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Fine Air
Fine Air
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Fine Air was an international cargo airline that operated from 1989 to 2002, when it was renamed Arrow Air following its bankruptcy and acquisition. It operated Douglas DC-8 and Lockheed L-1011 type jets to destinations in Central America, South America and the Caribbean from Miami International Airport.

Key Information

History

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J. Frank Fine founded the predecessor of Fine Air in 1976 as a leasing company which owned two Boeing 707 aircraft. Fine owned farming operations in twelve countries in Latin America and the Caribbean, and sought a reliable support system for third-party operators to ship his products to the United States. His company was certified as a Douglas DC-8 repair station in 1986 and received an air carrier operating certificate in November 1992; it began scheduled cargo service in 1994 as the largest international air cargo carrier at Miami International Airport (as measured by tons carried).[1]

J. Frank Fine's son Barry Fine became president in 1997, by which point the airline had a fleet of fifteen Douglas DC-8 aircraft. The airline was wholly owned by the two men for most of its existence.[2]

Fine Air raised $123.5 million in an initial public offering on August 6, 1997,[3] and planned to use the funds to purchase new aircraft and expand its cargo route network to Europe.[2] It was listed on NASDAQ with the ticker code "BIGF."[1]

On August 7, 1997, the day after the IPO, Fine Air Flight 101, crashed shortly after takeoff from Miami International Airport.[4] Fine Air cancelled its IPO the day after the crash, and returned the full amount of the capital raised to investors.[5] It voluntarily grounded its fleet on September 5 as an alternative to having its license revoked by the FAA,[6] but received government approval to resume operations in October 1997.[7]

Arrow Air acquisition and bankruptcy

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Fine Air L-1011 in 1999

Fine attempted to acquire Southern Air Transport in July 1998 but abandoned the deal in August.[3] In February 1999, Fine Air announced that it would acquire Arrow Air for $115 million in cash.[8]

By 2000, Fine Air had around $200 million in annual revenue, more than 125 scheduled flights each week and a staff of more than 900 employees, handling 240,000 tons of cargo through its Miami hub in 1999.[3]

Fine Air filed for Chapter 11 reorganization in September 2000 after a failed attempt to restructure $137 million in bond debt that had arisen due to the Arrow Air acquisition, citing fuel price increases and other financial issues beyond its control.[3] A private investment group purchased Fine Air in 2002 and renamed it Arrow Air, removing the Fine family from control of the company.[9] J. Frank Fine died in April 2003.[10]

Accidents and incidents

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Fine Air DC-8-61F N27UA, the aircraft involved in the Fine Air Flight 101 crash

On August 7, 1997, the day after the IPO, Fine Air Flight 101, a DC-8-61F registration N27UA, crashed shortly after takeoff from Miami International Airport at 12:36 p.m.[4]

The aircraft, bound for Santo Domingo, lost control shortly after V1. Upon rotation the cargo shifted aft on the main cargo deck because none of the pallet locks were engaged upright to the cargo pallets on the main deck. However, the NTSB report finds that "A significant shift of cargo rearward at or before rotation did not occur and was not the cause of the initial extreme pitch up at rotation; although, cargo compression or shifting might have exacerbated the pitch-up moment as the pitch increased." The plane was loaded with two empty pallet positions that allowed for a significant shifting of the center of gravity aft toward the empty spaces. Ground crew interviews found that the flight was routinely full of pallets and the locks were rarely engaged in some opinions, and it was further stated this was because they were thought to be irrelevant if the pallets could not move. Pallets are held by rails at the sides from moving in an upward direction, but only the retractable end locks can stop forward and aft movement. The over-pitching on rotation at V1 pitched the aircraft nose up sharply to the point that air flow into the engines was significantly reduced (similar to blowing across the opening of a soda bottle to make it whistle from the drop in pressure) and causing the engines to stall. The plane then pitched back nose-down landing on its belly on the ground. In addition the aircraft was approximately 2,700 kg (6,000 lb) overloaded, although given the pallet weighing process this was believed to be more common than thought beforehand. The pilots, departing from former Runway 27R (now 26L) attempted to recover but the stalled aircraft lacked any forward thrust rendering the control surfaces useless. The forward pitching aircraft rapidly lost forward momentum and lift with its wings cutting the airflow perpendicular to proper lift orientation. The DC-8 crashed on its belly on a field directly west of the end of the runway (about 300 yards) traveling in a straight line.

