ASIA PACIFIC REGION CIVIL Year End 2015 Beijing Seoul Penglai

Chengdu Shanghai

Shenzhen Hong Kong

Bangkok Manila

ABOUT ASIAN SKY GROUP ASIAN SKY GROUP (ASG), headquartered in Hong Kong with offices throughout Asia, has assembled the most experienced aviation team in the Asia-Pacific region to provide a wide range of independent services for both fixed and rotary-wing aircraft. ASG also provides access to a significant customer base around the world with the help of its exclusive partners.

ASG is backed by SEACOR Holdings Inc., a publically listed US company (NYSE: “CKH”) with over US$1 billion in revenue and US$3 billion in assets, and also by Avion Pacific Limited, a mainland -based general aviation service provider with over 20 years of experience and 6 offices and bases throughout China.

ASG provides its clients with four main business aviation services: 1. Sales & Acquisitions including Transactional Advisory 2. Market Research and Consulting including Special Projects 3. Operation Oversight including Completion Management, Audits, Invoice Review and Aircraft Appraisals, and 4. Luxury Charter Services.

The acclaimed Asian Sky Fleet Reports are produced by ASG’s Market Research and Consulting group. ASG has a growing portfolio of business aviation reports designed to provide valued information so that the reader can make better informed business decisions. Included in the portfolio are Asian Sky Asia-Pacific Fleet Reports for both Civil Helicopters and Business Jets, the Africa Business Jet Fleet Report and the all new industry leading Asian Sky Quarterly magazine.

CONTRIBUTION Asian Sky Group would like to acknowledge the gracious contributions made by numerous organisations, including aircraft operators, OEMs, aviation authorities and JETNET LLC in providing data for this report.

Should you wish to reproduce or distribute any portion of this report, in part or in full, you may do so by mentioning the source as: “Asian Sky Group, a Hong Kong based business aviation consulting group”.

Thank you for your interest in this report. We hope you will find the information useful. If you would like to receive further information about our other aviation reports and services, please contact us at [email protected] or visit us at www.asianskygroup.com. INTRODUCTION

Asian Sky Group (ASG) is pleased to present the 3rd edition of its Civil Fleet Report. Originally just covering the Greater China region, this edition covers the Asia Pacific region for the second time and now also includes the important Asia Pacific markets of , and New Zealand. ASG’s Fleet Reports provide the most comprehensive coverage and breakdown of the civil helicopter fleet in the Asia Pacific region and have established themselves as an indispensable source of valued information. For copies of ASG’s various industry reports, please visit at www.asianskygroup.com.

TABLE OF CONTENTS EXECUTIVE SUMMARY AND KEY FINDINGS…………………………………………………….4

OFFSHORE ACTIVITY………...………………...... ……………………...... …8 FLEET BREAKDOWN NORTHEAST ASIA GREATER CHINA……………………………………………...... 12 ……...... ………………………………………………...... 27 SOUTH KOREA ...... …………………………………………...... 36 CENTRAL ASIA INDIA...... …………………………………………...... 46 SOUTHEAST ASIA ...... …………………………………………...... 55 PHILIPPINES...... ……………………….....……...... 65 ...... ……...... ……...... 73 ..…………………...... ……...... 85 ..…………………...... ……...... 93 LAOS..…….……………...... ……...... 94 CAMBODIA………………...... ……...... 94 VIETNAM………………...... ……...... 95 BRUNEI………………...... ……...... 96 ………………...... ……...... 96 OCEANIA PAPUA NEW GUINEA...……...... ……...... 98 AUSTRALIA...... ……………...... ……...... 105 NEW ZEALAND...... ……...... ……...... 114

PRE-OWNED AIRCRAFT GLOBAL AVAILABILITY…………....…………...…...…...... 123 AIRCRAFT MODELS POSITIONING……………...………………………………………………124 SUPPORT INFRASTRUCTURE……...... ……...... ………...... …………………………...... 130

ASIA PACIFIC REGION CIVIL HELICOPTER FLEET REPORT – YEAR END 2015 1 6 6 Mongolia 782 762

694 576 212 216

South Korea +2%

China +20% Japan -3%

304 304 26 27 +4%

41 39 Taiwan -5% 20 20 30 30 Macau 1 1 Hong Kong 111 112 Laos 6 6

India 13 13 Thailand +1% Myanmar 28 29 27 27 Guam +4% Vietnam Cambodia -11% 9 8

10 10 6 6 Brunei

Singapore 1 1 199 2,094 114 2,028 185 105

Papua New Indonesia +8% Guinea +9%

Australia +3%

Note (1): Fleet distribution is based on helicopters in service and their active base of operation. Note (2): 2014 data for Australia, India, New Zealand and other Oceania Islands has been determined by deducting from 2015 fleet totals new and pre-owned deliveries including any aircraft that are known to have left a country but remained in the Asia Pacific region. Note (3): Other Islands include , Micronesia, Northern Mariana Islands, Palau and Solomon Islands.

2 ASIA PACIFIC REGION CIVIL HELICOPTER FLEET REPORT – YEAR END 2015 ASIA PACIFIC REGION – CIVIL HELICOPTERS

2014 2015 5,758 6,015 +4.5%

7 7 Other Islands3

200 186

Philippines +8% 169 165

Malaysia -2%

French Polynesia 7 7 47 47 Vanuatu 8 10 Fiji +25%

20 20 New Caledonia 841 788

New Zealand +7%

ASIA PACIFIC REGION CIVIL HELICOPTER FLEET REPORT – YEAR END 2015 3 EXECUTIVE SUMMARY At the end of 2015, the Asia Pacific civil helicopter fleet numbered 6,015 helicopters in active service, an increase of 4.5% over year end 2014.

As with 2014, the growth leader in percentage and number of units was China, with 20% growth and 118 helicopters added by year end 2015. This, however, represented a slowdown compared with 2014, when growth was 31% and 135 helicopters were added. Overall, of the 34 markets analyzed in this report, only a third experienced growth in 2015, with the other two- thirds either contracting or remaining stagnant.

The Asia Pacific region is currently dominated by 4 countries and 3 manufacturers: with 73% of the helicopter fleet based in Australia, New Zealand, Japan and China, and 78% of those units being either a Robinson, Airbus Helicopters or Bell Helicopter.

In terms of Replacement Cost, the “big four” OEMs (Airbus Helicopters, Bell Helicopter, Sikorsky and AgustaWestland) make up nearly 90% of the market, with Airbus Helicopters leading at 46% and the other three combining for 42%.

Australia represents the largest market overall and is the largest market for Robinson and Bell Helicopter. In terms of unit numbers, New Zealand is next, and is the largest market for MD Helicopters. These are followed by Japan, which is the largest market for AgustaWestland and Airbus Helicopters, and finally China, the fastest growing market overall and the largest for Sikorsky.

In terms of units, approximately 45% of the Asia Pacific fleet operates in a multi-mission role, followed by corporate or private missions at 28%, and offshore operations at 6%; though in terms of Replacement Cost, offshore operations make up approximately 20% of the market. KEY FINDINGS Offshore Activity: The downturn in oil prices significantly impacted the Asia Pacific region in 2015. In previous years, offshore oil and gas service providers were one of the main growth drivers for the region, however in 2015 there was limited to zero growth, and overall utilisation of the existing offshore fleet came down significantly, with nearly a third of the existing fleet likely idle or preparing for another mission role at year end.

Greater China: Growth slowed in 2015 due a number of factors including the overall economic environment, expected currency depreciation, the downturn in oil and gas activity, negative sentiment resulting from certain government actions, and airspace taking longer to open up than previously anticipated. China will continue to see growth in the number of helicopters delivered during 2016 however, but at a much more moderate pace compared to prior years.

Japan: The Japanese fleet contracted 3% in 2015, with only Sikorsky and AgustaWestland showing increases. This occurred due to greater numbers of older piston, single engine and medium size helicopters either being retired or replaced by fewer but newer helicopter models like the S-76D and AW139. The net decrease was 20 helicopters, though the overall market size grew in terms of Replacement Cost.

South Korea: Despite its advanced aviation industry, there has been only moderate growth in the Korean fleet over the past few years, with 2015 being no exception at just 2%. The largest portion of the fleet is used in a multi-mission role, with 50% used in firefighting operations and being primarily Kamov and Mil helicopters.

India: India saw limited growth in 2015 compared to expectations, but new regulations from the DGAC aimed specifically at the helicopter market could spur growth in 2016. The Indian helicopter market is also sensitive to the oil and gas business, which will continue to impact fleet growth and utilisation.

Thailand: The net increase of only 1 helicopter in 2015 was predominantly the result of importation restrictions on helicopters older than 5 years, while the oil and gas market and political factors also contributed to slower growth.

Philippines: Growth in 2015 was a healthy 8% with 14 net helicopters added, which mostly consisted of single and piston categories operated by individuals or corporations. Elections in May 2016 will play a significant factor in the country’s helicopter market, as will overall economic conditions.

4 ASIA PACIFIC REGION CIVIL HELICOPTER FLEET REPORT – YEAR END 2015 Malaysia: The fleet contracted slightly in 2015, which was expected given that nearly a third of the total fleet is configured for offshore oil and gas support. Malaysian offshore operators faced significant challenges during the later part 2015, and will likely attempt to move into other missions or other countries in 2016.

Indonesia: Growth in 2015 was almost 8% with 14 net helicopters added to the fleet. However, new regulations restricting in-service helicopters to under 30 years of age and restricting new imported helicopters to under 5 years of age, combined with the downturn in offshore oil and gas, may cause growth in the fleet to stagnate in 2016.

Australia: The fleet grew at just a modest 3% in 2015, but is not expected to grow further in 2016 due to the negative impact of a significantly weakened Australian dollar, the rapid decrease in mineral exports and the downturn in oil and gas prices. The country has a staggering 1,017 operators, including many individuals and corporations, with an average of 2 helicopters per operator (one of which on average is a Robinson), and many of them are very sensitive to changes in the economic conditions and currency movements.

New Zealand: Growth was a healthy 7% in 2015, with a net 53 helicopters added to the market. Pre-owned helicopters made up 81% of the additions which is characteristic of the New Zealand market. New Zealand has the largest fleet of MD helicopters in Asia Pacific, most of which are utilised for multi-mission operations.

Papua New Guinea: The fleet grew 9% in 2015. A typical PNG helicopter can be characterised as pre-owned, aging, and a single-engine turbine from either Bell Helicopter or Airbus Helicopters, and engaged in multi-mission applications. However this profile may begin to change in 2016, with several new helicopters already set to deliver. Asia Pacific Fleet Breakdown by Size & Replacement Cost Total Fleet Replacement Cost (USD) 1,882 Robinson 572 1,599 Airbus Helicopters 9,424 1,195 Bell Helicopter 3,578 303 AgustaWestland 2,412 248 MD 369 206 Sikorsky 2,762 182 Schweizer 66 90 Amateur-Built Aircraft 19 67 Enstrom 38 67 Kamov 348 62 Mil 501 29 Guimbal 12 23 HAL 223 15 Avicopter 26 10 Harbin 110 7 Boeing Rotocraft 124 4 Brantly 1 3 Kaman 9 2 KAI 34 21 Others2 19 Total Fleet 6,015 $20,647M Note (1): Replacement Cost is used to determine the overall dollar value of the civil helicopter fleet. The cost values are based on 2015 OEM list prices for new aircraft models, and 2015 Conklin & de Decker pre-owned prices for equivalent models with the same mission configuration. In some cases, an estimate was used, particularly with regard to aircraft models no longer in production. Note (2): Others include Aérospatiale Gazelle, Fairchild Hiller, Hiller Aircraft and VTOL.

ASIA PACIFIC REGION CIVIL HELICOPTER FLEET REPORT – YEAR END 2015 5 Fleet Breakdown by OEM & Country 6,015 in Total

2,094

841 762 694

304 216 200 199 165 114 112 47 39 31 New India China Japan Papua Macau Taiwan Zealand Vanuatu Thailand Australia Malaysia Indonesia Philippines New Guinea New South Korea 100+44+38+35+16+11+10+10+8+6+6+2+2+1 & Hong Kong AgustaWestland 48 9 87 35 38 15 14 7 33 8 6 1 2 303 5% Airbus Helicopters 298 222 340 151 120 55 84 72 83 34 34 3 13 9 15 18 2 8 5 7 2 8 6 5 2 1 2 1,599 27% Amateur-Built 90 90 1% Aircraft Avicopter 15 15 - Bell Helicopter 447 100 130 91 88 44 43 74 19 70 52 19 1 3 8 2 1 2 1 1,195 20% Boeing Rotocraft 4 3 7 - Enstrom 18 2 20 2 3 2 18 1 1 67 1% Guimbal 4 21 2 2 29 - HAL 21 2 23 - Harbin 10 10 - Hiller Aircraft 7 7 1 15 - Kamov 1 12 51 3 67 1% MD 27 105 15 4 4 8 9 4 40 5 27 248 4% Mil 1 11 5 9 3 4 5 10 5 4 1 4 62 1% Robinson 1,061 308 149 233 17 4 45 2 15 5 4 2 11 1 10 9 2 2 1 1 1,882 31% Schweizer 56 59 4 56 4 2 1 182 3% Sikorsky 35 4 31 52 5 24 1 16 11 1 13 2 7 4 206 3% Others2 3 5 3 2 2 15 - Total 2,094 841 762 694 304 216 200 199 165 114 112 47 39 31 29 27 27 20 20 13 10 10 8 7 6 6 6 1 7 6,015 % of Total 34% 14% 13% 12% 5% 4% 3% 3% 3% 2% 2% 1% 1% 1% ------Note (1): Please refer to Page 129 for Multi-Mission descriptions. Note (2): Others include Aérospatiale Gazelle, KAI, Kaman and VTOL.

6 ASIA PACIFIC REGION CIVIL HELICOPTER FLEET REPORT – YEAR END 2015 Fleet Breakdown by Mission

EMS 190 (3%) Multi-Mission1 2,684 (45%) Charter 210 (3%) SAR 262 (4%)

Law Enforcement 294 (5%)

Offshore Operations 356 (6%)

Flight Training 374 (6%) Private 704 (12%) 45+Corporate16+12+6+5+4+3+3+G 941 (16%) 29 27 27 20 20 13 10 10 8 7 6 6 6 1 7 Fiji New Laos Other Nepal Guam Brunei French French Islands Vietnam Mongolia Myanmar Sri Lanka Polynesia Caledonia Singapore Cambodia

Bangladesh % of 1+1+1+1+1+1+1+1+1+1+1+1+1+1+1 Total Total AgustaWestland 48 9 87 35 38 15 14 7 33 8 6 1 2 303 5% Airbus Helicopters 298 222 340 151 120 55 84 72 83 34 34 3 13 9 15 18 2 8 5 7 2 8 6 5 2 1 2 1,599 27% Amateur-Built 90 90 1% Aircraft Avicopter 15 15 - Bell Helicopter 447 100 130 91 88 44 43 74 19 70 52 19 1 3 8 2 1 2 1 1,195 20% Boeing Rotocraft 4 3 7 - Enstrom 18 2 20 2 3 2 18 1 1 67 1% Guimbal 4 21 2 2 29 - HAL 21 2 23 - Harbin 10 10 - Hiller Aircraft 7 7 1 15 - Kamov 1 12 51 3 67 1% MD 27 105 15 4 4 8 9 4 40 5 27 248 4% Mil 1 11 5 9 3 4 5 10 5 4 1 4 62 1% Robinson 1,061 308 149 233 17 4 45 2 15 5 4 2 11 1 10 9 2 2 1 1 1,882 31% Schweizer 56 59 4 56 4 2 1 182 3% Sikorsky 35 4 31 52 5 24 1 16 11 1 13 2 7 4 206 3% Others2 3 5 3 2 2 15 - Total 2,094 841 762 694 304 216 200 199 165 114 112 47 39 31 29 27 27 20 20 13 10 10 8 7 6 6 6 1 7 6,015 % of Total 34% 14% 13% 12% 5% 4% 3% 3% 3% 2% 2% 1% 1% 1% ------

ASIA PACIFIC REGION CIVIL HELICOPTER FLEET REPORT – YEAR END 2015 7 OFFSHORE ACTIVITY

At year-end 2015, helicopters used for offshore oil and gas support in the Asia Pacific region numbered 356 out of a total of 6,015 (unchanged from 2014), and making up 6% of total fleet by numbers but 20% in terms of Replacement Cost. When excluding the Oceania fleet of nearly 3,000, the number of offshore-configured helicopters represent more than 10% of the total Asia Pacific fleet. In Southeast Asia alone, the offshore-configured fleet represents over 15% of the fleet by numbers and 40% by Replacement Cost.

This report provides a statistical snapshot of the current offshore support helicopter fleet, however, and does not necessarily capture the true difficulties currently faced by operators, OEMs, leasing companies, investors, service providers and the oil and gas producers themselves.

As with other regions around the world, the global downturn in the oil and gas industry is also impacting the Asia Pacific region significantly. Between 2012 and 2014 one of the main growth drivers for the Asia Pacific fleet was helicopter deliveries to offshore oil and gas service providers and operators. However towards the end of 2015, OGP helicopter utilisation decreased significantly, a trend that will impact growth severely in the short term.

Capital spending on exploration and production in Asia Pacific is expected to be down 20% in 2016, following an already reduced spending rate in 2015. This reduction reflects lower capital expenditures from several projects reaching completion in 2015, while anticipated new projects are deferred across the region and primarily in Indonesia, Malaysia, Myanmar, India, China and Australia.

Major oil and gas producers in Asia Pacific have been gradually downsizing their operations, cancelling new exploration and drilling plans, in some extreme cases suspending or shutting down existing projects all together, and reducing their workforces considerably.

Oil and gas drilling rig utilisation worldwide is down to 70% compared to a 95% several years ago, with the Asia Pacific offshore rig market reflecting similar trends. This triggers serious concerns across the helicopter industry with stakeholders now trying to predict how deep this decline will be and how it will impact their clients, contracts and future demand for services.

Offshore helicopter operators have been severely impacted by this downturn as many of the helicopters ordered over the last year or two – sometimes speculatively – were expected to support the industry’s continued growth and development. Utilisation levels throughout the Asia Pacific region in 2015 varied significantly; while in some protected countries, offshore activity was lightly affected, in other large oil and gas producing countries there was a severe decline, with even the more protected and resilient markets now expected to show increasing signs of stress in 2016.

It is important to note that the number of aircraft in the fleet listed in this report does not reflect actual offshore activity, as the true number of helicopters servicing contracts today is considerably lower in many of the countries covered in this report. In certain cases over a third of the offshore fleet is hangared and not flying, or have been redirected toward other missions.

