OSAGE AIRLINES, LLC

(276) 759

- 8787

May 16, 2013

Reference: Docket DOT

- OST

- 1997

- 2935, ORDER 2013

- 4

- 6, Served: April 12, 2013

Todd M. Homan, Director

Office of Aviation Analysis

Attachments: 1) Service Exclusively for El Dorado and Camden, Arkansas

2) Serv ice Exclusively for Hot Springs, Arkansas

3) Service Exclusively for Harrison, Arkansas

4) Service Exclusively for El Dorado, Camden, and Hot Springs,

Arkansas

5) Service Exclusively for Harrison and Hot Springs, Arkansas

6) Service Exclusively for El Dorado, Camden, and Harrison,

Arkansas

7) Service for All Airports Listed in ORDER 2013

- 4

- 6

Dear Mr. Homan,

This offer to provide Essential Air Service in accordance with the referenced Docket and

Order is contingent upon approval of our Application for Air Carrier Certifi cation and

request for Commuter Air Carrier Authorization. Putting that aside for the moment it is

with great pleasure that we accept this opportunity to offer to perform any and/or all the

requirements identified in said order. We believe that the area to be served has a great

opportunity for growth in airline service and we are committed to contribute to that

growth.

We recognize that the four mayors and the airport managers in question will have access

to this document. We believe that the portion of Arkansas to be served as a result of this

Order deserves the support of the airline selected. Our proposal will demonstrate our

desire to embed ourselves in the community and become a part of its success. If we are

rewarded with acceptance for some or all the routes we propose, we will provide

excellent and timely service. We also plan to use one or more of the supported

communities as operating bases and maintenance facilities for all our activities. Our

proposed efforts here would require the expen diture of several hundred thousand dollars

worth of services, equipment, fuel, and aircraft services. We will make those purchases

here. Our company headquarters will be in this beautiful part of the state. Thus what we

are to be rewarded will be return ed to this area through the purchase of equipment,

aircraft repair and services, and the employment of Arkansas’ citizens. Every reasonable

effort will be made to spend our compensation locally.

Our offers entertain the idea of serving but one of the fo ur communities named in the

Order. We also offer to serve all the possible combinations of the four cities. In

accordance with direction given in the Order we address the subsidy level at Hot Springs.In our proposal addressing service at both Hot Sprin gs and Harrison we have scheduled

one flight of two departing Hot Springs for Memphis with an intermediate stop at

Harrison. In our proposal to provide all the airline service requested in the order we have

two of the three flights from Hot Springs to Mem phis flights stopping at Harrison en

route in an attempt to increase the load factor. In our total service proposal we have one

Harrison flight to Memphis stopping en route at Hot Springs to achieve that same

objective. But more importantly we have kept our request for subsidies to a minimum by

utilizing one of the most economically operating aircraft suitable for this role

– the

Cessna Stationair 8.

We now invite evaluation of the attached seven proposals of how Osage Airlines could

improve airline serv ice in western Arkansas. We will keep your office advised

concerning the status of our Application for Air Carrier Certification and request for

Commuter Air Carrier Authorization.

Very sincerely yours,

Mark L. Bellamy

OwnerAttachment: 1) 

### Proposal f or Essential Air Service Exclusively for El

Dorado and Camden, Arkansas

This proposal is to provide service to Camden and El Dorado if no other Arkansas city

selects our service. We know that Southwest is a big player at Dallas Love Field (our

destinatio n) and Dallas

- Ft. Worth is one of the busiest airports in the world. That is why

we are giving them priority over Memphis. Memphis traffic is light by comparison. And

since Dallas

- Ft. Worth is a separate field from Dallas Love Field; we are giving s huttle

service to and from the security and/or baggage claim areas at Dallas

– Fort Worth at no

additional charge. Just an email to us or cell phone call and we’ll immediately dispatch

our shuttle to pick up our Dallas

– Ft. Worth passengers at baggage cl aim and we’ll even

carry their bags to and from the shuttle.

This is the proposed daily schedule for Camden and El Dorado arrivals and departures.

