Melbourne Orlando International Airport (MLB)

Agenda

History

Overview​

Leadership

Finance & Revenue

Airport Operations

Airlines & Routes

Passenger Experience ​

Questions?

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MLB History

96 Years of Transformation​​

• Original airfield established in 1928
• Served as Naval Air Station Melbourne during World War II (1942-1947) Grumman F4F Wildcat, F6F Hellcat
• First air traffic control tower built in 1963
• Melbourne Airport Authority established in 1966
• MLB designated as an international airport in 1993

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Airport Leadership​

MLB is governed by the Melbourne Airport Authority. The board is comprised of community and industry volunteers and serves as stewards for the airport by shaping policies, approving capital expenditures, and providing voices for key stakeholders. The MLB team is led by Executive Director Greg Donovan and supported by a senior management team.

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MLB at a Glance​

• Nearly 4 square miles (~2,500 acres)
• Scheduled domestic air service with Delta, American, Allegiant, Sun Country
• International air service with TUI to 9 U.K. locations
• Serves as the Coastal Gateway to Central Florida
• 747,691 passengers in 2023 — a total only surpassed in 1990 – second best in 96 years
• $3.2 billion annual economic impact
• Employment of over 20,000 FTE
• $63.8 million annual budget
• Entire operating budget from airport revenue
• Capital budget from transportation related grants and airport specific user fees

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What Makes �MLB Unique?

MLB is home to a large tenant base that generates stabilizing revenue and drives significant economic prosperity on the Space Coast.

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Majority of airport revenue comes from leases. The airport also enjoys a nearly 50/50 split between business and leisure travelers.

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MLB Tenants

An Economic Engine for the Space Coast

• Northrop Grumman: developing B-21 Raider, the U.S. Military’s next generation strategic bomber, at the company’s MLB campus
• Embraer: 3^rd largest civil aircraft manufacture in the world; Phenom 300 is the world’s best-selling private jet for 11 consecutive years
• Dassault Falcon Jet: internationally regarded private jet manufacturer building a $115 million, 175,000 SF aviation maintenance facility off Apollo Blvd. that is anticipated to generate more than 400 high-wage jobs
• STS Aviation Services: state of the art nose-to-tail aircraft maintenance, repair, and overhaul solutions for domestic and international clientele

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MLB Revenue Sources

• Air Service: commercial flights & related concessions through landing fees and percentage of gross
• General Aviation: FBOs, schools, personal aircraft through land leases and fuel flowage
• Real Estate: 80% of revenue generated by ground leases
• Federal and State grant funding
• No ad valorem taxes or general sales taxes used to fund airport operations
• PFCs or CFCs for capital improvement projects
• A financially self-sustaining system

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Air Service Development

Why doesn’t my favorite airline fly to MLB?

When will you add a route to my favorite destination?

How does an airline determine where and when to fly?

How are ticket prices set?

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8/05/20XX

MLB Catchment Area

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• 32 zip codes

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• True Market of over 2.2M annual O&D passengers

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• 2,825 domestic PDEW

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• 412 international PDEW

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• Annual Gross Regional Product is $24B for the Palm Bay, Melbourne, Titusville MSA

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• Over 2,800 domestic PDEW to/from the MLB catchment area

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• 80% of that drives to an alternative airport with 73% going out of MCO

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MLB ONLY FRACTION OF TRUE MARKET

Over 80% of Melbourne’s total catchment area traffic diverts to other airports

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• 73% drives to Orlando International

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AVELO Experience at MLB

• In June 2023, Avelo began new nonstop service between MLB and new destinations – New Haven, CT (HVN) and Raleigh-Durham, NC (RDU)

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• With 3 weeks of flying, RDU was discontinued due to low load factors

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• April 2024, Avelo withdraws from market reallocates aircraft to MCO

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• Due to incentives, Avelo paid no direct airport charges

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• Benefited from Airport and TDC marketing campaigns

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• MLB averaged 88% load factor with an average fare of $87

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• MCO averages 90% load factor with $111 average fare ($24 difference)

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• Yield did not include ground station costs (MLB = $0)

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Why should I choose to fly MLB?​

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A Better Way to Fly

With our direct flights and multiple flights to Atlanta, Charlotte, Pittsburg, Allentown, and Minneapolis – St. Paul, MLB is non-stop or a single stop from anywhere in the world.

�The true cost of travel isn’t just measured in dollars — it is measured in time and stress too. Enjoy stress free, convenient travel that is close to home when you fly MLB.

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MLB Passenger Experience

• New facilities — $72 million, 86,000 SF renovation and expansion project
• 3 new widebody aircraft gates, FIS, welcome center, new second baggage claim
• Expanded retail and dining offerings
• Fast security checkpoint with 6 lane capacity
• Nearby and affordable parking
• Close to home

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• CPE of $4.70 (second lowest in Florida)
• Cross-utilization of ground handling station
• Common use gates & Ground Support Equipment
• Customer service distinction

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More Improvements �on the Horizon

• Innovative in-line baggage system
• Reconstruction of Taxiway A, C, M
• New escalator in the international baggage claim area
• Replacement of domestic bag belt
• Enhanced security surveillance and countermeasure system
• Improvements to navigational aids
• Construction of new airport operations and maintenance center

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Thank You for Supporting MLB

MLBair.com

Follow us to stay connected! @FlyMLB

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