American West Jets, LLC - American West Aircraft
Transcription
American West Jets, LLC - American West Aircraft
EXECUTIVE SUMMARY Please turn on your speakers International Airlines, Relocating to Las Vegas, Nevada and Sanford, Florida Table of Contents Pages Executive Summary 3-7 Airports/Destinations Map 8-9 Routes & Frequencies Chart 10-11 Gross Revenue @ 65% of Coach Seating ONLY 12-13 Return On Investment 14-15 Success & Profitability / Airplane Configuration 16-17 Market Analysis / Competition 18-19 Management & Marketing Team 20 Organization & Management Team / Key Personnel: 20-23 Safety Inspector – Drex Hansen 24-26 Director of Operations – Edward J. Beacon 27 Chief Pilot – Don Dodson / Timothy Drake 27 Director of Maintenance – Phillip Johnston / Steven J. Pear 28 Chief Inspector/Operations Domicile Manager–Michael Jefferson / Frank Terranova 29 Organization & Management Team / Keys to Success 30 Organizational Structure and Summary 31-33 SEC/Accredited Investors 34 Subscription Information 35 Forward Looking Statement 36 American West Jets 37 2 of 37 Executive Summary Table of Contents AMERICAN WEST JETS will service exclusively unserved (or underserved) routes with a highly efficient operation that creates significant profits for the company and its investors. Our new Corporate HQ is in the Geo-Center of Las Vegas, Nevada, 1.5 miles north of McCarran International Airport. We operate out of the NEW International Terminal 3 in Las Vegas and the newly built International Terminal at Ontario Int. Airport. We are building the newest, largest and also the ONLY maintenance facility to hangar up to four 747-400’s at one time near the New International Terminal on the Sanford Intl. Airport near Orlando, Florida. Our BUSINESS MODEL that makes us so efficient compared to most other airlines is that we buy aircraft that are ten years or more, since the year of manufacture, upgrading them to the latest technology for a fraction of the cost. It is therefore easy to understand that when a new Boeing 747-400 costs $265M and our upgraded Boeing 747-400’s cost us about $26.5 M, our debt service for the same 400 seats traveling the same 7,000 miles at the same 550 mph, is at only 10% of the debt service of similar airlines. We will operate one extra aircraft for every 5 aircraft using it for those very profitable charters that “POP-UP” for additional revenue! ALL flights are as close to point to point departure and arrival locations (without hubs) as is feasible. Operating best in the Charter environment where pilots need to file flight plans and know where they are going and what is around them to make reasonable and necessary changes when it is in the best interest of our passengers safety, convenience and economics. Fuel contracts with Synthetic Jet Fuel converted from Stranded Natural Gas purchased via large discounts at a cost of 42.5% of the Commodity Published Price will contribute to a reduced jet fuel cost. Our preferred Jet Engine is the Rolls Royce RB211-5724B as we have an in-house Rolls Royce Engine Overhaul Facility, again part of our Business Model of “doing it in-house” for quality, control and safety. News article explaining the need for expanded schedule of underserved flights to Pago Pago: See this! http://www.talanei.com/news/Travel-agents-say-summer-flights-inadequate/19112054 The Samoan Islanders and visitors to the Samoan Islands now must buy very expensive tickets connecting through Honolulu, where they must go through an additional International three-hour wait time for seating and additional fees in order to travel to Pago Pago and beyond. These families – many of which travel to see grandparents and relatives in Pago Pago several times per year – are forced to pay as much as $1,500 to $2,300 for a single Economy Seat. We can serve this market demographically, affordably and profitably. 3 of 37 Table of Contents Executive Summary (cont.) Underserved Market In order to go from the Southwestern United States to San Jose, Costa Rica or Belize City, Belize, travelers must first detour through Houston, Atlanta, or Miami, where they will go through a four hour (or longer!) wait for international boarding prior to making the flight to Costa Rica. This is the only option available to people from the South Western United States traveling to Costa Rica and other points in the Caribbean or Central America, and it is exorbitantly timeconsuming (12 to 18 hours) and expensive ($1,300 to $5,000). We can serve this market demographically, affordably and profitably. AWJ-Final - Rev: 24.2 4 of 37 Executive Summary (cont.) Table of Contents Market Factors The market factors in West Africa, South Pacific and Central America from each coast of United States favor the inauguration of a new airline to meet the demand for additional, higher-quality wide-body mid-fare passenger and cargo service linking the Southwest U.S. (Las Vegas, Nevada and Ontario, California) with the rapidly expanding markets of the South Pacific and Central America. This new service will connect these regions with the rest of the world through the new International Terminal 3 at McCarran International Airport in the center of Las Vegas, Nevada and