MOVING TOWARD THE FUTURE WITH DAILY REGIONAL AIR SERVICE

1. MOVING TOWARD THE FUTURE WITH DAILY REGIONAL AIR SERVICE Youngstown-Warren Regional Airport DAN DICKTEN, A.A.E. DIRECTOR OF AVIATION WESTERN RESERVE PORT AUTHORITY

2. YNG – CURRENT ROLE • NON-HUB COMMERCIAL SERVICE • JOINT-USE MILITARY AIRPORT • HOME OF 910TH Air Lift Wing – USAF RESERVE • 9,003 FT. LONG RUNWAY, AMONG LONGEST IN OHIO • FRONT DOOR TO MAHONING VALLEY • HOW YNG FITS THE FUTURE? • DAILY AIR SERVICE YOUR YNG AIRPORT IMPORTANT TO THE National AIRPORT INFRASTRUCTURE

3. STRAINED NATIONAL AIRPORT INFRASTRUCTURE (Delays/Late Departures & Arrivals) • YNG IS PART OF THE SOLUTION • YNG HAS WHAT IS NEEDED • COST-EFFECTIVE • EFFICIENT • CONVENIENT YOUR YNG AIRPORT NOT JUST AN AIRPORT – PART OF THE FUTURE & PART OF THE SOLUTION

4. FACILITY FOR BUSINESS & GENERAL AVIATION • BOTH ARE KEY TO REGIONAL ECONOMIC GROWTH • IMPORTANT ALTERNATIVE TO BUSY AIRPORTS • PIT • CLE • CAK YOUR YNG AIRPORTKEY TO LOCAL INFRASTRUCTURE

5. 1999 YNG AIR SERVICE SUMMARY • 2 DAILY UNITED FLIGHTS TO CHICAGO • 4 DAILY NORTHWEST FLIGHTS TO DETROIT • 5 DAILY US AIR FLIGHTS TO PITTSBURGH • MANY YNG FLIGHTS STOPPED AT CAK THEN ON TO DESTINATION – NOT VERY POPULAR • 2001 SERVICE REDUCED TO • 2 DAILY NORTHWEST FLIGHTS TO DETROIT • 2003 NORTHWEST STOPPED ALL SERVICE YOUR YNG AIRPORT ONCE A THRIVING COMMERCIAL SERVICE AIRPORT

6. ALL WERE ESSENTIAL AIR SERVICE FUNDED • 2002 – 70 MILE RULE • AIRPORTS CLOSER THAN 70 MILES TO A LARGE HUB LOST EAS FUNDS • PIT < 70 MILES –BUILT ON WRONG SIDE OF PITTSBURGH • AIRLINES PERCEIVE YNG AS ONE OF “THOSE AIRPORTS THAT COULDN’T SUPPORT SERVICE” • L OW FARE SOUTHWEST/AIR TRAN - BUILT UP CAK AND NEGLECTED YNG • CHANGING THE LOSER PERCEPTION WITH ALLEGIANT’S GREAT SUCCESS YOUR YNG AIRPORT2002 / 2003 - 26 us AIRPORTS LOST SERVICE INCLUDING YNG

7. YOUR YNG AIRPORT SUCCESSFUL ALLEGIANT AIR YNG • ORLANDO, FL – 96% (Load Factors) • ST. PETERSBURG, FL – 97% • MYRTLE BEACH, SC – 90% • AIRPORT PASSENGER NUMBERS AT RECORD HIGH WITH 60% INCREASE 2010 • 42% INCREASE PROJECTED 2011 Proposed New Service Myrtle Beach Las Vegas Orlando Proposed New Service • POTENTIAL ALLEGIANT CITIES • FT. LAUDERDALE, FL • PUNTA GORDA/FT. MYERS, FL • LAS VEGAS, NV St. Petersburg Ft. Lauderdale Punta Gorda Proposed New Service

8. CASINO FLIGHTS FROM YNG • ATLANTIC CITY – GOLD AVIATION • TUNICA, MS – ALLEGIANT AIR • YSU AND OTHER SPORT TEAM CHARTERS • SUN COUNTRY • SOUTHWEST AIRLINES • MIAMI AIR • CORPORATE FLIGHT DEPARTMENTS • GENERAL AVIATION (GA) YOUR YNG AIRPORTOTHER SUCCESSFUL AVIATION SERVICE

9. COMPATIBLE, NOT COMPETITIVE WITH • PIT • CLE • CAK • CONTINUE ROLE AS A BUSINESS/GA FACILITY • SUPPORT ALLEGIANT AIR TO: • ORLANDO • ST. PETERSBURG • MYRTLE BEACH • ATTRACT NEW DAILY NON-STOP REGIONAL SERVICE YOUR YNG AIRPORTPLANNING FOR THE FUTURE