The DC-8 missed the auto transport loading facility at the south end of the Miami City Rail Yard just north of the end of the runway, and also busy cargo operations facilities along the very busy NW 25th Street feeder to the airport's cargo area just to the south of the end of the runway. The aircraft barely missed two factories, a commercial building, and the Budweiser Distribution Center in unincorporated Miami, Florida between the populated residential suburbs of Miami Springs and Doral, FL. It skidded across the open field and onto NW 72nd Ave, a roadway that is typically full of traffic during the lunch hour but was surprisingly quiet at 12:36p EST when it came down. The plane's wreckage skidded quickly across the roadway and onto the parking lot of a commercial mini-mall across the street from the empty field; it took out 26 cars in the lot. At that time the mini-mall was a hub of computer parts distributors specializing in South American commerce.

The plane's wreckage fell four feet (1.2 m) short of the entrances to three shops. It missed two occupied cars and a truck that were waiting for the traffic signal at the intersection of NW 31st Street and NW 72nd Avenue, less than 30 yards (27 m) away. Inside one of the cars in the parking lot sat a man who had just arrived back at his shop in the mini-mall after picking up lunch for his wife and himself. He was unable to make it out of the car and was caught up in the fireball that engulfed the multi-lane avenue, field and parking lot. The plane roughly ended up at 25.801826, -80.313439.

Five people died in total: the three aircrew members, a company security guard on the flight, and one man in the parking lot.[11] In the minutes following the crash, police were alerted to a fire at NW 72nd Ave, only to discover it was a plane crash. For nearly 45 minutes, mixed reports claimed the plane was a passenger flight, but within the hour the control tower at MIA confirmed it was Fine Air Cargo Flight 101. FAA Security Special Agents working out of an office on airport property (at that time) responded to the scene and simultaneously to the Fine Air Cargo offices where they took possession of the flight documentation. Some relevant documentations were recovered from garbage receptacles causing a criminal investigation to be opened and ultimately leading to charges including destruction and covering up of evidence. Fine Air and their ground handling agent Aeromar Airlines pled guilty to several of the charges and were fined approximately $5 million.[3]

Destinations

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As of the time of its IPO in 1997, immediately prior to the crash of Fine Air Flight 101, Fine Air served the following destinations:[1]

  • Barbados
    • Bridgetown
  • British Virgin Islands
    • Tortola
  • Colombia
    • Bogotá
    • Medellín
  • Costa Rica
    • San José
  • Dominican Republic
    • Santo Domingo
    • Puerto Plata
  • Ecuador
    • Guayaquil
    • Quito
  • El Salvador
    • San Salvador
  • Guatemala
    • Guatemala City
  • Guyana
    • Georgetown
  • Haiti
    • Port-au-Prince
  • Honduras
    • San Pedro Sula
  • Jamaica
    • Montego Bay
    • Kingston
  • Netherlands Antilles
    • Aruba
    • Curaçao
  • Nicaragua
    • Managua
  • Panama
    • Panama City
  • Puerto Rico
    • San Juan
  • Suriname
    • Paramaribo
  • Trinidad and Tobago
    • Port-of-Spain
  • Turks and Caicos
    • Grand Turk
    • Providenciales
  • United States
    • Miami Hub
  • U.S. Virgin Islands
    • St. Thomas
    • St. Croix
  • Venezuela
    • Caracas
    • Maracaibo

