Feds encouraged by ADI's efforts at reorganization

YOUNGSTOWN

The U.S. Department of Transportation said it would give Aerodynamics Inc. (ADI) the time it requested to establish a trust and sell the company.

On Friday, the DOT responded to ADI’s Feb. 5 response to an order issued by the DOT that tentatively denied the company’s request to provide flight service from Youngstown to Chicago.

The department also proposed ADI have its certification to provide charter flights revoked.

The DOT said it is “highly encouraged” by ADI’s action to alleviate the department’s concerns.

A main concern of the DOT’s was the influence of the former CEO, majority shareholder and chairman of the ADI board and its parent companies, Scott Beale. Beale has since resigned, and said he will sell 100 percent interest in the companies. ADI appointed a new president and CEO and board members.

The DOT has agreed to ADI’s request to allow the company 30 days for Beale to place his share in a voting trust and 120 days to complete the sale.