Marianas Air. November 07, US Department of Transportation Attn: Ms. Laura Remo 1200 New Jersey Avenue, SE Washington, DC

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1 ~,.. Marianas Air P.O. Box , San Jose Village, Tinian, MP November 07, 2012 US Department of Transportation Attn: Ms. Laura Remo 1200 New Jersey Avenue, SE Washington, DC Subject: Items Required By Docket DOT-OST Final Order Dear Ms. Remo; This letter is being sent to satisfy the requirements included in the Terms, Conditions, and Limitations attachment to the Final Order for Commuter Air Carrier certification for Star Marianas Air, Inc. Below the provisions set forth in paragraph (1) (a) through (d) of the Terms, Conditions, and Limitations attachment are reproduced and responded to with reference made to the Exhibit(s) included as enclosures to this letter. (1) The authority to conduct scheduled passenger operations will not become effective until six (business) days after the Department has received the following documents; provided, however, that the Department may stay the effectiveness of this authority at any time prior to that date: a) A copy of the holder's Air Carrier Certificate and Operations Specifications authorizing Commuter Operations from the Federal Aviation Administration (FAA). Response: A copy of Star Marianas Air, Inc.'s Air Carrier Certificate is attached to this document as Exhibit A, and a copy of Operations Specifications Part A001- Issuance and Applicability as Exhibit B. b) A certificate of insurance on OST Form 6410 evidencing liability insurance coverage meeting the requirements of 14 CFR 205.5(b) for all its aircraft. Response: A copy of OST Form 6410 is attached to this document as Exhibit C. c) A statement of any changes the holder undergone in its ownership, key personnel, operating plans, financial posture, or compliance history, since the date of the Show Cause Order in this case. Response: Since the date of the Show Cause order there has been a change to key management personnel with the designation with James E. Bell previously designated as Chief Pilot being designated as Director of Operations and the addition of James Mezzapeso a U.S. citizen and Pilot-In-Command being designated as Chief Pilot. Mr. Robert F. Christian remains on the Board of Directors. There have been no changes to Star Marianas Air, Inc.'s ownership, operating plans, financial posture, or compliance history since the date of the Show Cause Order. Tel.: /9989 Fax. : Web site:

2 r""" Marianas Air P.O. Box , San Jose Village, Tinian, MP Attached to this document as Exhibit Dis Star Marianas Air, Inc.' s Operation Specifications Part A006- Management Personnel. d) A revised list of pre-operating expenses already paid and those remaining to be paid, as well as independent verification that the holder has available to it funds sufficient to cover any remaining pre-operating expenses and to provide a working capital reserve equal to the operating costs that would be incurred in three months of operations. Response: The Company received independent verification as follows (See Exhibit E): All pre-operating expenses have been paid and no further pre-operating expenses will be incurred in the future. The company has currently a working capital reserve equal to the operating costs expected to be incurred in three months of operations. COMPLIANCE DISPOSITION The contents of this document and the attached exhibits(s) are true and correct to the best of my knowledge and belief Pursuant to Title 18 United States Code Section 1001, I Shoun Christian, in my individual capacity as the authorized representative of the applicant, have not in any manner knowingly and willfully falsified, concealed or failed to disclose any material fact or made any false, fictitious, or fraudulent statement or knowingly used any documents which contains such statements in connection with the preparation, filing or prosecution of the applicant. I understand that an individual who is found to have violated the provisions of 18 United States Code Section 1001 shall be fined or imprisoned not more than five years, or both. Please feel welcome to contact me should any additional information or clarification be needed. ~rely; ~ $( ~ Shaun R. Christian Executive Vice President Enclosures: Exhibit A- Air Carrier Certificate Exhibit B- Operations Specifications Part A001 Exhibit C-OST 6410 Exhibit D- Operations Specifications Part A006 Exhibit E- Response to Par. (1)(d) Tel.: /9989 Fax.: Web site:

