Nov 21, 2024 Airports Board

[I. CALL TO ORDER]

[00:00:08]

THE NOVEMBER 21ST MEETING FOR THE AIRPORT BOARD YOU CAN ASK THE VERY SAME DO THE PLEDGE OF ALLEGIANCE ON AND ALLEGIANCE TO THE FLAG OF MY AMERICA AND TO THE REPUBLIC WE DO STANDS ONE NATION UNDER GOD INDIVISIBLE WITH LIBERTY AND JUSTICE FOR ALL ALL RIGHT FOR PUBLIC MEANING HAS BEEN PUBLISHED, POSTED AND DISTRIBUTED IN COMPLIANCE WITH

[IV. APPROVAL OF AGENDA]

FIRST THING WILL NEEDS APPROVAL OF THE AGENDA. HERE WE GO.

RYAN ON THANK YOU APPROVAL OF AGENDA AND WE'LL NEED TO VOTE ON THAT ANYONE WITH A NAY

[V. APPROVAL OF MINUTES]

IT'S YOU AND ME. THERE WE GO. YEAH, IT'S BETTER.

I THINK. GOOD. OKAY.

[VII. DIRECTOR’S REPORT]

THERE'S A VIDEO IN HERE SO JUST BEAR WITH ME AND RAN FLAWLESSLY THIS MORNING AT THE CHAMBER MEETING I'LL RESPOND OH, OKAY. YOU GOT THIS. THAT'S I MEANT TO SAY SO ONCE WE GET TO SLIDE NUMBER NINE YOU'LL SEE A REALLY COOL VIDEO .

I TRUST YOU. OKAY. I'M MOVING RIGHT ALONG.

I DO WANT. TO LET YOU KNOW WE DO HAVE BLAIR AVIATION CONSULTING HERE AND TALK TO YOU. I SENT YOU THAT EMAIL A FEW WEEKS AGO TO LET YOU KNOW THEY'RE GOING TO BE HERE SO THANKS FOR FOR SHOWING UP BUT THEY'RE GOING TO GIVE A BRIEF AS WELL AS FROM IN TRANSIT THROUGH THIS STUFF. ALL RIGHT.

SOMEBODY JUST UNDOCKED ON THE SLIDE. GOOD JOB.

ALL RIGHT. NOW I'M NOT ADVANCING. YEAH, I WAS WORKING WITH THE OTHER ONE. THAT'S ALL I SAW. SLIDE AND THAT'S ALL RIGHT.

HERE COMES YOUR HELP HERE AND THEN WE GO. ALL RIGHT.

ALL RIGHT. SO LAST WEEK WE DID BREAKFAST CLUB UP IN THERE W WE HAD WAS IT 38 WE HAD 38 AIRCRAFT FLYING WHICH WAS GREAT. YOU CAN SEE THE WEATHER.

WHAT A HUGE DIFFERENCE BETWEEN DOING THIS NOVEMBER AND DOING IT.

FEBRUARY IS GREAT. THE FOOD TRUCK WE HAD THERE SO A LOT OF EVERYTHING A LOT OF FOLKS THERE SO A LOT OF FUEL AND GOT ENOUGH PHOTOS TO HOPEFULLY JUSTIFY AN APRON EXPANSION OUT THERE HAVE A LOT AIRPLANES A GREAT EVENT CONCOR HAPPENED BEGINNING OF THE MONTH THIS IS A YEARLY EVENT THAT WE DO SO YOU GUYS KNOW WHAT HAPPENS THERE.

WE DO THE THE HOT LAPS ON THE TAXIWAY AND EVERYTHING. THIS YEAR'S BMW AS YOU RAN UP AND DOWN THE TAXIWAYS AND I THINK TOP SPEED WAS 157 I THINK IS WHAT WE HEARD ON 61.

IT WAS THE 161. SO WE HAD THE PORSCHES LAST YEAR AND I THINK THEY WERE ABOUT 160 AS WELL. SO THESE GUYS ARE IN 5000 FEET AND ARE GETTING THOSE THINGS MOVING PRETTY, PRETTY GOOD. SO IF YOU HAVEN'T BEEN TO THIS ON THE FRIDAY NIGHT OF THE CONCORDE, IT'S WORTH CHECKING IT OUT. OKAY.

THAT'S JUST A PICTURE OF THE NEW DAVID DO YOU TRY TO TALK TO US? OKAY. I CAN'T HEAR YOU. ANYBODY HERE?

[00:05:04]

WELL, IT WASN'T THAT IMPORTANT. I WAS GOING TO SAY AS YOU COULD SEE THE ROTORS OF THOSE CARS GLOWING IN THE DARK THEY WERE STILL ON OH, THAT WAS PRETTY COOL.

WELL, GLAD TO HAVE. ALL RIGHT. SO HERE'S THE RADIOS THAT WE BOUGHT AND IF YOU REMEMBER, WE GOT A SOUTH CAROLINA AERONAUTICS GRANT TO COVER THE COST THOSE RADIOS WHICH IS NOW ALL THE COMMUNICATIONS IN THE TOWER HAVE BEEN UPGRADED IN THE LAST YEAR OR SO. SO EVERYTHING IS BRAND OUT THERE WHICH IS GREAT AND LOST MY MILES. I GO YEAH THAT'S HERE. WE DON'T HAVE A TOWER THERE TO BE ALL RIGHT. ANOTHER TOUR THAT WE DID. SO THIS WAS I THINK BEGINNING THE MONTH AS WELL OR THE END OF OCTOBER I FORGET WHICH BUT HAD THE LEADERSHIP PROGRAM OUT THERE WHICH IS NORMAL THEY COME OUT JUST ABOUT EVERY YEAR. SO WE'VE A NICE LITTLE PROGRAM GOING WITH WITH WHERE WE TAKE THEM AND EVERYBODY GETS A RIDE IN THE FIRE TRUCKS AND THAT SORT OF THING AND THEY GET TO GO TO THE TOWER CHECK THINGS OUT TOO.

SO AS I SAY IT'S A GOOD CHANCE TO MAKE DISCIPLES AND TELL THEM ABOUT THE AIRPORT THEN THESE YOU GUYS THEIR GRANDFATHER REACHED OUT WAS INTERESTED IN A TOUR THE TOWER SO THEY WENT UP AND SPENT SOME TIME WITH BILL IN THE TOWER AND SOUNDS LIKE THEY WERE PRETTY ENGAGING YOUNG THERE AND REALLY ENJOYED THAT THAT TRIP SO DEFINITELY A COOL WAY TO SHOW OFF THE AIRPORT AND SEND A NICE LETTER UP TO BILL'S BOSS ABOUT THAT TOO. SO GOOD PARTNERSHIP THE AIRPORT SPONSORED ON ELECTION DAY. WE SPONSORED THE POLLING OVER AT THE LIBRARY AND THIS WAS AN OPPORTUNITY THAT THEY CAME UP THROUGH THE CHAMBER A COUPLE OF ELECTION CYCLES AGO.

THEY YOU KNOW, THE CHAMBER SAID HEY, ALL THESE VOLUNTEERS GO OUT THEY ALL DAY AND THEY'RE NOT THEY'RE NOT FED THEY'RE NOT TAKEN CARE OF SO THE THE HILTON HEAD BOSTON CHAMBER WAS ABLE TO GET SPONSORS FOR ALL OF THE LIKE 46 OR 49 POLLING STATIONS SOUTH OF THE BROAD.

SO ALL THE ELECTION WORKERS GOT FED SO WE SPONSORED THIS ONE AND RUSSIA WAS RUNNING BACK AND FORTH DELIVERING MAKING SURE THEY WERE TAKEN CARE OF BUT IT WAS VERY APPRECIATED AND IT WAS A GREAT CHANCE TO KIND OF SHOW THE FLAG, BE COMMUNITY PARTNERS THERE.

ALL RIGHT. NOW A MOVIE SO GET READY. IT'S PRETTY EXCITING THIS WELL I CLICK ON THIS ONE. STEVE PICKED ME JUST YOU GOT ALL INSIDE RIGHT? YOU CAN MOVE ALL AROUND HERE AND IF YOU WANT TO DANCE I KNOW YOU WANT ME YOU CAN DO JUST GO OUT DO THAT'S A GENERAL YOU CAN DO MAYBE JUST OH JOHN DID YOU GET THAT FROM YOUR SEVENTIES EIGHT TRACK SELECTION? YEAH THAT'S RIGHT YES. YEP THAT'S MY THREE.

[00:10:01]

THERE'S A SWITCH THAT WENT ON OVER THERE THAT'S ALL ABOUT ELECTRICAL ROOM SO THAT IT'S IN PLACE WHEN THE ELECTRICAL CONTRACTOR COMES OUT AND STARTS DOING THEIR OH YEAH JUST PART OF THEIR SEQUENCING. YEAH YEAH YEAH THAT WAS IT WAS A MONSTER TOOK 3 HOURS TO SET THAT THING IT'S BIG SO THAT'S NICE BUT WE TOOK THESE FOR US THE END OF LAST SO OVER THE WEEKEND THEY DID SOME MORE PAVING SO THE ROAD OUT FRONT OF THE TERMINAL IS PAVED NOW AND ACTUALLY SINCE THEN THE CENTER AT THE TERMINAL ARE CLOSED OFF AND ALL OF THAT SIDEWALK IN FRONT OF THE TERMINAL HAS BEEN RIPPED OUT. SO THINGS ARE MOVING PRETTY QUICKLY OVER THERE A LITTLE BIT MORE YOU SEE SOME OF THE NEW ASPHALT THERE AS YOU COME THROUGH A FEW MORE SO WE JUST HAD TO ADD THOSE IN. ALL RIGHT.

AND THEN WE JUST WE KEEP IT SHORT SO WE CAN GET TO VALERO. I DIDN'T WANT TO PUT THIS UP SO YOU ALL CAN SCAN THIS THING BUT IT TAKES YOU TO ENGAGEMENT HQ AND THAT'S A I DON'T KNOW WHAT WE CALL IT. IT'S LIKE A PR PLATFORM THROUGH COUNTY AND IT'S A SOFTWARE PROGRAM THAT THE COUNTY BOUGHT INTO AND WHAT IT DOES IT ENABLES YOU TO KEEP UP WITH THE PROJECT. YOU BASICALLY FOLLOW THE PROJECTS AND ROSY YOU POST UPDATES EVERY WEEK, SHOW NEW PHOTOS AND THINGS LIKE THAT. BUT IT'S A GREAT WAY TO TO KEEP UP UP ON WHAT'S GOING ON AND I'VE TALKED TO PEOPLE AT THE TERMINAL SOME THE THE THE EMPLOYEES OVER THERE WHO HAVE GIVEN THIS LINK TO FAMILY MEMBERS OUT OF TOWN AND THEY'RE KEEPING UP WITH OUR PROGRESS SO IT'S KIND OF FUN TO DO THAT AND IT'S IT'S AN EASY WAY TO TO KEEP UP SO THAT'S ALL I'VE GOT IN MY REPORT SO WE CAN ZIP ALONG YOU KNOW EVERYBODY THE CHAIN IF YOU DIDN'T WE'LL GET YOU THAT LINK NOW MY MAIN QUESTIONS FOR JOHN ON ANY ANYTHING THAT I DO HAVE A QUESTION ON THE ONE SLIDE YOU HAD BEFORE IS THERE IS A PLANE LOOK LIKE IT WAS LANDING RIGHT BEFORE THE RIGHT BEFORE THE VIDEO WAS THAT FROM THE CONCOURSE? YEAH. I DON'T KNOW WHAT THAT WAS FOR A FEW MADE THAT YEAH THIS ONE RIGHT HERE YEAH WHAT IS THAT. WELL IF YOU LOOK AT THAT PICTURE IT'S LIKE A RENDERING. I MEAN WHERE DID THAT COME FROM? RUSSIA. OH IT'S JUST A PICTURE AND THEN IT'S JUST A OKAY.

SO IT NEVER ACTUALLY REALLY HAPPENS IN THE STORY. IT NEVER REALLY HAPPENED.

OKAY. THERE SHOULD A DISCLAIMER ON ANY PICTURE LIKE THAT.

YEAH. LIKE IF YOU LOOK IT'S KIND OF FUZZY SO YEAH NOW THAT I LIKE THAT I JUST GOT QUICK GLANCE I WAS LIKE WHAT THAT PLANE WAS THAT YEAH.

OKAY YEAH I'M APPLIED TO ALL THOSE PLANES THAT WERE OVER THERE W2 NO THOSE ARE REAL.

