Treasury Report Under Section 4026(b)(1)(C) of the CARES Act (December 1, 2023)
Summary
A U.S. Department of the Treasury report dated December 1, 2023, under Section 4026(b)(1)(C) of the CARES Act. It reflects 21 outstanding loans and 14 loans that have been repaid in full, with $953,149,205 outstanding, $1,789,968,813 in repaid loan principal and $167,607,036 in cash interest receipts. Mesa Airlines, Inc. made a $245,000 principal repayment on November 28, 2023, and Allflight Corporation repaid $49,138 on November 7, 2023. Yellow Corporation is in default on its loan, which shows $737,042,527 outstanding and $107,950,096 in cash interest receipts.
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“Treasury Report Under Section 4026(b)(1)(C) of the CARES Act (December 1, 2023).”
Original at home.treasury.gov. Archived at Pandemic Darlings, https://pandemicdarlings.com/source-documents/u-s-department-of-the-treasury-4026-b-1-c-loan-report-12-01-2023-15e3232f42/
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Report Under Section 4026(b)(1)(C) of the CARES Act on
Loans to Air Carriers, Eligible Businesses, and National Security Businesses
December 1, 2023
Program Description
Section 4003 of Division A of the Coronavirus Aid, Relief and Economic Security Act
(CARES Act) authorized the Treasury Department to make loans, loan guarantees, and
other investments to provide liquidity to eligible businesses related to losses incurred as a
result of the coronavirus pandemic.
The CARES Act provided:
(1) up to $25 billion for loans and loan guarantees for passenger air carriers; eligible
businesses that are certified under 14 CFR part 145 and approved to perform
inspection, repair, replace, or overhaul services; and ticket agents (as defined in 49
U.S.C. § 40102);
(2) up to $4 billion for loans and loan guarantees for cargo air carriers; and
(3) up to $17 billion for loans and loan guarantees for businesses critical to maintaining
national security.
A loan or loan guarantee under section 4003 was authorized to be made in such form and
on such terms and conditions and contain such covenants, representations, warranties,
and requirements as the Treasury Secretary determined appropriate. However, the
CARES Act specified a number of requirements applicable to these loans or loan
guarantees. Among other requirements under the statute, borrowers were required to
maintain employment levels as of March 24, 2020, to the extent practicable, and in any
case not reduce their employment levels by more than 10 percent from the levels on such
date, until September 30, 2020. Borrowers were also required to agree to certain
restrictions on employee compensation; agree not to repurchase stock, except to the extent
required under a contractual obligation in effect as of March 27, 2020; and agree not to pay
dividends or make other capital distributions with respect to the borrower’s common stock
until 12 months after the loan has been repaid.
In addition, the CARES Act required that Treasury receive a warrant or equity instrument
in the borrower if the borrower was a public company (unless Treasury determined that the
issuance of warrants or equity was infeasible, in which case the company was required to
provide a senior debt instrument), or a warrant, equity instrument, or senior debt instrument
if the borrower was a private company, to compensate taxpayers.
Reporting Requirements
The CARES Act requires Treasury to make a number of disclosures regarding its loans
and loan guarantees under section 4003 of the CARES Act:
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(1) under section 4026(a) of the CARES Act, not later than 72 hours after any
transaction under section 4003(b)(1), (2), or (3) of the CARES Act, Treasury must
publish on its website a description of the transaction, certain transaction terms, and
transaction documentation;
(2) under section 4026(b)(1)(A) of the CARES Act, not later than seven days after any
loan or loan guarantee under section 4003(b)(1), (2), or (3), Treasury must submit
to Congress a report summarizing the actions taken under those provisions and
certain related financial information;
(3) under section 4026(b)(1)(B) of the CARES Act, not later than seven days after
delivering the report to Congress described above, Treasury must publish the report
on its website; and
(4) under section 4026(b)(1)(C) of the CARES Act, every 30 days while a loan or loan
guarantee under section 4003(b)(1), (2), or (3) is outstanding, Treasury must publish
on its website a report summarizing its reports to Congress described above.
Treasury has published the information and reports described above on its website at
https://home.treasury.gov/policy-issues/cares/preserving-jobs-for-american-
industry/loans-to-air-carriers-eligible-businesses-and-national-security-businesses.