10. CLOSE TO BUSINESSES IN MAHONING VALLEY • CLOSE TO STRONG GROWTH AREAS • YOUNGSTOWN • WARREN • NILES • BOARDMAN • SHARON • VERY IMPORTANT FOR THE FUTURE YOUR YNG AIRPORTWHY yng IS ATTRACTIVE

11. YOUR YNG AIRPORTYOUNGSTOWN-WARREN-SHARON catchment area AND MSA Primary Catchment Area: Total Population 725,280 Total Number of Households 309,642 Average Household Income $36,538 YNG/ERI Equal Drive Line YNG/CLE Equal Drive Line Western Side of Interstate 79 Regional MSA: Total Population 588,222 Total Number of Households 250,866 Average Household Income $36,646 YNG/CAK Equal Drive Line 30 Mile Radius Catchment Area Catchment Area & MSA Overlap MSA Excluded from Catchment Area 1.7 M – 1 Hour Drive 7.6 M – 2 Hour Drive

12. WORLD CLASS FACILITIES, HOWEVER, THEY’RE NOT FOR EVERYONE • ONLY PART OF THE FLYING PUBLIC WILL USE YNG FOR DAILY SCHEDULED SERVICE • SUCH SERVICE WOULD COMPLIMENT, NOT COMPETE WITH PIT, CLE AND CAK • THE RESULT – BETTER AIR SERVICE FOR THE NE OHIO REGION YOUR YNG AIRPORTWHAT ABOUT PIT, CLE, CAK?

13. 2010 SURVEY – LOCALS PREFER TO USE YNG FOR BUSINESS TRAVEL • TOP 12 BUSINESS DESTINATIONS: CHICAGO WASHINGTON D.C.DETROIT NEW YORK PHILADELPHIA NEWARK ATLANTA HOUSTON CHARLOTTE DALLAS BALTIMORE TORONTO YOUR YNG AIRPORTLOCAL SURVEY RESULTS Detroit YNG New York (JFK) Newark Chicago (O’Hare) Philadelphia Washington (Dulles)

14. TOP 10 LEISURE DESTINATIONS IDENTIFIED: • ORLANDO √ • MYRTLE BEACH √ • LAS VEGAS • ST. PETERSBURG (TAMPA BAY) √ • FT. LAUDERDALE • FT. MYERS – SW FLORIDA • ATLANTIC CITY √ • TUNICA (MS) √ • NEW YORK CITY • PHOENIX YOUR YNG AIRPORT LOCAL SURVEY RESULTS, CONTINUED

15. OUR GATEWAYS TO THE WORLD • PIT • CLE • YNG CAN SERVE THE TRAVELING PUBLIC TOO • AS THE REGION’S NEEDS CHANGE, SO MUST YNG’S ROLE YOUR YNG AIRPORTWE SERVE THIS REGION, TOO

16. LOW-FARE / LOW FREQUENCY SERVICE TO LEISURE DESTINATIONS (ALLEGIANT AIR) DAILY NON-STOP “NETWORK” SERVICE TO KEY BUSINESS DESTINATIONS AND MAJOR CARRIER CONNECTING AIRPORTS YOUR YNG AIRPORTAIR SERVICE PROSPECTS

17. LEISURE: ORLANDO √ST. PETERSBURG √MYRTLE BEACH √ FT. LAUDERDALE - LAS VEGAS – SW FLORIDA • BUSINESS MARKETS WHERE TIME IS IMPORTANT: CHICAGO - WASHINGTON D.C. – DETROIT – PHILADELPHIA NEW YORK/NEWARK • YNG SERVICE GEARED TO CAPTURE A PORTION OF O&D BUSINESS TRAVELERS YOUR YNG AIRPORTPOTENTIAL AIR SERVICE MARKETS

18. YOUR YNG AIRPORT ADVANTAGES • NO HASSLES • CONVENIENT (CLOSE TO HOME) • REQUIRES LESS ROAD TIME TO AND FROM • LOW COST PARKING $6.00/ A DAY vs. $12-$18 CLE/PIT • KEEPS $$$ IN THE COMMUNITY

19. A NEED FOR YNG CAPACITY IS HERE A MARKET FOR DAILY REGIONAL SERVICE AT YNG IS HERE TRAFFIC/MARKET NEED EXISTS TODAY ATTRACTING APPROPRIATE AIRLINES IS POSSIBLE AND IN PROCESS YOUR YNG AIRPORTTHE ECONOMIC REALITIES

