aerodynamics inc. proposal to provide to the communities …airlineinfo.com/ostpdf98/277.pdf ·...
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www.flyadi.com
Aerodynamics Inc.
Proposal to Provide
Essential Air Service
to the Communities
Of Fort Dodge and
Mason City, Iowa
2
BEFORE THEDEPARTMENT OF TRANSPORTATIONWASHINGTON, D.C.________________________________________________
)Essential Air Service at )
)FORT DODGE, IOWA ) DOCKET DOT-OST- 2001-10682MASON CITY, IOWA ) DOCKET DOT-OST- 2001-10684
)Under 49 U.S.C. §41731 et seq. )________________________________________________)
AERODYNAMICS, INC. PROPOSAL TO PROVIDE SUBSIDIZED AIR SERVICEAT FORT DODGE AND MASON CITY, IOWA
Correspondence with regard to this document should be addressed to:
Mickey BowmanSenior Vice President & COOAerodynamics, Inc.114 TownPark Drive NW, Suite 500Kennesaw, GA 30144Telephone: 678-872-2737Fax: 404-410-7604E-Mail: [email protected]
Aerodynamics, Inc. (ADI) cordially submits its proposal to provide subsidized air service to the communities of Fort Dodge and Mason City, Iowa. ADI hereby offers five, two year, options for service:Service Option 1 - Service to Ft. Dodge and Mason City (2 NS RTs Each). Total Subsidy Requirement for both cities - $7,080,587Service Option 2 –Service to Ft. Dodge and Mason City (2 RTs Each). Total Subsidy Requirement for both cities- -$6,628,958Service Option 3 - Service to Ft. Dodge and Mason City (3 RTs round robin). Total Subsidy Requirement for both cities - $7,410,231Service Option 4 – Service to Ft. Dodge ONLY (2 NS RTs Each). Total Subsidy Requirement for single city - $4,537,286Service Option 5 - Service to Mason City ONLY (2 NS RTs Each). Total Subsidy Requirement for single city - $4,330,060
3
ADI proposes to provide service from Ft. Dodge and Mason City to one of the nation’s busiest airports, Minneapolis St Paul International Airport. MSP offers nearly 590 scheduled daily flights to and from over 155 cities worldwide. ADI will schedule its flights to allow multiple connecting opportunities to a variety of carriers at Minneapolis.
ADI plans to partner with another established regional carrier in a relationship whereby ADI will be able to take advantage of the interline ticketing and baggage agreements as well as Global Distribution System display, said airline already has in place. ADI contends that reasonable local fares and reliable scheduled operations will stimulate demand, along with the variety of destinations available from Minneapolis will allow these markets to grow. Toward that end ADI will establish a reasonable and affordable fare structure between these cities and Minneapolis. Additionally, ADI will endeavor to establish codeshare relationships with the major air carriers at MSP, but through its regional carrier affiliation, will still have its own reservations platform that will allow ADI flights to be sold via all major global distribution systems. Through that same affiliation, ADI will offer a web based booking site as well as a reservation call center for passenger use.
In compliance with Public Law 100-223, ADI 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 these airports will be schedule reliability. With the relatively low utilization of these aircraft, ADI will have great flexibility in responding to any operational challenges and can assure these communities receive the level of operational performance they deserve.
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Aerodynamics Incorporated, 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, ADI has served the industry for 57
years without incident or accident. ADI was established in 1959 and received its FAR 121 Airline certification in 2003. On January 28, 2016 ADI
received its certification for Scheduled Domestic Operations. Additionally ADI has full TSA approval and is IS-BAO Stage II, certified.
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About Our Company: ADI 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
.
ADI 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 57 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.
• 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.