Ontario, California International Airport (Los Angeles area). West Africa will have the most frequent non-stop weekly charter flights to North America based on the new international terminal at the Sanford Airport in the Orlando, Florida area. Orlando, Las Vegas and Southern California are the most popular travel destinations in the world with fifty million enplanements expected per year within the next three years for McCarran and an additional 4060,000 per year for Ontario International (near the Los Angeles area). Our airline will base its business and marketing strategies on the previous successful airlines that we have been involved with such as America West, South West, Allegiant, Continental and United Airlines. Thus achieving high, and profitable load factors, through absorption of unmet demand in un-served and underserved routes for which this demand currently exists. 5 of 37 Executive Summary (cont.) Table of Contents Demographic Details The South Pacific, the Gold Coast of Australia (Brisbane), Southern Baja, Belize, and Costa Rica of the Central American Regions are expanding with a growing population to serve over 5.3 million, and suffers from substantial unmet demand for wide-body and lower-fair scheduled air transportation to and from the South Western part of the U.S. There is currently no airline operating in a non-stop venue from Southern California or Las Vegas into these regions. The mineral rich western region of Africa, where minerals including oil, silver, tungsten, gold, platinum and diamonds are found in abundance by engineering groups from around the world. Much of the equipment needed to extract these assets is produced and managed out of North America, yet travel is very expensive and difficult. There are currently no non-stop flights to any of our pre-selected destinations from North America. Experience has shown that carriers which can maintain a "mean and lean" operation, with the right fares, will not only survive, but will prosper. As long as they stay with quality service and optimal efficiency as the primary rules that govern management and not the other way around. Newest B747’s in New Boeing Paint Scheme AWJ-Final - Rev: 24.2 6 of 37 Executive Summary (cont.) Table of Contents Sanford International Airport will be our heavy maintenance aircraft center. The 747 operations schedule will consist of one flight per week to each offshore destination, by FAR rules, that is unscheduled charter. All tickets are round trip on the 747’s, with a minimum U.S. stay of seven (7) days. There is almost no direct flights from the United States to any of these destinations: Dubai, U.A.E. Brisbane, Australia: Christchurch, New Zealand; Istanbul, Turkey; Bucharest, Rumania; Belize City, Belize; Malabo Accra, Ghana; Lagos, Nigeria; Conakry, Guinea Pago Pago, American Samoa; Kingston, Jamaica; Oranjestad, Aruba; Rio De Janeiro; Los Cabos, Baja San Jose, Costa Rica; North Dakota American West Jets, is designed around this well-defined business model: one that uses a minimum of aircraft types, point-to-point flights ensuring low operating costs, maintenance and training efficiency, and a high level of customer service and safety. As demonstrated throughout this business plan, it is clear that a strong growth potential exists for the future, and the airline will gear itself toward sensible, well-based growth, solid financial and business planning. 7 of 37 Table of Contents INTERNATIONAL AIRPORTS Inside the New Sanford International Terminal McCarran’s New International Terminal 3 Ontario International Airport Houston Hobby Airport 8 of 37 Table of Contents DESTINATIONS 9 of 37 Table of Contents ROUTES / FREQUENCIES Domestic Depart LAS (Las Vegas, NV) SFB (Sanford, FL) ONT (Ontario, CA) SFB (Sanford, FL) LAS (Las Vegas, NV) ONT (Ontario, CA) 1 Way Fare $600 $700 $700 $600 $150 $150 Distance 2,034 2,147 2,147 2,034 181 181 Duration 4:25 4:40 4:40 4:25 0:25 0:25 Destination SFB (Sanford, FL) ONT (Ontario, CA) SFB (Sanford, FL) LAS (Las Vegas, NV) ONT (Ontario, CA) LAS (Las Vegas, NV) Frequency 3 per week Caribbean Depart ONT (Ontario, CA) KIN (Kingston, Jamaica) ONT (Ontario, CA) AUA (Oranjestad, Aruba) 1 Way Fare $800 $800 $850 $850 Distance 2,728 2,728 3,311 3,311 Duration 5:55 5:55 7:10 7:10 Destination KIN (Kingston, Jamaica) ONT (Ontario, CA) AUA (Oranjestad, Aruba) ONT (Ontario, CA) Frequency Round Trip Fare Distance Duration Destination Frequency $1,400 4,162 9:00 1 per week $1,500 4,554 9:55 $1,600 5,280 11:25 $1,700 5,497 11:55 $1,800 5,677 12:20 $2,200 6,931 12:20 DKR (Dakar, Senegal) SFB (Sanford, FL) C KY (Conakry, Guinea) SFB (Sanford, FL) ABJ (Abidjan, Ivory C oast) SFB (Sanford, FL) AC C (Accra, Ghana) SFB (Sanford, FL) LOS (Lagos, Nigeria) SFB (Sanford, FL) SSG (Malabo, GQ) SFB (Sanford, FL) 1 Way Fare $450 $800 $700 $800 Distance 948 1,913 1,440 1,913 Duration 2:05 4:10 3:10 4:10 Dest. #1 SJD (Los C abos, Baja) SJO (San Jose, C osta Rica) BZE (Belize City, Belize) SJD (Los C abos, Baja) Frequency 6 per week 3 per week 3 per week 3 per week $700 $450 $1,000 $1,000 1,440 948 6,199 6,199 3:10 2:05 13:00 13:00 SJD (Los C abos, Baja) LAS (Las Vegas, NV) GIG (Rio de Janeiro, BR) LAS (Las Vegas, NV) 3 6 1 1 West Africa (fares round trip only) Depart SFB (Sanford, FL) DKR (Dakar, Senegal) SFB (Sanford, FL) C KY (Conakry, Guinea) SFB (Sanford, FL) ABJ (Abidjan, Ivory C oast) SFB (Sanford, FL) AC C (Accra, Ghana) SFB (Sanford, FL) LOS (Lagos, Nigeria) SFB (Sanford, FL) SSG (Malabo, GQ) Central & South America Depart LAS (Las Vegas, NV) SJD (Los C abos, Baja) SJD (Los C abos, Baja) SJO (San Jose, C osta Rica) BZE (Belize City, Belize) SJD (Los C abos, Baja) LAS (Las Vegas, NV) GIG (Rio de Janeiro, BR) 3 per week 2 daily 3 per week 3 per week 1 per week 1 per week 1 per week 1 per week 1 per week 10 of 37 per week per week per week per week Table of Contents ROUTES / FREQUENCIES Middle East Depart SFB (Sanford, FL ) D WC (D ubai, A E) SFB (Sanford, FL ) I ST (I stanbul, T R) 1 Way Fare $ 2 ,5 00 $ 2 ,5 00 $ 1 ,9 00 $ 1 ,9 00 Distance 7 ,7 4 5 7 ,7 4 5 5 ,8 7 8 5 ,8 7 8 Duration 1 6 :0 0 1 6 :0 0 1 3 :0 0 1 3 :0 0 Dest. #1 D WC (D ubai, A E) SFB (Sanford, FL I ST (I stanbul, T R) SFB (Sanford, FL ) South Pacif ic Depart L A S (L as V egas, N V) BN E (Brisbane, A ustralia) O N T (O ntario, C A) C H C (C hristchurch, N Z) 1 Way Fare $990 $440 $990 $400 Distance 5 ,0 1 7 2 ,4 9 4 4 ,8 5 7 2 ,2 4 0 Duration 1 0 :5 5 5 :2 5 1 0 :3 0 4 :5 5 Dest. #1 1 P P G (P ago P ago, A m. Samoa) P P G (P ago P ago, A m. Samoa) P P G (P ago P ago, A m. Samoa) P P G (P ago P ago, A m. Samoa) Frequency 1 per week 1 per week 1 per week 1 per week Way Fare Dest. #2 $440 BN E (Brisbane, A ustralia) $990 O N T (O ntario, C A) $400 C H C (C hristchurch, N Z) $990 L A S (L as V egas, N V) Distance 2 ,4 9 4 4 ,8 5 7 2 ,2 4 0 5 ,0 1 7 Duration 5 :2 5 1 0 :3 0 4 :5 5 1 0 :5 5 Frequency 3 per week 3 per week 3 per week 3 per week 11 of 37 Table of Contents Gross Revenue @ 65% of Coach Seating ONLY Primary Financial Results anticipated during the first three years of operation for 2016, 2017, and 2018 are as follows: The financial results represent a conservative approach with an average passenger load factor of 65% of our capability from our flight operations, and increasing to 85% after the year 2016. Beginning with small domestic routes in the fall of 2015, we will add our new routes to Central America by mid 2016 to all destinations with legs of over 2,500 miles in our Boeing 747-400’s Aircraft. The B-747’s will also be used in Un-Scheduled Charter for once a week trips to West African Countries. The Gross Sales for 2016 at the LOW-LOW utilization of 65% or less is expected to be in excess of $400,000,000 with a Gross net of $167,000,000, not including any of the profits from Cargo. 12 of 37 Table of Contents Gross Revenue @ 65% of Coach Seating ONLY (cont.) After 2017, the 2nd full year, revenue will increase by 15% to that year total of $719,900,000 gross sales; in consideration of the first nine passenger aircraft that we put into unserved and underserved routes. Twelve aircraft into service by the third year of operations with similar routes and rate structure will provide $980,000,000 gross receipt for the twelve aircraft with similar revenue. A cargo load factor of 40% is anticipated with only minor marketing as cargo transport is in demand, with only a few ways of delivery that is efficient, and none direct to the locales. 1st sales call arranged a 10,000 lbs. at $6/lb. per flight to Pago Pago! 8/19/2015 AWJ-Final - Rev: 24.2 13 of 37 Table of Contents Return On Investment (ROI) The investors in this offering will receive options on stock prior to the five planned forward splits in that they are going to be Semi-Annual Payments as a Return on Investment (below): CASH DISTRIBUTION TO INVESTORS (All Payments are Semi-Annual) Investment Level $25,000 Units $1 $100,000 $4 $500,000 $20 $1,000,000 $40 12/31/2015 $1,500 6% APR $7,000 7% APR $40,000 8% APR $90,000 9% APR 6/30/2016 $1,750 7% APR $8,000 8% APR $45,000 9% APR $100,000 10% APR 12/31/2016 $2,250 9% APR $10,000 10% APR $55,000 11% APR $120,000 12% APR 6/30/2017 $3,250 11% APR $12,000 12% APR $65,000 13% APR $140,000 14% APR 12/31/2017 $3,250 13% APR $14,000 14% APR $75,000 15% APR $160,000 16% APR 6/30/2018 $3,750 15% APR $16,000 16% APR $85,000 17% APR $180,000 18% APR Present Market Value for the Airline is $1,500,000 per 1% and the Aircraft Leasing Company and Jet Aero Jet Engine Overhaul is $1,500,000 per 1%. Invested Capital can be converted to Common Stock within the first 24 months of (ROI) investment 14 of 37 Investment, Earnings, and Assets (ROI) Table of Contents This company will derive a substantial amount of profitability from unserved and underserved routes utilizing chronologically older B-747-400 aircraft upgraded to a very high level of technology (B-747-400’s with 415 seats). Investors are investing in American West Jets, at a discount from the book value of the assets assigned to the airline by the parent company, American West Aircraft Corporation. An operating margin (EBIDTA) of 22% achieved within the first year of operations, reaching 36% by the end of the second year. A key element contributing to the success of this international carrier will be its organizational/management team expertise and oversight. 