Current Report
This report summarizes information about transactions under sections 4003(b)(1), (2), and
(3) of the CARES Act. This report reflects 21 outstanding loans and 14 loans that have
been repaid in full.
(See next page)
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DETAILED FINANCIAL STATEMENT
Date of Total Total Repaid
Borrower Borrower Maturity Total Outstanding Cash Interest
City2 State2 Loan Authorized Disbursements3 Loan Principal
Name Type1 Date Loan Amount4 Receipts
Agreement Loan Amount
Aero Repair
Hydraulics, Station Fayetteville GA 10/26/2020 10/24/2025 $450,000 $450,000 $577,234 $0 $25,668
Inc. 5 Operator
9/28/2020
(amended
Alaska Passenger
Seattle WA 10/3/2020 9/26/2025 $1,928,000,000 $135,000,000 $0 $135,000,000 $2,538,900
Airlines, Inc.6 Air Carrier
and
1/15/2021)
Repair
Allflight
Station Kent WA 11/5/2020 11/5/2025 $4,721,260 $4,721,260 $3,931,067 $790,193 $1,098,854
Corporation7
Operator
9/25/2020
(amended
American Passenger
Fort Worth TX 10/21/2020 6/30/2025 $7,500,000,000 $550,000,000 $0 $550,000,000 $10,257,500
Airlines, Inc. 8 Air Carrier
and
1/15/2021)
American Jet
Passenger
International Houston TX 11/5/2020 11/5/2025 $1,162,124 $1,162,124 $1,181,571 $0 $265,655
Air Carrier
Corporation
Aviation
Repair
Management
Station Fort Pierce FL 11/5/2020 11/5/2025 $4,026,705 $4,026,705 $4,684,347 $197,514 $203,599
& Repairs,
Operator
Inc. 9
Bristin Travel, Ticket
Fayetteville AR 10/26/2020 10/24/2025 $549,651 $549,651 $377,560 $224,030 $73,208
LLC10 Agent
Caribbean 11/5/2020
Passenger Virginia
Sun Airlines, FL (amended 11/5/2025 $6,768,749 $6,768,749 $8,623,077 $0 $0
Air Carrier Gardens
Inc.11 12/7/2020)
3
Date of Total Total Repaid
Borrower Borrower Maturity Total Outstanding Cash Interest
City2 State2 Loan Authorized Disbursements3 Loan Principal
Name Type1 Date Loan Amount4 Receipts
Agreement Loan Amount
Channel
National
Logistics, Camden NJ 11/12/2020 11/12/2025 $2,500,000 $2,500,000 $2,818,806 $0 $337,715
Security
LLC
Core Avionics
National
& Industrial, Tampa FL 11/5/2020 11/5/2025 $6,000,000 $6,000,000 $0 $6,489,033 $213,998
Security
Inc.12
Eastern Passenger
Wayne PA 10/28/2020 10/28/2025 $15,000,000 $15,000,000 $17,945,809 $0 $1,152,616
Airlines, LLC Air Carrier
11/9/2020
Elite Airways, Passenger
Portland ME (amended 11/7/2025 $2,630,274 $2,630,274 $3,328,871 $0 $0
LLC13 Air Carrier
12/1/2020)
9/28/2020
Frontier Passenger
Denver CO (amended 9/26/2025 $574,000,000 $150,000,000 $0 $150,000,000 $5,548,667
Airlines, Inc.14 Air Carrier
1/15/2021)
9/25/2020
(amended
Hawaiian Passenger
Honolulu HI 10/23/2020 6/28/2024 $622,000,000 $45,000,000 $0 $45,000,000 $450,450
Airlines, Inc.15 Air Carrier
and
1/15/2021)
Island Wings, Cargo Air Ft.
