Great Lakes Aviation (GLUX) Inactive 10-Q14 Aug 142014 Q2 Quarterly reportFinancial data

Company Profile

Document_and_Entity_Informatio

Document and Entity Information	6 Months Ended
Document and Entity Information	Jun. 30, 2014	Aug. 09, 2014
Document Information [Line Items]	'	'
Document Type	'10-Q	'
Amendment Flag	'false	'
Document Period End Date	30-Jun-14	'
Document Fiscal Year Focus	'2014	'
Document Fiscal Period Focus	'Q2	'
Trading Symbol	'GLUX	'
Entity Registrant Name	'GREAT LAKES AVIATION LTD	'
Entity Central Index Key	'0000914397	'
Current Fiscal Year End Date	'--12-31	'
Entity Filer Category	'Smaller Reporting Company	'
Entity Common Stock, Shares Outstanding	'	8,974,990

Balance_Sheets

Balance Sheets (USD $)	Jun. 30, 2014	Dec. 31, 2013
Current assets:	'	'
Cash	$3,181,122	$6,597,927
Accounts receivable and other receivables	5,381,318	7,118,868
Inventories	7,635,311	8,667,751
Prepaid expenses and other current assets	2,545,530	3,154,713
Deferred income taxes	1,457,049	1,457,049
Total current assets	20,200,330	26,996,308
Property and equipment:	'	'
Flight equipment	125,372,402	125,027,613
Other property and equipment	10,678,845	10,604,094
Less accumulated depreciation and amortization	-90,114,529	-87,029,483
Total property and equipment	45,936,718	48,602,224
Other assets	1,827,727	2,279,968
Total assets	67,964,775	77,878,500
Current liabilities:	'	'
Notes payable and current maturities of long-term debt	24,221,333	24,173,333
Accounts payable	3,111,292	3,684,161
Accrued interest, unearned revenue and other liabilities	3,410,549	3,525,843
Total current liabilities	30,743,174	31,383,337
Deferred income taxes	4,483,483	7,877,096
Total liabilities	35,226,657	39,260,433
Preferred stock; $0.01 par value; Authorized: 25,000,000 shares. No shares issued or outstanding	'	'
Common stock; $0.01 par value; Authorized: 50,000,000 shares. Issued and outstanding: 8,974,990 shares	89,750	89,750
Paid-in capital	31,494,609	31,494,609
Retained earnings	1,153,759	7,033,708
Total stockholders' equity	32,738,118	38,618,067
Commitments and contingencies	'	'
Total liabilities and stockholders' equity	$67,964,775	$77,878,500

Balance_Sheets_Parenthetical

Balance Sheets (Parenthetical) (USD $)	Jun. 30, 2014	Dec. 31, 2013
Preferred stock, par value	$0.01	$0.01
Preferred stock, shares authorized	25,000,000	25,000,000
Preferred stock, shares issued	'	'
Preferred stock, shares outstanding	'	'
Common stock, par value	$0.01	$0.01
Common stock, shares authorized	50,000,000	50,000,000
Common stock, shares issued	8,974,990	8,974,990
Common stock, shares outstanding	8,974,990	8,974,990

Statements_of_Income_Loss

Statements of Income (Loss) (USD $)	3 Months Ended		6 Months Ended
Statements of Income (Loss) (USD $)	Jun. 30, 2014	Jun. 30, 2013	Jun. 30, 2014	Jun. 30, 2013
Operating Revenues:	'	'	'	'
Passenger	$8,135,165	$16,141,017	$15,060,195	$31,375,761
Public service	6,686,839	14,401,325	12,845,059	28,551,362
Freight, charter, and other	36,807	81,732	83,265	188,285
Total operating revenues	14,858,811	30,624,074	27,988,519	60,115,408
Operating expenses:	'	'	'	'
Salaries, wages, and benefits	5,012,238	8,201,511	11,035,800	17,010,083
Aircraft fuel	4,114,099	9,234,155	8,483,345	19,228,500
Aircraft maintenance, materials, and repairs	773,725	4,001,873	2,624,334	7,251,432
Depreciation and amortization	1,594,394	1,601,716	3,209,704	3,202,480
Other rentals and landing fees	1,189,982	1,812,898	2,591,500	3,799,634
Other operating expenses	3,572,036	4,428,486	7,206,726	9,285,400
Total operating expenses	16,256,474	29,280,639	35,151,409	59,777,529
Operating income (loss)	-1,397,663	1,343,435	-7,162,890	337,879
Other expense:	'	'	'	'
Interest expense, net of interest income of $160, $553, $320 and $1,015, respectively	-1,130,434	-1,097,947	-2,117,303	-2,203,238
Income (loss) before income taxes	-2,528,097	245,488	-9,280,193	-1,865,359
Income tax benefit (expense)	938,841	-99,610	3,400,244	752,536
Net income (loss)	($1,589,256)	$145,878	($5,879,949)	($1,112,823)
Net income (loss) per share:	'	'	'	'
Basic	($0.18)	$0.02	($0.66)	($0.12)
Diluted	($0.18)	$0.02	($0.66)	($0.12)
Weighted average shares outstanding:	'	'	'	'
Basic	8,974,990	8,974,990	8,974,990	8,974,990
Diluted	8,974,990	8,974,990	8,974,990	8,974,990

