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Report Under Section 4026(b)(1) of the CARES Act on 

Loans to Air Carriers, Eligible Businesses, and National Security Businesses 

Program Description

Section 4003 of the Coronavirus Aid, Relief and Economic Security Act (CARES Act) 

authorizes the Treasury Department to make loans, loan guarantees, and other 

investments to provide liquidity to eligible businesses related to losses incurred as a result 

of coronavirus.

The CARES Act provides:

(1) up to $25 billion for loans and loan guarantees for passenger air carriers; eligible 

businesses that are certified under 14 CFR part 145 and approved to perform 

inspection, repair, replace, or overhaul services; and ticket agents (as defined in 

49 U.S.C. § 40102); 

(2) up to $4 billion for loans and loan guarantees for cargo air carriers; and

(3) up to $17 billion for loans and loan guarantees for businesses critical to 

maintaining national security.

A loan or loan guarantee under section 4003 may be made in such form and on such 

terms and conditions and contain such covenants, representations, warranties, and 

requirements as the Treasury Secretary determines appropriate. However, the CARES 

Act specifies a number of requirements applicable to these loans. Among other 

requirements under the statute, borrowers must agree to maintain employment levels as 

of March 24, 2020, to the extent practicable, and in any case not reduce their 

employment levels by more than 10 percent from the levels on such date, until 

September 30, 2020. Borrowers must also agree to certain restrictions on employee 

compensation; agree not to repurchase stock, except to the extent required under a 

contractual obligation in effect as of March 27, 2020; and agree not to pay dividends or 

make other capital distributions with respect to the borrower’s common stock until 12 

months after the loan has been repaid.

In addition, the CARES Act requires that Treasury receive a warrant or equity instrument 

in the borrower if the borrower is a public company (unless Treasury determines that the 

issuance of warrants or equity is infeasible, in which case the company must provide a 

senior debt instrument), or a warrant, equity instrument, or senior debt instrument if the 

borrower is a private company, to compensate taxpayers.

Reporting Requirements

The CARES Act requires Treasury to make a number of disclosures regarding its loans 

and loan guarantees under section 4003 of the CARES Act:

(1) under section 4026(a) of the CARES Act, not later than 72 hours after any 

transaction under section 4003(b)(1), (2), or (3) of the CARES Act, Treasury must 
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publish on its website a description of the transaction, certain transaction terms, 

and transaction documentation;

(2) under section 4026(b)(1)(A) of the CARES Act, not later than seven days after any 

loan or loan guarantee under section 4003(b)(1), (2), or (3), Treasury must submit 

to Congress a report summarizing the actions taken under those provisions and 

certain related financial information;

(3) under section 4026(b)(1)(B) of the CARES Act, not later than seven days after 

delivering the report to Congress described above, Treasury must publish the 

report on its website; and

(4) under section 4026(b)(1)(C) of the CARES Act, every 30 days while a loan or loan 

guarantee under section 4003(b)(1), (2), or (3) is outstanding, Treasury must 

publish on its website a report summarizing its reports to Congress described 

above. 

Current Report

This is Treasury’s fifth report under section 4026(b)(1) of the CARES Act and reflects 

eleven transactions: three transactions on October 28, 2020; five transactions on October 

30, 2020; two transactions on November 2, 2020; and one transaction on November 3, 

2020.

Treasury entered into these eleven loan transactions under section 4003(b)(1), (2), or (3)

of the CARES Act for a total of $1.83 billion, of which $82 million has been disbursed.

Alaska Airlines, Inc.

Treasury agreed to make a loan of up to $1.928 billion to Alaska Airlines, Inc. (Alaska 

Airlines). On September 28, 2020, Treasury agreed to make a loan of up to $1.301 

billion to Alaska Airlines, and on October 30, 2020, Treasury increased the maximum 

loan amount to $1.928 billion. Alaska Airlines is a wholly owned subsidiary of Alaska Air 

Group, Inc., and one of the largest domestic airlines in the United States. Alaska 

Airlines had approximately 22,000 U.S. employees in March 2020 and carried more 

than 46 million passengers in 2019. 

Treasury made the loan pursuant to section 4003(b)(1) of the CARES Act. The loan is 

secured by Alaska Airline’s Mileage Plan loyalty program, certain aircraft, and engines. 

The loan has an interest rate equal to LIBOR plus 2.5% and matures on September 26, 

2025. Alaska Airlines elected to draw $135 million at close and may draw the remaining 

loan funds in multiple draws through March 26, 2021. The loan proceeds will be used to 

provide liquidity to continue Alaska Airline’s operations. The transaction agreement 

includes covenants by Alaska Airlines to comply with certain restrictions on employee 

compensation, stock repurchases, dividends, and reductions in employment levels, as 

required by the CARES Act. Treasury will receive warrants to purchase common stock 

equal to 10% of the total loan amount drawn. 
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Eastern Airlines, LLC

Treasury agreed to make a loan totaling $15 million to Eastern Airlines, LLC (Eastern 

Airlines), a wholly owned subsidiary of Eastern Air Holdings, Inc. Eastern Airlines is a 

passenger air carrier with approximately 137 U.S. employees in March 2020.

