SUPPORTING LOCAL AIR SERVICE:The Benefits, Rewards & Investment In Your Community

KICK-OFF MEETING

May 11, 2011

Slide2

The Benefits

3Slide

The Benefits of Daily Hub Service

•No More Driving to Cleveland or Pittsburgh•Use YNG To Go Anywhere•Easy Connections To Hundreds of Destinations•Fast Check-In and TSA Processing•Shorter Travel Times•Increased Convenience

•Did I Mention No More Driving the Cleveland or Pittsburgh•No Long Drives in Snow or Rain•Much Easier to Get Someone to Pick You Up•Gas is Over $4/Gallon…

•Cheaper Parking•YNG = $30/week•CAK, CLE & PIT… much more

4Slide

Where could Delta fly you from YNG?

To: HNLTo: HNLTo: HNLTo: HNLTo: HNLTo: HNLTo: HNLTo: HNLTo: HNL

To: ANCTo: ANCTo: ANCTo: ANCTo: ANCTo: ANCTo: ANCTo: ANCTo: ANC

PDXPDXPDXPDXPDXPDXPDXPDXPDX

SEASEASEASEASEASEASEASEASEA

YVRYVRYVRYVRYVRYVRYVRYVRYVR

SFOSFOSFOSFOSFOSFOSFOSFOSFO

To: CUNTo: CUNTo: CUNTo: CUNTo: CUNTo: CUNTo: CUNTo: CUNTo: CUNTo: MEXTo: MEXTo: MEXTo: MEXTo: MEXTo: MEXTo: MEXTo: MEXTo: MEXMTYMTYMTYMTYMTYMTYMTYMTYMTY

JAXJAXJAXJAXJAXJAXJAXJAXJAX

SAVSAVSAVSAVSAVSAVSAVSAVSAVJANJANJANJANJANJANJANJANJAN

MSYMSYMSYMSYMSYMSYMSYMSYMSY

DFWDFWDFWDFWDFWDFWDFWDFWDFW

IAHIAHIAHIAHIAHIAHIAHIAHIAHAUSAUSAUSAUSAUSAUSAUSAUSAUSSATSATSATSATSATSATSATSATSAT MCOMCOMCOMCOMCOMCOMCOMCOMCO

FLLFLLFLLFLLFLLFLLFLLFLLFLLPBIPBIPBIPBIPBIPBIPBIPBIPBIRSWRSWRSWRSWRSWRSWRSWRSWRSW

TPATPATPATPATPATPATPATPATPA

MIAMIAMIAMIAMIAMIAMIAMIAMIA

DCADCADCADCADCADCADCADCADCABWIBWIBWIBWIBWIBWIBWIBWIBWIIADIADIADIADIADIADIADIADIADDAYDAYDAYDAYDAYDAYDAYDAYDAYCMHCMHCMHCMHCMHCMHCMHCMHCMH

