BEFORE THE

DEPARTMENT OF TRANSPORTATION

WASHINGTON, D.C.

_________________________________________

)

Application of )

)

EASTERN AIR LINES GROUP, INC. ) DOCKET OST-2014-

)

for a Certificate of Public Convenience )

and Necessity (Interstate Passenger )

Charter Service) )

_________________________________________ )

APPLICATION OF EASTERN AIR LINES GROUP, INC.

FOR A CERTIFICATE OF PUBLIC CONVENIENCE AND NECESSITY

Communications with respect to this document should be sent to:

Edward J. Wegel

President and CEO

EASTERN AIR LINES GROUP, INC.

Building 5A, Miami Int’l Airport

Miami, FL 33142

(305) 869-4249

ed.wegel@easternairlines.aero

Edward P. Faberman

Wiley Rein LLP

1776 K Street, NW

Washington, DC 20006

(202) 719-7402

efaberman@wileyrein.com

John R. Mietus, Jr.

Law Office of John Mietus, LLC

6701 Democracy Blvd., Suite 300

Bethesda, MD 20817-7500

(202) 747-5212

john@mietuslaw.com

Counsel for EASTERN AIR LINES

GROUP, INC.

APPLICANT REQUESTS THAT THIS APPLICATION BE PROCESSED 

THROUGH EXPEDITED, NON-HEARING PROCEDURES PURSUANT TO 

SUBPART B OF THE DEPARTMENT’S PROCEDURAL REGULATIONS.

NOTICE: Any person may support or oppose this application by filing an 

answer no later than February 18, 2014 and serving a copy of the answer on 

counsel for Applicant and upon persons served with this application.

January 28, 2014
BEFORE THE

DEPARTMENT OF TRANSPORTATION

WASHINGTON, D.C.

_________________________________________

)

Application of )

)

EASTERN AIR LINES GROUP, INC. ) DOCKET OST-2014-

) January 28, 2014

for a Certificate of Public Convenience )

and Necessity (Interstate Passenger )

Charter Service) )

_________________________________________ )

APPLICATION OF EASTERN AIR LINES GROUP, INC.

FOR A CERTIFICATE OF PUBLIC CONVENIENCE AND NECESSITY

Pursuant to 49 U.S.C. § 41102, parts 201 and 204 of the Department’s 

Economic Regulations, subpart B of the Department’s Procedural 

Regulations, and the Department’s Streamlining Initiative in Docket OST2005-22228, Eastern Air Lines Group, Inc. (“Eastern”) respectfully applies for 

a certificate of public convenience and necessity authorizing Eastern to 

engage in interstate charter air transportation of persons, property, and mail. 

Simultaneously with this Application, Eastern has applied for a certificate 

authorizing it to engage in foreign charter air transportation of persons, 

property and mail. Eastern requests that the Department process this 

application expeditiously using written submissions and simplified, nonhearing procedures as contemplated by sections 302.15 and 302.207 of the 

Procedural Regulations. In support of its application, Eastern provides the 

information required by 14 C.F.R. §§ 201.4 and 204.3 in the Exhibits and 

Confidential Exhibits attached to this application and states as follows:
Eastern

Certificate Application

Page 2

1. A group of highly experienced aviation executives with substantial 

airline experience have developed Eastern’s business and financing plan. 

Led by Edward J. Wegel, a veteran airline executive with over 28 years of 

experience, this group intends to begin charter airline operations with a 

single, leased Airbus A320 aircraft, using Eastern trademarks acquired from 

the Eastern Air Lines estate (“Legacy Eastern”) pursuant to an asset 

purchase and sale agreement. Eastern will utilize this aircraft for public and 

private charterers in domestic and foreign markets and increase its fleet to 

three such aircraft by the end of its first full year of operations.

2. A private placement of Eastern’s voting common stock will be 

utilized to raise a minimum of $9 million and a maximum of $14 million (plus 

an additional $1.4 million to cover over-allotments) to support Eastern’s 

certification and commencement of charter service. When this process is 

completed in the next few months, assuming the sale of $14 million of voting 

common stock in the private placement, new, private investors will hold just 

under 40% of Eastern’s voting common stock, founding investors will hold 

just over 40%, and Eastern management and investment bankers will hold 

up to 20%, either in stock, options, or warrants. Upon completion of the 

private placement, Eastern will have only one class of outstanding common 

stock. That class of common stock will have full voting rights. The 
Eastern

Certificate Application

Page 3

development of Eastern to this point has been funded and managed by U.S. 

citizens, and Eastern will rely on customary voting stock restrictions to 

ensure that it remains a U.S. citizen as the new, private investment takes 

place.

3. Senior Eastern management has the necessary business expertise 

and technical ability to offer and manage the proposed passenger 

transportation while complying effectively with relevant transportation laws. 

The current President and Chief Executive Officer, Edward J. Wegel, and 

additional management, including Eastern’s Chief Operating Officer, Chief 

Financial Officer and Chief Technical Officer (who will assume their positions 

upon the initial closing of the private placement), are all U.S. citizens and 

bring extraordinary operational expertise and experience to the airline. They 

will be complemented by a Board of Directors that includes Mr. Wegel and 

two individuals with many years of experience in C-level positions and in 

financing and business planning.

4. Under 49 U.S.C. § 41102(b)(1), the Department may issue interstate 

authority if the applicant is a U.S. citizen and meets the Department’s fitness 

requirements. Eastern’s plan for financing and staffing the airline will satisfy 

these criteria. Further, granting the requested certificate authority is in the 

Eastern

Certificate Application

Exhibit 1

INFORMATION SUPPLIED PURSUANT

TO THE DEPARTMENT’S REGULATIONS

Eastern Air Lines Group, Inc. (“Eastern”) hereby supplies, in support of its 

certificate application, information required by the Department pursuant to 

14 C.F.R. § 204.5, cross-referenced to specific provisions of section 204.3.

(a) Name, address, and telephone number of applicant.

Eastern Air Lines Group, Inc.

Building 5A

Miami International Airport

Miami, FL 33142

(305) 869-4249

(b-d) Form of organization and state of incorporation; certificate of good

standing and corporate information.

Eastern is a Delaware corporation. Attached as Exhibit 2 are a good standing 

certificate for Eastern and its certificate of incorporation, which will be 

amended to provide for additional, authorized voting common stock before 

the initial closing of the private placement.

(e) Citizenship affidavit.

Eastern will provide an affidavit attesting its status as a U.S. citizen under 

49 U.S.C. § 40102(a)(15), as required by 49 U.S.C. § 41102, when the private 

placement is complete and the contemplated increase in authorized voting 

common stock has taken place.
Eastern

Certificate Application

Exhibit 1

Page 2

(f) Information relating to key personnel.

Capsule biographies are provided below for Eastern key personnel to be in 

place upon the initial closing of the private placement and for certain 

members of 1848 Capital Partners, LLC (“1848 Capital Partners”) who will 

play a key role in Eastern’s development. Eastern will add additional 

members to the Board of Directors after the private placement, and it will fill 

the positions required under 14 C.F.R. § 119.65 as certification progresses. A 

proposed organization chart for Eastern is attached as Exhibit 3, more 

detailed resumes are provided in Exhibit 4, and FAA certificate numbers are 

provided in Confidential Exhibit A. (Confidential Exhibits described in this 

Application have been filed with the Department under seal and 

accompanied by a Motion for Confidential Treatment.) All listed personnel 

may be reached at the business address shown above and are U.S. citizens.

Board of Directors Upon

Initial Closing of Private Placement

Admiral William A. Owens (Ret.), Executive Chairman

Adm, Owens has extensive experience in business, management, and finance. 

