Aerodynamics Inc. dba SkyValue Airways Proposal to Provide ... 2018 EAS BID for BHB... · 3 Aerodynamics Inc. (ADI) dba SkyValue Airways (SkyValue) proposes to operate these flights

www.myskyvalue.com

Aerodynamics Inc.

dba

SkyValue Airways

Proposal to Provide

Essential Air Service to

the Communities of

Plattsburgh, NY; Presque

Isle, ME and Bar Harbor, ME

1

2

BEFORE THEDEPARTMENT OF TRANSPORTATIONWASHINGTON, D.C.________________________________________________

)Essential Air Service at )

)Bar Harbor, Maine ) DOCKET DOT-OST-2011-0185Plattsburgh, New York ) DOCKET DOT-OST-2003-14783Presque Isle, Maine ) DOCKET DOT-OST-2000-8012

)Under 49 U.S.C. §41731 et seq. )________________________________________________)

AERODYNAMICS INC. dba SKYVALUE AIRWAYS PROPOSAL TO PROVIDE SUBSIDIZED AIR SERVICE AT BAR HARBOR, ME; PLATTSBURGH, NY; AND PRESQUE ISLE, ME.

Correspondence with regard to this document should be addressed to:

Mickey BowmanSenior Vice President & COOAerodynamics, Inc. dba SkyValue Airways114 TownPark Drive NW, Suite 500Kennesaw, GA 30144Telephone: 678-872-2737Fax: 404-410-7604E-Mail: [email protected]

SkyValue Airways (SkyValue) cordially submits its proposal to provide subsidized air service to the communities of Bar Harbor and Presque Isle, Maine as well as Plattsburgh, New York. SkyValue hereby offers six, 2-year options for service.

3

Aerodynamics Inc. (ADI) dba SkyValue Airways (SkyValue) proposes to operate these flights linking the cities of Plattsburgh, NY, Presque Isle, ME and seasonal service to Bar Harbor, ME with a hub of Boston Logan International Airport (BOS).

ADI proposes to operate these flights to Boston’s Logan International Airport. With over 391,222 operations accommodated in 2016 to and from over 117 cities worldwide. Boston Logan International Airport is the 17th busiest in the nation with nearly 36.3 million passengers enplaned in 2016. ADI will schedule its flights to allow multiple connecting opportunities to a variety of carriers at Boston.

ADI is a certificated 121 operator that currently holds DOT economic authority for charter operations and, by Order 2016-1-13 on January 28, 2016, was found fit by the DOT for expanded economic authority allowing ADI to conduct scheduled domestic passenger service. On May 20,

2016 ADI received official notification from the DOT that it authorized to commence such service.

ADI plans to operate these flights under its newly established SkyValue Airways dba. SkyValue contends that reasonable local fares and reliable scheduled operations will stimulate demand and the variety of destinations available from BOS will allow these markets to realize their true potential. Toward that end SkyValue will establish a reasonable and affordable fare structure between these cities. Additionally, SkyValue will endeavor to establish interline and, potentially, codeshare relationships with the major air carriers at Boston. SkyValue, will have its own reservations platform that will allow SkyValue flights to be sold via all major global distribution systems. SkyValue will offer a web based booking site as well as a reservation call center for passenger use.

While ADI does plan to transition to its SkyValue Airways identity over the course of this contract, it should be pointed out that ADI does currently have a hosting agreement in place with another regional carrier that does allow for the sale of interlining tickets with some major carriers as well as interline baggage transfer. That system is currently being used successfully in the Watertown and Pierre, SD EAS markets. A transition away from this agreement would only take place when interline capability is established independently for the SkyValue brand.

In compliance with Public Law 100-223, SkyValue proposes to operate these flights using Embraer 145 regional jets that are pressurized and accommodate 50 passengers. The EMB-145 features stand up headroom, a pressurized cabin, a Flight Attendant and an onboard lavatory. The aircraft has ample cargo capacity to accommodate even bulky military duffle bags.

