Republic Airways Holdings Inc. · NASDAQ:RJET
Republic Airways — Imperial Capital Global Opportunities Conference 2014
14 slides from Republic Airways's conference presentation, Sep 18, 2014
Slide 1: Republic Airways Imperial Capital Global Opportunities Conference
Republic Airways Imperial Capital Global Opportunities Conference September 18, 2014
Slide 2: Safe harbor disclosure
Safe harbor disclosure 2 Statements in this presentation, as well as oral statements that may be made by officers or directors of Republic Airways Holdings Inc., its advisors, affiliates or subsidiaries (collectively or separately the “Company”), that are not historical fact constitute “forward-look
Slide 3: Recent Business Developments
Recent Business Developments 3 Continued progress on our fleet simplification focus of large regional jets • Adding 50 new E175’s to our United CPA between July 2015 and August 2017 • All 50 E175 aircraft will be factory new deliveries from Embraer, debt financed and operate under a12 year term from
Slide 4: Simplifying the Fleet - United Q400 Swap
Simplifying the Fleet ‐ United Q400 Swap 4 Growth and Simplicity 31 Q400 aircraft 50 E175 aircraft The whys: • The E175 maximizes United’s existing scope authority and meets United’s long-term product requirements • The shift from the Q400 aircraft to the E175 platform is consistent with our thesis
Slide 5: Large Regional Fleet Transition by Quarter
Large Regional Fleet Transition by Quarter 5 156 162 169 173 173 179 188 192 198 204 208 214 220 223 223 31 31 31 23 23 22 20 17198 5 3Q14* 201 3Q15* 201 1Q15* 5 201 2Q15* 5 205 4Q14* 5 4Q17*2Q17* 223220 1Q17* 223214 3Q17* 14 3Q16* 208204212 1Q16* 2Q16* 209 4Q15* 208 4Q16* +31 (+16.1%) 2Q14 192 5 Q4
Slide 6: Big moves to de-risk our model
Big moves to de‐risk our model 5/20/2014 6 Management has a proven track record of adapting to challenging business conditions 2011 – Successfully restructured Frontier 2012 – Successfully restructured Chautauqua 2013 – Successful sale of Frontier 2014 and beyond – Continued simplification of our bu
Slide 7: Reducing Risks in Our Business Model
Reducing Risks in Our Business Model 7 Talent Risk Business Risk Financial Risk Focus our energy on making good things happen and reduce risk in our model • Invest in our employees and renew our winning employee culture through enhanced employee engagement • Resolve our open pilot labor agreement in
Slide 8: Our 2014 Corporate Objectives
Our 2014 Corporate Objectives 8 Be the industry‐leading provider of safe, clean, reliable and cost‐efficient air service Renew focus on our guiding principles • Improve employee satisfaction and engagement • Retain our best and brightest talent • Recruit the best talent • Resolve our open labor cont
Slide 9: Gaining Earnings Momentum
Gaining Earnings Momentum 9 First Half 2014 Highlights • Placed 12 E175 aircraft into revenue service for American • Removed 12 E145 aircraft from revenue service with United • Removed 11 of 15 E140 aircraft from revenue service with American (final four aircraft were removed in August 2014) • Annou
Slide 10: Best in class fleet mix and CPA diversity
Best in class fleet mix and CPA diversity 10 10 16 8 3 0 4 13 5 9 11 2 1 14 12 15 7 6 15.1 10% 88% 2014(F) M i l l i o n s o f A S M s 2% 12% 69% -2% 15.3 2010 19% 400 450 150 50 0 600 550 500 350 250 200 300 100 800 750 700 650 4% AA/US DL 770 UA/CO T h o u s a n d s o f B l o c k h o u r s Other 2
Slide 11: RJET's proven track record
RJET’s proven track record 11 Republic celebrated its 40th anniversary this August 2014 Perfect passenger safety record First regional airline to operate under fixed-fee agreements with multiple Mainline Partners Smart fleet management to match capability with industry demand (eliminating 50
Slide 12: Q&A Session
Q&A SESSION 12
Slide 13: Non-GAAP Reconciliations
NON‐GAAP RECONCILIATIONS 13
Slide 14: Non-GAAP Reconciliations
Non‐GAAP Reconciliations 14 Reconciliation of non-GAAP to GAAP financial measures: Pre‐tax income (loss) to adjusted pre‐tax income: ($ in millions) 2010 2011 2012 2013 Pre‐tax income from continuing operations 76.8$ (149.1)$ 51.1$ 81.3$ Adjust: Impairment charges ‐ 191.1 ‐ 21.2 Adjusted pre‐tax inc
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