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ULS. Departmmi t o f Transportatio n Offic e o f th e Secretar

y o f Transportatio n 

### "PARTMEN TO F .^V^iS^ORlXriO N m oPER/vriON S ^FM M A W

- 2 8 1 20 0 Ne w JerseyAvenue , S E Washington , D C 2059 0

Septembe r

13 , 201 0 Mr . Gregory P . Cirill o Wile y Rei n LL P 792 5 Jone s Branc h Driv e McLean , V A 2210 2 Re : Docket s DOT-OST-2010-015 3 an dDOT-OST-2010-019 0 Applicatio n o f

Aviatio n Services , Ltd. , d/b/ aFreedo mAi r fo r Sectio n 4110 2 Certificat e Authorit y Dear Mr . Cirilo : W e hav e receive dth e application s file db y Aviatio n Services , Ltd. , d/b/ aFreedo mAi r ("Freedo mAir" ) o n Jun e 1 4 an dJul y 28 , 2010 , for adeterminatio n of

it s fitnes s t o conduc t interstat e an dforeig n charte r ai r transportatio n o f

person , property , an dmai l usin g larg e aircraft . W e are currentl y reviewin g th e materia l file db y th e applicant , an ddurin g th e cours e of ou r review , w e hav e foun dthat w e requir e additiona l and/o r clarifyin g informatio n before w e can complet e ou r

processin g o f

Freedo mAir' s application . Th e attache dInformatio n Reques t list s th e area s wher e further and/o r clarificatio n informatio n i s necessary . I as k tha t yo u respon dfull y t o thi s reques t withi n 3 0 day s o f

th e dat e o f

thi s letter . Th e origina l plu s 6 copie s o f

you r respons e shoul db e file di n Docket s DOT-OST-2010-015 3 an dDOT-OST-2010-0190 . Sinc e ou r revie w o f

th e applicatio n remain s ongoing , further informatio n may b e require d befor e w e are abl e t o mak e afitnes s determination . Pleas e remember that Freedo mAi r shoul dpromptl y provid e th e Departmen t with an y informatio n regardin g change s it may underg o in area s affectin g it s fitnes s (i.e. , management , operatin g plan s o r financial condition , complianc e disposition , o r ownership ) whil e it s applicatio n i s unde r revie w b y th e Department .Than k yo u for your cooperatio n i

n thi s matter . I

f you hav e any question s regardin g thi s letter o r th e requeste dinformation , pleas e fee l fre e t o contac t me a t (202 ) 366-9721 . Sincerely ,

Vaness aR . Balgobi n Transportatio n Industry Analys t Ai r Carrie r Fitnes s Divisio n Enclosur e cc : Docke t

DOT-OST-2010-015 3 Docke t DOT-OST-2010-019 0 Mr . Ti mMcCarth y Honolul u Certificat e Managemen t Offic e Federa l Aviatio n Administratio n 13 5 Nakal o Plac e Honolulu , H I 9681 9INFORMATIO N REQUES T AVIATIO N SERVICES , LTD. , d/b/ aFREEDO M AI R MANAGEMEN T AN D KE Y TECHNICA LPERSONNE L 1 . Th e resum e o f

Mr . Jame s Gazley , Directo r of Maintenance , indicate s that h e ha s som e experienc e maintainin g larg e aircraft . Pleas e identif y th e typ e o f

larg e aircraf t h e ha s maintained . 2 . Wit h respec t

t o th e resum e for

Mr . Jame s Jamison , pleas e provid e adetaile d listin g o f al l previou s employmen t (both aviatio n an dnon-aviation ) an deducatio n an dtraining , includin g FA A certification s an dlicens e number s i f applicable . Th e employmen t

listin g shoul dinclud e th e nam e o f employer , locatio n (city , state) , typ e o f business , position(s ) held , descriptio n of responsibilities , an ddates employed . Further , i

f th e employe r

hel dan y aviatio n authority , th e typ e o f authorit y hel dshoul db e noted . 3 . Base do n th e resum e submitte dfor Mr . Cardif

f Walker , Chie f

Pilot , it doe s no t appear tha t h e ha s an y experienc e operatin g larg e aircraft . Pleas e discus s Mr . Walker' s qualification s for thi s positio n a s it