DEP ELD ARR MEM DEP MEM ARR ELD

6:39 AM 7:55 AM 8:25 AM 9:41AM

DEP ELD ARR DAL DEP DAL ARR ELD

11:14 AM 12:45PM 1:30 PM 3:01 PM

3:29 PM 5 :00 PM 7:45 PM 9:16 PM

If accepted for the service discussed in this proposal, we plan to establish our company

headquarters, our aircraft mechanics, and flight crews locally, thereby demonstrating our

intention of be coming a part of the Camden

– El Dorado community. THEREFORE, WE

OFFER TO PROVIDE THE SERVICES DESCRIBED IN THIS ATTACHMENT FOR

$1,236,906

Very sincerely yours,

Mark L. Bellamy

OwnerAttachments: 2) 

### Hot Springs, Arkansas

This proposal is to provide service to Hot Springs if for some reason no other Arkansas

city selects our service. We recognize the affinity Hot Springs citizens have for traveling

through Memphis. Therefore we have selected Memphis for the destination of two of our

three daily fli ghts departing Hot Springs. And since Dallas

- Ft. Worth, with its large

number of airline takeoffs and landings, is a separate field from Dallas Love Field, we

will provide shuttle service from Love Field to the security area and from baggage claim

at Da llas

– Fort Worth at no additional charge. Just an email or call to our cell number

and we’ll meet our passengers at Dallas

– Fort Worth’s baggage claim and we’ll even

carry your bags to and from the shuttle.

If successful in this competition, Osage Airl ines commits to spending $500 per week to

increase the passenger load at Hot Springs. We believe that this level of advertising will

achieve a load factor at Hot Springs that will lower the subsidy per passenger factor to the

$200 benchmark.

This is the proposed schedule for Hot Springs arrivals and departures.

DEP HOT ARR DAL DEP DAL ARR HOT

7:15 AM 8:47 AM 9:32 AM 11:04 AM

DEP HOT ARR MEM DEP MEM ARR HOT

11:14 AM 12:40PM 1:20 PM 2:46 PM

3:29 PM 4:55 PM 7:50 PM 9:16 PM

If accepted for the servic e discussed in this proposal, we plan to establish our company

headquarters, our aircraft mechanics, and flight crews locally; thereby demonstrating our

intention of becoming a part of the Hot Springs community. THEREFORE, WE OFFER

TO PROVIDE THE SERVICES DESCRIBED IN THIS ATTACHMENT FOR

$1,289,334.

Very sincerely yours

Mark L. Bellamy

OwnerAttachment: 3) 

### Proposal for Essential Air Service Exclusively for

Harrison, Arkansas

This proposal is to provide service to Harrison if for some reason no oth er Arkansas City

selects our service. We recognize the affinity Harrison citizens have for traveling to and

from Memphis. Therefore we have added a third subsided flight to Memphis at a subsidy

rate far below that paid by the US Government during the per iod ending in 2013. The

additional flight also leaves room for a fourth round

- trip to Memphis in the late evening

if demand justifies it. We also recognize the tremendous amount of travel options

available at the Dallas

– Fort Worth complex. Our Dallas flight arrives there at the time

that their departing and arriving flights are at their peak. Since Dallas

- Ft. Worth Airport

is a separate field from Dallas Love Field; we offer shuttle service to and from security

and/or baggage claim at Dallas

– Fort Worth at no additional charge. Just email us or call

our cell number and we’ll meet our passengers at baggage claim and we’ll even carry

your bags to and from the shuttle.

This is the proposed schedule for Hot Springs arrivals and departures.

DEP HRO AR R DAL DEP DAL ARR HRO

9:26 AM 11:30 AM 12:15 PM 2:19 PM

DEP HRO ARR MEM DEP MEM ARR HRO

6:22 AM 7:34 AM 8:04 AM 9:16 AM

2:29 PM 3:41 PM 4:11 PM 5:23 PM

5:43 PM 6:50 PM 7:35 PM 8:47 PM

If accepted for the service discussed in this proposal, we plan to establish our company

headquarters, our aircraft mechanics, and flight crews locally; thereby demonstrating our

intention of becoming a part of the Hot Springs community. THEREFORE, WE OFFER

TO PROVIDE THE SERVICES DESCRIBED IN THIS ATTACHMENT FOR

$1,3 46,328.

Very sincerely yours

Mark L. Bellamy

OwnerAttachment: 4) 

### Proposal for Essential Air Service Exclusively for

Camden, El Dorado and Hot Springs, Arkansas

This proposal is to provide combined Essential Air Services to the cities of El Dorado

and Hot Springs if circumstances preclude Harrison being included in the package. With

this proposal we emphasize the tremendous amount of travel options available through

the Dallas

– Fort Worth complex. Our Dallas flights arrive there at the tim e when both

airports departing and arriving flights are at their peak. Since Dallas

- Ft. Worth Airport

is a separate field from Dallas Love Field, we offer shuttle service to and from security

and/or baggage claim at Dallas

– Fort Worth at no additional charge. Just email us or call

our cell number and we’ll meet our passengers at baggage claim and we’ll even carry

your bags to and from the shuttle. We retain one Memphis flight to offer customers’

connections there. In an effort to decrease the subsidy required at both cities we have

combined all flights so that one airport enjoys a direct flight while the other has one stop.

We have divided them equally between the two airfields.



