St. Louis Lambert International Airport Gateway Airport Partners
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St. Louis Lambert International Airport Gateway Airport Partners 26 November 2019 Confidential [email protected] 2020-01-16 15:19:57 +0000 STRICTLY CONFIDENTIAL Contents 01 InsertIntroduction divider title 23 02A InsertAirport divider Management title Experience 10 7 03 Specific Topics 15 04 Driving Value at STL 21 05 Financial Capability 26 06 Engaging in the STL Process 29 07 Our Offering 31 08 Questions and AnswersConfidential 33 [email protected] 2020-01-16 15:19:57 +0000 STRICTLY CONFIDENTIAL Confidential [email protected] 2020-01-16 15:19:57 +0000 Introduction STRICTLY CONFIDENTIAL I. Introduction Today’s attendees Dan Rossetti Ashley Munroe David Stanton Michael Johansson Will MacDonald Director, OTPP Principal, OTPP ConfidentialManaging Director, OAIL Snr Operations Manager, Senior Vice President, CAI Macquarie Capital Over 10 years of experience Joined OTPP in 2015 and Over 25 years of global 35 years experience in the Over 10 years experience at at OTPP after joining in has over seven years of experience in aviation airline and airport industry Macquarie after joining in 2009, with a focus on global infrastructure strategy, finance and 2008, with a focus on transportation infrastructure investing and asset operations. Board Director Broad experience across transport and infrastructure. management [email protected] for Birmingham Airport, strategic airport projects, Led OTPP’s acquisition of London City Airport and including: Advised Sydney Airport the Chicago Skyway Worked on OTPP’s (SYD:ASX) in relation to Copenhagen Airport. Deputy — Capacity assessments acquisition of London City Chairman at Copenhagen numerous M&A and Sits on the boards of GCT Airport in 2016 2020-01-16 15:19:57 +0000and planning financing transactions. Global Container Terminals Airport, as well as Chairman Terminal operation and and Sydney Desalination Asset management of the Audit and Risk — Further airport financial Plant responsibility for GCT Global Committee development advisory experience in Container Terminals. relation to: BRU, CPH, MEL, Chairman of the Health & — Terminal operational Held asset management PER, ATH, OOL, DUS, responsibility between 2009- Safety Committee at London requirements City Airport. Previously a HAM. 2012 for OTPP’s investment — Project management into Bristol Airport Board Member of Bristol and Recent infrastructure Brussels Airports as well as Recent projects include: financial advisory High Speed 1 ASUR Masterplan, CUN T4 experience in relation to the Project Management, MDE Long Beach Container expansion planning Terminal and 407 ETR Toll Road STRICTLY CONFIDENTIAL PAGE 3 I. Introduction Gateway Airport Partners Gateway Airport Partners is a highly integrated team comprising a best-in-class airport investor, investment manager, operator and developer with unrivalled global experience OTPP have invested in airports since 2001 and understand — Airport operations and risks — Long term view is required through aviation industry cycles OAIL has significant expertise — Successfully managing airports — Working closely with local and national governments, management Confidential teams, partners and other stakeholders. — Actively ensuring achievable strategies are pursued across OTPP’s airport portfolio [email protected] CAI has consultancy expertise — Adding value to airports globally 2020-01-16 15:19:57 +0000 — Can draw on CPH - one of the most respected airports in the world in terms of efficiency, route development and retail We have all had experience working together across multiple airports (CPH, BRS, BRU, BRX, LCY) and will bring this experience to improve STL STRICTLY CONFIDENTIAL PAGE 4 I. Introduction Ontario Teachers’ Pension Plan (OTPP) OTPP is one of the world’s largest pension plan managers with net assets in excess of C$201.4 billion (~$150 billion) invested across a mix of equities, bonds, commodities, real estate, infrastructure and absolute return strategies Investment Strategy Who we ARE Typically up to C$1 billion, with the ability to go larger for the right Proven stewards of infrastructure critical to communities in Target Size opportunity which we operate Willing to partner or purchase up to 100% equity ownership Very experienced infrastructure investor with a long history Governance and oversight to protect value Governance — We have managed through market peaks and troughs Engagement with local communities and other stakeholders — We have learned from these experiences Patient Long-term to permanent We have supported assets with equity when required to Capital Immediate cash yield not required Confidential maximize long term value Partnership Seek partners that are