1. Developed By Anthony Weeks 1 An Acquisition Proposal to Create a USVI Air/Sea Transit Authority (ASTA) Building a bridge to a stronger and sustainable economy in the 21 st Century

2. Developed By Anthony Weeks2 Proposal To Create a USVI Air/Sea Transit Authority (ASTA) _________________________________________ Throughout history, the economic wealth and power of a people or a nation have been closely tied to efficient methods of transportation. Transportation provides access to natural resources and promotes trade, allowing a nation to accumulate wealth and power. Throughout history, the economic wealth and power of a people or a nation have been closely tied to efficient methods of transportation. Transportation provides access to natural resources and promotes trade, allowing a nation to accumulate wealth and power. Transportation systems and the routes they use have greatly influenced both how and where people live. Reliable transportation allows a population to expand throughout a country’s territory and to live comfortably in remote areas far from factories and farms. The growth and expansion of the United States were directly related to the means of transportation available at the time. The more compact cities of the U.S. eastern seaboard are the result of early human- and animal-based transportation systems that allowed only short trips. Transportation systems and the routes they use have greatly influenced both how and where people live. Reliable transportation allows a population to expand throughout a country’s territory and to live comfortably in remote areas far from factories and farms. The growth and expansion of the United States were directly related to the means of transportation available at the time. The more compact cities of the U.S. eastern seaboard are the result of early human- and animal-based transportation systems that allowed only short trips.

3. Developed By Anthony Weeks3 Proposal To Create a USVI Air/Sea Transit Authority (ASTA) _________________________________________ Transportation is vital to any society or nation’s economy. Reducing the costs of transporting natural resources to production sites and moving finished goods to markets is one of the key factors in economic competition. The transportation industry is the largest industry in the world. It includes the manufacture and distribution of vehicles, the production and distribution of fuel, and the provision of transportation services. In 2000, approximately 3.2 percent of the U.S. gross domestic product and an estimated 7.4 percent of all jobs in the United States were related to the transportation industry. Transportation is vital to any society or nation’s economy. Reducing the costs of transporting natural resources to production sites and moving finished goods to markets is one of the key factors in economic competition. The transportation industry is the largest industry in the world. It includes the manufacture and distribution of vehicles, the production and distribution of fuel, and the provision of transportation services. In 2000, approximately 3.2 percent of the U.S. gross domestic product and an estimated 7.4 percent of all jobs in the United States were related to the transportation industry.

4. Developed By Anthony Weeks4 Proposal To Create a USVI Air/Sea Transit Authority (ASTA) Seaborne Airlines Company Information ________________________________________________ Business:Only U.S. Scheduled Flag Carrier licensed in USVI Business:Only U.S. Scheduled Flag Carrier licensed in USVI Headquarters :St. Croix, Virgin Islands Headquarters :St. Croix, Virgin Islands Destinations Served:USVI, Puerto Rico & BVI Destinations Served:USVI, Puerto Rico & BVI Daily Traffic: Approx. 500 passengers St. Croix, St. Thomas & Puerto Rico Daily Traffic: Approx. 500 passengers St. Croix, St. Thomas & Puerto Rico Employees: 125 Employees: 125 Certification:FAA 121 Air Carrier Certification:FAA 121 Air Carrier

5. Developed By Anthony Weeks5 Boston Harbor Cruises (BHC) is the most experienced operator in the Northeast, and one of the largest private passenger vessel operators in the United States. Boston Harbor Cruises (BHC) is the most experienced operator in the Northeast, and one of the largest private passenger vessel operators in the United States. Hallmarking 80 years of experience operating passenger vessels in Boston Harbor, New York Harbor, Narragansett Bay and the Caribbean. Today, BHC owns and operate 21 vessels which are used for year round commuter transportation routes, whale watching, sightseeing tours, private charters, traditional ferry and high speed ferry transportation. Operating 363 days each year, with 261 scheduled departures each weekday morning, accommodating over 2,000,000 passengers annually. Hallmarking 80 years of experience operating passenger vessels in Boston Harbor, New York Harbor, Narragansett Bay and the Caribbean. Today, BHC owns and operate 21 vessels which are used for year round commuter transportation routes, whale watching, sightseeing tours, private charters, traditional ferry and high speed ferry transportation. Operating 363 days each year, with 261 scheduled departures each weekday morning, accommodating over 2,000,000 passengers annually.

