M l A 0:33 

A • ^^\ • /-N Multi-Aero Inc. 

Air Choice One d/b/a 

Air Choice One 

Pposal.toJ?fQvide Essential Air Service at 

Iron Mountain/Kingsford, Michigan 

Docket DOT-OST-1999-5175 

> -v . , N S 

Direct Inquiries Regarding this Proposal to: 

Shane Storz. CEO 

Air Choice One Airlines 

1.2300 Old lesson Road, Suite 200 f, Saint Louis, MO 63128 

Phnnei (3661 43')''9847 Fax: (314) S43-3527 E-rnall: shar.eia'airchoiceone.com 
'tiiViCi^i u r 

., V't I 111 I lUi s 

i~DATiri> 

L I 1/ IU:NC 

! 1 "5 ^ 

Air Choice One Our Commitment 

Air Choice One is aware of tine many ciiallenges facing tiie Iron IVIountain/Kingsford (Iron 

Mountain), Michigan 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 W^Si^k^ with other EAS 

communities and we are committed to delivering these same results for Iron Mountain.. 

Our proposal will give the best access to the national transportation system for the 

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

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. 

201] 
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. 

A k • 

• 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 Website(s) and Electronic Signage 

\<!/12/201l 
Air Choice One Market Growth Strategy 

Airport Partnerships 

Air Choice One will teann 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 L10 

lO/ij/2011 
Air Choice One Market Growth Strategy -

Partnering With the Community 

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 

•" * ;»X^grporate Headq^uiafterilm MBdvyest 

• 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 

\OH2i2Xni 
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/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 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 
Air Choice One Market Growth Strategy 

Reliability & Growth 

Airline Completion Ratios 

Works Cited: T-lOO Segment 

Report DOT 2010 Calendar Year 

Am. Gr. Lakes Sea Port Air 

Eagle Choice 

Airline 

• CONSISTENT SERVICE IS KEY 

'••;. vPrpveh-Success inPtbei;' 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 

:V.;2/2Cll 
Air Choice One Market Growth Strategy -

Accessibility 

•VISIBILITY 

• Global Distribution Systems 

-Sabre, Apollo, Worldspan, 

Travelport, Amadous, 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 

:i^cfli^i^i^ 

Ei^lfifV.hi^^ l •mmai-cw* ^locartwi packages- cnasssi toui-s A ^ir^Er6^& i pncetwaafeer dealsDeparting flight from Burlington, lA (BRL) to New York City, NY | 

Wed Ju! 2D 2011 - Wad. Jul 27. 2011 for 1 A.<|Lill 

S296 

Total 5326 

$298 

TMal $325 

Mu:'iDV C-^n[yif:i 

$330 

Total S367 

^gmm^^m^mmiKima^^'^'-' 
i^-' . 

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 Growt h 

EAS Markets 2010-2011* 

c 

a 0, a a o 

u. $ < ^ 5 -' 

_ — < 

O) Q. t) 

< (/> U 

> y 

o <u 

• 2010 •z. o 

a 2011 Month of Service 

'Numbers Reflect O & D 

O/lj/2011 
Air Choice One Marketing Growth Strategy -

Building On A Great Foundation 

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

Air Choice One Operates from Terminal 3, Gate L9 

39 Carriers Serving Over 67 Million Passengers and More 

Than 950,000 Aircraft Operations in 2010 
Air Choice One Options Index 

ron Mountain/Kingsford, Michigan 

OPTION 1, 2 YEAR SERVICE - ORD SERVICE 

CESSNA GRAND CARAVAN 

Iron Mountain/Kingsford, Michigan - Chicago O'Hare International Airport 

Cessna Grand Caravan 36 Round Trip^ Per Week 

)/ij/2011 
Air Choice One 

Iron IVIountain/Kingsford, Michigan - Cessna Grand Caravan 

Option 1: 2 Year Service 

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

Iron Mountain/Kingsford, Michigan - Chicago O'Hare International Airport - Caravan 

Operation Revenues 

IMT-ORD Revenues $ 1,791,900 

Other Revenues 17.919 

Total Operating Revenues $ 1,809,819 

Direct Operating Expenses 

Flying Operations 

Fuel and Oil 

Maintenance 

Aircraft Leases 

Total Direct 

I Mari<eting, 

Indirect 

Total Operating Expenses 

Operating Loss 

Profit Element (5% total Oper. Exp.) 

Compensation Required 

Compensation per PAX 

Compensation per Departure 

$ 789,556 

1,426,102 

1,061,817 

425.000 

$3,702,475 

60,000 

699,175 

$4,461,650 

$2,651,831 

223.083 

$2,874,914 

$159 

$781 

'12/2011 

# Passengers; 

Average Fare: 

Departures: 

Bioclc Hours: 

18,100 

$99.00 

3,679 

5,445 

Revenue Passenger Miles: 4,796,500 

Available Seat Miles: 8,750,851 

Representative Schedule 

Departure 

IMT@5:00AMCT 

ORD @ 8:15 AM CT 

ORD @ 6:30 AM CT 

IMT@ 9:00 AM CT 

IMT@ 10:40 AM a 

ORD @ 1:00 PM CT 

ORD @ 11:20 AM a 

IMT(5)1:45PMCT 

IMT@ 3:25 PM CT 

ORD @ 9:05 PM CT 

ORD @ 4:30 PM CT 

IMT @ 6:50 PM CT 

Arrival 

ORD @ 6:40 AM a 

IMT @ 9:55 AM CT 

IMT @ 8:10 AM a 

ORD @ 10:40 AM CT 

ORD @ 12:20 PM a 

IMT @ 2:40 PMCT 

IMT @ 1:00 PMCT 

ORD @ 3:25 PM CT 

ORD @ 5:05 PM a 

IMT @ 10:45 PM CT 

IMT @ 6:10 PM a 

ORD @ 8:30 PMCT 
Air Choice One The Best Choice to Succeed 

• Proven Enplanement Increases in EAS 

Markets 

•Successful Pricing Strategj^iJ^^:^ - tr.^ . 

• Demonstrated Growth in Comrriiinity-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 You! 

0/12/20U