Wheels Up Experience Inc. · NYSE:UP
Wheels Up Experience — Wheels Up — SPAC Merger (2021)
103 slides from Wheels Up Experience's SPAC merger presentation, 2021
Slide 1: Democratizing Private Aviation
DEMOCRATIZING PRIVATE AVIATION K EN NY D I CH T ER F O UN D ER & CE O
Slide 2: Disclaimer
DISCL AIMER CO N FI D EN T IA L I T Y A N D D ISCLOSUR E S This presentation has been prepared for use by Aspirational Consumer Lifestyle Corp. (“Aspirational”) and Wheels Up Partners Holdings LLC (“Wheels Up”) in connection with their proposed business combination. This presentation is for informat
Slide 3: Use of Projections, Data and Non-GAAP Metrics
US E O F PR OJ E CT I O NS A N D I L LUST R AT I V E PR E S EN TAT I O NS The financial projections, estimates, targets and illustrative presentations in this presentation are forward-looking statements that are based on assumptions that are inherently subject to significant uncertainties and contin
Slide 4: Key Investment Highlights
KEY INVESTMENT HIGHLIGHTS • B UILDING A MARKETPLACE FOR PRIVATE AVIATION • R EAL BUSINESS TODAY, WITH STRONG GROWTH AND DEFINED STRATEGY • L ARGE TAM • E XPERIENCED MANAGEMENT • L OW CAPITAL INTENSIT Y WHEELS UP 3
Slide 5: Agenda
AGENDA DEMOCRATIZING LEADING E SG & O UR I CO N I C O PER AT I O NA L PL AT F O RM FI NA N CIA L PR I VAT E MARKETPL ACES D E MA N D O PP O RT UN I T I E S BRAND OV ER V I E W T E CH N O LO GY OV ER V I E W AV IAT I O N G EN ER AT I O N F O R G R OW T H K EN NY D I CH T ER G R E G G R EEL E Y L EE A
Slide 6: Video Slide
VIDEO SLIDE
Slide 7: Visionary Team with Proven Operational Excellence
VISIONARY TE AM WITH PROVEN OPERATIONAL E XCELLENCE WH E E LS U P M AN AG E M EN T T E A M K EN NY D I CH T ER L EE APPL B AU M LT G EN T H O MA S B ER G E SO N ST E PH AN I E CH U N G DAN CR OWE L EE G OS S E T T G R E G G R EEL E Y F O UN D ER & CH I EF CH I EF MAR K E T I N G O FFI CER CH I EF O
Slide 8: Supported by a Deep and Experienced Board
SUPPORTED BY A DEEP AND E XPERIENCED BOARD P OST-TR ANS AC TION BOARD DIREC TOR S KENNY DICHTER DAV ID J. ADELMAN TIM J. ARMSTRONG C H I H T. C H E U N G MARC FARRELL ADM MICHAEL G. MULLEN ERIC PHILLIPS BRIAN J. RADECKI SUSAN SCHUMAN ERIK SNELL R AV I T HAK R AN S T R AT E G I C A D V I S O R S EDIT
Slide 9: Wheels Up is Democratizing Private Aviation
WH EELS UP IS D E M O CR AT I Z I N G PR I VAT E AV IAT I O N WI T H A N E X T- G EN ER AT I O N, T E CH N O LO GY- D R I V EN PL AT F O RM, MA K I N G I T ACCE S S I B L E F O R M I L L I O NS O F CO NSU M ER S .
Slide 10: Powering a Marketplace
WHEELS UP CONNECTS FLYERS TO PRIVATE AIRCRAF T – AND ONE ANOTHER DELIVERING E XCEPTIONAL , PERSONALIZED E XPERIENCES POWERING A MARKETPL ACE WITH... ...MILLIONS OF ...TENS OF CONSUMERS THOUSANDS OF AIRCRAF T WHEELS UP 10
Slide 11: Democratization Will Unlock an Even Larger TAM
DEMOCRATIZATION OF PRIVATE AVIATION WILL UNLOCK AN EVEN L ARGER TAM U.S. ADDRESSABLE MARKET 2025 D E M O C R AT I Z E D TA M ~ $ 8 0 B n (3)(4 )(5) CURRENT D E M O C R AT I Z E D TA M ~ $ 5 1 B n (3)(4 )(5) C U R R E N T P R I VAT E AV I AT I O N M A R K E T $ 3 1 B n (2) W H E E L S U P T O D AY ~
Slide 12: Private Aviation Industry Structure
PRIVATE AVIATION INDUSTRY STRUCTURE FULL L ARGEST CAPITAL OUTL AY ER OWNERSHIP UM NS CO CAPITAL OUTL AY, HOURLY COSTS, OR FRACTIONAL SIZ TF OWNERSHIP & MONTHLY MANAGEMENT FEES EO EN FA TM DD MI OM RE JET CARD SS PRE-PURCHA SED FLIGHT TIME FC PROGRAMS AB HO LE GT MA EN RK &L ET ST MEMBERSHIP MEMBERSH
Slide 13: Fragmented Industry of Underutilized Assets
