### BEFOR E TH E ,. , - - r r - - - > 'Cop-j/^JlO M DEPARTMEN T O F TRANSPORTATIO N7 " WASHINGTON , D.C . Essential ai r

servic e a t BECKLEY , WES T VIRGINI A Docke t DOT-OST-1997-276 1

PROPOSA L O F COLGA N AIR , INC
. T O PROVID E SUBSIDIZE D ESSENTIA L AI RSERVIC E FO RTH E COMMUNIT Y O F

BECKLEY , WES T VIRGINI A B y order 2010-3-16 , th e Departmen t requeste d proposal s fro

mcarrier s intereste d in providin g Essential Ai r

Servic e fo

r afutur e two-yea r period
. Colgan Air , Inc. , awholl y owne dsubsidiar y o f Pinnacl e Airline s Corp. , (hereinafter "Colgan" ) respectfull y submit s aproposal t o provid e subsidize d servic e betwee n th e communit y o f Beckley , W

V an dWashington-Dulle s Internationa l Airport
. Thi s proposal woul drequir e acombine darmua l subsidy o f

$2,313,435

. Th e propose dservic e option s fo r th e Wes t Virgini acommunit

y i s a s follows : Beckley , W V 1 2 round-trip s pe r

week operate da s acombinatio n o f one-sto p an d non-sto p servic e t o Washington-Dulles
. Th e servic e wil l utiliz e aSaa b 340 , athirty-four

passenger , cabi n clas s aircraf t operate db y acre w o f

tw o pilot s an d afligh

t attendant
. Colga n i s aregional airlin e operatin g Saa b 34 0 aircraft
. Colga

n operate s regional schedule dservic e a s Unite dExpres s unde r agreemen t

wit h Unite d Airlines
. Th e service s offere db y Colgan allo w seamles s coimectio n to United' s domesti c an d internationa l rout e syste mvi ath e Unite dAirline s hub a t Washington-Dulle s International Airport
. Colgan Air ha s alon g operatin g histor y wit h Unite d a

t Washington-Dulle s an d ha s consitent y demonstrate dacommitmen t to outstandin g passenge r

servic e to th e communitie s w e serve . Th e schedul e proposal attache dpresent s optimize d timin g to maximiz e cormectin g option s wit h th e Unite dAirline s syste mout o f Washington-Dulles
. In addition , th e option s provid e attractiv e schedulin g option s fo r bot h busines s an d leisure traveler s utilizin g Unite dAirlines ' membershi p in th e Sta r Allianc e Networ

k whic h ha s aconsiderabl e domesti c an dinternationa l presenc e a t Washington-Dulle s (United' s Washington-Dulle s route networ

k attached)
. Respectfiall

y submitted , Dou g S hocke y Presiden t Colga n Air , Inc
.Annua l Statistic s
E A S Cycle s (I 2 roun d trip s / 24 segment s pe r

week ) Pa x Bloc k Fligh t Blk/Fl t Rati o Avai l Seat s RPM s ASM s Loa d Facto r
Annua l Profi t / TLoss ) Summar y Passenge r Revenu e Tota l Revenu e
Fue l M X Operation s Fligh t Operation s Groun d Servic e Landin g Fee s Ticketin g an dPassenge r

Relate d Loca l Marketin g Campaig n Aviatio n Insuranc e Tota l Cas h Cost s Ownershi p Tota l Overhea d 1,24 8 4,70 0 1,30 2 89 0 68 % 42,43 2 1,010,50 0 6,105,84 0 17 %

465,30 0 465,30 0
612,93 5 772,51 7 392,63 9 331,59 6 72,07 7 121,56 4 25,00 0 10,22 4 2,338,55 2 159,35 1 148,53 2 Tota l Operatin g Ex p @ 97 % Completio n 2,646,43 5 Operatin g Income/(Loss ) (2 , IHJ , 135 )

Margi n at 5 % Tota l Economi c Cos t

/ Subsid y EA S Cycle s at

97 % Subsid y Pe r

Departur e a t

97 % 132,32 2 2,313,45 7 1,21 1 1,910.3 7Beckley , W V t o Washington-Dulle s Washington-Dulle s t o Beckley , W V Weekday s 5:50a m7:34a

m 1:59p m3:19p m Weekday s 12:15p m1:40p

m 9:55p m11:59p m 0 1 Saturda y 9:40a m11:39a

m1 Saturda y

5:39p m7:43p m1

9:25a m Sunda y

11:24a m1 Sunda y

5:44p m7:48p m1
CERTIFICAT E O F SERVIC E I hereb y certif

y tha t I hav e cause dacop y o f

th e forgoin g Proposal to Provid e Subsidize d Essential Ai r

Servic e t o b e serve dthi s 19t h da y o f April , 2010 , upo n eac h o f th e followin g persons : Denni s DeVan y Chief , EA S & Domesti c Analysi s Offic e o f Aviatio n Analysi s Unite dState s Departmen t

o f Transportatio n 40 0 Sevent

h St
. S.W. , Roo m6417 1 Washington , D.C
. 2059 0 Pau l A
. Mattox , Jr. , P.E. , Wes t Virgini aSecretar

y o f Transportatio n 1900 Kanawh aBlvd
. Eas t Charleston , W

V 25305-044 0 Emmet t S
. Pugh , II I Mayo r - Beckley , W

V 40 7 S
. Kanawh aSt
. Beckley , W

V 2580 1