YEAH, YEAH, THOSE ARE REAL. ALL RIGHT, SO SOMEBODY NEEDS TELL ME WHAT'S NEXT WHEN WE HAVE RUSSIA WE HAVE LOOKED IT UP. IS IT ON ANOTHER STICK? YEAH. NO, IT'S ON THE DESKTOP SO YOU CAN SEE OH THERE IT IS RIGHT THERE. OKAY ALL RIGHT. SO AT THIS POINT, LIKE I SAID, WE'VE GOT VALERO AVIATION. TIM HAD TO CATCH A FLIGHT BACK. HE'S GOT TO GO ALL THE WAY OUT TO PORTLAND, OREGON TODAY. GOD BLESS HIM. BUT MIKE AND ELIZABETH ARE HERE SO THEY'RE GOING TALK TO YOU A LITTLE BIT ABOUT THEIR SERVICE DEVELOPMENT AND THEN THE MARKETING COMPONENT THAT AS WELL. WE DID A BRIEF THIS MORNING WITH SOME OF THE KEY CHAMBER PARTNERS AND. WE HAD BCB STAFF IN THERE AS WELL AS OUR CONVENTION BUREAU AND AS WE TALKED THROUGH SOME STRATEGIES AND KIND OF WHERE WE ARE AS AN AIRPORT WHERE INDUSTRY IS AND I GOT SOME GOOD FEEDBACK FROM THEM WE'LL CONTINUE TO TO WORK WITH THEM ON ON YOU KNOW HOW WE CAN BEST YOU KNOW SERVE THE NEEDS THAT THEY'VE GOT AND. ONE OF THE BIG TAKEAWAYS WAS LET'S LOOK AT THAT SHOULDER SEASON AND FIND SOME WAYS THAT WE CAN SHORTEN THAT UP OR FILL SOME OF THE GAPS THAT HAPPENED THE SHOULDER SEASON THAT BENEFIT THE ENTIRE ISLAND. SO THE MORE MORE PEOPLE CAN FLY AND THE MORE PEOPLE BE AT THE RESORTS IN THE HOMES AND VILLAS AND THINGS LIKE THAT AND AND MAKE EVERYBODY'S LIFE A LITTLE BIT BETTER. SO WE'LL HAVE MORE TAKEAWAYS THAT WILL WE'LL TALK ABOUT AS THAT DEVELOPS. BUT THE OTHER HALF OF THEIR &-PD LETTING THEM KNOW LETTING YOU GUYS KNOW KIND OF WHAT WOULD THEY DO FOR US ON DAY TO DAY MONTH TO MONTH BASIS SO THAT YOU UNDERSTAND, YOU KNOW, HOW WE'RE ENGAGED WITH THEM AND WE WANT TO JUST DO QUESTIONS AT THE END. IF WE HAVE QUESTIONS WE JUST DO THAT TO YOU GUYS WHATEVER WHATEVER WORDS THAT ARE I DON'T THINK IT VERY OFTEN.

OKAY. ALL RIGHT. SO THERE IT IS.

YOU GUYS HAVE QUESTIONS I WILL AS WE GO THROUGH SO I THINK WE JUST RUN THAT LIKE THAT AND I KIND OF GET RID OF THAT LITTLE AUDIO MESSAGE THINK OH HERE WE GO.

[00:15:01]

ALL RIGHT. GOOD AFTERNOON EVERYONE. MY NAME IS MIKE MONI.

I'M ONE OF THE MANAGING PARTNERS OF VALERA CONSULTING AND WITH ME IS ELIZABETH FLORES . SHE IS PART OF THE TEAM AND WE ARE GOING TO MAKE A PRESENTATION. LET'S SEE IF I CAN FIGURE OUT WHAT BUTTON TO PUSH HERE.

NOW JUST CLICK THE MOUSE. THERE WE GO AT WORK WE'LL DO INTRODUCTIONS.

I'LL DO AN AIR SERVICE AND INDUSTRY UPDATE. TALK ABOUT THE DEPARTMENT OF MARKETING GRANT INBOUND MARKETING FOCUS QUESTIONS AND AT ANY TIME YOU GOT SOMETHING JUST LET US KNOW WE ARE TOTAL OF TEN PEOPLE FOUR PARTNERS MYSELF AND THREE OTHERS AND THEN SIX TEAM MEMBERS. YOU CAN SEE ELIZABETH THERE AND MYSELF IN THE MIDDLE TIM SIEBER IS ONE OF OUR CONSULTANTS AND HE WAS HERE WITH US TODAY. BUT LIKE SAID HE LIVES ON THE WEST COAST SO HE'S A LONG WAY TO GET HOME. WE'RE ALSO GOING TO MENTION MELISSA AND LAUREN WHO ARE PART OF OUR TEAM AND CONTRIBUTE TO THE WORK WE DO.

AIRLINE INDUSTRY UPDATE PILOT SHORTAGE HAS EASED I'M SURE YOU'VE ALL HEARD THROUGH MEDIA THAT THE AIRLINE INDUSTRY HAS GONE THROUGH PILOT SHORTAGE. IT HAS TEMPORARILY EASED SOME OF THE PASSENGER AND CARGO CARRIERS IN THE U.S. INDUSTRY ARE OVEREXTENDED AND THEREFORE THEY'RE ACTUALLY DOING FURLOUGHS AND LAYOFFS AND STOPPED HIRING.

SO THAT MEANS THAT THE REGIONAL CARRIERS ARE LESS PRESSURE TO TRY AND REPLACE PILOTS THAT ARE GETTING HIRED BY THE BIGGER AIRLINES. HOWEVER, THIS IS TEMPORARY THE DEMOGRAPHIC CURVE OF RETIREMENTS OF GRAY HAIRED MEN AND WOMEN WHO'VE BEEN FLYING AIRPLANES 30 OR 40 YEARS THAT IS STILL AHEAD OF THE NEW HIRE CURVE BECAUSE OF THE REQUIREMENTS ARE SO ONEROUS RIGHT NOW TO BECOME AN AIRLINE PILOT VERY TO GET THERE SO WE SEE THE RETIREMENT CURVE AHEAD OF THE NEW HIRE PLUG IN CURVE ALSO PILOT PRODUCTIVITY IS DOWN POST-COVID. THERE'S MANY REASONS FOR IT. I WON'T GO INTO IT BUT BOTTOM LINE IS WHAT IF IF AN AIRLINE 100000 HOURS OF AIRPLANE TIME TO FLY FOR A PERIOD OF TIME IT TOOK LET'S SAY 1200 PILOTS TO DO THAT IN 2019. TODAY IT TAKES 1300 PILOTS TO DO THE SAME THING THAT 1200 PILOTS DID BECAUSE PRODUCTIVITY'S DOWN AGAIN THAT THAT FORCES THE SHORTAGE ISSUE GOING FORWARD. ONE OF THE WAYS WE SCAN HOW THE INDUSTRY IS DOING IS THE TURNSTILES. IT'S KIND OF LIKE THE MOVIE THEATERS. THE TSA IS LIKE THE MOVIE THEATERS IN OTHER WORDS YOU GET IMMEDIATE FEEDBACK ON THE BOX MONDAY MORNING YOU KNOW WHAT MOVIE DID WELL THAT PAST WEEKEND THE TSA SCREENING THEY HAVE A WEBSITE AND THAT WEBSITE THIS IS HOW MANY PEOPLE WE SCREENED YESTERDAY SO YOU CAN TRACK YEAR OVER YEAR SO OCTOBER OF 2020 FOR TSA SCREENINGS IN THE UNITED STATES WERE UP 0.8%. OKAY.

WHAT DOES THAT MEAN 2020 FOR DOMESTIC SEAT CAPACITY UP 2.2%. SO AGAIN THERE'S AN INDICATION THERE'S A LITTLE BIT TOO MANY SEATS CHASING A LITTLE BIT TOO FEW PEOPLE LEISURE TRAVEL TO THE BENEFIT OF HILTON LEISURE TRAVEL HAS MORE THAN FULLY RECOVERED FROM THE PANDEMIC BUSINESS TRAVEL HAS NOT THERE ARE FUNDAMENTAL SHIFTS POST-COVID THE ROAD WARRIORS THAT WE'RE ON THE ROAD ONCE A WEEK EVERY WEEK WHILE THEY'RE ON THE ROAD TWICE A MONTH NOW AND THEY DO TEAMS CALLS OR ZOOM CALLS OR SOMETHING LIKE THAT THE REST OF THE TIME.

SO THE NETWORK AIRLINES THAT SERVE THIS AIRPORT AMERICAN DELTA UNITED THEIR GLOBAL SYSTEMS WERE BUILT PRE-COVID ON HAULING ROAD WARRIORS FOUR TIMES A MONTH.

WELL NOW THEY'RE ONLY GOING TWO TIMES A MONTH SO THEY ARE NOW AGGRESSIVELY CHASING UPSCALE LEISURE TRAVEL WHICH AGAIN IS TO THE BENEFIT OF COMMUNITY 2020 4Q2 DOMESTIC AVERAGE FARE IS ACTUALLY YOU'RE NOT GOING TO BELIEVE IT DOWN 3% FROM 2020 TO 2023 Q2 BUT IS UP 9% FROM 2019 Q2. HOWEVER THINK, ABOUT WHAT'S HAPPENED TO INFLATION SINCE 2019 ACTUALLY THE AIRLINES BY THAT MEASURE ARE STILL BEHIND ON RAISING FARES TO MATCH INFLATION OIL ABOUT $70 A BARREL RIGHT NOW LAST YEAR IT WAS ABOUT 76 BUT IN 2019 IT WAS $59 A BARREL. OKAY. WHAT'S GOING ON IN THE INDUSTRY ? THE TWO BIG DOGS DELTA AND UNITED ARE PERFORMING EVEN WITH SOFTENING DEMAND. THE THIRD BIG DOG AMERICAN IS TRACKING A LITTLE BIT BEHIND

[00:20:06]

JETBLUE IS NETWORK. THEY WERE GOING TO MERGE WITH SPIRIT THEY WERE GOING HAVE AN ALLIANCE WITH AMERICA AND NOW THEY'RE GOING TO KIND OF LOOK LIKE MINIATURE AMERICAN OR A MINIATURE DELTA WHICH IS AN INTERESTING STRATEGY CHOICE ON THEIR PART.

THERE ARE TWO NEW AIRLINES THAT HAVE EMERGED BELIEVE IT OR NOT CAPITALISM AND INNOVATION IN OUR COUNTRY IS IS ABSOLUTELY ALIVE. WHO WOULD START AN AIRLINE AROUND A PANDEMIC? WELL, TWO PEOPLE DID AVELO AIRLINES IS DOING BETTER THAN BREEZE AIRWAYS. BREEZE AIRWAYS IS THE OTHER ONE NOW ACRONYMS YOU'LL SEE SEE HAVE TO MEMORIZE THIS YOU BE TESTED LATER ULTRA LOW COST CARRIER FRONTIER IS ONE OF THEM AND THEY ARE SHIFTING STRATEGY BECAUSE THEY'RE HAVING SOME OPERATIONAL ISSUES.

YOU ARE SPIRIT AIRLINES YOU PROBABLY SAW IN THE PRESS HAS FILED CHAPTER AND I WHEN I TYPED THIS WAS THEY WERE GOING TO FILE CHAPTER 11 BUT THEY FILED IT A COUPLE OF DAYS AGO AND THERE ARE OTHER U.S. CARRIERS THAT HAVE FIGURED PROSPEROUS STRATEGIES WAY OVER ON THE WEST COAST ALASKA AIR BOUGHT HAWAIIAN AIRLINES AND THAT MEANS GOING TO GO THROUGH ALL THE CHALLENGES OF MERGER SELF EARTH CAROLINA AIR SERVICE UPDATE SOLID TRAFFIC GROWTH ACROSS ALL OF YOUR STATE AIRPORTS IN 2024 SOLIDLY SOLID SEAT CAPACITY GROWTH AS WELL IN 2024 TOTAL AIRLINES STATE TRAFFIC WILL AGAIN SET A RECORD IN 2024 BREAKING THE RECORD 23 AND 23 WAS AN ALL TIME HIGH BOTH TRAFFIC AND STATE CAPACITY ARE UP ABOUT 10% IN 24.

SO DESPITE THE COUNTRY BEING OUT OF ALIGNMENT A LITTLE BIT ON CAPACITY AND DEMAND, SOUTH CAROLINA IS NOT INTERESTING NOTE HERE OFF IN THE PAST 11 YEARS THE AVERAGE SIZE OF AN AIRPLANE CARRYING PASSENGERS IN SOUTH CAROLINA HAS GROWN FROM 76 SEATS TO 118 SEATS.

TWO REASONS FOR THAT THE BIG ONE IS THE PILOT SHORTAGE. BUT IF YOU'RE SHORT OF WHAT ARE YOU GOING TO DO YOU'RE GOING TO PUT THEM IN A BIGGER AIRPLANE. THEY'RE GOING TO HAUL AROUND 100 SEATS INSTEAD OF 50 SEATS. AND THE OTHER REASON IS IS JUST THE SMALLER AIRCRAFT ARE AGING OUT AND THERE ARE NO NEW AIRCRAFT TO REPLACE THEM. SO WE ARE SEEING LARGER LARGER AIRCRAFT IN THE STATE. THE U.S. CARRIERS, THE ONES THAT CAN'T FIT ON THE HILTON HEAD RUNWAY. THEY FLY BOEINGS AND AIRBUSES THEY'RE ADDING CAPACITY AND SERVICE IN YOUR STATE. THEY CHARLESTON AND MYRTLE BEACH IN PARTICULAR ARE DRIVING THE ATTENTION THE AIRLINE INDUSTRY HAS DISCOVERED SOUTH CAROLINA AS A LEISURE IN IN IN MACRO IN AGGREGATE AND FINALLY DO YOU ALL HAVE AN AMERICAN FREQUENT FLIER CARD IN YOUR POCKET? WELL, NO, NO. DELTA NO DELTA PILOT.