FL 11/5/2020 11/5/2025 $294,350 $294,350 $358,776 $0 $14,477
Inc.16 Carrier Lauderdale
9/29/2020
JetBlue (amended
Passenger Long Island
Airways NY 11/3/2020 9/29/2025 $1,948,000,000 $115,000,000 $0 $115,000,000 $3,330,113
Air Carrier City
Corporation17 and
1/15/2021)
Legacy
Cargo Air
Airways, Conroe TX 10/20/2020 10/20/2025 $1,817,306 $1,817,306 $2,453,388 $0 $0
Carrier
LLC18
4
Date of Total Total Repaid
Borrower Borrower Maturity Total Outstanding Cash Interest
City2 State2 Loan Authorized Disbursements3 Loan Principal
Name Type1 Date Loan Amount4 Receipts
Agreement Loan Amount
Map Large, National
Atlanta GA 11/2/2020 10/31/2025 $10,000,000 $10,000,000 $12,466,393 $0 $987,600
Inc. Security
Meridian
Rapid National
Pasadena CA 10/30/2020 10/30/2025 $7,100,000 $7,100,000 $9,301,830 $0 $233,799
Defense Security
Group, LLC19
Mesa Passenger
Phoenix AZ 10/30/2020 10/30/2025 $195,000,000 $195,000,000 $127,655,117 $77,291,900 $19,115,492
Airlines, Inc.20 Air Carrier
Ovation
Ticket
Travel Group, New York NY 10/15/2020 10/15/2025 $20,000,000 $20,000,000 $0 $20,294,156 $181,881
Agent
Inc.21
oVio
National Newport
Technologies, CA 11/2/2020 10/31/2025 $1,186,900 $1,186,900 $1,513,597 $0 $75,845
Security Beach
Inc. 22
Republic
Passenger
Airways, Indianapolis IN 11/6/2020 11/6/2025 $58,000,000 $58,000,000 $0 $58,000,000 $1,622,308
Air Carrier
Inc.23
Semahtronix, National
Flippin AR 11/13/2020 11/13/2025 $1,999,100 $1,999,100 $0 $2,112,957 $777
LLC24 Security
Semantic AI, National
San Diego CA 11/13/2020 11/13/2025 $506,300 $506,300 $603,938 $0 $41,853
Inc. Security
9/29/2020
(amended
SkyWest Passenger
St George UT 10/28/2020 9/29/2025 $725,000,000 $60,000,000 $0 $60,000,000 $1,196,767
Airlines, Inc.25 Air Carrier
and
1/15/2021)
5
Date of Total Total Repaid
Borrower Borrower Maturity Total Outstanding Cash Interest
City2 State2 Loan Authorized Disbursements3 Loan Principal
Name Type1 Date Loan Amount4 Receipts
Agreement Loan Amount
Southern
Airways Passenger Pompano
FL 10/28/2020 10/28/2025 $1,838,501 $1,838,501 $0 $1,838,501 $188,254
Express, Air Carrier Beach
LLC26
SpinLaunch, National
Long Beach CA 11/13/2020 11/13/2025 $2,519,200 $2,519,200 $2,557,341 $0 $587,664
Inc. Security
Sun Country, Passenger
Minneapolis MN 10/26/2020 10/24/2025 $45,000,000 $45,000,000 $0 $46,182,421 $77,125
Inc.27 Air Carrier
Thomas
Repair
Global
Station Irvine CA 11/9/2020 11/7/2025 $1,400,000 $1,400,000 $0 $1,530,278 $22,745
Systems,
Operator
LLC28
Repair
Timco Engine
Station Oscoda MI 11/5/2020 11/5/2025 $8,390,240 $8,390,240 $10,645,785 $0 $0
Center, Inc.29
Operator
9/28/2020
(amended
United Passenger 11/6/2020,
Chicago IL 9/26/2025 $7,491,000,000 $520,000,000 $0 $520,000,000 $9,517,733
Airlines, Inc.30 Air Carrier 12/8/2020,
and
1/15/2021)
Visual
National
Semantics, Austin TX 10/30/2020 10/30/2025 $1,053,200 $1,053,200 $1,252,616 $17,601 $11,722
Security
Inc.31
Wiser
National
Imagery Murfreesboro TN 10/30/2020 10/30/2025 $3,069,700 $3,069,700 $3,829,558 $0 $283,957
Security
Services, LLC
Yellow National Overland
KS 7/7/2020 9/30/2024 $700,000,000 $700,000,000 $737,042,527 $230 $107,950,096
Corporation32 Security Park
6
Date of Total Total Repaid
Borrower Borrower Maturity Total Outstanding Cash Interest
City2 State2 Loan Authorized Disbursements3 Loan Principal
Name Type1 Date Loan Amount4 Receipts
Agreement Loan Amount
TOTAL $21,890,983,560 $2,677,983,560 $953,149,205 $1,789,968,813 $167,607,036
Note: Data are as of the date of this report.