Fleet

[edit]

Fine Air operated the following jet aircraft in all cargo operations:[12]

  • Douglas DC-8-51
  • Douglas DC-8-54
  • Douglas DC-8-55
  • Douglas DC-8-61 (one crashed as Flight 101)
  • Douglas DC-8-62
  • Douglas DC-8-63
  • Lockheed L-1011

See also

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References

[edit]
Revisions and contributorsEdit on WikipediaRead on Wikipedia
from Grokipedia
Fine Air Services, Inc. was an American headquartered in , that operated international scheduled, charter, and wet-lease cargo flights primarily to destinations in Central and as well as the from 1992 until its and restructuring in 2002. Incorporated in in 1989 by aviation executive J. Frank Fine and his son Barry Fine, the company focused on transporting perishable goods, raw materials, and other freight using a fleet centered on , including both owned and leased models under FAA Part 121 supplemental operations specifications. At its peak in the late 1990s, Fine Air employed over 800 people and maintained repair stations for DC-8 maintenance and JT3D engines, while offering services like aircraft, crew, maintenance, and insurance (ACMI) leases to partners such as and . In early 1999, Fine Air expanded by acquiring the Miami-based rival for $115 million, gaining access to additional DC-8s, L-1011s, and a specialized refrigerated facility to bolster its Latin American routes. The merger created one of the largest all- carriers operating from , with service to over 28 destinations, but it also compounded financial strains from rising fuel costs and a regional economic slowdown. Facing $137 million in debt, Fine Air filed for Chapter 11 bankruptcy protection on September 27, 2000, temporarily halting some operations amid negotiations with bondholders. A pivotal event in the airline's history was the crash of on August 7, 1997, shortly after takeoff from en route to , . The Douglas DC-8-61 freighter, carrying clothing cargo, stalled due to improper loading that shifted the center of gravity aft, resulting in loss of pitch control; the three crew members and the security guard aboard perished, along with one person on the ground, prompting FAA-mandated operational overhauls in cargo handling and weight-and-balance procedures. Following bankruptcy proceedings, Fine Air emerged in May 2002 under new ownership as a of Arrow Air Holdings Corporation, with the Fine family relinquishing control and the company rebranding fully as , ending the Fine Air name.

History

Founding and early operations

Fine Air traces its origins to 1976, when J. Frank Fine established a predecessor company in Miami, Florida, initially as a private leasing operation to address unreliable cargo transport for his agricultural ventures in . With over two decades of experience managing farming operations across 12 countries in the region—growing perishable goods such as , cucumbers, melons, and tomatoes—Fine recognized the limitations of existing airlines like Braniff and , prompting him to acquire for leasing to support timely delivery of his produce. The company began by purchasing two 707s, which were leased to operators serving South and and the , without conducting its own flights. J. Frank Fine served as the founder and initial leader, drawing on his extensive industry knowledge to build the leasing model around regional demand for reliable capacity. By the mid-1980s, the operation had evolved under the name Agro Air, incorporated in 1982, and expanded its capabilities, earning FAA certification as a repair station for DC-8 in 1986 and for Pratt & Whitney JT3D-3B engines in 1987. Barry H. Fine, J. Frank Fine's son, joined in 1982, contributing to the growth of the fleet to three by that time, primarily focused on leasing for cargo needs. In 1989, Fine Air Services Inc. was formally incorporated in , marking a shift from pure leasing to initiating scheduled international cargo services from its base at . This transition was driven by the need to expand beyond ad hoc ACMI (, , , and ) leases, with the fleet growing to five variants dedicated to cargo transport of perishable goods and general freight. The early saw Fine Air solidify its operational scale, receiving its U.S. air carrier operating certificate in November 1992, which enabled the development of dedicated routes. By 1994, the company had pivoted to scheduled services, emphasizing Latin American markets where it transported goods like and other commodities, accounting for 68% of revenues that year and rising to 89% by 1996. Revenue milestones reflected this expansion, climbing from $29.0 million in 1993 to $94.2 million in 1996, with tonnage handled increasing from 32,000 tons in 1994 to 75,000 tons in 1996, establishing Fine Air as a key player in regional air freight without its own passenger operations. J. Frank Fine remained chairman, guiding the focus on perishable and general to leverage his agricultural roots, while the fleet of DC-8s supported efficient service to destinations in and .