ADI has a long history of providing safe and reliable transportation. One of the keys to reinvigorating traffic at this airport will be schedule reliability. With the relatively low utilization of this aircraft, SkyValue will have great flexibility in responding to any operational challenges and can assure these communities receive the level of operational performance they deserve. SkyValue’s currently operates scheduled service in Denver, Colorado on Essential Air Service routes to Pierre and Watertown, South Dakota.

www.mySkyValue.com

About Our Proposal: SkyValue Service Overview

Aerodynamics Inc., based in Kennesaw, GA., has multiple operating bases in the U.S. and is a certified FAA 121 Air Carrier (Cert# BUEA634C)

offering large aircraft flight operations. Long recognized for its core value of operational excellence, SkyValue has served the industry for 58 years

without incident or accident. SkyValue Airways is a dba for Aerodynamics Inc.

www.mySkyValue.com

About Our Company: Company OverviewHistory

Diversity over the years

ADI has had Airliners and Corporate Jet Aircraft on it’s Air Carrier Certificate including:

• Airbus A319 / A320 series, Embraer EMB 145, EMB 135, Fokker 28, Jetstream 41,

Corporate Gulfstream GIV, GIII, Citation Excel

Professional Sales Team

• Full time dedicated sales team with substantial experience and proven results

Worldwide Operations

• ADI is authorized by the FAA for international charter operations.

• The majority of ADI flights take place in the US, Latin America, Canada, Mexico and the

Caribbean.

• ADI has a full staff of Certified Dispatchers & Maintenance Controllers

• Established 24/7 operation eager to serve your community

.

4

Aerodynamics, Inc. dba SkyValue Airways has considerable experience in shuttle operations in a variety of narrow-body airline

equipment, including the Embraer regional jet. Founded in 1959, ADI operates under FAR Part 121 and is recognized as a world leader

in corporate shuttle operations. ADI has maintained a flawless safety record for over 58 years.

• Denver to Pierre and Watertown, SD (August 2016) – Daily EAS flights between Denver (KDEN) and both Pierre (KPIR) and Watertown (KATY) in an Embraer

145. Since inauguration overall reliability has been slightly less than 97% while the Arrivals within 14 minutes of schedule has exceeded 84%.

• Tortug’air International Service (2014) – Daily flights between Ft. Lauderdale (KFLL) and Cape Haitian (MTCH) and Nassau (MYNN) in an Embraer 145.

• Chicago to Manistee, MI (2012) – Daily flights between Chicago Midway (KMDW) and Manistee, MI (KMBL) in an Embraer 145. ADI was awarded the contract

after a larger carrier pulled their aircraft from servicing this route.

• Intel Corporate Airline (2004 – 2013) – Operating the world’s largest private airline service - 33 daily flights operating seven Embraer 135’s / Beech 1900

transporting over 300,000 passengers annually while boasting a 98.7% dispatch reliability rating, along with a 97.0% on-time performance ratio–each ranked

1st amongst ERJ operators worldwide.

• Dow Chemicals (2002 – 2011) –Operating daily flights in an Airbus 319 between Saginaw, MI and Lake Jackson, TX and Philadelphia, PA. Dow Chemical’s

corporate shuttle which logged nearly 1400 flight hours annually. ADI maintained a 99% reliability and mission completion rating throughout the Airbus

program.

www.myskyvalue.com

About Our Company: Proven Airline Success

Customers Served:

5

Most operators tend to advertise “Safety First” or “Just Safety Culture” however, at SkyValue we embrace all concepts of Safety and

Regulatory Compliance. From implementing “Best Practices” to ensuring compliance with worldwide regulatory requirements safety

is always at the forefront. Our commitment to safety is universal throughout our organization, it reaches out to our Management

Team, Administration, Regulatory Compliance, Training, Maintenance and Quality Control equally, we utilize interfacing concepts in

any and all decisions made to ensure we provide the utmost in safety and compliance consistently.

Safety Highlights

• ADI maintains outstanding Zero- Accident safety record for the last 59 years

• In-house TSA security program

Safety Certifications

• SkyValue participates in mandatory and volunteer safety audits to exceed strict guidelines authorized by numerous groups.