WOW. I DIDN'T KNOW. OKAY.

SO OKAY, THAT'S ONE NO ON AMERICAN. OH YEAH.

BUT ANYWAY DELTA AND AMERICAN CARRIES 50% OF THE TRAFFIC IN YOUR STATE AND THEREFORE THERE IS BRAND PREFERENCE THERE FOR LOCAL RESIDENTS GOING TO GRAVITATE IN THAT DIRECTION.

HERE'S CAROLINA ANNUAL DOMESTIC TRAFFIC BY CARRIER TYPE SO THE NETWORK THE ULTRA LOW COST CARRIERS AND THEN CHARTERS AND AIRLINES WHAT YOU SEE HERE I DO PRESENTATION ALL OVER THE COUNTRY YOU SEE THE GRADUAL CLIMB THROUGH THE THE PREVIOUS DECADE AND THEN OF THE PANDEMIC HIT US IN 2020 MANY STATES IN THE COUNTRY THIS CHART THE BARS ON THE RIGHT SIDE HAVE NOT RECOVERED TO 2019 LEVELS YET IN SOUTH CAROLINA THEY HAVE MORE THAN RECOVERED SO YOUR AIRLINE INDUSTRY IN THE STATE IS QUITE HEALTHY SO THIS IS LET'S SEE TRAFFIC AIRLINE TRAFFIC THERE'S A MAP THERE'S THE AIRPORTS THAT HAVE AIR SURFACE IN THE IN THE STATE AND ON THE LEFT THERE YOU SEE THE THE THE LITTLE GRAPH OR CHART THE BIGGEST GROWTH IN TSA SCREENINGS JANUARY THROUGH

[00:25:05]

FLORENCE HAS A BIG GROWTH THERE BUT FROM A VERY, VERY SMALL BASE BECAUSE IT'S VERY SMALL AIRPORT IN TERMS TRAFFIC AND THEN THIS IS SEAT CAPACITY AND AGAIN HEY, 10% TRAFFIC INCREASE ,10% CAPACITY INCREASE. ALL RIGHT. THE AIRLINES DID A PRETTY GOOD JOB IN THIS STATE IN THIS YEAR. SO THIS IS YEAR 23 VERSUS YEAR 24.

AGAIN THE BIG GROWTH GREENVILLE, SPARTANBURG MYRTLE BEACH AND FLORENCE FROM A VERY SMALL BASE. ALL RIGHT. SO HERE'S HISTORY 2014 THROUGH 2020 FOR AN 11 YEAR PERIOD, THE NUMBER OF SEATS OFFERED IN THE STATE EACH YEAR AND HOW IT CHANGED AND OF COURSE 2020 IS HIGHLIGHTED IN THE MIDDLE THERE NUMBER OF AND AS YOU CAN SEE AND THEN THE AVERAGE NUMBER OF SEATS PER PER FLIGHT YOU SEE THE GROWTH FROM 76 SEATS PER FLIGHT TO, 118 SEATS PER FLIGHT AND ALL THOSE CHANGES OVER THAT PERIOD OF TIME.

SO I ASK THE FREQUENT FLIER CARDS THIS IS THE REASON WHY BETWEEN AMERICAN AND DELTA 50% OF STATE TRAFFIC IS ON THOSE TWO AIRLINES UNITED AND SOUTHWEST, THE OTHER TWO BIG CARRIERS ARE VERY SMALL PARTICIPANTS BUT YOU HAVE IN SOUTH CAROLINA A WIDE VARIETY OF SMALLER AIRLINES OPERATING IN THE STATE WITH SMALL PERCENTAGES OF TRAFFIC.

SO LET'S ZOOM IN ON HILTON HEAD AND SEE WHAT'S GOING ON NONSTOP SERVICE TO EIGHT CITIES THE SUMMER OF 2024 ON THE MAP THERE ON THE RIGHT AMERICAN UNITED THE ONLY ROUNDTRIP SERVICE WHICH IS IRRITATING FOR US AND SOMETHING WE'D LOVE TO CURE IS TO CHARLOTTE.

CHARLOTTE IS A HUGE HUB AIRPORT OF THE LARGEST IN THE AMERICAN AIRLINES SYSTEM AND THEN DELTA AND UNITED COME IN SEASONALLY SPRING SUMMER FALL DELTA SERVICE TO ATLANTA WHICH IS THE LARGEST HUB AIRPORT IN THE WORLD AND THEY HAVE NEW YORK, LAGUARDIA, NEWER UNITED SERVICE TO NEWARK AND CHICAGO O'HARE. ALL RIGHT. HERE'S THAT BAR GRAPH HILTON HEAD AND I THINK WE CAN ALL REMEMBER BACK TO THE BAD TIMES PRIOR TO THE RUNWAY EXTENSION YOU HAD THE TURBOPROP DASH EIGHTS USAIR THE RUNWAY WAS 4300 FEET LONG KIND OF LIKE AN AIRCRAFT CARRIER OR SOMETHING YOU HAD CATAPULT, RIGHT? YOU USED AND THEN ARRESTING WIRES THE PLANE LANDED, THE RUNWAY WAS EXTENDED AND BOOM LOOK WHAT HAPPENED.

TRAFFIC GREW IN 2019. THEN OF COURSE THE PANDEMIC HIT US AND THEN 2021 WAS AN ANOMALY. THE SUMMER OF 2021 THE NETWORK CARRIERS WERE THERE OKAY, NO BUSINESS TRAVEL. WHAT DO I DO REVENGE TRAVEL EVERYBODY'S GETTING OUT TO GO LEISURE UNITED AIRLINES CAME UP WITH THE IDEA AND THEY ADDED SAINT LOUIS COLUMBUS CINCY PITTSBURGH INDIANAPOLIS, CLEVELAND OR SOMETHING LIKE THAT FROM HILTON HEAD JUST FOR THAT SUMMER BECAUSE THEY COULDN'T FIND ANY BRIEFCASES TO CARRY ANYWHERE.

SO WE HAD A HUGE SPIKE IN 2021 AND THAT I THINK JOHN AGED ABOUT NINE YEARS THAT SUMMER BECAUSE IT WAS KIND OF CROWDED AT THE AIRPORT SO THEN 2022, 23, 24 WE'RE KIND OF BACK TO WHERE WE ARE RIGHT? WHICH IS A VERY STRONG SUMMER SEASON, A VERY SLOW WINTER AND WE WANT TO GROW THE SHOULDER PERIODS. SAVANNAH I JUST WANT TO TOUCH ON SAVANNAH VERY BRIEFLY. I'VE I'VE SAVANNAH IN THE 11 YEARS 14 TO 24 TRAFFIC CAPACITY HAS MORE THAN DOUBLED LIKE ALL DOMESTIC GOT HIT BAD WITH WITH THE PANDEMIC IN 2020 BECAUSE THEY HAVE LONG RUNWAYS THEY ARE ATTRACTING THE ALLEGIANCE THE SPIRITS THE FRONTIERS AND THOSE ARE THE HIGH VOLUME CARRIERS THAT YOU KNOW, 180 SEATS ON AN AIRPLANE OR SOMETHING LIKE THAT. SO A LOT OF THEIR GROWTH FOR EXAMPLE THE NUMBER OF CARRIERS ARE IN GREEN THAT'S ALL ULC SEES ULTRA LOW COST CARRIERS AND A LOT OF THEIR SEAT GROWTH IS YOU ACTUALLY SEES RIGHT NOW WITH THE RUNWAY THE WAY IT IS AND HILTON HEAD JUST CAN'T GET AT THAT BECAUSE THOSE CARRIERS WON'T FIT ON IT OVER TO ELIZABETH HOTEL.

I AM. ALL RIGHT. THANKS, MIKE.

THANK YOU GUYS FOR HAVING US HERE. SO AS JOHN IDENTIFIED I WORK WITH MIKE ON THE AIR SERVICE MARKETING SIDE OF THE LEDGER. SO WHAT WE DO THIS IS KIND OF JUST THAT OVERVIEW OF SOME OF THE STUFF THAT MY SIDE OF THE TEAM MYSELF MELISSA AND LAUREN ON OUR TEAM HOW JOHN AND THE AIRPORT WITH WE WORK WITH STEVE OUR CEO AND MARLENE AS WELL IN THE OFFICE OFTEN TO LAY OUT THE BUDGETS THAT THE AIRPORT HAS FOR DIFFERENT

[00:30:07]

MY FAMILY HAS BEEN COMING DOWN HERE SINCE BEFORE I WAS AROUND SO IT'S A LITTLE TASTE OF HOME FOR ME TO GET TO WORK WORK ON IT WHEN I'M AWAY BUT WE COME DOWN 2 TO 3 TIMES A YEAR OURSELVES. SO I LIKE TO JUST KIND OF POINT OUT TO YOU GUYS AS AS OUR CHAMBER AND LOCAL PARTNERS TO THAT IN A SENSE I AM THAT VISITOR SO AT LEAST I FEEL LIKE I HAVE SOME INSIGHT INTO WHAT WE'RE TRYING TO MARKET TOO. SO THESE ARE MY KIDS AND MY NIECES AND NEPHEWS. SOMETIMES WE USE THEIR PHOTOS ON SOCIAL MEDIA AS WELL.

SO WE'RE LACKING PICTURES. JUST A LITTLE BIT OF INSIGHT THERE FROM A MARKETING AND ADVERTISING PERSPECTIVE AS YOU GUYS ARE PROBABLY WELL AWARE BUDGET SOURCES FOR ADVERTISING THE AIRPORT HAS ITS OWN MARKETING BUDGET WHICH IS APPROXIMATELY ABOUT $100,000 A YEAR AND THAT'S PULLED FROM THE MAIN AIRPORT BUDGET THAT WE WORK ON LAYING OUT THROUGHOUT THE FISCAL YEAR. ON TOP OF THAT THE AIRPORT'S BEEN SUCCESSFUL OVER THE PAST FEW YEARS IN APPLYING FOR BOTH TOWN TAX DATA AND TAX AGE TAX AS WELL AS OUR RECENT WIN WITH THE DEPARTMENT OF TRANSPORTATION AND A SMALL COMMUNITY OR SERVICE DEVELOPMENT GRANT WHICH WE'LL TALK ABOUT AS WELL. THOSE PIECES HAVE ALLOWED THE AIRPORT TO EXPAND UPON THAT WITH THE LIMITED FUNDS THAT THEY'VE HAD IN REALLY TRYING TO GET OUT THERE AND REACH THOSE KEY INBOUND MARKETS ON TOP OF SOME OF THE LOCAL ADVERTISING AND IN PERSPECTIVE THE LIMITED AMOUNT OF FUNDS THAT WE'VE HAD IN TERMS OF REACHING THOSE KEY MARKETS ARE VERY MINIMAL IF YOU THINK ABOUT MAJOR KEY MARKETS THAT WE'RE TRYING TO REACH AND THE BIG THE YOU KNOW, THE LARGE AMOUNTS OF PEOPLE THAT LIVE IN THOSE METRO AREAS OR SLOWLY MAKING HEADWAY AND WE'RE SLOWLY MAKING SURE THAT MORE AND MORE PEOPLE COMING UNDERSTAND THAT THE INCREASED OPTIONS THAT THE AIRPORT HAS WITH HUB CONNECTIVITY THAT WE'VE GAINED OVER THE LAST FEW YEARS AND PLEASE FEEL FREE TO INTERRUPT WITH QUESTIONS IF YOU HAVE IF YOU THEM AS THINGS COME UP. SO THIS IS JUST A LITTLE BIT A LOT OF THIS PRESENTATION GAVE THIS MORNING WITH OUR CHAMBER PARTNERS BUT SO YOU GUYS HAVE THE SAME BACKGROUND. THERE IS ALSO A HUGE IMPORTANCE IN AIR SERVICE ADVERTISING AND WHEN WE TALK ABOUT GROWING THE SHOULDERS IS AND THAT MIKE WAS TALKING ABOUT AND HAVING FURTHER WITH AIRLINE PARTNERS ON THE AIR SERVICE SIDE SHOWCASING THAT COMMUNITY SUPPORT AND THE FACT THAT WE ARE WORKING ON YOU KNOW MAKING SURE THAT THOSE ROUTES THAT WE HAVE ARE SUCCESSFUL AND PULLING THE RIGHT DATASETS FROM OUR PARTNERS TO HELP SHOW THAT WE DO YOU KNOW THE AIRPORT NEAR ISLAND WANTS THIS INCREASED SERVICE ON SHOULDER MONTHS IS VERY IMPORTANT AND A WHOLE A WHOLE NOTHER PIECE OF WHAT WE'RE WORKING RIGHT NOW.

