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Type | Private |
---|---|
Industry | Aerospace |
Founded | 2004 |
Headquarters | Bend, Oregon |
Key people | Doug King (CEO 2010–present) |
Products | Private aircraft |
Number of employees | 300[1] |
Parent | Vladislav Filev and his family through Cyprus-based MVF Key Investments Ltd.[2] |
Website | www |
Epic Aircraft is a general aviation aircraft manufacturer headquartered in Bend, Oregon. The company produces the Epic E1000 single engine turboprop design.
Founded in 2004, the company initially manufactured and sold kits for the Epic LT. Epic went through bankruptcy in 2009, before being purchased by Russian businessman Vladislav Filev of S7 Airlines in 2012, and is now owned by Filev and his family through Cyprus-based MVF Key Investments Ltd.[2]
In 2013 the company discontinued taking orders for LT kits, to concentrate on certification of the E1000, which is based upon the LT. The E1000's certification from the FAA was completed in November 2019.[3][4]
History
![](https://web.archive.org/web/20220706031422im_/https://upload.wikimedia.org/wikipedia/commons/thumb/a/a2/Epic_Aircraft_E1000_Certified_Airplane.jpg/220px-Epic_Aircraft_E1000_Certified_Airplane.jpg)
![](https://web.archive.org/web/20220706031422im_/https://upload.wikimedia.org/wikipedia/commons/thumb/0/00/Epic_Victory.jpg/220px-Epic_Victory.jpg)
![](https://web.archive.org/web/20220706031422im_/https://upload.wikimedia.org/wikipedia/commons/thumb/b/b3/Epic_Elite_C-GROL.jpg/220px-Epic_Elite_C-GROL.jpg)
2004-2006
The company was founded in 2004 and located in Bend, Oregon due to public incentives which were offered, including state loans and grants of US$1.3M. In return for the grants and loans Epic promised to create 4,000 jobs.[5] Epic Aircraft was founded by Rick Schrameck, experienced in the computer hardware and aviation composites industries.[6]
Epic’s first aircraft, the LT, was positioned as a homebuilt kit aircraft, and Schrameck claimed deliveries were estimated to begin by year’s end 2005.[7] The FAA approved the LT as an amateur-built craft in 2006.[8] The same year, the first LT was delivered.[9]
2009
On 5 June 2009 Epic was sued by Blue Sky AvGroup, an Epic customer that had an aircraft under construction at the build center, alleging that Epic had failed to meet its contractual obligations.[5][10][11][12] The case went to court in 2013 and ended "without an award of costs, disbursements or attorney’s fees to any party".[13]
In late June 2009 the company dramatically scaled back its operations.[10] The lay-offs primarily affected the aircraft's owner-assisted build center,[14] where customers worked on their own kits.[10] Epic was subsequently named as plaintiff in July 2009 in a lawsuit against engine maker Williams International, claiming that the engine maker defaulted on a contract to supply engines for the Epic Victory program.[10]
On 8 August 2009 the company's premises were seized by the building's landlord, Delaware-registered ER1 LLC.[5]
Several additional lawsuits were filed against Epic. These included "serious allegations about the conduct of company principals". In a sworn statement Chief Financial Officer David Clark said that Epic owed its customer builders an estimated US$15 million for parts and that the company had no money to pay those debts. Also in his sworn statement Clark alleged many financial irregularities and that company financial reports and practices "did not comply with generally accepted accounting practices". Other sworn statements by Clark and General Manager David Hice alleged that the company was a "chaotic financial environment over which CEO Rick Schrameck ruled exclusively". Hice further alleged many financial irregularities, including that the company missed its payroll in July 2004 and was only able to pay its staff using customer aircraft deposits from sales at AirVenture that same month. Hice also alleged that "On June 16th, 2009 I was terminated after Rick Schrameck physically attacked me."[15][16][17][undue weight? ]
In September 2009 CEO Rick Schrameck was removed by the board of directors from any "managerial or supervisory capacity" with Epic parent company Aircraft Investor Resources, and the company voluntarily entered Chapter 11 bankruptcy, seeking to reorganize, find investors and continue kitplane production on a reduced scale.[18][19]
As a result of the bankruptcy filing customers with aircraft under construction at the company facility were permitted to remove their aircraft and parts.[18][19]
2010
