Proposal Under the 

Small Community Air Service 

Development Program 

Date: June 11, 2012 

Applicants: Wilkes-Barre/Scranton International Airport 

 Luzerne County, PA; Lackawanna County, PA

DUNS Number: 042623728 

+4 Number: 7531 

Employee Identification Number: 23-1736989 

Congressional Districts: 10, 11 

Contact: Barry J. Centini 

 Wilkes-Barre/Scranton International Airport 

 100 Terminal Drive, Suite 1 

 Avoca, PA 18641 

 Phone: (570) 602-2000 

 E-mail: airport@flyavp.com 

Docket #: DOT-OST-2012-0069 
Page 2 of 30 

I. EXECUTIVE SUMMARY 

The Wilkes-Barre/Scranton International Airport and the Counties of Luzerne 

and Lackawanna are submitting this application for grant funds available under 

the Small Community Air Service Development Program to address the 

deficiencies in the Airport’s air service, including high fares and an insufficient 

level of service. These deficiencies are the result of the unique characteristics 

of the air transportation system in the Greater Northeastern Pennsylvania 

region. 

Air travelers using the Wilkes-Barre/Scranton International Airport (AVP) pay 

among the highest fares of any similar sized airport around the globe. AVP has 

aggressively recruited both legacy and low cost airlines to enter its market for 

many years, but few carriers are willing to enter even AVP’s top O&D markets. 

This is in part because there are multiple airports served by low cost carriers, as 

well as legacy carriers with more flights, which surround the WilkesBarre/Scranton International Airport. As a result, AVP’s fares are not only high, 

but they are not competitive with the other airports. The lower fares and 

increased number of flights at the surrounding airports are sufficient to lure 

passengers from Wilkes-Barre/Scranton International Airport to airports more 

than 100 miles away, but these airports are not close enough to genuinely offer 

convenient service. 

The Northeastern Pennsylvania Region is a diverse economic region worthy of 

attention. Within the Wilkes-Barre/Scranton MSA, AVP serves a population of 

over 1.7 million people. The Wilkes-Barre/Scranton MSA’s population is near 

500,000 on its own. Further fueling the region’s economic growth into the next 

20 years is the massive Marcellus Shale Industry. 

The Marcellus Shale is a black shale formation extending deep underground 

from Ohio and West Virginia northeast into Pennsylvania and southern New 

York. Although the Marcellus Shale is exposed at the ground surface in some 

locations in the northern Finger Lakes area, it is as deep as 7,000 feet or more 

below the ground surface along the Pennsylvania border in the Delaware River 

valley. In Pennsylvania, the development of these historic resources, while still 

in their infant stages, is credited with supporting nearly 156,000 jobs in 2011. 

In addition, the economic activity topped an estimated $12.8 billion in 2011. 

This growth is expected to increase rapidly over the next several years, which 

will provide the Commonwealth of Pennsylvania with a steady supply of 

affordable, clean-burning energy. 
Page 3 of 30 

The Wilkes-Barre/Scranton International Airport (AVP) is the gateway airport to 

the heart of the Marcellus Shale Industry in northeastern Pennsylvania and the 

Commonwealth of Pennsylvania as a whole. 

 

Successful attraction of a low cost air carrier to AVP’s key markets has a track 

record of improving the cost differential in some AVP markets. Successfully 

retaining those low cost carriers long-term has proven difficult. Recently, 

Allegiant Air has announced they will provide twice weekly nonstop service from 

AVP to Orlando-Sanford beginning June 21, 2012. 

Maintaining legacy air carrier service to other AVP key markets has improved 

cost differentials in those markets. However, the number of seats on the 

legacy carriers has been steadily decreasing, which is forcing air travelers to 

travel to another airport for their air service needs. Our described program is 

designed to address these concerns. 

With this in mind, the Airport continues to provide exceptional service to the 

region, while having no control or responsibility over the main variable in air 

travel – the customer. Currently, AVP has three legacy carriers, and beginning 

June 21, 2012, one low-cost carrier. While airlines have in the past been more 

prone to provide their own employees for ground handling and customer 

support positions, the last few years have put that in jeopardy as airlines 

consolidate their employees at smaller airports. 

For several years, the U.S. airline industry has been struggling to control costs. 

Controllable costs have been dropping over the last half-decade, with carriers 

using methods, such as reducing airline employee wages and the actual 

outsourcing of on-airport jobs. Many carriers are opting not to start additional 

markets without the Airport and community picking up the charges for those 

start-up costs. Also, many carriers that have service at airports are decreasing 

their flights dramatically to control costs. 

The current trend is a continued increase in the AVP passenger market leaking 

to alternative airports and a serious imbalance in Pennsylvania’s airport system. 

With no air carriers operating in some of AVP’s top O&D markets, there is a 

significant gap between the demand for service and the level of service being 

provided. Past experience in these markets has proven they can be operated 

successfully and profitably, however, current carriers at AVP have chosen not to 

seek operating to those markets from AVP. 

