### ROBERTB. KARNS

105 Main Street (701) 278-3747
E - Mail : bob @ )sovere i g nairin c.co V P GM 

# ~obereign ~ir 

# 3Jnt. BELCOURT, ND S8316 

### Jan u ary 6} 2012

Dennis J. Devany, Chief EAS& Domestic Analysis Division } X-53 Office of Aviation Analysis Department of Transportation 1200 New Jersey Ave. SE Washington} DC 20590 Re: Proposal to Provide Essential Air Service at: BAR HARBOR, MA IN E DOCKET-DOT-OST-2011-0185 PRESQUEI SLE/HOULTON, MAINE DOCKET- DOT-OST-2000-8012 PLATTSBURGH,NEW YORK DOCKET-DOT-OST-2003-14783 Dea r Mr. DeVany: COMMUNITY AIRLINE DEVELOPMENT

The p u rpose ofthis proposal is to not on ly provide the basic air servi ce requ i red by O rder} 2011-11-26 but to e nsu re that each commun ity maintains the contin uous airline operations they requi re without EA5 funding should Congressional funding to the EAS p rogram be reduced o r eliminated. Sovere i gn Air is uniquely staffed and equipped and can be operational i n time to provide the ai rline service you demand . 

# Jil;;7 J J , ~ ROBERTB . KARNS " - ..• .. ---- VP GM Sovere i gn Ai r Inc.

M I NNEAPO LI S 5701 KENTU C KY AV E. N S u ite 1S3 M I NN EAPOLIS, MN 55428-3 302 (763) 5 3 5
-4 1 9 8 P RI NTED O N RECYCLED PAPE RSovereign Air Inc - 1/6/2012 JET DOT-OST-2000-8012 PRESQUE/HOULTON-MAIN

Proposal # 1 JET PQI TO BOS NON STOP Round-Trips Per Week each l eg non stop Total Departure Per Year 97% Aircraft Dornier 328 Avai lable Seats Per Departure Totle Seats Year Block Time Minutes Per Departure Total Block Ti me Per Year Revenue Passengers Average Fare Passenger Revenue RPMS Passengers Stage Length ASMs Scheduled Departures Completed Departures Stage Length Seats Available
Revenue Outher Revenue @ . 03 %of pax rev. Total Revenue Direct Operating Expenses Indirect Expenses Reservation and Marketing Total Expenses $3,300 Blk Hrs Per Pas $6 Operating Loss 5% Profit Subsidy Required Load Factor NOTE: This proposal covers the total expense required to initiate scheduled air serice, purchase the ai rcraft and be debt free as well as not requiring EASfund i ng after 2 years operation . Aircraft commited to PQI - BOS service only. Should be operational 90 days after funding which comes with selecting Soveretgn Air. Sovereign Air will have passenger, (ticketi ng, baggage and cargo) agreements with most magor aircarries and discount carries as wel l . With increasing ri dership more scheduled flights may be added as needed at a greatly reduced operating cost reducing ticket p rici ng. 20 2,018
30 60528
50 1,681 29,511 $130 $3,836,430
29 , 511 205 6,049,755 2080 2018 205 30 12 , 821,848 $3,836,430 $115,093 $3 , 951,523 $5 , 548,400 $794,678 $177.066 $6,520,144 $2,568,621 $326 , 007 $2,894,628 0 . 49Sovereign Air Inc -1/6/2012 (JET) DOT-OST-2000-8012 PRESQUE/HOULTON - MAIN DOT-OST-2011-0185 BAR HARBOR-MAIN Proposal # 2 JET PQI TO BOS 1 STOP BHB PQI 21 RT Per Wk -BHB 21 RT+28 RT FOR 90 DAYS Total Departure Per Year 97% Aircraft Dorier 328 jet Available Seats Per Departure Totle Seats Year Block Time Minutes Per Departure Total Block Time Per Year PQI-BHB=20M I N BHB-BOS=30 MIN