AGAIN, THIS KIND OF TAPS INTO THIS. WE ARE TRYING TO HIT IT HOME WITH THAT AUDIENCE AND I THINK WE'VE MADE SOME GOOD HEADWAY AS WELL.

BUT THAT COMMUNITY AND SUPPORT IS ISLAND SUPPORT AND AIRPORT SUPPORT AND IT MEANS AIRPORTS SUCCESS. SO FOR EACH OF THOSE PASSENGERS, EVERY ARRIVAL, EVERY PASSENGER ADDS UP FOR THE COMMUNITY AND WE'RE TRYING TO WORK WITH WITH LOCAL TO MAKE SURE THAT, YOU KNOW, WE CAN GET MORE AND MORE PEOPLE TO FLY IN TO HERE AS WE'RE ABLE.

SO THE NEXT COUPLE OF SLIDES I'LL JUST KIND OF TAP ON INBOUND AND LOCAL ADVERTISING.

SO ON THE INBOUND SIDE WITH THE FUNDS THAT WE'VE HAD AVAILABLE WE FOCUSED ON A LOT OF DIGITAL MARKETING BECAUSE AGAIN THERE'S ONLY SO MANY DOLLARS TO SPREAD. SO WE'VE TARGETED SPECIFICALLY SOME OF THE KEY INBOUND MARKETS THAT WERE IDENTIFIED BY THE BCB PARTNERS WELL AS WHAT WE HAD IN TERMS OF NONSTOP SERVICE IN THE LAST FEW YEARS AS WELL AS SOME OTHER DATA POINTS BUT DALLAS, CHICAGO, ATLANTA, WASHINGTON D.C., BOSTON. NEW YORK, OHIO, PENNSYLVANIA.

INDIANAPOLIS AS WELL AS OTHERS BUT WE WORK ON TARGETING THOSE DIGITALLY.

WE CAN KIND OF REACH REACH THE FOLKS THAT WE'RE TRYING TO GET TO COME IN HERE JUST MAKE THEM AWARE OF THE ADDED OPTIONS TO THE AREA. WE'RE GOING TO CONTINUE TO PUSH THAT THIS WINTER. WE'VE MOVED INTO STREAMING AND VIDEO AND THEN WE'RE RIGHT NOW WORKING TO TRY TO GET SOME PROMOTIONS AND GIVEAWAYS GOING THIS WINTER AS WELL JUST TO KIND OF AGAIN GAIN INTEREST, GIVE PEOPLE A REASON TO MAYBE GIVE US LITTLE BIT MORE OF THEIR INFORMATION AN EMAIL ADDRESS IF THEY SIGN UP FOR A CONTEST SO THAT WE CAN REMARKET TO THEM LATER MOVING INTO 2025 AND THEN INTO 2026, JOHN AND I HAVE BEEN HAVING DISCUSSIONS

[00:35:01]

THIS IS A SNAPSHOT, SOMETHING THAT WE SHARE WITH OUR AIRLINE PARTNERS WHEN WE'RE HAVING CONVERSATION WITH THEM ABOUT POTENTIAL SERVICE. THIS IS A SNAPSHOT OF SECOND HOME OWNERS AND WHERE THEY LIVE. THEY OWN SECOND HOMES HERE LOCALLY. THIS IS BASED ON TEXTUAL DATA AND OUT SO THIS JUST HELPS US TO SHOW DATA LIKE THIS. DATASETS LIKE THIS HELP US TO SHOW OUR AIRLINE PARTNERS WHERE POTENTIAL COULD COME FROM AND IT ALSO HELPS ME ON THE MARKETING SIDE WORK, JOHN, TO FIGURE OUT WHERE WE SHOULD BE REACHING FOLKS THIS I TOUCHED ON THIS A MINUTE AGO SO I WANT I WANT TO HAVE INTO THIS TOO MUCH BUT THIS JUST KIND OF AN OUTLINE OF HOW WHERE WE ARE WE TEND TO TO THE ADVERTISING ON AN INBOUND PERSPECTIVE RECENTLY BEEN MORE DATA DRIVEN SO IT'S BEEN A LOT OF TARGETED DIGITAL . WE ALSO FOCUS ON SOME OF THE KEY VISITOR PUBLICATIONS HERE LOCALLY BY CLICKING THE YEAH GO AHEAD ON THE ON THE PREVIOUS SLIDE BASED ON HOMEOWNER SO THAT YOU HAVE YOU KNOW SECOND HOMES HOW DOES THAT BECAUSE I KNOW ALSO IT'S GOING TO HAVE A LOT DO WITH THOSE DIRECT FLIGHTS AND SEEMS TO BE A LOT HERE IN THE NORTHEAST HOW DID THAT THE NUMBERS FROM THE STATES I DON'T KNOW IF WE KNOW THE PEOPLE THAT ARE FLYING AND REALLY WHAT STATE THEY'RE FROM BECAUSE A LOT OF TIMES PEOPLE ARE GOING TO DRIVE SOMEWHERE. HOW DOES THAT EQUATE TO THE HOME OWNERSHIP? IS IT PRETTY CLOSE TO THE SAME KIND OF PERCENTAGES? DO WE KNOW OR YEAH, A ROUGH CORRELATION BETWEEN PENCIL A SHARE OF SECOND HOME OWNERSHIP AND PENCIL BEING YOUR SHARE OF HILTON HEAD TRAFFIC THE CORRELATIONS ARE NOT PERFECT BUT TYPICALLY THEY'RE MORE ON TO THE NORTHEAST THAN THEY ARE. SAME TO IOWA RIGHT? VERY SAMPLE RIGHT YOU GET WHEN YOU GET INTO SMALL SAMPLES AND THEN YOU GET LIKE SO PIECE OF DATA LIKE THIS TO OUR AIRLINE PARTNERS WE SHOW THEM WE ALSO RUN I'LL GET TO THIS IN A LITTLE BIT AS WELL BUT WE CAN TALK ABOUT IT NOW WITH THE RESORT PARTNERS THAT WE MET WITH THIS MORNING.

ONE OF THE THINGS THAT WE'RE WORKING ON RIGHT NOW IS, YOU KNOW, GLEANING EXTRA DATA FROM THEM YOU KNOW, IF THEY'RE WILLING TO SHARE IT IN AN AGGREGATED FORMAT WHERE TRAVELERS COMING IN FROM WHERE THEIR WEBSITE PINGS COMING IN FROM AGAIN NOT GOING TO, YOU KNOW, BE A TOTAL YOU KNOW, IT'S IT'S NOT GOING TO BE EQUAL WITH WHAT'S FLYING IN HERE OR WHAT'S FLYING INTO SAVANNAH OR ANYWHERE ELSE BECAUSE YOU'RE RIGHT, A LOT OF THEM WILL DRIVE IN BUT. WHAT IT DOES IS IT HELPS US TO SHOW THE AIRLINE PARTNERS THAT THERE'S INTEREST FROM THOSE AREAS MAYBE MORE SO THAT THEM THAN THEY THOUGHT OTHERWISE.

SO SOMETHING THIS IF WE'RE GOING AFTER, YOU KNOW, AN EXTRA EXTRA ROUTE TO SOMEPLACE, IT MIGHT IT MIGHT HELP US SHOWCASE THAT A BIT MORE. YEAH GO AHEAD AND DIFFERENTIATE KNOW WE'RE NOT WITH THESE SPECIFICALLY ANOTHER WAY THAT WE CAN DO THAT THROUGH THE ARC DATA THAT WE FEEL LIKE SO THERE'S THERE'S OTHER DATA SOURCES WHERE WE CAN DO THAT AND WE HAVEN'T DONE ONE LEAKAGE STUDY RECENTLY WITH JOHN BUT IT MIGHT BE SOMETHING AS THE NEW TERMINAL OPENS IN THE NEXT YEAR WE LOOK INTO IT SO WE'RE ABLE USE SIMILAR DATA THAT'S PULLED FROM WE CAN EXPLAIN OUR DATA BETTER THAN I CAN WRONG WRONG WRONG TEAM MEMBER HERE BUT IT BASICALLY PULLS TOGETHER A LEAKAGE STUDY SO IT SHOWCASES WHERE TRAFFIC IS COMING FROM AND WHERE THOSE BOOKINGS ARE COMING BASED ON WE ARE THE CREDIT CARDS THAT BOOK THE TRAFFIC YEAH THE DEPARTMENT OF TRANSPORTATION AIRLINE INDUSTRY IS INCREDIBLY TRANSPARENT INDUSTRY IT HAS TO REPORT EVERYTHING DOWN TO THE NICKEL AND THE DIME.

IT'S NOTHING IS HIDDEN FROM THE PUBLIC. SO THERE WHAT'S CALLED TICKET LIVE DATA THAT SHOWS US AIRPORT CITY PAIR BY CITY PAIR WHAT AIRLINE WHAT WHAT FARE WAS PAID AND IT'S ALL AGGREGATE AND INTO SOFTWARE AND THEN YOU CAN PULL IT UP SO I CAN PULL UP PENNSYLVANIA TO HILTON HEAD PENNSYLVANIA TO SAVANNAH AND PUT THEM SIDE BY SIDE AND LOOK AT THEM OR I CAN MERGE THEM TOGETHER TO SHOW THE TOTAL AREA MARKET.

THEN THERE'S ALSO WHAT'S CALLED ARC DATA WHICH IS 100% SAMPLE OF ALL TICKETS AND THAT GOES A LITTLE DEEPER AND YOU THOSE TWO WITH SEVERAL OTHER DATA SETS AND ONE OF OUR ONE OF MY PARTNERS IN THE FIRM KNOWS HOW TO PUT ALL THAT TOGETHER AND WHAT WE CALL A LEAKAGE STUDY WHICH HAS A WHOLE OF PROPRIETARY FORMULAS IN IT THAT ARE OVER MY HEAD BUT WE'RE ABLE THEN TO TAKE THE CATCHMENT AREA OF ZIP CODES AND DOWNLOAD EVERYTHING AND THEN CREATE BY CARRIER BY AIRPORT BY SEASON THE YEAR THE TRAFFIC FLOWS AND THIS MIGHT BE THE TIME FOR US TO APPROACH THAT NOW THAT WE'VE HAD SOME GROWTH I THINK WHEN LESLEY ASKED I WANT TO EXPAND

[00:40:05]

IT'S A DIFFERENT REVENUE SOURCE FOR GEORGIA OPPOSED TO SOUTH CAROLINA.

SO I'D BE INTERESTED IN KNOWING WHAT YOU WHAT FOLKS ARE DOING TO ENCOURAGE THE AIRLINES TO COME HERE INSTEAD. SAVANNAH, YOU ALREADY POINTED OUT THAT THAT ALL THE COST OF COURSE AIRLINES BECAUSE OF THE EQUIPMENT IS ONLY GOING TO SAVANNAH SO A REAL CHOKE POINT HERE PROBABLY HAS NOTHING TO DO THE NEW TERMINAL HAS TO DO WITH THE FACT THAT WE HAVE A LIMITED RUNWAY AND I DON'T KNOW HOW YOU DEAL WITH THAT RIGHT. WELL, I THINK THAT THAT WILL COME IN TO JOHN AND THE AIRPORT LAYOUT PLAN. I KNOW YOU GUYS ARE WORKING ON SHORT TERM UNTIL THAT RUNWAY SITUATION CAN CAN BE ADDRESSED. I THINK SHORT TERM WHAT OUR GOAL RIGHT NOW IS IS TO GROW THE SHOULDER SEASON THAT MIKE WAS TALKING ABOUT.

SO TALK THE AIRLINES ABOUT EXTENDING WHAT WE HAVE A LITTLE BIT FURTHER EACH SO THAT WE GET MORE AND MORE PEOPLE THAT COME BACK AND CONTINUE TO FLY AND THE MORE AND MORE THAT HAPPENS THE LONGER THEY'LL KEEP THEM IN OR THE CUT THE CITIES THEY'LL KEEP IN JUST A LITTLE BIT LONGER. SO SHORT TERM THAT'S WE'RE WORKING ON RIGHT NOW.

SO ONE OF OUR BIG PROJECTS RIGHT NOW IS AGAIN TO KIND GLEAN THAT DATA FROM SOME OF OUR RESORT PARTNERS AND SOME OF THE LOCAL COMMUNITY PARTNERS HERE TO HELP SELL THAT CASE BACK TO THE AIRLINES BECAUSE THEY CAME IN YOU KNOW HOW HARD AND STRONG I GUESS DURING YOU KNOW RIGHT, AFTER THE LAST RUNWAY EXTENSION AND THEN IT KIND OF TAPERED OFF AFTER COVID AND WE'RE WE'RE AT A GOOD PLACE RIGHT NOW BUT THERE IS A PLACE RIGHT NOW WE CAN GROW IN THAT SHOULDER SEASON AND THAT'S WHERE WE'LL HAVE TO GO UNTIL WE CAN GET TO THE POINT.

AND JOHN, IF YOU WANT TO TALK ABOUT RUNWAY EXTENSIONS, I'M CERTAINLY HAPPY TO TURN IT OVER TO YOU BUT THAT'S THE NEXT STEP IN TERMS OF THE PHASE OF GROWTH WILL BE WHEN THAT HAPPENS.