The number of heavy and medium helicopters on the ground has increased significantly this year as operators have been forced to adjust to the new market conditions and realities. Just a few years ago, operators were not only looking to replace their ageing helicopters, but also were seeking to transit longer distances, requiring more resilient helicopters with greater endurance and payload from the offshore industry. This was before oil prices plummeted to where they were at year-end 2015.

Operator difficulties have been compounded by the global nature of the down turn and the oversupply of helicopters in most markets, limiting their opportunities to sell aircraft or find work for these helicopters in other markets. Helicopter values have consequently come under tremendous pressure.

In the Asia Pacific market, the changing nature of helicopter age regulations is also impacting demand. In countries with strict age related importation restrictions such as China, Thailand, Myanmar and recently Indonesia, older aircraft that are already in-country may become more valuable locally and may find continued employment. While in countries where oil companies have imposed strict age limits on the helicopters they are willing to contract, such as India, certain pre-owned helicopters become less appealing locally once they become too old for offshore oil and gas operations.

8 ASIA PACIFIC REGION CIVIL HELICOPTER FLEET REPORT – YEAR END 2015 OFFSHORE ACTIVITY

Much like some of the large energy companies capable of keeping production levels even if oil prices continue to go further down, helicopter operators who are either large enough or involved in other activities might have the strength to wait-out or overcome the downturn. But smaller operators who have been relying solely on oil and gas contracts are facing more difficult times and are not positioned as well as others to prosper in a low oil price environment.

As a response to these difficulties, some Asia Pacific offshore operators are gravitating towards other missions such as EMS, SAR, firefighting and even corporate transport, while others have no choice but to wait for oil and gas prices to rebound. There are some niche applications across non-traditional markets that may be undertaken by helicopters configured for offshore transport, but at a certain cost and risk, and operators are as a result forced to take a more cautious approach.

Despite the slump in spending and operations, several projects in the region are still set to see investments and many existing projects will at least continue production for the foreseeable future. This will enable the operators relying on those contracts to remain active throughout the downturn.

These are challenging times no doubt, and there are likely to be more difficult times ahead in 2016. While it is too early to predict any kind of meaningful recovery, we expect this downturn to eventually give way to recovery, and ultimately the oversupply in the market should work its way through the system and toward a more balanced state. From a historical perspective, and while downside risks remain, Asian Sky Group expects the demand for energy and natural resources will continue to grow on a global basis over time. Increasing global demand requires increasing global production, and when an eventual recovery does take place, we expect the Asia Pacific region to continue its vital role in that production.

70 68 2014 2015 356 356

3 South Korea 2 1 1 Japan 48 47 China

India 9 9 Myanmar 16 15 21 21 Vietnam Thailand

50 47 5 5 Philippines

5 5 Malaysia Brunei

31 26

6 6 Indonesia Papua New Guinea

80 81

Australia

17 17 New Zealand

ASIA PACIFIC REGION CIVIL HELICOPTER FLEET REPORT – YEAR END 2015 9 OFFSHORE ACTIVITY Asia Pacific Offshore Fleets – Breakdown by Operator (2 or more helicopters) 294 in Total

Citic Offshore Helicopter 37

Bristow Helicopters Australia 28

Weststar Aviation 26

China Southern Helicopters 22

Lloyd Helicopters 18

Pawan Hans Helicopters 18

MHS Aviation 16

Vietnam Helicopter 15

Global Vectra Helicorp 13

Travira Air 13

HNZ Global 10

Pelita Air Service 10

Thai Aviation Services 10

CHC Helicopters (Australia) 9

China Eastern GA 9

Heligo Charters 8

Awan Inspirasi 7

Bond Helicopters Australia 7

Esso Australia Resources 6

Hevilift 6

SFS Aviation 6

Brunei Shell Petroleum 5

Heli-Union 5

INAEC Aviation 5

Pacific Helicopters 5

United Offshore Aviation 5

Heli Korea 3

Helicopter Resources 3

McDermott Aviation 3

United Helicharters 3

FI Helicopters 2

Gulf Helicopters 2

Heli Niugini 2

Jayrow Helicopters 2

Reliance Industries 2

10 ASIA PACIFIC REGION CIVILCIVIL HELICOPTERHELICOPTER FLEET FLEET REPORT REPORT – – YEAR YEAR END END 2015 2015 ASIA PACIFIC REGION CIVIL HELICOPTER FLEET REPORT – YEAR END 2015 11 NORTHEAST ASIA

GREATER CHINA As seen in previous years, the Greater China civil helicopter fleet continued to grow strongly in 2015, leading the Asia Pacific region. Greater China grew at 17.9% in 2015, increasing from 648 helicopters in total to 764. All of this growth occurred in the China market itself as Taiwan contracted and Hong Kong remained flat. 694

576 2013 2014 2015 441

40 41 39 30 31 31

China Taiwan Hong Kong & Macau Note: 2014 fleet growth figures in Greater China are based on Asian Sky Group’s adjusted numbers for 2013

Growth in 2015 was slower however dropping from 2014’s 26.8%. Growth is being impacted by a number of major factors – some unique to China, and some the same world over. China’s economic growth is at its lowest in 25 years with its big state-owned helicopter operators being significantly impacted by the oil and gas crisis around the world. Buying sentiment is also being negatively impacted by government policy and the regulatory environment and airspace are taking longer to relax, discouraging new entrants.

Despite the drawbacks, the advantage the China market has is its ability to absorb these specific shocks due to the very diverse nature of the missions the fleet is performing. For instance, offshore operations only represent 9% of the fleet, corporate and private just 3%, whereas multi-mission represents 58%. Flight Training, SAR and Law Enforcement are all growing year to year. Consequently, Asian Sky Group expects growth to continue in 2016, though similar to 2015, the growth is expected to be moderated and in the area of 10%, with the prospect of even dipping into the single-digit category.

Almost 70% of the Greater China fleet is represented by 3 manufacturers: Robinson 32%, Airbus Helicopters 23% and Bell Helicopter 14%, which overall is in line with the Asia Pacific region as a whole. The Robinson fleet in Greater China grew the most in 2015 (29%), followed by Sikorsky (26%), and then Airbus Helicopters (17%). By size category, the single-engine category grew the highest at 25%, followed by pistons at 19%. Given all of these indicators, it is not too surprising then to find the fleet of helicopters engaged in multi-mission applications grew the highest at 24%. Most other missions grew at only around 10%. Looking at turbine helicopters only, the most popular types in Greater China are the AS350, followed by the /407 and then the Sikorsky S-76 family.

Examining the net fleet additions in 2015, the Greater China market added 116 new helicopters and 21 pre-owned helicopters, but the market also saw 26 helicopters leave this region. It is significant to note the slow emergence of a pre- owned market, representing just 15% of the additions in 2015. By model type, the biggest net gainers were the R44, AS350 and the , with decreases, also coming from Bell 206s, R22s and Schweizer 300s for instance.

The two biggest operators are China National Police (CNP) and CITIC Offshore Helicopters (COHC) – both with a fleet of 57 helicopters, representing 23% of the total turbine fleet. Whereas CNP has a very diverse fleet from across the spectrum of helicopter manufacturers, COHC is predominately an Airbus Helicopters operator focused on medium to heavy helicopters – AS332s, EC155s, EC225s, Kamov KA-32s and the Sikorsky S-92s.

12 ASIA PACIFIC REGION CIVIL HELICOPTER FLEET REPORT – YEAR END 2015 GREATER CHINA

764 in Total Heilongjiang 36

Jilin 3

Liaoning Xinjiang Beijing 9 8 Inner Mongolia 99 5 Tianjin 17 Hebei 21 Shandong Qinghai Shanxi 32 2 Gansu 2 2 Henan Jiangsu Shaanxi 42 13 24 Anhui Shanghai 6 Sichuan Hubei 51 Chongqing 31 51 22 Zhejiang Hunan Jiangxi 16 2 Guizhou 12 Fujian 5 7 Yunnan Guangdong Taiwan 19 Guangxi 132 39 9 Hong Kong Macau 30 1

Hainan 16

Fleet Growth Civil Helicopters in Greater China 900 840

800 764 +10.0% 700 648 +17.9% 600 511 +26.8% 500 419 +22.0% 400 357 302 +17.4% 260 300 +18.2% +16.2% 200

100

0

2009 2010 2011 2012 2013 2014 2015 2016 EST

Note: 2014 fleet growth figures in Greater China are based on Asian Sky Group’s adjusted and updated 2013 numbers.

ASIA PACIFIC REGION CIVIL HELICOPTER FLEET REPORT – YEAR END 2015 13 14 GREATER CHINA Net Fleet Growth by OEM

246 2013 (511) 2014 (648) 191 2015 (764) 173 148 131 122 105110 89

505856 54 41 3943 3236 1115 1420 161111 2 3 3 3 2 2 2 7 2 2 1010 10 2 712 6 7 9 Mil MD Harbin Kamov Brantly Sikorsky Enstrom Guimbal Avicopter Robinson Schweizer Bell Helicopter Bell AgustaWestland Boeing Rotocraft Boeing Airbus Helicopters Airbus

Net Fleet Growth by Mission

446

360 2013 (511) 2014 (648) 254 2015 (764)

73 79 73 70 51 68 48 50 57 46 53 45 23 29 18 7 12 14 10 8 11 5 6 7 SAR EMS Private Charter Corporate Multi-Mission Flight Training Law Enforcement Enforcement Law Offshore Operations

Net Fleet Growth by Size Category

301

252 2013 (511) 219 2014 (648) 173 175 150 2015 (764) 126 131131

54 34 42 40 47 48 Heavy Single Piston Medium Light Twin

ASIA PACIFIC REGION CIVIL HELICOPTER FLEET REPORT – YEAR END 2015 15 GREATER CHINA Breakdown by Size Category Breakdown by Mission 764 in Total 764 in Total

Heavy 54 (7%) Light Twin 40 (5%) Charter 29 (4%) Corporate 14 (2%) SAR 53 (7%) Private 11 (1%) Law EMS 7 (1%) Enforcement Medium 150 (20%) Piston 301 (39%) 57 (8%)

Offshore Operations 68 (9%) Turbine Multi-Mission 61% 58% Flight Training 79 (10%)

Single 219 (29%) 58+Multi-Mission10+7+4+2+1+1+G 446 (58%)

Breakdown by OEM Fleet Size Replacement Cost (USD)

Mil 11 (2%) Harbin 10 (1%)

Kamov 12 (2%) MD 9 (1%) Schweizer (1%) Avicopter (1%)

Avicopter 15 (2%) Others 7 (1%) Kamov (2%) MD (1%)

Enstrom 20 (3%) Robinson (3%) Others (2%) Harbin (3%)

AugustaWestland Robisnon Airbus Helicopters 41 (5%) 246 (32%) Mil (4%) (41%)

Sikorsky 54 (7%) Westland (9%) Schweizer 56 (7%) 764 $3,102M Bell Helicopter Bell Helicopter (9%) 110 (14%) Airbus Helicopters Sikorsky 173 (23%) (24%)

Note: The market share of Enstrom’s replacement cost is less than 1%.

16 ASIA PACIFIC REGION CIVIL HELICOPTER FLEET REPORT – YEAR END 2015 GREATER CHINA Breakdown by Mission OEM Market share – Mainland China 764 in Total Mil 11 (2%) Harbin 10 (1%) Kamov 12 (2%) Others 8 (1%)

Avicopter 15 (2%)

Enstrom 20 (3%)

AgustaWestland 35 (5%)

Sikorsky 52 (7%) Robinson 233 (34%)

Schweizer 56 (8%) 694

Bell Helicopter 91 (13%) Airbus Helicopters 151 (22%)

OEM Market Share – Hong Kong and Macau

MD 5 (16%) Robinson 11 (36%)

31 AugustaWestland 6 (19%)

Airbus Helicopters 9 (29%)

OEM Market Share – Taiwan 36+29+19+16+G

Robinson 2 (5%)

Sikorsky 2 (5%)

Boeing Rotocraft 3 (8%) Bell Helicopter 19 (49%)

39

Airbus Helicopters 13 (33%) 32+85G ASIA PACIFIC REGION CIVIL HELICOPTER FLEET REPORT – YEAR50+ END 2015 17 GREATER CHINA Breakdown by Helicopter Model – Turbine Only 463 in Total 19+14+6+2 + AgustaWestland AW139 19 41 (9%) AW109 14 AW119 6 SW-4 2 0+ 60+23+21+20+15+15+6+5+4+3+1 +

Airbus Helicopters AS350 60 173 (37%) EC155 23 EC135 21 EC120 20 AS365 15 EC225 15 AS332L1 6 EC130 5 AS332L2 4 BK117 3 AS332L 1 0+ 13+1+1 +0+ 40+39+16+11+3+1 3

Avicopter 15 (3%) AC311 13 AC312 1 AC301 1

Bell Helicopter Bell 206 40 110 (24%) Bell 407 39 Bell 205 16 Bell 429 11 3 Bell 427 1

BV234 3 Boeing Rotocraft 3 (1%) +0+ 15

EN480 Enstrom 15 (3%) +0+ 7+3 + 15

Harbin 10 (2%) Z-9 7 Z-11 3 0+ 12

KA-32

+ 12 Kamov 12 (3%) 0+ 4+2+2+1 +0+ 8+3 +

MD 9 (2%) MD 900 4 MD 520 2 MD 500 2 MD 600 1

Mil 11 (2%) Mi-8 8 Mi-26 3 0+ 9

R66 9

(2%) + Robinson 9 0+ 1

1

S-333 + Schweizer 1 0+ 17+14+7+6+5+2+1

Sikorsky 54 (12%) S-76C++ 17 S-92 14 S-76D 9 S-76C+ 6 S-76A 5 S-76B 2 S-76A++ 1

18 ASIA PACIFIC REGION CIVIL HELICOPTER FLEET REPORT – YEAR END 2015 GREATER CHINA Breakdown by Operator Top 62 – Out of 178 Operators (3 or more helicopters) 19+14+6+2 + 57+57+31+22+22+21+21+20+17+14+14+14+13+12+11+10+10+10+9+9+8+8+7+7+7+7+7+6+6+5+5+5 +5+5+5+5+5+5+5+ 5 China National Police 57 Citic offshore Helicopter 57

0+ 60+23+21+20+15+15+6+5+4+3+1 + Taiwan NASC 31 China Flying Dragon 22 China Southern Helicopters 22 Beijing Reignwood GA 21 State Grid 21 Ministry of Transport 20 Sichuan Xilin Fengteng 17 China Eastern GA 14 Suilian Helicopter 0+ 13+1+1 +0+ 40+39+16+11+3+1 3 14 Hubei Tongcheng GA 14 Beijing Capital Helicopter 13 Hainan Sanya Yalong GA 12 Tianjin Top GA 11 Civil Aviation Academy 10 Shanghai Kingwing 10 4+4+4+4+4+4+4+3+3+3+3+3+3+3+3+3+3+3+3+3+3+3+3 Tuofeng GA 10 Hainan Aviation Academy 4 Chongqing GA 9 Heliservices 4 Ju Xiang GA 4

+0+ 15 Henan Yongxiang GA 9 NUAA Academy 4 Henan Guan Chen GA 8 +0+ 7+3 + Qiqihar KunFeng GA 4 Shanghai Heli 8 Ruoer GA 4 Anyang Aero 7

0+ 12 Shandong Qixiang 4 Beijing Tian Xin Ai GA 7 Baiyangdian General Aviation 3 + 0+ 4+2+2+1 +0+ 8+3 + Government Flying Service 7 Chongqing Shenlong GAC 3 Guangdong Bai Yun GA 7 Elm GA 3 Shanghai Skyway 7 Emerald Pacific 3 Beidahuang GA 6 Guangxi UUG 3 Tangshan Lianwang 6 Hebei Xiang Hua GA 3 GaoXiang Shandong GA 5

0+ 9 Henan Da Di 3 Hong Kong Aviation Club 5 Huayu GA 3 + 0+ 1 Hubei Yinyan GA 5 Hubei Tuncang GA 3 Qingdao Helicopter + 0+ 17+14+7+6+5+2+1 5 Hunan Hengyang GA 3 Shandong GA 5 Hunan Xiangwei GA 3 Sky Shuttle Helicopters 5 Sichuan Luozhengtong GA 3 Wuhan Helicopter 5 Sichuan Xihua GA 3 Yunnan FengXiang 5 Tianjin Tianhang 3 Zhejiang Huayi GA 5 Xinjiang Kaiyuan GA 3 Zhongshan Eagle GA 5 Yunnan Hexie 3

ASIA PACIFIC REGION CIVIL HELICOPTER FLEET REPORT – YEAR END 2015 19 GREATER CHINA Top Operator Fleets by Model – Greater China

57 57

31 22 22 21 21 57+57+31+22+22+21+21+18+17+14+14+1420 17 14 14 14 China Hubei Police Beijing Dragon Fengteng Transport State Grid State Helicopter Ministry of Eastern GA Eastern Helicopters Guangzhou China Flying Sichuan XilinSichuan Taiwan NASC Taiwan Citic Offshore Tongcheng GA Tongcheng Reignwood GA Reignwood China National China Southern Sulian Helicopter Sulian

Total AW109 7 2 9 AgustaWestland AW119 2 2 AW139 7 1 8 AS350 3 7 7 1 7 25 EC155 3 15 18 EC225 1 9 1 4 15 EC135 6 1 1 8 Airbus AS332L 1 1 Helicopters AS332L1 6 6 AS332L2 1 1 AS365 4 10 1 15 EC120 2 1 1 1 5 AC301 1 1 Avicopter AC311 4 4 AC312 1 1 Bell 205 16 16 Bell 206 3 1 6 3 13 Bell Bell 212 1 2 3 Helicopter Bell 407 9 4 1 14 Bell 429 3 2 5 Boeing Rotocraft BV234 3 3 Enstrom EN480 3 3 Z-11 2 1 3 Harbin Z-9 3 2 2 7 Kamov KA-32 2 8 10 Mil Mi-26 2 2 R22 3 2 4 9 Robinson R44 6 5 5 4 3 23 R66 1 2 3 Schweizer S-300 1 8 7 3 2 4 25 S-76A 4 1 5 S-76A++ 1 1 S-76B 2 2 Sikorsky S-76C+ 2 4 6 S-76C++ 7 4 6 17 S-76D 8 8 S-92 3 9 1 13 Total 57 57 31 22 22 21 21 20 17 14 14 14 310

20 ASIA PACIFIC REGION CIVIL HELICOPTER FLEET REPORT – YEAR END 2015 GREATER CHINA Fleet Breakdown by Mission & OEM – Greater China 446

79 68 57 53 29 14 11 7 SAR

100+27+25+23+21+16+13+12+11EMS Private Charter Offshore Operations Coroporate Multi-Mission Flight Training Law Enforcement Law

