MIA 2010-2011 REVENUE REVIEW Presented by: Miguel Southwell - PowerPoint PPT Presentation

MIA 2010-2011 REVENUE REVIEW Presented by: Miguel Southwell Aviation Deputy Director Business Retention & Development February 2012 0

Operating Revenue (In Millions) FY 2010 FY 2011 FY 11 Vs. FY 10 Aviation Fees $281 $321 $40 14% Preliminary & Unaudited 1

Operating Revenue (In Millions) FY 2010 FY 2011 FY 11 Vs. FY 10 Commercial Ops. $180 $223 $43 24% Preliminary & Unaudited 2

Operating Revenue (In Millions) FY 2010 FY 2011 FY 11 Vs. FY 10 Rental Revenue $101 $105 $4 4% Preliminary & Unaudited 3

Non-Terminal Rental Revenue (In Millions) Variances FY 2011 Vs. FY 2010 FY 2011 FY 2010 ( Unaudited ) MIA Non-Terminal Revenue $ % Rentals Revenue $31.6 $33.70 $2.10 6.6% Warehouses & Offices $15.1 $15.60 $0.50 3.3% Land (Ground & Pavement) $46.7 $49.30 $2.60 5.6% Total Rentals Cargo Landing Fees Revenue $13.0 $11.90 $ (1.10) -8.5% Landing Fees $59.7 $61.2 $1.5 10.4% Total Rentals & LF Revenue Preliminary & Unaudited 4

Operating Revenue (In Millions) FY 2010 FY 2011 FY 11 Vs. FY 10 Aviation Fees $281 $321 $40 14% Commercial Ops. $180 $223 $43 24% Rental Revenue $101 $105 $4 4% Operating $562 $649 $87 16% Revenue Preliminary & Unaudited 5

Commercial Operations (In Millions) FY 2010 FY 2011 FY 11 Vs. FY 10 Duty Free $14 $24 $10 66% 6

FY 2011 Vs. FY 2010 Passenger Stats (In Millions) INTERNATIONAL FY 2010 FY 2011 Variances Deplaned 8.4 9.1 0.7 8.3% Enplaned 8.2 8.9 0.7 8.5% Total Int’l PAX 16.6 18.0 1.4 8.4% Preliminary 7

FY 2011 Vs. FY 2010 Passenger Stats (In Millions) FY 2010 FY 2011 Variances DOMESTIC Deplaned 9.2 9.8 0.6 6.5% Enplaned 9.2 9.8 0.6 6.5% Total Dom. PAX 18.4 19.6 1.2 6.5% Preliminary 8

FY 2011 Vs. FY 2010 Passenger Stats (In Millions) FY 2010 FY 2011 Variances COMBINED Deplaned 17.6 18.9 1.3 7.4% Enplaned 17.4 18.7 1.3 7.5% Total PAX 35.0 37.6 2.6 7.4% Preliminary 9

Commercial Operations (In Millions) FY 2010 FY 2011 FY 11 Vs. FY 10 Food & Beverage $20 $22 $2 12% 10

Commercial Operations (In Millions) FY 2010 FY 2011 FY 11 Vs. FY 10 Parking $38 $41 $3 8% 11

Commercial Operations (In Millions) FY 2010 FY 2011 FY 11 Vs. FY 10 Rental Cars $29 $38 $9 31% Preliminary & Unaudited 12

Commercial Operations (In Millions) FY 2010 FY 2011 FY 11 Vs. FY 10 Retail / $13 $17 $4 30% Merchandise Preliminary & Unaudited 13

Commercial Operations (In Millions) FY 2010 FY 2011 FY 11 Vs. FY 10 Other $66 $81 $15 22% Preliminary & Unaudited 14

Commercial Operations (In Millions) FY 2010 FY 2011 FY 11 Vs. FY 10 Duty Free $38 $41 $3 8% Food & Beverage $20 $22 $2 12% Parking $38 $41 $3 8% Rental Cars $29 $38 $9 31% Retail / $13 $17 $4 30% Merchandise Other $66 $81 $15 22% TOTAL $180 $223 $43 24% Preliminary & Unaudited 15

Operating Revenue (In Millions) FY 2010 FY 2011 FY 11 Vs. FY 10 Aviation Fees $281 $321 $40 14% Commercial Ops. $180 $223 $43 24% Rental Revenue $101 $105 $4 4% Operating $562 $649 $87 16% Revenue Preliminary & Unaudited 16

Non-Traditional Revenue Initiatives • Public Private Partnerships • Rock Mining • MIA Business Ventures (consulting) 17

Air Travel Demand Capture The percentage of the world population that has access to air travel is continually growing Developing Other emerging economies economies BRIC - 119 countries - 16% of world economies - 50 countries population in 2010 - 27% of world Advanced - 4 countries - 1.1 billion people in population in 2010 - 42% of world 2010 - 1.9 billion people economies population in 2010 in 2010 - 2.9 billion people - 31 countries in 2010 - 15% of world population in 2010 - 1 billion people in 2010 1970 1990 2010 2030 2050 Source: IHS Global Insight, Airbus 18

