Diamond Funding Decision Imminent?
The president of Diamond Aircraft, Peter Maurer, says his company's future may depend on a $35 million loan from the government of Canada, that the decision will be made when the Prime Minister announces a new cabinet, and that should be soon. The loan would ensure jobs and allow Diamond to begin production of its single-engine five-seat D-Jet. Maurer is hoping that the election of a majority Conservative government will bring stability to the local political climate and allow progress to be made within the next few days or weeks. Maurer has warned that without the funding hundreds of laid-off workers may not be recalled.
If the funds come from the government, Maurer says his company can secure matching funds from the private sector. If funds don't come, Maurer says things could get worse for the company, quickly. Diamond has laid off 233 workers while waiting for a decision on the loan but hired back 11 senior engineers, saying it needed to guarantee they wouldn't be hired by competitors. Maurer has said that if the loan doesn't come, he believes laid-off workers will move on and that could make recovery from Diamond's under-funded position that much more difficult.