Total AgustaWestland 11 2 16 11 1 41 Airbus Helicopters 95 1 31 12 23 4 2 5 173 Avicopter 9 6 15 Bell Helicopter 75 4 4 12 10 2 3 110 Boeing Rotocraft 1 2 3 Brantly 2 2 Enstrom 13 4 3 20 Guimbal 2 2 Harbin 6 1 3 10 Kamov 10 2 12 MD 7 1 1 9 Mil 11 11 Robinson 170 47 10 3 8 8 246 Schweizer 34 20 1 1 56 Sikorsky 2 34 16 2 54 Total 446 79 68 57 53 29 14 11 7 764

Total Fleet Age Distribution 764 in Total 120

100

80

60

40

20

0 1974 1971 1976 1977 1970 1972 1973 1975 1978 1979 1997 2010 2014 2011 2007 1991 1987 1981 2015 2013 2001 2012 1994 1980 1982 1983 1985 1986 1988 1989 1990 1992 1993 1995 1996 1998 1999 1984 2000 2002 2003 2004 2005 2006 2008 2009

Year of Manufacture

ASIA PACIFIC REGION CIVIL HELICOPTER FLEET REPORT – YEAR END 2015 21 Si Rui, General Manager Department of Strategic Planning

Eastern General Aviation (EGAC), a subsidiary of China Eastern with international oil and gas suppliers, and integrating their Airlines was developed from China General Aviation, which in systems knowledge and concepts into its own safety culture. turn was developed from the No. 1 Civil Aviation Flying Corps, established in 1952. The company’s mission is to develop “Zhuhai Helicopter and COHC compete with each other, and China’s general aviation business. each has subsequently carved out its own market share in the South China Sea. If EGAC were to enter the fray, it would mean Since 1998, EGAC’s scale and footprint has changed after a greater stress and risks. From the viewpoint of the customers, series of reforms and adjustments in the market. Currently, the the goal is to achieve a competitive balance in offshore oil company is focused on offshore oil and gas exploration, and and gas supplies. Alternately, customers do not want to see an anticipated expansion of its aircraft management business. a monopoly in this market so, while keeping a healthy level of Although the company offers some land-based services, EGAC sufficient competition, the three companies pursue excellence focuses mainly on offshore operations, located mostly in the in our respective competitive advantages. The present Bohai Sea area, with bases in Tianjin and Shandong. With competitive environment enables us to avoid price wars. more than thirty years of experience, the company is confident Compared with Zhuhai Helicopter and COHC, we do not have an that it fully meets its customer’s requirements, especially advantage in scale, but we can continue to pursue excellence with its offshore oil & gas services and risk management in our own market segments,” says Si. capabilities. When asked about their heritage and operational culture, Si “Although the Bohai Sea area has relatively low oil and gas remarked that in 1999 EGAC recruited experienced foreign production compared to the South China Sea, our operational captains, who trained their pilots as they conducted operations. and safety management control capabilities are on par with It was during this period that they were introduced to an international operation standards,” said Si Rui, EGAC’s General advanced concept of flight safety and standards. Manager, Department of Strategic Planning. “Our services include aerial mapping, security patrol and protection of oil “Since 2000, in order to standardize operations, we ensured and gas pipelines for energy companies; emergency rescue, that each pilot receives overseas simulator training twice a year. aerial forest fire protection, aviation touring, and aircraft Now that there is a simulator training center in Zhuhai, most of management.” our pilots are trained domestically. Because some aircraft types are still not available in China, a small number of our pilots are For offshore oil and gas services, EGAC’s major competitors still trained overseas,” said Si, who continued, “Since 2010, are Zhuhai Helicopter Company and COHC (CITIC Offshore we adopted the EVXP system, an enhanced health and usage Helicopter Co., Ltd.). While safety is fundamental, advanced monitoring system, to improve our safety management. EVXP safety concepts and a culture of safety management are equally indicates whether the operations made by the pilots during a important. Since the late 1990’s, EGAC has been cooperating flight comply with standard procedures. Additionally, we have

22 ASIA PACIFIC REGION CIVIL HELICOPTER FLEET REPORT – YEAR END 2015 adopted the HUMS system for our helicopters, another aviation market, EGAC and other players are keeping primary measure for us to monitor flight quality. In a keen eye on easing regulations and investment 2012, we received Safety Management System (SMS) opportunities. With enough patience and dedication certification, a first for any general aviation company from the players, China’s general aviation is set to in China.” rival that of other developed countries soon - perhaps just over the horizon. The journey to developing China’s General Aviation industry is no easy route. Si noted that EGAC has faced stressful times. “The key challenges we are facing include reduced petroleum revenue and the contradiction in available human resources, such as pilot and maintenance personnel. In terms of numbers, we have a relatively large number of maintenance personnel, but the portion of high-tech trained staff is still relatively low. Another issue is the need to renew the fleet with new aircraft. All of these issues have some impact on us,” noted Si.

In addressing these challenges, expansion is not seen as a competitive advantage to pursue. “We will wait for an upturn in the market, while continuing to pursue excellence in all we do. Further, during this down period, we will increase our investment in training to resolve the issues in our human resource structure. Finally, we aim to become an integrated service provider with advanced technology, so we are enhancing our management and flight training business, and initiating market-oriented reforms for our maintenance personnel,” said Si.

EGAC has developed their thirteenth five year plan. In the next five years, it has to replace older aircraft in their fleet with new ones, and enlarged the fleet from 13 to 16 aircraft. Additionally, the company aims to further expand their leasing business. “We estimate that, five years from now, the total quantity of our fleet, including aircraft we acquire, lease, and manage, will reach a total of twenty-four or -five. On a side note, I expect the petroleum business to continue to linger at a low point in 2016. So we’ll have to watch out for that,” Si noted. With China on the forefront of a booming general

ASIA PACIFIC REGION CIVIL HELICOPTER FLEET REPORT – YEAR END 2015 23 GREATER CHINA New Deliveries

Avicopter 3 (2%) Kamov 3 (2%) Schweizer 2 (2%) AgustaWestland 5 (4%)

Enstrom 7 (6%)

Sikorsky 11 (9%)

+121 Robinson 54 (45%)

Bell Helicopter 13 (11%) Airbus Helicopters 23 (19%) 45+19+11+8+6+4+2+3+2+G Pre-owned Additions Kamov 2 (9%)

Schweizer 1 (5%) MD 3 (14%) 38+29+14+9+5+5+G Avicopter 1 (5%)

Robinson 6 (29%) +21

Airbus Helicopters 8 (38%)

Deductions MD 1 (4%) Enstrom 1 (4%)

Robinson 5 (19%)

-26 Schweizer 5 (19%) Bell Helicopter 8 (31%)

31+23+19+4+4+G Airbus Helicopters 6 (23%)

24 ASIA PACIFIC REGION CIVIL HELICOPTER FLEET REPORT – YEAR END 2015 GREATER CHINA Additions & Deductions Per Model 116 in total +5

Agusta AW139 3 Westland AW119 2

AS350 -1 18 3 EC225 3 EC120 3 AS365 1 EC135 1 +25 Airbus Airbus EC155 1 Helicopters EC130 1 AS355 -1 BO105 -2 SA315 -2

+4 AC311 3 1 Avicopter

Bell 407 -5 12

+5 Bell 429 1

Bell Helicopter Bell 206 -3 Deductions (-26)

+6 New Deliveries (+121)

Enstrom EN480 -1 7 Pre-owned (+21) +5

Kamov KA-32 3 2

MD 520 1 +2 MD MD 500 1 MD 900 -1 1

R44 -3 35 4 R22 -2 16 1 +55

Robinson R66 3 1

-2 S-300 -5 2 1 Schweizer

S-76D 8

+11 S-92 3 Sikorsky

ASIA PACIFIC REGION CIVIL HELICOPTER FLEET REPORT – YEAR END 2015 25 26 ASIA PACIFIC REGION CIVIL HELICOPTER FLEET REPORT – YEAR END 2015 JAPAN

Japan has the 3rd largest helicopter fleet in the Asia Pacific region – 762 in total. The country’s geographic characteristics make it a natural place for helicopter operations. The archipelago comprises four main islands and over 2,000 underlying islands across the country’s territory and the Japan Sea.

Japan also has the largest fleet of AgustaWestland and Airbus Helicopters in the Asia Pacific region: Japan’s fleet represents 29% of the total Asia Pacific AgustaWestland fleet and 21% of the total Asia Pacific Airbus Helicopters fleet. When including Bell Helicopter and Robinson, among these 4 manufacturers, 93% of the Japanese fleet of helicopters is represented.

The only manufacturers to succeed in growing their Japanese fleets in 2015 were Sikorsky (+29%) and AgustaWestland (+6%) with the total Japanese fleet actually contracting 3% in 2015. This phenomenon occur as a number of older piston helicopters (primarily R22/44s), single-engine (Bell 206s & AS350s primarily) and medium size helicopters (Bell 212s & AS365s primarily) were all retired and replaced by fewer, new helicopters like the S-76D and AW139. Eight S-76Ds entered service in 2015 with the Japanese Coast Guard (JCG) for SAR, as well as four AW139s, two of which are with the Japan National Police Agency (JNPA). In total there were 29 new deliveries in 2015 and 2 pre-owned helicopters delivered, but 51 helicopters left the Japanese fleet through 2015, yielding a net growth of a negative 20 helicopters.

The Japanese fleet is dominated by medium and light twin size helicopters – 58% of the fleet – with the fleet involved primarily in multi-mission, EMS, law enforcement, and SAR applications, these missions comprising 76% of the fleet. Japan’s climate and geography make the country prone to large scale natural disasters and extreme weather conditions, in addition to having many active volcanoes, frequent earthquakes, and typhoons. Such characteristics lend themselves to multi-mission and para-public operations, which in turn require the use of heavy and medium-sized helicopters. Medium-sized helicopters are also favoured by the considerably large corporate segment.

There are 237 operators in the country, many of which are corporations and private users operating their helicopters independently. However, Japan’s 5 largest helicopter operators represent almost 37% of the total fleet, performing a wide variety of missions including EMS, SAR, disaster relief, charter services, industrial utility, aerial photography, electronic news gathering, and other activities. The biggest operator is Aero Asahi whose largest shareholder is Toyota Motor Corporation. Aero Asahi has a very diverse fleet including 14 different helicopter types, with the largest types being AS350s and AS355s. The 2nd largest operator is Nakanihon Air Service, part of All Nippon Airways Co., Ltd. It too has a very diverse fleet with 12 types, though the largest types are EC135s and AS350s. The remaining 3 operators in the Top 5 are the Prefectural Police Departments, JCG and JNPA operating AW139s & Bell 412s, AW139s & S-76Ds and AW109s respectively.

SAR and disaster relief operations are performed primarily by prefectural authorities throughout the archipelago, using advanced medium to heavy sized helicopters. Medium-sized helicopters represent 37% of the total Japanese fleet. The heavy and medium helicopter segments’ popularity in Japan is attributed to the operational needs of these para-public missions. Light single and twin-engine helicopters also hold a large market share representing 41% of the fleet. There are 147 piston-engine helicopters in Japan representing 19% by number, but only 1% by replacement cost.

Airbus Helicopters holds 45% of the market followed by Robinson with 20%, 762 in Total and Bell Helicopter with 17%. AgustaWestland make up 11% of the market followed by Sikorsky with 4%.

ASIA PACIFIC REGION CIVIL HELICOPTER FLEET REPORT – YEAR END 2015 27 JAPAN Net Fleet Growth by OEM

2014 (782)

342340 2015 (762)

149130 159149

82 87 31 15 15 24 2 2 3 3 1 1 5 4

34+00+36 100+00+100 53+00+48 2+00+2 3+00+3 MD 1+00+1 14+00+14 56+00+53 5+0 0+4 17+0 0+19 Kamov Kaman Sikorsky Enstrom Robinson Schweizer Bell Helicopter Bell AgustaWestland Airbus Helicopters Airbus

Net Fleet Growth by Mission

2014 (782) 310 309 2015 (762)

115 107 109105 100 93 67 72 50 45 30 29 100+0 0+44 47+0 0+4345+0 0+37 39+0 0+30 28+0 0+24 26+01 1 0+19120+0 0+1 0+01+0 0+1 0+98 SAR EMS Private Charter Corporate Multi-Mission Flight Training Law Enforcement Law Offshore Operations

Net Fleet Growth by Size Category

281 281 2014 (782) 164 2015 (762) 159 147 155 155157 67+00+62 78+00+65 65+0 0+66 100+0230+10022 18+0 0+18 Heavy Single Piston Piston Medium Light Twin

28 ASIA PACIFIC REGION CIVIL HELICOPTER FLEET REPORT – YEAR END 2015 JAPAN Breakdown by Size Category Breakdown by Mission 762 in Total 762 in Total

Private 45 (6%)

Piston 147 (19%) Heavy 22 (3%) SAR 72 (9%) Flight Training 29 (4%) Medium 281 (37%) Law Enforcement 93 (12%)

Multi-Mission Turbine 41% 81%

EMS 41+105 (14%) 14+13+8+6+4+G

Single 155 (20%) Light Twin 157 (21%) Corporate 107 (14%) Multi-Mission 311 (41%)

Note: Multi-Mission includes one charter and one offshore operations.

Breakdown by OEM Fleet Size Replacement Cost (USD)

Sikorsky 31 (4%) MD (1%) Robinson (1%) MD 15 (2%) Sikorsky (9%) Others (1%) AgustaWestland 87 (11%) Others 10 (1%)

Bell Helicopter Airbus Helicopters (14%) (56%)

Bell Helicopter 130 (17%) 762 $4,198M

Airbus Helicopters Agusta Robinson 14945+ (20%) 34020+17+11+4+2+1+G (45%) Westland56+ (18%) 18+14+91+G

ASIA PACIFIC REGION CIVIL HELICOPTER FLEET REPORT – YEAR END 2015 29 JAPAN Breakdown by Helicopter Model – Turbine Only 615 in Total 44+41+1+1 AgustaWestland AW139 44 87 (14%) AW109 41 AW119 1 AW101 1 Airbus Helicopters 84+69+51+43+26+24+8+6+6+6+4+4+4+3+1 AS350 84 340 (55%) EC135 69 AS365 51 BK117 43 AS355 26 EC145 24 EC225 8 AS332L1 7 EC130 6 SA315 6 AS332L 4 EC155 4 BO105 4 EC120 3 AS332L2 1

Bell Helicopter 57 130 (21%) Bell 206 36 12 Bell 204 7 Bell 427 6 Bell 407 4 Bell 429 4 Bell 212 2 1 Bell 205 1 Enstrom 1 EN480 1 Kaman 3 K-Max 3 Kamov 1 KA-32 1 MD 15 (2%) MD 900 11 MD 500 3

MD 600 6 1 Robinson 6 (1%) R66 6

Schweizer 1 S-333 1

Sikorsky 31 (5%) S-76D 11 S-76C+ 6 S-76B 4 S-76C++ 4 S-76C 3 S-76A+ 2 S-92 1

30 ASIA PACIFIC REGION CIVIL HELICOPTER FLEET REPORT – YEAR END 2015 JAPAN Breakdown by Operator Top 40 – Out of 237 Operators (2 or more helicopters) 76+61+53+49+42+27+24+18+17+16+12+12+10+10+9+7+7+6+6+5+4+4+4+4+3+3+3+3+3+3+3+3 +3+3+3+3 Aero Asahi 76 Nakanihon Air 61 Prefectural Police Departments 53 49 National Police Agency 42 Toho Air Service 27 Akagi Helicopter 24 Nishi Nihon Air Services 18 Hirata Gakuen 17 All Nippon Helicopter 16 Alpha Aviation 12 Shin-Nihon Helicopter 12 Tohoku Air Service 10 Tokyo Fire Department 10 Ogawa Air 9 Kagoshima Air 7 Shikoku Air 7 Central Helicopter 6 Rosen Air 6 Hokkaido Air 5 Asahi Shimbun 4 Honda Airways 4 S.G.C. Saga Aviation 4 Sato Jitsugyo 4 Auto Panther 3 Chunichi Shimbun 3 6 Dai Ichi Air 3 DHC 3 Fukuoka Fire Department 3 Gov’t of Japan - Min of Transport 3 Hideyuki- Private 3 Japan Digital Laboratory 3 3+3+3+3 Mainichi Newspapers 3 Shizuoka Air 3 Ministry of Land & Infrastructure 3 Teikyo Daigaku 3 Nihon Flight Safety 3 Tsukuba Aviation 3 Noevir Aviation 3 Yomiuri Shimbun 3

ASIA PACIFIC REGION CIVIL HELICOPTER FLEET REPORT – YEAR END 2015 31 JAPAN Top Operator Fleets by Model

76 61 53 49 42 27 24 76+61+53+49+42+27+24+18+17+1618 17 16 Guard Agency Service Toho Air Toho Services All Nippon Helicopter Aero Asahi Aero Japan Coast Japan Departments Nakanihon Air Nakanihon Hirata Gakuen Nishi Nihon Air National Police National Akagi Helicopter Akagi Prefectural Police Prefectural Total AW101 1 1 AgustaWestland AW109 3 20 23 AW139 1 10 17 4 3 35 AS332L 2 1 1 4 AS332L1 2 3 5 AS332L2 1 1 AS350 17 16 8 5 5 1 52 AS355 10 5 5 20 Airbus AS365 2 1 7 5 1 7 23 Helicopters BK117 1 8 5 1 2 17 EC135 20 4 5 3 13 6 51 EC145 8 1 4 13 EC155 2 1 1 4 EC225 5 5 SA315 6 6 Bell 204 2 2 2 6 Bell 206 9 3 4 3 2 7 28 Bell 212 2 2 Bell Helicopter Bell 412 3 1 12 5 4 2 27 Bell 427 3 3 Bell 429 1 1 2 Bell 430 6 6 12 Kaman K-Max 3 3 Kamov KA-32 1 1 MD MD 500 3 3 MD 900 9 9 Robinson R22 3 3 S-76B 2 2 S-76C 2 1 3 Sikorsky S-76C+ 4 1 1 6 S-76C++ 1 1 2 S-76D 11 11 Total 76 61 53 49 42 27 24 18 17 16 383

32 ASIA PACIFIC REGION CIVIL HELICOPTER FLEET REPORT – YEAR END 2015 JAPAN Fleet Breakdown by Mission & OEM

309

107 105 93 72 45 29 1 1

SAR 100+40+40+35+24+15+5+1+1EMS Private Charter Offshore Corporate Operations Multi-Mission Flight Training

Law Enforcement Law Total AgustaWestland 9 11 5 40 22 87 Airbus Helicopters 184 26 67 31 27 4 1 340 Bell Helicopter 71 5 24 20 9 1 130 Enstrom 1 1 2 Kaman 3 3 Kamov 1 1 MD 6 3 6 15 Robinson 25 56 1 38 29 149 Schweizer 1 1 2 4 Sikorsky 8 5 2 2 14 31 Total 309 107 105 93 72 45 29 1 1 762

Total Fleet Age Distribution 762 in Total

45

40

35

30

25

20

15

10

5

0 1974 1971 1976 1977 1970 1972 1973 1975 1978 1979 1997 2010 2014 2011 2007 1991 1987 1961 1981 2015 2013 2001 2012 1994 1959 1960 1962 1963 1965 1966 1967 1968 1969 1980 1982 1983 1985 1986 1988 1989 1990 1992 1993 1995 1996 1998 1999 1964 1984 2000 2002 2003 2004 2005 2006 2008 2009

Year of Manufacture

ASIA PACIFIC REGION CIVIL HELICOPTER FLEET REPORT – YEAR END 2015 33 JAPAN New Deliveries

Robinson 2 (7%) Bell Helicopter 1 (3%)

AgustaWestland 5 (17%) +29 Airbus Helicopters 13 (45%) Sikorsky 8 (28%) 45+28+17+7+3+G Pre-owned Additions

Robinson 1 (50%) AgustaWestland 1 (50%) +2

Deductions 50+50+G Sikorsky 1 (2%) AgustaWestland 1 (2%) Schweizer 1 (2%)

Robinson 13 (26%)

-51 Airbus Helicopters 15 (29%)41+29+24+2+2+G Bell Helicopter 20 (39%)

34 ASIA PACIFIC REGION CIVIL HELICOPTER FLEET REPORT – YEAR END 2015 JAPAN Additions & Deductions Per Model -20 in total

AW139 4 +5 Agusta

Westland AW109 -1 1 1

EC135 -1 2

EC155 1

BK117 -3 4

EC225 1 -2

Airbus Airbus AS365 -4 3 Helicopters

AS350 -4 2

SA315 -1

Deductions (-51) AS332L1 -2 New Deliveries (+29) Pre-owned (+2)

Bell 412 -3 1 Bell

-19 Bell 206 -7 Helicopter Bell 212 -10

R66 1

R22 -6 1 -10 Robinson R44 -7 1

-1 S-300 -1 Schweizer

S-76D 8 +7

Sikorsky S-76B -1

ASIA PACIFIC REGION CIVIL HELICOPTER FLEET REPORT – YEAR END 2015 35

SOUTH KOREA

The South Korean Helicopter fleet numbered 216 helicopters at year-end 2015 with para-public operations such as SAR, firefighting, marine patrol, and police work being the dominant mission category in the country.

