Page 14 - Landscourant Editie 15_Part18

LANDSCOURANT VAN ARUBA 24 juli 2015 Pagina 30

▀▀▀▀▀▀▀▀▀▀▀▀▀▀▀▀▀▀▀▀▀▀▀▀▀▀▀▀▀▀▀▀▀▀▀▀▀▀▀▀▀▀▀▀▀▀▀▀▀▀▀▀▀▀▀▀▀▀▀▀▀▀▀▀

Chapter 2. Assessment of Financial, Economic and Legal Matters

2.1 Before the economical authority issuance, it is essential that a positive finding be made in
respect of the financial, economical and legal matters listed in Appendix 1, hereto attached.

2.2 The financial viability of the operation is one of the critical factors in reaching a decision as
to whether an Economical Authority should be awarded. The operator must have sufficient
financial resources to obtain all required equipment, facilities and manpower and to fully
support operations in the early stages when revenues are difficult to predict and may in any
case be very low. Marginal or severely limited resources frequently result in an adverse ef-
fect on safety and efficiency. Experience indicates that operators tend to take short cuts on
such vital matters as required maintenance, acquisition of adequate spare parts, training of
personnel and other similar matters with safety implications. The determination of the fi-
nancial resources of the applicant is based on an audit of the operator’s assets and liabilities
and a thorough evaluation of financial and statistical records and other pertinent data such
as proposed arrangements for the purchase or lease of aircraft and major equipment.

2.3 If the proposed operation is not considered to be viable of the financial, economical and le-
gal factors, further action should be suspended until it is determined whether the deficien-
cies can be rectified. If the deficiencies cannot be rectified, the project manager of the DCA
will notify the applicant that the DCA will stop the process and cancel the application.

JAARGANG 2015 EDITIE NO. 15