Passenger and Cargo Statistics Report

Reno-Tahoe International October 2015 U.S. DOMESTIC INDUSTRY OVERVIEW FOR OCTOBER 2015 All RNO Carriers Domestic Systemwide – year over year comparison

Average Load Factor: 86.0% up 1.5 pts. Number of Flights *: Down (1.0%) Capacity of Seats *: Up 3.1% Crude Oil Average: $46.22 per barrel in Oct. 2015 vs. $84.40 per barrel in Oct. 2014

RNO OVERVIEW FOR OCTOBER 2015 – year over year comparison

Total Passengers: Up 10.9% Year-to-Date Passengers: Up 2.7% Avg. Enplaned Load Factor: 84.5%, up 5.4 pts. Actual Departures: Up 1.8% Actual Departing Seats: Up 4.6% Total Cargo: Up 6.4% Year-to-Date Cargo: Up 5.9%

Source: RNO Monthly Flight Activity Reports; * INNOVATA Flight Schedule via Diio

OCTOBER 2015 SUMMARY

Reno-Tahoe International Airport (RNO) served 295,749 passengers in October 2015, which is up 10.9% versus October 2014. The airport experienced positive passenger growth for the fifth consecutive month with respect to year over year monthly increases. During the first ten months of 2015, RNO served 2,892,731 passengers, representing an increase of 2.7% when compared to the same period last year.

In October 2015, RNO handled 12,160,586 pounds of cargo, an increase of 6.4% when compared to October 2014. This represents the best October ever recorded at RNO in terms of cargo lift. RNO handled 108,712,268 pounds of air cargo during the first ten months of 2015, an increase of 5.9% when compared to the same period last year.

In October 2015, RNO was served by nine airlines providing 53 peak daily departures to 15 non-stop destinations. Total departures at RNO were up 1.8% and the seat capacity increased 4.6% when compared to October 2014. , and continue to use larger aircraft in select markets to align seat capacity with the growing travel demand.

On November 5, 2015, began non-stop daily flights between RNO and with a 76-seat Bombardier Q400 aircraft.

Starting March 16, 2016, Alaska Airlines will begin non-stop daily flights between RNO and Airport, Orange County (SNA). The airline will fly this route with a 76-seat Bombardier Q400 aircraft.

TOTAL PASSENGERS TOTAL PASSENGERS 400,000

350,000 RNO served 295,749 passengers in October 2015, which is up 10.9% when compared to 300,000 October 2014. , the 250,000 largest carrier at RNO, carried 132,938 200,000 passengers during the month of October 150,000 2015, an increase of 8.0% when compared to October 2014. According to Department of 100,000 Transportation data, this is the highest year- 50,000 over-year monthly increase for Southwest 0 Airlines at RNO since April 2006. JAN FEB MAR APR MAY JUN JUL AUG SEP OCT NOV DEC 2013 2014 2015 In October 2015, American Airlines (including US Airways) reported a passenger increase of 13.7%, Alaska Airlines grew 9.7%, Delta Air Lines was up 5.1% and reported an increase of 39.0% when compared to the same period last year.

United Airlines’ passenger traffic declined (1.3%) during the same period.

TOTAL CARGO TOTAL CARGO 18,000,000 In October 2015, RNO handled 12,160,586 16,000,000 pounds of air cargo, an increase of 6.4% versus October 2014. The cargo tonnage of 14,000,000 UPS increased 27.5% and FedEx was up 12,000,000 5.7% during the same period. 10,000,000 8,000,000 Ameriflight reported a decrease of (1.5%) in 6,000,000 October 2015 when compared to the same 4,000,000 period last year. 2,000,000 0 JAN FEB MAR APR MAY JUN JUL AUG SEP OCT NOV DEC 2013 2014 2015

TOTAL INTERNATIONAL PASSENGERS TOTAL INTERNATIONAL PASSENGERS 3,500 3,000 In October 2015, RNO served a total of 2,131 international passengers. 2,500 Airlines operated three times a week 2,000 scheduled flights to Guadalajara, .

1,500

1,000

500

- JAN FEB MAR APR MAY JUN JUL AUG SEP OCT NOV DEC 2013 2014 2015 AVERAGE ENPLANED LOAD FACTOR AVERAGE ENPLANED LOAD 90% FACTOR

85% In October 2015, the average enplaned load 80% factor at RNO was 84.5%, an increase of 5.4 75% pts. versus October 2014 . 70%

65%

60%

55%

50% JAN FEB MAR APR MAY JUN JUL AUG SEP OCT NOV DEC 2013 2014 2015

AVERAGE ENPLANED LOAD FACTOR BY AIRLINE Enplaned Load Factors October 2015 Airline RNO Network Difference 91.7% 91.0% 88.1% 94.8% 90.6% 81.7% 79.8% Alaska 81.7% 82.3% (0.6) Allegiant Air 66.3% 83.6% (17.3) 73.1% American 91.7% 85.2% 6.5 66.3% Delta 91.0% 86.9% 4.1 jetBlue 88.1% 84.0% 4.1 Southwest 79.8% 85.9% (6.1) United 94.8% 83.4% 11.4 US Airways 90.6% 85.2% 5.4 Volaris 73.1% 78.0% (4.9) Source: Airline Performance Reports American & US Airways reported combined systemwide operations American & US Airways merger was completed in mid-October