After a 34-year U.S. Navy career, in which he rose to become Vice Chairman 

of the Joint Chiefs of Staff, he held C-suite roles in SAIC, Teledesic, and 

Nortel Networks. He currently serves as Chairman of the Board of 

CenturyLink, a major telecommunications company. Since 2006, he has been 

the Chairman and Managing Director of AEA Investors Asia, since 2009 a 

founding partner and Executive Chairman of Prometheus Partners, and since 

2011 the Vice Chairman of the New York Stock Exchange (NYSE) for Asia. 

Adm. Owens also has served on the boards of over 20 public and several 

private companies; he was recognized for his contributions to corporate 

governance by the National Association of Corporate Directors in 2011. He 

has received numerous military decorations and business and philanthropic 

awards, and he holds degrees from the United States Naval Academy, Oxford 

University (UK), and George Washington University.

Joseph E. DaGrosa, Jr., Director

Mr. DaGrosa is a co-founder of 1848 Capital Partners (described below) and 

several related companies. His aviation experience includes investment in 

and the Vice Chairmanship of Jet Support Services, Inc., the world's largest 

independent provider of hourly cost maintenance programs for business jet 

aircraft engines and airframes. Prior to this, Mr. DaGrosa was a founding 
Eastern

Certificate Application

Exhibit 1

Page 3

member of Maplewood Partners, a private equity firm where he served on the 

Investment and Executive Committees. He began his 28-year career in 

private equity and financial services after receiving a B.S. from Syracuse 

University.

Edward J. Wegel, President, Chief Executive Officer and Director

Mr. Wegel is a senior airline and travel services executive with over 28 years 

of experience in all aspects of airline operations and finance. He has held key 

airline positions, including co-founder/board member of Atlantic Coast 

Airlines (United Express), President/CEO and board member of Chautauqua

Airlines /US Airways Express, and President/COO and board member of 

BWIA International Airways. He has consulted extensively in airline and 

aviation financial matters, including mergers and acquisitions and 

restructuring. Mr. Wegel served as a commissioned officer in the U.S. Army 

and received an M.B.A. from the Univ. of Northern Colorado after graduating 

from the United States Military Academy at West Point.

Key Management Personnel Upon

Initial Closing of Private Placement

Edward J. Wegel, President and Chief Executive Officer

See biography above.

Stanley L. (Sandy) Saunders, Chief Operating Officer

Mr. Saunders has over 36 years’ aviation experience. After graduating from 

the United States Naval Academy and serving 21 years in the U.S. Navy, 

where he commanded at the Squadron and Wing levels, he flew and served as 

Chief Pilot for Gemini Air Cargo and Maxjet Airways and more recently has 

provided airline certification consulting services for U.S. airlines which 

operate the A320 series aircraft. He holds an Airline Transport Pilot 

certificate, is currently rated in the B-767 and DC-10, and has total 

commercial flying time exceeding 6,000 hours.

James R. Tolzien, Chief Financial Officer

Mr. Tolzien, a Certified Public Accountant, began his career in accounting 

with a degree from the University of Illinois. He has executive experience in 

the corporate travel and private investment fields as well as in the rental car 

industry, where he rose to become Executive VP and CFO of Budget Rent a 

Car and Senior VP North American Operations for Alamo Rent a Car. Mr. 

Tolzien also served as an Operating Partner for Dancing Bear Investments

LLC and for Commonwealth Capital Partners, LLC, both private equity 
Eastern

Certificate Application

Exhibit 1

Page 4

firms, and as the Operating Partner and CEO of Sunbelt Diversified 

Enterprises, an affiliate of 1848 Capital Partners.

Daniel Stone, Chief Technical Officer (Maintenance and Technical Services)

Mr. Stone, most recently a consultant for third party MROs, airlines and 

aircraft lessors, has extensive experience with the A320 family of aircraft as 

Executive VP and COO of EADS Airframe Services (a division of Airbus 

Industries), USA after 15 years’ airline maintenance experience which 

included serving as VP of Maintenance for a major U.S. legacy airline and for 

an international airline which operated the A320. He holds an A&P 

Certificate and a business management degree from Columbia Southern 

University.

Members of 1848 Capital Partners

Founded in 2006, 1848 Capital Partners is a Miami-based private equity firm 

focused on the acquisition and growth of middle market companies. Since its 

inception, the company and affiliated investors have invested over $250 

million of equity capital into, and on behalf of, its portfolio of companies. 

Currently, 1848 Capital Partners has five active portfolio companies 

including Jet Support Services, Inc., the world's largest independent provider 

of hourly cost maintenance programs for aircraft engines and airframes. Its 

three members co-founded 1848, and two of those members each hold a 50% 

voting and economic interest as it relates to the Eastern investment: 1

Joseph DaGrosa, Jr.

See biography above.

David Neithardt

Mr. Neithardt holds engineering and MBA degrees from Stanford and 

Dartmouth, respectively, and has had a 23-year career in corporate finance. 

Prior to co-founding 1848 Capital Partners, he served as interim Chief 

Financial Officer, Director of M&A, and member of the Board of Directors for 

Heartland Food Corp. and worked at Maplewood Partners and for Smith 

Barney Inc.’s corporate finance group.

 

1/ The third member, Mr. John Sicilian, has no economic interest or voting 

power with respect to Eastern, neither within 1848 Capital Partners nor any 

of its affiliates referenced in footnote 3.
Eastern

Certificate Application

Exhibit 1

Page 5

(g) Relevant corporations; persons having a substantial interest in the 

applicant.

As noted in the opening narrative, Eastern will circulate a Private Placement 

Memorandum, attached as Confidential Exhibit B, to raise a minimum of $9 

million and a maximum of $14 million (plus an additional $1.4 million to 

cover over-allotments) from accredited, private investors in return for a total 

of approximately 40% of Eastern’s voting common stock (assuming $14 

million is raised). Eastern’s only outstanding class of stock is voting, common 

stock. While the offering period is scheduled to end March 31, 2014 (unless 

extended by Eastern in its sole discretion to June 2, 2014), Eastern can end 

the offering earlier if the offering has been fully subscribed. 

Given the pendency of the private placement, Eastern will here describe the 

ownership structure intended to be in place when that investment closes. It 

will supplement this application with updated ownership information at that 

time.

At closing, assuming $14 million is raised, the largest single block of Eastern 

voting stock, estimated at 29.7%, will be held by 1848 Skyworks, LLC, an 

affiliate of and managed by 1848 Capital Partners. Another founding 

investor, Aviation Capital Partners Group, LLC (“ACPG”), will hold 

approximately 12.5%, Ed Wegel will hold 10%, and Admiral Owens will hold 

2%. 1848 Skyworks and ACPG have provided Eastern’s initial funding and 

support.2 While new, accredited, private investors will together hold 

approximately 36.4% of the voting stock, Eastern does not currently know 

whether any new investor will hold a substantial interest, i.e., 10% or more of 

Eastern’s outstanding voting stock. The remaining Eastern stock, less than 

10%, will be made available to Eastern managers and financiers as warrants 

or options. 

 

2/ That support includes the ACPG purchase of the intellectual property rights 

of Legacy Eastern, including all rights to the “Eastern” name, trademarks 

and related marketing phrases, from Legacy Eastern’s estate. ACPG has in 

turn transferred and assigned to Eastern these rights and other assets. 1848 

Skyworks LLC has expended funds for the general development costs related 

to the launch of the business, as well as the development of strategic plans, 

route analyses, and operating manuals, and for marketing surveys and other 

materials. 1848 Skyworks LLC has transferred and assigned these assets to 

Eastern.
Eastern

Certificate Application

Exhibit 1

Page 6

At the time of the closing, 1848 Skyworks LLC and ACPG will be managed by 

1848 Capital Partners and Edward Wegel, respectively. 1848 Skyworks LLC 

is owned by two companies managed by 1848 Capital Partners: 1848 

Aviation Partners, LLC (86.5% of 1848 Skyworks LLC) and 1848 Blueco, LLC 

(13.5% of 1848 Skyworks LLC). Seventy percent of 1848 Aviation Partners 

LLC is owned by 1848 Capital Partners, the managing member, and the 

balance is held by two employees of 1848 Capital Partners and an individual 

consultant to 1848 Capital Partners; all three individuals are U.S. citizens. 