### This is our proposed schedule for Camden, El Dorado and Hot Springs,

Arkansas should we not be awarded the opportunity to serve Harrison:

MEMPHIS FLIGHT

ARR HOT DEP HOT ARR ELD DEP ELD ARR MEM DEP MEM

6:00AM 6:32AM 6:42AM 7:58AM 8:28AM

9:54AM 10:04AM 10:36AM

DALLAS FLIGHTS

ARR HOT DEP HOT ARR ELD DEP ELD ARR DAL D EP DAL

10:46AM 12:17PM 1:02PM

2:34PM 2:44PM 3:16PM 3:26PM

3:02PM 3:12PM 5:57PM 6:42PM

8:14PM

If accepted for the service discussed in this proposal, we plan to establish our company

headquarters, our aircraft mechanics, and flight crews local ly; thereby demonstrating our

intention of becoming a part of the Hot Springs community. THEREFORE, WE OFFER

TO PROVIDE THE SERVICES DESCRIBED IN THIS ATTACHMENT FOR

$1,742,905.

Very sincerely yours

Mark L. Bellamy

OwnerAttachment: 5) 

### Proposal for Ess ential Air Service Exclusively for Hot

Springs and Harrison, Arkansas

This proposal is to provide combined Essential Air Services to the cities of Hot Springs

and Harrison if circumstances preclude Camden/El Dorado being included in the

package. With thi s proposal we emphasize the affinity of Harrison citizens to entering

the national airline system at the Memphis hub. We propose 3 non

- stop flights each

direction between Harrison and Memphis, one non

- stop in each direction between Hot

Springs and Memphis , and one round

- trip flight each day between Hot Springs and

Memphis with an intermediate stop at Harrison.

However, our Dallas flight arrives there at the time when their departing and arriving

flights are at their peak. Since Dallas

- Ft. Worth Airpor t is a separate field from Dallas

Love Field; we offer shuttle service to and from security and/or baggage claim at Dallas

– Fort Worth at no additional charge. Just email us or call our cell number and we’ll meet

our passengers at baggage claim and we’ll even carry your bags to and from the shuttle.

Should we be awarded this package we plan to establish our company headquarters and

maintenance base in Harrison. In this situation Osage Airlines will hire a minimum of

ten people to work at Harrison, base three aircraft there, and perform all our scheduled

maintenance there.Attachment: 5) 

### Proposal for Essential Air Service Exclusively for Hot

Springs and Harrison, Arkansas

This is our proposed schedule for Hot Springs and Harrison, Arkansas should

we not be awarded the opportunity to serve Camden and El Dorado:

MEMPHIS

– HARRISON NON

- STOP FLIGHTS

DEP HRO ARR MEM DEP MEM ARR HRO

6:18AM 7:30AM 8:35AM 9:47AM

10:48AM 12:00PM 1:35PM 2:47PM

5:38PM 6:50PM 7:35PM 8:47PM

MEMPHIS

– HOT SPRINGS NON

- STOP FLIGHTS

DEP HOT ARR MEM DEP MEM ARR HOT

5:39AM 7:05AM 7:35AM 9:01AM

MEMPHIS

– HOT SPRINGS & HARRISON ONE

- STOP FLIGHTS

DEP HOT ARR HRO DEP HRO ARR MEM DEP MEM ARR HOT

9:11PM 9:58PM 10:08PM 11:20PM 11:50PM 1:02AM

DALLAS FLIGHTS

ARR HRO DEP HRO AR R HOT DEP HOT ARR DAL DEP DAL

9:01AM 9:48AM 9:58AM 11:30AM 12:15PM

2:19PM 2:29PM 3:16PM

If accepted for the service discussed in this proposal, we plan to establish our company

headquarters, our aircraft mechanics, and flight crews locally; thereby demonstrating our

intention of becoming a part of the Hot Springs community. THEREFORE, WE OFFER

TO PROVIDE THE SERVICES DESCRIBED IN THIS ATTACHMENT FOR

$3,251,141.

Very sincerely yours

Mark L. Bellamy

OwnerAttachment: 6) 

### Proposal for Essent ial Air Service Exclusively for

Camden, El Dorado, and Harrison, Arkansas

This proposal is to provide combined Essential Air Services to the cities of Camden, El

Dorado, and Harrison if circumstances preclude Hot Springs being included in the

package. Wi th this proposal we emphasize the affinity of Harrison citizens to entering

the national airline system at the Memphis base. However, our Dallas flight arrives there

at the time when their departing and arriving flights are at their peak. Since Dallas

- Ft.

Worth Airport is a separate field from Dallas Love Field; we offer shuttle service to and

from security and/or baggage claim at Dallas

– Fort Worth at no additional charge. Just

email us or call our cell number and we’ll meet our passengers at baggage claim and

we’ll even carry your bags to and from the shuttle.



