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AIRWAYS

DUNS Number: 078369539

May 27, 2014

Kevin Schlemmer

Office of Aviation Analysis

US Department of Transportation

1200 New Jersey Avenue SE

Washington, DC 20590

RE: EASat Altoona, PA ("AOO")

EASat Johnstown, PA ("JST")

EASat Greenbrier/White Sulphur Springs, WV ("LWB")

EASat Beckley, WV ("BKW")

EASat Clarksburg/Fairmont, WV ("CKB")

EASat Morgantown, WV ("MGW")

EASat Staunton, VA ("SHD")

EASat DuBois, PA ("DUJ")

EASat Parkersburg, WV / Marietta, OH ("PKB")

Docket DOT-OST-2002-11446

Docket DOT-OST-2002-11451

Docket DOT-OST-2003-15553

Docket DOT-OST-1997-2761

Docket DOT-OST-2005-20736

Docket DOT-OST-2005-20735

Docket DOT-05T-2002-11378

Docket DOT-OST-2004-17617

Docket DOT-OST-2005-20734

Dear Mr. Schlemmer:

On April 17, 2014, SilVer Airways responded to the Department of Transportation's Request for

Proposals for Essential Air Service at the nine cities listed above. In that response, we indicated our

proposal was subject to extending our commercial agreements with United Airlines. We are pleased to

inform you that Silver Airways and United Airlines have successfully reached terms on our commercial

agreements.

Our commercial agreements with United will have two impacts on our bid:

1) Our code share agreement will transition from an "Express-style" relationship to an alliancestyle code share, similar to our Florida and Bahamas network. The passenger impact of this

change will be minimal. Our passengers will continue to access coordinated schedules,

competitive fares, and seamless connections at Washington Dulles International Airport.

2) We have reached terms where United will continue to piace its "UA" code on only seven of the

nine cities included in our original April 17th proposal to the RFP. Because we will be unable to

continue placing the "UA" code on flights to Altoona, PA (AOO) and Beckley, WV (BKW), we are

no longer able to serve these communities and have removed them from our bid.

Our updated proposal is included in the pages that follow. Our proposal has been revised to a total of

$18,445,111 for the package of seven cities. Dubois, PA (DUJ) and Greenbrier/White Sulphur Springs

(LWB) will see minor adjustments to schedules and service levels as part of the revised solution. Similar
to our initial proposal, this proposal requires that we win all seven communities on which we bid. We

have also updated the start date ofthe anticipated changes.

We remain convinced, even with these changes, the Silver Airways bid will be superior to others the

Department may receive for several reasons:

• Access to a global network

o In order to maximize the effectiveness of air service, it is very important to provide

access to a large airline hub. As such, Silver Airways intends to connect these nine

communities to United's Dulles hub, which has over 250 daily departures to over 100

destinations worldwide.

• Frequency and Schedule

o By combining flights of neighboring communities, we believe Silver Airways can offer

the best combination of frequency, departure times, and capacity from each

community. We believe we can offer more frequency through this method, which

increases the utility of our flights to the passengers and communities we serve.

• Saab SF 340 Bplus

o Our Saab 340 Bplus aircraft offer a superior passenger experience, strong economics,

and outstanding safety. There are several passenger friendly amenities onboard Silver's

proposed flights, including a lavatory, flight attendant, beverage service, and cabin noise

reduction system.

• Washington, DC

o The nine communities within this proposal have strong ties to the capital region. For

example, the FBI's National Crime Information Center is located near Clarksburg and the

Treasury Department's Bureau ofthe Public Debt has operations in Parkersburg.

Additionally, the Metro Silver line,.once completed, will enhance the ability for

passengers to use Dulles International Airport as their gateway to Washington.

For the reasons outlined above, we believe that Silver Airways' proposal to continue providing Essential

Air Service to Johnstown, Greenbri.er/White Sulphur Springs, Clarksburg/Fairmont, Morgantown,

Staunton, DuBois, and Parkersburg will be the best proposal for each community. We look forward to

continuing to work with each community on ensuring its air service needs are met through the Essential

Air Service program.