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About Our Company: ADI Proven Airline Success
Customers Served:
6
OPERATIONS METRICS
Report Date Range: 8/15/2016 - 8/31/2016
DENVER SYSTEM ALL SEGMENTS
OPERATIONS METRICS
Report Date Range: 9/1/2016 - 9/30/2016
DENVER SYSTEM ALL SEGMENTSDaily service linking Pierre and Watertown, SD with Denver, CO
About Our Company: the ADI Advantage
Proven EAS Performance
Daily service linking Pierre and Watertown, SD with Denver, CO
OPERATIONS METRICS
Report Date Range: 10/1/2016 - 10/17/2016
DENVER SYSTEM ALL SEGMENTSDaily service linking Pierre and Watertown, SD with Denver, CO
Scheduled Departures 120 Completed Departures 120 Completion Factor- 100%On Time Departures :00 82% On time Departures :05 88% On Time Arrivals :15 90%Total ONB Psgrs 1,706 RPMS 546,624 ASMS 1,626,000 Load Factor 34%
Scheduled Departures 208 Completed Departures 208 Completion Factor- 100%On Time Departures :00 91% On time Departures :05 92% On Time Arrivals :15 93%Total ONB Psgrs 3,929 RPMS 1,258,780 ASMS 2,818,400 Load Factor 45%
Scheduled Departures 112 Completed Departures 112 Completion Factor- 100%On Time Departures :00 82% On time Departures :05 84% On Time Arrivals :15 85%Total ONB Psgrs 2,478 RPMS 811,432 ASMS 1,517,600 Load Factor 53%
ADI Certifications
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FAA Part 121 Certificated Air Carrier
Most operators tend to advertise “Safety First” or “Just Safety Culture” however, at ADI 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 57 years
• In-house TSA security program
Safety Certifications
• ADI participates in mandatory and volunteer safety audits to exceed strict guidelines authorized by numerous groups.
Operational Positions
• Chief Executive Officer and President – Darrell Richardson
• Senior Vice President and COO – Mickey Bowman
• Director of Operations – Larry Hecht
• Chief Pilot – Michael Prinzi
• Director of Maintenance – Matthew Moreau
• Chief Inspector – Robert Anderson
• Director of Safety – Armando Cardenas
• Director of Inflight Services – Brenda Valenti
• Manager of Flight Following – Fernando Pineda
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About Our Company: A Commitment To Safety
GDS Distribution & Reservation SystemADI intends to market these flights via a reservations and hosting agreement with another established regional carrier. 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).
Interline AgreementsOperating through this reservations hosting agreement, passenger amenities will include interline ticketing and baggage check-in to the customers final destination. The most important feature of this relationship for these communities is that it will allow ADI to participate in bilateral interline e-ticketing and baggage agreements with other airlines. The regional carrier that ADI is partnering with has existing interline agreements.
Marketing & Community RelationsADI’s proposal to provide EAS includes a commitment to spend a
minimum of $12,000 annually on advertising and promotional activities
in each community. Advertising activities will focus on radio, print,
outdoor and social media across the reasonable catchment area of the
Airport. Promotions with free ticket rewards have been very popular in
similar communities.
Advertising will be supported by sales 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.
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Airline Services
About Our Company: the ADI Advantage
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Airline Services
About Our Company: the ADI Advantage
Pricing & Fares
To introduce ADI’s service in this community introductory fare of $50 each way to Minneapolis (inclusive of all
taxes and fees) would be offered during the first 30-days of service. Thereafter, and as the basis for the requested
level of subsidy, an average fare of $75 each way is projected. Consistent with ADI’s marketing plan, a range of
fares would be offered.
Potential Fares To Be Marketed by Aerodynamics, Inc.
Introductory Fare for first month of service: $50 One Way
Non-refundable walk up fare on at least 50% of available seats: $75 One Way
Standard, fully refundable, walk up fare with last seat availability: $99 One Way
ADI’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 shorter distances at greater speeds. The ERJ 145 has an 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.
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About Our Aircraft: The ADI Fleet
Performance & Specifications
Maximum Range: 1,017 nm
(with Reserves)
Normal Cruise Speed: 590 mph
Cabin Height: 6 ft
Cabin Width: 6 ft 11 in
Usable Baggage: 2600 lbs.
Comfort
• Flight Attendant
• 31” Seat Pitch
• Rear Cabin Lavatory
• Beverage Service
• Forward Cabin Galley
• 34 Large Windows
• Overhead Storage Bins
About Our Aircraft: the Embraer ERJ 145
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13www.flyadi.com
About Our Proposal: The Minneapolis Hub
ADI proposes to operate flights, under its independent identity to the major hub airport of Minneapolis St. Paul International. MSP is the nation’s 16th busiest with nearly 590 daily scheduled operations to and from over 155 cities worldwide. ADI operations at MSP will be in Terminal 1.