AIR CARRIER MARKET SHARE October-15 October-14 YOY Change Alaska/Horizon 10.3% 10.4% (0.1) Allegiant Air 1.3% 1.0% 0.3 American 13.4% 10.2% 3.2 Delta 8.0% 8.4% (0.4) jetBlue 1.8% n/a n/a Southwest 44.9% 46.2% (1.2) United 11.1% 12.5% (1.4) US Airways 8.4% 11.1% (2.7) Volaris 0.7% n/a n/a Others 0.0% 0.2% (0.2)

AIR CARRIER MARKET SHARE Delta jetBlue Volaris Allegiant Air Others 8.0% 1.8% 0.7% 1.3% 0.0% US Airways 8.4% Southwest 44.9% Alaska/Horizon 10.3% United 11.1% American 13.4%

TOTAL CHARTER PASSENGERS TOTAL CHARTER PASSENGERS 3,000

2,500 In October 2015, RNO served 1,463 charter passengers through the terminal. 2,000 Southwest Airlines and Allegiant Air operated nine charter operations during 1,500 the month of October 2015.

1,000

500

- JAN FEB MAR APR MAY JUN JUL AUG SEP OCT NOV DEC 2013 2014 2015

TOTAL DEPARTURES & SEATS MONTHLY SCHEDULED DEPARTURES

2,000 In October 2015, RNO handled 1,526 1,800 departures on nine commercial airlines, an 1,600 increase of 1.8% versus the same period last 1,400 year. Number of seats were up 4.6% for the 1,200 same period. 1,000 800 Flights and Seats by Airline 600 October 2015 vs. October 2014 400 200 Flights Seats - Alaska 8.2% 8.2% JAN FEB MAR APR MAY JUN JUL AUG SEP OCT NOV DEC 2013 2014 2015 Allegiant Air 88.9% 88.9% American -0.6% 1.9% MONTHLY SCHEDULED SEATS 250,000 Delta -24.8% -9.5% JetBlue n/a n/a 200,000 Southwest 2.4% 1.7%

150,000 United -5.6% -2.1% Volaris n/a n/a 100,000 Totals 1.8% 4.6%

50,000 Note: American Airlines and US Airways - numbers are combined. JetBlue and Volaris are JAN FEB MAR APR MAY JUN JUL AUG SEP OCT NOV DEC new carriers at RNO. 2013 2014 2015 TOTAL OPERATIONS TOTAL OPERATIONS

9,000 A total of 6,387 operations occurred at RNO 8,000 in October 2015, an increase of 1.5% when 7,000 compared to October 2014. Total operations 6,000 include: Air Carrier, Air Taxi, General Aviation 5,000 and Military operations as reported by the FAA. 4,000 3,000 2,000 1,000 - JAN FEB MAR APR MAY JUN JUL AUG SEP OCT NOV DEC 2013 2014 2015

Recent and Upcoming Schedule Changes

Alaska Airlines (AS)  Starting November 1, 2015, the new schedule for non-stop flights between Reno and San Jose is as follows:  San Jose to Reno:  AS2250 7:35AM-8:34AM  AS2500 6:25PM-7:24PM  Reno to San Jose:  AS2183 6:00AM-7:05AM  AS2253 4:15PM-5:19PM  Starting November 1, 2015, the airline increased the number of daily flights between Reno and Portland from two flights a day to three flights a day

JetBlue Airways  Schedule for non-stop flights between Reno and New York City is as follows:  Nov 24, 2015 - Jan 4, 2016: Daily flight  Jan 5 & 6: No flight  Jan 7 - Feb 8: Four times a week (Thu, Fri, Sun, Mon)  Feb 9 & 10: No flight  Feb 11 - May 3: Daily flight

American Airlines  The third daily non-stop flight to Dallas will operate from December 18, 2015 until January 4, 2016  The daily non-stop flight to Chicago will resume service on December 18, 2015

Delta Air Lines  The daily non-stop flight between Reno and Minneapolis will operate from December 19, 2015 until January 3, 2016

United Airlines  The daily non-stop flight between Reno and Houston will operate from December 17, 2015 until January 4, 2016  The fifth daily non-stop flight to San Francisco will operate from December 17, 2015 until January 4, 2016

Volaris  Starting November 2, 2015, Volaris added a third weekly flight between Reno and Guadalajara. The airline offers this service on Mondays, Tuesdays and Fridays .

United Parcel Service (UPS)  Starting September 15, 2015, UPS added eight weekly flights to their schedule at RNO. These additions include six Boeing 757s and two .