RICRICRICRICRICRICRICRICRICCHOCHOCHOCHOCHOCHOCHOCHOCHOCRWCRWCRWCRWCRWCRWCRWCRWCRW

CVGCVGCVGCVGCVGCVGCVGCVGCVGINDINDINDINDINDINDINDINDIND

SDFSDFSDFSDFSDFSDFSDFSDFSDF ORFORFORFORFORFORFORFORFORFROAROAROAROAROAROAROAROAROATRITRITRITRITRITRITRITRITRI

LEXLEXLEXLEXLEXLEXLEXLEXLEXEVVEVVEVVEVVEVVEVVEVVEVVEVV

CMICMICMICMICMICMICMICMICMIPIAPIAPIAPIAPIAPIAPIAPIAPIABMIBMIBMIBMIBMIBMIBMIBMIBMI

RDURDURDURDURDURDURDURDURDUGSOGSOGSOGSOGSOGSOGSOGSOGSOTYSTYSTYSTYSTYSTYSTYSTYSTYSBNABNABNABNABNABNABNABNABNA

STLSTLSTLSTLSTLSTLSTLSTLSTLMCIMCIMCIMCIMCIMCIMCIMCIMCI

SGFSGFSGFSGFSGFSGFSGFSGFSGF

GSPGSPGSPGSPGSPGSPGSPGSPGSPAVLAVLAVLAVLAVLAVLAVLAVLAVL CLTCLTCLTCLTCLTCLTCLTCLTCLT

MYRMYRMYRMYRMYRMYRMYRMYRMYRCHSCHSCHSCHSCHSCHSCHSCHSCHS

CAECAECAECAECAECAECAECAECAEATLATLATLATLATLATLATLATLATL

MEMMEMMEMMEMMEMMEMMEMMEMMEM HSVHSVHSVHSVHSVHSVHSVHSVHSV

BHMBHMBHMBHMBHMBHMBHMBHMBHMLITLITLITLITLITLITLITLITLIT

ICTICTICTICTICTICTICTICTICT

XNAXNAXNAXNAXNAXNAXNAXNAXNATULTULTULTULTULTULTULTULTULOKCOKCOKCOKCOKCOKCOKCOKCOKC

DENDENDENDENDENDENDENDENDEN

PHXPHXPHXPHXPHXPHXPHXPHXPHX

SNASNASNASNASNASNASNASNASNASANSANSANSANSANSANSANSANSAN

LASLASLASLASLASLASLASLASLAS

LAXLAXLAXLAXLAXLAXLAXLAXLAX

YHZYHZYHZYHZYHZYHZYHZYHZYHZ

BGRBGRBGRBGRBGRBGRBGRBGRBGRYULYULYULYULYULYULYULYULYUL

YQBYQBYQBYQBYQBYQBYQBYQBYQB

EWREWREWREWREWREWREWREWREWRJFKJFKJFKJFKJFKJFKJFKJFKJFKLGALGALGALGALGALGALGALGALGAHPNHPNHPNHPNHPNHPNHPNHPNHPN

SWFSWFSWFSWFSWFSWFSWFSWFSWFPVDPVDPVDPVDPVDPVDPVDPVDPVDBDLBDLBDLBDLBDLBDLBDLBDLBDLBOSBOSBOSBOSBOSBOSBOSBOSBOS

MHTMHTMHTMHTMHTMHTMHTMHTMHTALBALBALBALBALBALBALBALBALBSYRSYRSYRSYRSYRSYRSYRSYRSYRYYZYYZYYZYYZYYZYYZYYZYYZYYZ ROCROCROCROCROCROCROCROCROCBUFBUFBUFBUFBUFBUFBUFBUFBUF BGMBGMBGMBGMBGMBGMBGMBGMBGMITHITHITHITHITHITHITHITHITHELMELMELMELMELMELMELMELMELM

