in December 1986. In August 1987, after extensive government deliberations, the decision was made (by one vote) to cancel the Lavi program, due to the questioning of Israel's economic ability to support the cost of such an extensive program. This led to a serious crisis at IAI which necessitated a major reorganization of the company's structure and business strategy; the company's work force of more than 22,000 people was cut by 5,500 in 1988. However, the Lavi program was credited with developing a number of advanced technologies that IAI was able to market. 1990s onwardsexport led growth By 1989 IAI posted a profit of $11.8 million on sales of $1.28 billion. The company had four divisions—Aircraft, Aviation, Electronics, and Technologies—and 17 factories. IAI was established as a world leader in upgrading aircraft. Planes such as the Vietnam-era McDonnell Douglas F-4 Phantom II were modernized with advanced avionics and weaponry. In the 1990s IAI entered the space race with the AMOS communications satellites, Ofeq observation satellites and the Shavit space launcher. In December 1997, the IAI Galaxy, a business jet with an intercontinental range developed as a joint venture Galaxy Aerospace with the Hyatt Corporation, made its first flight and entered service in 2000. In May 2001, General Dynamics' Gulfstream Aerospace bought IAI's Galaxy Aerospace Co. L.P. unit for $330 million, although IAI continues to perform the most of the assembly and development of the jets which are marketed by Gulfstream. In 2003, Israel Aircraft Industries attempted to enter the VLJ (very light jet) Market by launching the Avocet ProJet, a 6–8 seat high utilization air taxi with a list price almost half the cost of the least expensive business jet available at that time. In early 2006, ProJet development stalled after a major undisclosed US OEM pulled out of the program due to unspecified reasons. The company was working with the Aviation Technology Group on a military trainer version of the ATG Javelin, a fighter style personal jet. The version being developed would have competed against a large field of jet trainers at a much lower cost of acquisition and maintenance. ATG halted development of the Javelin in 2008 due to a lack of funds. In March 2004 IAI signed a $1.1 billion contract with India to install three EL/W-2090 AWACS systems on Russian-made Ilyushin Il-76 transports, which are based in part on IAI's earlier EL/M-2075 Phalcon platform which was