In 2015 MSP hosted some 36.583 million passengers
14www.flyadi.com
About Our Proposal: The Minneapolis Hub2015 Top 30 Domestic Airports (Ranked by Passenger Enplanements)
1 Hartsfield–Jackson Atlanta International Airport ATL Atlanta GA 49,340,732 2 Los Angeles International Airport LAX Los Angeles CA 36,351,2263 O'Hare International Airport ORD Chicago IL 36,305,6684 Dallas/Fort Worth International Airport DFW Dallas/Fort Worth TX 31,589,832 5 John F. Kennedy International Airport JFK New York NY 27,717,5036 Denver International Airport DEN Denver CO 26,280,043 7 San Francisco International Airport SFO San Francisco CA 24,190,549 8 Charlotte Douglas International Airport CLT Charlotte NC 21,913,156 9 McCarran International Airport LAS Las Vegas NV 21,824,23110 Phoenix Sky Harbor International Airport PHX Phoenix AZ 21,351,44511 Miami International Airport MIA Miami FL 20,986,34112 George Bush Intercontinental Airport IAH Houston TX 20,595,87413 Seattle–Tacoma International Airport SEA Seattle/Tacoma WA 20,148,980 14 Orlando International Airport MCO Orlando FL 18,759,938 15 Newark Liberty International Airport EWR Newark/New York NJ 18,684,765 16 Minneapolis–Saint Paul International Airport MSP Minneapolis/St. Paul MN 17,634,252 17 Logan International Airport BOS Boston MA 16,290,323 18 Detroit Metropolitan Airport DTW Detroit MI 16,255,507 19 Philadelphia International Airport PHL Philadelphia PA 15,101,31820 LaGuardia Airport LGA New York NY 14,319,92421 Fort Lauderdale–Hollywood International Airport FLL Fort Lauderdale FL 13,061,60722 Baltimore–Washington International Airport BWI Baltimore/Washington, D.C. MD 11,738,82823 Ronald Reagan Washington National Airport DCA Washington, D.C. VA 11,242,37524 Midway International Airport MDW Chicago IL 10,830,78325 Salt Lake City International Airport SLC Salt Lake City UT 10,634,51926 Washington Dulles International Airport IAD Washington, D.C. VA 10,363,918 27 San Diego International Airport SAN San Diego CA 9,985,73928 Honolulu International Airport HNL Honolulu HI 9,479,08329 Tampa International Airport TPA Tampa FL 9,150,414 30 Portland International Airport PDX Portland OR 8,340,234
15www.flyadi.com
About Our Proposal: The Minneapolis Hub
16www.flyadi.com
About Our Proposal: The Minneapolis Hub
17www.flyadi.com
Proposal : Service to Ft. Dodge and Mason City, Iowa
AERODYNAMICS, INC. Service Proposals:
Service Option 1 This Bid Contingent on Selection of ADI for Service at BOTH Airports24 Weekly Frequencies Ft. Dodge – Minneapolis / 24 Weekly Frequencies Mason City – Minneapolis (24 Non Stop ) (24 Non Stop) Aerodynamics, Inc. proposes to operate these flights under a relationship with an established regional carrier. The timing of these flights
would be optimized for connections to and from legacy and low cost carriers in Minneapolis. ADI proposes to encourage connecting traffic by using a simplified “add on” fee structure, an average fare of $75 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 ADI segment into Minneapolis.
The anticipated service pattern would feature two non-stop flights each weekday, for each city, on a single aircraft. Weekend service would consist of a single non-stop roundtrip on Saturday and a single non-stop roundtrip on Sunday for each city. Total Subsidy Requirement- $7,080,587.
FROM TO DEP ARR EQP FREQ STOPS Ft. Dodge Minneapolis 1050am 1141am ERJ X7 0 Ft. Dodge Minneapolis 1255pm 146pm ERJ 6 Only 0Ft. Dodge Minneapolis 450pm 541pm ERJ X6 0
Minneapolis Ft. Dodge 930am 1025am ERJ X67 0Minneapolis Ft. Dodge 1130am 1225pm ERJ 6 Only 0Minneapolis Ft. Dodge 330pm 425pm ERJ X6 0
FROM TO DEP ARR EQP FREQ STOPS Mason City Minneapolis 715am 756am ERJ X67 0 Mason City Minneapolis 915am 956am ERJ 6 Only 0Mason City Minneapolis 100pm 143pm ERJ 7 Only 0Mason City Minneapolis 125pm 208pm ERJ X67 0
Minneapolis Mason City 1212pm 100pm ERJ X67 0Minneapolis Mason City 340pm 428pm ERJ 6 Only 0Minneapolis Mason City 612pm 700pm ERJ X6 0
(Note: These schedules are for illustration and may not represent the final selling
product pending consultations with the community with its scheduling preferences.)