Footnotes
1. Only certain categories of entities were eligible to receive loans under sections 4003(b)(1), (2), and (3) of the CARES Act. Under those provisions, a borrower must be a passenger air
carrier; a business that is certified under 14 CFR part 145 and approved to perform inspection, repair, replace, or overhaul services; a ticket agent (as defined in 49 U.S.C. 40102); a cargo
air carrier; or a business critical to maintaining national security.
2. The locations provided are the addresses included by the borrowers in their applications and may not indicate all locations in which a borrower operates.
3. “Disbursements” includes all loan disbursements.
4. “Total Outstanding Loan Amount” includes all loan disbursements and increases of loan principal amount arising from payment-in-kind (PIK) interest and accrued unpaid interest, less any
repayments of principal.
5. Aero Hydraulics, Inc. is in default on its loan due to failure to make certain payments required under its loan agreement.
6. Alaska Airlines, Inc. entered into a loan agreement for up to $1.301 billion on September 28, 2020, an amendment on October 30, 2020, increasing the maximum loan amount by $627
million, and an additional amendment on January 15, 2021, extending the termination date for Treasury’s commitment to May 28, 2021. Alaska Airlines, Inc. paid in full all outstanding
principal and interest on June 3, 2021.
7. Allflight Corporation has made principal repayments in the amounts of $99,782 on September 23, 2022; $97,933 on November 30, 2022; $100,000 on December 15, 2022; $98,529 on
January 31, 2023; $49,684.17 on April 4, 2023; $49,242 on May 2, 2023; $48,689 on June 2, 2023; $49,665 on July 5, 2023; $48,611 on September 6, 2023; $49,707 on October 3, 2023;
and $49,138 on November 7, 2023.
8. American Airlines, Inc. entered into a loan agreement for up to $5.477 billion on September 25, 2020, an amendment on October 21, 2020, increasing the maximum loan amount by $2.023
billion, and an additional amendment on January 15, 2021, extending the termination date for Treasury’s commitment to May 28, 2021. American Airlines, Inc. paid in full all outstanding
principal and interest on March 24, 2021.
9. Aviation Management & Repairs Inc. has made principal repayments in the amounts of $100,000 on April 1, 2021, and $97,514.26 on October 31, 2023.
10. Bristin Travel, LLC repaid $224,029 in principal on December 30, 2022. Previous reporting inadvertently omitted $10,592.92 of interest paid by Bristin Travel, LLC, on December 15, 2022.
11. Caribbean Sun Airlines, Inc. entered into a loan agreement for up to $15 million on November 5, 2020, and an amendment on December 7, 2020, extending the termination date for
Treasury’s commitment to December 7, 2020, and decreasing the maximum loan amount by $8,231,251. Caribbean Sun Airlines, Inc. is in default on its loan due to failure to make a
payment required under its loan agreement.
12. Core Avionics & Industrial, Inc. repaid $800,000 in principal on June 8, 2021; Core Avionics & Industrial, Inc. paid in full all principal and interest on April 1, 2022.
13. Elite Airways, LLC entered into a loan agreement for up to $2,630,274 on November 9, 2020, and an amendment on December 1, 2020, extending the termination date for Treasury’s
commitment to December 1, 2020. Elite Airways, Inc. is in default on its loan due to failure to make a payment required under its loan agreement.
14. Frontier Airlines, Inc. entered into a loan agreement for up to $574 million on September 28, 2020, and an amendment on January 15, 2021, extending the termination date for Treasury’s
commitment to May 28, 2021. Frontier Airlines, Inc. paid in full all principal and interest on February 2, 2022.
15. Hawaiian Airlines entered into a loan agreement for up to $420 million on September 25, 2020, an amendment on October 23, 2020, increasing the maximum loan amount by $202 million,
and an additional amendment on January 15, 2021, extending the termination date for Treasury’s commitment to May 28, 2021. Hawaiian Airlines, Inc. paid in full all principal and interest
on February 4, 2021.