The other investor in 1848 Skyworks LLC, 1848 Blueco LLC, has 1848 

Capital Partners as its managing member and is ultimately held by a group 

of 33 individual investors, only two of whom individually own more than 10% 

of the interests in 1848 Blueco LLC.

3

(h,i) Subsidiaries; ownership and control of other carriers or 

aeronautical enterprises.

Eastern has no subsidiaries and holds no interest in any other air carrier, 

foreign air carrier, common carrier, or person substantially engaged in the 

business of aeronautics.

(j,k) Financial statements.

As noted above, 1848 Skyworks LLC and ACPG have funded Eastern’s initial 

development activities. Eastern will submit updated financial statements to 

the Department during Eastern’s financing and certification process.

Eastern’s opening balance sheet, assuming the completion of the $14 million 

raise, is attached as Exhibit 5.

 

3/ All of the limited liability companies listed are structured in the same 

manner as corporations, with investors holding interests equivalent to 

shareholdings. ACPG, 1848 Capital Partners, 1848 Skyworks LLC, and 

Pitcairn Aviation LLC are Delaware LLCs. 1848 Aviation Partners LLC and 

1848 Blueco LLC are Florida LLCs.
Eastern

Certificate Application

Exhibit 1

Page 7

(l,m) Actions and outstanding judgments.

To Eastern's knowledge, there are no claims, lawsuits, or pending actions 

against Eastern, and neither 1848 Capital Partners nor its owners or the 

other key personnel identified herein have any actions or outstanding 

judgments to report under 14 C.F.R. § 204.3(l-m).

(n) Fleet information.

Eastern intends to begin passenger charter operations with a single, leased 

Airbus A320 aircraft and increase its fleet to three such aircraft within the 

first year. Such aircraft are readily available for lease, and Eastern has 

received proposals for delivery as early as summer 2014 in accordance with 

its certification timeline. Eastern will submit a copy of the safety affidavit 

required by 14 C.F.R. § 204.5(n)(3) when it submits final documentation for 

an effective Department certificate.

Eastern intends to rely on certificated, third-party maintenance and repair 

organizations for maintenance. The Chief Technical Officer will oversee all 

contracts for aircraft maintenance.

(o) Pending investigations, actions, or formal complaints filed by DOT 

or the FAA regarding compliance with Federal aviation laws or 

orders, rules, regulations, or requirements under those laws.

No pending investigations, enforcement actions or formal complaints have 

been filed against Eastern concerning compliance with Federal aviation laws. 

Further, to the carrier’s knowledge, neither 1848 Capital Partners nor its 

three owners or the other key personnel identified herein have any pending 

investigations, actions, or complaints to report under 14 C.F.R. § 204.3(o).

(p) Other charges.

To Eastern's knowledge, neither Eastern, 1848 Capital Partners, the latter’s 

owners, nor the other key personnel identified herein have had charges of 

unfair or deceptive or anticompetitive business practices, or of fraud, felony 

or antitrust violation, brought against them in the past ten years.
Eastern

Certificate Application

Exhibit 1

Page 8

(q) Aircraft accidents or incidents.

To Eastern's knowledge, neither Eastern, 1848 Capital Partners, the latter’s 

owners, nor the other key personnel identified herein have experienced 

aircraft accidents or incidents that occurred in the preceding year or that 

remain under investigation by the FAA or the NTSB. 

(r) Brief narrative history of the applicant.

To date, Eastern has not conducted any business, other than the development 

efforts described in this application, and is focusing on its certification as a 

charter air carrier.

(s) Federal, State, and foreign transportation authority.

Eastern has submitted the required Pre Application Statement of Intent to 

the South Florida Certificate Management Office ("CMO") and has 

held an initial informal meeting with the CMO. Eastern is awaiting word on 

the allocation of resources to its certification.

(t) Operating projections and a description of the service to be 

operated.

Eastern proposes to begin passenger charter operations with a single, leased, 

Airbus A320 aircraft. It will offer this aircraft for public and private charters 

in domestic and foreign markets.

Exhibit 6 includes forecast pre-operating expenses, forecast first-year 

expenses, and basic operating statistics for the proposed passenger charter 

operation, as well as forecast balance sheets for the first full year of 

operations. Projected revenue and a summary of the forecast are provided as 

Confidential Exhibit C. These exhibits were prepared under the direction of 

Mr. Wegel.

Eastern anticipates that it will offer most charters as "ACMI" contracts, 

under which charterers will be directly responsible for fuel costs.4/ To 

 

4/ Where, as here, a party other than the carrier is contractually responsible for 

certain operating expenses, the Department does not include those expenses 
Eastern

Certificate Application

Exhibit 1

Page 9

summarize its forecast, Eastern anticipates that its start-up costs related to 

passenger charter operations will be approximately $7 million and that in its 

first full year of operations, operating expenses will total approximately $19 

million.

The capital required for Eastern to complete certification, to conduct its 

initial services, and to meet the Department's financial fitness requirement --

totaling approximately $12 million -- will be provided through the private 

placement.

Eastern does not anticipate that its first full year of operations will result in 

a near-term net annual change in aircraft fuel consumption of 10 million 

gallons or more, and it has determined that adequate fuel is available for this 

service. To the extent the Department nonetheless concludes that grant of the 

requested authority would constitute a major regulatory action, Eastern

requests that the Department waive the requirement that an Energy 

Statement under 14 C.F.R. Part 313 be prepared.

(u) Montreal Agreement (relating to liability); family assistance and 

passenger manifest plans.

Eastern will file the required counterpart of the Montreal Agreement in 

Docket OST-1995-236, a family assistance plan in Docket OST-1996-1960, 

and a passenger manifest plan pursuant to Docket OST-1998-3305.

(v) Certification.

Attached as Exhibit 7.

 

in calculating financial reserve requirements. See, e.g., Dynamic Airways, 

LLC, Order 2010-9-17 at 5-6; Platinum Airlines, Inc., Order 2005-10-13 at 4; 

Primaris Airlines, Inc., Order 2004-7-8 at 2-3.







William Arthur Owens 

Professional Experience 

AEA Investors (Asia) Limited, Chairman 11/2009 - Present 

AEA Holdings Asia, Executive Chairman & CEO 11/2005 -11/2009 

Global private equity investment firm focusing on control buyouts in value-added industrial products, specialty 

chemicals, consumer products and services industries 

Nortel Networks Corporation, CEO & Vice Chairman 6/2004 - 11/2005 

Multinational telecommunications and data networking equipment manufacturer 

Teledesic, CEO & Chairman 10/1998 - 6/2004 

Developer of a worldwide broadband satellite communications network 

Science Applications International Corp., President, COO & Vice Chairman 3/1997 - 10/1998

Vice President for Government 6/1996 - 3/1997

Leading provider of scientific, engineering, and technology applications and solutions to security, energy, 

environmental, health and infrastructure markets throughout the world 

Board Representation 

Beginning 1996, served(s) as director on the boards of many public and private companies including Daimler, 

British American Tobacco, Telstra, Nortel, Polycom, Wipro, Viasystems and CenturyLink, of which last four are 

current. 

