Number 118 - Part 241 - Filing of Year-end Preliminary Form 41 Schedules Part 248 - Filing of Annual Audit Reports
Department of Transportation, Research and Special Programs Administration, Office of Aviation Information Management
Issue Date: 1/18/89
Effective Date: Immediately
Part: 241/248, Section: 241.22
FILLING OF FORM 41 YEAR-END PRELIMINARY REPORTS
Section 22 of Part 241, Uniform System of Accounts and Reports for Large Certificated Air Carriers, gives air carriers the option of extending the due date for filing its fourth quarter or semi-annual Form 41 schedules until March 30 provided that preliminary year-end Form 41 Schedules B-1 or B-1.1, Balance Sheet, and P-1.1 or P-1.2, Statement of Operations, are filed on or before their February 10th due date.
Questions have been raised as to whether preliminary filings of Schedule P-1.2 need to be filed on an entity basis. The Form 41 reporting instructions contained in Part 241 require Schedule P-1.2 to be filed for each operating entity as well as for the overall or system operations of the air carrier. There is no distinction between this schedule being filed on a regular basis or on a preliminary basis. Accordingly, preliminary filings of Schedule P-1.2 must be made for each operating entity and for the overall or system operations of the air carrier. Failure to comply with each schedule's reporting instructions will not satisfy the requirements for granting the year-end due date extension and will result in all year-end schedules remaining due on February 10.
PART 248 - SUBMISSION OF AUDIT REPORTS
As a reminder, Part 248 of the Department's Economic Regulations provides that each certificated air carrier that (1) is subject to the requirements of Part 241, Uniform System of Accounts and Reports for Large Certificated Air Carriers, and (2) has an annual audit of its financial records performed by independent public accountants is required to file, with the Department, two copies of the annual audit report submitted to the carrier by the independent public accountants including all schedules, exhibits and certificates that are included in, attached to or submitted with as part of the audit report. Copies of annual audit report% are required to be filed within 15 days after the due date for the Form 41 schedules filed for the quarter ending closest to the 12-month period covered by the audit report, or the date the accountant submits its audit report to the air carriers whichever is later. Carriers okay file the annual report to the stockholders in lieu of the auditor's report.
Part 248 also provides that each certificated air carrier that is subject to Part 24l but does not have an annual audit of its financial records for a given fiscal year, must file a statement informing the Department that no annual audit has been performed. This statement shall accompany the carrier's filing of its periodic Form 41 reports for the quarter ending closest to the end of the carriers fiscal year,
If the airline is audited as part of a holding company, the audit report for the holding company does not have to be filed, unless the majority of the holding company's revenue is related to the airline operation. The statement referred to in the preceding paragraph should explain that the airline is audited as part of a holding company and the airline's revenue is not a majority of the holding company's revenues.
The mailing address for submitting copies of annual reports and statements that no audit has been performed is shown below.
Data Administration Division, DAI-2O
Office of Aviation Information Management, RSPA
Department of Transportation
Washington, D.C. 20590
Questions regarding this reporting directive can be addressed to the following individuals in care of this office:
Preliminary schedules- Jerry Coffee (202) 366-4409
Audit reports - Clay Moritz (202) 366-4385.
This action is taken under authority delegated in section 385.27(b) of the Department's Organization Regulations (14 CFR 385.27(b)).
Robin A. Caldwell