Considering recent history… Govt. ups cash bond for rebranded airline

Nov 15, 2019 News

Eastern Airlines LLC will soon begin scheduled services between New York and Georgetown, Guyana.

Rebranded: Eastern Airlines LLC (Photo credit: https://airwaysmag.com)

This was disclosed by the Director-General of the Ministry of the Presidency, Joseph Harmon during his post-Cabinet press briefing yesterday.
Harmon explained that Eastern Airlines LLC applied to the Guyana Civil Aviation Authority (GCAA) and received approval.
The airlines requested to operate scheduled air services between John F. Kennedy International Airport and the Cheddi Jagan International Airport (CJIA) using Boeing 767-200ERs and Boeing 767-300ERs aircraft.
According to Harmon, before commencing operations, the airline will be required to post a $52.2M (US$250,000) bond to the Government of Guyana and a separate bond of $41.7M (US$200,000) to the Guyana Revenue Authority (GRA).
Once these bonds are paid, the airline can commence operations on or before December 8, 2019.
When asked why the government decided to approve Eastern Airlines, the Director-General indicated that there has also been some amount of lobbying by entities, outside of Guyana, on the airline’s behalf.
Harmon further explained that the decision to collect bonds will safeguard Guyanese passengers if the airline decides to discontinue its service for whatever reason.
“There was some history with respect to this particular airline, and therefore, when the application came, it took some amount of due diligence to come to the point of deciding… But, we were always concerned about its history and the fact that we do not want to have Guyanese people stranded again, having bought tickets and stranded here or in New York… We wanted to ensure that these things are put in place. So, the question of the bond is one sure way of satisfying that requirement that if in fact, that were to happen, we will be in a position to charter aircraft to get people to their destination,” Harmon said.
Eastern Airlines, LLC, previously Dynamic International Airways, is a U.S. Certificated airline founded in 2010.