The results of past efforts utilizing Air Service Development funds have been 

positive. Delta Connection’s (formerly Northwest Airlink’s) nonstop Detroit 
Page 4 of 30 

service, which began in April 2005, continues to provide a good destination to 

business travelers, with acceptable fares. 

Wilkes-Barre/Scranton International Airport and its supporting communities 

have continually been engaged in marketing the airport and look forward to 

improving the air service at AVP with the additional support of the DOT Small 

Community Air Service Development Program. 

II. SERVICE DESCRIPTIONS 

A. Wilkes-Barre/Scranton International Airport’s Service Area 

Wilkes-Barre/Scranton International Airport (AVP) is a non-hub airport 

located in Northeastern Pennsylvania serving a surrounding population of 

approximately one million residents. AVP is within a two-hour drive of 

several major east coast cities including Philadelphia and New York, is 

approximately eight (8) miles from Wilkes-Barre, PA and Scranton, PA, 

and is centrally located among four (4) major interstate highways. 

 (Source – Google Maps) 

The Wilkes-Barre/Scranton/Hazleton metro-area has a population of over 

600,000. There are over one million potential air passengers within a 

one-hour drive time and just fewer than three million located within a 90-

minute drive time. 

Wilkes-Barre/Scranton’s airport service is bound by Philadelphia 

International Airport and Lehigh Valley International Airport to the south, 

each offering substantially greater numbers of scheduled flights and often 

significantly lower fares. These two airports are approximately a 100- 
Page 5 of 30 

and 60-mile drive, respectively, from the Wilkes-Barre/Scranton 

International Airport. One factor of great concern to the Partnership 

submitting this application is that several low-cost airlines offer 

competing service at Philadelphia International Airport and are offering 

significantly lower fares to many of AVP’s top markets. An additional 

factor is that AirTran/Southwest, Allegiant Air and Frontier Airlines 

provide low fare options to leisure destinations at Lehigh Valley 

International Airport. 

To the east, John F. Kennedy International Airport, Newark Liberty 

International Airport, LaGuardia Airport and Stewart International Airport 

also compete with AVP, offering travelers numerous low fare options. As 

large hubs, John F. Kennedy International, Newark Liberty International 

and LaGuardia offer substantially more scheduled flights and direct 

service options both domestically and internationally. 

In addition, to the northwest, Allegiant Air provides low fare options to 

leisure destinations at Elmira Corning Regional Airport. 

B. Description of Economic Growth in Northeastern Pennsylvania 

The Wilkes-Barre/Scranton International Airport (AVP) is the gateway 

airport to the heart of the Marcellus Shale Industry in northeastern 

Pennsylvania and the Commonwealth of Pennsylvania as a whole. As 

shown on the map below, much of the activity in the Commonwealth 

over the past few years has been near AVP. 
Page 6 of 30 

Two of the sweet spots for tapping that natural gas are in Northeastern 

Pennsylvania and the Pittsburgh area. To reach the gas, drillers use a 

process called hydraulic fracturing – or fracking, for short – in which they 

shoot millions of gallons of water, laced with chemicals and sand, into the 

ground. Much of that water comes back to the surface along with the gas 

it releases. 

Companies eager to tap into the gas already have transformed large 

swaths of rural Pennsylvania, and future gas production has the potential 

to change residents’ lives for a generation or more. Marcellus shale gas 

has shifted global energy supplies, created instant wealth for some 

landholders, stimulated the state’s economy by creating jobs and raised 

environmental concerns about toxins going into the air and water. 

A problem that we are finding with the travel needs of these workers is 

the need to get across the Commonwealth of Pennsylvania. Northeastern 

Pennsylvania and the Pittsburgh area are the concentrated areas for 

drilling in the Commonwealth. To do business on both sides of the state, 

workers have to drive, rather than fly, losing valuable time in that fivehour trip, when they could fly in approximately one hour. 

As seen below, nearly 2/3 of the work being done within the Marcellus 

Shale in the Commonwealth of Pennsylvania is being performed in 

Northeastern Pennsylvania. 

 Source: Pennsylvania Department of Environmental Protection 
Page 7 of 30 

C. Description of Community’s Existing Air Service 

There are currently three (3) major airline networks, and one low-cost 

airline, serving the Wilkes-Barre/Scranton International Airport. These 

carriers are Allegiant Air, Delta, United and US Airways. Combined, these 

carriers serve a total of seven (7) major hubs including Atlanta, Charlotte, 

Chicago, Detroit, Newark, Orlando-Sanford and Philadelphia. 

The table below indicates the type of aircraft flown by each carrier, 

equipment type, seats and frequency at AVP. It is important to note that 

all service to and from AVP is flown with either a regional jet or turboprop 

(with the exception of Allegiant Air), yet O&D research and previous 

experience indicate that many AVP markets can support significantly 

larger aircraft such as Boeing 737 or the Embraer 170/190 series. 

