Proposal to Provide Essential Air Service at

Burlington, Iowa

Docket DOT-OST-2001-8731

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

10/11/2011

Air Choice One is grateful to be the current carrier servicing the community of Burlington, Iowa and we 

are committed to continued growth in Burlington. Air Choice One is pleased to report that we have 

exceeded the targets established two years ago and is going strong. Our current proposal allocates 

substantial resources to support marketing efforts and builds on the momentum we have begun. We 

will continue working diligently to further increase enplanements.

We understand the efforts of a dedicated air carrier are critical to the continued success of the EAS 

program in your community. Air Choice One is that air carrier and through our past performance we 

have demonstrated the strategy outlined in our proposal is successful and guarantees airport 

development. Our current proposal gives the best access to the national transportation system for the 

community at reasonable prices and may be considered as an individual offering.

Air Choice One remains dedicated to providing Burlington with outstanding service and we are seeking 

your commitment to our partnership through selection of Air Choice One for a 4 year term. The 

commitment of the Burlington community to a 4 year term provides Air Choice One with the financial 

justification to move our fleet forward into aircraft with larger seating capacities. Burlington will directly 

benefit through increased passenger loads; easing the subsidy requirement.

We look forward to serving you for the next 4 years!
Market Growth Strategy -

Airport Partnerships

Air Choice One will team with your local airport to raise awareness about your 

communities’ air service and increase enplanements. 

• LOCAL AIRPORT INITIATIVES 

• Provide Financial Support Through Discounted Fuel Costs, Landing Fees, and Rental Agreements

• Provide Telephone and Internet Service

• Educate the Community about the EAS Program and Air Choice One’s Service

• Draft and Distribute Press Releases

• Community Involvement 

• Participate in TV and Radio Coverage

• Distribute Information Pertaining to Air Choice One at Local Business Events

• High Visibility Presence on City Website(s) and Electronic Signage

10/11/2011
Market Growth Strategy -

Airport Partnerships

Air Choice One will team with your chosen destination airport to promote tourism 

opportunities and encourage air travel to your community, again, increasing 

enplanements. 

• CHICAGO O’HARE INTERNATIONAL AIRPORT (ORD) INITIATIVES 

• EAS Communities Receiving Reliable Service to Hub Airports Have Benefited From a Steady Increase in 

Ridership

• Market Vacation Packages to ORD and Beyond and to Local Communities From ORD

• Air Choice One Operates from Terminal 3, Gate L9

• LAMBERT ST. LOUIS INTERNATIONAL AIRPORT (STL) INITIATIVES 

• Aggressively pursuing EAS Communities Through Partnership Programs

• Local Visits and Financial Support

• Annual EAS Summit Held at STL Airport

• STL Currently Supports Over 50 Daily Flights to Seven EAS Communities

• EAS Communities Partnering With STL Have Benefited From a Steady Increase in Ridership

• Provide Marketing Funds to Both Air Choice One and the Local Community

• Market Vacation Packages to STL and Beyond and to Local Communities From STL

• Expedited Security Passes—Passengers With Connections Enter Security Through First/Business Class Line

• Discount Coupons for Airport Shopping and Concessions

10/11/2011
Market Growth Strategy –

Partnering With the Community 

10/11/2011

Air Choice One is dedicated to working with your community 

to reinvigorate the service at your airport and sustain growth 

that will launch us into the future. 

• WE ARE YOUR NEIGHBORS

• Corporate Headquarters in Midwest

• Increase Local Career Opportunities 

• WE ARE IN YOUR COMMUNITY

• Routine On-Site Sales Visits

• Chamber of Commerce Participation and Membership 

• Airport Affiliate Participation 

• STRONG PUBLIC RELATIONS AND MEDIA OUTREACH 

• Business Incentive Programs

• Travel Agent Discounts

• Business to Business Communication

• Attendance at Public Events

• WE KEEP YOU INFORMED

• Monthly Airport Board Updates
Market Growth Strategy –

Marketing Investment

10/11/2011

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.

• COMMUNITY TICKET OFFICE
Market Growth Strategy –

Reliability & Growth

• CONSISTENT SERVICE IS KEY

• Proven Success in Other EAS Markets

• Builds Passenger Confidence in Carrier

• Dedicated Aircraft for your Airport

– 102% Flight Completion Ratio as 

Reported by DOT YR 2010

– Spare Aircraft Availability

• AIR CHOICE ONE’S REVENUE INCREASED 

BY OVER 20% YE 2010 VS. 2009

10/11/2011

75

80

85

90

95

100

105

Cape 

Air

Am. 

