ANNUAL REVIEW 2007 www.f innair.com/group +100% America-Asia: 16 - PowerPoint PPT Presentation

ANNUAL REVIEW 2007 www.f innair.com/group

+100% America-Asia: 16 million passengers now, 32 million in 2017. +100% Europe-Asia: 30 million passengers now, 60 million in 2017.

CONTENTS FROM POLE POSITION TO ASIA Finnair is the fastest growing airline in traffic between Europe and Asia. Key figures ............................................................2 Traffic information and Fleet .................................3 Review by the President & CEO ..............................5 The shortest routes, and therefore those that load the environment least, Vision ...................................................................6 Asian markets .......................................................9 pass through Finland. Finnair as an investment ......................................14 Scheduled passenger traffic .................................15 Most passengers travelling between Europe and Asia change flights Aviation services .................................................18 Leisure traffic ......................................................20 Travel services .....................................................21 somewhere in Europe, because there are direct connections only from Flight preparation ...............................................22 Fleet ...................................................................24 13 cities. Helsinki is one of these. When flying with Finnair the journey Personnel ............................................................26 Corporate social responsibility ............................28 goes quickly, because from the very start passengers are travelling in Board of Directors ..............................................30 Group Management ............................................32 the right direction, towards a morning arrival in Asia. This is best under- The Financial Report 2007 is published separately stood by looking at a round globe rather than a flat map. The geography works in Finnair’s favour also in traffic between North America and Asia. The world is not a pancake. That’s why the smartest intercontinental links in the northern hemisphere are in Finnair’s hands.

2 KEY FIGURES KEY FIGURES 2007 Turnover Operating profit (adjusted), Result before taxes Return on capital employed Unit revenues and costs EBIT* Unit revenue, c/RTK Unit costs, c/ATK % of turnover EUR mill. EUR mill. % EUR mill. % Change % 2,500 120 6 200 16 4 2,000 80 4 150 12 0 1,500 40 2 100 8 -4 1,000 0 0 50 4 -8 500 -40 -2 0 0 -12 0 -80 -4 -50 -4 -16 03 04 05 06 07 03 04 05 06 07 03 04 05 06 07 03 04 05 06 07 03 04 05 06 07 Adjusted gearing Revenue tonne kilometres Key figures 2006 2005 2007 % Mill. tnkm 2,181 Turnover 1,990 1,871 EUR million 150 2,500 97 Operating profit (adjusted), EBIT* 11 70 EUR million 120 2,000 4.4 Operating profit (adjusted)*, % turnover 0.6 3.7 % 90 1,500 142 Operating profit, EBIT -11 82 EUR million 60 1,000 139 Result before taxes -15 88 EUR million 30 500 72.6 Unit revenues on flight operations 74.0 73.7 cents/RTK 0 0 03 04 05 06 07 03 04 05 06 07 43.5 Unit costs on flight operations 46.0 45.3 cents/ATK 1.04 Earnings per share -0.14 0.66 EUR Number of passangers Passanger load factor 7.70 Equity per share 6.14 6.91 EUR International 326 Gross investment 252 58 Domestic EUR million Mill. passangers % -222 Interest-bearing net debt 43 -155 EUR million 10 100 47.0 Equity ratio 37.2 42.2 % 8 80 -22.5 Gearing 7.1 -25.1 % 6 60 35.1 Adjusted gearing 112.8 66.8 % 4 40 14.2 Return on capital employed (ROCE) -0.1 11.1 % 2 20 9,480 Average number of employees 9,598 9,447 0 0 03 04 05 06 07 03 04 05 06 07 * excluding capital gains, non recurring items and changes in fair value of derivatives

TRAFFIC INFORMATION AND FLEET 3 TRAFFIC INFORMATION AND FLEET Finnair group fmeet 7 January 2008 SEATS NUMBER OWNED LEASED AVERAGE AGE Airbus A319 105–123 11 7 4 6.2 Airbus A319 Airbus A320 111–159 12 6 6 5.4 Airbus A321 136–196 6 4 2 6.9 Airbus A320 Airbus A340 269–295 3 3 0 4.8 Boeing MD-11 282 7 2 5 13.6 Airbus A321 Boeing B757 227 7 0 7 8.6 Embraer 170 76 10 6 4 1.7 Embraer 190 100 6 4 2 0.6 Airbus A340 Total 62 32 30 5.9 The ATR 72 aircraft were flown by Aero Airlines. Aero discontinued its operations on 6 January 2008 and the ATR 72 aircraft were sold at the same time. The six Boeing MD-80 aircraft owned by the Group were in the use of FlyNordic on 31 December 2007. Finnair sold FlyNordic in July 2007. The average age of Finnair scheduled traffic’s European fleet is 4.4 years. Boeing MD-11 Finnair traffic information 2003–2007 2006 2005 2004 2003 2007 OH-LBR 228,487 Boeing 757 Flight hours 211,813 202,070 196,795 172,884 147,094 Flight kilometres 133,890 125,410 121,027 113,892 1,000 26,878 Available seat kilometres 23,846 23,038 21,907 18,644 mill. 20,304 Revenue passenger kilometres 17,923 16,735 15,604 12,971 mill. Embraer 170 75.5 Passenger load factor 75.2 72.6 71.2 69.6 % 4,074 Available tonne kilometres 3,602 3,400 3,162 2,636 mill. Embraer 190 2,365 Revenue tonne kilometres 2,100 1,940 1,791 1,470 mill. 58.0 Overall load factor 58.3 57.0 56.6 55.8 % 8,653 Passengers 8,792 8,517 8,149 6,849 1,000 98,684 Cargo and mail 93,807 90,242 86,245 73,416 1,000kg