Sincerely, .

James Kogutek

Vice President, Network & Schedule Planning

Silver Airways
Proposal Terms

--

The terms associated with our proposal are below.

Start Date Contract to begin September 1, 2014 with schedule modifications to begin on September 6,

2014

Term Two years beginning September 1, 2014 and ending August 31, 2016

Severability It is essential for each of the sellen proposed communities that we fly to all seven

communities. In order to maintain economies of scale in"maintenance, flight operations,

crew scheduli~gJ a nd Dulles airport operations, it is critical that we are awarded al.1 seven

communities. Thus, each community is inseperable from the package of flights we have

proposed.

Departures per week For each community, we propose to operate a minimum number of departures to lAD and

arrivals from lAD per week:

ADO: . Removed from Bid

BKW: Removed from Bid

CKB: 36 flights per week; 14 nonstop to/from lAD; 22 with stops at MGW or PKB

DUJ: 36 flights per week; 11 nonstop to/from lAD; 25 with stops at JST

JST: 36 fl ights per week; 25 nonstop to/from lAD; 11 with stops at DUJ

LWB: 28 flights per week May 1- November 30; 24 flights per week December 1-

April 30; 50% flights will be nonstop roundtrip, 50% will be routed IAD-LWBSHD-IAD

MGW:

PKB:

SHD:

36 flights per week; 24 nonstop to/from lAD; 12 with stops at CKBor PKB

36 flights per week; 24 nonstop to/from lAD; 12 with stops at CKBor MGW

36 flights per week; 24 nonstop to/from lAD; 12 which operate IAD-LWB-SHDlAD

LWB Exceptions

Contingency

Our proposed service to LWB has two va riations:

Seasonality: Similar to the existing service, we propose to fly 14 roundtrips per week

May 1 - October 31 with 7 roundtrip nonstop flights and 7 flights wra pped with SHD

Atla nta: Silver requests the flexi bi Iity to conti nue to operate up to 7 roundtri ps per

week between LWB and Atlanta, GA, up to 50% of scheduled fl ights at LWBthrough

Janua ry 31, 2015 for schedule tra nsiti on purposes.

Our contigency has been resolved as we have reached commercia I terms with United

Airlines.

May 27,2014 Silver Airways Revised Essential Air Service Proposal Page I 3
Proposal Summary by City

-.. a. p •.

____________________ i1Il~

Below, we have summarized our proposal for each community. Additional details can be found in the

appendices on pages 11-14.

Market ADO BKW CKB QUI 1ST

Departures to/from lAD per week N/A N/A 36 36 36

Equipment Type N/A N/A SF3 SF3 SF3

Seats per Departure N/A N/A 34 34 34

Subsidy Calculation

Revenue N/A N/A $ 1,815,526 $ 1,689,603 $ 2,127,971

Total Expenses N/A N/A $ 3,929,313 $ 3,785,849 $ 4,348,786

Operating Income (Loss) N/A N/A $ (2,113,787) $ (2,096,247) $ (2,220,815)

5% Profit Margin (on Costs) N/A N/A $ 196,466 $ 189,292 $ 217,439

Subsidy Requirement N/A N/A $ 2,310,252 $ 2,285,539 $ 2,438,254

Departures to/from lAD per year N/A N/A 1,878 1,878 1,878

Passengers N/A N/A 12,138 11,752 12,533

Subsidy per Flight N/A N/A $ 1,230 $ 1,217 $ 1,298

Weekly Maximum N/A N/A $ 44,306 $ 43,832 $ 46,761

Subsidy per Passenger N/A N/A $ 190 $ 194 $ 195

Market LWB MGW PKB SHQ

Departures to/from lADper week 24 36 36 36

Equi pment Type SF3 SF3 SF3 SF3

Seats per Departure 34 34 34 34.

