Million Air Moves Beyond Franchising:
Owners Can Now Get Piece of Parent
"We're not just a franchise company anymore."
So says Million Air marketing VP Sue Somers in explaining how the
Dallas-based FBO chain is so happy with the business that it's buying
up new FBO locations-some from existing Million Air franchisees
and some from outside.
"We're going to expand the chain through the acquisition
of company-owned stores rather than just franchising," Somers
said on the eve of NBAA. The firm turned 15 years old this year
and, with nearly 30 locations in the U.S. and Canada, already lays
claim to being the largest independent FBO chain in the world.
The first acquisition under the new Million Air gameplan was Million
Air Long Island, which had been run on a franchise basis. Million
Air Interlink, Inc. as Million Air is formally known, took ownership
of the operation at Republic Airport in Farmingdale, NY this past
March.
"Our long-term objective will be to expand the chain through
acquisitions into areas that we presently do not have coverage,"
Million Air president Lou Pepper said.
"While we will continue to franchise, we now have the ability
and desire to acquire company-owned stores. We will be offering
independent operators an exit strategy that could involve staying
in management with an equity position in the company," Pepper
said.
The Million Air' gameplan thus allows existing operators who wish
to cash out and retire the chance to do so. Or, in some cases, they
are staying on as managers, working for Million Air Interlink. John
Santomauro, for example, a longtime employee of Million Air Long
Island, has stayed on at his job there, as has manager Glen Gross.
He's taking on Million Air Interlink regional responsibilities as
well.
Million Air Long Island boasts a new, 12,000-square-foot terminal
and 35,000-square-foot corporate hangar, and since late last year
has offered expanded maintenance and services in the form of TAG
Aviation's 24-hour, seven-days-a-week 'Blue Light' AOG support package.
Million Air more recently acquired two of its Connecticut franchises,
at Bridgeport and Hartford Brainard. Former franchisee Tim Bannon
is staying on as general manager of the two FBOs-and, taking advantage
of the equity opportunity, he now owns a piece of Million Air Interlink
too.
Other Million Air acquisition deals are pending, and may even
be disclosed here this week. "We anticipate closing an additional
eight by the end of the year," says Somers.
"Franchising will continue as well," she reminds NBAA
attendees. "We are actively seeking franchise opportunities."
The newest franchise member of the Million Air family is Million
Air La Quinta at the Desert Resorts Regional Airport in Thermal,
Southern California. Million Air Palm Springs and Million Air La
Quinta are both owned by Fixed Base Operators, Inc. Russ Knowles
manages both locations.
Besides the recent advent of TAG Aviation's 24/7 Blue Light program
at FRG, Million Air is talking up new service and training initiatives
of its own, among them a special corporate effort to make sure line
technicians only handle aircraft for which they're qualified. The
company cites a recent survey finding that pilots are often apprehensive
about leaving a multi-million dollar aircraft in the hands of poorly
trained ground employees. So, "In addition to all of our line
service technicians going through the ATI or NATA Safety 1st Program,
we take it a step further," says Somers.
Million Air line technicians are 'licensed' through the company's
special corporate program. They're given practical hands-on tests,
the company says, for each aircraft type for fueling, towing, and
GPU operations. "Pilots should feel a greater comfort level
in knowing a strong emphasis has been placed on handling aircraft,"
says the Million Air VP.
Some things however, just stay the same at the big FBO chain.
One of them is the firm's annual giveaway of a Harley-Davidson motorcycle
to a Million Air customer on the first day of NBAA. This year's
drawing is slated for noon today at Million Air's booth 2770.
By Rich Piellisch