Grupo Aeroportuario Del Pacifico Sab De Cv Class B · BMV:GAP/B
Grupo Aeroportuario Del Pacifico Sab De Cv Class B — Investor Day (2010)
84 slides from Grupo Aeroportuario Del Pacifico Sab De Cv Class B's investor day presentation, 2010
Slide 1: GAP Day 2010
' GAP DAY 2010 xf | GAP DAY 2010 +
Slide 2: Operating Vision
Grupo > < Aer Spostuario del Pacifico OPERATING VISION
Slide 3: Company Strategy – Recent Developments
Company Strategy – Recent Developments ¾-13.3% traffic decrease in 2009 ¾Corporate restructuring in 2008/2009 ¾New passenger charges scheme ¾Master Development Program negotiation ¾Financial strategy gy ¾Commercial strategies: FBO, bus terminal Page 3
Slide 4: Company Strategy – Traffic Reduction 13.3%
Company Strategy – Traffic Reduction 13.3% ¾ Real GDP in U.S. decreased 2.4% in 2009 ¾ Real GDP in Mexico decreased 6.9% in 2009 ¾ On a typical medium and long-term long term basis, basis passenger traffic movement is 1.5 1 5 times GDP ¾ AH1N1 health crisis Pax per Airport FY09 vs FY08 Airport Domes
Slide 5: Company Strategy – Recent Developments
Company Strategy – Recent Developments ¾-13.3% traffic decrease in 2009 ¾Corporate restructuring in 2008/2009 ¾New passenger charges scheme ¾Master Development Program negotiation ¾Financial strategy gy ¾Commercial strategies: FBO, bus terminal Page 5
Slide 6: Company Strategy - Corporate Restructuring
Company Strategy - Corporate Restructuring ¾ Regional Airport Directors´ Scheme ¾ Reduction in personnel Dec 07 Dec 08 Dec 09 % Chgg 08/07 / % Chgg 09/08 / % Chgg 09/07 / Personnel 1,086 993 980 -8.6% -1.3% -9.8% ¾ Personnel Cost (in thousand pesos) FY07 FY08 FY09 % Chg 08/07 % Chg 09/08 % Chg 09/07
Slide 7: Company Strategy – Recent Developments
Company Strategy – Recent Developments ¾-13.3% traffic decrease in 2009 ¾Corporate restructuring in 2008/2009 ¾New passenger charges scheme ¾Master Development Program negotiation ¾Financial strategy gy ¾Commercial strategies: FBO, bus terminal Page 7
Slide 8: Company Strategy – New Passenger Charges Scheme
Company Strategy – New Passenger Charges Scheme Size of the Risk Passenger Charges represents aproximatelly 65% of the total revenue of GAP GAP. CONCEPT BEFORE AFTER 26 to 152 from the invoice date, depending Treasury Bonds rates No longer than 60 days depending on the airline's credit capability. P
Slide 9: Company Strategy – Recent Developments
Company Strategy – Recent Developments ¾-13.3% traffic decrease in 2009 ¾Corporate restructuring in 2008/2009 ¾New passenger charges scheme ¾Master Development Program negotiation ¾Financial strategy gy ¾Commercial strategies: FBO, bus terminal Page 9
Slide 10: Maximum Tariff Negotiation (CAPEX)
Company Strategy – Maximum Tariff Negotiation (CAPEX) CAPEX In constant pesos, as of December 31, 2009 4,000,000 (adjusted per the Construction Price Index), 1st, 3 500 000 3,500,000 housand pesos ass of December 31 T t l Committed Total C itt d CAPEX for f 2010-2015 2010 2015 isi 3,000,000 2,500,
Slide 11: Maximum Tariff Negotiation (Discount Rate)
Company Strategy – Maximum Tariff Negotiation (Discount Rate) ¾ The methodology for the Discount Rate is the same as was established in each concession title and the same used for the 2005-2009 MDP Discount Rate ¾ The premium determined by the SCT (Ministry of Communications and Transportation) for