Carrier Market Code A/C Stops Daily Daily Monthly Monthly Seats/ 

 Type Depts Seats Depts Seats Flight 

DL Atlanta ATL CR7 0 1.0 65 31 2,015 65 

DL Detroit DTW CRJ 0 3.4 168 104 5,200 50 

DL Detroit DTW ERJ 0 0.4 18 11 550 50 

G4 

OrlandoSanford SFB M80 0 0.3 44 9 1,350 150 

UA Chicago ORD ERJ 0 2.0 98 61 3,050 50 

UA Newark CLE DH3 0 3.0 111 93 3,441 50 

UA Newark CLE DH2 0 0.8 42 26 1,300 37 

US Charlotte CLT CR9 0 1.0 79 31 2,449 79 

US Charlotte CLT CRJ 0 1.6 79 49 2,450 50 

US Philadelphia PHL CRJ 0 0.3 15 9 450 50 

US Philadelphia PHL DH3 0 0.5 23 14 700 50 

US Philadelphia PHL DH8 0 5.3 195 163 6,031 37 

TOTALS 19.6 937 601 28,986 48 

Source: OAG Schedule Tapes, July 2012, via Sabre Airline Solutions 

The chart below shows the cities serviced by AVP’s current airlines from 

AVP.

Source: OAG Schedule Tapes June 2012 
Page 8 of 30 

AVP Primary Catchment Area Usage, Retention & Total Booked

Rank Market PDEWs 

AVP 

Retention 

AVP Primary 

Leakage 

(PDEWs) 

Total 

Booked 

(PDEWs) 

1 ORD 33.2 67% 16.4 49.6 

2 DFW 23.8 35% 44.4 68.2 

3 MCO 22.2 19% 97.6 119.8 

4 ATL 21.1 47% 23.8 44.9 

5 LAS 20.9 28% 53.7 74.6 

6 TPA 17.8 37% 30.9 48.7 

7 CLT 17.0 75% 5.7 22.7 

8 LAX 16.3 52% 15.1 31.4 

9 PHX 13.8 46% 16.2 30.0 

10 DTW 13.5 67% 6.7 20.2 

11 DEN 13.2 42% 18.4 31.6 

12 FLL 11.7 19% 61.0 72.7 

13 RSW 11.0 27% 29.6 40.6 

14 SFO 10.7 64% 6.0 16.7 

15 MSP 10.4 53% 9.2 19.6 

16 IAH 10.0 28% 26.3 36.3 

17 BNA 9.8 42% 13.5 23.3 

18 SAN 9.7 45% 11.8 21.5 

19 SEA 9.4 37% 16.1 25.5 

20 PBI 8.6 25% 25.6 34.2 

21 MSY 8.1 41% 11.7 19.8 

22 MCI 7.9 62% 4.8 12.7 

23 CVG 7.4 69% 3.3 10.7 

24 JAX 7.2 46% 8.4 15.6 

25 PHL 6.8 79% 1.8 8.6 

26 SAT 6.8 37% 11.6 18.4 

27 EWR 6.7 96% 0.3 7.0 

28 IND 6.3 47% 7.1 13.4 

29 MIA 6.2 22% 22.0 28.2 

30 PBI 8.6 25% 25.6 34.2 

 Subtotal 376.8 38% 602.3 979.1 

 Other 223.9 43% 302.4 526.3 

 Total 600.7 40% 904.7 1,505.4 

 Source: Adjusted SABRE MIDT and D.O.T. 10% Coupon Sample 

For 2011, Wilkes-Barre/Scranton International Airport reported 464,560 

combined enplaned & deplaned passengers. However, the true Primary 

Catchment Area size is estimated to be well over double that number (see 

table above), which indicates that AVP is leaking passengers to 

surrounding airports, with the primary reasons, based on market 

research, being competition from low-fare markets, frequency and 

available seats. 

US Airways has traditionally dominated the AVP market. Delta 

Connection has eliminated flights over the past couple years, which 
Page 9 of 30 

increases opportunities for other airlines. In 2009, Delta Connection 

eliminated Cincinnati service (January 2009), which was AVP’s #9 O&D 

Market for CY 2008, and eliminated Atlanta (August 2009), which was 

AVP’s #5 O&D Market for CY 2008. In addition, United Express 

decreased its service to Chicago O’Hare in August 2011 (from three daily 

flights to two), and American Eagle decreased its service to Chicago 

O’Hare in August 2011 (from two daily flights to one daily flight plus one 

flight four times a week, eventually leaving the AVP Market in November 

2011). 

New service in the past several years include: United Express to 

Washington Dulles in October 2004; Continental Connection to Boston in 

March 2005; Hooters Air to Orlando, Fort Lauderdale, St. Petersburg in 

October 2005; Myrtle Beach Direct Air to Myrtle Beach in June 2008; 

Continental Connection to Newark in October 2008; American Eagle to 

Chicago O’Hare in June 2010; Delta Connection to Atlanta in September 

2011; and Allegiant Air in June 2012. 

