Flughafen Wien Ag · VIE:FLU
Flughafen Wien — Merger or Acquisition (February 2006)
25 slides from Flughafen Wien's merger presentation, February 2006
Slide 1: Acquisition of Bratislava and Kosice Airports
Acquisition of Bratislava and Kosice Airports Developing the future of the region Vienna - Bratislava - Kosice Herbert Kaufmann CEO Flughafen Wien AG February 2006 1
Slide 2: The Region Vienna – Bratislava - Kosice
The Region Vienna – Bratislava - Kosice Vienna 2
Slide 3: Competition between Regions
Competition between Regions z The Bratislava-Vienna region is expected to be the fastest growing region in Europe. z The competitors of the Bratislava-Vienna region include Munich, Milan, Paris, Budapest, Prague, etc. 3
Slide 4: Catchment Area
Catchment Area Criteria for the Catchment Area: • Access to the airport within two hours by car • Easiest access to a main airport 4
Slide 5: Propensity to travel (trips per year per inhabitant)
0 1 2 3 4 5 6 7 8 9 Cyprus Malta Ireland Denmark Luxemburg UK Spain Greece Netherlands Sweden Finnland Austria Portugal France Germany Belgium Italy Czech Republic Estonia EU 15 Hungary Slovenia Propensity to travel (trips per year per inhabitant) Latvia Lithuania Poland New EU member states Source:
Slide 6: Growth in Air Transport (flights flown)
0% 5% 20% 30% -5% 25% 10% -10% 15% Slovakia Czech Republic Estonia Lithuania Italy Latvia Hungary Belgium Ireland Poland Spain Slovenia Austria UK Growth in Air Transport (flights flown) Germany Portugal Finnland Malta France EU 15 Netherlands Denmark Cyprus Luxemburg Source: Eurostat, 2004 Sweden N
Slide 7: Vienna International Airport
Vienna International Airport z Vienna Airport plc z Two runways - Privatised in 1992 z Airport area: 10km2 - Present ownership structure: z Full airport provider 40% Public sector (including ground handling) 10% Employee trust 50% Free float z 15.9 m passengers in 2005 z High dividend yield 7
Slide 8: Bratislava Airport
Bratislava Airport z Airport area: 477 ha z Operated by: z 2 runways: - M.R. Stefanik Airport z Full airport provider - Runway 13/31: 3,190m (including ground handling) - Runway 04/22: 2,900m z 1.3m passengers in 2005 8
Slide 9: Kosice Airport
Kosice Airport z 1 runway: z Operated by: Letisko Kosice - Airport Kosice a.s. - Runway 01/19: 3,1000m z Full airport provider z 269,885 passengers in 2005 (including ground handling) 9
Slide 10: Passenger Growth 2000 – 2010 Bratislava-Vienna region
Passenger Growth 2000 – 2010 Bratislava-Vienna region 26 25 23.6 24 22.0 22 20.4 PAX m 20 18.9 18 17.2 16 15.7 13.3 14 12.2 12.2 12.4 12 10 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 10
Slide 11: Passenger Growth 2000 – 2010 Vienna International Airport
Passenger Growth 2000 – 2010 Vienna International Airport 22 Growth rate 2007-2010: + 4.6% 20.0 20 19.1 18.3 17.5 18 PAX m 16.8 2005: + 7.3% 15.9 16 14.8 Forecast 2006: + 6% 14 12.8 11.9 11.9 12.0 12 10 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 11
Slide 12: Passenger Growth 2005 – 2015 Bratislava
Passenger Growth 2005 – 2015 Bratislava 6 5.0 5 4.5 4 3.7 PAX m 2.9 3 2.1 2 1.3 0.9 1 0.5 0.3 0.3 0.4 0 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 12
Slide 13: Passenger Growth 2005 – 2015 Kosice
Passenger Growth 2005 – 2015 Kosice 500 480 444 450 404 400 361 PAX thous. 350 318 300 270 250 231 188 200 161 138 150 125 100 50 0 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 13
Slide 14: Vienna & Bratislava Airports: Wide-ranging opportunities for growth
Vienna & Bratislava Airports Wide-ranging opportunities for growth • Leading position in Central Europe 2005: 17.2 million passengers: 15.9m (VIE) + 1.3m (BTS) 2010: 25 million passengers: 20m (VIE) + 5 m (BTS) 2015: 30.0 million passengers: 23m - 24m (VIE) + 6m - 7m (BTS) • Main drivers of developm
Slide 15: Cooperation allows for the best development of potential
Cooperation allows for the best development of potential z Vienna: focused on transfer hub west/east/long-haul z Bratislava: focused on point-to-point traffic: low-cost carriers and charter , Competitive advantages over airports like Zurich, Munich, Budapest, Prague etc. z Kosice: focused on connect
Slide 16: Linking of Vienna and Bratislava market
Linking of Vienna and Bratislava market z Express connections between Vienna City Centre – BTS Airport less than 1 hour travelling time (CAT extension by 2009) z Starting 2006: City check-in in Vienna for flights from Bratislava City check-in in Bratislava for flights from Vienna plus bus connection
Slide 17: Consortium TwoOne
Consortium TwoOne The “Airport TwoOne“ consortium consists of: Voting rights z Flughafen Wien Aktiengesellschaft 50.1 z Raiffeisen Zentralbank Österreich AG (RZB) 20.0 z Penta Investment Limited 29.9 17
Slide 18: Key figures of the bid
Key figures of the bid Bratislava - Price 10.5 billion SKK (~EUR 275 m) - Capital contribution: 7.9 billion SKK (~EUR 203 m) - Investment programme: 9.37 billion SKK (~EUR 240 m) over the first five years Košice - Price 900 million SKK (~EUR 24 m) - Capital contribution: 380 million SKK (~EUR 10 m)
Slide 19: Key figures of the bid - Bratislava
Key figures of the bid - Bratislava Consortium thereof VIE Purchase price 275 138 Capital contribution 204 102 Comitted investment 240 during the first 5 years - thereof capital 204 contribution - out of cash flow 36 19
Slide 20: Key figures of the bid - Kosice
Key figures of the bid - Kosice Consortium thereof VIE Offered purchase price 24 12 Capital contribution 10 5 Comitted investment 11 during the first 5 years - thereof capital 10 contribution - out of cash flow 1 20
Slide 21: Specific Expansion Projects for Bratislava Airport
Specific Expansion Projects for Bratislava Airport 22 projects have been defined for Bratislava Airport, each with an exact financial plan and time schedule: Project Forecasted Costs Schedule Existing terminal – expansion SKK 326 m (ca. € 8.4 m) 2006 - 2007 New terminal SKK 2,850 m (ca. € 73 m) 2006
Slide 22: Financial approach
Financial approach z Enterprise value (100%) of Bratislava Airport above EUR 534 m z EBITDA multiple (5 years average): 23 z Flughafen Wien AG - 7% WACC - Debt / Equity ratio: 50:50 z Bratislava shows positive results after one year z From 2011 onwards profit contribution of Bratislava exceeds cost
Slide 23: Synergies
Synergies e.g. - Capacity management: (Construction of third runway in VIE will be postponed up to four years - Facility management - Procurement - IT 23
Slide 24: Privatisation Process BTS/KSC
Privatisation Process BTS/KSC z 11 July 2005: Start of the privatisation process z 5 September 2005: Submission of the preliminary bid z 15 September 2005: Selection of short-listed bidders z 5 December 2005: Submission of the final bid z 20 December 2005: Preferred bidder/privatisation commission z
Slide 25: Thank you for your attention.
Thank you for your attention. 25
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