Finding Your Place In Today’s Economy Mike Hainsey, A.A.E. Executive Director Golden Triangle...

Finding Your Finding Your Place In Today’s Place In Today’s

EconomyEconomy

Mike Hainsey, A.A.E.Mike Hainsey, A.A.E.Executive DirectorExecutive Director

Golden Triangle Regional Airport Golden Triangle Regional Airport (GTR)(GTR)

Columbus, MississippiColumbus, Mississippi

Economic Economic Development Development

at Small at Small Regional and Regional and GA AirportsGA Airports

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Economic SurvivalEconomic Survival

THE MESSAGE THE MESSAGE Airports are Airports are

economic engineseconomic engines Communities need Communities need

a viable airport to a viable airport to growgrow

Smaller airports Smaller airports may need non-may need non-traditional means to traditional means to survivesurvive

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Southwest sticks with plan to cut Southwest sticks with plan to cut

capacity by 4% in 2009capacity by 4% in 2009

USA Today

The Landscape Has The Landscape Has ChangedChanged

Airlines cut Airlines cut serviceservice

Fuel pricesFuel prices Air travel Air travel

drops drops double-double-digitsdigits

The result: The result: Airport Airport revenues go revenues go downdown

Fewer flights, higher fares

Fewer flights, higher faresAs the cost of jet fuel rises, 6 leading

As the cost of jet fuel rises, 6 leading airlines cut capacity. airlines cut capacity.

American Airlines' parent AMR to cut 6,500 or

more jobs Delta Cuts Flights Delta Cuts Flights

20%--cuts workforce 20%--cuts workforce by 75Kby 75K

2009 Passenger 2009 Passenger BoardingsBoardingsJacksonJackson

-12.4%-12.4%GulfportGulfport-34.9%-34.9%TupeloTupelo-33.8%-33.8%GreenvilleGreenville -38.9%-38.9%

Taking A Success Story & Taking A Success Story & Building On ItBuilding On It

Golden Golden Triangle Triangle Regional Regional AirportAirport

Year: 1999Year: 1999

Jobs: 57 totalJobs: 57 total

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American American Eurocopter (EADS Eurocopter (EADS NA) NA)

Makes Makes helicopter for helicopter for civilian and civilian and military usemilitary use 400 jobs @ 400 jobs @ $55K$55K 300,000 sq ft300,000 sq ft



Severstal Severstal Columbus Columbus Russian steel Russian steel “mini-mill”“mini-mill”

$1.6 billion $1.6 billion facilityfacility

650 direct 650 direct jobsjobs

Numerous Numerous spinoffsspinoffs

Rolled steel Rolled steel for commercial for commercial and auto useand auto use


Aurora Flight Aurora Flight Science Science

UAV UAV manufacturermanufacturer

80,000 sq ft 80,000 sq ft facilityfacility

300 high tech 300 high tech jobsjobs

PACCAR PACCAR Parent Parent company for company for Peterbilt and Peterbilt and Kenworth trucksKenworth trucks

Making Dutch Making Dutch diesel enginediesel engine

$500 million $500 million facilityfacility

850 high-850 high-paying jobspaying jobs


Stark Aerospace Stark Aerospace Subsidiary of Subsidiary of Israel Israel AerospaceAerospace

Makes UAVs Makes UAVs and other and other defense defense productsproducts

200 high-tech 200 high-tech jobs--$55K+jobs--$55K+

110,000 sq ft110,000 sq ft


Golden Triangle Golden Triangle Regional AirportRegional Airport

Year: 2009Year: 2009

Total New Jobs: 2750Total New Jobs: 2750

Economic Economic Investment: $3 Investment: $3 billion+billion+

Am. EurocopterAm. Eurocopter

Steel MillSteel Mill

AuroraAurora

Stark AerospaceStark Aerospace

PACCARPACCAR


Other FactorsOther Factors

Columbus AF BaseColumbus AF Base 12 Air Miles from 12 Air Miles from

GTRGTR Busiest AF Base in Busiest AF Base in

the worldthe world Airport businessAirport business

Control towerControl tower FuelFuel O & M costsO & M costs State-funded second State-funded second

ILS (BRAC initiative)ILS (BRAC initiative)

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GTRA has become GTRA has become a hub for Economic a hub for Economic DevelopmentDevelopment Airports must take Airports must take

an active role in an active role in Community Community DevelopmentDevelopment

Part of a teamPart of a team Normally the only Normally the only

expert in aviation expert in aviation mattersmatters

The FutureThe Future

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The FutureThe Future

Air ServiceAir Service Regional airports Regional airports

hit hardhit hard One major deal One major deal

does not mean does not mean new service!new service!

Economics of Economics of regional serviceregional service

International travel International travel a plusa plus

How To?How To?

Find your niche!Find your niche! Use team Use team

approachapproach Local leadersLocal leaders State agenciesState agencies Congressional Congressional

delegationdelegation Think regional!Think regional!

How To?How To?

Find your partnersFind your partners UniversitiesUniversities Convention/Visitor Convention/Visitor

BureauBureau Quality of LifeQuality of Life

Aviation agenciesAviation agencies FAAFAA State DOTState DOT State airports assnState airports assn

Airports are Airports are economic engineseconomic engines

Aviation sector is a Aviation sector is a challenge financiallychallenge financially Smaller airports hit Smaller airports hit

hardesthardest Airports must Airports must

diversify to survivediversify to survive Find your niche and Find your niche and

develop it!develop it!

SummarySummary

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Am. EurocopterAm. Eurocopter

Steel MillSteel Mill

AuroraAurora

Stark AerospaceStark Aerospace

PACCARPACCAR

Finding Your Place In Today’s Economy Mike Hainsey, A.A.E. Executive Director Golden Triangle...

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