Christian Scherer

Chief Commercial Officer

Head of Airbus International

Global Market Forecast

Cities,

Airports

& Aircraft2019-2038

2018 was a good year and 2019 looks to be another solid year

Note: IATA forecast as of June 2019

Source: ICAO, IATA, IHS Markit, Airbus GMF 2019

7.4%RPK growth

5.0%RPK growth

2018 2019

3.2%GDP growth

2.7%GDP growth

+280million passengers

+200million passengers

81.9%Record Load factor

82.1%Record Load factor

9th

year of solid

airline profitability

10th

year of solid airline profitability

2

-150

0

150

300

450

600

750

1970 1975 1980 1985 1990 1995 2000 2005 2010 2015

Billi

on

s

10 years of strong growth and solid profitability

3

World annual added traffic (billion RPKs)

* IATA Forecast, June 2019

Source: ICAO, Airbus GMF 2019

9/11Oil

CrisisGulf Crisis

Asian Crisis

SARSFinancial

Crisis

+600 billion

RPKs

20192018

$292 bnprofit

$269 bnProfit*

4 Source: UN Population, Oxford Economics, Airbus GMF 2019

Drivers for Growth

Urbanisation- 2000:

47%of World population in urban areas

- 2018:

55%

Wealth- 2000:

~900 millionemerging countries Middle-Class

- 2018:

2.7 billion

Liberalisation- On average

700 net routesadded each year since 2000

Air transport becoming more balanced and resilient

5 Source: Airbus GMF 2019

Origin & Destination traffic from/to each city

2018

Air transport becoming more balanced and resilient

6 Source: Airbus GMF 2019

Origin & Destination traffic from/to each city

2038

0

1

2

3

4

5

6

7

8

9

10

11

12

13

14

15

16

17

18

19

20

0 250 500 750 1,000 1,250 1,500 1,750 2,000 2,250 2,500

Billions

x3.2

2018

2038

x4.8

x3.3

x4.0

x3.4

x3.7

x3.3

x3.8

Traffic is forecast to grow at 4.3% p.a.

Source: Airbus GMF 2019

Domestic PRC

Domestic USA

Intra - Western Europe

Western Europe - USA

Western Europe - Middle East

Domestic - Asia Emerging

Domestic - India

Central Europe - Western Europe

Asia Developed - Asia Emerging

Indian Sub-continent - Middle East

Asia Emerging - PRC

Asia Emerging - Middle East

Asia Developed - Western Europe

Asia Developed - USA

PRC - USA

Asia Developed - PRC

Western Europe - South America

Intra - Asia Developed

Western Europe - PRC

Intra - Middle-East

Top 20 traffic flows (RPK)

RPKs (billion)

7

0

1

2

3

4

5

6

7

8

9

10

11

12

13

14

15

16

17

18

19

20

0 250 500 750 1,000 1,250 1,500 1,750 2,000 2,250 2,500

Billions

x3.2

2018

2038

x1.5

x4.8

x3.3

x4.0

x3.4

x3.7

x3.3

x1.6

x1.7

x3.8

Traffic is forecast to grow at 4.3% p.a.

Source: Airbus GMF 2019

Domestic PRC

Domestic USA

Intra - Western Europe

Western Europe - USA

Western Europe - Middle East

Domestic - Asia Emerging

Domestic - India

Central Europe - Western Europe

Asia Developed - Asia Emerging

Indian Sub-continent - Middle East

Asia Emerging - PRC

Asia Emerging - Middle East

Asia Developed - Western Europe

Asia Developed - USA

PRC - USA

Asia Developed - PRC

Western Europe - South America

Intra - Asia Developed

Western Europe - PRC

Intra - Middle-East

Top 20 traffic flows (RPK)

RPKs (billion)

8

-3,000

-2,000

-1,000

0

1,000

2,000

3,000

4,000

5,000

2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018

9

Created

Net new city-pairs

Dropped

Source: OAG, Airbus GMF 2019, aircraft ≥100seats

Nb. of city-pairs

Networks are growing with more net new routes created

The air transport industry has delivered strong improvements in productivity

10 Source: IATA, ICAO, Cirium, OAG, Airbus GMF 2019

0 1 2 3 4 5 6 7 8 9 10

2018

1998

0 50 100 150 200

2018

1998

0% 50% 100%

2018

1998

0 100 200 300 400

2018

1998

+2 hours/day

Daily

Utilisation

+18 seats/flight

Average

Seats per

Flight

+13pp Load

Factor

160

178

69%

82%

+40%RPK (m)

per a/c

300m

415m

8.4

10.7

Improved efficiency has delivered continuous fuel burn and CO2 reduction

11

Fuel consumption & CO2 emissions

Base 100 in 1990 based on Kilograms per RPK (avg.)

Source: IATA, ICAO, Airbus GMF 2019

0

10

20

30

40

50

60

70

80

90

100

1990 1992 1994 1996 1998 2000 2002 2004 2006 2008 2010 2012 2014 2016 2018

-53%2018 vs. 1990

Demand for ~39,200 new aircraft deliveries by 2038

Source: Airbus GMF 2019

Airbus GMF18 Airbus GMF19

Gross Domestic Product 20-year CAGR

2.8% 2.8%

Passenger Traffic20-year CAGR

4.4% 4.3%

Freight Traffic20-year CAGR

3.7% 3.6%

Start fleet(Passenger & Freighter)

21,450 22,680

End fleet(Passenger & Freighter)

47,990 47,680

New Deliveries(Passenger & Freighter)

37,390 39,210

12

0

5,000

10,000

15,000

20,000

25,000

30,000

35,000

40,000

45,000

50,000

Beginning 2019 2038 New Deliveries

36% of new deliveries for replacement, 64% for growth

13

Notes: Passenger aircraft (≥100seats), Freighters (>10t) | Rounded figures to nearest 10

Source: Airbus GMF 2019

Number of aircraft

22,680

47,680

Stay

Replace

Grow

New deliveries39,210

25,000

14,210

8,470

0

200

400

600

800

1,000

1,200

SMALL10t < payload < 40t

MEDIUM40t < payload < 80t

LARGEpayload > 80t

New Build

Conversion

Demand for some 850 new build freighter aircraft in the next 20 years

14

Notes: Jet aircraft (>10ton)

Source: Airbus 2019

World 20-year freighter demand, by aircraft category [2019-2038]

500

350

Global demand for 39,210 new passenger & freighter aircraft

29,720 aircraft

76% share of total new del.

5,370 aircraft

14% share of total new del.

4,120 aircraft

10% share of total new del

Note: demand for all commercial aircraft above 100 seats & freighters above 10t

Source: Airbus GMF 2019

15

Our products & their core market segments

16

Unbeatable fuel efficiencyAircraft category

Versatility on short- to

medium-haul operations

Superior single-

aisle comfort

Step-change economics

vs competitors

17

Profitable partnershipAircraft category

All-NEO design: new

engines, Airspace cabin

40 airlines already flying

both Families on the

same routes

Up to 30% better cost

per seat vs previous

generation18

The all-new design widebodyAircraft category

Only all-new large

widebody

Outstanding

EIS>8,000 nm

range

45t lower TOW

vs competitor

19

Source: Airbus GMF 2019

Summary

Strong & Resilient passenger traffic growth

Middle-class to increase by 50% by 2038

Air traffic (RPK) forecast to growth 4.3% p.a.

39,210 new deliveries by 2038

38,360 passenger aircraft

850 freighters

~36% of deliveries for replacement

~64% for growth

76% Small (29,720 units)

14% Medium (5,370 units)

10% Large (4,120 units)

20