Source: OAG Schedule Tapes June 2012; Wilkes-Barre/Scranton International Airport, YE April 2012 

AVP New Service During the Past Eight Years

New Service Airline Began Ended Reason for Ending (1)

Washington-Dulles, DC United Express October 2004 August 2005 Shuttle America became US Airways 

carrier – United did not have other 

aircraft to maintain route 

Detroit, MI Northwest Airlink April 2005 N/A 

Orlando, FL Hooters Air October 2005 March 2006 Rising Fuel Costs 

Fort Lauderdale, FL Hooters Air October 2005 March 2006 Rising Fuel Costs 

St. Petersburg, FL Hooters Air October 2005 March 2006 Rising Fuel Costs 

Myrtle Beach, SC Hooters Air March 2006 March 2006 Rising Fuel Costs 

Boston, MA Continental Connection March 2005 March 2007 Reduction of Continental Connection 

flights into BOS system wide 

Pittsburgh, PA US Airways Pre-1980 June 2007 Reduction of US Hub 

Myrtle Beach, SC Myrtle Beach Direct Air June 2008 August 2008 Seasonal service 

Cleveland, OH Continental Connection October 2008 Moving AVP’s service from #3 CO 

Hub to #1 CO Hub 

Newark, NJ Continental Connection October 2008 N/A 

Cincinnati, OH Delta Connection March 1995 January 2009 Reduction of DL Hub 

Atlanta, GA Delta Connection May 2002 August 2009 Poor load factors; AVP-ATL route 

over 700 NM (too far for CRJ) 

Chicago, IL (O’Hare) American Eagle June 2010 November 2011 Poor load factors; not making $ 

Atlanta, GA Delta Connection September 2011 N/A 

Orlando-Sanford, FL Allegiant Air June 2012 N/A 

(1) “Reasons for Ending” comments were given by Airline Representatives to AVP 
Page 10 of 30 

AVP Outbound Seats History

 Annual Percent 

 Outbound Change vs. 

Year Seats Prior Year

2001 366,429 

2002 390,586 6.6% 

2003 293,017 -25.0%

2004 338,714 15.6% 

2005 396,224 17.0% 

2006 331,991 -16.2%

2007 291,678 -12.1%

2008 278,908 -4.4% 

2009 265,041 -5.0% 

2010 268,488 1.3% 

2011 297,348 10.7% 

 Seats

Month ('12 vs. '11) Diff (+/-) % Change

January 1,052 4.6% 

February 3,016 15.2% 

March 1,968 7.8% 

April -106 -0.4%

Total for Period 5,930 6.3% 

 

Source: Wilkes-Barre/Scranton International Airport

Losses in the past several years include: United Express to Washington 

Dulles in August 2005; Hooters Air to Orlando, Fort Lauderdale, St. 

Petersburg and Myrtle Beach in March 2006; Continental Connection to 

Boston in March 2007; US Airways to Pittsburgh in June 2007; Myrtle 

Beach Direct Air to Myrtle Beach in August 2008; Continental Connection 

to Cleveland in October 2008; Delta Connection to Cincinnati in January 

2009; Delta Connection to Atlanta in August 2009; and American Eagle to 

Chicago in November 2011. 

With these losses, plus the increase in passenger enplanements (shown 

below), an increase in load factors, and the economic growth in 

Northeastern Pennsylvania, the problem arising is the limited amount of 

seats remaining in the market, which will, in turn, force air travelers to, 

once again, use other nearby airports for their air travel needs. 
Page 11 of 30 

AVP Enplanement History 

 Percent 

 Annual Change vs. 

Year Enplanements Prior Year

2001 189,036 

2002 202,178 7.0% 

2003 181,715 -10.1%

2004 201,765 11.0% 

2005 221,348 9.7% 

2006 212,865 -3.8%

2007 220,893 3.4% 

2008 223,130 1.3% 

2009 207,168 -7.2%

2010 217,706 5.1% 

2011 233,990 7.5% 

 

Enplanements

Month ('12 vs. '11) Diff (+/-) % Change

January -22 -0.1% 

February 2,155 14.5% 

March 167 0.9% 

April -708 -3.6%

Total for Period 1,592 2.3% 

 

Source: Wilkes-Barre/Scranton International Airport

As seen below, since the loss of nonstop Orlando service in 2006, AVP has 

been on a steady decline of passengers to its #1 O&D Market – Orlando. 

In 2005, AVP had over 45 PDEWs to Orlando, retaining nearly 50% of the 

Primary Catchment Market. Now, AVP captures almost 26 PDEWs, 

retaining only 22% of the Primary Catchment Market. With low cost 

service to Orlando surrounding the AVP market, this has become a major 

detriment to AVP. 

