Evergreen International Aviation, Inc.

Evergreen International Aviation, Inc.

Evergreen International Aviation, Inc., and its affiliated debtor entities (Evergreen) were global aviation service companies based in McMinnville, OR. Founded in 1960, Evergreen was primarily known for commercial helicopter operations and agricultural and forestry applications. Evergreen filed for protection under Chapter 7 of the US Bankruptcy code on December 31, 2013. At or around the date of filing, assets for all jointly administered estates were estimated at more than $400 million.

Despite the significant amount of assets scheduled at or around the time of filing, many of these assets are uncollectible;


Out of the seven jointly administered estates, estimated assets at or around the time of filing include $267,121,949.25 in intercompany accounts receivable, due from the other debtor entities. In addition to this, accounts receivable from non-debtor entities total $55,414,689.45, whose balances are not collectible since those entities are having financial difficulties or are in bankruptcy in Oregon.


There are significant security deposits listed on the bankruptcy schedules of Evergreen. However, approximately $15 million of these security deposits are on aircraft which have been foreclosed upon and repossessed. These security deposits are not collectible.


The Trustee was able to sell all assets of the company, with the exception of the real estate, in one asset purchase agreement to Jet Midwest Group, LLC. The sale includes all machinery and equipment, aircraft, inventory and other miscellaneous assets. To date, the estate has recovered $4,483,616.59 from this sale.


Evergreen has ownership interest in five buildings in McMinnville, OR. The Trustee is working with agents and brokers in an attempt to sell these various buildings. At or around the time of bankruptcy, these buildings were listed for approximately $15 million.


The Trustee has been able to secure additional funds for the estate. The Trustee has been able to secure $1,346,885.28 in funds turned over from various financial institutions. The Trustee is also in the process of collecting accounts receivable (A/R), various security deposits and miscellaneous refunds. To date, the Trustee has collected approximately $1.4 million in A/R.


The Trustee is currently in the process of reviewing and evaluating potential avoidance actions. The Trustee has identified vendors who are potential recipients of preferential transfers, with total gross claims of approximately $15 million within the 90 days preceding the filing.

In addition, the Trustee is considering the filing of law suits to recovery fraudulent conveyances that were made to related parties.


Pachulski Stang Ziehl & Jones, LLP

Docket #419 - $403,298.22 (Reflects payment of $500,000)

Docket #522 - $218,487.85