Growth and the 1997 IPO attempt

Following its early operations focused on leasing arrangements, Fine Air underwent significant expansion in the mid-1990s, leveraging the growing demand for international cargo transport to . Starting in 1994, the airline augmented its fleet of aircraft by leasing widebodies in June 1997, which allowed for the handling of heavier payloads on key routes. By mid-1997, the fleet comprised 15 DC-8s, supporting increased capacity for scheduled and services. This growth translated into robust financial performance, with annual revenues climbing to $94.2 million in 1996—a 23.5% increase from $76.3 million in 1995—primarily from scheduled operations that carried 75,000 tons of freight, up from 32,000 tons in 1994. The company's emphasis on time-sensitive freight, including for the U.S. Postal Service, positioned it as the largest international carrier at since 1994. By 1997, Fine Air employed 839 people and maintained its headquarters at the airport, operating from a 250,000-square-foot maintenance hangar. In June 1997, Barry H. Fine, son of founder J. Frank Fine, assumed the role of president and chief executive officer, overseeing the airline's strategic ambitions. Under his , Fine Air expanded its route network to 29 destinations across the U.S., South and , and the , prioritizing efficient delivery of perishable and high-value goods. Anticipating further scaling, Fine Air Services Inc. filed a registration statement with the U.S. Securities and Exchange Commission in July 1997 for an scheduled for August 6. The IPO aimed to raise $123.5 million through the sale of approximately 8.5 million shares at $14.50 each, with proceeds earmarked for acquiring additional , installing noise-reduction hushkits on the fleet, repaying , and bolstering . This move reflected the company's confidence in sustaining its compound annual revenue growth rate of 48.1% from 1993 to 1996.

Acquisition of Arrow Air and bankruptcy

Following the 1997 crash and subsequent FAA grounding, Fine Air partially resumed flight operations on October 28, 1997, under a consent agreement that required rigorous re-inspections, demonstration flights, and enhanced oversight of loading and procedures, resulting in reduced operational capacity compared to pre-accident levels. This partial resumption, amid ongoing investigations, contributed to early financial strain by limiting revenue-generating flights and necessitating layoffs of about 150 employees from a pre-grounding workforce of 900. In February 1999, Fine Air announced its acquisition of rival Miami-based cargo carrier for $115 million in cash, targeting the purchase of Arrow's operating assets, including 13 DC-8 aircraft, four L-1011s, inventories, and support facilities to consolidate international cargo services in . The deal, finalized in April 1999, integrated Arrow's routes and fleet into Fine Air's operations, expanding service to 28 destinations primarily in Central and and boosting overall capacity for time-sensitive freight such as perishables and . Post-acquisition, the combined entity peaked at over 900 employees and generated approximately $190 million in annual revenue in 2000, handling 240,000 tons of cargo through its hub in 1999, with a focus on imports and exports to South American markets. However, the acquisition exacerbated financial pressures, as the $115 million purchase added significant debt amid rising fuel costs and increased operational expenses. Fine Air filed for Chapter 11 protection on September 27, 2000, in the U.S. Bankruptcy Court for the Southern District of , citing $137 million in long-term bond debt primarily stemming from the deal, sharp fuel price increases, and lingering effects from the 1997 grounding that had disrupted and elevated premiums. The filing allowed Fine Air to continue limited operations while restructuring, but the company reported a net loss for 2000. Emerging from in 2002, Fine Air was acquired by a private investment group and restructured as a under the brand, effectively ending the Fine Air name and removing the Fine family from management control. Founder J. Frank Fine, who had established the in 1989, died on April 25, 2003, at age 78 following an extended illness.