AVP – ORLANDO PROFILE

 Source: U.S. DOT O&D Survey, via Database Products, YE April 2012 
Page 12 of 30 

To the south of AVP, Lehigh Valley International Airport has been 

increasing seats, which we feel is a detriment to AVP. Within the past 

year at ABE: 

• AirTran has increased service to Orlando from one less-than-daily 

flight to two daily flights using 117- and 137-seat aircraft 

• Delta has increased seat capacity to Atlanta from one daily 50-seat 

aircraft to three daily 50-seat aircraft 

• Delta has increased service to Detroit from three to four daily 

flights using 50-seat aircraft 

• Frontier has begun service to Orlando twice weekly using 138-seat 

aircraft 

• US Airways has increased daily seat capacity to Philadelphia with 

50-seat aircraft 

D. Analysis of Greater Northeastern Pennsylvania Needs and 

Deficiencies 

Over the past several years, AVP experienced a severe reduction in jet 

service to Philadelphia and Pittsburgh, which included a reduction in the 

number of seats available. Additionally, the region does not currently 

have competitive year round low fare service to its number one O&D 

market: Orlando. Service to Orlando performed well when it was 

introduced in 2004, with the positive trend continuing in 2005 and 2006, 

until Hooters Air discontinued all air service due to multiple factors, 

including internal scheduling problems, rising fuel costs, airline scheduling 

problems and problems with their service model. 

Atlanta, another AVP top O&D market, continued to perform well since 

returning to AVP in 2002, but ended in August 2009. One daily flight to 

Atlanta did return in September 2011. 

As seen below, AVP is ranked as #16 by Delta’s Load Factors at ATL with 

a 90% load factor. 
Page 13 of 30 

Delta Ranking by Load Factor at ATL

Source: U.S. D.O.T. Report T-100 YE Dec 2011. 

 

American cut back beginning in August 2011. American went from two daily 

flights to one daily flight plus one flight four times a week, then 

discontinued all service in November 2011, citing poor load factors and 

an inability to increase revenues.

Delta has had recent growth to Detroit, adding a fourth flight in March 2012. 

This is the first growth of the route since they began with three daily flights in 

April 2005. In October 2005, the Detroit flights decreased to twice daily 

because of problems with Mesaba Airlines. The third daily flight was reinstated 

in February 2009 after Delta discontinued all service from AVP to Cincinnati. 

United has had no growth to Chicago since they began with three daily flights 

in October 1998. In May 2003, the Chicago flights decreased to twice daily, 

and United has been satisfied with the performance to date with no additional 

increase in service. In April 2011, the third daily flight was added, however, in 

August 2011, the flights return to twice daily. 

US Airways has had recent growth to Charlotte. The service began with one 

daily flight in April 2005, and went to twice daily in January 2011, and has been 

performing well. The airline will be adding a third daily flight to Charlotte in 

July 2012. 
Page 14 of 30 

As seen below, AVP is ranked as #6 to Charlotte, #20 to Detroit, #36 to 

Chicago O’Hare (UA), #23 to Chicago O’Hare (AA), and #56 to 

Philadelphia. 

US Airways Ranking by Load Factor at CLT

Source: U.S. D.O.T. Report T-100 YE Dec 2011 

Delta Ranking by Load Factor at DTW

Source: U.S. D.O.T. Report T-100 YE Dec 2011 
Page 15 of 30 

United Ranking by Load Factor at ORD

Source: U.S. D.O.T. Report T-100 YE Dec 2011 

American Ranking by Load Factor at ORD

Source: U.S. D.O.T. Report T-100 YE Dec 2011 
Page 16 of 30 

US Airways Ranking by Load Factor at PHL

Source: U.S. D.O.T. Report T-100 YE Dec 2011 

Although there has been little or no growth at AVP to these destinations 

listed above, airports near AVP, i.e. Lehigh Valley International or Elmira 

Regional, have been gaining seats, even though there load factors are 

lower than AVP’s. 

From the charts listed above for YE 2011: 

• ATL: AVP was ranked #16; ABE was ranked #19 

• CLT: AVP is ranked #6; ABE is ranked #24 

• DTW: AVP is ranked #20; ABE is ranked #41; ELM is ranked #64 

• ORD (UA): AVP is ranked #36; ABE is ranked #48 

• ORD (AA): AVP is ranked #23; ABE is ranked #80 

• PHL: AVP is ranked #56; BGM is ranked #72; ABE is ranked #77 

As seen below, here are the latest load factors from AVP to specific 

destinations, most destinations have load factors at 80% or higher or a 

12 month period. 

Sources: U.S. D.O.T. T-100 Reports and Wilkes-Barre/Scranton International Airport 
Page 17 of 30 

Another challenge for AVP is the fact that competing airports are 

marketing their low-fare service to travelers in the AVP market area, 

through television, newspaper, radio and billboard (as seen below). The 

billboard below was actually placed less than 1⁄2 mile from the entrance 

to AVP. 

In light of these circumstances, AVP continues to actively pursue 

competitive low-fare service, as well as maintaining or even increasing 

legacy air service, to its top markets. 

AVP’s air fares remain extraordinarily high for the level of service offered 

and the economic demographic of the area as evidenced in the table 

below. As shown on the charts below, AVP’s fares remain above average 

and significantly higher than select markets with similar sized O&D 

passengers. 

AVP vs. Selected World Cities - O&D Passengers & Avg. Fare (+/- 10 Ranking of AVP’s Enp. Psgrs.)

