# Proposal to Provide Essential Air Service at
Jackson, Tennessee

Docket DOT

- OST

- 2000

- 7857
November 24, 2014

Direct Inquiries Regarding this Proposal to:

Shane Storz, CEO Air Choice One Airlines 12300 Old Tesson Road, Suite 200 F, Saint Louis, MO 63128 Phone: (866) 435

- 9847 Fax : (314) 843

- 8527 E

- mail: shane@airchoiceone.com



# Multi

- Aero Inc. d/b/a Air Choice One

# Our Commitment Leads to Success

The position Jackson currently finds itself in we have faced before as a partner with another EAS community, Jonesboro, Arkansas. As we did in Jonesboro, we are prepared to step up to the challenge in your community. A great new hub and low

- cost fares will create excitement and draw customers back to your airport. The Cessna Grand Caravan has the comfortable, spacious, well

- appointed cabin needed to attract and retain travelers and it is right

- sized for this rebuilding period. Reliable schedules and outstanding customer service will generate the customer loyalty and repeat business that is our common goal and puts us on the path to success.
As in Jonesboro, McKellar

- Sipes Regional Airport is a non

- sterile airport. Our approach to this challenge is to offer non

- sterile service to accommodate the current absence of TSA. As a further provision, our non

- sterile service includes dedicated shuttle van service at Lambert St. Louis International Airport. Our private shuttle will increase the ease of travel for our passengers and simplifies the process of connecting to other carriers.

Air Choice One has shown our commitment to serving Jackson through pursuits of this and previous EAS contracts. In those previous pursuits Jackson elected to go in another direction

-- selecting other carriers. Those less determined might have given up; however, Air Choice One has remained focused on Jackson. We believe we are the right carrier for your city and we are committed to doing right by your city. We look forward to becoming your EAS partner!

11/24/2014

# Our Commitment Leads to Success

AVERAGE ENPLANEMENTS: At the 2011 RFP, Jonesboro was averaging 

### 1.5 enplanements per day. Following Air Choice One’s first full operating year (ended March, 2013) Jonesboro averaged 16.5 daily enplanements exceeding the DOT minimum of 10 per day by 65 %.
By improving service reliability, introducing each community to a new hub, offering VIP travel at a reasonable price, and implementation of an aggressive marketing plan we believe we will achieve similar results in Jackson.

AVERAGE PER PASSENGER SUBSIDY: Also in the 2011 RFP, Jonesboro’s average per passenger subsidy for the 12 months ended January, 2011, was $ 840. For the period ending September, 2013, the average had been reduced to $177 representing an enormous improvement.
Jackson has reported year over year declines in most recent enplanement numbers. Air Choice One believes there is untapped potential.

11/24/2014

# Our Commitment Leads to Success

ST. LOUIS LAMBERT INTERNATIONAL GREAT CONNECTIONS TO LOW PRICE CARRIERS!

Terminal 1, Gate C1

St. Louis Lambert At A Glance

• Serving Nearly 13 Million Passengers ( 2013)

• 64 destinations (June 2014)

• 11 Carriers (June 2014 )

11/24/2014

# Market Growth Strategy

- Airport Partnerships

Air Choice One will team with your local and destination 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 Website(s) and Electronic Signage



### • LAMBERT ST. LOUIS INTERNATIONAL AIRPORT (STL) INITIATIVES

• Aggressively pursuing EAS Communities Through Partnership Programs

– Local Visits and Financial Support

– Annual EAS Summit Held at STL Airport

– STL Currently Supports Over 30 Daily Flights to Nine EAS Communities

• EAS Communities Partnering With STL Have Benefited From a Steady Increase in Ridership

• Provide Marketing Funds to Both Air Choice One and the Local Community

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

11/24/2014

# Marketing Growth Strategy

-

New Hub, New Opportunities

NON
- STERILE OPERATION Due to absence of TSA services in the local community, we have made arrangements for non

- sterile service at St. Louis Lambert International Airport.



# ST. LOUIS SHUTTLE SERVICE To enhance our hassle

- free travel 

## experience Air Choice One provides ramp side transfer service to and from all concourses for connecting flights at Lambert St. Louis International Airport.

