Jan. 25, 2022—Service King, which is reportedly strapped for cash, has hired a new Chief Financial Officer, according to a press release.
Peter Hunt has been hired as the company’s new CFO, responsible for managing all aspects of financial leadership including accounting, tax, financial planning and analysis, and capital structure.
Hunt arrives at Service King with significant experience working in the airline industry. He was the CFO of Alaska Air Group and the president and COO of Virgin America.
“Having worked closely alongside Peter for seven years at Virgin America, I’m confident that his extensive experience will drive Service King’s success and give our organization some new tools in its toolbox,” Service King CEO David Cush said in a statement. “He brings a proven track record of high level critical thinking and strategy development, significant skills and experience in the traditional CFO responsibilities and direct operating experience in the highly complex airline industry. I’m personally excited to be working with Peter again and I know all of you will enjoy working with him.”
In November, it was reported that Service King had warned its lenders that dwindling cash was casting doubt on its ability to pay debt and continue as a going concern. The original reporting from Bloomberg reported the Blackstone Inc. and Carlyle Group Inc.-backed company reported $31 million in cash as of the third quarter after it drew $72 million on its revolving credit facility and maxed out its borrowing availability. The company also entered into a sale-lease-back agreement with some of its real estate holdings that generated $66 million in gross proceeds.
Service King reported a loss of $6 million in adjusted earnings during the third quarter, more than the $5.4 million loss it reported in the same period a year ago and far from the $27 million gain the company reported in 2019.