Eagle

Gr. 

Lakes

Sea 

Port

Air 

Choice

Completion %

Airline

Airline Completion Ratios

Works Cited: T-100 Segment 

Report DOT 2010 Calendar Year
Market Growth Strategy –

Accessibility

• VISIBILITY

• Global Distribution Systems

–Sabre, Apollo, Worldspan, 

Travelport, Amadeus, etc.

• Consumer Sites

–Expedia, Travelocity, Priceline, 

Orbitz, etc.

• Web based booking

–www.airchoiceone.com

• Call Center

–Open 7 Days a Week

• CONNECTIVITY

• United Airlines Agreement

• Additional Legacy Agreements Pending

10/11/2011
Market Growth Strategy –

Pricing 

Air Choice One offers the right price for the 

right ticket at the right time. 

We take all things into consideration and 

enter the market with low fares. We work 

hard to establish a winning price point 

through targeted market analysis. We 

believe consistent pricing builds consumer 

confidence. 

• BUILDING & SUSTAINING RIDERSHIP 

THROUGH PRICE

• Introductory Fares Peak Interest and 

Drive Passengers to Air Choice One 

and Your Airport

• On-Going Affordable Fares = Full 

Planes!

• Full Planes Establish the Customer 

Base Needed to Reduce Future 

Subsidy Requirements 

10/11/2011

*Numbers Reflect O & D

0

500

1,000

1,500

2,000

2,500

3,000

Jan

Feb

Mar

Apr

May

Jun

Jul

Aug

Sep

Oct

Nov

Dec

# of Passengers

Month of Service

Air Choice One Ridership Growth

EAS Markets 2010-2011*

2010

2011
Marketing Growth Strategy -

New Hub, New Opportunities

ST. LOUIS’ COMBO OF LOW FARE CARRIERS AND ENDLESS CONNECTIONS ARE THE 

KEY TO SELLING MORE TICKETS!

10/11/2011

*Source : Southwest Airlines Website, September 2011, 14 Day Advance Purchase 

• Air Choice One Operates from Gate 

E33, Terminal 2

• 244 Daily Flights to 60 Domestic & 

International Markets as of August, 

2011.

• More than 24,700 Daily Outbound 

Seats.

Terminal 2, Gate E33
Marketing Growth Strategy -

Building On A Great Foundation

AIR CHOICE ONE WILL BUILD ON CHICAGO O’HARE INTERNATIONAL’S MOMENTUM! 

10/11/2011

Terminal 3, Gate L9

• Air Choice One Operates from Terminal 2, Gate L9

• 39 Carriers Serving Over 67 Million Passengers and More 

Than 950,000 Aircraft Operations in 2010
Options Index (Page 1 of 2)

Burlington, Iowa

10/11/2011

OPTION 1, 2 YEAR SERVICE WITH DISCOUNT FOR 4 YEAR SERVICE TERM – STL & ORD SERVICE

CESSNA GRAND CARAVAN

Burlington, Iowa – Dual Hub Service – Lambert St. Louis & Chicago O’Hare International Airports

Cessna Grand Caravan 24 Round Trips Per Week

OPTION 2, 2 YEAR SERVICE WITH DISCOUNT FOR 4 YEAR SERVICE TERM – STL & ORD SERVICE

CESSNA GRAND CARAVAN

Burlington, Iowa – Dual Hub Service – Lambert St. Louis & Chicago O’Hare International Airports

Cessna Grand Caravan 30 Round Trips Per Week

OPTION 3, 2 YEAR SERVICE WITH DISCOUNT FOR 4 YEAR SERVICE TERM – STL & ORD SERVICE

CESSNA GRAND CARAVAN

Burlington, Iowa – Dual Hub Service – Lambert St. Louis & Chicago O’Hare International Airports

Cessna Grand Caravan 36 Round Trips Per Week
Options Index (Page 2 of 2)

