BEFORE THE 

• • ! U.S. DEPARTl\'IENT OF TRAl~SPORTATION 

OFFICE OF THE SECRETARY 

Essential Air Service at 

MCN 

1\'IACON, GEORGIA 

) 

) 

) 

) 

) 

under49 U.S.C. 41731 et seq. ) 

WASHINGTON, D.C. ·:•1J? 

1:;,:/f. ?b 

e.Z!f;; 11 

Docket DOT-OST-2007-~ 

PROPOSAL OF AMERICAN AVIATION GROUP, INC. d/b/a TWIN AIR CALYPSO 

TO PROVIDE ESSENTIAL AIR SERVICE AT MCN MACON, GEORGIA 

Communications with respect to this document should be sent to: 

Clayton I. Gamber President 

Twin Air Calypso 

498 S. 34th Street 

Ft. Lauderdale, Florida 33315 . .. ':/.'.~.-·:·:', .. :: .. -·· . 

June 18,2012 

George M. Brown, Chairman/CEO 

American Aviation Group, Inc., d/b/a Twin Air Calypso 

317 Eagle Ridge Road, Macon, Georgia 31216 

wii<:me@yahoo.<;om 

Tel: 478-361-4861 

Fax: 478-788-8752 

Perse 
., 

Essential Air Service at 

MCN 

MACON, GEORGIA 

. .. B,E~ORE THE . . .. _ 

U.S. DEPARTI\-IENT OF TRANSPORTATION 

OFFICE OF THE SECRETARY 

WASHINGTON, D.C. 

) 

) 

) 

) 

) 

Docket DOT-OST-2007-29671 

under49 U.S.C. 41731 et seq. ) 

,, .. 

PROPOSAL OF AMERICAN AVIATION GROUP, INC. d/b/a TWIN.AIR CALYPSO 

TO PROVIDE ESSENTIAL AIR SERVICE AT MCN MACON, GEORGIA 

American Aviation Group, Inc. d/b/a Twin Air Calpyso submits the following proposal to provide Essential 

Air Service (EAS) to MCN Macon, Georgia. This proposal is submitted in response to-order 2012-5-25, 

Served on May 24, 2012. 

American Aviation group make the following statements: 

...... _ .. L .• \merican Aviation Group, .Inc. was incorporated on November 02; ~WO/i, in the stale of Georgia, 

expressly l(>r the acquisition of Twin Air Calypso Airline and its Ft. Lauderdale, Florida 

operations (MAMCO). Twin Air Calypso, as the Hying arm of American Aviation Group, will 

usc its operating llect of seven, R passenger planes lo maintain its current routes while American 

Aviation Group will expand operations lo include service from :\lacon (:\ICN), GA to the 

Following locations: 

A ,\tlanla (ATL), GA 

,l. Kissimmee (ISM) 

A Ft. Lauderdale, FL 

~l. \Vashington (lAD), D.C. 

~l. :\Iississippi Gulf Coast areas. 

'2. . \mcrican Aviation Group seeks to lake advanlai{C of the undcrscrvcd \lacon, G,\ markcl while 

. ,. 
... ke~pi_ng th~. pl<~~le.s i~1 -~.l~a.~ntqlan_ce rotation thro\tg_h ths. I,"L Lau(\sr~l.~~lc IJlaintcn;m~c lit_cility ' ·.• . . t •. . - •. ~. . •' . •. ·~ . ; ~ . . ' • • 

·. (lVIAMCO)·. ··' T'his will be . ;~cco;nplished, in part, by the immedi~tte additi<;n. ol" two (2) 1.9-

. passenger/freight airplanes, and within 12 months, the secondary addition of two (2) ::H>-

passenger/freight airplanes. Over the next live years, Americ;in Aviati(m's goal is to convert the 

lll<\iority of the Twin Air Calypso Airline 11cet to a standardized thirty-passenger airplane (ex. 

