Before the United States Department of Transportation

Washington, DC

July 24,2013

Essential Air Service at

VERNAL, UTAH Docket OST-1997-2706

MOAB, UTAH Docket OST-1997-2827

under 49 U.S.C. 41731 et.seq.

This document contains the response of Great Lakes Aviation, Ltd. to Order Requesting

Proposals 2013-6-19

Great Lakes Aviation, Ltd. is pleased to submit these proposals to provide essential

air transportation at these points in Utah.

Great Lakes is providing both two round trip and three round trip capacity options for Vernal. 

The proposed service for both Moab and Vernal are submitted without any upline restrictions.

The proposals contemplate the use of 19 seat Beechcraft 1900D airliner equipment. 

Questions and comments may be referred to:

Michael O. Matthews

Chief Financial Officer

Great Lakes Aviation, Ltd.

1022 Airport Parkway

Cheyenne, WY 82001

(307) 432-7000

Great Lakes' proposals intend conveniently timed connecting services to our code-share 

partners (United and Frontier) at our Denver Hub. In addition, Great Lakes maintains interline 

ticketing and baggage agreements with the majority of the other carriers serving Denver, 

including interline e-ticketing agreements with American Airlines, Continental/United Airlines 

and U.S. Airways. All of which will offer passengers maxium access to the domestic and 

international air transportation system.
Table of Contents:

Subsidy Passengers Average

Proposal Service Point(s) Hub(s) Served Round Trips Equipment Requirement Forecast Fare

Part

1 Moab Denver 2 1900D $1,798,772 $117.05 8,500 

2 Vernal Denver 2 1900D $1,297,615 $147.14 10,000 

3 Vernal Denver 3 1900D $1,657,570 $147.02 15,250 
Great Lakes Aviation, Ltd.

Annual Compensation Requirements for Essential Air Service at

Moab, Utah

Two Round Trip

(at 98 percent completion)

Departures: 1,221

Block Hours: 1,546

Revenue Passenger Miles: 2,405,500

Available Seat Miles: 6,565,317

Operating Revenues:

Passenger: CNY 8,500 psgrs at $117.05 $994,925

Other: (at 0.62% of passenger revenue) $6,169

Total Operating Revenues: $1,001,094

Operating Expenses:

Direct: Aircraft and Hull Insurance $202,623

Fuel and Oil $871,766

Flying Operations $304,934

Maintenance $437,525

Total Direct Expenses: $1,816,848

Total Indirect Expenses: $849,691

Total Operating Expenses: $2,666,539

Operating Loss ($1,665,445)

Profit Element (5.0% of Total Operating Expenses) $133,327

Annual Compensation Requirement: $1,798,772

Bid assumes current Denver Hub schedule would serve as a representative schedule

 This proposal contemplates the use of 19 seat Beechcraft 1900-D aircraft

The bid assumes no upline restrictions
Great Lakes Aviation, Ltd.

Annual Compensation Requirements for Essential Air Service at

Vernal, Utah

Two Round Trip

(at 98 percent completion)

Departures: 1,221

Block Hours: 1,546

Revenue Passenger Miles: 1,489,250

Available Seat Miles: 6,008,541

Operating Revenues:

Passenger: VEL 10,000 psgrs at $147.14 $1,471,400

Other: (at 0.62% of passenger revenue) $9,123

Total Operating Revenues: $1,480,523

Operating Expenses:

Direct: Aircraft and Hull Insurance $202,623

Fuel and Oil $863,754

Flying Operations $293,099

Maintenance $428,091

Total Direct Expenses: $1,787,567

Total Indirect Expenses: $858,278

Total Operating Expenses: $2,645,845

Operating Loss ($1,165,322)

Profit Element (5.0% of Total Operating Expenses) $132,292

Annual Compensation Requirement: $1,297,615

Bid assumes current Denver Hub schedule would serve as a representative schedule

 This proposal contemplates the use of 19 seat Beechcraft 1900-D aircraft

The bid assumes no upline restrictions
Great Lakes Aviation, Ltd.

Annual Compensation Requirements for Essential Air Service at

Vernal, Utah

Three Round Trip

(at 98 percent completion)

Departures: 1,221

Block Hours: 1,546

Revenue Passenger Miles: 1,489,250

Available Seat Miles: 6,008,541

Operating Revenues:

Passenger: VEL 15,250 psgrs at $147.02 $2,242,055

Other: (at 0.62% of passenger revenue) $13,901

Total Operating Revenues: $2,255,956

Operating Expenses:

Direct: Aircraft and Hull Insurance $370,475

Fuel and Oil $1,227,728

Flying Operations $457,597

Maintenance $655,728

Total Direct Expenses: $2,711,528

Total Indirect Expenses: $1,015,639

Total Operating Expenses: $3,727,167

Operating Loss ($1,471,211)

Profit Element (5.0% of Total Operating Expenses) $186,358

Annual Compensation Requirement: $1,657,570

Bid assumes current Denver Hub schedule would serve as a representative schedule

 This proposal contemplates the use of 19 seat Beechcraft 1900-D aircraft

The bid assumes no upline restrictions