Statements_of_Income_Loss_Pare

Statements of Income (Loss) (Parenthetical) (USD $)	3 Months Ended		6 Months Ended
Statements of Income (Loss) (Parenthetical) (USD $)	Jun. 30, 2014	Jun. 30, 2013	Jun. 30, 2014	Jun. 30, 2013
Interest expense, interest income	$160	$553	$320	$1,015

Statements_of_Cash_Flows

Statements of Cash Flows (USD $)	6 Months Ended
Statements of Cash Flows (USD $)	Jun. 30, 2014	Jun. 30, 2013
CASH FLOWS FROM OPERATING ACTIVITIES:	'	'
Net income (loss)	($5,879,949)	($1,112,823)
Adjustments to reconcile net income to net cash provided by operating activities	'	'
Depreciation and amortization	3,209,704	3,202,480
Loss on items beyond economic repair	94,224	211,728
Amortization of debt issuance costs	353,548	320,669
Deferred tax benefit	-3,393,613	-955,902
Change in current operating items:	'	'
Accounts receivable	1,737,550	-233,193
Inventories	1,032,440	-52,887
Prepaid expenses and other current assets	685,071	-399,679
Other assets	452,241	578,069
Accounts payable	-572,869	-995,025
Accrued interest, unearned revenue and other liabilities	-115,294	491,926
Net cash (used) provided by operating activities	-2,396,947	1,055,363
CASH FLOWS FROM INVESTING ACTIVITIES:	'	'
Purchase of flight equipment and other property and equipment	-638,422	-953,863
Net cash flows used in investing activities	-638,422	-953,863
CASH FLOWS FROM FINANCING ACTIVITIES:	'	'
Repayment of notes payable and long-term debt	-1,452,000	-1,750,000
Proceeds from borrowing	1,500,000	1,500,000
Payment for debt issuance costs	-429,436	'
Net cash (used) provided by financing activities	-381,436	-250,000
NET DECREASE IN CASH AND CASH EQUIVALENTS	-3,416,805	-148,500
Cash and Cash Equivalents:	'	'
Beginning of period	6,597,927	2,887,634
End of period	3,181,122	2,739,134
Supplementary cash flow information:	'	'
Cash paid during the period for interest (contractual)	1,730,209	1,903,346
Cash paid during the period for income taxes	$4,579	$67,549

Statements_of_Stockholders_Equ

Statements of Stockholders' Equity (USD $)	Total	Common stock	Paid-in capital	Retained Earnings
Beginning balance at Dec. 31, 2013	$38,618,067	$89,750	$31,494,609	$7,033,708
Beginning balance (in shares) at Dec. 31, 2013	'	8,974,990	'	'
Net income (loss)	-5,879,949	'	'	-5,879,949
Ending balance at Jun. 30, 2014	$32,738,118	$89,750	$31,494,609	$1,153,759
Ending balance (in shares) at Jun. 30, 2014	'	8,974,990	'	'

Basis_of_Presentation

Basis of Presentation	6 Months Ended
Basis of Presentation	Jun. 30, 2014
Basis of Presentation	'
	1. Basis of Presentation

	The accompanying unaudited financial statements have been prepared in accordance with generally accepted accounting principles for interim financial information and the instructions to Form 10-Q and Regulation S-X. Accordingly, the accompanying unaudited financial statements contain all adjustments (consisting of only normal recurring accruals) necessary to present fairly the financial statements for the respective periods. Interim results are not necessarily indicative of results for a full year. The financial statements should be read in conjunction with the Company’s audited financial statements and notes thereto for the year ended December 31, 2013.

	The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenue and expenses during the reporting period. Actual results could differ from those estimates. Significant items subject to such estimates and assumptions include the useful lives of fixed assets; the salvage value of fixed assets; the valuation of deferred tax assets, fixed assets, inventory; and reserves for employee benefit obligations and other contingencies.

	Business

	Passenger Revenue

	Great Lakes Aviation, Ltd. (Great Lakes, the Company, we or us) is a regional airline operating as an independent carrier and as a code share partner with United Air Lines, Inc. (United or United Airlines) and Frontier Airlines, Inc. (Frontier or Frontier Airlines). Our code share agreements allow our mutual customers to purchase connecting flights through our code share partners and to share other benefits such as baggage transfer and frequent flyer benefits (in certain instances), while the Company maintains its own branding on our planes and ticket counters and our own designator code on all our flights. In addition to our code share agreements and independent branding, the Company has developed electronic ticketing (e-ticket) interline agreements with American Airlines, Delta Airlines, Frontier Airlines, United Airlines and U.S. Airways.

	Currently, the Company estimates that approximately 37% of Great Lakes’ passenger traffic utilizes the United code share product line and approximately 24% of Great Lakes’ passenger traffic utilizes the Frontier code share product line.

	The Company has been informed by Frontier that as part of Frontier’s transformation to an ultra-low cost carrier, that their business model, and subsequent change to a new reservation platform, will no longer allow for interline agreements with any other carriers. As a result, effective October 1, 2014, the Company’s code share and interline e-ticketing agreements with Frontier will be terminated.