Following the bankruptcy filing, Epic went up for sale. In an auction on 26 March 2010, the state-owned China Aviation Industry General Aircraft was the highest bidder with a US$4.3 million offer, beating out a bid by the LT Builders Group, a group of seven aircraft owners with incomplete aircraft in the plant. The hearing judge admonished the LT Builders Group for their bid describing it as "pathetic, useless, incompetent, unacceptable, garbage and fiction" but gave the group another chance to improve their position and reserved his decision on the final winner of the auction until 2 April 2010.[20][21][22][23]
On 2 April 2010 the judge issued a judgement ordering China Aviation Industry General Aircraft Co. Ltd. to make an agreement with the LT Builders Group to acquire Epic's assets.[24] The deal came about following public concern about why a state-owned Chinese aerospace company would take interest in Epic, although the primary theories were that the Chinese firm was interested in acquiring Epic's designs or the carbon-fiber composites used in Epic's aircraft.[25] Due to potential concerns, the final deal excluded any defense-related material potentially subject to International Traffic in Arms Regulations from the purchase.[26]
The deal was completed by 11 April 2010, with the LT Builders Group taking control of the company and marketing the Epic LT to North America, while the Chinese company obtained rights to market the Epic LT to the rest of the world.[27][24] The new company intended to reopen the Bend plant for builder-assist construction as well as pursue type certification of the Epic LT, a project which the original company owners had started, but not completed.[27][24]
Doug King became CEO, as an unpaid volunteer in 2010, following the bankruptcy. He was the CEO of the LT Builders Group,[28] and had owned several transaction processing and computer services businesses and had revitalized operations of Syncro Aircraft.[29] King had an incomplete LT in the plant and wanted to get it completed and decided to help get the company turned around and profitable, with an aim of certifying the LT design.[30]
At AirVenture on 31 July 2010 King announced that the company was ready to take orders for the Epic LT kit aircraft at that time and that 11 aircraft were in plant, being completed by their owners.[31]
2011
In November 2011, a Russian, Vladislav Filev, the owner of S7 Airlines, visited the Epic plant. An enthusiastic private pilot, he was looking for his ideal personal aircraft. King took him for a demo flight in an LT and Filev decided to buy the company to pave the way for type certification for the LT.[30]
2012
Filev's company, Engineering LLC became the owner of Epic in March 2012 for US$200M and announced its certification plans for the LT design. As part of this plan the company entered into negotiations with Cessna in December 2012 to buy the former Columbia Aircraft plant that Cessna then owned in Bend. The company indicated that it expected to hire 40-80 new employees in 2013 as part of the certification effort and to expand kit production.[30][32][33][34]
2013
Filev had his own, personal Epic LT delivered from Bend, Oregon, to Moscow by King in August 2013, delivering it for Filev's 50th birthday.[30]
2014
By 2014 the company was engaged in certification of the Epic E1000 and had finalized the purchase of the former Cessna 204,000 sq ft (19,000 m2) facility in Bend, Oregon.[35]
By October 2014 the company reported that it had 60 orders for the E1000. At that time, the company forecast selling 50 aircraft per year.[36]
2015
Schrameck was arrested for fraud in March 2015 in Los Angeles and held in federal custody awaiting trial. The detention order filed indicated that he should not be released due to a high risk of "flight to foreign country". On 27 March 2015, Schramek pleaded not guilty in US District Court to eight counts of wire fraud, four counts of mail fraud and six counts of money laundering regarding his dealings with Epic and its customers. The case alleges that Schramek deliberately defrauded customers of more than US$14 million.[13][37]
The company's E1000 single engine turboprop had its first flight on 19 December 2015.[38]
2018
In April 2018 former CEO Schrameck pleaded "guilty" to one count of wire fraud and was scheduled to be sentenced on 11 June 2019, by US District Court Judge Ann Aiken. The Department of Justice, US Attorney's Office, District of Oregon stated, "Schrameck gave customers Airframe Purchase Agreements and Aircraft Completion Assistance Agreements that misrepresented how the customers’ funds were being used. Without his customers’ knowledge, Schrameck used the funds for other projects, to complete existing Epic LT aircraft, and to support his own lavish lifestyle."[39][40]
