COMMON USE AIRPORT LOUNGE OPPORTUNITY ADDENDUM #1 February 25, 2015 1. A request has been made to extend by one week the deadline to submit questions from Proposers to the Port; this request is reasonable. Therefore, as noted below, the deadline for submitting questions has been changed from February 27, 2015 to March 6, 2015; and the answers to submitted questions will be responded to on March 13, 2015. Important Upcoming Dates: February 27, 2015March 6, 2015: March 6, 2015March 13, 2015: March 20, 2015: Questions Due from Proposers Answers to Questions Posted by Port Proposals Due 2. The following two WEB links provide information on the Port of Oakland s Maritime and Aviation Project Labor Agreement (MAPLA): http://www.portofoakland.com/pdf/responsibility/mapla_agreement.pdf http://www.portofoakland.com/pdf/responsibility/mapla_principles.pdf California Unified Certification Program (ACDBE and DBE certified firms): http://www.dot.ca.gov/hq/bep/find_certified.htm 3. A question was asked about out-of-state ACDBEs; below is the response: A proposer cannot be acknowledged for bringing an out of state ACDBE on the team. However, an out of state ACDBE, if already certified by his home state, can be certified by California by having his application/certification transferred from home state to one of the California certifying agencies like BART or Caltrans. 4. The following information, previously transmitted and discussed at the Mandatory Pre-Proposal Meeting is attached and incorporated into Addendum #1 a. Information concerning utilities at Oakland International Airport; b. A listing of OAK airline station manager contact information; and, c. OAK Aviation Statistic
Utility service at Oakland International Airport is provided as follows: Electricity Provided by Port through Port infrastructure, billed to tenants at Port Rates (see attached rate schedule) based on metered usage Natural Gas Provided by PG&E through Port infrastructure, billed to tenant based on sub - metered usage. Water Provided by EBMUD through Port infrastructure, not billed by Utilities Administration but sub-metered. Sewer Provided by EBMUD through City of Oakland/Port Infrastructure, billed to tenant as a pass-through charge based on tenant s water metered usage (see attached Excel spreadsheet) The cost of service fee (sometimes referred to as a capacity fee) cannot be determined until detailed plans are submitted and reviewed. Generally speaking, the cost of service fee will apply under certain conditions, including: 1. The design load is greater than what the current infrastructure can support 2. There is a net projected increase to an existing connection (i.e. the current potable connection is 2 inch but the proposed project will require a 3 inch connection the fee will be based on the 1 inch increase) 3. A brand new customer that requires a new service connection
