BEFORE THE

DEPARTMENT OF TRANSPORTATION

WASHINGTON, D.C

_____________________________________________

Application of )

)

CORPORATE FLIGHT MANAGEMENT, INC. ) Docket No.

)

)

for authority to conduct scheduled passenger )

operations as a commuter air carrier under )

49 U.S.C. § 41738 )

_____________________________________________ )

APPLICATION OF

CORPORATE FLIGHT MANAGEMENT, INC.

Communications with respect to this document should be addressed to:

Allen Howell Susan B. Jollie

Corporate Flight Management, Inc. Law Office of Susan B. Jollie

276 Doug Warpoole Rd. 7503 Walton Lane

Smyrna, TN 37167 Annandale, VA 22003

(615) 220-1761 (703) 354-8450

(615) 220-1769 (facsimile) (703) 354-4945 (facsimile)

Allen.Howell@flycfm.com SJollie@verizon.net

President Attorney for

Corporate Flight Management, Inc. Corporate Flight Management, Inc.

March 22, 2013
1

BEFORE THE

DEPARTMENT OF TRANSPORTATION

WASHINGTON, D.C

_____________________________________________

Application of )

)

CORPORATE FLIGHT MANAGEMENT, INC. ) Docket No.

)

)

for authority to conduct scheduled passenger )

operations as a commuter air carrier under )

49 U.S.C. § 41738 )

_____________________________________________ )

APPLICATION OF

CORPORATE FLIGHT MANAGEMENT, INC.

Pursuant to section 41738 of the Transportation Code (49 U.S.C. §41 738) and Part 298

of the Department of Transportation's Economic Regulations (14 CFR Part 298), Corporate

Flight Management, Inc. ("CFM") hereby applies for authority to operate scheduled passenger

service as a commuter air carrier.

In support of this Application, CFM states the following:

1. The applicant's full legal name is Corporate Flight Management, Inc. See Exhibit

CFM - 400 for a more detailed description of the applicant's prior operating history. CFM

currently conducts operations as Corporate Flight Management, Inc. and using the abbreviation

“CFM”.

2. CFM maintains its administrative offices at the Smyrna/Rutherford County

Airport (“MQY”), 276 Doug Warpoole Road; Smyrna, Tennessee 37167. Its telephone number
2

is 615-220-1761 and its facsimile number is 615-220-1769. The company's website is:

www.flycfm.com.

3. CFM was formed on July 26, 1982 as a "C” Corporation under the laws of the

State of Tennessee. Exhibit CFM – 103 is a Certificate of Good Standing for CFM issued by the

Tennessee Department of Revenue.

4. From 1982 to 1986, the company provided contract flight department and aircraft

management services to the owners of Part 91 aircraft from its original location in Murfreesboro,

Tennessee. In 1984, CFM began providing Fixed Base Operations (FBO) services, first at the

Smyrna, Tennessee Airport and later at the John C. Tune Airport in Nashville, Tennessee and the

Danbury, Connecticut airport. Also in 1984, the company received certification from the FAA

as a Part 145 repair station. In addition, the company relocated its headquarters from

Murfreesboro to Smyrna, Tennessee in 1984. See Exhibit CFM – 400. During this period, the

company was owned and operated by Charles R. (“Chuck”) Howell, James A. (“Allen”) Howell,

and David Augustin. These three gentlemen continue to own the majority of CFM’s stock

through C.F.M. Holding, Inc. See Exhibit CFM – 102 Tables A and B.

5. In 1986, the applicant commenced operations as an air taxi authorized under 14

CFR Parts 135 and Part 298. Exhibit CFM – 708 is a copy of CFM’s current air taxi operator

registration (FAA certificate FJTA-920D). By 2012, CFM’s charter fleet had grown to 24

aircraft. See Exhibit CFM - 500. In addition to operating air taxi flights, CFM continues to

provide contract flight department services to the owners and lessees of Part 91 aircraft. At the

end of 2012, the company had 5 managed aircraft clients. See Exhibit CFM – 600.
3

6. In August 1995, by Order 95-8-2, DOT found CFM fit, willing, and able to

provide service as a commuter air carrier. Concurrently, the Federal Aviation Administration

(FAA) issued Federal Aviation Regulation (14 CFR) (FAR) Part 121 Operations Specifications

to the company. The company conducted both FAR Part 121 and FAR Part 135 under its

certificate FJTA-920D from 1996 to 2001.

7. In 2001, the company formed Corporate Airlines, Inc. as a wholly-owned

subsidiary to separate the FAR Part 121 commuter operations from its other lines of business.

Chuck Howell was named president of Corporate Airlines, Inc. The FAA issued a new

certificate and Part 121 Operations Specifications to this new entity. By Order 01-3-7, DOT

approved the transfer of CFM’s commuter air carrier authority to Corporate Airlines, Inc.

8. Upon the completion of the transfer of the company’s FAR Part 121 commuter

operations to Corporate Airlines, Inc., CFM divested its entire interest in the new entity in

exchange for the redemption of its stock held by S&S Enterprises. Chuck Howell remained with

Corporate Airlines, Inc. as its President until 2002. After Chuck Howell resigned in 2002 to take

the Chief Operating Officer position with Great Lakes Airlines, neither CFM nor its directors or

officers had any economic or operational ties to Corporate Airlines, Inc. (By Order 2005-2-15,

DOT approved Corporate Airline’s name change to RegionsAir, Inc.)

9. In 1999, the three majority owners of CFM, Allen Howell, Chuck Howell, and

David Augustin formed C.F.M. Holding LLC, a Tennessee “C” corporation, to own their CFM

stock. Presently, CFM Holding Inc. owns 79.47% of the stock of CFM. See Exhibit CFM – 102.
4

10. The company has a strong track record of economic growth. CFM’s total annual

sales grew to $10 million by 1995 and had increased to $18 million 10 years later. In the last 7

years, the company’s gross revenue has nearly doubled, to over $32 million for Fiscal Year

ended August 31, 2011 and $35.8 million in the Fiscal Year ended August 31, 2012. The

company posted a net profit of $220,542 in Fiscal Year 2011 and $420,490 in Fiscal Year 2012.

See Exhibits CFM – 302 and 303.

11. CFM has one class of stock. There are 1,000,000 shares of stock authorized, of

which 655,885 shares are issued and outstanding. Of these 521,250 shares (79.47%) are owned

by C.F.M. Holdings, Inc. The remaining 134,635 shares (20.53%) are owned by individuals and

business entities. see Exhibit CFM - 102. CFM’s Board of Directors is comprised of the

following individuals: David Augustin (Chairman), Allen Howell, Chuck Howell, Leon Custers,

Doug Cate, John Couri, and Thomas Chappell. CFM’s officers are: Allen Howell, President,

Chief Executive Officer (CEO), Treasurer, and Secretary; Doug Cate, Chief Financial Officer

(CFO); Leon Custers, Chief Operating Officer (COO); Ryan Donahue, Vice President of

Maintenance; and Mark Stear, Vice President of Sales and Marketing. Allen Howell is

responsible for all daily management decisions regarding the operation of the company. All of

CFM’s officer and directors, with the exception of Leon Custers are citizens of the United States.

Mr. Custers is a citizen of the Netherlands who has applied for U.S. citizenship. See Exhibit

CFM – 100.

12. C.F.M. Holding, Inc. has one class of stock. There are 1,000 shares of stock

authorized, of which 1,000 shares are issued and outstanding. Of these 380 shares (38%) are

owned by Allen Howell, 380 shares (38%) are owned by David Augustin, and 240 shares (24%)
5

are owned by Chuck Howell. See Exhibit CFM – 102 Table B. All three shareholders are

directors of C.F.M. Holding, Inc. David Augustin is President of C.F.M. Holding, Inc. Allen

Howell is C.F.M. Holding, Inc.’s Secretary and Treasurer. All of the shareholders and officers of

C.F.M. Holding, Inc. are United States citizens. See Exhibit CFM – 100.

13. An affidavit certifying that CFM is a "citizen of the United States" as that term is

defined in 49 U.S.C. § 40402(a)(l5) is attached as Exhibit CFM - 104.

14. As set forth more fully in Exhibits CFM - 100 and 200, Allen Howell, Chuck

Howell, and David Augustin own a business entity (CFM Airport Development LLC) that owns

T-hangars that in turn are leased to CFM. John Couri owns an entity that leases an aircraft to

CFM under a revenue sharing agreement. Chuck Howell presently serves as President and CEO

of Great Lakes Airlines. Tom Chappell is President and CEO of Chappell, Smith & Associates,

Inc., the parent company of CS & A Insurance, a broker of aviation insurance. Apart from the

relationships disclosed in Exhibits CFM - 100 and 200, none of the managers, officers, or key

personnel have a financial interest in, or are related by blood or marriage to any individual who

has a financial interest in, or serve or have served as an officer or director of any other air carrier,

common carrier, or person substantially engaged in the business of aeronautics.

15. CFM currently provides FAR Part 135 air taxi services and aircraft management

services through its Flight Operations Division, fixed base operations at several airports through

its FBO Division, maintenance services under FAR Part 145 through its Maintenance Division,

and aircraft sales and related transactional services through its Aircraft Sales Division. See

Exhibit CFM – 600.
6

16. In October 2012, the company’s Flight Operations Division entered into an

aircraft charter contract with Public Charters, Inc. to provide four round trip flights per week

between Manistee, Michigan (MBL) and Chicago Midway Airport (MDW). CFM presently

operates one round trip on Thursday, Friday, Sunday, and Monday of each week. All flights are

conducted under 14 CFR Part 380 as public charters with CFM acting as the direct air carrier and

Public Charters, Inc. (PCI) as the indirect air carrier. See Exhibits CFM – 600, 700, and 707.

17. PCI receives funding for this operation from the Manistee Blacker Airport

Authority (MBAA) which has secured funding under an Alternative Essential Air Service (EAS)

grant from DOT. See Order 12-3-9 (March 16, 2012). CFM bases one of its Jetstream-31 aircraft

with 19 passenger seats at MBL to support this activity. See Exhibits CFM –700. The company

has other Jetstream- aircraft available to back up its primary aircraft. See Exhibit CFM –500.

18. CFM is limited to operating only 4 weekly round trips between MBL and MDW

because CFM operates under economic authority as an air taxi pursuant to 14 CFR Part 298.

This limited schedule does not meet the needs of the community and MBAA is very interested in

securing daily service as soon as possible.

19. Corporate Flight Management, Inc. is seeking authorization to offer scheduled

passenger air transportation services as a commuter air carrier by submitting information in

conformity with 14 CFR §204.3. Its service proposal envisions a modest increase of three (3)

round trip charter flights per week between Manistee, Michigan and Chicago, Illinois (the

“Proposed Service”), resulting in one round trip each day, for a total of seven (7) round trips per

week for this city pair. See Exhibits CFM – 700 and 702. All trips would be marketed by Public
7

Charters, Inc. and operated as public charter flights in accordance with 14 CFR Part 380. See

Exhibit CFM – 700.

20. CFM will incur no material start-up costs for this increase in service. PCI has

already paid CFM $5,000 to base an aircraft at the Manistee Blacker Airport (MBL). See

Exhibits CFM – 700. PCI also bears the costs of establishing and maintaining the base

operations. See Exhibits CFM – 700 and 701.

21. The Proposed Service will make an immediate positive contribution to CFM's

profitability because the round trips will be operated under the company’s existing agreement

with Public Charters, Inc., providing an immediate revenue contribution of $815.00 per

completed Block Hour. See Exhibits CFM – 700-706. CFM can accommodate the increase in

the number of flights without adding aircraft, operations or maintenance personnel, or

infrastructure. The only expenses that CFM will incur are incremental costs that are directly

correlated to the number of hours the aircraft is utilized. The Proposed Service and the detailed

financial projections are presented in Exhibits CFM – 700-706.

22. The revenue that is projected from the Proposed Service is not solely dependent

upon PCI’s ability to sell charter flights in this market. The EAS service is subsidized through a

DOT grant program that provided funding based on daily frequencies. See Order 12-3-9. Prompt

approval of this application will allow MBAA to restore the intended level of service before the

peak summer travel season.

23. Because any deficiency in meeting the costs of the proposed service will be

underwritten of the Alternate EAS subsidy, this application presents a situation that is

distinguishable from a typical scheduled service start-up service proposal for which the
8

Department requires funding to cover the projected costs for the first three months of operations.

Nonetheless, CFM has ample financial resources available. CFM was built on providing

diversified services focusing on small aircraft operations and the company is profitable. See

Exhibits CFM – 302 to 305. Unless specifically addressed in the Notes to the financial

statements, the applicant has no undisclosed liens or encumbrances against the assets of CFM or

C.F.M Holding, Inc. The company has not made any other major commitment within the last 6

months or that it intends to make in next 6 months for financing, issuance of stock or bonds, sale

or exchange or major assets, or incurred significant liabilities that are more than 60 days past

due, or entered into major contracts that would significantly alter the financial statements that

have been presented in support of this application. Neither CFM nor C.F.M. Holding, Inc. or any

of the key personnel are aware of any lawsuits or contingent liabilities that would have a

significant adverse impact on the applicant's financial position or its operations. CFM is

therefore in a position to finance its modest service expansion from internally generated funds.

24. In addition, CFM has access to funds made available through a revolving line of

credit established with the Pinnacle National Bank. See Exhibit CFM-709. In the event the

Department has reservations about the ability of CFM to fund its proposed operations, CFM

would accept a condition to be incorporated in the Final Order requiring the company to provide

a Certificate of Deposit with Pinnacle National Bank in an amount of the forecast costs for the

first three months of operation for the Proposed Service to remain in effect for the initial three

months of actual operation.

25. CFM's managerial team possesses considerable business and aviation experience

to perform the scheduled commuter air transportation services for which authority is requested.
9

See Exhibits CFM - 200-214. As required by 14 CFR § 119.69, all of CFM’s key technical

personnel met the qualifications set forth in 14 CFR § 119.71. See Exhibits CFM – 211, 212,

213, and 214. Exhibit CFM - 215 is a copy of CFM’s Organization Chart.

26. CFM's compliance record throughout its 30 year history has been superior. The

company has developed a strong culture of safety, having experienced two non-fatal accidents,

both of which occurred more than 10 years ago. During its entire existence, the company has not

experienced any major incidents and has had only 9 minor incidents. Only three of those minor

incidents have occurred in the past 10 years. See Exhibits CFM – 800 to 815.

27. There are no outstanding judgments against the applicant, C.F.M. Holding, Inc.,

any of their affiliated entities, or their key personnel. See Exhibits CFM -100-200. Neither the

applicant nor any of its key personnel have been charged with any fraudulent or anticompetitive

activities, or violated laws or regulations that would pose potential risks to consumers of its

airline services. Id. The Department can readily conclude that all are disposed to comply with the

statutory provisions and the Department's rules, regulations, and requirements.

28. CFM is submitting evidence of aircraft insurance in Exhibits CFM – 900 to 901.

Negotiations for renewal of CFM's insurance have been successfully concluded. All of the

participating underwriters have agreed to renew at their current level. The new policy will be

issued prior to March 31, 2013, and a new OST 6410 will be submitted immediately following

the policy renewal.

29. Exhibit CFM – 1000 is a copy of OST Form 4523. The original will be

concurrently filed in OST Docket 95-236.
30. CFM has adopted an Emergency Response Plan that provides detailed guidance 

for responding to an accident or incident. See Exhibits CFM- 1100 to 1101. 

31. Corporate Flight Management, Inc. has demonstrated that it is fit, willing and able 

to perform scheduled commuter air transportation services. 

WHEREFORE, Corporate Flight Management, Inc. respectfully requests that the Department 

of Transportation grant it the authority to conduct scheduled commuter air transportation services 

pursuant to 49 U.S.C. § 41738 and 14 CFR Part 298. CFM respectfully requests expedited 

approval to restore service in the Manistee - Chicago market to the level intended under the 

Essential Air Service program. 

March 22, 20 13 

10 

Respectfully submitted, 

Susan B. Jollie 

Law Office of Susan B. Jollie 

7503 Walton Lane 

Annandale, VA 22003 

(703) 354-8450 

(703) 354-4945 (facsimile) 

SJ ollie@verizon.net 

Attorney for 

Corporate Flight Management, Inc. 
VERIFICATION 

This Application and the information therein, including the Exhibits attached hereto, are true and correct 

to the best of my knowledge and belief. Pursuant to Title 18, United States Code section 1001, I, Allen 

Howell, in my individual capacity and as the authorized representative of the Applicant, have not in any 

manner knowingly and willfully falsified, concealed or failed to disclose any material fact or made any 

false, fictitious, or fraudulent statement or knowingly used any documents which contain such statements 

in connection with the preparation, filing or prosecution of the Application. I understand that an 

individual who is found to have violated the provisions of 18 U.S.C. Section 1001 shall be fined or 

imprisoned not more than five years, or both. 

Allen Howell 

10 
CERTIFICATE OF SERVICE 

I certify that on this 22nd day of March, 2013, I have cause to be served a copy of the 

Application of Corporate Flight Management, Inc. by first class U.S. mail or electronic mail on 

the following persons: 

Mr. Walter H. Bevan 

Manager 

Nashville Flight Standards District Office 

#2 International Plaza, Suite 700 

Nashville, TN 37217 

Mr. Barry Lind 

Director 

Manistee County Blacker Airport 

2323 Airport Road 

Manistee, MI 49660 

Ms. Erin O'Donnell 

Managing Deputy Commissioner 

Chicago Midway International Airport 

5700 S Cicero 

Chicago, IL 60638 
 Exhibit CFM - 100 

 Page 1 of 8 

 

CORPORATE FLIGHT MANAGEMENT, INC. CORPORATE STRUCTURE 

CFM Equity Structure: - One class of stock – voting common 

- 1,000,000 shares authorized 

- 655,885 shares issued and outstanding 

- 521,250 owned by C.F.M. Holding, Inc.; 142,635 

owned by other individuals and entities 

- See Exhibit CFM – 101 Ownership of Corporate Flight 

Management, Inc. and Exhibit CFM – 102 Table A - 

Stock Ownership of Corporate Flight Management 

- No legal actions or outstanding judgments of any kind 

- Never charged with unfair or deceptive or 

anticompetitive business practices, or with fraud, felony 

or antitrust violation 

CFM Entity Structure: - Tennessee “C” corporation 

- Directors: David Augustin (Chairman) 

Allen Howell 

Chuck Howell 

Leon Custers 

Doug Cate 

John Couri (outside director) 

Tom Chappell (outside director) 

- Officers: Allen Howell, President, CEO, Secretary, 

Treasurer 

Doug Cate, CFO 

Leon Custers, COO 

Ryan Donahue, VP of Maintenance 

Mark Stear, VP of Sales & Marketing 
 Exhibit CFM - 100 

 Page 2 of 8 

 

CFM Affiliates: C.F.M. Holding, Inc. 

- Owns 79.47% of CFM. Does not own any other 

business entities. 

- Tennessee “C” corporation 

- One class of equity: voting common stock 

- 1,000 shares authorized 

- 1,000 shares issued and outstanding 

- Directors: David Augustin, Allen Howell Chuck 

Howell 

- Officers: David Augustin, President 

Allen Howell, Secretary and Treasurer 

- See Exhibit CFM – 102 Table B - Stock Ownership of 

C.F.M. Holding, Inc. 

- No legal actions or outstanding judgments of any kind 

- Never charged with unfair or deceptive or 

anticompetitive business practices, or with fraud, felony 

or antitrust violations 

Executive Group Holdings, LLC. 

- Owns 2.56% of CFM’s stock 

- Does not have an ownership interest in any other 

business entities. 

- A Connecticut Limited Liability Company managed by 

a single manager 

- All equity is owned 100% by Couri & Company, LLC 

- Sole Manager: John Couri 

- Does not have officers. (Connecticut law does not 

require limited liability companies to have officers). 

- No legal actions or outstanding judgments of any kind 
 Exhibit CFM - 100 

 Page 3 of 8 

 

- Never charged with unfair or deceptive or 

anticompetitive business practices, or with fraud, felony 

or antitrust violations 

Couri & Company, LLC 

- Owns 100% of Executive Group Holding LLC’s equity 

(owns 2.56% of CFM’s stock) 

- Owns several entities that hold investments in real 

property. Does not directly own equity in CFM. Does 

not own any other aviation-related businesses. 

- A Connecticut Limited Liability Company managed by 

a single Manager 

- All equity is owned 50% by John Couri, an individual 

and 50% by Christopher J. Couri, an individual. See 

Exhibit CFM – 102 Table D - Membership of Couri 

Company LLC 

- Sole Managers: John Couri 

- Does not have officers. (Connecticut law does not 

require limited liability companies to have officers). 

- No legal actions or outstanding judgments of any kind 

- Never charged with unfair or deceptive or 

anticompetitive business practices, or with fraud, felony 

or antitrust violations 

Jetstream Air LLC 

- Leases Jetstream 31 N657BA to CFM under a dry lease 

arrangement for FAR Part 135 operations. 

- Tennessee Limited Liability Company managed by a 

single member 

- 39% owned by CFM. 22% owned by David Hall, an 

individual and 22% owned by Cliff Tant, an individual. 

- Manager: CFM 

- Does not have officers. (Tennessee law does not 

require limited liability companies to have officers). 
 Exhibit CFM - 100 

 Page 4 of 8 

 

- This entity does not own an interest in CFM, C.F.M. 

Holdings, Inc, or any of their affiliated entities. It does 

not own or co-own any other business entities 

- Neither Mr. Hall nor Mr. Tant owns an interest in CFM, 

C.F.M. Holding, Inc, or any of their affiliated entities. 

Neither individual is a director, manager, officer or 

executive of CFM, C.F.M. Holding, Inc. or any of their 

affiliated entities. 

- No legal actions or outstanding judgments of any kind 

- Never charged with unfair or deceptive or 

anticompetitive business practices, or with fraud, felony 

or antitrust violations 

Jetstream Sales LLC 

- Owns and refurbishes Jetstream 31, 32, and 41 aircraft 

for resale. 

- Tennessee Limited Liability Company managed by its 

members 

- 50% owned by CFM. 50% owned by Ken Mourton, an 

individual 

- Does not have officers. (Tennessee law does not 

require limited liability companies to have officers). 

- This entity does not own an interest in CFM, C.F.M. 

Holdings, Inc, or any of their affiliated entities. It does 

not own or co-own any other business entities 

- Mr. Mourton does not own an interest in CFM, C.F.M. 

Holding, Inc, or any of their affiliated entities. Mr. 

Mourton is not a director, manager, officer, or 

executive of CFM, C.F.M. Holding, Inc. or any of their 

affiliated entities. 

- No legal actions or outstanding judgments of any kind 

- Never charged with unfair or deceptive or 

anticompetitive business practices, or with fraud, felony 

or antitrust violations 
 Exhibit CFM - 100 

 Page 5 of 8 

 

Wings of Eagles, LLC 

- Dormant entity. Formerly a flight school operator and 

lessor of Diamond aircraft to JWN Wings of Eagles, 

LLC and MQY Wings of Eagles, LLC 

- Tennessee Limited Liability Company managed by its 

members 

- 70% owned by CFM. 10% owned by David Augustin, 

10% by Allen Howell, and 10% by Tony Fiorentino 

- Officers: David Augustin, President; Allen Howell, 

Secretary and Treasurer 

- This entity does not own an interest in CFM, C.F.M. 

Holdings, Inc, or any of their affiliated entities. It does 

not own or co-own any other business entities 

- No legal actions or outstanding judgments of any kind 

- Never charged with unfair or deceptive or 

anticompetitive business practices, or with fraud, felony 

or antitrust violations 

JWN Wings of Eagles, LLC 

- Operates a flight school at John Tune Airport (JWN) 

- Tennessee Limited Liability Company managed by a 

single manager 

- 50% owned by CFM. 50% owned by Randy Harmon, 

an individual 

- Manager: Randy Harmon 

- Does not have officers. (Tennessee law does not 

require limited liability companies to have officers). 

- This entity does not own an interest in CFM, C.F.M. 

Holdings, Inc, or any of their affiliated entities. It does 

not own or co-own any other business entities 

- Mr. Harmon does not own an interest in CFM, C.F.M. 

Holding, Inc, or any of their affiliated entities. Mr. 

Harmon is not a director, manager, officer, or executive 
 Exhibit CFM - 100 

 Page 6 of 8 

 

of CFM, C.F.M. Holding, Inc. or any of their affiliated 

entities. 

- No legal actions or outstanding judgments of any kind 

- Never charged with unfair or deceptive or 

anticompetitive business practices, or with fraud, felony 

or antitrust violations 

MQY Wings of Eagles, LLC 

- Operates a flight school at the Smyrna Airport (MQY) 

- Tennessee Limited Liability Company managed by its 

members 

- 100% owned by CFM. 

- Does not have officers. (Tennessee law does not 

require limited liability companies to have officers). 

- This entity does not own an interest in CFM, C.F.M. 

Holdings, Inc, or any of their affiliated entities. It does 

not own or co-own any other business entities 

- No legal actions or outstanding judgments of any kind 

- Never charged with unfair or deceptive or 

anticompetitive business practices, or with fraud, felony 

or antitrust violations 

CFM HLA Joint Venture 

- Owns and operates a 20,000 square foot hangar and 

office complex at John Tune Airport (JWN) 

- Tennessee Partnership 

- 50% owned by CFM. 50% owned by HL Aviation, a 

US Virgin Islands Limited Liability Company 

- The partnership is managed by the partners 

- This entity does not own an interest in CFM, C.F.M. 

Holdings, Inc, or any of their affiliated entities. It does 

not own or co-own any other business entities 
 Exhibit CFM - 100 

 Page 7 of 8 

 

- No legal actions or outstanding judgments of any kind 

- Never charged with unfair or deceptive or 

anticompetitive business practices, or with fraud, felony 

or antitrust violations 

CFM Airport Development, LLC 

- Owns a 20 unit T-hangar facility at John Tune Airport 

(JWN). Leases the entire facility to CFM. 

- Tennessee Limited Liability Company managed by its 

members 

- Owned 1/3rd each by Allen Howell, Chuck Howell, and 

David Augustin, individually. 

- Officers: David Augustin, President; Allen Howell, 

Secretary and Treasurer 

- This entity does not own an interest in CFM, C.F.M. 

Holdings, Inc, or any of their affiliated entities. It does 

not own or co-own any other business entities. 

- The three owners of this entity together own 100% of 

C.F.M. Holding, Inc. (owns 79.46% of CFM). 

- Allen Howell is a director and officer of CFM and 

C.F.M. Holding, Inc. 

- Chuck Howell and David Augustin are directors of 

CFM and C.F.M. Holding, Inc. 

- No legal actions or outstanding judgments of any kind 

- Never charged with unfair or deceptive or 

anticompetitive business practices, or with fraud, felony 

or antitrust violations 

Goose 5 Limited Partnership 

- Formed to acquire a Jetstream 4100 aircraft 

- Ohio Limited Partnership 
 Exhibit CFM - 100 

 Page 8 of 8 

 

- CFM owns a 17.5% minority limited partnership 

interest in this entity. Its ownership is purely financial, 

with no participation in the management of the 

partnership 

- This entity does not own an interest in CFM, C.F.M. 

Holdings, Inc, or any of their affiliated entities. It does 

not own or co-own any other business entities. 

- No legal actions or outstanding judgments of any kind 

- Never charged with unfair or deceptive or 

anticompetitive business practices, or with fraud, felony 

or antitrust violations 
Ownership of Corporate Flight Management, Inc.

C.F.M. Holding, Inc. 

(CFMH)

79.47%

Individual Investors 

and Employees

20.53%

Corporate Flight Management, Inc.

(CFM)

100%

Jetstream Air LLC

39%

MQY Wings 

of Eagles LLC

100%

JWN Wings 

of Eagles LLC

50%

Jetstream Sales LLC

50%

CFM - HLA 

Joint Venture

50%

*In addition, CFM owns a 17.5% limited partnership interest in Goose 5 LP

Exhibit CFM - 101
Table A - Stock Ownership of Corporate Flight Management, Inc.

Authorized to Issue 1,000,000

Shares Outstanding 655,885

Shares In Treasury 344,115

Shareholder Address

Number of

Shares

Percentage

Ownership

Us

Citizen

CFM Holdings 625 Fitzhugh Blvd, Smyrna TN 37167 521,250 79.47% Yes

Granville A. Watson 2207 Coontree Ct, Murfreesboro TN 37129 15,000 2.29% Yes

Tony Fiorintino 6001 W. Nine Mile Rd. Pensacola, FL 32507 5,000 0.76% Yes

Gayle S. Chumbley 206 Washington St E, Fayetteville, TN 37334 10,000 1.52% Yes

Dean Strong 411 Annex Avenue #E2, Nashville TN 37209 5,500 0.84% Yes

Terry D. Stromatt 1094 Morningside Dr. Kinston Springs, TN 37082 5,300 0.81% Yes

Annette Morton 2128 Espy Road, Bradyville, TN 37026 1,000 0.15% Yes

Joe Sartino 211 Quail Ridge Road, Smyrna TN 37167 200 0.03% Yes

Kenneth C. Odom 102 Rosewood Ct, Smyrna TN 37167 3,500 0.53% Yes

Dwayne A. McMurry 9509 Mount Ayre Way; Murfreesboro, TN 37129 3,200 0.49% Yes

Cindy Norrod 4142 Elizabeth Drive, Mount Juliet TN 37122 500 0.08% Yes

Allen Peralta 111 Whispering Water Court, Christiana TN 37037 1,000 0.15% Yes

Pat Stephens c/o CFM 276 Doug Warpoole Rd. Smyrna, TN 37167 300 0.05% Yes

Diane Prosser 4931 Danby Drive, Nashville TN 37211 1,000 0.15% Yes

Doug Cate 902 Tudor Court; Murfreesboro, TN 37129 16,579 2.53% Yes

Leon Custers 1202 Bolton Drive; Smyrna, TN 37167 49,736 7.58% No

Executive Group Holdings, LLC 53 Miry Brook Road, Danbury, CT 06810 16,820 2.56% Yes

Total Outstanding 655,885 100.00%

Exhibit CFM - 102
Table B - Stock Ownership of C.F.M. Holding, Inc.

Authorized to Issue 1,000

Shares Outstanding 1,000

Shares In Treasury -

Shareholder

Number of

Shares

Percentage

Ownership

Us

Citizen

Allen Howell 4999 Vincion Road, Murfreesboro, TN 37130 380 38.00% yes

David Augustin 4995 Vincion Rd Murfreesboro, TN 37130 380 38.00% yes

Charles R Howell, IV (Chuck) 618 Copperfield Court Brentwood TN 37027 240 24.00% yes

Total Outstanding 1,000 100.00%

Table C - Membership of Executive Group Holdings, LLC

Member Units

Percentage

Ownership

Us

Citizen

Couri and Company, LLC 164 Ramapoo Road; Ridgefield, CT 06877 100 100.00% yes

Table D - Membership of Couri Company, LLC

Member Units

Percentage

Ownership

Us

Citizen

John Couri 164 Ramapoo Road; Ridgefield, CT 06877 50 50.00% yes

Christopher J Couri 164 Ramapoo Road; Ridgefield, CT 06877 50 50.00% yes

Total Outstanding 100 100.00%

Exhibit CFM - 102
Exhibit CFM - 103

N0004901 4123406130308 

TENNESSEE DEPARTMENT OF REVENUE 

CORPORATE FLIGHT MANAGEMENT, INC. 

276 DOUG WARPOOLE RD 

SMYRNA TN 37167-5677 

March 8, 2013 

Account Type: FRANIEXCS2 

Account No.: 317937427 

We have received and processed your request for tax clearance for the account indicated above. Your certificate of 

tax clearance is attached below. If you have a Tennessee charter or certificate of authority, this certificate, a.lon.g 

with the appropriate reports, forms, and fees required, must be submitted to the following address: 

Secretary of State 

312 Rosa L. Parks Ave. 

6th floor 

William R. Snodgrass Tower 

Nashville, TN 37243 

Certificates of clearance for Certificate of Existence/ Authorization or Reinstatement of Corporate 

Charter/Certificate of Authority are invalid after 45 days past the effective date. For additional infonnation 

regarding your Tennessee charter or certificate of authority, please contact the Tennessee SecretaTY of State, 

Division of Business Services at 615-741-22&6. 

DETACH HE:Rt: AND SUBMIT TO THE TENNESSEE SECRETAiiY OF STATE 

TENNESSEE DEPARTMENT OF REVENUE 

500 OF.AOERICK STRE:r:l 

ANDREW JACKSON STATE OFFICE BUILDING 

NASHVILLE, TN 37242 

CERTIFJCATE OFT AX CLEARANCE 

March 8, 2013 

CORPORATE FLIGHT MANAGEMENT, INC. 

276 DOUG W ARPOOLE RD 

Notice No.: 4123406l30308 

AccountNo.: 317937427 

SMYRNA, TN 37167 

Tax Clearance has been granted for; 

Sec. of State Control No.: 0118706 

Effective Date: March 8, 2013 

CONFIRMATION OF GOOD STANDING 

This iEo to certify tha.t ~II applicable report; have been fil~d and that fG$$, penalt1es and taxes have bMn paid 

as required by rGvenue laws ollhls state. 

Richard H. Roberts 

COMMISSIONER OF REVENUE 
Exhibit CFM - 104 

BEFORE THE 

DEPARTMENT OF TRANSPORTATION 

WASHINGTON, D.C 

Application of ) 

) 

CORPORATE FLIGHT MANAGEMENT, INC. ) 

) 

) 

Docket No. 

for authority to conduct scheduled passenger ) 

operations as a commuter air carrier under ) 

49 U.S.C. § 41738 ) ________________________________ ) 

APPLICATION OF 

CORPORATE FLIGHT MANAGEMENT, INC. 

AFFIDAVIT OF CITIZENSHIP 

County of Rutherford ) 

) SS: 

State of Tennessee ) 

I, Allen Howell, being duly sworn, state under oath: 

1. I am the President of Corporate Flight Management, Inc. and I am authorized to execute this 

affidavit. 

2. Corporate Flight Management, Inc. is a citizen of the United States within the meaning of 49 

U.S.C. § 40102(a)(15). 

Allen Howell 

Subscribed and sworn before me this I 0 'f_{ I 6 '-~day of March, 2013. 

My commission expires: ___ ---""6"'----'-"?:."'--·,, +{__,_(">4 __ _,_( +/_,{~').,__- __ _ I I 
Exhibit CFM - 200

Page 1 of 8

DIRECTORS, MANAGERS, OFFICERS, AND KEY MANAGEMENT PERSONNEL

James A. (“Allen”) Howell

 President, CEO, Secretary and Treasurer of CFM; Secretary and

Treasurer of C.F.M. Holding, Inc.; member of CFM and C.F.M.

Holding, Inc. boards of directors; Secretary and Treasurer of Wings of

Eagles, LLC and CFM Airport Development, LLC; Chairman of

Social Flights, LLC

 US Citizen

 Owns 38% (380 shares) of C.F.M. Holding, Inc.’s stock (Owns

79.47% of CFM)

 Owns 1/3rd of CFM Airport Development LLC (leases T-hangars to

CFM at the Smyrna, TN airport)

 Owns 17.6% of Social Flights, LLC, a service that uses social media to

arrange on-demand charter flights

 Not involved in any other air carrier, common carrier, or business

involved in aeronautics

 Brother of Charles R. (“Chuck”) Howell IV, member of the CFM and

C.F.M. Holding, Inc. boards of directors. Not related to any key

personnel by either blood or marriage

 No history of criminal or illegal activity or safety-related violations.

 No legal actions or outstanding judgments of any kind

 Never charged with unfair or deceptive or anticompetitive business

practices, or with fraud, felony or antitrust violations

Charles R. (“Chuck”) Howell IV

 Member of the CFM and C.F.M. Holding, Inc. boards of directors

 US Citizen

 Owns 24% (240 shares) of C.F.M. Holding, Inc.’s stock (Owns

79.47% of CFM)
Exhibit CFM - 200

Page 2 of 8

 Owns 1/3rd of CFM Airport Development LLC (leases T-hangars to

CFM at the Smyrna, TN airport)

 President and CEO of Great Lakes Airlines; former President and CEO

of CFM; former President and CEO of Corporate Airlines, Inc.

 Brother of James A. (“Allen”) Howell, member of the CFM and

C.F.M. Holding, Inc. boards of directors, President and CEO of CFM.

Not related to any other key personnel by either blood or marriage

 No history of criminal or illegal activity or safety-related violations

 No legal actions or outstanding judgments of any kind

 Never charged with unfair or deceptive or anticompetitive business

practices, or with fraud, felony or antitrust violations

David Augustin

 Member of the CFM and C.F.M. Holding, Inc. boards of directors

President of C.F.M. Holding Inc. and CFM Airport Development LLC

 US Citizen

 Owns 38% (380 shares) of C.F.M. Holding, Inc.’s stock (Owns

79.47% of CFM)

 Owns 1/3rd of CFM Airport Development LLC (leases T-hangars to

CFM at the Smyrna, TN airport); Not involved in any other air carrier,

common carrier, or business involved in aeronautics

 Owns 5.5% of Social Flights, LLC, a service that uses social media to

arrange on-demand charter flights

 Not related to any key personnel by either blood or marriage

 No history of criminal or illegal activity or safety-related violations

 No legal actions or outstanding judgments of any kind

 Never charged with unfair or deceptive or anticompetitive business

practices, or with fraud, felony or antitrust violations
Exhibit CFM - 200

Page 3 of 8

Tom Chappell

 Member of the CFM board of directors

 US Citizen

 President, CEO, and co-owner of Chappell, Smith & Associates, Inc.,

parent company of aviation insurance broker CS&A Insurance

 Not related to any key personnel by either blood or marriage

 No history of criminal or illegal activity or safety-related violations

 No legal actions or outstanding judgments of any kind

 Never charged with unfair or deceptive or anticompetitive business

practices, or with fraud, felony or antitrust violations

John Couri

 Member of the CFM board of directors

 Sole Manager of Executive Group Holding, LLC (owns 2.56% of

CFM)

 Sole Manager and 50% owner of Couri and Company, LLC, which

owns 100% of Executive Group Holding, LLC (Owns 2.56% of CFM)

 US Citizen

 Owns King Group LLC, a single member Connecticut limited liability

company (leases King Air 100 N6045S to CFM under a revenuesharing arrangement)

 Not involved in any other air carrier, common carrier, or business

involved in aeronautics

 Not related to any key personnel by either blood or marriage

 No history of criminal or illegal activity or safety-related violations

 No legal actions or outstanding judgments of any kind

 Never charged with unfair or deceptive or anticompetitive business

practices, or with fraud, felony or antitrust violations
Exhibit CFM - 200

Page 4 of 8

Leon Custers

 Chief Operating Officer, CFM; member of the CFM board of directors

 Citizen of the Netherlands. Applicant for U.S. citizenship.

 Full time employee of CFM

 Owns 7.58% (49,736 shares) of the stock of CFM. Does not own

equity (stock or units) in any of CFM’s affiliates

 Owns 5.5% of Social Flights, LLC, a service that uses social media to

arrange on-demand charter flights



 Not related to any key personnel by either blood or marriage

 No history of criminal or illegal activity or safety-related violations

 No legal actions or outstanding judgments of any kind

 Never charged with unfair or deceptive or anticompetitive business

practices, or with fraud, felony or antitrust violations

Douglas Cate

 Chief Financial Officer, CFM; member of the CFM board of directors

 US Citizen

 Full time employee of CFM

 Owns 2.53% (16,579 shares) of the stock of CFM. Does not own

equity (stock or units) in any of CFM’s affiliates

 Owns 5.5% of Social Flights, LLC, a service that uses social media to

arrange on-demand charter flights

 Not related to any key personnel by either blood or marriage

 No history of criminal or illegal activity or safety-related violations

 No legal actions or outstanding judgments of any kind
Exhibit CFM - 200

Page 5 of 8

 Never charged with unfair or deceptive or anticompetitive business

practices, or with fraud, felony or antitrust violations

Ronald Barnum

 Director of Safety, CFM

 US Citizen

 Full time employee of CFM

 Does not own equity (stock or units) in CFM or any of its affiliates

 Not related to any key personnel by either blood or marriage

 No history of criminal or illegal activity or safety-related violations

 No legal actions or outstanding judgments of any kind

 Never charged with unfair or deceptive or anticompetitive business

practices, or with fraud, felony or antitrust violations

Ryan Donahue

 Vice President of Maintenance, CFM

 US Citizen

 Full time employee of CFM

 Does not own equity (stock or units) in CFM or any of its affiliates

 Not related to any key personnel by either blood or marriage

 No history of criminal or illegal activity or safety-related violations

 No legal actions or outstanding judgments of any kind

 Never charged with unfair or deceptive or anticompetitive business

practices, or with fraud, felony or antitrust violations

Mark Stear

 Vice President of Sales and Marketing, CFM

 US Citizen
Exhibit CFM - 200

Page 6 of 8

 Full time employee of CFM

 Does not own equity (stock or units) in CFM or any of its affiliates

 Not related to any key personnel by either blood or marriage

 No legal actions or outstanding judgments of any kind

 Never charged with unfair or deceptive or anticompetitive business

practices, or with fraud, felony or antitrust violations

 No history of criminal or illegal activity or safety-related violations

Dwayne McMurry

 Director of Operations, CFM

 US Citizen

 Full time employee of CFM

 Owns .49% (3,200) shares of the stock of CFM. Does not own equity

(stock or units) in any of CFM’s affiliates

 Not related to any key personnel by either blood or marriage

 No history of criminal or illegal activity or safety-related violations.

 No legal actions or outstanding judgments of any kind

 Never charged with unfair or deceptive or anticompetitive business

practices, or with fraud, felony or antitrust violations

Allen Peralta

 Director of Maintenance, CFM

 US Citizen

 Full time employee of CFM

 Owns .15% (1,000 shares) of CFM’s stock. Does not own equity

(stock or units) in any of CFM’s affiliates
Exhibit CFM - 200

Page 7 of 8

 Not related to any key personnel by either blood or marriage

 No history of criminal or illegal activity or safety-related violations.

 No legal actions or outstanding judgments of any kind

 Never charged with unfair or deceptive or anticompetitive business

practices, or with fraud, felony or antitrust violations

Stanley White

 Chief Inspector/Director of Quality Assurance, CFM

 US Citizen

 Full time employee of CFM

 Does not own equity (stock or units) in CFM or any of its affiliates

 Not related to any key personnel by either blood or marriage

 Mr. White received two traffic citations for DUI over 20 years ago.

Since that time, he has had no additional history of criminal or illegal

activity or safety-related violations

 No legal actions or outstanding judgments of any kind

 Never charged with unfair or deceptive or anticompetitive business

practices, or with fraud, felony or antitrust violations

Jack Hart

 Chief Pilot, CFM

 US Citizen

 Full time employee of CFM

 Does not own equity (stock or units) in CFM or any of its affiliates

 Not related to any key personnel by either blood or marriage

 No history of criminal or illegal activity or safety-related violations

 No legal actions or outstanding judgments of any kind
Exhibit CFM - 200

Page 8 of 8

 Never charged with unfair or deceptive or anticompetitive business

practices, or with fraud, felony or antitrust violations
James Allen Howell

4999 Vincion Road, Murfreesboro, TN 37130

615-804-6740

Allen.Howell@flycfm.com

SKILLS SUMMARY CEO and Partner / Owner / Co-Founder of a 30 year old aviation services

company located in middle Tennessee

EMPLOYMENT Corporate Flight Management, Inc. January 1998 to Present

Smyrna Tennessee

CEO of Company in charge of overall operations

Business Development in all areas of the business

Business has grown from 11 million to 34 million in annual sales over

a 14 year period. Currently has 175 employees

Corporate Airlines, Inc September 1996 to December

1998

Nashville Tennessee

General Manager of a Part 121 Airline Operation started as a

subsidiary /affiliate of Corporate Flight Management, Inc.

Chief Financial Officer in charge of all financial areas of the company

Corporate Flight Management, Inc July 1982 to September 1996

Smyrna Tennessee

Co-founded the company in July 1982 and grew it to $10 million in

annual revenues.

Served as corporate secretary and treasurer

Director of Marketing and Sales

Managed Flight Dispatch and Scheduling

EDUCATION B.S. in Business Administration in Marketing and Economics

Auburn University in Montgomery Alabama

Graduated Magna Cum Laude in 1981

LICENSED PILOT Commercial, Multi-Engine, Instrument Ratings, including Single Engine

Land and Sea, 1300 hours total flight time

Exhibit CFM - 201
Charles R. Howell IV 

618 Copperfield Court Email: chowell@flygreatlakes.com 

Brentwood, TN 37027 Phone: 615-308-6705 

SUMMARY

Results oriented leader with 20 plus years of successful hands on experience in managing and 

motivating people at all levels. Extensive experience in operations, business planning, budgeting, 

new business development, public relations and problem solving. Well-rounded experience 

demonstrates a high level of adaptability and combines extensive knowledge in aviation, 

business, technology and sales. 

PROFESSIONAL EXPERIENCE

Great Lakes Airlines, Cheyenne, WY 2002 -Present 

 Chief Operating Officer- CEO 

Began as Chief Operating Officer in August 2002. Assist in day to day operations. Worked with 

CFO, Raytheon and other creditors for successful restructuring outside of bankruptcy of the 

company by year-end of 2002. Became the CEO effective January 1, 2003. Effectively manage 

and direct the overall operations of 900 plus employees for a 121 regional airline. Responsibilities 

include strategic vision for the company by developing value in commuter service through 

providing safe and reliable operations with exceptional customer service at an affordable price. 

All department heads report to this individual. The Company has successfully turned around 

operational and financial performance during this time. We currently are serving 40 cities in 10 

states with a fleet of 31 aircraft. The Company is publicly traded over the counter. Responsible 

along with Chief Financial Officer for timely financial reporting. We are the largest providers in 

the Department of Transportation / Essential Air Service program. Work very close with the 

FAA, governmental bodies, community leaders and airport directors. 

Corporate Airlines, Inc., Smyrna, TN 1996-2002 

 President-CEO, Member of the Board of Directors 

Effectively managed and directed the overall operations for a 121 regional airline. 

Responsibilities included strategic vision for the company by developing value in commuter 

service through providing safe and reliable operations with exceptional customer service at an 

affordable price. All department heads report to this individual. 

 In the fall of 1996, as a co-founder of Corporate Airlines, Inc., raised the capital and recruited 

the necessary personnel to start a 121-airline operation, which achieved 121 status and DOT 

approval in record time (91 days). 

 Secured business relationships, new market opportunities, and vendor relationships. Went in 

advance of new market openings and established community support via Airport Authorities, 

Chambers of Commerce and local/federal Government officials through face to face 

goodwill. 

Exhibit CFM - 202
 Marketed the company and its abilities to the communities. Helped support all marketing 

efforts of the airline through: Newspaper interviews, radio talk shows, TV talk shows, 

personal appearances and speeches at Civic Clubs and Chamber of Commerce events. 

 Liaison with Insurance Underwriting Community. Negotiated annual renewal of the aircraft 

fleet. Met with U.S. as well as International underwriters on an annual basis. Set safety 

agenda for company. Worked with internal departments of the company and insurance 

companies for any claims processing and risk management. 

 Helped company grow from a start-up airline with 100 employees, serving 6 cities, to an 

industry leading regional airline with 400+ employees, serving 20 cities, with over 140 flights 

a day generating approximately $30 million in annual revenue. 

Corporate Flight Management, Inc., Smyrna, TN 1985-1996 

 President-General Manager 

Came to the Part 135 Charter Company as General Manager. Implemented strategic growth plan. 

Became President in 1986. 

 Grew company from 10 employees and $ 300,000 in sales to 100 + employees and $12 

million in sales with three locations (MQY-JWN-BWG). 

 Recruited the necessary personnel to become a Fixed Base Operation, a Part145 repair station 

(maintenance), BP fueling operation and the south’s largest fleet of turbo prop and jet charter 

aircraft. 

 Worked with the National Air & Space Museum to place an aircraft in the “How Things Fly 

Gallery” 

VR Business Brokers, Nashville, TN 1982-1984 

 Managing Broker 

 

Managed office/sales staff of 15 brokers for absentee owner. 

 Effectively took office in one-year sales to finish in “Top Twenty Five” out of 250 offices 

across the U.S. 

 Helped negotiate sales contracts, leases, financing and closing of small to medium size 

businesses in the Middle Tennessee area. 

Dobson & Johnson, Inc., Nashville, TN 1980-1981 

 Affiliate Broker 

Real Estate Affiliate Broker selling residential real estate. Completed necessary requirements for 

Brokers License 1981 

Exhibit CFM - 202
EDUCATION

Bachelor of Science, Real Estate and Urban Development 

University of Tennessee, Knoxville, TN 

Minor: Finance 

Graduated: 1979 

 SKILLS /TRAINING /MEMBERSHIPS

Knowledgeable in Windows, Microsoft Word, Excel, PowerPoint 

Regional Airline Association- Presidents Council 

District Chairman- Exploring Boy Scouts 

Tennessee Real Estate Brokers License (in retirement) 

References 

Any Previous Employees or Communities Served 

Any of the current 900 employees 

Any of the current Community Leaders, Airport Directors of cities served 

Exhibit CFM - 202
David Augustin 

4995 Vincion Road, Murfreesboro, TN 37130 

615-948-1735 

David.Augustin@flycfm.com 

SKILLS SUMMARY Chairman and Partner / Owner / Co-Founder of a 30 year old aviation services 

company located in middle Tennessee 

EMPLOYMENT Corporate Flight Management, Inc. 1983 to Present

Smyrna Tennessee 

David Augustin became a partner at CFM in 1983. Over the years, he has been 

integral in the startup of many departments, working in Line Service, as FBO 

Manager, Parts Manager, and Maintenance Manager and assisting the startup 

of 2 FBOs. He served as President from 1997-2012, and now holds the position 

of Chairman of the Board. David has a B.S. degree in Aerospace 

Administration, a private single and multi-engine license, a lighter-than-air 

rating and an A&P license. He has served on committees for NATA and NBAA 

and advisory boards for Phillips 66, Air BP, and Shell Aviation. Active in his 

community, David also served 5 years on the Board of Directors of Leadership 

Rutherford, having held offices as both Vice-President and President, and he 

maintains the flight simulator at the Discovery Center at Murfree Spring and 

The Gallery at the NASM in Washington, D.C. 

EDUCATION 1982 B.S. Degree in Aerospace Administration Middle Tennessee State 

University 

 LICENSED PILOT Commercial, Multi-Engine, Instrument Ratings, including Single Engine 

 Land and Sea, 

Exhibit CFM - 203
1 of 1 3/6/2013 6:31 PM

Exhibit CFM - 204

162 Ramapoo Rd 

Ridgefield, CT 06877 

203-438-0684 

Professional Experience 

John A. Co uri 

Mr. Couri was a Co-Founder of Duty Free International, Inc., in 1983 and served as its President and CEO 

until October 1993; Chairman of the Board until December 1994 and Consultant to the company until 

December 1999. Duty Free International became a public company in May 1989 and was listed on the 

New York Stock Exchange prior to its sale to BAA, PLC., in August 1997. 

In 1972 Mr. Couri entered the duty free business as one of the Founders of IDF Services, Inc. serving as 

its President from 1978 until1987. 

In 1990, Mr. Couri was named Entrepreneur of the Year, New England Region; served as a member of 

the Listed Company Advisory Board of the New York Stock Exchange from January 1993 to December 

1995; was a member of the Board of Directors of the Datahr Rehabilitation Institute (now Abilities 

Beyond Disabilities) from June 1991, serving as Chairman from 1997 to May 2000. 

Mr. Couri became Chairman of the Board of Trustees of Syracuse University from May 2004 until 

May 2008 and continues as a Life Board Member. On June 5, 1993, Syracuse University awarded Mr. 

Couri the George Arents Pioneer Medal for Excellence in Business. The award is the highest honor the 

university awards to its alumni and is based on excellence in the individual's field of endeavor. 

Mr. Couri is President of the Couri Foundation, Inc., Founders Hall Foundation, Inc., the Hammond Street 

Senior Center Foundation, Inc. and serves on several corporate advisory and local non-profit Boards. 

Mr. Couri was born in Brooklyn, New York on April 22, 1941; received a BA Degree in Economics and 

Business Administration from Syracuse University in 1963; and served as a First Lieutenant in the U.S. 

army from 1964 to 1966. He and his wife, Elaine, live in Ridgefield, Connecticut; have a son, Christopher, 

and three grandchildren. 
Tom Chappell 

1006 Merylinger Court 

Franklin TN 37067 

615-435-8300 

EXPERIENCE 

Chairman & Chief Executive Officer 1981-present 

Chappell, Smith & Associates, Inc. – parent company of CS & A Insurance 

 Aviation Insurance 

 Aviation Risk Management 

 Aviation Safety Management 

 Business Development 

 Fixed Base Operators Business Development and Safety Management 

EDUCATION 

Middle Tennessee State University 1965-1968 

 Bachelor of Science in Animal Husbandry 

Bachelor of Science in Chemistry, Minor in English Literature 

MEMBERSHIPS& COMMUNITY DEVELOPMENT 

Member - Aviation Insurance Association 

Advisory Panel to the National Academy of Sciences for NASA’s “Small Aircraft Transportation System 

Initiative.” 

Exhibit CFM - 205
Leon G. Custers 

1202 Bolton Drive leon.custers@flycfm.com 

Smyrna, TN 37167 (615) 351-3837 

CERTIFICATES: Airline Transport Pilot SEL/MEL, MU-300/BE-400 Type Rating 

 Certified Flight Instructor, Instrument SEL/MEL. 

FLIGHT TIME: Total 10,500 Turbo-Prop (PIC) 3650 

Multi-Engine (PIC) 5950 Turbo-Jet (PIC) 1650 

EXPERIENCE: Corporate Flight Management 

 Smyrna, Tennessee 

 Chief Operating Officer (October 2010 – Present) 

Manage the operations of the Flight Department, 2 Fixed Base Operations, the Aircraft 

Maintenance Department, the IT Departmentand the Accounting Department. The carrier 

engaged in government contracts (incuding CARB and DoA), Part-380. The carrier is 

currently underging Part-121 certification and is currently IS-BAO and Arg/US Platinum 

certified. 

Vice President of Maintenance (April 2002 – October 2010) 

Manage day-to-day operations and long-term strategy of a maintenance facilty employing 

55 personnel conducting operations under Part-91, 135 and 145. The department 

specializes in turboprop commuter, corporate jet, component and avionics maintenance. 

The department holds EASA certification and multiple OEM certifications. 

 

 Chief Pilot (August 1997 – April 2002) 

 Part-135 PIC in MU-2B and MU-300 Aircraft, Chief Pilot since April 1999 

 Duties include Instructor and Check Airman in above-mentioned aircraft 

Howell Enterprises, Inc. (April 1997 – April 1999) 

Smyrna, Tennessee 

Part-141 Flight School, Flight Instructor in MU-2B Aircraft 

Falconhead FBO (July 1995 – April 1997) 

Manassas, Virginia 

Part-141 Flight School, Chief Flight Instructor (SEL, MEL. Instrument) 

Metropolitan Helicopters, Inc. (April 1996 - October 1996) 

 Manassas, Virginia 

 Part-141 Flight School, Flight Instructor (SEL, Instrument) 

 Skydiving Center of Greater Washington, Inc. (December 1992 - April 1995) 

 California, Maryland 

 Skydive pilot in DHC-6. 

 Airpark Sales and Service, Inc. (June 1988 - October 1993) 

 California, Maryland 

 Director of Operations/Chief Pilot Part-135 Operation. 

Flight duties and Check Airman duites as PIC in PA-23, PA-31, PA-60, MU-2. The 

aircraft were engaged in on-demand charter as well as DOD (CARB certified) operations. 

 Lambert Flying Service, Inc. (October 1987 - June 1988) 

 Front Royal, Virginia 

 Flight instructor for all ratings. 

Exhibit CFM - 206
EDUCATION: FlightSafety International, Wichita, Kansas 

 February 1999 

 MU-300/BE-400 Initial Course 

Howell Enterprises, Inc, Smyrna, Tennessee

 March 1991, March 1992, March 1997, April 1998 & April 1999

 FAR Part-141 MU-2 flight and ground school.

 Flight International, Inc., Newport News, Virginia 

 March 1987 - October 1987 

 FAR Part-141 flight training, Private through CFI. 

 

PERSONAL: Date of Birth: March 19, 1969 

 Marital Status: Married, 2 Children 

 Languages: Fluent in English, Dutch, German. Some knowledge of French. 

Exhibit CFM - 206
Thomas Douglas Cate 

902 Tudor Court 

Murfreesboro, Tennessee 

Work 615-534-8631 

Home 615-896-6135 

doug.cate@flycfm.com 

Professional Experience 

2006-Present Corporate Flight Management, Inc. Smyrna, Tennessee 

Chief Financial Officer, Board of Directors 

Executive leadership role of a thirty-five million dollar revenue company, 

including traditional responsibilities for overall management of the finances of the 

company, negotiation of complex contracts, oversight of investments, and 

financial reporting. 

2003-2006 Regions Bank, Murfreesboro, Tennessee 

 Senior Vice President – Commercial Lending 

2002-2003 NBC Bank, Smyrna, TN 

 Vice President – Commercial Lending 

1996-2003 Cavalry Bank, Smyrna , TN 

 Regional Manager 

1989-1996 SunTrust Bank, Nashville and Murfreesboro, TN 

 Assistant Vice President – Commercial Loan Officer 

 

1987-1989 Heritage Federal Savings and Loan 

 Loan Officer 

Education 

1997-1998 TBA School of Banking – Advanced coursework on the profitable 

management of a commercial bank. Studies included being a member of a 

management team that run commercial bank through a simulation program over 

a two year period; classroom work in asset management; gap management; 

human resources; economics related to bank management. 

1993 SunBank Commercial Credit School - Orlando Fl. Coursework included the 

study of financial statement analysis including cash flow analysis, study of 

various types of commercial financing, loan documentation, risk analysis, 

personal financial analysis, commercial real estate funding. 

1986 OMEGA, Consultants to Bank Management, Nashville, TN –Commercial 

Lending coursework including financial statement analysis; cash flow analysis, 

1986 Oral Roberts University, Tulsa OK 

 Bachelor of Arts degree with honors 

 

Exhibit CFM - 207
RONALD A. BARNUM II 

219 Slow Waters Drive 

Christiana, TN 37037 

Cell (615) 692-2573 

Profile 

Aviation Professional with dynamic background in a FAR 135 environment to include Safety, 

Management, Training, Piloting, System and Course Development, and Information Technology. 

Promoted to Director of Safety in 2007 and have since been personally responsible for the development 

and implementation of the Safety Management System focusing on continuous improvement of internal 

safety programs. As the Director of Safety I am the company’s focal point for safety related issues, 

responsible for ensuring that the safety management process is established, communicated, 

implemented, audited, measured and continuously improved. Duties and responsibilities include but not 

limited to; carrying out the company’s internal safety program, chair the Safety Committee, collect and 

analyze safety data, review employee-generated Employee Safety Reports and recommend action to 

various departments, conduct periodic safety audits of company locations, including administrative, 

training, ground handling, maintenance and flying activities, maintain records of audit activities and safety 

recommendations made to various company officials, monitor current and planned flight operating 

programs, procedures and practices, make timely safety recommendations to company executives, the 

Safety Committee and CEO.

Proficient in analyzing existing operations and implementing strategies, processes, and technologies to 

continually improve efficiency and safety. Strong project and performance management to meet operating 

and financial goals. Sharp presentation, negotiation, and team building qualifications. A self-starter who 

has the ability to work independently coupled with a team environment. 

Combine methodical planning, organizational and communication skills with the ability to independently 

coordinate between multiple departments. More than 20 years in the development, growth, and 

leadership of personnel, safety policies, and procedures. Facilitate positive relationships with customers, 

coworkers, and authorities to promote safety and compliance within the workplace. 

Overall qualifications include: 

 5 Years as Director Of Safety 

 25 Years Aviation Experience 

 Over 1,000 Hours Piloting Turbo-Prop and Jet Aircraft In a 135 Environment 

 Extensive Knowledge in FBO Management, Ramp Operations, and Quality Control 

 Staff Training and Course Curriculum 

 Policy and Procedure Development 

 Hands On Manager & Trainer 

 Encourage Individual Development to Achieve Personal Goals 

Experience 

Corporate Flight Management, Smyrna, Tennessee 2007 to Present 

Director of Safety

Corporate Flight Management, Smyrna, Tennessee 1999 to 2007 

Line Service Training Manager/Manager of Technology

Laboratory Corporation of America, Nashville, Tennessee 1998 to 1999 

Computer Operator 

Corporate Flight Management, Smyrna, Tennessee 1991 to 1998 

Line Service Manager, Pilot 

Exhibit CFM - 208
RONALD A. BARNUM II 

219 Slow Waters Drive 

Christiana, TN 37037 

Cell (615) 692-2573 

(Continued) 

Stevens Aviation, Nashville, Tennessee 1989 to 1991 

Line Service Technician 

Education 

Middle Tennessee State University, Murfreesboro, Tennessee 1990 

B.S., Aerospace Administration, Minor: Management and Marketing 

Nashville State Technical Institute, Nashville, Tennessee 1999 

Associate of Applied Science, Computer Information Systems: Mainframe 

Computer Skills 

Knowledge of Multiple Operating Systems, Languages, Databases, and Efficient with Microsoft Office 

Suite. Troubleshoot and Repair of Networks, Telecommunications, and PC’s. 

References Available Upon Request 

Exhibit CFM - 208
Exhibit CFM - 209

Mark L. Stear 

Education 

Bachelor of Science, Aerospace Engineering, University of Cincinnati - 1978 

Dates Employer Location Job Description 

1978 - 1983 Gates Learjet Corp. Wichita, KS Senior Engineer 

1983 - 1985 Singer-Link Flight Simulation Binghamton, NY Senior Enginer 

1985- 1989 General Electric Co. Binghamton, NY Program Manager 

1989- 1991 Textron Aerostructures Nashville, TN Program Manager 

1991 - 1992 Business Aircraft Leasing, Inc. Nashville, TN Aircraft Broker 

1992- 1994 Starstruck Jet, Inc. Nashville, TN Aircraft Broker 

1994- 1995 Grimes Aerospace Urbana, OH Marketing Manager 

1995- 1999 Bombardier Learjet Wichita. KS Sales Administrator 

1999- 2003 Cessna Aircraft Co. Wichita, KS Sales Manager 

2003- 2005 Citation Shares Greenwich, CT Sales Manager 

2005- 2009 Embraer Executive Jets Ft. Lauderdale, FL Sales Manager 

2009 - Present Corporate Flight Management Smyrna, TN Sales VP 
Ryan Donahue

416 Birdstone Dr.

Smyrna, TN. 37167  

Cell: 615‐306‐5865

SUMMARY OF QUALIFICATIONS

• Expertise encompasses all phases of Customer Service support and reports including: Labor distribution, contract, billable

and warranty service report processing, expense, accounts payable, parts orders, warranties, repairs, maintenance orders

and related documentation.

• Extensive customer contact in troubleshooting, and resolving problems pertaining to service disputes or

service contract renewals.

• Experience in managing as many as 50 employees and operating a small business.   

EXPERIENCE

Vice President‐ Aircraft Maintenance

4/2012‐Present

Corporate Flight Management, Smyrna, TN.

• Oversees the continual development and improvement of the maintenance department.  

• Monitor day‐to‐day operational activities and ensure that all organizational needs are being met effectively and in a timely

manner.  

• Develop written processes to operate more efficiency, standardize procedures, and enhance the customer experience.    

• Work with department managers within the other divisions of CFM to promote cross‐selling and marketing.   

• Develop and define a sales effort to promote revenue and growth.   

• Provide day‐to‐day management of all the personnel in the departments assigned to the VP of Maintenance.  

• Oversee Internal audits and assure that findings are dealt with appropriately and in a timely minor.  

• Oversee employee issues, including hiring and firing as well as employee development and advancement.  

• Work with Executive Management to create and develop future growth opportunities.

Aviation Service Manager

3/2007‐4/2012

Corporate Flight Management, Smyrna, TN.

• Assist in managing aircraft maintenance department with over 50 employees.  

• Oversee quality of aircraft maintenance, distributing labor to meet a required job estimate, and delivering the aircraft to

the customer.    

• Responsible for direct contact with pilots and aircraft owners to troubleshoot and resolve problems pertaining to billing,

warranties, service contract renewals, and other service‐related matters including customer satisfaction.

• Implemented maintenance budget process to manage customer work orders for aircraft owners for multiple aircraft types.

• Involved in initiating and finalizing aircraft sales and acquisitions both domestically and internationally.   

• Creating and presenting maintenance budgets to aircraft owners for multiple types of aircraft. Initiating and creating

processes to increase productivity and work flow.  

Director of Maintenance

2/2008‐Present

Harmony Air LLC, Nashville, TN.

• Responsible for managing and overseeing aircraft maintenance for a 135 operation.

• Adding and removing aircraft from a 135 certificate.  

• Reviewing and a revising manuals and ops specs.  

Lead Technician and Manager of Stores

6/2002‐3/2007

Leading Edge Aviation Services, Tampa, FL.

• Oversee and perform maintenance on general aviation aircraft.

• Part of growing our business by nearly 80% in three years.   

• Completing customer invoices and A/R reports.    

Exhibit CFM - 210
Education

• Furman University 2000‐2003 Aviation Management

• Clearwater College 2003‐2004. Business Management.

Credentials

• Certified A&P Technician

• Graduate of Embraer EMB500, Phenom 100 initial maintenance training.  

• Graduate of Garmin G1000 Perspective avionics suite maintenance training.  

• Certified by Cirrus Aircraft in Composites and parachute and rocket replacement

Exhibit CFM - 210
Exhibit CFM - 211

'i 

Certificates: 

Dwayne A. McMurry 

9509 Mount Ayre Way 

Murfreesboro, TN 3 7129 

( 615) 896-4344 

Airline Transport Pilot MEL 

Commercial SEL 

Type Ratings: LR45, LR Jet, BE 300 c t u 5 OJ 

First Class Medical. No Limitations 

Flight Time*: Total 8000 .. Turbo Prop: 

PIC 6000 ,j, Turbo Jet: 

Multi engine 7000 ,_ 

* Flight times are conservatively estimated 

Instrument: 

Experience: 

Education: 

Corporate Flight Management, Inc. 

Smyma. Te1messee 

Director of Flight Operations 

FAR 135 

D.A.C.S. Aviation Services 

Nashville, Tennessee 

First officer MU-300 

FAR 911135 

Silverline, LTD 

Denver, Colorado 

First Officer MU-300 

FAR 91 

Tennessee Airways 

Knoxville, Tennessee 

First Officer E-ll 0 

FAR 135 

Corporate Flight Management, Inc. 

Murfreesboro, Tennessee 

Pilot Services Various Aircraft 

FAR91 

Middle Tennessee State University 

BS Aerospace Administration (major) 

Psychology (minor) 

Flight Safety International 

2000 -l 

5000 r800 -i 

2/88 - present 

6/86- 6/88 

2/85- 6/86 

2/84-2/85 

5/83-2/84 

Numerous courses on LR 25, LR 35. LR 45. BE 200, MU 300 
111 Whispering Water Ct. 

Christiana, TN 37037 

615.534.4553 

Allen C Peralta 

Employment: 41 years experience in civilian aircraft maintenance including: 

 

 8/88 - Present Corporate Flight Management, Inc. Smyrna, TN

 Director of Maintenance: 2001-Present 

 Coordinate with the flight department on 135 aircraft maintenance 

 Responsible for establishing maintenance program requirements 

 Assists in the addition of aircraft to operating certificate 

 Responsible for monitoring maintenance practices and procedures 

 Coordinate with outstation maintenance operations 

 Monitor the maintenance training program and records 

 145 Repair Station Chief Inspector: 2000 

 Responsible for the overall operation of the Quality Control 

Department 

 Responsible for release of all items to service 

 Responsible for oversight of inspections and maintenance 

 General Manager: 1999-2000 

 Responsible to the President for the complete overall operation of 

the Repair Station, including the adequate housing and facilities 

and the continued maintenance thereof 

 Responsible for providing adequate training, equipment, materials 

and competent personnel pertinent to the operations of the repair 

station in order that it may comply with Federal Aviation 

Regulations and manufacturer’s recommendations. 

 Ascertains that adequate fire fighting equipment is available at the 

repair station 

 Shop Supervisor: 1988 to 1999

 Responsible to the General Manager for the operation of the 

Repair Station 

 Ascertain that all necessary maintenance entries on maintenance 

records and work orders used by the repair station are properly 

executed by the responsible mechanics 

 Inspector: 1997-2001

 Arrange for or makes the necessary inspections of aircraft as 

required by inspection forms any time there is a required 

inspection 

Exhibit CFM - 212
111 Whispering Water Ct. 