Slide 12: Maximum Tariff Negotiation (Efficiency)
Company Strategy – Maximum Tariff Negotiation (Efficiency) The efficiency factor decreased from 0.75% to 0.70%, which means a slower pace of reduction in the maximum rate for GAP´s airports for 2010-2014. MaxR(n) = MaxR(n-1) * ((1- Ef)) [n = yyear n ; Ef = Efficiencyy Factor] Efficiency Factor 1
Slide 13: Company Strategy – Maximum Tariff Negotiation
Company Strategy – Maximum Tariff Negotiation Weighted Average Maximum Tariffs By Airport Weighted by the WLU`s of each year except 2010 that is weighted by the WLU´s for 2009 Adjusted by the PPI as of December 31st 2009 % Chg 2005- % Chg 2010- % Chg 2010- % Chg 2010- Airports 2000 2005 2009 2010 20
Slide 14: Company Strategy – Recent Developments
Company Strategy – Recent Developments ¾-13.3% traffic decrease in 2009 ¾Corporate restructuring in 2008/2009 ¾New passenger charges scheme ¾Master Development Program negotiation ¾Financial strategy gy ¾Commercial strategies: FBO, bus terminal Page 14
Slide 15: Company Strategy – New Credit Facility
Company Strategy – New Credit Facility Amount: Ps. 651.4 million to finance the remainder of the MDP for 2009 for Guadalajara, Hermosillo and Guanajuato and the new MDP for 2010 in the airportsp of Guadalajara, j , Puerto Vallarta,, Hermosillo and Guanajuato. In the case of Los Cabos, the remaining
Slide 16: Company Strategy – Future Strategies
Company Strategy – Future Strategies ¾Dividend payment maximization ¾2 years for recovering traffic levels ¾Difficult environment for airline sector ¾Maintain cost-reduction policy - some visible increase this year ¾Master Development Program accomplishment ¾Reach maximum tariff ¾New commercial proj
Slide 17: Company Strategy - 2010
Company Strategy - 2010 2010 as a transitional year focused on improving our systems ¾Growth: ¾ Core Business: Brazil, Riviera Maya, other opportunities in the region ¾ Focus on commercial strategies ¾Technological: ¾ Parking lots - fully automated ¾ Automated access and charge for the right to ente
Slide 18: 2010 Guidance and Summary
2010 Guidance and Summary ¾ TRAFFIC Estimated increase of between 4 to 6% ¾ REVENUES Aeronautical revenue growth between 12 to 16%, non-aeronautical revenue growth between 7 to 9%, for a total revenue growth between 11 to 14% ¾ COST Estimated cost increase of between 11 to 15% ¾ EBITDA Estim
Slide 19: Financial Vision
Grupo > < Aer Spostuario del Pacifico FINANCIAL VISION
Slide 20: Summary of Consolidated Results for FY09
Summary of Consolidated Results for FY09 (in thousands, except those items indicated) FY08 FY09 % Chg Guidance Aeronautical Services 2,762,198 2,537,262 -8.1% -10% to -12% Non Aeronautical Services 728,586 728,978 0.1% -1% to 0% Total Revenue 3,490,785 3,266,240 -6.4% Cost of Service 952,729 952 729
Slide 21: Proposed Dividend Payment / Capital Stock Reduction
Proposed Dividend Payment / Capital Stock Reduction (in thousands, except those items indicated) FY08 FY09 % Chg Total dividend 1 200 000 1,200,000 1 000 000 1,000,000 -16.7% 16 7% Total return on equity 900,000 N.A. Total payout 1,200,000 1,900,000 58.3% Total number of shares 561,000 561,000 0.0%
Slide 22: Considerations on Dividends or Returns on Equity