Subsidy Calculation

Revenue $ 1,056,436 $ 2,671,960 $ 2,727,781 $ 2,641,206

Total Expenses $ 4,417,744 $ 4,775,271 $ 5,936,816 $ 4,402,027

Operati ng Income (Loss) $ (3,361,307) $ (2,103,311) $ (3,209,035) $ (1,760,821)

5% Profit Margin (on Costs) $ 220,887 $ 238,764 $ 296,841 $ 220,101

Subsidy Requirement $ 3,582,194 $ 2,342,074 $ 3,505,876 $ 1,980,922

Depa rtures to/from lAD per yea r 1,251 1,878 1,878 1,877

Passengers 9,589 20,992 18,811 23,973

Subsidy per Flight $ 2,862 $ 1,247 $ 1,867 $ 1,055

Weekly Maximum $ 68,700 $ 44,916 $ 67,236 $ 37,990

Subsidy per Passenger $ 374 $ 112 $ 186 $ 83

May 27, 2014 Silver Airways Revised Essential Air Service Proposal Page I 4
May 27, 2014 Silver Airways Revised Essential Air Service Proposal Page I 5
Silver Airways Fact Sheet

-...., ~ "'-.

------------_ ..•~

Silver Airways Corporation (lATA: 3M) is a U.S. owned and operated regional airline based in Fort

Lauderdale, Florida, operating approximately 150 daily scheduled flights throughout the eastern United

States and The Bahamas. Offering more flights within Florida and to The Bahamas than any other U.S.

airline, Silver also provides global access to passengers by operating in cooperation with United Airlines

from Washington (Dulles) and partnering with the world's largest network carriers through interline eticketing agreements. The Silver fleet is largely comprised of Saab 340B Plus turboprop aircraft, as well

as Beechcraft 1900D aircraft in the Cleveland network.

Silver is a 2013 two-time award winner, having been recognized in February 2013 asthe recipient of Air

Transport World's (ATW) 2013 Regional Airline of the Year Award - the first U.S. airline to win regional

aviation's top honor since 2008. In October 2013, Silver was named one of the Top 10 "Best U.S.

Airlines" in the prestigious Conde Nast Traveler's 26th annual 2013 Readers' Choice Awards.

Focus Cities Atlanta, Cleveland, Fort Lauderdale, Washington, DC (Dulles)

Code Share Partner United Airlines

Interline E-Ticketing Partners American Airlines, Delta Airlines, JetBlue Airways, United Airlines,

Bahamasair, and All Nippon Airways

Frequent Flyer Programs United Mileage Plus and JetBlue True Blue

Maintenance Bases Gainesville, FLand DuBOis, PA

Line Maintenance Stations Atlanta, Cleveland, Fort Lauderdale, Orlando, Tampa, and Washington

(Dulles)

Cities Currently Served. Total: 38 (8 states in the U.S., Washington, DCand 7 destinations in

The Bahamas)

Employees 920 total; 770 FTEs

Average Scheduled Departures 147 per day (based on March 2014 schedule)

Passengers Carried in 2013 805,316 passengers

Total Revenue Passenger Miles 158.3 million revenue passenger miles'

Flown in 2013 (*A revenue passenger mile is equal to ane fare-paying passenger

flown ane mile)

Total Aircraft in Operating Fleet 33 aircraft

Saab Aircraft 28 Saab 340B Plus turboprops

Beechcraft Aircraft 5 Beech 1900D aircraft (all will be exited/replaced with more Saabs)

May 27, 2014 Silver Airways Revised Essential Air Service Proposal Page I 6
Silver Airways Route Map

--

Silver Airways currently flies to 38 airpo'rts over a diverse network spanning the Eastern United States

and The Bahamas.

Operations from Washington (Dulles) and Cleveland are operated in cooperation with United Airlines.

