Monday, June 17, 2013

Representatives of Freedom Air appeared before the Commonwealth Ports Authority board on Friday to ask for consideration on its existing debt with the agency, totaling $1.2 million to date.

Freedom Air owner Jack Flores, along with legal counsel Steve Carrara and general manager Dennis Cruz, stressed that the company remains committed to the Commonwealth and fully intends to survive the challenges and difficulties it currently faces.

Flores disclosed that the airline will celebrate its 40th year anniversary in November next year.

He cited the decline in the number of local travelers and the shaky economy as factors that have hampered the ability of the company to meet its obligations on time.

In the past few years, we have our ups and downs. The economy is not good anymore and people are not traveling like before. But we intend to keep going, he told the board.

Acting CPA executive director MaryAnn Lizama confirmed Friday that Freedom Air has accumulated $1.2 million in unpaid obligations since 2011.

She said the airline company was given consideration in recognition of the critical services it provides to the three islands. The board approved Friday a recommendation for Lizama to go back to the negotiation table on the issue with Freedom Air.

We're going back to the negotiation table and we will be ensuring a mutual payment plan, Lizama told Saipan Tribune.

According to Carrara, times have been tough for the air carrier and its aircraft had been down for a few months due to engine troubles and maintenance issues. The lack of operational funding needed to maintain and procure replacement parts has hampered the continuous operation of the firm.

Original post:

Freedom Air incurs $1.2M debt with CPA