FRAGMENTED INDUSTRY OF UNDERUTILIZED ASSETS PRIVATE AVIATION IN THE UNITED STATES ~1,900 ~20,000 8% OVER 1 ,900 PRIVAT E PL AN E S ( 2 ) TOP 10 OPER ATORS AI RCR AF T OPER ATORS ( 1 ) CONT ROL 8% OF C APACIT Y ( 1 ) 97% <10 AVER AG E PL AN E SIT S MORE T HAN 1 ,800 I DL E 97 % OF T H E T I M E (3 )
Slide 14: Founded to Disrupt the Private Aviation Industry
FOUNDED TO DISRUPT THE PRIVATE AVIATION INDUSTRY Berkshire’s NetJets bu card comp ys Marquis any Jet R E A D Y F O R TA K EOFF WHEELS UP AND ls Up Sees A Whee Uber Unicorn ing Valued Like ave A e Future B on, And It May H Or Amaz Point
Slide 15: The History of Wheels Up
THE HISTORY OF WHEELS UP LAUNCH OF DELTA LAUNCHED LIGHT PARTNERSHIP JET PROGRAM SOLD 10,000 TH CORE/BUSINESS NO.1 ON DEMAND MEMBERSHIP FLIGHTS IN U.S. TRANSFORMATIVE SOLD 5,000 TH ACQUISITION AIRCRAFT CORE/BUSINESS MANAGEMENT MEMBERSHIP AND MAINTENANCE ORDERED 35 KING AIR350i INTRODUCED LOWER SOLD 1
Slide 16: Important Strategic Transactions Have Transformed Wheels Up
IMPORTANT STRATEGIC TRANSACTIONS HAVE TRANSFORMED WHEELS UP KEY ACQUISITIONS AND PARTNERSHIPS HAVE FURTHER ENHANCED OUR VALUE PROPOSITION AND BROADENED OUR OPERATIONS S C A L I N G “A S S E T - R I G H T ” F L E E T A N D E N H A N C I N G C A PA B I L I T I E S ADDED AIRCRAFT MANAGEMENT A D D E D F
Slide 17: Market Leader with Consistent Track Record of Growth
MARKET LE ADER WITH CONSISTENT TRACK RECORD OF GROW TH AND INNOVATION BLUE CHIP INVESTORS & ~1,500 PARTNERS: 2,137 #1 ON-DEMAND PROVIDER (1) WHEELS UP AND PARTNER AIRCRAF T T OTA L R E V E N U E ($MM) 1,736 1,407 59% MEMBER ~45,000 GROWTH (2) LIVE FLIGHT LEGS (2) 1,140 912 695 385 ~11K ACTIVE USERS
Slide 18: Marketplaces
MA R K E T PL ACE S G R E G G R EEL E Y CHAI RM AN MAR K E T PL ACE
Slide 19: Where Digital Marketplaces Thrive
WHERE DIGITAL MARKETPL ACES THRIVE 1 2 3 4 H I G H LY L E G AC Y UN N E CE S S A RY UN LO CK SUPPLY FR AG M EN T ED T E CH N O LO GY CO NST R A I N T S & D E MA N D MA R K E T WHEELS UP 19
Slide 20: Current Private Aviation Industry Primed for Disruption
CURRENT PRIVATE AVIATION INDUSTRY PRIMED FOR DISRUPTION WHEELS UP HAS THE PL ATFORM AND TECHNOLOGY TO REVOLUTIONIZE PRIVATE AVIATION O P E R AT O R M A R K E T I S H I G H LY F R A G M E N T E D T O P 1 0 O P E R A T O R S C O N T R O L O N LY 8 % O F I N D U S T R Y C A P A C I T Y ( 1 ) 1 , 8 0 0
Slide 21: Uniquely Positioned as a Total Private Aviation Solution
UNIQUELY POSITIONED AS A TOTAL PRIVATE AVIATION SOLUTION T H I R D PA R T Y LUXURY EVENTS AND AND MANAGED PA R T N E R S H I P S OWNED FLEET EXPERIENCES FLEET G E N E R AT E S OPTIMIZES SIGNIFICANT FRAGMENTED DEMAND S U P P LY AMBASSADOR PROGRAM BRAND FLEET AIRCRAFT LOGISTICS WHEELS UP P L AT F O R
Slide 22: Our Iconic Brand
O UR I CO N I C BR A N D L EE APPL B AU M CH I EF MAR K E T I N G O FFI CER FR AN CE SC A M O L I NAR I CH I EF PE O PL E O FFI CER
Slide 23: Generating Significant Demand
GENERATING SIGNIFICANT DEMAND T H I R D PA R T Y LUXURY AND MANAGED OWNED FLEET EVENTS AND PA R T N E R S H I P S FLEET EXPERIENCES OPTIMIZES G E N E R AT E S FRAGMENTED S U P P LY SIGNIFICANT DEMAND FLEET AIRCRAFT LOGISTICS AMBASSADOR BRAND PROGRAM WHEELS UP P L AT F O R M SERVICE MAINTENANCE WHEEL
Slide 24: Our Mission and Vision
O UR M IS S I O N A N D V IS I O N W E C O N N E C T F LY E R S T O P R I V AT E A I R C R A F T — AND ONE ANOTHER—TO DELIVER E XCEPTIONAL , PERSONALIZED EXPERIENCES. A N D W E ’ R E B U I L D I N G A N I N N O VAT I V E M A R K E T P L A C E T O D O S O AT S C A L E . WHEELS UP 24
Slide 25: Wheels Up is Democratizing Private Aviation
WH EELS UP IS D E M O CR AT I Z I N G PR I VAT E AV IAT I O N WI T H A N E X T- G EN ER AT I O N, T E CH N O LO GY- D R I V EN PL AT F O RM, MA K I N G I T ACCE S S I B L E F O R M I L L I O NS O F CO NSU M ER S .