QUICK QUESTION THE IN 21 IS THE MODEL THAT YOU'RE NOT TO GET THE RUNWAY CORRECT.

SO THE MODEL IS TO GET MORE 175 FLY IN HERE CRASH AND GET THE AIRLINES TO CONCENTRATE ON THAT RIGHT BECAUSE FOR THE TIME BEING IT REALLY IS DOABLE. I THINK IF WE CAN GROW THAT THAT THE SHOULDER LIKE WE'RE TALKING ABOUT AND MAYBE WE GET A COUPLE OF POINT TWO POINTS BACK WITH SOME OF THOSE YOU KNOW SOME OF THE AIRLINES THAT ARE ABLE TO FLY IN HERE RIGHT NOW I'M VERY FAMILIAR WITH DELTA. SO IN ONE THEY HAD FOUR FLIGHTS RIGHT DURING THE SUMMER AND NOW THEY HAVE ONE, RIGHT. WELL THEY HAD TO START IN APRIL AND END IN OCTOBER SO. RIGHT. YEAH.

SO THAT'S OUR THAT'S OUR GOAL RIGHT NOW IS TO GET THEM ALL TO GROW JUST A LITTLE BIT AT THIS POINT OWNED BY THE MANAGER DELTA THIS SUMMER THAT THEY HAD NO INTENTION AND THEN THE NEXT SEASON BECAUSE OF THE NUMBER PLANES THEY ARE NOT IN SERVICE. RIGHT.

YEAH AND I JUST IT COST ME A LITTLE BIT THAT THE LOCAL FOLKS SHE TALKED TO ARE OUR LOCAL STATION MANAGERS AND THEY'RE NOT THOSE CORPORATE CALLS. SO TAKE THAT WITH A GRAIN OF SALT. THEY'RE READING THE NEWSPAPER JUST LIKE WE ARE.

YEAH. SO BE CAREFUL NOW THEY'RE THEY'RE ALL VERY GOOD QUESTIONS AND I THINK THE OPPORTUNITY FOR GROWTH IS THERE. BUT YOU KNOW THE POINT OF THIS IS WHERE WE'RE WORK. WE'RE TRYING TO WORK TO TELL THAT STORY THE BEST WAY THAT WE CAN AND THAT WAS WHY THESE MEETINGS WE HAD TODAY I THINK IT WORKS REALLY REALLY WELL IN IN THE AIRPORTS FAVOR I THINK WE HAVE SOME RESORT INTEREST IN GROWING THOSE POINTS AND HOPEFULLY GETTING BACK TO THAT GOAL THIS IS THIS IS ANECDOTAL BUT I USED TO FLY 200 PASSENGER PLANE INTO SAVANNAH IN THE EARLY 2000S DIDN'T DO THAT UNTIL JUST RECENTLY WE NOW DELTA FLIES 200 EVERY FLIGHT I THINK IS 200 PASSENGER AIRPLANE INTO THE SAVANNAH SO THAT YOU KNOW I I DON'T KNOW HOW THAT CORRELATES I'M NOT A DATA SCIENTIST SO BUT I FOUND THAT VERY INTERESTING I MEAN I THAT'S WHAT WE DID WE FLEW BIG AIRPLANES IN SMALL SMALLER AIRPORTS AND THEN WE GOT AWAY FROM THAT MODEL AND NOW NOW THEY'RE BACK TO IT.

WELL, THAT'S BECAUSE A LOT OF THE SMALLER PLANES ARE GOING AWAY TOO.

I THINK THEY'RE HAVING TO GO BACK TO THAT. YES.

YOU TALKED ABOUT OPPORTUNITY GROWTH AND AND WHEN YOU MET WITH DELTA, WHAT IS THEIR PUSHBACK OR REASONING FOR NOT HAVING THE CAPACITY IN THE SUMMER? THIS IS MY SIDE AGAIN. SORRY I'M BECAUSE THIS IS A TEAMWORK.

IT'S ACTUALLY AN AIRCRAFT TYPE SITUATION FOR DELTA VERY NUANCED SITUATION THERE.

ATLANTA HUB THE 76 SEAT GAUGE AIRCRAFT THEY CHOOSE TO USE IS THE SIERRA JANE 900 IT DOESN'T FIT ON RUNWAY THEIR GLOBAL FLEET HAS 170 IS ANYONE 75 WHICH IS THE 76 SEATER PLANE THAT DOES FIT ON THE RUNWAY THE ONLY THEY CAN PUT AN AIRPLANE IN HILTON HEAD IS TO DRAW IT

[00:45:04]

THANK YOU. THE QUESTIONS ARE GREAT SO LET'S THEM COMING.

SO THIS IS JUST ANOTHER LITTLE SNAPSHOT OF THE INBOUND PUSH MOVING INTO THIS NEXT YEAR.

A LOT OF THIS IS TAILORED TO THE AJAX REQUEST APPLICATION AND THAT WENT BACK IN FOR 2025 FOR THIS YEAR AS BECAUSE AS I MENTIONED FOR MOST OF THE INBOUND FUNDS ANYMORE THAT THAT IS THE PROGRAM THAT IS HELPING TO FUND IT SO WE'VE HAD A COOPERATIVE PROGRAM WITH THE VISITOR AND CONVENTION BUREAU FOR THE LAST FEW YEARS IT'S WORKED WELL IN GROWING THAT PARTNERSHIP WITH THE AIRPORT BETWEEN THEM AND KIND OF KEEPING THAT PLAYING FIELD EQUALING IT OUT A BIT IN TERMS OF YOU KNOW THEIR INTEREST IN THE AIRPORT.

IT ALSO HAS HELPED US TO ENSURE THAT WE'RE ABLE TO ADVERTISE THE AIRPORT WHILE THEY'RE HELPING TO ADVERTISE THE DESTINATION AIRPORTS THEMSELVES ARE NOT ACTUALLY SUPPOSED TO USE AIRPORT FUNDS AS YOU GUYS PROBABLY ARE AWARE TO ADVERTISE A DESTINATION.

BUT THIS COLLABORATIVE PROGRAM AND THE FACT THAT IT'S FUNDED THROUGH THE VCP ALLOWS US TO GET PEOPLE INTERESTED ABOUT COMING TO HILTON HEAD ISLAND BUT THEN ALSO TAP INTO THE FACT THAT WE'RE TELLING THEM ABOUT THE INCREASED SERVICE TO THE ISLAND ITSELF.

WE'RE ALSO WORKING ON SOME DIGITAL TARGETING AND REDUCING LEAKAGE.

WE'VE BEEN WORKING WITH THE EXPEDIA PROGRAMS WHERE WE'RE USING THOSE ONLINE TRAVEL AGENCIES TO TARGET PEOPLE THAT ARE SPECIFICALLY SEARCHING FOR FLIGHTS FROM SAVANNAH.

BUT THEN WE POP UP WITH AN AD THAT SAYS FLY FROM HILTON HEAD ISLAND INSTEAD.

SO WE'RE ACTIVELY, YOU KNOW, REACHING THE PEOPLE THAT ARE SEARCHING FLIGHTS FROM A COMPETITIVE AIRPORT AND SHOWING THEM OUR AD WHETHER RIGHT THEN AS THEY'RE BOOKING OR IT'S IN THE DAYS AFTER THEY'VE DONE THAT INITIAL BECAUSE OF THAT AS AS YOU GUYS I'M SURE ARE AWARE THIS POINT BUT YOU KNOW THE INTERNET TRAFFIC THE INTERNET ATTRACTS YOU SO THEY KNOW THAT IF YOU MADE THAT SEARCH BUT YOU HAVEN'T YET BOOKED A TICKET IT'S GOING TO TRACK YOU A COUPLE OF DAYS WITH THOSE ADS I OFTEN CALL THEM NICK SHOES THAT HAUNT YOU.

YOU LOOKED AT A PAIR OF SHOES YOU DIDN'T BUY THE SHOES THE SHOES ARE CHASING FOR A WEEK UNTIL YOU BUY THE SHOES. SO WE'RE TRYING TO BE THOSE PEOPLE WE'VE BEEN DOING FOR A WHILE BUT HOPEFULLY IT'S TAKING A LITTLE EXTRA STEP ESPECIALLY BECAUSE WE'RE ACTUALLY CHASING THE PEOPLE THAT SEARCH FOR OUR COMPETITORS OUR COMPETITORS SHOES INSTEAD OF OUR SHOES.

SO IT'S HOPEFULLY IT'S WORKING AND EVENTUALLY WE'LL TAKE PROGRESS.

BUT AGAIN WITH THE LIMITED FUNDS WE HAVE IT'S THE BEST WAY THAT WE'VE FOUND TO, YOU KNOW, REALLY REACH PEOPLE THAT WE KNOW ARE THINKING ABOUT AIRLINE TICKETS.

WE'VE ALSO BEEN INVOLVED IN KEY PUBLICATIONS LIKE SOME OF THE SURGE MENU GUY THE TRAVEL PLANNER THAT THE VCP PUTS AS WELL AS OTHER PROGRAMS TO REACH POTENTIAL.

THIS IS A SNAPSHOT OF SOME OF THE STATS THERE JUST UP JUNE OF THAT INBOUND PROGRAM WITH THE ECB. YOU KNOW, IT'S JUST KIND OF AGAIN TRYING TO PLAN YOUR YOU KNOW, PLAN YOUR ESCAPE SOME OF THEIR MESSAGING BUT GETTING THEM TO BOOK A FLIGHT INTO HILTON HEAD AND IT'S TAKING DIRECTLY TO A LANDING PAGE TALKING ABOUT THE HILTON HEAD ISLAND AIRPORT, THE AIRPORTS OFFERINGS LOCALLY AGAIN WE'VE BEEN TARGETING THE DIGITAL SIDE AS WELL AGAIN WITH LIMITED DOLLARS IT'S SOMETHING THAT YOU KNOW IS ABLE TO MAKE SURE THAT WE'RE REACHING THE PEOPLE THAT ARE IN TENDERS. THEY'RE ACTUALLY ACTIVELY SEARCHING SOME LOCAL PARTNERSHIPS AND SPONSORSHIPS. I WORK WITH JOHN'S AIRPORT TEAM HERE WHEN THEY GET THE CALLS OF OUR SPONSOR THAT SO SPONSOR THIS WE KNOW WE GET THROUGH THOSE AND TRY TO PICK THE ONES THAT ARE THE BEST FIT FOR THE BUDGET AT THE TIME AND THEN THE SCOUTS DO GRANT THE SMALL COMMUNITY OR SERVICE DEVELOPMENT GRANT THAT THE AIRPORT WAS SUCCESSFUL WITH AS A ALLOWED THE AIRPORT TO GET A LITTLE BIT OF OUT OF HOME BILLBOARD ADVERTISING OUT THERE AS WELL ONE THING I GOT TO MENTION AS AS WE'RE MOVING INTO NEXT YEAR WE'RE GOING TO WORK ON A PROCESS AND MAYBE WE CAN GET YOU GUYS A LITTLE BIT INVOLVED THIS AS WELL THIS YEAR AND HOW WE WANT TO MESSAGE THE AIRPORT'S ADVERTISING AS THE NEW TERMINAL OPENS IT WILL BE A FUN, YOU KNOW, NEW AIRPORT EXPERIENCE.

SO HOW WE UTILIZE YOU KNOW, UTILIZE THAT EXCITEMENT AND MESSAGING MOVING INTO THE NEXT YEAR THIS IS KIND OF JUST SHOWCASES YOU A LITTLE BIT OF WHERE WHERE WE'VE BEEN THE DOG GRANT FUNDING IS VERY MUCH TIED TO THE GOALS THAT THE DOG APPROVES IN THAT PROCESS.

SO WE HAVE TO MAKE SURE THAT THE ADVERTISER THAT'S USING THAT GRANT MONEY IS EDUCATING LOCALLY AND OUT OF MARKET THOSE VISITORS ON THE AIRLINE OPTIONS TO HILTON HEAD ISLAND AIRPORT ONE OF THE BIG MESSAGES THAT WAS TIED TO THE GRANT APPLICATION WAS THAT WE WANTED

[00:50:01]

SO A LOT OF THE MESSAGING AND FOR THE DEVELOPMENT GRANT IS IS TIED THAT TRYING TO MAKE SURE THAT THOSE FOLKS UNDERSTAND THAT THE HEAD ISLAND AIRPORT THIS ONE THAT WE'RE TALKING ABOUT IS NOT THE SAVANNAH HILTON HEAD ISLAND AIRPORT AND DIFFERENTIATING THAT PIECE WHEN ARE THINKING ABOUT US OR SEEING OUR ADS I'M ON THAT 5 MINUTES FROM THE HOTEL.

YEAH, THAT'S TRUE. THE ONE THAT'S RIGHT HERE. YES, EXACTLY.