18www.flyadi.com
About Our Proposal: Service Option 1: FOD & MCWAerodynamics Inc
Essential Air Service Proposal To Provide Service at:
Mason City, Iowa
Option 1
Mason City
Hub Served Minneapolis
Number of Roundtrips per Service Day 2
Non-Stop
O perating Statistics (12rt/week)
Assumed Completion % 98%
Annual Adjusted Block Hours 931.19
Annual Adjusted Departures 1,228
Annual Adjusted ASMs 7,306,243
Annual RPMs 1,993,250
Projected Load Factor 27.3%
Revenue Projections
Enplaned Passengers 16,750
Mileage (Average as O perated) 119
Average Fare 60.84$
Passenger Revenue 1,019,023$
Miscellaneous Revenue 25,476$
Expense Projections
Flight O perations $398,483
O wnership $301,825
Maintenance $553,052
Reservations, Stations & Administration $1,587,438
Fuel $1,291,504
Setup, Training & Advertising $31,000
Total Annual Expenses $4,163,302
Projected Profit / (Loss) (3,118,803)$
Profit Element $208,165
Annual Subsidy Required $3,326,968
Aerodynamics Inc
Essential Air Service Proposal To Provide Service at:
Fort Dodge, Iowa
Option 1
Ft. Ddoge
Hub Served Minneapolis
Number of Roundtrips per Service Day 2
Non-Stop
O perating Statistics (12rt/week)
Assumed Completion % 98%
Annual Adjusted Block Hours 1,084.68
Annual Adjusted Departures 1,228
Annual Adjusted ASMs 10,314,696
Annual RPMs 3,171,000
Projected Load Factor 30.7%
Revenue Projections
Enplaned Passengers 18,875
Mileage (Average as O perated) 168
Average Fare 60.84$
Passenger Revenue 1,148,302$
Miscellaneous Revenue 28,708$
Expense Projections
Flight O perations $464,167
O wnership $301,825
Maintenance $765,764
Reservations, Stations & Administration $1,657,386
Fuel $1,475,695
Setup, Training & Advertising $31,000
Total Annual Expenses $4,695,837
Projected Profit / (Loss) (3,518,827)$
Profit Element $234,792
Annual Subsidy Required $3,753,619
19www.flyadi.com
Proposal: Service to Ft. Dodge and Mason City, Iowa
AERODYNAMICS, INC. Service Proposals:
Service Option 2 This Bid Contingent on Selection of ADI for Service at BOTH Airports 24 Weekly Frequencies Ft. Dodge – Minneapolis / 24 Weekly Frequencies Mason City - Minneapolis(14 Non Stop, 10 One Stop) (24 Non Stop)
Aerodynamics, Inc. proposes to operate these flights under a relationship with an established regional carrier. The timing of these flights would be optimized for connections to and from legacy and low cost carriers in Minneapolis. ADI proposes to encourage connecting traffic by using a simplified “add on” fee structure, an average fare of $75 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 ADI segment into Minneapolis.
The anticipated service pattern would feature two round trip flights each weekday for each city, on a single aircraft. Weekend service would consist of a single roundtrip on Saturday and a single roundtrip on Sunday. Total Subsidy Requirement - $6,628,958.
FROM TO DEP ARR EQP FREQ STOPS Ft. Dodge Minneapolis 630am 803am ERJ X67 1Ft. Dodge Minneapolis 700am 751am ERJ 6 Only 0Ft. Dodge Minneapolis 1105am 1156am ERJ X6 0
Minneapolis Ft. Dodge 930am 1025am ERJ X67 0Minneapolis Ft. Dodge 130pm 225pm ERJ 6 Only 0Minneapolis Ft. Dodge 540pm 715pm ERJ X67 1Minneapolis Ft. Dodge 600pm 655pm ERJ 7 Only 0
FROM TO DEP ARR EQP FREQ STOPS Mason City Minneapolis 720am 803am ERJ X67 0 Mason City Minneapolis 1100am 1143am ERJ 6 Only 0 Mason City Minneapolis 315pm 358pm ERJ X6 0
Minneapolis Mason City 930am 1018am ERJ 6 Only 0Minneapolis Mason City 200pm 248pm ERJ X6 0Minneapolis Mason City 540pm 628pm ERJ X67 0
(Note: These schedules are for illustration and may not represent the final selling
product pending consultations with the community with its scheduling preferences.)