Operations

Destinations and routes

Fine Air operated exclusively as a , with all services centered on a hub-and-spoke model at its primary base, (MIA), which served as the central gateway for international freight operations. This hub facilitated seamless connections between the and Latin American markets, handling the majority of the airline's traffic without any passenger services. By March 1997, the network had expanded to 29 destinations across 21 countries in the , , and , up from just 9 in 1994, reflecting rapid growth in response to rising U.S.-Latin America trade volumes. The core regions served included the (such as , , , , and U.S. ), (including , , , , , and ), and (encompassing , , , , Surinam, and planned extensions to , , and ). Representative destinations featured high-frequency routes to major trade hubs like and Puerto Plata in the , and in , in , in , Kingston and in , and in , and in , and San Juan in . In 1997, the airline maintained over 70 weekly round-trip flights across these routes, with frequencies varying by demand— for instance, 18 round-trips per week to (six days) and 12 to (six days)—using DC-8 freighters for efficient short- to medium-haul operations typically lasting 2 to 5 hours. Fine Air's routes emphasized scheduled freighter services tailored to high-volume , including southbound shipments of durable goods like apparel, , and pharmaceuticals, and northbound perishables such as and flowers, supporting just-in-time delivery for in the . The network's strategy leveraged MIA's position as the largest U.S. international airport to connect with interline partners like and China Air, enabling broader reach to , , and while prioritizing reliability and flexibility in a market projected to grow 7.1% annually through 2005. This table highlights select high-impact routes establishing the network's scale, with full operations covering additional sites like , , and .

Fleet

Fine Air's fleet primarily consisted of cargo variants, which were selected for their long-range capabilities, enabling flights of up to approximately 4,000 nautical miles, ideal for the airline's Latin American and routes. The airline operated models including the DC-8-51F, DC-8-54, and DC-8-61, with examples such as N507DC (DC-8-51F), N57FB and N427FB (both DC-8-54), and N27UA and N30UA (both DC-8-61). By 1997, the fleet had grown to a peak of 15 DC-8 aircraft, including 12 Stage II models owned or operated directly by Fine Air and 3 Stage III models leased from ABX Air, reflecting the company's expansion as Miami's largest all-cargo carrier at the time. In 1997, Fine Air supplemented its DC-8 fleet with 1 aircraft, converted from passenger to freighter configuration to handle oversized cargo loads. Notable examples included N260FA, an L-1011-200F, which supported the airline's growing demand for heavy-lift capacity. These wide-body trijets were integrated to complement the narrower DC-8s, enhancing versatility for bulk shipments. Aircraft were acquired through leases and purchases from surplus markets, often from former passenger operators like , with all registrations under U.S. N-numbers to comply with FAA supplemental cargo operations under 14 CFR Part 121. By 1997, the average fleet age reached 31 years, emphasizing cost-efficiency through refurbished older jets rather than new purchases. Maintenance was conducted in-house at facilities near , utilizing an FAA-approved Continuing Analysis and Surveillance program, though inspections revealed recurring issues such as cargo door malfunctions and structural concerns on some airframes. In 1999, Fine Air acquired , integrating its assets—including 13 additional DC-8s and 4 L-1011 TriStars—into the fleet. Following the 2000 Chapter 11 bankruptcy filing and subsequent restructuring, the combined entity operated under Arrow Air Holdings, leading to the disposal of most DC-8s by 2002 as Fine Air ceased operations.

