October 1, 2014

Kevin Schlemmer

Office of Aviation Analysis

US Department of Transportation

1200 New Jersey Ave SE

Washington, D.C. 20590

SkyWest Airlines’ Essential Air Service Proposal for International Falls and Brainerd,

MN; Rhinelander, WI; and Iron Mountain, MI

Dear Mr. Schlemmer:

Attached is SkyWest Airlines’ proposal to provide air service from International Falls,

Brainerd, Rhinelander and Iron Mountain to Minneapolis-St. Paul International Airport.

Please be aware that this proposal is being offered as an inseparable package.

SkyWest welcomes the opportunity to continue serving the communities under the

Essential Air Service program. Our combination of safe and reliable aircraft, well-timed

schedules, and access to one of the world’s largest airline networks provides passengers

with quality air service and will continue driving economic growth in the region.

Delta Air Lines’ Network

One of the most beneficial aspects of this proposal is the connectivity it provides the

region’s passengers. They will continue to enjoy access to Delta Air Lines’ global

network, including thousands of daily flights to 330 destinations in 65 countries. The

airline is also a founding member of the SkyTeam global alliance and participates in the

industry’s leading trans-Atlantic joint venture with Air France-KLM and Alitalia –

making it easy to connect on to more than 15,000 daily flights. This connectivity makes it

simple for passengers to plan their travel and is a key factor in the area’s continued

economic development.

Frequency and Schedule

As directed by the RFP, we will offer a minimum of 12-14 round-trip flights per week,

depending on the market. All flights have been timed to ensure they offer passengers

valuable flight schedules that arrive and depart on bank. This means that they have been

optimized for maximum connection opportunities in Minneapolis, making the service

convenient for both business and leisure travelers.

Only minor changes are being proposed to the existing service patterns: Brainerd service

will no longer be linked to any other market and overnight flights from International Falls

will now stop in Hibbing. These changes will take effect in January.

With more than 750 Delta or Delta Connection departures per day, Minneapolis-St. Paul

International Airport makes it easy to get to destinations around the world. In addition to

being a major hub, Minneapolis is also a top destination for the community.

Superior Aircraft

Service will be provided using the Canadair Regional Jet 200 (CRJ200) 50-seat aircraft.

SkyWest has been named the most reliable CRJ200 operator in North America five times

since 2007 and is one of the largest domestic operators of this reliable, comfortable

aircraft type.

All SkyWest CRJ200 aircraft are serviced by a highly-trained flight attendant, further

adding to the comfort and convenience of each passenger’s flying experience. Additional

details and specifications can be found in the CRJ fact sheet attached to this document.

Summary

SkyWest believes this proposal provides the best overall option for air service in these

communities. Given the connectivity at Minneapolis-St. Paul International Airport, the

well-timed schedules and reliable equipment, we expect to see continued growth in the

number of passengers utilizing the service. We will also work with communities and

airport partners to market the service.

SkyWest is excited about the opportunity to provide reliable air service to International

Falls and Brainerd, MN; Rhinelander, WI; and Iron Mountain, MI.

Thank you for your consideration.

Sincerely,

Michael Thompson

Chief Operating Officer

SkyWest Airlines

SkyWest AirlinesEssential Air Service Bid10/1/2014

RHI IMT IMT IMT INL INL INL BRDMSP RHI-MSP MSP HIB-MSP MSP MSP TOTALS

Number of round-trips per week 14 7 6 13 5 7 12 12 51

Aircraft type CRJ200 CRJ200 CRJ200 CRJ200 CRJ200 CRJ200 CRJ200 CRJ200

Passenger RevenuePassengers 35,000 17,000 24,000 26,000 102,000 Average fare 90.00$ 85.00$ 95.00$ 85.00$

Revenue 3,150,000$ 1,445,000$ 2,280,000$ 2,210,000$ 9,085,000$

Block TimeTrip block time (minutes) 59 41 67 49 67 50 Total scheduled block time 1,432 497 697 1,194 425 813 1,238 1,040 Total completed block time 98% 1,403 488 683 1,170 416 797 1,213 1,019 4,806

RPMSPassengers 35,000 8,500 8,500 17,000 12,000 12,000 24,000 26,000 102,000 Stage length 190 60 256 85 254 114

6,650,000 510,000 2,176,000 2,686,000 1,020,000 3,048,000 4,068,000 2,964,000 16,368,000