Despite its developed economy and advanced aviation industry, the Korean helicopter fleet has not grown much in recent years. In 2015 the Korean fleet remained unchanged with no significant growth drivers and a net 4 helicopter additions.

In the para-public segment, 50% of the multi-mission fleet is used by the government for firefighting operations during the Korean summer and dry seasons. These helicopters are operated by Korean provincial authorities and ministries, and in many cases are leased from local operators granted with government contracts.

The Ministry of Forestry operates a large fleet of 47 helicopters, of which 30 are Russian-built Kamov helicopters, many having been in service for over 15 years. In 2015, the Ministry placed an order for several new Surion helicopters from Korean Aerospace Industries (KAI). The Surion was initially developed by KAI together with Airbus Helicopters to provide an indigenous option for replacing some of South Korea’s military helicopters as well as meeting other national rotary requirements.

Airbus Helicopters make-up 25% of the market alongside , Mil, and Kamov, which combined represent nearly 30% of the fleet. Out of all the Asia Pacific countries, Russian-designed helicopters in South Korea have the strongest presence in terms of the number of helicopters in operation.

Multi-mission operations are the largest mission segment in the country (66%) followed by helicopters used by large corporations for the transportation needs of their senior management. This corporate segment represents 13% if the total fleet.

216 in Total

36 ASIA PACIFIC REGION CIVILCIVIL HELICOPTERHELICOPTER FLEET FLEET REPORT REPORT – – YEAR YEAR END END 2015 2015 SOUTH KOREA Net Fleet Growth by OEM 2014 (212) 2015 (216)

54 55 52 51 44 44 23 24 15 12 88 9 9 3 3 1 2 2 5 4

12+00+15 54+00+55 44+0 0+44 3+00+3 0+00+1 2+00+2 52+00+51Mil 8+00+8 9+00+9 5+00+4 23+0 0+24 KAI MD Kamov Sikorsky Enstrom Robinson Hiller AircraftHiller Bell Helicopter Bell AgustaWestland Airbus Helicopters Airbus

Net Fleet Growth by Mission

2014 (212)

138142 2015 (216)

28 28 22 21 15 15 4 4 2 3 3 3 SAR EMS Corporate Multi-Mission Flight Training Law Enforcement Law Offshore Operations

Net Fleet Growth by Size Category 2014 (212) 2015 (216) 124 125

55 56

14 16 13 13 6+00+66 6 55+00+56 14+00+16 100+0 0+100 13+0 0+13 Heavy Single Piston Piston Medium Light Twin

ASIA PACIFIC REGION CIVIL HELICOPTER FLEET REPORT – YEAR END 2015 37 SOUTH KOREA

Breakdown by Size Category Breakdown by Mission 216 in Total 216 in Total

Piston 6 (3%) SAR 21 (10%) Law Enforcement 15 (7%)

Heavy 13 (6%) Corporate Flight Training 4 (2%) 28 (13%) Light Twin 16 (7%) Offshore Operations 3 (1%) 63+13+10+8+3+2+1+G EMS 3 (1%) Multi-Mission Turbine 66% 97%

Single 56 (26%) Medium 125 (58%) Multi-Mission 142 (66%)

Breakdown by OEM Fleet Size Replacement Cost (USD)

Enstrom 3 (1%) Robinson 4 (2%) KAI 2 (1%)

MD 8 (4%) Hiller Aircraft 1 (1%) Mil (4%) KAI (3%)

Mil 9 (4%) Airbus Helicopters AugustaWestland MD (1%) 55 (25%) (9%) AugustaWestland 15 (7%) Airbus Helicopters (27%) Bell Helicopter (9%)

216 $1,292M Sikorsky 24 (11%)

Bell Helicopter 44 (20%)25+Kamov 51 (24%) 24+20+11+7+4+2+1+1+G Kamov (21%)27+Sikorsky26+2199+4+31+G (26%) Note: The market share of Enstrom, Hiller Aircraft and Robinson’s replacement cost are less than 1%. 38 ASIA PACIFIC REGION CIVIL HELICOPTER FLEET REPORT – YEAR END 2015 SOUTH KOREA

Breakdown by Helicopter Model – Turbine Only 210 in Total 11+2+1+1 AgustaWestland AW139 11 15 (7%) AW109 2 AW119 1 SW-4 1 16+11+10+6+6+3+1+1+1 Airbus Helicopters AS350 16 55 (26%) AS365 11 BK117 10 B0105 6 EC135 6 EC155 3 EC145 1 AS355 1 EC225 1 25+8+6+2+2+1 Bell Helicopter Bell 206 25 44 (21%) Bell 214 8 Bell 412 6 Bell 407 2 Bell 430 2 Bell 230 1 2 Enstrom EN480 2 2 (1%) 2 KAI Surion 2 2 (1%) 51 Kamov KA-32 51 51 (24%) 7+1 MD MD 500 7 8 (4%) MD 520 1 6+3 Mil Mi-2 6 9 (4%) Mi-8 3 7+5+3+3+2+2+1+1 Sikorsky S-76C+ 7 24 (11%) S-61 5 S-76B 3 S-64 3 S-76D 2 S-76C++ 2 S-92 1 S-58 1

ASIA PACIFIC REGION CIVIL HELICOPTER FLEET REPORT – YEAR END 2015 39 SOUTH KOREA Breakdown by Operator 51 Operators 47+17+16+15+11+9+8+7+6+6+5+5+5+5+4+3+3+2+2+2+2+2+2+2+2+2+2+ 1+1+1+1+1+1+1+1+1+1+1 Gov’t Forestry Department 47 National Police 17 Heli Korea 16 Gov’t Coast Guard 15 Hongik Air 11 Sejin Aviation 9 Tongil Air 8 Yecheon Astro Space Center 7 Lines 6 Samsung Techwin 6 Air Palace 5 Central SAR 119 5 UB Air 5 UI Helijet 5 Hanseo University 4 Gyeonggi Fire Department 3 Seoul Fire Department 3 Busan Fire Department 2 Changwoon Aviation 2 Daegu Metro Fire Department 2 Deajin Air 2 Gov’t of South Korea 2 Incheon Fire Department 2 Jeollanam-do State Gov’t 2 LG 2 1+1+1+1+1+1+1+1+1+1+1+1+1 POSCO 2 Hyundai Motor 1 Woori Aviation 2 Korea Air Express 1 Ace Air 1 Korean Broadcasting System 1 Blue 1 Kyungbuk Fire Department 1 Chungbuk Fire Department 1 Munhwa Broadcasting Corporation 1 Chungcheongnam-do 1 National Park Authority 1 Donghae & Machinery Airlines 1 Pearl Korea 1 EMS Air 1 Samsung Hospital 1 Farm & Copter 1 SK Telecom 1 Gangwon Province 1 SN Air 1 Gangwon-do Fire Department 1 Sung Joon Airlines 1 Hana Air 1 TransHeli 1 Hanwha Chemical 1 Uslan Fire Department 1

40 ASIA PACIFIC REGION CIVIL HELICOPTER FLEET REPORT – YEAR END 2015 SOUTH KOREA Top Operator Fleets by Model 47+17+16+15+11+9+8+7+6+6+5+5+5+5+4+3+3+2+2+2+2+2+2+2+2+2+2+ 1+1+1+1+1+1+1+1+1+1+1

47

17 16 15 47+17+16+15+11+9+8+7+6+611 9 8 7 6 6 Guard Korean Techwin Air Lines Air Tongil Air Tongil Samsung Heli Korea Heli Hongik Air Hongik Gov’t Coast Gov’t Department Sejin Aviation Yecheon Asto Yecheon Space Center Space Gov’t Forestry Gov’t National Police National Total AW109 2 2 Agusta AW119 1 1 Westland AW139 2 4 6 AS350 4 6 1 11 EC155 2 2 Airbus EC135 1 5 6 Helicopters AS365 4 4 BK117 1 1 1 1 4 BO105 6 6 Bell 206 8 6 2 1 2 19 Bell Bell 214 4 2 1 7 Helicopter Bell 407 1 1 Bell 412 1 3 4 KAI Surion 2 2 Kamov KA-32 30 3 8 41 MD 500 2 1 3 MD MD 520 1 1 Mi-2 5 5 Mil Mi-8 3 3 R22 1 1

1+1+1+1+1+1+1+1+1+1+1+1+1 Robinson R44 1 1 S-61 4 4 S-64 3 3 Sikorsky S-76C+ 3 1 4 S-92 1 1 Total 47 17 16 15 11 9 8 7 6 6 142

ASIA PACIFIC REGION CIVIL HELICOPTER FLEET REPORT – YEAR END 2015 41 SOUTH KOREA Fleet Breakdown by Mission & OEM

142 0 0+1 1 0 2+0 1+0 1 3 0+0 0

28 21 15 334 Law SAR 100+40+30+21+5+4+4EMS Offshore Coporate Operations Enforcement Multi-Mission Flight Training Total AgustaWestland 6 4 2 3 15 Airbus Helicopters 35 10 9 1 55 Bell Helicopter 32 2 1 7 1 1 44 Enstrom 1 2 3 Hiller Aircraft 1 1 KAI 2 2 Kamov 43 8 51 MD 8 8 Mil 5 3 1 9 Robinson 3 1 4 Sikorsky 9 11 1 3 24 Total 142 28 21 15 4 3 3 216

Total Fleet Age Distribution 216 in Total

20

18

16

14

12

10

8

6

4

2

0 1974 1971 1976 1977 1970 1972 1973 1975 1978 1979 1997 2010 2014 1957 2011 2007 1991 1987 1961 1981 2015 2013 2001 2012 1994 1958 1959 1960 1962 1963 1965 1966 1967 1968 1969 1980 1982 1983 1985 1986 1988 1989 1990 1992 1993 1995 1996 1998 1999 1964 1984 2000 2002 2003 2004 2005 2006 2008 2009

42 ASIA PACIFIC REGION CIVIL HELICOPTER FLEET REPORT – YEAR END 2015 SOUTH KOREA Additions & Deductions Per Model 4 in total 0 0+1 1 0 2+0 1+0 1 3 0+0 0

AW139 3 +3 Agusta Westland

BO105 2 +1 Airbus Airbus AS365 -1 Helicopters

Bell 206 1 Bell Bell 214 -1 Deductions (-4) Helicopter New Deliveries (+3) Pre-owned (+5)

UH-12 1 +1 Hiller Aircraft

-1 KA-32 -1 Kamov

-1 R22 -1 Robinson

+1 S-76B 1 Sikorsky

ASIA PACIFIC REGION CIVIL HELICOPTER FLEET REPORT – YEAR END 2015 43

20 countries around the world. Its clients value the integrity, experience, and commitment of Waypoint’s leadership team and financial sponsors. Over the years the company has expanded from its roots in Ireland to open offices in Australia, , Singapore, South Africa, and the UK, making it more easily accessible to its clients around the world.

Philip Stransky, Waypoint’s Vice President of Sales and Relationship Management, Asia, leads the company’s work in the Asia region. Philip came to the helicopter leasing business when he took a year off to attend business school after nearly a decade with SEACOR, principally in the marine business. While studying at MIT, he was regularly in touch with Ed Washecka, CEO of Waypoint, and his team, who were busy raising capital and getting Waypoint Leasing off the ground. Philip says, “Ed offered me the unique opportunity to return to Singapore, where I had spent three and a half years with SEACOR, to help catapult Waypoint’s efforts in the region with the goal of becoming the largest independent helicopter leasing company. By late 2014, when I came back to Singapore, Waypoint had already successfully negotiated and signed a number of leases in Asia. Our goal was then to provide current and potential customers with a local contact and the ability to act immediately and follow up swiftly. Being on the ground has been tremendously successful, giving us the ability to work on opportunities with regional clients and to ensure that we provide exciting solutions in a time sensitive manner.”

As a multi-national (France, USA, and UK) Philip grew up fascinated by aviation, clocking up a good Vice President number of air miles. He was given his first taste of Sales and Relationship the helicopter business in 2009 which only further increased his longing to be in the industry. “The Management, Asia opportunity of joining Waypoint was the ideal way of matching my personal passion for aviation with a background in business development,” says Philip. In the business aviation sector, helicopter operators have been hit especially hard by the current struggles of the global oil and gas Philip and his senior management team bring industry. Many operators have chosen therefore to reduce risks by clients decades of experience, giving them a unique leasing helicopters, instead of tying up capital resources and taking on insight into the customers’ needs for high quality even greater risks by purchasing one. In choosing a leasing company, aircraft, innovative financing options, and long- it is imperative that one find a well-capitalized company with solid standing relationships with service providers. Philip assets, headed by entrepreneurial managers who know the helicopter approaches the company’s role from the perspective business and for whom leasing helicopters is the core business. No of the operator and the end user. Waypoint’s leasing company fits the bill better than Waypoint Leasing, the world’s largest solutions address not only the present needs of the independent helicopter leasing company. client, but also anticipate the cyclical realities of the helicopter industry, positioning Waypoint to be able Waypoint was founded in 2013 by a team of helicopter industry to address the needs and challenges that lie just veterans, most of whom had firsthand experience as helicopter beyond the horizon as well. operators. Waypoint’s three major long term investors are MSD Capital, L.P., Quantum Strategic Partners, and Cartesian Capital Group Waypoint’s expertise is firmly fixed on the helicopter LLC. Collectively these three fund investors lead the way, giving the market. The company’s fleet of technologically Ireland-based Waypoint financial depth and reliability to face any advanced helicopters include aircraft manufactured challenges that may show up on the world economy’s radar. The by Finmeccanica (formerly AugustaWestland), Bell company now has $1.4 billion in helicopter assets, representing a fleet Helicopter, Airbus Helicopters, and Sikorsky. Its fleet of over 120 helicopters which are leased to operators in more than ranges from heavy to medium to light-twin models,

44 ASIA PACIFIC REGION CIVIL HELICOPTER FLEET REPORT – YEAR END 2015

and its customers utilize these helicopters in oil and gas, it one of the most attractive options of all helicopter leasing , hospital emergency service, firefighting, companies worldwide. utility, and government support operations. Philip sums up Waypoint’s competitive advantage this way, “Waypoint is run That is not to say that one is ever guaranteed smooth by those who are passionate about the helicopter business. sailing, especially in a volatile industry like business aviation. Our senior managers have a firsthand understanding of Waypoint Leasing recognizes the challenges currently operators’ needs and their desire for the most suitable facing the market, particular with today’s low oil prices. aircraft, innovative and flexible financing solutions, and strong In addressing these challenges, Philip says, “With the oil long-term relationships with service providers. This is the and gas market challenged by low oil prices, Waypoint has edge that positions us ahead of the game.” positioned its order book to focus on EMS and parapublic helicopters. At the Helitech 2015 show in last Philip has been one of the groundbreakers in the industry. In October, we announced orders and commitments for up to 2015, Waypoint negotiated and signed a number of leases, 38 new rotorcraft. In a deal with Airbus Helicopters, Waypoint and placing a new H145 in Papua New Guinea with Pacific Leasing signed to buy up to 20 H135 singles over the next was, for Philip, an especially gratifying achievement. He says, three years, making it the first lessor to offer the H135 in its “We hope that the current year will continue to be a year of portfolio.” firsts, where we negotiate and sign new leases in countries which have so far eluded us.” Waypoint also agreed to acquire 18 AugustaWestland helicopters, a mix of AW189 super medium twins, AW169 That is not to suggest that his career path has not been light intermediates, and the AW139 intermediate. At a time without its challenges. When asked about the notable when other leasing companies who rushed into the market obstacles he has faced in the industry, Philip says, “Arriving when oil and gas services commanded top dollar and are in Asia in 2010 was challenging. I had been based in Mexico, now dropping out due to low oil prices, Waypoint Leasing is and had done business in Europe and Africa. However, not only continuing its service, but is expanding to meet its understanding the nuances of working in Asia takes time clients’ needs even better. and patience, particularly learning the details of a variety of cultures. Every day has been exciting and I am continuously With a wealth of expertise and experience under his belt, enjoying the experience.” Philip knows what it takes to make it in this tough industry. In offering advice to those who want to succeed in the helicopter Recognizing the many advantages of leasing over buying – leasing field, he says, “Principally, you have to understand including timely access to the required aircraft, matching of the needs of each individual customer. The beauty of being needs to supply, potential for worldwide operations, freeing based in Asia is that I get to cover a huge portion of the world up of capital, and avoiding risk and interest rates – many where there is a tremendous variety of customs and ways of operators are turning to companies like Waypoint Leasing to doing business. Handling these challenges successfully while meet their helicopter needs. The advantages Waypoint offers providing each customer with timely attention can lead to over other lessors are numerous. As a full service lessor, exponential growth of the business while also bringing great Waypoint offers numerous value-added services to operators, personal satisfaction.” including flexible lease options, a global presence, competitive pricing, and flexible helicopter configurations. Waypoint’s strong relationships with OEMs and its global presence make

ASIA PACIFIC REGION CIVIL HELICOPTER FLEET REPORT – YEAR END 2015 45 CENTRAL ASIA INDIA

The India market is an emerging one that holds promise for 2016. Whereas net growth was flat in 2015, new regulations for helicopters from the Director General of Civil Aviation (DGAC), due to be issued in April 2016 after consultation with all the relevant stakeholders, should provide the catalyst to spur on renewed growth. Hopes are the regulations will be flexible enough to take advantage of a helicopter’s unique capabilities, and that the implementation process will be allowed to be handled by a separate, dedicated helicopter department within the DGCA. New regulations that are apparently being consider will allow helicopters to fly freely from point to point without prior ATC clearance in airspace below 5,000 feet, as well as in other areas that would otherwise be prohibited and/or restricted after filing the flight plan with the nearest ATC office. Interest is also high in introducing streamlined procedures so as to potentially reduce delays for getting approval for landing at temporary helipads.