Operations from Atlanta, within Florida, and to The Bahamas are operated under the Silver Airways

brand. All flights within this network are available for interline e-ticketing with our partner carriers,

which include United Airlines, JetBlue Airways, Delta Airlines, and American Airlines. Additionally, all

flights in Florida and The Bahamas are sold via a code share arrangement with United Airlines.

: Silver

AIRWAYS

~boICln."':.wy-

---------- New Route

Bahamas- Eastern Time

Governor's

Harbour

\

GeorgeTown . - ""- \

Although the company has filed a termination notice with the Department for the Cleveland network, it

seeks in this application to maintain service to DuBois and Parkersburg to Dulles, continuing as part of

the United Airlines network. The company has also filed a termination notice on most of the Atlanta

network. These changes will allow Silver to focus our resources on the remaining Washington and

Florida networks to ensure operational reliability and financial success.

May 27, 2014 SilverAirways RevisedEssentialAir ServiceProposal PageI 7
Washington (Dulles) Route Map: North America

There are over 300 scheduled departures per day from Washington Dulles International Airport for July 2014 to 87 nonstop destinations

throughout North America. United and its partners operate nearly 250 of those departures and serve 82 destinations nonstop.

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May 27, 2014 Silver Airways Revised Essential Air Service Proposal Page I 8
Washington (Dulles) Route Map: Beyond North America

In July 2014, Washington Dulles International Airport has 52 scheduled departures to 40 destinations beyond North America. United and its

partners have scheduled over 20 departures per day to 25 international destinations

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May 27, 2014 Silver Airways Revised Essential AIr Service Proposal Page I 9
Saab 340B Plus FAR Aircraft Specifications

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-.........•....._-_. :;''':''::: ••• --.A!O" - ••• .., ••••• - •••••~..,.- ••••• -~

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Source: Saab Aircraft. Leasing.

May 27,2014 Sliver Airways Revised Essential Air Service Proposal Page 110
Appendix: Calculation of Subsidy Requirement by Airport from Segments

The revenue and expenses associated to each city ,is calculated as follows:

• Clarksburg/Fairmont leKS), Morgantown (MGW), and Parkersburg/Marietta (PKB)

o Clarksburg/Fairmont (eKS) service consists of 36 flights operating to/from lAD (18 each way) per week. 14 flights will be

operated nonstop to/from lAD. 12 flights per week are operated CKB-MGW as a tag flight continuing to/from lAD. 10 flights per

week are operated as wraps,S via MGW and 5 via PKB. The wrap flights provide nonstop service to/from lAD in one direction

and one-stop service to/from lAD in the other direction. The nonstop flights and 12 CKB-MGW flights are allocated 100% to eKB.

The 5 CKB-MGW and 5 CKB~PKBwrap flights are allocated 50% to CKB.

D Morgantown (MGW) service consists of 36 flights operatings to/from lAD (18 each way) per week. 24 flights per week are

operated as nonstop to/from lAD with a tag flight to CKB. 5 flights per week are operated as a wrap with CKBand 7 flights per

week wrap with PKB,providing nonstop service in one direction and one-stop service in the other direction. The nonstop flights

to/from lAD are allocated 100% to MGW, while the 5 CKB-MGW and 7 MGW-PKB wrap flights are allocated 50% to MGW.

a Parkersburg/Marietta (PKB)service consists of 36 flights operating to/from lAD (18 each way) per week. 24 flights are operated

nonstop to/from lAD. 5 flights are wrapped via CKB-PKBand 7 flights are wrapped via MGW~PKB,creating'nonstop flights in one

direction and one-stop flights in the other. 100% of the nonstop segments and 50% ofthe wrap segments are allocated to PKB.