Christiana, TN 37037 

615.534.4553 

 Perform surveillance of parts and material from vendors to ensure 

proper certification source and quality of parts, components and 

materials purchased by the company 

 

 1980 - 1988 Nashville Jet Center Nashville, TN

 Aircraft Technician 

 Performed inspections and repairs on all Mitsubishi models, 690 

series all models, Citation 1 and 2, Diamond, Merlin I, II & III, all 

Piper models, all Cessna models, and King Air 90 & 100 

 

 1978 – 1990 Galezy Corporation Nashville, TN

 Aircraft Technician

 Performed inspections and repairs on 1121 Jet Commander 

 1977 – 1978 Clinical Laboratory Nashville, TN

 Aircraft Technician 

 Performed inspections and repairs on PA 34, PA 31-35, and 

Gazelle helicopters 

 1972-1977 Big Brother Aircraft Nashville, TN

 Aircraft Technician 

 Performed 100 hr/annual inspections and repairs on Cessna 150 

up to 421, all Piper models, Beech Bonanza, Baron, King Air 90, 

100 & 200, Aero Commander 500 series, Convair 240, MS-760, 

and 1121 Jet Commander 

Education 1971 – 1972 Northwest Alabama Technical Institute

 Attended Powerplant School 

 1968-1971 United States Navy

 Inspected T-28 aircraft on airframe #4D and component repair on 

S2D Aircraft 

Exhibit CFM - 212
Stanley W. White 

7906 Spire Street 

Murfreesboro, TN 37129 

Phone (615) 867-9814 / Cell (615) 598-8496

EDUCATION

MEMPHIS AREA VOCATIONAL TECHNICAL SCHOOL Aviation 

Campus, Memphis, TN, August 1989 Graduate with Airframe and 

Powerplant Certificate under Part 147 

 MIDDLE TENNESSEE STATE UNIVERSITY Murfreesboro, TN 

December 1983 Graduate with Bachelor of Science Degree, Aerospace 

Technology, Minors: Mathematics and Industrial Studies. 

COLUMBIA CENTRAL HIGH SCHOOL Columbia, TN 

May 1979 Graduate 

EXPERIENCE 

Corporate Flight Management Smyrna, TN 

04/07 – Present Inspection Supervisor 

09/06 – 03/07 Inspection Supervisor Trainee

 Coordinates with the Director of Maintenance establishing 

maintenance program requirements, including specifications, 

practices and procedures. 

 Reviews all applicable AD’s and compliance. Assures all aircraft 

maintenance records are current. 

 Monitors periodic check procedures for calibrated tool program. 

 Performs periodic audits of the maintenance organization, and 

maintenance vendors as required by the Company Manual. 

 Plans and coordinates the application of inspection methods, 

including NDT methods and procedures to ensure the safe reliable 

performance of the company’s aircraft. 

REGIONSAIR Smyrna, TN (formerly Corporate Airlines) 

10/96 – 09/06 Maintenance Manager / Director of Maintenance 

Began working as A&P Mechanic. Promoted to Supervisor/Maintenance 

Control within 6 months. Promoted August, 2000 to position of 

Maintenance Manager. Promoted on May 1, 2005 to Director of 

Maintenance. RegionsAir operated Jetstream 3201 and Saab 340A 

aircraft. 

 Responsible for day to day scheduled and unscheduled maintenance 

of company aircraft coordinating with Maintenance Supervisors to 

ensure that the most expedient and efficient utilization of manpower is 

achieved. 

 Coordinate with Maintenance Planning for scheduled and 

unscheduled maintenance ensuring that MCIs and MELs are 

scheduled for corrective action in a timely manner. 

 Run Checkman Trainer. 

Exhibit CFM - 213
 In addition to above duties, responsible for the overall administration, 

coordination and technical control of maintenance operations to 

ensure all aircraft, engines and appliances are maintained in 

accordance with the RegionsAir approved maintenance program. 

Responsible for Company compliance of all ADs. Also responsible for 

hiring the necessary technical personnel. 

AMERICAN AIRLINES Alliance Airport, Fort Worth, TX 

2/96 – 10/96 Shop Repair Person

 Processed main ship batteries and emergency lighting power 

supplies. 

AMERICAN EAGLE/FLAGSHIP AIRLINES Nashville, TN 

12/89 – 2/96 A & P Mechanic

 Performed maintenance on Saab 340B, Jetstream 3201, and Fairchild 

SA-226/227 aircraft. 

 Duties included troubleshooting, inspection, repair and operational 

checks of all airframe and engine systems. Performed heavy main 

base inspections on JS 3201. 

 Acted as Crew Chief on occasion. 

 Run Checkman qualified on JS 3201. 

Exhibit CFM - 213
Jack B. Hart, Jr.

5123 Reagan Drive, Murfreesboro, TN 37129

Home 615­516­0018    Cell 615­631­4133

jack.hart.cfm@gmail.com

Flight Time:  9400 Total, 5186 Turbojet

Flight Qualifications:

FAA ATP MEL

LR­JET, HS­125, B727, MD­80 Type Ratings

Flight Engineer Turbo­Jet (B727)

Education:

Delta State University, Cleveland MS

Bachelor of Science, Flight Operations

Graduation May, 1990

Hinds Community College, Raymond MS

Business

Graduation August 1988

Military Experience:

United States Marine Corps, January 1982 to January 1987

Corporal E­4.

Level 1 Avionics Technician, Avionics Instructor, Air Crew CH53­E

Background:

April 2007 to present – Corporate Flight Management, Smyrna TN

Chief Pilot for a medium sized flight department, with 14 different types of turbine aircraft and

roughly 40 pilots.  Company Flight Instructor, and Captain in LR­35 and HS­125 series aircraft.

March 2006 to April 2007 ­ Capital Cargo International, City ST

First Officer B727 International and Domestic Freight

JAN 2004 to March 2006­ Express Net Airlines, Ypsilanti MI

Captain B727, Domestic 121 Freight

MAY 2003 to JAN 2004 – TransMeridian Airlines, Atlanta GA

Exhibit CFM - 214
First Officer B727, International and Domestic 121 Passenger Service

SEP 2002 to MAY 2003 – Southeast Airlines, Tampa FL

First Officer MD­88 and DC­9, IRO MD­88.  International and Domestic 121 Passenger

MAR 1997 to SEP 2002 – Express One International, Inc., Dallas TX

First Officer B727,

Bachelor of Science Degree, Major in Flight Operations

Commercial Multi­Engine Instrument Airplane, CFI, CFII

ATP

Type Rating B727, MD80

Flight Engineer Turbo­Jet (B727)

FLIGHT EXPERIENCE

Apr 07– Present Corporate Flight Management, Inc., Smyrna TN.

Chief Pilot.  Captain LR­35 and HS­125.  Company Flight Instructor

Mar 06–Apr 07            Capital Cargo, LOCATION

Duties Duties Duties.

JAN 04 – Mar 06         Express Net Airlines, Ypsilanti MI.

Captain B727, Domestic 121 Freight

MAY 03 – JAN 03 TransMeridian Airlines, Atlanta GA.

First Officer B727, International and Domestic 121 Passenger Service

SEP 02 – MAY 03 Southeast Airlines, Tampa FL.

First Officer MD­88, IRO MD­88, First Officer DC­9

International and Domestic 121 Passenger Service

MAR 97 – SEP 02 Express One International, Inc., Dallas TX.

First Officer B­727 (10/98­01/02), Flight Engineer B­727 (6/97­10/98)

Night air­cargo.  2 years based in Brussels Belgium flying DHL Europe contract,

2 years flying US Postal contract in U.S.

MAR 94 – SEP 95 Jim Hankins Air Charter, Jackson MS.

Captain BE­18, UPS feeder routes.

SEP 92 – APR 94 Souther Air Charter, Crystal Springs MS.

Captain C­421, charter and Air Ambulance.

OCT 92 – APR 94 Clifford Flying Service, Hollandale MS.

Aerial Application in AT401 aircraft.

FEB 90 – OCT 92 Sunflower Ag Service, Sunflower MS.

Aerial Application in AT301 aircraft.

SEP 89 – FEB 90 Delta State University, Cleveland MS.

Exhibit CFM - 214
Flight and Ground Instructor.  Prepare college students for FAA written and

check­rides.  President of Alpha Eta Rho, Professional Aviation Fraternity.

EDUCATION:

AUG 88 – MAY 90 Delta State University, Cleveland MS.  Bachelor of Science, Commercial

Aviation.

SEP 87 – AUG 88 Hinds Community College, Raymond MS.  Business.

MAY 80 Wingfield High School, Jackson MS.  Graduation May 1980.

MILITARY EXPERIENCE:

United States Marine Corp.

JAN 82 – JAN 87 Corporal E­4.

I Level Avionics Technician, Avionics Instructor, Air Crew CH53­E.

PERSONAL:

Date of Birth 07/09/1962

Height 5’ 10”

Weight 185 lbs.

Marital Status Married

Hobbies/Interests Woodworking, reading aviation and history books, building and flying

radio­controlled airplanes, Civil Air Patrol, Knights of Columbus.

REFERENCES

Furnished upon request.

Exhibit CFM - 214
Chief Executive Officer 

Allen Howell 

I 

Chief Oeerating Officer 

Director of Safety Leon Custers Chief Financial Officer 

Ron Barnum DougCate 

Vice President Smyrna FBO John Tune FBO Vice President 

Maintenance Manager Manager Sales & Marketing Director Of Oeera

Ryan Donahue Tosha Szabo Connie Dodson Mark Stear Dwayne McMu

I I I I I 

Maintenance Cirrus Service Managed Director Of lnseector Chief Pilot 

General Manager Aircraft Service Maintenance Sueervisor Charter Jack Hart 

Manager Shad Manager Allen Peralta Stanley Manager 

Mike Cypcar White Christie Allen I 

I 

II Flight Management I 

Director of Training ln

Dave Reams C

Organizational Chart 
Exhibit CFM - 300

Page 1 of 1

FINANCIAL STATEMENTS

Exhibits CFM - 301 to 305 present the following consolidated financial statements for Corporate

Flight Management, Inc. (“CFM”) and C.F.M. Holdings, Inc. (please note that the companies use

a fiscal year that begins 1 September and ends 31 August):

Fiscal Year 2010 consolidated complied financial statements for CFM and C.F.M. Holdings, Inc.

covering the period 1 September 2009 to 31 August 2010 prepared by CFM (Exhibit CFM -

301).

Fiscal Year 2011 consolidated complied financial statements for CFM and C.F.M. Holdings, Inc.

covering the period 1 September 2010 to 31 August 2011 prepared by Whisenant, Stewart,

Watrous and Associates, PLLC, Certified Public Accountants (Exhibit CFM - 302).

Fiscal Year 2012 consolidated complied financial statements for CFM and C.F.M. Holdings, Inc.

covering the period 1 September 2010 to 31 August 2011 prepared by Whisenant, Stewart,

Watrous and Associates, PLLC, Certified Public Accountants (Exhibit CFM - 303).

Complied balance sheet and income statements for CFM for the first four months of Fiscal Year

2013, covering the period 1 September 2012 to 31 December 2012 prepared by CFM (Exhibit

CFM - 304).

Complied balance sheet and income statements for C.F.M. Holdings, Inc. for the first four

months of Fiscal Year 2013, covering the period 1 September 2012 to 31 December 2012

prepared by CFM (Exhibit CFM - 305).
CFM HOLDINGS, INC. 

Smyrna, Tennessee 

Compiled Financial Statements 

Year Ended August 31, 2010 

Exhibit CFM - 301
ASSETS

Current Assets

Cash $                      216,248

Accounts Receivable Trade                      1,378,643

Affiliate Receivables                      1,679,652

Deferred Tax Benefit

Notes Receivable                            25,829

Prepaid Expenses                          432,753

Inventories                      7,009,211

Restricted Cash Deposits                          269,642

Total current Assets                    11,011,978

Property and equipment

Aircraft                          543,043

Equipment and Machinery                          676,872

Buildings                      1,351,269

Furniture and fixtures                          302,974

Leasehold improvements                          347,301

                     3,221,458

Less: Accumulated depreciation                      1,874,014

Property and equipment, net                      1,347,444

Other assets

Other Assets                          419,071

Other Investments                          297,018

Total other assets                          716,089

TOTAL ASSETS                    13,075,512

CFM Holdings, Inc.

Consolidated Balance Sheet

August 31, 2010

Exhibit CFM - 301
LIABILITIES AND STOCKHOLDERS' EQUITY

Current liabilites

Accounts payable $                   2,925,042

Affiliate payable                          753,387

Acrued expenses                            49,986

Credit cards payable                            53,951

Notes payable                      1,739,566

Taxes payable                            97,274

Total current liabilities                      5,619,207

Other liabilities

Refundable customer deposits                      1,279,577

Refundable insurance deposits                          148,996

Other investments                      1,315,531

Total other liabilities                      2,744,104

Long term debt                      4,775,560

Total liabilites                    13,138,871

Minority interest in subsidiaries                          (54,093)

Common stock ‐ no par value                            10,000

10,000 shares authorized; 1,000 shares issued

and outstanding

Additional paid‐in capital                            81,885

Less: Treasury stock                          (67,346)

Retained earnings                          (33,804)

Total stockholders' equity                          (63,359)

TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY                    13,075,512

Exhibit CFM - 301
Sales $            23,868,914

Cost of Sales

Purchases                  8,698,710

Labor                  4,666,877

Sales costs                         4,170

Maintenance cost                    271,498

Insurance cost                    105,629

Lease cost                  4,032,108

Other cost ‐ charter                    475,053

Total cost of sales               18,254,044

Gross profit on sales                  5,614,869

Operating Expenses                  5,621,214

Operating Income                        (6,344)

Other Income

Interest Income                       10,014

Other Income                    295,022

Interest expense                   (319,122)

Other expense                   (155,770)

Total other net income                   (169,855)

Income before minority interest                   (176,199)

Minority interests                     (74,912)

Consolidated comprehensive net income                   (101,287)

CFM HOLDINGS, INC.

Consolidated Income Statement

Year Ended August 31, 2010

Exhibit CFM - 301
CFM Holdings, Inc. and Subsidiaries Year Ended August 31, 2010                                                                  

NOTES TO CONSOLIDATED FINANCIAL STATEMENT

August 31, 2010

Note 1 - Summary of accounting methods 

Consolidation and Reporting Entities 

The consolidated financial statements include the accounts of the CFM Holdings, Inc., 

Corporate Flight Management, Inc. which is 81.55% owned by CFM Holdings, Inc., 410 

Investors, LLC which is 90.91% owned by Jetquick, LLC., which is 51% owned by Corporate 

Flight Management, Inc., and JWN Wings of Eagles, LLC which is 50.10% owned by Corporate 

Flight Management, Inc. All material intercompany accounts and transactions are offset in 

consolidation. 

Business Activity 

Corporate Flight Management, Inc was incorporated on July 26, 1982, in accordance with the 

Tennessee General Corporation Act. The company’s primary purpose is to conduct business in 

the field of aviation, charter under a part 135 certificate, maintenance, aircraft management, 

flight school, and fixed based operations. 

Cash and Cash Equivalents 

For financial statement purposes, the Company considers all cash and highly liquid investments 

which have original maturities of three months or less, to be cash equivalents. 

Use of Estimates 

The preparation of financial statements in conformity with accounting principles generally 

accepted in the United States of America requires management to make estimates and 

assumptions that affect the reported amounts of assets and liabilities and disclosure of 

contingent assets and liabilities at the date of the financial statements and the reported amounts 

of revenues and expenses during the reporting period. Actual relsts could differ from those 

estimates. 

Variable Interest Entities 

Accounting principles require a variable interest entity (“VIE”) to be consolidated if a party with 

ownership, contractual or other financial interest in the VIE (a variable interest holder) is 

obligated to absorb a majority of the risk of loss from the VIE’s activities, is entitled to receive a 

majority of the VIE’s residual returns (if no party absorbs a majority of the VIE’s losses), or both. 

A variable interest holder that consolidated the VIE is called the primary beneficiary. 

Accounts Receivable – Trade and Revenue Recognition 

Accounts receivable are reflected at estimated net realizable value. The Company has elected 

to record bad debts using the direct write-off method. 

Inventories 

Inventories consist of parts, fuel, aircraft and work in process. Inventory is calculated on a cost 

of average system. 

Prepaid Expenses 

Prepaid expenses are amortized over the period of benefit using the straight –line method. 

Property and Equipment 

Exhibit CFM - 301
CFM Holdings, Inc. and Subsidiaries Year Ended August 31, 2010                                                                  

NOTES TO CONSOLIDATED FINANCIAL STATEMENT

August 31, 2010

Property and equipment are stated at cost. Depreciation is calculated using the accelerated 

method allowed under the tax code. 

Revenue Recognition 

Revenue is recognized when the earnings is complete and the risks and rights of ownership 

have transferred to the customer, which is generally considered to have occurred when 

products have been delivered, and title and risk of ownership pass. 

Income Taxes 

The Company provides for income taxes and recognizes deferred tax liabilities and assets for 

the expected future tax consequences of temporary differences between the financial statement 

carrying amounts and the tax basis of assets and liabilities. 

Advertising Costs 

Advertising costs are charged to operations when incurred. Advertising expense for the period 

was $55,155. 

Note 2 – Credit Risks 

The company maintains its cash balances in four financial institutions located in Nashville, 

Tennessee. The balances at each bank are insured by the Federal Deposit Insurance 

Corporation. 

Note 3 – Accounts Receivable Trade 

An aging of Accounts Receivable at August 31, 2010 are as follows: 

August 31, 2010 

 Current 1,084,624 

 30 Days 105,970 

 60 Days 69,062 

 90 Days and over 118,987 

 Total Trade Receivables 1,378,643 

Note 4. Accounts Receivable – Affiliates 

August 31, 2010 

Jetstream Air, LLC 1,388,137 

CFM Airport Development, LLC 177,399 

CFM Automotive, LLC 22,324 

MQY - Wings of Eagles 6,186 

Members 100 

Total Accounts Receivable - Affiliate 1,594,148.73 

Exhibit CFM - 301
CFM Holdings, Inc. and Subsidiaries Year Ended August 31, 2010                                                                  

NOTES TO CONSOLIDATED FINANCIAL STATEMENT

August 31, 2010

Note 5 - Notes Receivable 

Notes receivable consist of two separate notes from Chuck Howell and David Augustin, two of 

the principle owners of the Company. At August 31, 2010 the balances of Notes receivable 

belonging to Chuck and David were $19,020 and $6,808 respectively. 

Note 6 - Inventories 

Inventories consisted of the following at year end. 

August 31, 2010 

Aircraft 4,428,181.26 

Parts 1,288,520.34 

Work In Process 1,198,427.00 

Fuel 94,082.24 

Total Inventory 7,009,210.84 

Note 7 – Restricted Cash Deposits 

The Company holds insurance in escrow deposits for its managed aircraft fleet, and it also 

secures a stand –by letter of credit with a one year $100,000 Certificate of Deposit. Restricted 

deposits were equal to $269,642. 

Note 8 – Investments 

Investment in related entities consisted of the following at year end: 

 

Investment – GBA Gyro Planes 138,742 

Investment – Jetstream Air (deficit) 1,282,357 

Total Investments 1,421,099 

 

Note 9 - Credit Cards Payable 

The company currently has a $500,000 limit credit card for operating aircraft and parts inventory 

purchases. As of August 31, 2010 the balance was $53,950 

Exhibit CFM - 301
CFM Holdings, Inc. and Subsidiaries Year Ended August 31, 2010                                                                  

NOTES TO CONSOLIDATED FINANCIAL STATEMENT

August 31, 2010

Note 10 Affiliates Payable 

August 31, 2010 

Jetstream Sales, LLC 625,043.34 

CFM Airport Development 17,316.33 

410 Investors 1,664.04 

Due From Stockholders 41,863.67 

Jetquick, LLC 67,500.00 

Total Affiliate Payables 753,387.38 

Note 11 – Refundable Customer Deposits 

The Company requires customer deposits before undertaking large maintenance projects or 

booking pre-paid blocks flight times. The following is a summary of all refundable customer 

deposits at August 31, 2010. 

August 31, 2010 

Charter Block Time 241,981.00 

Maintenance Refurbishment 767,057.00 

Maintenance Prepays 66,785.00 

FBO-Pre-purchases 22,371.00 

Aircraft Sales Deposits 159,500.00 

Flight School 21,883.00 

Total Refundable Customer Deposits 1,279,577.00 

Note 12 – Refundable Insurance Deposits 

The Company offers the managed aircraft owners the opportunity to participate in the 

Company’s fleet insurance program, which usually affords some discounts on premiums due to 

volume buying. As part of the fleet insurance program, the insurance company requires a 

deposit a deposit as a reserve against monthly premiums. The Company is obligated to 

reimburse each aircraft owner when the aircraft leaves the insurance program. 

Note 13 – Notes Payable 

See Schedule B for a schedule of debt. 

Exhibit CFM - 301
CFM Holdings, Inc. and Subsidiaries Year Ended August 31, 2010                                                                  

NOTES TO CONSOLIDATED FINANCIAL STATEMENT

August 31, 2010

Note 15 – Taxes Payable 

August 31, 2010 

Sales Tax 22,586.00 

Payroll Taxes 48,524.23 

State Taxes 39,013.28 

Federal Taxes 21,445.82 

Property Taxes 14,229.00 

Total Taxes Payable 145,798.33 

Note 16 – Contingent Liabilities 

See Schedule B for a schedule of debt. 

Note 17 – Other Income 

Income from investments is as follows. 

August 31, 2010 

CFM Automotive, LLC 1,975.00 

Jetstream Sales, LLC -19,000.00 

CFM HL Joint Venture -9,547.00 

MQY Wings of Eagles, LLC 27,294.00 

Jetstream Air, LLC 229,828.00 

Total 230,550.00 

Note 18 – Unconsolidated Related Parties 

The Company has excluded the financial statements of the following entities from consolidation 

with the accompanying financial statements: 

MQY Wings of Eagles, LLC Jetstream Sales, LLC 

CFM Automotive, LLC Jetstream Air, LLC 

CFM HL Joint Venture CFM Airport Development, LLC 

Exhibit CFM - 301
Note Holder Purpose Collateral

Maximum Liability 

8-31-10

Monthly 

Payment Origination Date

Original Note 

Amount 

205.021 First Insurance Group Insurance Premium Financing none 187,815.90 22,410.49 04/01/10 356,710.00 

205.017 First Tennessee refurb for 507T Airplane 507T 40,494.99 348.29 10/23/08 45,250.00 

205.019 Civic Bank and Trust Finance of Employee Car Buyout Inv, furn, fixt,equipment, AR 19,797.11 625.00 205.105 First Tennessee Purchase Jetstream for resale/950 Aircraft Jetstream MSN 950 255,821.37 3,285.28 03/30/07 336,000.00 205.235 Bancorpsouth Bank Construct FBO and term out West Side FBO Building 928,391.86 8,896.63 07/26/04 1,071,000.00 

205.022 Reliant Bank Build out 926AE None 23,541.25 127.56 09/14/09 150,000.00 206.110 John Floyd Investor Financed 10UP None 503,769.68 0.00 12/21/07 800,000.00 205.441 Bancorp South Jeep Wrangler for Blake Tumbleson Jeep Wrangler 14,785.38 593.22 11/20/09 29,358.00 

206.018 Ricardo Tostada Balance due from Sale of 913 none 393,928.08 0.00 12/31/08 393,928.08

TOTALS 2,368,345.62 36,286.47

Investor Related Loans - On Balance Sheet

204.150 Pinnacle Bank Guaranteed Debt by two investors for 

refurb. CFM took the debt and ownership of the asset to protect Investors from 

product liability prot. 

Two J-32 Aircraft 865CY and 858CY

1,420,830.14 int only 04/29/08 1,600,000.00 

205.107 First Tennessee Tom Chappell Purchase of 564HK. He pays 

the payment.

Aircraft 565HK 1,624,717.52 11,453.27 09/17/08 1,801,000.00 

205.400 Hvizdak Loan Parts Plane #2/unsecured None 155,419.00 Interest annually 11/29/06 510,000.00 

JetStream Air, LLC - Off Balance Sheet

Beacon Federal Acquisition of aircraft Aircraft 242BM 559,605.94 11,114.95 08/17/05 972,000.00 

Beacon Federal Rebuild Engine Aircraft 242BM 65,276.51 1,413.56 08/17/05 123,615.00 First Tennessee Acquisition of aircraft Aircraft 643JX 718,376.43 8,478.59 07/21/05 920,000.00 

Pinnacle Acquisition of aircraft Aircraft 657BA 393,165.74 7,929.96 08/12/05 657,801.00 

CFM Airport Development, LLC - Off Balance Sheet

Regions Bank Refinance acquisition loan Real Estate - 20 Hangar 

Condo Unit at Smyrna 

Airport

214,453.72 4,151.97 03/31/05 377,044.11 

Other Notes Off Balance Sheet

Hl Aviaition Hangar 2 at John Tune (recently 

compltely). This note is from HL-CFM Joint Venture. CFM is a co-maker on the note. The Hangar is the collateral valued at 

$1.8M

Real Estate - Hangar 2 John Tune Airpoert

1,073,646.43 10,000.00 02/19/09 1,153,500.00 

Arvest Bank CFM is guarantor on $3,000,000 line of 

credit to Jetstream Sales, LLC. Ken Mourton is personal guarantee and provides significant financial strength in support of the debt. Payments are paid by Ken Mourton. Collateral is seven J-32"s 

valued at $3.05M

Seven Aircraft, J - 32 BAE purchased at $350,000 per aircraft. Two aircraft interiors.

 15,763.45 2,652,960 12/03/07 3,000,000 

Regions Bank CFM is guarantor of Wings of Eagles note 

for Flight Simulator (collateral) valued at $100,000

Flight Simulator located at Smyrna Aircraft

 869.35 03/20/08 42,466 

30,644

Beacon Federal CFM is guarantor for Note to Wings of 

Eagles for 223NH (collateral) valued at 120,000

Aircraft 223NH 67,460 1,145.28 04/06/01 118,079 

Beacon Federal CFM is guarantor for note to Wings of 

Eagles for 342DS (collateral) valued at $120,000

Aircraft 342DS 83,890 1,778.20 08/24/01 185,710 

Corporate Flight Management, Inc

Schedule of Debt

31-Aug-10
Civic Bank and Trust CFM is a guarantor for CFM Automotive, 

LLC. The company has ceased to operate. There are two vehicles remaining on the line. 

Mercedes, Lexus 30,369 156.90 03/03/09 200,000 

First Bank Personal Note to John Floyd and Allen 

Howell. The proceeds were used to fund loan to CFM for the acquisition 10UP. Allen Howell is a related party to CFM as a 38% owner

Aircraft 10UP 588,028.55 2,515.45 12/21/07 800,000.00 
CFM HOLDINGS, INC. 

Smyrna, Tennessee 

Compiled Financial Statements 

Year Ended August 31, 2011 
Consolidated Financial Statements 

Consolidated Balance Sheet Consolidated Statement oflncome 

Consolidated Statement of Stockholders' Equity 

Consolidated Statement of Cash Flows 

Notes to Consolidated Financial Statements 

Supplementary Information 

Schedule 1- Consolidated Schedule of Expenses 

2 

3 

4 

5 

6-16 

17 
Smyrna, Tennessee 

We have compiled the accompanying consolidated balance sheet of CFM Holdings, Inc. and its 

subsidiaries, as of August 31, 2011, and the related consolidated statements of income, 

stockholders' equity, and cash flow for the year then ended and the accompanying 

supplementary information. We have not audited or reviewed the accompanying consolidated 

financial statements and supplementary schedule and, accordingly, do not express an opinion or 

provide any assurance about whether the consolidated financial statements are in accordance 

with accounting principles generally accepted in the United States of America. 

CFM Holdings, Inc. (the "Company") is responsible for the preparation and fair presentation of 

the financial statements in accordance with accounting principles generally accepted in the United States of America and for designing, implementing, and maintaining internal control 

relevant to the preparation and fair presentation of the financial statements. 

Our responsibility is to conduct the compilation in accordance with Statements on Standards for 

Accounting and Review Services issued by the American Institute of Certified Public 

Accountants. The objective of a compilation is to assist management (the owners) in presenting 

financial information in the form of financial statements without undertaking to obtain or provide 

any assurance that there are no material modifications that should be made to the financial 

statements. However, we did become aware of a departure from generally accepted accounting 

principles that is described in the following paragraph. 

As disclosed in Note 21 to the financial statements, generally accepted accounting principles 

require the primary beneficiary of a variable interest entity to consolidate the variable interest 

entity in its financial statements. Management has informed us that the Company's financial 

statements do not include the accounts of related entities that the Company has determined are 

variable interest entities. The effects of this departure from accounting principles generally 

accepted in the United States of America on the consolidated financial position, consolidated 

results of operations, and consolidated cash flows have not been determined. 

Nashville, Tennessee 

November 5, 2012 
Current assets 

Cash 

Accounts receivable - trade Affiliates receivable 

Notes receivable 

Prepaid expenses 

Inventories 

Restricted cash deposits 

Total current assets 

Property and equipment 

Aircraft 

Equipment and machinery 

Buildings 

Furniture and fixtures 

Leasehold improvements 

Less: Accumulated depreciation 

Property and equipment, net 

Other assets 

Deposits 

Other assets Other investments 

Total other assets Total assets 

$ 

$ 

30,412 

3,199,464 

1,703,373 

23,941 

439,845 

5,242,857 

290,049 

10,929,941 

543,043 

2,411,512 

1,351,269 

308,845 358,455 

4,973,124 

(2,235,539) 

2,737,585 

175,320 

264,734 

138,472 

578,526 

14,246,052 

See independent accountants' compilation report and accompanying notes to financial statements. 

2 
Current liabilities 

Accounts payable Affiliate payables Accrued expenses 

Credit cards payable 

Deferred tax liability 

Notes payable 

Taxes payable 

Total current liabilities 

Other liabilities 

Refundable customer deposits 

Refundable insurance deposits 

Other investments 

Total other liabilities 

Long term debt 

Total liabilities 

Minority interest in subsidiaries 

Stockholders' equity 

Common stock - no par value 

10,000 shares authorized; I ,000 shares issued 

and outstanding 

Additional paid-in capital 

Less: Treasury stock Retained earnings 

Total stockholders' equity 

Total liabilities and stockholders' equity 

$ 

$ 

4,251,685 

514,098 

7,751 

30,505 

343,496 

2,811,625 

296,978 

8,256,138 

1,693,491 

163,209 

1,211,017 

3,067,717 

2,620,929 

13,944,784 

440,318 

10,000 

81,885 

(67,846) 

(163,089) 

(139,050) 

14,246,052 
Cost of sales 

Purchases 

Labor 

Sales costs 

Maintenance cost 

Insurance costs 

Lease costs 

Other costs - charter 

Total cost of sales 

Gross profit on sales 

Operating expenses Operating income Other income (expense) 

Interest income 

Other income 

Interest expense 

Other expense 

Total other net income 

Income before income taxes 

Provision for income taxes 

Income before minority interests 

Minority interests 

Consolidated comprehensive net income 

9,934,122 3,955,170 

1,272,717 

857,406 

227,643 

6,583,212 

1,739,774 

24,570,044 

7,563,952 

6,910,688 

653,264 

9,943 

373,993 

(142,285) 

241,651 

894,915 

364,452 

530,463 

(309,921) 

$ 220,542 

See independent accountants' compilation report and accompanying notes to financial statements. 

3 
Interest paid 

142,285 
Net income 530,463 530,463 

Less prior period adjustment (208,214) (208,214) 

Less minority interest (309,921) (309,921) 

End of year $ 10,000 $ (67,846) $ 81,885 $ (163,089) $ (139,050) 

See independent accountants' compilation report and accompanying notes to financial statements. 

4 
Provided by operating activities: 

Minority interest earnings of VIE 

Depreciation 

(Increase) decrease in 

Accounts receivable - trade 

Accounts receivable - affiliate 

Accounts receivable - officers 

Notes receivable 

Prepaid expenses 

Inventories 

Increase (decrease) in 

Accounts payable Affiliate payables 

Credit card payable 

Line of credit 

Short term notes payable 

Refundable account receivable deposits 

Taxes payable 

Accrued expenses 

Net cash provided by operating activities 

Cash flows from investing activities 

Purchases of property and equipment 

Investments 

Net cash used by investing activities 

Cash flows from financing activities 

Change in treasury stock 

Net changes on long term debt 

Net cash used by financing activities 

Net decrease in cash 

Cash- beginning of year 

Cash - end of year 

$ 

309,921 361,525 

(1 ,819,248) 

217,569 

(8,190) 

1,888 

1,790,294 

(196,824) 

1,228,908 

(552,485) 

(23,446) 

(933,442) 

(26,501) 

420,155 

194,824 

(107,126) 

1,078,364 

(1,751,665) 

241,554 

(1,510,111) 

(500) 

(22,917) (23,417) 

(455,164) 

485,576 

30,412 

See independent accountants' compilation report and accompanying notes to financial statements. 

5 
presented to assist in understanding the Company's consolidated financial statements. The 

consolidated financial statements and notes are representations of the Company's management, 

which is responsible for their integrity and objectivity. 

Principles of Consolidation and Reporting Entities 

The consolidated financial statements include the accounts of the CFM Holdings, Inc., Corporate 

Flight Management, Inc., which is 81.55% owned by CFM Holdings, Inc., 410 Investors, LLC, 

which is 90.91% owned by Jetquick, LLC, Jetquick, LLC, which is 51% owned by Corporate 

Flight Management, Inc., Wings of Eagles, LLC, which is 70% owned by Corporate Flight 

Management, Inc., and JWN Wings of Eagles, LLC which is 50.10% owned by Corporate Flight 

Management, Inc. All material intercompany accounts and transactions are eliminated in 

consolidation. 

Business Activitv 

Corporate Flight Management, Inc. was incorporated on July 26, 1982, in accordance with the 

Tennessee General Corporation Act. The Company's primary purpose is to conduct business in 

the field of aviation, charter, maintenance, aircraft management, flight school, and FBO. The 

main offices and operations of the Company are located in Smyrna, Tennessee. 

Cash and Cash Equivalents 

For financial statement purposes, the Company considers all cash and highly liquid investments 

which have original maturities of three months or less, to be cash equivalents. 

Use of Estimates 

The preparation of financial statements in conformity with accounting principles generally 

accepted in the United States of America requires management to make estimates and 

assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent 

assets and liabilities at the date of the financial statements and the reported amounts of revenues 

and expenses during the reporting period. Actual results could differ from those estimates. 

Variable Interest Entities 

F ASB ASC 810 requires a variable interest entity ("VIE") to be consolidated if a party with 

ownership, contractual or other financial interest in the VIE (a variable interest holder) is 

obligated to absorb a majority of the risk of loss from the VIE's activities, is entitled to receive a 

majority of the VIE's residual returns (if no party absorbs a majority of the VIE's losses), or 

both. A variable interest holder that consolidated the VIE is called the primary beneficiary. 

6 
record bad debts using the direct write-off method. Generally accepted accotmting principles require that the allowance method be used to recognize bad debts; however, the effect of using 

the direct write-off method is not materially different from the results that would have been 

obtained under the allowance method. 

Inventories Inventories consist of parts, fuel, aircraft and work in process. Inventory is calculated on a cost 

average system. 

Prepaid Expenses Prepaid expenses are amortized over the period of benefit using the straight-line method. 

Property and Equipment Property and equipment are stated at cost. Depreciation is computed using the straight line 

method over estimated useful lives of 3 to 39 years. 

The Company evaluates long-lived assets for impairment whenever events or changes in 

circumstances indicate that the carrying amount of an asset may not be recoverable. Upon such 

an occurrence, recoverability of assets to be held and used is measured by comparing the 

carrying amount to estimated undiscounted future cash flows. If the caiTying amount of the asset 

exceeds its estimated future cash flows, an impairment charge is recognized based upon the 

amount by which the carrying amount exceeds the fair value of the asset. 

Revenue Recognition Revenue is recognized when the eamings process is complete and the risks and rights of 

ownership have transferred to the customer, which is generally considered to have occurred 

when products have been delivered, and title and risk of ownership pass. 

Income Taxes 

The Company provides for income taxes and recognizes defeiTed tax liabilities and assets for the 

expected future tax consequences of temporary differences between the financial statement 

carrying amomlts and the tax basis of assets and liabilities. 

Advertising Costs Advertising costs are charged to operations when incurred. Advertising expense was $45,160 for 

the year ended August 31, 2011. 

7 
at August 31, 2011. 

Note 3. Accounts Receivable- Trade 

An aging of Accounts Receivable at August 31 was as follows: 

Current 

30 Days 

60 Days 

90 Days and Over 

Note 4. Accounts Receivable- Affiliates 

Jetstrean1 Air, LLC 

CFM Airport Development, LLC 

CFM- HL Joint Venture 

MQY- Wings of Eagles 

Members 

Total Accounts Receivable- Affiliates 

2011 

$ 987,221 

1' l 00,330 

532,289 579,624 

$ 3,199,464 

August 31, 2011 

$ 1,480,877 

183,534 

38,494 

368 

100 

$ 1,703,373 

During the period, CFM Automotive, LLC closed its operations. The Company wrote off 

$22,324 in debt owed by the subsidiary. 

In 2007, the Company acquired 70% ownership of Wings of Eagles, LLC, a flight school 

operating at two airports. Prior to that period, the school had debt outstanding in the amount of 

$435,983. Subsequently, the schools were reorganized and the ownership structure changed. In 

2011, management elected to write off the accumulated debt owed by the original Wings of 

Eagles, LLC in the amount of $435,983. 

8 
Note 6. Inventories 

Inventories consisted of the following at August 31: 

Aircraft 

Parts 

Work in Process 

Fuel 

Total Inventories 

Note 7. Restricted Cash Deposits 

2011 

$ 1,350,500 

1,298,088 

2,516,789 

77,480 

$ 5,242,857 

The Company holds insurance escrow deposits for different policies as well as letter of credit 

deposits. The balance at August 31,2011 is $290,049. 

Note 8. Investments 

Investments in related entities at August 31, 20 II consisted of the following: 

Investment - GBA Gyroplanes 

Investment- Jetstream Air (deficit) 

Total Net Investments (deficit) 

Note 9. Credit Cards Payable 

Equity 

$ 138,472 

$ 138,472 

Deficit 

$ 

( 1,211,017) 

($ 1,211,017) 

The Company currently has a $500,000 limit credit card for operating aircraft and parts 

inventory purchases. As of August 31,2011, the balance was $30,505. 

9 
Jetstream Air, LLC 

CFM Airport Development 

Due to Stockholders 

Total Affiliates Payable 

Note 11. Refundable Customer Deposits 

2011 

454,975 

17,316 

41,807 

$ 514,098 

The Company requires customer deposits before undertaking large maintenance projects or 

booking flight times. The following is a summary of all refundable customer deposits at August 

31,2011: 

Charter Prepays 

Maintenance Refurbishment Maintenance Prepays 

FBO- Pre-purchases 

Aircraft Sales 

Total Refundable Customer Deposits 

Note 12. Refundable Insurance Deposits 

$ 

2011 

311,408 

1,073,554 

226,908 

26,772 

54,849 

1,693,491 

The Company offers the managed aircraft owners the opportunity to pmiicipate in the 

Company's fleet insurance progrmn, which usually affords some discounts on premiums due to 

volume buying. As part of the fleet insurance program, the insurance company requires a deposit 

as reserve against monthly premiums. The Company pays the deposit (recorded as restricted 

cash) from cash received from each owner. The Compm1y is obligated to reimburse each aircraft 

owner when the aircraft leaves the insurance program. 

10 
(1 )- Chappell Smith & Associates 

(2)- Reliant Bank (3)- First Tennessee ( 4 )- BancorpSouth Bank 

(5)- BancorpSouth Bank 

(6)- Civic Bank & Trust 

(7)- Bank Line of Credit-Pinnacle 

(8)- Bank Line of Credit-Reliant 

(9)- First Insurance Funding Group 

(1 0)- Civic Bank (583) 

(11 )- A. Howell 

(12)- Jetstream Sales (13)- Ricardo Tostada (14)- John Floyd (15)- Hvizdak Loan 

(16)- Pinnacle Bank 

(17)- Beacon Federal Bank 

( 18)- Beacon Federal Bank (19)- Regions Bank (20)- Reece Howell 

Total Notes Payable 

$ 

Cun·ent 

8,854 

137,439 

106,760 

7,119 

6,043 

228,000 

359,388 

150,577 

1,606 

30,000 

128,500 

393,928 

463,318 

117,256 

627,324 

13,743 

21,338 

10,432 

$ 2,811,625 

Noncurrent 

$ 285,079 

8,979 

1,386,044 

780,829 

1,898 

40,492 

35,888 

4,962 

76,758 

$ 2,620,929 

(1) Note payable to Chappell Smith & Associates, payable in monthly installments of$1,500-

interest only at 6% through January 2016, unsecured. 

(2) Note payable to Reliant Bank, payable in monthly installments of $738, including interest at 

6.5% through October 2013, unsecured. 

(3) Note payable to First Tennessee, payable in monthly installments of $11,453, including 

interest at 3.25% through September 2013. Collateralized by aircraft 565HK. 

( 4) Note payable to BancorpSouth Bank, payable in monthly installments of $8,897, including 

interest at 6.25% through August 2024. Collateralized by West Side FBO building. 

(5) Note payable to BancorpSouth Bank, payable in monthly installments of $593, including 

interest at 7.75% through November 2012. Collateralized by Jeep Wrangler. 

(6) Note payable to Civic Bank & Trust, payable in monthly installments of $625, including 

interest at 7.7% through June 2012. Collateralized by accow1t receivables and inventories. 

11 
(8) Line of Credit with Reliant Bank, payable monthly- interest only at 6.25% until planes are 

sold. Collateralized by two J-32 aircraft. 

(9) Note payable to First Insurance Funding Group, payable in monthly installments of 

$38,112 including interest at 5.95% through December 2011. Insurance policy premiums 

are financed for nine months, renewable each April. 

(1 0) Note payable to Civic Bank & Trust, payable in monthly installments of $477 including 

interest at 7.25% through May 2012. Collateralized by account receivables and inventories. 

(11) Note payable to A. Howell, no monthly payments and no interest rate, unsecured with no 

maturity date. 

(12) Note payable to Jetstream Sales for the down payment on Phenom Position. No monthly 

payments and no interest rate. Unsecured with no maturity date. 

(13) Note payable to Ricardo Tostada, no monthly payments and no interest rate, for the 

balance due from Sale of aircraft N913ae. Unsecured with no maturity date. 

(14) Note payable to John Floyd, no monthly payments and no interest rate, unsecured and a 

maturity date of August 2012. 

(15) Note payable on demand to Hvizdak, no monthly payments with an interest rate of 10%. 

Unsecured. 

(16) Note payable to Pinnacle Bank, payable in monthly installments of $9,840 including 

interest at 5.5% through September 2012. Collateralized by two J-32 aircraft. 

(17) Note payable to Beacon Federal Bank, payable in monthly installments of $1,145 

including interest at 8.25% through April 2016. Collateralized by aircraft. 

(18) Note payable to Beacon Federal Bank, payable in monthly installments of $1,778 

including interest at 8% through September 2016. Collateralized by aircraft. 

(19) Note payable to Regions Bank, payable in monthly installments of $869 including interest 

at 8.3% through March 2013. Collateralized by flight simulator for flight school. 

(20) Note payable to Reece Howell. The Company has not made any payments and future 

payments are not known at this time. 

12 
2012 2013 2014 

2015 

2016 

$ 2,811,625 

Thereafter 

286,262 

1,246,222 

196,523 

391,839 

500,084 

$ 5,432,554 

Note 14. Operating Leases (Non-Related Party) 

The Company also conducts operations from facilities that are leased under operating leases. 

Rental expense under these leases amounted to $918,827 for the year ended August 31, 2011. 

The future minimum rental payment under these leases for the next five years and in the 

aggregate is as follows: 

Year Ending August 31, 

2012 2013 

2014 2015 2016 

Total 

Note 15. Taxes Payable 

Facilities 

$ 940,476 

$ 

940,476 

940,476 940,476 940,476 

4,702,380 

Taxes payable consisted of the following at August 31: 

Sales Tax 

Payroll Taxes Accrued and Withheld 

State Taxes 

Federal Taxes 

Property Taxes 

Total Taxes Payable 

13 

Equipment 

$ 90,046 

$ 

89,312 

83,320 

71,348 71,082 

405,108 

2011 

$ 43,796 

123,913 

85,976 

31,691 

11,602 

$ 296,978 
components: 

Federal State Total 

Current Tax Expense $ $ 20,956 $ 20,956 

Deferred Tax (Benefit) Expense 313,091 30,405 343,496 

Total Income Tax (Benefit) Expense $ 313,091 $ 51,361 $ 364,452 

Deferred taxes result from differences in the recognition of depreciation expense for tax and 

book purposes. Amounts for deferred tax liabilities at August 31, 2011, were as follows: 

Federal State Total 

Deferred Tax Asset/(Liability) ($313,091) ($ 30,405) ($ 343,496) 

Note 17. Contingent Liabilities 

The Company is a guarantee on the following note payables as of August 31, 2011: 

Bank 

HL Aviation 

Arvest Bank 

Regions Bank Beacon Federal Beacon Federal 

Collateral 

Real estate, Hangar at John Tune Airport 

Seven J-32 aircraft 

Flight simulator at Smyrna Airport 

Aircraft 223NH 

Aircraft 342DS 

Total 

Note 18. Employee Retirement Plan 

Amount 

$ 1,016,511 

1,586,616 

15,338 

54,235 57,237 

$ 2,729,937 

The Company offers to its employees a 401 (k) Plan as defined by Section 401 (k) of the Internal 

Revenue Code. This plan is a Multiple Employer Plan and covers all employees, age 21 or older, 

who have six months or more of service. The Company matches 50% of the first 6% of the 

employee's contributions. The contributions are invested either in a mutual fund or a money 

market fund which is decided by the employee. An employee is 1 00% vested once they become 

eligible to participate in the plan. 

The amount contributed to the plan and charged to operations was $38,039, for the year ended 

August 31,2011. 

14 
Income from Investment- MQY Wings of Eagles, LLC 

Income from Investment- Jetstream Sales, LLC 

Income from Investment- Jetstream Air, LLC Income from Investment- CFM Automotive 

Loss from Investment- CFM Automotive 

Loss from Investment- CFM HL Joint Venture 

Total 

Note 20. Economic Dependency 

$ 

20,478 

284,613 

71,340 

4,611 

(4,371) (2,678) 

373,993 

A downturn in aircraft charter and aircraft maintenance/fuel sales could have an adverse effect 

on Company operations. 

Note 21. Unconsolidated Related Parties 

The Company has excluded the financial statements of the following entities from consolidation 

with the accompanying financial statements: 

MQY Wings of Eagles, LLC 

CFM Automotive, LLC 

CFM HL Joint Venture 

Jetstream Sales, LLC Jetstream Air, LLC 

CFM Airport Development, LLC 

Financial Accounting Standards Board ("F ASB") Interpretation No. 46, Consolidation of 

Variable Interest Entities, (FASB Accounting Standards Codification (ASC) 810-10, 

Consolidatiom) requires consolidation of these entities. The effects of this consolidation have 

not been detennined. 

Note 22. Prior Period Adjustment 

Due to work in process costing procedures, the Company discovered that certain inventory 

transactions were not being properly closed. This resulted in an overstatement of work in process 

balances for years ended August 31, 2007 - 2010. This adjustment resulted in a decrease to 

inventory and retained earnings. 

15 
of the definition of "commercial aviation" as defined in a recent Chief Counsel advice 

memorandum which was issued in 2012. This impacts the owners use of managed aircraft. The 

Company does expect an audit adjustment and a potential tax assessment but the amount is not 

known at this time. 

16 
SUPPLEMENTARY INFORMATION 
Bad debt 

Depreciation Dues and subscriptions 

Employee training and uniforms 

Fees 

Insurance 

Rent - real property 

Maintenance and repairs 

Meals and entertainment Miscellaneous 

Office Officers life insurance 

Professional services 

Salaries and wages 

Taxes 

Travel 

Utilities 

Total operating expenses 

See independent accountants' compilation report. 

17 

710,965 

361,525 

104,333 

153,833 

302,806 

258,136 

918,827 

111,629 

18,091 

37,666 

148,097 

10,503 

120,519 

3,075,863 

57,911 

87,085 

342,599 

$ 6,910,688 
CORPORATE FLIGHT MANAGEMENT, INC. 

Smyrna, Tennessee 

Compiled Financial Statements 

 Interim Statement for the period through 1-31-13 

Exhibit CFM - 304
INTERNALLY PREPARED INTERIM STATEMENT 

January 31, 2013 

To the Board of Directors 

CFM Holdings, Inc. 

Smyrna, Tennessee 

The accounting staff of Corporate Flight Management, Inc., the primary operating company and 

subsidiary of CFM Holdings, Inc., has compiled the following balance sheet and income 

statement for Corporate Flight Management, Inc. representing the interim period ending January 

31, 2013. In addition, notes to the financials have been prepared to support the statements. The 

numbers were not audited or reviewed internally or externally by an outside accounting firm. 

Generally, the company adheres to generally accepted accounting principles and accordingly 

endeavors to present a fair representation of the financial statements according to these 

principles. 

To the best of my knowledge, the information provided in the following report is accurate and 

fairly represents the financial results of the interim period ending January 31, 2013. 

 

Best regards, 

Doug Cate 

Chief Financial Officer 

Corporate Flight Management, Inc. 

Exhibit CFM - 304
 2:37 PM

 03/15/13

 Accrual Basis

 Corporate Flight Management, Inc.

 Balance Sheet

 As of January 31, 2013

Jan 31, 13

ASSETS

Current Assets

Checking/Savings

1000000 · Bank Accounts

1000210 · Pinnacle

1000204 · Pinnacle Operating-2526 -203,075.26

1000205 · Pinnacle -JWN ZBA-2598 -420.40

1000206 · Pinnacle -MQY ZBA-2566 -66,887.48

1000207 · Pinnacle-Special Escrow-2534 572.41

1000208 · Pinnacle- Payroll-4422 -38,677.29

Total 1000210 · Pinnacle -308,488.02

1000211 · Regions

1000101 · Regions Operating-7653 9,857.56

1000103 · Regions Special Escrow-0801 -2.65

Total 1000211 · Regions 9,854.91

1000212 · Other

1000320 · Cap Star - 61720 17.07

1000340 · Fifth Third merchant-7360851211 28,011.81

100350 · Beacon- 1866678 145.00

Total 1000212 · Other 28,173.88

Total 1000000 · Bank Accounts -270,459.23

1010000 · Cash/ Restricted

1010005 · Petty Cash - MQY 700.00

1010010 · Petty Cash - JWN 200.00

1010015 · Restricted Deposits 263,838.51

Total 1010000 · Cash/ Restricted 264,738.51

Total Checking/Savings -5,720.72

Accounts Receivable

1200000 · Accounts Receivable 2,734,887.80

Total Accounts Receivable 2,734,887.80

Other Current Assets

1210000 · Other Accounts Receivable

1210050 · Officer Receivable A. Howell 86,016.01

1210075 · Officer Receivable - D Augustin 188,544.91

1210076 · Social Flights Receivable 164,794.85

1210077 · MAS Receivable 225,753.72

1210078 · Jet Finance Receivable 107,013.58

Total 1210000 · Other Accounts Receivable 772,123.07

1220000 · Receivables - Affiliates

1220005 · CFM Airport Development Co, LLC 192,077.31

1220010 · CFM Holdings, Inc. 650,487.61

1220015 · Jetstream Air, LLC 1,318,650.01

1220020 · JetStream Sales, LLC 1,987.10

1220055 · CFM-HL Joint Venture 125,699.72

Total 1220000 · Receivables - Affiliates 2,288,901.75

 <1 of 7>

Exhibit CFM - 304
 2:37 PM

 03/15/13

 Accrual Basis

 Corporate Flight Management, Inc.

 Balance Sheet

 As of January 31, 2013

Jan 31, 13

1250000 · Notes Receivable

1250020 · Note Receivable-D.Augustin 12,510.35

Total 1250000 · Notes Receivable 12,510.35

1300000 · Inventory

1300100 · Inventory Fuel and Oil

1300110 · Jet Fuel Inventory-JWN 37,326.12

1300115 · Avgas Inventory-JWN 77,429.95

1300120 · Oil & Supply Inventory-JWN 2,679.00

1300125 · Jet Fuel Inventory-MQY -10,730.40

1300130 · Avgas Inventory-MQY 33,538.51

1300140 · Oil & Supply Inventory-MQY 1,183.75

1300150 · Jet Fuel Inventory-DXR 51,822.89

Total 1300100 · Inventory Fuel and Oil 193,249.82

1300200 · Inventory Flight Store

1300205 · Flight Store Inventory-JWN 5,745.99

1300210 · Flight Store Inventory-MQY 2,294.31

Total 1300200 · Inventory Flight Store 8,040.30

1300300 · Inventory Mtx Parts

1300305 · Parts Inventory - MQY 1,429,419.79

1300310 · Cores-Engines 60,000.00

1300315 · Cores Inventory-MQY 166,773.92

1300320 · Work in Progress-MQY 739,541.52

Total 1300300 · Inventory Mtx Parts 2,395,735.23

1300400 · Inventory Planes

1300405 · N10UP 800,000.00

1300410 · N858CY 1,098,920.70

Total 1300400 · Inventory Planes 1,898,920.70

Total 1300000 · Inventory 4,495,946.05

1350000 · Prepaid Assets

1350100 · Prepaid Insurance Policies 77,424.08

1350200 · Prepaid Inventory/Contractors

1350207 · Aviall 52,222.15

1350208 · Honeywell UK 14,090.22

1350209 · Garmin 11,296.37

1350211 · API 50,459.24

1350215 · BAE 862.07

1350218 · McKinley Air 375.00

1350222 · Southeast Aerospace 1,300.00

1350230 · EJP/Syracuse 29,160.00

1350240 · Graham Aircraft Engine 2,255.87

1350242 · Turbine Standard Ltd 1,500.00

1350245 · Victor Aviation 17,464.50

Total 1350200 · Prepaid Inventory/Contractors 180,985.42

1350300 · Prepaid Taxes 10,600.00

Total 1350000 · Prepaid Assets 269,009.50

 <2 of 7>

Exhibit CFM - 304
 2:37 PM

 03/15/13

 Accrual Basis

 Corporate Flight Management, Inc.

 Balance Sheet

 As of January 31, 2013

Jan 31, 13

1500000 · Employee Receivables

1500010 · Misc. Employees 554.42

Total 1500000 · Employee Receivables 554.42

Total Other Current Assets 7,839,045.14

Total Current Assets 10,568,212.22

Fixed Assets

1400000 · Fixed Assets

1400101 · Computer Equip & Sftwre-JWN 5,957.00

1400102 · Computer Equip & Sftwre-MQY-FBO 6,161.75

1400103 · Computer Equip & Sftwre-MQY-MTX 100,359.85

1400104 · Computer Equip & Software-ADM 115,678.26

1400105 · Computer Equip & Software-Chrtr 40,349.64

1400201 · Furniture & Fixtures - JWN 23,162.24

1400202 · Furniture & Fixtures New FBO 62,991.00

1400203 · Furniture & Fixtures - MQY 176,362.86

1400205 · Furniture & Fixtures - Charter 44,089.41

1400301 · Ground Service Equipment-JWN 13,254.25

1400303 · Ground Service Equipment-MQY 56,890.53

1400304 · Ground Service Equipment-DXR 19,090.00

1400402 · Hangers & Other Bldgs 1,351,269.00

1400501 · Leasehold Improvements-JWN 96,138.91

1400503 · Leasehold Improvements-MQY 264,858.93

1400504 · Leasehold Improvements-DXR 8,942.03

1400601 · Radio & Comm Equipment 4,870.42

1400703 · Shop Equipment-MQY 285,492.32

1400800 · Transportation-Planes 1,710,545.84

1400801 · Transportation Equipment 85,752.17

Total 1400000 · Fixed Assets 4,472,216.41

1410000 · Accumulated Depreciation

1410001 · Accum. Amortization-LI -251,548.24

1410002 · Accum. Depn - Hanger & Bldgs -308,651.16

1410003 · Accum. Depn-Furn. & Fixtures -457,041.30

1410004 · Accum. Depn-Shop Equipment -360,774.89

1410005 · Accum. Depn - Planes -558,438.01

1410006 · Accum Depn - Transp Equip. -30,963.27

Total 1410000 · Accumulated Depreciation -1,967,416.87

Total Fixed Assets 2,504,799.54

Other Assets

1600000 · Affiliated Interests

1600003 · CFM-HL Joint Venture-Interest -2,225.00

1600025 · JetStream Sales-Interest -123,625.35

1600030 · JWN Wings of Eagles-Interest 14,966.00

1600035 · MQY Wings of Eagles Interest -97,909.00

1600045 · Wings of Eagles Interest 1,793.00

1600046 · Goose 5 LP Interest 140,000.00

Total 1600000 · Affiliated Interests -67,000.35

 <3 of 7>

Exhibit CFM - 304
 2:37 PM

 03/15/13

 Accrual Basis

 Corporate Flight Management, Inc.

 Balance Sheet

 As of January 31, 2013

Jan 31, 13

Total Other Assets -67,000.35

TOTAL ASSETS 13,006,011.41

LIABILITIES & EQUITY

Liabilities

Current Liabilities

Accounts Payable

2000000 · Accounts Payable 4,232,081.08

Total Accounts Payable 4,232,081.08

Credit Cards

2010000 · Credit Card

2019000 · Fifth Third Mastercard

2019005 · Allen - 6843 -566.54

2019010 · Anderson - 8213 157.73

2019015 · Augustin - 9994/9391 -688.90

2019016 · Austin - 5561 567.53

2019025 · Barnum - 8529 3.35

2019041 · Brusch - 5760 -165.00

2019045 · Bullard - 1419 118.98

2019065 · Clarke - 9615/3094 2,701.44

2019081 · Davis - 2723 2,681.45

2019090 · Denson - 5845 106.04

2019091 · Feemster - 5124 35.78

2019101 · Follis - 4731 1,653.38

2019102 · Cate - 1330 4,559.40

2019103 · Mason - 8812 1,608.68

2019105 · Gomela - 6328 1,738.81

2019110 · Ham - 4705 3,006.37

2019121 · Henderson - 5579 13.50

2019140 · Hunsicker - 5910 2,026.79

2019141 · Jacks - 1643 50.00

2019155 · McMurry - 5951 469.47

2019165 · Nizan - 1435/3102 1,269.10

2019176 · Pearson - 3137 88.62

2019185 · Rapier - 9800 10,390.62

2019205 · Solomon - 6033 11,603.37

2019216 · Szabo - 3145 1,334.09

2019230 · Warnecke - 1443 5,948.09

Total 2019000 · Fifth Third Mastercard 50,712.15

Total 2010000 · Credit Card 50,712.15

Total Credit Cards 50,712.15

Other Current Liabilities

2040000 · Bank Lines of Credit

2040001 · Bank Line of Credit 250,000.00

Total 2040000 · Bank Lines of Credit 250,000.00

2070000 · Notes Payable - Owners

2070002 · Notes Payable - A.Howell 17,000.00

 <4 of 7>

Exhibit CFM - 304
 2:37 PM

 03/15/13

 Accrual Basis

 Corporate Flight Management, Inc.

 Balance Sheet

 As of January 31, 2013

Jan 31, 13

2070003 · Notes Payable - D.Cate 2,500.00

Total 2070000 · Notes Payable - Owners 19,500.00

2100000 · Accrued Expenses

2100002 · Workers Comp 3,921.08

2100003 · BCBS -76,826.37

2100004 · Dental -9,873.39

2100005 · Vision -1,444.64

2100006 · FSA 4,878.84

2100007 · Life, LTD and STD 3,945.30

2100010 · Fed. W/H -585.70

2100011 · Social Sec/Medicare -137.10

2100012 · FUTA 3,115.35

2100013 · SUTA 17,466.37

2100014 · State Withholding -848.34

2100015 · Business Tax 5,708.57

2100016 · Property Tax -8,988.49

2100017 · Sales Tax Payable 24,919.00

2100018 · FET 76,184.79

2100019 · Franchise Excise (F&E) 22,846.28

2100020 · KY landing tax 52,533.38

2100022 · HSA Contributions -1,188.73

Total 2100000 · Accrued Expenses 115,626.20

2250000 · Prepaid Accts Receivable

2250002 · Air Century 4,200.00

2250046 · Lampo Group VIP 38,139.21

2250061 · Pitch Link, LLC N900GA 35,000.00

2250200 · Charter

2250031 · Syracuse University 32,400.00

2250036 · Gary Cosay VIP 27,884.66

2250037 · Richard Handler VIP 28,129.29

2250044 · Britt Sexton VIP 68,652.02

2250049 · Dotty Adams VIP 91,605.16

2250052 · Holborn Corp VIP 25,337.53

2250054 · Dollar General VIP 103,050.39

2250055 · Pink Dog VIP 23,427.45

2250058 · McNamara, Kevin VIP 35,878.57

2250067 · Jack Attaway 5,463.15

2250070 · E-Plus VIP 46,692.37

2250081 · American Addiction Centers 172,148.85

Total 2250200 · Charter 660,669.44

2250300 · Maintenance

2250029 · Southwest Florida Land Develop 536.34

2250073 · Missionary Flights and Services 10,850.53

2250075 · Yokley, Steven 6,000.00

2250076 · Cando Air, LLC 15,556.86

2250080 · UP Development N100TW 97,261.00

Total 2250300 · Maintenance 130,204.73

2250400 · FBO

2250012 · Howard Graves 365.00

2250017 · Klaritch, Thomas 365.00

 <5 of 7>

Exhibit CFM - 304
 2:37 PM

 03/15/13

 Accrual Basis

 Corporate Flight Management, Inc.

 Balance Sheet

 As of January 31, 2013

Jan 31, 13

2250020 · Momentum Group 1,200.00

2250030 · Sutherland, Brian 365.00

2250038 · MC Aviation 2,000.00

2250039 · TCJS 45.00

2250065 · Aero Cab 1,500.00

Total 2250400 · FBO 5,840.00

2250500 · Leasing / Sales

2250041 · Driscoll Childrens Hospital 49,500.00

2250045 · Vee Neal 56,400.00

2250051 · New Flight Evolution 25,000.00

2250077 · Public Charters, Inc 17,746.62

Total 2250500 · Leasing / Sales 148,646.62

Total 2250000 · Prepaid Accts Receivable 1,022,700.00

2300000 · Refundable Insurance Deposits

2300001 · 739 Flight Mgmt (569ST) 8,141.75

2300004 · Blue Canyon (32PE) 4,970.00

2300006 · CKU (701DA) 4,979.50

2300007 · CKU (874CP) 7,381.00

2300008 · Diamond Charter Holding, LLC 3,695.00

2300011 · Executive Jet Partners 784JP 4,578.75

2300012 · Hvizdak (487UE) 3,605.11

2300013 · Jacobson, Harry 4,966.00

2300015 · JetStream Sales 1,763.75

2300018 · MRCLG, LLC - N23VP 4,060.00

2300020 · N365ea, LLC 4,603.25

2300021 · N560HG, LLC 5,191.50

2300023 · Signature Aviation, LLC - N525A 4,600.00

2300027 · Ten Thousand Air, 644rm 4,890.75

2300028 · Big Sky, 703rb 5,890.50

2300029 · B100,847d 3,695.25

2300030 · HL Aviation, 481ns 3,551.75

2300031 · UP Development-N100TW 3,812.00

Total 2300000 · Refundable Insurance Deposits 84,375.86

Total Other Current Liabilities 1,492,202.06

Total Current Liabilities 5,774,995.29

Long Term Liabilities

2060000 · Long Term Liabilities

2060001 · BanCorp South 833,304.27

2060003 · Chapell Smith-operating 255,450.91

2060004 · Chappell, Tom (564) 97,735.78

2060006 · First Tn - 564hk - 50053046 1,375,722.06

2060007 · Hvizdak Loan 44,441.28

2060008 · J.Floyd Loan 361,937.34

2060009 · Jetstream Sales 48,500.00

2060010 · Pinnacle Bank 91000 (865-858) 513,412.98

2060012 · Ricardo Tostado (913) 393,928.08

2060013 · Quantum Control 29,274.24

2060014 · Executive Group Holdings, LLC 100,000.00

 <6 of 7>

Exhibit CFM - 304
 2:37 PM

 03/15/13

 Accrual Basis

 Corporate Flight Management, Inc.

 Balance Sheet

 As of January 31, 2013

Jan 31, 13

2060015 · John R. Patrick 50,000.00

2060017 · Ally Financial (2012 van) 21,877.21

2060019 · Dell Financial Services 13,494.19

2060020 · Ally Financial (2011 van) 21,578.43

Total 2060000 · Long Term Liabilities 4,160,656.77

Total Long Term Liabilities 4,160,656.77

Total Liabilities 9,935,652.06

Equity

3000000 · Equity

3000002 · Capital Stock 10,000.00

3000005 · Paid in Capital 81,885.00

3000015 · Treasury Stock -67,846.26

Total 3000000 · Equity 24,038.74

3000090 · Retained Earnings 2,754,810.21

Net Income 291,510.40

Total Equity 3,070,359.35

TOTAL LIABILITIES & EQUITY 13,006,011.41

 <7 of 7>

Exhibit CFM - 304
 2:28 PM

 03/15/13

 Accrual Basis

 Corporate Flight Management, Inc.

 Profit & Loss

 September 2012 through January 2013

Sep '12 - Jan 13

Ordinary Income/Expense

Income

4001000 · Administration

4001005 · Accounting/Mgmt Svcs 25,083.34

Total 4001000 · Administration 25,083.34

4002000 · Charter Flight Operations

4002010 · Charter Hourly Rate 4,327,663.45

4002030 · Crew Per Diem 34,228.88

4002040 · Daily Crew Charge 217,110.00

4002050 · Fuel - Home 221,719.69

4002070 · Fuel Surcharge 233,705.60

4002080 · Hotel 30,790.65

4002090 · Landing Fees 202,325.77

4002100 · Management Fee 359,202.38

4002110 · Other Services 46,597.26

4002120 · Overnight 208,110.00

4002130 · Rental Car 27,698.26

4002140 · Wait Time 15,582.00

Total 4002000 · Charter Flight Operations 5,924,733.94

4003000 · Fixed Base Operations-FBO

4003010 · Aircraft Cleaning 9,474.99

4003020 · Catering 1,912.85

4003030 · Commissions/Rentals 7,727.10

4003040 · Flight Store 2,802.77

4003050 · Fuel - Avgas 578,204.85

4003070 · Fuel - Jet A 1,242,772.46

4003080 · Fuel Tax Credit 54,205.64

4003090 · Fueling Svcs-Into/flowage 225,347.78

4003100 · Ground Handling 66,338.78

4003110 · Hangar Rent 211,805.38

4003120 · Office Rent 33,050.00

4003130 · Oil Sales 3,493.78

4003140 · Tow/Tie Down 17,499.16

4003145 · Discounts or Adjustments -4,884.35

Total 4003000 · Fixed Base Operations-FBO 2,449,751.19

4006000 · Maintenance

4006010 · Commissions/Warranty 0.00

4006020 · Consumables 26,225.06

4006030 · Equipment Rental 0.00

4006040 · Freight 61,579.81

4006050 · Labor Sales 937,250.57

4006060 · Manuals-Revisions-Subscriptions 0.00

4006070 · Other Services/Fees 371,913.59

4006080 · Parts Sales 2,175,633.90

4006090 · SubContract Sales 606,106.11

4006095 · Discounts or Adjustments -67,470.17

Total 4006000 · Maintenance 4,111,238.87

 <1 of 5>

Exhibit CFM - 304
 2:28 PM

 03/15/13

 Accrual Basis

 Corporate Flight Management, Inc.

 Profit & Loss

 September 2012 through January 2013

Sep '12 - Jan 13

4007000 · Aircraft Sales and Leasing

4007020 · Aircraft Lease 458,128.10

4007030 · Broker Commission 109,435.04

4007040 · Consulting 150.00

4007050 · Sales 30,000.00

Total 4007000 · Aircraft Sales and Leasing 597,713.14

9999999 · Clearing Account 0.00

Total Income 13,108,520.48

Cost of Goods Sold

5002000 · Charter Flight Dept.