Embraer 120 Brasilia, Saah iHO), while phasing out the current four 0) Cessna l02s, and 

maintaining the three (::3) Nav<\io's for private charter purposes. 

3. American Aviation Group, Inc. operating plan will enable Twin Air Calypso to provide a total of 

one hundred fourteen seats per day (to ATL) in each direction spread over six departures. 

4. The annual subsidy rate of $1,386,306 outlined in order 2012-5-25 served on May 24, 2012 will 

provide a measure of financial support as this operation is being implemented but in no way ' . .. does this amount define the financial potenthil of the Middle Georgia Market (see Market and 

Marketing Plan in this document). American Aviation Group, Inc. and Twin Air Calypso will 

have as one of its goals to reduce and or eliminate the need for this subsidy. 

5. Twin Air Calypso has an ol.ttstanding history of providing aircraft service and aircraft · 

maintenance to the Ft. Lauderdale, Florida community. In conjunction with this proposal, Twin 

Air Calypso is making application to the FAA for authorization to fly and service the 19 and 30 

passenger BAE airplanes. 

6. The following exhibits are appended to this proposal: 

Attachment 1: Annual Subsidy Requirements for Essential air Service at 1\'ICN 

Attachment 2: Proposed Operating Schedule for MCN 

Attachment 3: American Aviation Group, Inc. Market and 1\'Iarketing Plan for 1\'ICN 

Attachment 4: Required Federal Certifications of Compliance 

7. American Aviation Group, Inc. d/b/a Twin Air Calypso, request that the Department of 

. ~ .... 

. .. --
.... ·•·'!· Transport~ti9·? s~l~~t itS. prop9~-~l {? pr~~!d(! -~S~y?F~l A.i~ ~~r~i~~ ~t ¥~.~_¥aeon, Georgi~ for ~}wo- • w. • ~ 

year term to commence with Twin Air Calypso's inauguration of scheduled service between MCN .,;'. 

Macon, Ga and Atlanta Hartsfield-Jackson International Airport (ATL). 

Respectfully submitted, 

.. 

George M. Brown 

Chairman/CEO 

Perse 

.. 

June 18, 2012 
l'RPPOSA~ OF 'WINGS AIR TO PROVIDE ESSENJ'IAL AIR SERVICE AT :[\~lACON, ;GA . ..;_· .·.,;.~·<- .·.·~ ::.- -.• •' ·".' ·~·· .. \ '. ·. • '•:· ' ·'"' '• ..-:'• ', • I • ,; • ;•·\ , ' '··~·· .• '"' ' , ,· • -~: ~ '• 

ATTACHl\tiENT 1 

WINGS AIR 

Annual Subsidy Requirements for Essential Air Service 

Macon, Georgia 

'\:'EAR 1: 2012 

STATIS'fiCS ' ~ "'L\CON, GEOllGL\ 

COMPLETION FACTOR 99% . DEPARTURES 1.859 

BLOCK HOURS 223,106 

REVENUE PASSENGER 3,004,800 

MILES 

AVAILABLE SEAT 5,709,120 

MILES 

PASSENGERS PER 9 

OPERATION 

SEGMENT REVENUE $99 

PER PASSENGER 

OPERA'l'ING 

REVENUES 

PASSENGER REVENUE $1,673,298 

CARGO REVENUE $167,329 

OTHER 

TOTAL $1,840,627 

OPJ;J&\'l,ING 

li1XPJ;JNSES 

PERSONNEL EXPENSES $892,360 

DIRECT 

MAINTENANCE $212,415 

FUEL 5605,267 

AIRCRAFT LEASING $120,000 

TOTAL OPERATING .. EXPENCES $1.830,042 

- o•r.JIER .,. , ., .. 

li1Xl~JiJNSJiJS 

PASSENGER VARIABLE 

COST $-1-5,000 

VARIABLE STATION 

COSTS $523,675 

MARKETING 

EXPENSES $800,000 

FACILITIES EXPENSES $36,000 

TOTAL OTHER 

EXPENSES $1,504,675 

I 

COST INFLATION 

(2.-1-% PER YEAR) 