• DuBois (DUJ), and Johnstown (JST)

a DuBois (DUJ) service consists of 36 flights operating to/from lAD (18 each way) per week. 11 flights operate nonstop to/from

lAD while 25 stop in JST. Of those that stop, 14 are tags to/from JST-IADwhile 11 are wrapped (Le. IAD-DUJ-JST-IAD). 100% of

the DUJ-JSTtag and DUJ-IAD nonstop flights are associated to DUJ. 50% of the DUJ-JSTwrap segments associated to DUJ.

a Johnstown (JST)service consists of 36 flights operating to/from lAD (18 each way) per week. 14 weekly flights are the

continuation of tag flights to/from DUJand continuing nonstop to/from lAD. The remaining 22 are wrap flights with DUJ(Le.

IAD-DUJ-JST-IADwhich creates 11 nonstop and 11 one~stop flights to/from lAD. 100% of the nonstop IAD-JSTsegment is

associated to JSTalong with 50% of the wrap segments. The DUJ-JSTtag segments are completed associated to DUJ.

• Greenbrier/White Sulphur Springs (lWB) and Staunton (SHD)

o Greenbrier/White Sulphur Springs (lWB) service will consist of two seasonal variations. From May 1 until October 31, our

service will include 28 flights operating to/from lAD (14 each way) per week. 14 flights are operated as non~top roundtrip

flights, while 14 flights are wrapped with SHD creating 7 nonstop flights from lAD and 7 flights to lAD which stop in SHD. From

November 1 through April 30, 24 flights per week will be offered by redu!=ingthe both nonstop roundtrip flights and the wrap

flights as described above from 14 to 12 flights per week. lWB is allocated 100% of the 18 nonstop flights to/from lAD and 50%

of the lWB-SHD segment.

D Staunton (SHD) service consists of 36 flights operating to/from lAD (18 each way) per week. 24 flights are operated as nonstop

roundtrip flights, while 12 are wrapped with lWB creating 6 nonstop.flights to lAD and 6 flights from lAD which stop at lWB.

SHD is allocated 100% of the 30 nonstop flights to/from lAD and 50% of the lWB-SHD segment.

May 27,2014 SilverAirways RevisedEssentialAir ServiceProposal PageI 11
Appendix: Clarksburg/Fairmont, Morgantown, and Parkersburg/Marietta

SEGMENTS emES

CKB-IAD CKB-MGW CKB-PKB lAD-MOW 'IAD-PKB MGW.PKB eKB MGW PK8

.I!:!flu.!!:!.n

EquipmentType SF> SF> SF> SF> SF> SF> SF> SF> SF>

seats per Departure '4 '4 '4 '4 34 '4 34 34 '4

Departures per week 14 17 S 24 24 7 'G 48 36

Departures per year 730 887 2G1 1,252 1,252 36S 1,878 2,504 1,878

Completed Departures per year (97%) 708 860 253 1,214 1,214 354 1,822 2,429 1,822

Departures to/from lAD per week. 'G 36 36

Departures to/from lAD per yea rO 1,878 1,878 1,878

Completed Departures to/from lAD. (97%) 1,822 1,822 1,822

Stage Length (Cities: Average) 130 29 6S 140 21S 84 29 104 1SG

Subsidy Calculation

Passengers •• 12,138 7,791 2,597 20,992 18,811 2,597 12,138 20,992 18,811

Average Fare (ind uding ancillary fees) $ 118.61 $ 47 31 4731 12149 $ ';>8.16 $ 51.91 $ 149.58 127.28 $ 145.01

Revenue $ 1,439,675 $ 368,624 122,875 2,550,340 $ 2,598,933 $ 134,821 $ 1,815,526 2,671,960 $ 2,727,781

Variable Costs $ 1,650,197 $ 1,152,325 $ 414,734 $ 2,826,957 $ 3,313,214 $ 616,719 $ 2,840,429 $ 3,304,776 $ 3,828,940

Airs:raft Ownership & OVerhead $ 806996 $ 249585 $ 138 013 $ 1314293 S 1919371 $ 238996 $ 1088884 $ 1470 495 $ 2107.875

Total Expenses $ 2,457,193 $ 1,401,910 $ 552,747 $ 4,141,250 $ 5,232,584 $ 855,715 $ 3,929,313 $ 4,775,271 $ 5,936,816

