### BEFORE 

## THE DEPARTMENT OT

## TRANSPORTATION

WASHINGTON, D.C.

Essential

### Air Service at 

## GREENVILE, MISSISSIPPI 

## MUSCLE SHOALS,

## ALABAMA TUPELO, MISSISSIPPI
Under 49 

### U.S.C. 541731 et seq- 

### ) ) ) 

### ) 

### osT-2008-0209 ) osT-2000-78s6 ) 

### osT-2009-030s ) )

SUN

## AIR INTERNATIONAL PROPOSAL TO 

## PRO'IDE SUBSIDIZED 

## ESSENTIALAIR SERICE
By Order 201 1-1 

### 1-2g,theDepartment requested proposals 

### for Essential 

### Air Service 

### to

### four communities. Pursuantto that order, Sun

### Air ExpreJs, 

### LLC. ("Sun 

### Air") cordially submits 

### this proposal 

### to provide subsidized 

### air seruice to the 

### communities 

### of Greenville, Mississippi 

### (GLH), ivturcle Shoals, Alabama 

### (MSL) and 

### Tupelo, Mississippi (TUP)'

correspondence 

### with regard to 

### this document should be addressed to:
Thomas 

### L. Cooper President 

### & CEO Sun

### Air Express, 

### LLC. dba Sun 

### Air International 3201 

### Griffin Road, Ft. Lauderdale, 

## FL 33312 

## Telephone: 954-660-9865 Fax: 

### E-Mail: 954-894-0367

tlcooper@gosunair.com



## Bid Summarv 

## s", At. 

## h"*by .ffers three service options 

### for service. Each service 

### option is 

### distinct and is 

### not contingent upon any other 

### factors. Sun

### Air's proposed operations 

### will be operated by a

### fleet

## of nine-plssenger 

### twin-engine Piper 

### Chieftain 

### aiicraft. Flights

### will be displayed 

### in major travel ag",ri 

## ryst"is includiniOnlinl Travel Agencies, and mileage credits are planned 

### for passengers 

### tJcontinue participating in a

### major carrier Frequent 

### Flier Program.Sun

### Air has constructed 

### its' proposal 

### to incorporate the

### following essential elements 

### of 

### providing

successful, 

### quality airtransportation in these proposed markets:

1.