 

 Total Daily Avg. O&D Daily O&D

Rank Market Code Enp. Psgrs. Enp. Psgrs. Fare Psgrs. Psgrs.

1 Atyrau, Kazakstan GUW 221,613 607 $578 444,740 1,218 

2 Port Hedland, Australia PHE 216,893 594 $549 436,181 1,195 

3 Ouagadougou, Burkina Faso OUA 222,257 609 $506 441,357 1,209 

4 Appleton, WI ATW 218,151 598 $319 438,593 1,202 

5 Rennes, France RNS 213,286 584 $308 423,175 1,159 

6 Ushuaia, Argentina USH 214,853 589 $297 432,765 1,186 

7 Wilkes-Barre/Scranton, PA AVP 219,874 602 $259 438,922 1,203 

8 George, South Africa GRJ 223,343 612 $240 446,163 1,222 

9 Jayapura, Indonesia DJJ 225,169 617 $239 457,378 1,253 

10 Cozumel, Mexico CZM 214,432 587 $233 427,694 1,172 

11 Rzeszow, Poland RZE 220,451 604 $229 440,279 1,206 

12 Haiphong, Vietnam HPH 222,621 610 $218 454,793 1,246 

13 Mexicali, Mexico MXL 217,424 596 $209 442,989 1,214 

14 Ixtapa/Zihuatanejo, Mexico ZIH 218,256 598 $203 438,180 1,200 

15 Van, Turkey VAN 221,655 607 $195 438,305 1,201 

16 Aksu, China AKU 219,924 603 $191 458,235 1,255 

17 Orenburg, Russian Federation REN 225,390 618 $170 454,653 1,246 

18 Iquitos, Peru IQT 221,386 607 $126 456,438 1,251 

19 Londonderry, United Kingdom LDY 216,477 593 $125 440,774 1,208 

20 Monteria, Colombia MTR 218,550 599 $117 433,546 1,188 

21 Bhopal, India BHO 217,094 595 $60 431,286 1,182 

 

Average 219,481 601 $256 441,736 1,210 

(Source: O&D Survey YE March 2012, via Sabre Airline Solutions, OAG Schedule Tapes 
Page 18 of 30 

AVP vs. Selected North American Cities - O&D Passengers & Avg. Fare

 

 Total Daily Avg. O&D Daily O&D

Rank Market Code Enp. Psgrs Enp. Psgrs Fare Psgrs Psgrs

1 Appleton, WI ATW 218,151 598 $319 438,573 1,202 

2 Rapid City, SD RAP 239,255 655 $304 482,618 1,322 

3 Bangor, ME BGR 208,628 572 $284 411,555 1,128 

4 Missoula, MT MSO 253,446 694 $281 505,753 1,386 

5 Peoria, IL PIA 226,074 619 $269 448,722 1,229 

6 Wilkes-Barre/Scranton, PA AVP 219,874 602 $259 438,922 1,203 

7 Daytona Beach, FL DAB 238,345 653 $242 476,869 1,306 

8 Cozumel, Mexico CZM 214,432 587 $233 427,694 1,172 

9 Medford, OR MFR 260,152 713 $230 518,210 1,420 

10 Allentown, PA ABE 414,750 1,136 $222 827,865 2,268 

11 Redmond, OR RDM 202,406 555 $215 405,410 1,111 

12 Newburgh, NY SWF 201,406 552 $211 405,077 1,110 

13 Bloomington-Normal, IL BMI 269,277 738 $205 535,886 1,468 

14 Ixtapa/Zihuatanejo, Mexico ZIH 218,256 598 $203 438,180 1,200 

15 La Paz, Mexico LAP 205,457 563 $200 411,901 1,128 

16 Acapulco, Mexico ACA 283,814 778 $193 566,269 1,551 

17 Abbotsford, BC, Canada YXX 254,041 696 $174 508,132 1,392 

18 Juneau, AK JNU 269,137 737 $173 541,745 1,484 

19 Aguadilla, PR BQN 232,607 637 $172 458,342 1,256 

20 Ketchikan, AK KTN 199,768 547 $161 399,841 1,095 

 

Average 241,464 662 $227 482,378 1,322 

(Source: O&D Survey YE March 2012, via Sabre Airline Solutions, OAG Schedule Tapes 

III. STRATEGIC PLAN FOR USING GRANT FUNDING 

A. Program Goals 

The primary goals of this grant proposal are to increase enplanements at 

AVP by attracting new service and expanding current service, to address 

insufficient air service by attracting replacement service for such services 

recently lost, and to address unreasonably high fares to AVP’s prime 

markets by increasing competition between existing air carriers and new 

air carriers. Currently, the AVP markets are underserved and it is 

apparent that travelers in and outside the region are choosing to use 

alternative airports offering more scheduled service to a broader range of 

destinations with lower fare service. 

Historically, the Northeastern Pennsylvania market has supported new 

service as it enters the region and it is anticipated by all Partners in this 

program that this trend will continue with a high level of success. 