Considerations on Dividends or Returns on Equity ¾ In Mexico, there is a legal and tax premise in which the payout to the shareholders is classified as: 1 Dividends: Derived from Net Income. Per Mexican Corporate Law (Ley General de Sociedades Mercantiles), dividends are limited to: i) annual Net In
Slide 23: Considerations on Dividends or Returns on Equity
Considerations on Dividends or Returns on Equity ¾Tax rules related to return on equity are in the Income Corporate Tax Law (Article 89). In general, the rule is centered in the comparison between Equity originally contributed by the shareholders, adjusted by the inflation from the date of its contr
Slide 24: Return on Equity – Medium / Long-Term Strategy
Return on Equity – Medium / Long-Term Strategy Cash Flow Cash Flow Concept 2008 2009 Initial balance as of January 1 1,319,506 1,465,149 Total Revenues 3,309,007 3,306,268 Financial Revenues 36,564 13,668 Expenses and Taxes -1,712,419 -1,522,125 Tax Recovery -16,002 287,471 Collateral 5,299 65,323 N
Slide 25: Sensibility Analysis
Sensibility Analysis 2009 Sensibility Analysis Traffic Change % 1.00% 2.00% 3.00% 7.00% 8.00% 9.00% 10.00% Pax 19,286.34 19,479.20 19,672.07 19,864.93 20,636.38 20,829.25 21,022.11 21,214.97 g Volume in WLU`s Cargo 1,262.75 , 1,305.66 , 1,305.66 , 1,305.66 , 1,305.66 , 1,305.66 , 1,305.66 , 1,305.66
Slide 26: Main Projects at GAP
Grupo > < Aer Spostuario del Pacifico MAIN PROJECTS AT GAP
Slide 27: Committed CAPEX Plan 2010-2014 by Airport
Committed CAPEX Plan 2010-2014 by Airport (in thousand pesos, as of December 31, 2009) Airport 2010 2011 2012 2013 2014 Total 2010-2014 Aguascalientes 7,089 5,428 1,624 8,002 616 22,759 Bajio 14,909 39,722 42,213 7,275 3,360 107,480 Guadalajara 114,409 220,712 155,336 235,598 192,000 918,055 H Hermo
Slide 28: CAPEX: Main Projects 2010-2014
CAPEX: Main Projects 2010-2014 in thousand pesos as Airport Main projects Decem ber 31, 2009 GDL Terminal expansion 306,398 GDL Rehabilitation of pavements 115,666 GDL Equipment 95,509 GDL Platf orm expansion 89 204 89,204 GDL General Aviations Transf er 50,404 GDL Second runw ay studies 44,803 GDL
Slide 29: 2010-2014 CAPEX Plan
2010-2014 CAPEX Plan TOTAL COMMITTED FOR THE PERIOD = Ps. 3.2 billion 64 1,034 Aditional Commited 695 630 461 284 2010 2011 2012 2013 2014 * In millions of pesos, as of December 31, 2009 • Additional CAPEX for 2010 is Ps. 64 million • The total amount for 2010 includes the runway maintenance project
Slide 30: 2010 CAPEX Plan (MDP)
2010 CAPEX Plan (MDP) (in thousands) CONCEPT Aguascalientes Bajio Guadalajara Hermosillo La Paz Los Mochis Morelia Mexicali Puerto Vallarta Los Cabos Tijuana Manzanillo TOTAL Runways, platforms and taxi ways 0 6,914 76,309 0 0 0 0 6,038 63,217 101,610 18,485 0 272,573 Expantion and rehabilitation of
Slide 31: Commercial Vision
Grupo > < Aer Spostuario del Pacifico COMMERCIAL VISION
Slide 32: Relevant Results Full Year 2009
Relevant Results Full Year 2009 Domestic Traffic: -13.3% International Traffic: -13.4% Total Traffic: -13.3% Aeronautical Revenue: -8.1% Non Aeronautical Revenue: 0.1% Page 32
Slide 33: Total Traffic 2008 vs 2009
Total Traffic 2008 vs 2009 2.50 Total Passengers 2008 vs 2009 2.30 2.10 1.90 Millons 1.70 -37% 37% 1.50 1.30 1.10 mber June nuary July mber October mber March April August Febrruary May Novem A Septem Decem J Jan 2008 2009 Page 33
Slide 34: Recent Evolution of Commercial Revenues
