This is from our private board at Investors Hangout; I think Baltia did the right thing.These are 4-5 post back-forth describing what's going on; we should be getting a PR soon.It isn't management talking here but a majority share holder and another that has extensive experiential knowledge within said industry.

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HQ officially withdrew their application from the FAA NY office on Monday night, 10/15/12. HQ felt that John Krepps was and would continue to hinder our forward motion and that this was in the best interests for Baltia Airlines in the long run.

HQ officially submitted their application to the FAA office in Michigan (I believe on 10/17/12) and is awaiting their response....their acceptance....before they issue a PR about the process/change/etc.

This is not a "re" submission but a completely new application. As such, it is possible that only 9 SAI's will need to be reviewed. If not (I believe).....then we are back to the same NUMBER as the last time, 18, since officially Baltia's last submission was not "rejected".

No....it is not possible to take all the "progress" that the NY FAA office did and move it over to Michigan....it just doesn't work that way. We have to start from scratch......hopefully with only 9 SAIs. With a HUGELY POSITIVE attitude, HQ is HOPING that the Michigan branch of the FAA (with their 15 members currently doing nothing else) will get us through Gate One......BY YEAR END!!!! (keep your fingers crossed!).

In the long run...and based on their past experience with John Krepps and his attitude and comments he made to members of his staff........HQ felt this was in the best interests for Baltia. HQ believes this move will set us back one step, but ultimately we will be two steps ahead and will get to revenue flights quicker and easier than possible with the NY office. HQ felt that, if we remained with the NY office, John Krepps influence would continue to hinder us every step of the way. HQ is confident that with the help of Mr. Kalitta ("Khanni" is his first name, but I do not know how to spell it) and members of his staff, as well as his very cllose relationship with the FAA officials in Michigan, our progress through the certification process will be much simpler and much quicker.

For many (many, many) years we have trusted this management......it is time to trust their decisions once again.

Sometimes in life orders come down the chain of command that you may not like. Accept that it is not your choice, but make the best out of them. Slow and STEADY wins the race.

GLTA...............

If we do in fact move to Michigan, and we do have to re-do a number of Manuals, then I would
still think toughing it out in NY for one last #18 would be the lesser of two evils.
From your experience, do you think that a re-do is in the cards here?

A "re-do"? No. Baltia makes its submission, the certification team that has been assigned selects a handful of the SAI's to evaluate, they do it quickly (compared to NY), and Baltia moves forward.

The manuals will not require any significant "re-do" by Baltia. (BTW, the manuals and the SAI's are not the same thing - and the 18 being reviewed recently were SAI's) Def: SAI = Safety Attribute Inspection. Basically, it is a way of auditing whether or not the regulatory requirements have been met within the documentation presented.

It appears on the surface that Baltia must start over, but that is not really true - Baltia's manuals and SAI's are at a high level of preparedness, and it will be much easier and quicker for Michigan's office to process Baltia, compared to the delays that Baltia experienced with the NY office - they revised what was expected of Baltia several times while they were learning the new system themselves - and Michigan does not have to go through the same learning curve that NY did.

This process will go much more quickly now, IMHO.
The first few steps that should go quickly include their acceptance of Baltia's 5 key personnel, manual & SAI review, and a formal meeting - these things should go smoothly & quickly (compared to NY) - this passes Baltia through the "gate" - now a number of things can and will be done in parallel, including training of various personnel, setting up of dispatch, aircraft maintenance & preparedness, contracts for services, emergency evacuation drills, setting up of reservations, etc etc etc . . .

The game is on, gentlemen - in a much more cooperative environment. Nicely stated. And that is exactly what Baltia managment has done - adjust, after exhausting all reasonable means to deal with the hand they were dealt. They have some latitude and discretion. Know this - Michigan is well aware that Baltia's manuals and SAI's are in good order - that does not relieve them of their responsibility to go through the review, but it does give them a comfort level that many believe will help move things along smoothly and more quickly

GLTA