 Specifically, the three program goals are as follows: 

1. Secure service to leisure destinations, i.e. but not limited to, 

Tampa/St. Petersburg, Fort Lauderdale, West Palm Beach, Punta 

Gorda, Las Vegas, and/or Myrtle Beach. 
Page 19 of 30 

2. Restore daily service to: 

a. Pittsburgh International Airport 

b. Washington-Dulles International Airport 

c. Boston Logan International Airport 

3. Assist with marketing efforts to new and/or existing air carriers at 

AVP to expand their service with additional flights/markets. 

From the successful implementation of these program goals, AVP 

anticipates a direct affect of reduced fares in key markets and a 

significantly increased level of service. 

B. Target Audiences 

The following is a list of target audiences for AVP, but not limited to: 

• Low-fare carriers 

1. Allegiant Air 

2. jetBlue Airways 

3. PEOPLExpress 

4. Southwest Airlines 

5. Spirit Airlines 

6. Sun Country Airlines 

7. Vision Airlines 

• Legacy carriers 

1. American Airlines 

2. Delta Air Lines 

3. United Air Lines 

4. US Airways 

• Regional carriers 

1. Cape Air 

2. Colgan Air 

3. Public Charters, Inc. 

4. Silver Airways 

C. Plan Implementation and Timetable 

Key milestones for the Program will be: 

• Securing meetings with carriers to negotiate new service (October 

2012 – March 2013). 

• Announcing new service with local community marketing campaign 

(January 2013 – June 2013). 
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• Starting up new service (January 2013 – October 2013). 

• Monitoring and analyzing monthly traffic numbers of new service 

(January 2013 – June 2014). 

• Monitoring and analyzing fares to the target markets (January 2013 

– June 2014). 

IV. AIRPORT AND BI-COUNTY PARTNERSHIP FUNDING AND 

MONITORING ASSURANCES 

The Wilkes-Barre/Scranton International Airport will act as the sponsor of the 

program. The sponsorship will be managed by Barry J. Centini, Airport 

Director, and the program will be managed by an airport administration and bicounty partnership representing the counties of Luzerne and Lackawanna. The 

partnership will meet on a regularly scheduled monthly basis to review the 

progress and schedule of the program and more often when the program 

requires it. 

At each meeting, goals, objectives, and milestones will be evaluated to measure 

progress. Additionally designated members of the Partnership will be assigned 

to evaluate any changes in the current market environment and to identify any 

potential obstacles. The Partnership will prepare and submit quarterly reports 

to provide assurances that both the DOT and community funding are being 

spent in the manner proposed. At the time that new service is secured and the 

funding is successfully allocated, the quarterly reports will provide the DOT 

updates on the success of the service. 

V. FUNDING DESCRIPTION 

A. An airline or airlines to provide service to one or more nonstop leisure 

destinations, i.e. but not limited to, Tampa/St. Petersburg, Fort 

Lauderdale, West Palm Beach, Punta Gorda, Las Vegas and/or Myrtle 

Beach, minimum two (2) flights per week per destination. Risk 

abatement subsidy, as well as ground handling and start-up costs for 

provided service. 

 FAA: $ 100,000 

 Luzerne County: $ 50,000 

 Lackawanna County: $ 50,000 

 Airport: $ 50,000

 Total: $ 250,000
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B. An airline to provide nonstop Pittsburgh, Washington (DC) and/or Boston 

service, minimum two (2) daily flights per weekday per destination. Risk 

abatement subsidy for weekday service up to six (6) months. 

 FAA: $ 125,000 

 Luzerne County: $ 25,000 

 Lackawanna County: $ 25,000

 Total: $ 175,000

C. Local Market Advertising to provide needed baseline support for new 

and/or restored airline service with a new or present airline, as well as 

support of additional flights with present airline service. 

 FAA: $ 275,000 

 Luzerne County: $ 25,000 

 Lackawanna County: $ 25,000 

 Airport: $ 50,000

 Total: $ 375,000 

D. TOTALS: 

FAA: $ 500,000 

 Luzerne County: $ 100,000 

 Lackawanna County: $ 100,000 

 Airport: $ 100,000

Total: $ 800,000 

VI. COMMUNITY ACTIVITIES 

 The Airport and supporting community organizations have been aggressively 

and actively marketing the airport for several years. This effort has included 

many initiatives all undertaken to ensure that the Northeastern Pennsylvania 

community is served in the best possible way. 

 Specific activities have included: 

 * Direct subsidy to carriers 

 * Targeted carrier meetings 

 * New service cost reduction incentives including: 

- Advertising and marketing assistance for, but not limited to, 

television, radio, and newspaper coverage 

- Waiving of landing fees and space rentals for a negotiated period 

- Donate local billboard advertising space and county bus system 

promotion 

- Develop and direct a new service information mailing initiative to 

local travel agents and community businesses 
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 * New service kick-off and promotional meetings with local travel agents 

 * New service local community marketing support initiatives 

* Annual attendance and participation at ACI’s annual Marketing 

“JumpStart” conference and Network USA conference 

VII. RESULTS OF PAST AIR SERVICE DEVELOPMENT EFFORTS 

The results of past efforts utilizing Air Service Development funds are positive. 