### LOW FARES: Sun

### Air 

### will market 

### its

### flightswith a

### simple, 

### low unrestricted 

### price structure, at $29, $39 and $49 each

### way. We anticipate that most

### tickets

### will be made available atthe 

### lower end 

### of those

### fares. The company is 

### projecting average fares

### of less than 

### $35. Sun

### Air strongly believes that 

### low unrestricted fares are essential 

### to

### facilitating passenger 

### flight connections, 

### effectively replacing thevalue 

### ofthrough-fare pricing available intraditional code-share relationships.
2. 

### FREeUENT 

### FLIGHTS: A1l three 

### communitieswould be 

### provided at least 

### four weekday 

### .ound

### trips. The

### flights

### will be 

### timed to coincide

### with Delta

### Air Lines' connecting banks at 

### Memphis, thus prori=iding convenient access 

### to all major destinations 

### in the 

### U.S. as

### well as 

### key international gateways.


### Four weekday round 

### trips

### will providetwice the number 

### of daily departures 

### currently offered, resulting in gieater convenience 

### for the

### flying public and enabling reasonable

### flight connecting times 

### to

### virtually any 

### carrier at 

### Memphis. 

## All major carriers are represented at 

### Memphis International.
3. 

### ACCESS TO 

### MAIN TERMINAL FACILITIES: 

## All flights 

### will connect

### to or 

### from Memphis International 

### Airport, on a nonstop basis, where Sun

### Air 

### will invest 

### in its 

### own gate and avoid the need 

### for customers 

### to exit security and re-enter 

### prior to 

### making their 

### flight connection. 

### While requiring a

### signficant expense, the leasing 

### of a

## full gate 

### atMemphis (and associated space

### for ticket counters, etc) is necessary to 

### provide adequate

## facilif resources atthe 

### mainterminals, 

### particularly with 12 

### daily Memphis departures and

### three aircraft on the ground simultaneously at least three times 

### daily.
4. 

### INTERLINE E-TICKETING AND BAGGAGE AGREEMENTS: INtETIiNE E-tiCKEtiNg ANd baggage agreements 

### with most 

### major airlines makethe connecting process as seamless as 

### poIJiU'i".

## ih" "o*puny has

### provided 

### for making a

### significant investment 

### in reservations and 

### distribution systems 

### toacquire access 

### to industry interline and baggage agreements 

### with most 

### major 

### airlines. This capability 

### will be available 

### from the

### first day 

### of operations'

5.