Burlington, Iowa

10/11/2011

OPTION 6, 2 YEAR SERVICE WITH DISCOUNT FOR 4 YEAR SERVICE TERM – ORD SERVICE

CESSNA GRAND CARAVAN

Burlington, Iowa – Chicago O’Hare International Airport

Cessna Grand Caravan 36 Round Trips Per Week

OPTION 4, 2 YEAR SERVICE WITH DISCOUNT FOR 4 YEAR SERVICE TERM – STL SERVICE

CESSNA GRAND CARAVAN

Burlington, Iowa – Lambert St. Louis International Airport

Cessna Grand Caravan 30 Round Trips Per Week

OPTION 5, 2 YEAR SERVICE WITH DISCOUNT FOR 4 YEAR SERVICE TERM – ORD SERVICE

CESSNA GRAND CARAVAN

Burlington, Iowa – Chicago O’Hare International Airport

Cessna Grand Caravan 30 Round Trips Per Week
Operation Revenues

BRL-STL & BRL-ORD Revenues $ 712,490

Other Revenues 3,562

Total Operating Revenues $ 716,052

Direct Operating Expenses

Flying Operations $ 342,166

Fuel and Oil 599,588

Maintenance 501,843

Aircraft Leases 420,000

Total Direct $1,863,597

Marketing 60,000

Indirect 641,093

Total Operating Expenses $2,564,690

Operating Loss $1,848,638

Profit Element (5% total Oper. Exp.) 128,234

Compensation Required $1,976,872

Compensation per PAX $152

Compensation per Departure $806

Burlington, Iowa – Dual Hub Service – Cessna Grand Caravan

Option 1: 2 Year Service With Discount For 4 Year Service Term

24 Total Round Trips Per Week – Based on 98% Completion Rate

Burlington, Iowa – Dual Hub Service – Lambert St. Louis & Chicago O’Hare International Airports – Caravan

# Passengers: 13,010

Average Fare - ORD: $59.00

Average Fare - STL: $49.00

Departures: 2,452

Block Hours: 2,281

Revenue Passenger Miles: 2,212,470

Available Seat Miles: 3,676,458

10/11/2011

DISCOUNTED SUBSIDY

$1,917,566/Year

$782/Departure

DISCOUNT FOR 4-YEAR TERM

Representative Schedule (2S/2C)

Departure Arrival

BRL @ 6:00 AM CT ORD @ 7:20 AM CT

ORD @ 7:50 AM CT BRL @ 9:10 AM CT

BRL @ 9:25 AM CT STL @ 10:15 AM CT

STL @ 2:40 PM CT BRL @ 3:30 PM CT

BRL @ 4:00 PM CT ORD @ 5:20 PM CT

ORD @ 6:00 PM CT BRL @ 7:20 PM CT

BRL @ 7:35 PM CT STL @ 8:25 PM CT

STL @ 9:00 PM CT BRL @ 9:50 PM CT
Operation Revenues

BRL-STL & BRL-ORD Revenues $ 771,490

Other Revenues 3,857

Total Operating Revenues $ 775,347

Direct Operating Expenses

Flying Operations $ 390,731

Fuel and Oil 760,768

Maintenance 667,137

Aircraft Leases 420,000

Total Direct $2,238,636

Marketing 60,000

Indirect 813,707

Total Operating Expenses $3,112,343

Operating Loss $2,336,996

Profit Element (5% total Oper. Exp.) 155,617

Compensation Required $2,492,613

Compensation per PAX $178

Compensation per Departure $813

Burlington, Iowa – Dual Hub Service – Cessna Grand Caravan

Option 2: 2 Year Service With Discount For 4 Year Service Term 

30 Total Round Trips Per Week – Based on 98% Completion Rate

Burlington, Iowa – Dual Hub Service – Lambert St. Louis & Chicago O’Hare International Airports – Caravan

# Passengers: 14,010

Average Fare - ORD: $59.00

Average Fare - STL: $49.00

Departures: 3,066

Block Hours: 2,895

Revenue Passenger Miles: 2,399,470

Available Seat Miles: 4,705,646

10/11/2011

DISCOUNTED SUBSIDY

$2,417,835/Year

$789/Departure

DISCOUNT FOR 4-YEAR TERM

Representative Schedule (2S/3C)