The Indian market is the 5th largest in the Asia Pacific region and dominated by Airbus Helicopters, Bell Helicopter and AgustaWestland. Their respective market shares of the Indian market are 39%, 29% and 12%, with the size categories uniquely 304 in Total dominated by either medium or single engine (40%/38% split) helicopters. The high market share of medium sized helicopters is driven by mission requirements from the onshore (included in the Multi-Mission category) and offshore oil and gas business in India, which also demonstrates the role and sensitivity energy plays in the local helicopter market.

The medium sized helicopter mostly utilised in India is the Dauphin / AS365 (40), followed then by the AW139 (10) & S-76C++ (5). The single engine helicopters in use are more diverse lead by the Bell 407 (29), Alouette / SA316 (26), AS350 (24) and finally the Dhruv (21) from local manufacturer Hindustan Aeronautics Limited (HAL).

The Indian market has 130 operators, but the top three operate 30% of the fleet. The top three are Pawan Hans Ltd., the Indian Coast Guard, and Global Vectra Helicorp. Pawan Hans Ltd. is 51% owned by the Government of India and 49% by the Oil and Natural Gas Corporation (ONGC). Its primary objective is to provide helicopter support services to the oil sector for its off-shore exploration operations and operates Dauphins. The Indian Coast Guard protects India’s maritime interests and enforces maritime law using Alouettes and Dhruvs. Global Vectra Helicorp. specializes in offshore and onshore transportation services to the oil and gas sector as well, but using AW139s and Bell 412s.

46 ASIA PACIFIC REGION CIVIL HELICOPTER FLEET REPORT – YEAR END 2015 INDIA Net Fleet Growth by OEM

120 120 2014 (304) 89 88 2015 (304)

37 38 21 21 17 17 30+00+31 100+00+100 74+00+732 2 1+00+1 4 17+00+174 5 5 3+00+3 4+00+44 4 14+00+145 5 3+00+3 4+00+4 Mil MD HAL Sikorsky Enstrom Robinson Schweizer Bell Helicopter Bell AgustaWestland Airbus Helicopters Airbus

Net Fleet Growth by Size Category

124 116 121 113 2014 (304) 2015 (304)

43 43 19 19 15+00+15 91+00+93 34+00+34 100+00+975 5 4+00+4 Heavy Single Piston Medium Light Twin

ASIA PACIFIC REGION CIVIL HELICOPTER FLEET REPORT – YEAR END 2015 47 INDIA Breakdown by Size Category Breakdown by Mission 304 in Total 304 in Total

Flight Training 8 (3%) Law Enforcement 6 (2%) Piston 19 (6%) Heavy 5 (2%) Private 3 (1%)

Light Twin 43 (14%) Medium 121 (40%) Charter 24 (8%) Multi-Mission 117 (39%) SAR 25 (8%)

Multi-Mission

TurbineTurbine 285 (95%) 39 94%

Corporate 74 (24%) Single 116 (38%) 39+Offshore Operations24+15+8+3+2+1+G 47 (15%)

Breakdown by OEM Mil 5 (2%) Fleet Size Replacement Cost (USD) MD 4 (1%)

Sikorsky 5 (2%) Schweizer 4 (1%) Mil (2%)

Robinson 17 (6%) Enstrom 2 (1%) Sikorsky (4%) Others (1%) HAL 21 (7%) MD (1%) Airbus Helicopters HAL (38%) (12%)

Agusta Agusta Westland Westland 38 (12%)39+304 29+12+7+6+2+1+1+G (18%) $1,643M Bell Helicopter Airbus Helicopters 88 (29%) 120 (39%) 38+Bell Helicopter24+18+12+4+21+G (24%)

Note: The market share of Enstrom, Mil, Robinson and Schweizer’s replacement costs are less than 1%.

48 ASIA PACIFIC REGION CIVIL HELICOPTER FLEET REPORT – YEAR END 2015 INDIA Breakdown by Mission Breakdown by Helicopter Model – Turbine Only 304 in Total 285 in Total 24+10+4 AgustaWestland AW109 24 38 (13%) AW139 10 AW119 4 40+26+24+6+5+5+4+4+3+2+1 Airbus Helicopters AS365 40 120 (42%) SA316 26 AS350 24 EC135 6 AS355 5 SA319 5 SA315 4 EC155 4 EC130 3 EC120 2 EC145 1 29+28+14+7+3+3+2+2 Bell Helicopter Bell 407 29 88 (31%) Bell 412 28 Bell 206 14 Bell 429 7 Bell 230 3 Bell 212 3 Bell 430 2 Bell 427 2 2 Enstrom 2 (1%) EN480 2 11 21 HAL 21 (7%) Dhruv 21 3+1 MD 4 (1%) MD 900 3 MD 520 1 5 Mil 5 (2%) Mi-8 5

Robinson 1 R66 1 1 Schweizer 1 S-330 1 5 Sikorsky 5 (2%) S-76C++ 5

ASIA PACIFIC REGION CIVIL HELICOPTER FLEET REPORT – YEAR END 2015 49 INDIA Breakdown by Operator Top 46 – Out of 130 Operators (2 or more helicopters) 44+25+23+9+9+7+6+5+4+4+3+3+3+3+3+3+3+3+3+3+2+2+2+2+2+2+2+2+2+2+2+2 +2+2+2+2 Pawan Hans Helicopters 44 Indian Coast Guard 25 Global Vectra Helicorp 23 Heligo Charters 9 Hindustan Aeronautics 9 Deccan Charters 7 Indian Border Security Force 6 OSS Air Management 5 Prabhatam Aviation 4 United Helicharters 4 Aryan Aviation 3 Ghodawat Industries 3 Gov’t of Uttar Pradesh 3 HAL Rotary Wing Academy 3 Heritage Aviation 3 Himalayan Heli Services 3 India Fly Safe Aviation 3 Mesco Airlines 3 Reliance Commercial Dealers 3 UTair India 3 Aerotech Aviation India 2 Aryan Aviation 2 B.G. Shirke Construction Technology 2 Dhillon Aviation 2 Essar Group 2 Gov’t of Bihar 2 2+2+2+2+2+2+2+2+2+2 Gov’t of Jammu & Kashmir 2 King Rotors & Air Charter 2 Gov’t of Jharkhand 2 Kingfisher Airlines 2 Gov’t of Madhya Pradesh 2 Oil & Natural Gas Corporation 2 Gov’t of Maharashtra 2 Oxford Enterprises 2 Gov’t of Uttaranchal 2 Reliance Industries 2 Hindustan Construction Company 2 Religare Aviation 2 Indian Metals & Ferro Alloys 2 Summit Aviation 2 Indo Copters 2 Tata Power Company 2 Jaypee Associates 2 Tata Steel 2 Kestrel Aviation 2 Trans Bharat Aviation 2

50 ASIA PACIFIC REGION CIVIL HELICOPTER FLEET REPORT – YEAR END 2015 INDIA Top Operator Fleets by Model 44+25+23+9+9+7+6+5+4+4+3+3+3+3+3+3+3+3+3+3+2+2+2+2+2+2+2+2+2+2+2+2 +2+2+2+2

44 25 23 44+25+23+9+9+7+6+5+4+49 9 7 6 5 4 4 Guard United United OSS Air Aviation Helicorp Hindustan Prabhatam Helicopters Aeronautics Helicharters Pawan Hans Pawan Indian Coast Global Vectra Global Management Indian Border Security Force Security Heligo ChartersHeligo Deccan ChartersDeccan Total AW109 4 4 AgustaWestland AW119 1 1 AW139 4 3 7 AS350 2 4 1 2 9 EC155 1 1 EC135 1 1 2 AS355 1 1 Airbus AS365 32 2 34 Helicopters EC130 1 1 SA315 1 1 SA316 20 1 21 SA319 1 1 Bell 206 3 2 5 Bell 212 2 2 Bell Helicopter Bell 230 1 1 Bell 407 4 4 Bell 412 12 4 2 2 20 HAL Dhruv 5 5 5 15 Mil Mi-8 3 3 S-300 2 2 Schweizer S-330 1 1 Total 44 25 23 9 9 7 6 5 4 4 136 2+2+2+2+2+2+2+2+2+2

ASIA PACIFIC REGION CIVIL HELICOPTER FLEET REPORT – YEAR END 2015 51 INDIA Fleet Breakdown by Mission & OEM 117 74

47

25 24 8 6 3

100+87+55+29+28+9+7+4SAR Private Charter Offshore Corporate Operations Multi-Mission Flight Training

Law Enforcement Law Total AgustaWestland 5 22 8 2 1 38 Airbus Helicopters 54 12 21 20 10 1 1 1 120 Bell Helicopter 38 22 18 9 1 88 Enstrom 1 1 2 HAL 10 5 1 5 21 MD 2 2 4 Mil 2 3 5 Robinson 3 11 2 1 17 Schweizer 1 3 4 Sikorsky 1 4 5 Total 117 74 47 25 24 8 6 3 304

Total Fleet Age Distribution 304 in Total

35

30

25

20

15

10

5

0 1974 1976 1977 1973 1975 1978 1979 1997 2010 2014 2011 2007 1991 1987 1981 2015 2013 2001 2012 1994 1980 1982 1983 1985 1986 1988 1989 1990 1992 1993 1995 1996 1998 1999 1984 2000 2002 2003 2004 2005 2006 2008 2009

Year of Manufacture

52 ASIA PACIFIC REGION CIVIL HELICOPTER FLEET REPORT – YEAR END 2015 INDIA Additions & Deductions Per Model

AW139 1 +1 Agusta Westland

EC130 2

AS350 -1 2 Deductions (-5) Airbus Airbus New Deliveries (+1) Helicopters Pre-owned (+4)

AS365 -3

-1 Bell 412 -1 Bell Helicopter

ASIA PACIFIC REGION CIVIL HELICOPTER FLEET REPORT – YEAR END 2015 53

SOUTHEAST ASIA THAILAND

The largest share of helicopters in Thailand are used by the Thai government for law enforcement, environmental conservation, forestry, and aerial surveying. Only a few local operators have established traditional commercial operations and primarily for supporting the offshore oil and gas industry in the Gulf of Thailand, as well as providing helicopters for corporate use and charter services.

There are 112 helicopters operating in Thailand. Bell Helicopter is the market leader with 46%, followed by Airbus Helicopters with 30%, and Sikorsky and AgustaWestland at 12% and 7% respectively.

Uncharacteristically, most operators in Thailand chose to focus on one specific mission rather that a more diverse range of services. Providers of charter, 112 in Total EMS, SAR and offshore operations, as well as helicopters used by large Thai conglomerates for corporate transport, are all separate operators.

Primary government operators are the Thai Royal Police Department which is active in a variety of law enforcement activities. The Ministry of Natural Resources and Environment is responsible for protecting the country’s natural resources.

In the offshore segment, SFS Aviation, Thai Aviation Services, and United Offshore Aviation operate a combined fleet of 21 helicopters.

Advance Aviation operates a fleet of five helicopters and are the largest charter service provider in the country.

Thailand’s fleet grew by only 1 helicopter in 2015 compared to 12 additions in 2014. Thailand’s aviation regulations restrict the importation of helicopters above 5 years old, making it difficult for used aircraft to penetrate the market, forcing operators and buyers to opt for new helicopters unless they are locally available. ASG expects multi-mission and activity to rise in Thailand in the coming years.

ASIA PACIFIC REGION CIVILCIVIL HELICOPTERHELICOPTER FLEET FLEET REPORT REPORT – – YEAR YEAR END END 2015 2015 55 THAILAND Net Fleet Growth by OEM

2014 (111) 2015 (112)

53 52 32 34 13 13 7+00+87 8 32+00+34 53+00+526 5 6+00+5 13+00+13 Sikorsky Robinson Bell Helicopter Bell AgustaWestland Airbus Helicopters Airbus

Net Fleet Growth by Mission

2014 (111) 2015 (112)

49 50

26 27 21 21 5 3 49+00+50 26+00+27 21+00+214 5 4+00+5 35+00+33 2 3+00+32 1 1 2+00+2 1+00+1 EMS Private Charter Corporate Multi-Mission Flight Training Law Enforcement Law Offshore Operations

Net Fleet Growth by Size Category

62 64 2014 (111) 2015 (112) 37 37 6+00+56 5 37+00+37 4 4 4+00+4 62+00+642 2 2+00+2 Heavy Single Piston Medium Light Twin

56 ASIA PACIFIC REGION CIVIL HELICOPTER FLEET REPORT – YEAR END 2015 THAILAND Breakdown by Size Category Breakdown by Mission 112 in Total 112 in Total

Flight Training 3 (3%) Light Twin 4 (4%) Corporate 3 (3%) Private 2 (2%) EMS 1 (1%) Piston 5 (4%) Heavy 2 (2%) Charter 5 (4%) Offshore Operations 21 (19%)

Law Enforcement Turbine 44% 96% 44+24+19+4+3+2+1+G

Single 37 (33%) Medium 64 (57%) Multi-Mission 27 (24%) Law Enforcement 50 (44%)

Breakdown by OEM Fleet Size Replacement Cost (USD)

AgustaWestland 8 (7%) Robinson 5 (5%) AgustaWestland (11%)

Airbus Sikorsky Helicopters Bell Helicopter 13 (12%) (27%) (34%)

112 $623M

Airbus Helicopters Bell Helicopter 34 (30%) 52 (46%) 34+Sikorsky28+2711+G (28%) 46+30+12+7+5+G Note: The market share of Robinson’s replacement cost is less than 1%.

ASIA PACIFIC REGION CIVIL HELICOPTER FLEET REPORT – YEAR END 2015 57 THAILAND Breakdown by Helicopter Model – Turbine Only 107 in Total

AgustaWestland AW109 8 8 (7%)

Airbus AS350 14 Helicopters 34 (32%) EC155 7

EC130 4

EC135 3

EC145 3

AS365 2

AS355 1

Bell Helicopter Bell 206 18 52 (49%) Bell 412 14

Bell 212 12

Bell 205 7

Bell 407 1

Sikorksy S-76C++ 7 13 (12%) S-76C+ 4

S-92 2

58 ASIA PACIFIC REGION CIVIL HELICOPTER FLEET REPORT – YEAR END 2015 THAILAND Top Operator Fleets by Model

50

12 10 6 5 5 5 4 3 3 3 SFS

50+12+10+6+5+5+5+4+3+3+3Dept Aviation Aviation Aviation Aviation Aviation Ministry Heliluck Services Advance Authority Agricultural Thai Survey Department Civil Aviation Thai Aviation Thai Aviation Police-Aviation Training Center Training United OffshoreUnited Natural Resources Natural Electricity Generating Electricity Total AgustaWestland AW139 3 5 8 AS350 11 2 1 14 AS355 1 1 Airbus AS365 2 2 Helicopters EC130 3 1 4 EC135 1 2 3 EC155 5 2 7 Bell 205 7 7 Bell 206 15 2 1 18 Bell Helicopter Bell 212 12 12 Bell 407 1 1 Bell 412 9 2 11 Robinson R44 3 2 5 S-76C+ 1 3 4 Sikorsky S-76C++ 7 7 S-92 2 2 Total 50 12 10 6 5 5 5 4 3 3 3 106

Fleet Breakdown by Mission & OEM

50 27 21 50+27+21+5+3+3+2+15 3 3 2 1 EMS Private Charter Offshore Corporate Operations Multi-Mission Flight Training Law Enforcement Law Total AgustaWestland 8 8 Airbus Helicopters 7 19 5 2 1 34 Bell Helicopter 43 6 1 2 52 Robinson 2 3 5 Sikorsky 13 13 Total 50 27 21 5 3 3 2 1 112

ASIA PACIFIC REGION CIVIL HELICOPTER FLEET REPORT – YEAR END 2015 59 THAILAND Total Fleet Age Distribution 112 in Total

12

10

8

6

4

2

0 1974 1971 1976 1977 1978 1979 1997 1970 1972 1973 1975 2010 2014 2007 2011 1991 1987 1981 2015 1961 2013 2001 2012 1994 1980 1982 1983 1985 1986 1988 1989 1990 1992 1993 1995 1996 1998 1999 1959 1960 1962 1963 1965 1966 1967 1968 1969 1964 1984 2000 2002 2003 2004 2005 2006 2008 2009

Year of Manufacture

60 ASIA PACIFIC REGION CIVIL HELICOPTER FLEET REPORT – YEAR END 2015 THAILAND Additions & Deductions Per Model 1 in total

+1 AW139 1 Agusta Westland

2 2 EC155

EC130 1

Deductions (-4) New Deliveries (+4) EC165 1 +2 Airbus Airbus Pre-owned (+1) Helicopters