5002010 · Aircraft Lease- Hourly 1,907,011.85

5002020 · Aircraft Revenue/Profit Split 8,108.95

5002030 · Aircraft Lease Costs-Broker,mtx 308,740.26

5002040 · Catering 27,113.21

5002050 · Crew Cost - Other 12,542.35

5002060 · Crew Cost - Airline Tickets 4,800.39

5002070 · Crew Cost - Car Rental 26,611.23

5002080 · Crew Cost - Hotel 120,999.41

5002090 · Crew Per Diem 67,543.61

5002095 · Fuel Costs 1,290,703.58

5002100 · Labor-Pilots 797,382.16

5002110 · Labor - Fuel At Home 78,107.23

5002120 · Landing Fees 152,918.84

5002130 · Other Services 31,898.03

Total 5002000 · Charter Flight Dept. 4,834,481.10

5003000 · FBO- Fixed Base Operations

5003010 · Catering 126.85

5003020 · Flight Store 2,069.67

5003030 · Fuel - Adjustments -77,110.32

5003040 · Fuel - Avgas 453,726.65

5003050 · Fuel - Flowage/Into Fee 49,192.61

5003060 · Fuel - Jet A 1,028,573.27

5003070 · Labor 265,214.46

5003080 · Oil 3,219.94

Total 5003000 · FBO- Fixed Base Operations 1,725,013.13

5006000 · Maintenance Dept.

5006010 · Commissions -22,777.04

5006020 · Consumables 26,833.90

5006040 · Freight 98,608.72

5006050 · Labor 878,116.56

5006070 · Other Services 375,048.04

5006080 · Parts 356,489.11

5006090 · SubContract 849,235.81

5006100 · Warranty -5,600.14

Total 5006000 · Maintenance Dept. 2,555,954.96

 <2 of 5>

Exhibit CFM - 304
 2:28 PM

 03/15/13

 Accrual Basis

 Corporate Flight Management, Inc.

 Profit & Loss

 September 2012 through January 2013

Sep '12 - Jan 13

5007000 · Aircraft Sales/Leasing Dept.

5007010 · Aircraft Cost 0.00

5007020 · Aircraft For Sale Insurance 6,022.40

5007030 · Aircraft For Sale Interest Cost 12,278.90

5007040 · Aircraft For Sale Lease Pmts 183,454.30

5007050 · Aircraft Lease Cost 36,468.70

5007060 · Aircraft mtx, fuel misc. 56,501.69

5007080 · Labor-salesmen 3,987.06

5007090 · Settlement/Closing Cost 20,000.00

Total 5007000 · Aircraft Sales/Leasing Dept. 318,713.05

Total COGS 9,434,162.24

Gross Profit 3,674,358.24

Expense

6000000 · Personnel Expenses

6000005 · Administrative/Office 403,892.28

6000015 · Drug Test 2,044.75

6000020 · Maintenance personnel 752,376.86

6000025 · Officers 271,222.02

6000030 · Charter Personnel 311,003.01

6000035 · FBO Personnel 86,079.35

6000040 · Training 157,575.74

6000045 · Uniforms 12,302.86

Total 6000000 · Personnel Expenses 1,996,496.87

6000100 · Advertising & Promotions 16,823.50

6000200 · Bad Debts

6000205 · Bad Debt Write off 36,326.60

Total 6000200 · Bad Debts 36,326.60

6000300 · Building Repairs/Maintenance 31,326.95

6000400 · Contributions/Donations 1,591.04

6000500 · Depreciation/Amortization 117,567.45

6000600 · Dues and Subscriptions 50,091.31

6000700 · Equipment Expense

6000705 · Equipment Lease 62,948.34

6000710 · Equipment Rental 1,567.70

6000715 · Equipment Repair 26,803.39

Total 6000700 · Equipment Expense 91,319.43

6000800 · Facilities Rent 358,829.53

6000900 · Fees/Penalties/Fines

6000905 · Bank Fees 41,604.85

6000910 · Credit Card Fees 42,753.73

6000915 · Finance Charge 37,115.03

6000920 · Late Fee 10,770.23

6000925 · Fines -4,500.00

6000930 · Tax penalties 419.21

 <3 of 5>

Exhibit CFM - 304
 2:28 PM

 03/15/13

 Accrual Basis

 Corporate Flight Management, Inc.

 Profit & Loss

 September 2012 through January 2013

Sep '12 - Jan 13

Total 6000900 · Fees/Penalties/Fines 128,163.05

6001000 · Insurance Expense

6001005 · Hangar Rash/Insurance Ded. 60,848.89

6001010 · Monthly Insurance Expense 180,051.74

Total 6001000 · Insurance Expense 240,900.63

6001100 · Interest Expense

6001105 · Bank or Loan Interest 70,370.21

Total 6001100 · Interest Expense 70,370.21

6001200 · License & License Fees 1,030.00

6001300 · Postage & Delivery 1,238.04

6001400 · Professional Fees 65,818.19

6001500 · Small Equipment 1,664.70

6001600 · Supplies

6001605 · Computer 8,005.46

6001610 · Office 4,522.22

6001615 · Printing 1,405.90

6001620 · Other 29,845.39

Total 6001600 · Supplies 43,778.97

6001700 · Taxes

6001710 · Personal Property 5,861.58

6001715 · Personality Tax 15,799.30

6001720 · State Taxes 699.42

6001725 · F & E Tax 16,200.00

Total 6001700 · Taxes 38,560.30

6001800 · Travel Expenses

6001805 · Car Rental / Air travel 21,737.64

6001810 · Hotel/Lodging 11,563.89

6001815 · Meals & Entertainment 11,337.38

Total 6001800 · Travel Expenses 44,638.91

6001900 · Utilities

6001905 · Cable 1,098.60

6001910 · Electricity 46,732.15

6001915 · Gas 16,259.45

6001920 · Telephones 66,110.10

6001925 · Waste Disposal 4,129.64

6001930 · Water 6,446.36

Total 6001900 · Utilities 140,776.30

6002000 · Vehicle Expense 34,865.12

6002005 · Web Development Expense 10,610.00

Total Expense 3,522,787.10

Net Ordinary Income 151,571.14

Other Income/Expense

 <4 of 5>

Exhibit CFM - 304
 2:28 PM

 03/15/13

 Accrual Basis

 Corporate Flight Management, Inc.

 Profit & Loss

 September 2012 through January 2013

Sep '12 - Jan 13

Other Income

7000000 · Interest Income 116.99

7000050 · Miscellaneous Income 202,068.42

7000200 · Future Investmnt/Developmnt

7000205 · Labor R&D -60,132.75

7000210 · Other Expenses R&D -2,113.40

Total 7000200 · Future Investmnt/Developmnt -62,246.15

Total Other Income 139,939.26

Net Other Income 139,939.26

Net Income 291,510.40

 <5 of 5>

Exhibit CFM - 304
Note 1 – Accounts Receivable Trade

An aging of Accounts Receivable at January 31, 2013 are as follows: 

 January 31, 2013 

 Current 2,026,457 

 30 Days 167,592 

 60 Days 133,886 

 90 Days and over 407,310 

 Total Trade Receivables 2,735,267 

Note 2 Accounts Receivable – Affiliates

January 31, 2013 

Jetstream Air, LLC 1,318,650 

CFM Airport Development, LLC 192,077 

CFM Holding, Inc. 650,488 

Jetstream Sales, LLC 1,987 

CFM-HL Joint Venture 125,700 

Total Accounts Receivable - Affiliate 2,288,902 

Note 3 - Notes Receivable

Notes receivable consists of a promissory note issued by David Augustin, a principle owner of 

the Company. At January 31, 2013 the balance of the Note receivable issued by Mr. Augustin 

was $12,510. 

Note 4 - Inventories

Inventories consisted of the following at year end. 

January 31, 2013 

Aircraft 1,898,921 

Parts 1,664,233 

Work In Process 739,542 

Fuel 193,250 

Total Inventory 4,495,946 

Exhibit CFM - 304
Note 5 – Restricted Cash Deposits

The Company holds insurance in escrow deposits for its managed aircraft fleet, and it also 

secures a stand –by letter of credit with a one year $100,000 Certificate of Deposit. Restricted 

deposits were equal to $264,738. 

Note 5 – Investments 

Investment in related entities consisted of the following for the period 

 January 31, 2013 

CFM-HL Joint Venture-Interest -2,225 

JetStream Sales-Interest -123,625 

JWN Wings of Eagles - Interest 14,966 

MQY Wings of Eagles – Interest -97,909 

Wings of Eagles Interest 1,793 

Goose 5 LP 140,000 

Total Investments -67,000 

 

Note 6 - Credit Cards Payable

The company currently has a $500,000 limit credit card for operating aircraft and parts inventory 

purchases. As of January 31, 2013 the balance was $50,712 

Note 7 – Notes Payable

See Schedule B for a schedule of debt. 

Exhibit CFM - 304
Supplemental Notes to the Corporate Flight Management 

Compiled Consolidated Financial Statements 

Dated January 31, 2013 

Agreements related to stock ownership and conversion of debt to equity. 

In December of 2011, CFM issued a Promissory Note in the amount of $100,000 to Executive Group 

Holdings, LLC (“EGH”). The note pays interest quarterly and matures March 20, 2014. The promissory 

note contains an agreement that stipulates that EGH has an option to convert the note to 12,110 shares 

of common stock out of the company treasury at its discretion on or before maturity. EGH owns 

approximately 2.56% of CFM’s stock. If EGH elected to convert the note, it would still own less than 10% 

of CFM’stock. 

On January 12, 2012, CFM issued a Promissory Note in the amount of $50,000 to John R. Patrick, an 

individual who resides in Ridgefield, CT. The note pays interest quarterly and matures January 12, 2017. 

The note contains an agreement that allows Mr. Patrick to convert the debt to 6,055 shares of common 

stock on or before the note maturity. Mr. Patrick is not presently a shareholder of CFM. If he elected to 

convert the note, he would own approximately 1% of CFM’s stock. 

Exhibit CFM - 304
Note Holder Purpose Collateral Principal Balance Monthly Payment Origination Date

Original Note 

Amount Rate Rate Type Maturity

2060001 Bancorpsouth Bank Construct FBO and term out West Side FBO Building 833,304.27 8,896.63 07/26/04 1,071,000.00 6.25% Prime + 3 08/01/24

2060002 Bancorp South PAID OFF Jeep Wrangler 0.00 0.00 11/20/09 29,358.00 7.75% fixed 11/20/12

2060003 Chappell Loan fund working capital - paid from sale of 565HK none 255,450.91 1,500.00 03/12/10 300,000.00 6.00% fixed 01/01/16

2060004 Tom Chappell Investment 564HK none 97,735.78 0.00 97,735.78 na na sale of aircraft

2060006 First Tennessee Tom Chappell Purchase of 564HK. Aircraft 565HK 1,375,722.06 11,453.27 09/17/08 1,801,000.00 3.25% var/prime/360 09/25/13

2060007 Hvizdak Loan Parts Plane #2/unsecured None 44,441.28 0.00 11/29/06 510,000.00 10.00% fixed Demand2060008 John Floyd Investor Financed 10UP None 361,937.34 5,663.15 12/21/07 800,000.00 na na 06/21/09

2060009 Jetstream Sales Down Payment for Phenom Position none 48,500.00 0.00 04/25/08 65,000.00 na na na

2060010 Pinnacle Bank Guaranteed Debt by one investor for refurb. CFM 

took the debt and ownership of the asset to 

protect Investor from product liability prot. 

 J-32 858CY 513,412.98 9,430.18 03/11/11 1,420,830.14 5.00% fixed 05/20/18

2060012 Ricardo Tostada Balance due from Sale of 913 none 393,928.08 0.00 12/31/08 393,928.08 na na na

2060013 Quantum Control Maintenance Software Purchase - Software 29,274.24 2,332.60 12/16/11 53,650 na na 05/01/14

2060014 Executive Group Holdings Note with option to Convert to Stock, int qtrly none 100,000.00 int qrtly 12/20/11 100,000 5.00% fixed 11/20/14

2060015 John R Patrick Note with option to Convert to Stock, int qtrly none 50,000.00 int qrtly 01/24/12 50,000 5.00% fixed 01/12/17

2060016 M. Pacenka, JTWS PAID OFF in 2nd qtr of 2012-2013 none 0.00 balloon 03/20/12 100,000.00 7.00% fixed 09/15/12

2060017 Ally Financial (2012 Van) purchased new CFM Van for transport Ford Transit Van 21,877.21 527.35 04/19/12 24,899.64 9.69% fixed 04/19/17

2060018 Beacon Federal 6045S PAID OFF King Air 6045S 0.00 0.00 05/31/12 250,000.00 5.25% var/prime/360 05/15/13

2060019 Dell Financial Services Server for new maintenance Software computer equipment 13,494.19 414.51 05/01/12 16,403.71 9.80% fixed 04/01/16

2060020 Ally Financial (2011 Van) purchased new CFM Van for transport Ford Transit Van 21,578.43 513.97 05/30/12 24,218.57 9.95% fixed 05/30/17

TOTALS 4,160,656.77 40,731.66JetStream Air, LLC - Off Balance Sheet 488,779.92

Beacon Federal SOLD Aircraft 242BM 0.00 0.00 08/17/05 972,000.00 6.57% fixed - 5yr/360 08/15/15

First Tennessee Acquisition of aircraft traded for 643JX Aircraft 539PA and 529PA 538,654.92 8,478.59 07/21/05 920,000.00 7.25% fixed/360 08/05/13

Pinnacle Acquisition of aircraft Aircraft 657BA 218,507.03 7,212.20 08/12/05 657,801.00 7.75% fixed -5 yr var 08/01/15

757,161.95 15,690.79

CFM Airport Development, LLC - Off Balance Sheet

Regions Bank Refinance acquisition loan Real Estate - 20 Hangar 

Condo Unit at Smyrna 

Airport

118,103.44 4,514.02 03/31/05 377,044.11 8.30% fixed 06/24/15118,103.44 4,514.02

Other Notes Off Balance Sheet

Hl Aviaition Hangar 2 at John Tune (recently complteted). This 

note is from HL-CFM Joint Venture. CFM is a comaker on the note. The Hangar is the collateral valued at $1.8M

Real Estate - Hangar 2 John Tune Airport

930,348.49 10,000.00 02/19/09 1,153,500.00 6.00% fixed 10/20/23

Arvest Bank Acquisition of 10 aircraft at wholesale for the 

purpose of rebuilding and sale. One aircraft is remaining.

J - 32 BAE purchased a 329,633.41 1,625.59 12/03/07 3,000,000 6.00% fixed 02/01/13

Regions Bank PAID OFF Flight Simulator located at 

Smyrna Aircraft

0.00 0.00 03/20/08 42,466 8.30% fixed 03/20/13

Beacon Federal AIRCRAFT SOLD. Aircraft 223NH 0.00 0.00 04/06/01 118,079 8.25% fixed 04/05/16

Beacon Federal AIRCRAFT SOLD Aircraft 342DS 0.00 0.00 08/24/01 185,710 8.00% fixed 09/01/16

First Bank Personal Note to John Floyd and Allen Howell. The 

proceeds were used to fund loan to CFM for the acquisition 10UP. Allen Howell is a related party to CFM as a 38% owner

Aircraft 10UP 504,590.95 5,663.15 12/21/07 800,000.00 6.00% prime floor 5.5 11/29/12

1,764,573 17,288.74

Grand Total 6,800,495.01 78,225.21

Corporate Flight Management, Inc

Schedule of Debt

January 31, 2013

Exhibit CFM - 304
C.F.M. Holdings, INC. 

Smyrna, Tennessee 

Compiled Financial Statements 

 Interim Statement for the period through 1-31-13 

Exhibit CFM - 305
INTERNALLY PREPARED INTERIM STATEMENT 

January 31, 2013 

To the Board of Directors 

CFM Holdings, Inc. 

Smyrna, Tennessee 

The accounting staff of Corporate Flight Management, Inc., the primary operating company and 

subsidiary of CFM Holdings, Inc., has compiled the following balance sheet and income 

statement for C.F.M Holdings, Inc. representing the interim period ending January 31, 2013. In 

addition, notes to the financials have been prepared to support the statements. The numbers 

were not audited or reviewed internally or externally by an outside accounting firm. 

Generally, the company adheres to generally accepted accounting principles and accordingly 

endeavors to present a fair representation of the financial statements according to these 

principles. 

To the best of my knowledge, the information provided in the following report is accurate and 

fairly represents the financial results of the interim period ending January 31, 2013. 

 

Best regards, 

Doug Cate 

Chief Financial Officer 

Corporate Flight Management, Inc. 

Exhibit CFM - 305
 4:12 PM

 03/12/13

 Accrual Basis

 CFM Holdings, Inc.

 Balance Sheet

 As of January 31, 2013

Jan 31, 13

ASSETS

Current Assets

Other Current Assets

Due From Stockholders -41,863.67

Total Other Current Assets -41,863.67

Total Current Assets -41,863.67

Other Assets

Investment - Corp. Flight Mgmt. 255,376.00

Investment in GBA Gyroplanes 138,472.00

Investment in Jetstream Air -1,211,017.00

Total Other Assets -817,169.00

TOTAL ASSETS -859,032.67

LIABILITIES & EQUITY

Liabilities

Current Liabilities

Other Current Liabilities

Accrued F&E Tax 100.00

Due To CFM Airport Development 17,316.33

Due to Corp. Flight Mgmt. 650,487.61

Total Other Current Liabilities 667,903.94

Total Current Liabilities 667,903.94

Total Liabilities 667,903.94

Equity

Capital Stock 255,376.00

Retained Earnings -1,782,182.61

Net Income -130.00

Total Equity -1,526,936.61

TOTAL LIABILITIES & EQUITY -859,032.67

 Page 1 of 1

Exhibit CFM - 305
 2:33 PM

 03/12/13

 Accrual Basis

 CFM Holdings, Inc.

 Profit & Loss

 1 September 2012 through 31 January 2013

Sep '12 - Jan 13

Ordinary Income/Expense

Expense

Licenses and Permits 130.00

Total Expense 130.00

Net Ordinary Income -130.00

Net Income -130.00

 Page 1 of 1

Exhibit CFM - 305
Note 1 – Accounts Receivable Trade 

There are no trade accounts receivable for the period for the Holding Company 

Note 2 – Due From Stockholders 

The -$41,863 .67 is loss from an investment in Courier Logistics, Inc that occurred in 2004. The 

account is misclassified and should be in other assets and not in current liabilities. 

Note 3 - Inventories 

There are no inventories held by the holding company 

Note 4 – Investments 

Investment in related entities consisted of the following for the period 

 January 31, 2013 

Corporate Flight Management, Inc 235,376 

GBA Gyroplanes 138,472 

Jetstream Air, Inc. -1,211,017 

Total Investments -817,169 

 

Note 6 - Liabilities 

CFM Holdings has intercompany debt to Corporate Flight Management, Inc. in the amount of 

$650,487 which represents taxes, license, and fees that the operating company, Corporate 

Flight Management, Inc., has paid on behalf of C.F.M. Holding, Inc. In addition $17,316 is owed 

to CFM Airport Development, a commonly held company by the owners of C.F.M Holdings, Inc. 

Exhibit CFM - 305
Exhibit CFM - 306 

Certification of Financial Statements 

Corporate Flight Management, Inc. 

C.F.M. Holding, Inc. 

I hereby certify that I am the person who prepared the complied the consolidated 

financial statements of Corporate Flight Management, Inc. and C.F.M. for the fiscal year 

ended 31 August, 2010. I have also compiled interim financial statement for Corporate 

Flight Management, Inc. and C.F.M. Holding, Inc. encompassing the first five (5) months 

offiscal year 2013 up to and including 31 January, 2013. A complete and correct copy of 

each of the aforementioned compiled financial statements is included with this document. 

I further certify that all of these financial statements are complete and accurate, and 

except where indicated in the Notes to each financial statement, said statements conform 

to Generally Accepted Accounting Principles. 

~cfrtancial Officer 
Exhibit CFM -400

Page 1 of 3

HISTORY OF OPERATIONS

Corporate Flight Management Inc. began as a new “C” Corporation with no predecessor or

affiliate company. Its Articles of Incorporation were filed with the Tennessee Secretary of State

on July 26, 1982. The founding stockholders were Charles Reece (“Reece”) Howell III, his son,

James Allen (“Allen”) Howell, Jim Findley, and Edward Dervege. The father and son team of

Reece and Allen had a vision for forming a Middle Tennessee aviation company that would

assist corporate aircraft owners by providing flight department services for their corporate

aircraft. The original plan for the business included obtaining certification as a Part 135 air taxi

operator to provide charter flights. Reece Howell had a long and distinguished career as an

aviator including many years as a Corporate Pilot with particular experience in the Mitsubishi

Aircraft Turbo Prop MU-2. Allen Howell, a pilot himself, was a recent Business and Marketing

graduate of Auburn University. The company obtained certification and commenced flight

operations under FAR Part 135 1986 from its first location at the Murfreesboro Airport (MBT) in

Murfreesboro, TN.

In 1983 David Augustin joined the company as an owner by acquisition of 22% of outstanding

shares, and as an employee bringing his FBO and maintenance background to the business.

In 1984, Reece resigned from the company, sold his ownership interest, and successfully pursued

other interests in the aviation industry. Also, in 1984 the company moved its operation to the

Smyrna airport, opened up a maintenance and FBO facility, and obtained FAR Part 145 repair

station certification, all under the leadership of David Augustin.

Upon Reece Howell’s departure from the company, Allen’s brother, Charles Reece Howell, IV

(“Chuck”), a successful business broker, was hired to lead the company as its CEO and

President. Allen Howell remained as the company’s CFO and marketing director.

From 1984 until June of 1998, the three principals, Allen Howell, David Augustin, and Chuck

Howell, led the company through growth in its managed aircraft fleet, expanded maintenance

and FBO operations, and increased their share of the charter market in the Middle Tennessee

region of the USA. In June of 1998, Chuck Howell resigned his position as CEO, remained as a

Director and kept his ownership of stock in the company. By the end of 1998, the company had

grown to ten million dollars in revenue.

In 1995, CFM began the process of obtaining FAA and DOT authority to provide scheduled air

transportation service. To fund certification and start-up costs, CFM sold 30% of its equity to

S&S Enterprises, a Tennessee partnership.

In August 1995, by Order 95-8-2, the DOT found CFM fit, willing, and able to provide service

as a commuter air carrier. Concurrently, CFM received Part 121 Operations Specifications from

the FAA. CFM began to conduct commuter flights in December 1996 using the trade name

Corporate Express Airlines. The company later modified this trade name to Corporate Airlines.

Between December 1996 and March 2001, CFM conducted flight operations under both FAR

Part 121 and FAR Part 135.
Exhibit CFM -400

Page 2 of 3

In 2000, S&S Enterprises expressed its desire to have sole ownership of the commuter air carrier

operation. The other shareholders of CFM agreed. A new entity, Corporate Airlines, Inc., was

formed as a subsidiary of CFM for the purpose of separating the Part 121 commuter operations

from CFM’s other businesses. By Order 01-3-7, the DOT approved the transfer of CFM’s

Commuter Air Carrier authority to Corporate Airlines, Inc.

After the transfer of commuter authority and issuance of new operating certificate and FAR Part

121 operations specifications to Corporate Airlines, Inc. by the FAA, CFM relinquished all

ownership of the Part 121 commuter operations and S&S Enterprises relinquished all ownership

in CFM in exchange for 100% ownership of Corporate Airlines, Inc.

Chuck Howell stayed on with Corporate Airlines, Inc. through July of 2002 as its CEO before

leaving to become Chief Operating Officer and then President and CEO of Great Lakes Airlines

based in Cheyenne, Wyoming. David Augustin assumed the role of President of CFM after

Chuck Howell’s departure from the company.

When Chuck Howell’s tenure with Corporate Airlines ended in 2002, CFM’s owners and senior

management no longer had any affiliation, held no management positions, nor had any

ownership ties in any way to Corporate Airlines. (By Order 2005-2-15, the DOT approved

Corporate Airline’s name change to RegionsAir, Inc.)

In 1999 for financial and tax strategic reasons, C.F.M. Holding, Inc. was formed in order to hold

the shares of CFM and affiliate entities. The three principles Allen Howell, David Augustin, and

Chuck Howell converted their CFM stock to shares in C.F.M. Holding Inc. at ownership

percentages of 38%, 38% and 24% respectively. At the time, C.F.M. Holding, Inc. owned

81.55% of CFM with the balanced owned by employees and close relatives.

Under Allen Howell and David Augustin’s leadership, and with the support of an expanding

workforce, the company continued to grow. In 2002, Leon Custers, CFM’s Part 135 Chief Pilot,

was named a Vice President of the company and took over the Maintenance Division.

CFM reached eighteen million dollars in total revenue by 2005. In that year, Doug Cate joined

the company as Chief Financial Officer. A Senior Vice President of a regional bank and the

then-current relationship banker for CFM, Doug was hired to relieve Allen Howell of the CFO

duties that he was performing along while at the same time having the responsibilities of CEO.

Doug Cate and Leon Custers were both elected to serve as directors on the board for CFM.

In addition, 2005 is the year CFM started its Aircraft Sales Division. The mission of the division

is to sell refurbished aircraft out of the maintenance division and to broker general aviation

aircraft in the marketplace.

In the last seven years, the company has continued its sustained track record of growth,

achieving gross revenue of over thirty-two million in fiscal year 2011 and over thirty-five million

in fiscal year 2012.
Exhibit CFM -400

Page 3 of 3

By the end of 2012, CFM’s charter fleet had grown to 24 aircraft. The company also provided

aircraft management and flight department services for 5 Part 91 aircraft owners.

In 2012, because of the company’s growth, the company chose to add two outside members to its

board of directors. Tom Chappell, a long time insurer of aircraft and aviation businesses and

John Couri, a successful business and aircraft owner in Ridgefield Connecticut were elected to

fill these two new board seats. David Augustin was elected Chairman of the Board.

Additionally, Leon Custers was promoted to Chief Operating Officer of the company. Ryan

Donahue was added to the executive team as Vice President of Maintenance.

The executive team of CFM now includes Mark Stear, head of marketing and sales, Ryan

Donahue, Doug Cate, Leon Custers, Allen Howell, and David Augustin. Allen Howell, with the

titles of Chief Executive Officer and President, is the top accountable executive of the company

in matters pertaining to the Federal Aviation Administration, the Department of Transportation,

and regulatory compliance. Allen Howell is in control of all of the operations of the company.
Exhibit CFM - 500

Page 1 of 2

LIST OF AIRCRAFT

Aircraft

Registration

Number

Aircraft

Type

Number

of Seats

Registering

Country Owner Name Address Citizenship Business Arrangement

N23VP DA 10 7 USA MRCLG, LLC

BNA Corporate Center,

404 BNA Drive Suite

400, Nashville TN

37217-2517

USA Part 135 Dry Lease

N657BA JS 31 18 USA Jetstream Air LLC 276 Doug Warpoole

Rd, Smyrna, TN 37167 USA Part 135 Dry Lease

N569ST JS 32 8 USA

739 Flight

Management

Company, LLC

138 2nd Ave North, Ste

200, Nashville, TN

37201

USA Part 135 Dry Lease

N874CP JS 32 12 USA CKU Aviation, LLC 1158 Jordan Ave,

Dothan AL 36303 USA Part 135 Dry Lease

N913AE JS 32 19 USA

Corporate Flight

Management,

Inc.

276 Doug Warpoole

Rd, Smyrna, TN 37167 USA Part 135 Operating Lease

N100TW KA 100 8 USA UP Development 1045 Tulloss Road,

Franklin, TN 37067 USA Part 135 Dry Lease

N6045S KA 100 8 USA King Group, LLC 164 Ramapoo Rd,

Ridgefield, CT 06877 USA Part 135 Revenue Share

N525AL CJ 5 USA Signature

Aviation, LLC

c/o Graham

Enterprises, 2701

Coltsgate Rd, Ste 300,

Charlotte, NC 28211

USA Part 135 Dry Lease

N365EA Citation V 9 USA N365EA, LLC 53 Miry Brook Rd,

Danbury CT 06810-

7408

USA Part 135 Revenue Share

N560HG Citation V 9 USA N560HG, LLC 53 Miry Brook Rd,

Danbury, CT 06810 USA Part 135 Revenue Share

N703RB Citation VII 9 USA Big Sky, LLC

138 2nd Ave North, Ste

200, Nashville, TN

37201

USA Part 135 Dry Lease

N680VR Sovereign 9 USA Viking Aircraft

LLC

111 Front Street,

Greenwood MS 38930 USA Part 135 Revenue Share

N615SM EMB500 4 USA Music Square Air,

LLC

40 Music Square West,

Nashville, TN 37203 USA Part 135 Revenue Share

N644RM EMB100 4 USA Ten Thousand

Air, LLC

1466 Avellino Circle,

Murfreesboro TN

37130

USA Part 135 Dry Lease

N784JP EMB100 4 USA Executive Jet

Partners, LLC

53 Miry Brook Rd,

Danbury CT 06810 USA Part 135 Revenue Share
Exhibit CFM - 500

Page 2 of 2

LIST OF AIRCRAFT (Continued)

Aircraft

Registration

Number

Aircraft

Type

Number

of Seats

Registering

Country Owner Name Address Citizenship BusinessArrangement

N406J HS700 8 USA

MedCare

Investment

Fund III, LTD

18615 Tuscany Stone, Ste

200, San Antonio, TX 78258 USA

Part 135

Revenue

Share

N481NS Westwind 9 USA HL Aviation 1307 Division Street,

Nashville TN 37203 USA Part 135 DryLease

N320UE JS 41 29 USA V1 Leasing II,

LLC

40815 Hannah Drive,

Waterford, VA 20197 USA Part 135 DryLease

N325UE JS 41 29 USA V1 Leasing II,

LLC

40816 Hannah Drive,

Waterford, VA 20197 USA Part 135 DryLease

N564HK JS 41 30 USA

Corporate Flight

Management,

Inc.

276 Doug Warpoole Rd,

Smyrna TN 37167 USA Part 135 DryLease

N32PE LR 35 8 USA Blue Canyon,

Inc.

5532 Deer Run Rd, Joelton,

TN 37080 USA Part 135 DryLease

N701DA LR 35 8 USA CKU Aviation,

LLC

1158 Jordan Ave

Dothan AL 36303 USA Part 135 DryLease

N847D BE-100 8 USA B100 N847D,

LLC

32 Nannau Wood

Bar Harbor, ME 04609 USA

Part 135

Revenue

Share

N202FF BE-200 7 USA D&B Truck &

Trailer Service

3003 Brick Church Pike

Nashville, TN 37207 USA Part 135 DryLease
Exhibit CFM - 501 

Application of 

BEFORE THE 

DEPARTMENT OF TRANSI'ORTATION 

WASHINGTON, D.C 

CORPORATE FLIGHT MANAGMENT, INC. 

) 

) 

) 

) 

) 

) 

) 

) 

Docket No. 

for authority to conduct scheduled passenger 

operations as a commuter air carrier under 

49 U.S.C. § 41738 ________________________________ ) 

APPLICATION OF 

CORPORATE FLIGHT MANAGEMENT, INC. 

AFFIDAVIT OF SAFETY COMPLIANCE 

County of Rutherford ) 

) SS: 

State of Tennessee ) 

I, Allen Howell, being duly sworn, state under oath: 

1. I am the President of Corporate Flight Management, Inc. and I am authorized to execute this 

affidavit. 

All of the aircraft that are owned or leased by Corporate Flight Management, Inc. have been certified 

by the Federal Aviation Administration and currently comply with all applicable Federal Aviation 

Administration standards under Part 135. 

~/v£v~ Allen Howell 

Subscribed and sworn before me this ( $,'t.fL day of March, 2013. 

My commission expires:_---=c..-o:...'·-,.L>.L'!-/--'2'""'-"'---'+/___,_/_j'------__ I f 
Exhibit CFM - 600

Page 1 of 2

CURRENT OPERATIONS

Corporate Flight Management Inc.’s current operations are organized into four separate divisions

by function: Flight Operations; Maintenance; Fixed Base Operations (FBOs); and Aircraft Sales.

In total, CFM employs 170 people across these four operating divisions. A detailed description

of each division and the services that it performs appears below.

Flight Operations Division CFM currently operates 24 aircraft under FAR Part 135 regulations

(FAA certificate FJTA920D). These aircraft range from 30 passenger British Aerospace

Jetstream 4101s to 5 passenger Embraer Phenom 100s (see Exhibit CFM – 500). The company

manages an additional 5 general aviation aircraft under FAR Part 91, providing the aircraft

owners with flight crews, maintenance, maintenance management, and flight department

services.

The Flight Operations Division team includes a 24 hour per day dispatch and scheduling group

staffed by 8 employees. The management team for the Flight Operations Division includes a

Director of Operations, Chief Pilot, Assistant Chief Pilot, Director of Training, Manager of

Flight Administration and Project Manager for Certification and Compliance.

In October 2012, CFM entered into an aircraft charter contract with Public Charters, Inc. to

provide four round trip flights per week between Manistee, Michigan (MBL) and Chicago

Midway Airport (MDW). All flights are conducted under 14 CFR Part 380 as public charters

with CFM acting as the Direct Air Carrier and Public Charters, Inc. as the indirect air carrier.

Public Charters, Inc. receives funding for this operation from the Manistee Blacker Airport

Authority under an Alternative Essential Air Service grant from the DOT. The company

presently operates one round trip on Thursday, Friday, Sunday, and Monday of each week for

Public Charters, Inc. under this program.

CFM bases one of its Jetstream-31 aircraft with 19 passenger seats at MBL to support this

activity. The company has two other Jetstream-31 aircraft as well as three Jetstream-41 aircraft

each configured with 30 passenger seats that are available to back up its primary aircraft.

In addition to civilian charter flying, CFM been approved as an air carrier by the United States

Department of Defense (DoD). The company has completed several contracts for the military

and is currently competing for new DoD procurements.

Maintenance Division CFM currently operates a FAR 145 certified repair station that performs

major airframe inspections, component and accessory overhaul and repair, avionics repair and

installation, and composites repair. The repair station is licensed under the company’s FAA

certificate FJTA920D. The company also holds EASA 145 certification.

The management team for the Maintenance Division includes a Vice President of Maintenance,

Director of Maintenance (FAR 135), a Maintenance Production Manager, Chief Inspectors for

FAR 135 and FAR 145, two Service Managers, and a Director of Training.
Exhibit CFM - 600

Page 2 of 2

The Maintenance Division specializes in refurbishment and major inspections for the British

Aerospace line of regional airline turboprop aircraft, Cirrus single engine aircraft, and Diamond

single engine aircraft. Additionally, the Maintenance Division performs maintenance on CFM’s

own fleet of aircraft. It also provides oversight of outsourced maintenance to the company’s

charter and managed aircraft fleets to ensure compliance with the Federal Aviation Regulations.

FBO Division CFM operates two full-service FBOs in middle Tennessee, one at the John C Tune

airport (JWN) and one at the Smyrna airport (MQY). FBO services at these locations include

aircraft hangar storage for based and transient general aviation aircraft, tie down and overnight

parking, fuel products including 100LL Avgas and Jet A, and ground services for based and

transient customers. Both Tennessee FBO locations are open and staffed 24 hours per day, 7

days per week.

CFM offers limited services at its Danbury Airport FBO in Connecticut (DXR), including hangar

storage and Jet A fuel products.

The company leases its FBO facilities from the respective airport authorities at each airport.

Aircraft Sales Division CFM offers aircraft sales and brokerage services with two aircraft sales

personnel and a sales assistant. The company specializes in the sale of refurbished regional

airline aircraft, primarily the British Aerospace Jetstream series aircraft. The company also

provides aircraft brokerage and aircraft acquisition services to clients worldwide that are buying

or selling general aviation aircraft.

CFM also conducts a number of aviation-related activities with its affiliated business entities:

Flight Training CFM co-owns JWN Wings of Eagles, LLC and MQY Wings of Eagles, LLC

(see Exhibit CFM – 100). These entities provide flight training at John Tune Airport (JWN) and

Smyrna Airport (MQY), respectively.

Aircraft Refurbishment and Resale CFM co-owns Jetstream Sales LLC (see Exhibit CFM - 100).

This entity purchased ten J-32 used aircraft from BAE Systems. CFM refurbished or sold “as-is”

nine of the acquired airplanes through 2012. Additionally, it acquired and sold another airplane

in 2009. This entity has one final aircraft that will be refurbished and sold during calendar year

2013.

Charter Aircraft Leaseback CFM co-owns Jetstream Air LLC (see Exhibit CFM - 100). This

entity owns Jetstream 31 N657BA. The aircraft is leased back to CFM under a dry lease

arrangement (see Exhibit CFM – 500). CFM operates this aircraft under FAR Part 135.

Facilities Management CFM is a partner with HL Aviation in the CFM HLA Joint Venture (see

Exhibit CFM – 100). This entity owns and operates a 20,000 square foot hangar and office

complex located at the John Tune Airport in Tennessee. CFM manages the property, collects the

rents, and services the debt from the rents. The parties share the profits from this activity

equally.
Exhibit CFM - 700

Page 1 of 8

1. Proposed Service

Corporate Flight Management, Inc. (CFM) proposes the following scheduled service to be

performed as Public Charters in compliance with 14 CFR Part 380:

Route: Manistee County Blacker Airport, Manistee, Michigan (MBL) – Midway

International Airport, Chicago, Illinois (MDW) - Manistee County Blacker

Airport, Manistee, Michigan (MBL)

Note: MBL is on Eastern Time (ET) and MDW is on Central Time (CT).

Frequency: Daily (seven days per week)

Times: Monday, Tuesday, Wednesday, Thursday, Friday, Saturday

Outbound: 8:30 A.M. ET depart MBL. 8:30 A.M. CT arrive MDW

Return: 5:00 P.M. CT depart MDW. 7:00 P.M. ET arrive MBL

Sunday

Outbound: 4:00 P.M. ET depart MBL. 4:00 P.M. CT arrive MDW

Return: 5:00 P.M. CT depart MDW. 7:00 P.M. ET arrive MBL

Aircraft: British Aerospace Jetstream 3201 19-passenger airliner (J-32)

2. Background

On February 16, 2013, CFM entered into contract with Public Charters, Inc. ( “PCI”) to provide

aircraft charter services to PCI on the Route using J-32 aircraft (the “Agreement”). This

Agreement replaced, in its entirety, an earlier contract between CFM and PCI dated October 7,

2012 for the same services during the period beginning November 15, 2012 and ending February

15, 2013.

In April 2012, PCI was selected by the Manistee Blacker Airport Authority (“MBAA”) and the

community of Manistee/Ludington, Michigan to provide Alternate Essential Air Service on the

Route. MBAA is the recipient of the first-ever Alternate Essential Air Service Grant (“AltEAS

Grant”). Docket DOT-OST-1996-1711 contains detailed information regarding the AltEAS

Grant and the AltEAS Grant Proposal. Pursuant to PCI’s contract with MBAA, all of the

AltEAS flights are to be operated as Public Charters with PCI acting as the Indirect Air Carrier.

Under the AltEAS Grant, MBAA receives the AltEAS program funds and controls their

disbursement to PCI. PCI is solely responsible for contracting with and making all payments to

a Direct Air Carrier for all flight operations conducted under MBAA’s AltEAS program. In

October 2012, PCI selected CFM as the Direct Air Carrier for all AltEAS flights on the route

occurring on and after November 15, 2012.
Exhibit CFM - 700

Page 2 of 8

The Existing Service consists of four (4) round trips each week on the Route using CFM’s J-32

aircraft. CFM presently operates one round trip each Thursday, Friday, Sunday, and Monday.

Under the terms of the Agreement, all of these flights are operated as Public Charters pursuant to

14 CFR Part 380 with CFM acting as the Direct Air Carrier and PCI acting as the Indirect Air

Carrier. A copy of the current Public Charter Prospectus appears in Exhibit CFM – 707. A copy

of CFM’s current Form OST 4507 is attached as Exhibit CFM – 708.

CFM’s Proposed Service consists of adding three (3) round trips on the Route each week using

CFM’s J-32 aircraft. CFM would operate these new round trips on each Tuesday, Wednesday,

and Saturday. CFM will add the flight frequencies as soon as it secures the necessary economic

authority. For purposes of presenting a forecast for the first year’s operations, a start-up date of

May 1, 2013 was selected. All Proposed Service flights would be operated as Public Charters

under 14 CFR Part 380 with CFM acting as the Direct Air Carrier and PCI acting as the Indirect

Air Carrier. The Public Charter Prospectus would be amended accordingly.

Combined with the Existing Service, the Proposed Service will give the community of

Manistee/Ludington daily AltEAS service to and from MDW. The AltEAS Grant, the contract

between MBAA and PCI, and the Agreement between PCI and CFM all contemplated daily

service on the Route from an operational and financial perspective.

CFM bases one of its J-32 aircraft at MBL to support the requirements of the Agreement. Flight

crews are positioned in and out of MBL on a weekly basis. A flight crew for the J-32 aircraft

consists of one Captain and one First Officer. CFM has 6 Captains and 6 First Officers for the

Jetstream 31/32 fleet. CFM provides accommodations and ground transportation for the flight

crews while they are stationed at MBL. Crews are also provided an allowance for their meals

and incidental expenses incurred while at or en-route to and from MBL.

CFM employs a part time maintenance technician who is based at MBL. If additional

maintenance assistance is required, CFM would first subcontract for maintenance labor locally in

either MBL or MDW. If local subcontract labor is either unavailable or insufficient, CFM would

either reposition its maintenance personnel from other locations or – if possible - reposition the

Aircraft to CFM’s maintenance facility in Smyrna, Tennessee.

3. Technical, Revenue, and Cost Analysis

3.a Technical Analysis

The Proposed Service will add approximately 289 hours per year to CFM’s J-32 fleet

utilization. This relatively small amount of additional flying will not require CFM to add

aircraft, crews, or any other infrastructure or support services.

As noted above, CFM is currently operating four round trips per week on the Route as the Direct

Air Carrier for PCI.
Exhibit CFM - 700

Page 3 of 8

From the commencement of flight operations on November 15, 2012 through January15, 2013,

CFM completed more than 33 round trips (66 individual flight segments) on the Route.

CFM’s flight records from these operations show that each flight segment between MBL and

MBW averages .92 flight hours in duration on the J-32 aircraft. Therefore, each round trip on

the Route averages .92 flight hours x 2 or 1.84 flight hours in duration. Over the course of a

year, the Existing Service will consume 1.84 flight hours x 4 days per week x 52 weeks per year

or 382.7 flight hours per year.

CFM’s Proposed Service adds three more round trips on the Route in addition to the Existing

Service. During the first year of the Proposed Service CFM would operate the following number

of round trips, yielding a total of 288.88 flight hours:

Quarter Q1 Q2 Q3 Q4 Total

Months

5/1/13 -

7/31/13

8/1/13 -

10/31/13

11/1/2013 -

1/31/2014

2/1/2014 -

4/30/2014

5/1/13 -

4/30/13

Round Trips 40.0 39.0 39.0 39.0 157.0

Multiplied by

Flight Hours Per

Round Trip: 1.84 1.84 1.84 1.84 1.84

Equals Total

Flight Hours: 73.6 71.76 71.76 71.76 288.88

The total combined flight hours for the MBL-based aircraft for the existing service and the

Proposed Service are projected to be 671.6 flight hours per year.

Between January 1, 2012 and December 31, 2012, the J-32 aircraft that is now based at MBL

logged a total of 739.8 flight hours. The Existing Service and the Proposed Service will actually

result in a net flight hour decrease of approximately 9% annually for this J-32 aircraft. This can

be explained because the aircraft will be dedicated to perform PCI charter flights and will not be

used for ad hoc charter trips.

As previously noted, there are 6 Captains and 6 First Officers assigned to the Jetstream 31/32

fleet. The proposed service can be operated within the duty requirements imposed by 14 CFR

§§135.261-267 of the Federal Aviation Regulations. Therefore, CFM has more than a sufficient

number of flight crews to operate the Proposed Service without the need for additional recruiting

and initial fight crew training.

Based on the forgoing, CFM is confident that its existing flight and maintenance personnel,

along with the operating infrastructure that is already in place, can accommodate the activity

level of the current and Proposed Service.
Exhibit CFM - 700

Page 4 of 8

3.b Revenue Analysis

CFM expects to realize additional gross revenue of $261,028.20 annually ($65,257.05

average quarterly) during the first year of operation of the Proposed Service.

Under the Agreement, CFM receives payment for its services from PCI under a two-tiered rate

structure. The first tier is a flat rate that is paid by PCI without regard to the flight time or

number of flight segments performed. The flat rate is $32,000.00 per month and it compensates

CFM for all of the following:

 Flight crew wages, benefits, uniform allowance, and training

 Crew positioning costs to and from MBL

 Crew housing, meal allowance, and incidental expense allowance in MBL

 Aircraft and crew scheduling costs

 Navigational chart subscriptions, mobile phone allowance, and other crew and

operations-related costs

 Aircraft liability insurance

The second tier is a fixed rate of $815.00 per Block Hour operated on the Route. The Agreement

defines Block Hours to be actual flight hours operated on the Route plus .1 hour per Segment

operated on the Route. The Agreement uses the term “Flight Leg” to refer to a Segment. The

$815.00 per Block Hour is referred to as the Base Rate in the Agreement.

The expected Block Hour revenue from the first year of the Proposed Service is calculated as

follows:

Quarter Q1 Q2 Q3 Q4 Total

Months

5/1/13 -

7/31/13

8/1/13 -

10/31/13

11/1/2013 -

1/31/2014

2/1/2014 -

4/30/2014

5/1/13 –

4/30/13

Round Trips 40.0 39.0 39.0 39.0 157.0

Total Flight

Hours 73.6 71.76 71.76 71.76 288.88

Plus .1 Hours Per

Flight Segment: 8 7.8 7.8 7.8 31.4

Equals Total

Block Hours 81.6 79.56 79.56 79.56 320.28

Multiplied by

the Base Rate: $815.00 $815.00 $815.00 $815.00 $815.00

Equals Total

Revenue: $66,504 $64,841.40 $64,841.40 $64,841.40 $261,028.20

PCI funds its payments to CFM using proceeds from the AltEAS Grant and ticket sales revenue.
Exhibit CFM - 700

Page 5 of 8

3.c Cost Analysis

CFM expects to incur costs of $154,044.58 ($38,511.15 average quarterly) to operate the

first year of the Proposed Service.

As has been demonstrated, CFM will not need to add to its aircraft fleet, add personnel to its

staff, or incur any other infrastructure related expense in order to deliver the Proposed Service.

PCI initially furnished a payment of $5,000.00 to cover the costs of re-positioning and basing the

aircraft at MBL. Since the Proposed Service simply augments service that CFM is already

providing on the Route, CFM will incur no additional start-up or other one-time costs as a result

of commencing the Proposed Service. Therefore, the only costs that need to be assessed for the

Proposed Service are those that vary directly with aircraft operating hours.

Under the Agreement, PCI directly pays for the following variable operating costs:

 Fuel

 De-icing

 Galley supplies and catering

 Terminal, landing, ground handling and other fees at MBL and MDW

Table A in Exhibit CFM - 701 hereto shows the projected average costs that will be paid directly

to various third party vendors by PCI for the Proposed Service. This analysis is offered to

demonstrate that the costs of the charter flight operations have been fully taken into account and

the Proposed Service is economically viable. However, the costs borne by PCI and underwritten

in part by the AltEAS grant should not be factored into the calculation of CFM’s operational

costs to provide the Proposed Service.

Exhibit CFM – 701 depicts PCI’s current actual costs for each cost category with the exception

of Aircraft Fuel and de-icing. With regard to Aircraft Fuel, during the period January 1, 2013 to

February 15, 2013, PCI incurred an actual cost per gallon of $3.89. Recently, fuel costs have

been trending upwards. After consultation with PCI, CFM selected $4.60 per gallon as a

reasonable average jet fuel cost for the forecast period, with the understanding that PCI will

continue to be solely responsible for paying fuel vendors directly for all actual fuel costs incurred

for the Existing Service and the Proposed Service.

In order to derive a per-hour cost for de-icing, the forecast uses PCI’s budgeted cost in its

contract with MBAA. The need for de-icing is seasonal, occurring during the months of

November, December, January, February and March of each year. PCI’s budget estimates a total

of 25 de-icing events during each of those months at an average cost of $200.00 each. PCI

therefore computes its annual de-icing budget as follows:

25 de-ice events x $200.00 per event x 5 months = $25,000.00 annual de-icing budget.

PCI’s budget assumes 7 day per week operations on the Route.
Exhibit CFM - 700

Page 6 of 8

In order to annualize and allocate de-icing cost on a per-flight segment basis for the Proposed

Service, CFM made the following computations:

7 round trips/week x 2 flight segments/round trip x 52 weeks/year = 728 flight segments

$25,000 annual de-ice budget divided by 728 annual flight segments = $34.34 de-ice cost per

flight segment.

For the period beginning January 1, 2013 and ending February 15, 2013, PCI’s actual de-icing

costs are running well below budget, with approximately 97% of the de-icing funds allocated to

that period remaining unused.

CFM will directly pay for the remaining variable operating costs resulting from the Proposed

Service:

 Aircraft lease

 Aircraft parts

 In-house maintenance labor

 Subcontracted maintenance labor

 Freight – aircraft parts

In order to estimate the increase in these variable costs resulting from the Proposed Service,

CFM first determined the total cost in each category except Aircraft lease for the J-32 aircraft

presently assigned to MBL under the Agreement for the calendar year beginning January 1,

2012 and ending December 31, 2012. CFM also examined that aircraft’s flight logs to

determine the total number of hours flown during the same period.

The lease for the J-32 aircraft assigned to the Agreement was changed in September of 2012

from a fixed monthly rate to a per flight hour rate. The hourly aircraft lease cost is taken directly

from the revised lease agreement.

The average cost in each of the remaining cost categories was computed by dividing each of the

2012 calendar year costs by the total flight hours. The average hourly cost was then multiplied

by the hours per round trip to arrive at the per round trip cost. The quarterly and annual costs

were calculated by multiplying the per round trip costs by the projected number of round trips in

each quarter. Table B in Exhibit CFM-701 hereto shows the projected costs that will be directly

paid by CFM for the Proposed Service.

Table C in Exhibit CFM-701 hereto summarizes the total projected costs for the Proposed

Service.
Exhibit CFM - 700

Page 7 of 8

4. Profitability Projection

CFM expects to earn an operating profit of $106,983.62 ($26,745.91 average quarterly)

from the Proposed Service during its first year of operation.

The projected start-up date for the Proposed Service is May 1, 2013. Exhibits CFM - 702 to 705

hereof show CFM’s four projected quarterly income statements for the Proposed Service

operating year beginning May 1, 2013 to July 31, 2014.

In each of the four projected quarterly income statements, the revenue and expense categories are

the same as those presented in CFM’s 2010, 2011, and 2012 annual income statements, as well

as the interim 2013 income statement dated January 31. 2013. (Please note that CFM’s fiscal

year runs from September 1 – August 31).

Each of the projected quarterly projected income statements contains the following columns of

projected data:

 Column A – Basic Forecast contains a projection of CFM’s revenue and expense for its

operations before adding the Proposed Service. The Forecast uses CFM’s actual results for

the period beginning September 1, 2012 and ending November 30, 2012 as the source for

this forecast. During the next 18 months, CFM does not anticipate any significant deviation

from the pattern of revenue and expense established in the first quarter of its fiscal year 2013.

Therefore, CFM believes that this is a reasonable basis from which to forecast the remaining

quarters of 2013 and all of 2014.

 Column B – Proposed Service contains the quarterly forecast for the Proposed Service in

accordance with the calculations shown in Exhibit CFM - 701 Table B.

 Column C – Combined Forecast adds columns A and B to show CFM’s projected results

after adding the Proposed Service to the existing operations.

 Column D – Q1-4 Cumulative adds the Combined Forecast from the prior quarters’ forecasts

to the current quarter’s Combined Forecast to show CFM’s cumulative results after adding

the Proposed Service.

In each of the four projected quarterly income statements, the revenue and expense categories are the

same as those presented in CFM’s January 31, 2013 interim income statements. In order to present

projected income statements that conform to the company’s historical financial statements, certain of

the revenue and expense items have been combined into different categories or have been presented

with different labels. The table below relates the categories presented in Exhibit CFM – 701 with the

categories used in the projected income statements appearing in Exhibits CFM -702 to 705:

Income Statement Category Revenue/Cost Projection Categories

Charter Hourly Rate Gross Revenue – Proposed Service

Aircraft Lease – Hourly Aircraft Lease
Exhibit CFM - 700

Page 8 of 8

Aircraft Lease – Broker, mtx Aircraft parts, In-house maintenance labor,

Subcontracted maintenance labor, Freight – aircraft

parts

Please note that since CFM will be adding the Proposed Service to an existing AltEAS program

and the existing fleet, flight and maintenance personnel, and operating infrastructure can readily

accommodate the additional round trips, there will be no start-up costs for the Proposed Service.

The operation of the Proposed Service can be considered to be “normal” from the start.

In November 2012 CFM received a $5,000.00 payment to cover previously-incurred costs to

start the Existing Service and a payment of $7,000.00 to compensate CFM for the initial cost of

positioning the J-32 aircraft in to MBL and positioning the aircraft out of MBL at the end of the

Agreement.

Exhibit CFM-706 contains a projected balance sheet for CFM at April 30, 2012 based on the

addition of the Proposed Service to CFM’s Basic Forecast for 8 months during calendar 2013

and the first 4 months of calendar 2014.

5. Financing

The total operating costs projected to be incurred by CFM for the first three months of the Proposed

Service are $39,247.03 (see Exhibit CFM – 702).

The average daily balance in CFM’s operating checking account with Pinnacle Bank during calendar

year 2012 was $63,749.45. Exhibit CFM – 709 contains copies of the first page of CFM’s monthly

Pinnacle Bank operating account statements for January through December 2012, as well as a copy

of the Pinnacle Bank on-line screen showing the current balance in this account within two weeks of

CFM’s Application date. The first page of each month’s statement includes confirming the average

daily balance in each month.

CFM also has access to funds under the terms of a revolving line of credit with the Pinnacle

National Bank. CFM believes that its service expansion can be financed from these existing

sources of funding. CFM would accept a condition to be incorporated in the Final Order

requiring the company to provide a Certificate of Deposit in the approximate amount of

$40,000.00-- the amount of the forecast costs for the first three months of operation for the

Proposed Service (Exhibits 701 Table C and 702, Column C Total COGS) -- to remain in effect

for the initial three months of actual operation.
Table A - Projected Costs of Proposed Service to be Paid by Public Charters, Inc. (P1)

Q1 Q2 Q3 Q4 Total

Unit Units Per Cost Per Round Trips Round Trips Round Trips Round Trips Round Trips

Description Cost Round Trip Round Trip 40.0 39.0 39.0 157.0 39.0

Aircraft Fuel (gallons) 4.60 $ 236.4 1,087.36 $ 43,494.53 $ 16,185.00 $ 42,407.17 $ 42,407.17 $ 144,493.87 $ 

Ground Handling - MBL 415.00 $ 1 415.00 $ 16,600.00 $ 3,953.04 $ 16,185.00 $ 16,185.00 $ 52,923.04 $ 

Facility Rent - MBL 101.36 $ 1 101.36 $ 4,054.40 $ 17,550.00 $ 3,953.04 $ 3,953.04 $ 29,510.48 $ 

Handling Fee - MBL 450.00 $ 1 450.00 $ 18,000.00 $ 1,111.11 $ 17,550.00 $ 17,550.00 $ 54,211.11 $ 

Landing Fee - MBL 28.49 $ 1 28.49 $ 1,139.60 $ 314.34 $ 1,111.11 $ 1,111.11 $ 3,676.16 $ 

GPU Usage Fee - MBL 8.06 $ 1 8.06 $ 322.40 $ 2,678.57 $ 314.34 $ 314.34 $ 3,629.65 $ 

De-Icing* 34.34 $ 2 68.68 $ 2,747.25 $ 1,111.50 $ 2,678.57 $ 2,678.57 $ 9,215.90 $ 

Catering 14.25 $ 2 28.50 $ 1,140.00 $ 13,338.00 $ 1,111.50 $ 1,111.50 $ 16,701.00 $ 

Ground Handling - MDW 342.00 $ 1 342.00 $ 13,680.00 $ 3,556.80 $ 13,338.00 $ 13,338.00 $ 43,912.80 $ 

Terminal Operations Fee - MDW 91.20 $ 1 91.20 $ 3,648.00 $ 2,257.71 $ 3,556.80 $ 3,556.80 $ 13,019.31 $ 

Landing Fee - MDW 57.89 $ 1 57.89 $ 2,315.60 $ 1,762.80 $ 2,257.71 $ 2,257.71 $ 8,593.82 $ 

MATCO Equipment Fee- MDW 45.20 $ 1 45.20 $ 1,808.00 $ 1,071.33 $ 1,762.80 $ 1,762.80 $ 6,404.93 $ 

MATCO Joint Use Fee - MDW 27.47 $ 1 27.47 $ 1,098.80 $ 5,904.60 $ 1,071.33 $ 1,071.33 $ 9,146.06 $ 

Gate Departure Fee - MDW 151.40 $ 1 151.40 $ 6,056.00 $ 113,201.97 $ 5,904.60 $ 5,904.60 $ 131,067.17 $ 

Total - Public Charters, Inc. (P1) 2,902.61 $ 116,104.59 $ 183,996.77 $ 113,201.97 $ 113,201.97 $ 526,505.30 $ 

Table B - Projected Costs of Proposed Service to be Paid by CFM

Q1 Q2 

1/1/2012-12/31/3012 Actuals Hours Per Cost Per Round Trips Round T

CFM Cost Type CFM Income Statement Category Cost Hours Cost/Hour Round Trip Round Trip 40.0 3

Aircraft Lease 5002010 Aircraft Lease - Hourly N/A** 739.8 375.00 $ 1.84 690.00 $ 27,600.00 $ 26,910

$ 

Aircraft Parts 5002030 Aircraft Lease - Broker, mtx 65,909.94 $ 739.8 89.09 $ 1.84 163.93 $ 6,557.14 $ 6,393

$ 

In House Maintenance Labor Cost 5002030 Aircraft Lease - Broker, mtx 45,370.15 $ 739.8 61.33 $ 1.84 112.84 $ 4,513.71 $ 4,400

$ 

Subcontracted Maintenance Labor Cost 5002030 Aircraft Lease - Broker, mtx 3,308.43 $ 739.8 4.47 $ 1.84 8.23 $ 329.14 $ 320

$ 

Freight - Aircraft Parts 5002030 Aircraft Lease - Broker, mtx $ 739.8 2,483.11 3.36 $ 1.84 6.18 $ 247.04 $ 240

$ 

Total - CAT $ 39,247.03 981.18 $ 38,265

$ 

Table C - Total Projected Costs of Proposed Service (Summary)

Q1 Q2 Q3 Q4 Total

Cost Per Round Trips Round Trips Round Trips Round Trips Round Trips

Round Trip 40.0 39.0 39.0 39.0 157.0

Costs Paid by Public Charters, Inc. (P1) 2,902.61 $ 116,104.59 $ 183,996.77 $ 113,201.97 $ 113,201.97 $ 526,505.30 $ 

Costs Paid by CFM 981.18 $ 39,247.03 $ 38,265.85 $ 38,265.85 $ 38,265.85 $ 154,044.58 $ 

$ 155,351.61 3,883.79 $ 222,262.63 $ 151,467.82 $ 151,467.82 $ 680,549.88 $ 

* Note: Deicing costs are only incurred during the months of November, December, January, February, and March. The $34.34 per flight segment in Table A is an allocation of this 

 seasonal cost to all flight segments throughout the year.

** Note: The lease agreement for the subject Aircraft was changed from a fixed payment to a price per flight hour in September 2012. The $375.00 per hour lease rate

 in Table B is applicable to all flight hours in this service proposal. Therefore, the historical lease cost is not used as a basis for forcasting CFM's cost of providing the proposed service.
Exhibit CFM - 702

Forecast Income Statement for the Proposed Service: First Quarter of Operations (May 1, 2013 - July 31, 2013)

A BC D

Basic Forecast Proposed Service Combined Forecast Q1 - 4 Cumulative

Round Trips for the Proposed Service - This Quarter 40

Flight Hours for the Proposed Service - This Quarter 73.6

Ordinary Income/Expense

Income

4001000 · Administration

4001005 · Accounting/Mgmt Svcs $ 15,050.00 15,050.00 $ 15,050.00 $ 

Total 4001000 · Administration $ - 15,050.00 $ 15,050.00 $ 15,050.00 $ 

4002000 · Charter Flight Operations

4002010 · Charter Hourly Rate $ 66,504.00 2,596,598.07 $ 2,663,102.07 $ 2,663,102.07 $ 

4002030 · Crew Per Diem $ 20,537.33 20,537.33 $ 20,537.33 $ 

4002040 · Daily Crew Charge $ 130,266.00 130,266.00 $ 130,266.00 $ 

4002050 · Fuel - Home $ 133,031.81 133,031.81 $ 133,031.81 $ 

4002070 · Fuel Surcharge $ 140,223.36 140,223.36 $ 140,223.36 $ 

4002080 · Hotel $ 18,474.39 18,474.39 $ 18,474.39 $ 

4002090 · Landing Fees $ 121,395.46 121,395.46 $ 121,395.46 $ 

4002100 · Management Fee $ 215,521.43 215,521.43 $ 215,521.43 $ 

4002110 · Other Services $ 27,958.36 27,958.36 $ 27,958.36 $ 

4002120 · Overnight $ 124,866.00 124,866.00 $ 124,866.00 $ 

4002130 · Rental Car $ 16,618.96 16,618.96 $ 16,618.96 $ 

4002140 · Wait Time $ 9,349.20 9,349.20 $ 9,349.20 $ 

Total 4002000 · Charter Flight Operations $ 66,504.00 3,554,840.36 $ 3,621,344.36 $ 3,621,344.36 $ 

4003000 · Fixed Base Operations-FBO

4003010 · Aircraft Cleaning $ 5,684.99 5,684.99 $ 5,684.99 $ 

4003020 · Catering $ 1,147.71 1,147.71 $ 1,147.71 $ 

4003030 · Commissions/Rentals $ 4,636.26 4,636.26 $ 4,636.26 $ 

4003040 · Flight Store $ 1,681.66 1,681.66 $ 1,681.66 $ 

4003050 · Fuel - Avgas $ 346,922.91 346,922.91 $ 346,922.91 $ 

4003070 · Fuel - Jet A $ 745,663.48 745,663.48 $ 745,663.48 $ 

4003080 · Fuel Tax Credit $ 32,523.38 32,523.38 $ 32,523.38 $ 

4003090 · Fueling Svcs-Into/flowage $ 135,208.67 135,208.67 $ 135,208.67 $ 

4003100 · Ground Handling $ 39,803.27 39,803.27 $ 39,803.27 $ 

4003110 · Hangar Rent $ 127,083.23 127,083.23 $ 127,083.23 $ 

4003120 · Office Rent $ 19,830.00 19,830.00 $ 19,830.00 $ 

4003130 · Oil Sales $ 2,096.27 2,096.27 $ 2,096.27 $ 

4003140 · Tow/Tie Down $ 10,499.50 10,499.50 $ 10,499.50 $ 

4003145 · Discounts or Adjustments $ (2,930.61) (2,930.61) $ (2,930.61) $ 

Total 4003000 · Fixed Base Operations-FBO $ - 1,469,850.71 $ 1,469,850.71 $ 1,469,850.71 $ 

4006000 · Maintenance

4006010 · Commissions/Warranty $ - - $ - $ 

4006020 · Consumables $ 15,735.04 15,735.04 $ 15,735.04 $ 

4006030 · Equipment Rental $ - - $ - $ 

4006040 · Freight $ 36,947.89 36,947.89 $ 36,947.89 $ 

4006050 · Labor Sales $ 562,350.34 562,350.34 $ 562,350.34 $ 

4006060 · Manuals-Revisions-Subscriptions $ - - $ - $ 

4006070 · Other Services/Fees $ 223,148.15 223,148.15 $ 223,148.15 $ 

4006080 · Parts Sales $ 1,305,380.34 1,305,380.34 $ 1,305,380.34 $ 

4006090 · SubContract Sales $ 363,663.67 363,663.67 $ 363,663.67 $ 

4006095 · Discounts or Adjustments $ (40,482.10) (40,482.10) $ (40,482.10) $ 

Total 4006000 · Maintenance $ - 2,466,743.32 $ 2,466,743.32 $ 2,466,743.32 $ 

4007000 · Aircraft Sales and Leasing

4007020 · Aircraft Lease $ 274,876.86 274,876.86 $ 274,876.86 $ 

4007030 · Broker Commission $ 65,661.02 65,661.02 $ 65,661.02 $ 

4007040 · Consulting $ 90.00 90.00 $ 90.00 $ 

4007050 · Sales $ 18,000.00 18,000.00 $ 18,000.00 $ 

Total 4007000 · Aircraft Sales and Leasing $ - 358,627.88 $ 358,627.88 $ 358,627.88 $ 

9999999 · Clearing Account $ - - $ - $ - $ 

Total Income $ 66,504.00 7,865,112.29 $ 7,931,616.29 $ 7,931,616.29 $ 

Page 1 of 3
Exhibit CFM - 702

Forecast Income Statement for the Proposed Service: First Quarter of Operations (May 1, 2013 - July 31, 2013)

A BC D

Basic Forecast Proposed Service Combined Forecast Q1 - 4 Cumulative

Cost of Goods Sold

5002000 · Charter Flight Dept.

5002010 · Aircraft Lease- Hourly $ 27,600.00 1,144,207.11 $ 1,171,807.11 $ 1,171,807.11 $ 

5002020 · Aircraft Revenue/Profit Split $ 4,865.37 4,865.37 $ 4,865.37 $ 

5002030 · Aircraft Lease Costs-Broker,mtx $ 11,647.03 185,244.16 $ 196,891.18 $ 196,891.18 $ 

5002040 · Catering $ 16,267.93 16,267.93 $ 16,267.93 $ 

5002050 · Crew Cost - Other $ 7,525.41 7,525.41 $ 7,525.41 $ 

5002060 · Crew Cost - Airline Tickets $ 2,880.23 2,880.23 $ 2,880.23 $ 

5002070 · Crew Cost - Car Rental $ 15,966.74 15,966.74 $ 15,966.74 $ 

5002080 · Crew Cost - Hotel $ 72,599.65 72,599.65 $ 72,599.65 $ 

5002090 · Crew Per Diem $ 40,526.17 40,526.17 $ 40,526.17 $ 

5002095 · Fuel Costs $ 774,422.15 774,422.15 $ 774,422.15 $ 

5002100 · Labor-Pilots $ 478,429.30 478,429.30 $ 478,429.30 $ 

5002110 · Labor - Fuel At Home $ 46,864.34 46,864.34 $ 46,864.34 $ 

5002120 · Landing Fees $ 91,751.30 91,751.30 $ 91,751.30 $ 

5002130 · Other Services $ 19,138.82 19,138.82 $ 19,138.82 $ 

Total 5002000 · Charter Flight Dept. $ 39,247.03 2,900,688.66 $ 2,939,935.69 $ 2,939,935.69 $ 

5003000 · FBO- Fixed Base Operations

5003010 · Catering $ 76.11 76.11 $ 76.11 $ 

5003020 · Flight Store $ 1,241.80 1,241.80 $ 1,241.80 $ 

5003030 · Fuel - Adjustments $ (46,266.19) (46,266.19) $ (46,266.19) $ 

5003040 · Fuel - Avgas $ 272,235.99 272,235.99 $ 272,235.99 $ 

5003050 · Fuel - Flowage/Into Fee $ 29,515.57 29,515.57 $ 29,515.57 $ 

5003060 · Fuel - Jet A $ 617,143.96 617,143.96 $ 617,143.96 $ 

5003070 · Labor $ 159,128.68 159,128.68 $ 159,128.68 $ 

5003080 · Oil $ 1,931.96 1,931.96 $ 1,931.96 $ 

Total 5003000 · FBO- Fixed Base Operations $ - 1,035,007.88 $ 1,035,007.88 $ 1,035,007.88 $ 

5006000 · Maintenance Dept.

