The Coast News Group
California Pacific Airlines delivered payments to furloughed employees last week after nearly three months. Photo by Steve Puterski
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Former California Pacific employees receive first paycheck in three months

CARLSBAD — Last week, California Pacific Airlines made the first of three payroll installments owed to furloughed workers, according to several former employees.

As part of the terms of a recent capital commitment, CP Air founder Ted Vallas said all debts, including furloughed employees’ payroll, would be paid. The payment follows the company’s announcement last month that the airline will return to full commercial service in 90 days.

The employees were not paid for the periods between Dec. 16 and Dec. 31, Jan. 1 and Jan. 15 and Jan. 16 and Jan. 18, but last week, employees received pay for the Dec. 16 to Dec. 31 period, according to several sources.

Many of the employees were based in the Denver system and Kennesaw, Georgia.

Vallas, 98, purchased Georgia-based Aerodynamics last year to obtain a federal certificate to operate a commercial airline.

Many of the employees were stationed in CP Air’s Denver system, which held an Essential Air Service, a government contract, for more than $7 million.

However, the company eventually left the contract in December and later announced the airline would shut down for January to regroup.

Vallas announced two weeks ago the airline has received a substantial capital commitment from Charles Lubasch, chairman of Glidepath Capital Partners, to restart service in 90 days.

The investment also includes purchasing two refurbished Embraer-145 jets, which will be reconfigured to hold 46 passengers.

Note: Jim Kydd, owner of The Coast News, is an investor with CP Air.


Addie March 15, 2019 at 2:02 pm

Thanks for fixing the headline. At least this one is not misleading.

Addie March 14, 2019 at 9:50 am

So are we supposed to congratulate a millionaire for not being a deadbeat? And again the headline is misleading because they did not receive ALL of the pay to which they are entitled. Seems to be a pattern with stories about this.

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