PORT OF OAKLAND ELECTRIC RATE (Effective January 1, 2015) Aviation (all Rate Schedule Charges year around rates) A Electric Customer Charge $10.00 Distribution ($/kwh) $0.07895 Energy Charge ($/kwh) $0.13073 State Energy Surcharge ($/kwh) $0.00029 Environmental Surcharge 2.85% City Electric User Tax 7.50% B Electric Customer Charge $15.00 Distribution ($/kwh) $0.07895 Energy Charge ($/kwh) $0.13073 State Energy Surcharge ($/kwh) $0.00029 Environmental Surcharge 2.85% City Electric User Tax 7.50% C Electric Customer Charge $125.00 Demand Distribution ($/kwh) $0.03684 > 100 KW and < 500 Energy Charge ($/kwh) $0.13073 KW Demand Charge ($/kw) $4.63000 State Energy Surcharge ($/kwh) $0.00029 Environmental Surcharge 2.85% City Electric User Tax 7.50% DS Electric Customer Charge $600.00 Secondary Service Peak Energy ($/kwh) $0.15563 Demand >= 500 KW Partial-Peak Energy ($/kwh) $0.13169 and < 1,000 KW Off-Peak Energy ($/kwh) $0.11972 Peak Demand ($/kw) $8.88000 Partial Peak Demand ($/kw) $2.03000 Maximum Demand ($/kw) $5.63000 State Energy Surcharge ($/kwh) $0.00029 Environmental Surcharge 2.85% City Electric User Tax 7.50% DP Electric Customer Charge $600.00 Primary Service Peak Energy ($/kwh) $0.14822 Demand >= 500 KW Partial-Peak Energy ($/kwh) $0.12542 and < 1,000 KW Off-Peak Energy ($/kwh) $0.11402 Peak Demand ($/kw) $8.46000 Partial Peak Demand ($/kw) $1.94000 Maximum Demand ($/kw) $5.36000 State Energy Surcharge ($/kwh) $0.00029 Environmental Surcharge 2.85% City Electric User Tax 7.50% EP Electric Customer Charge $1,000.00 Primary Service Peak Energy ($/kwh) $0.14822 Demand >= 1,000 KW Partial-Peak Energy ($/kwh) $0.12542 Off-Peak Energy ($/kwh) $0.11402 Peak Demand ($/kw) $7.28000 Partial Peak Demand ($/kw) $1.67000 Maximum Demand ($/kw) $4.62000 State Energy Surcharge ($/kwh) $0.00029 Environmental Surcharge 2.85% City Electric User Tax 7.50%
(3) WASTEWATER CHARGE: R1(S) - Non-Residential Monthly Total Minimum Charge = Service Charge + SF Bay Commercial Pollu. Prevent. Fee + Min. Treatment Charge Monthly Service Charge Port of Oakland WATER and WASTEWATER RATES Effective July 1, 2014 One-Month Billing WASTEWATER (WW) = (3) + (4) SF Bay Commercial P2 Fee Minimum Monthly Treatment Charge $7.13 $5.48 $7.20 AIRPORT Total Minimum Wastewater Treatment Charge Per Month $19.81000 (4) Wastewater Treatment Flow Charge [$/Cu.Ft]: (A) - "ST/ TT" Category $0.03017 - "RT" Category $0.04340 - "HT" Category $0.03090 - "AT" Category $0.01860 - "CT" Category $0.01260
OAKLAND INTERNATIONAL AIRPORT STAKEHOLDERS COMPANY MANAGER ADDRESS OFFICE CELL EMAIL ADDRESS AIRLINES ALASKA STEPHANIE CARDENAZ #1 AIRPORT DR, BOX 24, OAK, 94621 (510) 577-5813 (916) 612-6259 Stephanie.Cardenaz@alaskaair.com ALLEGIANT BRYAN SMITH #1 AIRPORT DR, BOX 29 OAK, 94621 (702) 830-5840 (716) 860-8530 bryan.smith@allegiantair.com DELTA HAWAIIAN IRENE ALPEN #1 AIRPORT DR, BOX 38, OAK, 94621 (510) 383-4441 (650) 201-0687 irene.alpen@delta.com Elfi Walker #1 AIRPORT DR, BOX 38, OAK, 94621 (510) 383-4450 (510) 325-6280 elfi.walker@delta.com GERALDINE GONZALES #1 AIRPORT DR, BOX 16, OAK, 94621 (510) 563-3906 (510) 590-2701 geraldine.gonzales@hawaiianair.com Lori Fisher #1 AIRPORT DR, BOX 16, OAK, 94621 (510) 563-3904 (650) 533-0481 lori.fisher@hawaiianair.com JETBLUE RHONDA BLAIR #1 AIRPORT DR, BOX 9, OAK, 94621 (510) 563-3606 (510) 772-8971 rhonda.blair@jetblue.com NORWEGIAN TONY HOGDAHL 2081 ADAMS AVE., SAN LEANDRO 94577 (510) 636-8790 (415) 216-5109 thogdahl@avportsvcs.com SATA BERNIE FERREIRA 1897 ALUM ROCK AVE, SAN JOSE 95116 (408) 729-3712 (510) 