	The Company provides charter air services to private individuals, corporations, and athletic teams. The Company also carries cargo on most of the Company’s scheduled flights.



	Public Service Revenue

	Approximately 46% and 48% of the Company’s total revenue during each of the six months ended June 30, 2014 and 2013, respectively, were generated by services provided under the Essential Air Service (EAS) program administered by the United States Department of Transportation (DOT). The FAA Modernization and Reform Act of 2012 was enacted into law on February 14, 2012. This legislation provides for the authorization of the Essential Air Service program through September 30, 2015.

	As of August 9, 2014, the Company served 30 airports, of which 20 locations receive EAS subsidy, in 9 states with a fleet of six Embraer EMB-120 Brasilia and 28 Beechcraft 1900D regional airliners. The Company currently operates hubs at Denver, CO, Los Angeles, CA, Minneapolis, MN and Phoenix, AZ.

	Liquidity

	The Company has historically used debt to finance the purchase of its aircraft.

	The Company has experienced a shortage of qualified pilots which has caused the Company to curtail operations and reduce capacity. The pilot shortage and its effect on operations are expected to continue until the Company can hire and train enough pilots to reestablish operations in those markets in which the Company was forced to suspend service. The curtailment of operations has had a negative impact on revenue, operating income and operating cash flows which is expected to continue. Due to this negative impact on revenue, operating income and operating cash flows, the Company does not expect to be in compliance with the debt to earnings coverage covenant in its credit agreement. Until the Company is able to re-staff a sufficient number of qualified pilots to restore service to suspended markets, it expects that it will not have sufficient liquidity to service its existing debt obligations.

	The above circumstances and near term projections of significant net losses and negative operating cash flows in combination with the expectation the Company will not be in compliance with the terms of the senior credit facility, and the lender’s ability to call our debt, raise substantial doubt about the Company’s ability to continue as a going concern. Our financial statements are prepared on a going concern basis in accordance with United States generally accepted accounting principles and do not include any adjustments that might result from the outcome of this uncertainty. The going concern basis of presentation assumes that we will continue in operation for the next twelve months and will be able to realize our assets and discharge our liabilities and commitments in the normal course of business. Our credit facility matures on November 16, 2015. As a result of not being in compliance under our senior credit facility and the expectation the Company will not be in compliance with the terms of the senior credit facility throughout 2014, all borrowings (approximately $24.2 million) under our senior credit facility are classified as current maturities as of June 30, 2014. Our operating and capital plans for the next twelve months call for dedication of substantially all of our excess cash flow to the repayment of indebtedness.

	Effective May 30, 2014, the Company entered into the Fourth Amendment and Second Forbearance to Credit Agreement (the “Forbearance Agreement”) with its lenders Crystal Financial LLC and GB Merchant Partners, LLC (the “Lenders”). The Forbearance Termination Date is on the earliest of (i) September 15, 2014 and (ii) the date on which Great Lakes commits additional breaches under the Credit Agreement. In consideration of entering into the Forbearance Agreement, the Lenders have agreed to lend the Company up to an additional $3 million under our term loan and defer an additional $2 million of amortization payments until maturity of the loan, which were due and payable by September 30, 2014.

	To meet our capital needs, we are considering several alternatives, including, but not limited to, additional equity financings, debt financings, and other funding transactions, including the sale or sale-leaseback of certain aircraft. Also, as announced on June 30, 2014, the Company engaged Raymond James as its investment banker with respect to new financing options and strategic alternatives. There can be, however, no assurance that we will be able to complete any such transaction on acceptable terms or otherwise.

Earnings_Per_Share

Earnings Per Share	6 Months Ended
Earnings Per Share	Jun. 30, 2014
Earnings Per Share	'
	2. Earnings per share
	The following table shows the computation of basic and diluted earnings per common share:


		Three months ended					Six months ended
		June 30,					June 30,
		2014			2013		2014			2013
	Numerator:
	Net Income (loss)	$	(1,589,256	)	$	145,878	$	(5,879,949	)	$	(1,112,823	)
	Denominator:
	Weighted average shares outstanding, basic		8,974,990			8,974,990		8,974,990			8,974,990

	Weighted average shares outstanding, diluted		8,974,990			8,974,990		8,974,990			8,974,990
	Net income per share, basic	$	(0.18	)	$	0.02	$	(0.66	)	$	(0.12	)
	Net income per share, diluted	$	(0.18	)	$	0.02	$	(0.66	)	$	(0.12	)
	For the three month periods ended June 30, 2014 and June 30, 2013 there were no options or other potentially dilutive securities outstanding.