Professional Government Experience 

1994 – 1996: Joint Chiefs of Staff, Vice Chairman 

1990 – 1992: U.S. Sixth Fleet, Commander 

1991 – 1993: Naval Ops for Resources, Warfare Requirements & Assessments, Deputy Chief 

1998-1991: Office of the Secretaries of Defense, Sr. Military Assistant 

1998: Office of Program Appraisal for the Secretary of the Navy, Director 

1987: Submarine Group Six, Commander 

Awards/Achievements 

Intrepid Salute Award, recognition of business achievements and support of philanthropic activities 

Legion d’Honore Award, highest award given to foreign citizens by the countries of Indonesia and Sweden 

No. Dakota Citizen of the Year “Roughrider” & David Sarnoff Award for contribution to advanced technology 

Distinguished Graduate of George Washington University in recognition as one of “The 50 Most Powerful 

 People in Networking” by Network World 

100 Best Board Member in the United States for 2011 awarded by NACD 

Education 

B.S., mathematics from the U.S. Naval Academy 

M.S., politics, philosophy and economics from Oxford University 

M.S., management from George Washington University 

Publications 

Author of two books, "High Seas" and "Lifting the Fog of War", publ. in 2000 and in Mandarin in 2009 

Wrote more than 50 articles on national security 

Note Dates are approximate 

Edward J. Wegel 

Seasoned senior airline executive with over 28 years of experience in increasingly responsible 

positions from operations and finance executive to airline COO, airline CEO, and board 

member. Also possess extensive airline investment banking experience with a major Wall 

Street firm. Extensive corporate governance experience having served on the boards of several 

publicly traded as well as privately held companies. Served on the Board of Directors of four 

(4) airlines. Served as an airline merger/ acquisition advisor to major private equity and 

investment funds. 

Major Airline Management Experience

Senior Vice President/ Finance- Atlantic Coast Airlines (United Express) 

President and Chief Operating Officer- BWIA International Airways 

President and Chief Executive Officer- Chautauqua Airlines (USAirways Express) 

Major Airline Merger and Acquisition Experience (Highlights):

1991- Co-Negotiated acquisition of assets of West Air to create Atlantic Coast Airlines/ United 

Express at Washington-Dulles. Negotiated launch order for the BAe J-41 turboprop aircraft. 

1993- Negotiated acquisition of MartinAire, Dallas, a major feeder carrier for FedEx and UPS. 

Acquired 35 aircraft from Cessna as part of transaction 

1994- Negotiated and raised financing for the privatization of BWIA, the national airline of

Trinidad and Tobago. Created new alliances with American Airlines and British Airways. 

Renegotiated major bi-lateral agreements with 10 countries. 

1996- Conceived and developed business plan for PeoplExpressII. Negotiated potential major 

alliance with American Airlines 

1997- Conceived, developed and financed, then led the acquisition of Chautauqua Airlines and 

an order for Embraer RJs which became the platform for Republic Airways 

2000- Negotiated sale of Tower Air to Icahn and Associates 

2001- Negotiated potential acquisition of ATA Airlines, Indianapolis for major 

investment fund 

2003/2004- Lead negotiator for acquisition of Midway Airlines out of bankruptcy in an auction 

on behalf of a major US regional airline.
2007- Negotiated and closed acquisition of final remaining assets of the Eastern Air Lines estate 

Major Positions Held:

2008-Present Founder/President/CEO, Aviation Capital Partners Group, LLC 

and Founder, Eastern Air Lines Group, Inc (a development 

company)

Acquired the intellectual property of the estate and developed a plan to launch the new 

Eastern Air Lines 

2004-2008 Chief Restructuring Officer/ CEO, Chairman 

One Travel Holdings, Inc.

Led the restructuring thru bankruptcy and subsequent re-financing of

a publicly traded travel company with over $350 million in gross revenues 

- Negotiated new deals with all major US and foreign airlines and hotel groups 

- Negotiated new deals with WorldSpan, Travelport and Sabre 

- Raised $25 million in new equity to complete the restructuring 

1993- Founder and Managing Partner, Aviation Capital Partners LLC 

Present- Led acquisition team to acquire Martinaire, a cargo airline in Dallas, TX

- Adviser to Air Jamaica, Cayman Airways and eight other airlines on their 

restructuring plans 

- Adviser to major investment fund on possible acquisitions of North American Airlines

During this time also served (from December 2003- Feb 2005) as

EVP-Corporate Planning and Development 

Mesa Air Group, Inc.

- Led a ten member planning team that oversees all aspects of marketing, strategic, route

and fleet planning and corporate acquisitions 

- Negotiated and closed the acquisition of Midway Airlines with ten CRJ-200 aircraft 

- Opened discussions for potential new partnerships with Delta, Northwest, and ATA 

1999-2002 SVP , New York, SH&E (aviation consulting firm)

- Adviser to Clayton Dubilier on acquisition of Fairchild Dornier Aircraft 

- Adviser to Apollo Management on possible acquisition of American Trans Air 

- Adviser to the Board and Trustee of Tower Airlines on restructuring 

1997-1999 President and CEO, Member of the Board 

USAirways Express, Indianapolis

- Negotiated, raised $25 mm in equity and closed the acquisition of the airline 

- Signed new agreements with USAirways, acquired 30 regional jets valued at over $600 

mm. 

- Record profits in 1998 of $12 mm on $85 mm in revenue 
1995-1997 President and COO, Member of the Board 

BWIA International Airways, Trinidad

- Raised $20mm in equity to privatize this national airline- operating (5) L1011-500 and 

(8) MD-83 aircraft to 12 international destinations including London, Toronto and

Frankfurt 

- Developed the new business plan and grew the company, with major alliances with

American and British Airways. 

1991-1995 Co-Founder , Member of the Board and SVP-Finance 

Atlantic Coast Airlines (United Express)

- Helped grow the company from launch to $300 mm in revenues, 

- Coordinated the initial public offering in 1993 (Alex Brown), raised $25 mm in equity

and $250 mm in debt financings 

1987-1991 Vice President- Investment Banking Division 

Shearson Lehman Brothers

- Managed over $1 billion of the firm’s and limited partnership investments. 

- Served on the boards of Polaris Industries (publicly traded snowmobile manufacturer)

Houston Biotech (publicly traded) and MicroPalm Computers (private). 

- Managed two aircraft limited partnerships with over $500 million of commercial jet

aircraft 

1985-1987 Operations / Finance– Northeast Division Eastern Air Lines, Inc 

/ Pan American World Airways

1980-1985 US Army Officer

- Attained Rank of Captain- Two awards of Army Commendation Medal 

- Battalion Adjutant / Company Executive Officer in M1 Tank Battalion in Germany 

Education:

1980- BS-Engineering- United States Military Academy (West Point) 

1982- MBA-Finance- University of Northern Colorado, Greeley, CO
Stanley L. Saunders, Jr. 

SUMMARY 

Accomplished aviation industry leader with a record of superior performance in managing and 

leading complex, high technology organizations. Extensive experience in all aspects of Part 121 

Air Carrier management including: exercising operational control; regulatory compliance; budget 

development and execution; and, establishing and maintaining effective relationships with the 

Federal Aviation Administration. Recognized industry expert in Part 121 Air Carrier 

Certification. Demonstrated ability to recognize, assess, and address end-to-end operational and 

support requirements and lead teams in bringing complex concepts to reality. 

PROFESSIONAL EXPERIENCE 

LOCKED ON, INCORPORATED January 2010 – Present 

 Locked On, Inc. is a FAA Qualified Certification Consultant company. 

 Vice President Operations: Lead a team of industry experts providing consulting 

services to the Aviation industry with a specialization in Part 121 Air Carrier 

Certification and regulatory compliance. 

 Major Clients:

Spirit Airlines. Project Manager for the comprehensive overhaul of the airline’s 

manual system. 

Virgin Galactic. Provide principal consulting services for the creation of initial 

operating practices and manuals for the Spaceline. 

People Express Airlines. Project Manager for the Part 121 Certification effort for the 

startup Air Carrier. 

 Advisor to the FAA Center of Excellence for Commercial Space Transportation

AC3S, INCORPORATED March 2005 – Present 

 President: Provide critical leadership in coordinating and synchronizing business 

development activities with certification requirements to ensure optimum utilization of all 

resources and maximum reduction of startup costs. AC3S is a Service Disabled Veteran 

Owned Small Business. 

 Major Clients:

Hawaiian Airlines. Principal consultant for the addition of Airbus A330 Aircraft to the 

Operating Certificate. 

