Midwest Air — Shareholder Meeting (June 2007)
24 slides from Midwest Air's shareholder meeting presentation, Jun 14, 2007
Slide 1: Annual Meeting of Shareholders
MTDWES 7) AIR GROUP ~ Annual Meeting of Shareholders June 14, 2007
Slide 2: Report on Operations
Report on Operations
Slide 3: Strategic Plan Drove 2006 Performance
mipwesr) Strategic Plan Drove 2006 Performance * Returned to profitability — net profit of $5.4 million * Significantly improved financial and operating performance
Slide 4: Strategic Plan Drove 2006 Performance
MIDWES Tw Strategic Plan Drove 2006 Performance * Record traffic, up more than 21% — Outpaced 13% increase in capacity — Resulted in 5.2 percentage point increase in load factor
Slide 5: Strategic Plan Drove 2006 Performance
mipwesT® Strategic Plan Drove 2006 Performance | Revenue | | Earnings PerShare" | | EBITDAR™ | $0.29 $664.5 $80.0 a (3.71) 2005 2006 2005 2006 2005 2006
Slide 6: Strategic Plan Drove 2006 Performance
MIDWES Tw Strategic Plan Drove 2006 Performance * Strong cash position — Ended 2006 with $158 million in cash, up from $138 million a year earlier * Higher fuel prices negatively impacted operating results by $33.0 million, or $1.37 per diluted share
Slide 7: Strategic Plan Drove 2006 Performance
MIDWES Tw Strategic Plan Drove 2006 Performance * Strategic fleet utilization and pricing actions positively affected load factor and yield * Continued to reduce non-fuel unit costs through fleet modernization, increased aircraft utilization and companywide productivity improvements — Non-fuel unit
Slide 8: Strategic Plan Drove 2006 Performance
MIDWES Tw Strategic Plan Drove 2006 Performance * Worked to continually improve customers’ travel experiences — Implemented numerous schedule enhancements — Enhanced midwesiairlines.com Web site — Improved Midwest Miles frequent flyer program — Expanded Premier Pet Program
Slide 9: First Quarter 2007 Financial Results
MIDWES TY First Quarter 2007 Financial Results * Traffic up 9.5% — Outpaced 6.3% increase in capacity, resulting in 2.2 percentage point increase in load factor * Operating revenue increased 10% to $165.8 million * Diluted earnings per share of 31¢, up from 49¢ loss in first quarter 2006
Slide 10: First Quarter 2007 Financial Results
MIDWES Tw First Quarter 2007 Financial Results * Ended quarter with $171 million in cash, up from $158 million * Higher fuel prices negatively affected operating results by $1.9 million, or 7¢ per diluted share
Slide 11: Continued Improvement in Market Share
MIDWES Tw Continued Improvement in Market Share ¢ Milwaukee: 51% market share in 2006, up from 47% -- solidifying #1 ranking * Kansas City: 11% market share in 2006, up from 8% -- #2 ranking by year’s end * Positive market share performance continuing in 2007
Slide 12: Customer Service Makes Us Travelers' Airline of Choice
MIDWES Tw Customer Service Makes Us Travelers’ Airline of Choice ¢ Travel+Leisure -- Top Domestic Airline for Service, 2007 World’s Best Service poll * Freddie Award -- Best Customer Service, 2007 * Consumer Reports -- Superior Service, 2007
Slide 13: Employees: The Heart of Midwest and Skyway Airlines
Employees: The Heart of Midwest and Skyway Airlines
Slide 14: Thank you to those who serve our country
Thank you to those who serve our country
Slide 15: Going Forward
MIDWES Tw Going Forward * Committed to creating long-term value for shareholders, while continuing to provide superior service to customers ¢ Shareholders are on course to realize benefits of long-term strategic plan * Strategic initiatives provide foundation for long-term, profitable growth
Slide 16: Midwest's Strategic Plan
MIDWES TY Midwest’s Strategic Plan Initiatives Being Implemented ¢ Addition of two MD-80 aircraft to Midwest Airlines fleet * New Northwest Airlines codeshare partnership * Introduction of dual-seating option on Midwest Airlines * MD-80 fleet replacement and growth aircraft
Slide 17: Midwest's Strategic Plan: Significant Long-Term Value Creation
50-Seat MIDWES Tw Midwest's Strategic Plan Significant Long-Term Value Creation Regional Jet Program Two Additional MD-80 Aircraft Dual-Seating Option New Northwest Airlines Codeshare Expanded Air Midwest Codeshare Service and Schedule Enhancements MD-80 F leet Replacement and Growth Aircraft Projec
Slide 18: Midwest's Strategic Plan: Shareholders Seeing Benefit of Their Investments
Indexed Price mipwesr® Midwest’s Strategic Plan Shareholders Seeing Benefit of Their Investments 400% Public announcernent of AirTran’s December 13 offer 350% aN 300% 250% 200% 150% 100% 50% + May-2006 Jul-2006 Sep-2006 Nov-2006 Jan-2007 Mar-2007 May-2007 —Airtran ——Midwest ——Network Carriers (1) Lo
Slide 19: AirTran's Unsolicited Offer
AirTran’s Unsolicited Offer
Slide 20: Preliminary Election Results
Preliminary Election Results
Slide 21: Shareholder Questions and Remarks
Shareholder Questions and Remarks
Slide 22: Slide 22
Slide 23: Midwest Air Group
MTDWES Tw) AIR GROUP ~
Slide 24: Midwest Air Group
MTDWES Tw) AIR GROUP ~