5006010 · Commissions $ (13,666.22) (13,666.22) $ (13,666.22) $ 

5006020 · Consumables $ 16,100.34 16,100.34 $ 16,100.34 $ 

5006040 · Freight $ 59,165.23 59,165.23 $ 59,165.23 $ 

5006050 · Labor $ 526,869.94 526,869.94 $ 526,869.94 $ 

5006070 · Other Services $ 225,028.82 225,028.82 $ 225,028.82 $ 

5006080 · Parts $ 213,893.47 213,893.47 $ 213,893.47 $ 

5006090 · SubContract $ 509,541.49 509,541.49 $ 509,541.49 $ 

5006100 · Warranty $ (3,360.08) (3,360.08) $ (3,360.08) $ 

Total 5006000 · Maintenance Dept. $ - 1,533,572.98 $ 1,533,572.98 $ 1,533,572.98 $ 

5007000 · Aircraft Sales/Leasing Dept.

5007020 · Aircraft For Sale Insurance $ 3,613.44 3,613.44 $ 3,613.44 $ 

5007030 · Aircraft For Sale Interest Cost $ 7,367.34 7,367.34 $ 7,367.34 $ 

5007040 · Aircraft For Sale Lease Pmts $ 110,072.58 110,072.58 $ 110,072.58 $ 

5007050 · Aircraft Lease Cost $ 21,881.22 21,881.22 $ 21,881.22 $ 

5007060 · Aircraft mtx, fuel misc. $ 33,901.01 33,901.01 $ 33,901.01 $ 

5007080 · Labor-salesmen $ 2,392.24 2,392.24 $ 2,392.24 $ 

Total 5007000 · Aircraft Sales/Leasing Dept. $ - 191,227.83 $ 191,227.83 $ 191,227.83 $ 

Total COGS $ 39,247.03 5,660,497.34 $ 5,699,744.37 $ 5,699,744.37 $ 

Gross Profit $ 27,256.97 2,204,614.94 $ 2,231,871.92 $ 2,231,871.92 $ 

Expense

6000000 · Personnel Expenses

6000005 · Administrative/Office $ 242,335.37 242,335.37 $ 242,335.37 $ 

6000015 · Drug Test $ 1,226.85 1,226.85 $ 1,226.85 $ 

6000020 · Maintenance personnel $ 451,426.12 451,426.12 $ 451,426.12 $ 

6000025 · Officers $ 162,733.21 162,733.21 $ 162,733.21 $ 

6000030 · Charter Personnel $ 186,601.81 186,601.81 $ 186,601.81 $ 

6000035 · FBO Personnel $ 51,647.61 51,647.61 $ 51,647.61 $ 

6000040 · Training $ 94,545.44 94,545.44 $ 94,545.44 $ 

6000045 · Uniforms $ 7,381.72 7,381.72 $ 7,381.72 $ 

Total 6000000 · Personnel Expenses $ - 1,197,898.12 $ 1,197,898.12 $ 1,197,898.12 $ 

6000100 · Advertising & Promotions $ 10,094.10 10,094.10 $ 10,094.10 $ 

6000200 · Bad Debts

6000205 · Bad Debt Write off $ 21,795.96 21,795.96 $ 21,795.96 $ 

Total 6000200 · Bad Debts $ - 21,795.96 $ 21,795.96 $ 21,795.96 $ 

Page 2 of 3
Exhibit CFM - 702

Forecast Income Statement for the Proposed Service: First Quarter of Operations (May 1, 2013 - July 31, 2013)

A BC D

Basic Forecast Proposed Service Combined Forecast Q1 - 4 Cumulative

6000300 · Building Repairs/Maintenance $ 18,796.17 18,796.17 $ 18,796.17 $ 

6000400 · Contributions/Donations $ 954.62 954.62 $ 954.62 $ 

6000500 · Depreciation/Amortization $ 70,540.47 70,540.47 $ 70,540.47 $ 

6000600 · Dues and Subscriptions $ 30,054.79 30,054.79 $ 30,054.79 $ 

6000700 · Equipment Expense

6000705 · Equipment Lease $ 37,769.00 37,769.00 $ 37,769.00 $ 

6000715 · Equipment Repair $ 16,082.03 16,082.03 $ 16,082.03 $ 

Total 6000700 · Equipment Expense $ - 54,791.66 $ 54,791.66 $ 54,791.66 $ 

6000800 · Facilities Rent $ 215,297.72 215,297.72 $ 215,297.72 $ 

6000900 · Fees/Penalties/Fines

6000905 · Bank Fees $ 24,962.91 24,962.91 $ 24,962.91 $ 

6000910 · Credit Card Fees $ 25,652.24 25,652.24 $ 25,652.24 $ 

6000915 · Finance Charge $ 22,269.02 22,269.02 $ 22,269.02 $ 

6000920 · Late Fee $ 6,462.14 6,462.14 $ 6,462.14 $ 

6000925 · Fines $ - - $ - $ 

6000930 · Tax penalties $ 251.53 251.53 $ 251.53 $ 

Total 6000900 · Fees/Penalties/Fines $ - 79,597.83 $ 79,597.83 $ 79,597.83 $ 

6001000 · Insurance Expense

6001005 · Hangar Rash/Insurance Ded. $ 36,509.33 36,509.33 $ 36,509.33 $ 

6001010 · Monthly Insurance Expense $ 108,031.04 108,031.04 $ 108,031.04 $ 

Total 6001000 · Insurance Expense $ - 144,540.38 $ 144,540.38 $ 144,540.38 $ 

6001100 · Interest Expense

6001105 · Bank or Loan Interest $ 42,222.13 42,222.13 $ 42,222.13 $ 

Total 6001100 · Interest Expense $ 42,222.13 42,222.13 $ 42,222.13 $ 

6001200 · License & License Fees $ 618.00 618.00 $ 618.00 $ 

6001300 · Postage & Delivery $ 742.82 742.82 $ 742.82 $ 

6001400 · Professional Fees $ 39,490.91 39,490.91 $ 39,490.91 $ 

6001500 · Small Equipment $ 998.82 998.82 $ 998.82 $ 

6001600 · Supplies $ - - $ - $ 

6001605 · Computer $ 4,803.28 4,803.28 $ 4,803.28 $ 

6001610 · Office $ 2,713.33 2,713.33 $ 2,713.33 $ 

6001615 · Printing $ 843.54 843.54 $ 843.54 $ 

6001620 · Other $ 17,907.23 17,907.23 $ 17,907.23 $ 

Total 6001600 · Supplies $ - 26,267.38 $ 26,267.38 $ 26,267.38 $ 

6001700 · Taxes

6001710 · Personal Property $ 3,516.95 3,516.95 $ 3,516.95 $ 

6001715 · Personality Tax $ 9,479.58 9,479.58 $ 9,479.58 $ 

6001720 · State Taxes $ 419.65 419.65 $ 419.65 $ 

6001725 · F & E Tax $ 9,720.00 9,720.00 $ 9,720.00 $ 

Total 6001700 · Taxes $ 23,136.18 23,136.18 $ 23,136.18 $ 

6001800 · Travel Expenses

6001805 · Car Rental / Air travel $ 13,042.58 13,042.58 $ 13,042.58 $ 

6001810 · Hotel/Lodging $ 6,938.33 6,938.33 $ 6,938.33 $ 

6001815 · Meals & Entertainment $ 6,802.43 6,802.43 $ 6,802.43 $ 

Total 6001800 · Travel Expenses $ - 26,783.35 $ 26,783.35 $ 26,783.35 $ 

6001900 · Utilities

6001905 · Cable $ 659.16 659.16 $ 659.16 $ 

6001910 · Electricity $ 28,039.29 28,039.29 $ 28,039.29 $ 

6001915 · Gas $ 9,755.67 9,755.67 $ 9,755.67 $ 

6001920 · Telephones $ 39,666.06 39,666.06 $ 39,666.06 $ 

6001925 · Waste Disposal $ 2,477.78 2,477.78 $ 2,477.78 $ 

6001930 · Water $ 3,867.82 3,867.82 $ 3,867.82 $ 

Total 6001900 · Utilities $ - 84,465.78 $ 84,465.78 $ 84,465.78 $ 

6002000 · Vehicle Expense $ 20,919.07 20,919.07 $ 20,919.07 $ 

6002005 · Web Development Expense $ 6,366.00 6,366.00 $ 6,366.00 $ 

Total Expense $ - 2,116,372.26 $ 2,116,372.26 $ 2,116,372.26 $ 

Net Ordinary Income $ 27,256.97 88,242.68 $ 115,499.66 $ 115,499.66 $ 

Other Income/Expense

Other Income

7000000 · Interest Income $ 70.19 70.19 $ 70.19 $ 

7000050 · Miscellaneous Income $ - - $ - $ 

7000200 · Future Investmnt/Developmnt $ - - $ - $ 

7000205 · Labor R&D $ - - $ - $ 

7000210 · Other Expenses R&D $ - - $ - $ 

Total 7000200 · Future Investmnt/Developmnt $ - - $ - $ 

Total Other Income $ - 70.19 $ 70.19 $ 70.19 $ 

Net Other Income $ 70.19 70.19 $ 70.19 $ 

Net Income $ 27,256.97 88,312.88 $ 115,569.85 $ 115,569.85 $ 

Page 3 of 3
Exhibit CFM - 703

Forecast Income Statement for the Proposed Service: Second Quarter of Operations (August 1, 2013 - October 31, 2013)

A BC D

Basic Forecast Proposed Service Combined Forecast Q1 - 4 Cumulative

Round Trips for the Proposed Service - This Quarter 39

Flight Hours for the Proposed Service - This Quarter 71.8

Ordinary Income/Expense

Income

4001000 · Administration

4001005 · Accounting/Mgmt Svcs $ 15,050.00 15,050.00 $ 30,100.01 $ 

Total 4001000 · Administration $ - 15,050.00 $ 15,050.00 $ 30,100.01 $ 

4002000 · Charter Flight Operations

4002010 · Charter Hourly Rate $ 64,841.40 2,596,598.07 $ 2,661,439.47 $ 5,324,541.54 $ 

4002030 · Crew Per Diem $ 20,537.33 20,537.33 $ 41,074.66 $ 

4002040 · Daily Crew Charge $ 130,266.00 130,266.00 $ 260,532.00 $ 

4002050 · Fuel - Home $ 133,031.81 133,031.81 $ 266,063.63 $ 

4002070 · Fuel Surcharge $ 140,223.36 140,223.36 $ 280,446.72 $ 

4002080 · Hotel $ 18,474.39 18,474.39 $ 36,948.78 $ 

4002090 · Landing Fees $ 121,395.46 121,395.46 $ 242,790.92 $ 

4002100 · Management Fee $ 215,521.43 215,521.43 $ 431,042.86 $ 

4002110 · Other Services $ 27,958.36 27,958.36 $ 55,916.71 $ 

4002120 · Overnight $ 124,866.00 124,866.00 $ 249,732.00 $ 

4002130 · Rental Car $ 16,618.96 16,618.96 $ 33,237.91 $ 

4002140 · Wait Time $ 9,349.20 9,349.20 $ 18,698.40 $ 

Total 4002000 · Charter Flight Operations $ 64,841.40 3,554,840.36 $ 3,619,681.76 $ 7,241,026.13 $ 

4003000 · Fixed Base Operations-FBO

4003010 · Aircraft Cleaning $ 5,684.99 5,684.99 $ 11,369.99 $ 

4003020 · Catering $ 1,147.71 1,147.71 $ 2,295.42 $ 

4003030 · Commissions/Rentals $ 4,636.26 4,636.26 $ 9,272.52 $ 

4003040 · Flight Store $ 1,681.66 1,681.66 $ 3,363.32 $ 

4003050 · Fuel - Avgas $ 346,922.91 346,922.91 $ 693,845.82 $ 

4003070 · Fuel - Jet A $ 745,663.48 745,663.48 $ 1,491,326.95 $ 

4003080 · Fuel Tax Credit $ 32,523.38 32,523.38 $ 65,046.77 $ 

4003090 · Fueling Svcs-Into/flowage $ 135,208.67 135,208.67 $ 270,417.34 $ 

4003100 · Ground Handling $ 39,803.27 39,803.27 $ 79,606.54 $ 

4003110 · Hangar Rent $ 127,083.23 127,083.23 $ 254,166.46 $ 

4003120 · Office Rent $ 19,830.00 19,830.00 $ 39,660.00 $ 

4003130 · Oil Sales $ 2,096.27 2,096.27 $ 4,192.54 $ 

4003140 · Tow/Tie Down $ 10,499.50 10,499.50 $ 20,998.99 $ 

4003145 · Discounts or Adjustments $ (2,930.61) (2,930.61) $ (5,861.22) $ 

Total 4003000 · Fixed Base Operations-FBO $ - 1,469,850.71 $ 1,469,850.71 $ 2,939,701.43 $ 

4006000 · Maintenance

4006010 · Commissions/Warranty $ - - $ - $ 

4006020 · Consumables $ 15,735.04 15,735.04 $ 31,470.07 $ 

4006030 · Equipment Rental $ - - $ - $ 

4006040 · Freight $ 36,947.89 36,947.89 $ 73,895.77 $ 

4006050 · Labor Sales $ 562,350.34 562,350.34 $ 1,124,700.68 $ 

4006060 · Manuals-Revisions-Subscriptions $ - - $ - $ 

4006070 · Other Services/Fees $ 223,148.15 223,148.15 $ 446,296.31 $ 

4006080 · Parts Sales $ 1,305,380.34 1,305,380.34 $ 2,610,760.68 $ 

4006090 · SubContract Sales $ 363,663.67 363,663.67 $ 727,327.33 $ 

4006095 · Discounts or Adjustments $ (40,482.10) (40,482.10) $ (80,964.20) $ 

Total 4006000 · Maintenance $ - 2,466,743.32 $ 2,466,743.32 $ 4,933,486.64 $ 

4007000 · Aircraft Sales and Leasing

4007020 · Aircraft Lease $ 274,876.86 274,876.86 $ 549,753.72 $ 

4007030 · Broker Commission $ 65,661.02 65,661.02 $ 131,322.05 $ 

4007040 · Consulting $ 90.00 90.00 $ 180.00 $ 

4007050 · Sales $ 18,000.00 18,000.00 $ 36,000.00 $ 

Total 4007000 · Aircraft Sales and Leasing $ - 358,627.88 $ 358,627.88 $ 717,255.77 $ 

9999999 · Clearing Account $ - - $ - $ - $ 

Total Income $ 64,841.40 7,865,112.29 $ 7,929,953.69 $ 15,861,569.98 $ 

Cost of Goods Sold

5002000 · Charter Flight Dept.

5002010 · Aircraft Lease- Hourly $ 26,910.00 1,144,207.11 $ 1,171,117.11 $ 2,342,924.22 $ 

5002020 · Aircraft Revenue/Profit Split $ 4,865.37 4,865.37 $ 9,730.74 $ 

5002030 · Aircraft Lease Costs-Broker,mtx $ 11,355.85 185,244.16 $ 196,600.01 $ 393,491.19 $ 

5002040 · Catering $ 16,267.93 16,267.93 $ 32,535.85 $ 

Pages 1 of 3
Exhibit CFM - 703

Forecast Income Statement for the Proposed Service: Second Quarter of Operations (August 1, 2013 - October 31, 2013)

A BC D

Basic Forecast Proposed Service Combined Forecast Q1 - 4 Cumulative

5002050 · Crew Cost - Other $ 7,525.41 7,525.41 $ 15,050.82 $ 

5002060 · Crew Cost - Airline Tickets $ 2,880.23 2,880.23 $ 5,760.47 $ 

5002070 · Crew Cost - Car Rental $ 15,966.74 15,966.74 $ 31,933.48 $ 

5002080 · Crew Cost - Hotel $ 72,599.65 72,599.65 $ 145,199.29 $ 

5002090 · Crew Per Diem $ 40,526.17 40,526.17 $ 81,052.33 $ 

5002095 · Fuel Costs $ 774,422.15 774,422.15 $ 1,548,844.30 $ 

5002100 · Labor-Pilots $ 478,429.30 478,429.30 $ 956,858.59 $ 

5002110 · Labor - Fuel At Home $ 46,864.34 46,864.34 $ 93,728.68 $ 

5002120 · Landing Fees $ 91,751.30 91,751.30 $ 183,502.61 $ 

5002130 · Other Services $ 19,138.82 19,138.82 $ 38,277.64 $ 

Total 5002000 · Charter Flight Dept. $ 38,265.85 2,900,688.66 $ 2,938,954.51 $ 5,878,890.20 $ 

5003000 · FBO- Fixed Base Operations

5003010 · Catering $ 76.11 76.11 $ 152.22 $ 

5003020 · Flight Store $ 1,241.80 1,241.80 $ 2,483.60 $ 

5003030 · Fuel - Adjustments $ (46,266.19) (46,266.19) $ (92,532.38) $ 

5003040 · Fuel - Avgas $ 272,235.99 272,235.99 $ 544,471.98 $ 

5003050 · Fuel - Flowage/Into Fee $ 29,515.57 29,515.57 $ 59,031.13 $ 

5003060 · Fuel - Jet A $ 617,143.96 617,143.96 $ 1,234,287.92 $ 

5003070 · Labor $ 159,128.68 159,128.68 $ 318,257.35 $ 

5003080 · Oil $ 1,931.96 1,931.96 $ 3,863.93 $ 

Total 5003000 · FBO- Fixed Base Operations $ - 1,035,007.88 $ 1,035,007.88 $ 2,070,015.76 $ 

5006000 · Maintenance Dept.

5006010 · Commissions $ (13,666.22) (13,666.22) $ (27,332.45) $ 

5006020 · Consumables $ 16,100.34 16,100.34 $ 32,200.68 $ 

5006040 · Freight $ 59,165.23 59,165.23 $ 118,330.46 $ 

5006050 · Labor $ 526,869.94 526,869.94 $ 1,053,739.87 $ 

5006070 · Other Services $ 225,028.82 225,028.82 $ 450,057.65 $ 

5006080 · Parts $ 213,893.47 213,893.47 $ 427,786.93 $ 

5006090 · SubContract $ 509,541.49 509,541.49 $ 1,019,082.97 $ 

5006100 · Warranty $ (3,360.08) (3,360.08) $ (6,720.17) $ 

Total 5006000 · Maintenance Dept. $ - 1,533,572.98 $ 1,533,572.98 $ 3,067,145.95 $ 

5007000 · Aircraft Sales/Leasing Dept.

5007020 · Aircraft For Sale Insurance $ 3,613.44 3,613.44 $ 7,226.88 $ 

5007030 · Aircraft For Sale Interest Cost $ 7,367.34 7,367.34 $ 14,734.68 $ 

5007040 · Aircraft For Sale Lease Pmts $ 110,072.58 110,072.58 $ 220,145.16 $ 

5007050 · Aircraft Lease Cost $ 21,881.22 21,881.22 $ 43,762.44 $ 

5007060 · Aircraft mtx, fuel misc. $ 33,901.01 33,901.01 $ 67,802.03 $ 

5007080 · Labor-salesmen $ 2,392.24 2,392.24 $ 4,784.47 $ 

Total 5007000 · Aircraft Sales/Leasing Dept. $ - 191,227.83 $ 191,227.83 $ 382,455.66 $ 

$ -

Total COGS $ 38,265.85 5,660,497.34 $ 5,698,763.20 $ 11,398,507.57 $ 

$ -

Gross Profit $ 26,575.55 2,204,614.94 $ 2,231,190.49 $ 4,463,062.41 $ 

Expense

6000000 · Personnel Expenses

6000005 · Administrative/Office $ 242,335.37 242,335.37 $ 484,670.74 $ 

6000015 · Drug Test $ 1,226.85 1,226.85 $ 2,453.70 $ 

6000020 · Maintenance personnel $ 451,426.12 451,426.12 $ 902,852.23 $ 

6000025 · Officers $ 162,733.21 162,733.21 $ 325,466.42 $ 

6000030 · Charter Personnel $ 186,601.81 186,601.81 $ 373,203.61 $ 

6000035 · FBO Personnel $ 51,647.61 51,647.61 $ 103,295.22 $ 

6000040 · Training $ 94,545.44 94,545.44 $ 189,090.89 $ 

6000045 · Uniforms $ 7,381.72 7,381.72 $ 14,763.43 $ 

Total 6000000 · Personnel Expenses $ - 1,197,898.12 $ 1,197,898.12 $ 2,395,796.24 $ 

6000100 · Advertising & Promotions $ 10,094.10 10,094.10 $ 20,188.20 $ 

6000200 · Bad Debts

6000205 · Bad Debt Write off $ 21,795.96 21,795.96 $ 43,591.92 $ 

Total 6000200 · Bad Debts $ - 21,795.96 $ 21,795.96 $ 43,591.92 $ 

6000300 · Building Repairs/Maintenance $ 18,796.17 18,796.17 $ 37,592.34 $ 

6000400 · Contributions/Donations $ 954.62 954.62 $ 1,909.25 $ 

6000500 · Depreciation/Amortization $ 70,540.47 70,540.47 $ 141,080.94 $ 

6000600 · Dues and Subscriptions $ 30,054.79 30,054.79 $ 60,109.57 $ 

6000700 · Equipment Expense

6000705 · Equipment Lease $ 37,769.00 37,769.00 $ 75,538.01 $ 

6000715 · Equipment Repair $ 16,082.03 16,082.03 $ 32,164.07 $ 

Total 6000700 · Equipment Expense $ - 54,791.66 $ 54,791.66 $ 109,583.32 $ 

6000800 · Facilities Rent $ 215,297.72 215,297.72 $ 430,595.44 $ 

6000900 · Fees/Penalties/Fines

6000905 · Bank Fees $ 24,962.91 24,962.91 $ 49,925.82 $ 

Pages 2 of 3
Exhibit CFM - 703

Forecast Income Statement for the Proposed Service: Second Quarter of Operations (August 1, 2013 - October 31, 2013)

A BC D

Basic Forecast Proposed Service Combined Forecast Q1 - 4 Cumulative

6000910 · Credit Card Fees $ 25,652.24 25,652.24 $ 51,304.48 $ 

6000915 · Finance Charge $ 22,269.02 22,269.02 $ 44,538.04 $ 

6000920 · Late Fee $ 6,462.14 6,462.14 $ 12,924.28 $ 

6000925 · Fines $ - - $ - $ 

6000930 · Tax penalties $ 251.53 251.53 $ 503.05 $ 

Total 6000900 · Fees/Penalties/Fines $ - 79,597.83 $ 79,597.83 $ 159,195.66 $ 

6001000 · Insurance Expense

6001005 · Hangar Rash/Insurance Ded. $ 36,509.33 36,509.33 $ 73,018.67 $ 

6001010 · Monthly Insurance Expense $ 108,031.04 108,031.04 $ 216,062.09 $ 

Total 6001000 · Insurance Expense $ - 144,540.38 $ 144,540.38 $ 289,080.76 $ 

6001100 · Interest Expense

6001105 · Bank or Loan Interest $ 42,222.13 42,222.13 $ 84,444.25 $ 

Total 6001100 · Interest Expense $ 42,222.13 42,222.13 $ 84,444.25 $ 

6001200 · License & License Fees $ 618.00 618.00 $ 1,236.00 $ 

6001300 · Postage & Delivery $ 742.82 742.82 $ 1,485.65 $ 

6001400 · Professional Fees $ 39,490.91 39,490.91 $ 78,981.83 $ 

6001500 · Small Equipment $ 998.82 998.82 $ 1,997.64 $ 

6001600 · Supplies

6001605 · Computer $ 4,803.28 4,803.28 $ 9,606.55 $ 

6001610 · Office $ 2,713.33 2,713.33 $ 5,426.66 $ 

6001615 · Printing $ 843.54 843.54 $ 1,687.08 $ 

6001620 · Other $ 17,907.23 17,907.23 $ 35,814.47 $ 

Total 6001600 · Supplies $ - 26,267.38 $ 26,267.38 $ 52,534.76 $ 

6001700 · Taxes

6001710 · Personal Property $ 3,516.95 3,516.95 $ 7,033.90 $ 

6001715 · Personality Tax $ 9,479.58 9,479.58 $ 18,959.16 $ 

6001720 · State Taxes $ 419.65 419.65 $ 839.30 $ 

6001725 · F & E Tax $ 9,720.00 9,720.00 $ 19,440.00 $ 

Total 6001700 · Taxes $ 23,136.18 23,136.18 $ 46,272.36 $ 

6001800 · Travel Expenses

6001805 · Car Rental / Air travel $ 13,042.58 13,042.58 $ 26,085.17 $ 

6001810 · Hotel/Lodging $ 6,938.33 6,938.33 $ 13,876.67 $ 

6001815 · Meals & Entertainment $ 6,802.43 6,802.43 $ 13,604.86 $ 

Total 6001800 · Travel Expenses $ - 26,783.35 $ 26,783.35 $ 53,566.69 $ 

6001900 · Utilities

6001905 · Cable $ 659.16 659.16 $ 1,318.32 $ 

6001910 · Electricity $ 28,039.29 28,039.29 $ 56,078.58 $ 

6001915 · Gas $ 9,755.67 9,755.67 $ 19,511.34 $ 

6001920 · Telephones $ 39,666.06 39,666.06 $ 79,332.12 $ 

6001925 · Waste Disposal $ 2,477.78 2,477.78 $ 4,955.57 $ 

6001930 · Water $ 3,867.82 3,867.82 $ 7,735.63 $ 

Total 6001900 · Utilities $ - 84,465.78 $ 84,465.78 $ 168,931.56 $ 

6002000 · Vehicle Expense $ 20,919.07 20,919.07 $ 41,838.14 $ 

6002005 · Web Development Expense $ 6,366.00 6,366.00 $ 12,732.00 $ 

Total Expense $ - 2,116,372.26 $ 2,116,372.26 $ 4,232,744.52 $ 

Net Ordinary Income $ 26,575.55 88,242.68 $ 114,818.23 $ $ 230,317.89

Other Income/Expense

Other Income

7000000 · Interest Income $ 70.19 70.19 $ 140.39 $ 

7000050 · Miscellaneous Income $ - - $ - $ 

7000200 · Future Investmnt/Developmnt $ - - $ - $ 

7000205 · Labor R&D $ - - $ - $ 

7000210 · Other Expenses R&D $ - - $ - $ 

Total 7000200 · Future Investmnt/Developmnt $ - - $ - $ 

Total Other Income $ - 70.19 $ 70.19 $ 140.39 $ 

$ -

Net Other Income $ 70.19 70.19 $ 140.39 $ 

$ -

Net Income $ 26,575.55 88,312.88 $ 114,888.42 $ 230,458.27 $ 

Pages 3 of 3
Exhibit CFM - 704

Forecast Income Statement for the Proposed Service: Third Quarter of Operations (November 1, 2013 - January 31, 2013)

A BC D

Basic Forecast Proposed Service Combined Forecast Q1 - 4 Cumulative

Round Trips for the Proposed Service - This Quarter 39

Flight Hours for the Proposed Service - This Quarter 71.8

Ordinary Income/Expense

Income

4001000 · Administration

4001005 · Accounting/Mgmt Svcs $ 15,050.00 15,050.00 $ 45,150.01 $ 

Total 4001000 · Administration $ - 15,050.00 $ 15,050.00 $ 45,150.01 $ 

4002000 · Charter Flight Operations

4002010 · Charter Hourly Rate $ 64,841.40 2,596,598.07 $ 2,661,439.47 $ 7,985,981.01 $ 

4002030 · Crew Per Diem $ 20,537.33 20,537.33 $ 61,611.98 $ 

4002040 · Daily Crew Charge $ 130,266.00 130,266.00 $ 390,798.00 $ 

4002050 · Fuel - Home $ 133,031.81 133,031.81 $ 399,095.44 $ 

4002070 · Fuel Surcharge $ 140,223.36 140,223.36 $ 420,670.08 $ 

4002080 · Hotel $ 18,474.39 18,474.39 $ 55,423.17 $ 

4002090 · Landing Fees $ 121,395.46 121,395.46 $ 364,186.39 $ 

4002100 · Management Fee $ 215,521.43 215,521.43 $ 646,564.28 $ 

4002110 · Other Services $ 27,958.36 27,958.36 $ 83,875.07 $ 

4002120 · Overnight $ 124,866.00 124,866.00 $ 374,598.00 $ 

4002130 · Rental Car $ 16,618.96 16,618.96 $ 49,856.87 $ 

4002140 · Wait Time $ 9,349.20 9,349.20 $ 28,047.60 $ 

Total 4002000 · Charter Flight Operations $ 64,841.40 3,554,840.36 $ 3,619,681.76 $ 10,860,707.89 $ 

4003000 · Fixed Base Operations-FBO

4003010 · Aircraft Cleaning $ 5,684.99 5,684.99 $ 17,054.98 $ 

4003020 · Catering $ 1,147.71 1,147.71 $ 3,443.13 $ 

4003030 · Commissions/Rentals $ 4,636.26 4,636.26 $ 13,908.78 $ 

4003040 · Flight Store $ 1,681.66 1,681.66 $ 5,044.99 $ 

4003050 · Fuel - Avgas $ 346,922.91 346,922.91 $ 1,040,768.73 $ 

4003070 · Fuel - Jet A $ 745,663.48 745,663.48 $ 2,236,990.43 $ 

4003080 · Fuel Tax Credit $ 32,523.38 32,523.38 $ 97,570.15 $ 

4003090 · Fueling Svcs-Into/flowage $ 135,208.67 135,208.67 $ 405,626.00 $ 

4003100 · Ground Handling $ 39,803.27 39,803.27 $ 119,409.80 $ 

4003110 · Hangar Rent $ 127,083.23 127,083.23 $ 381,249.68 $ 

4003120 · Office Rent $ 19,830.00 19,830.00 $ 59,490.00 $ 

4003130 · Oil Sales $ 2,096.27 2,096.27 $ 6,288.80 $ 

4003140 · Tow/Tie Down $ 10,499.50 10,499.50 $ 31,498.49 $ 

4003145 · Discounts or Adjustments $ (2,930.61) (2,930.61) $ (8,791.83) $ 

Total 4003000 · Fixed Base Operations-FBO $ - 1,469,850.71 $ 1,469,850.71 $ 4,409,552.14 $ 

4006000 · Maintenance

4006010 · Commissions/Warranty $ - - $ - $ 

4006020 · Consumables $ 15,735.04 15,735.04 $ 47,205.11 $ 

4006030 · Equipment Rental $ - - $ - $ 

4006040 · Freight $ 36,947.89 36,947.89 $ 110,843.66 $ 

4006050 · Labor Sales $ 562,350.34 562,350.34 $ 1,687,051.03 $ 

4006060 · Manuals-Revisions-Subscriptions $ - - $ - $ 

4006070 · Other Services/Fees $ 223,148.15 223,148.15 $ 669,444.46 $ 

4006080 · Parts Sales $ 1,305,380.34 1,305,380.34 $ 3,916,141.02 $ 

4006090 · SubContract Sales $ 363,663.67 363,663.67 $ 1,090,991.00 $ 

4006095 · Discounts or Adjustments $ (40,482.10) (40,482.10) $ (121,446.31) $ 

Total 4006000 · Maintenance $ - 2,466,743.32 $ 2,466,743.32 $ 7,400,229.97 $ 

4007000 · Aircraft Sales and Leasing

4007020 · Aircraft Lease $ 274,876.86 274,876.86 $ 824,630.58 $ 

4007030 · Broker Commission $ 65,661.02 65,661.02 $ 196,983.07 $ 

4007040 · Consulting $ 90.00 90.00 $ 270.00 $ 

4007050 · Sales $ 18,000.00 18,000.00 $ 54,000.00 $ 

Total 4007000 · Aircraft Sales and Leasing $ - 358,627.88 $ 358,627.88 $ 1,075,883.65 $ 

9999999 · Clearing Account $ - - $ - $ - $ 

Total Income $ 64,841.40 7,865,112.29 $ 7,929,953.69 $ 23,791,523.66 $ 

Cost of Goods Sold

5002000 · Charter Flight Dept.

5002010 · Aircraft Lease- Hourly $ 26,910.00 1,144,207.11 $ 1,171,117.11 $ 3,514,041.33 $ 

5002020 · Aircraft Revenue/Profit Split $ 4,865.37 4,865.37 $ 14,596.11 $ 

5002030 · Aircraft Lease Costs-Broker,mtx $ 11,355.85 185,244.16 $ 196,600.01 $ 590,091.20 $ 

5002040 · Catering $ 16,267.93 16,267.93 $ 48,803.78 $ 

Page 1 of 3
Exhibit CFM - 704

Forecast Income Statement for the Proposed Service: Third Quarter of Operations (November 1, 2013 - January 31, 2013)

A BC D

Basic Forecast Proposed Service Combined Forecast Q1 - 4 Cumulative

5002050 · Crew Cost - Other $ 7,525.41 7,525.41 $ 22,576.23 $ 

5002060 · Crew Cost - Airline Tickets $ 2,880.23 2,880.23 $ 8,640.70 $ 

5002070 · Crew Cost - Car Rental $ 15,966.74 15,966.74 $ 47,900.21 $ 

5002080 · Crew Cost - Hotel $ 72,599.65 72,599.65 $ 217,798.94 $ 

5002090 · Crew Per Diem $ 40,526.17 40,526.17 $ 121,578.50 $ 

5002095 · Fuel Costs $ 774,422.15 774,422.15 $ 2,323,266.44 $ 

5002100 · Labor-Pilots $ 478,429.30 478,429.30 $ 1,435,287.89 $ 

5002110 · Labor - Fuel At Home $ 46,864.34 46,864.34 $ 140,593.01 $ 

5002120 · Landing Fees $ 91,751.30 91,751.30 $ 275,253.91 $ 

5002130 · Other Services $ 19,138.82 19,138.82 $ 57,416.45 $ 

Total 5002000 · Charter Flight Dept. $ 38,265.85 2,900,688.66 $ 2,938,954.51 $ 8,817,844.72 $ 

5003000 · FBO- Fixed Base Operations

5003010 · Catering $ 76.11 76.11 $ 228.33 $ 

5003020 · Flight Store $ 1,241.80 1,241.80 $ 3,725.41 $ 

5003030 · Fuel - Adjustments $ (46,266.19) (46,266.19) $ (138,798.58) $ 

5003040 · Fuel - Avgas $ 272,235.99 272,235.99 $ 816,707.97 $ 

5003050 · Fuel - Flowage/Into Fee $ 29,515.57 29,515.57 $ 88,546.70 $ 

5003060 · Fuel - Jet A $ 617,143.96 617,143.96 $ 1,851,431.89 $ 

5003070 · Labor $ 159,128.68 159,128.68 $ 477,386.03 $ 

5003080 · Oil $ 1,931.96 1,931.96 $ 5,795.89 $ 

Total 5003000 · FBO- Fixed Base Operations $ - 1,035,007.88 $ 1,035,007.88 $ 3,105,023.63 $ 

5006000 · Maintenance Dept.

5006010 · Commissions $ (13,666.22) (13,666.22) $ (40,998.67) $ 

5006020 · Consumables $ 16,100.34 16,100.34 $ 48,301.02 $ 

5006040 · Freight $ 59,165.23 59,165.23 $ 177,495.70 $ 

5006050 · Labor $ 526,869.94 526,869.94 $ 1,580,609.81 $ 

5006070 · Other Services $ 225,028.82 225,028.82 $ 675,086.47 $ 

5006080 · Parts $ 213,893.47 213,893.47 $ 641,680.40 $ 

5006090 · SubContract $ 509,541.49 509,541.49 $ 1,528,624.46 $ 

5006100 · Warranty $ (3,360.08) (3,360.08) $ (10,080.25) $ 

Total 5006000 · Maintenance Dept. $ - 1,533,572.98 $ 1,533,572.98 $ 4,600,718.93 $ 

5007000 · Aircraft Sales/Leasing Dept.

5007020 · Aircraft For Sale Insurance $ 3,613.44 3,613.44 $ 10,840.32 $ 

5007030 · Aircraft For Sale Interest Cost $ 7,367.34 7,367.34 $ 22,102.02 $ 

5007040 · Aircraft For Sale Lease Pmts $ 110,072.58 110,072.58 $ 330,217.74 $ 

5007050 · Aircraft Lease Cost $ 21,881.22 21,881.22 $ 65,643.66 $ 

5007060 · Aircraft mtx, fuel misc. $ 33,901.01 33,901.01 $ 101,703.04 $ 

5007080 · Labor-salesmen $ 2,392.24 2,392.24 $ 7,176.71 $ 

Total 5007000 · Aircraft Sales/Leasing Dept. $ - 191,227.83 $ 191,227.83 $ 573,683.49 $ 

$ -

Total COGS $ 38,265.85 5,660,497.34 $ 5,698,763.20 $ 17,097,270.77 $ 

$ -

Gross Profit $ 26,575.55 2,204,614.94 $ 2,231,190.49 $ 6,694,252.90 $ 

Expense

6000000 · Personnel Expenses

6000005 · Administrative/Office $ 242,335.37 242,335.37 $ 727,006.10 $ 

6000015 · Drug Test $ 1,226.85 1,226.85 $ 3,680.55 $ 

6000020 · Maintenance personnel $ 451,426.12 451,426.12 $ 1,354,278.35 $ 

6000025 · Officers $ 162,733.21 162,733.21 $ 488,199.64 $ 

6000030 · Charter Personnel $ 186,601.81 186,601.81 $ 559,805.42 $ 

6000035 · FBO Personnel $ 51,647.61 51,647.61 $ 154,942.83 $ 

6000040 · Training $ 94,545.44 94,545.44 $ 283,636.33 $ 

6000045 · Uniforms $ 7,381.72 7,381.72 $ 22,145.15 $ 

Total 6000000 · Personnel Expenses $ - 1,197,898.12 $ 1,197,898.12 $ 3,593,694.37 $ 

6000100 · Advertising & Promotions $ 10,094.10 10,094.10 $ 30,282.30 $ 

6000200 · Bad Debts

6000205 · Bad Debt Write off $ 21,795.96 21,795.96 $ 65,387.88 $ 

Total 6000200 · Bad Debts $ - 21,795.96 $ 21,795.96 $ 65,387.88 $ 

6000300 · Building Repairs/Maintenance $ 18,796.17 18,796.17 $ 56,388.51 $ 

6000400 · Contributions/Donations $ 954.62 954.62 $ 2,863.87 $ 

6000500 · Depreciation/Amortization $ 70,540.47 70,540.47 $ 211,621.41 $ 

6000600 · Dues and Subscriptions $ 30,054.79 30,054.79 $ 90,164.36 $ 

6000700 · Equipment Expense

6000705 · Equipment Lease $ 37,769.00 37,769.00 $ 113,307.01 $ 

6000715 · Equipment Repair $ 16,082.03 16,082.03 $ 48,246.10 $ 

Total 6000700 · Equipment Expense $ - 54,791.66 $ 54,791.66 $ 164,374.97 $ 

6000800 · Facilities Rent $ 215,297.72 215,297.72 $ 645,893.15 $ 

6000900 · Fees/Penalties/Fines

6000905 · Bank Fees $ 24,962.91 24,962.91 $ 74,888.73 $ 

Page 2 of 3
Exhibit CFM - 704

Forecast Income Statement for the Proposed Service: Third Quarter of Operations (November 1, 2013 - January 31, 2013)

A BC D

Basic Forecast Proposed Service Combined Forecast Q1 - 4 Cumulative

6000910 · Credit Card Fees $ 25,652.24 25,652.24 $ 76,956.71 $ 

6000915 · Finance Charge $ 22,269.02 22,269.02 $ 66,807.05 $ 

6000920 · Late Fee $ 6,462.14 6,462.14 $ 19,386.41 $ 

6000925 · Fines $ - - $ - $ 

6000930 · Tax penalties $ 251.53 251.53 $ 754.58 $ 

Total 6000900 · Fees/Penalties/Fines $ - 79,597.83 $ 79,597.83 $ 238,793.49 $ 

6001000 · Insurance Expense

6001005 · Hangar Rash/Insurance Ded. $ 36,509.33 36,509.33 $ 109,528.00 $ 

6001010 · Monthly Insurance Expense $ 108,031.04 108,031.04 $ 324,093.13 $ 

Total 6001000 · Insurance Expense $ - 144,540.38 $ 144,540.38 $ 433,621.13 $ 

6001100 · Interest Expense

6001105 · Bank or Loan Interest $ 42,222.13 42,222.13 $ 126,666.38 $ 

Total 6001100 · Interest Expense $ 42,222.13 42,222.13 $ 126,666.38 $ 

6001200 · License & License Fees $ 618.00 618.00 $ 1,854.00 $ 

6001300 · Postage & Delivery $ 742.82 742.82 $ 2,228.47 $ 

6001400 · Professional Fees $ 39,490.91 39,490.91 $ 118,472.74 $ 

6001500 · Small Equipment $ 998.82 998.82 $ 2,996.46 $ 

6001600 · Supplies

6001605 · Computer $ 4,803.28 4,803.28 $ 14,409.83 $ 

6001610 · Office $ 2,713.33 2,713.33 $ 8,140.00 $ 

6001615 · Printing $ 843.54 843.54 $ 2,530.62 $ 

6001620 · Other $ 17,907.23 17,907.23 $ 53,721.70 $ 

Total 6001600 · Supplies $ - 26,267.38 $ 26,267.38 $ 78,802.15 $ 

6001700 · Taxes

6001710 · Personal Property $ 3,516.95 3,516.95 $ 10,550.84 $ 

6001715 · Personality Tax $ 9,479.58 9,479.58 $ 28,438.74 $ 

6001720 · State Taxes $ 419.65 419.65 $ 1,258.96 $ 

6001725 · F & E Tax $ 9,720.00 9,720.00 $ 29,160.00 $ 

Total 6001700 · Taxes $ 23,136.18 23,136.18 $ 69,408.54 $ 

6001800 · Travel Expenses

6001805 · Car Rental / Air travel $ 13,042.58 13,042.58 $ 39,127.75 $ 

6001810 · Hotel/Lodging $ 6,938.33 6,938.33 $ 20,815.00 $ 

6001815 · Meals & Entertainment $ 6,802.43 6,802.43 $ 20,407.28 $ 

Total 6001800 · Travel Expenses $ - 26,783.35 $ 26,783.35 $ 80,350.04 $ 

6001900 · Utilities

6001905 · Cable $ 659.16 659.16 $ 1,977.48 $ 

6001910 · Electricity $ 28,039.29 28,039.29 $ 84,117.87 $ 

6001915 · Gas $ 9,755.67 9,755.67 $ 29,267.01 $ 

6001920 · Telephones $ 39,666.06 39,666.06 $ 118,998.18 $ 

6001925 · Waste Disposal $ 2,477.78 2,477.78 $ 7,433.35 $ 

6001930 · Water $ 3,867.82 3,867.82 $ 11,603.45 $ 

Total 6001900 · Utilities $ - 84,465.78 $ 84,465.78 $ 253,397.34 $ 

6002000 · Vehicle Expense $ 20,919.07 20,919.07 $ 62,757.22 $ 

6002005 · Web Development Expense $ 6,366.00 6,366.00 $ 19,098.00 $ 

Total Expense $ - 2,116,372.26 $ 2,116,372.26 $ 6,349,116.78 $ 

Net Ordinary Income $ 26,575.55 88,242.68 $ 114,818.23 $ $ 345,136.12

Other Income/Expense

Other Income

7000000 · Interest Income $ 70.19 70.19 $ 210.58 $ 

7000050 · Miscellaneous Income $ - - $ - $ 

7000200 · Future Investmnt/Developmnt $ - - $ - $ 

7000205 · Labor R&D $ - - $ - $ 

7000210 · Other Expenses R&D $ - - $ - $ 

Total 7000200 · Future Investmnt/Developmnt $ - - $ - $ 

Total Other Income $ - 70.19 $ 70.19 $ 210.58 $ 

$ -

Net Other Income $ 70.19 70.19 $ 210.58 $ 

$ -

Net Income $ 26,575.55 88,312.88 $ 114,888.42 $ 345,346.70 $ 

Page 3 of 3
Exhibit CFM - 705

Forecast Income Statement for the Proposed Service: Fourth Quarter of Operations (Feburary 1, 2014 - April 30, 2014)

A BC D

Basic Forecast Proposed Service Combined Forecast Q1 - 4 Cumulative

Round Trips for the Proposed Service - This Quarter 39

Flight Hours for the Proposed Service - This Quarter 71.8

Ordinary Income/Expense

Income

4001000 · Administration

4001005 · Accounting/Mgmt Svcs $ 15,050.00 15,050.00 $ 60,200.02 $ 

Total 4001000 · Administration $ - 15,050.00 $ 15,050.00 $ 60,200.02 $ 

4002000 · Charter Flight Operations

4002010 · Charter Hourly Rate $ 64,841.40 2,596,598.07 $ 2,661,439.47 $ 10,647,420.48 $ 

4002030 · Crew Per Diem $ 20,537.33 20,537.33 $ 82,149.31 $ 

4002040 · Daily Crew Charge $ 130,266.00 130,266.00 $ 521,064.00 $ 

4002050 · Fuel - Home $ 133,031.81 133,031.81 $ 532,127.26 $ 

4002070 · Fuel Surcharge $ 140,223.36 140,223.36 $ 560,893.44 $ 

4002080 · Hotel $ 18,474.39 18,474.39 $ 73,897.56 $ 

4002090 · Landing Fees $ 121,395.46 121,395.46 $ 485,581.85 $ 

4002100 · Management Fee $ 215,521.43 215,521.43 $ 862,085.71 $ 

4002110 · Other Services $ 27,958.36 27,958.36 $ 111,833.42 $ 

4002120 · Overnight $ 124,866.00 124,866.00 $ 499,464.00 $ 

4002130 · Rental Car $ 16,618.96 16,618.96 $ 66,475.82 $ 

4002140 · Wait Time $ 9,349.20 9,349.20 $ 37,396.80 $ 

Total 4002000 · Charter Flight Operations $ 64,841.40 3,554,840.36 $ 3,619,681.76 $ 14,480,389.66 $ 

4003000 · Fixed Base Operations-FBO

4003010 · Aircraft Cleaning $ 5,684.99 5,684.99 $ 22,739.98 $ 

4003020 · Catering $ 1,147.71 1,147.71 $ 4,590.84 $ 

4003030 · Commissions/Rentals $ 4,636.26 4,636.26 $ 18,545.04 $ 

4003040 · Flight Store $ 1,681.66 1,681.66 $ 6,726.65 $ 

4003050 · Fuel - Avgas $ 346,922.91 346,922.91 $ 1,387,691.64 $ 

4003070 · Fuel - Jet A $ 745,663.48 745,663.48 $ 2,982,653.90 $ 

4003080 · Fuel Tax Credit $ 32,523.38 32,523.38 $ 130,093.54 $ 

4003090 · Fueling Svcs-Into/flowage $ 135,208.67 135,208.67 $ 540,834.67 $ 

4003100 · Ground Handling $ 39,803.27 39,803.27 $ 159,213.07 $ 

4003110 · Hangar Rent $ 127,083.23 127,083.23 $ 508,332.91 $ 

4003120 · Office Rent $ 19,830.00 19,830.00 $ 79,320.00 $ 

4003130 · Oil Sales $ 2,096.27 2,096.27 $ 8,385.07 $ 

4003140 · Tow/Tie Down $ 10,499.50 10,499.50 $ 41,997.98 $ 

4003145 · Discounts or Adjustments $ (2,930.61) (2,930.61) $ (11,722.44) $ 

Total 4003000 · Fixed Base Operations-FBO $ - 1,469,850.71 $ 1,469,850.71 $ 5,879,402.86 $ 

4006000 · Maintenance

4006010 · Commissions/Warranty $ - - $ - $ 

4006020 · Consumables $ 15,735.04 15,735.04 $ 62,940.14 $ 

4006030 · Equipment Rental $ - - $ - $ 

4006040 · Freight $ 36,947.89 36,947.89 $ 147,791.54 $ 

4006050 · Labor Sales $ 562,350.34 562,350.34 $ 2,249,401.37 $ 

4006060 · Manuals-Revisions-Subscriptions $ - - $ - $ 

4006070 · Other Services/Fees $ 223,148.15 223,148.15 $ 892,592.62 $ 

4006080 · Parts Sales $ 1,305,380.34 1,305,380.34 $ 5,221,521.36 $ 

4006090 · SubContract Sales $ 363,663.67 363,663.67 $ 1,454,654.66 $ 

4006095 · Discounts or Adjustments $ (40,482.10) (40,482.10) $ (161,928.41) $ 

Total 4006000 · Maintenance $ - 2,466,743.32 $ 2,466,743.32 $ 9,866,973.29 $ 

4007000 · Aircraft Sales and Leasing

4007020 · Aircraft Lease $ 274,876.86 274,876.86 $ 1,099,507.44 $ 

4007030 · Broker Commission $ 65,661.02 65,661.02 $ 262,644.10 $ 

4007040 · Consulting $ 90.00 90.00 $ 360.00 $ 

4007050 · Sales $ 18,000.00 18,000.00 $ 72,000.00 $ 

Total 4007000 · Aircraft Sales and Leasing $ - 358,627.88 $ 358,627.88 $ 1,434,511.54 $ 

9999999 · Clearing Account $ - - $ - $ - $ 

Total Income $ 64,841.40 7,865,112.29 $ 7,929,953.69 $ 31,721,477.35 $ 

Page 1 of 3
Exhibit CFM - 705

Forecast Income Statement for the Proposed Service: Fourth Quarter of Operations (Feburary 1, 2014 - April 30, 2014)

A BC D

Basic Forecast Proposed Service Combined Forecast Q1 - 4 Cumulative

Cost of Goods Sold

5002000 · Charter Flight Dept.

5002010 · Aircraft Lease- Hourly $ 26,910.00 1,144,207.11 $ 1,171,117.11 $ 4,685,158.44 $ 

5002020 · Aircraft Revenue/Profit Split $ 4,865.37 4,865.37 $ 19,461.48 $ 

5002030 · Aircraft Lease Costs-Broker,mtx $ 11,355.85 185,244.16 $ 196,600.01 $ 786,691.21 $ 

5002040 · Catering $ 16,267.93 16,267.93 $ 65,071.70 $ 

5002050 · Crew Cost - Other $ 7,525.41 7,525.41 $ 30,101.64 $ 

5002060 · Crew Cost - Airline Tickets $ 2,880.23 2,880.23 $ 11,520.94 $ 

5002070 · Crew Cost - Car Rental $ 15,966.74 15,966.74 $ 63,866.95 $ 

5002080 · Crew Cost - Hotel $ 72,599.65 72,599.65 $ 290,398.58 $ 

5002090 · Crew Per Diem $ 40,526.17 40,526.17 $ 162,104.66 $ 

5002095 · Fuel Costs $ 774,422.15 774,422.15 $ 3,097,688.59 $ 

5002100 · Labor-Pilots $ 478,429.30 478,429.30 $ 1,913,717.18 $ 

5002110 · Labor - Fuel At Home $ 46,864.34 46,864.34 $ 187,457.35 $ 

5002120 · Landing Fees $ 91,751.30 91,751.30 $ 367,005.22 $ 

5002130 · Other Services $ 19,138.82 19,138.82 $ 76,555.27 $ 

Total 5002000 · Charter Flight Dept. $ 38,265.85 2,900,688.66 $ 2,938,954.51 $ 11,756,799.23 $ 

5003000 · FBO- Fixed Base Operations

5003010 · Catering $ 76.11 76.11 $ 304.44 $ 

5003020 · Flight Store $ 1,241.80 1,241.80 $ 4,967.21 $ 

5003030 · Fuel - Adjustments $ (46,266.19) (46,266.19) $ (185,064.77) $ 

5003040 · Fuel - Avgas $ 272,235.99 272,235.99 $ 1,088,943.96 $ 

5003050 · Fuel - Flowage/Into Fee $ 29,515.57 29,515.57 $ 118,062.26 $ 

5003060 · Fuel - Jet A $ 617,143.96 617,143.96 $ 2,468,575.85 $ 

5003070 · Labor $ 159,128.68 159,128.68 $ 636,514.70 $ 

5003080 · Oil $ 1,931.96 1,931.96 $ 7,727.86 $ 

Total 5003000 · FBO- Fixed Base Operations $ - 1,035,007.88 $ 1,035,007.88 $ 4,140,031.51 $ 

5006000 · Maintenance Dept.

5006010 · Commissions $ (13,666.22) (13,666.22) $ (54,664.90) $ 

5006020 · Consumables $ 16,100.34 16,100.34 $ 64,401.36 $ 

5006040 · Freight $ 59,165.23 59,165.23 $ 236,660.93 $ 

5006050 · Labor $ 526,869.94 526,869.94 $ 2,107,479.74 $ 

5006070 · Other Services $ 225,028.82 225,028.82 $ 900,115.30 $ 

5006080 · Parts $ 213,893.47 213,893.47 $ 855,573.86 $ 

5006090 · SubContract $ 509,541.49 509,541.49 $ 2,038,165.94 $ 

5006100 · Warranty $ (3,360.08) (3,360.08) $ (13,440.34) $ 

Total 5006000 · Maintenance Dept. $ - 1,533,572.98 $ 1,533,572.98 $ 6,134,291.90 $ 

5007000 · Aircraft Sales/Leasing Dept.

5007020 · Aircraft For Sale Insurance $ 3,613.44 3,613.44 $ 14,453.76 $ 

5007030 · Aircraft For Sale Interest Cost $ 7,367.34 7,367.34 $ 29,469.36 $ 

5007040 · Aircraft For Sale Lease Pmts $ 110,072.58 110,072.58 $ 440,290.32 $ 

5007050 · Aircraft Lease Cost $ 21,881.22 21,881.22 $ 87,524.88 $ 

5007060 · Aircraft mtx, fuel misc. $ 33,901.01 33,901.01 $ 135,604.06 $ 

5007080 · Labor-salesmen $ 2,392.24 2,392.24 $ 9,568.94 $ 

Total 5007000 · Aircraft Sales/Leasing Dept. $ - 191,227.83 $ 191,227.83 $ 764,911.32 $ 

$ -

Total COGS $ 38,265.85 5,660,497.34 $ 5,698,763.20 $ 22,796,033.96 $ 

$ -

Gross Profit $ 26,575.55 2,204,614.94 $ 2,231,190.49 $ 8,925,443.39 $ 

Expense

6000000 · Personnel Expenses

6000005 · Administrative/Office $ 242,335.37 242,335.37 $ 969,341.47 $ 

6000015 · Drug Test $ 1,226.85 1,226.85 $ 4,907.40 $ 

6000020 · Maintenance personnel $ 451,426.12 451,426.12 $ 1,805,704.46 $ 

6000025 · Officers $ 162,733.21 162,733.21 $ 650,932.85 $ 

6000030 · Charter Personnel $ 186,601.81 186,601.81 $ 746,407.22 $ 

6000035 · FBO Personnel $ 51,647.61 51,647.61 $ 206,590.44 $ 

6000040 · Training $ 94,545.44 94,545.44 $ 378,181.78 $ 

6000045 · Uniforms $ 7,381.72 7,381.72 $ 29,526.86 $ 

Total 6000000 · Personnel Expenses $ - 1,197,898.12 $ 1,197,898.12 $ 4,791,592.49 $ 

6000100 · Advertising & Promotions $ 10,094.10 10,094.10 $ 40,376.40 $ 

6000200 · Bad Debts

6000205 · Bad Debt Write off $ 21,795.96 21,795.96 $ 87,183.84 $ 

Total 6000200 · Bad Debts $ - 21,795.96 $ 21,795.96 $ 87,183.84 $ 

6000300 · Building Repairs/Maintenance $ 18,796.17 18,796.17 $ 75,184.68 $ 

6000400 · Contributions/Donations $ 954.62 954.62 $ 3,818.50 $ 

6000500 · Depreciation/Amortization $ 70,540.47 70,540.47 $ 282,161.88 $ 

Page 2 of 3
Exhibit CFM - 705

Forecast Income Statement for the Proposed Service: Fourth Quarter of Operations (Feburary 1, 2014 - April 30, 2014)

A BC D

Basic Forecast Proposed Service Combined Forecast Q1 - 4 Cumulative

6000600 · Dues and Subscriptions $ 30,054.79 30,054.79 $ 120,219.14 $ 

6000700 · Equipment Expense

6000705 · Equipment Lease $ 37,769.00 37,769.00 $ 151,076.02 $ 

6000715 · Equipment Repair $ 16,082.03 16,082.03 $ 64,328.14 $ 

Total 6000700 · Equipment Expense $ - 54,791.66 $ 54,791.66 $ 219,166.63 $ 

6000800 · Facilities Rent $ 215,297.72 215,297.72 $ 861,190.87 $ 

6000900 · Fees/Penalties/Fines

6000905 · Bank Fees $ 24,962.91 24,962.91 $ 99,851.64 $ 

6000910 · Credit Card Fees $ 25,652.24 25,652.24 $ 102,608.95 $ 

6000915 · Finance Charge $ 22,269.02 22,269.02 $ 89,076.07 $ 

6000920 · Late Fee $ 6,462.14 6,462.14 $ 25,848.55 $ 

6000925 · Fines $ - - $ - $ 

6000930 · Tax penalties $ 251.53 251.53 $ 1,006.10 $ 

Total 6000900 · Fees/Penalties/Fines $ - 79,597.83 $ 79,597.83 $ 318,391.32 $ 

6001000 · Insurance Expense

6001005 · Hangar Rash/Insurance Ded. $ 36,509.33 36,509.33 $ 146,037.34 $ 

6001010 · Monthly Insurance Expense $ 108,031.04 108,031.04 $ 432,124.18 $ 

Total 6001000 · Insurance Expense $ - 144,540.38 $ 144,540.38 $ 578,161.51 $ 

6001100 · Interest Expense

6001105 · Bank or Loan Interest $ 42,222.13 42,222.13 $ 168,888.50 $ 

Total 6001100 · Interest Expense $ 42,222.13 42,222.13 $ 168,888.50 $ 

6001200 · License & License Fees $ 618.00 618.00 $ 2,472.00 $ 

6001300 · Postage & Delivery $ 742.82 742.82 $ 2,971.30 $ 

6001400 · Professional Fees $ 39,490.91 39,490.91 $ 157,963.66 $ 

6001500 · Small Equipment $ 998.82 998.82 $ 3,995.28 $ 

6001600 · Supplies

6001605 · Computer $ 4,803.28 4,803.28 $ 19,213.10 $ 

6001610 · Office $ 2,713.33 2,713.33 $ 10,853.33 $ 

6001615 · Printing $ 843.54 843.54 $ 3,374.16 $ 

6001620 · Other $ 17,907.23 17,907.23 $ 71,628.94 $ 

Total 6001600 · Supplies $ - 26,267.38 $ 26,267.38 $ 105,069.53 $ 

6001700 · Taxes

6001710 · Personal Property $ 3,516.95 3,516.95 $ 14,067.79 $ 

6001715 · Personality Tax $ 9,479.58 9,479.58 $ 37,918.32 $ 

6001720 · State Taxes $ 419.65 419.65 $ 1,678.61 $ 

6001725 · F & E Tax $ 9,720.00 9,720.00 $ 38,880.00 $ 

Total 6001700 · Taxes $ 23,136.18 23,136.18 $ 92,544.72 $ 

6001800 · Travel Expenses

6001805 · Car Rental / Air travel $ 13,042.58 13,042.58 $ 52,170.34 $ 

6001810 · Hotel/Lodging $ 6,938.33 6,938.33 $ 27,753.34 $ 

6001815 · Meals & Entertainment $ 6,802.43 6,802.43 $ 27,209.71 $ 

Total 6001800 · Travel Expenses $ - 26,783.35 $ 26,783.35 $ 107,133.38 $ 

6001900 · Utilities

6001905 · Cable $ 659.16 659.16 $ 2,636.64 $ 

6001910 · Electricity $ 28,039.29 28,039.29 $ 112,157.16 $ 

6001915 · Gas $ 9,755.67 9,755.67 $ 39,022.68 $ 

6001920 · Telephones $ 39,666.06 39,666.06 $ 158,664.24 $ 

6001925 · Waste Disposal $ 2,477.78 2,477.78 $ 9,911.14 $ 

6001930 · Water $ 3,867.82 3,867.82 $ 15,471.26 $ 

Total 6001900 · Utilities $ - 84,465.78 $ 84,465.78 $ 337,863.12 $ 

6002000 · Vehicle Expense $ 20,919.07 20,919.07 $ 83,676.29 $ 

6002005 · Web Development Expense $ 6,366.00 6,366.00 $ 25,464.00 $ 

Total Expense $ - 2,116,372.26 $ 2,116,372.26 $ 8,465,489.04 $ 

Net Ordinary Income $ 26,575.55 88,242.68 $ 114,818.23 $ $ 459,954.35

Other Income/Expense

Other Income

7000000 · Interest Income $ 70.19 70.19 $ 280.78 $ 

7000050 · Miscellaneous Income $ - - $ - $ 

7000200 · Future Investmnt/Developmnt $ - - $ - $ 

7000205 · Labor R&D $ - - $ - $ 

7000210 · Other Expenses R&D $ - - $ - $ 

Total 7000200 · Future Investmnt/Developmnt $ - - $ - $ 

Total Other Income $ - 70.19 $ 70.19 $ 280.78 $ 

$ -

Net Other Income $ 70.19 70.19 $ 280.78 $ 

$ -

Net Income $ 26,575.55 88,312.88 $ 114,888.42 $ 460,235.12 $ 

Page 3 of 3
Exhibit CFM - 706

Forecast Balance Sheet for the Proposed Service: April 30, 2014

30-Apr-14

ASSETS

Current Assets

Checking/Savings

1000000 · Bank Accounts

1000210 · Pinnacle

1000204 · Pinnacle Operating-2526 (21,532.60) $ 

1000205 · Pinnacle -JWN ZBA-2598 23,079.60 $ 

1000206 · Pinnacle -MQY ZBA-2566 21,775.44 $ 

1000207 · Pinnacle-Special Escrow-2534 572.41 $ 

1000208 · Pinnacle- Payroll-4422 27,322.71 $ 

Total 1000210 · Pinnacle $ 51,217.56

1000211 · Regions $ -

1000101 · Regions Operating-7653 19,857.56 $ 

1000103 · Regions Special Escrow-0801 (2.65) $ 

Total 1000211 · Regions $ 19,854.91

1000212 · Other

1000320 · Cap Star - 61720 17.07 $ 

1000340 · Fifth Third merchant-7360851211 28,011.81 $ 

100350 · Beacon- 1866678 145.00 $ 

Total 1000212 · Other $ 28,173.88

Total 1000000 · Bank Accounts $ 99,246.35

1010000 · Cash/ Restricted

1010005 · Petty Cash - MQY $ 700.00

1010010 · Petty Cash - JWN $ 200.00

1010015 · Restricted Deposits 263,838.51 $ 

Total 1010000 · Cash/ Restricted $ 264,738.51

Total Checking/Savings $ 363,984.86

Accounts Receivable

1200000 · Accounts Receivable $ 2,734,887.80

Total Accounts Receivable $ 2,734,887.80

Other Current Assets

1210000 · Other Accounts Receivable

1210050 · Officer Receivable A. Howell 86,016.01 $ 

1210075 · Officer Receivable - D Augustin 188,544.91 $ 

1210076 · Social Flights Receivable 164,794.85 $ 

1210077 · MAS Receivable 225,753.72 $ 

1210078 · Jet Finance Receivable 107,013.58 $ 

Total 1210000 · Other Accounts Receivable $ 772,123.07

1220000 · Receivables - Affiliates

1220005 · CFM Airport Development Co, LLC 192,077.31 $ 

1220010 · CFM Holdings, Inc. 650,487.61 $ 

1220015 · Jetstream Air, LLC 1,318,650.01 $ 

1220020 · JetStream Sales, LLC 1,987.10 $ 

1220055 · CFM-HL Joint Venture 125,699.72 $ 

Total 1220000 · Receivables - Affiliates $ 2,288,901.75

1250000 · Notes Receivable

1250020 · Note Receivable-D.Augustin 12,510.35 $ 

1250030 · Note Receivable-C.Howell - $ 

Total 1250000 · Notes Receivable $ 12,510.35

1300000 · Inventory

1300100 · Inventory Fuel and Oil

1300110 · Jet Fuel Inventory-JWN 37,326.12 $ 

1300115 · Avgas Inventory-JWN 77,429.95 $ 

1300120 · Oil & Supply Inventory-JWN 2,679.00 $ 

1300125 · Jet Fuel Inventory-MQY (10,730.40) $ 

1300130 · Avgas Inventory-MQY 33,538.51 $ 

1300140 · Oil & Supply Inventory-MQY 1,183.75 $ 

1300150 · Jet Fuel Inventory-DXR 51,822.89 $ 

Total 1300100 · Inventory Fuel and Oil 193,249.82 $ 

1300200 · Inventory Flight Store

1300205 · Flight Store Inventory-JWN 5,745.99 $ 

1300210 · Flight Store Inventory-MQY 2,294.31 $ 

Total 1300200 · Inventory Flight Store 8,040.30 $ 

1300300 · Inventory Mtx Parts

1300305 · Parts Inventory - MQY 1,429,419.79 $ 

1300310 · Cores-Engines 60,000.00 $ 

1300315 · Cores Inventory-MQY 166,773.92 $ 

1300320 · Work in Progress-MQY 739,541.52 $ 

Total 1300300 · Inventory Mtx Parts 2,395,735.23 $ 

Page 1 of 5
Exhibit CFM - 706

Forecast Balance Sheet for the Proposed Service: April 30, 2014

30-Apr-14

1300400 · Inventory Planes

1300405 · N10UP 800,000.00 $ 

1300410 · N858CY 1,098,920.70 $ 

Total 1300400 · Inventory Planes 1,898,920.70 $ 

Total 1300000 · Inventory $ 4,495,946.05

1350000 · Prepaid Assets

1350100 · Prepaid Insurance Policies - $ 

1350200 · Prepaid Inventory/Contractors - $ 

1350207 · Aviall 52,222.15 $ 

1350208 · Honeywell UK 14,090.22 $ 

1350209 · Garmin 11,296.37 $ 

1350211 · API 50,459.24 $ 

1350215 · BAE 862.07 $ 

1350218 · Mc Kinley Air 375.00 $ 

1350222 - Southeast Aerospace 1,300.00 $ 

1350230 · EJP/Syracuse 29,160.00 $ 

1350240 · Graham Aircraft Engine 2,255.87 $ 

1350242 · Turbine Standard Ltd - $ 

1350245 · Victor Aviation 17,464.50 $ 

Total 1350200 · Prepaid Inventory/Contractors 179,485.42 $ 

1350300 · Prepaid Taxes $ 10,600.00

Total 1350000 · Prepaid Assets $ 190,085.42

1500000 · Employee Receivables

1500010 · Misc. Employees $ 554.42

Total 1500000 · Employee Receivables $ 554.42

Total Other Current Assets $ 7,760,121.06

Total Current Assets $ 10,858,993.72

Fixed Assets

1400000 · Fixed Assets

1400101 · Computer Equip & Sftwre-JWN $ 5,957.00

1400102 · Computer Equip & Sftwre-MQY-FBO $ 6,161.75

1400103 · Computer Equip & Sftwre-MQY-MTX 100,359.85 $ 

1400104 · Computer Equip & Software-ADM $ 115,678.26

1400105 · Computer Equip & Software-Chrtr $ 40,349.64

1400201 · Furniture & Fixtures - JWN $ 23,162.24

1400202 · Furniture & Fixtures New FBO $ 62,991.00

1400203 · Furniture & Fixtures - MQY $ 176,362.86

1400205 · Furniture & Fixtures - Charter $ 44,089.41

1400301 · Ground Service Equipment-JWN $ 13,254.25

1400303 · Ground Service Equipment-MQY $ 56,890.53

1400304 · Ground Service Equipment-DXR $ 19,090.00

1400402 · Hangers & Other Bldgs $ 1,351,269.00

1400501 · Leasehold Improvements-JWN $ 96,138.91

1400503 · Leasehold Improvements-MQY $ 264,858.93

1400504 · Leasehold Improvements-DXR $ 8,942.03

1400601 · Radio & Comm Equipment $ 4,870.42

1400703 · Shop Equipment-MQY $ 285,492.32

1400800 · Transportation-Planes $ 1,710,545.84

1400801 · Transportation Equipment $ 85,752.17

Total 1400000 · Fixed Assets $ 4,472,216.41

1410000 · Accumulated Depreciation

1410001 · Accum. Amortization-LI $ (297,364.81)

1410002 · Accum. Depn - Hanger & Bldgs $ (364,868.35)

1410003 · Accum. Depn-Furn. & Fixtures $ (540,286.02)

1410004 · Accum. Depn-Shop Equipment $ (426,485.81)

1410005 · Accum. Depn - Planes $ (660,150.95)

1410006 · Accum Depn - Transp Equip. $ (30,963.27)

Total 1410000 · Accumulated Depreciation $ (2,320,119.22)

Total Fixed Assets $ 2,152,097.19

Other Assets

1600000 · Affiliated Interests

1600003 · CFM-HL Joint Venture-Interest $ (2,225.00)

1600025 · JetStream Sales-Interest $ (123,625.35)

1600030 · JWN Wings of Eagles-Interest $ 14,966.00

1600035 · MQY Wings of Eagles Interest $ (97,909.00)

1600045 · Wings of Eagles Interest $ 1,793.00

Total 1600000 · Affiliated Interests $ (67,000.35)

Total Other Assets $ (67,000.35)

TOTAL ASSETS $ 12,944,090.56

Page 2 of 5
Exhibit CFM - 706

Forecast Balance Sheet for the Proposed Service: April 30, 2014

30-Apr-14

LIABILITIES & EQUITY

Liabilities

Current Liabilities

Accounts Payable

2000000 · Accounts Payable 3,922,298.23 $ 

Total Accounts Payable $ 3,922,298.23

Credit Cards

2010000 · Credit Card

2019000 · Fifth Third Mastercard

2019005 · Allen - 6843 (566.54) $ 

2019007 · Davidson - 0966 157.73 $ 

2019008 · Richards - 0933 (688.90) $ 

2019010 · Anderson - 8213 567.53 $ 

2019015 · Augustin - 9994/9391 3.35 $ 

2019025 · Barnum - 8529 (165.00) $ 

2019041 · Brusch - 5760 118.98 $ 

2019045 · Bullard - 1419 2,701.44 $ 

2019081 · Davis - 2723 2,681.45 $ 

2019090 · Denson - 5845 106.04 $ 

2019096 · Findley - 5546 35.78 $ 

2019101 · Follis - 4731 1,653.38 $ 

2019102 · Cate - 1330 4,559.40 $ 

2019105 · Gomela - 6328 1,608.68 $ 

2019115 · Hart - 5878 1,738.81 $ 

2019121 · Henderson - 5579 3,006.37 $ 

2019140 · Hunsicker - 5910 13.50 $ 

2019151 · McGill - 5296 2,026.79 $ 

2019176 · Pearson - 3137 50.00 $ 

2019180 · Pitman - 1444 469.47 $ 

2019185 · Rapier - 9800 1,269.10 $ 

2019190 · Reams - 6017/9906 88.62 $ 

2019200 · Rowell - 6310 10,390.62 $ 

2019205 · Solomon - 6033 11,603.37 $ 

2019207 · Stefano - 0958 1,334.09 $ 

2019230 · Warnecke - 1443 5,948.09 $ 

Total 2019000 · Fifth Third Mastercard 50,712.15 $ 

Total 2010000 · Credit Card 50,712.15 $ 

Total Credit Cards $ 50,712.15

Other Current Liabilities

2040000 · Bank Lines of Credit $ -

2040001 · Bank Line of Credit - $ 

Total 2040000 · Bank Lines of Credit - $ 

2070000 · Notes Payable - Owners

2070002 · Notes Payable - A.Howell 17,000.00 $ 

2070003 · Notes Payable - D.Cate 2,500.00 $ 

Total 2070000 · Notes Payable - Owners 19,500.00 $ 

2100000 · Accrued Expenses

2100002 · Workers Comp 3,921.08 $ 

2100003 · BCBS (76,826.37) $ 

2100004 · Dental (9,873.39) $ 

2100005 · Vision (1,444.64) $ 

2100006 · FSA 4,878.84 $ 

2100007 · Life, LTD and STD 3,945.30 $ 

2100010 · Fed. W/H (585.70) $ 

2100011 · Social Sec/Medicare (137.10) $ 

2100012 · FUTA 3,115.35 $ 

2100013 · SUTA 17,466.37 $ 

2100014 · State Withholding (848.34) $ 

2100015 · Business Tax 5,708.57 $ 

2100016 · Property Tax (8,988.49) $ 

2100017 · Sales Tax Payable 24,919.00 $ 

2100018 · FET 76,184.79 $ 

2100019 · Franchise Excise (F&E) 22,846.28 $ 

2100020 · KY landing tax 52,533.38 $ 

2100022 HAS Contributions (1,188.73) $ 

Total 2100000 · Accrued Expenses 115,626.20 $ 

Page 3 of 5
Exhibit CFM - 706

Forecast Balance Sheet for the Proposed Service: April 30, 2014

30-Apr-14

2250000 · Prepaid Accts Receivable

2250002 · Air Century 4,200.00 $ 

2250012 · Howard Graves 365.00 $ 

2250017 · Klaritch, Thomas 365.00 $ 

2250020 · Momentum Group 1,200.00 $ 

2250029 · Southwest Florida Land Develop 536.34 $ 

2250030 · Sutherland, Brian 365.00 $ 

2250031 · Syracuse University - $ 

2250036 · Gary Cosay VIP 27,884.66 $ 

2250037 · Richard Handler VIP 28,129.29 $ 

2250038 · MC Aviation 2,000.00 $ 

2250039 · TCJS 45.00 $ 

2250041 · Driscoll Childrens Hospital 49,500.00 $ 

2250044 - Britt Sexton VIP 68,652.02 $ 

2250045 · Vee Neal 56,400.00 $ 

2250046 · Lampo Group VIP 38,139.21 $ 

2250049 · Dotty Adams VIP 91,605.16 $ 

2250051 · New Flight Evolution 25,000.00 $ 

2250052 · Holborn Corp VIP 25,337.53 $ 

2250054 · Dollar General VIP 103,050.39 $ 

2250055 - Pink Dog VIP 23,427.45 $ 

2250058 · McNamara, Kevin VIP 35,878.57 $ 

2250061 · Pitch Link, LLC N900GA 35,000.00 $ 

2250065 · Aero Cab 1,500.00 $ 

2250067 · Jack Attaway 5,463.15 $ 

2250070 · E-Plus VIP 46,692.37 $ 

2250073 · Missionary Flights and Services 10,850.53 $ 

2250075 · Yokley, Steven 6,000.00 $ 

2250076 · Cando Air, LLC 15,556.86 $ 

2250077 · Public Charters, Inc 17,746.62 $ 

2250080 · UP Development N100TW 97,261.00 $ 

2250081 · American Addiction Centers 172,148.85 $ 

Total 2250000 · Prepaid Accts Receivable 990,300.00 $ 

2300000 · Refundable Insurance Deposits

2300001 · 739 Flight Mgmt (569ST) 8,141.75 $ 

2300004 · Blue Canyon (32PE) 4,970.00 $ 

2300006 · CKU (701DA) 4,979.50 $ 

2300007 · CKU (874CP) 7,381.00 $ 

2300008 · Diamond Charter Holding, LLC 3,695.00 $ 

2300011 · Executive Jet Partners 784JP 4,578.75 $ 

2300012 · Hvizdak (487UE) 3,605.11 $ 

2300013 · Jacobson, Harry 4,966.00 $ 

2300015 · JetStream Sales 1,763.75 $ 

2300018 · MRCLG, LLC - N23VP 4,060.00 $ 

2300020 · N365ea, LLC 4,603.25 $ 

2300021 · N560HG, LLC 5,191.50 $ 

2300023 · Signature Aviation, LLC - N525A 4,600.00 $ 

2300027 · Ten Thousand Air, 644rm 4,890.75 $ 

2300028 · Big Sky, 703rb 5,890.50 $ 

2300029 · B100,847d 3,695.25 $ 

2300030 · HL Aviation, 481ns 3,551.75 $ 

2300031 · UP Development-N100TW 3,812.00 $ 

Total 2300000 · Refundable Insurance Deposits 84,375.86 $ 

24000 · Payroll Liabilities $ -

Total Other Current Liabilities $ 1,209,802.06

Total Current Liabilities $ 5,182,812.44

Page 4 of 5
Exhibit CFM - 706

Forecast Balance Sheet for the Proposed Service: April 30, 2014

30-Apr-14

Long Term Liabilities

2060000 · Long Term Liabilities

2060001 · BanCorp South 809,216.10 $ 

2060003 · Chapell Smith-operating 241,425.02 $ 

2060004 · Chappell, Tom (564) 97,735.78 $ 

2060006 · First Tn - 564hk - 50053046 1,314,964.61 $ 

2060007 · Hvizdak Loan $ 13,311.88

2060008 · J.Floyd Loan $ 361,937.34

2060009 · Jetstream Sales 48,500.00 $ 

2060010 · Pinnacle Bank 91000 (865-858) 480,452.42 $ 

2060012 · Ricardo Tostado (913) 393,928.08 $ 

2060013 · Quantum Control $ 3,943.67

2060014 · Executive Group Holdings, LLC 100,000.00 $ 

2060015 · John R. Patrick $ 50,000.00

2060016 · M. Pacenka, JTWS $ -

2060017 · Ally Financial (2012 van) 19,527.92 $ 

2060019 · Dell Financial Services 11,457.54 $ 

2060020 · Ally Financial (2011 van) 19,344.65 $ 

Total 2060000 · Long Term Liabilities $ 3,965,745.01

Total Long Term Liabilities $ 3,965,745.01

Total Liabilities $ 9,148,557.45

Equity

3000000 · Equity

3000002 · Capital Stock $ 10,000.00

3000005 · Paid in Capital $ 81,885.00

3000015 · Treasury Stock $ (67,846.26)

Total 3000000 · Equity $ 24,038.74

3000090 · Retained Earnings $ 3,503,421.38

Net Income $ 268,072.99

Total Equity $ 3,795,533.11

TOTAL LIABILITIES & EQUITY $ 12,944,090.56

Page 5 of 5
Exhibit CFM - 707

A E~!D 

PAPERWORK !~EDUCTION Act Sli!lonwnl 

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comrsy ~·IHh d co:·~~cimn Lf 1Dit~l:rl .. :tt•Jil ·,L,bp_·l1 t!J(' ft_iJlll'i.'l;t-~''H'l' :-! ,'/., .. '"1!••.·!~'.:-·~ )o'~'·i•r-:1·•!11 '··.! :Hil-:::;::. tn.il'_;;:n::(.{ Nt,\)l1L·(·r· ~(-[ 1/:f·~ •11':)rp·;r,.,r 

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--------------~--~ .. " 

For DOT Use Only -PC No. 