“Global middle class” expected to rise to 4.9 billion people by 2030 Millions of people 4,884 X 2.6 5,000 107 234 313 Sub Sahara Africa 4,000 Middle East & North Africa 3,249 165 3,000 Latin America 251 3,228 X 6 Asia-Pacific 1,845 2,000 North America 1,740 105 181 Europe 525 1,000 333 338 322 703 680 664 0 2010 2020 2030 6,900 7,600 8,300 World population 27% 43% 59% % of world population 66% of the global middle class will be in Asia-Pacific in 2030 * Households with daily expenditures between $10 and $100 per person (at PPP) Source: Kharas and Gertz, Airbus 19

Asia-Pacific to lead in world traffic by 2030 World Traffic by airline domicile (RPK billions) 20-year % of 2030 % of 2010 0 1,000 2,000 3,000 4,000 5,000 growth world RPK world RPK 28% 5.7% 33% Asia-Pacific 2010 traffic 2010-2030 traffic 27% 4.0% 23% Europe 27% 3.3% 20% North America 7% 7.4% 11% Middle East 20-year world annual 6.1% 5% 6% traffic Latin America growth 4.8% 4.9% 3% 4% CIS 5.6% 3% 3% Africa 20

Preliminary PPIP Projected Rental Revenue Rental Revenue Total Rental Developer Acre Rate $/SF to MDAD Revenue to MDAD Odebrecht $7,300,000 AEROTERM 37 1.55 $2,498,166 AVE LLC Aviation 131 .31 $1,768,972 Non-Aviation 43 .20 $ 374,616 $2,143,588 AA Aquisition Aviation 92 .31 $1,242,331 Non-Aviation $2,043,835 92 .20 $ 801,504 Carrie Meek Foundation Aviation 99 .31 $1,336,856 Non-Aviation $1,545,944 24 .20 $ 209,088 MEA $ 174,240 20 .20 MDIA $3,577,583 43 1.91 WMD $2,282,544 40 1.31 $21,565,900 TOTAL 21

Application of Revenues (For Fiscal Years Ending Sept. 30) Estimated Forecast Variance $183,590 / 53% $35,347 / 18.5% $252,633 / 29% $192,209 / 41% $45,336 / 15.6% $252,633 / 29% 22

Miami International Airport Central Terminal Redevelopment Overview | January 2012

Miami International Airport | Central Terminal Redevelopment Miami International Airport CENTRAL TERMINAL REDEVELOPMENT PLAN The central terminal redevelopment plan presented herein is merely a “representative” concept, or prototype for modernizing the facilities and improving the functional characteristics of the central terminal. 24

Miami International Airport | Central Terminal Redevelopment Evidence of Need • Aging facilities that are over 50 years old • Passenger processing characteristics are less efficient than those of the newer North and South Terminal, and the maintenance and operating costs of the Central Terminal facilities will continue to increase because of their age. • Pier configuration of Concourses E, F, and G do not provide the adequate separations needed to provide the efficient and unimpeded access between the airfield and the aircraft gates for these concourses. • Pier configuration of Concourses E, F, and G also lack the adequate apron depth on many gates needed to accommodate newer generation aircraft (e.g. B737-700/800/900, B747-800, B787, A350, and A380). 25

Miami International Airport | Central Terminal Redevelopment EXISTING CONDITIONS The gates depicted on Concourse F represents a smaller fleet mix resulting in a higher number of gates. A larger fleet mix was used in the study for comparison purposes. SOURCES: MIAMI-DADE AVIATION DEPARTMENT, MARCH 2010 (PARKING PLAN); MIAMI-DADE AVIATION DEPARTMENT, MARCH 2010 (2010 AERIAL); 26 RICONDO & ASSOCIATES , INC., APRIL 2010.

Miami International Airport | Central Terminal Redevelopment Why now? MIA Passenger Activity Projections SOURCE: STRATEGIC AIRPORT MASTER PLANNING STUDY FOR MIAMI-DADE COUNTY AND SYSTEMS OF AIRPORTS, MARCH 2010. 27

Miami International Airport | Central Terminal Redevelopment Central Terminal Modernization Goals Collectively, the redevelopment of the Central Terminal area is driven by each of these equally important goals: • Improve aircraft circulation within and around the new gates, minimizing single-taxilane access and providing bi-directional aircraft movements to the north and south airfields • Increase gate capacity (measured in the context of passenger volumes) and flexibility for accommodating a mix of domestic and international activity. • Maximize the potential for post-security, non-aviation revenue-generating opportunities. • Enhance the customer experience within the Central Terminal by providing spacious and open areas; a diverse mix of retail and food offerings within a short walking distance; and ease of connectivity to the North and South Terminals, the Miami Intermodal Center Station, and other landside facilities. • Provide an efficient and spacious FIS Facility. 28

Miami International Airport | Central Terminal Redevelopment Alternatives Prepared in 2008 29

Miami International Airport | Central Terminal Redevelopment Central Terminal Redevelopment – Existing Conditions 1/ Excludes T-E Levels 4 - 10 (Comprising 87,598 s.f.). 2/ Seat Index Definition: 1.0 equals 285 seats. 30 SOURCES : MIAMI-DADE AVIATION DEPARTMENT, OCTOBER 2008; RICONDO AND ASSOCIATES, OCTOBER 2008.