AS365 -1

BK117 -1

-1 Bell 430 -1 Bell Helicopter

-1 R44 -1 Robinson

ASIA PACIFIC REGION CIVIL HELICOPTER FLEET REPORT – YEAR END 2015 61 i

SPOTLIGHT ON SAFETY Operator Profile SFS Aviation

Tisanu Ratanarat CEO SFS Avation

During the oil industry’s boom time when oil prices were and marine logistics, fabrications, aviation, and the R&D three figures per barrel, offshore helicopters were selling at activities related to these industries. Founded in 1990 an incredible pace. Perceiving a huge market opportunity, by CEO and professionally trained helicopter pilot Chira companies serving the oil & gas industry likewise started Ratanarat, SFS currently flies offshore in Thailand with new popping up everywhere. But as with any growth surge based technology aircraft, operations that began in 2005. SFS is on a boom in a notoriously volatile market, not all the new the only Thai operator that is in compliance with Thai legal start-ups that came along were built to last. Those that were regulations regarding the number of Thai pilots, and is the constructed to weather the lean times, as we find ourselves first to use European standard manuals, a new Thai Director in today, recognized that to survive one key element was the of Civil Aviation requirement. need to create a long-term culture of expertise and safety. SFS Aviation Co. Ltd. in Thailand is one of the hardiest In addressing the current struggles in the offshore helicopter operators to be found in the helicopter industry, founded on market, SFS Aviation CEO Tisanu Ratanarat says, “All of us a safety culture that has not only won it countless accolades, are trying to survive this ‘great down-turn’ in our own ways. but also provides an excellent model for how newcomers to But we hope that despite the cost-conscious environment, the industry might succeed, even in a market as tough as all of us can continue to stay true to our mottos and our today. essential safety policies. In fact, with a slow market and reduced activities, there is no better time than now to look The secret to SFS’s success has been its commitment to inward and see how we can improve our standardized a safety culture that in turn opens the door for constant processes. It is an opportunity to enhance our services so expansion and opportunity. The company is part of a Thai- that, when the market turns up again, our industries will be owned family business with revenues of US$350 million even safer than they are today.” which specializing in fuel, lubricants, chemicals, land

62 ASIA PACIFIC REGION CIVILCIVIL HELICOPTERHELICOPTER FLEET FLEET REPORT REPORT – – YEAR YEAR END END 2015 2015 i

SFS’s commitment to safety has been a of the relevant Risk Control Processes. Next, an mainstay of its development and vision from the audit is made of the effectiveness and elegance earliest days. Ratanarat suggests that there of the design evolution of the Risk Control are several tasks that will help operators reach Processes. The final step is an audit of how the highest level of safety performance. These quickly the Risk Control Processes are modified tasks include surveying and recognizing all from the time the trigger occurs, so as to the possible threats and risks in the industry, minimize exposure time to any of the new risks analyzing and mapping those risks against that might surface. unwanted hazardous scenarios, designing risk control processes to prevent those Ratanarat notes that passing an audit of scenarios from happening, implementing the above depth and scale is a challenge and monitoring risk control processes, and for any company, especially because the continually revamping the processes to further current standards and guidelines stop at the strengthen them before reimplementation. In second step. He adds, “What is needed is the addition, safety performance initiatives can be commitment and drive from individual auditors enhanced through the introduction of a Safety to seek further solutions. The goal should be to Management System and Audit Program. SFS push past the fourth step, which would mean itself provides a particularly strong example attaining true safety performance.” of the application of these initiatives and enhancements, and remains committed to the To Ratanarat and SFS, it is obvious that the idea that the right enhancements of this sort will goal of all oil companies and operators should drive operators in the region to perform better in be to operate safely so as to avoid accidents safety management. and save lives. The company hopes to set a standard for the region, calling on its fellow Ratanarat adds further, “An appropriate Audit operators to allocate the necessary time and Program designed to build up and lead to a management resources to create an in-depth higher and safer performing operation assumes Safety Management System Specification and that the operator will keep records of Safety KPIs complementary Audit Program. Ratanarat urges, or SPIs (Safety Performance Indicators) and logs “Now is the opportune time to drive our region’s of the existing and redesigned and improved safety to the next level. If we succeed, we can all risk control processes.” The steps to formulate come out on the other side better geared for a such a program begin with an audit of basic safer tomorrow.” standard operation documentation, hardware, and operation/maintenance/training records. From there, it moves to an audit of activities under the Safety Management System, such as Safety Case and Management of Change. The next step is to determine whether Risk Profiles and Maps reflect the real risks in the operating environment and whether the control processes for those risks are actually in place. From there, the program moves to an audit for additional risk- related changes and incoming triggers, leading to an update (i.e., redesign and implementation)

ASIA PACIFIC REGION CIVILCIVIL HELICOPTERHELICOPTER FLEET FLEET REPORT REPORT – – YEAR YEAR END END 2015 2015 63 64 ASIA PACIFIC REGION CIVIL HELICOPTER FLEET REPORT – YEAR END 2015 PHILIPPINES

The Philippines helicopter fleet has the characteristics of a mature, developed and relatively free market in terms of airspace and operating regulations. There are 200 helicopters in service in the Philippines, up from 186 in 2014, representing an 8% increase. Airbus Helicopters represents over 40% of the fleet, followed by Robinson with 22%, Bell Helicopter 21%, and AgustaWestland with a 7% market share.

The geography of the Philippines makes helicopters an essential means of efficient transportation. The archipelago consists of over 7,000 islands in three main island groups, Luzon in the North, central Visayas, and Mindanao in the South. Transportation infrastructure within the main islands is still poor despite government efforts and plans to improve them over time. Severe traffic within and on the roads leading to Manila make mobility extremely difficult at times. Adding to the geographic layout and poor infrastructure, the Philippines are frequently hit by extreme weather conditions causing occasional natural disasters requiring significant relief efforts. These conditions make helicopters a major internal means of transport for corporations with operations throughout the country such as the construction industry, mining, agriculture, fisheries, and livestock.

There are over 100 operators in the Philippines for a fleet of 200 helicopters. Many operators are individuals and corporations managing their own helicopters, 200 in Total which typically are either light single or piston-engine helicopters. These 2 types represent 66% of the total Philippines fleet. This strong and stable market in terms of private transport and corporate use in the Philippines results in these missions representing 42% of the market, the largest corporate market share in the Asia Pacific region. This is followed by multi-mission helicopters (28%) and those used for charter services (13%).

There are very few civil helicopters dedicated to SAR and EMS. Some of these operations are under the responsibility of the Philippines navy which has been slowly adding helicopters and making plans for SAR and disaster relief capabilities.

Additions to the Philippines fleet in 2015 were deliveries to a combination of corporate and government entities. 11 of these were new aircraft, 8 were pre- owned, along with 5 deductions.

In preparation for the upcoming elections in May 2016, many operators have been gearing-up and preparing their fleets for the expected high volume of charter requirements during the election campaigns of electoral candidates.

In Manila, the Ninoy Aquino International Airport (NAIA) is home to a large number of helicopter operators. However, high traffic levels and the lack of space at the airport is making the environment increasingly challenging and is causing some general aviation companies to look for alternative operational solutions. Clark International Airfield is positioning itself as a primary candidate to becoming a general aviation hub and attracting aviation related businesses, including helicopters, to move their operations to the Clark Freeport Zone.

ASIA PACIFIC REGION CIVIL HELICOPTER FLEET REPORT – YEAR END 2015 65 PHILIPPINES Net Fleet Growth by OEM

2014 (186)

79 84 2015 (200)

43 44 45 37 16 14 9 16+00+14 79+00+84 37+00+432 2 2+00+26 6+00+9 2 44+00+452 1 2+00+2 0+00+3 MD Sikorsky Enstrom Robinson Schweizer Bell Helicopter Bell AgustaWestland Airbus Helicopters Airbus

Net Fleet Growth by Mission

2014 (186) 2015 (200) 74 75

51 57

26 26 18 12 11 11 74+00+75 52+00+57 26+00+26 12+00+18 5 5 11+00+113 3 5+00+53 3 1 3+00+32 3+00+3 1+00+2 SAR EMS Private Charter Corporate Multi-Mission Flight Training Law Enforcement Law Offshore Operations

Net Fleet Growth by Size Category 2014 (186) 2015 (200)

82 85

47 48 35 47+00+48 82+00+8530 32 30+00+3227 27+00+35 Single Piston Meidum Light Twin

66 ASIA PACIFIC REGION CIVIL HELICOPTER FLEET REPORT – YEAR END 2015 PHILIPPINES Breakdown by Size Category Breakdown by Mission 200 in Total 200 in Total

Medium 35 (18%) Light Twin 32 (16%) Offshore Operations SAR 3 (2%) 5 (3%) Flight Training 3 (2%) EMS 2 (1%) Private 11 (5%) Law Enforcement 18 (9%)

Turbine Corporate 76% Charter 37% Corporate 26 (13%) 75 (37%)

Multi-Mission Piston 48 (24%) Single 85 (42%) 57 (28%)37+28+13+9+5+3+2+1+G

Breakdown by OEM Fleet Size Replacement Cost (USD)

AgustaWestland 14 (7%) MD 9 (5%) MD (3%) Sikorsky (2%) Others 4 (2%) Robinson (2%)

Sikorsky 1 (1%) Others (1%)

Bell Helicopter AgustaWestland 43 (21%) (16%) 200 50+$652M 26+16321+G Airbus Helicopters Airbus Helicopters Robinson 455+ (22%) 84 2+1+42+22217+G(42%) Bell Helicopter (26%) (50%)

ASIA PACIFIC REGION CIVIL HELICOPTER FLEET REPORT – YEAR END 2015 67 PHILIPPINES Breakdown by Helicopter Model – Turbine Only 152 in Total

AgustaWestland AW109 8 14 (9%) AW139 4

AW119 2

Airbus AS350 7 35 Helicopters EC130 84 (55%) 16

BO105 10

AS355 7

EC135 4

EC145 4

AS365 4

SA313 2

EC155 1

SA341 1

Bell Helicopter Bell 206 19 43 (28%) Bell 412 13

Bell 429 5

Bell 430 2

Bell 407 2

Bell 427 1

Bell 214 1

Enstrom 1 (1%) EN480 1

MD 9 (6%) MD 500 4

MD 900 2

MD 600 2

MD 520 1

Sikorksy 1 (1%) S-76A 1

68 ASIA PACIFIC REGION CIVIL HELICOPTER FLEET REPORT – YEAR END 2015 PHILIPPINES Breakdown by Operator Top 29 – Out of 110 Operators (2 or more helicopters)

Lionair 15

National Police 12

INAEC Aviation 9

Subic Int’l Air Charter 8

Asian Aerospace Corporation 6

National Defense 6

Airgurus 4

Challenger Aero Air 4

Helitrend 4

Philippines National Grid 4

PhilJets Aero Services 4

Royal Star Aviation 4

Asia Aircraft Overseas 3

Beeline Helicopters 3

Frabelle Properties 3

Gov’t of Philippines - Air Trans Office 3

Philip Morris Fortune Tobacco 3

Airspan Corporation 2

Executive Heli Jet 2

GCA Skyline 2

Gov’t of Philippines 2

HHIC-Phil 2

Masters Flying School 2

Philippine Airlines 2 2

Philippine Long Distance Telephone 2

TDG Asia 2

Trans Pacific 2

Vibrant Earth Movers 2

ASIA PACIFIC REGION CIVIL HELICOPTER FLEET REPORT – YEAR END 2015 69 PHILIPPINES Top Operator - Fleet Breakdown by Model

15 12 15+12+9+8+6+6+4+4+4+4+4+49 8 6 6 4 4 4 4 4 4 Aero Air Aero Aviation Airgurus Services Helitrend Subic Int’l Subic Royal Star Royal Air Charter Challenger Philippines Corporation PhilJets Aero PhilJets National Grid National INAEC Aviation National Police National Asian Aerospace National Defense National

Total AW109 1 1 1 3 6 AgustaWestland AW139 2 2 AS350 4 2 3 1 1 3 1 2 17 AS355 2 2 AS365 1 1 Airbus BO105 6 6 Helicopters EC130 2 2 2 6 EC135 1 1 EC145 1 1 Bell 206 1 2 1 1 5 Bell 412 6 1 7 Bell Helicopter Bell 427 1 1 Bell 429 1 1 MD 500 2 2 MD MD 600 1 1 MD 900 2 2 Robinson R44 15 2 1 1 19 Total 15 12 9 8 6 6 4 4 4 4 4 4 80

Fleet Breakdown by Mission & OEM

75 57

26 18 11 5 3 3 2 SAR 75+57+26+18+11+5+3+3+2EMS Private Charter Offshore Corporate Operations Multi-Mission Flight Training Law Enforcement Law Total AgustaWestland 5 5 2 2 14 Airbus Helicopters 33 22 12 10 2 3 2 84 Bell Helicopter 16 18 6 2 1 43 Enstrom 1 1 2 MD 3 6 9 Robinson 17 5 14 2 5 1 1 45 Schweizer 2 2 Sikorsky 1 1 Total 75 57 26 18 11 5 3 3 2 200

70 ASIA PACIFIC REGION CIVIL HELICOPTER FLEET REPORT – YEAR END 2015 PHILIPPINES Total Fleet Age Distribution 200 in Total

20

18

16

14

12

10

8

6

4

2

0 1974 1971 1976 1977 1978 1979 1997 1970 1972 1973 1975 2010 2014 2007 2011 1991 1987 1981 2015 2013 2001 2012 1994 1980 1982 1983 1985 1986 1988 1989 1990 1992 1993 1995 1996 1998 1999 1963 1965 1966 1967 1968 1969 1964 1984 2000 2002 2003 2004 2005 2006 2008 2009

Year of Manufacture

ASIA PACIFIC REGION CIVIL HELICOPTER FLEET REPORT – YEAR END 2015 71 PHILIPPINES Additions & Deductions Per Model 14 in total

AW139 -1 -2 Agusta

Westland AW109 -1

AC350 1 2 +5 Airbus Airbus

Helicopters EC130 2

Bell 412 6

Bell 429 1 1

Bell 1

+6 Bell 427 Deductions (-5) Helicopter Bell 407 -1 New Deliveries (+11) Pre-owned (+8) Bell 206 -2

MD 900 2 MD +3 MD 500 1

R44 1 +1 Robinson

S-76A 1 +1 Sikorsky

72 ASIA PACIFIC REGION CIVIL HELICOPTER FLEET REPORT – YEAR END 2015 MALAYSIA

There are 165 civil helicopters in operations in Malaysia, down from 169 last year. The fleet is dominated by Airbus Helicopters with a market share of 50% followed by AgustaWestland at 20%, and Bell Helicopter, Robinson and Sikorsky trailing with 12%, 9% and 7% market share respectively.

Malaysia is the most dominant offshore player in Southeast Asia with nearly 30% of the total fleet configured for offshore oil and gas support. These operations are carried out by 4 main operators with the largest being MHS Aviation and , both of which operate large fleets of helicopters off the Northern coast of West Malaysia. In Borneo, , and Sazma Aviation are the main offshore support service providers.

With the market being dominated by offshore configured helicopters, many operators have been facing severe challenges due to the global oil and gas downturn. As a result, some of these operators have been seeking work opportunities for their helicopters in other mission categories and even outside of Malaysia.

Medium and heavy helicopters make-up 50% of the Malaysian fleet primarily due to the high number of helicopters active in government SAR operations and in the offshore fleet.

Helicopters for corporate use and VIP charter services, represent nearly 30% of the Malaysia fleet.

165 in Total

ASIA PACIFIC REGION CIVILCIVIL HELICOPTERHELICOPTER FLEET FLEET REPORT REPORT – – YEAR YEAR END END 2015 2015 73 INAEC Aviation Corporation

Southeast Asia is home to some of the most beautiful islands and seas Dexter Ampong anywhere in the world. Often, access to these islands is limited to travel General Manager by sea or by smaller, more agile aircraft. Throughout the Philippines, in INAEC Aviation Corporation particular, there are hard to reach locations that are desirable not only for offshore oil and gas companies, but also to the tourism industry and aerial photographers. INAEC has made these and other sites in the region more accessible to its clients by providing services including contracted offshore (OGP) air transport, aircraft operations and management, aircraft mainte- nance, medical evacuation, high-value cargo transport, and charter aircraft for banks, aerial photographers, and corporate executives.

Though it was officially founded on November 9, 1993, INAEC Aviation Cor- poration has roots that reach all the way back to 1932. Dexter Ampong,

74 ASIA PACIFIC REGION CIVIL HELICOPTER FLEET REPORT – YEAR END 2015 General Manager of INAEC, says, “INAEC goes back to its founding in 1932 as Iloilo-Negros Air Express Corp. It was the first Filipino-owned civil airline in the Philippines, founded by sugar and shipping magnate Don Eugenio Lopez. After all of its aircraft were destroyed in World War Two, it was revived and eventually sold to another group that started Philippines Airlines. From then on, the company became the first Filipino airline to go international, offering routes to Hong Kong, Bangkok, San Francisco, Shanghai, and India. In 1993, INAEC was reincorporated and is now serving the oil and gas industry. Its other main businesses are corporate charter, aircraft management, FBO, and aircraft maintenance.”

Born from the heritage established by the ingenious INAEC, INAEC Aviation Corporation began in 1993 with one King Air 200 airplane and one Bell 206L3 helicopter. Today, a wholly owned subsidiary of Lopez Inc., a Filipino owned company, its fleet includes three SKA 350 turboprop airplanes, two AW139 helicopters, one Bell 429 helicopter, two EC135 helicopters, two AS355 F2 helicopters, and two AS350 B2 helicopters.

The company’s growth over the years is obvious just from the expansion of its fleet. “INAEC offers reliable aircraft, with a deep pool of aircraft to back up our commitment to clients,” said Ampong. Of course, on the road to such success, many challenges will crop up along the way. “INAEC is heavily involved in the Oil and Gas industry which is growing, but with the current low oil price, potential clients are putting on hold their projects that require helicopter services,” noted Ampong.

INAEC is also driven by the vision of becoming the preferred air charter provider in Asia. With this guiding ethos, its concentrated mission is to provide safe, reliable air charter services that comply with both local and international standards. These values, handed down as part of the Lopez heritage, are a source of great pride to the women and men at INAEC, inspiring great dedication in all who work with the company.

The future looks bright for charter air service businesses in the Philippines and the ASEAN region, and even the entire Asia-Pacific. INAEC is committed to the long term potential of the in- dustry, and will be keeping a keen eye on developmental opportunities in the Asia-Pacific region and beyond.