AVPAVPAVPAVPAVPAVPAVPAVPAVPABEABEABEABEABEABEABEABEABESCESCESCESCESCESCESCESCESCE

PWMPWMPWMPWMPWMPWMPWMPWMPWMBTVBTVBTVBTVBTVBTVBTVBTVBTVYOWYOWYOWYOWYOWYOWYOWYOWYOW

YXUYXUYXUYXUYXUYXUYXUYXUYXU

PHLPHLPHLPHLPHLPHLPHLPHLPHLMDTMDTMDTMDTMDTMDTMDTMDTMDTYNGYNGYNGYNGYNGYNGYNGYNGYNGDTWDTWDTWDTWDTWDTWDTWDTWDTW

FWAFWAFWAFWAFWAFWAFWAFWAFWATOLTOLTOLTOLTOLTOLTOLTOLTOL

LANLANLANLANLANLANLANLANLANMBSMBSMBSMBSMBSMBSMBSMBSMBSFNTFNTFNTFNTFNTFNTFNTFNTFNT

APNAPNAPNAPNAPNAPNAPNAPNAPN

CIUCIUCIUCIUCIUCIUCIUCIUCIU

SBNSBNSBNSBNSBNSBNSBNSBNSBN

GRRGRRGRRGRRGRRGRRGRRGRRGRRAZOAZOAZOAZOAZOAZOAZOAZOAZO

TVCTVCTVCTVCTVCTVCTVCTVCTVC

MDWMDWMDWMDWMDWMDWMDWMDWMDW

PLNPLNPLNPLNPLNPLNPLNPLNPLNMQTMQTMQTMQTMQTMQTMQTMQTMQT

ESCESCESCESCESCESCESCESCESC

GRBGRBGRBGRBGRBGRBGRBGRBGRB

DLHDLHDLHDLHDLHDLHDLHDLHDLH

CWACWACWACWACWACWACWACWACWAATWATWATWATWATWATWATWATWATW

MSNMSNMSNMSNMSNMSNMSNMSNMSNMKEMKEMKEMKEMKEMKEMKEMKEMKE

MSPMSPMSPMSPMSPMSPMSPMSPMSPRSTRSTRSTRSTRSTRSTRSTRSTRSTLSELSELSELSELSELSELSELSELSE

MLIMLIMLIMLIMLIMLIMLIMLIMLICIDCIDCIDCIDCIDCIDCIDCIDCIDDSMDSMDSMDSMDSMDSMDSMDSMDSM

ORDORDORDORDORDORDORDORDORDOMAOMAOMAOMAOMAOMAOMAOMAOMA

FSDFSDFSDFSDFSDFSDFSDFSDFSD

SLCSLCSLCSLCSLCSLCSLCSLCSLCSMFSMFSMFSMFSMFSMFSMFSMFSMF

CDGCDGCDGCDGCDGCDGCDGCDGCDGFRAFRAFRAFRAFRAFRAFRAFRAFRA

LHRLHRLHRLHRLHRLHRLHRLHRLHRAMSAMSAMSAMSAMSAMSAMSAMSAMS

FCOFCOFCOFCOFCOFCOFCOFCOFCO

NRTNRTNRTNRTNRTNRTNRTNRTNRTNGONGONGONGONGONGONGONGONGO

ICNICNICNICNICNICNICNICNICN

PVGPVGPVGPVGPVGPVGPVGPVGPVG

HKGHKGHKGHKGHKGHKGHKGHKGHKG

Served by Air France

Source: Official Airline Guide Schedules for the week of May 9-15, 2011 (May 2011 American Express SkyGuide)

5Slide

How about US Airways?

To: AUATo: AUATo: AUATo: AUATo: AUATo: AUATo: AUATo: AUATo: AUASDQSDQSDQSDQSDQSDQSDQSDQSDQ

To: MBJTo: MBJTo: MBJTo: MBJTo: MBJTo: MBJTo: MBJTo: MBJTo: MBJTo: GCM & SJOTo: GCM & SJOTo: GCM & SJOTo: GCM & SJOTo: GCM & SJOTo: GCM & SJOTo: GCM & SJOTo: GCM & SJOTo: GCM & SJO

NASNASNASNASNASNASNASNASNASMIAMIAMIAMIAMIAMIAMIAMIAMIA

PLSPLSPLSPLSPLSPLSPLSPLSPLSSXMSXMSXMSXMSXMSXMSXMSXMSXMSTTSTTSTTSTTSTTSTTSTTSTTSTTSJUSJUSJUSJUSJUSJUSJUSJUSJU

PUJPUJPUJPUJPUJPUJPUJPUJPUJ

YHZYHZYHZYHZYHZYHZYHZYHZYHZ

LGALGALGALGALGALGALGALGALGAEWREWREWREWREWREWREWREWREWRISPISPISPISPISPISPISPISPISPHPNHPNHPNHPNHPNHPNHPNHPNHPNHVNHVNHVNHVNHVNHVNHVNHVNHVNABEABEABEABEABEABEABEABEABE

AVPAVPAVPAVPAVPAVPAVPAVPAVPSWFSWFSWFSWFSWFSWFSWFSWFSWF

MDTMDTMDTMDTMDTMDTMDTMDTMDTPHLPHLPHLPHLPHLPHLPHLPHLPHL

PVDPVDPVDPVDPVDPVDPVDPVDPVDBDLBDLBDLBDLBDLBDLBDLBDLBDLBGMBGMBGMBGMBGMBGMBGMBGMBGMBOSBOSBOSBOSBOSBOSBOSBOSBOS

IPTIPTIPTIPTIPTIPTIPTIPTIPTELMELMELMELMELMELMELMELMELMITHITHITHITHITHITHITHITHITH

ALBALBALBALBALBALBALBALBALBSYRSYRSYRSYRSYRSYRSYRSYRSYR

SCESCESCESCESCESCESCESCESCE

ROCROCROCROCROCROCROCROCROCBUFBUFBUFBUFBUFBUFBUFBUFBUF

MHTMHTMHTMHTMHTMHTMHTMHTMHTPWMPWMPWMPWMPWMPWMPWMPWMPWMBTVBTVBTVBTVBTVBTVBTVBTVBTV

YOWYOWYOWYOWYOWYOWYOWYOWYOW

YNGYNGYNGYNGYNGYNGYNGYNGYNG

YYZYYZYYZYYZYYZYYZYYZYYZYYZ

BGRBGRBGRBGRBGRBGRBGRBGRBGRYULYULYULYULYULYULYULYULYUL

ORDORDORDORDORDORDORDORDORDMKEMKEMKEMKEMKEMKEMKEMKEMKE

MSPMSPMSPMSPMSPMSPMSPMSPMSP

SEASEASEASEASEASEASEASEASEA

PDXPDXPDXPDXPDXPDXPDXPDXPDX

SMFSMFSMFSMFSMFSMFSMFSMFSMFBWIBWIBWIBWIBWIBWIBWIBWIBWIDCADCADCADCADCADCADCADCADCAIADIADIADIADIADIADIADIADIADDAYDAYDAYDAYDAYDAYDAYDAYDAY SBYSBYSBYSBYSBYSBYSBYSBYSBY