6. Developed By Anthony Weeks6 Operate a cost efficient seaplane and fast ferry transportation system Operate a cost efficient seaplane and fast ferry transportation system Utilize efficient structure to lower the current cost of transportation at a minimum of 30 percent Utilize efficient structure to lower the current cost of transportation at a minimum of 30 percent Extend route structure to surrounding islands via growth Extend route structure to surrounding islands via growth Increase the speed of commerce via a highly effective transportation system Increase the speed of commerce via a highly effective transportation system Boost tourism via the same mechanism Boost tourism via the same mechanism Provide first rate customer service in the safest possible manner Provide first rate customer service in the safest possible manner Hire skilled VI management and staff Hire skilled VI management and staff Proposal To Create a USVI Air/Sea Transit Authority (ASTA) Seaborne Airlines Business Strategy ________________________________________________

7. Developed By Anthony Weeks7 Proposal To Create a USVI Air/Sea Transit Authority (ASTA) Seaborne Airlines Fleet Information ________________________________________________ Fleet: 7 deHavilland Twin Otters on Wipline Floats (DHC-6-300) Fleet: 7 deHavilland Twin Otters on Wipline Floats (DHC-6-300) Seating: 14 -17 Seating: 14 -17 Wingspan:65’ Wingspan:65’ Fuselage Length:51’9” Fuselage Length:51’9” Cruising Speed:160 miles per hour Cruising Speed:160 miles per hour Engines:2 Pratt & Whitney PT6-27 Engines:2 Pratt & Whitney PT6-27

8. Developed By Anthony Weeks8 Proposal To Create a USVI Air/Sea Transit Authority (ASTA) Seaborne Airlines (Advantages/Benefits) ________________________________________________ Continuation of first rate attention to a “safety first culture” by two Continuation of first rate attention to a “safety first culture” by two well established and highly experience management entities well established and highly experience management entities Establishment of high frequency air bridge between STT/STX with Establishment of high frequency air bridge between STT/STX with flights every 15 minutes and year round fast ferry service flights every 15 minutes and year round fast ferry service New seaplane service connecting St. Croix (Christiansted & Frederiksted), St. Thomas, St. John, Tortola, Virgin Gorda, Culebra, Vieques, San Juan, Fajardo and St. Martin New seaplane service connecting St. Croix (Christiansted & Frederiksted), St. Thomas, St. John, Tortola, Virgin Gorda, Culebra, Vieques, San Juan, Fajardo and St. Martin Reliable professionally operated fast ferry service providing low cost Reliable professionally operated fast ferry service providing low cost transportation for general population, backup for seaplane service transportation for general population, backup for seaplane service Access to $20 million per year in existing Federal Aviation Administration funds for seaplanes base ($10mm per seaplane base) Access to $20 million per year in existing Federal Aviation Administration funds for seaplanes base ($10mm per seaplane base)

9. Developed By Anthony Weeks9 Proposal To Create a USVI Air/Sea Transit Authority (ASTA) Seaborne Airlines (Advantages/Benefits) cont’d ________________________________________________ Access to Federal mass transportation subsidies to reduce the cost of air/sea travel Access to Federal mass transportation subsidies to reduce the cost of air/sea travel Greater logistical convenience, boosting the efficiency and effectiveness of government, tourism, and local commerce Greater logistical convenience, boosting the efficiency and effectiveness of government, tourism, and local commerce Ownership by the people of a “VI National Treasure” – the Seaplane vital to our image and destination individuality Ownership by the people of a “VI National Treasure” – the Seaplane vital to our image and destination individuality Establishment of a revenue (profitable) generating wholly owned business venture of the VI government Establishment of a revenue (profitable) generating wholly owned business venture of the VI government Protection and continued growth of hundreds of well paying professional jobs Protection and continued growth of hundreds of well paying professional jobs

10. Developed By Anthony Weeks10 Proposal To Create a USVI Air/Sea Transit Authority (ASTA) Seaborne Airlines (Destinations) ________________________________________________ St. Croix St. Thomas St. John San Juan Tortola Virgin Gorda CulebraViequesFajardo St. Martin

11. Developed By Anthony Weeks11 Proposal To Create a USVI Air/Sea Transit Authority (ASTA) Seaborne Airlines (USVI Government Participation) ________________________________________________ Complete Acquisition Complete Acquisition Debt Financing (General Obligation & Debt Financing (General Obligation & Private Activity Bonds) Investment Investment Essential Air Service Funding Essential Air Service Funding Other negotiable – Employment or consulting agreements with current Seaborne and VI Fast Ferry management Other negotiable – Employment or consulting agreements with current Seaborne and VI Fast Ferry management