Accrued_Liabilities

Accrued Liabilities	6 Months Ended
Accrued Liabilities	Jun. 30, 2014
Accrued Liabilities	'
	3. Accrued Liabilities
	Accrued liabilities consisted of the following balances at June 30, 2014 and December 31, 2013:


		June 30,		December 31,
		2014		2013
	Unearned revenue		1,420,017		1,221,257
	Other accruals		56,254		—
	Accrued property taxes		297,929		74,962
	Accrued interest		307,460		286,701
	Accrued payroll		1,328,889		1,942,923

	Total accrued liabilities	$	3,410,549	$	3,525,843

LongTerm_Debt

Long-Term Debt	6 Months Ended
Long-Term Debt	Jun. 30, 2014
Long-Term Debt	'
	4. Long-Term Debt

	The following table sets forth, as of June 30, 2014 and December 31, 2013, the carrying amount of the Company’s long-term debt and current maturities of long term debt. The carrying amount of the debt consists of the principal payments contractually required under the debt agreements:




			June 30,			December 31,
			2014			2013
	Long-term debt:
	GB/Crystal Term Loan—principal		$	15,700,000		$	15,200,000
	GB/Crystal Revolving Loan- principal			8,521,333			8,973,333

	Total long-term debt			24,221,333			24,173,333
	Less current portion:
	GB/Crystal Term Loan—principal (1)			(24,221,333	)		(24,173,333	)

	Total current portion			(24,221,333	)		(24,173,333	)

	Total long-term portion		$	0		$	0



	-1	All debt is classified as current as a result of not being in compliance with our credit agreement and the lender’s ability to call our debt upon expiration of the current forbearance agreement.
	On November 16, 2011, the Company entered into a new financing agreement (the “Credit Agreement”) with GB Merchant Partners, LLC, serving as Collateral Agent, and Crystal Capital LLC, serving as Administrative Agent. Terms of the financing include a four-year term loan in the amount of $24 million and a revolving loan credit facility in which the Company may borrow up to $10 million. Pursuant to the terms of a pledge and security agreement and an aircraft security agreement, the Company’s obligations to the lenders identified in the Credit Agreement are secured by substantially all assets of the Company, including all owned aircraft. The term loan bears interest at a floating rate of 30 day LIBOR rate plus 11% with a minimum rate of 15.5%. Voluntary prepayments of the term loan are subject to prepayment penalties ranging from 4% prior to the first anniversary of the loan and declining in increments of 1% at each anniversary of the loan thereafter. As of June 30, 2014, $15.7 million was outstanding under the term loan. In addition to the scheduled contractual principal and interest obligations, the Company is required to make principal payments, based on a percentage of excess cash flows (as defined in the Credit Agreement), as measured on September 30 of each year beginning September 30, 2012. The Company is required to prepay an amount equal to 50% of such excess cash flow for the nine–month period ending September 30, 2012, and for each subsequent twelve-month period thereafter. The excess cash flow payments are to be applied to reduce the outstanding principal balance of the term loan. The Company made an excess cash flow payment on November 14, 2012, in the amount of $2.3 million.

	The term loan is set to mature on November 16, 2015 at which time the outstanding principal balance due is scheduled to be $9.8 million.

	As of June 30, 2014, $8.5 million was outstanding under the revolving credit facility, secured by accounts receivable, parts inventory and spare engines. The revolving credit facility bears interest at the rate of 30 day LIBOR rate plus 8.0% with a minimum interest rate of 10.5%. The revolving loan credit facility is set to mature on November 16, 2015 at which time any outstanding principal balance will be due. The Company was also required to pay a closing fee based on the initial facility commitment, and is required to pay a monthly unused line fee, a specified fee for certain prepayments of the term loan, and certain administrative and fronting fees related to the Credit Agreement.

	As of June 30, 2014 the Company was not in compliance with the leverage coverage ratio financial covenant contained in the Company’s senior credit facility’s Credit Agreement. Specifically the Company was required to maintain a leverage ratio, calculated by dividing average quarterly borrowings by trailing 12 month earnings before interest, taxes, depreciation and amortization (EBITDA), as defined by the Credit Agreement, of 2.25:1 or less. At June 30, 2014, the Company’s leverage ratio was calculated to be 4.27:1, which was not in compliance with the terms of the Credit Agreement. Furthermore, the Company does not expect to be in compliance with its leverage ratio covenants throughout the balance of 2014 as EBITDA is calculated on a trailing 12-month basis. At March 31, 2014 the Company did not submit its audited annual report to its lenders within the prescribed timeframe required by the terms of the Credit Agreement. Furthermore, the auditor’s report over the Company’s financial statements for the fiscal year ended December 31, 2013 contained an explanatory paragraph referencing substantial doubt about the Company’s ability to continue as a going concern. These are both covenant violations that, absent a forbearance, permit the Company’s lenders to exercise their right to declare our debt obligations to be immediately due and payable under the terms of the Credit Agreement. As a result of not being in compliance with the terms of the Company’s senior credit facility and the expectation the company will not be in compliance with the terms of the senior credit facility upon expiration of the forbearance and throughout the remainder of 2014, all borrowings (approximately $24.2 million) under the Company’s senior credit facility are classified as current maturities as of June 30, 2014.

	On April 1, 2014 the Company and its Lenders have entered into a Third Amendment and Forbearance Agreement which terminated on April 30, 2014. As part of this agreement we agreed to a 2% increase in the applicable rate that we are paying on our loan agreements. The interest rate on our revolving credit facility will increase to the greater of 30 day LIBOR plus 10% or 12.5%. The interest rate on our term loan will increase to the greater of 30 day LIBOR plus 13% or 17.5%. The Company is in negotiations with its lenders on extending the term of the Forbearance Agreement.