Revenue Passengers Average Fare Passenger Revenue RPMS Passengers Stage Length ASMs Scheduled Departures Completed Departures Stage Length Seats Available
Revenue Outher Revenue @ .03 %of pax rev. Total Revenue Direct Operating Expenses Indirect Expenses Reservation and Marketing Total Expenses $4,800 Blk Hrs Per Pas $6 Operating Loss 5% Profit Subsidy Required Load Factor NOTE : This proposal covers the total expense required to initiate scheduled air serice, purchase the aircraft and be debt free as well as not requiring EASfunding after 2 years operation. Aircraft commited to PQI-BHB-BOS service only. Should be operational 90 days after fund i ng which comes with selecting Soveretgn Air. Sovereig n Air wi ll have passenger, (ticketing, baggage and cargo) agreements with most magor aircarries and discount carries as well . With increasing ri dership more scheduled flights may be added as needed at a greatly reduced operating cost red u cing ticket prici ng . 21 &28 2,298
30 68940

1,805 54,000 $110 $5,940 , 000
54 , 000 205 11,070,000 1494 1449 205 30 9,209,539 $5,940,000 $178,200 $6,118 , 200 $8,664,000 $1,358,009 $324,000 $10,346,009 $4,227,809 $517,300 $4,745,109 0.78Sovereign Air Inc -1/6/12 (TURBO-PROP) DOT -OST -2000-8012 PRESQUE/HOU L TON-MAl N Proposal # 3 TURBOPROP PQI TO BOS NON STOP Round-Trips Per Week each leg non stop Total Departure Per Year 97% Aircraft Jetatream 41 Available Seats Per Departure Totle Seats Year Block Time Minutes Per Departure Total Block Time Per Year Revenue Passengers Average Fare Passenge r Revenue RPMS Passengers Stage Length ASMs Scheduled Departures Completed Departures Stage Length Seats Available
Revenue Outher Revenue @ .03 %of pax rev. Total Revenue Direct Operating Expenses Indirect Expenses Reservation and Marketing Total Expenses Blk Hrs Per Pas Operating Loss 5% Profit Subsidy Required Load Factor 20 2,018
30 60540
60 2,018 29,511 $130 $3,836,430
29511 205 6,049,755 2080 2018 205 30 12,821,848 $3,836,430 $115,093 $3,951,523 $2,700 $5,448,600

$794,687 $6 $177.066 $6,420 , 353 $2,468,830 $321,018 $2,789,848 0.49 NOTE : This proposal covers the total expense required to initiate scheduled air serice, purchase the aircraft and be debt free as well as not requiring EASfunding after 2 years operation. Aircraft commited to PQI - BOS service only. Should be operational 90 days after funding which comes with selecting Soveretgn Air. Sovereign Air will have passenger, (ticketi ng, baggage and cargo) agreements with most magor aircarries and discount carries as well. With i ncreasing ridership more scheduled flights may be added as needed at a greatly reduced operating cost reducing ticket pricing.Sovereign Air Inc -1/6/12 (TURBO-PROP) DOT-OST-2000-8012 PRESQUE/HOULTON-MAIN DOT-OST-2011 -0185 BAR HARBOR -MAIN Proposal # 4 TURBOPROP PQI TO BOS 1 STOP BHB PQI21 RT Per Wk -BHB 21 RT+28 RT FOR 90 DAYS Total Departure Per Year 97% Ai rcraft Jetatream 41 Available Seats Per Departure Totle Seats Year Block Time Minutes Per Departure Total Block Time Per Year PBQ -BHB=25MIN BHB-BOS=40 MIN

Revenue Passengers Average Fare Passenger Revenue RPMS Passengers Stage Length PQI-30 , 000 BHB-24,000
ASMs Scheduled Departures Completed Departures Stage Length Seats Available
Revenue Outher Revenue @ .03 %of pax rev. Total Revenue Direct Operating Expenses Indirect Expenses Reservation and Marketing Total Expenses Blk Hrs Per Pas Operating Loss 5% Profit Subsidy Required Load Factor 21 

