Developments in the French market

7th FrenchConnect - Lourdes 23 June 2010

Ralph Anker Editor anna.aero [email protected] Overview of presentation ‘10

•What’s happened to European since last year? •Sizeof European LCCs • European ‘big5’ country markets • What’s happening in ? – Airport “growth” in 2009 – Domestic market developments – Country market trends 2010 v 2009 – New French short-haul routes • Conclusions

2 developments in Europe

• completes acquisition of Austrian, bmi, Airlines • and clickair merge to create ‘new’ Vueling • Aegean and Olympic merging to create ‘new’ Olympic • BA/Iberia merger to be approved shortly? • ‘New’ now growing (Air France/KLM have share) • Flyglobespan, MyAir.com and SkyEurope collapsed • Heathrow’s third runway plans axed: BA disappointed • LCCs, airBaltic and growing networks

3 LCCs still growing

pax up 13% to 65.3 million pax up 3% to 46.1 million pax up 43% to 10.8 million pax up 6% to 9.7 million pax up 39% to 8.2 million pax up 32% to 7.8 million pax down 6% to 7.2 million

Other LCCs: , bmibaby, Jet2.com Hybrid carriers: airberlin, Monarch, niki, Thomson, .com, TUIfly Regional carrier: Flybe 4 Air France still dominates France Source: Airline Weekly 7 June 2010 (derived from OAG data)

5 Comparison across Europe Versus Germany, , and UK (2009)

Country Airport pax % vly >1m* 2010 Q1 UK 221.3m -7.2% 21 -2.3%

Spain 187.4m -8.1% 25 +3.4% Germany 182.2m -4.6% 18 +4.2% France** 139.9m -3.9% 14 +1.0%*** Italy 130.1m -2.3% 23 +9.2%

* Number of airports with more than 1 million annual passengers ** Does not include Basle-Mulhouse *** Estimated from sample of busiest French airports reporting monthly data

Source: UK CAA, ADV, Aena, www.aeroport.fr, Assaeroporti

6 7 Largest French Airports

Airport Pax:09 % vly LCC:09 LCC% LCC “growth” 1 Nice 9.83m -5.3% 3.13m 32% -7.3% 2 Lyon 7.72m -2.6% 1.33m 17% +26.2% 3 7.29m +4.7% 1.82m 25% +49.8% 4 Toulouse 6.28m -1.1% 1.09m 17% +14.0% 5 Basel-Mulhouse 3.85m -9.6% 1.80m 47% -10.6% 6 Bordeaux 3.32m -6.7% 0.48m 14% -3.2% 7 Nantes 2.65m -3.0% 0.39m 15% -6.6% 8 Beauvais 2.59m +4.3% 2.59m 100% +4.3% 9 Montpellier 1.23m -2.5% 0.27m 22% +14.8% 10 Lille 1.15m +13.1% 0.22m 19% +383% Source: www.aeroport.fr

Paris CDG 57.91m -4.9% 4.63m 8% -8.1% Paris ORY 25.11m -4.2% 5.44m 22% +8.2%

8 9 10 11 New French short-haul routes Started operating between 1 April 2009 and 31 May 2010

Airport Routes Airlines 1 Paris CDG 17 Maroc, Air Malta, airBaltic, , Sterling, , easyJet, MyAir, Turkish Airlines, Vueling, 2 Paris Orly 15 easyJet, Norwegian, Pegasus, Transavia, Vueling 3= Basel-Mulhouse 14 Aigle Azur, DanubeWings, easyJet, Pegasus, Swiss 3= Paris Beauvais 14 , 5 Nice 11 Aer Lingus, Baboo, Blue Air, , germanwings, niki, Tarom, Ukraine International 6= Bordeaux 10 Air France, easyJet, , Ryanair 6= Lyon 10 , easyJet, Tarom, 8 Marseille 8 Air Arabia Maroc, Baboo, Ryanair, Pegasus, 9 Nantes 7 Air France, CityJet, Transavia, WindJet 10= Lille 6 Aigle Azur, Ryanair 10= Montpellier 6 Air Arabia Maroc, , Ryanair, Transavia 12 Bastia 5 easyJet, germanwings

12 New French short-haul routes Started operating between 1 April 2009 and 31 May 2010

• Total of 153 new short-haul routes involving 24 French airports and 37 airlines • Leading airlines: – Ryanair 37 new routes (32 last year); 3.0 weekly flights (3.3) – easyJet 33 new routes (28 last year); 5.1 weekly flights (6.4) – Transavia.com 9 new routes; 1.8 weekly flights • Leading country markets – UK 22 new routes (37 last year) – France 21 new routes (18 last year) – Italy 21 new routes (5 last year) – Spain 13 new routes (6 last year) – 8 new routes (7 last year)

13 Conclusions

• Flag-carriers are busy consolidating

• Many new routes from biggest LCCs are being launched at very low frequency (less than daily) often seasonally

• easyJet and Ryanair account for 45% of all new short- haul routes started in France in last 14 months – Venturing further into domestic routes

• Paris airports (BVA, CDG, ORY) account for only 30% of new short-haul routes (same as last year)

14 Thank you!

To keep in touch with all the latest European airline route network news and analysis sign up now for your FREE weekly e-newsletter at

www.anna.aero

If your competitors are reading it (and they are!) shouldn’t you see what they know that you don’t?

15 Thank you!

To stay in touch with all the latest European airline route network developments sign up now for your FREE weekly e-newsletter at www.anna.aero

16