Recent Evolution of Commercial Revenues Revenues by Business Unit 2009 Commercial Revenues Share 2009 Time Share 12% Advertising Off Terminal revenues OTHERS 5% 19% 14% Parking 20% GUADALAJARA Services TIJUANA 32% 3% 12% Car Rental C R t l 10% Retail 11% PUERTO VALLARTA Duty Free F& B 19% 9% 11% LOS
Slide 35: Recent Evolution of Commercial Revenues
Recent Evolution of Commercial Revenues $180 os Millions peso $161 $160 $143 2008 2009 $136 $140 $124 $120 $100 $84 $79 $78 $80 $74 $73 $73 $72 $61 $62 $65 $60 $46 $37 $40 $19 $22 $20 $‐ $ Time Share Parking Retail Food & Duty Free Car Rental Services Advertising Off Terminal Beverages revenues Page
Slide 36: Historic Revenue Mix
Historic Revenue Mix 100% 90% 80% 70% 60% 81 4% 81.4% 80 9% 80.9% 79 1% 79.1% 77.7% % 85.0% 82 4% 82.4% 81.5% 91.9% 90.2% 88.6% 50% 40% 30% 20% 10% 18.5% 18.6% 19.1% 20.9% 22.3% 15.0% 17.6% 8.1% 9 8% 9.8% 11 4% 11.4% 0% 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 NON AERONAUTICAL REVENUE AERON
Slide 37: Maximum Rate 2010-2014
Maximum Rate 2010 2010--2014
Slide 38: Maximum Rates: 2009 vs 2010
Maximum Rates: 2009 vs 2010 GAP Efficiency Efficiency Factor Factor included included T - MAX T - MAX WLU 2009 (A) 2010(B) (A)09 vs (B) 2010 2009 Weighted Factor Weighted growth Guadalajara 106 44 106.44 112 00 112.00 5 22% 5.22% 7 439 909 7,439,909 36 21% 36.21% 5 22% 5.22% Tijuana 84.90 99.18 16.8
Slide 39: Maximum Rate Historic Evolution: Guadalajara
Maximum Rate Historic Evolution: Guadalajara 114.00 GDL 112.00 112.00 111.02 109.90 109.70 110.00 108.81 108.88 108.06 107.71 108.00 107.25 106.63 106.44 106.00 104.00 102.00 100 00 100.00 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 **December 2007 pesos. Page 39
Slide 40: Maximum Rate Historic Evolution: Tijuana
Maximum Rate Historic Evolution: Tijuana 110.00 TIJ 99.18 100.00 90.00 87.50 86.83 86.18 85.52 84.67 85.54 84.90 83.82 82.97 82.14 80.00 70.00 60.00 50.00 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 **December 2007 pesos. Page 40
Slide 41: Maximum Rate Historic Evolution: Puerto Vallarta
Maximum Rate Historic Evolution: Puerto Vallarta 140.00 PVR 137.91 133.94 135.00 132.95 131 26 131.26 131.94 130.95 129.97 130.00 126.63 125.37 124.11 125.00 122.88 120.00 115.00 110.00 105.00 100 00 100.00 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 **December 2007 pesos. Page 41
Slide 42: Maximum Rate Historic Evolution: Los Cabos
Maximum Rate Historic Evolution: Los Cabos 155.00 SJD 150.00 50 00 148.84 147.34 145.87 144.40 145.00 142.96 143.14 139.17 140 00 140.00 138 13 138.13 137.10 136.07 135.05 135.00 130 00 130.00 125.00 120 00 120.00 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 **December 2007 pesos. Page 42
Slide 43: Maximum Rate Historic Evolution: Hermosillo
Maximum Rate Historic Evolution: Hermosillo 110.00 HMO 100 00 100.00 97.86 96 88 96.88 97 63 97.63 95.90 94.95 95.27 93.99 94.55 93.85 93.14 92.45 90.00 80.00 70.00 60.00 50.00 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 **December 2007 pesos. Page 43
Slide 44: Maximum Rate Historic Evolution: Guanajuato
Maximum Rate Historic Evolution: Guanajuato 135.00 BJX 130.69 130 00 130.00 127.13 126.37 124.99 125.43 124.48 125.00 123.74 123.55 122.49 122.62 121.28 120.00 115.00 110.00 105.00 100.00 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 **December 2007 pesos. Page 44