3 Exhibit A Star Marianas Air, Inc. Air Carrier Certificate

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5 Exhibit B Star Marianas Air, Inc. Operations Specifications Part A001 (Issuance and Applicability)

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8 Exhibit C Star Marianas Air, Inc. OST 6410

9 AGENCY DISPLAY OF ESTIMATED BURDEN Office of the Secretary of Transportation The public reporting burden for this collection of information is estimated to average 30 minutes per response. If you wish to comment on the accuracy of the estimate or make suggestions for reducing this burden, please direct your comments to: U.S. Department of Transportation, Office of Aviation Analysis, X-56, th St., SW., Washington, D.C According to the Paperwork Reduction Act of 1995, no persons are required to respond to a collection of information unless it displays a valid OMB control number. NOTE: For information on where to file completed copies of this form, see FILING INSTRUCTIONS below. OMB No Expires U.S. AIR CARRIERS - CERTIFICATE OF INSURANCE POLICIES OF INSURANCE FOR AIRCRAFT ACCIDENT BODILY INJURY AND PROPERTY DAMAGE LIABILITY FILING INSTRUCTIONS: File a signed original of this form with the Federal Aviation Administration, AFS-260, 800 Independence Ave., S.W., Washington, D.C (See EXCEPTIONS 1 and 2 below.) EXCEPTION 1: If Block 2B on the reverse is filled in because the insured is a commuter air carrier, file a signed original of this form with the Department of Transportation, Air Carrier Fitness Division, X-56, th St., SW, Washington, DC EXCEPTION 2: For any insured that is located in the State of Alaska (regardless as to whether Block 2A, 2B, or 2C is filled in), file a signed original of this form with the Federal Aviation Administration, Alaskan Region Hq., AAL-230, 222 W. 7 th Ave., #14, Anchorage, Alaska (Please type information, except signatures.) THIS CERTIFIES THAT: XL Specialty Insurance Company has issued a policy or policies of Aircraft Liability Insurance to (Name of Insurer) FAA Star Marianas Air, Inc., 4335 Glendale-Milford Road, Cincinnati, OH Certificate Number ISMA230M (Name, address of Insured U.S. Air Carrier) effective from May 1, 2012 until ten (10) days after written notice from the insurer or carrier of the intent to terminate coverage is received by the Department of Transportation. NOTE: Part 205 of the Department s Regulations does not allow for a predetermined termination date, and a certificate showing such a date is unacceptable. 1. The Insurer (Check One): X is licensed to issue aircraft insurance policies in the United States; is licensed or approved by the government of to issue aircraft insurance policies; or is an approved surplus line insurer in the State(s) of 2. The insurer assumes, under the policy or policies listed below, aircraft accident liability insured to minimums at least equal to the following during operation, maintenance, or use of aircraft in air transportation as that term is defined in 49 U.S.C (Complete applicable section(s) A, B, or C below): A. U.S. AIR TAXI OPERATORS (EXCLUDING U.S. COMMUTER AIR CARRIERS) WITH PART 298 AUTHORITY ONLY: The aircraft covered by this policy are SMALL AIRCRAFT (i.e., with 60 or fewer passenger seats or with a maximum payload capacity of 18,000 pounds or less). (Complete separate or combined coverage as appropriate): Separate Coverages: Minimum Limit Policy Number Type of Liability Each Person Each Occurrence Bodily Injury Liability (Excluding Passengers) $75,000 $300,000 Passenger Bodily Injury $75,000 $75,000 x 75% of total number of passenger seats installed in aircraft Property Damage $100,000 X Combined Coverage: The amount of coverage set forth below is a single limit of liability for each occurrence at least equal to the required minimums stated above for bodily injury (excluding passengers), property damage, and passenger bodily injury. Policy Number UA AV12A Amount of Coverage $10,000,000 This policy covers CARGO operations only and excludes passenger liability insurance. OST Form 6410 B. U.S. COMMUTER AIR CARRIERS OR CERTIFICATED AIR CARRIERS OPERATING SMALL AIRCRAFT