Management

• President & CEO– Darrell Richardson

• Senior Vice President and COO – Mickey Bowman

• Director of Operations – Armando Cardenas

• Chief Pilot – Paul Reason

• Director of Maintenance – Matthew Moreau

• Chief Inspector – Robert Anderson

• Director of Safety – Ashley West

• Director of Security - Michael Lucas

• Director of Inflight Services – Brenda Valenti

• Director of Operations Control – Fernando Pineda

www.mySkyValue.com

About Our Company: A Commitment To Safety

6

GDS Distribution & Reservation System

SkyValue Airways intends to market these flights under its own 4A airline code. It will be possible to purchase tickets by calling a toll-free reservation number, online, or through a travel agent. In addition, customers will be able to book using any of the major online travel agencies and meta-searchers such as Orbitz, Travelocity, and Expedia. Schedules and availability will be published in the global distribution systems (GDS). The Reservation Platform that SkyValue will utilize will allow for full interline capability including the automated tracking of interline luggage transfers. Additionally, the platform will support codeshare if and when required.

While ADI does plan to transition to its SkyValue Airways identity over the course of this contract, it should be pointed out that ADI does currently have a hosting agreement in place with another regional carrier that does allow for the sale of interlining tickets with some major carriers as well as interline baggage transfer. That system is currently being used successfully in the Watertown and Pierre, SD EAS markets. A transition away from this agreement would only take place when interline capability is established independently for the SkyValue brand.

Marketing & Community Relations

SkyValue’s proposal to provide EAS includes a commitment to spend a

minimum of $25,000 annually on advertising and promotional activities

in Plattsburgh and Presque Isle. On the seasonal Bar Harbor market,

SkyValue would commit to spending $7,500. Efforts will focus on radio,

print, outdoor and social media across the reasonable catchment area of

the Airports. Promotions with free ticket rewards have been very

popular in similar communities. Advertising will be supported by sales

www.myskyvalue.com

Airline Services

About Our Company: The SkyValue Advantage

Interline Agreements

SkyValue will endeavor to secure its own interline ticketing and baggage agreements with the major carriers serving our hubs. In the meantime, ADI does have a hosting agreement in place with another regional carrier whereby passengers are able to take advantage of existing interline agreements with some major carriers.

7

activities focused on companies and organizations in each of the respective areas with a need for reliable and affordable travel options.The sales message would include explanation of the value proposition of flying compared to driving, connectivity possibilities, service enhancements, special fares (ie., commuter books and negotiated corporate contracts), and the importance of local businesses to support local air service.

www.mySkyValue.com

Airline Services


Pricing & Fares

To introduce SkyValue’s service in this community an introductory fare of $75 each way to Boston

(inclusive of all taxes and fees) would be offered during the first 30-days of service from these cities.

Thereafter, and as the basis for the requested level of subsidy, an average fare of $99 each way is

projected. Consistent with SkyValue’s marketing plan, a range of fares would be offered.

Potential Fares To Be Marketed by SkyValue Airways

For Bar Harbor & Plattsburgh, NY

Introductory Fare for first month of service: $75 One Way

Non-refundable walk up fare on at least 75% of available seats: $99 One Way

Standard, fully refundable, walk up fare with last seat availability: $125 One Way

8

For Presque Isle, ME

Introductory Fare for first month of service: $89 One Way

Non-refundable walk up fare on at least 75% of available seats: $115 One Way

Standard, fully refundable, walk up fare with last seat availability: $125 One Way

SkyValue’s fleet is comprised of Embraer ERJ 145’s, capable of accommodating up to 50 passengers, with excellent “hot & high” performance. It

was specifically designed to fly medium sized groups shorter distances at greater speeds. The ERJ 145 has a impressive mission completion rate of

99.7%. The ERJ worldwide fleet has flown over fifteen million miles since its first flight in 1995 with zero fatalities. Sit back, relax, and enjoy the

safety of the Embraer ERJ 145.

www.mySkyValue.com

About Our Aircraft: The SkyValue Fleet

9

Performance & Specifications

Maximum Range: 1,017 nm

(with Reserves)

Normal Cruise Speed: mach 0.78

Cabin Height: 6 ft

Cabin Width: 6 ft 11 in

Usable Baggage: 2600 lbs.

