Columbia Aircraft, manufacturer of the Columbia 350 and 400 series of aircraft, is likely to be sold Cessna Aircraft in a move which was predicted last week.

The outline of the deal was announced at the National Business Aviation Association (NBAA) Convention in Atlanta. The outcome of the acquisition depends on the bankruptcy proceedings which Columbia announced yesterday that it has filed avoluntary petition for reorganization under Chapter 11 of the US Bankruptcy Code. "This action," says the company, "has resulted from a series of events dating back to 2006 that hampered the Company’s ability to deliver aircraft and disrupted cash flow".

Cessna has also confirmed that it has signed a Letter of Intent (LOI) with Columbia "to acquire selected assets and certain liabilities of the Bend, Oregon-based aircraft manufacturer".

Jack Pelton, Cessna chairman, explained the reasons for the purchase: “Columbia’s unique capability in the high-end single-engine piston market makes it a perfect complement to our Next Generation Piston product line and could provide our customers with the option of an outstanding low-wing, high-performance piston airplane. We believe the combination of this superb product line and Cessna’s world class support structure and brand will be unbeatable.”

The company has also "filed a motion with the Bankruptcy Court seeking approval for a sale of substantially all of its assets to Cessna".

The move has been welcomed by other manufacturers, notably Columbia's composite-manufacturing rival Cirrus, who suggested that if nothing else it underlines how important composite aircraft have become.