544-9103 bferreira@azores-express.com SOUTHWEST STEVE BERNHARDT #1 AIRPORT DR, BOX 25, OAK, 94621 (510) 563-1195 (510) 385-5569 steve.bernhardt@wnco.com Manjit Jhutty (Asst St Mgr) #1 AIRPORT DR, BOX 25, OAK, 94621 (510) 563-1039 (510) 851-3584 manjit.jhutty@wnco.com Chris Cattin #1 AIRPORT DR, BOX 25, OAK, 94621 (510) 563-1309 (267) 888-8083 chris.cattin@wnco.com SPIRIT CHARLES FERRANTE #1 AIRPORT DR, BOX 31, OAK, 94621 (510) 430-8024 (954) 663-5672 charles.ferrante@spirit.com US AIRWAYS MATTHEW HOH #1 AIRPORT DR, BOX 4, OAK, 94621 (510) 563-3645 (510) 599-4941 matthew.hoh@aa.com VOLARIS JEREMIAS LEIVA #1 AIRPORT DR, BOX 11, OAK, 94621 (510) 563-3873 (415) 572-5306 Jeremias.Leiva@volaris.com 2/18/2015
OAKLAND AT-A-GLANCE JANUARY2014 BASED ON DECEMBER TRAFFIC
Overview Most Recent Actuals Passengers December 2014 vs. 2013 +6.8% Cargo Tonnage December 2014 vs. 2013 +8.7% Parking + Concessions Revenue December 2014 vs. 2013 +8.5% Forward Looking Upcoming Capacity Feb-Apr 2015 vs. 2014 +6.4% Published: 2/6/2015 OAKLAND AT-A-GLANCE JANUARY 2014 2
Operational Summary Note: LTM = Last 12 Months Passengers Year-over-year Dec-14 and LTM +6.1% (+593,901) Operated Seats Year-over-year Dec-14 and LTM +1.4% (+189,034) 855,670 +6.8% (+58,113) 913,783 9,742,887 10,336,788 1,100,836 +5.3% (+57,958) 1,158,794 13,270,352 13,459,386 Dec-13 Dec-14 LTM Prior LTM Current Dec-13 Dec-14 LTM Prior LTM Current Cargo Tons Year-over-year Dec-14 and LTM +6.2% (+69,396) Landed Weight Year-over-year Dec-14 and LTM +3.1% (+268,962) +8.7% (+10,103) 1,111,178 1,180,574 +7.9% (+63,480) 8,703,743 8,972,705 116,373 126,476 804,710 868,190 Nov-13 Nov-14 LTM Prior LTM Current Nov-13 Nov-14 LTM Prior LTM Current Published: 2/6/2015 OAKLAND AT-A-GLANCE JANUARY 2014 3
Operational by Carrier Passengers Dec. 2014 Passengers YOY Dec. 2014 YOY % Chg. Load Factor YOY Dec. 2014 YOY Chg. (pts) LTM Passengers YOY LTM Dec. 2014 YOY % Chg. Southwest 647,954 5% 2% 7% Alaska 62,909-5% -8% -11% Delta 42,120 0% 3% 8% Spirit 35,041 112% -4% 38% JetBlue 29,971-13% -2% -16% Hawaiian 28,695 12% -6% 26% American 24,046 4% 10% -1% Volaris 21,438 31% -2% 5% Allegiant 16,766 5% -3% -4% Norwegian 4,655 Published: 2/6/2015 OAKLAND AT-A-GLANCE JANUARY 2014 4
Scheduled Capacity Total and by Airline Daily Departing Seats at OAK Year-over-year Change 4.5% 3.4% 3.6% 3.2% 8.6% 6.8% 6.9% 6.7% 6.7% 5.4% 5.2% +6.4% 5.5% Capacity Share Feb-Apr 2015 Alaska 7.1% Delta 4.8% 72.7% 0.5% JetBlue 2.9% 1.4% Hawaiian 2.1% 3.7% Spirit 1.7% American Volaris Allegiant Norwegian Southwest 3.0% -0.4% Dec 13-2.6% -2.4% -2.5% -2.9% Jan 2014 Feb Mar Apr -1.1% May Jun Jul Aug Sep Oct Nov Dec Jan 2015 Feb Feb-Apr 2015 Average Daily Seats 17,968 Mar Apr May Change in Daily Departing Seats by Airline Feb-Apr 2015 vs. 2014 Southwest (7.7%) Spirit (119%) Alaska (11%) Volaris (58%) Norwegian (New) Allegiant (11%) Hawaiian (5.1%) Delta (1.6%) JetBlue (1.4%) American (-15%) (207) 388 339 262 75 75 40 23 1,083 2,801 Published: 2/6/2015 OAKLAND AT-A-GLANCE JANUARY 2014 5
