BEFORE THE DEPARTMENT OF TRANSPORTATION

WASHINGTON, D.C.
Inthe Matter of Essential Air Service at: Pellston, Michigan Sault Ste. Marie, Michigan Docket DOT-OST-2011-0133 Docket DOT-eST -2009-0303

PROPOSALS OF DELTA AIR LINES, INC. Communications with respect to this document should be addressed to:

Alexander Van der Bellen Managing Director - International and Regulatory Affairs &Associate General Counsel DELTA AIR LINES, INC. 1212 New York Avenue, NW. Washington, D.C. 20005 (202) 842-4184 sascha. vanderbellen@delta.com

June 26, 2013BEFORE THE DEPARTMENT OF TRANSPORTATION

WASHINGTON, D.C.
Inthe Matter of Essential Air Service at: Pellston, Michigan Sault Ste. Marie, Michigan Docket DOT-OST-2011-0133~ Docket DOT-OST-2009-0303

PROPOSALS OF DELTA AIR LINES, INC.
In response to Order 2013-5-13, Delta Air Lines, Inc~("Delta") is pleased to submit the attached proposals for EAS service at Pellston and Sault Ste. Marie, Michigan. Consistent with our current EAS contract for these cities, Delta will continue to be the contracting carrier for purposes ofthis EAS bid. Delta will cause one or more ofthe following Delta Connection carriers to perform the proposed services: ExpressJet, Chautauqua, Compass, GoJet, or Pinnacle (soon to be renamed "Endeavor Air"). This will provide Delta and the Delta Connection carriers with flexibility to manage their schedules efficiently. The proposed schedules, costs, and subsidy requirements are provided in the attached exhibits. Respectfully submitted,

Alexander Van der Bellen Managing Director, Government Affairs &Associate General Counsel DELTA AIR LINES, INC,

## Pellston, Michigan

AtPellston, the key hospitality infrastructure atthe area's principal attraction, Mackinac Island, operates from May

- October, including most island ferries. There is little airpassenger traffic inthe November

- April off-season. Delta's proposal therefore is split between aMay

- October in-season schedule and aNovember

- April off-season schedule. Delta proposes' toprovide Pellston with fourteen (14) weekly non-stop flights toDetroit from May

- October and twelve (12) weekly non-stop flights toDetroit inthe November

- April offseason with arequired annual subsidy of$1,077,413. DTW-PLN Orig Dest Dept Arr Equip Days StODS DlW PLN 13:55 15:01 CRJ-200 May - Oct: Daily Non-stop Nov-Apr. Mon-Fri DlW PLN 20:10 21:23 CRJ-200 Daily Year-round Non-stop

PLN DlW 6:35 7:43 CRJ-200 Daily Year-round Non-stop PLN DlW 15:30 16:42 CRJ-200 May - Oct: Daily Non-stop Nov-Apr: Mon-Fri EAS service proposal for service to :Pellston, Michigan

Docket DOT-oST.2011-Q133 EAS Station Hub Round trips per week Completion Factor Total Passengers Total BlockHours Total Departures PassengerRevenue Other Revenue Total Revenue Pilots Fuel Maintenance Aircrnft Total Directs

. Total Indirects Total Operating Inflation Rate allowance Profit@5% Economic Cost RequiredAnnual Subsidy Rate 2.0"10 5.0% 

### fW

DTW 12-14 98% 42,230 1,553 1,330 $4,770,498 $653,558 $5,424,056 $592,546. $1,634,528 $770,882 $769,669 $3,767,625 $2,308,515 $6,076,140 $121,523 $303.807 $6,501,469 $1,077,413

## . 

# . Sault Ste. Marie, Michigan

Delta proposes toprovide Sault Ste. Marie with thirteen (13) weekly non-stop flights to Detroit with arequired annual subsidy of$I,765,393.DTW-CIU Oria Dest DeDt Arr EauiD Davs StODs DTW CIU 12:05 13:21 CRJ-200 Sun - Fri Non-stop


### DTW CIU 20:10 .21:27 CRJ-200 Daily Non-stop

CIU 

### DTW 5:45
. 7:06 CRJ-200 Daily Non-stop CIU 

### DTW 13:46 15:10 CRJ-200 Sun - Fri Non-stop

[AS service proposal forservice toSault Stc Marie, Michigan

Docket DOT-oST-2009-0303 EAS Station Hub Round tripsper Yi'Cek Completion Factor Total Passengers . Total Block Hours Total Departures Passenger Revenue OtherRevenue Total Revenue Pilots Fuel Maintenance Aircraft Total Directs Total Indirects Total Operating Inflation Rateallowance Profit@5% Economic Cost RequiredAnnual Subsidy Rate 2.0% 5.0% .Ql.!



### DTW 13 98"A, 40,732 1,662 1,330 $4,428,872 $6()6.755 $5,035,627 $634,095 $1,749,142 $824,936 $823,638 $4,031,811 $2,324,283 $6,356,093 $127,122 $317,805 $6,801,020 $1,765,393