THIS IS JUST A SNAPSHOT OF THAT PIECE WE'VE DONE SOME CREATIVE DEVELOPMENT ALONG WITH SCALZI GRANT TO KIND OF TIE INTO THAT MESSAGING. WE HAVE A PLACEHOLDER FOR SOME AIRPORT REFRESH AND OR POSSIBLY ADDING A BOOKING FEATURE TO THE WEBSITE.

THERE HAS BEEN SOME INDUSTRY SUCCESSES IN SOME SIMILAR SIZED AIRPORTS OF ACTUALLY ADDING A BOOKING TOOL THAT'S TIED TO KAYAK TO THEIR WEBSITE. SO LOOKING INTO THAT AND SEEING IF IT'S SOMETHING THAT WOULD MAKE SENSE BECAUSE, IT WOULD ALLOW THE AIRPORT TO HAVE A LANDING PAGE THAT WOULD SELL ALL THREE CARRIERS DIRECTLY THEIR THEIR THEIR WEBSITE AND SHOW FARES THAT ARE REAL TIME AND LIVE. SO IT'S SOMETHING WE'RE LOOKING INTO. IT'S NOT NECESSARILY DECIDED. AND THEN THE INBOUND PROGRAMING WE TALKED ABOUT AS AS EXPANDED PARTNERSHIPS THE AIRPORT HAD A SUCCESSFUL PARTNERSHIP YEAR WITH THE HERITAGE AND THAT'S PLANNED THE SKIES DE GRANT TO HOPEFULLY CONTINUE THAT AND JUST GET MORE AIRPORT AWARENESS OUT THERE AT EVENTS LIKE THAT THIS COMING YEAR SO THIS NEXT PIECE WITH OUR THIS MORNING AND WE'RE HOPING TO KIND OF HAVE THIS CONVERSATION WITH YOU OF WHERE IF WE STILL HAVE TIME IF NOT WE CAN GLAZE THROUGH IT. SO PLEASE I WANT TO BE RESPECTFUL OF YOUR TIME BUT THESE ARE DISCUSSION POINTS WHEN WE TALK WITH THE AIRLINE PARTNERS THAT ALWAYS TRY TO MAKE SURE IF WE WANT TO GROW IN THE FUTURE ATTRACTIVE SEND INCENTIVE PACKAGES, OPERATIONAL EFFICIENCIES WHICH ARE ALL AT AIRPORT SIDES OF THE HOUSE, THE MARKETING SUPPORTS THE LOCATION WHERE WE ARE. THOSE TRAVEL PATTERNS AND CORPORATE TOURISM PATTERNS THAT WE WERE TALKING ABOUT AS WELL AS HOW WE CAN DIFFERENTIATE THE AIRPORT FROM OUR COMPETITIVE AIRPORTS WHEN WE WORK WITH OUR PASSENGER MARKETING WE REALLY WANT TO TALK TO THEM AND REACH THEM SOMEHOW IN OUR MESSAGING ABOUT YOU KNOW HOW HOW IS OUR PRICE DIFFERENTIATED FROM OUR COMPETITORS HOW WHAT IS OUR CONNECTIVITY PERCEPTION WHAT ARE OUR NON STOP OPTIONS? HOW IS OUR RELIABILITY? WHAT IS SCHEDULE AND THE THING IS AND THEN WE ALSO YOU KNOW KEEP IN MIND THINGS LIKE YOU KNOW LINES WAITING TIMES DRIVE TIMES SO THIS NEXT SLIDE YOU'LL SEE WE'VE WE'VE PLACED OUT HERE WE THINK THAT OUR AIRPORT ATTRIBUTES ARE THAT WE ARE AT OUR ON LANDING WE'RE CLOSE TO THE RESORTS WE HAVE HUBS FOR CONNECTION. WE'RE JUST MAKING SURE THAT PEOPLE ARE AWARE OF THOSE CLOSED END PARKING, SHORTER DRIVE TIMES THE SMALL TERMINAL CAN BE AN ADVANTAGE.

WE HAVE SHORTER LINES AND WE HAVE A FRIENDLY STAFF. IT'S NOT TO SAY THAT OUR COMPETITIVE AIRPORTS DON'T HAVE SOME OF THOSE THINGS BUT THOSE ARE THINGS THAT WE CAN HIGHLIGHT AND EVEN ON A PRICE PERSPECTIVE I LEFT OFF OF HERE YOU KNOW IF YOU'RE NOT FLYING ONE OF THE NON STOPS ON A LOW COST CARRIER OFTEN IF YOU'RE CONNECTING FROM A MARKET TO COME IN OR TO GO OUT IT'S IT'S RELATIVELY COMPETITIVE. OUR CHALLENGES THAT WE CONTINUE TO WORK THROUGH AS THE AIRPORT GETS THROUGH SOME OF THE CONSTRUCTION IS JUST THE LACK OF UNDERSTANDING THE GROWTH AND OPTIONS THERE'S STILL MANY MANY PEOPLE OUT THERE THAT WE'RE TRYING TO REACH WITH THE LIMITED ADVERTISE AND FUNDS THAT WE'VE HAD THAT DON'T NECESSARILY KNOW ABOUT THE OPTIONS THAT WE HAVE ON MULTIPLE CARRIERS DURING PEAK SEASON TO CONNECT AND COME IN THAT SMALL TERMINAL CAN BE A CHALLENGE WE'RE STILL SOMETIMES GOING BACK AND YOU KNOW GETTING OVER PERCEPTIONS PEOPLE MIGHT HAVE FROM WAY BACK WHEN WHEN THERE WAS TURBOPROPS FLYING AND ABOUT YOU KNOW BEING LESS THAN RELIABLE AND WE FEEL LIKE WE'VE GOTTEN PAST THAT BUT THERE'S STILL A HANDFUL OF PEOPLE THAT WE'RE TRYING TO TO GET PAST THOSE. SO I DID WANT TO TAKE AN OPPORTUNITY HERE TO SEE IF YOU GUYS HAVE OTHER THINGS THAT YOU GUYS PERCEIVE AS CHALLENGES WHILE I HAVE YOU KNOW, YOU GUYS AS AN ACTIVE AUDIENCE OR ATTRIBUTES THAT YOU GUYS WOULD OR THINK THAT YOU WOULD WANT TO HAVE ADDED TO IF YOU GUYS ARE OPEN TO A LITTLE DISCUSSION ALWAYS ON THAT THAT'S COMING RIGHT AS WELL. YEAH THAT IS HUGE. YEAH.

FROM SO THAT'S A CURRENT CHALLENGE BUT ONE THAT MAYBE WE CAN MENTION AND WORK THROUGH THE THE MESSAGING AS THEY COME AS JOHN PROBABLY NOTES AND SEE HOW LONG IT TAKES THEM TO MOVE THAT MECHANICAL MONSTROSITY TO THE VERSUS WHEN THAT JETBLUE YEAH THAT'S A GOOD ONE WHAT ABOUT TO ON A PERCENTAGE TALKED ABOUT THE 4% INCREASE WHICH WE WERE A LITTLE BEHIND COMPARED OTHER OTHER AIRPORTS WITHIN OUR STATE AND A LOT OF IT HAS TO DO WITH THE BIGGER PLANES BEING ABLE TO GO INTO THOSE AIRPORTS BASED ON WHAT MICHAEL SAID SO WHEN WE LOOK AT IT DOING THAT

[00:55:02]

RIGHT. THAT'S WHAT I WAS TRYING TO LOOK AT BECAUSE THEN THE QUESTION BECOMES YOU KNOW WHEN WE'RE TALKING ABOUT TRYING TO EXPAND IT IF WITH FROM THE WAY THAT EVERYBODY'S TALKING TO GET THOSE CARRIERS TO EXTEND OUT THAT'S THE GOLDEN GOOSE WHICH THE GOLDEN GOOSE IS CALLED THE GOLDEN GOOSE FOR A REASON. IT'S HARD TO SO TO GET THEM TO EXPAND OUT SO THEN IS IT THAT WE ALL ALMOST HIT THE LAW OF DIMINISHING RETURN WHERE IF WE'VE GOT 75 OR 85% FILLED TO GET THAT LAST 15% IT TAKES A LOT MORE MARKETING DOLLARS TO GET THAT OTHER TO GET TO 86 TO 87 THAN 90 CORRECT. YEAH.

IF THE THE OTHER PIECE OF THE EQUATION IS NOT THE LOAD FACTOR OF THE FLIGHT BUT WHAT'S THE AVERAGE FARE PAID ON BOARD BECAUSE YOU CAN HAVE A 75% LOAD FACTOR AND IF THE AVERAGE ARIZONA DOLLARS YOU LOST A HALF MILLION BUCKS IF YOU HAVE 75% LOAD FACTOR AND THE AVERAGE FARES 260 WELL YOU MADE 300% SO THERE'S THERE'S A SECOND VARIABLE, RIGHT, WHICH IS THE ACTUAL OH SO WE KNOW HOW THE AIRLINES ARE DOING COMING IN THEY MAKING MONEY IT SEEMS LIKE IF THEY WERE DOING REALLY WELL THEY WOULD WANT TO EXPAND IT A LITTLE BIT.

WE ARE TOLD WHEN WE CHECK IN WITH YOUR LET'S LOOK AT DELTA DELTA WE CHECK IN EACH YEAR THEY SAID THEY'RE SATISFIED WITH THE MARKET GOOD PERFORMANCE.

THEY WERE MAD AT THEMSELVES A YEAR AGO BECAUSE. THEY DIDN'T START IN THE SPRING BEFORE THE GOLF TOURNAMENTS AND OUR MISTAKE SO THEY DID THAT BETTER THIS PAST YEAR UNITED IS HAPPY WITH WHAT THEY'RE DOING REMEMBER THE UNITED BRAND IS VERY WEAK IN THE SOUTHEASTERN UNITED STATES WHICH ARE PROBABLY WHAT THEY CAN GET OUT OF NEWARK BECAUSE THEY'RE STRONG IN NEW YORK, IN CHICAGO, THIS IN CHICAGO AMERICA AT THE CORE THE ANCHOR CARRIER HERE WE'VE LOST THE DALLAS SERVICE. THEY DIDN'T BRING IT BACK THIS PAST SUMMER.

DON'T KNOW WHAT THEY'RE GOING TO DO NEXT SUMMER. BUT REMEMBER DALLAS IS THE LONGEST GROUP YOU HAVE ALL THESE NUANCES AND E175 IS NOT AN OPTIMAL FOR THAT 100 MILE FLIGHT OR WHATEVER IT IS THE LONGER THE FLIGHT THE BIGGER THE AIRPLANE SHOULD BE AND CAN'T SEE A BIG PLAN ON THE RUNWAY. SO AS FAR AS WE KNOW THEY'RE GOING TO REESTABLISH THEIR SUMMER PATTERN FROM LAST SUMMER.

WE TRACK LOAD FACTOR AND AVERAGE FARE AND WE TAKE A LATERAL AT YEAH IT LOOKS LIKE THEY DID ALL RIGHT THERE WE KNOW THEY'VE ALREADY LOADED WASHINGTON REAGAN FOR SPRING AND SUMMER OF 25 THEY HAVE NOT LOADED THOSE SATURDAY FLIGHTS YET SO WE DON'T WHAT THEY'RE GOING TO DO. THEY'RE PROBABLY JUST SETTLING ON THEIR SPRING SUMMER FINAL SCHEDULE. SO IN OTHER WORDS THE PLANNING CYCLE HAS BEEN COMPRESSED IN THE AIRLINE BUSINESS THEY ARE NOW SO THEY USED TO PLUG THE SCHEDULE IN AND IT'S MONTHS AND IT'S CARVED IN STONE. THEY DON'T DO THAT ANYMORE. THE WHOLE PLACEHOLDER SCHEDULE IS OUT THERE THAT YOU COULD WALK BUT THE REAL ALLOCATION THAT THEY'RE GOING TO MIAMI WE SETTLE THAT UNTIL ABOUT 120 DAYS FROM NOW. SO IT'S DIFFICULT RIGHT NOW FOR US TO SAY WHAT TO DO NEXT SUMMER BUT TO ANSWER YOUR QUESTION IN BROAD TERMS THE THREE CARRIERS ARE SATISFIED WITH WHAT THEY'RE DOING. OUR JOB IS TO GET THEM TO OKAY.

AND THEN THE LAST QUESTION I HAVE IS WE TALKED THE BOOKING SITES.

WHAT IS THE NUMBER ONE BOOKING SITE ON THIS? I KNOW IT MAY NOT BE THE NUMBER ONE BOOKING SITE FOR US BUT WHAT IS THE NUMBER ONE SITE? I I I DON'T WANT TO BE HELD ON THE RECORD SAYING THIS I THINK IT'S KAYAK I THINK I THINK KAYAK HAS A HIGHER HIGHER USE PERCENTAGE RIGHT NOW BECAUSE THEY'RE AN AGGREGATOR. SO THE NICE THING ABOUT KAYAK IS YOU CAN SEARCH ON THERE AND THEN THEY THEY SHOW ON DIFFERENT AIRLINE WEBSITES.

THEY SHOW FARES ON OTHER ONLINE TRAVEL AGENCIES AND THEN THEY TAKE YOU OFFLINE TO BOOK.