Development of the E1000 towards certification continued. The company had intended to outsource production of some composite material parts, but encountered issues with quality, meeting specification and timeliness or deliveries. As a result, they decided to produce all 587 composite parts for the E1000 in-house.[30]
The design encountered a set-back in the summer of 2018 when it was discovered that it was 10 to 20 kn (19 to 37 km/h) slower than its promised cruise speed. The problem was traced to ram air recovery in the engine intake design. This design had been dictated by certification requirements and the engine manufacturer's approval, over the non-certified LT intake design. Redesign and flight testing added six months to the process.[30]
2019
On 31 March 2019 Filev's wife, Natalia Fileva, was killed in the crash of an Epic LT on approach to the Frankfurt Egelsbach Airport. Fileva was one of the wealthiest women in Russia and co-owner of S7 Airlines, with her husband. Her father and the pilot were also killed in the crash.[41] The German Federal Bureau of Aircraft Accident Investigation found in its investigation that on approach, the plane had made a 30–45 degree left-sided bank turn.[42] Kommersant reported that the cause of the crash was pilot error, likely a pilot-induced stall.[43]
The US Federal Aviation Administration awarded the E1000 its type certification in November 2019. The certification effort had been initially estimated by King to take three years and cost US$20M, but took seven years and about US$200M. At the time of certification the company had more than 80 orders for the E1000.[30][4]
After certification the company indicated that it intends to ramp up production to one aircraft every three weeks by the second half of 2020 and earn its production certificate, so each individual aircraft will not require FAA inspection prior to delivery. This will be followed by one aircraft every two weeks by the first half of 2021 and work towards one aircraft a week. The goal is to ultimately produce 50 aircraft per year.[30]
2020
The first two E1000s were delivered to customers at the end of May 2020.[44] In July 2020, Epic earned FAA production certification for the E1000, allowing the company to build, test, and approve aircraft with less FAA oversight.[45]
That month, the E1000 was named as the winner of Flying magazine's 2020 Innovation Award. Flying's Editor-in-Chief Julie Boatman, noted the aircraft's deliveries started during the COVID-19 pandemic.[46] Plane & Pilot magazine named the E1000 its 2020 plane of the year, citing its powerful engine, range, and design.[47] That December, Epic and ATP, an aircraft software company, announced a partnership for tracking maintenance and distributing technical publications.[48][49][importance?]
2021
In July 2021, the updated E1000 GX received its FAA type certificate, equipped with Garmin's GFC 700 autopilot and a Hartzell 5-blade composite propeller.[50] By the end of July, Epic expanded its service network to three facilities in the United States with a Fort Worth-based maintenance station.[51] By the third quarter of 2021, Epic had delivered six E1000 GX aircraft,[52] with another 4 delivered by the end of fourth quarter.[53] Epic's goal is to complete 20 planes in 2022, and up to 40 in 2023.[54] To increase production capacity, Epic hired 175 additional staff between July and December of 2021, with many of the new staff working in composite part fabrication.[54][failed verification]
Aircraft
- Epic LT - a six-seat kit-built turbo-prop airplane.
- Epic Victory - a proposed single-engine jet project, with only a prototype completed. The company has not pursued development.
- Epic E1000 - a type certified six-place turbo-prop airplane.
- Epic Escape - a proposed 92% scaled version of the Epic LT, with 4-5 seats. The company has not pursued development.
- Epic Elite - a proposed twin-engine jet project, initially intended as a kit aircraft, which the company had planned to certify later. It was to utilize an LT fuselage with cosmetic and structural changes. Only a prototype has been completed. The company has not pursued development.
References
- ^ Epic Aircraft (November 6, 2019). "Epic Aircraft Achieves FAA Type Certification" (PDF). Press release. Archived from the original (PDF) on November 9, 2019. Retrieved February 26, 2020.