10 The aircraft covered by this policy are SMALL AIRCRAFT (i.e., with 60 or fewer passenger seats or with a maximum payload capacity of 18,000 pounds or less). (Complete separate or combined coverage as appropriate): Separate Coverages: Minimum Limit Policy Number Type of Liability Each Person Each Occurrence Combined Bodily Injury (Excluding Passengers other than cargo attendants) and Property Damage Liability $300,000 $2,000,000 Passenger Bodily Injury $300,000 $300,000 x 75% of total number of passenger seats installed in aircraft Combined Coverage: The amount of coverage set forth below is a single limit of liability for each occurrence at least equal to the required minimums stated above for bodily injury (excluding passengers), property damage, and passenger bodily injury. Policy Number Amount of Coverage This policy covers CARGO operations only and excludes passenger liability insurance. C. U.S. CERTIFICATED AIR CARRIERS OPERATING LARGE AIRCRAFT The aircraft covered by this policy are LARGE AIRCRAFT (i.e., with more than 60 passenger seats or with a maximum payload capacity of more than 18,000 pounds). (Complete separate or combined coverage as appropriate): Separate Coverages: Minimum Limit Policy Number Type of Liability Each Person Each Occurrence Combined Bodily Injury (Excluding Passengers other than cargo attendants) and Property Damage Liability $300,000 $2,000,000 Passenger Bodily Injury $300,000 $300,000 x 75% of total number of passenger seats installed in aircraft Combined Coverage: The amount of coverage set forth below is a single limit of liability for each occurrence at least equal to the required minimums stated above for bodily injury (excluding passengers), property damage, and passenger bodily injury. Policy Number Amount of Coverage This policy covers CARGO operations only and excludes passenger liability insurance. 3. The policy or policies listed in this certificate insure(s) (Check One): Make and Model FAA or Foreign Flag Registration No. Operations conducted with all aircraft operated by the insured Piper PA Cherokee N4254R Operations conducted with the following types of aircraft: Piper PA Cherokee N4089W X Operations with the following aircraft: (Use additional page if necessary) Piper PA Cherokee N4127R Piper PA Cherokee Piper PA Cherokee Piper PA Cherokee Piper PA Cherokee 4. Each policy listed in this certificate meets or exceeds the requirements in 14 CFR Part 205. N4267R N4599X N8639N N166CB XL Specialty Insurance Company (Name of Insurer) One World Financial Center 200 Liberty Street, 3 rd Floor (Address) New York, NY (City, State, Zip Code) Richard DeMicco (Contact person who can verify the effectiveness of the coverage) / (Area Code, Phone Number) / (Area Code, Fax Number) (Name of Broker) (Address) (City, State, Zip Code) (Officer or authorized representative) (Area Code, Phone Number) / (Area Code, Fax Number) (Signature, if applicable) May 9, 2012 (Date) (Signature) (Date)

11 Exhibit D Star Marianas Air, Inc. Operations Specifications Part A006 (Management Personnel)

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13 Exhibit E

14 Emerald Coast Consulting Services, Inc SW 117"' Ter Cooper City, Fl November 3, 2012 TO WHOM IT MAY CONCERN: I have compiled the financial statements for Star Marianas Air, Inc., for the years ended December 31, 2009, 2010, and 2011 and have been provided with current financial information for I have reviewed the Company's current financial position and results of operations and have reviewed with management the proposed scheduled passenger operations. On this basis, I can verify the following: All pre-operating expenses have been paid and no further pre-operating expenses will be incurred in the future. The company has currently a working capital reserve equal to the operating costs expected to be incurred in three months of operations. Respectfully submitted, -'77/77A--I/ es H. Weathersbee, CP ell: EST Aviation Financial Consulting