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Air Choice One 

Multi-Aero Inc. 

d/b/a 

Air Choice One 

Proposal to Provide Essential Air Service at 

Thief River Falls, Minnesota 

and 

Chisholm/Hibbing, Minnesota 

Docket DOT-OST-2001-10642 

Docket DOT-OST-2003-15796 

Direct inquiries Regarding this Proposal to: 

Siiane St.on, CEO 

Air Choice One Airlines 

1.2300 Old lesson Road, Suite 200 f, S/iint louis, hAO 63123 

l^'hone: (866) 435'9847 Fax: (314) 8438527 E rnaih shane@airr.hoiceone.com 
'-^'•''. DTf, jrM T fi r l-i/•^^!lv1r^j| u r 

•v.NSPORWiON 

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Air Choice One Our Commitment 

Air Choice One is aware of the many challenges facing the Thief River Falls and 

Chisholm/Hibbing, Minnesota communities. We understand the efforts of a dedicated air 

carrier are critical to having scheduled airline service in the future. Air Choice One is that 

air carrier and we believe the strategy outlined in our proposal will support and 

complement airport development efforts. We have proven our strategy works with other 

EAS communities and we are committed to delivering these same results for Thief River 

Falls and Chisholm/Hibbing. Our proposal will give the best access to the national 

transportation system for the community at reasonable prices. This proposal is submitted 

as a standalone offering for combined service to these two cities. 

Our proposal allocates substantial resources to support marketing efforts. Our 

achievements in our other EAS markets demonstrate that our marketing strategies are 

successful. Through on-site community outreach, community-specific advertising, 

consistent flight schedules, and outstanding customer service we will quickly build 

consumer recognition in the community ensuring retention of current passenger 

momentum while also working to increase demand. 

We commit to providing you with outstanding service and will continue working with you 

throughout our term to provide the next level of air service that will bring us all success. 

O/lI/JOll 
Air Choice One 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 Ground Handling 

• 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 Webslte(s) and Electronic Signage 

i',vi:v20].i 
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Air Choice One 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. 

• MINNEAPOLIS-ST.PAUL INTERNATIONAL AIRPORT (MSP) INITIATIVES 

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

Increase in Ridership 

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

• Air Choice One Flights will be Serviced by Delta Ground Services (DGS) 

10/l;!/2011 
Air Choice One Market Growth Strategy -

Partnering With the Community 

Air Choice One Is dedicated to working with your community 

to relnvigorate 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 
Air Choice One Market Growth Strategy 

Marketing Investment 

Air Choice One reinvests in our served communities. 

• TRADITIONAL MEDIA 

• Radio-Talk Shows/Commercials 

• TV Commercials and Event Coverage 

• Print-Newspaper/IVIagazines 

• 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 TubeA/ideos 

• 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 

-!MWiS5^5^|8W 

I0/i;:/20U 
Air Choice One Market Growth Strategy -

Reliability & Growth 

Airline Completion Ratios 

Worl<s Cited: T-lOO Segment 

Report DOT 2010 Calendar Year 

Am. Gr. Lakes Sea Port Air 

Eagle Choice 

Airline 

• 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 

nov 
Air Choice One Market Growth Strategy 

Accessibility 

• VISIBILITY 

• Global Distribution Systems 

-Sabre, Apollo, Worldspan, 

Travelport, Amadeus, etc. 

• Consumer Sftes 

-Expedia, Travelocity, Prlceline, 

Orbitz, etc. 

• Web based booking 

-www.aircholceone.com 

• Call Center 

-Open 7 Days a Week 

• CONNECTIVITY 

• United Airlines Agreement 

• Additional Legacy Agreements Pending 

Departing flight from Burlington, lA (BRL) to Mew York City, NY ( 

t 'A-ed ou!20 20'I-K8d , Jul27 2011 for 1 Adult 

I $290 

Total S326 Toial $326 

step 1; Select a rting Flight From St Louis, MO to Burlington, lA 

LowfstFanSummirY 

10/i::/201.i 

560 

5». 

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Air Choice One 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 

Air Choice One Ridership Growth 

EAS Markets 2010-2011* 

3,000 

12 2,500 

I 2,000 

(A 

I 1,500 

5 1,000 

500 

0 

H2010 

B2on 

a (D o 9- o 

^ < t 

Month of Service 

'Numbers Reflect O & D 

10/.i;:/20U 
Air Choice One Marketing Growth Strategy -

Building On A Great Foundation 

AIR CHOICE ONE WILL BUILD ON MINNEAPOLIS-ST PAUL INTERNATIONAL'S MOMENTUM! 