- ^ a b Kohn, Michael (February 22, 2022). "Bend-based Epic Aircraft flying high amid pandemic challenges". Bend Bulletin. Archived from the original on May 29, 2022.
- ^ "Epic E1000 Prototype Completes First Flight". AVweb. Retrieved December 25, 2015.
- ^ a b O'Connor, Kate (November 7, 2019). "Epic E1000 FAA Certified". AVweb. Archived from the original on November 9, 2019. Retrieved November 9, 2019.
- ^ a b c Moore, Andrew (August 2009). "Seizure and lawsuits cloud Epic Air's future". Archived from the original on June 5, 2011. Retrieved August 13, 2009.
- ^ Julie Boatman (July 5, 2007). "Epic LT - origins of a dynasty". AOPA.
- ^ Janice Wood (May 6, 2005). "Epic's impressive epic". General Aviation News.
- ^ "Epic LT Receives FAA Sign-Off As Amateur-Built Aircraft". Aero-News Network. January 3, 2006.
- ^ Morris, Gregg (December 4, 2014). "Epic Aircraft in Bend, Oregon Builds Their Own". Cascade Business News.
- ^ a b c d Niles, Russ (July 7, 2009). "Epic "Scaled Back"".
- ^ Van Hoomissen, Michael F. (June 2009). "United States District Court for the District of Oregon" (PDF). Archived from the original (PDF) on June 12, 2011. Retrieved July 9, 2009.
- ^ Eager, Jeffrey (July 2009). "United States District Court for the District of Oregon" (PDF). Archived from the original (PDF) on June 12, 2011. Retrieved July 9, 2009.
- ^ a b Withycombe, Claire (April 8, 2015). "Former Epic CEO pleads not guilty to federal fraud, laundering charges". The Bulletin (Bend).
- ^ Di Piazza, Karen (September 1, 2007). "Epic Aircraft Making Big Splash in General Aviation". Airport Journals.
- ^ Niles, Russ (September 2009). "More Legal Action Against Epic". Retrieved September 24, 2009.
- ^ Clark, David (September 2009). "General Affidavit" (PDF). Archived from the original (PDF) on June 12, 2011. Retrieved September 24, 2009.
- ^ Hice, David W. (September 2009). "General Affidavit" (PDF). Archived from the original (PDF) on June 12, 2011. Retrieved September 24, 2009.
- ^ a b Sanders, Jeff (September 2009). "Epic Plans" (PDF). Archived from the original (PDF) on June 12, 2011. Retrieved September 24, 2009.
- ^ a b Ford, Shari (September 2009). "Property at 22590 Nelcon Road in Bend Oregon" (PDF). Archived from the original (PDF) on June 12, 2011. Retrieved September 24, 2009.
- ^ Read, Richard (March 26, 2010). "Chinese bidder wins Bend's bankrupt Epic Air but deal still in doubt". The Oregonian. Retrieved March 27, 2010.
- ^ Niles, Russ (March 2010). "China's AVIC Wins Epic Auction". Retrieved March 27, 2010.
- ^ Grady, Mary (March 2010). "Judge Leaves Epic Air Future Unresolved". Retrieved April 1, 2010.
- ^ Reed, Richard (March 2010). "Portland judge gives Epic Air customers a chance in case with Chinese corporation". The Oregonian. Retrieved April 1, 2010.
- ^ a b c Grady, Mary (April 2010). "An Epic Deal Between Builders Group, Chinese Company". Retrieved April 12, 2010.
- ^ Read, Richard (March 27, 2010). "Chinese bidder wins Bend's bankrupt Epic Air but deal still in doubt". OregonLive. Retrieved January 13, 2022.
- ^ Thurber, Matt (April 30, 2010). "Chinese firm to buy Epic assets". Aviation International News. Retrieved January 13, 2022.
- ^ a b Niles, Russ (April 2010). "Judge Orders Epic Partnership". Retrieved April 5, 2010.
- ^ "Epic LT Kits Back in Production". Aviation International News. July 27, 2010. Retrieved November 28, 2021.
- ^ "Virtual Event: CEO Flies Epic Aircraft's Speed Demon Turboprop". Flying Magazine. October 28, 2021. Retrieved December 21, 2021.
