## Proposal to Provide Essential Air Service at

Greenville, Mississippi Laurel/Hattiesburg, Mississippi Muscle Shoals, Alabama 

## Tupelo, Mississippi

Docket DOT

- OST

- 2008

- 0209
Docket DOT

- OST

- 2001

- 10685
Docket DOT

- OST

- 2000

- 7856
Docket DOT

- OST

- 2009

- 0305

Direct Inquiries Regarding this Proposal to:

Shane Storz, CEO

Air Choice One Airlines
12300 Old Tesson Road, Suite 200 F, Saint Louis, MO 63128
Phone: (866) 435

- 9847 Fax : (314) 843

- 8527 E

- mail: shane@airchoiceone.com



# Multi

- Aero Inc. d/b/a

Air Choice One

# Our Commitment

01/06/2012 

### We understand the efforts of a dedicated air carrier are critical to maintaining scheduled airline service now and in the future. Air Choice One is that air carrier and we believe the strategy outlined in our proposal will support and complement airport development efforts. We have proven our strategy works with other EAS communities and we are committed to delivering these same results in your community. Our proposal will give the best access to the national transportation system for the community at reasonable prices and is submitted as an inseparable package offering.

In addition, our proposal allocates substantial resources to support marketing efforts and achievements in our other EAS markets demonstrate our marketing strategies are successful. Through on

- site community outreach, community

- specific advertising, consistent flight schedules, and outstanding customer service we will quickly build 

### consumer recognition in the community ensuring retention of current passenger momentum while also working to increase demand.

We commit to providing you with outstanding service and will continue working with you throughout our term to provide the next level of air service that will bring us all success.

# Market Growth Strategy

– Marketing Investment

01/06/2012 Air Choice One reinvests in our served communities.

• TRADITIONAL MEDIA

• Radio

- Talk Shows/Commercials

• TV Commercials and Event Coverage

• Print

- Newspaper/Magazines

• Billboards

• Web Based

– E

- Blasts

- Constant Contact

– Monthly E

- Mail Promotions

– City Representation on Our Website

• SOCIAL MEDIA

• Twitter, Facebook, Linked In

• INTERACTIVE MEDIA

• Contests

• You Tube/Videos

• EVENTS AND SPONSORSHIPS

• Local Charitable Support

- March of Dimes, Make

- A

- Wish Foundation, Red Cross, etc.

• Business/Community Support

- Golf Tournaments, Business Luncheons, Air Shows, etc.

# Market Growth Strategy

– Connectivity

10/12/2011 

### Over the years Air Choice One has made substantial investments in enhancing our brand distribution capabilities. At our current level, for the Global Distribution Systems (GDS), we are fully seen and sold in all the major systems including but not limited to Sabre

, Apollo, Amadeus, Travelport , and many more. Air Choice One is working diligently to secure interline relations with other major carriers. Delta has communicated to us that
once the communities make their air carrier selection and that carrier is awarded the contract from the Department of Transportation to provide scheduled air service into Memphis International Airport, Delta would consider pursuing Interline relations with the
chosen carrier.

We have and will continue to take every action possible to actively pursue a mutually
beneficial IET with Delta into the MEM hub, as well as, other major legacy carriers into 

### our other hubs located at Chicago, O’Hare International Airport and Lambert St. Louis International Airport. All other major legacies have communicated to us that we are being evaluated to become Interline partners with them in 2012. We look forward to announcing the launch of one or more interline relations in the coming year.

# Options Index Inseparable Service

01/06/2012 OPTION 1, 2 YEAR TERM WITH DISCOUNTED 4 YEAR TERM OPTION

– MEM SERVICE

INSEPARABLE SERVICE

- CESSNA GRAND CARAVAN

Greenville, Mississippi

– Memphis International

Cessna Grand Caravan 24 Round Trips Per Week

Laurel/Hattiesburg, Mississippi

– Memphis International

Cessna Grand Caravan 24 Round Trips Per Week

Muscle Shoals, Alabama

– Memphis International

Cessna Grand Caravan 24 Round Trips Per Week

Tupelo, Mississippi

– Memphis International

Cessna Grand Caravan 24 Round Trips Per WeekOperation Revenues

GLH

- MEM, PIB

- MEM, MSL

- MEM, & TUP

- MEM Revenues $ 2,443,700

Other Revenues 70,105
Total Operating Revenues $ 2,513,805

Direct Operating Expenses
Flying Operations $ 746,387

Fuel and Oil 2,231,155

Maintenance 1,695,989

Aircraft Leases 1,640,000

Total Direct $6,313,531
Marketing 200,000

Indirect 2,111,909

Total Operating Expenses $8,625,440

Operating Loss $6,111,635
Profit Element (5% total Oper. Exp.) 431,272
Compensation Required $6,542,907

Compensation per PAX $145

Compensation per Departure $667 

### Inseparable Service

– Greenville, MS; Laurel/Hattiesburg, MS; Muscle Shoals, AL; & Tupelo, MS

– Cessna Grand Caravan

Option 1: 2 Year Service with Discount for 4 Year Term

GLH , PIB, MSL, TUP

- 24 Total Round Trips Per Week

- Based on 98% Completion Rate

Inseparable Service

– Greenville, MS; Laurel/Hattiesburg, MS; Muscle Shoals, AL; & Tupelo, MS

– Memphis International

– Caravan

# Passengers: 45,000 Average Fare GLH

- MEM: $49.00
Average Fare PIB

- MEM: $71.00
Average Fare MSL

- MEM: $49.00
Average Fare TUP

- MEM: $49.00
Departures: 9,811
Block Hours: 8,413 Revenue Passenger Miles: 6,592,500
Available Seat Miles: 13,098,758

