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1972 - January DOT Ord. & Dec. [1] (January, 1972)

handle is hein.usfed/dotod0664 and id is 1 raw text is: Order Tc- 1 UNITED STATES OF AMERICA CIVIL AERONAUTICS BOARD WASHINGTON, D.C. Adopted by the Civil Aeronautics Board at its office in Washington, D.C. on the 3rd day of Januury, 1972 Application of CARIBBEAN-ATLANTIC AIRLINES, INC. : Docket 22691 AND EASTERN AIR LINES, INC. for approval of extension of the Interim Management Agreement. ORDER EXTENDING APPROVAL Caribbean-Atlantic Airlines, Inc. (Caribair) and Eastern Air Lines, Inc. (Eastern) jointly request approval, under section 412 of the Federal Aviation Act of 1958, as amended, (the Act) of an amendment to the Interim Management Agreement between Caribair and Eastern 1/ extending the effec- tive date of such agreement to January 31., 1972. 2/ In addition, the applicants request concomitant extension of the Board's approval under section 408 of the Act of the temporary acquisition of control of Caribair by Eastern as a result of the terms of the agreement during the same period. The parties allege that further extension of the agreement, under which Eastern furnishes Caribair with financial, technical and manage- ment assistance and personnel, is the only means by which the collapse of Caribair and the discontinuance of essential services can be avoided. The parties have furnished the following updated financial information similar to that required by Order 71-6-145: Eastern will have advanced to Caribair by December 31, 1971, a total of $1,770,000 in cash, goods, and services and this amount will be increased during January by $325000 3/ 1/ Approved by Order 70-11-142, November 27, 1970. 2/ The Interim Management Agreement was scheduled to expire, by its own terms, on June 30, 1971. At the request of the parties amendments to the agreement extending it from June 30, 1971 to September 30, 1971, and by month thereafter were approved by Orders 71-6-145, June 29, 1971; 71-10-2, October 1. 1971; 71-11-7, November 1, 1971; and 71-12-5, December 1, 1971. 3/ This amount includes $200,000 for cash advances originally projected for November, plus $125,000 of charges for January requirements.