20. A HIGH LEVEL OF COMMITMENT FROM LOCAL BUSINESSES AND COMMUNITY PARTNERSHIP WITH REGIONAL CHAMBER AND LOCAL TOURISM & CVB STRONG COMMUNITY SUPPORT – YNGAIR PARTNERS 3RD PARTY FULL SERVICE PASSENGER & AIRCRAFT HANDLING – WINNER AVIATION YNG HAS ALL OF THESE ! YOUR YNG AIRPORTWHAT AIRLINES LOOK FOR

21. STRONG BUSINESS / LEISURE TRAVEL MIX FOR REGIONAL NETWORK SERVICE – STRONG LEVELS OF BUSINESS TRAFFIC ACCESS TO LARGE POPULATION CENTERS EASY ACCESS TO AIRPORT LOW AIRPORT COSTS LOW COMPETITIVE PROFILE ACCESS TO STRONG MARKET YNG HAS THIS, TOO! YOUR YNG AIRPORTWHAT AIRLINES LOOK FOR, CONTINUED

22. POSSIBILITIES FOR YNG INCLUDE: • DELTA CONNECTION: DETROIT (DTW); ATLANTA (ATL) • US AIRWAYS EXPRESS: PHILADELPHIA (PHL); CHARLOTTE (CLT) • UNITED EXPRESS: WASHINGTON - DULLES (IAD) CHICAGO O’HARE (ORD) • AMERICAN EAGLE: CHICAGO O’HARE (ORD) NEW YORK LAGUARDIA (LGA) • ALLEGIANT AIR: FT. LAUDERDALE (FLL); LAS VEGAS (LAS) PUNTA GORDA (PGD) SW FLA; NEW YORK; PHOENIX; HILTON HEAD; HONOLULU; YNG MANAGEMENT IN DISCUSSIONS WITH AIRLINES FOR ALL THE ABOVE. YOUR YNG AIRPORT CURRENT AND NEAR FUTURE AIRLINE OPPORTUNITIES

23. REGIONAL CHAMBER HAS RECEIVED AND SENT LETTERS OF SUPPORT FROM 60+ MEMBERS TO AIRLINES • DELTA – DETROIT/ATLANTA • US AIR – PHILADELPHIA • UNITED – CHICAGO O’HARE/WASHINGTON-DULLES • AMERICAN EAGLE – CHICAGO O’HARE/ NEW YORK • LETTERS SENT TO AIRLINES MARCH 15, 2011 • PROMPTED POSITIVE DISCUSSIONS WITH AMERICAN EAGLE, DELTA AND US AIRWAYS YOUR YNG AIRPORT REGIONAL CHAMBER SUPPORT

24. DOT GRANT – PROVIDES “GUARANTEES” TO ATTRACT COMMUTER AIRLINES TO CONNECTING AIRPORTS FUNDING SHARE - $575,000 DOT FUNDING SHARE - $287,500LOCAL $862,520 TOTAL IN-KIND SERVICES - $467,220 BUSINESS COMMUNITY GUARANTEES AIRLINES PROFITABILITY THROUGH “START-UP” PHASE OF NEW SERVICE YOUR YNG AIRPORTSMALL COMMUNITY AIR SERVICE DEVELOPMENT GRANT

25. MINIMUM REVENUE GUARANTEE • MANHATTAN (KS) REGIONAL AIRPORT (MHN) SUCCESS • MHN $2 M (2 YEARS) AMERICAN EAGLE (AE) REGIONAL JET SERVICE TO DALLAS-FT. WORTH • 420 MILE ROUTE/EMBRIER 145 (50 SEAT) RJ • COST $4,334 PER FLIGHT (BREAK EVEN + 3% PROFIT MARGIN) • ANYTHING UNDER $4,334 TICKET SALES – AE DRAWS DOWN FROM FUND TO GUARANTEE PROFITABILITY • ANYTHING OVER $4,334 THRESHOLD RECEIVED A CREDIT • FINISHED WITH $1,000,000 CREDIT /VS DRAW DOWN YOUR YNG AIRPORTMINIMUM REVENUE GUARANTEE PLAN

26. YOUR YNG AIRPORTCarrier Service using an MRG Detroit- (DTW) YNG DL – DTW Delta Connection US- PHL US Airways Express UE – ORD/IAD United Express AE – ORD/LGA American Eagle New York – (LGA) Chicago O’Hare – (ORD) Philadelphia – (PHL) Washington – Dulles (IAD)

27. YOUR YNG AIRPORTnew Daily network service - PARTNERS TO promote IT & who To TARGET • Organizing Local Community Activities • Advocating Support of YNG Network Air Service • Promoting Tourism and use of local hotels • Creating positive economic impact • Organizing Local Marketing Efforts • Advocating Support of YNG Air Service to the Local Community • Increasing community awareness of air service • Billboards • TV Commercials • Radio Ads • Face book/Twitter • Website promotion • Attracting Conventions and Tradeshows • Advocating Support of YNG Air Service by Local Business • Attracting new employers that will generate additional business traffic

