Gulf & Caribbean Cargo, Inc. d/b/a Gulf & Caribbean Air d/b/a IFL Group

Order 2006-1-15
OST-1996-1023 - Amendment to Its Certificate of Public Convenience and Necessity
OST-1996-1071 - Interstate and Overseas Scheduled Air Transportation

Issued and Served January 19, 2006

Order Confirming Oral Actions and Reissuing Certificates - Bookmarked

By this order, we (1) confirm our oral action of January 11. 2005, making the authority of Gulf & Caribbean Cargo, Inc. d/b/a Gulf & Caribbean Air d/b/a IFL Group to operate large aircraft in interstate and foreign scheduled air transportation of property and mail effective on that date, (2) reissue its interstate and foreign scheduled certificates to reflect this authority (3) authorize the carrier to operate up to five large aircraft in all‑cargo operations.

On October 13, 2004, G&CC requested that the Department make its certificate authority effective for large aircraft. G&CC stated that it sought to dissolve an affiliated Part 125 operator, CAC, and transfer two B-727 and three Convair 5800 aircraft previously held by CAC to G&CC. G&CC provided a forecasted income statement based on its first year of all-cargo operations using five large aircraft. G&CC also provided a list of the pre-operating expenses associated with adding the five aircraft to its FAA operating specifications. G&CC stated that it would incur approximately $1.8 million in pre-operating expenses and first year operating expenses of approximately $10,067,000. We found these projections to he reasonable and concluded that G&CC would need access to approximately $4.3 million to meet the requirements of our financial fitness test. On January 5, 2005, G&CC provided third-party verification that it had access to funds in excess of that amount.

By: Todd Homan