U.S. Dcpartmcnl o! 

Transpor1aLJon 

STATEMENT OF CHARTER OPERATOR AND DIRECT AIR CARRIER 

FLIGHT SCHEDULE NUMBER ""'""'"""·'· .. · (.~ 

Publrc Cil<Hters. Inc 

201 Hangar Roat'J 

Avoca.PA 18641 

.Corporate Flight Management, Inc 

276 Doug Warpole Road 

Smyrna. TN 37167 

_L) :•::>tepr<·Jn~ ~'.h.mbt~r 1 \ ',_:.:s.::·zo:-.) J?G~ 

:·:)). NtWlbf'i" ~ G~5-~2Co '1769 

95 Round Trip Fligl1ts fv1BL-MDW-MBL 

Sundays. Mondays Thursdays Fndays 

June 1. 2013 through Novemi)er 14. 2013 

BAE3200 Jetstream with 19 seats 

NIA 

1. ',it ,I)'' 

·If confidentiality 1s des1red. please state charter pnce m separate correspondence 
Exhibit CFM - 707

>'.• Public Charters, Inc 

·' ,,, Corporate f'l1ghl Management iCi-'MJ 

Hartford Fire Insurance 

First Niagara Bank, N.A. 

N/A 

N/A 

Michael A. Gallagher CFO 

/-cHARTER OPERATOR ' l ; 

'I 

i 

j ": ,, 

' ! ;·,;· 

:Michael A. Gpllagher 

Chief Financial Officer 

}t.'' 

201 Hangar Road 

Avoca. PA 18641 

12/5/20'12 

Allen Howell 

Chief Executive Officer 

) .) l · ! l C.:· I . (. i <; I ~· ! ',' 

276 Doug Warpole Road 

Smyrna, TN 37167 

12/5/2012 

··.::..:; 
Exhibit CFM - 707

-~ ~-- (, \ 

DAY DATE FLIGHT+! CITY PAIH AIRG\AFT #SEATS 

SUND.AV G/2/2013 801 fv1 BL-M OW BAE3200 19 

803 l'v1DW-f\IIBL BAE3::>00 19 

MOND/\Y 6/3/2013 802 MBL-MDW BAE3200 19 

803 MDW-MBL BAE3200 19 

THURSDAY 6/6/2013 802 MBL-MDW BAE3200 19 

803 MDW-MBL BAE3200 19 

Ff~IDAY 6/7/2013 802 MBL-MDVV 81\[3200 19 

803 MDW-MBL BAE3200 19 

SUNDAY G/9/2013 801 MBL-MDW BAE3200 19 

803 MDW-MBL BAE3200 19 

MONDAY 6/10/2013 802 MBL-MDW BAE3200 19 

803 MDW-MBL BAE3200 19 

THURSDAY 6/13/2013 802 MBL-MDW 8AE3200 19 

803 MDW-MBL BAE3200 19 

Ff\IDAY 6/14/2013 802 MBL-MDW BAE3200 19 

803 MDW-MBL BAE3200 19 

SUNDAY 6/16/2013 801 MBL-MDW BAE3200 19 

803 MDW-MBL BAF3200 19 

MONDAY 6/17/2013 802 MBL-MDW BAE3200 19 

803 MDW-MBL BAE3200 19 

THURSDAY G/20/2013 802 MBL-MDW BAE3200 19 

803 MDW-MBL 8AE3200 19 

FRIDAY 6/21/2013 802 MBL-fVlDW BAE3200 19 

803 MDW-MBL BAE3200 19 

SUfi,; DAY 6/23/2013 801 MBL-MDW 8AE3200 19 

803 MDW-MBL BAE3200 19 

MONDAY 6/24/2013 802 MBL-MDW BAE3200 19 

803 MDW-MBL BAE3200 19 

THURSDAY 6/27/2013 802 MBL-MDW BAE3200 19 

803 MDW-MBL BAE3200 19 

FRIDAY 6/28/2013 802 MBL-MDW BAE3200 19 

803 MDW-MBL BAE3200 19 

SUND!1Y 6/30/2013 801 MBL-MDW 8AE3200 19 

803 MDW-MBL BAE3200 19 

fv10ND!\Y l/1/2013 802 MBL-MDW BAE3200 19 

803 MDW-MBL BAE3200 19 

THURSDAY 7/4/2013 802 MBL-MDW BAE320Cl 19 

803 MDW-MBL BAE3200 19 

r:RIDAY 7/5/2013 802 MBL-MDW G/\[3200 19 

803 MDW-MBL 8/\E3200 19 

SUNDAY 7/7/2013 801 MGL-MDW GAE3200 19 

803 MDW-MBL BAE3200 19 

MOND/I.Y 7/8/2013 802 rv1BL-MDW 8/\E3200 19 

803 MD'vV-MBL BAE3200 19 

THUf\SD/\Y 7/11/2013 802 MBL-MDW BAF3200 19 

803 MDW MBL BAE3200 19 
Exhibit CFM - 707

FRIDAY 7/12/2013 802 MBL-MDW BAC3200 :9 

803 MDVI/-MBL BAE3200 19 

SUNDAY 7/14/2013 80J MRL-MDW BAE3200 19 

803 MDW-MBL B/\[3200 19 

MONDAY 7/15/2013 802 MBL-MDW BAE3200 19 

803 MDW-MBL BAE3200 19 

THURSDAY 7/18/2013 802 MBL-MOW BAE3200 19 

803 MDW-MBL B/\E3200 19 

FRIDAY 7/19/2013 802 MBL-MDW BAE3200 19 

803 MDW-MBL BAE3200 19 

SUNDAY 7/2.1/2013 801 fVH3L-MDW BAE3200 19 

803 MDW-MBL BAE3200 19 

MONDAY 7/22/2013 802 MBL-MDW BAE3200 19 

803 MDW-MBL BAE3200 19 

THUI~SDAY 7/25/2013 802 MBL-MDW BAE3200 19 

803 MDW-MBL B/\E3200 19 

FRIDAY 7/26/2013 802 MBL-MDW BAE3200 19 

803 MDW-MBL BAE3200 19 

SUND.D.Y 7/28/2013 801 fv1BL-IVIDVII BAE3200 19 

803 MDW-MBL BAE3200 19 

MONDAY 7/29/2013 802 MBL-MDW BAE3200 19 

803 MDW-MGL 8AE3200 19 

THURSDAY 8/1/2013 802 MBL-MDW BAE3200 19 

803 MDW-MBL BAE3200 19 

FRIDAY 8/2/2013 802 MBL-MDW BAE3200 19 

803 MDW-MBL BAE3200 19 

SUNDAY 8/4/2013 801 MGL-MDW BAE3200 19 

803 MDW-MBL BAE3200 19 

MONDAY 8/5/2013 802 MBL-MDW BAE3200 19 

803 MDW-MBL BAE3200 19 

THURSDAY 8/8/2013 802 MBL-MDW BAE3200 19 

803 MDW-MBL BAE3200 19 

FRIDAY 8/9/2013 802 MBL-MDW BAE3200 19 

803 MDW-MBL BAE3200 19 

SUNDAY 8/11/2013 801 MBL-I\!1DW BAE3200 19 

803 MDW-MBL BAE3200 19 

lv'!ONDAY 8/12/2013 802 MBL-MDW BAE3200 19 

803 MDW-MBL BAE3200 19 

THURSDAY 8/15/2013 802 MBL-MDW BAE3200 19 

803 MDW-I\!1BL BAE3200 19 

FRIDAY 8/16/2013 802 rv1BL-MDW BAE3200 19 

803 MDW-MBl 8/\F3200 19 

SUNDAY 8/18/2013 801 MBL-MDW RAE3200 19 

803 MDW-MBL BAE3200 19 

MOND/AY 8/19/2013 802 MGL-MDW BAE3200 19 

803 MDW-MBL BAE3200 19 

THURSDAY 8/2?/2013 802 MBL-MDW BAE3200 19 
Exhibit CFM - 707

803 MDW-MBL BAE3200 19 

if\ I DAY 8/23/2013 802 Mfll-MDVI BAE3200 19 

803 MDIN-MBL BAE3200 19 

SUNDAY 8/25/2013 801 MBL-MDW 8/\[3200 19 

803 MDW-MBL 8/\[3200 19 

MONDAY 8/26/2013 802 MBL-MDW BAF3:700 19 

803 MDW-MBL BAE3200 19 

THURSDAY 8/29/2013 802 MBL-MDW BAE3200 19 

803 fv1Dv\'-MBL 8/\[3200 19 

f'RIDAY 8/30/2013 802 MBL-MDW 8Al3200 19 

803 MDW-MBL BAE3200 19 

SUND!,Y 9/1/2013 801 f\·1BL-MDW BAE3200 19 

803 MDW-MBL BAE3200 10 ·' 

MONDAY 9/2/2013 80? MBL-I'v1DW BAE3200 19 

803 MDW-MBL BAE3200 19 

THURSDAY 9/5/2.013 802 MBL-MDV'/ BAU200 19 

803 MDW-MBL BAE3200 19 

FRIO/\Y lJ/b/2013 802 MBL-MDW BAE3200 19 

803 MDW-MBL BAE3200 19 

SUNDAY 9/8/2013 801 MBL-MDW BAE3200 19 

803 MDW-MBL BAE3200 19 

MONDAY 9/9/2013 802 MBL-MDW BAE3200 19 

803 MDW-f'v1BL BAE3200 19 

THURSD/1Y 9/12/2013 802 MBL-MDW BJ\E3200 19 

803 MDW-MBL BAE3200 19 

FI~IDAY 9/13/2013 802 MBL-MDW BAE3200 19 

803 MDW-MBL BAE3200 19 

SUNDAY 9/15/2013 801 MBL-MDW BAE3200 19 

803 MDW-MBL BAE3200 19 

MONDAY 9/16/2013 802 MBL-MDW BAE3200 19 

803 MDW-MBL BAE3200 19 

THURSDAY 9/19/2013 802 MBL-MDW B/\[3200 19 

803 MDW-MBL BAE3200 19 

Ff~IDAY 9/20/2013 802 M8L-MDW BAE3200 19 

803 MDW-MBL BAE3200 19 

SUNDAY 9/22/2013 801 MBL-MDVV BAE3200 19 

803 MDW-MBL BAE3200 19 

MONDAY 9/23/2013 802 MBL-MDW HAF3200 19 

803 MDW-MBL BAE3200 19 

THURSDAY 9/26/2013 802 MBL-MDW BJ\E3200 19 

803 ~,;10\!V-MBL BAE3200 19 

FHIDAY 9/27/2013 802 MBL-MDW !3A[3200 19 

803 MDVV-MBL BAE3200 19 

SUNDAY 9/29/2013 801 MBL-MDW BAE3200 19 

803 MDW-MBL BAE3200 19 

MONDAY 9/30/2013 802 MI3L-MDW BAE3200 19 

803 MDW-MBL BAE3200 19 

-------· ·------
Exhibit CFM - 707

THURSDAY 10/3/2013 802 MBL-MDV/ BAE3200 19 

803 MDW-MBL BAE3200 ]9 

FRIDAY JO/Cl/2013 802 ML\L-MD'v\i BAE3200 19 

803 MDW-MBL 8/\[?,200 19 

SUNDAY 10/6/2013 801 MBL-MDW B!IE3200 19 

803 MDW-MBL 8AE3200 19 

MONDAY 10/7/2013 802 MBL-MDW BAE3200 19 

803 MDVII-MBL BAE3200 19 

THURSDAY 10/10/2013 802 MBL-MDW BI\E3200 19 

803 MDVv'-MBL BAE3200 19 

FRIDAY 10/11/2013 802 MBL-MDW BAE3200 19 

803 MDW-MBL BAE3200 19 

SUNDAY 10/13/2013 801 MBL-MDW BAE3200 19 

803 MDW-MBL BAE3200 19 

MONDAY 10/14/2.013 802 MBL-MDW BAE3200 19 

803 MDW-MBL BAE3200 19 

THURSDAY 2.0/17/2013 802 MBL-MDW BAE3200 19 

803 MDW-MBL BAE3200 19 

FRIDAY 10/18/2013 802 MBL-MDW 8/\[3200 19 

803 MDW-rv1BL BAE3200 19 

SUNDAY 10/2.0/2013 801 MBL-MDW BAE3200 19 

803 MDW-MBL BAE3200 19 

MONDAY 10/21/2013 802 MBL-MDW BAE3200 19 

803 MDW-MBL BAE3200 19 

THURSDAY 10/24/2013 802 MBL-MDW BAE3200 19 

803 MDW-MBL BAE3200 19 

FRiDAY lD/25/2013 802 MBL-MDW BAE3200 19 

803 MDW-MBL ElAE3200 1.9 

SUNDAY 10/27/2013 801 MBL-MDW BAE3200 19 

803 MDW-MBL BAE3200 19 

MONDAY 10/28/2013 802 MBL-lV!DW BAE3200 19 

803 MDW-MBL BAE3200 19 

THURSDAY 10/31/2013 802 MBL-MDW BAE3200 19 

803 MDW-MBL BAE3200 19 

FRIDAY 11/1/2013 802 MBL-MDW BAE3ZOO 19 

803 MDW-MBL BAE3200 19 

SUNDAY 11/3/2013 801 MBL-MDW BAE3200 19 

803 MDW-MBL BAE3200 19 

MONDAY 11/4/2013 802 MBL-MDW BAE3200 19 

803 MDW-MBL BAE3200 19 

THURSDAY 11/7/2013 802 MBL-MDW BAE3200 19 

803 MDW-MBL BAE3200 19 

FRIDAY 11/8/2013 802 MRL-MDV\/ BAE3200 19 

803 MDW-MBL BAE3200 19 

SUNDf,Y 11/10/2013 801 MBL-MDW BAE3200 19 

803 MDW-MBL BAE3200 19 

MONDAY 11/11/2013 802 MBL-MDW BAE3200 19 
Exhibit CFM - 707

803 MD\rV-fv1BL i3AE3200 19 

THURSDAY 11/14/2013 802 MBL-MDW BAE3200 19 

803 MDW-MBL BAE3200 19 
Exhibit CFM - 707

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\lidl:H:l ( ialla):!.ih'r 

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l'uhi1L· t il:ulc·r,.. Jill' 

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\, ''L'Ii. I'·\ I ;.;r,.~ I 

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'·;·'lit -l~-: -l i ; !'.!\ 

Wilkes Barre/Scranton lnt'l Airport 

201 Hangar Ro<~d, Avoca PA 18641 

Phone 570-457-1950 Fax: 570·457-4113 
Exhibit CFM - 707

Langhorst, Alie (OST) 

From: 

Sent: 

To: 

Cc: 

Subject: 

Attachments: 

Doug Fleagle <dfleagle@shelbytrust.com> 

Thursday, December 06, 2012 8:29AM 

Flemmings, Reather (OST); Archer, Torlanda (OST); Langhorst, Alie (OST) 

Mike Gallagher 

PC-12-196 Amendment #1 

20121206 Public Charters- CFM PC-12-196 Amendment #l.pdf 

Good morning Ladies. I hope you are all well. Attached is an application to amend PC-12-196 between Public Charters, 

Inc. and Corporate Flight Management. They wish to add 95 round trip flights between June 1, 2013 and November 14, 

2013. Please let me know if you need any additional information. I will hold the originals until we receive a soft approval. 

Thanks and have a wonderful day. Doug 

Douglas R. Fleagle 

5 Great Valley Parkway. Suite ll 0 

Malvern. Pennsylvania 19355 

WW\\ .she I b\tl nanc ialcorp.cum 

'2i!l:' l'hunc· 1 Direct i · 

~ l'ht,ne (I ull i·'ree 

';,~ i ~1\ ;, 

Emai I: dou~. tleagle'(t she! b\ financialcorp.corn 

1 
Exhibit CFM - 707

I V'vt. 

121512012 

Ms. Torlanda Arl'IK·r 

lkpartmcnt of Transportal ion 

Special Authorities Division, X-4() 

1200 New Jersey Ave. S.E .. Rm: WX6-445 

\Vashington. DC 20590 

Dear Torlanda. 

Enclosed please lind our proposed extended schedule for PC .12.196 with Corporate Fl ighl 

Management. operating June l. 20I.l through November 14. 2013 per attached schedule. There 

arc a total of 190 one way segments and t)) round trip.'< As required by section 29X .. 1X f\x 

carriers with on tkmand 29X operating authority. the "charter operator or bank. as applicable. 

shall rctam control of and responsibility for all participant funds intended for payment for air 

transportation until alter the charter has been completed". 

Included is OST form 45.12. 

Thank you and if you have any questions or concerns. please do 11<)! hesitate to contact me al 

(570) 457-4149. 

SincerelY. l1 . A i I ~ I ' I 

·rvlidmcl Gallagher 

Chief Financial Officer 

Pub I ic Charters, Inc 

20 I llangar Road 

A vue a, P !\ I X64l 

(570) 457 -4141

) 

(570) 457-4113-I~IX 

mg(aipubl icchartcrs.com 

Wilkes Barre/Scranton fnt'l Airport 

201 Hangar Road, Avoca PA 18641 

Phone: 570-457-1950 Fax: 570-457-4113 
Exhibit CFM - 707

PAPERWORK REDUCTION Act Statement 

A fedenll agency may not conduct or sponsor. antJ a person IS no! 

comply with a collectiOn of 1nlonnat1on subject to the reqwrements ot l

0 apcrwork f\educllOn Act 

collechon IS 2106-0005 Pubhc repmling lor lilts collcctron of rnfmmalion rs eslrrllrllcd to he nmutl:'"""''''v 

lime for revieWing instJUCtlons. zrmj !h(! collecl!on of 111forrnatton All rospon3£~s ~o 

Send comments rt~gard1119 this of thts colleclll.m of rnformalion. 

to lnf01matwn Colle·ction Clearance Otficer US lransporiatron, OflKe of lnlcrnahonal 

Suite W-86-445, Washington. DC 20590 

response, 

rniorma!ron 

>u\;!QE'E•tl•Cms for retluCif19 lhrs burden 

1200 NQw Jersey ;\venue SF:. 

For DOT Use Only -PC No. ______ Waiver No. ____ _ 

STATEMENT OF CHARTER OPERATOR AND DIRECT AIR CARRIER 

FLIGHT SCHEDULE NUMBER __ ,\_"-"-·"'' __ od _________________ _ 

la Name (and DBA if applicable) anrJ Mailing Address of Charter Operator 

Public Charters, Inc. 

201 Hangar Road 

Avoca. PA 18641 

1b Telephone Number ( ) 570~:?!~'!_~--------------

Fax Number ) 570-457-4113 

2a Name (and DBA. rf applicable) anrJ Marling Address of D11ect llrr Carner 

Corporate Flight Management, Inc. 

276 Doug Warpole Road 

Smyrna, TN 37167 

2b Telephone Number ( ) 615-220-1761 

Fax Number 1 615-220-1769 

3 Proposed date and routmg of each nrght (use acldrlional pages. rlnecessary) 

95 Round Trip Flights MBL-MDW-MBL 

Sundays, Mondays, Thursdays. Fridays 

June 1, 2013 through November 14. 2013 

4 Type of aircraft and number of seats er1(1aged 

BAE3200 Jetstream with 19 seats 

5 Charter pnce of ench flight • 

6 Tour r1rnerary (if any) tncludrng hotels (names anflten9th of stay a! eilch) and other accornmodH!rons anfl services 

N/A 

*If confidentiality is desired, please state charter price in separate correspondence 
Exhibit CFM - 707

we. Public Charters, Inc. 

and .<??!P~?r~!~~~~~~tf1:1~~ager:"13nt (CFM) ·············-················---···-·-··-··-·········-··················· 

019t11 schedult~ r1escribe<J rltlove The contract complies v~H1 all applicable DOT regulatrons 

7 A copy of !he fl1ghl schedule has been sent 10 /complek! appllc<<ble blanks anti wnte 'N A · 111lhnse not appllcahlel 

Hartford Fire Insurance 

First Niagara Bank, N.A. 

N/A Paid after flight completion 

N/A Paid after flight completion 

8 Applicant 1s aU S Pu!Jhc Charter Operator dofined 111 Sochon 380 of the DepartmePI's regulations 

Michael A. Gallagher CFO 

Chief Financial Officer 

201 Hangar Road 

Avoca, PA 18641 

12/5/2012 

13Y 

Allen Howell 

Chief Executive Officer 

276 Doug Warpole Road 

Smyrna, TN 37167 

12/5/2012 
Exhibit CFM - 707

DAY DATE FLIGHT# CITY PAIR AIRCRAFT #SEATS 

SUNDAY 6/2/2013 801 MBL-MDW BAE3200 19 

803 MDW-MBL BAE3200 19 

MONDAY 6/3/2013 802 MBL-MDW BAE3200 19 

803 MDW-MBL BAE3200 19 

THURSDAY 6/6/2013 802 MBL-MDW BAE3200 19 

803 MDW-MBL BAE3200 19 

FRIDAY 6/7/2013 802 MBL-MDW BAE3200 19 

803 MDW-MBL BAE3200 19 

SUNDAY 6/9/2013 801 MBL-MDW BAE3200 19 

803 MDW-MBL BAE3200 19 

MONDAY 6/10/2013 802 MBL-MDW BAE3200 19 

803 MDW-MBL BAE3200 19 

THURSDAY 6/13/2013 802 MBL-MDW BAE3200 19 

803 MDW-MBL BAE3200 19 

FRIDAY 6/14/2013 802 MBL-MDW BAE3200 19 

803 MDW-MBL BAE3200 19 

SUNDAY 6/16/2013 801 MBL-MDW BAE3200 19 

803 MDW-MBL BAE3200 19 

MONDAY 6/17/2013 802 MBL-MDW BAE3200 19 

803 MDW-MBL BAE3200 19 

THURSDAY 6/20/2013 802 MBL-MDW BAE3200 19 

803 MDW-MBL BAE3200 19 

FRIDAY 6/21/2013 802 MBL-MDW BAE3200 19 

803 MDW-MBL BAE3200 19 

SUNDAY 6/23/2013 801 MBL-MDW BAE3200 19 

803 MDW-MBL BAE3200 19 

MONDAY 6/24/2013 802 MBL-MDW BAE3200 19 

803 MDW-MBL BAE3200 19 

THURSDAY 6/27/2013 802 MBL-MDW BAE3200 19 

803 MDW-MBL BAE3200 19 

FRIDAY 6/28/2013 802 MBL-MDW BAE3200 19 

803 MDW-MBL BAE3200 19 

SUNDAY 6/30/2013 801 MBL-MDW BAE3200 19 

803 MDW-MBL BAE3200 19 

MONDAY 7/1/2013 802 MBL-MDW BAE3200 19 

803 MDW-MBL BAE3200 19 

THURSDAY 7/4/2013 802 MBL-MDW BAE3200 19 

803 MDW-MBL BAE3200 19 

FRIDAY 7/5/2013 802 MBL-MDW BAE3200 19 

803 MDW-MBL BAE3200 19 

SUNDAY 7/7/2013 801 MBL-MDW BAE3200 19 

803 MDW-MBL BAE3200 19 

MONDAY 7/8/2013 802 MBL-MDW BAE3200 19 

803 MDW-MBL BAE3200 19 

THURSDAY 7/11/2013 802 MBL-MDW BAE3200 19 

803 MDW-MBL BAE3200 19 
Exhibit CFM - 707

FRIDAY 7/12/2013 802 MBL-MDW BAE3200 19 

803 MDW-MBL BAE3200 19 

SUNDAY 7/14/2013 801 MBL-MDW BAE3200 19 

803 MDW-MBL BAE3200 19 

MONDAY 7/15/2013 802 MBL-MDW BAE3200 19 

803 MDW-MBL BAE3200 19 

THURSDAY 7/18/2013 802 MBL-MDW BAE3200 19 

803 MDW-MBL BAE3200 19 

FRIDAY 7/19/2013 802 MBL-MDW BAE3200 19 

803 MDW-MBL BAE3200 19 

SUNDAY 7/21/2013 801 MBL-MDW BAE3200 19 

803 MDW-MBL BAE3200 19 

MONDAY 7/22/2013 802 MBL-MDW BAE3200 19 

803 MDW-MBL BAE3200 19 

THURSDAY 7/25/2013 802 MBL-MDW BAE3200 19 

803 MDW-MBL BAE3200 19 

FRIDAY 7/26/2013 802 MBL-MDW BAE3200 19 

803 MDW-MBL BAE3200 19 

SUNDAY 7/28/2013 801 MBL-MDW BAE3200 19 

803 MDW-MBL BAE3200 19 

MONDAY 7/29/2013 802 MBL-MDW BAE3200 19 

803 MDW-MBL BAE3200 19 

THURSDAY 8/1/2013 802 MBL-MDW BAE3200 19 

803 MDW-MBL BAE3200 19 

FRIDAY 8/2/2013 802 MBL-MDW BAE3200 19 

803 MDW-MBL BAE3200 19 

SUNDAY 8/4/2013 801 MBL-MDW BAE3200 19 

803 MDW-MBL BAE3200 19 

MONDAY 8/5/2013 802 MBL-MDW BAE3200 19 

803 MDW-MBL BAE3200 19 

THURSDAY 8/8/2013 802 MBL-MDW BAE3200 19 

803 MDW-MBL BAE3200 19 

FRIDAY 8/9/2013 802 MBL-MDW BAE3200 19 

803 MDW-MBL BAE3200 19 

SUNDAY 8/11/2013 801 MBL-MDW BAE3200 19 

803 MDW-MBL BAE3200 19 

MONDAY 8/12/2013 802 MBL-MDW BAE3200 19 

803 MDW-MBL BAE3200 19 

THURSDAY 8/15/2013 802 MBL-MDW BAE3200 19 

803 MDW-MBL BAE3200 19 

FRIDAY 8/16/2013 802 MBL-MDW BAE3200 19 

803 MDW-MBL BAE3200 19 

SUNDAY 8/18/2013 801 MBL-MDW BAE3200 19 

803 MDW-MBL BAE3200 19 

MONDAY 8/19/2013 802 MBL-MDW BAE3200 19 

803 MDW-MBL BAE3200 19 

THURSDAY 8/22/2013 802 MBL-MDW BAE3200 19 
Exhibit CFM - 707

803 MDW-MBL BAE3200 19 

FRIDAY 8/23/2013 802 MBL-MDW BAE3200 19 

803 MDW-MBL BAE3200 19 

SUNDAY 8/25/2013 801 MBL-MDW BAE3200 19 

803 MDW-MBL BAE3200 19 

MONDAY 8/26/2013 802 MBL-MDW BAE3200 19 

803 MDW-MBL BAE3200 19 

THURSDAY 8/29/2013 802 MBL-MDW BAE3200 19 

803 MDW-MBL BAE3200 19 

FRIDAY 8/30/2013 802 MBL-MDW BAE3200 19 

803 MDW-MBL BAE3200 19 

SUNDAY 9/1/2013 801 MBL-MDW BAE3200 19 

803 MDW-MBL BAE3200 19 

MONDAY 9/2/2013 802 MBL-MDW BAE3200 19 

803 MDW-MBL BAE3200 19 

THURSDAY 9/5/2013 802 MBL-MDW BAE3200 19 

803 MDW-MBL BAE3200 19 

FRIDAY 9/6/2013 802 MBL-MDW BAE3200 19 

803 MDW-MBL BAE3200 19 

SUNDAY 9/8/2013 801 MBL-MDW BAE3200 19 

803 MDW-MBL BAE3200 19 

MONDAY 9/9/2013 802 MBL-MDW BAE3200 19 

803 MDW-MBL BAE3200 19 

THURSDAY 9/12/2013 802 MBL-MDW BAE3200 19 

803 MDW-MBL BAE3200 19 

FRIDAY 9/13/2013 802 MBL-MDW BAE3200 19 

803 MDW-MBL BAE3200 19 

SUNDAY 9/15/2013 801 MBL-MDW BAE3200 19 

803 MDW-MBL BAE3200 19 

MONDAY 9/16/2013 802 MBL-MDW BAE3200 19 

803 MDW-MBL BAE3200 19 

THURSDAY 9/19/2013 802 MBL-MDW BAE3200 19 

803 MDW-MBL BAE3200 19 

FRIDAY 9/20/2013 802 MBL-MDW BAE3200 19 

803 MDW-MBL BAE3200 19 

SUNDAY 9/22/2013 801 MBL-MDW BAE3200 19 

803 MDW-MBL BAE3200 19 

MONDAY 9/23/2013 802 MBL-MDW BAE3200 19 

803 MDW-MBL BAE3200 19 

THURSDAY 9/26/2013 802 MBL-MDW BAE3200 19 

803 MDW-MBL BAE3200 19 

FRIDAY 9/27/2013 802 MBL-MDW BAE3200 19 

803 MDW-MBL BAE3200 19 

SUNDAY 9/29/2013 801 MBL-MDW BAE3200 19 

803 MDW-MBL BAE3200 19 

MONDAY 9/30/2013 802 MBL-MDW BAE3200 19 

803 MDW-MBL BAE3200 19 
Exhibit CFM - 707

THURSDAY 10/3/2013 802 MBL-MDW BAE3200 19 

803 MDW-MBL BAE3200 19 

FRIDAY 10/4/2013 802 MBL-MDW BAE3200 19 

803 MDW-MBL BAE3200 19 

SUNDAY 10/6/2013 801 MBL-MDW BAE3200 19 

803 MDW-MBL BAE3200 19 

MONDAY 10/7/2013 802 MBL-MDW BAE3200 19 

803 MDW-MBL BAE3200 19 

THURSDAY 10/10/2013 802 MBL-MDW BAE3200 19 

803 MDW-MBL BAE3200 19 

FRIDAY 10/11/2013 802 MBL-MDW BAE3200 19 

803 MDW-MBL BAE3200 19 

SUNDAY 10/13/2013 801 MBL-MDW BAE3200 19 

803 MDW-MBL BAE3200 19 

MONDAY 10/14/2013 802 MBL-MDW BAE3200 19 

803 MDW-MBL BAE3200 19 

THURSDAY 10/17/2013 802 MBL-MDW BAE3200 19 

803 MDW-MBL BAE3200 19 

FRIDAY 10/18/2013 802 MBL-MDW BAE3200 19 

803 MDW-MBL BAE3200 19 

SUNDAY 10/20/2013 801 MBL-MDW BAE3200 19 

803 MDW-MBL BAE3200 19 

MONDAY 10/21/2013 802 MBL-MDW BAE3200 19 

803 MDW-MBL BAE3200 19 

THURSDAY 10/24/2013 802 MBL-MDW BAE3200 19 

803 MDW-MBL BAE3200 19 

FRIDAY 10/25/2013 802 MBL-MDW BAE3200 19 

803 MDW-MBL BAE3200 19 

SUNDAY 10/27/2013 801 MBL-MDW BAE3200 19 

803 MDW-MBL BAE3200 19 

MONDAY 10/28/2013 802 MBL-MDW BAE3200 19 

803 MDW-MBL BAE3200 19 

THURSDAY 10/31/2013 802 MBL-MDW BAE3200 19 

803 MDW-MBL BAE3200 19 

FRIDAY 11/1/2013 802 MBL-MDW BAE3200 19 

803 MDW-MBL BAE3200 19 

SUNDAY 11/3/2013 801 MBL-MDW BAE3200 19 

803 MDW-MBL BAE3200 19 

MONDAY 11/4/2013 802 MBL-MDW BAE3200 19 

803 MDW-MBL BAE3200 19 

THURSDAY 11/7/2013 802 MBL-MDW BAE3200 19 

803 MDW-MBL BAE3200 19 

FRIDAY 11/8/2013 802 MBL-MDW BAE3200 19 

803 MDW-MBL BAE3200 19 

SUNDAY 11/10/2013 801 MBL-MDW BAE3200 19 

803 MDW-MBL BAE3200 19 

MONDAY 11/11/2013 802 MBL-MDW BAE3200 19 
Exhibit CFM - 707

THURSDAY 11/14/2013 

803 MDW-MBL BAE3200 19 

802 MBL-MDW BAE3200 

803 MDW-MBL BAE3200 

19 

19 
Exhibit CFM - 708

.. 

- Approved by OMB 

OMB No. 2120-0633 

Expires: 2128109 

AGENCY DISPAY OF ESTIMATED BURDEN 

The public reporting burden for the coledion of information is estimated to average 30 milutes per response. If you wish 

to comment on the aca.ncy of the estimate or make suggestions for reducing the burden, pleue direct yo41 comments to the ~ 

Oeoartment gf !IJinsoortation, Ofloe Q{ Aviation ~lXIII. ~-~ ~ ]!J Street~~ Wa&t*laton !;2,!:1, 20590 

PAPER WORK REDUCT10N ACT OF 1tH 

Under the Papenloo'Ortt Reduction Act of 1995, no persons are required to respond to a collection of Information oo1ess 11 

displays a valid OMB control number. The OMB control number is displayed In the upper right-hand comer of this form. 

0 FOR USE BY DOT ONLY 

AIR TAXI OPERA TOR REGISTRATION 

n..,.... u.a.o.,a"Ln I tA AND AMENDMENTS UNDER .• 

PART 298 OF THE REGULATIONS OF OllcefA .. ......., THE DEPARTMENT OF TRANSPORTATION fA 'II'IRip IIIIOft - -

WheN to file: Submit this form, In duplk:M8, along with a Certificate of Insurance (OST Form 6410) !!!"t ~w-~ ... 0 -- evidencing requited lability Insurance coverage for the airaaft listed in Block 6 of this registration, to the c;l _/'VA '~ Federal 

lndepeudeuoe 

Aviation 

Avenue, 

Administration 

S.W., washington

(FAA). Air 

, 

Transportation 

D.C. 20591. E.x

Division

ctpUon

, AF5-200

: For air 

, 

taxis 

Room 

located 

831, 800 

In the~ ~' / ~ 

·'- ~. Nmt lhla fonn end the OST Form 6410 to the Federal Aviation Ad"*"ttratlon (FAA), Alukan 

Region HeadquarteB, AAL-230, 222 West~ Avenue, Box 14, Anchorage, Alaska 99513. ~ 

F .. :The fee for the iJ11111 registration of an air taxi Is $8_ There Is no filing fee for amendments to 

NgiltlaiiOIII plf~Vtootky fled. £--.-<loilifl'*...._,.,,.l!l!,,.i!llt 

DEC 14 2012 

1 a. Name (Md DBA, I IJPI)Iicable) and Malllg Address of the Registefing ClWI'ier: 3e. Fedlrll A~ /14i.MMIDI c:.lllaiiU!Cir 

FJTA9200 

3D Mdr.a oflcQI FAA oilier 

Corporate Flight Management, Inc. 

276 Doug Warpoole Road Flight Standards District Office Smyrna, TN 37167 tl2 1ntemational Plaza, Suite 700 

615-220-1761 615-220-1769 

Nashville, Tennessee 37217 

1b. Telephone No. Fax No_ 

2a. Address of principal place of business (if different from above): 

3e. FAA Telephone No.: 

615-324-1300 

3cl. FM ~ ()per.elcn 1ni111e*r. 

2b. Tejeplone No. - Fax No. Thomas A. luipersbec:k 

4. This ling II the carrie(s: 

0 Initial Registration • Amendment to retied changes since previous filing (Complete item 9) 

If Initial reglltratlon, give proposed date of commencement of operations: 

5. Check type or types of l8fVIce the carrier Intends to perlorm upon commenoement of operations, or, for amendments, I8I'Vioe the carrier II anw111y 

performrog: 

0 Scheduled pauengel* • On-demand passenger 

0 

0 Mel 

Scheduled 

under a 

cargo 

U.S. Postal SeMoe contract 0 

• OrKtemand 

Other (P#Nse 

cargo 

specify)- ~~a~:~-~ • 

_

Check only 

_ 

If MrYice Ia limited to ._. thM five (5) round tripe per week on .t .... tone route between two ~ ~ ..,d Ia 1 ................................ _ ... __ ..... _ ... _~..... ...... ... perfonned. Companies proposing or operating scheduled passenger 18fVices of five (5) or more round trtpa per rcUt 

between two or more polnta pursuant to published flight IChediAel which specify the times, days of the week. and IUCh 

-provide ... IUCh --may aervioel as a ... oonvnuter """""""""'-~ air carrier. See 14 ...... CFR 298·-- . Subpart E. · ·-·"""'-..... ,.. ~ .. - For example, If the carrier performs other services such as fire fighting operations for the U.S. Forest SeMoe, It should ~ / 

OST Form 4507 (Rev. 2-06) 

~ 

..... 

~ 0 

~ 

~ 

~ 
Exhibit CFM - 708

6. Aircraft which the carrier proposes to operate in air taxi service or, for amendments, 

aircraft currently operated: 

Aircraft Make and Model FAA Registration Number 

1. See attached list 

2. ______________________ __ 

3. ______________________ __ 

4. ______________________ __ 

5. ______________________ __ 

(Add additional sheets if necessary) 

• This does not include seats occupied by the pilot or co-pilot unless the latter is available for 

passenger use. 

Passenger Seats 

Installed* 

7.ls the registering carrier a U.S. citizen? 

.YES 0NO 

Note: An air taxi or commuter registered under Part 298 must be 

a citizen of the United States. 49 USC 40102(a)(15) defines a 

U.S. citizen as (a) an individual who is a U.S. citizen: (b) a 

partnership of which each member is a U.S. citizen; or (c) a 

corporation or association organized under the laws of the United 

States or a state. the District of Columbia, or a territory or 

possession ol the Unite<! States. o1 which \he presi<!en\ an<! a\ 

least two-thirds of the board of directors and other managing 

officers are citizens of the United States, which is under the 

actual control of citizens of \he United States. and in which at 

least 75 percent of the voting interest is owned or controlled by 

persons that are citizens of the United States 

8. If this is an amendment, has the carrier carried 

passengers in foreign air transportation, that is, 

between any point in the United States and any 

point outside thereof, during the past 12 

months: 

.YES 0NO 

I 9. REPORT CHANGES OR AMENDMENTS TO !NFORMATION PREVIOULSLY FIL!::D WITHIN 30 DAYS OF THE EFFECTIVE DATE: 

a. Change in Carrier's Name and/or Address (Please specify): 

Former Name and Address: Current Name and Address: 

b. Description of Any Other Changes or Amendments (Including additions or deletions of aircraft, change in type of operations, registration numbers, etc.): 

Aircraft N24EM deleted 

1 0. Certification 

I certify that the information contained in this application is complete and accurate to the best of my knowledge. The 

carrier subscribes to the lATA lntercarrier Agreement; the lATA Agreement on Measures to Implement the lATA 

lntercarrier Agreement, and the ATA Agreement on Provisions Implementing the lATA lntercarrier Agreement to be 

Included in Conditions of Carriage and Tariffs (see OST Form 4523-A), and in accordance with those Agreements 

agrees under Article 22(1) of the Warsaw Convention or the Warsaw Convention as amended by the Hague Protocol 

that the liability limits for passenger injury or death in international transportation as defined in the Convention are 

waived in their entirety. 

Date: ______ O_ct_o_be_r_2_2_.:.,_2_0_1_2 _______ _ 

Smyrna, Tennessee Place: -----------------=-:-:----:--=:--:-:---------------- (City and State) 

Name: _______ J_a-:m=e,_s_A_.-,-H_o-,w_e_l_l ______ _ 

(Please type) 

Title: _______ C_h_ie_f_E_x_e_c_u_tiv_e_O_ff_ice_r _____ __ 

Note: This registration must be signed by a responsible officer, such as the President, Vice President, Secretary or Treasurer. or partner or owner 

of the carrier. 

TO ENSURE PROPER PROCESSING OF THIS REGISTRATION, PLEASE COMPLETE THIS FORM IN ITS ENTIRETY. 
Exhibit CFM - 708

Additional Sheet for OST Form 4507 

I Aircraft Make & Model I FAA Registration Number I Passenger Seats Installed 

1. British Aerospace BA3101 N643JX 10 

2. British Aerospace BA3201 N569ST 8 

3. British Aerospace BA3201 N874CP -

12 

4. British Aerospace BA3201 N913AE 19 

5. British Aerospace BA41 01 N564HK 30 

6. British Aerospace BA41 01 N320UE 29 

7. Beech B100 N1001W 8 

8. Beech B100 N6045S 8 

9. Beech B100 N8470 8 

10. Learjet 35A N32PE 8 

11 . Learjet 35A N701DA 8 

12. Citation 525 N525AL 6 

13. Citation 560 N365EA 8 

14. Citation 560 N560HG 8 

15. Citation 650 N703RB 8 

16. Citation 680 N680VR 9 

17. EMB-500 N644RM 5 

18. EMB-500 N784JP 5 

19. EMB-500 N615SM 5 

20. Falcon DA-10 N23VP 8 

21 . Hawker 700A N406J 8 

22. lA-JET 1124 N481NS 8 
~r' 

~. 

NATIONAL 

~innacle" BANK 

Primary Account Number: 

Statement Period: 12-31-2011 to 01-31-2012 

150 3rd Avenue South. 900 • Nashville, TN 37201 Page 1 

Bank Statement of 01-31-2012 

EXCLUDE-FlatSingle 

3.6022 EX 0.000 37 11 282 

r.nl·rlnr·~tA Flight 

M""nh."Qm.Qnt Inc 

nn,"r~1rinn Account 

Warpoole Rd 

TN 37167-5677 

Deposits and InV'~!:l:tlmAnt!:l: 

Account # Balance 

Account $4,641.23 

Vista Business 

Electronic Statements: Increased Convenience and Security 

1:-:::itatI9mEmts give you the convenience of accessing your statements at 

time with the added security of password protection. You won't have 

about the security of your mail or delivery mistakes. 

ning up is easy when you login to online banking at www.pnfp.com and 

"User Services." 

Ba,anc:e on 12-30-2011 

Total Number of Checks: 260 

$90,119.70 

$3,536,562.56 

$3,622,041.03 

Ending Balan~:e on 01-31-2012 

Average R",I",nr'" This Statement 

Deposits 

Description 

DEPOSIT 

DEPOSIT 

DEPOSIT 

DEPOSIT 

DEPOSIT 

DEPOSIT 

DEPOSIT 

DEPOSIT 

DEPOSIT 

$61,294.34 

1-03-2012 

01-05-2012 

01-05-2012 

01-06-2012 

01-09-2012 

01-11-2012 

01-11-2012 

01-11-2012 

01-11-2012 

$4,641.23 

Amount 

$111,722.75 

$33,000.00 

$53,917.46 

$60,338.10 

$91,045.83 

$816.41 

$9,008.11 

$21,000.00 

$34,000.00 

) 755-5428 • Client Service Center (800) 264-3613 • www.pnfp.com 

.""-~ , , 

I 

MEMBER I FDIC· 

Pinnaclew 

NATIONAL BANK 

Primary Account Number: _ 

Statement Period: 12-31-2011 to 01-31-2012 

150 3rd Avenue South. 900 • Nashville, TN 37201 Page 1 

3.6022 EX 0.000 3711282 -_. 

Cnlrr1nlr~tA Flight 

l\A .. nar'Am'Ant Inc 

OPl9taitina Account 

Warpoole Rd 

TN 37167-5677 

Deposits and InvA~tmAnt~ 

Account # Balance 

- $4,641.23 

Vista Business 

Electronic Statements: Increased Convenience and Security 

E-::itatl~melnts give you the convenience of accessing your statements at 

time with the added security of password protection. You won't have 

about the security of your mail or delivery mistakes. 

up is easy when you login to online banking at www.pnfp.com and 

Services." 

Beginning Balan~:A on 12-30·2011 

Total Number of Checks: 260 

$90,119.70 

$3,536,562.56 

$3,622,041.03 

Ending Balanl!A on 01-31·2012 

Average H~I~nr:A This Statement 

Deposits 

Description 

DEPOSIT 

DEPOSIT 

DEPOSIT 

DEPOSIT 

DEPOSIT 

DEPOSIT 

DEPOSIT 

DEPOSIT 

DEPOSIT 

$61,294.34 

-03-2012 

01-05-2012 

01-05-2012 

01-06-2012 

01-09-2012 

01-11-2012 

01-11-2012 

01-11-2012 

01-11-2012 

$4,641.23 

Amount 

$111,722.75 

$33,000.00 

$53,917.46 

$60,338.10 

$91,045.83 

$816.41 

$9,008.11 

$21,000.00 

$34,000.00 

755-5428 • Client Service Center (800) 264-3613 • www.pnfp.com 

MEMBER 

FDIC 

I 

Exhibit Exhibit CFM CFM -709 -709 
?innacle 

NATIONAL BANK 

Bank Statement as of 02-29-2012 

********************** EX CL U D E -FlatSi ng Ie 

108043.9934 EX 0.000 37 11 276 

Corporate Flight 

Management Inc 

Operating Account 

276 Doug Warpoole Rd 

Smyrna TN 37167-5677 

Deposits and Investments 

Account # Description 

Vista Business Account 

Primary Account Number: 

Statement Period: 02-01-2012 to 02-29-2012 

Page 1 

Balance 

$86,108.94 

Electronic Statements: Increased Convenience and Security 

E-Statements give you the convenience of accessing your statements at 

any time with the added security of password protection. You won't have 

to worry about the security of your mail or delivery mistakes. 

Signing up is easy when you login to online banking at www.pnfp.com and 

go to "User Services." 

Vista Business No. 

Beginning Balance on 01-31-2012 

Deposits/Credits 

CheckslWithdrawals 

Ending Balance on 02-29-2012 

Average Balance This Statement 

DepOSits 

Description 

DEPOSIT 

DEPOSIT 

DEPOSIT 

DEPOSIT 

DEPOSIT 

DEPOSIT 

DEPOSIT 

DEPOSIT 

DEPOSIT 

$86,523.42 

Total Number of Checks: 292 

$4,641.23 

$3,647,825.48 

$3,566,357.77 

Post Date 

02-01-2012 

02-02-2012 

02-03-2012 

02-06-2012 

02-07-2012 

02-07-2012 

02-08-2012 

02-09-2012 

02-09-2012 

$86,108.94 

Amount 

$54,953.91 

$279,568.75 

$103,504.31 

$71,304.92 

$7,418.87 

$100,000.00 

$22,915.69 

$3,969.53 

$33,000.00 

?innacle 

NATIONAL BANK 

Bank Statement as of 02-29-2012 

********************** EX CL U D E -FlatSi ng Ie 

108043.9934 EX 0.000 37 11 276 

Corporate Flight 

Management Inc 

Operating Account 

276 Doug Warpoole Rd 

Smyrna TN 37167-5677 

Deposits and Investments 

Account # Description 

- Vista Business Account 

Primary Account Number: _ 

Statement Period: 02-01-2012 to 02-29-2012 

Page 1 

Balance 

$86,108.94 

Electronic Statements: Increased Convenience and Security 

E-Statements give you the convenience of accessing your statements at 

any time with the added security of password protection. You won't have 

to worry about the security of your mail or delivery mistakes. 

Signing up is easy when you login to online banking at www.pnfp.com and 

go to "User Services." 

Vista Business No._ 

Beginning Balance on 01-31-2012 

Deposits/Credits 

CheckslWithdrawals 

Ending Balance on 02-29-2012 

Average Balance This Statement 

DepOSits 

Description 

DEPOSIT 

DEPOSIT 

DEPOSIT 

DEPOSIT 

DEPOSIT 

DEPOSIT 

DEPOSIT 

DEPOSIT 

DEPOSIT 

$86,523.42 

Total Number of Checks: 292 

$4,641.23 

$3,647,825.48 

$3,566,357.77 

Post Date 

02-01-2012 

02-02-2012 

02-03-2012 

02-06-2012 

02-07-2012 

02-07-2012 

02-08-2012 

02-09-2012 

02-09-2012 

$86,108.94 

Amount 

$54,953.91 

$279,568.75 

$103,504.31 

$71,304.92 

$7,418.87 

$100,000.00 

$22,915.69 

$3,969.53 

$33,000.00 

Exhibit Exhibit CFM CFM -709 -709 
Pinnacle' 

NATIONAL BANK 

150 3rd Avenue South 0 5 'te 900 • Nashville, TN 37201 

Bank Statement s of 03-30-2012 

***** ***************EXCLUDE-FlatSingle 

1087 3.9934 EX 0.000 3711313 

Corp rate Flight 

Mana ement Inc 

Oper ting Account 

276 oug Warpoole Rd 

Smyr a TN 37167-5677 

Deposits and Invest ents 

Account # 

Primary Account Number: 

Statement Period: 03-01-2012 to 03-30-2012 

Page 1 

Balance 

$90,093.71 

Electronic Statements: Increased Convenience and Security 

-Statements give you the convenience of accessing your statements at 

ny time with the added security of password protection. You won't have 

o worry about the security of your mail or delivery mistakes. 

igning up is easy when you login to online banking at www.pnfp.com and 

o to "User Services." 

Vista Business N . 

Ending Balan e on 03·30·2012 

Average Balan e This Statement 

Deposits 

Description 

DEPOSIT 

DEPOSIT 

DEPOSIT 

DEPOSIT 

DEPOSIT 

DEPOSIT 

DEPOSIT 

DEPOSIT 

DEPOSIT 

$69,981.43 

Total Number of Checks: 285 

$86,108.94 

$3,790,390.68 

$3,786,405.91 

PostDate 

03-02-2012 

03-02-2012 

03-02-2012 

03-05-2012 

03-06-2012 

03-07-2012 

03-08-2012 

03-09-2012 

03-09-2012 

$90,093.71 

Amount 

$835.07 

$30,000.00 

$104,237.42 

$110,810.65 

$45,190.00 

$50,295.00 

$15,115.16 

$27,000.00 

$70,978.76 

I -I 

--I 

--' I 

-[ 

t5) MEMBER ECl'JAlfiOUSlNG 

LENDER 866) 755-5428 • Client Service Center (800) 264-3613 • www.pnfp.com FDIC 

Pinnaclew 

NATIONAL BANK 

150 3rd Avenue South 0 

Bank Statement 

Primary Account Number: _ 

Statement Period: 03-01-2012 to 03-30-2012 

900 0 Nashville, TN 37201 Page 1 

of 03-30-2012 

DE-FlatSingle 

3711313 

Deposits and Inu,DC!tmD,ntC! 

Account # 

-

Vista Business 

Electronic Statements: Increased Convenience and Security 

f-:::;tatE~mEmts give you the convenience of accessing your statements at 

time with the added security of password protection. You won't have 

about the security of your mail or delivery mistakes. 

up is easy when you login to online banking at www.pnfp.com and 

Services." 

Balance 

$90,093.71 

Beginning Blllllnl:1!! on 02·29-2012 

Total Number of Checks: 285 

$86,108.94 

$3,790,390.68 

$3,786,405.91 

Ending ~lIll1n~~iII on 03-30·2012 

Average R",I~,""" This Statement 

Deposits 

Description 

DEPOSIT 

DEPOSIT 

DEPOSIT 

DEPOSIT 

DEPOSIT 

DEPOSIT 

DEPOSIT 

DEPOSIT 

DEPOSIT 

$69,981.43 

3; 

63-02-2012 

03-02-2012 

03-02-2012 

03-05-2012 

03-06-2012 

03-07-2012 

03-08-2012 

03-09-2012 

03-09-2012 

$90,093.71 

Amount 

$835.07 

$30,000.00 

$104,237.42 

$110,810.65 

$45,190.00 

$50,295.00 

$15,115.16 

$27,000.00 

$70,978.76 

i __ , I 

I -I 

--' I 

! --' 

MEMBER 

755-5428 0 Client Service Center (800) 264-3613 • www.pnfp.com FDIC 

Exhibit Exhibit CFM CFM -709 -709 
~. 

.... ::!: •. 

~innacllr NATIONAL BANK 

Primary Account Number: 

Statement Period: 03-31-2012 to 04-30-2012 

150 3rd Avenue South· S 'te 900 • Nashville, TN 37201 Page 1 

Bank Statement s of 04-30-2012 

i 

, --, 

***** ****************EXCLUDE-FlatSingle 

107 4.1890EXO.000 3711321 

Corp rate Flight 

Man gement Inc 

Oper ting Account 

276 oug Warpoole Rd 

Smy a TN 37167-5677 

Deposits and Inves ents 

Account # Descri tion Balance 

usiness Account $127,025.72 

Electronic Statements: Increased Convenience and Security 

-Statements give you the convenience of accessing your statements at 

ny time with the added security of password protection. You won't have 

o worry about the security of your mail or delivery mistakes. 

igning up is easy when you login to online banking at www.pnfp.com and 

o to "User Services." 

Vista Business o. Total Number of Checks: 319 

$90,093.71 

$3,804,561.57 

$3,767,629.56 

Ending Balan eon 04·30·2012 

Deposits 

Description 

DEPOSIT 

DEPOSIT 

DEPOSIT 

DEPOSIT 

DEPOSIT 

DEPOSIT 

DEPOSIT 

DEPOSIT 

DEPOSIT 

$92,927.08 

PostDate 

04-02-2012 

04-03-2012 

04-04-2012 

04-04-2012 

04-04-2012 

04-05-2012 

04-06-2012 

04-06-2012 

04-09-2012 

$127,025.72 

Amount 

$149,166.53 

$32,968.52 

$5,000.00 

$14,000.00 

$37,605.46 

$92,749.94 

$14,784.16 

$33,182.82 

$117,683.67 

MEMBER Pm~I¥;~~rti:D[J.e (866) 755-5428 0 Client Service Center (800) 264-3613 • www.pnfp.com FDIC 

~innaclew NATIONAL BANK 

150 3rd Avenue South. S ite 900 • Nashville, TN 37201 

Bank Statement s of 04·30·2012 

***** ****************EXCLUDE-FlatSingle 

107 44.1890 EX 0.000 3711321 

Corp rate Flight 

Man gement Inc 

Oper ting Account 

276 oug Warpoole Rd 

Smy a TN 37167-5677 

Deposits and Inves ents 

Account # Descri tion 

- usiness Account 

Primary Account Number: _ 

Statement Period: 03-31-2012 to 04-30-2012 

Page 1 

Balance 

$127,025.72 

Electronic Statements: Increased Convenience and Security 

-Statements give you the convenience of accessing your statements at 

ny time with the added security of password protection. You won't have 

o worry about the security of your mail or delivery mistakes. 

igning up is easy when you login to online banking at www.pnfp.com and 

o to "User Services." 

Vista Business 0._ 

Checks ithdrawals 

Ending Balan eon 04·30·2012 

Average Bala ce This Statement 

Deposits 

Description 

DEPOSIT 

DEPOSIT 

DEPOSIT 

DEPOSIT 

DEPOSIT 

DEPOSIT 

DEPOSIT 

DEPOSIT 

DEPOSIT 

$92,927.08 

Total Number of Checks: 319 

$90,093.71 

$3,804,561.57 

$3,767,629.56 

PostDate 

04-02-2012 

04-03-2012 

04-04-2012 

04-04-2012 

04-04-2012 

04-05-2012 

04-06-2012 

04-06-2012 

04-09-2012 

$127,025.72 

Amount 

$149,166.53 

$32,968.52 

$5,000.00 

$14,000.00 

$37,605.46 

$92,749.94 

$14,784.16 

$33,182.82 

$117,683.67 

I 

I 

--I 

---+ 

MEMBER 

.ytiIne (866) 755-5428 • Client Service Center (800) 264-3613 • www.pnfp.com FDIC 

Exhibit Exhibit CFM CFM -709 -709 
"' .. ,. ' 

~' 

r 

Pinnacle'· 

NATIONAL BANK 

150 3rd Avenue South. 5 ite 900 0 Nashville, TN 37201 

Bank Statement ~s of 05-31-2012 

***** ****************EXCLUDE-FlatSingle 

107~94.3846 EX 0.000 3611339 

Corp ~rate Flight 

Mam gement Inc 

Oper~ting Account 

276 [ aug Warpoole Rd 

Smyrra TN 37167-5677 

Deposits and Investments 

Primary Account Number: 

Statement Period: 05-01-2012 to 05-31-2012 

Page 1 

Account # Descri tion Balance 

Vista B~siness Account $66,914.51 

Electronic Statements: Increased Convenience and Security 

-Statements give you the convenience of accessing your statements at 

ny time with the added security of password protection. You won't have 

a worry about the security of your mail or delivery mistakes. 

:)igning up is easy when you login to online banking at www.pnfp.com and 

a to "User Services." 

Vista Business Np. 

Beginning Ba ance on 04-30-2012 

Deposits/( red its 

Total Number of Checks: 332 

$127,025.72 

$3,842,850.96 

Checks/W ithdrawals $3,902,962.17 

Ending Balan e on 05-31-2012 

Average Balan e This Statement 

Deposits 

Description 

DEPOSIT 

DEPOSIT 

DEPOSIT 

DEPOSIT 

DEPOSIT 

DEPOSIT 

DEPOSIT 

DEPOSIT 

DEPOSIT 

$71,224.80 

$66,914.51 

Post Date Amount 

05-01-2012 $65,756.41 

05-02-2012 $96,281.17 

05-03-2012 $76,562.90 

05-04-2012 $105,362.86 

05-07-2012 $120,330.25 

05-08-2012 $31,653.84 

05-09-2012 $20,000.00 

05-09-2012 $44,704.75 

05-10-2012 $20,313.94 

G) 

EOUALHOlISING 

LENDER Pinnacle 1 my time (866) 755-5428 • Client Service Center (800) 264-3613 0 www.pnfp.com 

MEMBER 

FDIC 

Pinnacleh 

NATIONAL BANK 

150 3rd Avenue South. Site 900 0 Nashville, TN 37201 

Bank Statement liS of 05-31-2012 

***** ****************EXCLUDE-FlatSingle 

107494.3846 EX 0.000 3611339 

Corp rate Flight 

Mam gement Inc 

Oper ~ting Account 

276 [ oug Warpoole Rd 

Smy na TN 37167-5677 

Deposits and Investments 

Primary Account Number: _ 

Statement Period: 05-01-2012 to 05-31-2012 

Page 1 

Account # Descri tion Balance 

- Vista 8 usiness Account $66,914.51 

Electronic Statements: Increased Convenience and Security 

-Statements give you the convenience of accessing your statements at 

ny time with the added security of password protection. You won't have 

o worry about the security of your mail or delivery mistakes. 

~igning up is easy when you login to online banking at www.pnfp.com and 

~o to "User Services." 