ROAROAROAROAROAROAROAROAROA ORFORFORFORFORFORFORFORFORFPHFPHFPHFPHFPHFPHFPHFPHFPHFRICRICRICRICRICRICRICRICRICCHOCHOCHOCHOCHOCHOCHOCHOCHOCVGCVGCVGCVGCVGCVGCVGCVGCVG

BDABDABDABDABDABDABDABDABDA

CHSCHSCHSCHSCHSCHSCHSCHSCHS

MYRMYRMYRMYRMYRMYRMYRMYRMYRILMILMILMILMILMILMILMILMILM

CAECAECAECAECAECAECAECAECAE

CLTCLTCLTCLTCLTCLTCLTCLTCLTGSPGSPGSPGSPGSPGSPGSPGSPGSP

RDURDURDURDURDURDURDURDURDUGSOGSOGSOGSOGSOGSOGSOGSOGSOTYSTYSTYSTYSTYSTYSTYSTYSTYS

ATLATLATLATLATLATLATLATLATL

PBIPBIPBIPBIPBIPBIPBIPBIPBITPATPATPATPATPATPATPATPATPA

MCOMCOMCOMCOMCOMCOMCOMCOMCO

JAXJAXJAXJAXJAXJAXJAXJAXJAX

SAVSAVSAVSAVSAVSAVSAVSAVSAV

FLLFLLFLLFLLFLLFLLFLLFLLFLLRSWRSWRSWRSWRSWRSWRSWRSWRSW

SDFSDFSDFSDFSDFSDFSDFSDFSDF

BNABNABNABNABNABNABNABNABNA

BHMBHMBHMBHMBHMBHMBHMBHMBHM

INDINDINDINDINDINDINDINDIND

STLSTLSTLSTLSTLSTLSTLSTLSTLMCIMCIMCIMCIMCIMCIMCIMCIMCI

MSYMSYMSYMSYMSYMSYMSYMSYMSYIAHIAHIAHIAHIAHIAHIAHIAHIAH

DENDENDENDENDENDENDENDENDEN

DFWDFWDFWDFWDFWDFWDFWDFWDFW

PHXPHXPHXPHXPHXPHXPHXPHXPHX

LASLASLASLASLASLASLASLASLAS

SANSANSANSANSANSANSANSANSAN

LAXLAXLAXLAXLAXLAXLAXLAXLAX

SFOSFOSFOSFOSFOSFOSFOSFOSFO

CUNCUNCUNCUNCUNCUNCUNCUNCUN

To: ATHTo: ATHTo: ATHTo: ATHTo: ATHTo: ATHTo: ATHTo: ATHTo: ATHFCOFCOFCOFCOFCOFCOFCOFCOFCO

To: TLVTo: TLVTo: TLVTo: TLVTo: TLVTo: TLVTo: TLVTo: TLVTo: TLVVCEVCEVCEVCEVCEVCEVCEVCEVCE

DUBDUBDUBDUBDUBDUBDUBDUBDUB

GLAGLAGLAGLAGLAGLAGLAGLAGLA

ZRHZRHZRHZRHZRHZRHZRHZRHZRHMUCMUCMUCMUCMUCMUCMUCMUCMUC

FRAFRAFRAFRAFRAFRAFRAFRAFRA

BRUBRUBRUBRUBRUBRUBRUBRUBRU

AMSAMSAMSAMSAMSAMSAMSAMSAMSLHRLHRLHRLHRLHRLHRLHRLHRLHR

MANMANMANMANMANMANMANMANMAN

LISLISLISLISLISLISLISLISLIS MADMADMADMADMADMADMADMADMADBCNBCNBCNBCNBCNBCNBCNBCNBCN

CDGCDGCDGCDGCDGCDGCDGCDGCDG

6Slide

What about United?