SO I THINK IT'S I THINK IT'S A MORE SUCCESSFUL BUT I THINK YOU KNOW, THERE'S STILL A VERY HIGH

[01:00:07]

SO A BOOKSTORE AND ON THAT I WOULD ASK YOU A QUESTION BECAUSE YOU'RE YOUR EXPERTIZE IN THIS AREA THE CLIENTELE THAT USES YOUR AIRPORT AND COMES TO ISLAND IS HIGHER INCOME TYPICALLY FREQUENT PROGRAM LOCKED IN AND THEY NOT GO TO THE NETWORK CARRIER WEBSITE MORE THAN THE AVERAGE PERSON. I MEAN I DON'T KNOW THE ANSWER TO THE QUESTION ON THAT.

YEAH. OH I'M SORRY. I THINK YEAH SHOULD I SAY THAT YEAH WE WANT TO ONE OF OUR ZOOM GUYS OH I'M SORRY. OKAY SO THE QUESTION WAS THE CLIENTS ALL THAT USES YOUR AIRPORT IS TYPICALLY HIGHER INCOME AND I THINK A HIGHER PERCENTAGE OF THEM WOULD USE THEIR FAVORITE AIRLINES WEBSITE TO BOOK JUST BECAUSE IT'S ALL WIRED IN THERE. YOU KNOW, THEY'RE JUST AND THEY'RE FREQUENT AND THEY'RE FREQUENT FLIERS WHEREAS THE IF THIS WERE IN MYRTLE BEACH THERE'D BE MORE USE OF KAYAK AND I DON'T KNOW THE ANSWER TO THAT QUESTION BUT THAT'S JUST OF THE NUANCES OF WHOEVER IS THE LARGEST WEBSITE IN THE WORLD DOESN'T NECESSARILY MEAN IT'S THE LARGEST ONE FOR ISLAND TRAVEL. NOW OKAY. SO WORKING FROM THERE YOU GO.

I THINK ALL OF THOSE QUESTIONS ARE GOOD. WE CAN CONTINUE.

I'M TRYING TO THINK OF IF WHAT WHERE I WAS BUT THE OTHER THING THAT WE'VE BEEN TALKING ABOUT IS ALSO SHOWCASING THE AIRPORT TO AIRLINE PARTNERS. SO WE'VE BEEN WORKING HARD AGAIN WITH THE LOCAL TOURISM PARTNERS TO FIGURE OUT MORE FLIGHT LIKE TIE INFLIGHT GIVEAWAYS AND PROMOTIONS AROUND LOCAL EVENTS LAST YEAR WITH THE HERITAGE PARTNERSHIP THE AIRPORT DID INVITE A LOT OF OUR NETWORK PLANNERS DOWN TO PARTICIPATE IN THE TOURNAMENT.

WE DID NOT ACTUALLY HAVE ANYBODY ATTEND LAST YEAR OUR INVITATIONS WENT OUT A LITTLE BIT LATE BUT WE'RE WE'RE ON WE'RE ON IT THIS YEAR SO WE'RE HOPING TO GET SOME OF OUR AIRLINE PARTNERS DOWN HERE THIS YEAR TO EXPERIENCE THE EVENT AND, SEE THE COMMUNITY AND FLY IN AND SEE THE AIRPORTS AND SOME OF THE PROGRESS HAPPENING AS WELL.

WE'RE ALSO WORKING WITH SOME LOCAL PARTNERS ON, YOU KNOW, ENGAGING TRAVEL WRITERS, SETTING UP SOME FAM TRIPS AND WORKING WITH OUR AIRLINE PARTNERS TO BE A PART OF THAT AS. WELL YEAH, SEEING HERITAGE UP HERE I THINK I HEARD YOU RIGHT BUT YEAH THAT THAT THAT DELTA SAID WE MESSED UP LAST YEAR. YEAH, YEAH.

THEY APOLOGIZED THE YEAR BEFORE. YEAH IT WAS 23 OR 2024 I'M SORRY 24 THEY WERE NOT HERE. YEAH THEY WILL BE THEY'VE LEARNED IT FOR 25 THEY SAID IT'S ON US OUR YES DIDN'T LOOK AT THE CALENDAR SO THEY SHOULD BE THEY SHOULD BE HERE IN TIME THIS SPRING SHOULD WE GO AND WHILE YOU'RE STANDING UP, CAN I ASK YOU TO STAY UP THERE? MY ON THE BASIS OF THE LOAD FACTORS THAT THAT I UNDERSTAND DELTA YOU KNOW AND I'M A DELTA RETIREE AS WELL THAT I UNDERSTAND FROM SOME OF MY CONTACTS THEY'RE DOING QUITE WELL WITH WITH THIS LOOP TRIP. YES YES. IS ANY CONSIDERATION FOR THEM TO DO TWO A DAY AS OPPOSED TO ONE A DAY? WELL LAGUARDIA'S SLOTS ARE HARD TO COME FROM. YOU COME BY YOU'RE VERY FORTUNATE TO GET ONE PAIR OF LAGUARDIA SLOTS. I DON'T THINK THEY ALLOCATE A SECOND PAIR OF LAGUARDIA SLOTS WELL GIVEN THE VARIANCE FROM SOMEBODY ELSE. WELL THEY'RE NOT FOR SALE AND THEY'RE WORTH TOKYO REAL ESTATE . WELL, NO, NO.

I'M TALKING ABOUT ANOTHER ANOTHER CITY. OH WELL HAS TO BE FOR DELTA IT HAS TO BE A CITY WHERE THEY ARE DOMINANT. THEY'RE GOING TO COME HERE FROM SAINT LOUIS BECAUSE THEIR BRAND IDENTITY IS NOT STRONG IN SAINT LOUIS AS WELL.

STAY PUT. FOUR QUESTIONS WE'RE ALMOST SO YEAH NO ABSOLUTELY THIS IS WE REALLY HOPE THAT THE START WOULD BE AN OPEN CONVERSATION SO AND THEN ALSO WE'RE WORKING AGAIN LIKE I MENTIONED DIGGING INTO SOME OF THAT DATA LOCALLY. SO AGAIN WE CAN SELL THOSE THAT SHOULDER SEASON AND FIND OUT WHAT WE'RE MISSING FIND OUT IF THERE'S LITTLE PIECES THAT THE AIRLINES CAN BUILD BACK NOW. WELL WE'RE GETTING TO A POINT WHERE MAYBE THEY CAN GROW FURTHER IN THE FUTURE AND THEN THIS IS JUST A LITTLE BIT YOU GUYS HAVE AN UNDERSTANDING AS WE MOVE INTO THE TERMINAL OPENING WHAT WE'RE HOPING TO DO IN TERMS OF MESSAGING AND FIGURING OUT WHAT THAT WHAT THE NEXT MARKETING MESSAGE SHOULD BE IN TERMS OF OPENING A NEW TERMINAL HIGHLIGHTING THE OPERATE OFFERINGS AND NEW PASSENGER TOUCHPOINTS YOU KNOW, GENERATING BRAND ADVOCATES, YOU KNOW AS A AS A YOU KNOW, SEE THE NEW AIRPORT EXPERIENCE HAVING GET OUT THERE IN THE COMMUNITY OR VISITORS THAT ARE OUT THERE ONLINE AND

[01:05:05]

SO THE MORE PEOPLE THAT WE CAN REACH IN THOSE KEY DEMOGRAPHICS THINK THE BETTER OFF WE'LL BE AND THE MORE WE'LL FILL THOSE FLIGHTS AND INCREASE THAT THAT LOAD FACTOR TO THANK YOU VERY MUCH FOR YOUR TIME. THANK YOU. I JUST WANT TO ADD COUPLE OF THINGS AND THEN WE'LL GO TO QUESTIONS BUT YOU HEARD ELIZABETH SAY A LOT OF TIME DURING THE PRESENTATION BECAUSE OF OUR LIMITED BUDGET OR WORDS THAT EFFECT AND EVERY YEAR WE DO APPLY FOR TOWN OF HILTON HEAD ISLAND ATTACKS AND WE DO RECEIVE SOME FUND BUT THAT'S ABOUT $160,000 AND WE COULD HAVE SPENT THAT HERE WHILE WE'RE TALKING VERY EASILY A COUPLE OF TIMES OVER YOU SEE THE MARKETS THAT WE THAT WE NEED TO REACH AND AND I'M PART OF THE VICHY MARKETING COUNCIL AND WE HAD A MEETING YESTERDAY IN CLEVELAND CHICAGO, PITTSBURGH, NEW YORK CITY, BOSTON ARE SOME OF THEIR TOP MARKETS NOW WE WE COULD SPEND $500,000 A YEAR IN EACH ONE OF THOSE MARKETS AND JUST COVERING WHAT WE NEED TO COVER THE AIRPORTS BUDGET IN 2020 FOR FY 2024 IS 340,000 THAT INCLUDED THE MONEY FROM THE TOWN SO AS ADVOCATES ON THE AIRPORTS BOARD WE NEED TO KEEP CHATTER UP.

PEOPLE NEED TO KNOW ABOUT THE GOOD THAT HAVING COMMERCIAL AIRLINE SERVICE DOES FOR THE ISLAND THE TRANSPORTATION PICTURE AROUND B FOR COUNTY UNLESS YOU HAVE BEEN UNDER A ROCK FOR A WHILE IS GETTING TOUGHER AND TOUGHER AND IT GOT SIGNIFICANTLY MORE CHALLENGING NOVEMBER 5TH I HOPE YOU ALL VOTED FOR THE SALES TAX BUT IT DIDN'T PASS.

THAT'S GOING TO BE A MAJOR PINCH POINT THE NEXT FEW YEARS AS TO HOW WE DEAL WITH THAT AS A COUNTY THAT COULD END UP BEING A BRIGHT SPOT FOR THE AIRPORT BUT IT'S GOING TO BE A CHALLENGE IN THE COUNTY AND WITH ALL THE BUILDING AND DEVELOPMENT AND PEOPLE MOVING TO THIS AREA IS PUTTING A LOT OF PRESSURES THE TRANSPORTATION SYSTEM.

SO WE'VE GOT TO CONTINUE TO MARKET TO MAKE SURE PEOPLE KNOW WE'RE HERE.

SO NUMBER ONE, WE WANT TO CONTINUE TO VISIT THE DESTINATION BECAUSE THAT KEEPS EVERYBODY'S TAXES DOWN. TOURISM DRIVES PROPERTY TAXES DOWN.

WE NEED TO MAKE SURE THAT OUR ELECTED OFFICIALS UNDERSTAND HOW VITALLY IT IS TO FUND ORGANIZATIONS LIKE THE ECB THEY'VE GOT INCREDIBLE POWER IN THEIR ADVERTISING AND THAT'S WHY WE'VE GOT THEIR COATTAILS ON THESE CAMPAIGNS BECAUSE THEY HAVE THE BRAND AWARENESS OUT THERE WHEN WE TAG ON TO THEM IT'S IT'S POWERFUL. THEY THEY ARE AUTHORITATIVE IN THEIR BRAND SO IT'S IMPORTANT THAT THAT WE'RE WITH THEM SO AS THE BOARD AS THE ADVOCATES YOU KNOW, TALK TO THOSE FOLKS WHO ARE IN POSITIONS OF YOU KNOW, MAKING DECISIONS AND SETTING POLICIES THAT WE CAN FUND AIR SERVICE AND THEN WE CONTINUE TO GROW THIS AND REALIZE THAT THE ASSET THAT IT IS. SO YOU KNOW, WE HAVE A VERY SMALL BUDGET TO BRING YOU KNOW ,A LAYER ON BOARD AND WE'RE WE'RE KIND OF MUZZLE THEM. THERE'S A LOT MORE THAT I KNOW THEY WANT TO DO FOR US IN THESE MARKETS THAT WE NEED TO WORK IN.

SO WE NEED TO CONTINUE TO GROW PORTION OF THE BUDGET AND FIND WAYS TO DO IT.

BUT WE ARE CHALLENGE AT THE AIRPORT BECAUSE YOU KNOW OUR OUR FUNDS ARE ALSO GOING TO TO GROW THAT FACILITY SO THAT WE CAN ACCOMMODATE THE NEXT GENERATION OF AIRCRAFT AND KEEP THIS MOVING. SO THERE'S GREAT CHALLENGES. SO IF ANYBODY YOU KNOW, I ALWAYS TELL MY STAFF DON'T GO ANYWHERE, GOT 20 YEARS WORTH OF WORK TO DO AND IT'S TRUE AND THAT'S A GOOD THING BUT IT'S CRITICAL WHEN WE HAVE THESE PRESENTATIONS WE UPDATE YOU ON WHAT WE'RE DOING TO GET THE WORD OUT. IT'S ABSOLUTELY CRITICAL THAT WE CONTINUE TO TO SPREAD THAT MESSAGE AND AND TAKE SERIOUSLY .

SO IF YOU GUYS HAVE QUESTIONS SUGGESTIONS I'VE, BRING IT BACK UP.