10/12/2011 DISCOUNTED SUBSIDY $6,477,478/Year $660/Departure DISCOUNT FOR
4 YEAR TERM

### Inseparable Service

– Greenville, MS; Laurel/Hattiesburg, MS; Muscle Shoals, AL; & Tupelo, MS

– Cessna Grand Caravan

Option 1: 2 Year Service with Discount for 4 Year Term

GLH , PIB, MSL, TUP

- 24 Total Round Trips Per Week

- Based on 98% Completion Rate

10/12/2011 

### Greenville, Mississippi

Representative Schedule

Departure Arrival

GLH @ 6:00 AM CT MEM @ 6:45 AM CT



### MEM @ 7:15 AM CT GLH @ 8:00 AM CT

GLH @ 9:00 AM CT MEM @ 9:45 AM CT

MEM @ 10:15 AM CT GLH @ 11:00 AM CT

GLH @ 3:00 PM CT MEM @ 3:45 PM CT

MEM @ 4:15 PM CT GLH @ 5:00 PM CT

GLH @ 6:00 PM CT MEM @ 6:45 PM CT

MEM @ 8:00 PM CT GLH @ 8:45 PM CT Inseparable Service

– Greenville, MS; Laurel/Hattiesburg, MS; Muscle Shoals, AL; & Tupelo, MS

– Memphis International

– Caravan

### Inseparable Service

– Greenville, MS; Laurel/Hattiesburg, MS; Muscle Shoals, AL; & Tupelo, MS

– Cessna Grand Caravan

Option 1: 2 Year Service with Discount for 4 Year Term

GLH , PIB, MSL, TUP

- 24 Total Round Trips Per Week

- Based on 98% Completion Rate

10/12/2011 

### Laurel/Hattiesburg, Mississippi

Representative Schedule

Departure Arrival

PIB @ 5:30 AM CT MEM @ 7:10 AM CT



### MEM @ 7:40 AM CT PIB @ 9:20 AM CT

PIB @ 8:30 AM CT MEM @ 10:10 AM CT

MEM @ 11:00 AM CT PIB @ 12:40 PM CT

PIB @ 1:00 PM CT MEM @ 2:40 PM CT

MEM @ 3:30 PM CT PIB @ 5:10 PM CT

PIB @ 5:30 PM CT MEM @ 7:10 PM CT

MEM @ 8:00 PM CT PIB @ 9:40 PM CT Inseparable Service

– Greenville, MS; Laurel/Hattiesburg, MS; Muscle Shoals, AL; & Tupelo, MS

– Memphis International

– Caravan

### Inseparable Service

– Greenville, MS; Laurel/Hattiesburg, MS; Muscle Shoals, AL; & Tupelo, MS

– Cessna Grand Caravan

Option 1: 2 Year Service with Discount for 4 Year Term

GLH , PIB, MSL, TUP

- 24 Total Round Trips Per Week

- Based on 98% Completion Rate

10/12/2011 

### Muscle Shoals, Alabama

Representative Schedule

Departure Arrival

MSL @ 5:30 AM CT MEM @ 6:10 AM CT



### MEM @ 6:40 AM CT MSL @ 7:20 AM CT

MSL @ 8:15 AM CT MEM @ 8:55 AM CT

MEM @ 9:35 AM CT MSL @ 10:15 AM CT

MSL @ 4:40 PM CT MEM @ 5:20 PM CT

MEM @ 6:10 PM CT MSL @ 6:50 PM CT

MSL @ 7:25 PM CT MEM @ 8:05 PM CT

MEM @ 8:35 PM CT MSL @ 9:15 PM CT Inseparable Service

– Greenville, MS; Laurel/Hattiesburg, MS; Muscle Shoals, AL; & Tupelo, MS

– Memphis International

– Caravan

### Inseparable Service

– Greenville, MS; Laurel/Hattiesburg, MS; Muscle Shoals, AL; & Tupelo, MS

– Cessna Grand Caravan

Option 1: 2 Year Service with Discount for 4 Year Term

GLH , PIB, MSL, TUP

- 24 Total Round Trips Per Week

- Based on 98% Completion Rate

10/12/2011 

### Tupelo, Mississippi

Representative Schedule

Departure Arrival

TUP @ 5:30 AM CT MEM @ 6:00 AM CT



### MEM @ 6:30 AM CT TUP @ 7:00 AM CT

TUP @ 9:55 AM CT MEM @ 10:25 AM CT

MEM @ 11:05 AM CT TUP @ 11:35 AM CT

TUP @ 5:00 PM CT MEM @ 5:30 PM CT

MEM @ 6:10 PM CT TUP @ 6:40 PM CT

TUP @ 7:20 PM CT MEM @ 7:50 PM CT

MEM @ 8:20 PM CT TUP @ 8:50 PM CT Inseparable Service

– Greenville, MS; Laurel/Hattiesburg, MS; Muscle Shoals, AL; & Tupelo, MS

– Memphis International

– Caravan

# A WINNING CHOICE!

01/06/2012 

# We Look Forward to Serving You! • Successful Pricing Strategy

• Community Support & Involvement

• Proven Reliability

• Successful Marketing Campaigns



# • Service that Caters to Community
and Business Needs