- ^ a b c d e f g h George, Fred (December 2019). "Status Report: E1000 Cleared for Takeoff" (PDF). Business and Commercial Aviation. pp. 50–56. Retrieved November 28, 2021.
- ^ Grady, Mary (July 31, 2010). "New Epic Owners At Oshkosh". AVweb. Archived from the original on March 3, 2016. Retrieved February 15, 2020.
- ^ Siemers, Erik (March 6, 2012). "Bend airplane-maker Epic Aircraft sold to Russian firm". Portland Business Journal. Retrieved March 6, 2012.
- ^ Niles, Russ (March 6, 2012). "Epic Sold To Russian Firm". AVweb. Retrieved March 7, 2012.
- ^ Niles, Russ (December 11, 2012). "Epic Expanding For Certification Effort". AVweb. Retrieved December 13, 2012.
- ^ Schrader, Mike (February 3, 2014). "FAA Certification On Schedule For Epic Aircraft" (PDF). Epic Aircraft. Retrieved June 24, 2014.
- ^ Sarsfield, Kate (October 21, 2014), "Epic E1000 turboprop-single makes show debut", Flightglobal, Reed Business Information, retrieved October 31, 2014
- ^ Kauh, Elaine (April 9, 2015). "Former Epic CEO Pleads Not Guilty To Fraud Charges". AVweb. Retrieved April 15, 2015.
- ^ "Epic E1000 Prototype Completes First Flight". AVweb. Retrieved December 25, 2015.
- ^ O'Connor, Kate (April 26, 2018). "Former Epic Air CEO Pleads Guilty To Fraud". AVweb. Retrieved April 27, 2018.
- ^ Department of Justice (April 23, 2018). "Bend Man Pleads Guilty to Fraud Scheme Involving Consumer Aviation Company". www.justice.gov. Retrieved April 27, 2018.
- ^ Niles, Russ (April 1, 2019). "Wife Of Epic Owner Confirmed As Crash Victim". AVweb. Retrieved April 2, 2019.
- ^ "Interim Report" (PDF). German Federal Bureau of Aircraft Accident Investigation. May 2019. Retrieved December 21, 2021.
- ^ Машкин, Сергей (April 1, 2019). "Обломки сложились в плоский штопор". Kommersant (in Russian). Retrieved November 21, 2021.
- ^ Niles, Russ (June 1, 2020). "Epic Delivers First Two Certified E1000s". AVweb. Archived from the original on June 1, 2020. Retrieved June 1, 2020.
- ^ Goyer, Isabel (July 24, 2020). "Epic Earns FAA Production Certification for E1000". Plane & Pilot Magazine.
- ^ Flying Staff (July 2, 2020). "Epic's E1000 Wins Flying's 2020 Innovation Award". Flying magazine. Archived from the original on August 4, 2020. Retrieved October 20, 2020.
- ^ "2020 Planes Of The Year: Epic E1000 & Pipistrel Velis". Plane & Pilot Magazine. Retrieved March 6, 2022.
- ^ "ATP, EPIC partnership for maintenance tracking". Wings Magazine. December 16, 2020. Retrieved December 21, 2021.
- ^ Boatman, Julie (December 10, 2020). "ATP Provides Epic with Flight Docs, Mx Tracking". Flying Magazine. Retrieved December 21, 2021.
- ^ Mark, Rob (July 20, 2021). "Epic Aircraft's E1000 GX Earns Its FAA Type Certificate". Flying Magazine. Retrieved December 21, 2021.
- ^ Bergqvist, Pia (July 26, 2021). "Epic Aircraft Expands Service Center Network". Flying Magazine. Retrieved December 21, 2021.
- ^ "General Aviation Aircraft Shipment Report: 2021 3rd Quarter" (PDF). General Aviation Manufacturers Association. November 17, 2021.
- ^ "General Aviation Aircraft Shipment Report: 2021 Year End" (PDF). General Aviation Manufacturers Association. February 23, 2022.
- ^ a b Kohn, Michael (February 22, 2022). "Bend-based Epic Aircraft flying high amid pandemic challenges". The Bulletin.