Operating Income (Loss) $ (1,017,518) $ (1,033,286) $ (429,873} $ (1,590,909) $ (2,633,652) $ (nO,894) $ {2,113,787} $ (2,103,311) $ (3,209,035)

5% Profit Margin (on Costs) $ 122,860 $ 70,096 $ 27,637 $ 207,062 $ 261,629 $ 42,786 $ 196,466 $ 238,764 $ 296,841

Subsidy Requirement $ 1,140,378 $ 1,103,382 $ 457,510 $ 1,797jJ72 $ 2,895,281 $ 763,680 $ 2,310,252 $ 2,342,074 $ 3,505,876

illlJn!g

Trip nme {min, Cities: Average} 6S 28 40 GS 82 4S 40 37 G2

Scheduled Block Hours 796 421 174 1,362 1,705 274 1,242 1,561 1,929

Completed Block Hours (97%) 772 409 169 1,321 1,654 28' 1,205 1,514 1,871

Revenue Passengers Miles 1,820,628. 225,941 168,807 2,938,940 4,044,268 218,150 904,321 2,172,938 2,934,691

Available Seat Mi les 3,723,000 874,582 576,810 5,959,520 9,152,120 1,042,440 4,757,372 8,812,473 9,961,745

Load Factor SO% 27" 30% Sl% 4'% 22% 20% '4% 30%

Silver Effective Rates per Unit:

Cost per Departure (Cities: To/from lAD) $ 3,470 $ 1,629 $ 2,183 $ 3,410 4,309 $ 2,417 $ 2,157 $ 2,621 $ 3,259

Cost per Passenger** $ 202 $ 180 $ 213 $ 197 278 $ 329 $ 324 $ 227 $ '16

Cost per Block Hour $ 3,183 $ 3,431 $ 3,275 $ 3,135 3,164 $ 3,223 $ 3,261 $ 3,154 $ 3,173

Effective Subsidy Rates per UnIt:

Subsidy per Departure to/from lAD $ 1,268 1,286 $ 1,925

Subsidy per Passenger" $ 190 112 $ 186

Passengers" per Departure- (Cities: to lAD) 17.1 9.1 10.3 17.3 15,5 7.' '.7 11.5 10.3

Passengers ** per Day Each Way (313 days) 19.4 12.4 4.1 33.5 30,0 4.1 19.4 33.5 30.0

- Note: Roundtrip flights per week and depa rtures per week are not equal due to three-segment "wrap" flights reducing the number of flights needed to achieve the departures .

.•• Note: Passengers in Cities columns refer to passengers between lAD and that city. Some passengers must fly on more than one segment to reach their destination.

May 27, 2014 Silver Airways Revised Essential Air Service Proposal Page 112
Appendix: DuBois, Johnstown, Greenbrier, and Staunton

SEGMENTS =~ SEGMENTS =~

OUJ.IAD DW-JST IAD-JST OW = LWIl-SHD lAD-LWB IAD-SHD ew'

'"

""""""'" Equipment Type m ,e, m ,n m m ,e, ,n m m

Seals per Departure

Departures per week "U " " " " " " " " "

" " " "

,

" "

H

Depa,tures per year "

'" 1,304 1,304 1,878 2,508 m 1,095 1,513 1,460 2,608

Completed o..partures per yea, (97%) '" 1,265 1,265 1,822 2,530 '" 1,062 1,468 1,416 2,530

Departures to/from lADper week'

Departures to/from lADper year' 1.878" 1,878" 1,251" 1,877"

Completed Departures to/from lAD. (S7%) 1,822 1,822 1,214 1,821

Siage Length (Cities:Average) m

"

no " '" "m

" '" "

Suhsldy Btglll •••rnent

Pa.sengers" 7,638 11,633 16,646 11,752 12,533 1,460 9,589 23,973 9,589 23,973

Au••••ue fa,e Occluding porj!!,,'Y frnl "----.illA1 '-----""l '--l1>.Ol '----.lli.ll '----.lW> '-----.lli.l '---..lli.ll '-----""'" '----ll2.l> '----.ll.!lJ.<

