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Fine Air
View on WikipediaFine 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
[edit]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
[edit]
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
[edit]
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
[edit]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
[edit]References
[edit]
Media related to Fine Air at Wikimedia Commons
- ^ a b c "FINE AIR SERVICES INC (BIGF) IPO". NASDAQ. Retrieved 18 December 2013.
- ^ a b Hemlock, Doreen (7 June 1997). "Miami Cargo Carrier Plans Stock Offering". Sun-Sentinel. Archived from the original on 19 December 2013. Retrieved 18 December 2013.
- ^ a b c d e Hemlock, Doreen (28 September 2000). "Fine Air Files For Bankruptcy". Sun-Sentinel. Archived from the original on 19 December 2013. Retrieved 18 December 2013.
- ^ a b "Uncontrolled Impact with Terrain, Fine Airlines Flight 101, Douglas DC-8-61, N27UA, Miami, Florida, August 7, 1997" (PDF). National Transportation Safety Board. June 16, 1998. NTSB/AAR-98/02. Retrieved December 18, 2013.
- ^ Hemlock, Doreen (9 August 1997). "Fine Air Voids Stock Offer, Agrees To Repay Investors". Sun-Sentinel. Archived from the original on 19 December 2013. Retrieved 18 December 2013.
- ^ Hemlock, Doreen (5 September 1997). "Fine Air Voluntarily Grounds Its Fleet". Sun-Sentinel. Archived from the original on 19 December 2013. Retrieved 18 December 2013.
- ^ Kaye, Ken (29 October 1997). "Fine Air, With Federal Ok, Resumes Miami Flights". Sun-Sentinel. Archived from the original on 19 December 2013. Retrieved 18 December 2013.
- ^ "FINE AIR SERVICES AGREES TO BUY A RIVAL FOR $115 MILLION". The New York Times. 12 February 1999. ISSN 0362-4331. Retrieved 18 December 2013.
- ^ "Frank Fine, air cargo company founder, dies at 78". Associated Press. 27 April 2003. Retrieved 18 December 2013.
- ^ "J. Frank Fine Obituary (2003) The Palm Beach Post". Legacy.com. Retrieved 15 January 2022.
- ^ "Air Cargo Insanity". Aircargoinsanity.com. March 6, 2004. Archived from the original on May 9, 2008. Retrieved May 9, 2008.
- ^ "Airliners.net". Archived from the original on 2016-06-14. Retrieved 2022-02-18.
Fine Air
View on GrokipediaHistory
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 aircraft leasing operation to address unreliable cargo transport for his agricultural ventures in Latin America and the Caribbean.[7] With over two decades of experience managing farming operations across 12 countries in the region—growing perishable goods such as okra, cucumbers, melons, and tomatoes—Fine recognized the limitations of existing airlines like Braniff and Pan Am, prompting him to acquire aircraft for leasing to support timely delivery of his produce.[8] The company began by purchasing two Boeing 707s, which were leased to operators serving South and Central America and the Caribbean, without conducting its own flights.[7] 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.[7] By the mid-1980s, the operation had evolved under the name Agro Air, incorporated in 1982, and expanded its maintenance capabilities, earning FAA certification as a repair station for DC-8 aircraft in 1986 and for Pratt & Whitney JT3D-3B engines in 1987.[7] Barry H. Fine, J. Frank Fine's son, joined in 1982, contributing to the growth of the fleet to three aircraft by that time, primarily focused on leasing for cargo needs.[7] In 1989, Fine Air Services Inc. was formally incorporated in Florida, marking a shift from pure leasing to initiating scheduled international cargo services from its base at Miami International Airport.[7] This transition was driven by the need to expand beyond ad hoc ACMI (aircraft, crew, maintenance, and insurance) leases, with the fleet growing to five Douglas DC-8 variants dedicated to cargo transport of perishable goods and general freight.[7][8] The early 1990s saw Fine Air solidify its operational scale, receiving its U.S. air carrier operating certificate in November 1992, which enabled the development of dedicated cargo routes.[7] By 1994, the company had pivoted to scheduled services, emphasizing Latin American markets where it transported goods like produce and other commodities, accounting for 68% of revenues that year and rising to 89% by 1996.[7] Revenue milestones reflected this expansion, climbing from $29.0 million in 1993 to $94.2 million in 1996, with cargo 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.[7] J. Frank Fine remained chairman, guiding the focus on perishable and general cargo to leverage his agricultural roots, while the fleet of DC-8s supported efficient service to destinations in South and Central America.[7][8]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 Latin America and the Caribbean. Starting in 1994, the airline augmented its fleet of Douglas DC-8 aircraft by leasing Lockheed L-1011 TriStar 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 charter services.[7] 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 cargo operations that carried 75,000 tons of freight, up from 32,000 tons in 1994. The company's emphasis on time-sensitive freight, including mail for the U.S. Postal Service, positioned it as the largest international air cargo carrier at Miami International Airport 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.