Transat A.t. Inc. · TSX:TRZ
Transat A.t — Shareholder Meeting (March 2010)
27 slides from Transat A.t's shareholder meeting presentation, March 2010
Slide 1: Jean-Marc Eustache, President and Chief Executive Officer
JEAN-MARC EUSTACHE PRESIDENT AND CHIEF EXECUTIVE OFFICER Annual Meeting 2010 1
Slide 2: International Arrivals and Transat Revenues
International Arrivals and Transat Revenues International Arrivals (world) Transat Revenues (millions of travellers) (millions of dollars) Forecast Travel for all Annual Meeting 2010 2
Slide 3: France in 2009
France in 2009 France in 2009 (in millions €) -12.5% 231 202 2008 2009 Annual Meeting 2010 3
Slide 4: France in 2009
France in 2009 France in 2009 (in millions €) + 6% 297 279 2008 2009 Annual Meeting 2010 4
Slide 5: France in 2009: Supply Chain Strategy
France in 2009 (in millions €) 510 499 2008 2009 Supply Chain Strategy Purchasing power and economies of scale Buying more than $2 billion in travel services (direct costs) Mexico, Caribbean, Western Europe countries Annual Meeting 2010 5
Slide 6: All-inclusive sun packages and Transatlantic Market
All-inclusive sun packages – from Canada in winter 2008 - 2009 32.3% 1.2 million packages sold in 2009 5.8% Others Growing, 5% TMR Sunwing competitive 18% market WestJet 5.2% 27.5% Average selling Sunquest Signature (TCG) 9.5% prices and margin ACV 9.7% under pressure 14.5% Transatlantic Marke
Slide 7: Transatlantic Market: commercial presence on both sides of the Atlantic
Transatlantic Market Unique offering of 70 city-pairs Commercial presence on both sides of the Atlantic Annual Meeting 2010 7
Slide 8: The largest retail distribution network in Canada
The largest retail distribution network in Canada The largest retail distribution network in Canada Annual Meeting 2010 8
Slide 9: The largest retail distribution network in Canada
The largest retail distribution network in Canada The largest retail distribution network in Canada 450+ travel agencies 2,300 travel advisors Sales of $1.3 billion Annual Meeting 2010 9
Slide 10: French Market
The largest retail distribution network in Canada French Market Tour Operators: Distribution: $5.7B 4,750 travel agencies AFAT FRAM Thomas Selectour Cook Kuoni TUI Thomas Cook/ + Havas Club Med Jet Tours + CWT Others TUI/NF Tourcom Others Annual Meeting 2010 10
Slide 11: Partnership with AFAT Voyages Sélectour
Partnership with AFAT Voyages Sélectour 26 agencies sold 41 agencies now under Look Voyages More agencies to adopt Look Voyages banner over time Multi-channel distribution Annual Meeting 2010 11
Slide 12: Air lift capacity management
Air lift capacity management Guaranteed and flexible access to adequate capacity Appropriate aircraft type depending on route Cost-competitive 5-year agreement with CanJet Airlines Narrow-body Boeing B737-800 189 seats Adequate for sun destinations Favourable financial conditions Annua
Slide 13: Air Transat fleet transition plan
Air Transat fleet transition plan 18 wide-body Airbus (A330 and A310) Transition to an A330 fleet Reduction in operating costs Capacity Management Air Transat: approximately 50% of Transat’s global needs Increased flexibility thanks to the CanJet agreement Subleases of aircraft Cost re
Slide 14: Air Transat: An improved customer experience
Air Transat: An improved customer experience Creation of Transat France Annual Meeting 2010 14
Slide 15: Revenues and Margins
Revenues 1% Revenues up by 1% Approx. 3 million customers $3,545M $3,513M Lower selling prices Fuel: $319 million in 2009 2008 2009 Margins Record volumes in first half $127.8M Excellent load factors in 2009 $93.4M Challenging commercial environment 2008 2009 Annual Meeting 2010 15
Slide 16: A (H1N1) Flu; Lower demand for Canada
A (H1N1) Flu Lower demand for Mexico Volume shift to other destinations Lower demand in certain market segments Lower demand for Canada as destination Volume drop of 20% Challenge in France, U.K. Cost reduction measures Improvement expected in 2010 Annual Meeting 2010 16
Slide 17: Annual Meeting 2010
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Slide 18: Annual Meeting 2010
Annual Meeting 2010 18
Slide 19: Sustainable Tourism: Mexico
Sustainable Tourism Mexico Annual Meeting 2010 19
Slide 20: Sustainable Tourism: Turkey, Morocco
Sustainable Tourism Turkey Sustainable Tourism Morocco Annual Meeting 2010 20
Slide 21: Sustainable Tourism: Peru
Sustainable Tourism Peru Mexico Turkey Morocco Peru Annual Meeting 2010 21
Slide 22: A solid management team
A solid management team Patrice Caradec President, Transat France Annual Meeting 2010 22
Slide 23: A solid management team
A solid management team Nelson Gentiletti Chief Operating Officer A solid management team Denis Pétrin Vice-President, Finance & Administration Chief Financial Officer Annual Meeting 2010 23
Slide 24: A solid management team
A solid management team Michel Bellefeuille Vice-President Chief Information Officer A solid management team Michael DiLollo President, Transat Tours Canada Annual Meeting 2010 24
Slide 25: Vision 2014
A solid management team Yves Lalumière Vice-President and General Manager Transat Distribution Canada Vision 2014 A vertically-integrated tour operator, leader in the Americas, with a strong competitive position in numerous European countries Annual Meeting 2010 25
Slide 26: Strategic Plan 2009-2011 and Objectives 2010
Strategic Plan 2009-2011 FIVE STRATEGIES 1. Increase our competitiveness in our core markets 2. Adapt our offering to participate in high-growth market segments 3. Actively pursue vertical integration 4. Enter new outgoing markets with a bilateral approach 5. Develop skills and invest in human capit
Slide 27: Competitive landscape
Competitive landscape Disappearance of a tour operator and merger of two others Consolidation and polarization in France Increasing importance of having a presence in distribution JEAN-MARC EUSTACHE PRESIDENT AND CHIEF EXECUTIVE OFFICER Annual Meeting 2010 27