Comfort

• Flight Attendants

• 31” Seat Pitch

• Rear Cabin Lavatory

• Catering Available

• Forward Cabin Galley

• 34 Large Windows

• Overhead Storage Bins

About Our Aircraft: the Embraer ERJ 145

www.mySkyValue.com10

Watertown, SD

En

pla

ne

me

nts

Large

turboprop &

regional jet

Service

interruption

19-passenger turboprop

Pierre, SD

Large turboprop & regional jet

19-passenger

turboprop

SOURCE: BTS, Form 41 T-100 & internal ADI reports

En

pla

ne

me

nts

• Benefits to Customers

• Provides a more comfortable experience

with full airliner amenities

• Overcomes travel policies by some

corporations that prohibit travel on single-

engine and/or small aircraft

• Benefit to Local Economy

• Provides a great first impression for site

selectors and help with company retention

• Contributes to tourism development

ADI is confident that our proposal to

provide reliable and affordable regional jet

service can rebuild traffic at this community

ADI has been able to quickly rebuild

traffic at Watertown and Pierre by

leveraging consumer preference for jet

service, combined with low fares and

high reliability.

After just three months of ADI service,

traffic levels at Watertown were in

compliance with the $200 cap ensuring

that community’s continued eligibility for

EAS.

About Our Proposal: Traffic Potential

www.mySkyValue.com

0

200

400

600

800

1,000

1,200

1,400

0

200

400

600

800

1,000

1,200

1,400

1,600

1,800

Mesaba/Pinnacle Great Lakes ADI

11

www.myskyvalue.com

About Our Company: Traffic Potential

Watertown, SD traffic had languished with the previous turboprop service provider. So much so that the community was on the $200/Enplaned

passenger chopping block. Since the introduction of ADI regional jet service, that trend has reversed and the traffic continues to build!

12

ATY Passenger Summary

@ 11/15/17

Passengers Passengers ATY Subsidy Avg Subsidy

Date ATY Inb ATY Outb Total Pax Total Claim Per Pax

Aug-16 236 238 474 111,300.00$ 234.81$

Sep-16 556 533 1089 192,920.00$ 177.15$

Oct-16 527 519 1046 190,137.50$ 181.78$

Nov-16 619 636 1255 185,500.00$ 147.81$

Dec-16 775 771 1546 181,790.00$ 117.59$

Jan-17 666 730 1396 179,935.00$ 128.89$

Feb-17 763 769 1532 172,515.00$ 112.61$

Mar-17 879 872 1751 194,775.00$ 111.24$

Apr-17 773 756 1529 178,080.00$ 116.47$

May-17 833 801 1634 192,920.00$ 118.07$

Jun-17 903 868 1771 192,920.00$ 108.93$

Jul-17 972 1164 2136 187,355.00$ 87.71$

Aug-17 879 842 1721 181,790.00$ 105.63$

Sep-17 873 832 1705 187,355.00$ 109.89$

Oct-17 800 787 1587 196,630.00$ 123.90$

TOTAL 11054 11118 22172 2,725,922.50$ 122.94$

www.myskyvalue.com


Proven EAS Performance

ADI Commenced its first EAS route Aug 15, 2016. Below are the operating statistics thus far

13

100% 100% 99%

94%

90%93%

96% 96% 96%98% 98%

95%92%

98% 99%

88%

92%

84%

75%

68% 68%

80%

85%87% 86%

80%

85%

71%

95%

83%

90%93%

86%

78%

74% 73%

85% 86% 87%90%

85%87%

74%

96%

83%

34%

45%

55% 55%

51%48%

59%

55% 55%57%

64%67%

60%63%

67%

30%

35%

40%

45%

50%

55%

60%

65%

70%

75%

80%

85%

90%

95%

100%

105%

Aug-16 Sep-16 Oct-16 Nov-16 Dec-16 Jan-17 Feb-17 Mar-17 Apr-17 May-17 Jun-17 Jul-17 Aug-17 Sep-17 Oct-17