To: SJUTo: SJUTo: SJUTo: SJUTo: SJUTo: SJUTo: SJUTo: SJUTo: SJU

To: EZETo: EZETo: EZETo: EZETo: EZETo: EZETo: EZETo: EZETo: EZE

To: GRUTo: GRUTo: GRUTo: GRUTo: GRUTo: GRUTo: GRUTo: GRUTo: GRU

To: DKR/JNBTo: DKR/JNBTo: DKR/JNBTo: DKR/JNBTo: DKR/JNBTo: DKR/JNBTo: DKR/JNBTo: DKR/JNBTo: DKR/JNB

To: ACCTo: ACCTo: ACCTo: ACCTo: ACCTo: ACCTo: ACCTo: ACCTo: ACCYNGYNGYNGYNGYNGYNGYNGYNGYNG

IADIADIADIADIADIADIADIADIAD

To: PEKTo: PEKTo: PEKTo: PEKTo: PEKTo: PEKTo: PEKTo: PEKTo: PEK

YOWYOWYOWYOWYOWYOWYOWYOWYOW

To: NRTTo: NRTTo: NRTTo: NRTTo: NRTTo: NRTTo: NRTTo: NRTTo: NRT

YHZYHZYHZYHZYHZYHZYHZYHZYHZ

MHTMHTMHTMHTMHTMHTMHTMHTMHTPWMPWMPWMPWMPWMPWMPWMPWMPWMBTVBTVBTVBTVBTVBTVBTVBTVBTV

YULYULYULYULYULYULYULYULYUL

YQBYQBYQBYQBYQBYQBYQBYQBYQB

MCOMCOMCOMCOMCOMCOMCOMCOMCO

MIAMIAMIAMIAMIAMIAMIAMIAMIA

CHOCHOCHOCHOCHOCHOCHOCHOCHOSHDSHDSHDSHDSHDSHDSHDSHDSHDRICRICRICRICRICRICRICRICRICCRWCRWCRWCRWCRWCRWCRWCRWCRW

CVGCVGCVGCVGCVGCVGCVGCVGCVGORFORFORFORFORFORFORFORFORFROAROAROAROAROAROAROAROAROABKWBKWBKWBKWBKWBKWBKWBKWBKW

JFKJFKJFKJFKJFKJFKJFKJFKJFKLGALGALGALGALGALGALGALGALGAEWREWREWREWREWREWREWREWREWRABEABEABEABEABEABEABEABEABEPHLPHLPHLPHLPHLPHLPHLPHLPHLMDTMDTMDTMDTMDTMDTMDTMDTMDT

RDURDURDURDURDURDURDURDURDUGSOGSOGSOGSOGSOGSOGSOGSOGSO

HPNHPNHPNHPNHPNHPNHPNHPNHPNBDLBDLBDLBDLBDLBDLBDLBDLBDLBGMBGMBGMBGMBGMBGMBGMBGMBGM PVDPVDPVDPVDPVDPVDPVDPVDPVD

ALBALBALBALBALBALBALBALBALBSYRSYRSYRSYRSYRSYRSYRSYRSYR

INDINDINDINDINDINDINDINDIND

ORDORDORDORDORDORDORDORDORD

STLSTLSTLSTLSTLSTLSTLSTLSTL

BOSBOSBOSBOSBOSBOSBOSBOSBOSYYZYYZYYZYYZYYZYYZYYZYYZYYZ

MCIMCIMCIMCIMCIMCIMCIMCIMCIDENDENDENDENDENDENDENDENDENCOSCOSCOSCOSCOSCOSCOSCOSCOS

LASLASLASLASLASLASLASLASLASTYSTYSTYSTYSTYSTYSTYSTYSTYS CLTCLTCLTCLTCLTCLTCLTCLTCLTBNABNABNABNABNABNABNABNABNA

CAECAECAECAECAECAECAECAECAEATLATLATLATLATLATLATLATLATL

HSVHSVHSVHSVHSVHSVHSVHSVHSVGSPGSPGSPGSPGSPGSPGSPGSPGSPOKCOKCOKCOKCOKCOKCOKCOKCOKCABQABQABQABQABQABQABQABQABQ

PHXPHXPHXPHXPHXPHXPHXPHXPHXSANSANSANSANSANSANSANSANSAN

LAXLAXLAXLAXLAXLAXLAXLAXLAX

SMFSMFSMFSMFSMFSMFSMFSMFSMFSFOSFOSFOSFOSFOSFOSFOSFOSFO

PDXPDXPDXPDXPDXPDXPDXPDXPDX

SEASEASEASEASEASEASEASEASEA

To: CUNTo: CUNTo: CUNTo: CUNTo: CUNTo: CUNTo: CUNTo: CUNTo: CUNTo: MEXTo: MEXTo: MEXTo: MEXTo: MEXTo: MEXTo: MEXTo: MEXTo: MEX