0112120X1 
Air Choice One Options Index - Combined Service 

Thief River Falls & Chisholm/Hibbing, MN 

OPTION 1, 2 YEAR SERVICE - MSP COMBINED SERVICE 

CESSNA GRAND CARAVAN 

Combined Service - Thief River Falls & Chisholm/Hibbing, Minnesota - Minneapolis-St. Paul International Airport 

Cessna Grand Caravan TVF/18 & HIB/36 Round Trips Per Weel< 

10/i2/201.1 
Air Choice One 

Combined Service - Thief River Falls & Chisholm/Hibbing, 

Minnesota - Cessna Grand Caravan 

Option 1: 2 Year Service 

TVF/18 & HIB/36 Total Round Trips Per Week - Based on 98% Completion Rate 

Combined Service -Thief River Falls & Chisholm/Hibbing, iVlN - Minneapolis-St. Paul International Airport - Caravan 

Operation Revenues 

TVF-HIB-MSP & HIB-IVISP Revenues $ 1,551,700 

Other Revenues 0 

Total Operatmg Revenues 

Direct Operating Expenses 

Flying Operations 

Fuel and Oil 

Maintenance 

Aircraft Leases 

Total Direct 

• Marketing 

Indirect 

Total Operating Expenses 

Operating Loss 

Profit Element (5% total Oper. Exp.) 

$ 1,551,700 

$ 567,884 

1,505,435 

1,054,643 

760.000 

$3,887,962 

120,000 ^ M 

1.354.539 

$5,362,501 

$3,810,801 

268.125 

# Passengers: 

Average Fare: 

Departures: 

Block Hours: 

Revenue Passenger Miles: 

Available Seat Miles: 

26,300 

$59.00 

5,519 

5,408 

4,523,400 

8,554,404 

Compensation Required $4,078,926 

Compensation per PAX 

Compensation per Departure 

$155 

$739 

lo/nnoii 
Air Choice One 

Combined Service - Thief River Falls & Chisholm/Hibbing, 

Minnesota - Cessna Grand Caravan 

Option 1: 2 Year Service 

TVF/18 & HIB/36 Total Round Trips Per Week- Based on 98% Completion Rate 

Combined Service - Thief River Falls & Chisholm/Hibbing, MN - Minneapolis-St. Paul International Airport - Caravan 

Representative Schedule 

Departure 

TVF @ 5:00 AM CT 

MSP @ 8:00 AM CT 

MSP @ 5:30 AM CT 

MSP @ 8:05 AM CT 

MSP @ 10:40 AM CT 

TVF @ 11:00 AM CT 

MSP @ 2:00 PM CT 

MSP @ 2:00 PM CT 

TVF @ 5:00 PM CT 

MSP @ 8:25 PM CT 

MSP @ 5:10 PM CT 

MSP @ 7:35 PM CT 

Arrival 

HIB@5:50AMCT 

HIB @ 8:50 AM CT 

HI6@ 6:20 AM CT 

HIB @ 8:55 AM CT 

HIB @ 11:30 AM CT 

HIB (5) 11:50 AM CT 

HIB @ 2:50 PM CT 

HIB @ 2:50 PMCT 

HIB @ 5:50 PM CT 

HIB @ 9:15 PMCT 

HIB @ 6:00 PM CT 

HIB @ 8:25 PM CT 

Departure 

HIB @ 6:05 AM CT 

HIB @ 9:05 AM CT 

HIB-@ 6:35 AM CT 

HIB @ 9:10 AM CT 

HIB @ 11:45 AM CT 

HIB @ 12:05 PM CT 

HIB @ 3:05 PM CT 

HIB @ 3:35 PM CT 

HIB @ 6:05 PM CT 

HIB @ 9:30 PM CT 

HIB @ 6:15 PM CT 

HIB @ 8:40 PM CT 

Arrival 

MSP @ 6:55 AM CT 

TVF @ 9:55 AM CT 

MSP @ 7:25 AM CT 

MSP @ 10:00 AM CT 

MSP @ 12:35 PM CT 

MSP @ 12:55 PM CT 

TVF @ 3:55 PM CT 

MSP @ 4:15 PM CT 

MSP @ 6:55 PM CT 

TVF @ 10:20 PM CT 

MSP @ 7:05 PM CT 

MSP @ 9:30 PM CT 

io/.i;7>oii 
Air Choice One The Best Choice to Succeed 

• 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 Youl 

'iOl l