aligned Our money comes from the teachers of Ontario Philosophy Local partners can be important in new geographies — Long term investment horizon consistent with our teachers’ long-term retirement obligations OTPP Asset Classes Diversity and Inclusion are core to our values [email protected] — Member of the 30% Club Canada REAL ASSETS ($50B) EQUITY ($65B) Public and private equities Real estate and Infrastructure Who we ARE NOT investments provide a hedge 2020-01-16aim to deliver long-term 15:19:57 +0000 against paying inflation- investment growth and value-added performance adjusted pensions We are not a short term closed end fund — We will partner with you for the long term INFLATION FIXED INCOME ($78B) SENSITIVE ($27B) Provides security and steady — We don’t have a 7-10 year investment horizon Contributes to both income, hedges against interest diversification and protection rate risks inherent in the plan’s — We don’t have maximum hold periods against unexpectedly high liabilities and stabilizes total There is no uncertainty as to where our money comes from inflation CREDIT ($15B) returns Corporate and emerging market — No politically sensitive LPs debt investments to capture a set of risk premiums — No headline risk STRICTLY CONFIDENTIAL PAGE 5 I. Introduction Ontario Airports Investments Limited (OAIL) Ontario Airports Investments Limited is OTPP’s dedicated airport asset management company Overview OAIL Management Approach In 2011 OTPP acquired OAIL as part of its acquisition of Brussels and Copenhagen Airports. OAIL is managed by highly experienced airport executives, with over 50 years combined Provide asset aviation experience Facilitate identification management services and sharing of best — OAIL is a wholly controlled subsidiary of OTPP on behalf of OTPP for practices across Airport investments, — Extensive experience working with management of OTPP’s Airport reporting to the OAIL international airports – active on Boards / sub committees and portfolio Board regular contact with management Confidential — Active participants / leaders on all strategic, financing, risk management and talent management activities Support and challenge business — Actively facilitate best practices sharing and benchmarking Monitor business strategy, finance, across portfolio companies, where sensible performance operations and risk OTPP has significant and long-standing [email protected] of investing in management the Airport Sector since 2001 decisions Since the initial airport investment, OTPP has owned2020-01-16 directly a 15:19:57 +0000 number of airports across the globe, including Birmingham, Bristol, Brussels, Copenhagen, Rome (via MAG), and Sydney Influence through Airports Frequent contact with all formal committees, Currently OTPP holds joint controlling or co-controlling stakes at stakeholders working groups and five airports: Birmingham, Bristol, London City, Brussels, and informal discussions Copenhagen airports STRICTLY CONFIDENTIAL PAGE 6 I. Introduction Copenhagen Airports International (CAI) Copenhagen Airports International provides world class expertise in airport development and operation Overview Select Projects CAI is an accomplished airport operator with industry-leading Project Description management level operating experience and expertise – ASUR is a Mexican airport group operating 9 airports in ASUR, Mexico CAI is a wholly owned subsidiary of Copenhagen Airports A/S (CPH) Mexico, 6 Airports in Colombia, and San Juan Airport in — OTPP retains a 30% equity stake in Copenhagen Airports A/S Puerto Rico. CAI had an Equity stake in ASUR from 1999 – 2010 Copenhagen Airport is the direct owner and operator of Copenhagen – Since 2010, CAI has provided ongoing management and Airport and Roskilde Airport in Denmark operational advisory services to ASUR — Extensive experience operating and managing facility New Istanbul – Since 2015, CAI has been the operating partner to IGA, the maintenance and repair Airport, Turkey Confidential consortium responsible for the construction and operation of — Service delivery via excellent airline and stakeholder co-operation the New Istanbul Airport (“IGA”) — Award-winning expertise in facilitating airport passenger growth – IGA commenced full operations in April 2019. CAI continues to provide operational and management support via route development and marketing, increased facility utilization and best-in-class passenger travel experience Global Operational and Advisory Assignments CAI Select Awards — Focused on long term engagements to assist [email protected] owners in the development and implementation of strategic plans since 1996 – Cancun, multiple winner of Best airport, — Demonstrated track record of entering into operating2020-01-16 contracts 15:19:57 +0000 Caribbean