Slide 26: Significant Tailwinds Underpin Private Aviation Market
SIGNIFICANT TAILWINDS UNDERPIN PRIVATE AVIATION MARKET GROWTH IN EXPERIENCE ECONOMY E X P E R I E N C E S A C C O U N T F O R O V E R 6 5 % O F D I S C R E T I O N A R Y S P E N D I N G (1) CONSUMERS ACROSS ALL AGE GROUPS AND INCOME BRACKETS REPORT T H E Y M I S S T R A V E L I N G M O R E T H A N A
Slide 27: Democratization Will Unlock an Even Larger TAM
DEMOCRATIZATION OF PRIVATE AVIATION WILL UNLOCK AN EVEN L ARGER TAM WHEELS UP E XPANDS T HE MARKE T U.S. ADDRESSABLE MARKET O P P O R T U N I T Y T H R O U G H D E M O C R AT I Z AT I O N 2025 1 7. 9 D E M O C R AT I Z E D TA M ~ $ 8 0 B n (3)(4 )(5) 0.1 0.9 1.9 CURRENT $50MM $10-50MM $5-10MM $1-5MM
Slide 28: Trusted and Iconic Lifestyle Brand
WE HAVE SYSTEMATICALLY BUILT A TRUSTED AND ICONIC LIFEST YLE BRAND... BUILDING THE BRAND THROUGH TRADITIONAL AND DIGITAL MEDIA , UNIQUE E XPERIENCES , BRAND ACTIVATION AND EVENTS TRUSTED RESPECTED CARING Largest on-demand safety vetted Flown by business travelers and 50MM meals donated in 2020 with
Slide 29: Powerful 100+ Ambassador Program
POWERFUL 100+ AMBASSADOR PROGRAM INFLUENCERS WITH BROAD SOCIAL RE ACH TOM BRADY SERENA WILLIAMS RICKIE FOWLER LINDSEY VONN 7. 8 M M + 12.7MM+ 1.8MM+ 2.1MM+ 4 .6 M M + 6 .4 M M + 165K+ 1.3MM+ 1.3MM+ 10.8MM+ 1 .6 M M + 1 .0 M M + RUSSELL WILSON CIARA WILSON J. J. WAT T JOEY LOGANO 4 .9 M M + 26 . 8 M
Slide 30: Our Brand Ambassadors
OUR BRAND AMBASSADORS ICONIC AMBASSADORS WHO AUTHENTICALLY HALO OUR BRAND SOCIAL MEDIA ADVERTISING EVENTS LEVERAGING THESE ICONIC AND INFLUENTIAL FIGURES ACROSS OUR ENTIRE ECOSYSTEM TO CONNECT WITH PROSPECTIVE CUSTOMERS AND ENGAGE WITH E XISTING MEMBERS
Slide 31: Signature Events
SIGNATURE EVENTS UNPARALLELED EVENTS & E XPERIENCES THAT ENGENDER LOYALT Y WHEELS DOWN I N AU G USTA OUR SIGNATURE SERIES OF WHEELS UP E XPERIENCES Wheels Up Members are invited to Augusta for an unforgettable week-long HELP ELEVATE LIFE ON experience off the green that includes a daytime Hospitalit
Slide 32: Virtual Events
VIRTUAL EVENTS DURING THE COVID-19 PANDEMIC, WHEELS UP PIVOTED IN AN INNOVATIVE WAY TO BRING MEMBERS EVENTS AT HOME VIRTUAL EVENTS WILL CONTINUE TO BE A PART OF OUR EVENT OFFERING BRINGING MEMBERS THE OPPORTUNIT Y TO GET IN FRONT OF INFLUENCERS ACROSS SPORTS , CULINARY ARTS , PHIL ANTHROPY, CULTURE
Slide 33: Leading Brands Partner with Wheels Up
LE ADING BRANDS PARTNER WITH WHEELS UP WHEELS UP HAS BUILT H E A LT H , W E L L N E S S OUTDOOR T R AV E L S E R V I CE S H O S P I TA L I T Y R E TA I L K I D S & F A M I LY A TRUSTED AND ICONIC & BEAUT Y E XPERIENCES LIFEST YLE BRAND CONSISTENTLY DELIVERING AMA ZING E XPERIENCES IN THE AIR AND ON
Slide 34: Our Social Responsibility
OUR SOCIAL RESPONSIBILIT Y SOCIAL RESPONSIBILIT Y THAT ENHANCES BRAND AFFINIT Y AND CRE ATES ME ANINGFUL VALUE FOR THE CHARITIES WHEELS UP 34
Slide 35: Wheels Up Focus on Diversity, Equity, and Inclusion
WHEELS UP FOCUS ON DIVERSIT Y, EQUIT Y, AND INCLUSION OUTSIDE WHEELS UP $400Bn INDUSTRY SPENT IN 2019 (1) LEADER In 2019, Women, African Americans, We believe Wheels Up is the first company in Hispanics, and the LGBTQ+ community our industry to place Diversity, Equity, and spent a combined $400 bill
Slide 36: Wheels Up Focus on Diversity, Equity, and Inclusion
WHEELS UP FOCUS ON DIVERSIT Y, EQUIT Y, AND INCLUSION INSIDE WHEELS UP DIVERSITY SUPPORT FOR ALL AT THE TOP TYPES OF FAMILIES Diversity starts with the Our comprehensive benefits offering Executive Leadership team supports the medical, emotional and and Board of Directors financial well-being of our
Slide 37: Leading Demand Generation
L E A D I N G D E MA N D G EN ER AT I O N J A SO N H O R OWI T Z CH I EF BUS I N E S S O FFI CER
Slide 38: Our Solution: Power a Marketplace
OUR SOLUTION POWER A ...MILLIONS OF MARKETPL ACE WITH... CONSUMERS ...TENS OF THOUSANDS OF AIRCRAF T WHEELS UP 38
Slide 39: Membership Value in the Air and on the Ground