NetJets . Provide critical support and consulting services to facilitate transition to a new 

Maintenance Information System. Provide services to establish and validate baseline 

maintenance program requirements for sixteen aircraft fleet types deployed in US and 

European operations. 

Skybus Airlines: Certification Program Manager responsible for coordinating, 

scheduling and managing all aspects of the airline’s certification. Synchronization of 

business build out activities with certification requirements reduced start up costs in 
excess of 10 million dollars. Interim Director of Training creating pilot initial new hire, 

recurrent, upgrade and transition training curricula. 

MAXJET AIRLINES May 2004 – March 2005 

 Director of Operations/Chief Pilot: Duties include direct oversight of all operational 

aspects in the certification of a Part 121 Flag Air Carrier. Provide direction in the 

development of operating procedures that foster a positive working environment while 

meeting strategic business objectives and guaranteeing regulatory compliance. Manage 

vendor/supplier selection process for a myriad of critical products and services 

including Flight Crew Training, Electronic Flight Bag and multiple aircraft equipment 

and avionics upgrades.

 Initial Cadre Check Airman: Duties include creation and execution of Initial Cadre 

Check Airman training program. 

GEMINI AIR CARGO February 1998 – May 2004 

 Chief Pilot: Duties include management of 300 aircrew operating 12 DC-10 and 4 MD11 aircraft in worldwide ACMI, Charter and Wet Lease Operations. Principally 

responsible for the development and management of an $18 million Flight Operations 

Department personnel budget. Principal consultant to the executive management team 

for developing strategic manning plans and work rules to fit the business model. 

Responsible for the interviewing and hiring of all aircrew. Provided critical leadership 

and hands-on involvement in dealing with the myriad operational and security demands 

in the aftermath of 9-11. In the economic downturn following 9-11, designed and 

implemented work rule changes resulting in a 14% decrease in block hour operating 

costs without imposing a base wage reduction. 

 Check Airman DC-10-30F 

 Captain DC-10-30F 

UNITED STATES NAVY June 1973 – February 1998 

 Air Operations Officer, Commander, Carrier Battle Group FOUR. Responsible for the 

Air Operations Training, Evaluation and Certification of all Atlantic Fleet Carrier Battle 

Groups and their embarked Carrier Air Wings. Principal adviser to the Battle Group 

Commander, responsible for assessing the efficiency and safety of all carrier flight 

operations. Provided in-depth assessment in the air and on the ground of all Carrier and 

Air Wing integration and operational issues critical to the combat readiness of all Atlantic 

Fleet Carrier Battle Groups. Gained extensive experience in “tooth-to-tail” assessment 

and critical node identification in the intricacies of supporting a combat fighting team. 

Instrumental in the successful development and implementation of a Joint Forces Air 

Component Commander (JFACC) afloat capability in U.S. Navy aircraft carriers and 

command and control vessels. Developed comprehensive plans and orchestrated all 

aspects of incorporating a JFACC aboard carriers and command and control vessels 

including hardware, Information Technology, personnel and all logistic support 

requirements 

 Commanding Officer, Fighter Squadron One Hundred Three. Responsible for the 

operational readiness of the Atlantic Fleet’s first, 14-plane, F-14B Squadron. Directly 

responsible for the safety, welfare and professional development of over 400 aviators, 

maintenance, ground support and administrative personnel assigned to the squadron. 

Managed an annual flight hour operating budget in excess of $6M meeting or exceeding 

all operational requirements without ever exceeding a budget limitation. Devised and 
conducted the first fleet demonstration of precision guided munitions delivery from the 

F-14B. Overwhelming success of the demonstration accelerated the fleet introduction of 

a fully integrated precision-guided munitions delivery capability. 

 Aide and Special Assistant to the Chief of Naval Personnel/Combat Placement 

Officer, Bureau of Naval Personnel. Principal assistant to the Chief of Naval Personnel. 

Personnel manager for all U.S. Navy Fighter Squadrons. Responsible for ensuring proper 

fleet-wide officer manning levels and for managing the career-path development for over 

900 aviators and aviation support officers. 

 Landing Signal Officer (LSO): Staff, Training, Wing, and Squadron qualified LSO. 

Responsible for the safe and expeditious landing of fixed-wing aircraft aboard the aircraft 

carrier, training of squadron and air wing pilots in preparation for extended deployment, 

and the initial carrier qualification of student Naval Aviators and F-14 replacement pilots. 

 F-14 Pilot: Duties include Operations Officer, Maintenance Officer, Air Wing Strike 

Team leader, Division Lead, Fleet Model Manager, F-14 Fleet Replacement Instructor 

Pilot, Adversary Pilot, Strike Flight Instructor Pilot. 

Operational Tours: Six extended and numerous shorter deployments encompassing 8.5 

cumulative years deployed to the Mediterranean Sea, Adriatic Sea, North Atlantic Ocean 

and Indian Ocean embarked in 16 different US Navy Aircraft Carriers. Logged in excess 

of 1000 carrier arrested landings. 

Honors and Awards: Meritorious Service Medal (two awards), Strike Flight Air 

Medal, Navy Commendation Medal, Navy Achievement Medal, 1990 Atlantic Fleet 

Carrier Aviator of the Year, 1990 Fighter Pilot of the Year, US Navy Fighter Weapons 

School (TOPGUN) graduate, US Air Force Air Command and Staff College Air Power 

Projection graduate. 

PROFESSIONAL QUALIFICATIONS 

Airline Transport Pilot: Airplane Multiengine Land, 

Type Ratings: DC-10, B767/757 

Total Flight Hours 6,151 

Pilot-in-Command 4,579 

Instructor 610 

Second-in-Command 962 

Multiengine 4,915 

EDUCATION 

United States Naval Academy, Annapolis, Maryland 

Bachelor of Science - Analytical Management and Engineering Technology June 1977 

REFERENCES

Furnished upon request 
JAMES R. TOLZIEN

PROFESSIONAL EXPERIENCE 

Sunbelt Diversified Enterprises, LLC, Miami, Florida 2007 - Present 

$50 million private equity backed holding company specializing in acquiring, growing, and 

professionalizing small businesses in the Southeast 

Operating Partner/CEO (2007-Present) 

 Directly managed all aspects of the company, including portfolio performance, lender 

relationships and compliance, investor communications, and financial reporting 

 Provided hands-on management of operating subsidiaries through portfolio-level CEOs, 

developed financial reporting processes to supplement corporate governance guidelines 

 Led two debt restructuring projects, including negotiations and analysis, documentation 

and implementation, and follow-up communications with lenders and investors 

 Supervised business development program which incorporated all leads on new 

investments, prospective lenders, and potential deal flow 

 Directed all acquisition activities inside the portfolio, including negotiations, investor 

communication and approval, due diligence, and operational integration 

Around The World Travel, Inc. (d/b/a TraveLeaders), Coral Gables, Florida 2000 – 2007

$300 million corporate travel management company with 40 offices and 400 employees in 10 

states, providing full service travel consultation to large corporations including personal and online reservation services, policy implementation and enforcement, vendor negotiations and 

special services, and real time monitoring and reporting. 

