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The story
Startup and expansion
The former Marana Air Base in Marana, Arizona, northwest of Tucson, became Marana Air Park (today's Pinal Airpark) in late 1960 when Sonora Flying Service (SFS), a fire-fighting firm employed by the United States Forest Service (USFS), took a 10 year lease. SFS turned part of the Air Park into a resort, with a motel, one of the largest swimming pools in the area, a restaurant and so forth. Its fleet included a B-17, a B-25, two PBYs and a C-45. Robert E. Roberts, head of SFS, was selected by the CIA to be the front man for Intermountain Aviation for its first three years. Intermountain was organized in Phoenix on 25 September 1961 and moved to the Air Park early in 1962, but was, in actuality, run by Garfield "Gar" Thorsrud, a former USFS smokejumper. The nominal parent organization of Intermountain was Pan Aero Investments.
Intermountain's security approach was "hide in plain sight," and Marana Air Park was open to the public. Intermountain promoted its overt activities, such as parachute demonstrations including mass HALO jumps at which spectators were encouraged to take photos, demonstrations of the Fulton Skyhook and its use to recover the body of a dead scientist from the Arctic in 1963, flying smokejumpers and similar activities such as restocking fish in lakes and reservoirs by air. Marana Air Park hosted the national championships of the United States Parachute Association in the late 1960s and in 1969, CBS TV filmed a parachute segment at the Air Park for a TV special celebrating the 50th year of professional football. Intermountain made a marketing film (see External links) show-casing its operations in support of oil exploration in Alaska's North Slope and its STOL and helicopter activities. Less public but disclosed in a 1973 CAB proceeding were providing transportation for McDonnell Douglas between Los Angeles and the Atomic Test Center and for Boeing between Seattle and a test facility at Alamagordo, New Mexico (Boeing tested nuclear missiles at White Sands Missile Range). However, from mid-1960s through the "peak of the Vietnam," 60–70% of Intermountain's operations were for the CIA (see Covert activities below). Intermountain was one of the three largest CIA-owned companies (known as "proprietaries") of the time, along with Air America and CIA-owned insurance activities.
Wind-down and revelation of CIA ownership
In the 1970s, government business "dwindled to nothing." In 1972, referencing an effort to "eliminate the substantial dependence on a small group of government contractors for subcontracts in the field of research and development," Intermountain expanded into transporting auto parts for Big Three automakers in Detroit, devoting six commercial aircraft to this. Intermountain also entered the aircraft storage business. Widebody aircraft deliveries were forcing retirements of first generation jet aircraft. By the end of 1972, there were over 40 large commercial aircraft at the Air Park. Intermountain also advertised the Air Park as a location for corporate training, seminars, banquets, fly-ins, conventions, etc, noting accommodation for up to 225 (motel and dormitory style), a restaurant, bar, heated pool and other activities.
However, in 1972 the CIA also decided to reduce aviation activities, specifically to exit Air America and Southern Air Transport (SAT). SAT was CAB-certificated and therefore sale required a CAB proceeding. The CAB process resulted in SAT's CIA-ownership, already rumored, becoming widely reported in August/September 1973 after other airlines complained about competing with a government financed company. In November, Intermountain sold its Detroit auto parts transportation business to Rosenbalm Aviation, including most of its commercial fleet. See Fleet for the impact to Intermountain's commercial fleet from year-end 1972 to year-end 1973.
In August 1970, an anonymous Tucson police official said the local crash of a small aircraft connected to Intermountain was part of a CIA operation. The office of CIA director Richard Helms issued a denial, noting that the CIA "did not operate within the United States." But in June 1974, a former CIA employee published a best-selling book identifying Intermountain as a CIA proprietary airline and Arizona Congressman Mo Udall confirmed it.
Sale and legacy
On February 28, 1975, Intermountain ceased operating with the sale of its assets to Evergreen Helicopters. Later that year, Evergreen bought another airline, Johnson Flying Service, which was CAB-certificated. The two together formed Evergreen International Airlines, which operated until 2013. Evergreen was connected to the CIA; a board member was George A. Doole Jr., who had headed the parent organization of CIA airlines, Pacific Corporation. Intermountain president Gar Thorsrud was let go by Evergreen in June 1975. He founded Mountain West Aviation, which bought the small carrier Sierra Pacific Airlines in 1978, which he ran until his death in 2014. Tucson-based Sierra Pacific is also a USFS contractor and uses similar pale-blue and black colors as Intermountain.
Pinal Airpark remains a noted commercial aircraft storage location.
From Wikipedia’s article on Intermountain Aviation, shared under CC BY-SA 4.0.3