Revenue $ 1,179,388 $ 708,632 $ 1,929,554 $ 1,689,603 $ 2,127,971 $ 63.238 $ 1,132,544 $ 2,501,861 $ 1.056,436 $ 2,641.206

V.iiableCesls $ l,333,n5 $ 1,807,071 $ 2,521,242 $ 2,634,426 $ 3,027,221 $ 563,510 $ 2,610,056 $ 2,909,454 $ 2,891,811 $ 3,191,209

Aircraft Ownership & OvrrhNd .L...zll.W ~ l....l.lli.Ql> '--1.lli.lli '-l.ill.ill '-....lli.lli ~ ~ .u..lli...ll2. .Ll..2.l.Q&ll

Total Elcpenses $ 2,046,213 $ 2,416,161 $ 3,672,261 $ 3,785,849 $ 4,348,786 $ 798,736 $ 4,018,375 $ 4,002,659 $ 4,417,744 $ 4,402,027

Operatln8 Income (loss) (866,826) $ (1,707,529) $ (1,742,707) $ (2,096,247) $ (2,220,815) (735,498) $ (2,885,832) $ (1,500,798) $ (3,361,307) $(1,760,821)

5% Profit Mugin (en Co.ts) 102,311 $ 120,808 $ 183,613 $ 189,292 $ 217,439 39,937 S 200,919 $ 200,133 $ 220,887 $ 220,101

Subsidy Requirement 969,136 $ 1,828,337 $ 1,926,320 $ 2,285,539 $ 2,438,254 775,435 $ 3,086,750 $ 1,700,931 $ 3,582,194 $ 1,980,922

""""" Trip Time (min, Cili•••: Average) " " "

H

" '" nScheduled Block Hours " " "

'" '" 1,157 1,161 1,352 '" 1,330 1,307 1,452 1,429Completed Blod Hours (97%) ''" '" 1,122 1,126 1,311 no 1,291 1,268 1,409 1,386

RevenuePusengers Mil••• 1,313,710 698,004 1,980,932 862,585 1,296,625 125,560 1,697,182 2,181,502 1,605,291 1,9511,754

AvanableSeat Mii••• 3,356,752 2,660,160 5,275,9114 4,6116,1132 9,173,916 1,067,260 6,589,710 4,681,222 11,310,563 7,245,231

load Factor '" '" '" '" '" ,,. '" '" '"

".

sl••••••FffIOrtivtWe< Of[ !Jnlt.

Co.1 per Departure (Cilies:To/from lAO) 3,575 1,910 2,903 2,0711 2,3117 2,256 3,783 2,727 3,639 2,4111

CoSI per Passenger" H' >0. m m

Cost per IIled Hour 3,196 3,5112 3,273 3,362 3,317 '" 3,3114 '" 3,114 '" 3,157 '" 3,136 '" 3,175 '"

Effective Subsidy Rates per UnIt:

Subsidy per Departure to/from lAO 1,255 1,338 2,9S1 1,088

Subsidy per Po•• enger" '" '" m

"

Passengers" per Departure' (Cities: Ie lAD) 13.7 .., 13.2 ., ,., "

'.0 16.3 ,., 13.2

Passengers" per Day Each Way (313 days) 12.2 18.6 26.6 111.8 20.0 B 15.3 38.3 15.3 38.3

'Not~: Roundtrip flights per week and departures per week ore netequa.1 due to thr",,"~egment."~.!p~ghts _r~.ud~ Ihe number_offlights needed to achieve the d~partures.

'--".Not~" Passengers i~ .Cities c!,lumns r,,!er.tD pa"!!,gers between lADand that efty, Some possengers must fly en mere than one segmenlle reach their destination.

May 27,2014 Silver Airways Revised Essential Air Service Proposal Page I 13