MEMBERSHIP VALUE IN THE AIR AND ON THE GROUND TOTA L AV IAT I O N SO LU T I O N D I G I TA L CO N V EN I EN CE EL E VAT ED L I FE ST YL E ACCESS TO ONE OF THE WORLD’S L ARGEST SE AMLESS CONTROL OF MEMBERSHIP WHEEL S DOWN PROGRAMMING OFFERING COMBINED FLEE TS OF OWNED, LE A SED, E XPERIENCE, INCLUDIN
Slide 40: Multi-Tier Membership Offering Addresses Broader Market
MULTI-TIER MEMBERSHIP OFFERING ADDRESSES BROADER MARKET OVER 9,200 ACTIVE MEMBERS (1) BUS I N E S S CO R E CO N N E CT 275% YOY GROWTH (2013) (2013) (2019) CONNECT MEMBERS (2) 59% YOY GROWTH ACTIVE MEMBERS (2) E X PA N D I N G T H E TA M NOTES: 1. AT YE AREND 2020 2. 2020 VERSUS 2019
Slide 41: Industry Leading Membership Model
INDUSTRY LE ADING MEMBERSHIP MODEL KING AIR 350i LIGHT JET CONNECT MIDSIZE JET JOIN CORE P AY D U E S PAY TO T R AV EL BUSINESS SUPER MIDSIZE JET L ARGE CABIN JET J O I N I N G T H E CLUB PAY A S YO U FLY PR EPA I D B LO CK S E ACH MEMBER PAYS AN INITIATION FEE WHEN THE Y MEMBERS CAN PAY ON A MEMBER
Slide 42: Terms That Drive Product Segmentation
TERMS THAT DRIVE PRODUCT SEGMENTATION CON N E CT CORE BUS I N E S S O N E -T I M E I N I T I AT I O N F E E $2,995 $17,500 $29,500 A N N U A L D U E S ( S TA R T I N G Y E A R 2 ) $2,495 $8,500 $14,500 A U T H O R I Z E D L E A D PA S S E N G E R S 2 4 6 DYNAMIC PRICING WITH DYNAMIC PRICING WITH H O
Slide 43: Dynamic Pricing Coupled with Capped Hourly Price Protection
DYNAMIC PRICING COUPLED WITH CAPPED HOURLY PRICE PROTECTION CUSTO M ER G E T S B E ST PR I CI N G I N BOT H SCENA R I OS! NO PRICE REDUCTIONS O N LO W D E M A N D D AY S CHART E R B R O K E R J E T C AR D LOW D E MA N D DAY S $ $ $$ PE A K T R AV EL DAY S $$$$ $$ $$ PRICES SURGE O N T H E B U S I E
Slide 44: Fast-Growing Membership Drives Favorable Economics
FAST-GROWING MEMBERSHIP DRIVES FAVORABLE ECONOMICS CUSTO M ER LOYA LT Y PR ED I CTA B L E R E V EN UE B LO CK S A N D EN G AG E M EN T A N D FL I G H T D E MA N D FOCUS ON VALUE ENHANCEMENT GROWING MEMBERSHIP AND CONSISTENT PREPAID BLOCK SIGNIF Y COMMITMENT DRIVES HIGH MEMBER ENGAGEMENT PURCHA SE BE
Slide 45: Opening the Aperture to Non-Members
OPENING THE APERTURE TO AN E XPANSIVE BASE OF NON-MEMBERS APP E XPANDS THE ADDRESSABLE MARKET AND FURTHER DEMOCRATIZES PRIVATE AVIATION NON-MEMBERS WITH DOWNLOADED APP A PP D OWN LOA DS BUILDS A LARGER BASE OF CUSTOMERS WITH NON-MEMBERS WHO OPPORTUNIT Y TO UPSELL FLY WITH WHEELS UP O N-D E MA N D US
Slide 46: Additional Channels Driving Demand
ADDITIONAL CHANNELS DRIVING DEMAND W H O L E S A L E O P E R AT I O N S D E LT A A I R L I N E S PA R T N E R S H I P S STRATEGIC REL ATIONSHIP WITH DELTA AIR PARTNERSHIPS WITH LE ADING BRANDS ACROSS NON-BRANDED FLEE TS LINES PROVIDES E XPOSURE TO HIGH-VALUE MULTIPLE VERTICAL S DRIVE BRAND AWARENESS
Slide 47: Social Aviation Reduces Costs and Expands TAM
SOCIAL AVIATION REDUCES COSTS AND E XPANDS TAM P OWER O F FL I G H T S HA R I N G SHARED FLIGHTS WHEELS UP SHUT TLES $ MEMBERS CAN CROWD-SOURCE AND BY-T H E - S E AT F L I G H T O P P O R T U N I T I E S O N S P L I T T H E C O ST O F A F L I G H T W I T H PRE-DETERMINED AND POPUL AR ROUTES, SIG N I
Slide 48: Driving Demand by Expanding the SAM and TAM
DRIVING DEMAND BY E XPANDING THE SAM AND THE TAM BUSIN E S S MEMBER SHIP PAR T N ER SH I P S CORE FULL WH OLE S ALE OWNERSHIP MEMBERSHIP FRACTIONAL OWNERSHIP JET CARD PROGRAMS MEMBERSHIP PROGRAMS CHARTER CONNECT COMMERCIAL MEMBERSHIP AGREEMENT WHEEL S UP APP WHEELS UP 48
Slide 49: Operational Overview
O PER AT I O NA L OV ER V I E W TO M B ER G E SO N CH I EF O PER AT I N G O FFI CER
Slide 50: Optimizing Supply and Organizing a Complex Ecosystem
OPTIMIZING SUPPLY AND ORGANIZING A COMPLE X ECOSYSTEM T H I R D PA R T Y AND MANAGED OWNED FLEET FLEET LUXURY EVENTS AND PA R T N E R S H I P S EXPERIENCES G E N E R AT E S OPTIMIZES SIGNIFICANT FRAGMENTED DEMAND FLEET AIRCRAFT LOGISTICS S U P P LY AMBASSADOR PROGRAM BRAND WHEELS UP P L AT F O R M W
Slide 51: Our Solution: Power a Marketplace
OUR SOLUTION POWER A MARKETPL ACE WITH... ...TENS OF THOUSANDS OF AIRCRAF T ...MILLIONS OF CONSUMERS WHEELS UP 51
Slide 52: Our Commitment
OUR COMMITMENT... HAVE THE RIGHT PL ANE... IN THE RIGHT PL ACE... AT THE RIGHT TIME.