	Effective May 30, 2014, the Company entered into the Fourth Amendment and Second Forbearance to Credit Agreement (the “Forbearance Agreement”) with its Lenders. Pursuant to the Forbearance Agreement, the Lenders have agreed to temporarily forbear from exercising certain rights and remedies under the Credit Agreement. The Forbearance Termination Date is on the earliest of (i) September 15, 2014 and (ii) the date on which Great Lakes commits additional breaches under the Credit Agreement. In consideration of entering into the Forbearance Agreement, the Lenders have agreed to lend the Company up to an additional $3.0 million under our term loan and defer an additional $2.0 million of amortization payments until maturity of the loan, which were due and payable by September 30, 2014. As of July 30, 2014 the Company has borrowed an additional $2.0 million under the terms of the Forbearance Agreement and deferred a $1.0 million amortization payment that, absent the forbearance, would have been payable on June 30, 2014. The Company also agreed to pay a forbearance fee of $242,000, a funding fee of $60,000, and a commitment fee of $60,000.

Related_Parties

Related Parties	6 Months Ended
Related Parties	Jun. 30, 2014
Related Parties	'
	5. Related Parties
	The Company rents two six-passenger aircraft and a vehicle from Iowa Great Lakes Flyers, Inc., a corporation solely owned by Douglas G. Voss, the Company’s Chairman and major stockholder. Total payments for these leases were $14,250 for each of the six months ending June 30, 2014 and 2013, respectively. As of June 30, 2014, Mr. Voss controlled 4,160,247 shares of common stock of the Company, representing approximately 46.4% of the Company’s outstanding common stock.

Income_Taxes

Income Taxes	6 Months Ended
Income Taxes	Jun. 30, 2014
Income Taxes	'
	6. Income Taxes
	The Company’s annual effective income tax rate is estimated to be 36.6% for 2014. The Company’s effective tax rate includes non-deductible permanent tax differences. Prior to 2004, the Company reported significant cumulative losses and generated substantial net operating loss carryforwards. From 2007 through 2013, the Company utilized a portion of these carryforwards to offset taxable income.
	Federal net operating loss carryforwards begin to expire in year 2021. The Company believes it is more likely than not that it will realize the benefit of the deductible temporary differences and these net operating loss carryforwards prior to expiration.

Fair_Value_Measurements

Fair Value Measurements	6 Months Ended
	Jun. 30, 2014
Fair Value Measurements	'
	7. Fair Value Measurements
	A fair value hierarchy that prioritizes the inputs used to measure fair value has been established by ASC 820, Fair Value Measurement. The hierarchy gives the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities (Level 1 measurement) and the lowest priority to unobservable inputs (Level 3 measurement). This hierarchy requires entities to maximize the use of observable inputs and minimize the use of unobservable inputs. The three levels of inputs used to measure fair value are as follows:


	Level 1	Unadjusted quoted prices in active markets that are accessible at the measurement date for identical, unrestricted assets or liabilities.

	Level 2	Observable inputs other than quoted prices included in Level 1, such as quoted prices for similar assets and liabilities in active markets; quoted prices for identical or similar assets and liabilities in markets that are not active; and other inputs that are observable or can be corroborated by observable market data.

	Level 3	Unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities.
	Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. We use valuation techniques that maximize the use of observable inputs and minimize the use of unobservable inputs when determining fair value and then we rank the estimated values based on the reliability of the inputs used following the fair value hierarchy set forth by the Financial Accounting Standards Board (the “FASB”).
	Our financial instruments consist of cash, accounts receivable, accounts payable, accrued liabilities and long-term debt including the current portion. The carrying values of cash, accounts receivable, accounts payable and accrued liabilities approximate their fair values. These are considered Level 1 measurements. The carrying value of our long term debt including the current portion reflects original cost net of unamortized deferred debt restructuring gain and was $24.2 million and $24.2 million as of June 30, 2014 and December 31, 2013, respectively. For additional information, see Note 4 Long-Term Debt.
	All of the Company’s debt is comprised of variable rate debt (see Note 4). Because there is not an active market for the Company’s notes, and the Company is unable to determine an appropriate discount rate to use in estimating the fair value of this obligation or the probability of early redemption, it is not practical to estimate the fair value of the debt.