### & 28 2,467
30 74010

2,208 54,000 

### lli $5,346,000
54000 205 11,070,000 2544 2468 205 30 15,682,106 $5,346,000 $160,380 $5,506,380 $3 , 655 $8,070,240

$1,358,009 $6 $324,000 $9,752,249 $4,245,869 $487 , 612 $4,733,481 0.73 NOTE: This proposal covers the total expense required to initi ate scheduled air serice , purchase the ai rcraft and be debt free as well as not requiring EASfund i ng after 2 years operation. Aircraft commited to PQI-BHB-BOS service only. Should be operational 90 days after funding which comes with selecting Soveretgn Air. Sovereign Air will have passenger, (ticketing, baggage and cargo) agreements with most magor aircarries and discount carries as well. With increasing ridership more scheduled flights may be added as needed at a greatly reduced operating cost reducing ticket pricing .Sovereign Ai r I nc -1/6/2012 (JET)

Proposal # 1 J ET BHB TO BOS NON STOP Round-Trips Per Week each leg non stop Total Departure Per Year 97% DOT-OST-2011-0185 BAR HARBOR MAIN

Aircraft Dori er 328 jet Available Seats Per Departure Totle Seats Year Block Time Minutes Per Departure Total Block Ti me Per Year Revenue Passengers Average Fare Passenger Revenue RPMS Passengers Stage Length ASMs Scheduled Departures Completed Departures Stage Length Seats Available
Revenue Outher Revenue @ .03 %of pax rev. Total Revenue D i rect Operating Expenses Indirect Expenses Reservation and Marketing Total Expenses $4,289 Blk Hrs Per Pas $6 Operating Loss 5% Profit Subs i dy Required Load Factor 14 1,412
30 42370
30 706 24,000



### ~ $2,136,000
24000 174 4,176,000 1456 1412 174 30 7,6 1 8,054 $2 , 136,000 $64,080 $2,200,080 $3,028,720 $1,005,300 $144.000 $4,178,020 $1,977,940 $208,901 $2 , 186,841 0.57 NOTE : This proposal covers the total expense requ i red to in itiate scheduled ai r serice, purchase the aircraft and be debt free as well as not requ i ring EASfunding after 2 years operation . Aircraft comm ited to BHB-BOS service only. Should be operational 90 days after funding which comes with selecti ng Soveretgn Air. Sovereign Air wil l have passenger, (ticketing, baggage and cargo) agreements with most magor aircarries and discount carri es as well. With increasing ridership more scheduled flights may be added as needed at a greatly reduced ope rating cost reducing ticket pricing.Sovereign Air Inc-l/6/2012 (JETSTREAM) DOT-OST-2011-0185 BAR HARBOR MAINE

Proposal # 2 TURBOPROP BHB TO BOS NON STOP Round-Trips Per Week each leg non stop Total Departure Per Year 97% Aircraft Jetstream 41 Available Seats Per Departure Totle Seats Year Block Time Minutes Per Departure Total Block Time Per Year 

### Revenue Passengers Average Fare Passenger Revenue RPMS Passengers Stage Length ASMs Scheduled Departures Completed Departures Stage Length Seats Available
Revenue Outher Revenue @ .03 %of pax rev. Total Revenue Direct Operating Expenses Indirect Expenses Reservation and Marketing Total Expenses Blk Hrs $3,451 Per Pas $6 Operating Loss 5% Profit Subsidy Required Load Factor 14 1 , 412
30 42370
35 824 24,000