[7][9] 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 leadership, Fine Air expanded its route network to 29 destinations across the U.S., South and Central America, and the Caribbean, prioritizing efficient delivery of perishable and high-value goods.[7][10] Anticipating further scaling, Fine Air Services Inc. filed a registration statement with the U.S. Securities and Exchange Commission in July 1997 for an initial public offering 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 aircraft, installing noise-reduction hushkits on the fleet, repaying debt, and bolstering working capital. This move reflected the company's confidence in sustaining its compound annual revenue growth rate of 48.1% from 1993 to 1996.[7][11][2]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 cargo loading and maintenance procedures, resulting in reduced operational capacity compared to pre-accident levels.[1] 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.[12] In February 1999, Fine Air announced its acquisition of rival Miami-based cargo carrier Arrow Air 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 South Florida.[4] 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 South America and boosting overall capacity for time-sensitive freight such as perishables and electronics.[5] 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 Miami hub in 1999, with a focus on imports and exports to South American markets.[13][6][14] 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 bankruptcy protection on September 27, 2000, in the U.S. Bankruptcy Court for the Southern District of Florida, citing $137 million in long-term bond debt primarily stemming from the Arrow deal, sharp fuel price increases, and lingering effects from the 1997 grounding that had disrupted cash flow and elevated insurance premiums.[6][15] The filing allowed Fine Air to continue limited operations while restructuring, but the company reported a net loss for 2000.[13] Emerging from bankruptcy in 2002, Fine Air was acquired by a private investment group and restructured as a subsidiary under the Arrow Air brand, effectively ending the Fine Air name and removing the Fine family from management control.[16] Founder J. Frank Fine, who had established the airline in 1989, died on April 25, 2003, at age 78 following an extended illness.[17]Operations
Destinations and routes
Fine Air operated exclusively as a cargo airline, with all services centered on a hub-and-spoke model at its primary base, Miami International Airport (MIA), which served as the central gateway for international freight operations.[7] This hub facilitated seamless connections between the United States and Latin American markets, handling the majority of the airline's traffic without any passenger services.[7] By March 1997, the network had expanded to 29 destinations across 21 countries in the Caribbean, Central America, and South America, up from just 9 in 1994, reflecting rapid growth in response to rising U.S.-Latin America trade volumes.[7] The core regions served included the Caribbean (such as Barbados, Jamaica, Dominican Republic, Puerto Rico, and U.S. Virgin Islands), Central America (including Costa Rica, El Salvador, Guatemala, Honduras, Nicaragua, and Panama), and South America (encompassing Colombia, Ecuador, Venezuela, Guyana, Surinam, and planned extensions to Bolivia, Peru, and Brazil).[7] Representative destinations featured high-frequency routes to major trade hubs like Santo Domingo and Puerto Plata in the Dominican Republic, Bogotá and Medellín in Colombia, San José in Costa Rica, Panama City in Panama, Kingston and Montego Bay in Jamaica, Caracas and Maracaibo in Venezuela, Guayaquil and Quito in Ecuador, and San Juan in Puerto Rico. 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 Bogotá (six days) and 12 to Caracas (six days)—using DC-8 freighters for efficient short- to medium-haul operations typically lasting 2 to 5 hours.[7][18] Fine Air's routes emphasized scheduled freighter services tailored to high-volume cargo, including southbound shipments of durable goods like apparel, electronics, and pharmaceuticals, and northbound perishables such as seafood and flowers, supporting just-in-time delivery for import/export trade in the region.[7] The network's strategy leveraged MIA's position as the largest U.S. international cargo airport to connect with interline partners like Air France and China Air, enabling broader reach to Europe, Asia, and North America while prioritizing reliability and flexibility in a market projected to grow 7.1% annually through 2005.[7]| Country | Key Cities Served | Weekly Round-Trip Flights (1997 Peak) |
|---|---|---|
| Dominican Republic | Santo Domingo, Puerto Plata | 8 |
| Colombia | Bogotá, Medellín | 19 |
| Venezuela | Caracas, Maracaibo | 17 |
| Ecuador | Guayaquil, Quito | 14 |
| Jamaica | Kingston, Montego Bay | 6 |
| Costa Rica | San José | 3 |
| Panama | Panama City | 3 |
| Puerto Rico | San Juan | 5 |