Basis_of_Presentation_Policies

Basis of Presentation (Policies)	6 Months Ended
Basis of Presentation (Policies)	Jun. 30, 2014
Passenger Revenue	'
	Passenger Revenue
	Great Lakes Aviation, Ltd. (Great Lakes, the Company, we or us) is a regional airline operating as an independent carrier and as a code share partner with United Air Lines, Inc. (United or United Airlines) and Frontier Airlines, Inc. (Frontier or Frontier Airlines). Our code share agreements allow our mutual customers to purchase connecting flights through our code share partners and to share other benefits such as baggage transfer and frequent flyer benefits (in certain instances), while the Company maintains its own branding on our planes and ticket counters and our own designator code on all our flights. In addition to our code share agreements and independent branding, the Company has developed electronic ticketing (e-ticket) interline agreements with American Airlines, Delta Airlines, Frontier Airlines, United Airlines and U.S. Airways.
	Currently, the Company estimates that approximately 37% of Great Lakes’ passenger traffic utilizes the United code share product line and approximately 24% of Great Lakes’ passenger traffic utilizes the Frontier code share product line.
	The Company has been informed by Frontier that as part of Frontier’s transformation to an ultra-low cost carrier, that their business model, and subsequent change to a new reservation platform, will no longer allow for interline agreements with any other carriers. As a result, effective October 1, 2014, the Company’s code share and interline e-ticketing agreements with Frontier will be terminated.
	The Company provides charter air services to private individuals, corporations, and athletic teams. The Company also carries cargo on most of the Company’s scheduled flights.
Public Service Revenue	'
	Public Service Revenue
	Approximately 46% and 48% of the Company’s total revenue during each of the six months ended June 30, 2014 and 2013, respectively, were generated by services provided under the Essential Air Service (EAS) program administered by the United States Department of Transportation (DOT). The FAA Modernization and Reform Act of 2012 was enacted into law on February 14, 2012. This legislation provides for the authorization of the Essential Air Service program through September 30, 2015.
	As of August 9, 2014, the Company served 30 airports, of which 20 locations receive EAS subsidy, in 9 states with a fleet of six Embraer EMB-120 Brasilia and 28 Beechcraft 1900D regional airliners. The Company currently operates hubs at Denver, CO, Los Angeles, CA, Minneapolis, MN and Phoenix, AZ.
Liquidity	'
	Liquidity
	The Company has historically used debt to finance the purchase of its aircraft.
	The Company has experienced a shortage of qualified pilots which has caused the Company to curtail operations and reduce capacity. The pilot shortage and its effect on operations are expected to continue until the Company can hire and train enough pilots to reestablish operations in those markets in which the Company was forced to suspend service. The curtailment of operations has had a negative impact on revenue, operating income and operating cash flows which is expected to continue. Due to this negative impact on revenue, operating income and operating cash flows, the Company does not expect to be in compliance with the debt to earnings coverage covenant in its credit agreement. Until the Company is able to re-staff a sufficient number of qualified pilots to restore service to suspended markets, it expects that it will not have sufficient liquidity to service its existing debt obligations.
	The above circumstances and near term projections of significant net losses and negative operating cash flows in combination with the expectation the Company will not be in compliance with the terms of the senior credit facility, and the lender’s ability to call our debt, raise substantial doubt about the Company’s ability to continue as a going concern. Our financial statements are prepared on a going concern basis in accordance with United States generally accepted accounting principles and do not include any adjustments that might result from the outcome of this uncertainty. The going concern basis of presentation assumes that we will continue in operation for the next twelve months and will be able to realize our assets and discharge our liabilities and commitments in the normal course of business. Our credit facility matures on November 16, 2015. As a result of not being in compliance under our senior credit facility and the expectation the Company will not be in compliance with the terms of the senior credit facility throughout 2014, all borrowings (approximately $24.2 million) under our senior credit facility are classified as current maturities as of June 30, 2014. Our operating and capital plans for the next twelve months call for dedication of substantially all of our excess cash flow to the repayment of indebtedness.
	Effective May 30, 2014, the Company entered into the Fourth Amendment and Second Forbearance to Credit Agreement (the “Forbearance Agreement”) with its lenders Crystal Financial LLC and GB Merchant Partners, LLC (the “Lenders”). The Forbearance Termination Date is on the earliest of (i) September 15, 2014 and (ii) the date on which Great Lakes commits additional breaches under the Credit Agreement. In consideration of entering into the Forbearance Agreement, the Lenders have agreed to lend the Company an additional $3 million under our term loan and defer an additional $2 million of amortization payments which were due and payable by September 30, 2014.
	To meet our capital needs, we are considering several alternatives, including, but not limited to, additional equity financings, debt financings, and other funding transactions, including the sale or sale-leaseback of certain aircraft. Also, as announced on June 30, 2014, the Company engaged Raymond James as its investment banker with respect to new financing options and strategic alternatives. There can be, however, no assurance that we will be able to complete any such transaction on acceptable terms or otherwise.

Earnings_Per_Share_Tables

Earnings Per Share (Tables)	6 Months Ended
Earnings Per Share (Tables)	Jun. 30, 2014
Computation of Basic and Diluted Earnings Per Common Share	'
	The following table shows the computation of basic and diluted earnings per common share:


		Three months ended					Six months ended
		June 30,					June 30,
		2014			2013		2014			2013
	Numerator:
	Net Income (loss)	$	(1,589,256	)	$	145,878	$	(5,879,949	)	$	(1,112,823	)
	Denominator:
	Weighted average shares outstanding, basic		8,974,990			8,974,990		8,974,990			8,974,990

	Weighted average shares outstanding, diluted		8,974,990			8,974,990		8,974,990			8,974,990
	Net income per share, basic	$	(0.18	)	$	0.02	$	(0.66	)	$	(0.12	)
	Net income per share, diluted	$	(0.18	)	$	0.02	$	(0.66	)	$	(0.12	)