Vista Business No._ 

Beginning Ba ance on 04-30-2012 

Deposits! red its 

CheckslW ithdrawals 

Total Number of Checks: 332 

$127,025.72 

$3,842,850.96 

$3,902,962.17 

Ending Balan eon 05-31·2012 

Average Balan~e This Statement 

Deposits 

Description 

DEPOSIT 

DEPOSIT 

DEPOSIT 

DEPOSIT 

DEPOSIT 

DEPOSIT 

DEPOSIT 

DEPOSIT 

DEPOSIT 

$71,224.80 

Post. Date 

05-01-2012 

05-02-2012 

05-03-2012 

05-04-2012 

05-07-2012 

05-08-2012 

05-09-2012 

05-09-2012 

05-10-2012 

$66,914.51 

Amount 

$65,756.41 

$96,281.17 

$76,562.90 

$105,362.86 

$120,330.25 

$31,653.84 

$20,000.00 

$44,704.75 

$20,313.94 

G:r 

LENDER 'QUAl""""" Pi.nruicJ.e J~ytim.e (866) 755-5428 • Client Service Center (800) 264-3613 • www.pnfp.com FDIC 

Exhibit Exhibit CFM CFM -709 -709 
F'innacle'" 

NATIONAL BANK 

150 3rd Avenue South. Suite 900 • Nashville, TN 37201 

Bank Statement as of 06-29-2012 

**********************EXCLU DE-FlatSingle 

108854.3846 EX 0.000 374320 

Corporate Flight 

Management Inc 

Operating Account 

276 Doug Warpoole Rd 

Smyrna TN 37167-5677 

Deposits and Investments 

Primary Account Number: 

Statement Period: 06-01-2012 to 06-29-2012 

Page 1 

Account # Description Balance 

Vista Business Account $67,125.16 

We recently moved our debit card program from Visa to MasterCard. As 

. always, there is no fee for your debit card. The fees for international 

debit card transactions and/or transactions involving foreign currency 

will remain the same under MasterCard. However, these fees will have new 

descriptions. 

Below is updated information concerning foreign transaction fees: 

- MasterCard Cross Border Fee equal to 0.80% of the U.S. Dollar value of 

any transaction conducted at a non-U.S. merchant or location. Fee is 

originated by MasterCard. 

- MasterCard Currency Conversion Fee equal to 0.20% of the U.S. Dollar 

value of any transaction where a conversion to a non-U.S. Dollar 

denomination occurs. Fee is originated by MasterCard. 

Vista Business No. Total Number of Checks: 335 

$66,914.51 

$4,243,445.04 

$4,243.234.39 

LENDER 

EOUAlOOllSm 

~ 

Beginning Balance on 05-31·2012 

Deposits/Credits 

CheckslWithdrawals 

Ending Balance on 06·29·2012 

Average Balance This Statement 

$67,125.16 

$92,709.51 

755-5428 • Client Service Center (800) 264-3613 • www.pnfp.com 

MEMBER 

FDIC 

r 

Pinnacle~ NATIONAL BANK 

150 3rd Avenue South. Suite 900 0 Nashville, TN 37201 

Bank Statement as of 06-29-2012 

**********************EXCLUDE-FlatSingle 

108854.3846 EX 0.000 374320 

Corporate Flight 

Management Inc 

Operating Account 

276 Doug Warpoole Rd 

Smyma TN 37167-5677 

Deposits and Investments 

Primary Account Number: _ 

Statement Period: 06-01-2012 to 06- -

Page 1 

Account # Description Balance 

- Vista Business Account $67,125.16 

We recently moved our debit card program from Visa to MasterCard. As 

. always, there is no fee for your debit card. The fees for intemational 

debit card transactions and/or transactions involving foreign currency 

will remain the same under MasterCard. However, these fees will have new 

descriptions. 

Below is updated information concerning foreign transaction fees: 

- MasterCard Cross Border Fee equal to 0.80% of the U.S. Dollar value of 

any transaction conducted at a non-U.S. merchant or location. Fee is 

originated by MasterCard. 

- MasterCard Currency Conversion Fee equal to 0.20% of the U.S. Dollar 

value of any transaction where a conversion to a non-U.S. Dollar 

denomination occurs. Fee is originated by MasterCard. 

Vista Business No._ 

Beginning Balance on 05-31·2012 

Deposits/Credits 

CheckslWithdrawals 

Total Number of Checks: 335 

$66,914.51 

$4,243,445.04 

$4,243,234.39 

1i} 

..... """"'" LENDER 

Ending Balance on 06·29·2012 

Average Balance This Statement $92,709.51 

$67,125.16 

755-5428 • Client Service Center (800) 264-3613 0 www.pnfp.com 

MEMBER 

FDIC 

Exhibit Exhibit CFM CFM -709 -709 
~innaclew NATIONAL BANK 

150 3rd Avenue South • Suite 900 0 Nashville, TN 37201 

Bank Statement as of 07-31-2012 

**********************EXCLUDE-FlatSingle 

106724.6379 EX 0.000 414423 

Corporate Flight 

Management Inc 

Operating Account 

276 Doug Warpoole Rd 

Smyrna TN 37167-5677 

Deposits and Investments 

Primary Account Number: 

Statement Period: 06-30-2012 to 07-31-2012 

Page 1 

Account # Description Balance 

Vista Business Account $99,011.39 

Eledronic Statements: Increased Convenience and Security 

E-Statements give you the convenience of accessing your statements at 

any time with the added security of password protection. You won't have 

to worry about the security of your mail or delivery mistakes. 

Signing up is easy when you login to online banking at www.pnfp.com and 

go to "User Services." 

Vista Business No. 

Beginning Balance on 06·29·2012 

Deposits/Credits 

CheckslWithdrawals 

Total Number of Checks: 337 

$67,125.16 

$3,463,870.94 

$3,431,984.71 

Ending Balance on 07·31·2012 

Average Balance This Statement 

Deposits 

Description 

DEPOSIT 

DEPOSIT 

DEPOSIT 

DEPOSIT 

DEPOSIT 

DEPOSIT 

DEPOSIT 

DEPOSIT 

DEPOSIT 

$75,155.45 

'/'J .. ~f-;;'~ ,;~r ·"'07-02-2012 

;~J'" 07-02-2012 

07-03-2012 

07-03-2012 

07-05-2012 

07-06-2012 

07-09-2012 

07-09-2012 

07-09-2012 

$99,011.39 

Amount 

$37,000.00 

$111,605.85 

$5,090.59 

$30,000.00 

$89,504.09 

$4,305.72 

$18,000.00 

$20,000.00 

$159,513.54 

MEMBER 

755-5428 0 Client Service Center (800) 264-3613 0 www.pnfp.com FDIC 

~innaclew NATIONAL BANK 

150 3rd Avenue South • Suite 900 • Nashville, TN 37201 

Bank Statement as of 07-31-2012 

**********************EXCLUDE-FlatSingle 

106724.6379 EX 0.000 41 4423 

Corporate Flight 

Management Inc 

Operating Account 

276 Doug Warpoole Rd 

Smyrna TN 37167-5677 

Deposits and Investments 

Primary Account Number: _ 

Statement Period: 06-30-2012 to 07~ 

Page 1 

Account # Description Balance 

- Vista Business Account $99,011.39 

Electronic Statements: Increased Convenience and Security 

E-Statements give you the convenience of accessing your statements at 

any time with the added security of password protection. You won't have 

to worry about the security of your mail or delivery mistakes. 

Signing up is easy when you login to online banking at www.pnfp.com and 

go to "User Services." 

Vista Business No._ 

Beginning Balance on 06·29·2012 

Deposits/Credits 

CheckslWithdrawals 

Total Number of Checks: 337 

$67,125.16 

$3,463,870.94 

$3,431,984.71 

Ending Balance on 07·31·2012 

Average Balance This Statement 

Deposits 

Description 

DEPOSIT 

DEPOSIT 

DEPOSIT 

DEPOSIT 

DEPOSIT 

DEPOSIT 

DEPOSIT 

DEPOSIT 

DEPOSIT 

$75,155.45 

-02-2012 

07-02-2012 

07-03-2012 

07-03-2012 

07-05-2012 

07-06-2012 

07-09-2012 

07-09-2012 

07-09-2012 

$99,011.39 

Amount 

$37,000.00 

$111,605.85 

$5,090.59 

$30,000.00 

$89,504.09 

$4,305.72 

$18,000.00 

$20,000.00 

$159,513.54 

MEMBER 

755-5428 • Client Service Center (800) 264-3613 0 www.pnfp.com FDIC 

Exhibit Exhibit CFM CFM -709 -709 
r 

~innacle~ 

150 3rd Avenue South· Suite 900 • Nashville, TN 37201 

Bank Statement as of 08-31-2012 

**********************EXCLU DE-FlatSingle 

106755.0291 EX 0.000 41 4453 

Corporate Flight 

Management Inc 

Operating Account 

276 Doug Warpoole Rd 

Smyrna TN 37167-5677 

Deposits and Investments 

Primary Account Number: 

Statement Period: 08-01-2012 to 08-31-2012 

Page 1 

Account # Description Balance 

Vista Business Account $11,250.67 

Electronic Statements: Increased Convenience and Security 

E-Statements give you the convenience of accessing your statements at 

any time with the added security of password protection. You won't have 

to worry about the security of your mail or delivery mistakes. 

Signing up is easy when you login to online banking at www.pnfp.com and 

go to "User Services." 

Vista Business No. Total Number of Checks: 366 

$99,011.39 

$3,891,560.37 

$3,979,321.09 

Beginning Balance on 07·31·2012 

Deposits/Credits 

CheckslWithdrawals 

Ending Balance on 08·31·2012 

Average Balance This Statement 

Deposits 

Description 

DEPOSIT 

DEPOSIT 

DEPOSIT 

DEPOSIT 

DEPOSIT 

DEPOSIT 

DEPOSIT 

DEPOSIT 

DEPOSIT 

$48,033.82 

1-2012 

08-02-2012 

08-03-2012 

08-06-2012 

08-06-2012 

08-06-2012 

08-07-2012 

08-08-2012 

08-09-2012 

$11,250.67 

Amount 

$7,454.41 

$65,834.24 

$48,388.19 

$20,000.00 

$30,000.00 

$235,161.60 

$2,504.18 

$105,961.22 

$15,917.68 

~ EQlJAI. KOUSING 

LENDER (866) 755-5428 • Client Service Center (800) 264-3613 • www.pnfp.com 

MEMBER 

FDIC 

lIinnacle150 3rd Avenue South 0 Suite 900 • Nashville, TN 37201 

Bank Statement as of 08-31-2012 

**********************EXCLUDE-FlatSingle 

106755.0291 EX 0.000 41 4453 

Corporate Flight 

Management Inc 

Operating Account 

276 Doug Warpoole Rd 

Smyrna TN 37167-5677 

Deposits and Investments 

Primary Account Number: _ 

Statement Period: 08-01-2012 to 08-31-2012 

Page 1 

Account # Description Balance 

- Vista Business Account $11,250.67 

Electronic Statements: Increased Convenience and Security 

E-Statements give you the convenience of accessing your statements at 

any time with the added security of password protection. You won't have 

to worry about the security of your mail or delivery mistakes. 

Signing up is easy when you login to online banking at www.pnfp.com and 

go to "User Services." 

Vista Business No._ 

Beginning Balance on 07·31·2012 

Deposits/Credits 

CheckslWithdrawals 

Total Number of Checks: 366 

$99,011.39 

$3,891,560.37 

$3,979,321.09 

Ending Balance on 08·31·2012 

Average Balance This Statement 

Deposits 

Description 

DEPOSIT 

DEPOSIT 

DEPOSIT 

DEPOSIT 

DEPOSIT 

DEPOSIT 

DEPOSIT 

DEPOSIT 

DEPOSIT 

$48,033.82 

'W-f1~-·"'''2 

08-02-2012 

08-03-2012 

08-06-2012 

08-06-2012 

08-06-2012 

08-07-2012 

08-08-2012 

08-09-2012 

$11,250.67 

Amount 

$7,454.41 

$65,834.24 

$48,388.19 

$20,000.00 

$30,000.00 

$235,161.60 

$2,504.18 

$105,961.22 

$15,917.68 

(866) 755-5428. Client Service Center (800) 264-3613 e www.pnfp.com 

MEMBER 

FDIC 

Exhibit Exhibit CFM CFM -709 -709 
Pinnacle'" Primary Account Number: 

Statement Period: 

j ~o 3rd ;\venue South 0 Suite SIOO 01<1,;lwillc>, T'" 372111 

Bank Statement as of 09-28-2012 

********************** EXCL U D E -FlatSingle 

107554.5546 EX 0.000 41 4391 

Corporate Flight 

Management Inc 

Operating Account 

276 Doug Warpoole Rd 

Smyrna TN 37167-5677 

Deposits and Investments 

Account # Description 

Vista Business Account 

Electronic Statements: Increased Convenience and Security 

E-Statements give you the convenience of accessing your statements at 

any time with the added security of password protection. You won't have 

to worry about the security of your mail or delivery mistakes. 

Signing up is easy when you login to online banking at www.pnfp.com and 

go to "User Services." 

09-01-2012 to 09-28-2012 

Page 1 

Balance 

$42,635.20 

Vista Business No. 

Beginning Balance on 08·31·2012 

Deposits/Credits 

ChecksIWithdrawals 

Total Number of Checks: 323 

$11,250.67 

$2,792,755.44 

$2,761,370.91 

Ending Balance on 09·28·2012 

Average Balance This Statement 

Deposits 

Description 

DEPOSIT 

DEPOSIT 

DEPOSIT 

DEPOSIT 

DEPOSIT 

DEPOSIT 

DEPOSIT 

DEPOSIT 

DEPOSIT 

$33,282.17 

Post Date 

09-04-2012 

09-05-2012 

09-06-2012 

09-06-2012 

09-07-2012 

09-07-2012 

09-10-2012 

09-11-2012 

09-11-2012 

$42,635.20 

Amount 

$139,578.52 

$102,250.47 

$26,000.00 

$97,014.15 

$11,000.00 

$30,638.29 

$49,548.84 

$17,000.00 

$38,743.42 

Pinnacle (866) 755-5428 CI it'll t Service Center (800) 264<}6J:l @ ww IV, pl1 

Pinnacle'" Primary Account Number: 

Statement Period: 

j ~o 3rd ;\venue South 0 Suite SIOO 01<1,;lwillc>, T'" 372111 

Bank Statement as of 09-28-2012 

********************** EXCL U D E -FlatSingle 

107554.5546 EX 0.000 41 4391 

Corporate Flight 

Management Inc 

Operating Account 

276 Doug Warpoole Rd 

Smyrna TN 37167-5677 

Deposits and Investments 

Account # Description 

Vista Business Account 

Electronic Statements: Increased Convenience and Security 

E-Statements give you the convenience of accessing your statements at 

any time with the added security of password protection. You won't have 

to worry about the security of your mail or delivery mistakes. 

Signing up is easy when you login to online banking at www.pnfp.com and 

go to "User Services." 

09-01-2012 to 

Page 1 

Balance 

$42,635.20 

Vista Business No._ 

Beginning Balance on 08·31·2012 

Deposits/Credits 

ChecksIWithdrawals 

Total Number of Checks: 323 

$11,250.67 

$2,792,755.44 

$2,761,370.91 

Ending Balance on 09·28·2012 

Average Balance This Statement 

Deposits 

Description 

DEPOSIT 

DEPOSIT 

DEPOSIT 

DEPOSIT 

DEPOSIT 

DEPOSIT 

DEPOSIT 

DEPOSIT 

DEPOSIT 

$33,282.17 

Post Date 

09-04-2012 

09-05-2012 

09-06-2012 

09-06-2012 

09-07-2012 

09-07-2012 

09-10-2012 

09-11-2012 

09-11-2012 

$42,635.20 

Amount 

$139,578.52 

$102,250.47 

$26,000.00 

$97,014.15 

$11,000.00 

$30,638.29 

$49,548.84 

$17,000.00 

$38,743.42 

Pinnacle (866) 755-5428 CI it'll t Service Center (800) 264<}6J:l @ ww IV, pl1 

Exhibit Exhibit CFM CFM -709 -709 
Primary Account Number: 

Statement Period: 09-29-2012 to 10-31-2012 

]50 3re! Avenue South· Suite YOO • Nashville, TN :l72()] 

Bank Statement as of 10-31-2012 

**********************EXCLUDE-FlatSingle 

105475.1414 EX 0.000 404469 

Corporate Flight 

Management Inc 

Operating Account 

276 Doug Warpoole Rd 

Smyrna TN 37167-5677 

Deposits and Investments 

Account # Description 

Vista Business Account 

Electronic Statements: Increased Convenience and Security 

E-Statements give you the convenience of accessing your statements at 

any time with the added security of password protection. You won't have 

to worry about the security of your mail or delivery mistakes. 

Signing up is easy when you login to online banking at www.pnfp.com and 

go to "User Services." 

Page 1 

Balance 

$63,498.43 

Vista Business No. 

Beginning Balance on 09-28-2012 

Deposits/Credits 

Checks/Withdrawals 

Total Number of Checks: 384 

$42,635.20 

$3,720,856.87 

$3,699,993.64 

Ending Balance on 10·31·2012 

Average Balance This Statement 

Deposits 

Description 

DEPOSIT 

DEPOSIT 

DEPOSIT 

DEPOSIT 

DEPOSIT 

DEPOSIT 

DEPOSIT 

DEPOSIT 

DEPOSIT 

$52,663.63 

Post Date 

10-01-2012 

10-02-2012 

10-02-2012 

10-03-2012 

10-04-2012 

10-04-2012 

10-05-2012 

10-05-2012 

10-09-2012 

(866) 755-5428 @ Client Service Center (800) 264-3613 • 

$63,498.43 

Amount 

$54,579.75 

$15,000.00 

$24,672.42 

$79,877.53 

$25,000.00 

$157,454.43 

$7,000.00 

$28,220.23 

$140,044.40 

Primary Account Number: _ 

Statement Period: 09-29-2012 to 10~ 

]50 3re! Avenue South· Suite YOO • Nashville, TN :l72()] 

Bank Statement as of 10-31-2012 

**********************EXCLUDE-FlatSingle 

105475.1414 EX 0.000 404469 

Corporate Flight 

Management Inc 

Operating Account 

276 Doug Warpoole Rd 

Smyrna TN 37167-5677 

Deposits and Investments 

Account # 

-

Description 

Vista Business Account 

Electronic Statements: Increased Convenience and Security 

E-Statements give you the convenience of accessing your statements at 

any time with the added security of password protection. You won't have 

to worry about the security of your mail or delivery mistakes. 

Signing up is easy when you login to online banking at www.pnfp.com and 

go to "User Services." 

Page 1 

Balance 

$63,498.43 

Vista Business No._ 

Beginning Balance on 09-28-2012 

Deposits/Credits 

Checks/Withdrawals 

Total Number of Checks: 384 

$42,635.20 

$3,720,856.87 

$3,699,993.64 

Ending Balance on 10·31·2012 

Average Balance This Statement 

Deposits 

Description 

DEPOSIT 

DEPOSIT 

DEPOSIT 

DEPOSIT 

DEPOSIT 

DEPOSIT 

DEPOSIT 

DEPOSIT 

DEPOSIT 

$52,663.63 

Post Date 

10-01-2012 

10-02-2012 

10-02-2012 

10-03-2012 

10-04-2012 

10-04-2012 

10-05-2012 

10-05-2012 

10-09-2012 

(866) 755-5428 @ Client Service Center (800) 264-3613 • 

$63,498.43 

Amount 

$54,579.75 

$15,000.00 

$24,672.42 

$79,877.53 

$25,000.00 

$157,454.43 

$7,000.00 

$28,220.23 

$140,044.40 

Exhibit Exhibit CFM CFM -709 -709 
Primary Account Number: 

Statement Period: 11-01-2012 to 11-30-2012 

ISO "rd Avenu(' ~;oulh • Su;k 900. Nashville, TN :i7201 

Bank Statement as of 11-30-2012 

**********************EXCLUDE-FlatSingle 

104494.3590 EX 0.000 394419 

Corporate Flight 

Management Inc 

Operating Account 

276 Doug Warpoole Rd 

Smyrna TN 37167-5677 

Deposits and Investments 

Account # Description 

Vista Business Account 

NOTICE: The temporary full insurance coverage of "noninterest-bearing 

transaction accounts" and "IOL TAs" is scheduled to expire on December 31 

2012 unless extended by Congress. As of January 1, 2013, funds in these 

accounts will be insured under the FDIC's general deposit insurance 

rules, subject to the maximum of $250,000 for each ownership category. 

Please let us know if you have any questions or concerns. 

For more information, visit 

http://www.fdic.gov/depositldeposits/unlimited/expiration.html. 

Page 1 

Balance 

$61,277.28 

Vista Business No. 

Beginning Balance on 10·31·2012 

Deposits/Credits 

CheckslWithdrawals 

Total Number of Checks: 319 

$63,498.43 

$3,705,779.87 

$3,708,001.02 

Ending Balance on 11·30·2012 

Average Balance This Statement 

Deposits 

Description 

DEPOSIT 

DEPOSIT 

DEPOSIT 

DEPOSIT 

DEPOSIT 

DEPOSIT 

DEPOSIT 

$39,001.40 

Post Date 

11-01-2012 

11-02-2012 

11-05-2012 

11-06-2012 

11-06-2012 

11-06-2012 

11-07-2012 

Bank (866) 755-5428 • Client Service Center ((lOO) 264-3613 • 

$61,277.28 

Amount 

$40,141.00 

$48,906,83 

$60,833.01 

$8,000.00 

$19,000.00 

$39,450.72 

$68,657.96 

Primary Account Number: _ 

Statement Period: 11-01-2012 to 11~ 

ISO "rd Avenu(' ~;oulh • Su;k 900. Nashville, TN :i7201 

Bank Statement as of 11-30-2012 

**********************EXCLUDE-FlatSingle 

104494.3590 EX 0.000 394419 

Corporate Flight 

Management Inc 

Operating Account 

276 Doug Warpoole Rd 

Smyrna TN 37167-5677 

Deposits and Investments 

Account # Description 

Vista Business Account 

NOTICE: The temporary full insurance coverage of "noninterest-bearing 

transaction accounts" and "IOL TAs" is scheduled to expire on December 31 

2012 unless extended by Congress. As of January 1, 2013, funds in these 

accounts will be insured under the FDIC's general deposit insurance 

rules, subject to the maximum of $250,000 for each ownership category. 

Please let us know if you have any questions or concerns. 

For more information, visit 

http://www.fdic.gov/depositldeposits/unlimited/expiration.html. 

Page 1 

Balance 

$61,277.28 

Vista Business No._ 

Beginning Balance on 10·31·2012 

Deposits/Credits 

CheckslWithdrawals 

Total Number of Checks: 319 

$63,498.43 

$3,705,779.87 

$3,708,001.02 

Ending Balance on 11·30·2012 

Average Balance This Statement 

Deposits 

Description 

DEPOSIT 

DEPOSIT 

DEPOSIT 

DEPOSIT 

DEPOSIT 

DEPOSIT 

DEPOSIT 

$39,001.40 

Post Date 

11-01-2012 

11-02-2012 

11-05-2012 

11-06-2012 

11-06-2012 

11-06-2012 

11-07-2012 

Bank (866) 755-5428 • Client Service Center ((lOO) 264-3613 • 

$61,277.28 

Amount 

$40,141.00 

$48,906,83 

$60,833.01 

$8,000.00 

$19,000.00 

$39,450.72 

$68,657.96 

Exhibit Exhibit CFM CFM -709 -709 
Primary Account Number: 

Statement Period: 12-01-2012 to 12-31-2012 

150 ]rd ;\Vl'lllJe South Suile 9000 N,)Slwilk TN 372111 

Bank Statement as of 12-31-2012 

********************** EXC L U D E -FlatSi ng Ie 

103163.9678 EX 0.000 394397 

Corporate Flight 

Management Inc 

Operating Account 

276 Doug Warpoole Rd 

Smyrna TN 37167-5677 

Deposits and Investments 

Account # Description 

Vista Business Account 

NOTICE: The temporary full insurance coverage of "noninterest-bearing 

transaction accounts" and "IOL TAs" is scheduled to expire on December 31 

2012 unless extended by Congress. As of January 1, 2013, funds in these 

accounts will be insured under the FDIC's general deposit insurance 

rules, subject to the maximum of $250,000 for each ownership category. 

Please let us know if you have any questions or concerns. 

For more information, visit 

http://www.fdic.gov/depositldeposits/unlimited/expiration.html. 

Page 1 

Balance 

$14,287.27 

Vista Business No. 

Beginning Balance on 11·30·2012 

Deposits/Credits 

Checks/Withdrawals 

Total Number of Checks: 282 

$61,277.28 

$2,823,926.96 

$2,870,916.97 

Ending Balance on 12·31·2012 $14,287.27 

Average Balance This Statement $42,196.38 

Deposits 

Description Post Date Amount 

DEPOSIT 12-03-2012 $20,000.00 

DEPOSIT 12-03-2012 $78,799.14 

DEPOSIT 12-04-2012 $426.36 

DEPOSIT 12-04-2012 $7,084.61 

DEPOSIT 12-04-2012 $9,000.00 

DEPOSIT 12-04-2012 $15,000.00 

DEPOSIT 12-05-2012 $66,034.17 

Pinnacle (866) '755-5428 $ Client Service Center (800) 264--3613 • 

Primary Account Number: 

Statement Period: 12-01-2012 to 12-31-2012 

150 ]rd ;\Vl'lllJe South Suile 9000 N,)Slwilk TN 372111 

Bank Statement as of 12-31-2012 

********************** EXC L U D E -FlatSi ng Ie 

103163.9678 EX 0.000 394397 

Corporate Flight 

Management Inc 

Operating Account 

276 Doug Warpoole Rd 

Smyrna TN 37167-5677 

Deposits and Investments 

Account # Description 

Vista Business Account 

NOTICE: The temporary full insurance coverage of "noninterest-bearing 

transaction accounts" and "IOL TAs" is scheduled to expire on December 31 

2012 unless extended by Congress. As of January 1, 2013, funds in these 

accounts will be insured under the FDIC's general deposit insurance 

rules, subject to the maximum of $250,000 for each ownership category. 

Please let us know if you have any questions or concerns. 

For more information, visit 

http://www.fdic.gov/depositldeposits/unlimited/expiration.html. 

Page 1 

Balance 

$14,287.27 

Vista Business No._ 

Beginning Balance on 11·30·2012 

Deposits/Credits 

Checks/Withdrawals 

Total Number of Checks: 282 

$61,277.28 

$2,823,926.96 

$2,870,916.97 

Ending Balance on 12·31·2012 $14,287.27 

Average Balance This Statement $42,196.38 

Deposits 

Description Post Date Amount 

DEPOSIT 12-03-2012 $20,000.00 

DEPOSIT 12-03-2012 $78,799.14 

DEPOSIT 12-04-2012 $426.36 

DEPOSIT 12-04-2012 $7,084.61 

DEPOSIT 12-04-2012 $9,000.00 

DEPOSIT 12-04-2012 $15,000.00 

DEPOSIT 12-05-2012 $66,034.17 

Pinnacle (866) '755-5428 $ Client Service Center (800) 264--3613 • 

Exhibit Exhibit CFM CFM -709 -709 
*Note: Balances for non‐CFM accounts redacted.

Pinnacle account balances for CFM as of 3/8/13*

Exhibit CFM -709 
Exhibit CFM - 800

Page 1 of 3

COMPLIANCE HISTORY AND SAFETY MATTERS

There have been no civil or criminal actions, no judgments, and no pending litigation against

Corporate Flight Management, Inc. or C.F.M. Holding, Inc. None of the owners, directors, or

key management personnel have been or are now involved in criminal or civil actions, judgments

or pending litigation. See Exhibit CFM - 200. There have been no charges brought against CFM,

C.F.M. Holding, Inc., or any individual or their related corporations that involve charges of

unfair or deceptive or anticompetitive practices, fraud, felony or antitrust violation. See Exhibit

CFM - 200.

There are no FAA actions or complaints pending against any of CFM's key personnel.

The company has two open Letters of Investigation from the FAA.

The first letter addresses one of the company’s out-based aircraft that was operated several times

in January 2012 without a valid registration on board. As part of the FAA effort to re-register all

aircraft in the US, the registration for this aircraft expired on December 31, 2011. CFM’s

maintenance department checked with the owner of the aircraft and was assured that the

reregistration had been completed. However, it turned out that the owner had written out a new

temporary registration and placed it in the aircraft in lieu of re-registering in the proper manner.

By the time this situation was discovered by the company, the aircraft had made several flights

and the FAA was aware of the issue. This was not a safety violation, but rather an administrative

error. CFM has put procedures in place to prevent this from happening in the future. Late last

summer the company requested an informal hearing with the FAA and is waiting for a date to be

set. A copy of this Letter of Investigation appears in Exhibit CFM – 801.

The second letter addresses an August 2012 flight time and duty rest issue that was discovered

by the FAA during a routine audit. CFM issued a letter addressing the circumstances and the

procedural changes implemented by the company to eliminate future issues. The FAA has

indicated that the pilot will be receiving a letter of warning and CFM will be receiving a letter of

correction and that the Letter of Investigation will be resolved. A copy of this Letter of

Investigation and CFM’s written reply appear in Exhibit CFM – 802.

There are no other open investigations or other enforcement actions pending against the

company.

CFM has a full time Director of Safety (not required under FAR 135) and a fully functioning

Safety Management System. CFM is in the FAA SMS pilot program and is currently in Level 1.

CFM is also a Stage 2 ISBAO registered operator and holds a Platinum Safety Rating by the

Aviation Research Group US (ARGUS). The company has held Department of Defense Civil

Airline Review Board (DoD – CARB) certification for a period of 3 years while performing

under a DOD contract. The contract was defunded in March 2012 and the CARB certification

lapsed, but the company is eligible for re-certification in the event it receives a new DoD

contract award.
Exhibit CFM - 800

Page 2 of 3

As noted in Exhibit CFM - 400, during December 1996 the company received certification as a

domestic commuter operation under FAR Part 121. CFM conducted all of its FAR Part 121

operations using the approved DBA Corporate Express Airlines. The company divested itself of

the FAR 121 operations in 2001 with the divested entity becoming RegionsAir.

During the time period where the company operated both FAR Part 121 and FAR Part 135

operations (1996-2001) it received violations from the DOT for failure to comply with the

company’s drug and alcohol program. The violations were due to the company’s hiring

employees in safety sensitive occupations prior to receiving test results from initial drug

screening. None of the employees that were hired under this violation tested positive for drugs.

The company corrected its hiring procedures to ensure that no employee is employed until drug

screening test results have been verified.

In the 11 years since the divestiture of RegionsAir, the company has not been assessed FAA or

DOT violations.

The FAA’s ASIAS database contains reports for the following minor incidents that have

occurred since the company’s operations commenced in 1982:

26 September, 1991 – A Beech King Air 90 operated by the company struck a deer after landing

at the Grand Rapids Airport (GRR). 1 pilot and 4 passengers were on board. There were no

injuries to the passengers or crew.

20 June 1997 - A Jetstream 31 operated by the company struck a deer with its right main landing

gear while conducting a “touch and go” training exercise at the Smyrna Airport (MQY). 2 pilots

and 0 passengers were on board. There were no injuries to the crew.

30 November 1997 - A Jetstream 31 operated by the company aborted a take-off at the Nashville

International Airport (BNA) when the left engine failed to produce the required level of torque. 2

pilots and 12 passengers were on board. There were no injuries to the passengers or crew.

24 March 1999 - A Jetstream 31 operated by the company suffered a hydraulic failure while in

flight and landed at Nashville International Airport (BNA). 2 pilots and 9 passengers were on

board. There were no injuries to the passengers or crew.

18 August 2001 – A Jetstream 31 operated by the company received a warning from its TCAS

system and obtained vectors from air traffic control to avoid other aircraft during approach to

Raleigh-Durham International Airport (RDU). 2 pilots and 0 passengers were on board. There

was no damage to the aircraft and there were no injuries to the crew.

19 January 2002 – A Mitsubishi MU-300 operated by the company ran off of the end of the

runway after landing at Dekalb-Peachtree Airport (PDK). 1 pilot and 2 passengers were on

board. There were no injuries to the passengers or crew.
Exhibit CFM - 800

Page 3 of 3

3 January 2007 – A Jetstream 31 operated by the company experienced a fire in the tail pipe of

its left engine during landing at Atlantic City International Airport (ACY). The aircraft was

evacuated on the runway by airport fire crews. 2 pilots and 3 passengers were on board. There

were no injuries to the passengers or crew.

15 January 2009 – A Jetstream 31 operated by the company experienced a nose gear position

indicator error during final approach to Central Nebraska Regional Airport (GRI). The aircraft

landed safely. 2 pilots and 10 passengers were on board. There were no injuries to the

passengers or crew.

14 December 2012 – A Lear 35 operated by the company ran off of the end of the runway after

landing at John C Tune Airport (JWN). 2 pilots and 0 passengers were on board. There were no

injuries to the crew.

Copies of the FAA ASAIS summary reports for each incident described above are attached as

Exhibits CFM – 803 to 811.

In addition, the NTSB Accident Database contains information on two accidents involving

aircraft operated by the company:

21 September 1995 - A Mitsubishi MU-2B-35 cargo aircraft operated by the company crashed

two miles from the Smyrna Airport in Tennessee (MQY) after departing on a Part 91

repositioning flight to Louisville Kentucky. The aircraft was destroyed. There were two persons

on board: the pilot and another company employee. Both were seriously injured. The NTSB

investigation determined that the crash was a result of loss of control of the aircraft due to the

pilot becoming spatially disoriented in the cockpit while trying to obtain a departure clearance.

There were no violations assessed against the company or the pilot as a result of the accident.

Exhibit CFM - 812 contains the NTSB’s Factual Report for this accident. NTSB’s Probable

Cause report is attached as Exhibit CFM – 813.

25 March 2002 - A Mitsubishi MU-300 departed the runway after landing in Anderson Indiana

(AID) on a reposition flight. The aircraft was substantially damaged. There were no passengers

on board and neither of the two crew members was injured. The aircraft landed on an ice covered

runway and could not stop due to poor braking conditions. The NTSB did not file any violations

against the company or the crew in connection with the accident. Exhibit CFM - 814 contains

the NTSB’s Factual Report for this accident. NTSB’s Probable Cause report is attached as

Exhibit CFM – 815.
Exhibit CFM - 801

U.S. Deportment 

of Transportation 

Federal Aviation 

Administration 

February 27, 2012 

CERTIFIED MAIL-RETURN RECEIPT REQUESTED 

FILE NUMBER - 2012CE190013 

Mr. Dwayne McMurry 

Corporate Flight Management, Inc. 

276 Doug Warpoole Road 

Smyrna, TN 37167 

Dear Mr. McMurry: 

Nashville Flight Standards District Office 

2 International Plaza Drive 

Suite 700 

Nashville, Tennessee 37217 

615-324-1300, Fax: 615-324-1360 

On February 24, 201 1, this office became aware that an aircraft, N560HG, has been 

operated by Corporate Flight Management, Inc., Federal Aviation Administration (FAA) 

Designator F JT A, without a valid registration. 

Operation of an aircraft without a valid registration is contrary to Federal Regulations. 

This letter is to infonn you that this matter is under investigation by the FAA. We would 

appreciate receiving any evidence or statements you might care to make regarding this 

matter within 10 days of receipt of this letter. Any discussion or written statements 

furnished by you will be given consideration in our investigation. If we do not hear from 

you within the specified time, our report will be processed without benefit of your statement. 

Sincerely, 

~~ Principal Operations Inspector 

(615) 324-1334 

Thomas.A.Luipersbeck@F AA.Gov 
Exhibit CFM - 802

U.S. Deportment 

of Transportation 

Federal Aviation 

Administration 

February 6, 2013 

CERTIFIED MAIL-RETURN RECEIPT REQUESTED 

File No. 2013CE190016 

Mr. James Allen Howell 

Corporate Flight Management, Inc. 

276 Doug Warpoole Road 

Smyrna, TN 37167 

Dear Mr. Howell: 

Nashville Flight Standards District Office 

2 International Plaza Drive 

Suite 700 

Nashville, Tennessee 37217 

615-324-1300, Fax: 615-324-1360 

On January 11, 20 13, I inspected flight and duty records at the Corporate Flight 

Management base in Smyrna, TN. The findings indicates that, between the hours of 

approximately 12:15 P.M. on August 5, 2012 and 12:15 P.M. August 6, 2012, Mr. Guido 

Warnecke, ATP 2496996, acted as pilot in command under 14 CFR Part 135 for Corporate 

Flight Management, Inc. after exceeding the flight time limitations of 14 CFR Part 13 5.267. 

Operations of this type are contrary to Federal Regulations. 

14 CFR Part 135.267 states, in part: (a) No certificate holder may assign any flight 

crewmember, and no flight crewmember may accept an assignment, for flight time as a 

member of a one- or two-pilot crew if that crewmembers total flight time in all commercial 

flying will exceed - (b) Except as provided in paragraph (c), during any 24 consecutive 

hours the total flight time of the assigned flight when added to any other commercial flying 

by that flight crewmember may not exceed- (1) 8 hours for a flight crew consisting of one 

pilot; or (2) 1 0 hours for a flight crew consisting of two pilots qualified under this part for 

the operation being conducted. 

This letter is to inform you that this matter is under investigation by the Federal Aviation 

Administration (FAA). We would appreciate receiving any evidence or statements you 

might care to make regarding this matter within 10 days of receipt of this letter. Any 

discussion or written statements furnished by you will be given consideration in our 

investigation. If we do not hear from you within the specified time, our report will be 

processed without benefit of your statement. 

Sincerely, 

Thomas A. Luipersbeck 

Principal Operations Inspector 

(615) 324-1334 

Thomas.A.Luipersbeck@F AA.Gov 
February 22, 2013

File No. 2013CE190016

Dear Mr. Luipersbeck:

This letter is a follow up to our conversations regarding your letter dated February 6, 2013.  

On the afternoon of Friday August 3 week day dispatchers briefed Guido Warnecke (PIC) and Michael

Pitaru (SIC) for a trip on Sunday, August 5 (CFM Trip #100077603) and additional trips on Monday,

August 6 (CFM Trip #100077142 & #100077699). The customers for all these trips are owners of aircraft

managed and operated by Corporate Flight Management.  These trips, as briefed at that time,

individually and collectively, complied with the flight and rest time regulations of FAR 135.267.   

The original trip on August 5, 2013 was scheduled to fly from Danbury, CT (KDXR) to Hyannis, MA (KHYA)

to pick up passengers.  The leg with passengers on this trip was scheduled to be from Hyannis, MA

(KHYA) to Cincinnati, OH, (KLUK).  The aircraft was to return to Danbury, CT (KDXR) without passengers

and terminate. On Saturday, August 4, 2013, the customer requested an additional stop to be made in

White Plains, NY (KHPN) on the way from Hyannis, MA (KHYA) to Cincinnati, OH (KLUK).  To compensate

for the additional time required to make this extra stop, the flight from KLUK to KDXR was rescheduled

to depart from Cincinnati, OH (KLUK) and proceed direct to Bar Harbor, ME (KBHB) to position for the

trip the following day.  The weekend dispatcher sent updated details of the trip to both crew members.  

This change ensured that individually and collectively the flight schedule complied with the flight and

rest time regulations of FAR 135.267.   

During the trip, the customer informed the pilot that there would be one passenger that needed to go

from Cincinnati, OH (KLUK) with the aircraft to Danbury, CT (KDXR).  Captain Warnecke informed

dispatch of this change.  However, due to the weather, the flight crew had to divert from their original

destination Danbury, CT (KDXR) to White Plains, NY (KHPN).  After arriving in White Plains, NY (KHPN)

the decision was made to remain overnight without relocating to Danbury, CT (KDXR) due to the

inclement weather.  The crew left the aircraft in White Plains, NY (KHPN) and rented a car to return to

Danbury, CT (KDXR), approximately a 30 minute drive.  At this point, neither crew nor dispatch realized

the implications of the additional changes.  

The following day (Monday, August 6, 2013) the crew returned to White Plains, NY (KHPN) to pick up the

aircraft and begin trip 100077142, a pick‐up of another aircraft owner whose aircraft was in

maintenance.  This trip picked up passengers in Bar Harbor, ME (KBHB) and dropped them off in White

Plains, NY (KHPN) before returning empty to Danbury, CT (KDXR).   Immediately following the

completion of this trip, Captain Warnecke began trip 100077699.  This trip was conducted single‐pilot in

Exhibit CFM - 802
a King Air B100 for the owner of another aircraft managed and operated by Corporate Flight

management.   

Due to the events described above, the flight crew did not have the minimum rest required prior to the

flight beginning on August 6, 2013.  Additionally, the PIC exceeded the flight time limitations according

to FAR 135.267.

In reviewing the circumstances that led to the rest and flight time issues, we have found the following:

• Corporate Flight Management operates and manages a number of aircraft for individuals and

corporations in the Northeastern part of the United States.  When operating the aircraft for the

owner, the trips are dispatched under Part‐91.  When an owner’s aircraft is not available due to

maintenance, flight crew or other reasons, we allow the owners the use of one of our other

managed aircraft.  In the past, we have dispatched these trips as Part‐91 trips, since there was

an owner swap agreement between the owners.  Recently, due to new interpretations of

Internal Revenue Service regulations and the confusion created between these interpretations

and Federal Aviation Administration regulations, in order to protect the aircraft owners as well

as CFM, we have started dispatching these trips as Part 135 trips.   

When the flight crew was originally briefed, they recognized the aircraft owner’s names for all

the trips for the next few days.  Although the dispatch Trip Sheet specifies the Part‐135 legs,

confusion may have been created during the verbal briefing of the flight crew, as well as a

mindset that they were dealing with Part‐91 flights.  The dispatcher involved in the Friday

briefings is no longer employed by Corporate Flight Management, therefore not allowing us to

determine the complete facts surrounding the crew briefings.

• The change in routing requested by the customer during the trip to Cincinnati, OH (KLUK) was

relayed to CFM dispatch.  This added flight time to the trip sequence and delayed the flight

crew’s “end of duty” time which impacted the previously assigned rest period.  However, the

weekend dispatcher failed to realize the impact of the later arrival on the following day’s trip

assignment.  This may have been created by a poor pass down from the weekday dispatcher to

the weekend dispatcher.  Again, the weekday dispatcher that was involved in this briefing is no

longer employed by CFM and a complete recounting of the pass down between this dispatcher

and the weekend dispatcher is not possible.   

• Weather caused the flight crew to divert from their intended destination of Danbury, CT (KDXR)

to White Plains, NY (KHPN) which impacted the required rest time prior to the trip on August 6th.  

The time required to hold also decreased the rest time available to the crew.

• When the dispatcher calculated the rest time after several changes to the flight schedules, he

may not have taken into account the driving to and from Danbury, CT (KDXR) and the time

required to pick up and drop off a rental car.   There was also a misconception by the weekend

Exhibit CFM - 802
dispatcher that travel back and forth between Danbury, CT (KDXR) and White Plains, NY (KHPN)

was considered local in nature, as it relates to rest time requirements.   

• CFM employs a total of 8 staff in its dispatch office.  Weekdays, between the hours of 6AM and

6PM, we have multiple dispatchers working as a team on all facets of a trip, including a crew

scheduling specialist and a supervisor.  However, in the evenings/nights and during the

weekends there is only one dispatcher on duty.  This has seldom proven to be an issue as the

majority of trips are scheduled, modified and released during normal working hours.  The

experience level and the workload of the dispatcher combined with insufficient oversight may

have contributed to the infraction.

• The dispatch group uses a checklist as a job aid when setting up a trip.  This checklist specifically

addresses items such as required rest, maximum allowable flight time (both single and dual

crew) and the FAR for the intended operation.  In reviewing this checklist several items came to

light:

o The checklist procedures do not adequately address changes to the itinerary.

o The checklist does not address pilots flying multiple trips in a 24‐hour period and

switching from a two‐pilot crew to a single‐pilot operation.

o The checklist does not require the dispatcher to have concurrence with another

dispatcher or management.  

• The monthly audit of Flight and Duty time records did not catch the apparent violation of FAR

135.267 allowing CFM to self‐disclose this matter.  

To ensure that this will not happen again, CFM has taken or is in the process of taking the following

actions:

• Due to job performance issues not directly associated or caused by this situation, CFM

terminated the weekday dispatcher involved in this situation in January 2013 in an effort to

meet CFM’s standards of quality and improve our customer service.

• Standard Operating Procedures for dispatchers will be updated with extended focus on issues

that can lead to flight and rest time constraints.

• Remedial training of all dispatch personnel will be conducted addressing strict compliance of

CFR 14 135 flight and rest time requirements considering placing special emphasis on change

requests and special circumstances.   

• The Chief Pilot has scheduled a training session with Captain Warnecke to review the events

leading up to the infractions.  The PIC responsibilities as they pertain to flight and rest time

regulations, as well as the regulatory impact of swapping aircraft between owners will be

Exhibit CFM - 802
discussed.

• An operations bulletin was prepared by the Chief Pilot and sent to all flight crew members via e‐

mail.  The bulletin reiterated the following items:

o The flight and rest requirements of Part‐135, the issues that arise when flying multiple

trips in one day while switching from a two‐pilot crew to a single‐pilot operation.

o The responsibility of the flight crew members to continually monitor the accumulated

flight and rest times, especially as changes to the trip are made.

o The CFM policy of flying trips for aircraft owners under Part‐135 if the trip is flown in an

aircraft that is not owned by this aircraft owner.

• The checklist deficiencies listed above were addressed and a revised checklist with better

guidance and more stringent controls will be put in place.

• Dispatcher workload, especially during times of a single dispatcher on duty, will be more closely

monitored.

• Corporate Flight Management has a mature Safety Management System (SMS), which was

implemented as part of our IS‐BAO registration.  We have notified our Director of Safety (Ron

Barnum) and he is in the process of evaluating the occurrences referenced in this letter separate

from the Flight Operations group.  The outcome of this independent investigation will be

considered and any findings and/or corrective action will be made available to the FAA.

• Corporate Flight Management has been developing a Flight Risk Assessment Tool (FRAT) over

the last several months.  This tool will require the flight crew to assess each flight leg for safety

and legality, taking into account such items as airport conditions, weather, crew rest, crew

pairing etc.  We expect that the new program will be fully implemented no later than March 1,

2013.  

• CFM is also investigating changes to current software and/or acquiring new software with built

in automated controls.  Our current software gives us a pictorial view of all flights, allowing us to

manually check for any errors; however it does not have any automatic controls that check

against flight time and rest regulations.

• Our current process of a monthly audit of Flight and Duty time records will be reevaluated.   

Corporate Flight Management has reviewed all flight duty records for the last 12 months, to ensure that

no other rest or flight time infractions have occurred.  No additional issues were discovered and it does

not appear that this is a reoccurring issue.   

Additionally, Captain Warnecke has always been a safety conscious, dedicated member of our team.  He

is well versed in the regulations, company policy and procedures and has remained in full compliance

Exhibit CFM - 802
with these during his employment with CFM.  As such, we do not believe that Mr. Warnecke in any way

intentionally or knowingly violated FAR 135.267 during the conduct of the trips in question.  Captain

Warnecke has cooperated fully and honestly during our investigation of this matter.  He has taken

responsibility for his part in this occurrence and CFM as a company is convinced a situation such as this

will not occur in the future under his command.     

In closing, Corporate Flight Management realizes that errors were made leading up to the events

described in this letter.  We have analyzed the contributing factors and are in the process of making

changes outlined above to ensure that similar instances will not occur.  

Corporate Flight Management has always endeavored to operate to the highest safety standards

possible while staying in full compliance with all Federal Aviation Regulations.  We hope that our

explanation of the contributing factors and our subsequent corrective actions will be considered as a

positive approach to this unintentional violation of the regulations.  

We welcome any feedback concerning the issues addressed in this letter and are available to discuss this

at your convenience.   

Sincerely,

Exhibit CFM - 802
ASIAS BRIEF REPORT

GENERAL INFORMATION

Data Source: ACCIDENT AND INCIDENT DATABASE

Report Number: 19910926050569I

Local Date: 26-SEP-91

Local Time:

City: GRAND RAPIDS

State: MN

Airport Name: GRAND RAPIDS-ITASCA CO-GORDON NEWSTROM FLD

Event Type: INCIDENT

Mid Air Collision: NOT A MIDAIR

AIRCRAFT INFORMATION

Aircraft Damage: MINOR

Aircraft Make: BEECH

Aircraft Model: BE-90

Aircraft Series: BE-90-B90

Airframe Hrs: 7880

Operator: CORPORATE FLIGHT MANAGEMENT

NARRATIVE

ON LANDING ROLLOUT AIRCRAFT STRUCK A DEER.

Detail

Primary Flight Type: AIR TAXI (NON-SCHEDULED)

Secondary Flight Type: PASSENGERS

Type of Operation: AIR TAXI/COMMUTER

Registration Nbr: 551SS

Total Aboard: 5

Fatalities: 0

Injuries: 0

Landing Gear:

Aircraft Weight Class: UNDER 12501 LBS

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Exhibit CFM - 803
Engine Make:

Engine Model:

Engine Group:

Number of Engines: 2

Engine Type:

Environmental/Operations Info

Primary Flight Conditions: VISUAL FLIGHT RULES

Secondary Flight Conditions: WEATHER NOT A FACTOR

Wind Direction(deg): 32

Wind Speed(mph): 03

Visibility(mi.): GREATER THAN 10 MILES

Visibility Restrictions:

Light Condition: DUSK

Flight Plan Filed: INSTRUMENT FLIGHT RULES

Approach Type: VISUAL

Pilot In Command

Pilot Certificates: AIRLINE TRANSPORT

Pilot Rating: ROTORCRAFT/HELICOPTER/AIRPLANE SINGLE, MULTI-ENGINE

Pilot Qualification: QUALIFIED

Flight Time Total Hours: 10000

Total in Make/Model: 8000

Total in Last 90 days: 138

Total in last 90 days Make/Model: 138

END REPORT

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Exhibit CFM - 803
ASIAS BRIEF REPORT

GENERAL INFORMATION

Data Source: ACCIDENT AND INCIDENT DATABASE

Report Number: 19970620019409I

Local Date: 20-JUN-97

Local Time:

City: NASHVILLE

State: TN

Airport Name: NASHVILLE INTL

Event Type: INCIDENT

Mid Air Collision: NOT A MIDAIR

AIRCRAFT INFORMATION

Aircraft Damage: MINOR

Aircraft Make: JETSTREAM-BAE SYSTEMS

Aircraft Model: JETSTREAM 31-S31

Aircraft Series:

Airframe Hrs: 7644

Operator: CORPORATE FLIGHT MANAGEMENT

NARRATIVE

NARRATIVE: WHILE ACCELERATING TO TAKEOFF ON THE SECOND OF THREE TOUCH AND

GO'S AT SMYRNA AIRPORT, SMYRNA, TN THE PILOT OF A CORPORATE EXPRESS TRAINING

FLIGHT SAW THREE DEER CROSSING THE RUNWAY. THE PILOT ROTATED ABRUPTLY BUT

WAS UNABLE TO GAIN SUFFICIENT ALTITUDE TO AVOID STRIKING THE DEER. THE

SUBSEQUENT IMPACT SHEARED THE RIGHT MAIN GEAR AT THE PIVOT HUB. THE GEAR

REMAINED ATTACHED BY THE ACTUATOR. THE PILOT REPORTED THE DEER STRIKE TO

NASHVILLE APPROACH CONTROL AND THE AIRPORT PREPARED FOR THE EMERGENCY

LANDING WHICH FOLLOWED. THE PILOT REMAINED ALOFT FOR APPROXIMATELY AN HOUR

AND HALF BURNING FUEL AND COMPLETING THE EMERGENCY CHECK LISTS. THE

AIRCRAFT TOUCHED DOWN APPROXIMATELY 500 FEET FROM THE APPROACH END OF

RUNWAY 31, THE CREW SHUT DOWN AND FEATHERED BOTH ENGINES, THE RIGHT SIDE

THEN CAME DOWN APPROXIMATELY 1000 FEET FROM THE APPROACH END OF THE

RUNWAY. THE AIRCRAFT SKIDDED FOR APPROXIMATELY 2400 FEET AND CAME TO REST

JUST RIGHT OF THE CENTER LINE AND IN FRONT OF TAXIWAY "B". THE PASSENGER

REMOVED THE PILOT SIDE OVERWING EXIT AND EVACUATED THE AIRCRAFT DURING THE

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1 of 3 2/14/2013 5:12 PM

Exhibit CFM - 804
FIRE DEPARTMENT'S FOAMING PROCESS.THE TWO CREW MEMBERS FOLLOWED AFTER THE

FIRE DEPARTMENT COMPLETED THE FOAMING.

Detail

Primary Flight Type: SUPPLEMENTAL OR COMMERCIAL OPERATOR

Secondary Flight Type: TRAINING

Type of Operation: AIR CARRIER/COMMERCIAL

Registration Nbr: 931AE

Total Aboard: 2

Fatalities: 0

Injuries: 0

Landing Gear:

Aircraft Weight Class: OVER 12500 LBS

Engine Make:

Engine Model:

Engine Group:

Number of Engines: 2

Engine Type:

Environmental/Operations Info

Primary Flight Conditions: UNKNOWN

Secondary Flight Conditions: WEATHER NOT A FACTOR

Wind Direction(deg):

Wind Speed(mph):

Visibility(mi.):

Visibility Restrictions:

Light Condition: NIGHT

Flight Plan Filed: AIR TAXI FLIGHT FOLLOWING

Approach Type:

Pilot In Command

Pilot Certificates: AIRLINE TRANSPORT

Pilot Rating: AIRPLANE SINGLE, MULTI-ENGINE LAND

Pilot Qualification: QUALIFIED

Flight Time Total Hours: 9000

Total in Make/Model: 3000

Total in Last 90 days: 50

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2 of 3 2/14/2013 5:12 PM

Exhibit CFM - 804
Total in last 90 days Make/Model:

END REPORT

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3 of 3 2/14/2013 5:12 PM

Exhibit CFM - 804
ASIAS BRIEF REPORT

GENERAL INFORMATION

Data Source: ACCIDENT AND INCIDENT DATABASE

Report Number: 19971130043149I

Local Date: 30-NOV-97

Local Time:

City: NASHVILLE

State: TN

Airport Name: NASHVILLE INTL

Event Type: INCIDENT

Mid Air Collision: NOT A MIDAIR

AIRCRAFT INFORMATION

Aircraft Damage:

Aircraft Make: JETSTREAM-BAE SYSTEMS

Aircraft Model: JETSTREAM 31-S31

Aircraft Series: T.1-T.2

Airframe Hrs:

Operator: CORPORATE FLIGHT MANAGEMENT

NARRATIVE

NARRATIVE: ABORTED TAKE-OFF FROM RUNWAY 31 DUE TO LEFT ENGINE UNABLE TO

PRODUCE REQUIRED TORQUE. AS CREW EXITED RUNWAY, ENGINES WERE RETARDED TO

GROUND IDLE. LEFT ENGINE THEN FLAMED-OUT AND SPOOLED DOWN. PASSENGERS

NOTIFIED CREW THAT FLAMES WERE COMING FROM THE LEFT TAILPIPE. CREW SHUT

DOWN RIGHT ENGINE AND PERFORMED AN EMERGENCY EVACUATION ON TAXIWAY C15.

CREW ALSO FIRED EXTINGUISHERS AND CALLED CFR.

Detail

Primary Flight Type: SUPPLEMENTAL OR COMMERCIAL OPERATOR

Secondary Flight Type: PASSENGERS

Type of Operation: AIR CARRIER/COMMERCIAL

Registration Nbr: 917AE

Total Aboard: 14

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1 of 2 2/14/2013 5:13 PM

Exhibit CFM - 805
Fatalities: 0

Injuries: 0

Landing Gear:

Aircraft Weight Class: OVER 12500 LBS

Engine Make: GARRTT

Engine Model: TPE331*

Engine Group: TPE331

Number of Engines: 2

Engine Type: T

Environmental/Operations Info

Primary Flight Conditions: INSTRUMENT FLIGHT RULES

Secondary Flight Conditions: LIGHT RAIN

Wind Direction(deg):

Wind Speed(mph):

Visibility(mi.):

Visibility Restrictions:

Light Condition: NIGHT

Flight Plan Filed: INSTRUMENT FLIGHT RULES

Approach Type:

Pilot In Command

Pilot Certificates: AIRLINE TRANSPORT

Pilot Rating: AIRPLANE SINGLE, MULTI-ENGINE LAND

Pilot Qualification: QUALIFIED

Flight Time Total Hours:

Total in Make/Model:

Total in Last 90 days:

Total in last 90 days Make/Model:

END REPORT

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2 of 2 2/14/2013 5:13 PM

Exhibit CFM - 805
ASIAS BRIEF REPORT

GENERAL INFORMATION

Data Source: ACCIDENT AND INCIDENT DATABASE

Report Number: 19990324016439I

Local Date: 24-MAR-99

Local Time:

City: NASHVILLE

State: TN

Airport Name: NASHVILLE INTL

Event Type: INCIDENT

Mid Air Collision: NOT A MIDAIR

AIRCRAFT INFORMATION

Aircraft Damage:

Aircraft Make: JETSTREAM-BAE SYSTEMS

Aircraft Model: JETSTREAM 31-S31

Aircraft Series:

Airframe Hrs: 11727

Operator: CORPORATE FLIGHT MANAGEMENT

NARRATIVE

(-5)AIRCRAFT WAS AT CRUISE, ENROUTE TO ALT FROM BNA. APPROXIMATELY 35 MINUTES

INTO THE FLIGHT BOTH HYDRAULIC PRESSURE GAUGES STARTED TO FLUCTUATE AND

THEN WENT TO '0' PRESSURE. THE AIRCRAFT INCURRED A HYDRAULIC SYSTEM FAILURE.

THE AIRCRAFT RETURNED TO BNA. AN EMERGENCY LANDING WAS DECLARED AND THE

LANDING GEAR AND FLAPS WERE ACTIVEATED BY MEANS OF THE EMERGENCY

HYDRAULIC SYSTEM. THE AIRCRAFT LANDED AND RETURNED SAFELY TO THE GATE. THE

CREW DID AN OUTSTANDING JOB OF GETTING THE AIRCRAFT BACK TO BNA AND ON THE

GROUND. THE R/H HYDRAULIC PUMP RETURN LINE HAD REUPTURED AS A RESULT OF

CHAFING THE COMPRESSOR DRAIN LINE. THE LINE WAS RELACED AND ALL ALSO #1 AND

#2 ENGINE DRIVEN HYDRAULIC PUMPS. THE SYSTEM FILTERS WERE INSPECTED AND

REPLACED, NO EVIDENCE OF METAL NOTED. THE ENTIRE AIRCRAFT HYDRAULIC SYSTEM

WAS BLED I/A/W THE AIRCRAFT MAINTENANCE MANUAL. GEAR, FLAP AND BRAKE

SYSTEMS WERE LEAK AND FUNCTIONALLY CHECKED WITH NO DISCREPANCIES NOTED.

THE AIRCRAFT RETURNED TO SERVICE.

Detail

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1 of 2 2/14/2013 5:15 PM

Exhibit CFM - 806
Primary Flight Type: SCHEDULED AIR CARRIER

Secondary Flight Type: PASSENGERS

Type of Operation: AIR CARRIER/COMMERCIAL

Registration Nbr: 940AE

Total Aboard: 11

Fatalities: 0

Injuries: 0

Landing Gear:

Aircraft Weight Class: OVER 12500 LBS

Engine Make:

Engine Model:

Engine Group:

Number of Engines: 2

Engine Type:

Environmental/Operations Info

Primary Flight Conditions: VISUAL FLIGHT RULES

Secondary Flight Conditions: WEATHER NOT A FACTOR

Wind Direction(deg):

Wind Speed(mph):

Visibility(mi.):

Visibility Restrictions:

Light Condition: DAY

Flight Plan Filed: INSTRUMENT FLIGHT RULES

Approach Type:

Pilot In Command

Pilot Certificates: AIRLINE TRANSPORT

Pilot Rating: ROTORCRAFT/HELICOPTER/AIRPLANE SINGLE, MULTI-ENGINE

Pilot Qualification: QUALIFIED

Flight Time Total Hours: 7371

Total in Make/Model: 4691

Total in Last 90 days: 156

Total in last 90 days Make/Model:

END REPORT

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2 of 2 2/14/2013 5:15 PM

Exhibit CFM - 806
ASIAS BRIEF REPORT

GENERAL INFORMATION

Data Source: ACCIDENT AND INCIDENT DATABASE

Report Number: 20010818025329I

Local Date: 18-AUG-01

Local Time:

City: RALEIGH

State: NC

Airport Name: RALEIGH-DURHAM INTL

Event Type: INCIDENT

Mid Air Collision: NOT A MIDAIR

AIRCRAFT INFORMATION

Aircraft Damage:

Aircraft Make: JETSTREAM-BAE SYSTEMS

Aircraft Model: JETSTREAM 31-S31

Aircraft Series:

Airframe Hrs:

Operator: CORPORATE FLIGHT MANAGEMENT

NARRATIVE

(-23) CEA 1571, ON AN EAST ARRIVAL WAS CLEARED TO DESCEND AND MAINTAIN 7000' AND

ADVISED OF N638SP AT 6000' AND N480Y, VFR AT 6500' SW BOUND. CEA 1571

ACKNOWLEDGED TRAFFIC AND HELD N638SP ON TCAS. VECTORS WERE GIVEN TO CEA 1571

TO AVOID THE OTHER AIRCRAFT. THE OTHER AIRCRAFT RECEIVED ADVISORIES. CEA 1571

RECEIVED A RA TO DESCEND, WHICH HE DID AND FOLLOWED FURTHER ATC VECTORS OT

THE ILS FOR A NORMAL LANDING ON RUNWAY 23 LEFT AT RDU. THE TCAS WORKED AS

INTENDED AND WAS PROBABLY INITIATED BY N480Y DEVIATING SLIGHTLY FROM THE 6500'

IN VFR CONDITIONS APPROXIMATELY 1 MILE AWAY. CEA 1571 OPERATED PROPERLY UNDER

AN IFR CLEARANCE AND FOLLOWED ALL VECTORS AND INSTRUCTIONS.

Detail

Primary Flight Type: SUPPLEMENTAL OR COMMERCIAL OPERATOR

Secondary Flight Type: UNKNOWN

Type of Operation: AIR CARRIER/COMMERCIAL

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1 of 2 2/14/2013 5:16 PM

Exhibit CFM - 807
Registration Nbr: 944AE

Total Aboard: 0

Fatalities: 0

Injuries: 0

Landing Gear:

Aircraft Weight Class: OVER 12500 LBS

Engine Make:

Engine Model:

Engine Group:

Number of Engines: 2

Engine Type:

Environmental/Operations Info

Primary Flight Conditions: VISUAL FLIGHT RULES

Secondary Flight Conditions: WEATHER NOT A FACTOR

Wind Direction(deg):

Wind Speed(mph):

Visibility(mi.):

Visibility Restrictions:

Light Condition: DAY

Flight Plan Filed: INSTRUMENT FLIGHT RULES

Approach Type:

Pilot In Command

Pilot Certificates: AIRLINE TRANSPORT PILOT FLIGHT INSTRUCTOR

Pilot Rating: AIRPLANE SINGLE, MULTI-ENGINE LAND

Pilot Qualification: QUALIFIED

Flight Time Total Hours: 2158

Total in Make/Model: 581

Total in Last 90 days: 167

Total in last 90 days Make/Model:

END REPORT

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2 of 2 2/14/2013 5:16 PM

Exhibit CFM - 807
ASIAS BRIEF REPORT

GENERAL INFORMATION

Data Source: ACCIDENT AND INCIDENT DATABASE

Report Number: 20020119000849I

Local Date: 19-JAN-02

Local Time:

City: ATLANTA

State: GA

Airport Name: DEKALB-PEACHTREE

Event Type: INCIDENT

Mid Air Collision: NOT A MIDAIR

AIRCRAFT INFORMATION

Aircraft Damage: MINOR

Aircraft Make: MITSUBISHI

Aircraft Model: MU-300

Aircraft Series:

Airframe Hrs: 4018

Operator: CORPORATE FLIGHT MANAGEMENT

NARRATIVE

(-23) MR. SOLOMON STATED THAT THEY FLEW THE ILS 20L INTO PDK AND WERE VISUAL

LAST 1000 FT OF THE APPROACH. THEY FLEW THE CALCULATED VREF SPEED AND LANDED

AS NORMAL HOWEVER THE ANTI-SKID REACTED AS IF IT WERE HYDROPLANING. MR.

SOLOMON POWERED UP FOR A GO-AROUND BUT DECIDED TO UTILIZE MAX BRAKING AND

REMAIN ON THE RUNWAY. HE SAID THEY MADE SURE THE POWER WAS IDLE SPEED AND

DETERMINED THE MOST EFFECTIVE POINT ON THE BRAKING SYSTEM. THE AIRCRAFT

RANOFF THE END OF THE RUNWAY AND STOP JUST SHORT OF LOC ANTENNA. THE

AIRPLANE HAD MINOR DAMAGE TO THE RIGHT BRAKE ONLY.

Detail

Primary Flight Type: AIR TAXI (NON-SCHEDULED)

Secondary Flight Type: PASSENGERS

Type of Operation: AIR TAXI/COMMUTER

Registration Nbr: 617BG

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1 of 2 2/14/2013 9:15 PM

Exhibit CFM - 808
Total Aboard: 3

Fatalities: 0

Injuries: 0

Landing Gear:

Aircraft Weight Class: OVER 12500 LBS

Engine Make:

Engine Model:

Engine Group:

Number of Engines: 2

Engine Type:

Environmental/Operations Info

Primary Flight Conditions: VISUAL FLIGHT RULES

Secondary Flight Conditions: WIND

Wind Direction(deg):

Wind Speed(mph):

Visibility(mi.):

Visibility Restrictions:

Light Condition: NIGHT

Flight Plan Filed: UNKNOWN

Approach Type: INSTRUMENT LANDING SYSTEM- FRONT COURSE

Pilot In Command

Pilot Certificates: AIRLINE TRANSPORT PILOT FLIGHT INSTRUCTOR

Pilot Rating: AIRPLANE SINGLE, MULTI-ENGINE LAND

Pilot Qualification: QUALIFIED

Flight Time Total Hours: 5080

Total in Make/Model: 249

Total in Last 90 days: 200

Total in last 90 days Make/Model:

END REPORT

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2 of 2 2/14/2013 9:15 PM

Exhibit CFM - 808
ASIAS BRIEF REPORT

GENERAL INFORMATION

Data Source: ACCIDENT AND INCIDENT DATABASE

Report Number: 20070103000019I

Local Date: 03-JAN-07

Local Time:

City: ATLANTIC CITY

State: NJ

Airport Name: ATLANTIC CITY INTL

Event Type: INCIDENT

Mid Air Collision: NOT A MIDAIR

AIRCRAFT INFORMATION

Aircraft Damage:

Aircraft Make: JETSTREAM-BAE SYSTEMS

Aircraft Model: JETSTREAM 31-S31

Aircraft Series:

Airframe Hrs: 24791

Operator: CORPORATE FLIGHT MANAGEMENT

NARRATIVE

(-23) CORPORATE FLIGHT MANAGEMENT INC., FLIGHT 104, A BAE JETSTREAM 3201, SERIAL

NO. 906, N487UE, ENROUTE FROM KDCA TO KACY AND LANDED ON RUNWAY 22 KACY WITH

SMOKE TRAILING FROM THE LEFT ENGINE TAIL PIPE. ARFF RESPONDED, THE OCCUPANTS

WERE EVACUATED ON THE TAXIWAY, THE TAIL PIPE FIRE WAS EXTINGUISHED AND THE

AIRCRAFT WAS TOWED TO THE RAMP WITHOUT INCIDENT. THE CAPTAIN INITIATED THE

EVACUATION BECAUSE OF THE SMOKE AND FIRE IN THE TAIL PIPE OF THE LEFT ENGINE.

ONLY THE MAIN CABIN DOOR WAS USED, BECAUSE ONLY THREE PASSENGERS WERE

ONBOARD. NO MALFUNCTIONS WERE REPORTED DURING THE EVACUATION. THE

ESTIMATED TIME IT TOOK FOR THE EVACUATION WAS JUST UNDER ONE MINUTE AND NO

INJURIES WERE REPORTED.

