# BEFOR ETH E DEPARTMEN T O FTRANSPORTATIO N OFFIC EO FTH ESECRETAR Y WASHINGTON , D.C . 

# •'- ! OPERATIONS ' iO r 

# C i ? 8 

# P12

: o V Essential Air

Servic e a t MASSENA , OGDENSBUR GAND WATERTOWN , NY Under 4 9 U.S.C . 4173 1 e t

seq . Docke t DOT-OST-1997-284 2

PROPOSA LI NRESPONS ET O ORDE R2010-10- 7 Pursuant to Order 2010-10-7 , Charter

Air Transport , Inc . (CAT ) andPubli c Charters , Inc . (PC ) hereb y submi t

their join t proposal to provid e essential ai r transportatio nservic e at

Massena , New Yor k ("Massena") , Ogdensburg , Ne w Yor k ("Ogdensburg" ) andWatertown , New Yor k ("Watertown") , hereinafter jointl y referre dt o a s th e "EA S communities. " About th e Offeror s CA T i s aU . S . Direc t

Air Carrier (certificate number

GNOA005I ) authorize db y th e FA A to operate under

1 4 CFRPar

t 135 . CAT i s als o authorize db y th e USDO T t o operate a s a Commuter

Air Carrier under 1 4 CF RPar t 29 8 (se e Order

2010-3-29) . CAT presentl y operate s five (5 ) Embraer

EMB-12 0 "Brasilia " 30-passenger regional airliner s inadditio nt o other turbine-powere daircraft . PC i s aU.S . Charter

Operato r authorize dpursuant

to 1 4 Par t 38 0 t o organiz e andsell Publi c Charter s a s a

nIndirec t Air Carrier . PC i s authorize db y lAT A to us e th e two-letter code "PI " andha s distributio nright s o ncertai nCD S platforms , throug hcertai nonlin e trave l agencies , andha s a nagreement

to settl e ticke t

sale s throug hARC . It

own s proprietary web-base dsoftwar e product s tha

t together addres s all aspect s o f

ticke t sales , distribution , e-ticketing , baggag e tracking , andinterlin e communications . PC i s TS A Secure Flight compliant , providin g bot

h

# domesti c an dinternationa l TS A clearances . P C als o ha s direc t experienc e inal l aspect s o f ai r carrie r statio noperation s an dmanagement . CA T an dP C jointl y mak e thi s proposa l t o provid e Essentia l Ai r Servic e t o th e EA S communitie s a s publi c charter s i naccordanc e wit h1 4 CF RPar t 380 . A s se t

forthi nou r

Petitio n for Reconsideratio no f

th e DOT' s finding i nOrde r 2010-9-26 , filedo nOctobe r 20 , 201 0 an d hereb y incorporate db y reference , DO T ma y provid e EA S subsid y t o suppor t thi s propose d service . Withou t

limitin g th e forgoing , CAT/P C hereb y request s tha t th e DO T an dth e EA S communitie s waiv e th e necessar y provision s o f 4 9 U.S.C . § 4173 2 s o tha t w e ma y operat e th e propose dservice s a s publi c charters . Propose dSchedul e CAT/P C propose s servic e for Massen aan dOgdensbur g t o Boston , Massachusett s (BOS ) O RAlbany , Ne w Yor k

(ALB) . Flight s wil l b e non-sto p an dca nb e operate da s follows : (a ) 2 time s daily/ 6 day s pe r wee k (b ) 2 time s dail y (weekdays ) an d1 tim e pe r da y o nSaturday s an do nSundays . CAT/P C als o propose s servic e fo r Watertow nt o Buffalo , Ne w Yor k (BUF ) O RAlbany , Ne w Yor k