Slide 53: Industry Regulations
INDUSTRY REGUL ATIONS PART 9 1 PART 1 3 5 PART 1 4 5 N O N- CO M M ER CIA L CO M M ER CIA L MA I N T ENA N CE CERT I FI C AT I O N Ŋ P R I VAT E U S E O N LY Ŋ ENHANCED SAFET Y REQUIREMENTS Ŋ M A I N T E N A N C E , R E PA I R , O V E R H A U L Ŋ N O C O M P E N S AT I O N Ŋ M A N D AT O R Y D R U G
Slide 54: Where It Gets Complex
WHERE IT GETS COMPLE X FL I G H T PL A N N I N G UNSCH ED UL ED MA I N T ENA N CE DYNA M I C SAFET Y & SCH ED UL I N G COMPLIANCE CREW SERVICE SCH ED UL ED TIME MA I N T ENA N CE ADVERSE W E AT H E R AIRCRAFT L O C AT I O N COMPLEX AIRPORT HOURS O P E R AT I O N S FORECASTED PA S S E N G E R W E AT
Slide 55: Aircraft Are Expensive to Own and Operate
AIRCRAF T ARE E XPENSIVE TO OWN AND OPERATE $$ $$ $$ F I X E D C O ST S VA R I A B L E C O ST S O P P O R T U N I T Y C O ST S Ŋ D E BT / L E A S E PAY M E N T S Ŋ FUEL Ŋ EMPT Y REPOSITIONING Ŋ SCHEDULED MAINTENANCE Ŋ FIXED BA SE OPERATION (FBO) FEES Ŋ OUT OF SERVICE TIME (MAINTENANCE) Ŋ P I LOT S Ŋ
Slide 56: Complexity Drives Our Opportunity
OUR OPPORTUNIT Y CO M PL E X I T Y D R I V E S FRAGMENTED CHA L L EN G E S . . . SUPPLY . . .WH I CH CR E AT E UNDERUTILIZED OUTDATED ASSETS TECHNOLOGY O PP O RT UN I T Y INEFFICIENT MATCHING OF SUPPLY WITH DEMAND OPAQUE PRICING AND INACCESSIBILITY WHEELS UP 56
Slide 57: Industry's Largest, Most Diverse Fleet
WHEELS UP OFFERS THE INDUSTRY ’S L ARGEST, MOST DIVERSE FLEET ASSET-RIGHT MIX OF AIRCRAF T SUPPORTS FULFILLMENT OF SCALING DEMAND OWNED / LEASED MANAGED T HIRD PAR T Y NE T WORK QUALIT Y CONTROL Safety Vetted and Verified Aircraft to ensure consistency of experience across fleet type 170 ~170 1,200+
Slide 58: Our Owned/Leased Fleet
OUR OWNED/LE ASED FLEET KING AIR 350i H AW K E R 4 0 0 X P C I TAT I O N E X E C L / X L S C I TAT I O N X GULFSTREAM 450 85 T U R BO PR OPS 28 16 M I DS IZE 38 SU PERM I D 3 L ARGE CABIN LIGHT JETS JETS JETS JETS 170 A I R CR A F T O PER AT I N G A S A "FLOATING FLEET" ~675 PI LOT S OPERATED BY UND
Slide 59: Managed Aircraft
MANAGED AIRCRAF T A I R CR A F T OWN ER S PAY OWN ER S MA KE A I R CR A F T MON T H LY MA NAG E M EN T AVA I L A BL E TO FUL FI L L FEE TO WH EELS UP WH EELS UP D E MA N D LIGHT JETS SUPERMID JETS A D VA N TA G E S TO O W N E R S Ŋ E A S Y C O N V E R S I O N F R O M PA R T 9 1 T O PA R T 1 3 5 ~Ŋ35
Slide 60: Third Party Network
THIRD PART Y NET WORK 100+ T H I R D PA RT Y 1,200+ AS S E T O PER ATOR S A I R CR A F T L IGHT S AFE T Y V E T T ED AN D V ER I FI ED R API D AN D C APITAL EFFICI EN T SC AL I N G NORT H A M ER I C A AN D EUR O PE FLE XI BI LIT Y SUPP ORT S N E T WORK OPT I M IZ AT ION WHEELS UP 60
Slide 61: Advantages of Asset-Right Aircraft Network
ADVANTAGES OF ASSET-RIGHT AIRCRAF T NET WORK FL E XI BI L I T Y DRI VE S N E T WORK EFFECT S C A PITA L EFFI CI EN T SC A L I N G OWNED / LE A SED MANAGED T HIRD PAR T Y NE T WORK E XPAN D ED FL EE T = I NCR E A S ED D E MAN D / FL I G H T S PEN D WHEELS UP 61
Slide 62: Network Effects
NET WORK EFFECTS U T I L I T Y ( 1) EFFI CI EN C Y ( 2 ) I N CR E A S I N G U T I L I Z AT I O N R ED U CI N G N O N-R E V EN UE O N FIX ED A S S E T S R EP OS I T I O N I N G FLYI N G IMPROVE DISPATCH AVAILABILIT Y REDUCE REPOSITIONING Having aircraft ready with Scale means greater opportunity pair
Slide 63: Transitioning to In-House Maintenance
TRANSITIONING TO IN-HOUSE MAINTENANCE Ŋ LO W E R M A I N T E N A N C E C O S T S Ŋ H I G H E R AVA I L A BI L I T Y = H I G H E R U T I L I Z AT I O N Ŋ I M P R O V E R E L I A BI L I T Y Ŋ M A I N T E N A N C E F O R R E TA I L Ŋ I M P R O V E A I R C R A F T AVA I L A BI L I T Y SCH E D UL E D M A
Slide 64: The Uberization of Private Aviation
THE UBERIZATION OF PRIVATE AVIATION HOME-BASED FLEET F LO AT I N G F L E E T PROS CONS PROS CONS A I R C R A F T R E T U R N TO B A S E N OT I D E A L F O R A S S E T U T I L I Z AT I O N NO HOME BASE D R A M AT I C A L LY M O R E C O M P L I C AT E D P I LOT S H O M E R E G U L A R LY C O S T N E E
Slide 65: The Complexity and Benefits of Scale
THE COMPLE XIT Y AND BENEFITS OF SCALE WHEELS UP 65
Slide 66: Our Commitment
OUR COMMITMENT... HAVE THE RIGHT PL ANE... IN THE RIGHT PL ACE... AT THE RIGHT TIME.