President (2003-2007) 

 Turned $2.5 million loss into $2 million profit in two years 

 Closed 7 offices and consolidated non-revenue-generating functionality, eliminated two 

layers of management, installed local management cost controls and reporting processes 

 Revitalized sales and new account implementation functions, doubling new client sales 

and cutting implementation time by 30% 

 Implemented incremental revenue streams, driving per transaction revenue up by 10% 

 Reorganized traveler service processes, including quality surveys and focus groups, 

resulting in 15% improvement in satisfaction ratings 

Chief Financial Officer (2000-2003)

 Led acquisition negotiation, due diligence and post-close integration of 20 small to 

medium sized companies in 14 months 

 Totally revamped senior management team from inherited former owners to functional 

experts in the industry 

 Consolidated a wide variety of legacy computer systems, including all management and 

financial information reports and controls, converted to state-of-the-art system 

 Directed post “9/11” cost reductions, closing 8 offices and reducing staff by 35% in less 

than 30 days 

 Re-negotiated $40 million in debt out of default 
JAMES R. TOLZIEN

Page Two 

Dancing Bear Investments, Fort Lauderdale, Florida 1997 – 1999

Private investment vehicle with over $100 million invested in early-stage businesses focused on 

internet-based marketing/sales delivery systems in travel, automobile sales, and personal 

communications 

Operations, Finance Director for portfolio companies 

 Initiated coordinated strategic planning across all companies, establishing crossmarketing and joint sales capabilities 

 Created formalized management processes, reviews and controls with standardized 

reporting of key financial results and metrics 

 Upgraded call center personnel, MIS reporting, and productivity analyses 

 Conducted customer focus groups, streamlined and re-focused sales and marketing in 

conjunction with preferred vendor performance thresholds 

 Directed cost reduction efforts across the portfolio, including office closings and 

centralized administrative functions 

Alamo Rent a Car, Fort Lauderdale, Florida 1996 – 1997

$1.5 billion in annual sales, providing global car rental services through a network of 300 

company-owned offices and 11,000 full time staff, ranking 5th in US market share 

Senior Vice President, North American Operations (1997) 

 Directly responsible for all North American operations through 6 officer-level direct 

reports and staff functions for vendor relations and new product development 

 Revamped organization structure to de-centralize and stream-line decision making, 

created regional profit improvement meetings with peer group incentive structure 

 Installed J. D. Powers-developed customer service monitoring system, drove complainthandling to location level resulting in reduced costs and improved turnaround time 

 Achieved $30 million profit improvement, 20% customer service improvement 

Vice President, Finance (1996)

 Directed centralized accounting function for all global operations through 11 directorlevel professionals and highly developed main frame accounting system 

 Reorganized accounting staff, implemented new SEC reporting function to focus on 

significant audit findings from previous years 

 Redesigned all internal management information reports, created new planning and 

analysis department to highlight and monitor actionable variances 

 Led financial component of sale of company to AutoNation, including negotiation 

support, due diligence and post close financial integration 

Commonwealth Capital Partners, New York, Fort Lauderdale 1992 - 1995

Private investment fund with approximately $90 million of equity investments focused on 

turnaround opportunities in media and entertainment-related companies 

Regional Director for portfolio companies, including Fred Astaire Dance Studios

 Upgraded financial reporting systems, initiated product line profitability analyses 

 Renegotiated independent contractor agreements, improved productivity controls 

 Sold, refranchised, or closed unprofitable locations, reduced corporate overhead 

 Directed due diligence, negotiations, and post-close integration of companies 
JAMES R. TOLZIEN

Page Three 

Budget Rent a Car Corporation, Chicago, Illinois 1976 - 1992

$1.2 billion in annual sales, providing global car rental services through a network of 400 

company-owned and franchised offices, ranking 4th in US market share 

Executive Vice President, Chief Financial Officer (1990-1992)

 Managed $3B debt portfolio, created $800M bank syndicate for special purpose funding 

 Revamped risk management area, including self-insurance and in-house claims function 

 Financially and organizationally restructured international operations 

 Drove comprehensive margin improvement program, $50 million cost savings 

Senior Vice President, Strategic Planning (1988-1990) 

 Created “bottom up” planning function, tied to financial results and incentive programs

 Directed new value add product R&D, including navigation systems, counter sales 

 Coordinated all elements of management reporting system to new owners (Ford) 

Vice President, Corporate Controller (1982-1988) 

 Managed financial aspects of campaign to re-purchase roughly 50 previously franchised 

locations, including negotiations, due diligence, and post-close integration 

 Led all accounting and financial aspects of LBO from Transamerica, subsequent IPO 

 Handled negotiation support, due diligence for sale of public company to Ford 

Controller (1976-1982) 

 Decentralized accounting systems and controls to large regional centers, established and 

directly supervised detailed internal audit review program 

 Coordinated all financial, management reporting processes with parent (Transamerica) 

Ernst & Ernst (now Ernst & Young), Chicago, Illinois 1972 - 1976

Typical “Big 8” experience, standard audit responsibilities, outstanding performance reviews, 

annual promotions, left firm as Supervising Senior Auditor – clients included Weiman Furniture, 

White Farm Equipment, Bowne Printing, University of Notre Dame, and Budget Rent a Car 

EDUCATION - BS Accounting from University of Illinois, June 1972 - CPA, November 1972 

AFFILIATIONS - American Institute of Certified Public Accountants, Financial Executives 

Institute, Presidents Council-University of Illinois, St. Thomas Aquinas Foundation 
 Daniel Stone 

Executive Summary

Aviation executive whom worked in the airline and MRO venues. Held Senior positions 

such as Executive Vice President, Chief Operating Officer, Vice President of Maintenance 

and Engineering, Director, Fleet Reliability Manager. Leadership positions with companies 

such as EADS, Kitty Hawk Air Cargo, Air Jamaica, Fairchild Dornier, Northwest Airlines 

and RSC INC. 

EDUCATION 

Bachelor of Science in Business Administration, Columbia Southern University 

“Lean MRO Management” University of Tennessee 

LICENSES 

FAA, Airframe and Power Plant License 

“I.C.A.O. ” Aircraft Maintenance Engineer’s License, 

RSC Inc. 2006 Present 

 

 Consulting services for third party MRO, Airlines and Aircraft Leasing Companies. 

Projects included creation of General Engineering Maintenance Manual, Quality manuals 

and advisement in obtaining Airline Operating Certificate (AOC) for start up International 

airline. Direction to MRO Company in expanding their third party Line Maintenance 

business and developing processes to control cost at their Heavy Maintenance division. 

Evaluations for lease returns, maintenance program development, managing heavy 

checks, performed surveys for potential equipment purchases. Project Management of: 

Passenger to Cargo Door Conversions, Damage Restoration, Interior Upgrade projects. 

Partial list of Cliental: ASL Leasing, Safair Airlines, CAS, Jet Lease, Aurora Leasing, Trans 

Caribbean Airlines, RPK Leasing, Delta Airlines, GO GO, Certified Aviation Services, Top 

Tech Aviation. 

EADS, Airframe Services, USA 

 Executive Vice President and Chief Operating Officer 2004-2006

 

Responsible for the direct management and administration of an airframe MRO 

maintenance facility. Lead a staff of three hundred plus work force, with focus on 

quality, turn around time and P & L responsibility. 

Kitty Hawk Air Cargo Inc. 

 Vice President Maintenance an Engineering 2003-2004 

 

Company’s Chief Aircraft Maintenance Officer responsible for the direct management and 

administration of all aircraft maintenance activities related to the Kitty Hawk Airline fleet. 

Functions included: oversight of Engines, Line Maintenance, Planning, Engineering, 

Purchasing, Stores and contract negotiations for heavy maintenance of airframe and 

engine work scopes. 
Air Jamaica Airline, Jamaica W. I. 2001-2003

Vice President Technical Services 

Leader of this Caribbean airline maintenance organization with operating budget of $80M 

dollars and 400 related employees. Activities include aircraft operations, line 

maintenance and engineering, out-sourcing of heavy maintenance checks, contract 

negotiations, and facilities maintenance system wide. 

Fairchild Dornier Aerospace, San Antonio, TX 1999-2001 

Vice President Fairchild Aerospace, Maintenance and Field Support 

Recruited to this privately owned regional jet manufacturer, as Vice President 

Maintenance and Field Support, to provide technical and commercial assistance to 

Fairchild Dornier aircraft customers. Lead teams from eight countries, with a budget in 

excess of $16 million dollars with major operations in Germany, China, and MRO 

operation in the USA. 

Northwest Airlines 1989-1999 

 

Director, Aircraft Line Maintenance 

Director of Northwest Airlines’ Memphis hub, with 130 maintenance employees. 

