Thielert shares dropped to a record low of 3.65 Euros (its traded as high as 25.22) on the German stock market Tuesday on news the company was delaying the release of its financial statements. The company, which supplies diesel aircraft engines to Diamond and Cessna, as well as for STC applications, has some major accounting work to do after a Hamburg court, on March 6, nullified its financial statements for the years 2003, 2004 and 2005. The court ruled the company had breached valuation provisions. Thielert is appealing the decision. An earlier action against the company nullified all the resolutions made at last Augusts shareholders meeting. AVweb found out about the situation after close of business in Germany and has not been able to contact company officials. A message left at the companys North American subsidiary, Superior Air Parts, was not returned by our deadline. The companys two biggest customers, however, say its business as usual.
Diamond Aircraft, which uses Thielerts in its DA40 single and DA42 twin continues to receive inventory and support from the company. We have no information beyond what is published, said Diamond CEO Peter Maurer. We have been a long-time customer of TAE, we are their highest volume OEM customer and continue to receive and install TAE engines in our DA40-tdi and DA42 aircraft. Cessna has started putting diesels in 172s and spokeswoman Pia Bergqvist said the company is monitoring the situation, but theres been no change in business between the two. We have good relationship with Thielert, she said. This does not affect our relationship.