I 

TOTAL EXPENSE I $3,234,717 

I 

OPERATING 

PROFIT/LOST ($1 ,394,090) 

I 

PROFIT MARGIN 15"1> OF TOTAL EXI'E:-<SESI $161,735 

ANNUAL 

COMPENSATION s 1.555,825 

REQUIRE:\1 ENT 

YEAR2:2013 

~L\CON, GEORGL\ 

99% 

1,859 

223,106 

3,272,227 

5,709,120 

II 

99 

$2,045,142 

$204,514 

$2,249,656 

$892,360 

$212,415 

$605,267 

$120,000 

$1,830,042 

. ' .. ' ' ;.,.. -~· ,...:: . : 

$45,000 

$523,675 

$800,000 

$36,000 

$1,504,675 

$36,112 

$3,270,829 

($1,021,173) 

··""' ~ 

$163,541 

SI,I84.71.J. 
.. 

.. :. ,_' .·. ·: 

Al\tiRICAN AVIATION GROUP, Inc. d/b/a TWIN AIR CALYPSO 

PROPOSED SERVICE FOR 1\'IACON I ATLANTA, GEORGIA 

ATTACHIVIENT 2 

' ... . ... , 

MA.CON I ATLANTA, GEORGIA SERVICE 

MACON TO ATLANTA ATLANTA TO MA.CON 

FLIGHT DEPARTURE ARRIVAL FLIGHT DEPARTURE ARRIVAL 

6:30 7:00 9:00 9:30 

7:30 8:00 10:00 10:30 

~:30 9:00 12:00 12:30 

10:30 11:00 17:00 17:30 

15:30 16:00 18:00 18:30 

17:30 18:00 21:00 21:30 --

• • • ~ o'O< - 4 --~ •• 
. '··1 •. ~· \\. I ~.',' ATTA.CHlVIENT 3 

i.. 

American. Aviation Group, Inc. 1\'Iarket and Marketing Plan for 1\'ICN 

l\'larket and Marketing Plan: 

A ·natural market has been created because of the population increase in the Middle Georgia 

Metropolitan Area. This market demands fast, safe and cost effective scheduled . air 

transportation to cities within 300 to 600 miles of Macon.The market requirements (or m~ving 

passengers and cargo of existing business, new business and the business of larger carriers will 

be the focus ofTwinAirCalypsoAirlines. 

The Macon area is the third largest MSA (Metropolitan Statistical Area) in Georgia. The Middle 

Georgia Regional Airport (MCN), Airport Catchment Area (ACA) consists of 21 counties in 

central Georgia. The ACA is impacted by the proximity to Atlanta's Hartsfield-Jackson 

International Airport which is less than 100 miles distance and is the busiest airport in the world. 

However, the convenience of the MCN as a selected destinations makes it the airport of choice 

when other factors such as schedules and relative airfares are considered. The ACA has an 

estimated population of 583,000 people, with a"true market" at 256,6J:h1nnu:al·enplanements. 

Bibb County and Houston County are the two most populous counties in the ACA. The airport is 

located in Bibb County only a few miles from the Houston County line. The balance of the 

drawing area already uses the Macon-Warner Robins area as the retail center for most of the 

consumer and business trade needs. 

l\'farketing is the "vital element" for successful and profitable openition in this ACA. Just putting 

an airplane at the airport and hoping that passengers will show up with dollars in hand is wishful 

thinking and a road to failure. A sustained multimedia approach with the use of TV, Radio, 

Newspapers, Magazines and Special Offers must be maintained . 