Accrued_Liabilities_Tables

Accrued Liabilities (Tables)	6 Months Ended
Accrued Liabilities (Tables)	Jun. 30, 2014
Accrued Liabilities	'
	Accrued liabilities consisted of the following balances at June 30, 2014 and December 31, 2013:


		June 30,		December 31,
		2014		2013
	Unearned revenue		1,420,017		1,221,257
	Other accruals		56,254		—
	Accrued property taxes		297,929		74,962
	Accrued interest		307,460		286,701
	Accrued payroll		1,328,889		1,942,923

	Total accrued liabilities	$	3,410,549	$	3,525,843

LongTerm_Debt_Tables

Long-Term Debt (Tables)	6 Months Ended
Long-Term Debt (Tables)	Jun. 30, 2014
Carrying Amount of Long-Term Debt and Current Maturities of Long Term Debt	'
	The following table sets forth, as of June 30, 2014 and December 31, 2013, the carrying amount of the Company’s long-term debt and current maturities of long term debt. The carrying amount of the debt consists of the principal payments contractually required under the debt agreements:




			June 30,			December 31,
			2014			2013
	Long-term debt:
	GB/Crystal Term Loan—principal		$	15,700,000		$	15,200,000
	GB/Crystal Revolving Loan- principal			8,521,333			8,973,333

	Total long-term debt			24,221,333			24,173,333
	Less current portion:
	GB/Crystal Term Loan—principal (1)			(24,221,333	)		(24,173,333	)

	Total current portion			(24,221,333	)		(24,173,333	)

	Total long-term portion		$	0		$	0



	-1	All debt is classified as current as a result of not being in compliance with our credit agreement and the lender’s ability to call our debt upon expiration of the current forbearance agreement.

Basis_of_Presentation_Addition

Basis of Presentation - Additional Information (Detail) (USD $)	6 Months Ended			0 Months Ended	6 Months Ended
	Jun. 30, 2014	Jun. 30, 2013	Dec. 31, 2013	30-May-14	Jun. 30, 2014	30-May-14	Aug. 09, 2014	Jul. 30, 2014
				Second Forbearance to Credit Agreement	Second Forbearance to Credit Agreement	Second Forbearance to Credit Agreement	Subsequent Event	Subsequent Event
				Term Loan	Term Loan	Term Loan	State	Term Loan
							Location
							Entity
Organization And Business Operations [Line Items]	'	'	'	'	'	'	'	'
Percentage of passenger utilizing united code share product line	37.00%	'	'	'	'	'	'	'
Percentage of passenger utilizing frontier code share product line	24.00%	'	'	'	'	'	'	'
Percentage of Passenger Revenue Earned	46.00%	48.00%	'	'	'	'	'	'
Number of Airports Served	'	'	'	'	'	'	30	'
Number of Location Receive EAS Subsidy	'	'	'	'	'	'	20	'
Number of States	'	'	'	'	'	'	9	'
Long term debt current	$24,221,333	'	$24,173,333	'	'	'	'	'
Credit facility maturity date	16-Nov-15	'	'	'	'	'	'	'
Forbearance agreement termination date	'	'	'	'	15-Sep-14	'	'	'
Additional term loan provided by lenders	'	'	'	3,000,000	'	'	'	'
Deferred amortization payments	'	'	'	'	'	$2,000,000	'	$1,000,000

Computation_of_Basic_and_Dilut

Computation of Basic and Diluted Earnings Per Common Share (Detail) (USD $)	3 Months Ended		6 Months Ended
	Jun. 30, 2014	Jun. 30, 2013	Jun. 30, 2014	Jun. 30, 2013
Numerator:	'	'	'	'
Net income (loss)	($1,589,256)	$145,878	($5,879,949)	($1,112,823)
Denominator:	'	'	'	'
Weighted average shares outstanding, basic	8,974,990	8,974,990	8,974,990	8,974,990
Weighted average shares outstanding, diluted	8,974,990	8,974,990	8,974,990	8,974,990
Net income per share, basic	($0.18)	$0.02	($0.66)	($0.12)
Net income per share, diluted	($0.18)	$0.02	($0.66)	($0.12)

Earnings_Per_Share_Additional_

Earnings Per Share - Additional Information (Detail)	3 Months Ended
Earnings Per Share - Additional Information (Detail)	Jun. 30, 2014	Jun. 30, 2013
Components Of Basic And Diluted Earning Per Share [Line Items]	'	'
Options or other potentially dilutive securities outstanding	0	0

Accrued_Liabilities_Detail

Accrued Liabilities (Detail) (USD $)	Jun. 30, 2014	Dec. 31, 2013
Accrued Liabilities [Line Items]	'	'
Unearned revenue	$1,420,017	$1,221,257
Other accruals	56,254	'
Accrued property taxes	297,929	74,962
Accrued interest	307,460	286,701
Accrued payroll	1,328,889	1,942,923
Total accrued liabilities	$3,410,549	$3,525,843

Carrying_Amount_of_Companys_Lo

Carrying Amount of Company's Long-Term Debt and Current Maturities of Long Term Debt (Detail) (USD $)	Jun. 30, 2014		Dec. 31, 2013
Debt Instrument [Line Items]	'		'
Long term debt	$24,221,333		$24,173,333
Long term debt current	-24,221,333		-24,173,333
Total long-term portion	0		0
Long term debt	24,221,333		24,173,333
GB/Crystal Term Loan - principal	'		'
Debt Instrument [Line Items]	'		'
Long term debt	15,700,000		15,200,000
Long term debt current	-24,221,333	[1]	-24,173,333	[1]
Long term debt	15,700,000		15,200,000
GB/Crystal Revolving Loan - principal	'		'
Debt Instrument [Line Items]	'		'
Long term debt	8,521,333		8,973,333
Long term debt	$8,521,333		$8,973,333

[1]	All debt is classified as current as a result of not being in compliance with our credit agreement and the lender's ability to call our debt upon expiration of the current forbearance agreement.