Slide 45: Airport Overview (GDL, TIJ, SJD & PVR)
Airport Overview (GDL TIJ, (GDL, TIJ SJD & PVR)
Slide 46: GAP's Airport Overview
GAP´s Airport Overview GAP ´s Airports Share Passengers Traffic Composition Guanajuato Others 5% 11% Hermosillo 6% International Guadalajara Traffic 33% 34% Domestic D ti TTraffic ffi Los Cabos 13% 66% Puerto Vallarta Tijuana jua a 14% 18% Page 46
Slide 47: Guadalajara weekly departures and destinations
Guadalajara has 911 weekly departures to 22 Mexican destinations, 12 US gateways and Panama City Page 47
Slide 48: Tijuana nonstop weekly departures
Tijuana has 363 nonstop weekly departures to 21 Mexican destinations, one US (Oakland) and two Asian gateways Page 48
Slide 49: Puerto Vallarta nonstop weekly departures
Puerto Vallarta had 289 nonstop weekly scheduled departures to 33 destinations, including 15 US gateways Page 49
Slide 50: Los Cabos weekly scheduled departures
Los Cabos has 275 weekly scheduled departures to 28 destinations including 21 North American gateways Page 50
Slide 51: Main Carriers Overview
Grupo > < Aer Spostuario del Pacifico Main Carriers Overview
Slide 52: Total Passenger Share 2009
Total Passenger Share 2009 4 2% 2% OTHERS 17% 14% 3% 12% 4% A Aeromexico i Group G 21% 4% Mexicana Group 19% 5% 11% Volaris 17% 5% I t j t Interjet 8% Vivaaerobus 5% 8% 10% Page 52
Slide 53: 2009 Domestic Traffic Dominated by Volaris and Aeromexico
2009 Domestic Traffic was Dominated by Volaris and Aeromexico AEROMAR Domestic Traffic 1% OTHERS MAGNICHARTERS 2% 1% AVICSA 3% MEXICANA LINK 7% 24% 3% 8% 8% A Aeromexico i Group G 32% 17% Volaris 24% Mexicana Group 18% 11% I t j t Interjet 11% 15% Vivaaerobus 8% Page 53
Slide 54: 2009 International Traffic Share Dominated by Mexicana and Continental
2009 International Traffic Share was Dominated by Mexicana and Continental International Traffic 20% OTHERS 24% 4% 13% 5% 6% 11% 8% 9% Page 54
Slide 55: Mexican Carriers Current Fleet
Mexican Carriers Current Fleet Regional Current Fleet Order Airline Subsidiary A/c Model Serie Active Parked Total Backlog Mexicana 767-200 2 - 2 - 767-300 2 - 2 - A318-100 10 - 10 - A319-100 22 - 22 2 A320 200 A320-200 26 - 26 4 A330-200 2 - 2 - MexicanaLink CRJ-100 1 - 1 - MexicanaLink CRJ-200 13
Slide 56: International Carriers Overview: Continental
International Carriers Overview: Continental Current Destinations in Mexico January 2010 Current Active Fleet and Orders Weekly January 2010 Destination Main Hub (s) Freq. 600 480 Aircraft 521 Aircraft Houston, Mexico City 68 New York 757-300 Numberr of Aircraft 500 757-300 737-500 Houston, 737-500
Slide 57: International Carriers Overview: Alaska Airlines
International Carriers Overview: Alaska Airlines Page 57
Slide 58: International Carriers Overview: American Airlines
International Carriers Overview: American Airlines Page 58
Slide 59: International Carriers Overview: West Jet
International Carriers Overview: West Jet Page 59
Slide 60: Canadian Markets: WestJet Growth in Puerto Vallarta
Canadian Markets: WestJet has Grown PV Passenger Traffic 44% between 2008 and 2009 Page 60
Slide 61: Canadian Markets: WestJet Growth in Los Cabos
Canadian Markets: WestJet has Grown in Los Cabos --- 64% Annual Average Growth between 2007 -2009 Page 61
Slide 62: 2010 & 2011 Passengers Key Drivers
2010 & 2011 Passengers Key Drivers What to expect?