. _Map~gement believes strongly that it is addressing a ~ark,et destinedto.grows,t;JJ.st.~th_llly within the 

next three (3) to five (5) years. · · · 

The current market require an airplane that fulfills the psychological mindset of what the flying 

public has in mind when they think of an airline to fly. The following pictures and map depicts the 

difference between what is at MCN today and what American Aviation Group, Inc. will replace them 

with: 
, Cur,rent_i\ircraftused at .MCN . · 

8 Passenger Caravan 

Proposed Aircraft for MCN 

19 Passeng~r BAE 31 

fiLE 

30 Passenger BAE 42 
.. ~ _. 

American A\4atic:>n Group, Inc Route Plan 
UNiTED STATES OPAMERICA . ':> ~ :' .• ,. ;;; 

DEPARTI\-IENT OF TRANSPORTATION 

OFFICE OF THE SECRETARY 

OFFICE OF AVIATION ANALYSIS 

CERTIFICATION REGARDING INFLUENCING ACTIVITIES 

Certjfication for Contracts, Grants, Loans _and Cooperative Agreements . 

The undersigned certifies, to the best of his or her knowledge and belief, that: 

(1) No Federal appropriated funds have been paid or will be paid, by or on behalf of the 

undersigned to any person for influencing or attempting to influence an officer or 

employee of any agency, a lVIember of Congress, an officer or employee of Congress, or an 

employee of a Member of Congress in connection with the awarding of any Federal 

contract, the making of any Federal grant, the making of any federal loan, the entering 

into any cooper~tive a~ree~ent'. ~nd the extens{on, continuation, renewal, am~9-dment, or 

modificalron of any Federal contract, grant, loait"or cooperative agreement. · · · 

(2) If. any funds other than Federal appropriated funds have been paid or will be paid to any 

person for influencing or attempting to influence an officer or employee of any agency, a 

Member of Congress, an officer or employee of Congress or an employees of a Member of 

Congress in connection with this Federal contract, grant, loan or cooperative agreement, 

'the undersigned shall complete and submit Staiidard forin-LLL, ''Disclosure Form to 

Report Influencing Activities," in accordance with its instructions. 

(3) The undersigned shall require that the language of this certification is included in the 

award documents for ~II subawards at all tiers (including subcontracts, subgrants, and 

cor1tracts tmder. grants, loans and cooper,ative agreements} and th;it_all subrecipients sh,all 

certify and. disclose accordingly. . . ..- . . -

This certification is a material representation of fact upon which reliance was place when 

this transaction was made or entered into. Submission of this certification is a 

prerequisite for making or entering into this transition imposed by section 1352, title 31, 

U.S. Code. Any person who fails to file the required certification shall be subject to a civil 

penalty of not less than $10,000 and not more than $100,000 for each such failure. 

,June 18, 2012 

Signature Date 

Chairman/CEO American Aviation Group, Inc. d/b/a Twin Air Calypso 

Title Air Currier 

Macon, Georgia 

Essential Air Senice Point to Which Certiticution Applies .. 
' .~iii,. 

_ UNTFE.RSTATES..O~Al\tiERICA .. . . .. -~DEPARTMENT.OFTRANSPOktATi:ON. 

OFFICE OF THE SECRETARY 

OFFICE OF AVIATION ANALYSIS 

TITLE VI ASSURANCE 

(Implementing Title VI of the Civil Rights Act of 1964, as amended) 

' 

ASSURANCE CONCEERING NONDISCRil\tHNATION ON THE BISIS OF DISABILITY ON 

FEDERALLY-ASSISTED PROGRAMS AND ACTIVITIES RECEIVIN OR BENEFITING 

FROl\tl FEDERAL DINANCIAL ASSISTANCE 

(Implementing the Rehabilitation Act of 1973, as amended, and the 

Air Carrier Access Act of 1986) 

49 CFR Parts 21 and 27 and 14 CFR Parts 271 and 382 

Ametfcari Aviation Group, Inc. d/b/a Twin ~Air Calypso ·(the Recipient) HERBY AGREES THAT, 

(Name of Recipient) · 

1. As a condition of the Civil Rights Act of 1964, as amended, 42 U.S.C. 2000d - 42 

U.S.C. 2000D-4; all requirements imposed by or pursuant to: Title 49, Code of Federal 