Service continues to Detroit, MI, via Delta Air Lines’ express carrier Pinnacle 

Airlines with load factors averaging 80% in 2008, 88% in 2009, 90% in 2010 

and 87% in 2011. Detroit service began at AVP in April 2005. Service to 

Orlando, FL, did better than expected despite Hooters Air’s end of service in 

March 2006 due to its own internal financial issues, with load factors averaging 

in the 83% to 86% range by the end of their tenure at AVP. 

The Detroit service continues to provide a good destination to business 

travelers, with acceptable fares. The Orlando service provided a great level of 

service for business and leisure travelers, with a very competitive fare structure. 

With our past history and experience of being able to utilize funds for positive 

gains, we are confident that an award to Wilkes-Barre/Scranton International 

Airport will bring positive results. 

VIII. PROGRAM SPONSORS 

 Program Legal Sponsor: Program Partners: 

 Barry J. Centini, Airport Director Luzerne County, PA 

 Wilkes-Barre/Scranton Lackawanna County, PA 

 International Airport Greater Pittston Chamber of Commerce 

100 Terminal Drive Greater Pocono Chamber of Commerce 

Avoca, PA 18641 Greater Scranton Chamber of Commerce 

570/602-2000 – Phone Greater Wilkes-Barre Chmbr. of Commerce

570/602-2010 – Fax Lackawanna Co. Conv. & Visitors Bureau

bcentini@flyavp.com Luzerne Co. Convention & Visitors Bureau 

 Wilkes-Barre/Scranton Penguins AAA Hockey 

Attachments: 

1) Attachment 1 – Allegiant Air Letter of Support 

2) Attachment 2 – Delta Air Lines Letter of Support 

3) Attachment 3 – PEOPLExpress Letter of Support 

4) Attachment 4 – Silver Airways Letter of Support 

5) Attachment 5 – US Airways Letter of Support 

6) Attachment 6 – Program Partners “In-Kind” Contributions 
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ATTACHMENT 1 

Page 1 of 2 

Docket DOT-OST-2012-0069 
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ATTACHMENT 1 

Page 2 of 2 

Docket DOT-OST-2012-0069 
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ATTACHMENT 2 

Page 1 of 1 

Docket DOT-OST-2012-0069 
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ATTACHMENT 3 

Page 1 of 1 

Docket DOT-OST-2012-0069 

 
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ATTACHMENT 4 

Page 1 of 1 

Docket DOT-OST-2012-0069 

 
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ATTACHMENT 5 

Page 1 of 1 

Docket DOT-OST-2012-0069 
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 ATTACHMENT 6 

Page 1 of 2 

Docket DOT-OST-2011-0119 

In-Kind Contributions 

Wilkes-Barre/Scranton International Airport 

Small Community Air Service Grant 

Luzerne County Convention and Visitors Bureau 

In-Kind Item Amount 

Staff Fulfillment $2,080.00 

Mailing and Distribution of Visitor Guide $820.00 

Attendance at Trade Shows $2,500.00 

Ad Placement - Annual Visitors Guide $2,500.00 

Ad Placement - Pennsylvania Pursuits Magazine $1,000.00 

 Total In-Kind: $8,900.00 

Lackawanna County Convention and Visitors Bureau 

In-Kind Item Amount 

Staff Fulfillment $3,500.00 

Mailing and Distribution of Visitor Guide $1,200.00

Attendance at Trade Shows $2,000.00 

Half Page Ad Placement - This Week in The Poconos $1,300.00 

 Total In-Kind: $8,000.00 

Greater Pittston Chamber of Commerce 

In-Kind Item Amount 

Insert in Monthly Newsletter for 12 months $3,500.00 

 Total In-Kind: $3,500.00 

Greater Pocono Chamber of Commerce 

In-Kind Item Amount 

Ad Placement - Annual Bizzy Awards $2,500.00 

Ad Placement – Annual Dinner Program $1,000.00 

 Total In-Kind: $3,500.00 

Wilkes-Barre/Scranton Penguins AAA Hockey Team 

In-Kind Item Amount 

Distribution of Airport Fliers at Two Home Games $2,500.00 

 Total In-Kind: $2,500.00 
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ATTACHMENT 6 

Page 2 of 2 

Docket DOT-OST-2011-0119 

Greater Scranton Chamber of Commerce 

In-Kind Item Amount 

Ad Placement in News Briefs Newsletter $2,000.00 

Web Site Exposure 

 Total In-Kind: $2,000.00 

Greater Wilkes-Barre Chamber of Commerce 

In-Kind Item Amount 

Full Page Ad Placement - Annual Dinner Program $500.00 

Full Page Ad Placement - Awards Luncheon Program $500.00 

Staff Fulfillment & Web Site Exposure $1,000.00 

 Total In-Kind: $2,000.00