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### August 31, 2011
Dennis J. DeVany**(~** - . ..**-~-- ,** 

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·--

·.. 

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### Oftice ofAviation Analysis > 

### US Department ofTransportation 400 Seventh Street, S.W. Washington, D.C. 20590 '
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### -· 

### SkyWest Airlines Essential Air Service Proposal for Paducah, KY, Eau Claire, WI, Muskegon, MI, and Houghton, MI.
DearMr. DeVany: Attached is the SkyWest Airlines proposal for service at Paducah, KY; Eau Claire, WI; Muskegon, MI; and Houghton, MI. Ourproposal is to provide direct service from each cityto Chicago O'Hare International Airport. The service period is for January 1, 2012 to December 31 , 2013. SkyWest welcomes the opportunity to continue serving each ofthese communities
. Our combination ofsafe and reliable aircraft, well-timed schedules, and access to one ofthe world's largest airline networks will provide passengers access to quality air service, along with driving economic growth in the region. 

### United Airlines' Network One ofthe most beneficial aspects ofthis proposal is that it will provide the communities with United Express service
. United is the third largest domestic carrier providing seamless connections to 230 destinations around the world on a daily basis, and is one of the largest members ofthe Star Alliance network serving I, 160 airports in 181 countries
. 

### Frequency and Schedule As directedby the RFP, we will continue of fering 14 weekly frequencies
. All flights have been timed to ensure they offerpassengers optimum flight schedules that arrive and depart on bank. TI1is means that they have been carefully analyzed to ensure they offer efficient connections out of Chicago, the world's third largest airport. The times also provide options that arc designed to be convenient for both business and leisure travelers. With more than 600 United or United Express departures per day, Chicago O'Hare International Airport offers numerous non-stop flights to key destinations around world.

### In addition to being a major hub, Chicago is also one ofthe top destinations for each of the communities we are seeking to continue to support. Superior Aircraft Service will continue to be provided with the Canadair Regional Jet 200 (CRJ200) 50- seat turbojet aircraft. SkyWest is one ofthe largest domestic operators ofthis aircraft type and they have proven to be reliable and comfortable. All CRJs come equipped with a lavatory and flight attendant, further adding to the comfort and convenience ofthe flight. Additional details and specifications can be found in the CRJ fact sheet attached to this document. Summary We at SkyWest feel that this proposal provides the best overall option for air service to the above listed communities. Given the connectivity at Chicago O'Hare, the well-timed schedule, and reliable equipment, we expect to continue seeing growth in the number of passengers utilizing the service. In addition, we look forward to continuing to work with our community and airport partners to market the service. SkyWest is excited about the possible opportunity to continue providing reliable air service to Paducah, Eau Claire, Muskegon and Houghton. Thankyou for your consideration. Sincerely,

Michael Thompson Vice President- Market Development SkyWest AirlinesSkyWest Airlines Paducah, KY Essential Air Service Bid 8/31/2011

Number of round-trips perweek Aircrafttype Passenger Revenue Passengers Average fare Revenue Block Time Trip block time (minutes) Total scheduled block time Total completed block time RPMS Passengers Stage length

ASMs Scheduled departures Competed departures Stage length Available Seats

Revenue Direct operating expenses Flight attendant RPM related Departure related ASM related Total expenses Operating income (loss) 5% profit margin Subtotal Marketing assistance Subsidy requirement SkyWest effective rates per unit Cost pertrip Cost per passenger SkyWest cost per block hour Effective Subsidy rate per unit Subsidy pertrip Subsidy per passenger
load factor 98%

98%

CRJ Blk Hr $ 2,066.24 Blk Hr $ 37.30 RPMs $ 0.003 Departures $ 412.56 ASMs $ 0.011 $ $

$ $ $ $ $ $ $ $ $ $ $ 

### $
$ $ $
$ $ 2012-2013 Paducah, KY Chicago, ll 14 CRJ200
35,000 109.00 3,815,000
78 1,893 1,855
35,000

342 11,970,000
1,456 1,427

342 

## so 24,897,600
3,815,000 3,832,759

69,189 35,910 588,674 273,874 4,800,406 (985,406) 240,020 1,225,426

20,000 1,245,426
3,364

137 2,588

859 35
48%SkyWest Airlines Eau Claire, WI Essential Air Service Bid 8/31/2011

Number of round-trips per week Aircraft type Passenger Revenue Passengers Average fare Revenue Block Time Trip blocktime (minutes) Total scheduled block time Total completed block time RPMS Passengers Stage length

ASMs Scheduled departures Competed departures Stage length Available Seats

Revenue Direct operating expenses Flight attendant RPM related Departure related ASM related Total expenses Operating income (loss) 5% profit margin Subtotal Marketing assistance Subsidy requirement SkyWest effective rates per unit Cost per trip Cost per passenger SkyWest cost per block hour Effective Subsidy rate per unit Subsidy pertrip Subsidy per passenger

load factor 98%

98%

CRJ Blk Hr $ 2,066.24 Blk Hr $ 37.30 RPMs $ 0.003 Departures $ 412.56 ASMs $ 0.011 $ $

$ $ $ $ $ $ $ $ $ 

## s $ 

### $ $ $ $ $ $ 2012-2013

Eau Claire, WI

Chicago, ll 14 CRJ200
35,000 92.00 3,220,000
68 1,650 1,617
35,000 268 9,380,000
1,456 1,427

268 

### so 19,510,400
3,220,000 3,341,380

60,319 28,140 588,674 214,614 4,233,127 (1,013,127)

211,656 1,224,783

20,000 1,244,783
2,967

121 2,618

858

35
48%SkyWest Airlines Muskegon, Ml Essential Air Service Bid 8/31/2011

Number of round-trips per week Aircrafttype Passenger Revenue Passengers Average fare Revenue Block Time Trip block time (minutes) Total scheduled block time Total completed block time RPMS Passengers Stage length

