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: Own the sky January 2014

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Page 1: : Own the sky Daily Passengers: Long Haul traffic to /from/via Mega Cities traffic • >50 000 daily long-haul passengers • >20 000 daily long-haul passengers • >10 000 daily long

: Own the sky

January 2014

Page 2: : Own the sky Daily Passengers: Long Haul traffic to /from/via Mega Cities traffic • >50 000 daily long-haul passengers • >20 000 daily long-haul passengers • >10 000 daily long

© AIRBUS S.A.S. All rights reserved. Confidential and proprietary document.

– Own the Sky

All around the

world

The most efficient

way to grow All around the

world

Network optimiser,

yield booster The best cabin

in the sky

Innovation for

efficiency

Page 3: : Own the sky Daily Passengers: Long Haul traffic to /from/via Mega Cities traffic • >50 000 daily long-haul passengers • >20 000 daily long-haul passengers • >10 000 daily long

© AIRBUS S.A.S. All rights reserved. Confidential and proprietary document.

commercial figures

Data to end December 2013

147,000 revenue flights – 1.2m flight hours and ~50m passengers carried

304 firm orders 122 deliveries 182 order backlog

Page 4: : Own the sky Daily Passengers: Long Haul traffic to /from/via Mega Cities traffic • >50 000 daily long-haul passengers • >20 000 daily long-haul passengers • >10 000 daily long

© AIRBUS S.A.S. All rights reserved. Confidential and proprietary document.

Key Achievements – 2013

13 March 100th Aircraft delivered to MAS

17 June MoU Doric for 20 A380 at Le Bourget

03 July Close Up

A380 BAW

02 August 5 year of A380

UAE Operation

09 September Maiden Flight QTR MSN137

26 September Start AAR Assembly MSN 152

17 November UAE 50 A380 re-order

13 x UAE 1 x AFR 2 x MAS 3 x THA 3 x BAW 1 x CSN 2 x KAL

25 aircraft deliveries in 2013

02 December Longest route DXB-LAX with UAE Daily flight

Page 5: : Own the sky Daily Passengers: Long Haul traffic to /from/via Mega Cities traffic • >50 000 daily long-haul passengers • >20 000 daily long-haul passengers • >10 000 daily long

© AIRBUS S.A.S. All rights reserved. Confidential and proprietary document.

85

10

34

10

20 17

33

9 4

32 29

9

50

0

20

40

60

80

100

120

2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013

gross orders since launch

A consistent order intake from leading airlines

...and 8 uninterrupted years of reorders.

A380

Launch

Gross Orders

Reorder

Page 6: : Own the sky Daily Passengers: Long Haul traffic to /from/via Mega Cities traffic • >50 000 daily long-haul passengers • >20 000 daily long-haul passengers • >10 000 daily long

© AIRBUS S.A.S. All rights reserved. Confidential and proprietary document.

0

20,000

40,000

60,000

80,000

100,000

120,000

140,000

160,000

180,000

200,000

is the new flagship

11 of the top 20 international carriers ordered 264 out of 304 A380s

Source : IATA World Air Transport Statistics (WATS ) 2013

International RPKs, IATA carriers 2012 (000s)

A380 customers

Page 7: : Own the sky Daily Passengers: Long Haul traffic to /from/via Mega Cities traffic • >50 000 daily long-haul passengers • >20 000 daily long-haul passengers • >10 000 daily long

© AIRBUS S.A.S. All rights reserved. Confidential and proprietary document.

122 s delivered to date

10 operators, a fleet that keeps growing

Data to end December 2013

44

19

12

10

8

9

5

3

6

6

6

Page 8: : Own the sky Daily Passengers: Long Haul traffic to /from/via Mega Cities traffic • >50 000 daily long-haul passengers • >20 000 daily long-haul passengers • >10 000 daily long

© AIRBUS S.A.S. All rights reserved. Confidential and proprietary document.

at the heart of Global Transport (Network as of December 2013)

Source: OAG December 2013 Schedules

Page 9: : Own the sky Daily Passengers: Long Haul traffic to /from/via Mega Cities traffic • >50 000 daily long-haul passengers • >20 000 daily long-haul passengers • >10 000 daily long

© AIRBUS S.A.S. All rights reserved. Confidential and proprietary document.