Slide 67: Platform Technology
PL AT F O RM T E CH N O LO GY DAN CR OWE CH I EF I N F O RMAT I O N O FFI CER DAN I EL T HAR P CH I EF PL AT F O RM O FFI CER
Slide 68: Technology Matching Supply and Demand
TECHNOLOGY MATCHING SUPPLY AND DEMAND LUXURY T H I R D PA R T Y EVENTS AND PA R T N E R S H I P S AND MANAGED EXPERIENCES OWNED FLEET FLEET G E N E R AT E S OPTIMIZES SIGNIFICANT FRAGMENTED DEMAND S U P P LY AMBASSADOR BRAND PROGRAM FLEET AIRCRAFT LOGISTICS WHEELS UP P L AT F O R M WHEELS UP D I G I
Slide 69: Three Tiers of Wheels Up Technology
THREE TIERS OF WHEELS UP TECHNOLOGY SECURE , SCAL ABLE , C LO U D - B A S E D I N F R A ST R U C T U R E FRONT BACK END END MIDDLE TIER C O N S U M E R D I G I TA L SUPPLIER AND E XPERIENCE O P E R AT I O N A L P L AT F O R M S D ATA S C I E N C E A N D O P T I M I Z AT I O N WHEELS UP 69
Slide 70: Consumer Technology Makes It Easy to Search, Book and Fly
CONSUMER TECHNOLOGY MAKES IT E ASY TO SE ARCH, BOOK AND FLY " US I N G T H E A PP MA D E M E WA N T TO J O I N. I T WA S V ERY E A SY TO 4.9 STARS FOR iOS APP US E A N D T R A NS PA R EN T " PRIVATE JET CARD COMPARISONS APRIL 2021 S E A R CH FE A S I B I L I T Y AVAI L AB I L I T Y PR I CI N G R E A
Slide 71: Exciting Enhancements Coming to Our Digital Experience
E XCITING ENHANCEMENTS COMING TO OUR DIGITAL E XPERIENCE ALL NEW APP AND WEB EXPERIENCE FOR 2021 Ŋ ENHANCED LOOK AND FEEL C O M M E N S U R AT E W I T H O U R B R A N D Ŋ I M P R O V E D P E R S O N A L I Z AT I O N T H R O U G H C U S T O M E R D ATA P L AT F O R M Ŋ R I C H E R D I G I TA L C O M
Slide 72: Data Science and Optimization Technology Powers Our Marketplace
DATA SCIENCE AND OPTIMIZATION TECHNOLOGY POWERS OUR MARKETPL ACE P R O P R I E TA RY T E C H N O LO GY S O LV E S C O M P L E X P R O B L E M S Ŋ DYNAMIC PRICING & FE ASIBILIT Y IN RE AL TIME Ŋ S C H E D U L E O P T I M I Z AT I O N Ŋ EFFECTIVE REVENUE MANAGEMENT L E V E R A G E S O U R D ATA SCI EN
Slide 73: Proprietary Algorithms and Data Create a Deep Moat
WHEELS UP PROPRIETARY ALGORITHMS AND DATA CRE ATE A DEEP MOAT WE CAPTURE MORE DATA DUE TO OUR SCALE C R E AT I N G B E N E F I T S F O R D ATA L AY E R P R O P R I E TA R Y P L AT F O R M MARKE T PL ACE PART ICIPANT S B E H AV I O R A L D ATA C U S TO M E R D ATA F O R O P E R ATO R S WH EELS UP PR
Slide 74: Wheels Up Supply-Side Technology Ecosystem
THE WHEELS UP SUPPLY-SIDE TECHNOLOGY ECOSYSTEM OPEN FLIGHT P L AT F O R M MANAGEMENT & MANAGED SYSTEM A SOPH IST IC AT ED A N I N T EG R AT ED SERVICES T ECH NOLOGY ECOSY ST EM OPER AT I ONS PL AT FORM T HAT C AN NOT BE E A S I LY AT T H E CORE OF T H E REPL IC AT ED MA RK E T PL ACE SOM E OF T H E
Slide 75: Where It Gets Complex
WHERE IT GETS COMPLE X FL I G H T PL A N N I N G UNSCH ED UL ED MA I N T ENA N CE DYNA M I C SAFET Y & COMPLIANCE SCH ED UL I N G BACKUP AIRCRAFT PLANS L O C AT I O N ADVERSE W E AT H E R SCH ED UL ED MA I N T ENA N CE COMPLEX AIRPORT HOURS O P E R AT I O N S FORECASTED PA S S E N G E R W E AT H E R
Slide 76: The Avianis Flight Management System
THE AVIANIS FLIGHT MANAGEMENT SYSTEM CUSTOMER SERVICE FLEET MANAGEMENT FUNCTIONS FUNCTIONS BOOKING MANAGEMENT AIRCRAFT SCHEDULING FLIGHT F LY E R C O M M U N I C AT I O N S MANAGEMENT CREW SCHEDULING SYSTEM E N D -TO -E N D B U S I N E S S EVENT / CASE MANAGEMENT A N D O P E R AT I O N S FLIGHT PL A
Slide 77: Global Aircraft Search Engine
GLOBAL AIRCRAF T SE ARCH ENGINE HIGH FIDELIT Y INVENTORY / FLEET FEASIBILIT Y AVA I L A B I L I T Y INTEGRATED, RE AL-TIME RE AL-TIME AIRCRAF T FLIGHT FE A SIBILIT Y AND SAFE T Y CHECK S SCHEDULES, AIRCRAF T MAINTENANCE STATUS AND GLOBAL ON ALL MARKE TPL ACE FLIGHT CREW AVAIL ABILIT Y AIRCRAFT TRANS
Slide 78: Open Platform, 3rd Party Services
OPEN PL ATFORM, 3 RD PART Y SERVICES CHARTER Ŋ A N O P E N P L AT F O R M T O I N T E G R AT E TRIP SERVICES 3 R D PA R T Y F L E E T M A N A G E M E N T S Y S T E M S Ŋ D I G I TA L C O N N E C T I V I T Y T O W H E E L S U P D E M A N D Ŋ B R O A D E C O S Y S T E M O F I N T E G R AT E D 3 R D PA
Slide 79: The Complete Industry Platform
THE COMPLETE INDUSTRY PL ATFORM FLIGHT TRACKING SAFE T Y VE T TING RE AL-TIME GLOBAL TRANSACTIONAL AIRCRAF T POSITIONING REGUL ATORY RISK ANALYSIS HIGH FIDELIT Y INVENTORY / FLEET FEASIBILIT Y TRIP SERVICES FLIGHT PL ANNING AVA I L A B I L I T Y CATERING, HOTEL S, RE AL-TIME FLIGHT GROUND TIMES AND