 Responsible for maintaining an operation to support 125 daily flights. 

 Improved Memphis performance and became the No. 1 on-time hub operation. 

 Won the NWA 1998/1999 Maintenance Station of the Year Award. 

Fleet Reliability Manager 

Responsible for MD 80/DC9 fleet reliability, identifying and prioritizing fleet reliability 

issues that impacted on-time performance, completion factor, air turn backs and reduced 

maintenance cost. 

 Initiated required maintenance program changes, managed changes in processes 

and procedures for engines, components, engineering and line maintenance 

organizations. 

 Made recommendations to Senior Management, along with presentations to the 

Reliability Control Board for enhancements of fleet performance. 

Program Manager, Aircraft Commissioning 

Managed the operational program to standardize the purchase of used aircraft to be 

integrated into the Northwest fleet. This program involved management of NWA teams 

and engineering in five separate MRO modification centers throughout the U.S. and 

Canada to produce production results to meet an aggressive schedule. Schedule was 

completed in established time frame and finishing under proposed budget. 

LEAD PROJECT MANAGER (1992-1994)

Managed the integration of twenty-one used aircraft into the Northwest fleet within site budget. 

 Partnered with vendors to enhance relationships improving the quality of work. 

 Coordinated vendor training to ensure vendor met or exceeded Northwest Airlines policies, procedures 

and standards. 

Aircraft Technician (1989-1992)
Eastern Airlines 1968-1989

Lead Aircraft Mechanic (1985-1989)

Aircraft Technician (1968-1985) 

. 
DAVID W. NEITHARDT

 

EXPERIENCE:

2003-Present 1848 CAPITAL PARTNERS LLC

Founding Partner Miami, FL

 Co-founded and presently co-manage this private equity firm focused on making investments in the middle market, 

primarily though backing strong management teams in buyout situations or launch mode. 

 Since inception, invested and managed over $250 million in personal and investor and portfolio company capital.

 Major businesses include: 

 Heartland Food Corp. – Burger King Franchisee. 

 Jet Support Services, Inc. – Largest independent provider of hourly cost maintenance programs to the business 

aviation industry. 

 Big Apple Entertainment Partners, LLC – Owner/operator of the Ripley’s Believe It or Not! Attraction in Times 

Square. 

 Brazil Tower Company, LP – Communications tower developer focused on the rapidly-growing Brazilian 

communications industry. 

2001-2003 CLOUD 9 CONSULTING LLC Miami Beach, FL 

Managing Member 

 Founder and controlling member of hospitality development and restaurant holding company. 

 Dolce Vita Gelato Café – managed the financing, build out and concept development of this original-concept gelato 

café in Miami Beach; sold minority ownership interest one year after opening. 

 Novecento Bistro – purchased existing bakery-café to secure prime real estate, arranged financing and managed the 

conversion/build out of this popular Miami Beach restaurant; sold minority ownership interest. 

2000-2001 CIRCLE 5 TECHNOLOGY, INC. Miami Beach, FL 

President 

 Founder and controlling shareholder of software development company focused on the development of information 

technology solutions for the hospitality industry. 

 Responsible for new client development, the formulation of project requirements with clients, strategy formulation 

and general administration of the business. 

1999-2000 MAPLEWOOD PARTNERS LP Miami, FL 

Associate 

 Participated in the start up of this first-time private equity fund focused on middle market buyouts in the southeast 

U.S.; final closing of $145 million occurred in May 2000. 

 Work included due diligence; market research; returns, sensitivity, and add-on acquisition valuation analysis; LBO 

and merger modeling; coordination of transaction teams; portfolio company monitoring; and preliminary analysis 

and screening of investment opportunities. 

1998-1999 GLOBAL ENVIRONMENT FUND LP Washington, DC 

Strategy Consultant 

 Developed a business plan for this private equity firm’s expansion into the U.S. market.

 Created a financial model to project returns for the Atlantis Water Fund LP, one of the firm’s five private equity 

funds. 

1997 WILLIAM E. SIMON & SONS Morristown, NJ 

Summer Associate, Private Equity Group

 Worked with six professionals in the firm’s Private Equity Group, which manages the equivalent of a $250 million 

fund. 

 Conducted extensive industry research; created LBO and merger models; performed return, sensitivity and valuation 

analysis. 

 Created a database of business intermediaries to increase deal flow. 

SMITH BARNEY INC. Los Angeles, CA 

1994-1996 Associate, Corporate Finance Division

 One of three analysts promoted to associate firm-wide in 1994. 

 Managed equity and debt financing projects in the public and private markets; supported the execution of mergers 

and acquisitions. 

 Represented the firm in due diligence meetings, prospectus drafting sessions and an array of client presentations; 

created and coordinated the execution of business solicitation presentations. 

 Completed a $75 million public equity offering for K2 Corporation, a leading sporting goods manufacturer. 

 Executed approximately ten transactions with aggregate dollar proceeds of over $1.5 billion. 
DAVID W. NEITHARDT

 

1991-1994 Financial Analyst, Corporate Finance Division 

 Provided quantitative and analytical support for corporate finance transactions. 

 Developed complex operational and financial models to determine enterprise valuation and project feasibility. 

 Researched companies and their performance relative to their industries. 

EDUCATION:

1996-1998 THE AMOS TUCK SCHOOL, DARTMOUTH COLLEGE Hanover, NH

Master of Business Administration

 General management curriculum, finance focus. 

 Active in Private Equity Club, Finance Club, Intramural Soccer and Rugby. 

1987-1991 STANFORD UNIVERSITY Palo Alto, CA 

Bachelor of Science, Industrial Engineering

 Emphasis on production and operations management, financial decision making, engineering risk analysis and 

organizational theory. 

 Varsity gymnastics team. 

OTHER INFORMATION: 

 Fluent in Spanish. 
Eastern Air Lines Group, Inc.

Opening Balance Sheet

($) Opening

Current Assets

Cash on Hand 12,455,000

Restricted Cash (Deposits) -

Restricted Cash (Credit Card Holdback) -

 Total current assets 12,455,000

Fixed Assets 70,000

Intangible Assets 600,000

Financing Fees 925,000

Total Assets 14,050,000

Current Liabilities

Accounts Payable 62,500

Accrued Expenses -

Unearned Passenger Revenue -

 Total current liabilities 62,500

Senior Debt -

Subordinated Debt -

 Total liabilities 62,500

Equity 15,385,000

Income (Loss) (1,397,500)

 Total Equity 13,987,500

Total Liabilities and Equity 14,050,000
Start Up Costs 2014 2014 2014 2014 2014 2014 2014 2014 2014 2014 2014 2014

January February March April May June July August September October November December Total

Start Up SummaryExpenses $1,071,400 $221,400 $221,400 $269,250 $269,250 $269,250 $299,500 $299,500 $299,500 $333,600 $1,126,250 $1,366,900 $6,047,200Deposits etc. $375,000 $25,000 $25,000 $25,000 $375,000 $25,000 $25,000 $25,000 $375,000 $25,000 $100,000 $100,000 $1,500,000Monthly Total $1,446,400 $246,400 $246,400 $294,250 $644,250 $294,250 $324,500 $324,500 $674,500 $358,600 $1,226,250 $1,466,900 $7,547,200Cumulative Total $1,446,400 $1,692,800 $1,939,200 $2,233,450 $2,877,700 $3,171,950 $3,496,450 $3,820,950 $4,495,450 $4,854,050 $6,080,300 $7,547,200Approximate Start Up Scenario

CEO 1 20000 20000 20000 20000 20000 20000 20000 20000 20000 20000 20000 20000 20000 20000Flight Ops 2 10000 20000 10000 10000 10000 20000 20000 20000 20000 20000 20000 20000 20000 20000

2 5000 10000 0 0 0 0 5000 5000 5000 10000 10000 10000

Maintenance 2 10000 20000 10000 10000 10000 20000 20000 20000 20000 20000 20000 20000 20000 20000