(ALB ) O Racombinatio no f Buffal o an dAlbany . Flight s wil l b e non-sto p an dca n b e operate da s follows : (a ) 2 time s daily/ 6 day s pe r wee k (b ) 2 time s dail y (weekdays ) an d1 tim e pe r da y o nSaturday s an do nSundays . Ou r propose dschedule s ar e presente di nExhibit s A throug hG , whic har e attache dheret o an dincorporate db y referenc e a s i f se t fort hi nthei r ful l text . Armua l Compensatio n W e hav e determine dth e annua l compensatio nrequiremen t fo r ou r propose dservic e t o b e a s follows :

# Massen at o Boston ; $2,830,80 6 A summar y o f ou r projecte drevenue s andexpense s appear s i n Exhibi t A hereto . O

R Massen at o Albany : $2,331,23 7 A summar y o f our projecte drevenue s andexpense s appear s i n Exhibi t B hereto . Ogdensbur g t o Boston : $2,830,80 6 A summar y o f our projecte drevenue s andexpense s appear s i nExhibi t C hereto . O

R Ogdensbur g t o Albany : $2,331,23 7 A summar y of our projecte drevenue s andexpense s appear s inExhibi t

D hereto . Watertow nt o Buffalo : $2,411,72 7 A summar y of our projecte drevenue s andexpense s appear s inExhibi t Ehereto . O

R Watertow nt o Albany ; $2,411,72 7 A summar y o f our projecte drevenue s an dexpense s appear s inExhibi t Fhereto . O

R Watertow nt o Buffal o an dAlbany ; $2,411,727 . A summar y o f our projecte drevenue s and expense s appear s i

nExhibi t Ghereto . Aircraf t an dOperation s CAT/P C propose s operation s usin g CAT' s EMB-12 0 "Brasilia " aircraft . Th e EMB-12 0 i s apressurize dtwin-engin e turbopro p airliner built andregulate dto 1 4 CF

RPar t 2 5 standards . It s crew compliment

include s aCaptain , Firs t

Officer , andFlight

Attendant . Th e EMB-12 0 ha s a readily-accessibl e mai ncabi ntha t seat s 3 0 passenger s an dha s th e feature s tha t th e publi c expect s o f a nairlin e operation , includin g overheadluggag e bins , agalley capabl e o f dispensin g ho t

and col ddrinks , andaftall-size private lavatory . Th e EMB-12 0 als o feature s afligh t deck tha t i s physicall y separate dfro

mth e mainpassenger

cabi nandapressurize dcarg o hol dwit h1,20 0 pound s of capacity . A s note dabove , CAT presentl y ha s five (5 ) EMB-12 0 aircraf t init s fleet, providin g ampl e reserv e capacit y to addres s planne dan dunplanne daircraf t maintenanc e requirements .

# All operation s wil l b e conducte dto andfro mth e mainterminal s a

t eachairpor

t onth e route . All passenger s andth e aircraf t wil l underg o fiil

l TS A screenin g i

nth e mainterminal a

t thei r trip' s point

o f origin . Cormection s A t th e hub s w e propos e to serve , w e wil l us e irmovativ e approache s sucha s combinin g interne t boardin g pas s printin g technolog y wit hcolo r code dbaggag e identificatio ntag s to facilitate th e transfer

o f passenger s andbaggag e t o andfro mother carrier s throug hsteril e terminal operations . Our

statio npersonne l wil l wor k one-on-on e wit

hth e statio npersonne l o f th e other carrier s usin g thes e andother creativ e method s to provid e seamles s boardin g and baggag e handlin g fo

r our connectin g passengers . Sale s Sale s wil l b e conducte db y usin g PC' s "PI " lAT A code throug hit s proprietar y computerize dreservatio nsystem(CRS) . PC' s CR S ha s "Typ e A " connectivit y andha s been certifie dfo

r E-Ticketin g onbot

hth e Sabre an dAmadeu s Global Distributio nSystem s (GDS) . One o f th e feature s tha

t GD S participatio nprovide s i s acces s to informatio nabout all availabl e connection s a

t th e EA S hub airport . GD S participatio nals o make s fare s availabl e world-wide , maximizin g exposure fo