Slide 80: End-to-End Technology Platform
END-TO-END TECHNOLOGY PL ATFORM CONSUMER D ATA S C I E N C E , SUPPLIER & D I G I TA L PRICING & O P E R AT I O N S EXPERIENCE O P T I M I Z AT I O N P L AT F O R M
Slide 81: Financial Overview
FI NA N CIA L OV ER V I E W ER I C J ACO B S CH I E F FI N AN CI AL O FFI CER
Slide 82: Diversified and Evolving Business Model
DIVERSIFIED AND EVOLVING BUSINESS MODEL 17% CAGR $121 MEMBERSHIP $103 MEMBERSHIP REVENUE REVENUE $87 • CORE REFLECTS BOTH INDIVIDUAL AND CORPORATE MEMBERS (1) ($MM) $74 • ONE-TIME MEMBERSHIP INITIATION FEE $62 BUSINESS/CORE $55 • HIGHLY VISIBLE, RECURRING MEMBERSHIP RENEWAL FEES CONNECT 2020A 2021E
Slide 83: Membership Revenue
MEMBERSHIP REVENUE × INITIATION FEES ANNUAL DUES (2) BUSINESS: $14,500 AVERAGE ANNUAL CORE: $8,500 ACTIVE MEMBERS ( 1 ) BLENDED FEE CONNECT: $2,495 E V O LV I N G M E M B E R B A S E A C T I V E M E M B E R S (1) 9,212 2018A 2020A 5,787 28% 4,664 100% 4,073 72% 2,812 2016A 2017A 2018A 2019A 2020A BU
Slide 84: Flight Revenue Drivers
FLIGHT REVENUE × NUMBER OF LIVE LEGS (1) REVENUE PER LEG • DEMAND (RETAIL & • DYNAMIC PRICING DRIVERS • DEMAND (MEMBER & NON-MEMBER) WHOLESALE) KEY • B LOCKS PROVIDE GREAT VISIBILIT Y INTO • STAGE LENGTH FUTURE DEMAND • CABIN CLASS MIX CABIN CLASS MIX SUPERMID JET 2018A CURRENT LARGE CABIN JET TURBO
Slide 85: Aircraft Management Revenue
AIRCRAF T MANAGEMENT REVENUE MANAGED AIRCRAF T ACT AS A STRATEGIC SOURCE OF SUPPLY FOR OUR “ASSET-RIGHT ” MODEL AIRCRAFT MANAGEMENT DRIVERS NUMBER OF AIRCRAFT & CABIN MIX MANAGEMENT FEES RECHARGE / RECOVERY • RECURRING REVENUE • LARGELY PASS THROUGH OF OWNER COSTS TURBO/LIGHT • LOW RISK , HIGH MARGI
Slide 86: Transition Towards Full Scale Marketplace with Asset-Right Foundation
TRANSITION TOWARDS FULL SCALE MARKETPL ACE WITH “ASSET-RIGHT ” FOUNDATION 2 0 1 7 A (1) 2 0 2 0 A (1) 2 0 2 5 E (1) ASSET LIGHT: ASSET LIGHT: ASSET LIGHT: ~15% ~45% ~55% ~15% ~25% ~55% ~40% ~45% ~85% ~20% ~15% OWNED / LEASED T H I R D PA R T Y F L E E T OWNED / LEASED MANAGED T H I R D PA R T Y F L
Slide 87: Improving Retail Flight Economics Through Scale
IMPROVING RETAIL FLIGHT ECONOMICS THROUGH SCALE & NET WORK EFFICIENCIES ON FLEET OFF FLEET CONTROLLED ASSET LIGHT (OWNED / LE A SED) MANAGED 3RD PAR T Y FLEE T FLIGHT REVENUE FLIGHT REVENUE FLIGHT REVENUE VARIABLE COSTS >30% TARGET FLIGHT MARGIN (1) AIRCRAF T VARIABLE USAGE FEE 15–25% TARGET FLIGHT
Slide 88: Growth Underpinned by Attractive Long-Term Member Relationships
GROW TH UNDERPINNED BY AT TRACTIVE LONG-TERM MEMBER REL ATIONSHIPS T O T A L A C T I V E M E M B E R S (1) BUSINESS/CORE MEMBER UNIT ECONOMICS C U M U L AT I V E R E V E N U E (2) M A R K E T I N G E F F I C I E N C Y (1) 21% CAGR 23,521 $300K 30% 19,633 $250K 25% 16,174 $200K 20% 13,082 10,807 $150
Slide 89: Financial Projections
FINANCIAL PROJECTIONS ($MM, EXCLUDING USERS, ACTIVE MEMBERS AND FLIGHT LEGS) 2018A 2019A 2020A 2021E 2022E 2023E 2024E 2025E Active Members 4,667 5,787 9,212 10,807 13,082 16,174 19,633 23,521 Active Users(1) 4,667 5,787 11,345 12,853 16,857 22,412 29,812 38,994 Live Flight Legs (1) 33,333 38,363 44
Slide 90: ESG & Opportunities for Growth
E SG & O PP O RT UN I T I E S F O R G R OW T H K EN NY D I CH T ER F O UN D ER & CE O
Slide 91: The Importance of ESG
THE IMPORTANCE OF ESG ENVIRONMENT SOCIAL GOVERNANCE OPTIMIZE THE RIGHT PL ANE FOR THE MISSION WHEELS UP CARES DIVERSIT Y & INCLUSION ACROSS TEAM DRIVE EFFICIENCY DIVERSIT Y & INCLUSIVIT Y COMMITMENT TO SHAREHOLDERS I N T E G R AT E N E W F U E L- E F F I C I E N T A I R C R A F T PROMOTE FLIGHT SHAR
Slide 92: Opportunities for Growth
OPPORTUNITIES FOR GROW TH E X PA N D TA M W I T H FUEL THE D I G I TA L LY E N A B L E D MARKETPL ACE NON-MEMBER ACCESS F LY W H E E L WHEELS UP 92
Slide 93: Opportunities for Growth
OPPORTUNITIES FOR GROW TH E X PA N D O P P O R T U N I ST I C P L AT F O R M G LO B A L LY ACQUISITIONS ADJACENCIES $$ SUPPORT EMERGING FLIGHT A I R C R A F T T E C H N O LO G I E S SHARING WHEELS UP 93
Slide 94: Wheels Up is Democratizing Private Aviation
WH EELS UP IS D E M O CR AT I Z I N G PR I VAT E AV IAT I O N WI T H A N E X T- G EN ER AT I O N, T E CH N O LO GY- D R I V EN PL AT F O RM, MA K I N G I T ACCE S S I B L E F O R M I L L I O NS O F CO NSU M ER S .
