Can someone explain the scope penalty math?
I’m going through the Section 1 examples, and I don’t understand how they’re calculating some of these numbers.
For example:
If the total fleet size reduced in CY2023 and the wet lease aircraft operated 1250 block hours, the penalty owed would be $250,000 (i.e., (1250-1000) x $1,000).
Why in this example are they subtracting “1000” from the block hours?