20www.flyadi.com
About Our Proposal: Service Option 2 FOD & MCWAerodynamics Inc
Essential Air Service Proposal To Provide Service at:
Fort Dodge, Iowa
Option 2
Ft. Ddoge
Hub Served Minneapolis
Number of Roundtrips per Service Day 2
14 Non-Stop legs, 10 O ne Stop legs
O perating Statistics (12rt/week)
Assumed Completion % 98%
Annual Adjusted Block Hours 845.95
Annual Adjusted Departures 1,228
Annual Adjusted ASMs 7,577,850
Annual RPMs 2,710,680
Projected Load Factor 35.8%
Revenue Projections
Enplaned Passengers 16,135
Mileage (Average as O perated) 123
Average Fare 60.84$
Passenger Revenue 981,608$
Miscellaneous Revenue 24,540$
Expense Projections
Flight O perations $410,638
O wnership $287,349
Maintenance $634,341
Reservations, Stations & Administration $1,379,067
Fuel $1,272,576
Setup, Training & Advertising $31,000
Total Annual Expenses $4,014,970
Projected Profit / (Loss) (3,008,821)$
Profit Element $200,748
Annual Subsidy Required $3,209,507
Aerodynamics Inc
Essential Air Service Proposal To Provide Service at:
Mason City, Iowa
Option 2
Mason City
Hub Served Minneapolis
Number of Roundtrips per Service Day 2
Non-Stop
O perating Statistics (12rt/week)
Assumed Completion % 98%
Annual Adjusted Block Hours 931.19
Annual Adjusted Departures 1,228
Annual Adjusted ASMs 7,306,243
Annual RPMs 2,046,800
Projected Load Factor 28.0%
Revenue Projections
Enplaned Passengers 17,200
Mileage (Average as O perated) 119
Average Fare 60.84$
Passenger Revenue 1,046,400$
Miscellaneous Revenue 26,160$
Expense Projections
Flight O perations $452,012
O wnership $316,301
Maintenance $584,367
Reservations, Stations & Administration $1,602,921
Fuel $1,291,504
Setup, Training & Advertising $31,000
Total Annual Expenses $4,278,105
Projected Profit / (Loss) (3,205,545)$
Profit Element $213,905
Annual Subsidy Required $3,419,451
21www.flyadi.com
Proposal: Service to Ft. Dodge and Mason City, Iowa
AERODYNAMICS, INC. Service Proposals:
Service Option 3 This Bid Contingent on Selection of ADI for Service at BOTH Airports 36 Weekly Frequencies Ft. Dodge – Minneapolis / 36 Weekly Frequencies Mason City - Minneapolis(11 Non Stop, 25 One Stop) (25 Non Stop, 11 One Stop)
Aerodynamics, Inc. proposes to operate these flights under a relationship with an established regional carrier. The timing of these flights would be optimized for connections to and from legacy and low cost carriers in Minneapolis. ADI proposes to encourage connecting traffic by using a simplified “add on” fee structure, an average fare of $75 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 ADI segment into Minneapolis.
The anticipated service pattern would feature three round robin flights each weekday for each city, on a single aircraft. Weekend service would consist of a single roundtrip on Saturday and a two roundtrips on Sunday. Total Subsidy Requirement - $7,410,231.
FROM TO DEP ARR EQP FREQ STOPS Ft. Dodge Minneapolis 630am 758am ERJ X7 1Ft. Dodge Minneapolis 1030am 1156am ERJ 7 Only 1Ft. Dodge Minneapolis 1130am 1221pm ERJ X67 0 Ft. Dodge Minneapolis 250pm 418pm ERJ X6 1
Minneapolis Ft. Dodge 930am 1105am ERJ X7 1Minneapolis Ft. Dodge 130pm 225pm ERJ X6 0Minneapolis Ft. Dodge 540pm 715pm ERJ X6 1
FROM TO DEP ARR EQP FREQ STOPS Mason City Minneapolis 715am 758am ERJ X7 0 Mason City Minneapolis 1040am 1221pm ERJ X67 1 Mason City Minneapolis 1115am 1156am ERJ 7 Only 0Mason City Minneapolis 335pm 418pm ERJ X6 0
Minneapolis Mason City 930am 1018am ERJ X7 0Minneapolis Mason City 130pm 315pm ERJ X6 1Minneapolis Mason City 540pm 628pm ERJ X6 0
(Note: These schedules are for illustration and may not represent the final selling
product pending consultations with the community with its scheduling preferences.)