15 of 37 Success and Profitability: Co-ops, Upgrades, Technology 1. Development and Implementation of Cooperatives, Associations, and Partnerships with other larger, more established and highly regarded airlines both within and beyond the region through interline arrangements, code shares, and common destinations, will result in the increase of additional flights from the initially planned three flights per week, to each destination. Table of Contents Las Vegas is an International Center for Air Transportation with up to 44,000,000 total passenger enplanements during 2014 and facilities for up to 55,000,000 in place. Florida received 40,000,000+ visitors during 2014. We only need 175,000 out of 88,000,000+ to fill our aircraft annually. 2. Utilization of the latest electronic and informational technologies in reservations, sales and marketing: e-ticketing, e-scheduling and resource planning and operational oversight. We will use some of the best of the South West, Allegiant and Jet Blue Airlines original marketing plans; one of these Marketing Tools will be selling discounted 10 flight ticket books called e-books that will consist of discount tickets that can be used within the buyer’s family for one year. 8/19/2015 AWJ-Final - Rev: 24.2 16 of 37 Table of Contents AIRCRAFT CONFIGURATIONS 8/19/2015 AWJ-Final - Rev: 24.2 17 of 37 The Market Table of Contents Market Analysis Summary Economic growth and the requirements of redevelopment are creating increased demand for domestic air services. The market combines a variety of elements all of which demand a higher quality of air service than currently available: Business travelers requiring reliability, safety, speed and schedules built around business needs. Government and international organization travelers, requiring the same elements and they are currently not using any of local domestic carriers. Personal and leisure travelers who have the money to travel by air and who increasingly demand a higher level of safety and reliability. 18 of 37 Competitive Comparison Table of Contents American West Jets has several key distinguishing characteristics that will make it significantly better than its competitors, lower-standard airlines, currently operating both scheduled and charter domestic flights in The South Pacific and Central America. While the airline may consider establishing its own sales offices in key market locations, in general sales will be handled through a combination of Internet marketing utilizing the airline's own website as well as other Internet travel websites, designated general sales agents in given locales, and regular travel agencies everywhere. In comparing the proposed new carrier to its local competition, it is important to look at the factors that determine how most travelers choose an airline. They include the following: Ease and efficiency of reservations and ticketing; Safety, actual and perceived; Cost, and range of fares offered; Destinations served; Reliability and on-time departures and arrivals; Convenience of flight schedules, times of arrivals and departures; Type of aircraft, including jet or non-jet, size, and speed; Condition/Maintenance and readiness of aircraft; Availability of 31 & 35” seat pitch (Demanded by the Islanders but not available on any other airline in coach) In the overall design of the airline and its basic operational features, as well as in its management, quality control, and day-to-day operations, American West Jets is expected to stand out positively in almost every regard. The comfort, reliability, and safety of the new airline's aircraft all will enable it to be the airline of preference for virtually all business, government, and organizational travelers. Most leisure and personal travelers will also prefer it to the existing options. 19 of 37 Management & Marketing Team Table of Contents Organizational & Management Background American West Jets has specialized in Aircraft Maintenance, Aircraft Management, Crew Management /Training, Aircraft Sales and Financing for the company’s clients, who operate in most of the aviation sector with a long and successful track record including extensive experience organizing as a consultant with other start-up aviation companies with similar scope in the United States. Joining with American West Jets are experts in their field from major air carriers throughout the United States; others having operations in Houston, Texas, Scottsdale/Prescott Arizona, and Las Vegas Nevada since 1982. American West Jets has employed Acquisition & Funding Strategies to enhance and develop the acquisition and funding departments. Management has over 45 years experience in the airline industry, marketing, safety, and start ups. AWJ will partner with companies and associations throughout the continental area of West Africa, Baja, Mexico, San Jose, Costa Rica, the Islands of the South Pacific (American Samoa, Western Samoa and Fiji), Jamaica, Australia and New Zealand, Dubai U.A.E., Turkey and Romania, Nigeria, Molaba, New Guinea, North Dakota and to identify business and profit opportunities and strategic partnerships implementing/benefiting from the identified travel destinations and scheduling. 