12. Developed By Anthony Weeks12 Proposal To Create a USVI Air/Sea Transit Authority (ASTA) Seaborne Airlines (Summary) ________________________________________________ The new ownership will provide the capital to strengthen Seaborne’s fundamental base of operations while supporting a well-balanced growth strategy over the next few years. The new ownership will provide the capital to strengthen Seaborne’s fundamental base of operations while supporting a well-balanced growth strategy over the next few years. Utilize the most cost efficient/effective provider of local aviation and sea transportation services. Utilize the most cost efficient/effective provider of local aviation and sea transportation services. The combination of a seaplane and a fast ferry operations will create a superior, year round, mass transit system – capable of meeting the needs of All Virgin Islanders And our visitors. The combination of a seaplane and a fast ferry operations will create a superior, year round, mass transit system – capable of meeting the needs of All Virgin Islanders And our visitors.

13. Developed By Anthony Weeks13 Proposal To Create a USVI Air/Sea Transit Authority (ASTA) Seaborne Airlines (Summary) ________________________________________________ St. Croix will now be able to share the wealth of the revenues generated by the cruise ship industry in St. Thomas, estimated at two million visitors annually. St. Croix will now be able to share the wealth of the revenues generated by the cruise ship industry in St. Thomas, estimated at two million visitors annually. All Virgin Islanders will have an opportunity to live, work and play throughout the territory without the logistical economic barriers. A cultural exchange of people, creating social harmony. All Virgin Islanders will have an opportunity to live, work and play throughout the territory without the logistical economic barriers. A cultural exchange of people, creating social harmony. Expanding and increasing the local tax base on all three islands, attracting new businesses and industries. Expanding and increasing the local tax base on all three islands, attracting new businesses and industries. An Economic boost for local businesses stemming from the increase traffic. An Economic boost for local businesses stemming from the increase traffic.

14. Developed By Anthony Weeks14 Proposal To Create a USVI Air/Sea Transit Authority (ASTA) Seaborne Airlines (Summary) ________________________________________________ There now exists two separate economies- ST. Thomas/St. John and St. Croix. The creation of ASTA will facilitate a single market and economy within the Virgin Islands by literally bridging all four Virgins and remove the social and economic barriers that inhibit economic expansion and growth. The creation of ASTA will alleviate the alienation and resentment toward each others progress; by making transportation affordable, and accessible, where all the people can move freely and conveniently, where there is a constant exchange of commerce and camaraderie; A common desire as a people, to be one community with one goal in mind to PROSPER! There now exists two separate economies- ST. Thomas/St. John and St. Croix. The creation of ASTA will facilitate a single market and economy within the Virgin Islands by literally bridging all four Virgins and remove the social and economic barriers that inhibit economic expansion and growth. The creation of ASTA will alleviate the alienation and resentment toward each others progress; by making transportation affordable, and accessible, where all the people can move freely and conveniently, where there is a constant exchange of commerce and camaraderie; A common desire as a people, to be one community with one goal in mind to PROSPER!

15. Developed By Anthony Weeks15 Proposal To Create a USVI Air/Sea Transit Authority (ASTA) Seaborne Airlines (Cost Analysis) ________________________________________________ Government Travel Expenditure: Government Travel Expenditure: It is estimated that between Cape Air and Seaborne, approximately $4 million is spent by the local government to shuttle its employees between St. Thomas and St. Croix. It is estimated that between Cape Air and Seaborne, approximately $4 million is spent by the local government to shuttle its employees between St. Thomas and St. Croix. Government Savings: Government Savings: Through possible expansion of the Seaborne fleet, lowering operating cost per unit by at least 30 percent, it is anticipated passing on cost savings to the government to the tune of $1.2 million per year Through possible expansion of the Seaborne fleet, lowering operating cost per unit by at least 30 percent, it is anticipated passing on cost savings to the government to the tune of $1.2 million per year

16. Developed By Anthony Weeks16 Proposal To Create a USVI Air/Sea Transit Authority (ASTA) Seaborne Airlines (Cost Analysis) ________________________________________________ The ability to increase the efficiency of government (i.e. allow key personnel to travel when they want not when something is available and send large groups back and fourth for meetings, conferences, etc would likely increase government productivity by at least 10 percent. The ability to increase the efficiency of government (i.e. allow key personnel to travel when they want not when something is available and send large groups back and fourth for meetings, conferences, etc would likely increase government productivity by at least 10 percent.