Regulations, part 21, Nondiscrimination in Federally -'Assisted Programs of the Department of 

Transportation- Effectuation :Of Title VI of the, Civil Rights Act of 1964; and other pertinent 

directives so that no person in the United States shall, on the grounds of race, color or national 

origin, be excluded from the participation in, be denied the benefits of, or be otherwise subjected 

to discrimination under any program or activity for which the Recipient receives Federal 

financial assistance from the Department of Transportation. This assurance is required by Title 

49, code of Federal Regulations, section.21.7(a) and Title.14, Code of Federal Regulations, section 

7 . . ' ' ·' ; ' - - ~ . ·, ' ' ' . . ' . ' 2 1.9( c). ·· ' · •. · · ·· · · · · · 

2. As a condition to receiving any Federal financial assistance from the Department of 

Transportation, it will comply with: section 504 of the Rehabilitation Act of 1973, as amended (29 

U.S.C. 794); the Air Carrier Access Act of 1986 (49 U.S.C. 1374 (c)); and all requirements 

imposed by or pursuant to Title 49, Code of Federal Regulations, Part 27, Nondiscrimination on 

the Basis of Handicap in Programs and Activities Receiving of Benefitting from Federal Financial 

Assistance, Title 14, Code of federal Regulations, Part 382, Nondiscrimination on the Basis of 

Handicap in Air Travel: and other pertinent directives so that not otherwise qualified person with 

a disability, be excluded from participation in, be denied the benefits of, be discriminated against 

by reason of such handicap in the provision of air transportation, or otherwise be subjected to 

discrimination Jmder any program for which the Recipient receives Federal financial assistance 

from the Department of Transportation. This assurance is required by the Title 49, Code of 

Federal Regulations, section 27.9 and Title 14, code of Federal regulation, sections 271.9( c) and 

382.9. ' 

3. It will promptly take any measures necessary to effectuate this agreement. 

The recipient further agrees that it shall take reasonable actions to guarantee that it , its 

contractors and subcontractors subject to the Department of Transportation regulations cited 
.above, trallsfert:es, and successor in interest wil~ comply with all .requirementsJmpo~ed or 

~- r.: .. pu.rs~ant to the ·statues and Department' of Trarisportation:.regulaii9ns sited above, other 

: pertinent directives~ and above assurances. 

4. These assurances obligate the Recipient for the period during which Federal 

financial assurance is extended. The recipient agrees that the United States has a right to seek 

judicial enforcement with regard to any matter arising under the statutes and Department of 

Transportation regulations cited above, other pertinent directives, and the above assurances. 

' . ; ' " ~ 

. . s: Th~se assurances are given for the purpose 'or obtaining Federal subsidy under the. 

Essential Air Service Program and are binding on the Recipient, contractors, subcontractors, 

transferees, successors in interest, and all other participants receiving Federal subsidy in the 

Essential Air Service Program. The person or persons whose signatures appear below are 

authorized to sign this agreement on behalf of the Recipient. 

6. In addition to these assurances, the Recipient agrees to file: a summary of all 

complaints filed against it within the past year that allege violation(s) by the Recipient of Title VI 

of the CiviJ Rights'A,ct of 1964, as amended, section 504 of the Rehabilitation Act .of 1973, as 

amenci'ed, or the Air Carrier Access Act of 1086; or a statement that there have been llo ~· · 

complaints filed against it. The summery should include the date the complaint was filed, the 

nature of the complaint, the status-'Or outcome of the complaint (i.e., whether it is still pending or 

how it was resolved). 

· .June18, 2012 

Date 

.. ~ ... ' .' . ~ :, . 

,J • • '. . . ••. _, ·. ·' > American Aviation Group, Inc~ d/b/a Twin A:ir Calypso 

Legal Name of Recipient 

By: ~---------....... -------.J.•-=:;C~h~a~ir~m:::a~n.::..I.;:;:C:.:.E:..:.O~ Signature of Authorized Ofticial 
', .. 