20 of 37 Organization & Management Team Table of Contents Organizational Background American West Aircraft (Houston Texas) and A-Jet Air Charter of Houston Texas provided aviation services in North & Central America for local & State Governments. These companies had an average of 1,200 flight hours per month on domestic and regional un-scheduled on-demand flights. The services included provision of the following: Aircraft/Lease/Sales/Charter Pilots & Flight Training Maintenance & Airframe Mods/Supplemental Type Certificates Aircraft Management Consulting/Training Insurance/ Financing for Clients and Operations The companies operated under the highest safety and security standards and not one person has been seriously injured or killed in any of the thousands of operations. No operational failure was recorded during the thirty years of these operations. The American West Aircraft companies were involved in the rescue activities and humanitarian aid to the victims of the many disasters in and around their operations and have donated many flights From Alaska in the late ‘70’s to the Western U.S. until late in 2007. This organizational and management team has a proven record of accomplishment of reducing risk ensuring the safe success of a new carrier. 21 of 37 Organization & Management Team (cont.) Table of Contents President & CEO Drex Hansen Chief Financial Officer Chief Operations Officer Director of Operations Scheduling Flight Crews 8/19/2015 Senior VP Marketing Chief Scheduling Officer Chief Maintenance Inspector Overhauls & Repairs Director of Maintenance Airworthiness & FAR Requirements AWJ-Final - Rev: 24.2 Director of Safety FAA Drug Testing Program 22 of 37 Table of Contents Organization & Management Team President and CEO, Drex Hansen and his team (with key personnel in each of the regions that we will be serving) are in charge of all aspects of the companies from conception to setup, and ongoing operations. These duties include: raising capital from private investors, contracting of all parties involved, large scale logistic activities (with Southwest Airlines, one of the model companies recruitment of manpower (Australian and U.S.), managing the daily operations and long term planning, business development (special charters for many companies, manpower companies, and the family trek to the homeland operations) for passengers to the South Pacific and to Central America, marketing and public relationship at local and international markets, finance and accounting, preparation of aircraft according to the regulations and requirements of the civil aviation authorities. 23 of 37 FAA Required Key Personnel 1. Safety Inspector Drex Hansen Biography Drex Hansen bought a 1947 Taylorcraft BC-12D in March of 1959 and learned to fly in Sacramento, California. He bought a 1947 Beachcraft Bonanza Model 35 in the summer of 1966. While married and working for the Southern Pacific Railroad, was drafted in the largest draft call in history in June of 1968. While finishing his active duty in Germany, he developed a business plan of interest to American Aviation Corporation later becoming Gulfstream of Savannah, Georgia. He opened his first aircraft dealership and flight school in Sacramento, California in May of 1970 and his second in November of 1970 in Van Nuys, California forming the company Executive Pilots, Inc. By June of 1971 he had 26 sub-dealers on the West Coast and supplied a new demonstrator to all of them. There were 144 dealers for American Aviation. Drex Hansen’s two dealerships sold more than 25% of the total production. In 1974 he formed American West Investments, used for ownership and financing of leased aircraft. In January of 1980, when his VA flight training benefits were about to expire, he obtained a Learjet type rating and his ATP rating on the same FAA check ride with the more stringent qualifications necessary to do both (type rating and pilot rating) on one ride. In November of 1982, the name changed from American West Investments to American West Aircraft, building the largest FBO in the State of Texas with a charter, maintenance type ratings, and training at DW Hooks Airport NW Houston (Tomball) Texas called Northwest Jets. He was 1 of the 19 control shareholders who started and ran Fallbrook National Bank in Houston, Texas, January 2, 1985. Bought, operated, modified and sold several hundred airplanes during the 1980’s in Houston, Texas. Moved to Las Vegas, Nevada in May 1990. Many more aircraft have been bought, modified and sold. Supplied aircraft to local charter companies, bought and sold 25,000 line items of parts during the 1990’s and early 2000’s. Consultant during the formation and planning stages for several small airlines to include major carriers like Continental. Modified and supplied the prototype aircraft (the cat pass 200) that Beachcraft built as a model 1200. Our lead client was Mesa Airlines. During the past 50 years, he has accumulated more than 28,000 hours of violation-free flying and owned and/or operated approximately 400 airplanes. 