ASMs Scheduled departures Competed departures Stage length Available Seats

Revenue Direct operating expenses Flight attendant RPM related Departure related ASM related Total expenses Operating income (loss) 5% profit margin Subtotal Marketing assistance Subsidy requirement SkyWest effective rates per unit Cost per trip Cost per passenger SkyWest cost per block hour Effective Subsidy rate per unit Subsidy pertrip Subsidy per passenger
loadfactor 98%

98%

CRJ Blk Hr $ 2,066.24 Blk Hr $ 37.30 RPMs $ 0.003 Departures $ 412.56 ASMs $ 0.011 2012-2013 Muskegon, Ml

Chicago, IL 14 CRJ200
25,000 $ 82.00 $ 2,050,000

46 1,116 1,094
25,000 118 2,950,000
1,456 1,427

118 50 8,590,400 $ 2,050,000 $ 2,260,345 $ 40,804 $ 8,850 $ 588,674 $ 94,494 $ 2,993,167 $ {943,167) $ 149,658 $ 1,092,826 $ 20,000 $ 1,112,826
$ 2,098 $ 120 $ 2,736 $ 766 $ 44

34%SkyWest Airlines Houghton, Ml Essential Air Service Bid 8/31/2011

Number of round-trips per week Aircraft type Passenger Revenue Passengers Average fare Revenue Block Time Trip block time (minutes) Total scheduled block time Total completed block time RPMS Passengers Stage length

ASMs Scheduled departures Competed departures Stage length Available Seats

Revenue Direct operating expenses Flight attendant RPM related Departure related ASM related Total expenses Operating income (loss) 5% profit margin Subtotal Marketing assistance Subsidy requirement SkyWest effective rates per unit Cost per trip Cost per passenger SkyWest cost per block hour Effective Subsidy rate per unit Subsidy pertrip Subsidy per passenger
load factor 98%

98%

CRJ Blk Hr $ 2,066.24 Blk Hr $ 37.30 RPMs $ 0.003 Departures $ 412.56 ASMs $ 0.011 2012-2013 Houghton, Ml

Chicago, ll 14 CRJ200
44,000 $ 95.00 $ 4,180,000
72 1,747 1,712
44,000 359 15,796,000
1,456 1,427

359 

### so 26,135,200 $ 4,180,000 $ 3,537,932 $ 63,867 $ 47,388 $ 588,674 $ 287,487 $ 4,525,348 $ (345,348) $ 226,267 $ 571,615 $ 20,000 $ 591,615
$ 3,171 $ 103 $ 2,643 $ 401 $ 13
60%

## SkyWest Airlines August 2011 SkyWestAirlines is the world's largest independently ownedregional airline. With a fleet of310 aircraft, SkyWest's more than 11,000 aviation professionals operate approximately 1,800 flights each day to 161 destinations throughout North America. As a leading airservice provideroffering global access to millions ofpeople each month, SkyWestpartners with the world's largest network carriers including UnitedAirlines, Delta AirLines, AirTran Airways andAlaska Airlines. SkyWestis known forits industryleading workforce, exceptionalleadership team, and continuedsolidoperational and economicperformance. The airline is headquarteredin St. George, Utah. Hubs
Crew domiciles

Maintenance bases
Line stations
·cities currentlyserved Stations operated Employees Average number ofdailyscheduled departures Passengers Carried in 

### 2010 Total revenue passenger miles flown in 

### 2010 Total aircraft in operatingfleet Embraer aircraft: Bombardieraircraft: Chicago O'Hare, Denver, Los Angeles, Milwaukee, Minneapolis/St. Paul, Portland, Salt Lake Cityand San Francisco Chicago, Colorado Springs, Denver, Fresno, Houston, Los Angeles, Minneapolis/St. Paul, Palm Springs, Portland, Salt Lake City, San Francisco, San Luis Obispo, Seattle andTucson Chicago, Colorado Springs, Fresno, Milwaukee,Palm Springs, Salt Lake Cityand Tucson Denver, Houston, Los Angeles, Minneapolis/St. Paul, Portland and San Francisco 

### Total: 161 (39 States, Washington D.C., 6 Canadian Provinces and 3 Mexican cities) 

### United: 173 

### Delta: 92 AirTran: 7Alaska: 7 Shared: 89 

### SkyWest: 71 11,146total 9,290 FTE's 

### United: 1,211 

### Delta: 572 AirTran: 23 Alaska: 25 Total: 1,831 

### DEN: 190 

### IAH: 54 LAX: 153 

### ORO: 94 POX: 33 SFO: 151 

### MSP: 61 SLC: 196 

### MKE: 26 24.3 million passengers 13.2 billion revenue passenger miles* *A Revenue PassengerMile is equalto one farepayingpassengerflown one mile. 310 (All numbers include deliveries and retirements this calendar month) 45 Embraer 120turboprops 151 CRJ200 aircraft 93 CRJ700 aircraft 21 CRJ900 aircraft

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# CRJ200 LR

Number
Number Thrust 50
Two General Electric CF34-3B1 turbofans 8,729 pounds thrust at takeoff



# .... Main Entrance

# J 1 

### 2 3 4 

# Fact Sheet for 

# Canadair Regional Jet

5 6 Maximum takeoff weight (Series 200LR) 

### Operating weight empty Maximum fuel load Maximum payload



### 7 .... 8 9 10 11 12 13 

# LEmergency Exit 

### 53,000 lbs 30,500 lbs 14,3051bs 13,500 lbs 24,041 kg 13,835 kg 6,489 kg 6,124 kg