ASIA PACIFIC REGION CIVIL HELICOPTER FLEET REPORT – YEAR END 2015 75 76 ASIA PACIFIC REGION CIVIL HELICOPTER FLEET REPORT – YEAR END 2015 MALAYSIA Net Fleet Growth by OEM

2014 (169) 87 83 2015 (165)

30 33 20 19 14 15 14 11 4 4

30+00+33 87+00+83 20+00+19Mil 4+00+4 14+00+15 14+00+11 Sikorsky Robinson Bell Helicopter Bell AgustaWestland Airbus Helicopters Airbus

Net Fleet Growth by Mission

2014 (169) 2015 (165)

50 47

33 32 28 31 18 18 12 11 12 11 10 10 50+00+47 33+00+32 28+00+31 18+00+18 12+00+11 12+040+113 10+00+102 2 4+0 2+00+30+2 SAR EMS Private Charter Corporate Multi-Mission Flight Training Law Enforcement Law Offshore Operations

Net Fleet Growth by Size Category

2014 (169) 2015 (165) 68 66

40 38 34 33 16 17 11+00+1111 11 34+00+33 40+0 0+38 68+00+66 16+0 0+17 Heavy Single Piston Medium Light Twin

ASIA PACIFIC REGION CIVIL HELICOPTER FLEET REPORT – YEAR END 2015 77 MALAYSIA Breakdown by Size Category Breakdown by Mission 165 in Total 165 in Total

EMS 3 (2%) Heavy 17 (10%) SAR 10 (6%) Single 33 (20%) Private 2 (1%) Law Enforcement Offshore Operations Piston 11 (7%) (7%) 11 47 (28%)

Flight Training 11 (7%)

Offshore Operations Turbine 28% 93%

Charter 18 (11%) Light Twin 38 (23%) Medium 66 (40%) Corporate28+ 31 (19%) Multi-Mission19+11+7+6+2+1+G 32 (19%)

Breakdown by OEM Fleet Size Replacement Cost (USD)

Sikorsky 11 (7%) Mil (3%) Robinson 15 (9%) Mil 4 (2%) Bell Helicopter (4%)

Bell Helicopter Airbus Helicopters 19 (12%) Sikorsky (12%) (56%)

165 $1,156M

AgustaWestland AgustaWestland50+ 33 (20%) Airbus Helicopters 8320+12+97+2+G (50%) (25%) 56+25+12+4+3+G

78 ASIA PACIFIC REGION CIVIL HELICOPTER FLEET REPORT – YEAR END 2015 MALAYSIA Breakdown by Mission Breakdown by Helicopter Model – Turbine Only 165 in Total 154 in Total 29+2+1+1 AgustaWestland AW139 29 33 (21%) AW109 2

AW119 1

AW189 1 19+14+11+9+7+7+6+5+2+1+1 Airbus AS355 19 Helicopters 83 (54%) AS365 14

EC135 11

EC225 9

EC155 7

EC120 7

BO105 6

AS350 5

AS332L2 3

EC145 1

AS332L1 1 14+2+2+1 Bell Bell 206 14 Helicopter 19 (12%) Bell 407 2

Bell 429 2

Bell 222 1 4 Mil 4 (3%) Mi-8 4 4 Robinson 4 (3%) R66 4 5+4+1+1 Sikorsky 11 (7%) S-76C 5

S-76C++ 4

S-76C+ 1

S-76B 1

ASIA PACIFIC REGION CIVIL HELICOPTER FLEET REPORT – YEAR END 2015 79 MALAYSIA Breakdown by Operator Top 20 – Out of 56 Operators (2 or more helicopters) 23+19+11+10+8+7+7+7+7+6+3+3+3+3+3+3+3+2+2+2 Weststar Aviation 23

MHS Aviation 19

Hornbill Skyways 11

Sabah Air Aviation 10

Malaysian Police 8

Awan Inspirasi 7

Layang-Layang Aero 7

Malaysian Fire & Rescue 7

Solaire Systems 7

Malaysian Maritime 4

Solaire Systems 3

Aerial Power Lines 3

Asia Pacific Flight Training 3

Danga Bay 3

Helistar 3

PLUS Helicopter 3

Systematic Aviation Services 3

Adtec 2

Berjaya Air 2

YTL Power 2

80 ASIA PACIFIC REGION CIVIL HELICOPTER FLEET REPORT – YEAR END 2015 MALAYSIA Top Operator Fleets by Model

23 19

23+19+11+10+8+7+7+7+7+6+3+3+3+3+3+3+3+2+2+2 11 10 8 7 7 7 7 6

46+38+22+20+16+14+14+14+14+12Aero Police Hornbill Aviation Skyways Weststar Maritime & Rescue & Air Malaysian Malaysian MHS Aviation MHS Awan Inspirasi Awan Malaysian Fire Malaysian Layang-Layang Solaire Systems Solaire Aviation Services Aviation Total AW109 1 1 2 AgustaWestland AW139 18 3 2 3 26 AW189 1 1 AS350 1 1 EC155 1 1 EC225 5 3 8 EC135 5 5 AS332L1 1 1 Airbus AS332L2 3 3 Helicopters AS355 1 3 3 8 1 16 AS365 1 3 4 BO105 6 6 EC145 1 1 EC120 1 1 Bell Helicopter Bell 206 5 6 11 Mil Mi-8 4 4 R44 5 5 Robinson R66 1 1 S-76C 5 5 Sikorsky S-76C++ 1 1 1 3 Total 23 19 11 10 8 7 7 7 7 6 105

Fleet Breakdown by Mission & OEM

47

32 31 18 11 11 10 3 2 SAR 54+32+29+18+11+11+10+3+2EMS Private Charter Offshore Corporate Operations Multi-Mission Flight Training Law Enforcement Law Total AgustaWestland 22 1 3 1 6 33 Airbus Helicopters 16 20 21 8 11 3 3 1 83 Bell Helicopter 8 2 9 19 Mil 4 4 Robinson 3 3 8 1 15 Sikorsky 9 2 11 Total 47 32 31 18 11 11 10 3 2 165

ASIA PACIFIC REGION CIVIL HELICOPTER FLEET REPORT – YEAR END 2015 81 MALAYSIA Total Fleet Age Distribution 165 in Total

20

18

16

14

12

10

8

6

4

2

0 1974 1976 1977 1978 1979 1997 1973 1975 2010 2014 2007 2011 1991 1987 1981 2015 2013 2001 2012 1994 1980 1982 1983 1985 1986 1988 1989 1990 1992 1993 1995 1996 1998 1999 1984 2000 2002 2003 2004 2005 2006 2008 2009

Year of Manufacture

82 ASIA PACIFIC REGION CIVIL HELICOPTER FLEET REPORT – YEAR END 2015 MALAYSIA Additions & Deductions Per Model -4 in total

AW139 -2 4 +3 Agusta Westland AW189 1

EC135 1

EC155 -1 2

EC225 1

-4 AS355 -1 Aitbus Aitbus

Helicopters Deductions (-14) New Deliveries (+7) AS350 -1 Pre-owned (+3)

BO105 -2

AS365 -3

-1 -1

Bell Bell 206 Helicopter

+1 R66 1 Robinson

-3 S-76C++ -3 Sikorsky

ASIA PACIFIC REGION CIVIL HELICOPTER FLEET REPORT – YEAR END 2015 83 84 ASIA PACIFIC REGION CIVIL HELICOPTER FLEET REPORT – YEAR END 2015 INDONESIA

Indonesia is the largest archipelago in the world. It consists of five major islands and about 30 smaller groups. There is a total number of over 17,000 islands of which about 6,000 are inhabited, extending over a very large area from East to West and between the Indian and Pacific Oceans. Indonesia suffers from poor infrastructure in its rural areas and significant traffic in its main cities, making it an ideal market for helicopters.

The Indonesian civil helicopter fleet grew to 199 helicopters in 2015 making it the 8th largest fleet in the Asia-Pacific region. Growth was 7.6% versus 2014 with the Indonesian market adding 14 net helicopters in 2015, 69% of which were pre-owned and 31% new.

The market is almost equally shared between Bell Helicopter and Airbus Helicopters — 37% and 36% respectively, with the remainder of the fleet then shared between all other manufacturers where Sikorsky and Enstrom have carved out the larger shares. By size category, the market is almost equally shared between medium and single-engine helicopters — 40% and 39% respectively. Medium size helicopters are a mix of Bell Helicopter (40), Airbus Helicopters (18) and Sikorsky (16), and the single-engine category is a mix of Bell Helicopter (32) and Airbus Helicopters (21). The medium size category grew 11.1% in 2015, and the single-engine category grew 10%.

Growth in 2015 was highest for Airbus Helicopters at 7.5% and Bell Helicopter with 5.7%, with most of the added helicopters being put into corporate service (+20% for 2015), offshore operations (+19.2%) and multi-mission applications (+9.5%). Multi-mission is the largest application for helicopters in Indonesia with 41% of the fleet being utilised for these types of roles, which typically entail supporting remote locations and mountainous regions that require frequent personnel and equipment transport. This need is being driven by its resources-based industries mainly involved in coal and tin mining, timber, fishing and agriculture. The next largest missions are law enforcement (17%), offshore (16%) and corporate roles (9%).

Three of the top 4 operators in Indonesia are state owned. The largest is the National Police with a fleet of single and light twin helicopters including the Airbus Helicopters BO105s and Enstrom EN480s — 33 helicopters in total. The 2nd largest is Services with a fleet of 16 helicopters. Pelita was formed when 2 stated owned oil companies merged, and its primary mission is to support the oil and gas industry in Indonesia. Pelita’s fleet is primarily medium size helicopters — S-76s and Bell 412/430s. The 4th largest is the National Search & Rescue Agency with a mixed Airbus Helicopters fleet of light twins and mediums. The sole private operator in the Top 4 is Travira Air. Operating since 1983, Travira Air serves multinational oil, gas and mining corporations as well as medical service companies with operational bases in Balikpapan, , and Matak. Its fleet of 16 helicopters included 7 S-76s, 5 Bell Helicopter, 2 Airbus Helicopters and 2 AW139s.

One of the biggest issues facing Indonesian operators in 2016 are the new requirements introduced in the latter half of 2015 that: i) in-operation helicopters are not allowed to be older than 30 years and ii) new imported helicopters are not allowed to be older than 10 years. The 30 year limitation alone effects 55 helicopters in the Indonesian fleet – so an enormous 28% of the fleet including BO105s, Bell 206s, Bell 212s, and S-76As. The Top 4 operators will all be impacted, especially the National Police and National Search & Rescue Agency.

199 in Total

ASIA PACIFIC REGION CIVILCIVIL HELICOPTERHELICOPTER FLEET FLEET REPORT REPORT – – YEAR YEAR END END 2015 2015 85 INDONESIA Net Fleet Growth by OEM

2014 (185) 74 2015 (199) 67 72 70

18 18 15 16 7 5 2 3 4 4 3 3 1 2

0+75+0 0+7267+0 0+7470+0 0+1818+0 0+32+0 0+44+0Mil 0+33+0 0+21+0 0+1615+0 MD Kamov Sikorsky Enstrom Robinson Bell Helicopter Bell AgustaWestland Airbus Helicopters Airbus

Net Fleet Growth by Mission 2014 (185) 2015 (199)

81 74

32 33 26 31 17 15 18 15 13 13 74+00+81 32+00+33 26+00+31 15+00+18 17+00+155 5 13+00+132 2 5+00+51 1 2+00+2 1+00+1 SAR EMS Private Charter Corporate Multi-Mission Flight Training Law Enforcement Law Offshore Operations

Net Fleet Growth by Size Category 2014 (185) 2015 (199)

77 80 70 72

38 37 1+00+11 1 70+00+77 38+00+37 72+00+804 4 4+00+4 Heavy Single Piston Medium Light Twin

86 ASIA PACIFIC REGION CIVIL HELICOPTER FLEET REPORT – YEAR END 2015 INDONESIA Breakdown by Size Category Breakdown by Mission 199 in Total 199 in Total

EMS 5 (2%) SAR 13 (6%) Light Twin 37 (19%) Private 2 (1%) Heavy 4 (2%) Charter Flight Training 1 15 (8%) Piston 1

Corporate 18 (9%)

Multi-Mission Turbine 41% 99% Offshore Operations 31 (16%) Single 77 (39%) Medium 80 (40%) Law Enforcement41+ 33 (17%) Multi-Mission17+16+9+8+6+2+1+0+G 81 (41%)

Breakdown by OEM Fleet Size Replacement Cost (USD)

Kamov (1%) Kamov 3 (2%) MD 4 (2%) Mil 3 (1%) Mil (2%) Enstrom (1%) AgustaWestland 7 (4%) Robinson 2 (1%) AugustaWestland (5%) Others (1%)

Sikorsky 16 (8%) Airbus Helicopters (40%)

Enstrom Sikorsky 18 (9%) (19%) 199 $1,075M

Airbus Helicopters Bell Helicopter 72 (36%) 74 (37%) Bell Helicopter (31%) 36+37+9+842+21+G Note: The40 market value of Robinson’s replacement cost is less+3119+5+2+1+1+G than 1%.

ASIA PACIFIC REGION CIVIL HELICOPTER FLEET REPORT – YEAR END 2015 87 INDONESIA Breakdown by Helicopter Model – Turbine Only 198 in Total 3+3+1 AgustaWestland AW109 3 7 (4%) AW139 3

AW119 1 30+14+8+5+4+3+3+2+2+1 Airbus BO105 30 Helicopters 72 (36%) AS350 14

AS365 8

EC155 5

EC130 4

BK117 3

SA315 3

EC145 2

EC135 2

AS332C 1 22+18+14+8+6+4+2 Bell Helicopter Bell 412 22 74 (37%) Bell 206 18

Bell 407 14

Bell 429 8

Bell 212 6

Bell 430 4

Bell 427 2 18 Enstrom 18 (9%) EN480 18 + 3 Kamov 3 (2%) KA-32 3 + 4 MD 4 (2%) MD 500 4 + 3 Mil 3 (2%) Mi-8 3 + 1 Robinson 1 (1%) R66 1 8+5+2+1 Sikorsky 16 (8%) S-76C++ 8

S-76A 5

S-76C 2

S-76A+ 1

88 ASIA PACIFIC REGION CIVIL HELICOPTER FLEET REPORT – YEAR END 2015 INDONESIA Breakdown by Operator Top 33 – Out of 58 Operators (2 or more helicopters) 3+3+1 33+16+16+10+8+6+6+6+5+5+4+4+4+4+4+3+3+3+3+3+3+2+2+2+2+2+2+2+2+2+2+2 +2 National Police 33 Travira Air 16 Pelita Air Service 16 30+14+8+5+4+3+3+2+2+1 National SAR 10 8 Air Transport Service 6 Helimission 6 National Utility Helicopters 6 Derazona Air 5 Intan Angkasa 5 Air Pacific Utama 4 4 Heli SGI 4 Hevilift 4 Indonesia Air 4 Air Born 3 22+18+14+8+6+4+2 Gudang Garam 3 Seacons Trading 3 Transwisata Prima 3 Weststar Aviation 3 Whitesky Aviation 3 Cheysia Aurelia 2 2 Dominair 2 Eastindo Air 2 18 Ersa Eastern 2 + 3 Jhonlin Air 2 + 4 2 +

3 Pegasus Air Services 2 Penerbangan Angkasa Semesta 2 + 1 Sabang Merauke Raya Air Charter 2 8+5+2+1 Sampoerna Air 2 2

ASIA PACIFIC REGION CIVIL HELICOPTER FLEET REPORT – YEAR END 2015 89 INDONESIA Top Operator Fleets by Model

33 16 16 33+16+16+10+8+6+6+6+5+510 8 6 6 6 5 5 Service Travira Air Travira Helicopters Helimission Air Transport Air Transport Derazona Air Derazona National SAR National Intan Angkasa National Utility National National Police National Pelita Air ServicePelita Airfast Indonesia Total AgustaWestland AW139 2 2 AS350 1 2 1 1 5 AS365 3 2 5 Airbus BO105 10 3 8 6 27 Helicopters EC130 2 2 EC145 1 1 SA315 1 1 Bell 206 2 5 2 2 11 Bell 212 1 1 Bell Helicopter Bell 412 4 3 3 4 2 16 Bell 429 1 1 Bell 430 3 3 MD MD 500 2 2 Enstrom EN480 18 18 Mil Mi-8 2 2 S-76A 2 3 5 S-76A+ 1 1 Sikorsky S-76C 2 2 S-76C++ 2 4 6 Total 33 16 16 10 8 6 6 6 5 5 111

Fleet Breakdown by Mission & OEM

81

33 31 18 15 13 5 2 1 SAR 81+33+31+18+15+13+5+2+1EMS Private Charter Offshore Corporate Operations Multi-Mission Flight Training

Law Enforcement Law Total AgustaWestland 1 3 1 2 7 Airbus Helicopters 24 13 4 9 9 11 2 72 Bell Helicopter 45 2 8 8 4 2 3 1 1 74 Enstrom 18 18 Kamov 3 3 MD 4 4 Mil 3 3 Robinson 1 1 2 Sikorsky 16 16 Total 81 33 31 18 15 13 5 2 1 199

90 ASIA PACIFIC REGION CIVIL HELICOPTER FLEET REPORT – YEAR END 2015 INDONESIA Total Fleet Age Distribution 199 in Total

16

14

12

10

8

6

4

2

0 1974 1971 1976 1977 1978 1979 1997 1970 1972 1973 1975 2010 2014 2007 2011 1991 1987 1981 2015 2013 2001 2012 1994 1980 1982 1983 1985 1986 1988 1989 1990 1992 1993 1995 1996 1998 1999 1969 1984 2000 2002 2003 2004 2005 2006 2008 2009

Year of Manufacture

ASIA PACIFIC REGION CIVIL HELICOPTER FLEET REPORT – YEAR END 2015 91 INDONESIA

AW139 1 1 +2 Agusta Westland

AS350 1 3

+5 AS365 2 Airbus Airbus Helicopters

EC135 -1

Bell 429 2 Deductions (-2)

+4 New Deliveries (+5)

Bell Bell 206 2

Helicopter Pre-owned (+11)

Bell 412 -1 1

+1 KA-32 1 Kamov

+1 R66 1 Robinson

S-76C++ 1 +1 Sikorsky

92 ASIA PACIFIC REGION CIVIL HELICOPTER FLEET REPORT – YEAR END 2015 MYANMAR

Hopes for economic and political reforms led to continued investments and development in Mynamar in 2015, despite many taking a “wait and see” attitude in regards to what changes the new government may bring. Interests toward Myanmar’s helicopter industry have been aimed primarily at offshore support, but also towards the use of helicopters for corporate and utility operations.

Myanmar’s year end 2015 fleet consisted of only 13 helicopters primarily serving the offshore oil and gas industry. This was unchanged compared to 2014. 13 in Total In 2014, Myanmar concluded a tender for 50 offshore blocks opening up its gulf to further oil and gas exploration. Some of those blocks have become active in 2015, but several have decided to defer operations until the downturn in the oil and gas industry shows signs of recovery.

There is only one civil operator in Myanmar using a local AOC for multi-mission activity in-country. The rest of the fleet are foreign register helicopters providing offshore support.