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### Air Choice One reinvests in our served communities and will grow ridership

• TRADITIONAL MEDIA



### • Radio

- Talk Shows/Commercials

• TV Commercials and Event Coverage

• Print

- Newspaper/Magazines

• Billboards

• Web Based

– E

- Blasts



### – Monthly E

- Mail Promotions

– City Representation on Our Website

• SOCIAL MEDIA

• Twitter, Facebook, Linked In

• You Tube/Videos

• INTERACTIVE



### • Contests

• EVENTS AND SPONSORSHIPS

• Charitable Support to Resident Organizations and Local Chapters of National Non

- Profit Organizations

• Business/Community Support through Golf Tournaments, Business Luncheons, Air Shows, etc.

• COMMUNITY TICKET OFFICE 

# Market Growth Strategy

–

Marketing Investment

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# Market Growth Strategy

– Pricing & Accessibility

Air Choice One offers the right price for the right ticket at the right time and offers many convenient ways to book your tra vel through our website, toll

- free calling, local travel agencies, and online booking sites.

• BUILDING & SUSTAINING RIDERSHIP THROUGH PRICE

• We work hard to establish a winning price point through targeted market analysis. We take all factors into consideration and enter the market with low fares.

• Introductory Fares Peak Interest and Drive Passengers to Air Choice One and Your Airport

• On

- Going Affordable Fares = Full Planes!

• We believe consistent pricing builds consumer confidence

• CONVENIENT OPTIONS MAKE BOOKING TRAVEL A SNAP!

• www.airchoiceone.com

• Call us at 1

- 866

- I

- FLY

- VIP

• Visit your local Travel Agent

• Find us on Travelocity, Expedia, Priceline, Kayak and more

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# Look At Us Grow!

By working hard to deliver on common goals Air Choice One demonstrates our commitment to our EAS communities everyday. That commitment has been recognized by our community partners. Burlington, IA 4 Year Contract Extension Decatur, IL 4 Year Contract Extension Jonesboro, AR 4 Year Contract Extension Ironwood, MI New Service As Of July 7, 2014 Mason City, Iowa New Service As of November 17, 2014 Fort Dodge, Iowa New Service Starting February, 2015

11/24/2014

# Options Index Jackson, Tennessee

OPTION 1, 2 YEAR SERVICE
– STL SERVICE CESSNA GRAND CARAVAN Jackson, Tennessee

– Lambert St. Louis International Airport
Cessna Grand Caravan 18 Round Trips Per Week

11/24/2014Operation Revenues

MKL

- STL Revenues $ 445,900 Other Revenues 4,459 Total Operating Revenues $ 450,359

Direct Operating Expenses Flying Operations $ 315,744 Fuel and Oil 535,331 Maintenance 447,227 Aircraft Leases 425,000 Total Direct $1,723,302 Marketing 5 0,000 Indirect 629,224 Total Operating Expenses $2,402,526

Operating Loss $1,952,167 Profit Element (5% total Oper. Exp.) 120,126 Compensation Required $2,072,293

Compensation per PAX $228 Compensation per Departure $1,126 

## Jackson, Tennessee

– Cessna Grand Caravan

Option 1: 2 Year Service 18 Total Round Trips Per Week

– Based on 98% Completion Rate 

# Jackson, Tennessee

– Lambert St. Louis International Airport

– Caravan
# Passengers: 9,100 Average Fare: $49.00 Departures: 1,840 Block Hours: 1,988 Revenue Passenger Miles: 2,102,100 Available Seat Miles: 3,390,267
Departure Arrival Representative Schedule (Mon

- Fri)

MKL 7:00 AM STL 8:20 AM
STL 9:25 AM MKL 10:45 AM
MKL 12:00 PM STL 1:20 PM
STL 2:30 PM MKL 3:50 PM
MKL 5:00 PM STL 6:20 PM
STL 7:00 PM MKL 8:20 PM Representative Schedule (Sat)

MKL 9:00 AM STL 10:20 AM
STL 5:00 PM MKL 6:20 PM Representative Schedule (Sun)

MKL 9:00 AM STL 10:20 AM
STL 11:30 AM MKL 12:50 PM
MKL 2:00 PM STL 3:20 PM
STL 7:00 PM MKL 8:20 PM 11/24/2014

# Air Choice One Has The Keys To Your Success

ALL SEATING FIRST CLASS

11/24/2014