### A COMMITMENT TO 

### RELIABILITY: Sun

### Air's operations 

### would include investment 

### in a 

### regional maintenance base, staffed 

### by a

### full complement 

### of technicians, as

### well as a 

### major 

### iniestment in spare 

### aircraft. Sun

### Air's service proposals 

### provide a

### full-time spare 

### aircraft 

### for three 

### "scheduled" aircraft in one case, 

### two spare 

### aircraft 

### for four (4) "scheduled" aircraft inthe second case, and one spare 

### aircraft for 

### two (2) "scheduled 

### aircraft inthe

### third case. Reserve 

### pilots 

### will be available 

### with the back-up 

### aircraft to dispatch 

### to any destination needed, ensuring a 

### rapid response 

### time as needed'

Service 

### Option 1 

### Ura". Opiion 1, Sun

### Air

## will provide a basic pattern 

### of service 

### outlined 

### for 8/9 passenger 

### aircraft inthe 

### Department's Order Requesting Proposals dated 

### November 

### 23,2011. This service pattern consists

### offo,r, (a) daily ,ound trips per weekday 

### to each 

### of the three communities, 

### withtwo (2) daily round 

### trips'to 

### "u.h on 

### Saturdayand

### two (2) daily round 

### trips to each on 

### Sunday.

## All flights 

### will operate on a non-stop basis 

### to and 

### from main 

### terminals at 

### Memphis International 

### Airport'

### Option one

### will require three 

### aircraft to support scheduled operations, and Sun

### Air 

### will provide

an 

### additional 

### full+ime spare 

### aircraft to ensure operational 

### reliability. The company 

### will also establish a

### full regional maintenance base 

### in one 

### of the cities.
Sun

### Air proposes asubsidy 

### level 

### of $879 per departure 

### for Greenville, $866 per departure

### for Muscle St

### outr, and $800 per departure 

### forTupelo. 

### At an assumedgSYo 

### flight completion facfor, this 

### would equate 

### to an annual subsidy 

### of $6.225 

### millionfor all three communities.


### A representative schedule, along 

### with passenger, revenue and cost 

### projections, are incorporated 

### in Schedule 1. Service 

### Option 2 Sun

### Air offers a second 

### option that adds a

### fourth scheduledweekday airplane, used 

### to provide additionat frequencies 

### to 

### iupelo and 

### Greenville. Based upon 

### historical 

### traffic trends, Sun

## Air believes that the extra frequencies 

### would bewarranted to meet passenger demand, and that such 

### higher fiequency 

### will contributeto increased passenger 

### ridership'


### A total 

### of six (6) weekday 

### flights would be 

### offeredtoTupelo under 

### Option2, and 

### (5) weekday 

### flights to

### Greenville. Thee round 

### trips to each destination 

### would be 

### offered on weekends' 

### Muscle Shoals 

### would maintain the same schedule as as

### envisioned in 

### Option 1'

Sun

### Air envisions 

### providing 

### two spare 

### aircraft 

### to support 

### Option 2,thus 

### requiring a

### total 

### of six 

### aircraft. Sun

### Air is acutely 

### awur" Lf

### th" importance 

### of maintaining reliable service, and is 

### committed to providing the necessary resources 

### to ensure that becomes a 

### reality.
Fare levels under Service 

### Option 2

### would bethe same, 

### low unrestricted fares as 

### in 

### Option 1.


### Under Service 

### Option 2, Sun

### Air proposes asubsidy 

### level

### of $875 per departure 

### for Greenville, $789 per departure 

### for Muscle Shoals, and $699 per departure 

### forTupelo. This would equate 

### to
an annual subsidy cap 

### of $7.197 

### million for all three communities.


### A representative schedule, along 

### with passenger, revenue and cost 

### projections, are incorporated 

### in Schedule 2.

Service 

### Option 3 Sun

### Air also proposes a

### third option, which would be

### for service 

### to Greenville and 

### Tupelo 

### only' Schedules to ihese

### two communities under Service 

### option 3

### would be 

### identical to those 

### provided in Service 

### Option 1.
Sun

### Air provides 

### this option 

### to offer the Department greater

### flexibility in selecting carriers and markets, 

### particularly ircase Muscle Shoals preferred 

### to maintain the access 

### toAtlanta airport that they currently have, 

## if such service is

### oflered in response 

### to Order 2011-11-29. Sun

### Air would 

## ,oib" interested 

### in providing service on a scale less than these

### two communities.
Under Service 

### Option 3, Sun

### Air proposes asubsidy 

### level 

### of $929 per departure 

### for Greenville, $789 per departuie 

### for Muscle Sh-oals, and $846 per departure 

### for 

### Tupelo. Thiswould equate 

### to
an annual 

### rrrbrldy cap

### of $4.343 

### million for the

### two communities. Passenger, revenue and cost 

### projections are incorporated 

### in Schedule 3.

## About Sun

## Air International

Sun

