Bangor International Airport to Receive $500,000 Investment to Expand Service | News

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Bangor International Airport to Receive $500,000 Investment to Expand Service

Today, Congressman Mike Michaud praised the announcement by the U.S. Department of Transportation that Bangor International Airport will receive a $500,000 investment from the Small Community Air Service Development Program (SCASDP) to help attract new business to the airport.  According to the airport, the service that this investment will facilitate will open Bangor to access from additional points, add significant new capacity, and bring new fare discipline to the market.

“This investment will help Bangor International Airport promote new service, which will greatly benefit the region’s residents and businesses.  It will also help promote regional economic growth at a time we really need it,” said Michaud, a member of the House Transportation and Infrastructure Committee.

According to the U.S. Department of Transportation, the focus of the investment announced today will be to provide a minimum revenue guarantee for United Airlines to provide air service using regional jet aircraft between Bangor International Airport (BGR) and Chicago O'Hare International Airport (ORD) and/or Washington Dulles International Airport (IAD).  A minimum revenue guarantee is money set aside to use to reduce an airline’s risk in entering a new market.  If revenues do not cover operating expenses, the airline will use the funds from the minimum revenue guarantee to make up the difference. Terms and conditions of each agreement vary. Funds will also be used for marketing and advertising to support the service.