Departure Arrival

BRL @ 6:00 AM CT ORD @ 7:20 AM CT

ORD @ 7:50 AM CT BRL @ 9:10 AM CT

BRL @ 9:45 AM CT STL @ 10:35 AM CT

STL @ 11:40 AM CT BRL @ 12:30 PM CT

BRL @ 1:10 PM CT ORD @ 2:30 PM CT

ORD @ 3:10 PM CT BRL @ 4:30 PM CT

BRL @ 5:00 PM CT STL @ 5:50 PM CT

STL @ 4:00 PM CT BRL @ 4:50 PM CT

BRL @ 5:30 PM CT ORD @ 6:50 PM CT

ORD @ 8:00 PM CT BRL @ 9:20 PM CT
Operation Revenues

BRL-STL & BRL-ORD Revenues $ 811,100

Other Revenues 8,111

Total Operating Revenues $ 819,211

Direct Operating Expenses

Flying Operations $ 471,857

Fuel and Oil 896,093

Maintenance 734,000

Aircraft Leases 420,000

Total Direct $2,521,950

Marketing 60,000

Indirect 845,412

Total Operating Expenses $3,427,362

Operating Loss $2,608,151

Profit Element (5% total Oper. Exp.) 171,368

Compensation Required $2,779,519

Compensation per PAX $187

Compensation per Departure $755

Burlington, Iowa – Dual Hub Service – Cessna Grand Caravan

Option 3: 2 Year Service With Discount For 4 Year Service Term 

36 Total Round Trips Per Week – Based on 98% Completion Rate

# Passengers: 14,900

Average Fare - ORD : $59.00

Average Fare - STL: $49.00

Departures: 3,680

Block Hours: 3,496

Revenue Passenger Miles: 2,514,300

Available Seat Miles: 4,901,945

10/11/2011

DISCOUNTED SUBSIDY

$2,696,133/Year

$732/Departure

DISCOUNT FOR 4-YEAR TERM

Representative Schedule (3S/3C)

Departure Arrival

BRL @ 6:10 AM CT ORD @ 7:30 AM CT

ORD @ 8:05 AM CT BRL @ 9:25 AM CT

BRL @ 10:00 AM CT STL @ 10:50 AM CT

STL @ 11:40 AM CT BRL @ 12:30 PM CT

BRL @ 1:10 PM CT ORD @ 2:30 PM CT

ORD @ 3:10 PM CT BRL @ 4:30 PM CT

BRL @ 5:00 PM CT STL @ 5:50 PM CT

STL @ 3:00 PM CT BRL @ 4:10 PM CT

BRL @ 4:30 PM CT ORD @ 5:50 PM CT

ORD @ 6:30 PM CT BRL @ 8:00 PM CT

BRL @ 8:15 PM CT STL @ 9:05 PM CT

STL @ 9:45 PM CT BRL @ 10:35 PM CT

Burlington, Iowa – Dual Hub Service – Lambert St. Louis & Chicago O’Hare International Airports – Caravan
Operation Revenues

BRL-STL Revenues $ 661,500

Other Revenues 3,638

Total Operating Revenues $ 665,138

Direct Operating Expenses

Flying Operations $ 413,910.00

Fuel and Oil 725,308

Maintenance 593,271

Aircraft Leases 420,000

Total Direct $2,152,489

Marketing 60,000

Indirect 523,690

Total Operating Expenses $2,736,179

Operating Loss $2,071,041

Profit Element (5% total Oper. Exp.) 136,809

Compensation Required $2,207,850

Compensation per PAX $164

Compensation per Departure $720

Burlington, Iowa – Cessna Grand Caravan

Option 4: 2 Year Service With Discount For 4 Year Service Term 

30 Total Round Trips Per Week – Based on 98% Completion Rate

Burlington, Iowa – Lambert St. Louis International Airport – Caravan

# Passengers: 13,500

Average Fare: $49.00

Departures: 3,066

Block Hours: 2,759

Revenue Passenger Miles: 1,984,500

Available Seat Miles: 4,045,205

10/11/2011

DISCOUNTED SUBSIDY

$2,141,615/Year

$698/Departure

DISCOUNT FOR 4-YEAR TERM

Representative Schedule (5S)