– Own the Sky

The most efficient

way to grow All around the

world

Network optimiser,

yield booster The best cabin

in the sky

Innovation for

efficiency

The most efficient

way to grow

Page 10: : Own the sky Daily Passengers: Long Haul traffic to /from/via Mega Cities traffic • >50 000 daily long-haul passengers • >20 000 daily long-haul passengers • >10 000 daily long

© AIRBUS S.A.S. All rights reserved. Confidential and proprietary document.

The most efficient way to capture growth

* IATA World Slot Guidelines

A380 is the most efficient solution to capture growth in a highly concentrated and congested market

Air Traffic will more

than double over

15 years

The long haul market

is concentrated into

mega-cities

2012 50% long-haul traffic between 42 megacities

2032 75% long-haul traffic between 89 megacities

70% of the 2032

Mega-cities are slot

constrained TODAY*

“The main reason for a lack of

capacity in the aviation system is that there are not enough

runways and terminals to cope

with demand.”

(IATA 2012 Annual Review report)

Page 11: : Own the sky Daily Passengers: Long Haul traffic to /from/via Mega Cities traffic • >50 000 daily long-haul passengers • >20 000 daily long-haul passengers • >10 000 daily long

© AIRBUS S.A.S. All rights reserved. Confidential and proprietary document.

2012: 42 mega-cities

Handling more than 10,000 long haul passengers per day …

Long-haul traffic is highly concentrated on mega-cities

Source: GMF 2013; Cities w ith more than 10,000 daily passengers

Long haul traffic: flight distance >2,000nm, excl. domestic traffic;

93% of long-haul traffic

on routes to/from/v ia

42 cities

42 Aviation Mega-

cities

0.8M Daily Passengers:

Long Haul traffic to

/from/via Mega Cities

traffic

• >50 000 daily long-haul passengers • >20 000 daily long-haul passengers • >10 000 daily long-haul passengers

50% of long-haul traffic

on routes to/from

42 cities

Page 12: : Own the sky Daily Passengers: Long Haul traffic to /from/via Mega Cities traffic • >50 000 daily long-haul passengers • >20 000 daily long-haul passengers • >10 000 daily long

© AIRBUS S.A.S. All rights reserved. Confidential and proprietary document.

A380 connects more than 70% of todays mega-cities

Handling more than 10,000 long haul passengers per day …

At the heart of global air transport

OAG Dec 2013

• >50 000 daily long-haul passengers • >20 000 daily long-haul passengers • >10 000 daily long-haul passengers

Page 13: : Own the sky Daily Passengers: Long Haul traffic to /from/via Mega Cities traffic • >50 000 daily long-haul passengers • >20 000 daily long-haul passengers • >10 000 daily long

© AIRBUS S.A.S. All rights reserved. Confidential and proprietary document.

2032: 89 mega-cities

More mega-cities, and more concentration of traffic between them

Source: GMF 2013; Cities w ith more than 10,000 daily passengers

Long haul traffic: flight distance >2,000nm, excl. domestic traffic;

• >50 000 daily long-haul passengers • >20 000 daily long-haul passengers • >10 000 daily long-haul passengers

99% of long-haul traffic

on routes to/from/via

89 cities

2.2M Daily Passengers:

Long Haul traffic to

/from/via Mega Cities

89 Aviation Mega-

cities

Handling more than 10,000 long haul passengers per day …

75% of long-haul traffic

on routes to/from

89 cities

Page 14: : Own the sky Daily Passengers: Long Haul traffic to /from/via Mega Cities traffic • >50 000 daily long-haul passengers • >20 000 daily long-haul passengers • >10 000 daily long

© AIRBUS S.A.S. All rights reserved. Confidential and proprietary document.

Airport slots are a scarce resource today

Of the 89 Mega-cities in 2032, 70% are already congested today

Airport infrastructure cannot keep-up with traffic growth

IATA level 3

mandatory slot control

IATA level 1

non-slot controlled

IATA level 2

voluntary slot control

IATA World Scheduling Guidelines: Level 2 & 3 at primary city airport

Page 15: : Own the sky Daily Passengers: Long Haul traffic to /from/via Mega Cities traffic • >50 000 daily long-haul passengers • >20 000 daily long-haul passengers • >10 000 daily long

© AIRBUS S.A.S. All rights reserved. Confidential and proprietary document.