. ' 

.. :,:· .. ·> ....... : ,. ' UNITED STATES OFAMEIUCA . 

. 'DEPARTMENT OF TiANSPORTATION . . . . . . . . 

.. '.,_. 

OF.FICE OF THE SECRETARY 

. OFFICE OF AVIATION ANALYSIS 

CERTIFICATION REGAREING DRUG- FREE \VORPLACE REQUIRE:MENTS IN THE 

PERFORlVIANCE OF SUBSIDIZED ESSENTIAL ARE SERVICE 

A. The subsidized essential air service c~rrier certifies that it will, or will continue, to provide a 

drug·""- fre·e workplace by: · ·· · · · · · ·.·. 

(a) Publishing a statement notifying employees that the unlawful manufacture, 

distribution, dispensing, possession or use of a controlled substance is prohibited in the 

carrier's workplace, and specifying the actions that will be taken against employees for 

violation of such prohibition; 

(b) Establishing an ongoing drug - free awareness program to inform employees about 

the following: "'· / .... 

1. The dangers of drug abuse in the workplace; 

2. The grantee's policy of maintaining a drug- free workplace; 

3. Any available drug counseling, rehabilitation and employee assistance program; 

and 

4. The penalties that may be imposed upon employees to the drug abuse violations 

occurring in the workplace; · · · · 

(c) Making it a requirement that each employee to be engaged in the performance of 

work supported by the subsidy be given a copy of the statement required by paragraph 

(a); 

' . . ... ~.,,."' ""'' ><" . .. . . ... - ~-. ' 

· (d) Notifying the employee in itie statement required by paragraph (a) that, as a condition 

of employment supported by the subsidy, the employee will: 

-~.t~>·~·.' 

(l.)Abide by the terms of the statement; and 

(2.)Notify the employer in writing of his or her conviction for a violation of a 

criminal drug statute occurring in the workplace no later than five 

calendar days after such conviction; 

(e) Notifying the agency in writing within ten calendar days after receiving notice under 

paragraph (d)(2) from an employee or otherwise receiving actual notice of conviction. 

Employer of convicted employees must provide notice, including position title, to the 

Office of Aviation Analysis. Notice shall include the order number of each affected 

subsidized service; 

:..-_ , 

• # 
. _(0 Taking_,Oflf! oft~~- follo)_Vin~ -~~tiQI1s, witb.in_ ~9 ~ays.p(.r~ceivtng n.o.tice_under 

~- . '· ·paragraph ( d)(2); with respect tQ any employee who· is so convicted; · 

(!.)Taking appropriate personnel action against such an employee, up to 

and including termination, consistent with the requirements of the 

Rehabilitation Act of 1973, as· amended, or 

(2.) Requiring such employee to participate satisfactorily in a drug abuse 

assistance of rehabilitation program approved for such purposes buy a 

Federal, State or local health, law enforcement, or other appropriate 

apncy; . . . 

(g) l\tlaking a good faith effort to continue to maintain a drug - free workplace through 

implementation of paragraphs (a.), (b.), (c.), (d.), (e.), and (f.). 

B. The subsidized essential air service carrier may, but is not required to, insert in the space 

provided below the site for the performance of the work done in connection with the special 

grant. 

Places of Performance (street address, city, county, state,. zip code). For the provision of essential 

air service, workplaces include outstations, maiQ.tenanc~ sites, headquarters,, offic~ locations, 

training sites and any other worksites where work is performed that is supported by the subsidy. 

Check [ ] if there are workplaces on file that are not identified here. 

American Aviation Group, Inc. d/b/a Twin Air Calypso 

•· " • ~.c.' •' 4',, ;. ''-~· 

. .', ·.. ':,~.- ..... ·~ 

., 

By: , Chairman/CEO ~Si-gn-at-ur-e·--~--------------~~~~~~~ June 18,2012 

Date 

-. 

•