28. 3 DAILY FLIGHTS M-F/2 DAILY FLIGHTS SATURDAY & SUNDAY 50 SEAT REGIONAL JET AIRCRAFT 145 DOMESTIC CONNECTING DESTINATIONS FROM DTW 25 INTERNATIONAL CONNECTING DESTINATIONS YNG-DTW SERVICE CONNECTS THE COMMUNITY TO THE ENTIRE WORLD VIA DTW YOUR YNG AIRPORTproposed delta CONNECTION NON-STOP SERVICE to Detroit (DTW)

29. YOUR YNG AIRPORTDTW – CONNECTING yng to THE WORLD

30. Youngstown – Detroit Departs: Arrives: Frequency: 6:50am 7:50am X7 12:00pm 1:00pm Daily 5:00pm 6:00pm X6 YOUR YNG AIRPORTPROPOSED YNG-DTW FLIGHT SCHEDULE Detroit – Youngstown Departs: Arrives: Frequency: 10:30am 11:30am X7 3:30pm 4:30pm Daily 9:30pm 10:30pm X6

31. ASSUMING YNG RECAPTURES 30% OF PIT LEAKAGE • $1.3 MILLION ECONOMIC BENEFIT TO THE MAHONING VALLEY • ASSUMING YNG RECAPTURES 30% OF PIT, CLE AND CAK LEAKAGE • $2.5 MILLION ECONOMIC BENFIT TO THE MAHONING VALLEY *LEAKAGE = RESIDENTS OF MAHONING VALLEY USING OTHER AIRPORTS – CLE, CAK, PIT YOUR YNG AIRPORTEconomic impact of service

32. SOUTHWEST ISN’T COMING, BUT . . . . . DAILY REGIONAL SERVICE IS POSSIBLE FOCUS ON HIGH-YIELD DAILY CONNECTING BUSINESS TRAVEL CONTINUE TO FOCUS ON SUCCESSFUL ALLEGIANT AIR LEISURE SERVICE YOUR YNG AIRPORTYNG FUTURE FOCUS

33. YNG HAS AN ANNUAL REQUIREMENT TO PROVIDE • $25,000 IN ADVERTISING FUNDING • $25,000 FOR IN-KIND ADVERISING • ACCEPTING CONTRIBUTIONS/IN-KIND SERVICES • ADVERTISING • MARKETING • WEBSITES, ETC. YOUR YNG AIRPORTMARKETING CAMPAIGN

34. TERMINAL UPGRADES (NEW HOLD ROOM RESTROOMS ) ADDITIONAL RENTAL CAR SERVICE DEVELOPMENT TERMINAL INTERIOR ADVERTISING (TERM. ADV., INC) NEW TSA SCREENING TECHNOLOGY; CONVEYOR UPGRADE BAGGAGE RETURN SYSTEM EXPANSION PARKING LOT SECURITY / REVENUE CONTROL SYSTEM UPGRADE / SECOND EXIT WITH AUTO PAY / PAVING REPAIRS SOUTH COMMUTER TERMINAL - ADDITION OF RJ JET BRIDGE PHYSICAL PLANT - TERMINAL HVAC / BOILER UPGRADES NEW TERMINAL CURB FRONT; SIDE WALKS; FAÇADE REPAIRS HIGH TECH AIRCRAFT IDENTIFICATION / TRACKING SYSTEM SHEDDING THE “BLACK HOLE” REPUTATION YOUR YNG AIRPORTPLANNED IMPROVEMENTS

36. READY TO BECOME A REGIONAL ECONOMIC GENERATOR BUSINESS & GA CONTINUE TO PLAY A STRONG ROLE LEISURE AIR SERVICE IS PROVEN – 5 YEARS THE RETURN OF DAILY SCHEDULED SERVICE IS POSSIBLE AND IN PROCESS REVENUE GUARANTEES WILL BE NEEDED YNG IS PART OF THE NATIONAL AND REGIONAL AIRPORT CAPACITY SOLUTION YOUR YNG AIRPORTSUMMARY

37. YOUNGSTOWN – WARREN REGIONAL AIRPORT 1453 YOUNGSTOWN-KINGSVILLE RD., NE VIENNA, OH 44473 (330) 856-1537 WWW.YNGAIRPORT.COM DDICKTEN@YNGAIRPORT.COM WESTERN RESERVE PORT AUTHORITY FLY YNG - YOUR YNG AIRPORT!