TPATPATPATPATPATPATPATPATPA

MSYMSYMSYMSYMSYMSYMSYMSYMSYIAHIAHIAHIAHIAHIAHIAHIAHIAHSATSATSATSATSATSATSATSATSATAUSAUSAUSAUSAUSAUSAUSAUSAUS

SAVSAVSAVSAVSAVSAVSAVSAVSAVCHSCHSCHSCHSCHSCHSCHSCHSCHS

DFWDFWDFWDFWDFWDFWDFWDFWDFW

JAXJAXJAXJAXJAXJAXJAXJAXJAXPNSPNSPNSPNSPNSPNSPNSPNSPNS

Served bySouth African Airways

To: DXBTo: DXBTo: DXBTo: DXBTo: DXBTo: DXBTo: DXBTo: DXBTo: DXB

To: KWITo: KWITo: KWITo: KWITo: KWITo: KWITo: KWITo: KWITo: KWI

CPHCPHCPHCPHCPHCPHCPHCPHCPH

VIEVIEVIEVIEVIEVIEVIEVIEVIEMUCMUCMUCMUCMUCMUCMUCMUCMUC

FRAFRAFRAFRAFRAFRAFRAFRAFRA

ZRHZRHZRHZRHZRHZRHZRHZRHZRHGVAGVAGVAGVAGVAGVAGVAGVAGVA

AMSAMSAMSAMSAMSAMSAMSAMSAMS

CDGCDGCDGCDGCDGCDGCDGCDGCDG

LHRLHRLHRLHRLHRLHRLHRLHRLHR

MADMADMADMADMADMADMADMADMAD

DMEDMEDMEDMEDMEDMEDMEDMEDME

FCOFCOFCOFCOFCOFCOFCOFCOFCO

To: DKR/JNBTo: DKR/JNBTo: DKR/JNBTo: DKR/JNBTo: DKR/JNBTo: DKR/JNBTo: DKR/JNBTo: DKR/JNBTo: DKR/JNBTo: ACCTo: ACCTo: ACCTo: ACCTo: ACCTo: ACCTo: ACCTo: ACCTo: ACC

Served by SAS

Served byAustrian

Source: Official Airline Guide Schedules for the week of May 9-15, 2011 (May 2011 American Express SkyGuide)

Slide7

The Rewards

8Slide

The Rewards of Daily Hub Service

•Business Travel Becomes Easier•Choice of Travel Times @ YNG Provides Greater Flexibility•You Can Work On the Plane… You Can’t Work While Driving•No More Arriving at CLE 3 Hours Before Your Flight Just to Avoid Traffic

•Local Economic Development•Increased Access to Air Service Attracts New Employers•New Employers Hire New Employees•Local Businesses Can Grow Faster with Increased Access to Customers Abroad•New Jobs Will Be Created at the Airport

•More Money Stays In the Community•Visitors will rent cars at YNG not PIT, CAK or CLE•Local Concessioners Will Profit From Passengers (Not the Hudson News or Subway at PIT)

•You Can Get There From Here•Public Perceptions of the Mahoning Valley Will Change When Air Service is Available

Slide9

Potential Changes To Surrounding Air Service Options

10Slide

Closure United’s Cleveland Hub

Prediction: Cleveland Hub Will Close

Why?

•Served as a “Relief Valve” to Continental•Alternative to Newark (EWR) for passenger flow in/out of the Northeastern United States

•Strategically Unnecessary to the Merged United/Continental•Chicago – O’Hare (ORD): Will handle East-West passenger flow•Washington – Dulles (IAD): Will handle North-South passenger flow

•Airport Facility Not Built for Hub Operations •Single runway operations limits growth•Terminal facility limits the number of mainline departures per connecting bank

•More Lucrative Uses of Available Aircraft•Merger creates many opportunities for growth in other United hubs requiring the use of aircraft currently being flown in Cleveland.

11Slide

United Airlines’ Cleveland Hub

Effects on Youngstown/Warren/Sharon

•Fewer Nonstop Flight Options•Local travelers will need to connect via another hub more often when using CLE•CLE becomes a less attractive option for flying

•YNG No Longer Located Within United’s “Kill Zone”•“Kill Zone” comprises a 75 mile radius around any airline hub•In recent years United has had no success when starting service to airports located with this zone.