Denver EAS System Metrics

Completion % Dep :05% Arr :15% Load Factor %

14www.mySkyValue.com

About Our Proposal: The Boston Hub

SkyValue proposes to operate flights, under its independent identity, to the major hub airport of Boston Logan International. BOS is the nation’s 17th busiest with nearly 1,000 daily scheduled operations to and from over 117 cities worldwide.

In 2016, BOS hosted some 36.3 million passengers



Domestic Carriers International Carriers

Alaska Aer Lingus Japan Airlines

American AeroMexico Lufthansa

Cape Air Air Canada Norwegian Air Shuttle

Delta Air France Porter Airlines

JetBlue Alitalia Airlines Qatar Airways

PenAir Avianca SATA International

Southwest Cathay Pacific Airways Scandinavian Airlines

Spirit Copa Airlines Swiss International Air Lines

Sun Country Airlines El Al Israel Airlines TAP Portugal

Tradewind Emirates Turkish Airlines

United Hainan Airlines Virgin Atlantic Airlines

Virgin America Iberia WestJet Airlines

Iceland Air WOW Air



Domestic Destinations

Albany Indianapolis Presque Isle

Atlanta Jacksonville Provincetown

Augusta Kansas City Raleigh Durham

Austin Las Vegas Richmond

Baltimore Lebanon Rochester

Bar Harbor Los Angeles Rockland

Buffalo Martha's Vineyard Rutland

Charleston Miami Salt Lake City

Charlotte Milwaukee San Diego

Chicago Midway Minneapolis San Fransisco

Chicago O'Hare Myrtle Beach San Jose

Cincinnati Nantucket San Juan

Cleveland Nashville Saranac Lake

Columbus New Orleans Sarasota

Dallas Ft Worth New York JFK Savannah

Dallas Love New York LaGuardia Seattle

Denver Newark St. Louis

Detroit Norfolk Syracuse

Ft Lauderdale Orlando Tampa

Ft. Meyers Philadelphia Washington DC

Harrisburg Phoenix Washington Dulles

Houston Hobby Pittsburgh West Palm Beach

Houston International Plattsburgh White Plains

Hyannis Portland

International Destinations

Amsterdam Mexico City

Aruba Munich

Bermuda Nassau

Bogata Tokyo

Barbados Port au Prince

Paris Ponta Delgada

Copenhagen Beijing

Cancun Providencialis

Doha Puerto Plata

Dublin Panama City

Dubai Punta Cana

Rome Shanghai

Frankfurt Santo Domingo

Grand Cayman Shannon

Hong Kong Lajes

Istanbul Tel Aviv

London Gatwick Saint Lucia

London Heathrow Hamilton

Reykjavik Ottowa

Liberia, Costa Rica Montreal

Lisbon Toronto

Madrid Zurich

Montego Bay Toronto City Airport



18www.myskyvalue.com

About Our Proposal: Service to Presque Isle, Maine & Plattsburgh, New York (Shared Acft)

SkyValue Airways Service Proposals:

Service Option 124 Weekly Nonstop Frequencies between Plattsburgh, NY and the Boston Logan International Airport24 Weekly Nonstop Frequencies between Presque Isle, ME and the Boston Logan International Airport

Aerodynamics, Inc. proposes to operate these flights under its newly established SkyValue Airways brand. The timing of these flights would be optimized for connections to and from legacy and low cost carriers in Boston. SkyValue proposes to encourage connecting traffic by using a simplified “add on” fee structure, an average fare of $99 one way (including applicable taxes and fees) is proposed for Plattsburgh and $115 one way for Presque Isle, whereby passengers connecting to or from other airline flights would pay only a low incremental fare for the SkyValue segment into Boston.