22www.flyadi.com
About Our Proposal: Service Option 3 FOD & MCWAerodynamics Inc
Essential Air Service Proposal To Provide Service at:
Fort Dodge, Iowa
Option 3
Ft. Ddoge
Hub Served Minneapolis
Number of Roundtrips per Service Day 3
11 Non-Stop legs, 25 O ne Stop legs
O perating Statistics (18rt/week)
Assumed Completion % 98%
Annual Adjusted Block Hours 920.99
Annual Adjusted Departures 1,561
Annual Adjusted ASMs 7,772,953
Annual RPMs 2,940,000
Projected Load Factor 37.8%
Revenue Projections
Enplaned Passengers 17,500
Mileage (Average as O perated) 100
Average Fare 60.84$
Passenger Revenue 1,064,651$
Miscellaneous Revenue 26,616$
Expense Projections
Flight O perations $393,735
O wnership $275,521
Maintenance $654,113
Reservations, Stations & Administration $1,517,048
Fuel $1,479,641
Setup, Training & Advertising $31,000
Total Annual Expenses $4,351,058
Projected Profit / (Loss) (3,259,790)$
Profit Element $217,553
Annual Subsidy Required $3,477,294
Aerodynamics Inc
Essential Air Service Proposal To Provide Service at:
Mason City, Iowa
Option 3
Mason City
Hub Served Minneapolis
Number of Roundtrips per Service Day 3
25 Non-Stop Legs, 11 O ne Stop Legs
O perating Statistics (18rt/week)
Assumed Completion % 98%
Annual Adjusted Block Hours 1,087.48
Annual Adjusted Departures 1,561
Annual Adjusted ASMs 858,471
Annual RPMs 2,356,200
Projected Load Factor 31.0%
Revenue Projections
Enplaned Passengers 19,800
Mileage (Average as O perated) 119
Average Fare 60.84$
Passenger Revenue 1,204,577$
Miscellaneous Revenue 30,114$
Expense Projections
Flight O perations $468,915
O wnership $328,129
Maintenance $664,163
Reservations, Stations & Administration $1,706,158
Fuel $1,572,114
Setup, Training & Advertising $31,000
Total Annual Expenses $4,770,480
Projected Profit / (Loss) (3,535,789)$
Profit Element $246,078
Annual Subsidy Required $3,932,936
23www.flyadi.com
Proposal: Service to Ft. Dodge, Iowa Only
AERODYNAMICS, INC. Service Proposals:
Service Option 4 This Bid Contingent on Selection of ADI for Service at Ft. Dodge, IA ONLY24 Weekly Frequencies Ft. Dodge - Minneapolis(24 Non Stop)
Aerodynamics, Inc. proposes to operate these flights under a relationship with an established regional carrier. The timing of these flights would be optimized for connections to and from legacy and low cost carriers in Minneapolis. ADI proposes to encourage connecting traffic by using a simplified “add on” fee structure, an average fare of $75 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 ADI segment into Minneapolis.
The anticipated service pattern would feature two non-stop flights each weekday on a single aircraft. Weekend service would consist of a single non-stop roundtrip on Saturday and a single non-stop roundtrip on Sunday. Total Subsidy Requirement - $4,537,286.
FROM TO DEP ARR EQP FREQ STOPS Ft. Dodge Minneapolis 700am 751am ERJ X7 0 Ft. Dodge Minneapolis 324pm 415pm ERJ X6 0Minneapolis Ft. Dodge 930am 1025am ERJ X7 0Minneapolis Ft. Dodge 600pm 655pm ERJ X6 0
(Note: These schedules are for illustration and may not represent the final selling
product pending consultations with the community with its scheduling preferences.)