LongTerm_Debt_Additional_Infor

Long-Term Debt - Additional Information (Detail) (USD $)

6 Months Ended

0 Months Ended

6 Months Ended

9 Months Ended

0 Months Ended

6 Months Ended

0 Months Ended

6 Months Ended

0 Months Ended

6 Months Ended

0 Months Ended

6 Months Ended

0 Months Ended

Jun. 30, 2014

Dec. 31, 2013

Apr. 01, 2014

Nov. 14, 2012

Nov. 16, 2011

Jun. 30, 2014

Sep. 30, 2012

Nov. 16, 2011

Jul. 30, 2014

Apr. 01, 2014

Jun. 30, 2014

30-May-14

Jun. 30, 2014

30-May-14

Nov. 16, 2011

Apr. 01, 2014

Nov. 16, 2011

Apr. 01, 2014

Jun. 30, 2014

Nov. 16, 2011

Apr. 01, 2014

Jun. 30, 2014

Apr. 01, 2014

Forbearance Agreement

Term Loan

Revolving Credit Facility

Subsequent Event

Forbearance Agreement

Second Forbearance to Credit Agreement

Maximum

Minimum

Forbearance Agreement

Maximum

Minimum

Forbearance Agreement

LIBOR

Debt Instrument [Line Items]

Term loan period

'4 years

Maximum borrowing capacity in revolving loan credit facility

$24,000,000

$10,000,000

Revolving credit facility interest rate

'Floating rate of 30 day LIBOR rate plus 11% with a minimum rate of 15.5%.

'Greater of 30 day LIBOR plus 13% or 17.5%.

'30 day LIBOR rate plus 8.0% with a minimum interest rate of 10.5%.

'Greater of 30 day LIBOR plus 10% or 12.5%.

Number of maturity days for reference rate

'30 days

Basis spread on variable rate

11.00%

8.00%

Floating rate

15.50%

10.50%

Interest Rate, Prepayment Penalties

4.00%

1.00%

Outstanding term loan

15,700,000

Prepayment of principal and interest in excess of specified percentage

50.00%

Prepayment of principal and interest, amount

2,300,000

Term loan maturity date

16-Nov-15

Outstanding principal balance due, 2015

9,800,000

Revolving credit facility outstanding

8,500,000

Non-compliance, leverage coverage ratio, financial covenant

'As of June 30, 2014 the Company was not in compliance with the leverage coverage ratio financial covenant contained in the Companybs senior credit facilitybs Credit Agreement. Specifically the Company was required to maintain a leverage ratio, calculated by dividing average quarterly borrowings by trailing 12 month earnings before interest, taxes, depreciation and amortization (EBITDA), as defined by the Credit Agreement, of 2.25:1 or less. At June 30, 2014, the Companybs leverage ratio was calculated to be 4.27:1, which was not in compliance with the terms of the Credit Agreement.

Leverage coverage ratio, credit agreement

2.25

Leverage coverage ratio, actual

4.27

Long term debt current

24,221,333

24,173,333

Increase in the applicable rate on loan agreements

2.00%

Basis spread on variable rate maximum

17.50%

13.00%

12.50%

10.00%

Additional term loan provided by lenders

3,000,000

Deferred amortization payments

1,000,000

2,000,000

Additional amount borrowed

2,000,000

Forbearance fee

242,000

Funding fee

60,000

Commitment fee

$60,000

Forbearance agreement termination date

15-Sep-14

Related_Parties_Additional_Inf

Related Parties - Additional Information (Detail) (Douglas G Voss, USD $)	6 Months Ended
	Jun. 30, 2014	Jun. 30, 2013
	Aircraft	Jun. 30, 2013
Douglas G Voss	'	'
Investments in and Advances to Affiliates [Line Items]	'	'
Payments of leases	$14,250	$14,250
Common stock held	4,160,247	'
Percentage of common stock voting interests	46.40%	'
Number of aircraft leased from related party	2	'

Income_Taxes_Additional_Inform

Income Taxes - Additional Information (Detail)	6 Months Ended
Income Taxes - Additional Information (Detail)	Jun. 30, 2014
Income Tax Disclosure [Line Items]	'
Annual effective income tax rate	36.60%
Federal net operating loss carryforwards expiration year	'2021

Fair_Value_Measurements_Additi

Fair Value Measurements - Additional Information (Detail) (USD $)	Jun. 30, 2014	Dec. 31, 2013
Debt Instrument [Line Items]	'	'
Carrying value of long term debt	$24,221,333	$24,173,333