DHL  Starting November 1, 2015, Southern Air began cargo flights on behalf of DHL at RNO. Reno-Tahoe International Airport

Total Passengers Total Enplaned Passengers October-15 October-15 Passengers Passengers Month 2013 2014 2015 % Diff. % Diff. % Diff. 2013 2014 2015 JAN 133,686 121,700 124,505 2.3% JAN 264,265 241,181 -8.7%246,571 2.2% FEB 129,283 113,777 117,750 3.5% FEB 259,299 228,035 -12.1%234,763 3.0% MAR 154,633 142,542 141,314 -0.9% MAR 306,139 278,172 -9.1%277,477 -0.2% APR 140,153 132,183 128,088 -3.1% 1st Quarter 829,703 747,388 -9.9%758,811 1.5% MAY 146,562 139,349 137,132 -1.6% APR 279,418 266,800 -4.5%256,823 -3.7% JUN 162,824 158,827 159,989 0.7% MAY 295,494 282,277 -4.5%276,969 -1.9% JUL 165,268 162,090 172,266 6.3% JUN 328,755 316,720 -3.7%319,309 0.8% AUG 160,570 159,664 166,935 4.6% 2nd Quarter 903,667 865,797 -4.2%853,101 -1.5% SEP 145,740 147,458 151,127 2.5% JUL 333,321 332,242 -0.3%350,823 5.6% OCT 132,741 134,946 150,567 11.6% AUG 322,083 318,965 -1.0%336,948 5.6% NOV 114,162 112,573 SEP 283,800 284,931 0.4%297,299 4.3% DEC 131,328 128,295 3rd Quarter 939,204 936,138 -0.3%985,070 5.2% TOTAL 1,716,950 1,653,404 OCT 262,473 266,701 1.6%295,749 10.9% YTD Total 1,412,536 1,449,673 2.6% NOV 227,213 225,384 -0.8% DEC 270,051 263,682 -2.4% Total Deplaned Passengers 4th Quarter 759,737 749,592 -1.3% Month 2013 2014 2015 % Diff. TOTAL 3,432,311 3,298,915 -3.9% JAN 130,579 119,481 122,066 2.2% YTD Total 2,816,0242,892,731 2.7% FEB 130,016 114,258 117,013 2.4% MAR 151,506 135,630 136,163 0.4% Total Cargo APR 139,265 134,617 128,735 -4.4% October-15 MAY 148,932 142,928 139,837 -2.2% 2013 2014 2015 JUN 165,931 157,893 159,320 0.9% % Diff. % Diff. Cargo in Pounds Pounds Metric JUL 168,053 170,152 178,557 4.9% AUG 161,513 159,307 170,013 6.7% JAN 10,269,546 10,303,380 0.3% 10,113,421 4,587 -1.8% SEP 138,060 137,480 146,172 6.3% FEB 8,635,807 9,486,697 9.9% 9,418,781 4,272 -0.7% OCT 129,739 131,755 145,182 10.2% MAR 9,457,376 9,758,391 3.2% 10,381,009 4,708 6.4% NOV 113,051 112,811 1st Quarter 28,362,729 29,548,468 4.2% 29,913,211 13,566 1.2% DEC 138,723 135,387 APR 8,639,172 9,876,465 14.3% 10,416,248 4,724 5.5% TOTAL 1,715,368 1,651,699 MAY 9,398,212 10,269,963 9.3% 10,459,643 4,744 1.8% YTD Total 1,403,501 1,443,058 2.8% JUN 9,001,339 9,679,744 7.5% 10,595,645 4,805 9.5% 2nd Quarter 27,038,723 29,826,172 10.3% 31,471,536 14,273 5.5% Enplaned Passengers & Load Factor JUL 10,149,807 10,863,843 7.0% 11,775,072 5,340 8.4% Airline Enplaned PAX Oct-15 Oct-14 Diff. AUG 10,859,694 10,853,726 -0.1% 11,031,470 5,003 1.6% Alaska/Horizon 15,532 81.7% 78.9% 2.8 SEP 9,689,115 10,127,014 4.5% 12,360,393 5,606 22.1% Allegiant Air 1,871 66.3% 93.8% -27.5 3rd Quarter 30,698,616 31,844,583 3.7% 35,166,935 15,949 10.4% American 20,348 91.7% 88.3% 3.4 OCT 10,834,930 11,429,538 5.5% 12,160,586 5,515 6.4% Delta 11,706 91.0% 79.5% 11.5 NOV 10,099,499 10,664,398 5.6% jetBlue 2,776 88.1% n/a n/a DEC 13,998,438 15,776,073 12.7% Southwest 67,820 79.8% 74.4% 5.4 4th Quarter 34,932,867 37,870,009 8.4% United 16,666 94.8% 94.1% 0.8 TOTAL 121,032,935 129,089,232 6.7% US Airways 12,671 90.6% 76.5% 14.0 YTD Total 102,648,761 108,712,268 49,303 5.9% Volaris 1,177 73.1% n/a n/a

Source: RNO Monthly Flight Activity Reports