Incidents and accidents

Fine Air Flight 101

On August 7, 1997, was a scheduled cargo flight operating from in , , to in , . The flight was performed using a , registered as N27UA. The aircraft was loaded with an approximately 87,000-pound payload consisting of cut cloth () and accessories, secured in pallets and containers. The crew included three pilots—a , first officer, and —along with one , making four people on board. At 12:36 EDT, the DC-8 began its takeoff roll on under clear weather conditions with light winds. Following rotation, the aircraft pitched up abruptly but failed to gain sufficient climb, entering a as the nose attitude exceeded safe limits; it subsequently descended and crashed into an adjacent warehouse district roughly 900 feet beyond the end, where it broke apart upon impact and erupted in a post-crash . The resulted in five fatalities: all four individuals on board perished, as did one person on the ground who was struck by . While the crash damaged several buildings, vehicles, and warehouses in the industrial area, no additional ground casualties occurred. In the immediate aftermath, Fine Air voluntarily grounded all its operations on September 5, , following enforcement inspections by the (FAA) that revealed safety concerns, to avoid a suspension of its operating certificate. The (NTSB) launched an investigation into the crash, dispatching a go-team to the site on the day of the .

Investigation findings and regulatory changes

The National Transportation Safety Board (NTSB) investigation into Fine Air Flight 101, detailed in its 1998 accident report (AAR-98/02), determined that the probable cause was the captain's failure to reject the takeoff or maintain a proper pitch attitude after rotation, which was precipitated by an aft center of gravity (CG) resulting from the improper loading and securing of cargo, combined with a mistrimmed horizontal stabilizer. This aft CG shift occurred because the cargo—primarily clothing on pallets—was not loaded according to the approved plan, with several pallets positioned too far aft and inadequately restrained, moving the center of gravity from the approved 30% mean aerodynamic chord (MAC) to approximately 32.8% MAC, near or beyond the aft limit of 33.1% MAC. The report highlighted that the failure of Fine Air to exercise operational control over the cargo loading process, combined with the ground service provider Aeromar's improper execution of loading instructions, directly enabled the misconfiguration. Contributing to the accident were several interrelated factors, including inadequate cargo restraints, such as only three of 60 recovered pallet locks being engaged and the use of frayed or broken nets secured with unauthorized materials like , which allowed cargo to shift during takeoff. performed no independent weight-and-balance verification, relying on uncalibrated scales that resulted in discrepancies, such as an actual cargo weight of about 88,923 pounds versus the listed 87,823 pounds, including unrejected excess weight on certain pallets. The flightcrew's inexperience with handling a DC-8 in an aft center-of-gravity condition exacerbated the issue, as they did not promptly apply aggressive nose-down trim despite the extreme attitude exceeding 30 degrees; the aircraft's stall warning activated at low altitude, but recovery was impossible. Additionally, the NTSB criticized the (FAA) for inadequate oversight of Fine Air's operations, noting prior inspections had identified deficiencies in weight-and-balance controls and loading procedures that went unaddressed. In response, the FAA immediately intensified scrutiny of Fine Air, leading to a voluntary grounding of its fleet in September 1997 under a consent agreement that halted all operations until were implemented. Operations resumed on October 28, 1997, only after Fine Air demonstrated improvements in cargo loading protocols, training, and oversight, though with ongoing restrictions. The NTSB's recommendations prompted the FAA to mandate enhanced cargo securing procedures for Part 121 operators in 1998, including requirements for verified weight-and-balance documentation and supervisor oversight during loading. These findings spurred broader industry reforms, with the FAA revising inspector guidance for cargo surveillance and issuing updated advisory materials on freighter loading, such as enhancements to weight-and-balance controls under 120-27 (later iterations emphasizing cargo restraint integrity). The accident influenced increased training mandates for cargo handlers, focusing on restraint techniques and center-of-gravity calculations, which were incorporated into FAA oversight programs like the Air Transport Oversight System. For Fine Air specifically, the FAA imposed civil penalties totaling $5 million in a 2000 settlement with the airline and its cargo loader for pre-accident safety violations, including inadequate loading controls, contributing to the company's financial pressures.

References

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