forecast pres

Slide2 : : : Domestic Passengers Up 6.7% in 2004 2000 Passenger Level Down 2.2 % from 2000


Slide3 : : : International Passengers Up 11.7% in 2004 2000 Passenger Level Down 4.7 % from 2000


Slide4 : : : Domestic Yield Down 18.3% Since 2000 2000 Yield Level


Slide5 : : : Low Cost & Regional Carriers Increase Market Share


Slide6 : : : Air Cargo Revenue Ton Miles Up Almost 5% in 2004 2000 RTM Level


Slide7 : : : Commercial Air Carriers Have Lost $25 Billion Since 2000


Slide8 : : : General Aviation Hours Flown Have Bottomed Out 2000 Hours Flown Level Down 9 % from 2000


Slide9 : : : FAA/Contract Tower Instrument Operations Up 2% in 2004 2000 Instrument Operations Level Down 7.2 % From 2000


Slide10 : : : Recovery In Activity Not Uniform Among All Airports In 2004 Commercial Operations at 17 of 35 Major U.S.Airports Already At 2000 Levels


Slide11 : : : U.S. Economy Grows An Average Of 3.2% Annually


Slide12 : : : World Economy Grows An Average Of 3.2% Annually $34,821 $37,142 $38,338 $50,825 $35,981


Slide13 : : : Energy Prices Spike in 2005 Then Fall Over Next 3 Years All Signs Point to Continued Recovery


Slide14 : : : Domestic Real Yield Falls An Average Of 1.7% Annually


Slide15 : : : Domestic Passengers Return to Pre 9/11 Levels in 2005


Slide16 : : : International Passengers Return to Pre 9/11 Levels in 2005


Slide17 : Latin America -- 2004 Pacific -- 2005 Canadian Transborder -- 2005 Atlantic -- 2006 : : Every World Travel Region Returns to 2000 Levels by 2006


Slide18 : : : Total Passengers Exceed One Billion In 2015


Slide19 : : : By 2016 Low Cost and Regional Carrier Domestic Share ≈ 55% Passenger Market Share Low Cost & Regionals/ Commuters Low Cost & Regionals/ Commuters Large Network Carriers Large Network Carriers 2016 2004 43% ≈ 55%


Slide20 : : : Regional Jet Fleet Grows 38% Over Next Three Years


Slide21 : : : Low Cost Carriers Drive Mainline Carrier Fleet Growth


Slide22 : : : Cargo Revenue Ton Miles Increase 82% By 2016


Slide23 : : : General Aviation Hours Flown Up 20% By 2016


Slide24 : : : By 2016 Instrument Operations Up 29% At FAA/Contract Towers


Slide25 : : : Eight Additional Airports Exceed 2000 Levels by 2006 Commercial Operations at 25 Large U.S.Airports Will Exceed 2000 Levels By 2006


Slide26 : : : Implications For The FAA Congestion On Rise As Demand Returns Several Airports Already Experiencing Delays Change in Aircraft Mix Makes Future Workload More Complex Rapid Growth in RJs Strong Growth in GA Business Jets Falling Yields Pose Risk To Matching FAA Funding Needs With Demand For FAA Services


Slide27 : : : Forecast Risks Deteriorating Financial Condition Of Legacy Carriers Sustained Higher Fuel Prices Increasing Delays At U.S. Airports


Slide28 : : : Forecast Summary Recovery of Traffic Continues In 2005 And Beyond Commercial Carrier and Domestic Passengers Return To Pre 9/11 Levels Commercial Carrier Passengers Exceed One Billion in 2015 Low Cost Carriers Increase Share => Falling Fares Rising Demand For FAA Services Downside Risks Are Significant