[01:10:03]

HOWARD DIDN'T HAVE TO HEAR ME ANY ANY OTHER QUESTIONS FOR FOR MIKE OR ELIZABETH TO ASK THEMSELVES. WE WANT TO APPRECIATE THE INFORMATION I HAVE JUST ONE QUICK ONE. IS THERE A NEW 75 SEAT AIRPLANE IN THE PIPELINE BY ANY MANUFACTURER? WHAT SIZE AIRPLANE 75 SEAT THAT WOULD FLY INTO I KNOW NOBODY NOBODY'S PURSUING THAT. THE BRAZILIANS ARE TALKING SOME SORT OF HIGH TECH TURBO FAN OR TURBOFAN THERE'S ENGINE TYPES THAT HAVE A PROPELLER ON A JET OR SOMETHING.

IT'S NOT A TURBINE ENGINE. IT'S I DON'T KNOW BUT THERE'S SOME DISCUSSIONS, SOME SKETCHING GOING ON. BUT NOBODY'S READY TO MAKE THE YOU KNOW, $700 MILLION INVESTMENT RIGHT AT THIS TIME IS A PROBLEM. BUT THE ISSUE IS THE 75 AIRPLANE SEE THEIR POINTS GETTING THE 100 SEAT AIRPLANE IS YES.

WHAT DRIVES ATLANTA BECAUSE THEY DON'T WANT TO HAVE THE 75 BECAUSE THEY HAVE 100 SEE EXACTLY THE SMALLER YEAH. THE ONLY AIRCRAFT OF THAT SIZE THAT'S IN PRODUCTION THAT'S ACTUALLY BEING BUILT ON THE E1 7075 IS STILL BEING BUILT SEE NINE IS OUT OF PRODUCTION AND THEN ATR GOT THE ATR 42 700 THAT'S CAN SEAT 76 OR 80 PEOPLE BUT THAT'S A TURBOPROP.

YEAH THAT'S A DREAM UP AND YEAH YEAH THERE'S GOING TO BE NO PASSENGERS THOUGH LIKE ME.

YEAH ALL RIGHT THANK YOU. ALL RIGHT. SO I THINK THAT FINISHES THAT IF YOU EVER NEED TO GET IN TOUCH WITH THEM I CAN LINK YOU UP FOR BUT IF YOU HAVE ANY IF ANYTHING COMES UP AFTERWARDS YOU KNOW HOW TO REACH US, GET ALL THAT INFORMATION WE'LL SEE HOW AND WE WILL TAKE CARE OF IT AND SEE IF WE CAN GET BACK TO THE AGENDA.

ALL RIGHT. WE'LL SEE WHERE THE AGENDA IS. I WANT TO JUMP.

WELL, I GUESS WE DON'T NECESSARILY NEED THAT. WE DON'T HAVE ANYTHING ELSE TO SHOW DOING GRAPHICALLY NOW. I THINK. YEAH, WE'LL TURN IT BACK OVER TO YOU, CHRIS. THE UNFINISHED BUSINESS A NEW BUSINESS WE'LL GO AHEAD AND GO TO I DON'T THINK WE HAVE ANY UNFINISHED BUSINESS. WE CAN MOVE STRAIGHT ON TO NEW BUSINESS AND WE IF WE GO THROUGH THIS QUICK ENOUGH WE CAN PROBABLY WE CAN GET LESLIE BEFORE SHE HAS TO LEAVE. OKAY. BUT YOU'LL HAVE TO RAISE YOUR HAND MOSTLY BECAUSE YOU HAVE I'VE HAD SURGERY. YOU JUST SAY YOU WERE JUST DOING THE VERBAL YOU GO I KNOW YOU WANT TO I KNOW YOU WANT TO KICK JIM AND HE'LL TALK.

ALL RIGHT? SO I KNOW NO UNFINISHED BUSINESS BUT I DO WANT TO REMIND NEXT THIS COMING MONDAY AT 3:00 IS FINANCE COMMITTEE AND WE'LL BE TALKING ABOUT THE BID FOR EXECUTIVE HANGER FINANCING PROJECT AGAIN. SO IF YOU TOLD ME WHEN I WOULD BE HERE RIGHT NOW. OKAY. I WILL BE THERE IF HE'S

[IX.1. GRANT ACCEPTANCE - RESOLUTION TO ACCEPT SCAC GRANT 24-062 IN THE AMOUNT OF $1,387,747.00 FOR ARW HANGAR CONSTRUCTION PROJECT (SITE DEVELOPMENT)]

SO WE'LL GO ON TO THE NEW BUSINESS AT THIS POINT. THAT'S FINE.

SO MOVE ON TO THE GRANT ACCEPTANCE FOR THE HANGER FOR OUR W I NEED A FIRST ON THAT IT'S GOING TO BE AND BECAUSE SHE HASN'T GONE YET TODAY LESLIE AND WE'LL GET YOU NEXT JIM DO WE HAVE ANY ANYONE AGAINST THE POWER OF I'LL PROVE ALL MOTION PASSES SO THAT'S ONE

[IX.2. CHANGE ORDER – RECOMMENDATION TO APPROVE CHANGE ORDER #1 FOR HXD TERMINAL IMPROVEMENTS PHASE I]

WE'VE GOT A MOTION TOM I I'LL GO IT TO YOU, JIM. ALL RIGHT.

SO LUCKY DAY. ALL RIGHT. ALL RIGHT.

SO WHAT THIS IS IS FOR THE TERMINAL PROJECT IT'S IT'S NOT AN EXCHANGE ORDER.

IT'S A GOOD CHANGE ORDER AS. YOU REMEMBER WE APPLIED FOR THAT BUILD GRANT AND WE RECEIVED A $5 MILLION GRANT. SO WHAT THAT'S ALLOWING US TO DO IS IS DO AN ADDITIVE CHANGE ORDER THAT'S FUNDED SO THE GOOD NEWS IS HERE WE'RE GOING TO ADD THOSE JET BRIDGES.

SO INSTEAD OF HAVING THREE IN THE FIRST PHASE WE'RE GOING TO OR I'M SORRY ONE IN THE FIRST PHASE IS GOING TO HAVE ALL THREE IN THE FIRST PHASE OF THE TERMINAL ALONG WITH A FEW OTHER THINGS AS WELL. I THINK HAD SOME MORE WORK TO THE SECURITY CHECKPOINT AREA AND SOME APRON LIGHTING THAT'S GOING TO BE INSTALLED THAT WOULD HAVE WAITED UNTIL PHASE TWO. SO THIS IS A GOOD NEWS WE GET TO MOVE THINGS FORWARD INTO THE PROJECTS SO. THAT'S WHAT THAT'S ABOUT. ALL RIGHT.

[Items IX.3 & IX.4]

APPROVE THE AIRPORT CAPITAL IMPROVEMENT PROGRAM AS WELL TOM AGAIN WE'LL GO TO YOU LESLIE

[01:15:10]

SO EVERYBODY KNOWS KIND OF WHAT WE'RE THINKING. THIS USUALLY GETS A FEW BEFORE IT'S IT'S INKED IN THE SPRING TIME BUT WE'LL TAKE THIS TO COUNCIL COMMITTEE SO THAT THEY GET AN INFORMATIONAL BRIEF IN JANUARY BECAUSE OUR COMMITTEE DOESN'T MEET AGAIN TILL JANUARY . OKAY. AFTER HEARING IS ANYBODY EVEN OPPOSED VOTES WE'RE GOING TO VOTE AND WE ARE GOING TO VOTE FOR ANYBODY OPPOSED NO ONE'S PASSED. OKAY. MOTION PROVES LESLIE YOU GET TO YOUR OTHER MEETING ON TIME THANKS A LOT THEM WE ALL SAID HELLO.

[X. CHAIRMAN UPDATE ]

SO WE WILL HAVE TO IMPROVE THAT. BUT CHAIRMAN SO I KNOW THAT I KNOW I JUST EXPECT MORE OUT YOU THAT'S WHY I DON'T WANT TO SAY I'M DISAPPOINTED BUT.

YOU KNOW, LET'S LET'S TRY TO GET THINGS ROLLING BECAUSE I ASKED THE DIRECTOR QUESTION YOU MAY ASK THE DIRECTOR A QUESTION HAVE HAVE THOUGHT ABOUT ADVERTISING OR ANYTHING ON THE JET? I KNOW THAT'S THAT'S BIG MONEY OVERSEAS.

I DON'T KNOW WHAT IT IS IN THE US. OH YOU MEAN WHAT WITHIN THE JET. YEAH. YEAH PHYSICALLY YEAH YEAH THAT'LL BE PART OF THE IDEA IS THAT THAT'S HUGE YEAH IT'S A LOT OF BUGS AND IF WE'RE GOING TO HAVE THREE JET WAYS OR WE'RE GOING TO HAVE ONE FOR EACH CARRIER OR IS IT GOING TO BE THAT'S A GOOD QUESTION WHAT WE'RE WORKING ON WITH THE PROJECT RIGHT IS ACTUALLY TO INSTITUTE A COMMON USE SYSTEM AT THE GATES. SO THAT WOULD MEAN THAT BUT IT'S THE MOST FLEXIBLE OPTION YOU CAN HAVE. SO WITH ALL THOSE GATES ANY OF THE AIRLINES COULD USE THOSE GATES. SO FOR EXAMPLE IN THE SUMMERTIME WHEN AMERICAN HAS A LOT OF FLIGHTS RIGHT ON TOP OF EACH OTHER, IF THEY WERE STAFFED, YOU KNOW, TO BE ABLE TO HANDLE THAN ONE FLIGHT AT A TIME AND THERE WAS A GAP IN ANOTHER GATE THEN THEY CAN SLIDE TO A SECOND GATE, PLUG IN THEIR THUMB DRIVE AND THERE IT BECOMES AN AMERICAN GATE, YOU KNOW AND SAME THING FOR ANY THE AIRLINES.

SO SOMEBODY HAD A AN AIRPLANE THAT WAS DOWN STUCK AT A GATE. WELL, IF THAT WAS YOU KNOW, IF UNITED'S GOT AN AIRPLANE COMING IN THEY CAN SLIDE TO ANOTHER POWER UP AND BOOM IT'S A UNITED GATE. SO YOU'RE GOING TO BE ABLE TO DO NON JETWAY BOARDINGS AND DEPLANING SO WHEN YOU HAVE FOUR ON THE GROUND YES YEAH WE'LL HAVE WE'LL HAVE A WALK IN GATE AND THEN YOU KNOW IF WE HAVE YOU ALWAYS HAVE TO DO CONTINGENCY AS WELL SO WE'LL FIGURE OUT WHAT HAPPENS THERE. BUT FOR THE MOST PART IF YOU'VE GOT SITUATION YOU'RE GOING TO HAVE TO MOVE AIRCRAFT AROUND AND PULL ON UP TO THE GATE TO DEPLANE.

SORRY WITH THAT. NO, NO THAT'S GREAT. THAT WAS A GOOD QUESTION ON SINCE WE HAVE NO COMMITTEE REPORTS WE'RE NOT GOING TO GET A CITIZEN COMMENT YET ON THE CHAIRMAN OF THAT. DO WE HAVE ANYTHING TYPICALLY WE DON'T RUN THE DECEMBER MEETING BECAUSE WE DON'T HAVE A DO WE HAVE ANYTHING COMING UP ON THE BOOKS THAT WE SEE FOR FOR DECEMBER FOR LOOKING AT THAT MEETING YOU DIDN'T READ YOUR MINUTES YOU KNOW THAT NEXT MEETING IN JANUARY? YEAH, WE DIDN'T EVEN GO LONG. WE KNOW WE CAN DO DECEMBER ONE I THINK BY TAKING THE BALL BREAKING IN THE BULL BY THE HORNS AND REGARDLESS OF WHAT THAT SAID I WANT TO MAKE SURE THAT IT'S OUT THERE THAT EVERYBODY KNOWS.

THAT'S RIGHT. NOW WE WE CAN DO IT EITHER WAY RIGHT NOW IF IF PERHAPS SOMETHING CAME UP BETWEEN NOW AND THEN WE CAN ALWAYS SEND YOU AN EMAIL AND AND HAVE YOU ADDRESS IT THAT WAY THAT IN THAT WAY WE'D STILL BE SET UP FOR THE NEXT COMMITTEE MEETING IN JANUARY IF WE HAD TO. SO IF ALL NEED TO MAKE TRAVEL PLANS AND STUFF THAT'S FINE.

THAT'S WHAT I WAS KIND OF THINKING OF JUST BEING OUT IN FRONT OF IT.

OKAY, THAT SOUNDS GOOD WE'RE GOING TO GO TO CITIZEN COMMENTS WHICH YOU KNOW, LOOK BEHIND YOU. YOU WILL SEE TOO MANY FACES SO DON'T DO IT.

THERE WILL BE NO PUBLIC COMMENT TODAY OBVIOUSLY. SO NOW I'M LOOKING FOR A MOTION FOR A GERMAN HOUSE. THERE YOU GO. ADJOURN

* This transcript was compiled from uncorrected Closed Captioning.