VARIABLE COSTS

Fuel at $4.50 / gallon 1 Fuel Additive - $.02 / gallon	$495.00 2.20
Maintenance 2 Labor at $70.00 / hour Parts - airframe, engines, and avionics	133.00 68.10
Engine Maintenance Plan 3	230.06
Miscellaneous Flight Expenses	4.00
TOTAL VARIABLE COSTS PER HOUR	$932.36
Average Block Speed (mph) 4	414
COST PER STATUTE MILE	$2.25

FIXED COSTS

Crew Salaries 5 Captain .......... $54,369 Benefits .......... $16,310	$70,679.00
Hangar	10,000.00
Insurance Hull at .66% of value Admitted Liability - $250,000 / seat Legal Liability - $5M	16,500.00 1,540.00 3,200.00
Miscellaneous Overhead Recurrent Training Aircraft Modernization Navigation Equipment	7,500.00 8,400.00 1,300.00
Depreciation 6	40,000.00
TOTAL FIXED COSTS	$159,119.00

TOTAL ALL COSTS

TOTAL COST (350 hours per year)	$485,445.00
Cost per hour	$1,386.98
Cost per statute mile	$3.35
Cost per seat mile	$.42
TOTAL COST LESS DEPRECIATION (350 hours per year)	$445,445.00
Cost per hour	$1,272.70
Cost per statute mile	$3.07
Cost per seat mile	$0.38

Notes
1. 110 gallons per hour. Source: Operator experience.
2. Maintenance costs are based on a continous review of data available from operator experience, factory, NBAA and other sources. 1.9 manhour per flight hour.
3. Source: Williams International. TAP Elite Program - Includes Overhaul, Hot Section Inspection, premature removal allowances and loaner engines.
4. Maximum Cruise based on customer experience.
5. Based on 2007 JetNet salary data.
6. Based on $2,800,000 acquisition price and $2,600,000 residual price in 5 years: Consult a Certified Public Account for actual tax savings and depreciation calculations.
(rev. November 2007)