<P> The air show is a free event that showcases daredevil pilots, parachute teams, and jets flying in formation, as well as a water - skiing and boat - jumping component . Because of its proximity to city beaches and skyline, the demonstrations are visible from almost everywhere along the Chicago lakefront . Grandstand seats for the water show are located at North Avenue Beach . WBBM AM (780) broadcasts both days of the event every year . </P> <P> The air show features both civilian and military pilots . Flying teams have been sponsored by companies including Oracle and Red Bull . Many of the Air Show performers utilize Chicago's third airport, the Gary / Chicago International Airport in nearby Gary, Indiana, for ground support . The U.S. Army Golden Knights have participated each year for several years running . The U.S. Navy Blue Angels and U.S. Air Force Thunderbirds alternate annually as headliners . </P> <P> The show was first held in 1959 under the name "Lakeshore Park Air & Water Show," on a budget of $88 . The event featured a Coast Guard Air Sea Rescue demonstration, water skiers, a water ballet, games and a diving competition . The following year, the U.S. Air Force Thunderbirds and Golden Knights Parachute Team were added to the show . </P> <P> Since 1989, corporate sponsorship participation has underwritten production costs of the air and water show . The event has been managed by the Mayor's Office of Special Events since 1994 . </P>

Who pays for the chicago air and water show