16. Island Wings, Inc., is in default on its loan due to failure to make certain payments required under its loan agreement.
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17. JetBlue Airways Corporation entered into a loan agreement for up to $1.14 billion on September 29, 2020, an amendment on November 3, 2020, increasing the maximum loan amount by
$808 million, and an additional amendment on January 15, 2021, extending the termination date for Treasury’s commitment to May 28, 2021. JetBlue Airways Corporation paid in full all
outstanding principal and interest on September 15, 2021.
18. Legacy Airways, LLC is in default on its loan due to failure to make a payment required under its loan agreement.
19. Meridian Rapid Defense Group, LLC is in default on its loan due to failure to make a payment required under its loan agreement.
20. Mesa Airlines, Inc. entered into a loan agreement for up to $200 million on October 30, 2020, and elected to draw $43 million on October 30, 2020, and $152 million on November 13, 2020.
Mesa Airlines, Inc. entered into a technical Modification and Waiver Agreement on December 22, 2022, available onTreasury.gov. Mesa Airlines, Inc. has made principal repayments in the
amounts of $32,000,000 on January 24, 2023; $14,187,072 on March 17, 2023; $11,159,828 on April 13, 2023; $3,200,000 on April 27, 2023; $5,300,000 on September 22, 2023;
$11,200,000 on October 30, 2023; and $245,000 on November 28, 2023.
21. Ovation Travel Group, Inc. paid in full all outstanding principal and interest on January 21, 2021.
22. oVio Technologies, Inc. is in default on its loan due to failure to make certain payments required under its loan agreement.
23. Republic Airlines, Inc. entered into a loan agreement for up to $77 million on November 6, 2020, and elected to draw $58 million on December 7, 2020. Republic Airlines, Inc. paid in full all
outstanding principal and interest on September 10, 2021.
24. Semahtronix LLC paid in full all outstanding principal and interest on September 17, 2021.
25. SkyWest Airlines, Inc. entered into a loan agreement for up to $573 million on September 29, 2020, an amendment on October 28, 2020, increasing the maximum loan amount by $152
million, and an additional amendment on January 15, 2021, extending the termination date for Treasury’s commitment to May 28, 2021. SkyWest Airlines, Inc. paid in full all outstanding
principal and interest on May 10, 2021.
26. Southern Airways Express, LLC paid in full all outstanding principal and interest on April 29, 2021.
27. Sun Country, Inc. paid in full all outstanding principal and interest on March 24, 2021.
28. Thomas Global Systems, LLC paid in full all outstanding principal and interest on May 27, 2022.
29. Timco Engine Center, Inc. is in default on its loan due to failure to make certain payments required under its loan agreement.
30. United Airlines, Inc. entered into a loan agreement for up to $5.17 billion on September 28, 2020, an amendment on November 6, 2020, increasing the maximum loan amount by $2.33
billion, an amendment on December 8, 2020, reducing the maximum loan amount by $9 million, and an additional amendment on January 15, 2021, extending the termination date for
Treasury’s commitment to May 28, 2021. United Airlines paid in full all outstanding principal and interest on April 20, 2021.
31. Visual Semantics, Inc. filed for bankruptcy on March 2, 2023. Interest on its loan stopped accruing as of that date, and the company is in default due to failure to make a payment required
under its loan agreement. The trustee for the bankruptcy estate of Visual Semantics, Inc. made a payment in the amount of $17,601.13 on November 28, 2023, which has been applied to
the principal outstanding.
32. The loan to Yellow Corporation consists of two tranches in the original principal amounts of $300 million and $400 million, and current outstanding principal amounts of $337 million and
$400 million, respectively. It was announced on February 4, 2021, that YRC Worldwide, Inc. had changed its name to Yellow Corporation. Yellow Corporation repaid $230 in principal on
June 13, 2021. On August 6, 2023, Yellow Corporation and certain of its direct and indirect subsidiaries filed voluntary petitions for relief under Chapter 11 of the U.S. Bankruptcy Code.
Yellow Corporation is in default on its loan.
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