Treasury made the loan pursuant to section 4003(b)(1) of the CARES Act. The loan is 

secured by aircraft, engines, and accounts receivable. The loan has an interest rate 

equal to LIBOR plus 3.5% and matures on October 28, 2025. Treasury funded the full 

loan amount at close. The loan proceeds will be used to provide liquidity to continue 

Eastern Airlines’ operations. The transaction agreement includes covenants by Eastern 

Airlines to comply with certain restrictions on employee compensation, stock 

repurchases, dividends, and reductions in employment levels, as required by the 

CARES Act. The loan constitutes senior indebtedness of Eastern Airlines, and Treasury 

will receive 3% payment-in-kind annual interest on the loan in accordance with section 

4003(d) of the CARES Act.

JetBlue Airways Corporation

Treasury agreed to make a loan of up to $1.948 billion to JetBlue Airways Corporation 

(JetBlue), one of the largest domestic airlines in the United States. On September 29, 

2020, Treasury agreed to make a loan of up to $1.14 billion to JetBlue, and on 

November 3, 2020, Treasury increased the maximum loan amount to $1.948 billion. 

JetBlue had approximately 23,000 U.S. employees in March 2020 and carried more 

than 42 million passengers in 2019. 

Treasury made the loan pursuant to section 4003(b)(1) of the CARES Act. The loan is 

secured by JetBlue’s TrueBlue loyalty program, certain aircraft, and engines. The loan 

has an interest rate equal to LIBOR plus 2.75% and matures on September 29, 2025. 

JetBlue elected to draw $115 million at close and may draw the remaining loan funds in 

multiple draws through March 26, 2021. The loan proceeds will be used to provide 

liquidity to continue JetBlue’s operations. The transaction agreement includes 

covenants by JetBlue to comply with certain restrictions on employee compensation, 

stock repurchases, dividends, and reductions in employment levels, as required by the 

CARES Act. Treasury will receive warrants to purchase common stock equal to 10% of 

the total loan amount drawn. 

MapLarge, Inc.

Treasury agreed to make a loan totaling $10 million to Map Large, Inc. (MapLarge), a 

business critical to maintaining national security with approximately 37 U.S. employees 

in March 2020.

Treasury made the loan pursuant to section 4003(b)(3) of the CARES Act. The loan is 

unsecured. It has an interest rate equal to LIBOR plus 5.5% and matures on October 

31, 2025. Treasury funded the full loan amount at close. The loan proceeds will be 

used to provide liquidity to continue MapLarge’s operations. The transaction 

agreement includes covenants by MapLarge to comply with certain restrictions on 
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employee compensation, stock repurchases, dividends, and reductions in employment 

levels, as required by the CARES Act. The loan constitutes senior indebtedness of 

MapLarge, and Treasury will receive 3% payment-in-kind annual interest on the loan in 

accordance with section 4003(d) of the CARES Act. 

Meridian Rapid Defense Group, LLC 

Treasury agreed to make a loan totaling $7.1 million to Meridian Rapid Defense Group, 

LLC (Meridian Rapid Defense), a business critical to maintaining national security with 

approximately 14 U.S. employees in March 2020.

Treasury made the loan pursuant to section 4003(b)(3) of the CARES Act. The loan is 

unsecured. It has an interest rate equal to LIBOR plus 5.5% and matures on October 

30, 2025. Treasury funded the full loan amount at close. The loan proceeds will be 

used to provide liquidity to continue Meridian Rapid Defense’s operations. The 

transaction agreement includes covenants by to comply with certain restrictions on 

employee compensation, stock repurchases, dividends, and reductions in employment 

levels, as required by the CARES Act. The loan constitutes senior indebtedness of 

Meridian Rapid Defense, and Treasury will receive 3% payment-in-kind annual interest 

on the loan in accordance with section 4003(d) of the CARES Act. 

Mesa Airlines, Inc. 

Treasury agreed to make a loan totaling $200 million to Mesa Airlines, Inc. (Mesa 

Airlines), a wholly owned subsidiary of Mesa Air Group, Inc. Mesa Airlines, Inc. had 

approximately 3,540 U.S. employees in March 2020.