The anticipated service pattern would operate on a nonstop basis with two roundtrips in each market each weekday. A single roundtrip would operate each Saturday and each Sunday in each market. A total annual subsidy of $9,324,239 would be required.

FROM TO DEP ARR EQP FREQ STOPS

Plattsburgh Boston 1026am 1124 am ERJ X7 0 Plattsburgh Boston 514 pm 612 pm ERJ X6 0

Boston Plattsburgh 900 am 956 am ERJ X7 0 Boston Plattsburgh 348 pm 444 pm ERJ X6 0

Presque Isle Boston 700 am 816 am ERJ X7 0 Presque Isle Boston 146 pm 303 pm ERJ X6 0

Boston Presque Isle 1210 pm 116 pm ERJ X7 0

Boston Presque Isle 654 pm 800 pm ERJ X6 0

(Note: These schedules are for illustration and may not represent the final selling

product pending consultations with the community with its scheduling preferences.

RON could be in either community.)

.)


About Our Proposal: Service to Presque Isle, Maine & Plattsburgh, New York (Shared Acft)

Aerodynamics Inc

Essential Air Service Proposal To Provide Service

Aerodynamics Inc. Proposal to provide Aerodynamics Inc. Proposal to provide Consolidated Statistics

Essential Air Service to: Essential Air Service to:

Plattsburgh, New York Option 1 Presque Isle , Maine Option 1 Option 1

Plattsburgh Presque Isle Summary

Hub Served Boston Hub Served Boston Hub Served BOS

Number of Roundtrips per Service Day 2 Number of Roundtrips per Service Day 2

Non-Stop Non-Stop

O perating Statistics (12rt/week) O perating Statistics (12rt/week) O perating Statistics

Assumed Completion % 97% Assumed Completion % 97% Assumed Completion % 97%

Annual Adjusted Block Hours 1,156.48 Annual Adjusted Block Hours 1,460.82 Annual Adjusted Block Hours 2,617.30

Annual Adjusted Departures 1,217 Annual Adjusted Departures 1,217 Annual Adjusted Departures 2,434.70

Annual Adjusted ASMs 12,234,368 Annual Adjusted ASMs 20,268,878 Annual Adjusted ASMs 32,503,245

Annual RPMs 3,316,500 Annual RPMs 8,491,500 Annual RPMs 11,808,000

Projected Load Factor (Enplaned) 27.1% Projected Load Factor (Enplaned) 41.9% Projected Load Factor (Enplaned) 36.3%

Revenue Projections Revenue Projections Revenue Projections

Enplaned Passengers 16,500 Enplaned Passengers 25,500 Enplaned Passengers 42,000.00

Mileage (Average as O perated) 201 Mileage (Average as O perated) 333 Mileage (Average as O perated) 267

Average Fare 83.16$ Average Fare 98.05$ Average Fare 92.20$

Passenger Revenue 1,372,186$ Passenger Revenue 2,500,186$ Passenger Revenue 3,872,372$

Miscellaneous Revenue 34,305$ Miscellaneous Revenue 62,505$ Miscellaneous Revenue 96,809$

Expense Projections Expense Projections Expense Projections

Flight O perations $658,089 Flight O perations $831,271 Flight O perations 1,489,360$

O wnership $303,000 O wnership $303,000 O wnership 606,000$

Maintenance $977,895 Maintenance $1,361,124 Maintenance 2,339,018$

Reservations, Stations & Administration $1,789,803 Reservations, Stations & Administration $3,140,191 Reservations, Stations & Administration 4,929,994$

Fuel $1,460,551 Fuel $1,785,477 Fuel 3,246,028$

Marketing $25,000 Marketing $25,000 Marketing 50,000$

Total Annual Expenses $5,214,339 Total Annual Expenses $7,446,061 Total Annual Expenses $12,660,400

Projected Profit / (Loss) (3,807,848)$ Projected Profit / (Loss) (4,883,371)$ Projected Profit / (Loss) (8,691,219)$

Profit Element $260,717 Profit Element $372,303 Profit Element 633,020$

Annual Subsidy Required $4,068,565 Annual Subsidy Required $5,255,674 Annual Subsidy Required 9,324,239$