ASMsScheduled departures 1,456 728 624 1,352 520 728 1,248 1,248 5,304 Competed departures 98% 1,427 713 612 1,325 510 713 1,223 1,223 5,198 Stage length 190 60 256 85 254 114 Available Seats 50 50 50 50 50 50

13,832,000 2,184,000 7,987,200 10,171,200 2,210,000 9,245,600 11,455,600 7,113,600 42,572,400

Revenue 3,150,000$ 1,445,000$ 2,280,000$ 2,210,000$ 9,085,000$

Direct operating expenses 3,788,366$ 1,316,297$ 1,843,733$ 3,160,030$ 1,123,668$ 2,151,022$ 3,274,690$ 2,751,840$ 12,974,926$ RPM related 22,677$ 1,739$ 7,420$ 9,159$ 3,478$ 10,394$ 13,872$ 10,107$ 55,815$ Departure related 1,013,270$ 506,635$ 434,259$ 940,894$ 361,882$ 506,635$ 868,517$ 868,517$ 3,691,199$ ASM related 128,914$ 20,355$ 74,441$ 94,796$ 20,597$ 86,169$ 106,766$ 66,299$ 396,775$

Total expenses 4,953,227$ 1,845,026$ 2,359,852$ 4,204,878$ 1,509,626$ 2,754,219$ 4,263,845$ 3,696,763$ 17,118,714$

Operating income (loss) (1,803,227)$ (2,759,878)$ (1,983,845)$ (1,486,763)$ (8,033,714)$

5% profit margin 247,661$ 210,244$ 213,192$ 184,838$ 855,936$

Annual subsidy requirement 2,050,889$ 2,970,122$ 2,197,037$ 1,671,602$ 8,889,650$

SkyWest effective rates per unitCost per trip 3,471$ 2,586$ 3,859$ 3,174$ 2,962$ 3,860$ 3,486$ 3,023$ Cost per passenger 142$ 217$ 278$ 247$ 126$ 230$ 178$ 142$

Effective Subsidy rate per unitSubsidy per trip 1,437$ 2,242$ 1,796$ 1,367$ Subsidy per passenger 59$ 175$ 92$ 64$

Load factor 48% 26% 36% 42%

Eastern

11:00

Central

10:00

Atlantic

NOON

Paci�c

8:00

Mountain

9:00

Current Route MapRoute Map

SkyWest Airlines Route Map | October 2014(Updated monthly, may not re�ect recent service updates)