17. Developed By Anthony Weeks17

18. Developed By Anthony Weeks18

19. Developed By Anthony Weeks19 In 2001, Virgin Islands Fast Ferry (VIFF), a subsidiary of BHC, began operating seasonal high speed ferry service between Charlotte Amalie, St. Thomas and Christiansted, St. Croix. The 40 miles crossing is highly exposed, with sea conditions regularly reaching six to eight feet. Due to her overall length, “Z” bow design and computerized ride control system, the salacia is the first vessel to successfully provide regular service on this route. The Salacia completes the 40 miles trip in just 75 minutes. In 2001, Virgin Islands Fast Ferry (VIFF), a subsidiary of BHC, began operating seasonal high speed ferry service between Charlotte Amalie, St. Thomas and Christiansted, St. Croix. The 40 miles crossing is highly exposed, with sea conditions regularly reaching six to eight feet. Due to her overall length, “Z” bow design and computerized ride control system, the salacia is the first vessel to successfully provide regular service on this route. The Salacia completes the 40 miles trip in just 75 minutes. VIFF enjoys a reputation in the Virgin Islands for reliable service and affordable transportation between the USVI’s two largest islands. This service is used by area residents and tourist alike. VIFF enjoys a reputation in the Virgin Islands for reliable service and affordable transportation between the USVI’s two largest islands. This service is used by area residents and tourist alike.

20. Developed By Anthony Weeks20 The Salacia is the largest and fastest passenger The Salacia is the largest and fastest passengerSalacia catamaran of her kind in the country; she holds up to catamaran of her kind in the country; she holds up to 600 people and can travel at speeds up to 40 knots. 600 people and can travel at speeds up to 40 knots. That’s faster than most speedboats! She can go from full That’s faster than most speedboats! She can go from full speed to a dead stop in less than two boat lengths and speed to a dead stop in less than two boat lengths and pumps 30,000 gallons of seawater per minute through pumps 30,000 gallons of seawater per minute through each of her four water-jet engines – that’s enough to fill each of her four water-jet engines – that’s enough to fill an Olympic-size swimming pool in about five minutes. an Olympic-size swimming pool in about five minutes.

21. Developed By Anthony Weeks21 Outfitted with all of the maritime industry’s latest features, including Outfitted with all of the maritime industry’s latest features, including a computerized piloting system, GPS navigation, and cutting-edge a computerized piloting system, GPS navigation, and cutting-edge communications and safety equipment, her range is 300 nautical communications and safety equipment, her range is 300 nautical miles, and her engines are so efficient that they use only about a miles, and her engines are so efficient that they use only about a quarter of a gallon of fuel per passenger per mile. quarter of a gallon of fuel per passenger per mile. Plus, the Salacia boasts a fully automated active motion ride control Plus, the Salacia boasts a fully automated active motion ride control system to afford her passengers not only the fastest but also the system to afford her passengers not only the fastest but also the smoothest ride possible. Inside the Salacia is equipped with smoothest ride possible. Inside the Salacia is equipped with cushioned airline and booth style seating, air-conditioning, cushioned airline and booth style seating, air-conditioning, audiovisual system with satellite television, full cash bar and gourmet audiovisual system with satellite television, full cash bar and gourmet snacks. Plus, with the most outside deck space available you don’t have to snacks. Plus, with the most outside deck space available you don’t have to wait until you get to the beach to take in some Caribbean sun wait until you get to the beach to take in some Caribbean sun

22. Developed By Anthony Weeks22 From 1990 to 2000, BHC operated the Deer Island Personnel Transportation Contract, which operated year round on six 24-hours days with five vessels and carried 3.1 million passengers. During 10 years of service we operated in all forms of weather conditions, and never incurred a penalty for late arrivals or missed trips, while maintaining a perfect safety record. It was because of the knowledge and dedication of our managers, engineers, captains and crew that this service maintained faultless 10 year track record. From 1990 to 2000, BHC operated the Deer Island Personnel Transportation Contract, which operated year round on six 24-hours days with five vessels and carried 3.1 million passengers. During 10 years of service we operated in all forms of weather conditions, and never incurred a penalty for late arrivals or missed trips, while maintaining a perfect safety record. It was because of the knowledge and dedication of our managers, engineers, captains and crew that this service maintained faultless 10 year track record.

23. Developed By Anthony Weeks23 VI Air/Sea Transit Authority – ASTA “Moving the United States Virgin Islands Forward“