OST-99-5533 / Huntsville/Madison County Airport / High Density Rule - Chicago O'Hare / April 12, 1999

Application of

HUNTSVILLE-MADISON COUNTY AIRPORT AUTHORITY / DOCKET OST-99-5533

for exemption from 14 CFE Part 33, Subparts K and S. under 49 U.S.C. 411724 for nonstop service to Chicago O'Hare

The Huntsville-Mad son County Airport Authority respectfully applies for the award of four exemption slots that would allow the provision of nonstop regional jet service between the Huntsville International Airport in Alabama, and Chicago O'Hare International Airport in Illinois. Huntsville presently has no nonstop service to Chicago. Such service will provide enormous benefits to passengers in the local Huntsville-Chicago market, and to passengers who will be able to connect to points throughout the United States and numerous foreign countries via the Chicago hub.

Huntsville understands that, effective June 1, 1399, American Eagle will terminate nonstop service between Montgomery, Alabama and O'Hare, thereby releasing four exemption slots for Lea location by the Department. /1 American Eagle has advised Huntsville that it will operate nonstop regional jet flights between Huntsville and Chicago O'Hare in the event that Huntsville is successful in securing exemption slots.

We respectfully submit that similar transportation benefits will be produced by an award of O'Hare exemption slots to the Huntsville-Madison County Airport Authority.

The Port of Huntsville consists of a unique blend of transportation-related services and facilities developed by the Huntsville-Madison County Airport Authority. This inland port, comprised of Huntsville International Airport, the International Intermodal Center, and Jetplex Industrial Park, offers a premier multi-modal facility.

Huntsville International Airport is at the center of Ibis complex, with passenger air service provided by American Airlines, Comair, Delta Air Lines, Northwest Airlink, US Airways, and US Airways Express. Nonstop destinations include Atlanta, Dallas/Ft. Forth, Charlotte, Memphis, and Washington DCA). Huntsville serves more than one million passenger per year with an all-jet fleet. Passenger traffic has increased at an average annual rate of 7 percent for the past two years.

Huntsville is one of the South's most modern and best-equipped international airports, and shown in the attachments. Renovation of the terminal, with a newly-constructed concourse, was completed in 1990. Currently, we have available gate space and ticked counters for existing or new carriers to expand Or add service. For added convenience, passengers have access to the Sheraton Four Points Hotel, located in the terminal building.

Huntsville International Airport places a strong emphasis On air service development. Access to large markets is vital for small communities in Order to provide commercial and industrial facilities with the necessary tools for competing in the global marketplace.

Huntsville has targeted Chicago for nonstop service in order to accommodate increased Passenger demand and to improve passenger accessibility to large markets. Chicago presently ranks as Huntsville's eighth-largest O&D market, with 25,474 passengers. However, our studies have concluded that the minimum potential demand in the Chicago-Huntsville market is at least- 40,000 annual passengers. Because Huntsville aces not have nonstop access to Chicago, a large number of potential passengers are suffering hours of delay and being inconvenienced by driving long distances to other airports in order to fly nonstop to Chicago.

There are a number of businesses in the Huntsville area that rave strong ties with Chicago. For example, Amoco is headquartered in Chicago, and operates a major facility in the Huntsville area. Numerous other companies and organizations, including the U.S. Army's Redstone Arsenal, Boeing, Intergraph, Daimler-Chrysler, ADTRAN, and Nichols Research, are located in the Huntsville area, and have substantial travel requirements to Chicago and to numerous other points that are conveniently served via the Chicago hub.

Without question, inferior and inconvenient service in the Huntsville-Chicago market has had a dampening effect on the region's economic growth and potential. The community of Huntsville and the State of Alabama urgently require nonstop regional jet service to O'Hare.

WHEREFORE, the Huntsville-Madison County Airport Authority requests the award of four at Hare exemption slots, which the community will use to attract a carrier to operate nonstop service to Chicago O'Hare International Airport.

Respectfully submitted,

Cal Richard Tucker

Executive Director

Huntsville-Madison County

Airport Authority

April 12, 1999