United Turboprop

US Airways Regional JetAmerican Regional Jet

Alaska Regional Jet

United Regional Jet

Time Zones

Delta TurbopropDelta Regional Jet

Queretaro

Calgary

VancouverRegina

Tulsa

Orange County

Sacramento

San Jose

South Bend

San Antonio

Rock Springs

Redmond/Bend Rapid City

Pasco/Richland/Kennewick

ChicagoOmaha

Oklahoma City

Minneapolis/St. Paul

Missoula

MadisonMilwaukeeMedford

Kansas City

Las Vegas

Idaho Falls

Houston

Helena

Great Falls

Gillette

Kalispell

Fresno

Fargo

Eugene

Detroit

Duluth

Dallas

DenverColorado Springs

Bozeman

Boise

Edmonton

Tucson

Salt Lake City

Seattle/Tacoma

Santa Barbara

San Diego

Portland

Omaha

Ontario

Long Beach

Fresno

Colorado Springs

Burbank

Boise

Montreal

Tucson

Sacramento

Salt Lake City

San Jose

San Diego

Santa Fe

Reno

Redmond/Bend

Chicago

Monterey

Milwaukee

Los Angeles

WichitaFresno

Eugene

El Paso

Charlottesville

Albuquerque

Yuma Tucson

Salt Lake City

San Luis Obispo

Santa Barbara

Palm Springs Phoenix

Monterey

Hermosillo

Grand Junction

Flagstaff

Fresno

El Paso

Des Moines

Durango

Bakersfield

Albuquerque

Toronto

Victoria

London

Saskatoon

Winnipeg

Yuma

Ottawa

Kelowna

Halifax

Edmonton

Northwest Arkansas

Villahermosa

Tucson

Traverse City

Tampico

Syracuse

Springfield

Orange County

St. Louis

St. Cloud

Santa Maria

Salt Lake City

St. GeorgeSpringfieldSan Francisco

Seattle/Tacoma

Louisville

San Luis Obispo

South Bend

Santa Barbara

San Diego

Reno

Raleigh/Durham

Redding

Pueblo

Palm Springs

Pittsburgh

Peoria

Phoenix

Portland

West Palm Beach

Paducah

North Bend

Norfolk

Ontario

Nassau

Monterrey

Montrose

New Orleans

Monterey

Minot

Moline

Muskegon

Memphis

Miami

McAllen

Saginaw

Midland

Lincoln

Little Rock

New York

Las Vegas

Los Angeles

Lexington

Laramie

Jamestown

Jackson Hole

Indianapolis

Wichita

Washington, DCHays

Gunnison

Grand Rapids

Grand Junction

Fort Wayne

Sioux Falls

Fresno

Hartford

El Paso

Eau Claire

Devil Lake

Des Moines

Durango

Durango

Dayton

Cincinnati

Cody

Charlotte

ClevelandCedar Rapids

Casper

Chico

Charleston

Columbus

Carlsbad

Houghton/Hancock

Crescent City

Burbank

Boston

Guanajuato

Bismarck

Billings

Birmingham

BakersfieldAsheville

Austin

Aspen

Appleton

Atlanta

Albany

Amarillo

Eureka/Arcata

Albuquerque

Vernal

Tucson

Twin Falls

Sun Valley

St. Louis

Salt Lake City

Los Cabos

St. GeorgeSan Francisco

Seattle/Tacoma

South Bend

San Diego

Reno

Rock Springs

Rhinelander

Puerto Vallarta

Palm Springs

Pellston

Phoenix

Portland

Pocatello

Ontario

Oakland Montrose

Minneapolis/St. Paul

Minot

Lewiston

Long BeachLos Angeles

Lansing

Jackson Hole

International FallsWiliston

Iron Mountain

Wichita

Hibbing

Grand Rapids

Green Bay

Grand Junction

Spokane

Guanajuato

Fresno

Elko

Des Moines

Dickinson

Dallas

Dayton

Casper

Cody

Cincinnati

Moab

Cleveland

Sault Ste Marie

Cedar City

Burbank

ButteBrainerd

Nashville

Bemidji

Billings

Bismarck

Austin

Appleton

Atlanta

Alpena

Albuquerque

Aberdeen

CANADA

Dickinson

Delta Air Lines/Delta Connection/Delta Joint Venture Route

Future Route Service

Route served by Alaska Airlines/Horizon Air

Destination served by Delta / Delta Connection

Destination served by one of Delta’s Worldwide Codeshare Partners

Effective April 2014. Select routes are seasonal. Some future services subject to government approval. Service may be operated by one of Delta’s codeshare partner airlines or one of Delta’s Connection Carriers. Flights are subject to change without notice.

M E X I C O

C A N A D A

H AWA I I

A L A S K A

BAHAMAS

CUBA

HAITI

DOMINICAN REPUBLIC

PacificOcean

Atlantic Ocean

Gulfof Mexico

Pacific Ocean Miami

Orlando

West Palm Beach

Portland

Seattle/Tacoma

Boise

San Jose

Las Vegas

Burbank

San Diego

San Francisco

Oakland

Denver

Sacramento

Salt Lake City

Tucson

Phoenix/Scottsdale

Sarasota/Bradenton

Albuquerque

Charleston

Colorado Springs

Greenville/Spartanburg

Huntsville/ Decatur

Pensacola

Savannah

Baltimore

Birmingham

Chicago (ORD, MDW)

Houston(IAH, HOU)

Louisville

Memphis

Milwaukee

Philadelphia

San Antonio

St. Louis

Tampa/St. Petersburg

Charlotte

Cleveland

Dallas/Ft. Worth (DFW)

Detroit

Jacksonville

Kansas City

New Orleans

New York (JFK, LGA)

Norfolk/Virginia Beach

Omaha

Baton Rouge

Albany

Atlanta

Austin

Boston

Columbia

Columbus

Jackson

Little Rock

Nashville

Oklahoma City

Raleigh/Durham

Richmond

Tallahassee

Washington, D.C. (DCA, IAD)

