Sun Country defers half of paychecks
MINNEAPOLIS — As its parent company faces legal troubles, Sun Country Airlines announced it is deferring 50 percent of its employees’ wages through the end of the year.
Sun Country CEO Stan Gadek sent a letter to employees Monday saying, "we must now become financially independent of our parent company."
Sun Country is a unit of Petters Worldwide Group. Last week, authorities raided Petters’ headquarters and several homes.
An FBI affidavit alleges chairman and CEO Tom Petters and others schemed to defraud investors out of more than $100 million over several years.
Sun Country is in its slowest period of the year and Gadek says under normal circumstances, the company would request a short-term loan from Petters Worldwide. Now, he says, that option isn’t available.