Departure Arrival

BRL @ 6:00 AM CT STL @ 6:50 AM CT

STL @ 7:35 AM CT BRL @ 8:25 AM CT

BRL @ 9:15 AM CT STL @ 10:05 AM CT

STL @ 10:55 AM CT BRL @ 11:45 AM CT

BRL @ 12:35 PM CT STL @ 1:25 PM CT

STL @ 2:15 PM CT BRL @ 3:05 PM CT

BRL @ 3:55 PM CT STL @ 4:45 PM CT

STL @ 5:35 PM CT BRL @ 6:25 PM CT

BRL @ 7:15 PM CT STL @ 8:05 PM CT

STL @ 9:00 PM CT BRL @ 9:50 PM CT
Operation Revenues

BRL-ORD Revenues $ 814,200

Other Revenues 4,478

Total Operating Revenues $ 818,678

Direct Operating Expenses

Flying Operations $ 444,570

Fuel and Oil 805,898

Maintenance 735,840

Aircraft Leases 420,000

Total Direct $2,406,308

Marketing 60,000

Indirect 812,770

Total Operating Expenses $3,279,078

Operating Loss $2,460,400

Profit Element (5% total Oper. Exp.) 163,954

Compensation Required $2,624,354

Compensation per PAX $190

Compensation per Departure $856

Burlington, Iowa – Cessna Grand Caravan

Option 5: 2 Year Service With Discount For 4 Year Service Term 

30 Total Round Trips Per Week – Based on 98% Completion Rate

Burlington, Iowa – Chicago O’Hare International Airport – Caravan

# Passengers: 13,800

Average Fare: $59.00

Departures: 3,066

Block Hours: 3,066

Revenue Passenger Miles: 2,028,600

Available Seat Miles: 4,045,205

10/11/2011

DISCOUNTED SUBSIDY

$2,545,623/Year

$830/Departure

DISCOUNT FOR 4-YEAR TERM

Representative Schedule (5C)

Departure Arrival

BRL @ 6:00 AM CT ORD @ 7:20 AM CT

ORD @ 7:50 AM CT BRL @ 9:10 AM CT

ORD @ 10:00 AM CT BRL @ 11:20 AM CT

BRL @ 12:00 PM CT ORD @ 1:20 PM CT

BRL @ 10:00 AM CT ORD @ 11:20 AM CT

ORD @ 11:55 AM CT BRL @ 1:15 PM CT

BRL @ 2:00 PM CT ORD @ 3:20 PM CT

ORD @ 3:55 PM CT BRL @ 5:15 PM CT

BRL @ 6:00 PM CT ORD @ 7:20 PM CT

ORD @ 8:00 PM CT BRL @ 9:20 PM CT
Operation Revenues

BRL-ORD Revenues $ 973,500

Other Revenues 5,354

Total Operating Revenues $ 978,854

Direct Operating Expenses

Flying Operations $ 478,296

Fuel and Oil 967,078

Maintenance 791,028

Aircraft Leases 420,000

Total Direct $2,656,402

Marketing 60,000

Indirect 933,926

Total Operating Expenses $3,650,328

Operating Loss $2,671,474

Profit Element (5% total Oper. Exp.) 182,516

Compensation Required $2,853,990

Compensation per PAX $173

Compensation per Departure $776

Burlington, Iowa – Cessna Grand Caravan

Option 6: 2 Year Service With Discount For 4 Year Service Term 

36 Total Round Trips Per Week – Based on 98% Completion Rate

Burlington, Iowa – Chicago O’Hare International Airport – Caravan

# Passengers: 16,500

Average Fare: $59.00

Departures: 3,679

Block Hours: 3,679

Revenue Passenger Miles: 2,425,500

Available Seat Miles: 4,854,246

10/11/2011

DISCOUNTED SUBSIDY

$2,768,370/Year

$753/Departure

DISCOUNT FOR 4-YEAR TERM

Representative Schedule (5C)

Departure Arrival

BRL @ 6:00 AM CT ORD @ 7:20 AM CT

ORD @ 7:50 AM CT BRL @ 9:10 AM CT

ORD @ 10:00 AM CT BRL @ 11:20 AM CT

BRL @ 12:00 PM CT ORD @ 1:20 PM CT

BRL @ 10:00 AM CT ORD @ 11:20 AM CT

ORD @ 11:55 AM CT BRL @ 1:15 PM CT

BRL @ 2:00 PM CT ORD @ 3:20 PM CT

ORD @ 3:55 PM CT BRL @ 5:15 PM CT

BRL @ 6:00 PM CT ORD @ 7:20 PM CT

ORD @ 8:00 PM CT BRL @ 9:20 PM CT

ORD @ 6:00 PM CT BRL @ 7:20 PM CT

BRL @ 8:00 PM CT ORD @ 9:20 PM CT
The Best Choice to Succeed

10/11/2011

• Proven Enplanement Increases in EAS 

Markets

• Successful Pricing Strategy

• Demonstrated Growth in Community Support 

• Proven Reliability 

• Outstanding Completion Ratio

• Great Hub Connectivity

• Successful Marketing and Public Relations 

Outreach

• Raise Awareness About Local Air Service

• We Cater to Community and Business Needs

We Look Forward to Serving Burlington for the Next 4 Years!