### ~ $2,136,000 24,000 170 4,080,000 1456 1412 170 30 7,442,926 $2,136,000 $64,080 $2,200,080 $2,843,118 $1,000,300 $144,000 $3,987,418 $1,787,338 $199,371 $1,986,709 0.57 This proposal covers the total expense required to initiate scheduled air serice, purchase the aircraft and be debt free as well as not requiring EASfunding after 2 years operation . Aircraft comrh ited to BHB-BOS service only. Should be operational 90 days after funding which comes with selecting Soveretgn Air. Sovereign Ai r will have passenger, (ticketing, baggage and cargo) agreements with most magor aircarries and discount carri es as well. With increasing ridersh i p more scheduled flights may be added as needed at a greatly reduced operati ng cost reduci ng ticket pricing . NOTE:Sovereign Ai r Inc -1/6/2021 (JET)

Proposal # 1 JET PBG TO BOS NON STOP Round-Trips Per Week each leg non stop Total Departure Per Year 97% DOT-OST-2003- 14783 PLATISBURGH, NY

Ai rcraft Dori er 328 jet Availab l e Seats Per Departure Totle Seats Year Block Time Minutes Per Departure Total Block Time Per Year 

### Revenue Passengers Average Fare Passenger Revenue RPMS Passengers Stage Length ASMs Scheduled Departu res Completed Departures Stage Length Seats Available
Revenue Outher Revenue @ . 03 %of pax rev. Total Revenue D i rect Ope rati ng Expenses Ind i rect Expenses Reservation and Marketi ng Total Expenses Blk Hrs $4,549 Per Pas $6 Operating Loss 5% Profit Subsidy Required Load Factor NOTE : This proposal covers the total expense required to in itiate scheduled air seri ce, purchase the ai rcraft and be debt free as well as not requiri ng EASfunding afte r 2 years operation. Ai rcraft comm ited to PBG-BOSservice on ly. Sho u ld be operational 90 days after funding which comes with selecting Soveretg n Air. Sovere i gn Air will have passenger, (ticketing , baggage and cargo) agreements with most magor ai rcarries and discount carries as well. With increasing ridership more scheduled flights may be added as needed at a greatly reduced operati ng cost reducing ti cket pri ci ng . 14 1,412
30 42370
30 706 27,000



### ~ $2,403,000
27000 174 4,698,000 1456 1412 174 30 7,618,054 $2,403,000 $72,090 $2,475,090 $3 , 212,322 $1,000,300 $162,000 $4 , 374 , 622 $1,899,532 $218,731 $2,118,263 0 . 64Sovereign Air Inc-1/6/2012 (JETTREAM) DOT-OST-2003-14783 PLATTSBURGH, NY Proposal # 2 TURBOPROP PBG TO BOS NON STOP Round-Trips Per Week each leg non stop Total Departure Per Year 97% Aircraft Jetstream 41 Available Seats Per Departure Totle Seats Year Block Time Minutes Per Departure Total Block Time Per Year 

### Revenue Passengers Average Fare Passenger Revenue RPMS Passengers Stage Length ASMs Scheduled Departures Completed Departures Stage Length Seats Available
Revenue Outher Revenue @ .03 %of pax rev. Total Revenue Direct Operating Expenses Indirect Expenses Reservation and Marketing Total Expenses Blk Hrs $3,600 Per Pas $6 Operating Loss 5% Profit Subsidy Required Load Factor 14 1,412
30 42370
35 824 27,000 

## ill $2,403,000 27,000 174 4,698,000 1456 1412 174 30 7,618,054 $2,403,000 $72,090 $2,475,090 $2,965,872 $1,058,300 $162,000 $4,186,172 $1,711,082 $209,309 $1,920,391 0.64 NOTE : This proposal covers the total expense required to initiate scheduled air serice, purchase the aircraft and be debt free as well as not requiring EASfunding after 2 years operation. Aircraft commited to PBG-BOSservice only. Should be operational 90 days after funding which comes with selecting Soveretgn Air. Sovereign Air will have passenger, (ticketing, baggage and cargo) agreements with most magor aircarries and discount carries as well. With increasing ridership more scheduled flights may be added as needed at a greatly reduced operating cost reducing ticket pricing.