• Daytona Beach, FL (DAB) – 57 Miles from Orlando Int’l Airport• Palmdale, CA (PMD) - 67 Miles from LAX• Rockford, IL (RFD) – 75 Miles from O’Hare Airport • Stewart/Newburgh, NY (SWF) – 71 Miles from LaGuardia Airport

•Demand for Daily YNG Air Service Grows•Passengers will need to connect via a hub when flying from YNG, CLE or PIT

12Slide

Southwest Airlines’ – AirTran Acquisition

Predictions: AirTran’s Akron/Canton Operations CloseSouthwest Grows Its Cleveland Operation

Why?

•CAK Operations Will No Longer Be Necessary•CAK is the Low-Fare Less-Congested Alternative to CLE•Southwest will lower fares in CLE and United’s departure will eliminate congestion

•Split Operations Are Not Cost Efficient•Southwest’s lower fares will cut into United’s bottom line

•One Man’s Trash Is Another Man’s Treasure•Southwest routinely fills voids left by legacy airlines

13Slide

Southwest Airlines’ – AirTran Acquisition

Effects on Northeastern Ohio

•Fares at CLE Will Fall•Additional service by Southwest will provide lower fares

•Alienated CAK Passengers – Where Will They Go?•Not every current CAK passenger is willing to drive to CLE for flights•New air service options to meet this demand will be introduced, either in CAK or YNG

•Southwest Will Attract More Leisure Passengers @ CLE•Families from Toledo to Youngstown seeking lower fares and nonstop flights to popular leisure destinations will be more likely to choose CLE

•Southwest Will Attract Fewer Business Passengers @ CLE•Without the large assortment of nonstop destinations currently offered by Continental, business travelers will prefer to use the closest airport to their home or business providing a boost to local airports.

Slide14

Youngstown/Warren/Sharon Air Service Market

Youngstown/Warren/Sharon & Allentown/Bethlehem/EastonGeographically Similar Air Service Markets

YNG – CLE77 Miles 1:15 Drive

YNG – PIT58 Miles 1:03 Drive

ABE - EWR80 Miles 1:33 Drive

ABE - PHL75 Miles 1:25 Drive

YNGCLE

PIT

ABE EWR

PHL

Source: Driving Directions & Times from Google Maps15

Slide

Similar Catchment Areas

Source: Air Service Partners 2010 Zip Code Database (based on December 2010 zip code data provided by Datasheer, LLC)

25 mi25 km

25 mi25 km

Catchment AreaCatchment Area & MSA OverlapMSA Excluded from Catchment Area

16Slide

YNG MSA Population is:10.3% Larger

Similar Populations

YNG ABE

0

100,000

200,000

300,000

400,000

500,000

600,000

700,000

800,000 708,135

642,039

YNG Catchment Population is:37.7% Smaller

YNG ABE

0

200,000

400,000

600,000

800,000

1,000,000

1,200,000

725,480

1,164,907

Source: Air Service Partners 2010 Zip Code Database (based on December 2010 zip code data provided by Datasheer, LLC)17

Slide

PopulationPopulation

YNG ABE

$0

$5,000

$10,000

$15,000

$20,000

$25,000

$30,000$26,161 $26,675

YNG ABE

$0

$5,000

$10,000

$15,000

$20,000

$25,000

$30,000$26,015 $26,951

Average Personal Purchasing Power

YNG MSA Personal Purchasing Power is:

1.9% Smaller

Personal Purchasing Power Is Similar Too…Average PersonalPurchasing Power

YNG Catchment AreaPersonal Purchasing Power is:

3.5% Smaller

Source: Air Service Partners 2010 Zip Code Database (based on December 2010 zip code data provided by Datasheer, LLC) purchasing power - U.S. Census Bureau American Community Survey18

Slide

ABE YNG YNG

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

100.0%

62.3% 60.1%

YNG Market Should Be 60% the Size of ABE Today

% of ABE Market

YNG Population is 37.7% Smaller

(Chart 23)

YNG Personal Purchasing Power is

3.5% Smaller(Chart 24)

19Slide

Grand Total 30 Daily 1,669 Daily Seats

ABE – ORD 3 Daily EMB-145 150 seatsTotal 3 Daily 150 seats

ABE – ATL 2 Daily CRJ-200 100 seatsABE – DTW 4 Daily CRJ-200 200 seatsTotal 6 Daily 300 seats

ABE – CLT 1 Daily A319 124 seats2 Daily CRJ-200 100 seats

ABE – PHL 1 Daily Dash-8-200 37 seats2 Daily Dash-8-300 100 seats2 Daily CRJ-200 100 seats

Total 8 Daily 461 seats

ABE – IAD 4 Daily Saab-340 136 seatsABE – ORD 4 Daily EMB-145 200 seatsTotal 8 Daily 336 seats

ABE – YYZ 2 Daily Beech-1900 38 seatsTotal 2 Daily 38 seats

If ABE Can Support This Much Airline Service?