r th e EA S Communities . Inadditio nto GD S distribution , our flights wil l b e availabl e fo r purchas e throug ha number o f interne t trave l agents , includin g but no t limite dto Travelocit

y an dExpedia , a s well a s throug hour

ow nweb site . Throug hGD S andinterne t distribution , w e enabl e passenger s or their trave l agent s to construc t itinerarie s usin g multipl e carrier s by purchasin g ticket s oneachcarrier separately . Trave l agent s ca

nus e aspecial "segment

select " functiontha

t enable s thento buil deachsegment o f flight wit hdifferen t carrier s o nth e same itinerar y regardles s if

there i s a nexistin g interlin e

# agreement . W e receiv e complete electroni c infoimatio no nall of ou r bookings , includin g multipl e carrier

itineraries . Ou

r syste mi s designe dto identif y suchbooking s andt

o provid e th e pertinent datato ou

r uplin e anddownlin e statio npersonnel . Our local statio npersonne l wil l wor k closel y wit

hthe connectin g carrier s t o ensure th e mos t

expeditiou s transfer s o f

bot h passenger s andbaggag e to th e final destinatio npoints . We wil l full

y comply wit

hth e 1 4 C.F.R . Par

t 38 0 provision s governin g tour operator participant

contracts . Screendisplay s wil l disclos e th e informatio nrequire db y Par t 38 0 and DO T guidanc e onadvertisin g andinterne t sales . Also , a s par

t o f th e purchas e process , passenger s or

thei r trave l agent s wil l receiv e electroni c copie s o f th e Operato r

Participant Contrac t an dthe CAT Contrac t

o f Carriage . Fund s fro mall GD S andonlin e sale s wil l b e cleare dthroug hth e Airlin e Reportin g Corporatio nandremitte ddirectl y into th e depositor y escro w account

require dby Par

t 380 . In addition , passenger s will protecte db y Par t 38 0 bondin g an descro w requirement s applicabl e t o bot hCAT andPC . CAT' S Contrac t

of Carriag e fo

r EA S flights wil l incorporate al l DO T regulation s providin g consumer protectio ntha

t are applicabl e to commuter air carriers , meetin g consumer expectation s fo r schedule dservic e operation s wit haircraf t havin g fewe

r tha n6 0 passenger

seats . Marketin g Our marketin g pla

nincludes , bu t

i s no t limite dto :

• Anaggressiv e pricin g structure (w e estimate a naverag e on e wa

y far e o f $79.00 ) • Us e o f

media , includin g loca

l televisio nandradio , to promote th e airport s andEA S • Direc t sellin g to businesse s withi naone-hour driv e o f eachEA S airpor

t • A programprovidin g selection s o f unsubsidize dflights fro

meachcommunit

y to destination s o f interes t to promote awarenes s o f

the local airpor

t andth e EA S program

# I nall o f our marketin g andsale s eflforts , CAT/P C wi U tak e al l step s necessar

y to compl

y wit h DOT' S consumer

protectio nregulation s andt o ensure tha

t our trade practice s ar

e fair . ectfuU y submitte dthi s Z?" " da

y of October 2010 , CHARTE RAIRTRANSPORT , INC . Davi dA . Lucas , Vic

e Presidcnt/CF

O 230 1 Nort hMargina l Roa d Cleveland, Ohi

o 4411 4 216-348-1415 , x21 0 (voice

) 216-348-143 2 (fax

) dluca5@chafterairtran5port.co m(e-mail) an d JBU C CHARTERS , IN C

Ji mGallagher, President/Owne r 20 1 Hanga r Roa d Avoca, P A 1870 2 570-457-195 0 (voice) 570-457-411 3 (fax

) JG727(S)aol.co

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# CERTIFICAT EO FSERVIC E

I hereby certif

y tha t I hav e thi s date serve dacop y o f th e foregoin g motio no

nth e following perso nb y electroni c mail : Mr . Denni s DeVany , Divisio nChief , USDO T EA S Program .
Davi dA . Lucas , VP/CF O Charter Air Transport , Inc . 2 7 October

201 0