AAVG news out today
AvStar Aviation Group, Inc. Releases Company Activity Update
HOUSTON, Feb. 27, 2012 /PRNewswire/ -- AvStar Aviation Group, Inc. (AvStar) (OTCQB: AAVG) today released the following company activity update.
DOT Commuter Authority -A competitor of Twin Air Calypso Limited lodged a complaint with the FAA, which was forwarded to the DOT, alleging that we were exceeding our "on-demand" authority regarding the number of times we flew to the destinations of Marsh Harbour and Treasure Cay on the island of Abaco. The validity of the allegation hinged on what constitutes a "published schedule". We contend our interpretation of the FAA and DOT "published schedule" provision is in compliance with FAA and DOT regulations. As our discussions and correspondence developed with the DOT representatives it became evident that the Commuter Authority could not move forward until this issue was resolved. To resolve the issue we elected to accept a "Consent Order" and mitigated fine rather than expend legal fees to defend our position and further delay the commuter authority approval. The company will have to pay a $70,000 fine, $35,000 is payable over a 7 month period. Barring further violations, the remainder will be waived after a one year period. The "Consent Order" we accepted will be published in the DOT docket within the next few days. As in the past we will respond immediately should there be any request for additional information regarding our commuter authority application. With the FAA/DOT issue resolved it is felt that an answer from the DOT will be forthcoming.
Cuba Authority -According to OFAC, our Cuba Authority application is in the final stages of the approval process. We have not been asked for additional information and are not aware of anything that would prevent our being approved for this authority.
Berry Aviation Alliance -Twin Air Calypso and Berry Aviation are eager to formalize their alliance. Logistical matters are being discussed and further details will be released as they become available.
Revenues -Our 2011 Twin Air Calypso Limited, Inc. revenues were over $2,200,000, which was a 35% increase over 2010. Details will be contained within the upcoming 10K. Currently, the 2012 revenues are on pace to equal 2011.