Slot value in congested airports

The A380 is the obvious way to leverage valuable and scarce slots

DID YOU

KNOW ? Heathrow:

Continental paid $300m for 4 daily slots

Etihad paid $70m for 3 daily slots

More than 150 airports in the world have demand for runway and gate access that exceed their capacity.

Page 16: : Own the sky Daily Passengers: Long Haul traffic to /from/via Mega Cities traffic • >50 000 daily long-haul passengers • >20 000 daily long-haul passengers • >10 000 daily long

© AIRBUS S.A.S. All rights reserved. Confidential and proprietary document.

Average aircraft size has continually increased over the last 20 years

The average capacity per flight has grown by 30% in the last 20-years

90

100

110

120

130

140

150

1993 1995 1997 1999 2001 2003 2005 2007 2009 2011 2013

Average seats per flight Base year 1993 = 100

Source: OAG (September data), Airbus Market Research and Forecasts

+32%

Average flight capacity

Page 17: : Own the sky Daily Passengers: Long Haul traffic to /from/via Mega Cities traffic • >50 000 daily long-haul passengers • >20 000 daily long-haul passengers • >10 000 daily long

© AIRBUS S.A.S. All rights reserved. Confidential and proprietary document.

– Own the Sky

The most efficient

way to grow All around the

world

Network optimiser,

yield booster The best cabin

in the sky

Innovation for

efficiency

Network optimiser

yield booster

Page 18: : Own the sky Daily Passengers: Long Haul traffic to /from/via Mega Cities traffic • >50 000 daily long-haul passengers • >20 000 daily long-haul passengers • >10 000 daily long

© AIRBUS S.A.S. All rights reserved. Confidential and proprietary document.

Airlines know the pulling-power of the A380

A380 is the only aircraft highlighted

in airline on-line booking systems

380

Page 19: : Own the sky Daily Passengers: Long Haul traffic to /from/via Mega Cities traffic • >50 000 daily long-haul passengers • >20 000 daily long-haul passengers • >10 000 daily long

© AIRBUS S.A.S. All rights reserved. Confidential and proprietary document.

0

50

100

150

200

250

300

350

Scheduling the right capacity at the right time

Deploy A380 capacity at times of highest demand and yield

Night flights: +8% yield premium

Source: OAG – September 2012 Schedules

Asia to Europe Departures per hour

Nig

ht

pe

rio

d fo

r E

uro

pe

arr

iva

ls

Nig

ht

pe

rio

d fo

r A

sia

n d

ep

art

ure

s

Premium (high yield)

traffic prefers night flights

data

Page 20: : Own the sky Daily Passengers: Long Haul traffic to /from/via Mega Cities traffic • >50 000 daily long-haul passengers • >20 000 daily long-haul passengers • >10 000 daily long

© AIRBUS S.A.S. All rights reserved. Confidential and proprietary document.

Concentration of flights between mega-cities

Source: OAG – December 2013 Schedules

London

Hong Kong

London to Hong Kong

6:00 12:00 18:00 6:00

Hong Kong to London

6:00 12:00 18:00 24:00 6:00

24:00

Departure Times

Departure Times

Slot and time zone constraints drive frequency concentration

The A380 is the most efficient solution for growth

Page 21: : Own the sky Daily Passengers: Long Haul traffic to /from/via Mega Cities traffic • >50 000 daily long-haul passengers • >20 000 daily long-haul passengers • >10 000 daily long

© AIRBUS S.A.S. All rights reserved. Confidential and proprietary document.

– Own the Sky

The most efficient

way to grow All around the

world

Network optimiser,

yield booster The best cabin

in the sky

Innovation for

efficiency

The best cabin

in the sky

Page 22: : Own the sky Daily Passengers: Long Haul traffic to /from/via Mega Cities traffic • >50 000 daily long-haul passengers • >20 000 daily long-haul passengers • >10 000 daily long

© AIRBUS S.A.S. All rights reserved. Confidential and proprietary document.

