Trouble ahead for Centurion?

According to a report in the South Florida Business Journal, fuel supplier Chemoil Corp. filed eleven lawsuits in Miami Dade Civil Court, claiming that Miami-based all-cargo carrier Centurion Air Cargo and affiliates are past due on $12.9 million in fuel bills.

Each lawsuit is aimed at an individual airplane in the fleets of Centurion and sister carrier SkyLease Cargo. Originally, in May of this year, Chemoil filed mechanic’s liens, which would prevent the aircraft owner from selling any of the planes without first paying Chemoil. However, at the end of July, Chemoil upped the ante by filing lis pendens, which, if enforced, could put the freighters up for auction to satisfy the debt.

In addition to the lawsuit, Centurion/SkyLease also faces the problem of increased competition and falling revenue in its core business of providing main-deck capacity connecting North and South America through its Miami hub. For a more detailed analysis by Cargo Facts’ European editor Alex Lennane, click here.

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