1 5000 5000 0 0 0 0 5000 5000 5000 5000 5000 5000

Marketing 1 10000 10000 10000 10000 10000 10000 10000 10000 10000 10000 10000 10000 10000 10000

1 5000 5000 0 0 5000 5000 5000 5000 5000 5000 5000 5000 5000

Ground Ops 1 10000 10000 0 0 10000 10000 10000 10000 10000 10000 10000 10000 10000

1 5000 5000 0 0 0 0 5000 5000 5000 5000 5000 5000

Finance 1 10000 10000 10000 10000 10000 10000 10000 10000 10000 10000 10000 10000 10000 10000

2 5000 10000 0 0 0 0 5000 5000 5000 10000 10000 10000

Systems 1 10000 10000 10000 10000 10000 10000 10000 10000 10000 10000 10000 10000 10000 10000

2 5000 10000 0 0 0 0 5000 5000 5000 10000 10000 10000

Admin 1 10000 10000 10000 10000 10000 10000 10000 10000 10000 10000 10000 10000 10000 10000

3 5000 15000 0 0 10000 10000 10000 10000 10000 10000 15000 15000 15000

22 170000 64000 64000 64000 100000 100000 100000 120000 120000 120000 136000 136000 136000

Expenses 20000 5000 5000 5000 10000 10000 10000 15000 15000 15000 20000 20000 20000Office 20000 5000 5000 5000 7500 7500 7500 10000 10000 10000 20000 20000 20000

201000 74000 74000 74000 117500 117500 117500 145000 145000 145000 176000 176000 176000

Contingency 20000 7400 7400 7400 11750 11750 11750 14500 14500 14500 17600 17600 17600

221000 81400 81400 81400 129250 129250 129250 159500 159500 159500 193600 193600 193600 $1,691,250

Legal/Professional 40000 40000 40000 40000 40000 40000 40000 40000 40000 40000 40000 40000 40000 $480,000DOT Consultants 80000Expenses 20000

100000 100000 100000 100000 100000 100000 100000 100000 100000 100000 100000 100000 100000 $1,200,000

CrewsCaptains 10 8500 85000F/Os 10 6000 60000F/As 40 3000 120000Sked/Dispatch 5 5000 25000Maintanance 5 5000 25000

315000 252000 252000 $504,000

Training 300000 300000 $600,000Training Flights 45 $3,683 $165,750 $55,250 $110,500 $165,750Aircraft 175000 525000 175000 350000 $525,000Insurance - Hull 10400 31200 10400 20800 $31,200Financing Costs 850000 850000TOTAL EXPENSES $1,071,400 $221,400 $221,400 $269,250 $269,250 $269,250 $299,500 $299,500 $299,500 $333,600 $1,126,250 $1,366,900 $6,047,200Aircraft Deposits 6 175000 1050000 350000 350000 350000 $1,050,000Other 25000 25000 25000 25000 25000 25000 25000 25000 25000 25000 100000 100000 $450,000TOTAL DEPOSITS $375,000 $25,000 $25,000 $25,000 $375,000 $25,000 $25,000 $25,000 $375,000 $25,000 $100,000 $100,000 $1,500,000

$1,446,400 $246,400 $246,400 $294,250 $644,250 $294,250 $324,500 $324,500 $674,500 $358,600 $1,226,250 $1,466,900 $7,547,200

Start Up SummaryExpenses $1,071,400 $221,400 $221,400 $269,250 $269,250 $269,250 $299,500 $299,500 $299,500 $333,600 $1,126,250 $1,366,900 $6,047,200Deposits etc. $375,000 $25,000 $25,000 $25,000 $375,000 $25,000 $25,000 $25,000 $375,000 $25,000 $100,000 $100,000 $1,500,000Monthly Total $1,446,400 $246,400 $246,400 $294,250 $644,250 $294,250 $324,500 $324,500 $674,500 $358,600 $1,226,250 $1,466,900 $7,547,200Cumulative Total $1,446,400 $1,692,800 $1,939,200 $2,233,450 $2,877,700 $3,171,950 $3,496,450 $3,820,950 $4,495,450 $4,854,050 $6,080,300 $7,547,200
Income Statement 2015 2015 2015 2015 2015 2015 2015 2015 2015 2015 2015 2015 Annual

January February March April May June July August September October November December

Positioning Block Hours 30 30 30 30 30 30 45 45 45 45 45 45 450Positioning Flights 10 10 10 10 10 10 15 15 15 15 15 15 150Revenue Block Hours 400 400 400 400 400 400 600 600 600 600 600 600 6000Revenue per Block HourTotal Revenue

0

Start Up Expenses $100,000 $100,000 200000Operational ExpensesAircraft $350,000 $350,000 $350,000 $350,000 $350,000 $350,000 $525,000 $525,000 $525,000 $525,000 $525,000 $525,000 5250000Crew $214,000 $214,000 $214,000 $214,000 $214,000 $214,000 $321,000 $321,000 $321,000 $321,000 $321,000 $321,000 3210000

Maintenance $300,000 $300,000 $300,000 $300,000 $300,000 $300,000 $450,000 $450,000 $450,000 $450,000 $450,000 $450,000 4500000Insurance $49,200 $49,200 $49,200 $49,200 $49,200 $49,200 $73,800 $73,800 $73,800 $73,800 $73,800 $73,800 738000Positioning - Block Hour $126,240 $126,240 $126,240 $126,240 $126,240 $126,240 $189,360 $189,360 $189,360 $189,360 $189,360 $189,360 1893600Positioning - Flight $10,000 $10,000 $10,000 $10,000 $10,000 $10,000 $15,000 $15,000 $15,000 $15,000 $15,000 $15,000 150000Corporate $250,000 $250,000 $250,000 $250,000 $250,000 $250,000 $275,000 $275,000 $275,000 $275,000 $275,000 $275,000 3150000Total Expenses $1,299,440 $1,299,440 $1,299,440 $1,299,440 $1,299,440 $1,399,440 $1,849,160 $1,849,160 $1,849,160 $1,849,160 $1,849,160 $1,949,160 19091600

Pre Interest Profit / LossInterestNet Profit / Loss

Balance Sheet

Current AssetsCash on Hand 6710900Deposits 2550000Fixed Assets (EAL Brand) 600000

9860900

LiabilitiesCurrent 0Long Term Debt 0Common Equity 14000000Income/Loss -4138800

9861200
Eastern Air Lines Group, Inc.

Charter Operations

Key Assumptions

Base Miami (MIA)

Funding

New Investors (Common) January 1, 2014 $14,000,000

Financing Costs $850,000

EAL Trademark - Asset Purchase $675,000

Start Up Period January 1, 2014

Revenue Operations January 1, 2015

Aircraft Assumptions

Aircraft A 320

Seating Configuration 170

Monthly Lease Rate $175,000

Aircraft Intake

Aircraft 1 November 1, 2014 1

Aircraft 2 December 1, 2014 2

Aircraft 3 July 1, 2015 3

Operational Assumptions

Monthly Revenue Flying 200 hours per aircraft 

Monthly Non Revenue Flying 15 hours per aircraft 

Average Trip Length (Miles) 1100 statute miles

Average Block Time 3 hours per trip 

Revenue Assumptions

ACMI Block Hour Charge Rate

Cost Assumptions

Start Up Costs As Shown on Start Up Page 

Aircraft Monthly Lease Rate $175,000 per aircraft

Cockpit Crew per block hour

Cabin Crew per block hour

Maintenance $750 per block hour

Insurance - Hull $52 per block hour

Insurance - Liability $71 per block hour

Fuel Consumption 800 gallons per block hour

Fuel Cost $3.50 per gallon

Landing - Airport Fees $1,000 per flight

Positioning Flights per Block Hour $4,208

Positioning Flights per Flight $1,000

Corporate Overhead $250,000 /mo + $ 25K/mo for each add'l aircraft after 2.