8/19/2015 AWJ-Final - Rev: 24.2 24 of 37 FAA Required Key Personnel Table of Contents Drex Hansen (Safety Inspector continued) Qualifications: Pilot in Command 28,300 hrs. + since 1959 Cert. # 1594594 Airline Transport Pilot, multi-engine land Commercial Pilot, single engine land Learjet Typed, Learjet Type Rating Instructor FAA Medical Certificate Education: Sacramento City College 1963-1965 – Business Law, Accounting, Psychology U.S. Army Adjutant General School, 1968 Personnel Management Honorable discharge from U.S. Army Adjutant General Corps. in June 1974 1981 - Gulfstream Systems training 1982 – Xerox Professional Selling Skills Experience: 3/1970 to 6/1975 –Executive Pilots, Inc. - President 6/1973 - 11/1975 – Built, developed & raced drag hydroplanes (1975 APBA World Champion) June 1974 – Started American West Investments-Manage Partner Owned (Fractional) Jets 1976 to 1978 – Business Developer for owned hotels, restaurants, and lounges. 1979 to 1980 – Contract Pilot for Stanford Research Institute, National Geographic and all media groups including CBS, NBC, ABC, API and UPI. Cargo contractor for DHL 25 of 37 Table of Contents FAA Required Key Personnel Drex Hansen (Safety Inspector continued) Portland International Airport to Seattle (SEATAC) 1980 Learjet training (airline transport pilot, Type rated in Learjet pilots and FAA personnel). 1980 to 1981 – Casper Air Service, Casper, WY. Sold Gulfstream aircraft in their Turbine Sales Department. Learjet pilot charter department. January 1982 Recommended by Russ Meyers, President of Cessna Aircraft Corporation Wichita, Kansas to Houston Northwest Aviation in Houston, Texas. 1982 – Houston NW Aviation - Established multi-engine Cessna line. January 1983 – Present – American West Aircraft - President & CEO 1985-1988 – AJet Air Charter Inc. - President & Chief Pilot Control Shareholder and Founder of operating a fleet of learjets. Control shareholder of three national banks in Houston, Texas. Training: 1981 Gulfstream Pilot and maintenance training and Cessna management training. 1981 to Present – Airline Transport Pilot, Learjet qualified, instrument, commercial, multiengine landing, commercial single engine landing. 1983 to Present - American West Aircraft – Airline Consultant – Point to point Route Structures – Minimal Aircraft Types – In-house Capabilities to include Flight Planning 1985 to 1989 – Ajet Air Charter-Jet Charter Company: Client Frank Lorenzo-Continental 1990-Present All Operations moved to Las Vegas-Jet charter operations-Aircraft Sales 2012 – Present Market analysis for New American West Jets International Airline Operations Limited Liability Company formed in September of 2013 a Nevada LLC. 8/19/2015 AWJ-Final - Rev: 24.2 26 of 37 FAA Required Key Personnel Table of Contents 2. Director of Operations Edward Beacon WORK EXPERIENCE PEOPLExpress Airlines, Inc – Chief Pilot & Director of Flight Standards – B737 Kalitta Air, Inc. – International Relief Captain: B747-400F. Flag Air Carrier - Worldwide Intl. Cargo Southern Air, Inc. – Crewmember: B-747F- Flag Air Carrier - Worldwide Int’l Cargo Corsair Applications, Inc. – COO & Sr Exec VP/(BoD) - Aviation Consultation Group Provided consultation services to US FAR 121 Air Carriers / Airports / Corporate Flight Gemini Worldwide Airways, Inc. - Director of Flight Standards / Captain - Senior Management Startup Team / Director of Safety & Security US FAR 121 Flag Air Carrier Int’l passenger/cargo operations. Gemini Air Cargo, Inc. - MD11 Fleet Manager & (Acting) DC10 Fleet Manager - Captain: MD11-200F / DC10-30F, Managing FAA Check Airman - All Operational & Admin. aspects of Airline Flight Standards Program with $1B a/c & over 200 crewmembers, FAA Check Airman - All Seats & Simulator Check Airman: Administer Proficiency Chks & Proficiency Trning, Line Chks, Standards Chks, & Capt. / FO Initial Operational Experience. US FAR 121 Flag Air Carrier conducting Worldwide International Operations. 3. Chief Pilot (1st candidate) Don Dodson WORK EXPERIENCE Aviation Consultant Group - Chief Operating Officer Ascend Airlines - Chief Operations Officer Eos Airlines - Senior Vice President Flight Operations – Director of Operations 3. Chief Pilot (2nd candidate) Timothy Drake WORK EXPERIENCE Gemini Worldwide Airways - Chief Operating Officer MAXjet Airways - Chief Pilot and Director of Training Instrumental in the certification of the airline including manual development / FAA approval Endeavor Airlines-Vice President Standardization Responsibilities include overseeing all logistical operations, reported to Chief Executive Officer. Midway Airlines- Aircrew Program Designee B-737 Check Airman Captain B-737-700 Simulator Instructor Ground Instructor 8/19/2015 AWJ-Final - Rev: 24.2 27 of 37 Table of Contents FAA Required Key Personnel 4. Director of Maintenance (1st candidate) Phillip Johnson WORK EXPERIENCE Atom Aviation - Consulting on the requirements for maintenance on a start-up airline. Managing the major check to bridge aircraft back to Boeing MPD - Director of Maintenance Amer-group, Cairo - Manager Technical Publications Jordan Aviation, Jordan - Manager GIII Operations Freedom Air, Guam Maxjet Airways, London UK - Quality Control Inspector Caribex Inc., Florida - Contract Inspector 4. Director of Maintenance (2nd candidate) Steven J. Pear WORK EXPERIENCE ASQ (American Society for Quality) - Full Member-Certification-Manager of Quality/Organizational Excellence. Nova