Subsidy per Departure $3,342.15 Subsidy per Departure $4,317.31 Subsidy per Departure $3,829.73

Subsidy per Passenger $246.58 Subsidy per Passenger $206.10 Subsidy per Passenger $222.01



Service Option 2

24 Weekly Nonstop Frequencies between Plattsburgh, NY and the Boston Logan International Airport

Aerodynamics, Inc. proposes to operate these flights under its newly established SkyValue Airways brand. The timing of these flights would be optimized for connections to and from legacy and low cost carriers in Boston. SkyValue proposes to encourage connecting traffic by using a simplified “add on” fee structure, an average fare of $99 one way (including applicable taxes and fees) is proposed, whereby passengers connecting to or from other airline flights would pay only a low incremental fare for the SkyValue segment into Boston.



Plattsburgh Boston 700 am 758 am ERJ X7 0 Plattsburgh Boston 200 pm 258 pm ERJ X6 0

Boston Plattsburgh 1000 am 1056 am ERJ X7 0 Boston Plattsburgh 500 pm 556 pm ERJ X6 0


product pending consultations with the community with its scheduling preferences

.)

About Our Proposals: Service to Plattsburgh, NY. (Dedicated Acft)


About Our Proposals: Service to Plattsburgh, NY. (Dedicated Acft) Aerodynamics Inc. Proposal to provide

Essential Air Service to:

Plattsburgh, New York Option 2

Plattsburgh

Hub Served Boston

Number of Roundtrips per Service Day 2

Non-Stop

O perating Statistics (12rt/week)

Assumed Completion % 97%

Annual Adjusted Block Hours 1,156.48

Annual Adjusted Departures 1,217

Annual Adjusted ASMs 12,234,368

Annual RPMs 3,316,500

Projected Load Factor (Enplaned) 27.1%

Revenue Projections

Enplaned Passengers 16,500

Mileage (Average as O perated) 201

Average Fare 83.16$

Passenger Revenue 1,372,186$

Miscellaneous Revenue 34,305$

Expense Projections

Flight O perations $805,355

O wnership $606,000

Maintenance $1,203,530

Reservations, Stations & Administration $2,000,749

Fuel $1,460,551

Marketing $25,000

Total Annual Expenses $6,101,185

Projected Profit / (Loss) (4,694,694)$

Profit Element $305,059

Annual Subsidy Required $4,999,754

Subsidy per Departure $4,107.08

Subsidy per Passenger $303.02



Service Options 2B

28 Weekly Nonstop Frequencies between Bar Harbor, ME and the Boston Logan International Airport June through August ONLY


The anticipated service pattern would operate on a nonstop basis with two roundtrips in the market each weekday. Additionally two roundtrips would operate each Saturday and each Sunday in the market. A total annual subsidy of $1,077,124 would be required.


Bar Harbor Boston 1026 am 1128 am ERJ Daily 0 Bar Harbor Boston 500 pm 602 pm ERJ Daily 0

Boston Bar Harbor 900 am 956 am ERJ Daily 0 Boston Bar Harbor 330 pm 426 pm ERJ Daily 0



.)

About Our Proposals: Seasonal Service to Bar Harbor, ME. (Shared Acft) Contingent on being flown with Option #2



Aerodynamics Inc. Proposal to provide


Bar Harbor, Maine 2B

(Seasonal Service: June-August O NLY) Bar Harbor

Hub Served Boston


Non-Stop



Annual Adjusted Block Hours 351.01

Annual Adjusted Departures 357




Revenue Projections



Average Fare 83.16$

Passenger Revenue 742,145$


Expense Projections


O wnership $0

Maintenance $343,688

Reservations, Stations & Administration $673,038

Fuel $485,505

Marketing $7,500


Projected Profit / (Loss) (989,609)$







Service Option 3

24 Weekly Nonstop Frequencies between Presque Isle, ME. and the Boston Logan International Airport




Presque Isle Boston 700 am 817 am ERJ X7 0 Presque Isle Boston 200 pm 317 pm ERJ X6 0

Boston Presque Isle 1000 am 1106 am ERJ X7 0 Boston Presque Isle 500 pm 606 pm ERJ X6 0



.)