Hartford/Springfield

Cincinnati

Bozeman

Orange County

Portland

Providence

Newark

Greensboro/High Point/Winston-Salem

Lexington

Grand Rapids

Ft. Lauderdale/Hollywood

Syracuse

Buffalo/Niagara Falls

KnoxvilleTulsa

Daytona Beach

El Paso/Ciudad Juárez

Manchester

Melbourne

Mobile

Ontario

Ft. Myers/Naples

Ft. Walton Beach

Indianapolis

Minneapolis/St. Paul

Dayton

Lafayette

Alexandria

Harrisburg

Madison

Shreveport

Pittsburgh

Appleton/Fox Cities

Binghamton

Bangor

Billings

Bloomington

Burlington

Cedar Rapids/ Iowa City

Des Moines

Elmira/Corning

Erie

Ft. Wayne

White PlainsLansing

Midland/Saginaw

Moline/ Quad Cities

Rochester

Springfield/Branson

Great Falls

Sioux Falls

Spokane

Wichita

Lincoln

Montgomery

Panama City

Fayetteville/Northwest Arkansas

Missoula

Rapid City

Reno/Tahoe

Asheville

Charleston

Akron/Canton

Gulfport/Biloxi

Chattanooga

Newburgh

Roanoke

Gainesville

Kalispell

Evansville

Monroe

Tri-Cities

Casper

Jackson Hole

Pasco/Richland/Kennewick

Los Angeles Newport News/Williamsburg

South Bend

Helena

Flint

Idaho Falls

Allentown

Kalamazoo/Battle Creek

Duluth

Myrtle Beach

Juneau

KahuluiHonolulu

Kona

Long Beach

La CrosseRochester

Killeen/Ft. Hood

Montrose/Telluride

Traverse City

Hayden/Steamboat Springs

Eagle/Vail/Beaver Creek

Nantucket

Lihue

Gillette

Rock Springs

Fargo

Williston

Green BayWausau

Ithaca

Peoria

West Yellowstone

Anchorage

Fairbanks

Ketchikan

Elko

Palm Springs

Fresno/Yosemite

Sun Valley

TwinFalls

Pocatello

St. George

Columbus/Starkville/West Point

Albany

Augusta

Wilkes-Barre/Scranton

Brunswick

Charlottesville

Columbus/Ft. Benning

Dothan

Key West

Fayetteville/Ft. Bragg

Valdosta

State College

Wilmington

Cody

EugeneLewiston

Medford

Redmond/Bend

Grand JunctionMoab

Vernal

Jacksonville/Camp Lejeune

New Bern

Cedar City

Butte

Bismarck

Aberdeen

Alpena

Sault Ste. Marie

Escanaba

Grand Forks

Iron Mountain

Brainerd Marquette

BemidjiChisholm/Hibbing

International FallsMinot

Pellston/Mackinac Island

Santa Rosa

Dallas Love Field (DAL)

Ft. Smith

BellinghamAbbotsford

Wenatchee

Yakima

Walla Walla

Sitka

Mammoth Lakes

Pullman

Maui

Hawaii

Kauai

Oahu

Vancouver

Edmonton

Winnipeg

Saskatoon

Regina

Calgary/Banff

Toronto

Montreal

Ottawa

Halifax

VictoriaKelowna

Ft. McMurrayWhitehorse

Prince George

Charlottetown

St. John’s, NL

Martha’s Vineyard

Hilo

Thunder Bay

Moncton

Rhinelander

Aspen/Snowmass

Deer Lake

Harlingen/ South Padre Island

Fact Sheet for CRJ200

AB

CD

Main Cabin Door Emergency Exit

1 2 3 4 5 6 7 8 9 10 11 12 13

Emergency ExitsGalley Lavatory

PassengersNumber 50

EnginesNumber Two GE CF34-3B1 turbofansThrust 9,220 pounds at takeoff

DimensionsLength Overall 87 ft 10 in (26.77 m)Wingspan 69 ft 7 in (21.21 m)Height Overall 20 ft 5 in (6.22 m)Cabin Maximum Width (centerline)

8 ft 3 in (2.51 m)

Maximum Cabin Height 6 ft 1 in (1.85 m)

CeilingMaximum Operating Altitude 41,000 ft (12,496 m)

WeightsMaximum takeoff weight (Series 200LR)

53,000 lbs (24,040 kg)

Operating Weight Empty 30,500 lbs (13,835 kg)Maximum Fuel Load 14,518 lbs (6,585 kg)Maximum Payload 12,500 lbs (5,670 kg)

PerformanceMaximum Range 1,100 NM (1,266 SM / 2,037 KM)

Speedsmach knots mph km/h

Maximum Cruise Speed 0.81 464 534 860Normal Cruise Speed 0.74 424 488 786