Treasury made the loan pursuant to section 4003(b)(1) of the CARES Act. The loan is 

secured by aircraft, engines, accounts receivable, tooling inventory, simulators and 

ground service equipment. The loan has an interest rate equal to LIBOR plus 3.5% 

and matures on October 30, 2025. Mesa Airlines elected to draw $43 million at close 

and may draw the remaining loan funds in an additional draw before December 15, 

2020. The loan proceeds will be used to provide liquidity to continue Mesa Airline’s 

operations. The transaction agreement includes covenants by Mesa Airlines to comply 

with certain restrictions on employee compensation, stock repurchases, dividends, and 

reductions in employment levels, as required by the CARES Act. The loan constitutes 

senior indebtedness of Mesa Airlines, and Treasury will receive warrants to purchase 

common stock equal to 10% of the total loan amount drawn.

oVio Technologies, Inc.

Treasury agreed to make a loan totaling $1.2 million to oVio Technologies, Inc. (oVio 

Technologies), a business critical to maintaining national security with approximately 

six U.S. employees in March 2020.

Treasury made the loan pursuant to section 4003(b)(3) of the CARES Act. The loan is 

unsecured. It has an interest rate equal to LIBOR plus 5.5% and matures on October 

31, 2025. Treasury funded the full loan amount at close. The loan proceeds will be 
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used to provide liquidity to continue oVio Technologies’ operations. The transaction 

agreement includes covenants by oVio Technologies to comply with certain restrictions 

on employee compensation, stock repurchases, dividends, and reductions in 

employment levels, as required by the CARES Act. The loan constitutes senior 

indebtedness of oVio Technologies, and Treasury will receive 3% payment-in-kind 

annual interest on the loan in accordance with section 4003(d) of the CARES Act. 

SkyWest Airlines, Inc.

Treasury agreed to make a loan of up to $725 million to SkyWest Airlines, Inc. 

(SkyWest Airlines). On September 29, 2020, Treasury agreed to make a loan of up to 

$573 million to SkyWest, and on October 28, 2020, Treasury increased the maximum 

loan amount to $725 million. SkyWest Airlines is a wholly owned subsidiary of 

SkyWest, Inc., and one of the largest domestic airlines in the United States. SkyWest 

Airlines had approximately 15,000 U.S. employees in March 2020 and carried more 

than 35 million passengers in 2019.

Treasury made the loan pursuant to section 4003(b)(1) of the CARES Act. The loan is 

secured by certain engines, airframes, and rotable parts. The loan has an interest rate 

equal to LIBOR plus 3.0% and matures on September 29, 2025. SkyWest Airlines 

elected to draw $60 million at close and may draw the remaining loan funds in multiple 

draws through March 26, 2021. The loan proceeds will be used to provide liquidity to

continue SkyWest Airlines’ operations. The transaction agreement includes covenants 

by SkyWest Airlines to comply with certain restrictions on employee compensation, 

stock repurchases, dividends, and reductions in employment levels, as required by the 

CARES Act. Treasury will receive warrants to purchase common stock equal to 10% of 

the total loan amount drawn.

Southern Airways Express, LLC

Treasury agreed to make a loan totaling $1.8 million to Southern Airways Express, LLC 

(Southern Airways Express), a wholly owned subsidiary of Southern Airways Corp. The 

Company is a passenger air carrier with approximately 458 U.S. employees in March 

2020.

Treasury made the loan pursuant to section 4003(b)(1) of the CARES Act. The loan is 

secured by aircraft, flight simulators, engines, and spare parts. The loan has an interest 

rate equal to LIBOR plus 3.5% and matures on October 28, 2025. Treasury funded the 

full loan amount at close. The loan proceeds will be used to provide liquidity to continue 

Southern Airways Express operations. The transaction agreement includes covenants

by Southern Airways Express to comply with certain restrictions on employee 

compensation, stock repurchases, dividends, and reductions in employment levels, as 

required by the CARES Act. The loan constitutes senior indebtedness of Southern 

Airways Express, and Treasury will also receive 3% payment-in-kind annual interest on 

the loan in accordance with section 4003(d) of the CARES Act.
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Visual Semantics, Inc. 

Treasury agreed to make a loan totaling $1.05 million to Visual Semantics, Inc. (Visual 

Semantics), a business critical to maintaining national security with approximately nine

U.S. employees in March 2020.

Treasury made the loan pursuant to section 4003(b)(3) of the CARES Act. The loan is 

unsecured. It has an interest rate equal to LIBOR plus 5.5% and matures on October 

30, 2025. Treasury funded the full loan amount at close. The loan proceeds will be 

used to provide liquidity to continue Visual Semantics’ operations. The transaction 

agreement includes covenants by Visual Semantics to comply with certain restrictions 

on employee compensation, stock repurchases, dividends, and reductions in 

employment levels, as required by the CARES Act. The loan constitutes senior 

indebtedness of Visual Semantics, and Treasury will receive 3% payment-in-kind 

annual interest on the loan in accordance with section 4003(d) of the CARES Act. 

