CVG Update for OKI Board October 13, 2016
Launching Point Strategic Plan 1
Strategic Plan: Launching Point 2016 Core Values : the fundamental beliefs of our organization • Safety • Trust • Respect • Innovation • Mission Focused Guiding Principles : the principles that guide our organization and how we interact with one another • Ensure the safety and security of our stakeholders • Foster a culture of trust, collaboration and fun among our team members • Communicate openly and honestly with our team members and stakeholders • Maintain a culture that respects and values one another, appreciating and cultivating individuality and diversity • Encourage an environment that embraces innovative solutions and continuous improvement • Remain keenly focused on our mission and enhance our position as a leader in aviation, both regionally and globally 2
Vision Mission Objectives Goals Launching Point: The CVG of Tomorrow Where CVG We’ll achieve our Vision The path taken to The stepping stones to achieving our objectives What we’ll look like by 2021 intends to go by becoming the Airport achieve our of choice to: Mission 1.Expand and diversify passenger carriers Grow Air 2.Grow air cargo and related businesses 9,000,000 passengers FLY FROM Service 3. Increase corporate flight activity Make travel through CVG an unforgettably positive experience. Facilitate 1. Maintain competitive cost structure and strong financial position 350 acres of airport land leased for Economic 2. Diversify airline and non-airline net revenue streams development Growth DO BUSINESS WITH 1.Act as a socially-responsible neighbor Build 2.Foster relationships with local governments, business and Meaningful $5 Billion annual economic impact community leaders to strengthen and grow our business Partnerships 3.Build a culture of collaboration and teamwork 1. Activate brand promise and enhance reputation among key Differentiate audiences ASQ ranking superior to peer airports the CVG Brand 2. Provide a seamless passenger experience through innovative solutions WORK FOR 1.Manage assets strategically to ensure clean, effective and efficient Deliver operations Functionally obsolete Terminal facilities Operational 2.Ensure safety and security of employees, passengers and demolished and CONRAC constructed stakeholders Excellence 3.Deliver outstanding customer service 3
Grow Air Service: Air Service Update 4
Air Service Overview 160 Peak Day Departures 85% Local Origination 54 Non-Stop Destinations 9 Passenger Airlines 6.3M Annual Passengers 18 Operating Carriers Non-Stop Destinations Seasonal Destinations 5
Air Carrier Changes at CVG Capacity Share 2012 vs. 2016 2012 2016 Ultra Low Cost Carrier Now Represent About 20% of CVG Capacity 6 Source: Diio Mi Schedule data loaded as of July 6, 2016
CVG Fare Trend Average Fare and DOT Fare Ranking by Quarter 1Q 2012 to 4Q 2016 Nine Consecutive Quarters of Year-Over-Year Improvement Source: Bureau of Transportation Statistics. Inflation-Adjusted air fares are calculated using dollars for the year of the most recent fare release. 7
Monthly Origin Passenger Trend YOY Percent Change AUG 2015 – Jul 2016 24 consecutive months of YOY originating passenger growth 8 Source: CVG Airport Statistics: Passenger Enplanement Data
Landed Weight Trend 51% 49% Landed Weight continues to grow; year to date landed weight is up 7.7% compared to 2015 9
DHL Hub at CVG Home to one of three DHL global super hubs; other hubs are located in Leipzig, Germany and Hong Kong DHL employs a local workforce of over 2,400 employees at CVG Processes 2.6 million cargo pieces a month and sorts 92% of all US delivery shipments as well as all Canadian, Mexican, and Latin American shipments at CVG Connects over 100 service centers and international gateways in DHL’s International network in the U.S. In 2015, DHL commenced a ramp expansion to accommodate an additional 16 aircraft to be opened in late October, 2016 Total investment by DHL at CVG since 2009 exceeds $280 Million 10
Monthly Cargo Trend YOY Percent Change AUG 2015 – JUL 2016 Cargo continues to perform well; 2015 comparable months driven by West Coast Port activity Source: CVG Airport Statistics: Cargo Data 11
Facilitate Economic Growth: Land Development Overview 12
2010 Initial Land Development Sites 11 Sites - Approximately 600 acres 13
Dermody/Wayfair Warehouse - 898,560 SF on 52 acres Completed June 2016 14
Dermody #2 – 260,000 SF Warehouse Facility on 22 Acres Construction Began August 2016 15
Dermody #2 16
Vantrust - 511,000 SF speculative warehouse on 41 acres Construction began September 2016 17
Robert Bosch (formerly ZF Steering) – 350,000 SF (2 buildings) on 32 acres Completed December 2011 –New Building (4)– 180,000SF Under Construction 3 4 1 2 18
Multi Tenant Cargo Building – West Service Area Projected Completion Fall 2017 19
Future Retail Development - 90,000 SF on 7 acres 20
Future retail or warehousing on 20 acres 21
Build Meaningful Partnerships: Relationship with OKI 22
CVG Partnership with OKI • Grant Funding Approval – SNK Funds for road improvements/expansions: o Wendell Ford Blvd Extension ($2.646 million) o Bushelman Blvd Widening ($1.16 million requested) o South Airfield Road (now Aero Parkway) ($8 million) • OKI Regional Freight Plan 2011 – Plan included input & participation from CVG and DHL: o DHL represents 50% of CVG landed weight • CVG Master Plan Updates – OKI assists in Airport Master Plan updates to provide regional perspective & coordination • Airport staff can rely on OKI staff for professional expertise 23
24
Deliver Operational Excellence: Facilities & Construction Update 25
Demolition of Obsolete Facilities 26
Consolidated Rental Car Facility & Roadway Improvements 27
Consolidated Rental Car Facility & Roadway Improvements 28
DHL Ramp Expansion and Improvements 29
DHL Ramp Expansion and Improvements 30
Thank You Candace McGraw cmcgraw@cvgairport.com
Recommend
More recommend