Slide 95: Appendix
A PPEN D IX
Slide 96: Transaction Summary
TRANSACTION SUMMARY (1) • PRO FORMA ENTERPRISE VALUE OF $2,091MM (1.8X 2022E REVENUE) P R O F O R M A VA L U AT I O N ( $ M M ) Illustrative Share Price $10.00 • PRIVATE PLACEMENT AMOUNT OF $550MM X Pro Forma Shares Outstanding (MM)(3) 273.5 • CURRENT OWNERS WILL RETAIN 68.9% OWNERSHIP AT CLOSE Pro
Slide 97: Reconciliations of Non-GAAP Financial Measures – Adjusted EBITDA
RECONCILIATIONS OF NON-GAAP FINANCIAL ME ASURES – ADJUSTED EBITDA (1) ( $MM) WE INCLUDE ADJUSTED EBITDA AND ADJUSTED EBITDA MARGIN FOR THE YEAR ENDED Dec 31, 2020 Dec 31, 2019 Dec 31, 2018 AS SUPPLEMENTAL ME ASURES FOR ASSESSING OPERATING NET LOSS ($85) ($107) ($83) PERFORMANCE IN CONJUNCTION WITH T
Slide 98: Reconciliations – Contribution and Contribution Margin
RECONCILIATIONS OF NON-GAAP FINANCIAL ME ASURES – CONTRIBUTION AND CONTRIBUTION MARGIN (1) ( $MM) WE INCLUDE CONTRIBUTION AND CONTRIBUTION MARGIN A S FOR THE YEAR ENDED Dec 31, 2020 Dec 31, 2019 Dec 31, 2018 SUPPL E M EN TA L M E A SUR E S F O R A S S E S S I N G O PER AT I N G REVENUE ($695) ($385)
Slide 99: Reconciliation of GAAP Net Loss to Non-GAAP Adjusted EBITDA 2020
RECONCILIATION OF GAAP NET LOSS TO NON-GAAP ADJUSTED EBITDA (1) YE AR ENDED DECEMBER 31, 2020 ($MM) ACQUISITION, PUBLIC COMPANY INTEGRATION, COVID-19 CORPORATE GAAP AS EQUITY-BASED READINESS AND CAPITAL RESPONSE CREDIT LOSS ON HEADQUARTERS YEAR ENDED DECEMBER 31, 2020 REPORTED COMPENSATION EXPENSES
Slide 100: Reconciliation of GAAP Net Loss to Non-GAAP Adjusted EBITDA 2019
RECONCILIATION OF GAAP NET LOSS TO NON-GAAP ADJUSTED EBITDA (1) YE AR ENDED DECEMBER 31, 2019 ($MM) ACQUISITION, PUBLIC COMPANY INTEGRATION, COVID-19 CORPORATE GAAP AS EQUITY-BASED READINESS AND CAPITAL RESPONSE CREDIT LOSS ON HEADQUARTERS YEAR ENDED DECEMBER 31, 2019 REPORTED COMPENSATION EXPENSES
Slide 101: Income Tax Insights
INCOME TAX INSIGHTS PRE-TRANSACTION: TRANSACTION (1) : POST-TRANSACTION: THE COMPANY WAS TRE ATED AS A PARTNERSHIP THE COMPANY WILL INCORPORATE AN “UP-C” BASED UPON A PRO FORMA VIEW THE COMPANY IS SUBJECT FOR U.S. FEDERAL AND MOST APPLICABLE STATE STRUCTURE WITH RESPECT TO CERTAIN HOLDERS OF TO U.S.
Slide 102: Pro Forma Equity Capitalization
PRO FORMA EQUIT Y CAPITALIZATION P R O F O R M A E Q U I T Y C A P I TA L I Z AT I O N AT C LO S I N G (SHARES IN THOUSANDS) Wheels Up Class A Common Stock(1) 273,469 Warrants(2) 12,522 Earnout Shares(3) 9,000 Fully Diluted Shares (4) 294,991 NOTES: 1. A SSUMES NO SHAREHOLDERS OF ASPIRATIONAL E XERC
Slide 103: Definitions of Key Metrics and Non-GAAP Financial Measures
DEFINITIONS OF KEY METRICS AND NON-GAAP FINANCIAL ME ASURES ACTIVE MEMBERS: The number of Core, Business, and Connect CONTRIBUTION: We define Contribution as revenue less cost members who generated membership revenue in a given period. of revenue. ACTIVE USERS: Active Members and legacy WUPJ jet car