24www.flyadi.com
About Our Proposal: Service Option 4 Ft. Dodge OnlyAerodynamics Inc
Essential Air Service Proposal To Provide Service at:
Fort Dodge, Iowa
Option 4
Ft. Ddoge
Hub Served Minneapolis
Number of Roundtrips per Service Day 2
Non-Stop
O perating Statistics (12rt/week)
Assumed Completion % 98%
Annual Adjusted Block Hours 1,084.68
Annual Adjusted Departures 1,228
Annual Adjusted ASMs 10,314,696
Annual RPMs 3,830,400
Projected Load Factor 37.1%
Revenue Projections
Enplaned Passengers 22,800
Mileage (Average as O perated) 168
Average Fare 60.84$
Passenger Revenue 1,387,088$
Miscellaneous Revenue 34,677$
Expense Projections
Flight O perations $862,650
O wnership $603,650
Maintenance $890,998
Reservations, Stations & Administration $1,797,294
Fuel $1,475,695
Setup, Training & Advertising $45,000
Total Annual Expenses $5,675,287
Projected Profit / (Loss) (4,253,522)$
Profit Element $283,764
Annual Subsidy Required $4,537,286
25www.flyadi.com
Proposal: Service to Mason City, Iowa Only
AERODYNAMICS, INC. Service Proposals:
Service Option 5 This Bid Contingent on Selection of ADI for Service at Mason City, IA ONLY24 Weekly Frequencies Mason City - Minneapolis(24 Non Stop)
Aerodynamics, Inc. proposes to operate these flights under a relationship with an established regional carrier. The timing of these flights would be optimized for connections to and from legacy and low cost carriers in Minneapolis. ADI proposes to encourage connecting traffic by using a simplified “add on” fee structure, an average fare of $75 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 ADI segment into Minneapolis.
The anticipated service pattern would feature two non-stop flights each weekday on a single aircraft. Weekend service would consist of a single non-stop roundtrip on Saturday and a single non-stop roundtrip on Sunday. Total Subsidy Requirement - $4,330,060.
FROM TO DEP ARR EQP FREQ STOPS Mason City Minneapolis 715am 756am ERJ X7 0 Mason City Minneapolis 415pm 456pm ERJ X6 0
Minneapolis Mason City 930am 1018am ERJ X7 0Minneapolis Mason City 600pm 718pm ERJ X6 0
(Note: These schedules are for illustration and may not represent the final selling
product pending consultations with the community with its scheduling preferences.)
26www.flyadi.com
About Our Proposal: Service Option 5 Mason City OnlyAerodynamics Inc
Essential Air Service Proposal To Provide Service at:
Mason City, Iowa
Option 5
Mason City
Hub Served Minneapolis
Number of Roundtrips per Service Day 2
Non-Stop
O perating Statistics (12rt/week)
Assumed Completion % 98%
Annual Adjusted Block Hours 931.19
Annual Adjusted Departures 1,228
Annual Adjusted ASMs 7,306,243
Annual RPMs 2,591,225
Projected Load Factor 35.5%
Revenue Projections
Enplaned Passengers 21,775
Mileage (Average as O perated) 119
Average Fare 60.84$
Passenger Revenue 1,324,730$
Miscellaneous Revenue 33,118$
Expense Projections
Flight O perations $862,650
O wnership $603,650
Maintenance $855,387
Reservations, Stations & Administration $1,758,865
Fuel $1,291,504
Setup, Training & Advertising $45,000
Total Annual Expenses $5,417,056
Projected Profit / (Loss) (4,059,207)$
Profit Element $270,853
Annual Subsidy Required $4,330,060
Subsidy per Departure $3,526.28
Subsidy per Passenger $198.85
www.flyadi.com
In conclusion, Aerodynamics, Inc. believes that this proposal will provide the communities of Ft. Dodge and Mason City, Iowa with superior air service options. We feel the passengers will benefit from service to Minneapolis. With a renewed focus on price, schedule connectivity and reliability, ADI intends to grow these markets. ADI has proven itself as a dependable Air Service provider and brings a commitment to work with these communities to address their travel needs. Integrity of service has been a hallmark of the ADI Charter operation and we look forward to extending our reach into the Scheduled service arena.
Respectfully Submitted: October 19, 2016__________________________________Mickey BowmanSenior Vice President & COOAerodynamics, Inc.
About Our Proposal: Conclusion
Equals a bright future for regional air service in Ft. Dodge and Mason City!