Wiser Imagery Services, LLC 

Treasury agreed to make a loan totaling $3.07 million to Wiser Imagery Services, LLC

(Wiser Imagery Services), a business critical to maintaining national security with 

approximately 135 U.S. employees in March 2020.

Treasury made the loan pursuant to section 4003(b)(3) of the CARES Act. The loan is 

unsecured. It has an interest rate equal to LIBOR plus 5.5% and matures on October 

30, 2025. Treasury funded the full loan amount at close. The loan proceeds will be 

used to provide liquidity to continue Wiser Imagery Services’ operations. The 

transaction agreement includes covenants by Wiser Imagery Services to comply with 

certain restrictions on employee compensation, stock repurchases, dividends, and 

reductions in employment levels, as required by the CARES Act. The loan constitutes 

senior indebtedness of Wiser Imagery Services, and Treasury will receive 3% 

payment-in-kind annual interest on the loan in accordance with section 4003(d) of the 

CARES Act. 

The loan agreements are available on Treasury’s website at 

https://home.treasury.gov/policy-issues/cares/preserving-jobs-for-americanindustry/loans-to-air-carriers-eligible-businesses-and-national-security-businesses.
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Detailed Financial Statement 

Borrower

Borrower 

Type1 City2 State2

Date of Loan 

Agreement Maturity Date

Total 

Anticipated 

Loan Amount Disbursements3

Alaska 

Airlines, Inc.4

Passenger 

Air Carrier Seattle WA

9/28/2020 

(amended Oct.

30, 2020)

9/26/2025 $1,928,000,000 $135,000,000 

Eastern 

Airlines LLC

Passenger 

Air Carrier Wayne PA 10/28/2020 10/28/2025 $15,000,000 $15,000,000 

JetBlue

Airways 

Corporation5

Passenger 

Air Carrier

Long Island 

City NY

9/29/2020

(amended 

11/3/2020)

9/29/2025 $1,948,000,000 $115,000,000 

MapLarge, 

Inc.

National 

Security Atlanta GA 11/2/2020 10/31/2025 $10,000,000 $10,000,000

Meridian 

Rapid 

Defense 

Group, Inc.

National 

Security Pasadena CA 10/30/2020 10/30/2025 $7,100,000 $7,100,000

Mesa 

Airlines, Inc.

Passenger 

Air Carrier Phoenix AZ 10/30/2020 10/30/2025 $200,000,000 $43,000,000

oVio 

Technologies, 

Inc.

National 

Security

Newport 

Beach CA 11/2/2020 10/31/2025 $1,186,900 $1,186,900 

SkyWest 

Airlines6

Passenger 

Air Carrier St. George UT

9/29/2020

(amended 

10/28/2020)

9/29/2025 $725,000,000 $60,000,000 

Southern 

Airways

Express

Passenger 

Air Carrier

Pompano 

Beach FL 10/28/2020 10/28/2025 $1,838,501 $1,838,501 

Visual 

Semantics, 

Inc.

National 

Security Austin TX 10/30/2020 10/30/2025 $1,053,200 $1,053,200

Wiser 

Imagery 

Services, LLC

National 

Security Murfreesboro TN 10/30/2020 10/30/2025 $3,069,700 $3,069,700 

1. Only certain categories of entities are eligible to receive loans under sections 4003(b)(1), (2), and (3) of the CARES Act. Under those 

provisions, a borrower must be a passenger air carrier; a business that is certified under 14 CFR part 145 and approved to perform 

inspection, repair, replace, or overhaul services; a ticket agent (as defined in 49 U.S.C. 40102); a cargo air carrier; or a business 

critical to maintaining national security.

2. The location provided is the address included by borrowers in their applications and may not include all locations in which a borrower 

operates.

3. Includes disbursements to Eastern Airlines LLC, Map Large, Inc., Meridian Rapid Defense Group, Inc., Mesa Airlines, Inc., oVio 

Technologies, Inc., Southern Airways Express LLC, Visual Semantics, Inc., and Wiser Imagery Services, LLC between October 28 

and November 2; to Alaska Airlines, Inc. on September 28, 2020; to JetBlue Airways Corporation on September 29, 2020; and to 

SkyWest Airlines, Inc. on September 29, 2020. 

4. Alaska Airlines, Inc. entered into a loan agreement for up to $1.301 billion on September 28, 2020, and an amendment on October 

30, 2020, increasing the maximum loan amount by $627 million.

5. JetBlue Airways Corporation entered into a loan agreement for up to $1.14 billion on September 29, 2020, and an amendment on 

November 3, 2020, increasing the maximum loan amount by $808 million.

6. SkyWest Airlines, Inc. entered into a loan agreement for up to $573 million on September 29, 2020, and an amendment on October 

28, 2020 increasing the maximum loan amount by $152 million.