Scheduled Capacity by Market Top Markets Losing Capacity Change in Daily Departing Seats Feb-Apr 2015 vs. 2014 Top Markets Gaining Capacity Change in Daily Departing Seats Feb-Apr 2015 vs. 2014 Los Angeles - LAX (10%) 211 Phoenix-PHX (-9.5%) (121) Dallas-DFW (New) 180 Chicago-ORD (New) 178 Dallas-DAL (New) 143 San Diego (-2.5%) (37) Baltimore (New) Salt Lake City (11%) 91 136 Stockholm (New) 84 Seattle (4.8%) 62 Honolulu (-9.8%) (36) Morelia (New) 42 Kahului (9.7%) 37 Limited to markets with a change of at least 25 departing seats per day Published: 2/6/2015 OAKLAND AT-A-GLANCE JANUARY 2014 6
Scheduled Capacity versus Benchmarks Daily Departing Seats at OAK Year-over-year Change +3.2% 2,647,104 +2.9% 2,310,372 2,564,889 +5.5% +3.8% +2.5% 70,074 72,769 +5.3% +6.4% 55,453 56,821 +9.1% +0.3% +97% +1.3% +0.4% 16,686 17,574 16,886 17,968 14,621 15,948 14,866 14,914 15,456 15,511 201 395 590 597 2,245,713 336,732 319,175 OAK Domestic International Total SFO Domestic International Total SJC Domestic International Total U.S. Total Domestic International Total Feb14-Apr14 Feb15-Apr15 Published: 2/6/2015 OAKLAND AT-A-GLANCE JANUARY 2014 7
Scheduled Capacity Bay Area Seat Share Bay Area Seat Share to Top 10 O&D Markets Feb-Apr 2015 (% Share and Total Seats per Day) Los Angeles, CA OAK SFO 31% 45% SJC 24% 20,091 Change in OAK Share Year-Over-Year Feb-Apr 2015 vs. 2014 OAK 1.2 pts. New York, NY 2% 97% 2% 5,693 0.0 pts. Seattle, WA 22% 54% 24% 6,024-3.0 pts. San Diego, CA 29% 48% 23% 5,205 0.7 pts. Las Vegas, NV 25% 54% 20% 5,958-1.2 pts. Chicago, IL 12% 79% 8% Washington D.C. 7% 93% Boston, MA Portland, OR 100% 26% 0% 44% 1,957 1,700 30% 3,811 0% 0% Denver, CO 16% 64% 20% 3,225 3,484 0.0 pts. 0.5 pts. 1.5 pts. 5.7 pts. 6.5 pts. Published: 2/6/2015 OAKLAND AT-A-GLANCE JANUARY 2014 8
Scheduled Capacity vs. Peers Secondary Airports Feb-Apr 2015 vs. 2014, Change in Daily Departing Seats U.S. Airports 4M-10M Seats/Year Feb-Apr 2015 vs. 2014, Change in Daily Departing Seats Dallas-DAL 38.3% Ft. Lauderdale 8.0% Oakland 7.0% Palm Beach 5.7% Orange County 3.1% Baltimore 1.4% Chicago-MDW 1.3% San Jose 0.4% Burbank -0.2% Ontario -1.2% Houston-HOU -4.2% Providence -4.6% Manchester -4.6% Long Beach -11.1% Dallas-DAL New Orleans 8.6% Austin 7.7% Oakland 7.0% Fort Myers 4.1% Orange County 3.1% Nashville 2.7% Indianapolis 2.6% Milwaukee 2.2% Columbus 1.9% Pittsburgh Sacramento 1.5% 1.2% St. Louis 0.6% San Jose 0.4% San Antonio -0.8% Kansas City -1.9% Portland -2.2% Raleigh / Durham -3.4% Houston-HOU -4.2% Cleveland -7.9% 38.3% Published: 2/6/2015 OAKLAND AT-A-GLANCE JANUARY 2014 9
OAK Customer Survey- 4 th Quarter 2014 Business travel and visiting friends and relatives are more common in Q4 than leisure travel. Primary Reason for Trip 100% 90% 5% 4% FY14 Avg. 80% 70% 34% Other 5% 60% School/College Related 6% 50% 40% 30% 20% 10% 33% 24% Visiting Friends and Relatives Business Vacation/Leisure 24% 35% 30% 0% Sample Size=1083
OAK Customer Survey- 4 th Quarter 2014 The median age of the OAK traveler is 47, with almost 5 round trips taken per year. In FY14 overall, 52% of passengers were male. Traveler Demographics 11% 24% 5% 7% Other Round Trips in Past 12 Months Total Business 51% 49% Female Male 21% 17% 15% 65+ 55-64 45-54 35-44 25-34 <25 85% Non- Revenue Travel First Class/ Premium Upgrade/ Business Select Coach 0-1 8% 2% 2-5 46% 31% 6-12 26% 33% 13+ 19% 34% 12% Gender Age Ticket Type Sample Size= 783