Source: Official Airline Guide Schedules for the week of January 10-16, 2011 (American Express SkyGuide – January 2011Edition)

ABE – MCO 2 Daily 717-200 234 seatsTotal 2 Daily 234 seats

ABE – MCO/MYR/PIE 8 Weekly MD-80 150 seatsTotal 8 Weekly 150 seats

20Slide

Slide21

YNG’s Air Service Development

Strategy

YNG

22Slide

Top Candidates For Daily Nonstop Hub Service

Washington(Dulles)

Philadelphia

Detroit

Chicago(O’Hare)

YNG

Chicago (O’Hare) 3 Daily EMB-145 150 seatsNew York (LGA) 1 Daily EMB-145 50 seatsTotal 4 Daily 200 seats

Detroit 3 Daily CRJ-200 150 seatsTotal 3 Daily 150 seats

Philadelphia 2 Daily CRJ-200 100 seatsTotal 2 Daily 100 seats

Chicago (O’Hare) 2 Daily EMB-145 100 seatsWashington (Dulles) 4 Daily Saab-340 136 seatsTotal 6 Daily 236 seats

Hub Service Candidate Airlines

23Slide

Targeted Hub Frequency Aircraft Daily Seats

Discussions Continue

Presently Not A High Priority for American Eagle

Slide24

The Investment In Your Community

25Slide

How Does YNG Land An Airline?

•Revenue Guarantees•Money given to an airline to help offset financial losses that may occur during the startup of air service.

•Money is given to the airline every quarter when losses are experienced.•Credits are received every quarter excess profits are experienced which are to be used to offset future losses.

•Travel Banks•Local businesses pool money to be used for air travel and give it to the airline upfront as a incentive.

•As these businesses “purchase” tickets from the airline their pooled money is used as payment until it is completely exhausted.

•Incentive Packages•Fee waivers & marketing assistance are now the minimum standards necessary to attract airline service.

86% 85% 84% 83% 82% 81% 80% 79% 78% 77% 76% 75% 74% 73% 72% 71% 70% 69% 68% 67% 66%$0

$1,000,000

$2,000,000

$3,000,000

$4,000,000

$5,000,000

$6,000,000

$7,000,000

$8,000,000

$9,000,000

Annual Revenue(Millions)

Load Factor

Annual Operating CostLine

Delta Annual Operating Revenue

Line

Break EvenLoad

Factor

100% 95% 90% 85% 80% 75% 70% 65% 60% 55% 50%

Potential Load Factor Range

Revenue Guarantee Payments To Delta

This chart does not represent Delta’s actual operating costs or forecasted profits. It’s purpose is to simply show how the program works and what the risk abatement payments represent.

The Revenue Guarantee Mechanism

26Slide

Potential Operating Loss

Potential Operating Profit

27Slide

Revenue Guarantees Are An Investment

Sharing the Risk•Airlines Take a Large Financial Risk when Serving a New City

• If the service is profitable… The airline makes a little profit• If the service isn’t profitable… The airline suffers big losses

•Revenue Guarantees Allow the Community to Take On this Risk• If an airline serves your airport…

•The community benefits instantly•The airline might not benefit at all

• If an airline doesn’t serve your airport...•There are no benefits to the community•The airline is guaranteed not to lose money

•Airlines Don’t Have Many if any Extra Aircraft•Revenue guarantees help your market look more attractive than somewhere the airline currently flies

28Slide

Revenue Guarantees Are An InvestmentAirlines Vs. Public Utilities•What Do We Call Places Without Electricity or Running Water?

•The Sticks, Boonies, Backwoods, etc.

•Why do we do this?• Electricity & Running Water provide the minimum standard of acceptable modern living• This is not a guarantee it will be profitable for utility that provides it

•The Same Can Be Said For Air Service• What air service provides to a community is often far more valuable than any profit the airline can make providing it.

• In many cases daily air service is the minimum standard businesses use when deciding the invest in a region.• Revenue Guarantees ensure that this air service is profitable for the airline while ensuring the community can continue to benefit from such a valuable service.

ONLY YOUCAN PROVIDE THE SUPPORT NECESSARY TO BRING DAILY AIRLINE SERVICE TO YNG

Thank You