– the best cabin in the sky

Comfort for all classes, a universally acclaimed airline brand enhancer

Low velocity cabin air Advanced temperature control Comfortable cabin altitude High relative humidity

The quietest,

smoothest cabin

The widest ever Main

Deck cabin

Widebody comfort on

Upper Deck More stowage

volume

The widest economy

class seat

Page 23: : Own the sky Daily Passengers: Long Haul traffic to /from/via Mega Cities traffic • >50 000 daily long-haul passengers • >20 000 daily long-haul passengers • >10 000 daily long

© AIRBUS S.A.S. All rights reserved. Confidential and proprietary document.

– Own the Sky

The most efficient

way to grow All around the

world

Network optimiser,

yield booster The best cabin

in the sky

Innovation for

efficiency

Innovation for

efficiency

Page 24: : Own the sky Daily Passengers: Long Haul traffic to /from/via Mega Cities traffic • >50 000 daily long-haul passengers • >20 000 daily long-haul passengers • >10 000 daily long

© AIRBUS S.A.S. All rights reserved. Confidential and proprietary document.

Superior by design: innovation for efficiency

Lower fuel burn, higher reliability, lower maintenance costs

New flight controls architecture

dual Hydraulic/Electronic (2H/2E)

State-of-the-art aerodynamics

Active CG targeting

Weight

New generation high by-pass engines

Variable Frequency electrical

power generation

Automated fuel transfer

Laser beam welding

Composite materials

(25% by weight)

Fuel Burn Drag

Page 25: : Own the sky Daily Passengers: Long Haul traffic to /from/via Mega Cities traffic • >50 000 daily long-haul passengers • >20 000 daily long-haul passengers • >10 000 daily long

© AIRBUS S.A.S. All rights reserved. Confidential and proprietary document.

Continuous improvement

Improving the passenger’s favourite airliner

SFC = Specific Fuel Consumption

Principle improvements since EIS

Improved SFC*

Trent 900\ GP 7000

Aircraft weight reduction

New Design Weights

payload +500nm

+8t

Wing twist

-1% Fuel burn

Page 26: : Own the sky Daily Passengers: Long Haul traffic to /from/via Mega Cities traffic • >50 000 daily long-haul passengers • >20 000 daily long-haul passengers • >10 000 daily long

© AIRBUS S.A.S. All rights reserved. Confidential and proprietary document.

– the lowest cost per seat

The lowest unit costs, with no compromise on comfort

Airbus standard 3-class layouts

Datum

-6%

24%

18% 20%

-10%

-5%

0%

5%

10%

15%

20%

25%

30%

A380525 seats

A380558 seats

747-400370 seats

747-8405 seats

777-300ER305 seats

Relative cash operating cost per seat, 6000nm sector

UDCCR LDCCR

UDCCR: Upper deck cabin crew rest LDCCR: Low er deck cabin crew rest

Page 27: : Own the sky Daily Passengers: Long Haul traffic to /from/via Mega Cities traffic • >50 000 daily long-haul passengers • >20 000 daily long-haul passengers • >10 000 daily long

© AIRBUS S.A.S. All rights reserved. Confidential and proprietary document.

Page 28: : Own the sky Daily Passengers: Long Haul traffic to /from/via Mega Cities traffic • >50 000 daily long-haul passengers • >20 000 daily long-haul passengers • >10 000 daily long

© AIRBUS S.A.S. All rights reserved. Confidential and proprietary document.

© AIRBUS S.A.S. All rights reserved. Confidential and proprietary document. This document and all information contained herein is the sole property of AIRBUS S.A.S. No intellectual property rights are granted by the delivery of this document or the disclosure of its content. This document shall not be reproduced or disclosed to a third party without the express written consent of AIRBUS S.A.S. This document and its content shall not be used for any purpose other than that for which it is supplied. The statements made herein do not constitute an offer. They are based on the mentioned assumptions and are expressed in good faith. Where the supporting grounds for these statements are not shown, AIRBUS S.A.S. will be pleased to explain the basis thereof. AIRBUS, its logo, A300, A310, A318, A319, A320, A321, A330, A340, A350, A380, A400M are registered trademarks.