Detail

Primary Flight Type: AIR TAXI (NON-SCHEDULED)

Secondary Flight Type: PASSENGERS

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1 of 2 2/14/2013 9:17 PM

Exhibit CFM - 809
Type of Operation: AIR TAXI/COMMUTER

Registration Nbr: 487UE

Total Aboard: 5

Fatalities: 0

Injuries: 0

Landing Gear:

Aircraft Weight Class: OVER 12500 LBS

Engine Make:

Engine Model:

Engine Group:

Number of Engines: 2

Engine Type:

Environmental/Operations Info

Primary Flight Conditions: VISUAL FLIGHT RULES

Secondary Flight Conditions: WEATHER NOT A FACTOR

Wind Direction(deg):

Wind Speed(mph):

Visibility(mi.):

Visibility Restrictions:

Light Condition: DAY

Flight Plan Filed: UNKNOWN

Approach Type:

Pilot In Command

Pilot Certificates: AIRLINE TRANSPORT PILOT FLIGHT INSTRUCTOR

Pilot Rating: AIRPLANE SINGLE, MULTI-ENGINE LAND

Pilot Qualification: QUALIFIED

Flight Time Total Hours: 3606

Total in Make/Model: 1100

Total in Last 90 days: 200

Total in last 90 days Make/Model:

END REPORT

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2 of 2 2/14/2013 9:17 PM

Exhibit CFM - 809
ASIAS BRIEF REPORT

GENERAL INFORMATION

Data Source: ACCIDENT AND INCIDENT DATABASE

Report Number: 20090115000189I

Local Date: 15-JAN-09

Local Time:

City: GRAND ISLAND

State: NE

Airport Name: CENTRAL NEBRASKA RGNL

Event Type: INCIDENT

Mid Air Collision: NOT A MIDAIR

AIRCRAFT INFORMATION

Aircraft Damage: NONE

Aircraft Make: JETSTREAM-BAE SYSTEMS

Aircraft Model: JETSTREAM 31-S31

Aircraft Series:

Airframe Hrs: 20223

Operator: CORPORATE FLIGHT MANAGEMENT

NARRATIVE

N874CP, BA JETSTREAM-321, WAS OPERATED AS A COMMERCIAL FLIGHT BY CORPORATE

FLIGHT MANAGEMENT UNDER USC 14 CFR PART 135. THE FLIGHT DEPARTED ST. LOUIS, MO

ENROUTE TO GRAND ISLAND, NE (GRI). ON APPROACH INTO GRI, THE CREW ADVISED THE

TOWER THAT THEY HAD NO INDICATION THAT THE NOSE GEAR WAS DOWN AND LOCKED.

THEY DECLARED AN EMERGENCY AND FLEW AROUND TO BURN FUEL. THEY LANDED

WITHOUT FURTHER INCIDENT. UPON TOUCH DOWN THE CREW RECEIVED A GREEN LIGHT

FOR THE NOSE GEAR. THE AIRCRAFT WAS FERRIED TO SMYRNA, TN. COMPANY MECHANICS

CLEANED THE NOSE GEAR DOWNLOCK INDICATOR MICROSWITCH, AND SWUNG THE GEAR

WITH NO DISCREPANCIES.

Detail

Primary Flight Type:

Secondary Flight Type:

Type of Operation: AIR TAXI/COMMUTER

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1 of 2 2/14/2013 9:26 PM

Exhibit CFM - 810
Registration Nbr: 874CP

Total Aboard: 12

Fatalities: 0

Injuries: 0

Landing Gear:

Aircraft Weight Class: OVER 12500 LBS

Engine Make:

Engine Model:

Engine Group:

Number of Engines: 2

Engine Type:

Environmental/Operations Info

Primary Flight Conditions:

Secondary Flight Conditions:

Wind Direction(deg):

Wind Speed(mph):

Visibility(mi.):

Visibility Restrictions:

Light Condition:

Flight Plan Filed:

Approach Type:

Pilot In Command

Pilot Certificates:

Pilot Rating:

Pilot Qualification:

Flight Time Total Hours: 0

Total in Make/Model: 0

Total in Last 90 days: 0

Total in last 90 days Make/Model:

END REPORT

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2 of 2 2/14/2013 9:26 PM

Exhibit CFM - 810
ASIAS BRIEF REPORT

GENERAL INFORMATION

Data Source: ACCIDENT AND INCIDENT DATABASE

Report Number: 20121214028209I

Local Date: 14-DEC-12

Local Time:

City: NASHVILLE

State: TN

Airport Name: JOHN C TUNE

Event Type: INCIDENT

Mid Air Collision: NOT A MIDAIR

AIRCRAFT INFORMATION

Aircraft Damage: NONE

Aircraft Make:

Aircraft Model:

Aircraft Series:

Airframe Hrs: 11737

Operator: CORPORATE FLIGHT MANAGEMENT

NARRATIVE

AIRCRAFT RAN OFF END OF RUNWAY INTO GRASS. NO DAMAGE TO AIRCRAFT.

Detail

Primary Flight Type:

Secondary Flight Type:

Type of Operation: GENERAL OPERATING RULES

Registration Nbr: 701DA

Total Aboard: 2

Fatalities: 0

Injuries: 0

Landing Gear:

Aircraft Weight Class: OVER 12500 LBS

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1 of 2 2/14/2013 9:41 PM

Exhibit CFM - 811
Engine Make:

Engine Model:

Engine Group:

Number of Engines: 2

Engine Type:

Environmental/Operations Info

Primary Flight Conditions:

Secondary Flight Conditions:

Wind Direction(deg):

Wind Speed(mph):

Visibility(mi.):

Visibility Restrictions:

Light Condition:

Flight Plan Filed:

Approach Type:

Pilot In Command

Pilot Certificates: AIRLINE TRANSPORT PILOT FLIGHT INSTRUCTOR

Pilot Rating:

Pilot Qualification:

Flight Time Total Hours: 3743

Total in Make/Model: 34

Total in Last 90 days: 81

Total in last 90 days Make/Model:

END REPORT

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2 of 2 2/14/2013 9:41 PM

Exhibit CFM - 811
Most Critical Injury:

Investigated By:

Local Time Time Zone

ries

r Medical Transport Flight:

ty:

Type of Aircraft

Aircraft Registration Number:

 binding

in support of this investigation or conducted a

t any travel, and used data obtained from various

**

al daylight time, a Mitsubishi, MU-2B-35, N309MA,

 Corporate Flight Management Inc., operating as a

ter takeoff in the vicinity of Smyrna, Tennessee.

an IFR flight plan was filed. The airplane was

No

35 /MU-2B-35 Airplane

0425 CDT

cident NTSB

/21/1995 Serious

226 N309MA

Exhibit CFM - 812
 binding

cident

/21/1995

26 

 in NTSB Form 6120.4

at the time of the accident. Official sunrise was

nd the percent of illumination of the moon was 12

 mile south of Jones Mill Road in a corn field in

irplane collided with a tree line in a descending

ing collided with trees 35 feet above the base of

 25 feet above the base of the tree. The airplane

eft and right stabilizer, left and right outboard

 tip tanks before the main fuselage collided with

act. The fuselage slid down the crash debris line

led over, and rotated around its vertical axis to

er system from the propeller flange. The fuselage

to the right separating the left and right engine

ge came to rest on its right side 1,231 feet from

grees. The remaining wreckage was scattered along

the initial point of impact (tree line.) The main

Exhibit CFM - 812
 binding

cident

/21/1995

26 

not have operating ATC facilities and it is not

tain an IFR clearance, the flight may takeoff and

Smyrna Airport is operational from 0800 to 2000.

uency 121.7 when the tower is closed. There is no

 N309MA attempted to pick up his IFR clearance on

of facility operation does not indicate a problem

r the time period 0500 UTC to 0459 UTC.

ual and Air Traffic Procedures Handbook indicates

ll be continuously monitored. At the time of the

 midnight configuration with all positions of

the voice recordings by the Nashville Air Traffic

aled that a transmission from N309MA was received

the TRACON; however, no determination was made as

The Air Traffic Manager for Nashville ATCT stated

ientation.

o Mr. Michael A. Noblin, Director of Maintenance,

23, 1995. The left and right engine and propeller

Aero Service, Jefferson, Georgia, on November 27,

Exhibit CFM - 812
 binding

cturer: Model/Series:

es

ax Gross Wt. LBS Number of Engines:

Serial Number

rport Elevation

Ft. MSL

Runway Used Runway Length Runway Width

Rated Power:

TPE33162840 HP 

10800 2

5 /MU-2B-35 602 

0 

cident

/21/1995

226 

Exhibit CFM - 812
 binding

City

Certificate Number:

State Date of Birth Age

Date of Last Medical Exam:

Glider Lighter

Than Air

Rotorcraft

Instrument

Actual Simulated

Night

aivers/lim. 09/1994

rument Airplane

n Pilot On File

On File On File On File 32

cident

/21/1995

26 

Exhibit CFM - 812
 binding

OF Distance From Accident Site

NM

Ft. AGL Condition of Light:

Direction From Accident Site

Deg. Mag.

Visibility: SM Altimeter: "Hg

Conditions at Accident Site:

Wind Gusts:

Aircraft Explosion

None

Visual Conditions

3 30.00

0 Night/Dark

20 320

cident

/21/1995

26 

Exhibit CFM - 812
 binding

cident

21/1995

26 

Exhibit CFM - 812
National Transportation Safety Board

Washington, DC 20594

Brief of

Adopted

Make/Model:

Engine Make/Model:

Aircraft Damage:

Number of Engines:

Operating Certificate(s):

Fatal Serious Minor/None

Crew

Pass

Last Depart. Point:

Destination:

Airport Proximity:

Condition of Light:

Weather Info Src:

Basic Weather:

Lowest Ceiling:

Visibility:

Wind Dir/Speed:

Temperature (°C):

Precip/Obscuration:

Pilot-in-Command Age:

Certificate(s)/Rating(s)

Flight Time (Hours)

Total All Aircraft:

Last 90 Days:

Total Make/Model:

Total Instrument Time:

Printed on : 3/1/2013 11:32:43 AM

Type of Flight Operation:

Reg. Flight Conducted Under:

UnK/Nr

112

Unk/Nr

2140

Airplane

Commercial; Multi-engine Land; Single-engine Land

32

*** Note: NTSB investigators either traveled in support of this investigation or conducted a significant amount of investigative work

without any travel, and used data obtained from various sources to prepare this aircraft accident report. ***

A WITNESS STATED HE OBSERVED THE AIRPLANE ON CLIMBOUT FROM RUNWAY 32. THE AIRPLANE STARTED A RIGHT TURN ESTIMATED AT ABOUT 30 TO 45

DEGREE ANGLE OF BANK. THE AIRPLANE STOPPED CLIMBING AND BEGAN DESCENDING. SUBSEQUENTLY, IT COLLIDED WITH A TREE LINE, WHILE IN A RIGHT

BANK, AND THEN IT IMPACTED THE GROUND. WEATHER CONDITIONS AT THE TIME OF ACCIDENT WERE DESCRIBED BY THE WITNESS AS VERY DARK, WITH NO

AMBIENT LIGHT OR VISIBLE HORIZON. EXAMINATION OF THE AIRFRAME, FLIGHT CONTROL SYSTEM, ENGINE ASSEMBLY, AND PROPELLER ASSEMBLY REVEALED NO

EVIDENCE OF A PRECRASH FAILURE OR MALFUNCTION. THE AUTOPILOT WAS FOUND IN THE OFF POSITION, AND THE AUTOPILOT CIRCUIT BREAKERS WERE NOT

TRIPPED. THE PILOT AND PASSENGER WERE SERIOUSLY INJURED AND HAD NO MEMORY OF THE FLIGHT. A RADIO TRANSCRIPT REVEALED THAT AFTER TAKING

OFF, THE FLIGHT HAD MADE ONE RADIO TRANSMISSION TO REQUEST AN IFR CLEARANCE. 

 

18

050 / 005 Kts

3.00 SM

2800 Ft. AGL, Broken

Visual Conditions

Weather Observation Facility

Night/Dark

0 1 0

0 1 0

Off Airport/Airstrip

LOUISVILLE, KY

Same as Accident/Incident Location

Part 91: General Aviation

Positioning

On-demand Air Taxi

2

Destroyed

Garrett / TPE-331-6-25 

Mitsubishi / MU-2B-35 

File No. 1177 09/21/1995 SMYRNA, TN Aircraft Reg No. N309MA Time (Local): 04:25 CDT

MIA95FA226 

02/14/1996

Accident

Exhibit CFM - 813
Brief of

__________________________________________________________________________________________________________________________________________

The National Transportation Safety Board determines the probable cause(s) of this accident to be:

FAILURE OF THE PILOT TO MAINTAIN A PROPER CLIMB RATE AFTER TAKEOFF, AND HIS INADVERTENT ENTRY IN A DESCENDING SPIRAL, WHICH HE FAILED TO

CORRECT. FACTORS RELATING TO THE ACCIDENT WERE: DARKNESS, AND THE PILOT BECOMING SPATIALLY DISORIENTED DURING THE INITIAL CLIMB WHILE

ATTEMPTING TO OBTAIN AN IFR CLEARANCE. 

Accident (Continued)

Occurrence #1: IN FLIGHT COLLISION WITH OBJECT

Phase of Operation: TAKEOFF

Findings

 1. (F) LIGHT CONDITION - DARK NIGHT

 2. AUTOPILOT - NOT USED - PILOT IN COMMAND

 3. (C) PROPER CLIMB RATE - NOT MAINTAINED - PILOT IN COMMAND

 4. (C) SPIRAL - INADVERTENT - PILOT IN COMMAND

 5. (F) SPATIAL DISORIENTATION - PILOT IN COMMAND

 6. (C) DESCENT - NOT CORRECTED - PILOT IN COMMAND

 7. OBJECT - TREE(S)

----------

Occurrence #2: IN FLIGHT COLLISION WITH TERRAIN/WATER

Phase of Operation: DESCENT - UNCONTROLLED

Findings Legend: (C) = Cause, (F) = Factor

File No. 1177 09/21/1995 SMYRNA, TN Aircraft Reg No. N309MA Time (Local): 04:25 CDT

MIA95FA226 

Exhibit CFM - 813
Most Critical Injury:

Investigated By:

Local Time Time Zone

ries

r Medical Transport Flight:

ty:

Type of Aircraft

Aircraft Registration Number:

 binding

in support of this investigation or conducted a

t any travel, and used data obtained from various

**

e (EST), a Mitsubishi MU-300, N617BG, operated by

substantially damaged during a landing overrun on

ld Airport (AID), Anderson, Indiana. Instrument

e of the accident. The 14 CFR Part 135 on-demand

No

Airplane

0901 EST

cident NTSB

/25/2002 None

097 N617BG

Exhibit CFM - 814
 binding

cident

/25/2002

97

ve a slight quartering tailwind on the right hand

aking action i have is by a snowplow fair to poor

he middle."

avo gulf."

ff and collapsed a landing gear."

ment:

ind for the ILS, when the ice detection light

ce components, and the ice detection light turned

atures on. During the vectors onto the approach,

roach vectored us through the localizer. We were

red the landing gear 1 dot below GS. Just inside

bilized approach commenced.

 if we wanted to do straight in landing or circle

the braking action was reported fair to poor by a

he reported tailwind was minimal, and it appeared

orted. We broke out at 600' AGL and visibility 1

Exhibit CFM - 814
 binding

cident

/25/2002

97

eading of 300 [degrees] to intercept-this is the

 close to the final approach course, out turn to

course, and we had to add 30 [degrees] more to

ff to Muncie tower. I asked if he meant Anderson

to contact Anderson tower. We now had flaps 10

ended, ignitions came on, and landing lights came

ps were applied. Contacting tower, tower advised

nd gave us the choice of straight-in runway 30 or

t the captain and I could discuss and decide. We

n limited visibility, so it was clear a circling

ght of the runway. We decided not to circle, and

dvised braking action reported fair to poor.

ed to Vref. ...the ALS [airport lighting system]

seconds later. I gave standard speed callouts to

y 20-30 feet on the radar altimeter. The captain

, including the nose wheel, and speed brakes were

 landed no more than 800 feet from the end of the

d also tell that the captain was applying brake

veling on an ice-covered runway. and friction for

 both looked at each other with a thought towards

Exhibit CFM - 814
 binding

cident

/25/2002

97

s or incidents. The captain received a violation

on June 29, 2000, relating to the initial and

structors. FAR 135.40(a) states: No certificate

 a flight instructor unless -

l or transition flight instructor training; and

 person satisfactorily conducts instruction under

r check airman, or an aircrew designated examiner

ck may be accomplished in part or in full in an

aining device. This paragraph applies after March

 Jetstream first officer on October 23, 2000. He

 land, multi-engine land, and instrument airplane

ified flight instructor certificate with a single

ely 1,575 total hours, of which 275 hours were in

urs of actual instrument flight time. The first

ate on May 8, 2001 with a restriction, "must wear

" 

nts, incidents or violations.

ight crew members show that they were off duty on

Exhibit CFM - 814
 binding

cident

/25/2002

97

neral weather conditions over an area the size of

en route weather and to interpolate conditions at

ecasts (TAFs) issued. The Chicago FA for central

cated: overcast ceiling at 1,000 feet agl, clouds

m; light snow and mist; occasional light freezing

al conditions due to low ceilings, rain, freezing

expected to occur at an airport and within a 5 nm

for a 24-hour period. Indianapolis International

 39.2 nm southwest of AID. The IND TAF issued on

rom 0500: wind from 040 degrees at 12 knots; 3 sm

ditions at 800 feet agl. From 0514, the forecast

lity 1 sm; light freezing rain and mist; overcast

e forecast indicated: wind from 040 degrees at 12

ast sky conditions at 1,200 feet agl. From 0918,

; light rain and mist; overcast sky conditions at

ceiling measurements are determined from a sensor

inute sampling period. Prevailing visibility is

Exhibit CFM - 814
 binding

cident

/25/2002

97

s served by runway 12-30 (5,401 feet by 100 feet,

75 feet, asphalt). Runway 30 is equipped with an

t-in minima of 1,169 feet msl and 1 sm visibility

minima of 1,400 feet msl and 1 sm visibility for

 minimum is increased to 1 1/2 sm for category C

or the AID ILS 30 approach is 2,543 feet msl near

he runway threshold. The touchdown elevation for

as located 3,404 feet down runway 30.

having limited airport rescue fire fighting index

an air carrier. According to the AFD's directory

is required to provide for the collection and

to air carriers through the notices to airman

nd procedures acceptable to the Administrator.

ts scheduled hours of operation from 0600-2200 as

 0600 and began plowing the runways. The airport

 The following NOTAMs were issued for AID:

ay 12-30 was closed, which was later cancelled at

w, ice, rain; braking action poor 

Exhibit CFM - 814
 binding

cident

/25/2002

97

1 King Air 200. CFM employed 15 full-time pilots

ortation instrument approach charts depict runway

was listed for AID as 0.7 percent up towards the

 used Jeppesen airport information and Jeppesen

ight. Jeppesen instrument approach charts do not

alue. Jeppesen airport directory information for

 CFM, showed no runway gradient information. The

had a 0.7 percent down slope. The company's copy

ovided to the investigator-in-charge (IIC) and it

contacted by the IIC to provide a copy of airport

 of the accident. The Jeppesen copy showed a 0.7

es each airplane flight manual contain the

licable provisions of this part for the weights,

ay gradients, as applicable, within the operation

field length is based on ambient air temperature,

and anti-skid system on or off. MU-300 landing

provided in the aiplane flight manual for United

unway landing distance information is included in

Exhibit CFM - 814
 binding

cident

/25/2002

97

 technique necessary for minimum landing distance

ns. For example, low aspect ratio airplanes with

ry high drag at the high speeds immediate to

 or flap or incidence setting precludes a large

orce on the braking surfaces and braking friction

 the initial high speed part of the landing roll,

g the greatest possible aerodynamic roll, maximum

reatest possible amount of drag. By the time the

chdown speed, aerodynamic drag decays but braking

oncrete, the maximum value for the coefficient of

r of 0.6 to 0.8. ...When the runway has water or

fficient of friction is reduced greatly below the

When water is on the surface, the tread design

t between the rubber and the runway and prevent a

When the rainfall is light, the peak value for

 heavy rainfall it is more likely that sufficient

 the tire and the runway. In this case, the peak

ome extreme conditions, the tire may simply plane

nd the coefficient of friction is much lower than

cause extremely low values for the coefficient of

r the coefficient of friction may be on the order

Exhibit CFM - 814
 binding

cturer: Model/Series:

es

ax Gross Wt. LBS Number of Engines:

Serial Number

rport Elevation

Ft. MSL

Runway Used Runway Length Runway Width

Rated Power:

JT1D4D 200 LBS 

15500 2

0675A

919 30 5401 100

cident

/25/2002

097

Exhibit CFM - 814
 binding

City

Certificate Number:

State Date of Birth Age

Date of Last Medical Exam:

Glider Lighter

Than Air

Rotorcraft

Instrument

Actual Simulated

Night

1500 700 100

aivers/lim. 10/2001

rument Airplane

n Pilot On File

On File On File On File 33

cident

/25/2002

97

Exhibit CFM - 814
 binding

OF Distance From Accident Site

NM

Ft. AGL Condition of Light:

Direction From Accident Site

Deg. Mag.

Visibility: SM Altimeter: "Hg

Conditions at Accident Site:

Wind Gusts:

Aircraft Explosion

None

Instrument Conditions

20

2.5 30.10

Day

cident

/25/2002

97

Exhibit CFM - 814
 binding

cident

25/2002

97

Exhibit CFM - 814
National Transportation Safety Board

Washington, DC 20594

Brief of

Adopted

Make/Model:

Engine Make/Model:

Aircraft Damage:

Number of Engines:

Operating Certificate(s):

Fatal Serious Minor/None

Crew

Pass

Last Depart. Point:

Destination:

Airport Proximity:

Condition of Light:

Weather Info Src:

Basic Weather:

Lowest Ceiling:

Visibility:

Wind Dir/Speed:

Temperature (°C):

Precip/Obscuration:

Pilot-in-Command Age:

Certificate(s)/Rating(s)

Flight Time (Hours)

Total All Aircraft:

Last 90 Days:

Total Make/Model:

Total Instrument Time:

Printed on : 3/1/2013 11:18:39 AM

Name of Carrier:

Type of Flight Operation:

Reg. Flight Conducted Under: Part 135: Air Taxi & Commuter

800

1000

80

10500

Airplane

Airline Transport; Multi-engine Land; Single-engine Land

33

Ice; Snow--compacted

Asphalt

5401 / 100

30

Airport Name: ANDERSON MUNICIPAL-DARLINGTON 

Runway Identification:

Runway Length/Width (Ft):

Runway Surface:

Runway Surface Condition:

*** Note: NTSB investigators either traveled in support of this investigation or conducted a significant amount of investigative work

without any travel, and used data obtained from various sources to prepare this aircraft accident report. ***

The MU-300 on-demand passenger charter flight sustained substantial damage during a landing overrun on a snow/ice contaminated runway.

The captain, who was also the company chief pilot and check airman, was the flying pilot, and the first officer was the non flying pilot.

 Instrument meteorological conditions prevailed at the time of the accident. Area weather reporting stations reported the presence of

freezing rain and snow for a time period beginning several hours before the accident. The captain did not obtain the destination

airport weather observation until the flight was approximately 30 nautical miles from the airport. The flight received radar vectors for

a instrument landing system approach to runway 30 (5,401 feet by 100 feet, grooved asphalt). The company's training manual states the

MU-300's intermediate and final approach speeds as 140 knots indicated airspeed (KIAS) and Vref, respectively. Vref was reported by the

flight crew as 106 KIAS. During the approach, the tower controller (LC) gave the option for the flight to circle to land or continue

straight in to runway 30. LC advised that the winds were from 050-070 degrees at 10 knots gusting to 20 knots, and runway braking action

was reported as fair to poor by a snow plow. Radar data indicates that the airplane had a ground speed in excess of 200 knots between

the final approach fix and runway threshold and a full-scale localizer deviation 5.5 nm from the localizer antenna. The company did not

have stabilized approach criteria establishing when a missed approach or go-around is to be executed. The captain stated that he was

unaware that there was 0.7 percent downslope on runway 30. The company provided a page from their airport directory which did not

indicate a slope present for runway 30. The publisher of the airport directory provided a page valid at the time of the accident showing

 

-3

060 / 010 Kts

2.50 SM

1300 Ft. AGL, Overcast

Instrument Conditions

Weather Observation Facility

Day

0 0 4

0 0 2

On Airport/Airstrip

Same as Accident/Incident Location

Memphis, TN

Non-scheduled; Domestic; Passenger Only

CORPORATE FLIGHT MANAGEMENT INC

On-demand Air Taxi

2

Substantial

Pratt & Whitney / JT15D-4D

Mitsubishi / MU-300

File No. 14161 03/25/2002 Anderson, IN Aircraft Reg No. N617BG Time (Local): 09:01 EST

CHI02FA097

11/25/2003

Accident

Exhibit CFM - 815
Brief of

File No. 14161 03/25/2002 Anderson, IN Aircraft Reg No. N617BG Time (Local): 09:01 EST

CHI02FA097

Accident (Continued)

a 0.7 percent runway slope. Runway slope is used in the determination of runway performance for transport category aircraft such as the

MU-300. The airplane operating manual states that MU-300 landing performance on ice or snow covered runways has not been determined.

The airplane was equipped with a cockpit voice recorder with a remote cockpit erasure control. Readout of the cockpit voice recorder

indicated a repetitive thumping noise consistent with manual erasure. No notices to airman pertaining to runway conditions were issued

by the airport prior to the accident.

Exhibit CFM - 815
Brief of

__________________________________________________________________________________________________________________________________________

The National Transportation Safety Board determines the probable cause(s) of this accident to be:

Missed approach not executed and flight to a destination alternate not performed by the flight crew. The tail wind and snow/ice covered

runway were contributing factors.

Accident (Continued)

Occurrence #1: OVERRUN

Phase of Operation: LANDING - ROLL

Findings

 1. (F) WEATHER CONDITION - TAILWIND

 2. (C) MISSED APPROACH - NOT PERFORMED - FLIGHTCREW

 3. CONDITION(S)/STEP(S) NOT LISTED - COMPANY/OPERATOR MANAGEMENT

 4. (F) WEATHER CONDITION - SNOW

 5. (C) FLIGHT TO DESTINATION ALTERNATE - NOT PERFORMED - FLIGHTCREW

 6. (F) WEATHER CONDITION - ICING CONDITIONS

 7. FLARE - INADEQUATE - FLIGHTCREW

 8. PERFORMANCE DATA - INADEQUATE - FLIGHTCREW

Findings Legend: (C) = Cause, (F) = Factor

File No. 14161 03/25/2002 Anderson, IN Aircraft Reg No. N617BG Time (Local): 09:01 EST

CHI02FA097

Exhibit CFM - 815
Exhibit CFM - 900

INSURANCE COVERAGE

Insurance for all aircraft operated by CFM is provided through a "vertical placement" with

participation by the following underwriters: Allianz Aviation Managers (20%), Global

Aerospace, Inc. (20%), Star Net Insurance Company (20%), Starr Indemnity and Liability

Company (20%), and W. Brown and Associates (20%). The present policies commenced on

April 1, 2012 and ends on March 31, 2013.

A copy of CFM’s current OST Form 6410 is attached as Exhibit CFM - 901.

Negotiations for renewal of CFM's insurance have been successfully concluded. All of the

participating underwriters have agreed to renew at their current level. The new policy will be

issued prior to March 31, 2013, and a new OST 6410 will be submitted immediately following

the policy renewal.
Exhibit CFM - 901

U.S. Department of 

Transportation 

Office of the Secretary 

of Transportation 

AGENCY DISPLAY OF ESTIMATED BURDEN 

The public reporting burden for this collection of information is estimated to average 30 minutes per response. If 

you wish to comment on the accuracy of the estimate or make suggestions for reducing this burden, please direct 

your comments to: U.S. Department of Transportation, Office of Aviation Analysis, X-56, 400 7th St., SW, 

Washington, D.C. 20590. According to the Paperwork Reduction Act of 1995, no persons are required to respond to 

a collection of information unless it displays a valid OMB control number. 

NOTE: For information on where to file completed copies of this form, see FILING INSTRUCTIONS below. 

OMB No. 2106-0030 Expires 9-30-07 

U.S. AIR CARRIERS- CERTIFICATE OF INSURANCE 

POLICIES OF INSURANCE FOR AIRCRAFT ACCIDENT BODILY INJURY 

AND PROPERTY DAMAGE LIABILITY 

FILING INSTRUCTIONS: File an original of this form with the Federal Aviation Administration, AFS-260, 800 Independence Ave., SW., Washington, D.C. 

20591. (See EXCEPTIONS 1 and 2 below.) 

EXCEPTION 1: If Block 2B on the reverse is filled in because the insured is a commuter air carrier, file a signed original of this form with the 

Department of Transportation, Air Carrier Fitness Division, X-56, 400 7th St., SW, Washington,. D.C. 20590.) 

EXCEPTION 2: For any insured that is located in the State of Alaska (regardless as to whether Block 2A, 2B, or 2C is filled in), file a signed 

original of this form with the Federal Aviation Administration, Alaskan Region HQ., AAL-230, 222 W. 7th Ave., #14, Anchorage, Alaska 99513 

(Please type information, except signatures.) 

THISCERTIFIESTHAT:~~~~~S~e~e~at=ta=c=h~e~d~f~o~r~li~st~o=f~i~ns=u=r~e~rs~a=n~d~p~o~lic~ie~s=·~~~~~~~~~~~~~~~~ 

(Name of Insurer) 

has issued a policy or policies of Aircraft Liability Insurance to CORPORATE FLIGHT MANAGEMENT INC 

.:..62-'5_F-'IT-'Z-'H.;.;U:.._G:...cH;.....;.....B=.L V'-'D'-=-S_M_Y_R_NA;.._;.._A .... IR-'-P-'O-'R-'::T::-S:..cM.c:.Yc....:R..c::N-':-A-:-',--'T-'-N'-=-37'-:-1-::6::-7 -:-:::--:-;;:--:--~-:----,:-:-~-:-:-:-:::-'FAA Certificate N umber_F-'J_T_;A_92_0_D~~~~­

(Name, address and FAA Certificate number of Insured U.S. Air Carrier) 

effective from April1, 2012 until ten (10) days after written notice from the insurer or carrier of the intent to terminate 

coverage is received by the Department of Transportation. 

NOTE: Part 205 of the Department's Regulations does not allow for a predetermined termination date, and a certificate showing such a 

date is unacceptable. 

1. The Insurer (Check One): 

tlll is licensed to issue aircraft insurance policies in the United States; 

o is licensed or approved by the government of--:-:--::--~~~~~~~ to issue aircraft insurance policies; or 

o is an approved surplus line insurer in the State(s) of __________ ~ 

2. The insurer assumes, under the policy or policies listed below, aircraft accident liability insured to minimums at least equal to the 

following during operation, maintenance, or use of aircraft in "air transportation" as that term is defined in 49 U.S.C. 40102. 

(Complete applicable section(s) A, B, or C below): 

A. U.S. AIR TAXI OPERATORS (EXCLUDING U.S. COMMUTER AIR CARRIERS) WITH PART 298 AUTHORITY ONLY: 

The aircraft covered by this policy are SMALL AIRCRAFT (i.e., with 60 or fewer passenger seats or with a maximum payload 

capacity of 18,000 pounds or less). (Check separate or combined coverage as appropriate): 

o Separate Coverages: 

PolicvNo. Tvpe of Liability 

Bodily Injury Liability 

(Excluding Passengers) 

Passenger Bodily Injury 

Property Damage 

Minimum Limit 

Each person 

$ 75,000 

$ 75,000 

Each Occurrence 

$300,000 

$75,000 x 75% of 

total number of 

passenger seats 

installed in aircraft 

$100,000 

tlll Combined Coverage: This combined coverage is a single limit of liability for each occurrence at least equal to the required 

minimums stated above for bodily injury (excluding passengers). property damaged, and passenger bodily injury. 

Policy No. See Attached 

Meets or exceeds the minimum 

Amount of Coverage requirements of 14CFR Part 205 

0 This policy covers CARGO operations only and excludes passenger liability insurance. 

OST Form 6410 
Exhibit CFM - 901

B. U.S. COMMUTER AIR CARRIERS OR CERTIFICATED AIR CARRIERS OPERATING SMALL AIRCRAFT 

The aircraft covered by this policy are SMALL AIRCRAFT (i.e., with 60 or fewer passenger seats or with a maximum payload 

capacity of 18,000 pounds or less). (Check separate or combined coverage as appropriate): 

D Separate Coverages:: Minimum Limit 

Policy No. Type of Liability 

Combined Bodily Injury (Excluding Passengers other 

than cargo attendants) and Property Damage Liability 

Passenger Bodily Injury 

Each person 

$300,000 

$300,000 

Each Occurrence 

$2,000,000 

$300,000 x 75% of 

total number of 

passenger seats 

installed in aircraft 

D Combined Coverage: This combined coverage is a single limit of liability for each occurrence at least equal to the required 

minimums stated above for bodily injury (excluding passengers), property damaged, and passenger bodily injury. 

Policy No. Amount of Coverage ___________ _ 

D This policy covers CARGO operations only and excludes passenger liability insurance. 

C. U.S. CERTIFICATED AIR CARRIERS OPERATING LARGE AIRCRAFT 

The aircraft covered by this policy are LAR504GE AIRCRAFT (i.e., with more than 60 passenger seats or with a maximum payload 

capacity of more than 18,000 pounds). (Check separate or combined coverage as appropriate): 

D Separate Coverages: Minimum Limit 

Policy No. Type of Liability 

Combined Bodily Injury (Excluding Passengers other 

than cargo attendants) and Property Damage Liability 

Passenger Bodily Injury 

Each person 

$300,000 

$300,000 

Each Occurrence 

$20,000,000 

$300,000 x 75% of 

total number of 

passenger seats 

installed in aircraft 

D Combined Coverage: This combined coverage is a single limit of liability for each occurrence at least equal to the required 

minimums stated above for bodily injury (excluding passengers), property damaged, and passenger bodily injury. 

Policy No. Amount of Coverage ___________ _ 

D This policy covers CARGO operations only and excludes passenger liability insurance. 

3. The policy or policies listed in this certificate insure(s) (Check One): 

l1ll Operations conducted with all aircraft operated by the insured 

D Operations conducted with the following types of aircraft: 

D Operations with the following aircraft: (Use additional page if necessary) 

Make and Model FAA or Foreign Flag 

Registration No. 

4. Each policy listed in this certificate meets or exceeds the requirements in 14 CFR Part 205. 

One or more member companies of Global Aerospace Pool 

through Global Aerospace, Inc. CHAPPELL, SMITH AND ASSOCIATES, INC. 

(Name of Insurer) (Name of Broker, if applicable) 

ONE SYLVAN WAY 1006 MERYLINGER COURT null 

(Address) (Address) 

PARSIPPANY, NJ 07054 FRANKLIN, TN 37067 

(City, State, Zip Code) (City, State, Zip Code) 

Jeffrey Bruno THOMAS CHAPPELL 

Contact (person who can verify the effectiveness of the coverage) (Officer or authorized representative) 

9 7 3-490-8500 /.-=-97:..::3:_-4;-o9:..::0-=-5=-=:6::-35=-:--::::---::-;---:---:---

(Area Code, Phone Number) (Area Code, Fax Number) 

~ure, if applicable) 

800-999-11 09 1___:_61_:_:5:_-4.:_:3:_::5_:-8:..::3-=-30=--------

(Area Code, Phone Number) (Area Code, Fax Number) 

(Signature) 

March 26, 2012 

(Date) (Date) 
Exhibit CFM - 901

Schedule of Insurers 

Insurer Policy Number 

Allianz Global Risks US Insurance Company through Allianz Global Corporate & Specialty A3GA000504912AM 

One or more Member Companies of Global Aerospace Pool through Global Aerospace, 

Inc 

Star Net Insurance Company c/o Berkley Aviation, LLC 

Starr Indemnity & Liability c/o Starr Aviation Agency, Inc. 

W. Brown & Associates Insurance Services On behalf of Catlin Specialty Insurance 

Company 

Page 3 of3 

15000832 

BA-12-04-00011 

SASICOM60040611-01 

NQC4017467 

Share 

Percentage 

20% 

20% 

20% 

20% 

20% 
U.S. Department of Transportation 

Office of the Secretary of Transportation AGREEMENT 

Exhibit CFM - 1 000 

Docket OST 95-236 

The undersigned carriers (hereinafter referred to as "the Carriers") hereby agree as follows: 

1. Each of the Carriers shall, effective May 16, 1966, include the following in its conditions of carriage, including tariffs embodying 

conditions of carriage filed by it with any government: 

"The Carrier shall avail itself of the limitation of liability provided in the Convention for the Unification of Certain Rules 

Relating to International Carriage by Air signed at Warsaw October 12th, 1929, or provided in the said Convention as amended by 

the Protocol signed at The Hague September 28th, 1955. However, in accordance with Article 22(1) of said Convention, or said 

Convention as amended by said Protocol, the Carrier agrees that, as to all international transportation by the Carrier as defined in 

the said Convention or said Convention as amended by said Protocol, which, according to the contract of Carriage, includes a 

point in the United States of America as a point of origin, point of destination, or agreed stopping place 

(1) The limit of liability for each passenger for death, wounding, or other bodily injury shall be the sum of US $75,000 

inclusive of legal fees and costs, except that, in case of a claim brought in a State where provision is made for separate 

award of legal fees and costs, the limit shall be the sum of US $58,000 exclusive of legal fees and costs. 

(2) The Carrier shall not, with respect to any claim arising out of the death, wounding, or other bodily injury of a passenger, 

avail itself of any defense under Article 20(1) of said Convention or said Convention as amended by said Protocol. 

Nothing herein shall be deemed to affect the rights and liabilities of the Carrier with regard to any claim brought by, on behalf 

of, or in respect of any person who has willfully caused damage which resulted in death, wounding, or other bodily injury of a 

passenger." 

2. Each Carrier shall, at the time of delivery of the ticket, furnish to each passenger whose transportation is governed by the 

Convention, or the Convention as amended by the Hague Protocol, and by the special contract described in paragraph 1, the following 

notice, which shall be printed in type at least as large as 10 point modern type and in ink contrasting with the stock on (i) each ticket; (ii) 

a piece of paper either placed in the ticket envelope with the ticket or attached to the ticket; or (iii) on the ticket envelope: 

"ADVICE TO INTERNATIONAL PASSENGER ON LIMITATION OF LIABILITY 

Passengers on a journey involving an ultimate destination or a stop in a country other than the country of origin are advised 

that the provisions of a treaty known as the Warsaw Convention may be applicable to the entire journey, including any portion 

entirely within the country of origin or destination. For such passengers on a journey to, from, or with an agreed stopping place in 

the United States of America, the Convention and special contracts of carriage embodied in applicable tariffs provide that the 

liability of 

[certain ]* 

[(name of carrier) and certain other] carriers parties to such special contracts for death of or personal injury to passengers is 

limited in most cases to proven damages not to exceed US $75,000 per passenger, and that this liability up to such limit shall not 

depend on negligence on the part of the carrier. For such passengers traveling by a carrier not a party to such special contracts or 

on a journey not to, from, or having an agreed stopping place in the United States of America, liability of the carrier for death or 

personal injury to passengers is limited in most cases to approximately US $10,000 or US $20,000. 

The names of Carriers parties to such special contracts are available at all ticket offices of such carriers and may be 

examined on request. 

Additional protection can usually be obtained by purchasing insurance from a private company. Such insurance is not 

affected by any limitation of the carrier's liability under the Warsaw Convention or such special contracts of carriage. For further 

information please consult your airline or insurance company representative." 

3. [This Agreement was filed with the Civil Aeronautics Board of the United States. The Board approved it by Order E-23680, 

adopted May 13, 1966. The Agreement (Agreement 18900) became effective May 16, 1966. On January 1, 1985, this Agreement 

became the responsibility of the Department of Transportation (DOT) by operation of law.] 

4. This Agreement may be signed in any number of counterparts, all of which shall constitute one Agreement. Any Carrier may 

become a party to this Agreement by signing a counterpart hereof and depositing it with DOT. 

5. Any Carrier party hereto may withdraw from this Agreement by giving twelve (~~· w~itt 

and the other Carriers parties to the Agreement. ~ '77~·-,w 

(Signature and Date) ---------'------=-"""--'--------

*Either alternative may be used. 

OST Form 4523 (Formerly CAB Form 263) 

(Printed Name and Title) A\tef\ W.owdl Chief £')(eeu.,-l-;ve om·Clif 

(Name and Address of Carrier) ~pora k 17 { / ?PJ ~ 

:?<1& ho~ W:u;oaot, ~ eoo.J 
Exhibit CFM - 1100

Emergency Response Procedures

A copy of CFM’s general Emergency Operations Manual is attached as Exhibit CFM - 1101.

The requirement for a Family Assistance Plan is satisfied by means of a contract with Fireside

Partners LLC, a copy of which is included in the Emergency Operations Manual.
EMERGENCY 

OPERATIONS 

MANUAL

All rights reserved. This publication and its contents may not be reproduced, stored in a 

retrieval system, disseminated or transmitted in any form or by any means (electronic, 

photocopy, by recording, mechanically or otherwise) without the prior written permission of 

Corporate Flight Management, Inc. 

Printed in U.S.A. Revision 13

© 2011 Corporate Flight Management, Inc. 19 July 2012

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RECORD OF REVISIONS

Rev 

No Issue Date Rev No Issue Date Rev No Issue Date 

0 1 Apr 03 15 30 

1 22 Jul 03 16 31 

2 22 Dec 03 17 32 

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4 13 Apr 05 19 34 

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9 23 May 09 24 39 

10 26 Feb 10 25 40 

11 01 Nov 10 26 41 

12 17 May 11 27 42 

13 19 July 12 28 43 

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Chapter 0

Cover/Record of Revisions.......19 July 12   

List of Effective Pages

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0‐4 ............................................19 July 12

Table of Contents

0‐5 ............................................19 July 12

0‐6 ........................................... 01 Nov 10

0‐7 ........................................... 01 Nov 10

0‐8/Blank................................. 01 Nov 10

Chapter 1

1‐1 .......................................... 17 May 11

1‐2 ............................................18 Feb 09

Chapter 2

2‐1 ............................................19 July 12

2‐2 ............................................19 July 12

Chapter 3

3‐1 .......................................... 17 May 11

3‐2 ............................................19 July 12

3‐3 ........................................... 01 Nov 10

3‐4 ........................................... 01 Nov 10

3‐5 .......................................... 17 May 11

3‐6 .......................................... 17 May 11

3‐7 .......................................... 17 May 11

3‐8 .......................................... 17 May 11

3‐9 .......................................... 17 May 11

3‐10 ........................................ 17 May 11

3‐11 ..........................................19 July 12

3‐12 ........................................ 17 May 11

3‐13 ........................................ 17 May 11

3‐14 ........................................ 17 May 11

3‐15 ..........................................19 July 12

3‐16 ........................................ 17 May 11

3‐17 ........................................ 17 May 11

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3‐18 ........................................ 17 May 11

Chapter 4

4‐1 ............................................19 July 12

4‐2 ............................................19 July 12

4‐3 ........................................... 01 Nov 10

4‐4 ........................................... 01 Nov 10

4‐5 ........................................... 01 Nov 10

4‐6 ........................................... 01 Nov 10

4‐7 ........................................... 01 Nov 10

4‐8 ............................................19 July 12

Chapter 5

5‐1 ........................................... 01 Nov 10

5‐2 ........................................... 01 Nov 10

5‐3 ........................................... 01 Nov 10

5‐4 ........................................... 01 Nov 10

5‐5 ........................................... 01 Nov 10

5‐6 ........................................... 01 Nov 10

5‐7 ........................................... 01 Nov 10

5‐8 ........................................... 01 Nov 10

5‐9 ........................................... 01 Nov 10

5‐10 ......................................... 01 Nov 10

5‐11 ......................................... 01 Nov 10

5‐12 ......................................... 01 Nov 10

5‐13 ......................................... 01 Nov 10

5‐14 ......................................... 01 Nov 10

5‐15 ......................................... 01 Nov 10

5‐16 ......................................... 01 Nov 10

5‐17 ......................................... 01 Nov 10

5‐18 ......................................... 01 Nov 10

Chapter 6

6‐1 ........................................... 01 Nov 10

6‐2 ........................................... 01 Nov 10

6‐3 ........................................... 01 Nov 10

6‐4 ........................................... 01 Nov 10

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6‐5 ........................................... 01 Nov 10

6‐6 ........................................... 01 Nov 10

Chapter 7

7‐1 ........................................... 01 Nov 10

7‐2 ............................................19 July 12

7‐3 ........................................... 01 Nov 10

7‐4 ........................................... 01 Nov 10

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TABLE OF CONTENTS

CHAPTER 1 ‐ Introduction                 PAGE

Introduction ..................................................................................................................... 1‐1

CHAPTER 2 – Company Emergency Organization

Emergency Organization.................................................................................................. 2‐1

Emergency Operations Center......................................................................................... 2‐1

Director of Operations Determination ............................................................................ 2‐1

Headquarters Emergency Operations Center ................................................................. 2‐1

Emergency Operations Center Staff ................................................................................ 2‐2

Management Team.......................................................................................................... 2‐2

Employee Emergency Preparedness ............................................................................... 2‐2

Annual Exercise of Emergency Procedures ..................................................................... 2‐2

CHAPTER 3 – Emergency Notification

Initial Emergency Notification ......................................................................................... 3‐1

Headquarters Emergency Notification Phone Tree......................................................... 3‐1

TSA Admin Office of Intelligence (Immediate Notification) ............................................ 3‐3

Emergency Notification – Military ................................................................................... 3‐3

Emergency Contact Numbers – Frequently Used Airfields ............................................. 3‐4

Atlanta, GA (ATL).................................................................................................. 3‐5

Austin TX (AUS) .................................................................................................... 3‐6

Branson, MO(BBG)............................................................................................... 3‐7

Dallas, TX (RBD).................................................................................................... 3‐8

Danbury, CT (DXR)................................................................................................ 3‐9

Jackson, TN (MKL) .............................................................................................. 3‐10

Knoxville, TN (TYS) ............................................................................................. 3‐11

Millington, TN (NQA).......................................................................................... 3‐12

Nashville, TN (BNA)............................................................................................ 3‐13

Nashville, TN (JWN)............................................................................................ 3‐14

(Atlanta) Paulding Dallas, Georgia (PUJ)............................................................ 3‐15

Sioux City, IA (SUX)............................................................................................. 3‐15

Smyrna, TN (MQY) ............................................................................................. 3‐16

Union City, TN (UCY) .......................................................................................... 3‐17

White Plains, NY (HPN) ...................................................................................... 3‐18

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CHAPTER 4 – Emergency Procedures

Emergency Response Partner Notification (Fireside)...................................................... 4‐1

NTSB Emergency Notification.......................................................................................... 4‐1

Emergency Operations..................................................................................................... 4‐2

Accident, Incident, Emergency Procedures and Responsibilities (NTSB)........................ 4‐2

Definitions (NTSB 830) ..................................................................................................... 4‐2

NTSB Immediate Notification (NTSB 830.5) .................................................................... 4‐3

Required Information (NTSB 830.6)................................................................................. 4‐5

Preservation of Aircraft Wreckage, Mail, Cargo and Records (NTSB 830.10) ................. 4‐5

NTSB Offices..................................................................................................................... 4‐6

Records ............................................................................................................................ 4‐6

Maintenance Records .......................................................................................... 4‐6

Flight Crew ........................................................................................................... 4‐7

Drug and Alcohol Testing................................................................................................. 4‐7

Family Assistance ............................................................................................................. 4‐8

CHAPTER 5 – Bomb/Sabotage Threats

Authenticity of Threat...................................................................................................... 5‐1

Bomb Threat Guidelines.................................................................................................. 5‐1

Establishing Floor Leaders ................................................................................... 5‐2

The Threat............................................................................................................ 5‐3

Evacuation Decision............................................................................................. 5‐3

The Search............................................................................................................ 5‐4

Evacuation Implementation................................................................................. 5‐5

Evacuation of handicapped persons.................................................................... 5‐5

Returning to Building after Evacuation................................................................ 5‐5

Bomb Threat Checklist......................................................................................... 5‐7

Threat Response .............................................................................................................. 5‐9

Aircraft Inspection Procedures...................................................................................... 5‐10

Aircraft Security Inspection Procedures........................................................................ 5‐13

Aircraft Security Inspection Checklist............................................................................ 5‐14

Facility Security Inspection Procedures ......................................................................... 5‐16

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CHAPTER 6 – Forms

Aircraft Accident / Incident Reporting Form ................................................................... 6‐2

Emergency Event Log....................................................................................................... 6‐3

Bomb Threat Checklist..................................................................................................... 6‐4

Bomb Information............................................................................................................ 6‐5

Over‐Due Aircraft Checklist ............................................................................................. 6‐6

CHAPTER 7 – Disasters

Tornado............................................................................................................................ 7‐1

Fire ................................................................................................................................... 7‐1

Designated Assembly Areas............................................................................................. 7‐2

TAB 2 – 1st First Responder’s Checklists

EOC Manager’s Checklist .................................................................................................... 1

Dispatch Checklist............................................................................................................... 3

Administrative Support Checklist ....................................................................................... 5

Department Management Checklist................................................................................... 7

Maintenance Checklist........................................................................................................ 9

Emergency Event Log........................................................................................................ 10

TAB 3 – Partial Service Agreement Fireside Partners‐Emergency Response Partner

TAB 4 – Media and Public Responses Request of Information about Accident/Incident

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RESERVED

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CHAPTER 1

INTRODUCTION

Corporate Flight Management has created this Emergency Operations Manual as a tool for

immediate action in the unlikely event of an emergency or incident.  It contains a Management

Phone tree list, informational forms to be completed in the event of an emergency, an

Event/Phone log, and procedures for handling calls from families and the media.

It is important that you familiarize yourself with its contents, how to use it, and what to do in

the event of an emergency.   

Each revision to the Emergency Operations Manual will be distributed with a new Cover Page,

Record of Revisions, and a summary of the major changes in the content of the manual.  Upon

receipt, the holder of the Emergency Operations Manual should review the changes with all

affected personnel, post the revision and return the revision receipt to the Director of Safety.

Any questions or suggestions regarding updates of this manual should be directed to the

Director of Safety or the Director of Operations.

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RESERVED

  

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CHAPTER 2

COMPANY EMERGENCY ORGANIZATION

EMERGENCY ORGANIZATION

During a major emergency impacting company operations, the Emergency Operations

Center (EOC) is activated to allow direct headquarters management of the emergency

situation without hampering normal operations.  The Director of Operations will be

designated as the Emergency Operations Center Director and is responsible for the

overall direction of the emergency effort, including operation of the EOC, Emergency

Response Partner notification (Fireside Associates), deployment of a Management Team

to the accident site and coordination of on‐scene activities through (Fireside Associates),

local authorities or the Management Team Leader.

EMERGENCY OPERATIONS CENTER

The Charter office is the Emergency Operations Center (EOC) for the company.  As such

they will be immediately notified of all major emergency situations affecting company

aircraft, passengers, personnel or facilities.  This centralized notification and control

permits around the clock response, consistent application of company emergency

procedures, and rapid communication with all parties involved.  Charter personnel will

immediately notify the Director of Operations when an emergency is declared

concerning an aircraft, a situation is such that a major emergency is most likely to occur

or Charter is uncertain whether or not a situation requires emergency notification.  The

Director of Operations evaluates the nature and scope of the emergency reported, and

directs the appropriate action be taken.

DIRECTOR OF OPERATIONS DETERMINATION

Upon notification by Charter personnel, the Director of Operations will determine which

of the following actions, if any, are warranted based on the nature and scope of the

emergency situation.

1. Standby alert or immediate recall of the Emergency Operations Center staff.

2. Partial or full‐scale activation of the Emergency Operations Center.

3. Partial or full‐scale recall of headquarters personnel.

4. Activation/deployment of the designated Management Team.

HEADQUARTERS EMERGENCY OPERATIONS CENTER

This center may be activated on a partial or full‐scale basis depending on the nature and

extent of an emergency impacting company operations.  The company Director of

Operations or the Chief Executive Officer may direct the Centers activation.

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Emergency Operations Center is located at:

Corporate Flight Management, Inc.

Charter Office Conference Room

278 Doug Warpoole Rd., Suite 307

Smyrna, Tennessee 37167

EMERGENCY OPERATIONS CENTER STAFF

DUTY POSITION     PRIMARY     ALTERNATE

EOC Director     Dwayne McMurry    Leon Custers

Maintenance Key Responder   Allen Peralta     Mike Cypcar

Charter Office Key Responder Christie Allen    Ed Galloway

Safety Office Key Responder    Ron Barnum     David S. Svare  

Chief Pilot’s Office Key Responder Jack Hart               Troy Denson

Management Team Leader    David Augustin    Doug Cate

Administrative Support    David S. Svare     Lisa Pendley

Corporate Communications    James A. Howell    Leon Custers

Human Resources Support    Betty Holt     Penny Morrow

MANAGEMENT TEAM

The Management Team, if deployed, is made up of various area specialist determined

by the EOC Director that may be deployed to the actual site of the emergency to direct

on‐scene activities.  The Management Team leader directs all company related activities

at the emergency location in coordination with Fireside Associates. Individuals will be

assigned to the Management Team as required by the nature and scope of the

emergency.

EMPLOYEE EMERGENCY PREPAREDNESS

All company personnel should be briefed periodically by their managers on the

company’s overall emergency plan and the general contents of this Manual.

Personnel who are specifically assigned emergency duties are responsible for assuring

they fully understand such duties and are properly prepared to respond in a given

emergency situation.  Such personnel must be thoroughly familiar with their emergency

duties as detailed in this and other CFM publications.   

ANNUAL EXERCISE OF EMERGENCY PROCEDURES

Corporate Flight Management’s Emergency Operations Center staff will conduct a “table

top” exercise of the emergency procedures contained in this manual on an annual basis.  

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CHAPTER 3

EMERGENCY NOTIFICATION

INITIAL EMERGENCY NOTIFICATIONS

Charter office personnel, FBO personnel, Maintenance Manager or any other individual

that becomes aware of an unusual or possible emergency situation will notify the

Director of Operations (EOC Director).  If directed to do so by the Director of Operations,

Charter office personnel will notify the following personnel that an emergency situation

exists and that they are to report to the EOC immediately.

HEADQUARTERS EMERGENCY NOTIFICATION PHONE TREE

(phone numbers are for official use only and will not be released)

In the event of an aircraft accident/incident or any other emergency situation, activate

the Management Notification Phone Tree in the following order (Regardless of time,

day/night):

 Dwayne McMurry EOC Director     Office ............. 220‐1761

         Home .............896‐4344

         Cell ......615‐308‐4861

 Allen Howell    Corp. Comm     Office ............. 220‐1761

Home ....................... NA

         Cell ......615‐804‐6740

 David Augustin Mgmt. Team Leader    Office ............. 220‐2957

Home .............890‐8477

Cell ......615‐948‐1735

 Jack Hart    Chief Pilot Office    Office .............768‐4046

         Home .............893‐5103

         Cell ......615‐631‐4133

 Allen Peralta    Maintenance       Office ............. 534‐4553

         Cell ......615‐585‐8262

 Ron Barnum    Safety Office    Office ............. 534‐4573

         Cell ......615‐692‐2573

(continued next page)

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 Christie Allen    Charter Office     Office ............. 220‐1761

         Cell ......770‐490‐7645

 David Svare    Admin Support    Office ............. 534‐1941

         Home .............212‐7043

         Cell ......615‐812‐0303

 Leon Custers    EOC (Alt) /Corp Comm(Alt) Office ............. 534‐4550

         Cell ......615‐351‐3837

 Doug Cate    Mgmt. Team (Alt)    Office ............. 534‐4540

         Home .............896‐6135

         Cell ......615‐427‐9898

 Mike Cypcar    Maintenance (ALT)         Office ......615‐534‐4551

         Home ......931‐761‐3904

         Cell ......931‐224‐3217

 Ed Galloway    Charter Office (Alt)    Office ............. 220‐1761

         Cell ......615‐495‐1051

         Home ......615‐292‐2081

 Troy Denson    Chief Pilot Office (Alt)   Office .............768‐4046

         Home .............848‐6986

         Cell ......615‐579‐3295

        

 Lisa Pendley    Admin Support (Alt)    Office ............. 534‐8640

         Cell ......270‐535‐3030

Home   ..... 615‐953‐2613

 Betty Holt                HR Support         Office ............. 534‐4547

         Cell ......615‐948‐2574

 Penny Morrow    HR Support (Alt)    Office ............. 534‐4541

         Cell ......615‐713‐8865

Home   ..... 615‐494‐0311

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TRANSPORTATION SECURITY ADMINISTRATION OFFICE OF INTELLIGENCE  

The Transportation Security Administration (TSA) Office of Intelligence will be

immediately notified via telephone (703‐601‐5300) if any of the following

situations/incidents occur:

• If a prospective passenger’s name appears on the most recent TSA issued “No‐Fly”

list.  The individual will be denied boarding pending clearance from the TSA.

• Whenever an individual is denied boarding because he or she has made a threat, or

is determined to be a threat to the aircraft.

• When a suspect item is found aboard an aircraft.

• When any indication of tampering with or unauthorized access to an aircraft is

discovered and the situation is determined to be a grave and imminent threat.

• All bomb threats not directed at a specific aircraft or a specific ground facility must

be reported within 72 hours.

• Bomb threat against a specific aircraft – inform the TSA Office of Intelligence upon

receipt of a specific threat.  After completion of a security inspection of the aircraft,

inform the TSA Office of Intelligence of the inspection results.

• Bomb threat against a specific ground facility – inform the TSA Office of Intelligence

upon receipt of a specific threat.  After completion of a security inspection of the

ground facility, inform the TSA Office of Intelligence of the inspection results.

• Any actual or suspected act of air piracy against an aircraft.

• Any other situation that could affect United States civil aviation.

EMERGENCY NOTIFICATION – MILITARY   

All Certificate Operations

When a DOD approved air carrier is involved in an accident or incident (see below note)

whether on a DOD mission or not, the carrier will notify HQ AMC/A3B, Scott AFB IL at

(618) 229‐4801 or 4343.  Accident information should be provided within the next

business day by the most expeditious mans available.  Fatal or otherwise serious

accident information is forwarded to the Commercial Airlift Review Board (CARB) for

review IAW public law.  The following information is required for all accident reports:

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1) Carrier and mission number.

2) Aircraft type and number.

3) Date and time of the accident.

4) Last point of departure and point of intended landing of the aircraft.

5) Nature of the accident and the extent of damage to the aircraft so far as is

known.

6) Total number of souls (crewmembers & passengers) on board.

7) Number of injured and fatalities aboard the aircraft.

8) Condition of baggage or government‐owned material, if any, on board.

NOTE

Accidents and incidents are defined in 49 CFR, Part 830.  Incidents that occur on

military charters must be reported in accordance with the following instructions.  

Since the classification of events can change between the accident and incident

definition as additional facts are learned, carriers are asked to keep HQ AMC/A3B

informed of all mishaps that occur on certificate operations, which have the

potential to fall into the accident realm.

Military Charter Missions

When an air carrier is involved in an accident or incident (see above note) in conduct of

a military charter mission, the air carrier will transmit the above report information, by

the most expeditious means available, to the 618th Tanker airlift Control Center (618

TACC) Emergency Action Cell at Scott AFB IL, (618) 229‐0360.

Within the next business day, notification must also be made to both, the

Administrative Contracting Officer, USTRANSCOM, Scott AFB IL, (618) 220‐6413, and to

HQ AMC/A3B at (618) 229‐4801 or 4343.

EMERGENCY CONTACT NUMBERS – FREQUENTLY USED AIRFIELDS

The TSA Twelve‐Five Security Program requires Corporate Flight Management to

maintain liaison with frequently used airfields.  The following pages contain useful

information on the most frequently used airfields and also lists contact numbers should

an accident/incident occur at or near these locations

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ATLANTA, GA (ATL)

Atlanta Hartsfield International Airport

P.O. Box 45238 AMF

Atlanta, GA 30320

General Manager

Office....................................................................................................(404) 530‐6600

Fax ........................................................................................................(404) 530‐6635

Director of Security

Office....................................................................................................(404) 530‐6667

Emergency............................................................................................(404) 530‐2150

Fax ........................................................................................................(404) 305‐2424

Fire/Rescue ..........................................................................................(404) 530‐6666

City of Atlanta Police – Airport Office..................................................(404) 530‐6666

FBI Local Office.....................................................................................(404) 679‐9000

FAA Control Tower...............................................................................(404) 669‐1233

24 Hour Emergency Phone ..................................................................(404) 530‐1240

TSA Federal Security Director (FSD).....................................................(404) 305‐7170

*Area Hospitals

Grady Memorial Hospital

Emergency Medical Department.........................................................(404) 616‐6200

Trauma Unit .........................................................................................(404) 616‐6431

Burn Unit..............................................................................................(404) 616‐3714

South Fulton Medical Center

Main Phone..........................................................................................(404) 305‐3500

Emergency Room.................................................................................(404) 305‐4200

*The hospital used would depend on the size of the incident and the type of injuries.  

The worst cases would go to Grady which is 10 minutes north of the airport.  Lesser

injuries would go to South Fulton which is 5 minutes north of the airport of Southern

Regional which is 10 minutes south of the airport.

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AUSTIN, TX (AUS)

Austin Bergstrom International  

3600 Presidential Blvd

Austin TX 78767

Airport Operations Control Center Fire Police Security ........................512‐530‐7550

(Monitored 24 hours a day 365 days a year)

Tower Continuous Operation ................................................................512‐369‐7841

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BRANSON, MO (BBG)

Branson Airport

4000 Branson Airport Blvd  

Hollister MO 65672

Airport Manager ....................................................................................417‐334‐7813

Tower Operational (0700‐2100 Local)...................................................417‐339‐7361

Emergency Operations Center Fire Police Security ...............................417‐334‐8002

(Monitored 24 Hours A Day 365)

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DALLAS, TX (RBD)

Dallas Executive Airport

5303 Challenger Drive Lb 17

Dallas, Texas 75237

Airport Manager Normal Hours.............................................................214‐670‐7612

Airport Manager After Hours.................................................................214‐670‐6156

(Rings 24 hour Operations Center at Love Field)

Operations (Rick Ellis) ............................................................................214‐671‐1295

Fire Station #49 Located Closest to Field...............................................214‐670‐1937

Ambulance .............................................................................................214‐623‐8800

Tower (Operational 0700‐2100 Local)...................................................214‐330‐2201

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DANBURY, CT (DXR)

Danville Municipal Airport

1 Wibling Road

Danbury, Connecticut 06810

Airport Administrator (Paul Estetan).....................................................203‐797‐4624

Tower (Operational 0700‐2200 Local Time)..........................................203‐748‐6375

Police Department .................................................................................203‐797‐4614

Fire Department.....................................................................................203‐796‐1550

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JACKSON, TN (MKL)

McKeller‐Sipes Regional Airport

308 Grandy Montgomery Drive

Jackson, Tennessee 38301

Admin Office ..........................................................................................731‐423‐0995

Admin Fax ..............................................................................................731‐423‐0997

Tower (Operational 0700‐1900 Local)...................................................731‐425‐9313

City of Jackson Police .............................................................................731‐425‐8400

City of Jackson Fire.................................................................................731‐425‐8350

Madison County Sheriffs Department...................................................731‐423‐6000

TSA Federal Security Director (FSD).......................................................901‐544‐3167

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KNOXVILLE, TN (TYS)

McGEE Tyson Airport

2055 Alcoa Highway

Alcoa, Tennessee 37701

Administration

Tower .....................................................................................................865‐910‐3025

24 Hour Emergency Number .................................................................865‐342‐3088

Office......................................................................................................865‐342‐3000

Fax ..........................................................................................................865‐342‐3050

Airport Director of Operations...............................................................865‐342‐3040

Department of Safety

General Number ....................................................................................865‐342‐3088

Fax Number............................................................................................865‐977‐9320

FBI Field Office .......................................................................................865‐544‐0751

Public/Media Relations..........................................................................865‐342‐3014

TSA Federal Security Director (FSD).......................................................865‐342‐3361

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Millington, TN (NQA)

8182 Hornet Avenue

Millington, TN 38053

Airport Authority

Admin Office ..........................................................................................901‐873‐5792

Fax ..........................................................................................................901‐873‐5795

Tower ....................................................................................................901‐872‐7322

(Operational 0900‐0200 MON; 0530‐0200 TUE‐FRI;    0530‐1900 SAT‐SUN)

Fire Department.....................................................................................901‐872‐7851

Police Dispatch

Emergency..............................................................................................901‐872‐3333

Admin Office ..........................................................................................901‐873‐3340

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Nashville, TN (BNA)

Nashville International Airport

1 Terminal Drive, Suite 501

Nashville, TN 37214

Airport Authority

Admin Office ..........................................................................................615‐275‐1600

Fax ..........................................................................................................615‐275‐1575

Tower (Continuous) ...............................................................................615‐275‐1797

Airport Police ............................................................................... 615‐275‐1703/1704

Security Office........................................................................................615‐275‐1703

TSA Federal Security Director (FSD)

Office:..................................................................................615‐354‐6700/6740/6741

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NASHVILLE, TN (JWN)

110 Tune Airport Drive

Nashville, TN 37209

Front Counter.........................................................................................615‐350‐5000

Nashville Airport Police (BNA Ops Will Dispatch)..................................615‐275‐1704

   

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PAULDING DALLAS, GA (PUJ)

Paulding Northwest Atlanta Airport

730 Airport Parkway

Dallas, Georgia 30157

Airport Director......................................................................................770‐505‐7700

Police/Sheriff..........................................................................................770‐443‐3010

Fire Rescue ...........................................................................................770‐222‐1160

Paulding Memorial Hospital ..................................................................770‐443‐7042

SIOUX CITY, IA (SUX)

Sioux Gateway Airport/Col. Bud Day Field

Sioux City, Iowa

Control Tower (0600‐2130) ...................................................................712‐277‐3579

Approach/Departure Service Provided By Minneapolis ARTCC When Sioux City Approach

is closed.

Sioux Gateway Airport Authority...........................................................712‐279‐6165

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Operations

Chapter 3

Page:  3‐16

Manual 17 May 11

SMYRNA, TN (MQY)

Smyrna/Rutherford County Airport

278 Doug Warpoole Road

Smyrna, Tennessee 37167

Smyrna Airport Manager

Office....................................................................................................(615) 459‐2651

Fax ........................................................................................................(615) 459‐1030

Airport Security ............................................................................................ 943‐8398

Air Traffic Control Tower .............................................................................. 355‐9610

LaVergne Police Department...............................................................911 / 793‐6644

LaVergne Fire Department...................................................................911 / 793‐6222

LaVergne Rescue Squad.......................................................................911 / 793‐6022

Rutherford County Civil Defense Unit (Radiological Monitoring) ................ 741‐5181

Rutherford County Sheriff’s Department ............................................911 / 898‐7770

Rutherford County Rescue Squad................................................................. 355‐3221

Smyrna Police Department..................................................................911 / 459‐6644

Smyrna Fire Department .....................................................................911 / 459‐6644

Smyrna Rescue Squad..........................................................................911 / 459‐4436

Smyrna Emergency Medical Center.............................................................. 459‐8771

Vanderbuilt Lifeflight Helicopter .................................................................. 322‐3211

Exhibit CFM - 1101
Emergency

Operations

Chapter 3

Page:  3‐17

Manual 17 May 11

UNION CITY, TN (UCY)

Everett‐Stewart Airport

Union City, TN 38261

Airport Manager ....................................................................................731‐885‐1221

Police......................................................................................................731‐885‐1515

Fire .........................................................................................................731‐885‐2232

Exhibit CFM - 1101
Emergency

Operations

Chapter 3

Page:  3‐18

Manual 17 May 11

WHITE PLAINS, NY (HPN)

Westchester County Airport

240 Airport Road

White Plains, New York 10604

Airport Ops Emergency Number Fire Police..........................................914‐995‐4850

(Monitored 24 hours 365 days) 

Tower (Operations 0600‐2300 Local Time) ..................................................................

Exhibit CFM - 1101
Emergency 

Operations 

Chapter 4

Page: 4-1

Manual 19 July 12

CHAPTER 4

EMERGENCY PROCEDURES

Aircraft Accident / Incident

EMERGENCY RESPONSE PARTNER NOTIFICATION

Upon activation of the Emergency Response Plan related to an

aircraft incident or accident, contact CFM’s emergency

response partner:

Fireside Partners

302‐295‐3082  

24/7 Emergency Operations Center

Fireside Partners is contracted by CFM and specifically trained to provide the following

emergency response services, as requested:

• Advance Team

• On‐site Investigative Consultation

• Media Monitoring

• Inbound Call Volume Support

• Coordination Services

o Federal response agencies

o Industry contacts

• Emergency Contact Notification

• Family Assistance Services

• Post Event Emotional Response and Support

NTSB EMERGENCY NOTIFICATION

Upon activation of the Emergency Response Plan related to an aircraft incident or

accident, notify the NTSB 24 Hour Communications Center at 1‐202‐314‐6290, as soon

as practical.  Obtain the contact information for nearest NTSB Field Office and contact

as required by NTSB 830 regulations.    