### This is our proposed schedule for Camden, El Dorado and Harrison,

Arkansas should we not be awarded the opportunity to serve Hot Springs:

MEMPHIS FLIGHTS

ARR HRO DEP HRO ARR ELD DEP ELD A RR MEM DEP MEM

6:00AM 7:12AM 7:42AM

8:58AM 9:08AM 10:24AM 10:54AM

12:06PM 12:16PM 1:28PM 1:58PM

3:14PM 3:24PM 4:40PM 5:10PM

6:22PM 6:32PM 7:49PM 7:59PM 9:15PM 9:45PM

10:57PM

DALLAS FLIGHTS

ARR HRO DEP HRO ARR ELD DEP ELD ARR DAL DEP DAL

1: 59PM 4:03PM 4:48PM

6:19PM 6:29PM 8:00PM 8:45PM

10:49PM

If accepted for the service discussed in this proposal, we plan to establish our company

headquarters, our aircraft mechanics, and flight crews locally; thereby demonstrating our

intention of becoming a part of the Hot Springs community. THEREFORE, WE OFFER

TO PROVIDE THE SERVICES DESCRIBED IN THIS ATTACHMENT FOR

$2,544,806.

Very sincerely yours

Mark L. Bellamy

OwnerAttachment: 7) 

### Proposal for Essential Air Service for Arkansas

Airports N amed in Department of Transportation ORDER 2013

- 4

- 6

This proposal is to provide Essential Air Services to the cities named in the above order.

With this proposal we emphasize the affinity of Harrison citizens to entering the national

airline system at th e Memphis hub. However, our Dallas flights arrives at the time when

Dallas

- Worth Airport and Dallas Love Field’s departing and arriving flights are at their

peak. Since Dallas

- Ft. Worth Airport is a separate field from Dallas Love Field; we

offer shu ttle service to and from security and/or baggage claim at Dallas

– Fort Worth at

no additional charge. Just email us, call our cell number, or approach our Dallas Love

Field crew to make arrangements. We’ll take our Dallas Love Field arrivals and their

b aggage by shuttle to their Dallas

– Fort Worth check

- in counter. We’ll meet our Dallas

– Ft. Worth arriving passengers at baggage claim and we’ll even carry your bags to and

from our shuttle.

Two flights from Hot Springs to Memphis with intermediate sto ps in Harrison are added

in an attempt to lower the subsidy necessary to support Essential Air Service at Hot

Springs. Also subsidy requirements are lowered at the three airports by utilizing more

economically operating aircraft and locating the aircraft and maintenance facilities at

Harrison.

MEMPHIS DEPARTING FLIGHTS

DEP MEM ARR ELD DEP ELD ARR HOT DEP HOT ARR HRO

8:07 AM 9:19 AM

9:13 AM 10:29 AM

9:38 AM 11:O4 AM

3:38 PM 5:04 PM 5:14 PM 6:01 PM

3:48 PM 5:14 PM 5:24 PM 6:11 PM

3:58 PM 5:10 PM

8:05 PM 9:21 PM 9:31 PM 10:50 PM

MEMPHIS ARRIVING FLIGHTS

DEP HRO ARR HOT DEP HOT ARR ELD DEP ELD ARR MEM

6:45 AM 7:57 AM

6:55 AM 7:42 AM 7:52 AM 9:28 AM

7:05 AM 7:47 AM 7:57 AM 9:05 AM

1:57 PM 3:28PM

2:02 PM 3 :53 PM

2:37 PM 3:53 PM

5:20 PM 6:29 PM 6:39 PM 7:55PMAttachment: 7) 

### Arkansas Airports Named in Department of

Transportation ORDER 2013

- 4

- 6

DALLAS ARRIVING FLIGHTS

DEP HOT DEP ELD DEP HRO ARR DAL

9:29 AM 11:33 AM

10:39 AM 12:10 PM

11:14 AM LUNCH SNACK 12:46 PM

FLIGHTS DEPARTING DALLAS

DEP DAL ARR ELD ARR HRO ARR HOT

11:43 AM LUNCH SNACK 1:47 PM

12:20 PM LUNCH SNACK 1:52 PM

12:56 PM 2:27 PM

If accepted for the service discussed in this proposal, we plan to establish our compan y

headquarters, our aircraft mechanics, and flight crews locally; thereby demonstrating our

intention of becoming a part of the Harrison community. THEREFORE, WE OFFER TO

PROVIDE THE SERVICES DESCRIBED IN THIS ATTACHMENT FOR $2,960,781.

Very sincerely you rs

Mark L. Bellamy

Owner