### Air Express, 

### LLC is a 

### Fort Lauderdale, 

### FL based air

### taxi operation serving 

### Florida and the Bahamas, and 

### offers on-demand 

### air cargo services

### within Florida and the Bahamas, as

### well as scheduled services

### with four orfewer weekly 

### flights

### to Catlsland, Great 

### Harbour Cay, Chub Cay, and 

### Andros Island inthe Bahamas.
Sun

### Air currently has a

### fleet 

### of six Piper 

### Chieftain aircraft, 

### all owned free and clear, and is prepared

### to acquire 

### sufficient 

### additional akcraftneeded 

### to support proposals awarded 

### here. The 

### ulrtin" has access to the 

### financial resources necessaty 

### to acquire the 

### additional 

### equipment. Sun 

### Air's aircraft are approved 

### for single-pilot operations, although the 

### company's objective is

### to provide a 

### First 

### Officer on every 

### r"n"aot"a

## flight. Sun

### Air has its 

### first class 

### of First 

### Officer's in training at the present time..
The 

### airline has been 

### in operation 

### for more than ten years, and was purchased 

### in 

### May,

### Z0l1by Thomas 

### L. Cooper. 

### Mr. Cooper is the

### founder 

### of several 

### regional airlines, including Gulfstream International 

### Aiilines, where he also

### founded Sun

### Air as a subsidiary 

### of Gulfstream. He sold 

### his interests 

### in Gulfstream 

### to a

### private investment 

### group in

### 2006. 

### Mr. Cooper has been 

### involved 

### in aviation for more than 40 years, 

### including more than 20 years as

### a727 Captzin 

### for Eastern 

### Airlines in additionto his extensive career 

### with regional

### airlines. Since his 

### acquisition 

### of Sun

### Air in 

### Mayof lastyear, he has invested 

### heavily in 

### new aircraft., support equipment and 

### additional support personnel.
Sun

### Air filed a commuter 

### air carrier application

### with the 

### Department's

### Air Carrier Fitness 

### Division on Septemb er

### 9,2011 as part 

### of its plans

### to provide scheduled passenger 

### air transportation, In addition 

### to its 

### original application, Sun

### Air has submitted 

### all of the 

### information the Department has requested, and the 

### application is in its 

### final stages

### of review.

## SCHEDULE 1



### Representative 

### Timetable FROM 

## DEPT ARR TTIPELO

MEMPHIS

GREENVILLE

MEMPHIS

MUSCLE SHOALS

MEMPHIS MEMPHIS

TUPELO

MEMPHIS

GREENVILLE

MEMPHIS

MUSCLE SHOALS TOOAM 

### 1l30AM 2OOPM 5OOPM 93OAM IOOPM 315PM 5OOPM
TOOAM 

### ll00AM 2OOPM 5OOPM 

### 9154M t245PI!/{ 33OPM 715PM

TOOAM 10454M I45PM 445PM 93OAM l23oPM 315PM 

### 7I5PM 7454}/d

12t5PM 245PM 545PM
1015AM 145PM 4OOPM 545PM
SOOAM 120oPM 3OOPM 6OOPM 1015AM I45PM 43OPM 

### 8I5PM

SOOAM 1145AM 245P}d 545PM 10304M I3OPM 415PM 

### 8I5PM

## SCTMDULE 1



### Projected Operations

Passenger Other Revenues TOTAL OPERATING REVENUE

OPERATING EXPENSES Flight Operations Fuel & lntoplane Maintenance Passenger Service Aircraft OwnershiP 

### 0ther Total Operating Cost

oPERATTNG INCOMEI(LOSS)
Profit Element - 5% of Operating Costs
Subsidy Required ASMs (000's) RPMs (000s) Load Factor Average Fare EAS Subsidy per Departure Departures Block Hours Flight Hours Available Seats Passengers Distance Block Time Flight Time 464,290 448,000


## 277,726 26]-,341 439,194 25,A97 423,783

24,216 443,597

28,619 L,306,574 77,932

532,580 4r'i0,494 1,036,!78 91,977 499,294

419,213 L,O28,693 92,464 472,216

231,988 399,43s 355,371 L,A66,178 

### 9L774 1,384s06

764,455 1,43L,309 7,275,O79 3,130,990 276,207 

# 117,568 t41-,951 167,7M 427,263 

## 2,489,923 2,M2,953 2,31?,426 7,245,303 

## $ (a025,633) $

### (1,994,9541 

## $ {1,840,211} (5,850,797)

362,265 724,496 122,L48 115,621"

z,lL7,LAL 

### 9st832

s $ s s s s $ s 2,gg4,oo2 

### t,706,58t 57.O% 35.00 879 

### 2,M5 

## 2,7il 1,957 22,O75 12,548 136 L.73 0.80 2,685,796

!,477,188 55.O% 35.00 865 Z,MG 2,642 1,835 22,O15 12,708 

### tzz 1.08 0.7s 1,937,295

L,259,242 65.O% 31.00 800 2,446 2,275 L,468 22,O75 'J.4314 8B 0.93 0.60 7,617,O93

4,443,Or1 58.3% 33.53 848 7,339 7,697 5,259 66,OM 38,966

## SCHEDULE 2

Representative 

### Timetable 

# FROM TO DEPT ARR 

# TUPELO MEMPHIS TOOAM 7454M

MEMPHIS

GREENVILLE

MEMPHIS

MUSCLE SHOALS

MEMPHIS TLIPELO

MEMPHIS

GREENVILLE

MEMPHIS

MUSCLE SHOALS 1045AM 1215PM I45PM 33OPM 5OOPM
9OOAM 

### 10l5AM 123OPM 145PM 33OPM 73OPM
63OAM 7454},4 

### l045AM 2OOPM 5OOPM 915AM 1245PM 315PM 

### 5I5PM 715PM

TOOAM 1045AM I45PM 445PM 93OAM 123oPM 315PM 715PM l130PM

IOOPM 23OPM 

### 4I5PM 545PM 945AM 

### ll00AM I15PM 2I 5PM 

### 4I5PM 815PM
73OAM 845AM 

### 1l45AM 3OOPM 6OOPM 1015AM I45PM 

### 4I5PM 615PM 815PM

8OOAM 

### lt45AM 24'PI|iI 545PM 

### l03oAM I3OPM 

### 4I5PM 8I5PM

## SCFMDULE 2

Projected Operations
Passenger Other Revenues TOTAL OPERATING REVENUE

OPERATING EXPENSES Flight Operations Fuel & lntoplane Maintenance Passenger Service Aircraft Ownership Other Total Operating Cost

oPERATTNG TNCOME/(LOSSI

Profit Element - 5% of Operating Costs
Subsidy Required

ASMs {000's) RPMs (000s) Load Factor Average Fare EAS Subsidy per Departure Departures Block Hours Flight Hours Available Seats Passengers Distance Block Time Flight Time 