About Our Proposals: Service to Presque Isle, ME. (Dedicated Acft)


About Our Proposals: Service to Presque Isle, ME. (Dedicated Acft)Aerodynamics Inc. Proposal to provide


Presque Isle , Maine Option 3

Presque Isle

Hub Served Boston


Non-Stop



Annual Adjusted Block Hours 1,460.82

Annual Adjusted Departures 1,217




Revenue Projections



Average Fare 98.05$

Passenger Revenue 2,500,186$


Expense Projections


O wnership $606,000

Maintenance $1,523,230

Reservations, Stations & Administration $3,278,638

Fuel $1,785,477

Marketing $25,000









Service Options 3B

28 Weekly Nonstop Frequencies between Bar Harbor, ME. and the Boston Logan International Airport


The anticipated service pattern would operate on a nonstop basis with two roundtrips in the market each weekday. Two roundtrips would operate each Saturday and each Sunday in the market as well.. A total annual subsidy of $994,064 would be required.


Bar Harbor Boston 1026 am 1128 am ERJ X7 0 Bar Harbor Boston 511 pm 613 pm ERJ X6 0

Boston Bar Harbor 900 am 956 am ERJ X7 0 Boston Bar Harbor 345 pm 441 pm ERJ X6 0



.)






Bar Harbor, Maine Option 3B


Hub Served Boston


Non-Stop








Revenue Projections



Average Fare 83.16$



Expense Projections


O wnership $0



Fuel $485,505

Marketing $7,500


Projected Profit / (Loss) (910,504)$


Annual Subsidy Required $994,064





Service Options 4

28 Weekly Nonstop Frequencies between Bar Harbor, ME and the Boston Logan International Airport June through August ONLY


The anticipated service pattern would operate on a nonstop basis with two roundtrips in the market each weekday. Additionally two roundtrips would operate each Saturday and each Sunday in the market. A total annual subsidy of $1,158,509 would be required.


Bar Harbor Boston 700 am 802 am ERJ X7 0 Bar Harbor Boston 200 pm 302 pm ERJ X6 0

Boston Bar Harbor 1000 am 1056 am ERJ X7 0 Boston Bar Harbor 500 pm 556 pm ERJ X6 0



.)

About Our Proposals: Seasonal Service to Bar Harbor, ME. (Dedicated Acft) Non-Contingent Bid


About Our Proposals: Seasonal Service to Bar Harbor, ME. (Dedicated Acft) Non-Contingent Bid



Bar Harbor, Maine Option 4


Hub Served Boston


Non-Stop








Revenue Projections



Average Fare 83.16$



Expense Projections


O wnership $151,500



Fuel $485,505

Marketing $7,500







www.mySkyValue.com

In conclusion, SkyValue Airways believes that these proposals will provide the communities of Bar Harbor and Presque Isle, Maine, along with Plattsburgh, New York superior air service options. We feel the passengers will benefit from reliable service to the Boston hub. With a renewed focus on price, schedule connectivity and reliability, SkyValue intends to grow these markets. SkyValue has proven itself as a dependable Air Service provider and brings a commitment to work with these communities to address their travel needs.

Respectfully Submitted: January 3, 2018______________________Mickey BowmanSenior Vice President & COOAerodynamics, Inc.

About Our Proposal: Conclusion

Equals a bright future for regional air service in Bar Harbor; Presque Isle; and Plattsburgh!

30

www.mySkyValue.com

AERODYNAMICS INC.dba SkyValue Airways404.410.7612

[email protected]

Corporate114 TownPark Drive NWSuite 500Kennesaw, GA 30144

31

Documents

Aerodynamics Inc. dba SkyValue Airways Proposal to Provide ... 2018 EAS BID for BHB... · 3 Aerodynamics Inc. (ADI) dba SkyValue Airways (SkyValue) proposes to operate these flights