International Airlines 01/2013 – present – Vice President, Technical Operations | Director of Maint. Member of initial team assembled to build business plan and advance formation of the air carrier Researched and specified aircraft operating ranges, cycle costs and maintenance variables for proposed fleet Assisted CEO, COO, EVP and other key team executives by providing accurate information for potential investors Air France Industries US – AMG Flite Components LLC, TX 75247 08/2010 – 10/2013 Director, Quality & Regulatory Compliance; Interim Accountable Manager Co-managed repair station through major regulatory issue Rebuilt customer & FAA confidence to a highly polished image Scheduled & coordinated production carrying full authority of Vice President/General Manager 28 of 37 Table of Contents FAA Required Key Personnel 5. Chief Inspector (1st candidate) Michael Jefferson WORK EXPERIENCE 01/07-Present - Airworthiness International - Consultant Consultant for many Airlines, Lessor’s, Lessee’s and Banks around the world. Responsibilities include the oversight of aircraft, their inspections, maintenance and transfer of ownership. Previous experience as an FAA Inspector provides the ability not only to oversee inspections of aircraft and required maintenance, it also includes the regulatory knowledge required to successfully transfer aircraft, parts, and maintenance history to civil authorities in other countries. Assist with budgetary decisions. Twenty five years in all aspects of the industry. 03/04-01/07 - Maxjet Airways, Inc. - V.P. of Maintenance & Engineering Maintenance Department Oversight. All budgetary decisions including personnel, forecasted maintenance costs and unscheduled maintenance. Ensure all certifications maintained; 1.5 years to complete. Problem-solving skills using engineering data and asset management. Complex contract negotiations. Crucial decision making in a timely manner. 6. Operation Domicile Manager (1st candidate) Frank Terranova WORK EXPERIENCE 30+ years in the Tour and Travel Industry including Hotel, Cruise, Casino, Time Share, Airlines, Auto, Bussing and more. Supervised more than 500 employees and annual revenue of $200M. Created, Developed and Implemented more than a dozen highly successful Travel Reward Programs to increase profits and customer loyalty. Experienced with sophisticated computer systems to manage, improve and enhance Sales and Customer Service. Strong analytical and problem solving skills, financial management, employee development and general business acumen to continually create and develop new business dimensions in an ever changing Travel environment. 29 of 37 Organization & Management Team (cont.) Table of Contents Keys to Success Employing an experienced, highly professional management team that combines vision; realism; financial ability; solid knowledge of the aviation business, on-the-ground knowledge of the region and markets to be served. Senior Management - American West Jets is currently negotiating employment agreements with four highly qualified individuals to fulfill the senior management positions of the Company. (Vice-president, COO, etc.). These key management personnel will be fully qualified and not only assist Drex Hansen in the running and growth of the company, but be fully able to carry forth the business in Drex's absence either short-term or permanently. Intelligent marketing that identifies the airline as a different kind of player, one that is sharper and smarter, and with a higher level of professionalism and operational standard than is the norm on the other airlines currently operating in and out of the South Pacific and in and out of Central America. Concentration on safety, with highly trained, dedicated, and professional personnel and straightforward, highly competitive fare pricing, all will form key pillars of the marketing strategy. 30 of 37 Table of Contents Organizational Structure and Summary Identification of under-served routes and city pairs in the target market area with sufficient passenger demand to enable high load factors and profitable operations utilizing the category of aircraft envisaged. Use of jet fleet of modern, United States-built aircraft that offer a high level of comfort, safety, and fuel and operational efficiency, which meet all normal aviation standards, and which offer sufficient passenger and cargo capacity on the envisaged routes. Establishing a high level of operational oversight and quality control that will ensure that the airline always lives up to its marketing commitments and fulfills the promise of a high level of service, customer satisfaction, convenience and safety, at a reasonable, highly competitive fare. Strong customer satisfaction and excellent reputation that will enable the airline to build solid interline arrangements necessary to expand its scope and customer attraction in the early stages. 