sort of stays that way, we think the employment will be probably around 200 to 300 folks. There is some possibility demand will be bigger than we thought, in which case kind of the sky's the limit. But we tend to plan these things pretty conservatively."

The company has already made job offers for some of its management in Ogden.

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"We are starting right away. We intend to be in some kind of operation in the month of May," Adam said.

Adam Aircraft is leasing 22,000 square feet at the Kemp Jet Services terminal at the 47-acre business park owned by Kemp Development Co. Adam said the company could do final assembly on 40 to 50 aircraft per year but has room for operations to increase.

Five customer-ordered aircraft are being built now in Colorado — the company has more than 80,000 square feet of office and manufacturing space at its Englewood headquarters and 22,000 square feet of manufacturing and testing space in Pueblo, Colo. — but that work will be shifted to Ogden.

The A700 AdamJet, meanwhile, expects to have customer deliveries next year. Each will cost about $2 million, or about twice as much as the twin-prop A500.

Several speakers Wednesday noted the synergies rampant in the Ogden area that made it attractive to Adam Aircraft. They include a strong labor force, proximity to Hill Air Force Base and Williams International — the maker of the AdamJet's engines — being located across the airport from Adam Aircraft.

"We have great materials. We have great engines. We have great computer-aided technology. But at the end of the day, the only thing that matters is if you have good people," Adam said. "We compete because we have better people than the other companies we're competing against. We've come to Utah for only one reason, which is to get access to the terrific human resources, the labor pool that exists here."

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Laura Seitz, Deseret Morning News

Gov. Jon Huntsman Jr., speaking at press conference in Ogden, said Utah is attractive to plane manufacturers because of its edge in "aerospace design and engineering."

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