Slide 63: International Air Recovered Soon After Health Alert
International Air Recovered Soon After Health Alert --- returning to near 2008 levels despite economic crisis Source: Mexico DGAC, January 2010. Page 63
Slide 64: GAP's International Traffic Key Drivers
GAP´s International Traffic Key drivers for the next 24 U.S. GDP Percent Change from the Preceding Quarter 2005-2009 months will be: 10% - U.S. economic recovery 8% GDP % change based on current dollars GDP % change based on chained 2005 dollars - Volaris international 6% expansion in high volume
Slide 65: GAP's Domestic Traffic Key Drivers
GAP´s Domestic Traffic Key drivers for the next 24 Correlation between Mexico’s GDP and Passenger Air Traffic months will be: Annual Growth - Mexican economic recovery 10% - Expansion of Volaris, Vivaerobus and Interjet 5% 0% There is a high correlation between the economy (GDP) and -5% the air
Slide 66: General Strategies 2010
e 4 Grupo > Aeroportuario del Pacifico General Strategies 2010
Slide 67: General Strategies 2010: Aeronautical Revenues
General Strategies 2010: Aeronautical Revenues To recover: • Recover seats lost by the effect of AH1N1 in Los Cabos and Puerto Vallarta Available • Promote charter flights g in Puerto Vallarta workingg closelyy with tour Offer operators • Promote new red‐eye flights (Guadalajara‐Chicago and Guadalaj
Slide 68: General Strategies 2010: Commercial Revenues
General Strategies 2010: Commercial Revenues To strength: • Bus terminals strengthen the connection between the airport and the surrounding cities that are currently not reached by air Ground • Bus terminals include commercial corridors transportation • New areas for ground transportation in Tijuana
Slide 69: General Strategies 2010: Commercial Revenues
General Strategies 2010: Commercial Revenues To modify: • Focus in the fast food business (larger sales per square meter) Food & • Reorganization of the current offer in Guadalajara´s airport Beverage de eloping a food court developing co rt Market • Conversion of current contracts to prestigious br
Slide 70: General Strategies 2010: Commercial Revenues
General Strategies 2010: Commercial Revenues To modify: • Increase short‐term rates (9% average increase after 3 years without changes) Parking Lot • Fee structure for long‐term users (taking advantage of all the Rates available capacity, a pilot plan will be released after Holy week) • Parking lots
Slide 71: Terminal Expansions
Grupo > < Aer Spostuario del Pacifico Terminal Expansions
Slide 72: GDL Terminal Expansion (Fast Food Court)
GDL Terminal Expansion (Fast Food Court) Page 72
Slide 73: GDL Terminal Expansion (Fast Food Court)
GDL Terminal Expansion (Fast Food Court) Page 73
Slide 74: GDL Terminal Expansion (Fast Food Court)
GDL Terminal Expansion (Fast Food Court) Page 74
Slide 75: GDL Terminal Expansion (Fast Food Court)
GDL Terminal Expansion (Fast Food Court) Page 75
Slide 76: TIJ Terminal Expansion
TIJ Terminal Expansion Page 76
Slide 77: TIJ Terminal Expansion
TIJ Terminal Expansion Page 77
Slide 78: TIJ Terminal Expansion
TIJ Terminal Expansion Page 78
Slide 79: TIJ Terminal Expansion
TIJ Terminal Expansion Page 79
Slide 80: SJD New T4 Terminal
SJD New T4 Terminal Aa Aeroportuario del Pacifico
Slide 81: SJD New T4 Terminal
SJD New T4 Terminal f Grupo i Aeroportuario = a GAP DAY | del Pacifico = 2010 2« Page 81
Slide 82: SJD New T4 Terminal
SJD New T4 Terminal f Grupo Bh Grupo GAP DAY | del Pacifico” es. = 2010 aK Page 82
Slide 83: PVR Terminal Expansion
PVR Terminal Expansion Page 83
Slide 84: Página 84
This presentation may contain projections that are based on certain assumptions, ti i l di including assumptions ti as to t about b t GAP's GAP' capacity it to t generate t revenues and control costs. The projections were prepared on the basis of management's present knowledge and assumptions which
Grupo Aeroportuario del Pacífico — Investor Day (2010) on 6ix