31 of 37 Table of Contents Organizational Structure and Summary (cont.) Company Summary: Company Locations and Facilities: The plan for the new airline is an outgrowth of the market research and regional experience of two entities: South West Airlines and Allegiant Airlines Business Models and research of 2010 through 2014. The prime basing locations for the AmWestJets will be McCarran International Airport in Las Vegas, Ontario International Airport (Los Angeles area) and Sanford International Airport (Orlando area) with satellite bases at our major destinations that may include: Brisbane, Australia; Christchurch, New Zealand; Conakry, Guinea; Lagos, Nigeria; Kingston; Jamaica; Oranjestad, Aruba; Pago Pago; American Samoa; Istanbul, Turkey; Bucharest, Rumania; Dubai, U.A.E. San Jose, Costa Rica; Baja Mexico Shareholders of our Public Company American West Aircraft Corporation Presently 635 shareholders, with expectations of over 1,500 within 24 months. Shares on the float: 19,800,000. AWJ-Final - Rev: 24.2 32 of 37 Table of Contents Organizational Structure and Summary (cont.) Ownership Structure The LLC has been sold to the publicly traded company American West Aircraft Corporation, headed by Drex Hansen, its President and C.E.O. Benefits of LLC Investment Membership The very favorable ROI is only available to the LLC Members and until the member units are exchanged for the Common shares in the Publicly Traded stock in American West Aircraft Corporation AWCR. Exit Strategy Option: Within 18-24 months, after achieving certain objectives, an exit strategy can be optioned via the sale of the company to with a Wall Street/ Singaporean International Banking Company owned by Alvin Donovan, Equity Partners Fund SPC. Which has given American West Aircraft Corp., in writing to buy the airline for a minimum of $150,000,000. We anticipate this to be higher, possibly in the $3-400,000,000 range. Operations U.S. Southwest and the U.S. Coast to Coast, Central America, South Pacific, West Africa and into South America, AS WE HAVE WORLD-WIDE AUTHORITY! The Company Nevada Limited Liability Corporation with assets of $42+ Million. 33 of 37 Accredited Investors Table of Contents The Company will conduct the Offering in such a manner that investment memberships may be sold only to “Accredited Investors” as the term is defined in Rule 501 (a) of Regulation D promulgated under the Securities Act of the 1933 (the “Securities Act”), or to a maximum of 35 Non-Accredited Investors that may be allowed to purchase investment memberships in this offering. In summary, a prospective investor will qualify as an “Accredited Investor” if he, she, or it meets any of the following criteria: Any natural person whose individual worth, or joint net worth with that person’s spouse, at the time of purchase, exceeds $1,000,000; Any natural person who had an individual income in excess of in each of the 2 most recent years or joint income with that person’s spouse in excess of $300,000 in each of those years and has a reasonable expectation of reaching the same level in the current year; Any private business development company as defined in Section 202(a) (22) of the Investment Advisors Act of 1940; Any entity in which all the equity owners are Accredited Investors. 34 of 37 Table of Contents Subscription Information USE OF PROCEEDS To be a debt minimum airline to the best debt to equity ratio in the industry. MANAGEMENT COMPENSATION All Management will be compensated via a smaller than normal guarantee and a percentage of gross profits. BOARD OF ADVISORS Advisory Team is being assembled during startup. LITIGATION DESCRIPTION OF MEMBERSHIP UNITS Minimum member units to be considered one Investment Membership is 25,000 member units. HOW TO SUBSCRIBE FOR MEMBERSHIP UNITS All member units and information to be verified by the President and CEO; Drex Hansen. ADDITIONAL INFORMATION See Company for any additional information you may need. No litigation is being contemplated by any entity at this time AWJ-Final - Rev: 24.2 35 of 37 Forward Looking Information Table of Contents Some of the statements contained in this Memorandum, including information incorporated by reference, discuss future expectations, or state other forwardlooking information. Those statements are subject to known and unknown risks, uncertainties, and other factors, several are beyond the Company’s control, which could cause actual results to differ materially from those contemplated by the statements. The forward-looking information is based on various factors derived using numerous assumptions. In light of the risks, assumptions and uncertainties involved there can be no assurance that the forward-looking information contained in this Memorandum will, in fact, transpire or prove to be accurate. Important factors that may cause the actual results to differ from those expressed within may include, but are not limited to: The success or failure of the Company’s efforts to successfully market its products and services as scheduled; The Company’s ability to attract, build, and maintain a customer base ; The Company’s ability to attract and retain quality employees; The effect of changing economic conditions; The ability of the Company to obtain adequate debt financing if only a fraction of this Offering is sold. These, along with other risks, which are described under “Risk Factors”, may be described in future communications to members. 36 of 37 Table of Contents 8/19/2015 AWJ-Final - Rev: 24.2 37 of 37