pertain s t o larg e aircraf t operations . 4 . Pleas e indicat e i

f an y o f Freedo mAir' s curren t

pilot s ar e qualifie dt o operat e B73 7 aircraft . I

f not , pleas e discus s th e ai r carrier' s plan s t o hir e qualifie dpilot s o r further trai n it s curren t

pilots . OPERATION S 1 . Pleas e provid e copie s of al l agreement s betwee n Freedo mAir, WA I Asia , Ltd . ("WAI") , an dFl y Micronesi aLimite dthat hav e no t

ye t submitte dt o th e Department . 2 . Pleas e discus s Freedo mAir' s plan s fo r maintainin g th e B73 7 aircraft . Wil l aircraf t maintenanc e b e performe din-house , o r wil l it b e contracte dout . I

f th e maintenanc e wil l b e contracte dout , pleas e indicat e wh o wil l performth e maintenance . 3 . Provid e acop y o f

an y leas e and/o r

subleas e agreement s for th e B73 7 aircraf

t Freedo mAi r

intend s t o operate . 4 . Doe s WA I inten dt o marke t th e foreig n charte r

flight s a s "Freedo mAir? " I f not , pleas e stat e that

nam e unde r

whic h th e flight s wil l b e marketed .FINANCIA LPOSITIO N

1 . Wha t percentag e o f

Freedo mAir' s annua l revenue s wil l com e fro mbusines s generate db y WAI ? 2 . Freedo mAi r

propose s t o conduc t

interstat e charte r

flight s usin g larg e aircraft , however , th e applican t

ha s no t provide da

n operatin g proposa l fo

r suc h flights , no r ha s th e applican t

submitte dforecas t

financia l information . Generally , i t i s no t th e Department' s practic e t o gran t certificat e authorit y for operation s withou t

a servic e proposa l an dcorrespondin g fitnes s information . Therefore , w e direc t th e applican t t o provid e suc h information . Failur e t o submi t suc h informatio n may resul t in denia l o f

Freedo mAir' s reques t for authorit y t o conduc t

interstat e passenge r charte r flight s usin g larg e aircraft . 3 . Pleas e provid e curren t (withi n 3 months ) compile dbalanc e sheet s an dincom e statement s for

Freedo mAir . 4 . Freedo mAir' s February 28 , 2010 , balanc e shee t show s aliability o f

$1. 6 millio n du e t o "ASLtd-CNMI. " Pleas e explai n thi s liability . Also , stat e whethe r o r no t thi s i s acurren t

liability , tha t

is , payabl e withi n th e nex t 1 2 months . 5 . Th e forecas t

financia l informatio n that Freedo mAi r

provide di s somewha t unclear . Pleas e provid e arevise dforecas t o f th e ai r carrier' s firs t

year expense s associate dwith it s larg e aircraf t operations , b y month , showin g eac h expens e category , suc h a s fuel , maintenance , salaries , etc . Further , thi s informatio n shoul d b e broken-dow n betwee n interstat e an dforeig n charte r operations . 6 . Pleas e identif

y whic h of

th e pre-operatin g cost s hav e bee n pai dt o dat e an dwhic h cost s remai n outstanding . Th e informatio n provide dpursuan t t o thi s Informatio n Reques t shoul db e accompanie d b y th e followin g certification : Th e content s o f

thi s applicatio n an dth e attache dexhibi t (s ) ar e tru e an dcorrec t

t o th e bes t of my knowledg e an dbelief. Pursuan t t o Titl e 1 8 Unite dState s Cod e Sectio n 1001 , I [th e individua l signin g th e application , wh o shal l b e aprincipa l owner , senio r

officer , o r

interna l counse l o f

th e applicant] , i n my individua l capacit y an da s th e authorize drepresentativ e of th e applicant , hav e no t i n an y manne r knowingl y an dwillfull y falsified , conceale do r faile dt o disclos e an y materia l fac t

o r mad e an y false , fictitious , o r fraudulen t

statemen t

o r knowingl y use dan y document s whic h contai n suc h statement s i n connectio n with th e preparation , filin g o r

prosecutio n of

th e application . I understan dthat a n individua l wh o i s foun dt o hav e violate dth e provision s of 1 8 U.S. C sectio n 100 1 shal l b e fine do r

imprisone dno t

mor e tha n fiv e years , o r

both .