### 464,290 s 536,581 675,632 5 1,676,503 

### 439,794 s 2s,o97 507,577

29,0O4 634,684 5

40,947 1,591,455

95,049

262,833 532,580 440,494 L,A36,178 97,770 L17,568 3]".2,746



### 6M,921 522,317 1,L11,486 146,970 145,303 337,746

599,153 508,056 L243,468 L72,500 225,387 9L3,325

L,776,654 1,470,868 3,390,732 41L,240 488,258 2,487,424 2,883,743 3,085,910 8,45t,O77 

## 5 (2,A17,t34' 

## $ (2,347,L621 

# 5 12,4LO,2781 $ 16,774,5741
422,554 

## t24,O7t

# s 1M,187 L54,295 5


# s 2,14t,2O5 

# s 2A9t,349

# $ 2,564,573 

# $ 7,197'128

2,gg4,oo2 t,706,587

57.OYo 

# g 3s.oo $ 

# s87ss 2,M6 2,764 1,957 22,O!5 L2,544 136 1.13 0.80 3,469,L53

1,769,268

5L.OYo 

## 3s.00 s 

# 78e s 3,160 3,412 2,370 28,436 14,502 722 1.08 0.75 2,9a5,943

1,901,685 62.0% 

### 31.00 $ 

### 6ee $ 3,569 3,4\2 

### 2,z0t 33,O22 20,474 88 0.93 o.50 9,359,098

5,217,534 s6.3% 33.28 776 9,275 9,589 6,528 83,472 47,524

## SCTMDULE 3



### Projected Operations

Passenger Other Revenues TOTAL OPERATING REVENUE

OPERATING EXPENSES Flight Operations Fuel & lntoplane Maintenance Passenger Service Aircraft Ownership Other Total Operating Cost

oPERATTNG TNCOME/(LOSS)

Profit Element - 5% of Operating Costs
Subsidy Required

ASMs (000's) RPMs {000s) Load Factor Average Fare EAS Subsidy per Departure Departures Block Hours Flight Hours Available Seats Passengers Distance BlockTime Flight Time MEMTOTAT 

# s 867,380 423,783 24,2L6 443,s97



# 28,6L9 52,835 448,000 

# 472,2L6 s 920,215

289,5s0 546,846 479,394 981,632 114,000 779,832 258,363

437,477 411_,5L5 1,019,057 114,000 180,525 547,91,3 984,322 890,908 2,000,689 228,OO0 360,358 2,59L,254 2,42O,937 5,O12,79L 

# $ 12,L43,2541 $11,948,72t1
129,563 L27,O47 

# 5 2,272,8L7

# $ 2,069,768 14,091,9751
250,610
4,342,585

2,695,796 1,477,188 55.O% 

# $ ss.oo 

# s e29

2,446 2,642 1,935 22,O15 

### t2,748 122 1.08 o.75 L,937,295

!,259,242 6s.o% 

# s 31.00 

# S aae 2,M6 2,275 

### t,468 22,O15 74,3tO 88 0.93 0.50 4,623,091

2,736,430 s9.2% 32.83 888 4,892 4,917 3,302 44,O29 26,41.8 s s

### In conclusion, Sun

### Air believes that its proposal 

### will provide excellent levels 

### of service to the



### communities, ensure that they have proper access to the 

### rational air transportation 

### network, and 

### offer cost-effective options that meet the requirements 

### of the Essential

### Air Service Program.



### Respectfully Submitted: January 18, 

### 2012

Thomas 

### L. Cooper President 

### & CEO Sun

### Air Express, 

### LLC.