1. If physically able, the PIC shall notify the Director of Operations or his designee

of an accident or incident.  The Director of Operations will assemble the

Corporate Flight Management Emergency Operations Center staff (if required)

and, as soon as practicable, notify the NTSB.  

Exhibit CFM - 1101
Emergency 

Operations 

Chapter 4

Page: 4-2

Manual 19 July 12

2. If the PIC cannot immediately contact the Director of Operations or his designee,

the PIC will as soon as practicable notify the NTSB.  The PIC will inform the

Director of Operations or his designee of that contact as soon as practical.

EMERGENCY OPERATIONS

If an emergency situation involving the safety of persons or property that requires  

immediate decisions and actions, the pilot in command or other management personnel  

may deviate from prescribed operations procedures, weather minimums, FAR’s, the  

company Operations Manual or any other company publication, etc. to the extent  

necessary to meet that emergency.  The PIC or personnel working the emergency shall  

keep the appropriate ground facilities fully informed when the emergency involves an  

airplane in flight.   

If anyone exercises the above deviation authority; they shall report the deviation

verbally to the Director of Operations as soon as practicable describing the reason for

the deviation.  A follow‐up written report must be submitted within 24 hours.  The

Director of Operations shall investigate and submit a written report to the Flight

Standards District Office within 10 working days (if required).

ACCIDENT, INCIDENT, EMERGENCY PROCEDURES AND RESPONSIBILITIES (NTSB 830)

The procedures outlined here are a summary of the procedures to be followed should

company aircraft or property be involved in an accident, incident or other emergency

situation.  The actions of all concerned CFM personnel must be guided by the following:

• Provide care for passengers and family members of passengers

• Comply with the mandatory requirements of the National Transportation Safety

Board (NTSB)

• Avoid publicity.  Refer the press to the EOC Director or his designee

DEFINITIONS (NTSB 830):

Aircraft Accident – An occurrence associated with the operation of an aircraft which

takes place between the time any person boards the aircraft with the intention of flight

and all such persons have disembarked and in which any person suffers death or serious

injury, or in which the aircraft receives substantial damage. For purposes of this part,

the definition of “aircraft accident” includes “unmanned aircraft accident,” as defined

herein.

Fatal Injury – Any injury which results in death within 30 days of the accident.

Incident – An occurrence other than an accident associated with the operation of an

aircraft, which affects or could affect the safety of operations.

Exhibit CFM - 1101
Emergency 

Operations 

Chapter 4

Page: 4-3

Manual 01 Nov 10

Serious Injury – Any Injury that requires hospitalization for more than 48 hours,

commencing within 7 days from the date of injury and results in the following:

• Fracture of any bone (except simple fractures of fingers, toes or nose.

• Severe hemorrhages, nerve, muscle or tendon damage.

• Involves any internal organ

• Involves second or third degree burs, or any burns affecting more than 5% of the

body surface.

Substantial Damage – Damage or failure which adversely affects the structural strength,

performance, or flight characteristics of the aircraft and which would normally require

major repair or replacement of the affected component. Engine failure or damage

limited to an engine if only one engine fails or is damaged, bent fairings or cowling,

dented skin, small punctured holes in the skin or fabric, ground damage to rotor or

propeller blades, and damage to landing gear, wheels, tires, flaps, engine accessories,

brakes, or wingtips are not considered “substantial damage” for the purpose of this

part.

NTSB IMMEDIATE NOTIFICATION (NTSB 830.5):

The nearest NTSB field office shall be notified as soon as practicable by the Director of

Operations or the Director of Maintenance when:

a. An aircraft accident or any of the following incidents occur;

• Flight control system failure or malfunction.

• Inability of any required crewmember to perform required duties in flight as

a result of injury or illness.

• Failure of any internal turbine engine component that results in the escape

of debris other than out the exhaust path

• In flight fire.

• Aircraft collision in flight.

• Damage to property, other than aircraft, estimated to exceed $25,000.  For

repair (including materials and labor) or fair market value in the event of

total loss, whichever is less

Exhibit CFM - 1101
Emergency 

Operations 

Chapter 4

Page: 4-4

Manual 01 Nov 10

• In addition for large multi‐engine aircraft (more than 12,500 pounds

maximum certificated takeoff weight):

o In flight failure of electrical systems which requires the sustained use of

emergency bus powered by a backup source such as battery, auxiliary

power unit or air driven generator to retain flight control or essential

instruments.

o In flight failure of hydraulic systems that result in sustained reliance on

the sole remaining hydraulic or mechanical system for movement of flight

control surfaces.

o Sustained loss of power or thrust produced by two or more engines.

o Evacuation of an aircraft in which emergency egress systems are utilized.

• Release of all or a portion of a propeller blade from an aircraft, excluding

release caused solely by ground contact;

• A complete loss of information, excluding flickering, from more than 50

percent of an aircraft's cockpit displays known as:

o Electronic Flight Instrument System (EFIS) displays;

o Engine Indication and Crew Alerting System (EICAS) displays;

o Electronic Centralized Aircraft Monitor (ECAM) displays; or

o Other displays of this type, which generally include a primary flight

display (PFD), primary navigation display (PND), and other integrated

displays;

• Airborne Collision and Avoidance System (ACAS) resolution advisories issued

either:

o When an aircraft is being operated on an instrument flight rules flight

plan and compliance with the advisory is necessary to avert a substantial

risk of collision between two or more aircraft; or

o To an aircraft operating in class A airspace.

Exhibit CFM - 1101
Emergency 

Operations 

Chapter 4

Page: 4-5

Manual 01 Nov 10

• Damage to helicopter tail or main rotor blades, including ground damage,

that requires major repair or replacement of the blade(s);

• Any event in which an operator, when operating an airplane as an air carrier

at a public‐use airport on land:

o Lands or departs on a taxiway, incorrect runway, or other area not

designed as a runway; or

o Experiences a runway incursion that requires the operator or the crew of

another aircraft or vehicle to take immediate corrective action to avoid a

collision.

b. An aircraft is overdue and believed to have been involved in an accident.

REQUIRED INFORMATION (NTSB 830.6)

The information to be given in the notification required shall contain the following, (if

available):

a. Type, nationality, and registration marks of the aircraft.

b. Name of owner and operator of the aircraft.

c. Name of the pilot in command.

d. Date and time of accident.

e. Last point of departure and point of intended landing.

f. Position of the aircraft with reference to some easily identified geographic point.

g. Number of persons onboard, number killed, number seriously injured.

h. Nature of accident, weather, and the extent of aircraft damage.

i. Description of any dangerous materials carried. (Hazmat)

PRESERVATION OF AIRCRAFT WRECKAGE, MAIL, CARGO AND RECORDS (NTSB 830.10)

If an aircraft incident or accident has occurred for which notification must be given to

the NTSB, notify the State Highway Patrol or the Sheriff’s Office nearest the scene of the

accident and request the area be secured from all personnel until representatives from

Exhibit CFM - 1101
Emergency 

Operations 

Chapter 4

Page: 4-6

Manual 01 Nov 10

either Corporate Flight Management, the NTSB, or the FAA arrive to take charge of the

wreckage.

Prior to the time the NTSB or it’s authorized representative takes custody of the aircraft

wreckage, mail or cargo, such wreckage will not be distributed or moved except to the

extent necessary to:

• Remove persons injured or trapped.

• Protect the wreckage from further damage.

• Protect the public from injury.

If it is necessary to move the wreckage, mail or cargo, the original position shall be

documented, including impact marks, by sketches and if possible photographs.

CFM shall retain all records, reports, internal documents, and memoranda dealing with

the accident or incident, until authorized by the NTSB to the contrary.

NATIONAL TRANSPORTATION SAFETY BOARD (NTSB) OFFICES

NTSB offices are located in the following cities:

Anchorage, AK  907‐271‐5001

Atlanta, GA    404‐347‐7385

Chicago, IL    708‐377‐8177

Denver, CO    303‐361‐0600

Arlington, TX    817‐885‐6800

Gardenia, CA (LAX)    310‐297‐1041

Miami, FL     305‐597‐4610

Parsippany, NJ   201‐334‐6420

Seattle, WA     206‐764‐3782

Washington, D.C.    202‐382‐6714

RECORDS

Maintenance Records and Flight Crew Records will be assembled and forwarded to the

Emergency Operations Center as soon as possible.  Original records remain the property

of Corporate Flight Management and will not be released to any investigative entity

without the expressed consent of the Director of Operations.  

Maintenance Records – Accident Aircraft

Immediate steps will be taken to assemble and secure maintenance records pertaining

to the accident aircraft.  Aircraft maintenance records to be assembled and secured will

include:

• Weight and Balance Records

Exhibit CFM - 1101
Emergency 

Operations 

Chapter 4

Page: 4-7

Manual 01 Nov 10

• Aircraft Flight Logs

• Manufacturer’s Maintenance Manuals

• Company Maintenance Program pertaining to accident aircraft

• Minimum Equipment List  

• Mechanical Irregularity Reports

• Complete Overhaul and Inspection Reports for Engine, Propellers, and Equipment

• Preflight Inspection Records

• Maintenance Test Flight Records

• Flight Logs Prepared by the Crew

• Applicable AD’s and Compliance Records

• Service Difficulty Reports

• Manufacturer Service Bulletins

• Airworthiness Directives

• Engineering Changes and Modification Records

• All Other Available Aircraft Logs and Records

Flight Crew Records – Accident Crew

Immediate steps will be taken to assemble and secure flight crew records pertaining to

the accident crew.  Flight Crew Records to be assembled and secured will include:

• Employment History

• Date Upgraded to Captain in Accident Aircraft

• Training Records (Initial and Recurrent)

• Total Pilot Time

• Total Pilot Time for last 30, 60 and 90 days

• Total Pilot Time in Type

• Total Pilot Time in Type for last 30, 60 and 90 days

• Total Instrument Time

• Total Instrument Time in Type for last 30, 60 and 90 days

• Total Cross‐Country Time

• Total Night Time

• Certificates and Ratings Held, and Dates Acquired

• Proficiency Checks

• Line Checks and Enroute Inspections

• Duty Time and Rest Records for last 30 days

Drug and Alcohol Testing

The Director of Operations or the AMPP Manager will decide whether or not to have the

accident crew undergo Post‐Accident Drug and Alcohol testing.  The accident crew will

Exhibit CFM - 1101
Emergency 

Operations 

Chapter 4

Page: 4-8

Manual 19 July 12

normally be tested if their actions contributed to, or cannot be discounted as a

contributing factor to the accident.

FAMILY ASSISTANCE

Notification of family members:

Corporate Charters – CFM’s Human Resources (HR) representative will coordinate

emergency contact notifications with the charter customers Human Resources

Department.   CFM HR will follow directions received from the charter customers HR

representative and coordinate with CFM’s emergency response partner, Fireside

Partners, to assist with emergency contact notifications, if asked to do so.

Individual Charters –Fireside Partners will, at the direction of CFM HR, contact the

emergency contacts after an aviation accident.

Additional Activities:

CFM will spare no expense, within reason, in meeting the demands and desires of family

members.  Assistance will include, but not be limited to:

• Transportation to the accident/incident site either on CFM aircraft or commercial

carrier

• Arrange for hotels  

• Arrange for ground transportation

• If asked to do so, make arrangements for remains to be shipped home in the event

of fatalities  

• Make arrangements for meal expenses

• Contact local clergy and local Red Cross to arrange for grief counselors, spiritual

guidance, etc.

• Assign a member of management to assist each individual family affected by the

accident/incident

Exhibit CFM - 1101
Emergency

Operations

Chapter 5

Page:  5‐1

Manual 01 Nov 10

CHAPTER 5

BOMB / SABOTAGE THREATS

The warning or threat of possible sabotage or harm against Corporate Flight

Management personnel, passengers, facilities or equipment should be taken seriously

and reported immediately.  Regardless if the threat was received by phone, mail, orally

or written, the Corporate Flight Management Director of Operations will be notified

immediately.  The Director of Operations will assume the role of determining if the

threat will be classified as positive.  If the Director of Operations determines that the

threat is in fact positive, the detailed responsibilities in this section of the EOM must be

followed.

AUTHENTICITY OF THREAT

The Director of Operations must be notified by the person receiving the call with full

details of the alleged reported threat.  The person reporting the threat should provide

the Director of Operations with as must information as possible using the Bomb Threat

checklist.

If the Director of Operations determines that the threat is a positive threat, it is

important that no further discussion is held with anyone regarding the threat unless

otherwise authorized.  

In the event that a threat is considered as a positive threat the Management

Notification Phone Tree list will be implemented.

Begin an Emergency Event Log.  Log all events related to the emergency including phone

conversations, verbal direction received and any other pertinent information.

BOMB THREAT GUIDELINES

GENERAL

The guidelines that have been outlined in this section are security measures adopted to

protect property, finances, proprietary information and most important, employees.

It is the responsibility of senior management of every location to see that these guidelines

are followed.

Exhibit CFM - 1101
Emergency

Operations

Chapter 5

Page:  5‐2

Manual 01 Nov 10

NOTE

The guidelines in this section are minimum requirements; additional security measures will

be required at computer centers, executive offices and other high risk/high crime

locations.

GUIDELINES

The following guidelines have been prepared to assist you in making a decision on whether

or not to evacuate the premisesin the event of a "bomb threat".

Generally, telephoned bomb threats are the work of people who want to create confusion

or see a building evacuated but who have not planted an explosive device.  It could be a

disgruntled employee, an employee who has been fired or someone who merely wants the

rest of the day off.    In most cases, the caller's purpose is served when an evacuation

occurs.    If a building is evacuated as a result of each call received, the caller may

perpetuate the problem by calling again and again.

Surveys conducted by organizations that monitor this type of activity estimate that only

one out of 100 threats received represented a real device had been planted.  The surveys

also indicate the majority of actual bombings occur without warning.  In this case, there is

very little that can be done.  To lessen the possibility of an explosive device being planted,

the accessibility of the building should be carefully controlled.    For example, all access

points to any office space should be locked except one main entrance.    A receptionist

should control access to the premises, admitting only employees, service personnel or

persons having legitimate business with the company.

If "bomb threats" have occurred frequently in your location, all packages, boxes, etc.

entering the premises should be checked.  This procedure is not guaranteed to be 100%

effective, but it creates a security atmosphere that limits the possibility of an unknown

intruder gaining accessto the building during working hours.

ESTABLISHING FLOOR LEADERS

In a multi‐tenant building occupying more than one floor, the highest level of management

should serve as the Emergency Coordinator.  Key personnel on each floor (Floor Leaders)

and alternates should be selected to be responsible for all actions taken in a result of a

bomb threat (e.g., a premisessearch, an evacuation, etc.).

Lines of communication should be kept open at all times during the emergency.  Two‐way

radios must not be used because certain explosive devices can be prematurely set off by

two‐way radio transmission.

Exhibit CFM - 1101
Emergency

Operations

Chapter 5

Page:  5‐3

Manual 01 Nov 10

THE THREAT

A bomb threat is usually communicated by telephone.  The receiver of the call should use

the Bomb Threat Checklist (Page 5‐7).    The Emergency Coordinator should be notified

immediately.    The Emergency Coordinator should immediately notify the police and

building management and provide with all information noted on the log.   Regardless of

how the bomb threat is received, (whether directly or through other sources such as

building management or police), the following general guidelinesshould be implemented:

• Notify key personnel on other floors.

• Initiate a search of premises under your control.

• Make the decision to evacuate based on your evaluation of the situation.  The building

management and/or the police may be able to provide some direction in this difficult

area of responsibility.    There may be some decisive factors involved which will be

addressed in the following section.

EVACUATION DECISION

Any of the circumstances listed below would generally indicate that an evacuation may be

in order:

• If the call is made directly and the caller indicates a bomb has been placed in a specific

location in the building that would be hazardousto your area.

• If the caller indicates that the bomb will detonate in a limited or specific period of time,

which would not allow time for a search to be conducted.

• If the caller claims that the bomb has been planted by a known dissident or terrorist

group or a group dealing in this activity for extortion purposes.  Again based on prior

experience, the police are the best advisorsin thisinstance.

• If a call indicates that a bomb has been planted at your location was initially made to a

radio or TV station, newspaper office, to the police, or some other city department.  

This method of operation has been used by terrorist groups and other dissidents.  

There are times when a device has exploded without prior warning and then a call is

made to one of the above agencies claiming credit for the act.  The police themselves

may order an evacuation of the building based on their evaluation of the information

received.

• If a search has been conducted after a bomb threat call produces a suspicious package,

carton or device which appears to be an explosive.    Although it may be innocent‐

looking as a shopping bag or a shoe box, don't take a chance with any strange item that

Exhibit CFM - 1101
Emergency

Operations

Chapter 5

Page:  5‐4

Manual 01 Nov 10

turns up in a search.    Let the police experts check it out.    Always play it safe and

immediately evacuate all personnel from the area.

• When an actual explosive device has been found.

NOTE

Caution must always be used when an actual or purported device has been found.  It may

be one ofseveral devices planted and another device may have been planted in or near an

evacuation route.  That is why it is essential that a coordinated effort be made with

building management to ensure that evacuation routes have been searched and are free of

any device.

THE SEARCH

When a bomb threat does not meet the criteria under "Evaluation of the Threat" or for any

reason there is not sufficient information available to make a proper evaluation to

evacuate, an immediate search of areas under your control should be conducted.  

Employees should be instructed to search their own immediate work area.  They will be

most familiar with what is normally in their area and be the first to recognize a strange,

unknown or suspicious object.  Do not overlook wastebaskets or other trash receptacles.

Employees most familiar with infrequently occupied areas such as office supply rooms,

electric closets, storage closets, lounge areas, lunch rooms, refrigerators and rest rooms

within the office space should search those areas in addition to their own work area.  If a

rash of bomb threats is occurring in the community but not necessarily at your own

location, a good procedure would be to have certain employees (those who would be

responsible for searching these areas) assigned to check these locations at the start of the

business day and make a mental inventory of the contents so that in a threat situation,

they would be more aware of any strange or suspicious object.    All employees should

examine their work area at the start of the business day.

IMPORTANT: If a strange, suspicious package, box, object or device is discovered in a

search, it is imperative that NO ONE, under any circumstances touch, handle or move the

object in any manner whatsoever.  This point must be heavily emphasized to all employees

prior to any search.

When an employee or any member of a search team reports a suspicious package after a

bomb threat, management or the Emergency Coordinator should immediately notify the

police and building management of the exact location and description of the object.  The

police, after examining the item, may be able to provide a quick analysis of whether the

object in question is an explosive device.  In any event, after reporting the suspicious object

and notifying the police and building management, an evacuation of the immediate area,

(including the floor above and below) should be ordered.    A total evacuation of the

premises may be ordered later by the police.

Exhibit CFM - 1101
Emergency

Operations

Chapter 5

Page:  5‐5

Manual 01 Nov 10

EVACUATION IMPLEMENTATION

If a decision to evacuate is made, itshould be coordinated with:

• Building Management

• Police/Fire Department

• Floor Leaders

NOTE

It is essential in all evacuation circumstances, regardless of how immediate or remote the

threat, that employeesremain calm and panic is avoided.  Preplanned evacuation

proceduresshould be discussed with all employees.  Designated Floor Leaders must

project a cool, calm attitude when they announce that an evacuation will take place.

The Emergency Coordinator should first determine that the evacuation routes are clear.  

Building management should provide information that stairways, hallways and other public

areas have been searched and are clear for evacuation.  Evacuation will normally follow the

same procedures that would apply to a fire evacuation.  Floor Leaders should coordinate

the evacuation and indicate the route to be taken, while maintaining a calm and orderly

approach.  Emphasize that employees should NOT USE ELEVATORS.  All safes, monies and

confidential files should be locked up prior to evacuation, time permitting.    Evacuees

should take their personal belongings with them (clothing, handbags, etc.), just as if they

were leaving at the end of the business day.  If more than one floor is involved, evacuation

routes, (generally stairways) should be alternated if there is more than one stairway in the

building, to avoid congestion.  Floor Leaders should check to see that all personnel have

left the building.

A predetermined site at least 300 yards away from the building (unless a greater distance is

specified by police) should be established as an assembly point for evacuating personnel.

EVACUATION OF HANDICAPPED PERSONS

Floor Leaders should coordinate evacuation procedures for the handicapped with building

management.    Generally a freight or specially‐designated passenger elevator would be

used for the handicapped who cannot traverse stairways.

RETURNING TO BUILDING AFTER EVACUATION

Employees should remain at the designated assembly area until it has been determined

the building is safe.    A large employee population poses some problems for an orderly

return to the building.    A few portable, battery‐operated megaphones utilized by floor

Exhibit CFM - 1101
Emergency

Operations

Chapter 5

Page:  5‐6

Manual 01 Nov 10

leaders would be of assistance in this situation.    The police themselves or building

management may use this meansto announce that employees may return to the building.

Exhibit CFM - 1101
Emergency

Operations

Chapter 5

Page:  5‐7

Manual 01 Nov 10

BOMB THREAT CHECKLIST

INSTRUCTIONS: Be calm. Be courteous. Listen, do not interrupt the caller.  If possible,

notify management, supervisor or co‐worker while caller is on the line.

Person taking

call:________________________Time:____________Date:______________

Caller’s Identity:

Sex:     Male     Female    Adult    Juvenile  _____Approximate age in years

Origin of Call:

  Local     Long Distance     Cell     Internal     Unknown

Voice Characteristics:

Speech            Language

  Loud   Soft      Fast   Slow   Normal

  High   Deep      Distinct   Distorted   Good

  Raspy   Pleasant      Stutter   Slurred   Foul

  Nasal   Lisp

  Intoxicated      

Accent              Manner     Background Noises

  Local      Calm   Angry      Quiet   Voices

  Not Local      Rational   Irrational      Music   Bedlam

 Region      Coherent   Incoherent     Animals   Street

  Foreign      Deliberate   Emotional      Trains   Airplanes

      Righteous         Laughing   Party   

(continued next page)

Exhibit CFM - 1101
Emergency

Operations

Chapter 5

Page:  5‐8

Manual 01 Nov 10

BOMB INFORMATION

Pretend to have difficulty hearing the individual.

Keep caller talking as long as possible.

If caller seems agreeable to further conversation, ask the following questions:

When will the bomb go off? Date/Time ________________________________

Where is it located?    Building______________ Area_______________

What kind of bomb?  ________________Where are you now? ___________________

How do you know so much about the bomb?  

______________________________________________________________________

______________________________________________________________________

Why are you making this threat?

______________________________________________________________________

What is your name and address?  

______________________________________________________________________

If the building is occupied, inform caller that the detonation could cause serious  

injury or death.

Did caller appear familiar with the area by his description of the bomb location?  

______________________________________________________________________

Sit down and write out the message the caller gave you in its entirety. Attach your

written document to the bomb threat checklist.

Notify the Director of Operations immediately (see phone tree on page 3‐1.

Exhibit CFM - 1101
Emergency

Operations

Chapter 5

Page:  5‐9

Manual 01 Nov 10

THREAT RESPONSE

Nonspecific Threats

This type of threat will be noted by the Director of Operations or Manager on Duty and

will be reported to the FAA and/or the TSA as appropriate within 72 hours.

Specific Threats (POSITIVE threat)

Notify officials at airport of intended landing of the aircraft bomb/sabotage threat.  

Ascertain availability of explosive detection dog team.  Request immediate assistance

from airport officials.

1. Positive Threat Against Aircraft – PIC actions:   

a. Aircraft taxied to aircraft inspection area.   

b. Ensure passengers are accompanied/transported to a holding area.  A

uniformed crew member should remain with passengers until the

inspections are completed.

c. Have the baggage/cargo unloaded from the aircraft and located a safe

distance from both passengers and the aircraft.

d. Direct the inspection of the aircraft interior/exterior, passengers, and

baggage/cargo using company guidelines.

e. Notify airport authorities of aircraft status.

2. Positive Threat Against Company Facilities

a. Airport Facilities:  Notify Smyrna Police and request assistance.

b. Company Facilities:    The Safety Officer will initiate a security inspection  

of the threatened company facilities using the Facility Security Inspection

Checklist.  Generally speaking, employee evacuation is not warranted

unless an actual or apparent explosive device or an unidentifiable

package/item is discovered in the facility during the security inspection.  

Depending on local procedures, the bomb disposal unit may want to be

notified immediately or be notified only upon discover of a suspect item.  

Exhibit CFM - 1101
Emergency

Operations

Chapter 5

Page:  5‐10

Manual 01 Nov 10

AIRCRAFT INSPECTION PROCEDURES

The company recognizes two methods of inspecting aircraft and/or baggage for suspect

items based on a specific threat.  The primary (preferred) method involves the

inspection of the aircraft and baggage using a trained explosive detection dog team.  

When such a team is not available locally or unable to respond in a reasonable time

frame (one hour), the alternative method of inspection involving visual/physical

inspection of the aircraft baggage should be used.

Caution

During such inspection unidentified items will not be moved or opened.  If an employee

recognizes an explosive or incendiary device, all personnel will immediately evacuate

the area and under no circumstances will anyone other than bomb disposal personnel

touch or move the device.

1. Primary Inspection Procedures

a. Deplane passengers and crew members along with all their carry‐on

luggage and personal effects, including crew luggage.

b. The aircraft will be taxied or towed to the airport’s designated security

inspection area.

c. Prior to exiting the aircraft, the crew shall inspect the flight deck and

cabin areas for any unexplained containers or devices.

d. All passengers should be accompanied/transported to a temporary

holding area a minimum of 100 yards from the aircraft and the baggage

inspection site.  A uniformed employee should stay with the passengers

in the passenger holding area.

e. The PIC shall have all baggage/cargo off‐loaded.

NOTE

Baggage/cargo shall be staged at least 100 yards from the aircraft and

passengers.  The items should be lined up on the ramp with sufficient space

between the bags to allow the explosive detection dog to walk around the bags

and to permit easy identification.

f. The PIC, assisted by other willing and knowledgeable crew members

and/or aircraft mechanics, will inspect the exterior of the aircraft.

Exhibit CFM - 1101
Emergency

Operations

Chapter 5

Page:  5‐11

Manual 01 Nov 10

g. The PIC will brief the explosive/bomb detection team on the results of

inspections, and location of the baggage and passenger holding areas.  

h. Upon request, assist/accompany detection team members during their

inspection of aircraft baggage.

i. If the dog alerts on any item, the bomb disposal personnel will take

charge of the scene until the item is removed or rendered safe.

j. If no explosive or incendiary device is identified, the PIC will inform the

Dispatch Office.

k. The Director of Operations or his designee may then authorize the

reloading and release of the aircraft.

2. Alternate Inspection Procedures

   

a. Deplane passengers and crew members along with all their carry‐on  

luggage and personal effects, including crew luggage.

b. The aircraft will be taxied or towed to the airport’s designated security  

inspection area.

c. Prior to exiting the aircraft, the crew shall inspect the flight deck and  

cabin areas for any unexplained containers or devices.

d. All passengers should be accompanied/transported to a temporary  

holding area a minimum of 100 yards from the aircraft and the baggage

inspection site.  A uniformed employee should stay with the passengers

in the passenger holding area.

e. The PIC shall have all baggage/cargo off‐loaded.

NOTE

Baggage/cargo shall be staged at least 100 yards from the aircraft and passengers.  The

items should be lined up on the ramp with sufficient space between the bags to allow

the explosive detection dog to walk around the bags and to permit easy identification.

f. The PIC, assisted by other willing and knowledgeable crew members

and/or aircraft mechanics, will inspect the exterior of the aircraft.

Exhibit CFM - 1101
Emergency

Operations

Chapter 5

Page:  5‐12

Manual 01 Nov 10

g. The PIC will brief the explosive/bomb detection team on the results of

inspections, and location of the baggage and passenger holding areas.  

h. Bring small groups of passengers to the baggage inspection area to identify

their bags and who packed them.

1) Self‐packed bags positively identified by passenger may be prepared

for reloading.

2) Passengers will be required to open any bags not self‐packed for

inspection.

3) Any unidentified bags, bags containing items not identifiable by

passengers, or bags containing suspect devices will be searched only

by trained bomb disposal personnel.  Such bags will not be moved or

reloaded on aircraft until cleared by bomb disposal personnel.

i. If no explosive or incendiary device is identified, the PIC will inform the

Dispatch Office.

j. The Director of Operations or his designee may then authorize the reloading

and release of the aircraft.

Exhibit CFM - 1101
Emergency

Operations

Chapter 5

Page:  5‐13

Manual 01 Nov 10

AIRCRAFT SECURITY INSPECTION PROCEDURES

Aircraft inspections should be conducted in a systematic manner by employees who are

familiar with the aircraft using this guide as a reference.  The purpose of a security

inspection is to identify any unfamiliar or unexplained objects, devices, or baggage

aboard the aircraft that may conceal explosive or incendiary materials or devices.  

Inspectors should be alert for familiar items which are in inappropriate locations or

appear to have been tampered with.  Hand held radios, cell phones or other signal

transmitting devices should not be used during such inspections.

CAUTION

Do not move or touch any unidentified or suspect items found.  Simply note the

description of the items and their exact location in the aircraft.  If any actual explosive

device is recognized, the inspection will immediately be discontinued and all personnel

will evacuate the aircraft.

(SEE CHECKLIST NEXT PAGE)

Exhibit CFM - 1101
Emergency

Operations

Chapter 5

Page:  5‐14

Manual 01 Nov 10

AIRCRAFT SECURITY INSPECTION CHECKLIST

Aircraft Interior Inspection

Flight Stations – Normally inspected by flight crew

• Seats, including pouches, cushions, and life vest containers in seat backs

• Log book and flight manual storage areas

• Crew Oxygen mask storage

• Entire floor surface including area around rudder pedals and beneath flight deck

seats

• Area around oxygen cylinders

• External surfaces – ceiling, sides, and rear walls

• Crew coat and luggage storage area

• Trash containers

• Emergency equipment storage area

• Head set storage area

• Each crew member should thoroughly inspect his flight bag.  If no suspect items are

found, the crew member will take their flight bag off the aircraft when they deplane.

Cabin Area

• Check storage areas at the rear of the aircraft

• Check lavatories, look under sink, in the toilet bowl and in all material storage areas

• Check each passenger seating area to include any overhead storage area, the seat

backs, underneath the seat cushion, and underneath the seats

• Check carry‐on baggage storage areas for unexplained baggage or objects.  

(Passengers should deplane with all carry‐on baggage and personal effects)

• Open and inspect all galley compartments.  Remove all contents and inspect the

compartment itself and the items contained in it

• Check all trash storage areas by removing the trash container, inspecting the interior

of the compartment, and visually checking the trash itself

• Inspect portable emergency flashlights and exit lights

• Inspect fire extinguishers (location and full charge)

• Inspect first aid kit

• Examine forward entrance area for any unusual or unfamiliar items.

Aircraft Exterior – Particular attention should be paid to areas and compartments easily

accessible to the public, i.e., those which are clearly identified and require no special

access tools (such as the Pod on the Jetstream).

Fuselage (due to diversity of CFM fleet, not all aircraft will have all items installed)

• External power receptacle

• Radio rack cooling vent

Exhibit CFM - 1101
Emergency

Operations

Chapter 5

Page:  5‐15

Manual 01 Nov 10

• Cabin pressure safety relief valve area

• Cabin outflow valves

• Aft Lavatory service panel

• Pneumatic air ground connection panel

• APU remove control access panel

• Tail compartment access doors

• Heat exchanger exhaust openings

• Elevator hydraulic accumulator servicing panel

• Ground air conditioning access panel

• APU compartment ventilation opening

• Inspect Pod and Aft baggage compartments

• Interior electrical and electronic compartment

• Forward accessory compartment

Landing Gear and Wheels

• Nosewheel well; area behind access panels

• Main gear wheel wells

• Gear assemblies, wheels, tires, brakes

Wings

• Trailing edge wing flap

• Aileron hinge points

• Refuel and defuel access panels

• Fuel vent openings

Engines and APU (if applicable)

• Intake and exhaust openings

• Oil service doors

• Thrust reverser access doors

• Engine cowl cooling vents

• Open engine cowl doors.  Check entire engine and all openings on the cowl

Exhibit CFM - 1101
Emergency

Operations

Chapter 5

Page:  5‐16

Manual 01 Nov 10

FACILITY SECURITY INSPECTION PROCEDURES  

Facility security inspections will be conducted in a systematic manner by employees who

are familiar with the work areas/facility.  The purpose of a security inspection is to

identify any unfamiliar or unexplained packages, devices, or objects in the facility that

may conceal explosive or incendiary materials or devices.  Inspectors should also be

alert for familiar items which are in inappropriate locations or appear to have been

tampered with.  Hand held radios, cell phones or other signal transmitting devices

should not be used during such inspections.

CAUTION

Do not move or touch any unidentified or suspect items found.  Simply note the

description of the items and their exact location in the facility.  If any actual explosive

device is recognized, the inspection will immediately be discontinued and all personnel

will evacuate the facility.

1. Facility Manager briefs designated employees, who will conduct the inspection,

on general instructions and nature of the threat.

2. Designated employees are assigned in pairs to inspect specific areas of the

facility.  Public areas such as restrooms, lobbies, elevators, etc., should be

inspected first, followed by employee only areas.

3. The inspectors will notify the facility manager of their inspection results.

4. If any suspect items are found, the work area is evacuated and secured until

inspection is completed.  Exception:  If an actual or apparent explosive device is

discovered, the facility should be evacuated at once.

5. The facility manager acts as the inspection coordinator.  He directs the

inspection of the facility to ensure no areas are missed, notes the location of any

unidentifiable items, evacuates the facility if warranted, and notifies the local

bomb disposal unit.

6. If the security inspection fails to identify any suspect or explosive devices, the

facility manager should note the results, inform the Director of Operations the

results and continue normal business activities.

  

Exhibit CFM - 1101
Emergency

Operations

Chapter 6

Page:  6‐1

Manual 26 Feb 10

CHAPTER 6 

FORMS 

The following forms will be used by the Dispatch Office and the Emergency Operations Center 

staff to document all accidents/incidents involving Corporate Flight Management aircraft and/or 

facilities: 

Aircraft Accident / Incident Reporting Form............................................................................6-2 

Sample Emergency Event Log...............................................................................................6-3 

Bomb Threat Checklist (extracted from Chapter 5, page 5-2) ...............................................6-4 

Over-due Aircraft Checklist.....................................................................................................6-5 

NOTE 

Extra copies of the above forms are located in the document protectors following this Chapter. 

Exhibit CFM - 1101
Emergency

Operations

Chapter 6

Page:  6‐2

Manual 26 Feb 10

AIRCRAFT ACCIDENT / INCIDENT REPORTING FORM 

In the event of an Aircraft Accident/Incident obtain as much information as possible:

Person Calling: Date/Time: 

Caller’s Employer: 

Phone Contact at Accident/Incident Location: 

Accident/Incident Location: 

Aircraft Type: Aircraft Tail Number: 

Departure / Arrival City: 

Crew Names: CA: FO: 

*Number of Passengers on Board: Adults: Children: Infants: 

Type of Injuries Injuries Crew Passengers Other 

Fatal: 

Non-Fatal: 

None 

*Secure passenger manifest. 

General Description of Accident (i.e. Takeoff, Landing, Cruise, etc.) 

Weather Conditions at Accident Location: 

General Description of Aircraft/Scene Damage: 

Begin Emergency Event Log (see sample on following page. Actual forms are located in 

document protectors following Chapter 6) 

Exhibit CFM - 1101
Emergency

Operations

Chapter 6

Page:  6‐3

Manual 26 Feb 10

SAMPLE EMERGENCY EVENT LOG 

DATE TIME EVENT ACTION TAKEN

3-21-04 0600 Received call from Smyrna Airport Authority 

stating that a bomb threat had been made 

against “that company at Smyrna Airport” 

Notified Director of Operations 

3-21-04 0605 Director of Operations told me to continue 

to monitor situation and call him if any more 

specific information was received. Also 

directed that Maintenance and Safety 

Contact be informed. 

Using Management Phone Tree, 

informed Allan Peralta and David 

Augustin. 

3-21-04 0630 Informed by Smyrna Airport Authority that 

bomb threat was found to be a prank by 

some local school boys. 

Informed Director of Operations, 

Allan Peralta and David Augustin. 

Name of Person Completing this Form:______________________________________________ 

Page ____ of ____pages

Exhibit CFM - 1101
Emergency

Operations

Chapter 6

Page:  6‐4

Manual 26 Feb 10

BOMB THREAT CHECKLIST 

INSTRUCTIONS: Be calm. Be courteous. Listen, do not interrupt the caller. If possible, notify 

management, supervisor or co-worker while caller is on the line. 

Person taking call:________________________Time:____________Date:______________ 

Caller’s Identity:

Sex:  Male  Female  Adult  Juvenile _____Approximate age in years 

Origin of Call:

 Local  Long Distance  Cell  Internal  Unknown 

Voice Characteristics:

Speech Language

 Loud  Soft  Fast  Slow  Normal 

 High  Deep  Distinct  Distorted  Good 

 Raspy  Pleasant  Stutter  Slurred  Foul 

 Nasal  Lisp 

 Intoxicated 

Accent Manner Background Noises

 Local  Calm  Angry  Quiet  Voices 

 Not Local  Rational  Irrational  Music  Bedlam 

 Region  Coherent  Incoherent  Animals  Street 

 Foreign  Deliberate  Emotional  Trains  Airplanes 

  Righteous  Laughing  Party 

 

 Factory  Office 

(continued next page)

Exhibit CFM - 1101
Emergency

Operations

Chapter 6

Page:  6‐5

Manual 26 Feb 10

BOMB INFORMATION 

Pretend to have difficulty hearing the individual. 

Keep caller talking as long as possible. 

If caller seems agreeable to further conversation, ask the following questions: 

When will the bomb go off? Date/Time ________________________________ 

Where is it located? Building______________ Area_______________ 

What kind of bomb? ________________Where are you now? ___________________ 

How do you know so much about the bomb? 

______________________________________________________________________ 

______________________________________________________________________ 

Why are you making this threat? 

______________________________________________________________________ 

What is your name and address? 

______________________________________________________________________ 

If the building is occupied, inform caller that the detonation could cause serious 

injury or death. 

Did caller appear familiar with the area by his description of the bomb location? 

______________________________________________________________________ 

Sit down and write out the message the caller gave you in its entirety. Attach your written 

document to the bomb threat checklist. 

Notify the Director of Operations immediately (see phone tree on page 3-1). 

Exhibit CFM - 1101
Emergency

Operations

Chapter 6

Page:  6‐6

Manual 26 Feb 10

OVER-DUE AIRCRAFT TRACKING FORM 

To be initiated if aircraft cannot be located 30 minutes after scheduled arrival 

(Begin tracking all communications and events using the Emergency Event Log) 

Person Initiating Search: Date/Time: 

Aircraft Type: Aircraft Tail Number: 

Crew Names: CA: FO: 

Client: 

Number of Passengers on Aircraft: Adults: Children: Infants: 

Itinerary (Times are Central): 

Itinerary Departure Arrival 

From To Scheduled Actual Scheduled Actual 

Date and time of last contact with aircraft:____________________________________________ 

Summarize attempts to contact over-due aircraft: 

If attempts to locate the aircraft are unsuccessful notify the Director of Operations 

Exhibit CFM - 1101
Emergency

Operations

Manual

Chapter 7

Page:  7‐1

01 Nov 10

CHAPTER 7

DISASTERS

TORNADOES

Emergency weather radios, computers (Radar), and phone systems in the main reception area

of the FBO and in maintenance hangar 693 are monitored during inclement weather.  All

customers, staff, and other departments within the company will be advised of inclement

weather where severe thunderstorms or tornados may occur.  The most expedient method of

notification will be used to warn personnel of impending danger.  Assist moving all aircraft into

a hangar, time permitting, and then proceed to one of the following safe havens:

Plan to move to a “Safe Place”

Maintenance Hangar 690 & 693

Proceed to the downstairs restroom facilities or the break room and remain there until the

threat is over.

Smyrna FBO

Proceed to the restroom facilities, preferably the ladies restroom and remain there until the

threat is over.

John C. Tune FBO

Proceed to the shower room between the men’s and ladies restroom and remain there until

the threat is over.

Airport Authority Building

Proceed by the stairs to the bottom of the stairs and remain in the stairwell until the threat is

over. DO NOT USE THE ELEVATOR FOR EVACUATION.

Monitor the Weather

Emergency weather radios, computers (Radar), and phone systems in the main reception area

of the FBO and in maintenance hangar 693 are monitored during inclement weather.  All

customers, staff, and other departments within the company will be advised of inclement

weather where severe thunderstorms or tornados may occur.  The most expedient method

should be used, overhead paging, telephone, or word of mouth.  Move all aircraft into the

hangars, close and lock the hangar doors. Proceed to the safe area as listed above.

Exhibit CFM - 1101
Emergency

Operations

Manual

Chapter 7

Page:  7‐2

19 July 12

Sound the Alarm

615‐943‐8398 (Airport Public Safety) MQY

After notifying public safety contact the appropriate department head or all departments

depending on the scope of the emergency.

1.   Tosha Szabo    615‐347‐8085 (Cell) 615‐220‐2957 (FBO)    MQY FBO   

2.   David Augustin    615‐948‐1735 (Cell) 615‐534‐8636 (Office)  Board Chairman

3.   Allen Howell    615‐804‐6740 (Cell) 615‐534‐4050 (Office)  CEO

4.   Connie Dodson    615‐585‐8342 (Cell) 615‐350‐5000 (Office)  JWN FBO

5.   Leon Custers    615‐351‐3837 (Cell) 615‐534‐4550 (Office)  COO/President

6.   Mike Cypcar    931‐224‐3217 (Cell) 615‐534‐4551 (Office)  Maint. Mgr.

7.   Dwayne McMurry   615‐308‐4861 (Cell) 615‐220‐1761 (Office)  Flight Ops D.O.

8.   Penny Morrow    615‐713‐8865 (Cell) 615‐534‐4541 (Office)  Accounting

9.   Tony Crandall    615‐223‐6718 (Cell) 615‐534‐4571 (Office)  Accessory Shop

10. Ron Barnum    615‐692‐2573 (Cell) 615‐534‐4573 (Office)  Safety

11. On Call Charter         615‐768‐4044 (Office)  Flight Ops

FIRE

If You Discover A Fire:

1. Leave the fire area and close the door to the area.

2. Sound the fire alarm.

3. Immediately evacuate the building via the shortest and safest route. (Proper use of fire

extinguishers within extinguisher limits and by trained individuals is optional but should

not be attempted until building alarm is actuated and people are evacuated.)

4. Use the stairs to evacuate.  DO NOT USE ELEVATORS. A fire can disrupt the operation of

elevators and trap occupants inside.

5. If you notice smoke, use the alternate escape route.

6. Test doors with the back of your hand before opening them. If the door is warm or if

you notice smoke, use an alternative escape route. Check paths for safety before

proceeding and close doors behind you.

7 Crawl low if you have to go through smoke.

Exhibit CFM - 1101
Emergency

Operations

Manual

Chapter 7

Page:  7‐3

01 Nov 10

8. Go to a safe area or to a pre‐assigned exterior area for your building.

9. From the nearest phone in a safe area, call 9‐1‐1.

10. Await emergency response personnel at safe location and direct them to the scene.

11. If you suspect that someone is missing or trapped, contact the emergency personnel

outside the building.

12. If you are trapped during a fire emergency, close all doors between you and the fire and

stuff cracks around the doors to keep out smoke. Wait at a safe window and signal/call

for help. If there is a phone in the room, call the 9‐1‐1 and tell them exactly where you

are.

13. Stop, Drop and Roll if your clothing catches fire.

Once You Have Evacuated

1. From the nearest phone in the safe area, call 9‐1‐1.

2. If you suspect that someone is missing or trapped, contact firefighters on scene or at the

fire engine, police officers, or ambulance personnel.

3. Await emergency response personnel at a safe location and direct them to the scene.

Do not reenter the building until instructed to do so by the fire department.

4. Follow directions of fire and police personnel.

5. Report to the person who is taking accountability of personnel.

6. Never re‐enter the building to save your personal belongings.

Exhibit CFM - 1101
Emergency

Operations

Manual

Chapter 7

Page:  7‐4

01 Nov 10

DESIGNATED ASSEMBLY AREAS

Any time a company facility has to be evacuated, employees will proceed to one of the

following designated assembly areas.  Assembling in a designated area will enable a supervisor

to conduct a headcount.  It will be assume that any employee not in the designated assembly

area may be trapped and requires rescue, therefore it is very important that you do not leave

the area without informing a supervisor first.   

  

Hangar 690 and 693

Assembly Area for both hangars is the northern most part of the gravel parking lot behind

Hangar 693.

Smyrna FBO and Airport Authority Building

Assembly Area is in the gravel parking lot across the street from the two buildings (west side of

Doug Warpoole Rd).

John C. Tune FBO and All Hangars

Assembly Area is in the grass area next to Gate T1 (main front gate).

Exhibit CFM - 1101
Emergency

Operations

Manual

Chapter 7

Page:  7‐5

01 Nov 10

BLANK 

Exhibit CFM - 1101
Emergency 

Operations 

Manual

TAB 2

Page:T2-1

19 July 12

EOC Manager Checklist 

EMERGENCY OPERATIONS CENTER MANAGER’S Checklist 

Date/Time of Contact: Caller: Contact number: 

ACCIDENT VERIFICATION / INITIAL BRIEFING 

1. Verification 

• If aviation accident has been verified, request copy of verification report. 

• If no verification has been completed, then perform verification and document on the 

Event Log. 

2. Passenger Manifest

• Contact Dispatch for passenger and crew manifest. 

• Ensure no manifest changes were received. 

• Is anyone waiting for passengers or crew members at the destination point? 

3. Initial Briefing

• Gather available personnel, contact by conference call when not in the office 

• Inform them of the facts known about the incident 

• Make initial contact assignments: 

♦ Corporate Notification __________________________ 

♦ NTSB Notification __________________________ 

♦ Insurance Company __________________________ 

♦ Fireside Notification __________________________ 

• Set TIME for key management to meet: __________________________ 

• Make initial personnel assignments: 

♦ Emergency Manager ___________________________ 

♦ Dispatch ___________________________ 

♦ Administrative Support ___________________________ 

♦ Maintenance ___________________________ 

(over) 

Exhibit CFM - 1101
Emergency 

Operations 

Manual

TAB 2

Page:T2-2

19 July 12

EOC Manager Checklist 

Response Management

1. Initial Status:

 Passenger Manifest/Cargo list 

 Victim Location and Status Record 

 for each passenger/crew 

 Department Next-of-Kin Notification 

 assignments 

 Department Next-of-Kin support 

 assignments 

 ERC Personnel Schedule 

 Briefing Schedule — first 3 hours 

  List of important Telephone/FAX Numbers 

 List of Corporate Telephone/FAX 

 Numbers 

 Increased Security necessary?

 NTSB notified? 

 Corporate notified? 

 Flight department personnel notified? 

 Insurance notified? 

 NTSB Form 6120.1 Filed (< ten days)

 NTSB Form 6120.1 Filed (< ten days)

 Emergency Response Partners Notified? 

2. Continual Operations:

• Keep track of key times 

• Take regular breaks 

• Light refreshments — fruit, vegetables, sandwiches, water 

• Monitor personnel for signs of traumatic stress 

• Maintain contact with personnel/next-of-kin at the site 

• Set priorities at scheduled briefings 

• Maintain status of open priority actions 

• Maintain files of completed actions 

• Check with department managers on 

personnel status as appropriate. 

3. Shift Turnover:

• Relievers to arrive 30 minutes prior for individual turnover — 

review open and completed actions 

• Both shifts present for turnover brief — review key events 

and actions, set priorities for 1st hour. 

• Affirm time of next shift change, and any 

personnel changes 

• Discuss any changes in procedure, or 

points of contact outside of department. 

4. Deactivation:

• Deactivate positions at Emergency Manager’s discretion — 

when level of activity allows response operation to continue 

• Assign personnel to collect notes. 

• Establish “duty” schedule and 

documentation methods for deactivated 

positions — include briefings and contact 

numbers. 

5. Checklist Status

Closed Date / Time: Emergency Manager

Closed Date / Time: Dispatch

Closed Date / Time: Administrative Support

Closed Date / Time: Maintenance

Exhibit CFM - 1101
Emergency 

Operations 

Manual

TAB 2

Page:T2-3

1 Nov 10

Dispatch Checklist 

DISPATCH Checklist 

Note: 

= One-time activities; check when complete. 

 • = Continual activities.

Immediate Action

1. Manifest

 Retrieve and Print Passenger Manifest and trip information 

 READ Manifest, ensure it is legible 

 Check for updates to Passenger Manifest 

 Provide copies of the Passenger Manifest, with changes to Emergency Manager 

 Provide copies of trip information to Emergency Manager 

 Attend Emergency Manager’s initial brief 

2. Flight Departure Information

Contact FBO, or Handling Agency and request FAX and hard-copy of records of the 

following: 

 Fuel Slip (date / time / volume / truck number / tank number) 

 Documentation of any maintenance requests / actions 

 Meteorological report for time of departure 

 Copies of catering delivery documentation 

Transportation Support 

1. Personnel / Supplies / Equipment

• Coordinate transportation of On-Site Support Team members and 

equipment/supplies, as requested. 

2. Family Support Transportation

• Coordinate transportation of passengers and crew family members to the location 

of the accident, if desired by the family members. If family members do not wish 

to travel on Company aircraft, then coordinate transportation on charter, or airline 

carrier (lowest priority). Family support contact, when assigned, should travel 

with the family members to the location 

• Coordinate the movement of these passengers and their baggage through 

representative handling the family liaison effort at the site. 

Exhibit CFM - 1101
Emergency 

Operations 

Manual

TAB 2

Page:T2-4

1 Nov 10

Dispatch Checklist 

DISPATCH Checklist (cont’d) 

Response Management 

1. General

• Maintain EVENT LOG sheets for each Flight Operations/Dispatch tasking 

• Provide EM with information pertaining to the schedule of Company aircraft, e.g. 

flights in support of response, and flights in support of other Company business. 

2. Flight Schedule

• Coordinate modification of flight schedules, as required, to support response efforts. 

• Coordinate alternate flight support to continue Company operations.

3. Records

• Retrieve, seal and secure pilot training records. 

Notes: 

Exhibit CFM - 1101
Emergency 

Operations 

Manual

TAB 2

Page:T2-5

1 Nov 10

Administrative Support Checklist 

ADMINISTRATIVE SUPPORT Checklist 

Note: 

 = One-time activities; check when complete. 

 • = Continual activities.

Emergency Management Activation 

1. Communications Equipment

 Telephones 

 Computer 

 FAX machines 

 

 Television 

 

♦ Plug in telephone systems /Check dialtone 

♦ Set up computers, check operational 

status 

♦ Set up FAX, check operational status 

♦ Turn on TV to CNN, or most applicable 

channel 

2. Administrative Supplies

 Three copies of Emergency 

Operations Manual 

 Five Tablets of EVENT LOG 

 Pads, pens 

 Easels/markers for each 

 One Tablet each of Records 

 Clipboards, file folders, file 

 carriers 

♦ Provide each station the package of 

materials they will need to begin 

♦ Complete heading information on a 

Victim Location and Status Record for 

each crewmember and passenger 

♦ Post Telephone number list near each 

telephone 

Exhibit CFM - 1101
Emergency 

Operations 

Manual

TAB 2

Page:T2-6

1 Nov 10

Administrative Support Checklist 

3. Emergency Management Shift Schedule

 Personnel assignments for Shift A (Date/Time Period: ___________) 

♦ Emergency Manager _______________________ 

♦ Dispatch ________________________ 

♦ Administrative Support ________________________ 

♦ Maintenance ________________________ 

 Personnel assignments for Shift B (Date/Time Period: ___________) 

♦ Emergency Manager _______________________ 

♦ Dispatch ________________________ 

♦ Administrative Support ________________________ 

♦ Maintenance ________________________ 

ADMINISTRATIVE SUPPORT Checklist (cont’d) 

2. General Activities

• Order refreshments for response team members. Fruits, vegetables and light 

snacks. Keep plenty of liquids available 

• Coordinate lodging support for response team members, if needed 

• Keep adequate supply of general admin. supplies on-hand (pens, file folders, 

tablets, forms, etc.) 

• Monitor the response area, and call for clean-up times to collect and dispose of 

members’ trash 

• Monitor response team members for symptoms of traumatic stress. Alert the 

Emergency Manager when appropriate. 

Exhibit CFM - 1101
Emergency 

Operations 

Manual

TAB 2

Page:T2-7

1 Nov 10

Administrative Support Checklist 

Department Management Checklist 

Note:  = One-time activities; check when complete. 

 • = Continual activities.

 Immediate Action 

1. Notification/Verification 

 Upon receipt of a report that a company aircraft has been involved in an 

accident, ensure the information is verified (using Notification/Verification 

Checklist TAB T2-1) and passed to the flight department manager. 

 If aviation accident has been verified, request copy of verification report. 

2. Initial Briefing

 Gather available department personnel, contact by telephone (not cellular) 

when not in the office 

 Inform them of the facts known about the incident. 

 Brief all personnel on proper media responses shown below

 Make initial contacts: 

 Chief Pilot 

 Maintenance Manager 

 Pilots / Maintenance Technicians 

 Base Administrative / Support Personnel 

Responses for Request for Information 

• “We are in the process of investigating a report of an incident involving one of our 

aircraft. There is no information available at this time. If the incident is 

confirmed, informational updates will be provided by [CFM.] Public Affairs. 

They can be reached at [phone #].” 

• “[CFM] confirms that an incident involving one of our aircraft has occurred, 

however, we are unable to provide any details at this time. The [CFM] Public 

Affairs office will be providing periodic updates on the situation as information 

becomes available. They can be reached at [phone #].” 

• “The focus of our efforts at this time is to attend to the needs of our passengers, 

crew and their families, and work with the NTSB and local public safety officials 

to determine the cause and extent of the accident. If you have any questions, 

please contact [CFM] Public Affairs at [phone #].”

Exhibit CFM - 1101
Emergency 

Operations 

Manual

TAB 2

Page:T2-8

1 Nov 10

Administrative Support Checklist 

Department Management Checklist (cont’d) 

Continuing Operations

 If base of operations was accident aircraft’s intended destination, then:

• be prepared to meet with personnel expected to meet incoming passengers 

• all personnel, other than affected family members, are to be informed using 

the appropriate level of response listed above

• family members should be provided a private room, and a call made to;

♦ Emergency Manager (for family of crew) to allow them to hear latest 

information 

♦ Corporate (for family of passengers) to allow them to hear the latest 

information

♦ For any family member, provide supportive contact, and call on local 

clergy or counseling resources, or trained volunteers to support 

personnel.

 If base is home for aircraft or crewmembers involved, then:

• arrange for family notification and family support personnel to initiate their 

activities 

• complete records segregation, collection and security as listed in Section 5.4 

• monitor personnel for indications of traumatic stress, provide information as 

appropriate to the Emergency Manager 

• consider stand-down for upcoming maintenance activities and operations. 

Exhibit CFM - 1101
Emergency 

Operations 

Manual

TAB 2

Page:T2-9

19 July 12

MAINTENANCE Checklist 

Note: 

 = One-time activities; check when complete. 

• = Continual activities. 

 Immediate Action 

1. Records Support investigation effort by collecting maintenance records of 

accident aircraft in preparation for turnover to FAA/NTSB. 

 Aircraft Maintenance Log / Deferred Maintenance Log 

 Minimum Equipment List 

 Overhaul and inspection records of airframe, engines and equipment 

 Applicable manufacturer maintenance manuals 

 

Important: Ensure Company maintains original copies of all documents. Copies of 

documents should only be provided to the investigation team (NTSB). 

FAA should get copies from NTSB.

Monitoring Maintenance Operations

1. Emergency Management Participation

• Maintain EVENT LOG for all tasks, actions and communications. 

• Support response team personnel. 

Notes: 

Exhibit CFM - 1101
r- I I 

Name of Person Completing this Form: __ 

EMERGENCY EVENT LOG 

I ACTION TAKEN ' 

I 

l 

--

Page __ of __ pages 
Emergency 

Operations 

Manual

TAB 3

Page:T3-1

19 July 12

CFM’s Emergency Response Partner 

Fireside Partners Service Agreement 

The 5 following pages is a partial copy of CFM’s Emergency Response Partner 

Agreement with Fireside Partners showing the dates of the contract, the signed agreement 

page, and the schedule of services provided to Corporate Flight Management by Fireside. 

EMERGENCY RESPONSE PARTNER NOTIFICATION

Upon activation of the Emergency Response Plan related to an

aircraft incident or accident, contact CFM’s emergency

response partner:

Fireside Partners

302‐295‐3082  

24/7 Emergency Operations Center

Fireside Partners is contracted by CFM and specifically trained to provide the following

emergency response services, as requested:

• Advance Team

• On‐site Investigative Consultation

• Media Monitoring

• Inbound Call Volume Support

• Coordination Services

o Federal response agencies

o Industry contacts

• Emergency Contact Notification

• Family Assistance Services

Post Event Emotional Response and Support

Exhibit CFM - 1101
222402-1 

SERVICES AGREEMENT

SERVICES AGREEMENT (together with the Schedules and Exhibits hereto, this “Agreement”)

dated 1 June, 2012, by and between CORPORATE FLIGHT MANAGEMENT (collectively the “Client”), a

Tennessee corporation, with primary offices and hangar facilities at 276 Doug Warpoole Road  Smyrna,

TN 37167, and FIRESIDE PARTNERS LLC, a Delaware company, with offices and an Emergency

Operations Center at 12 Penn’s Way, New Castle, DE (“Contractor”).   Client and Contractor are each

referred to herein as a “Party” and collectively as the “Parties.” This agreement supersedes any

previous agreement or contract between the Parties.

RECITALS:

WHEREAS, Client desires certain services relating to Client’s business and Contractor desires to

contract with Client to perform such services, upon the terms and subject to the conditions set forth

herein.

NOW, THEREFORE, in consideration of the mutual promises and agreements contained herein,

the adequacy and sufficiency of which are hereby acknowledged, Parties hereby agree as follows:

ARTICLE I

SERVICES AND FEES

Section 1.01 Services.  Client hereby engages Contractor, and Contractor hereby agrees, to provide

the following services for and on behalf of Client during the Service Period (as defined in Section 2.01).  

(a) Basic Services.    The Basic Services as more fully described in Schedule 1 to this

Agreement.

(b) Emergency Response Services.   Upon the occurrence of an accident directly involving

Client’s flight department (an “Accident”), and upon request of the Client, those Emergency

Response Services as more fully described in Schedule 1 to this Agreement. Provision of such

“Emergency Response Services” shall sometimes be referred to herein as an “Emergency Response.”  

Notwithstanding the foregoing, Contractor may refuse to perform Emergency Response Services

pursuant to Section 1.02(b) of this Agreement.  

Section 1.02 Fees and Expenses.  As consideration for the Services, Client shall pay to Contractor the

following fees provided in Sections 1.02 (a) – (d) (collectively, the “Fees”) and if applicable, shall

reimburse Contractor for Expenses (as defined in Section 1.02(e)) incurred in connection with

performing the Services as follows:  

(a) Initial Set‐up Fee.    Client shall pay to Contractor an initial Set‐up fee in the amount

provided on Schedule 2, payable within 30 days of the beginning of the Initial Service Period (as

defined in Section 2.01).   

(b) Annual Service Fee.  Client shall pay to Contractor an Annual Service Fee in the amount

provided on Schedule 2, payable on the first day of the Service Period.  Client may elect to pay the

Annual Service Fee in twelve (12) installments, as provided on Schedule 2, with each installment

payable on the first day of each month during the Service Period.  In the event Client fails to pay the

Annual Service Fee or any installments thereof, Contractor reserves the right to refuse to perform

Emergency Response Services until such Annual Service Fee or installment thereof is paid in full.   

Exhibit CFM - 1101
222402-1 

Exhibit CFM - 1101

a 

FIRESIDE PARTNERS 

[Signature Page to Services Agreement] 

IN WITNESS WHIEREOF, th€! Parties have causecl thls Agreement to be e~ecu Qd as of the date first 

written above. 

CUENT: 

r, J~// Name: .If t .Lf:rr.J J·f-Ol/1/ e:u __ Titfe: (_1 a:. C) 

Addfess: .;(7 (o 06t-<6 t-v'Mft>DL.(f 

:') m ~ ct rv A ·-r,.t '3 '7 I t;;,/ 

Attention: ,.4 (... (.... G,...J l +o t•v L. L -

CONTRACTOR: 

nRESlDE PAIRTNERS, LLC 

By: ~~<O. Name: Donald J. Chupp 

Title: President 

Address; 

P.O. Box 213 

Dover. DE 19903 

Attention: Oonald J. Olutpp, President 

Tel.: ~? t ~ - ~ ~ o ~ I 7 lr-• I Tel.: (302) 747·?127 

Fax.: ' l S' - ::! :< b , I 1 0 CJ Fax: (302) 747·7128 

Email: A· Lt.-tt.,.v·. 1-t o t"\1 etA. e F"l- y't" ~-Ema l: d1ornc@fire!ildeteam.com 

( b r(\ 
222402-1 

SCHEDULE 1

SERVICES

Contractor will provide the following Services under this Service Agreement to Client:  

BASIC SERVICES: The following “Basic Services” shall be provided pursuant to Section 1.01(a) of

this Agreement:

 24/7/365 Response Availability – Contractor shall maintain availability at all times without

interruption for activation and deployment of the HELP Team (as defined in Section 1.07(a) to

this Agreement) to provide Emergency Response Services, as defined in Section 1.01(b) of this

Agreement.    Contractor shall also maintain availability at all times without interruption of

Contractor’s Emergency Operations Center (“EOC”) for consultation related to accidents

directly involving Client’s flight department.

 ERP Support  ‐ In support of Client emergency response drills or exercises, Contractor

activation of the Contractor’s Emergency Operations Center (“EOC”) as per the requirements

within Client aviation Emergency Response Plan (“ERP”).

EMERGENCY RESPONSE SERVICES: In the event of an Accident, Contractor will provide the

“Emergency Response Services” listed below pursuant to Section 1.01(b) of this Agreement.1

  With the

exception of the Contractor Advance Team Launch (as defined below), which will be provided

automatically upon notification to Contractor of an Accident, all Emergency Response Services shall be

provided pursuant to authorization by Client.  Once Client has authorized Contractor to provide Family

Assistance Services (as defined below), such Family Assistance Services will be provided at the request of

Client.  Emergency Response Services will be provided by the HELP Team.  The HELP Team will initially be

comprised of the Advance Team (as defined below); however, members of the HELP Team may be

added, removed or replaced in the sole discretion of Contractor.

I. Advance Team Launch ‐ Upon notification of an Accident by Client, Contractor shall, by the most

expeditious means possible, send a one or two‐person advance team (the “Advance Team”) to

the Accident site location (the “Contractor Advance Team Launch”).    Depending upon the

location of the Accident, Contractor may choose from local (ILG) charter resources, Contractor’s

charter account with Executive Jet Management, and/or available commercial transport.   In the

event that the Accident is later determined to be not of a magnitude that requires an immediate

Contractor presence, then the Advance Team will return as soon as practical.

II. On‐site Investigative Consultation – Contractor will support Client’s participation in the

Accident investigation and/or relations with external agencies, whether on‐site at or near the

place of the Accident

III. Media Monitoring – Contractor will continually monitor and report back to Client on major and

local news broadcasts, anywhere in the world where there is a satellite broadcasting capability,

related to Client and the Accident.  Contractor will also monitor Social media message trending

and internet news related to Client and the Accident.

 

1 Due to current civil and governmental risks in Mexico and other parts of the world, some or all of the Emergency

Response Services may not be provided in connection with Accidents occurring outside of the United States or

Canada.   Contractor will consult with Client to determine which Emergency Response Services will be available

prior to the Contractor Advance Team Launch.

Exhibit CFM - 1101
222402-1 

IV. Call Volume Support – In the event that inbound call volume to Client is occurring in a capacity

that exceeds the capability to respond to calls in a timely and professional manner, Contractor

shall assist in overflow call support. In doing so Contractor will assist with call screening, and

where appropriate can answer basic inquiries and forward calls as appropriate.

V. Crisis Public Relations Support and Consultation – Contractor shall work with Client’s public

relations and legal departments or professionals as required/directed to assist in drafting media

statements and related matters.

VI. Coordination Services – Contractor’s EOC specialists will coordinate with Federal response

agencies and industry contacts to assist Client in focusing Client’s resources on demonstrating

Client’s commitment to supporting victims and families, and publicly representing Client’s

brand.

VII. Emergency Contact Services – After an Accident, Contractor’s HELP Team will support the

individual or individuals to whom Client has delegated the responsibility to notify the emergency

contacts of Client passengers and crew (the “Client Notification Team”) by notifying such

emergency contacts of Client’s passengers and crew in cases where Client Notification Team

cannot perform such notifications. The HELP team shall use the Contractor’s four‐phase process,

as customized for Client.  

VIII. Family Assistance Services– Upon request of the families of Accident victims (including survivors

and fatalities),  Contractor will assign members of the HELP Team to provide “Family Assistance

Services” in‐person or telephonically, to such families of upon request of the families:

 Assist with physiological and logistical needs;

 Provide essential information;

 Match stated informational, medical and other logistical needs with available

resources;

 Provide compassionate support throughout the process of victim medical

treatment; and

 Provide compassionate support throughout the process of victim recovery,

identification, and the return of remains

In providing such Family Assistance Services, Contractor will use a process methodology generally

established within the Federal Family Assistance Plan for Company accidents. Contractor will endeavor

to provide such Family Assistance Services to each family from the time in which the family is initially

notified of the Accident until the family returns home with the Accident victim, or until such time the

Accident victim is returned home to them.

IX. Post Event Emotional Response and Support (PEERS/TSR) – Contractor will provide Client

employees and Client ERP teams that responded to the Accident, or any other company human

asset that expresses a need for debriefing services with counseling by Contractor’s clinical

psychologist.    

Exhibit CFM - 1101
222402-1 

SCHEDULE 2

Fees

The following Fees will be charged in connection with Services provided this Agreement.  All Emergency

Response Fees rates are per HELP Team Member.   

Description Fee

Initial Set‐Up Fee $2,750.00  

This fee is charged to cover the time and materials to build the

Contractor EOC and HELP Team process into the Client ERP, and secure

the and dedicated contact numbers, etc. Additionally if Client secures

CFR Part 121 operating status, this fee will cover the legally required

development and submission (to DOT and NTSB) of a Family Assistance

Plan as per the Aviation Disaster Family Assistance Act of 1996.

(NOTE: If Client elects to use their annual Global Aerospace Vista Elite

Benefit for this Agreement, there will be no charge for the Initial Set‐Up

Fee.)

Annual Service Fee $750 per month

Client may elect to pay in the Annual Service Fee monthly installments

of $750.00 using an automatic electronic funds transfer if desired, or

pay the lump sum of $9,000.00 for a full year’s coverage with no further

actions required.  

(NOTE: If Client elects to use their annual Global Aerospace Vista Elite

Benefit for this Agreement, there will be no charge for the Annual

Service Fee.)

Description Fee (ONLY DUE FOR ACTIVATIONS AND DEPLOYMENTS)

Emergency

Response Activation

Fee

$3,500.00  

Emergency  

Response Fees*

Contractor will charge for Emergency Services at specified flat daily

rates for members of the HELP Team.  Such rates are available upon

request.

End of Service Agreement

Exhibit CFM - 1101
Emergency 

Operations 

Manual

TAB 4

Page:T4-1

19 July 12

Media and Public Responses for Request for Information about the 

Accident/Incident 

Report of an Accident/Incident—Not Yet Confirmed 

• “We are in the process of investigating a report of an incident involving one of 

our aircraft. There is no information available at this time. If the incident is 

confirmed, informational updates will be provided by [CFM.] Public Affairs.” 

Confirmation of an Accident/Incident 

• “[CFM] confirms that an incident involving one of our aircraft has occurred, 

however, we are unable to provide any details at this time. The [CFM] Public 

Affairs office will be providing periodic updates on the situation as 

information becomes available.” 

After Confirmation of an Accident/Incident 

• “The focus of our efforts at this time is to attend to the needs of our passengers, 

crew and their families, and work with the NTSB and local public safety 

officials to determine the cause and extent of the accident. The [CFM] Public 

Affairs office will be providing periodic updates on the situation as 

information becomes available.”

Exhibit CFM - 1101
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