GM1 ARO.GEN.305(b) Oversight programme    

CAA ORS9 Decision No. 1

FINANCIAL MANAGEMENT

Examples of trends that may indicate problems in a new organisation's financial management are:

(a) significant lay-offs or turnover of personnel;

(b) delays in meeting payroll;

(c) reduction of safe operating standards;

(d) decreasing standards of training;

(e) withdrawal of credit by suppliers;

(f) inadequate maintenance of aircraft;

(g) shortage of supplies and spare parts;

(h) curtailment or reduced frequency of revenue flights; and

(i) sale or repossession of aircraft or other major equipment items.