Breakdown by OEM & Model 13 in Total

5

3

2

1 1 1

AW139 AS350 AS365 S-76C S-76C+ S-76C++

AgustaWestland Airbus Helicopters Sikorsky Total Air Myanmar 1 2 3 CNOOC 1 1 Heli-Union 1 4 5 Hevilift 3 3 Private 1 1 Total 1 5 7 13

ASIA PACIFIC REGION CIVIL HELICOPTER FLEET REPORT – YEAR END 2015 93 LAOS

There are six helicopters active in Laos which are all used for multi-mission utility operations. The Airbus Helicopters AS350 is the model of choice for Lao Westcoast, which is the primary Lao civil helicopter operator performing utility work and providing charter services. There is also one Mil-8 helicopter used by Lao Airlines for local charter services.

6 in Total

CAMBODIA As of year-end 2015, there were 8 helicopters active in Cambodia which were used for multi-mission utility operations, charter and VIP transport. Cambodia’s civil helicopters are all light single and twin engine Airbus Helicopters.

8 in Total

94 ASIA PACIFIC REGION CIVIL HELICOPTER FLEET REPORT – YEAR END 2015 VIETNAM

Vietnam National Helicopter Corporation, through its subsidiaries Southern Vietnam Helicopter (VNH South) and Northern Vietnam Helicopter (VNH North) operates a fleet of 27 helicopters where with the primary mission is transporting crew and equipment to offshore locations. The fleet is dominated by Airbus Helicopters with a market share of nearly 60%, all of which are operated by the Vietnam Helicopter Corporation.

In addition to its main services, Vietnam Helicopter Corporation also provides helicopter flight services for other missions such as aerial tours, medical evacuation, SAR, cargo sling operations and transportation services for top government officials. 67% of the helicopters operating in Vietnam are inthe heavy category. This high percentage compared to other countries in the Asia Pacific region is due to the fact that offshore support is the primary mission for Vietnam’s helicopters. This mission and performance requirement makes heavy 27 in Total helicopters a necessity.

Breakdown by Model 27 in Total

10

4 4 4

2 2 1

AS332L2 EC120 EC130 EC155 EC225 Cabri G2 Mi-8

ASIA PACIFIC REGION CIVIL HELICOPTER FLEET REPORT – YEAR END 2015 95 BRUNEI

Brunei’s helicopter fleet is dedicated to supporting offshore activity taking place off the western coast of Borneo. These services are provided by Brunei Shell Petroleum using Sikorsky and AgustaWestland helicopters. Brunei Shell is the only civil operator that owns, operates and maintains helicopters in the Kingdom of Brunei. In 2015 Brunei established its own SAR operation utilising a Sikorsky S-92 helicopter to further support offshore activities in the region.

6 in Total

SINGAPORE

Despite Singapore being a renowned aviation hub with advanced aviation support infrastructure and several OEMs with established maintenance facilities, helicopters used for civil operations is negligible. This is due to its small landmass, limited airspace and cross-border restrictions. There is only one civil helicopter based in Singapore, operated by Heli-Services and it is used for aerial tours and surveys. SAR operations are carried out by the Singapore Air Force using a fleet of Super-Puma helicopters.

1 in Total

96 ASIA PACIFIC REGION CIVIL HELICOPTER FLEET REPORT – YEAR END 2015 ASIA PACIFIC REGION CIVIL HELICOPTER FLEET REPORT – YEAR END 2015 97 OCEANIA PAPUA NEW GUINEA

Papua New Guinea’s (PNG) geography is diverse and in places extremely rugged with high mountains, rivers, active volcanoes and covered with tropical rainforests. Its main industries driving the economy are mining for copper, gold, and crude oil, which account for a majority of the country’s export earnings. Coffee, tea, rubber and cocoa fields as well as fishing and timber are also some of the major industries in Papua New Guinea. Many of these activities are in remote, often difficult-to-reach locations. With no sufficient land transport infrastructure, these industries rely heavily on the use of helicopters to support their operations. However, the aviation infrastructure also remains underdeveloped with poor communication and a lack of navigation aids.

A helicopter in the PNG fleet could generally be summarized as a pre-owned, single- engine turbine from Bell Helicopter or Airbus Helicopters engaged in multi-mission applications with one of the top 4 operators in the country: • There are no new helicopters in service in PNG. They are all at least 6 - 7 years old with the majority of the fleet 25 to 35 years old. • The most popular model types are the Bell 206 / 212 / 407 and AS350. Most of them are used for general transport, aerial surveys, and seismic operations. • 83% of the fleet is utilised in a multi-mission role which include mining, industrial support, heavy sling work, cargo and personnel transport, geological exploration, aerial surveying, power-line construction, and oil and gas support for the onshore oil fields. • The top 4 operators — Pacific Helicopters, Hevilift, Hei Niugini & Helifix — operate 66% of the fleet.

The PNG fleet increased by a net 9 helicopters through 2015, growing 9% to a net total fleet of 114 aircraft by year end. The market is split between Bell Helicopter and Airbus Helicopters at 61% / 30% respectively, with Boeing, Russian Helicopters, and Sikorsky making up the rest. Whereas singles dominate the market (53%), medium sized helicopters are the next biggest category with 33%, of which Bell 212s and BK117s are the typical model types.

114 in Total

98 ASIA PACIFIC REGION CIVILCIVIL HELICOPTERHELICOPTER FLEET FLEET REPORT REPORT – – YEAR YEAR END END 2015 2015 PAPUA NEW GUINEA Net Fleet Growth by OEM

2014 (105) 2015 (114) 65 70

31 34

4 4 4 5 1 1

0+3431+0 0+7065+0 0+8 8+0 0+0 2+0Mil 0+10 8+0 0+00+2 Kamov Sikorsky Bell Helicopter Bell Boeing Rotocraft Boeing Airbus Helicopters Airbus

Net Fleet Growth by Mission 2014 (105) 2015 (114)

88 94

6 88+00+93 6 6+00+6 4 5 4+00+53 5 3+00+53 3 3+00+31 1 1+00+1 EMS Private Charter Corporate Multi-Mission Offshore Operations

Net Fleet Growth by Size Category 2014 (105) 2015 (114)

56 60 37 38 56+00+60 4 74+00+7 37+00+388 9 8+00+9 Heavy Single Medium Light Twin

ASIA PACIFIC REGION CIVIL HELICOPTER FLEET REPORT – YEAR END 2015 99 PAPUA NEW GUINEA Breakdown by Size Category Breakdown by Mission 114 in Total 114 in Total

Charter 5 (4%) Private 3 (3%)

Heavy 9 (8%) Light Twin 7 (6%) Corporate 5 (4%) EMS 1 (1%)

Offshore Operations 6 (5%)

Turbine Multi-Mission 100% 83% Medium 3853+ (33%) Single 60 (53%)33+8+6+G 82+6+4+3+1+G Multi-Mission 94 (83%)

Breakdown by OEM Fleet Size Replacement Cost (USD)

Boeing Rotocraft 4 (4%)

Mil 5 (4%) Sikorsky 1 (1%) Mil (7%) Sikorsky (2%)

Airbus Boeing Helicopters Rotocraft 34 (30%) (13%)

114 $555M

Airbus Bell Helicopter Helicopters Bell Helicopter 61+30+4+1+G 70 (61%) (33%) 45+33+13+72+G (45%)

100 ASIA PACIFIC REGION CIVIL HELICOPTER FLEET REPORT – YEAR END 2015 PAPUA NEW GUINEA Breakdown by Mission Breakdown by Helicopter Model 114 in Total 114 in Total 16+11+6+1 Airbus AS350 16 Helicopters 34 (30%) BK117 11

BO105 6

SA315 1 22+21+16+5+3+2+1 Bell Bell 206 22 Helicopter 70 (61%) Bell 407 21

Bell 212 16

Bell 412 5

Bell 214 3

Bell 205 2

Bell 427 1

Boeing BV234 3 Rotocraft 4 (4%) BV107 1

Mil 5 (4%) Mi-8 5

Sikorsky 1 (1%) S-76A 1

ASIA PACIFIC REGION CIVIL HELICOPTER FLEET REPORT – YEAR END 2015 101 PAPUA NEW GUINEA Top Operator Fleets by Model

26 23 15 11 7 7 4 3 3 2 22

52+46+30+22+14+14+8+6+6+4+4+4 Pacific Heliflix Hevilift Niugini Aviation Aviation Manolos Operations Pacific Rim Pacific Helicopters Helicopters McDermott Heli Niugini Heli Air ServicesAir Airlines PNG Airlines of Linguistics of Southwest Air Southwest Heli Solutions Heli

Summer Institute Summer Total AS350 11 1 12 Airbus BK117 4 4 1 9 Helicopters BO105 5 5 SA315 1 1 Bell 205 2 2 Bell 206 4 6 2 3 3 1 2 21 Bell 212 6 6 2 1 15 Bell Bell 214 3 3 Helicopter Bell 407 4 4 6 3 3 1 21 Bell 412 5 5 Bell 427 1 1 Boeing BV107 1 1 Rotocraft BV234 3 3 Mil Mi-8 2 3 5 Sikorsky S-76A 1 1 Total 26 23 15 11 7 7 4 3 3 2 2 2 105

Fleet Breakdown by Mission & OEM

94

6 5 5 3 1

93+7+5+5+3+1EMS Private Charter Offshore Corporate Operations Multi-Mission

Total Airbus Helicopters 25 3 1 1 3 1 34 Bell Helicopter 60 3 3 4 70 Boeing Rotocraft 4 4 Mil 5 5 Sikorsky 1 1 Total 94 6 5 5 3 1 114

102 ASIA PACIFIC REGION CIVIL HELICOPTER FLEET REPORT – YEAR END 2015 PAPUA NEW GUINEA Total Fleet Age Distribution 114 in Total

12

10

8

6

4

2

0 1974 1971 1976 1977 1978 1979 1997 1970 1972 1973 1975 2010 2014 2007 2011 1991 1987 1981 2015 2013 2001 2012 1994 1980 1982 1983 1985 1986 1988 1989 1990 1992 1993 1995 1996 1998 1999 1963 1965 1966 1967 1968 1969 1964 1984 2000 2002 2003 2004 2005 2006 2008 2009

Year of Manufacture

ASIA PACIFIC REGION CIVIL HELICOPTER FLEET REPORT – YEAR END 2015 103 PAPUA NEW GUINEA Additions & Deductions Per Model 9 in total

BO105 3

AS350 1 +3 Airbus Airbus Helicopters

BK117 -1

Bell 212 2

Deductions (-2) Bell

+5 Bell 206 2 Pre-owned (+11) Helicopter

Bell 407 1

-1 KA-32 -1 Kamov

Mil Mi-8 1 +1

S-76A 1 +1 Sikorsky

104 ASIA PACIFIC REGION CIVIL HELICOPTER FLEET REPORT – YEAR END 2015 AUSTRALIA

Australia is the single largest helicopter market in the Asia Pacific region with almost 2,100 helicopters representing a 3rd of the total Asia Pacific fleet. Having received its first helicopter in 1948, it is a mature market and has had recently more than two decades of steady growth. Australia’s civil helicopter fleet grew however at just a 3% in 2015. This slowdown was the result of a number of factors including the government’s financial problems, the collapse of the Australian dollar, the end of the mineral export boom, lower oil prices, and general global financial difficulties. No improvement is expected in 2016 with growth to remain flat.

Australia has the largest fleet in the Asia Pacific region of Robinsons (1,061), Bell Helicopter (447) and a significant fleet of Airbus Helicopters (298). Australia’s fleet of Robinsons is the 2nd largest in the world and the aircraft is used for a diverse range of multi-mission applications including flight training, herd mustering, traffic reporting, police work, emergency response and evacuations, search and rescue operations, fire ignition and suppression, underslung loads and aerial mapping, aerial spraying, powerline and pipeline survey, filming and photography, charter, and tourism.

Given the predominance of Robinsons, pistons and single-engine helicopters represent 86% of the total Australian market and 83% of the helicopter are used in either multi-mission, corporate, or private roles. The most popular turbine models are the Bell 206, 412 and Airbus Helicopters AS350.

The country has a staggering 1,017 operators which are characterized by either the largest in Australia – North Australia Helicopters – who’s fleet consist of 43 helicopters, of which 37 are Robinsons or, at the other end of the market size- wise, characterized by Lloyd Helicopters or Bristol Helicopters, which have mostly medium and heavy size helicopters such as the AW139s, EC225s, S-76s, and 92s.

Examining the net fleet additions in 2015, as one would expect in a mature market, additions were split almost 50/50 between new aircraft and pre-owned aircraft where the majority of new deliveries were either AW139 (Air Ambulance / EMS version) or Robinson R22s/44s. The majority of pre-owned deliveries were either Bell 205/206s or again the Robinson R22s/44s.

2,094 in Total

ASIA PACIFIC REGION CIVIL HELICOPTER FLEET REPORT – YEAR END 2015 105 AUSTRALIA Net Fleet Growth by OEM 2014 (2,028) 2015 (2,094) 1,023 1,061

438447 299298 85 90 53 56 40 48 18 18 4 4 7 7 24 27 35 35 2 3

0+54+0 0+2727+0 0+98+0 0+4140+0 0+2 2+0 0+1 1+0 0+1 1+0MD 0+3 3+0 0+96 93+0 0+65+0 0+44+0 0+32+0 Others Sikorsky Enstrom Guimbal Robinson Schweizer Hiller AircraftHiller Bell Helicopter Bell AgustaWestland Airbus Helicopters Airbus Amateur-Built Aircraft Amateur-Built Net Fleet Growth by Size Category

2014 (2,028) (2,094) 1,2381,281 2015

507 525

177 188 97+00+100 0+5250+061 56 6+00+5 17+00+1845 44 0+44+0 Heavy Single Piston Medium Light Twin

106 ASIA PACIFIC REGION CIVIL HELICOPTER FLEET REPORT – YEAR END 2015 AUSTRALIA Breakdown by Size Category Breakdown by Mission 2,094 in Total 2,094 in Total

EMS 50 (2%) SAR 36 (2%)

Offshore Charter 28 (1%) Operations 81 (4%) Law Enforcement 9 (1%) Heavy 44 (2%) Flight Light Twin 56 (3%) Training 154 (7%)

Medium 188 (9%)

Turbine Multi-Mission 39% 39%

Multi-Mission 810 (39%)

Private 483 (23%) Single 525 (25%) Piston 1,281 (61%) 39+Corporate23+21+7+4+2+1+1+G 443 (21%)

Breakdown by OEM Fleet Size Replacement Cost (USD)

AgustaWestland 48 (2%) Sikorsky 35 (2%) AgustaWestland (9%) Robinson (8%)

Schweizer 56 (3%) Others 32 (2%) Sikorsky (12%) MD (1%) MD 27 (1%) Amateur-Built Aircraft 90 (4%) Others (1%) Airbus Helicopters 298 (14%)

2,094 45$3,923M+24+12981+G

Robinson Bell Helicopter 51+447 (21%) 1,061 (51%)21+14+4+3+2+1+G Airbus Helicopters (45%) Bell Helicopter (24%)

Note: The market share of Amateur-Built Aircraft and Schweizer’s replacement cost are both less than 1%.

ASIA PACIFIC REGION CIVIL HELICOPTER FLEET REPORT – YEAR END 2015 107 AUSTRALIA Breakdown by Helicopter Model – Turbine Only 813 in Total

Aérospatiale 1 Gazelle 1 HT MK 2 1 24+18+5+1 AgustaWestland AW139 24 48 (6%) AW109 18 AW119 5

AW169 50+31+26+22+20+15+13+11+8+7+6+3+1 1 Airbus Helicopters AS350 135 298 (37%) EC120 31 BK117 26 EC130 22 EC225 20 AS355 15 BO105 13 AS365 11 AS332L1 8 EC135 7 AS332L 6 EC145 3

EC155 5+4+2 1 Amateur-Built Helicycle 5 Aircraft 11 (1%) Hummingbird 4

Rotorway Jetexec 65+36+23+13+10+9+8+4+3+2+1+1+1 2 Bell Helicopter Bell 206 255 366 (45%) Bell 412 36 Bell 205 23 Bell 212 13 Bell 214 10 Bell 407 9 Bell 222 8 Bell 204 4 Bell 429 3 Bell AH-1 2 Bell 430 1 Bell 427 1

Bell 230 3 1 Enstrom 3

EN480 19+4+2+1+1 3 MD 27 (3%) MD 500 19 MD 520 4 MD 600 2 MD 530 1

MD 900 24 10+6+4+4+4+4+2+1 1 Robinson 24 (3%) R66 24 Sikorsky 35 (5%) S-92 10 S-76C 6 S-76A++ 4 S-76A+ 4 S-76A 4 S-76C++ 4 S-76B 2 S-58 1

108 ASIA PACIFIC REGION CIVIL HELICOPTER FLEET REPORT – YEAR END 2015 AUSTRALIA Breakdown by Operator Top 60 – Out of 1,017 Operators (6 or more helicopters) 1 43+33+32+32+27+25+22+20+19+18+18+17+16+15+15+14+14+13+12+12+12+12+12+11+11+10+10+10+9+8+8+8 +8+8+8+8 North Australian Helicopters 43 24+18+5+1 Lloyd Helicopters 33 Cloncurry Mustering 32 McDermott Aviation 32 50+31+26+22+20+15+13+11+8+7+6+3+1 Australia 27 Australian Helicopters 25 Rotorwest 22 Professional Helicopter Services 20 Heliflite 19 Heli-Muster (NT) 18 Helidoc 18 Jayrow Helicopters 17 7+7+7+7+7+7+7+6+6+6+6+6+6+6+6+6+6+6+6+6+6+6+6+6 Choppair Helicopters 16 Air Precision 7

5+4+2 Bankstown Helicopters 15 Bond Helicopters Australia 7 Becker Helicopters 15 Heli-Serv 7

65+36+23+13+10+9+8+4+3+2+1+1+1 Helicopter Film Services 14 Rotor Force Australia 7 Microflite 14 Skyplan Australia 7 CareFlight Group 13 Helicopters 7 Aeropower 12 The Helicopter Group 7 Barkly Helicopters 12 Arafura Helicopters 6 Helicopter Resources 12 Commercial Helicopters (Aust) 6 Kestrel Aviation College 12 Esso Australia Resources 6 Whitsunday Air Services 12 Fisher-Private 6 Aviation Utilities 11 Glenample Air 6 Nautilus Aviation Heli 11 Gold Coast 6 CHC Helicopters (Australia) 10 Heli Central 6 3 GBR Helicopters Helifarm 19+4+2+1+1 10 6 Nautilus Aviation 10 Helistar Aviation 6 Top End Mustering 9 Heysen Gums 6 Great Barrier Reef Helicopters 8 Jetpoint 6

24 10+6+4+4+4+4+2+1 Heliservices Queensland 8 North Star Pastoral 6 Outback Helicopter Rental NT 8 Northshore Holdings (NT) 6 Pearl Coast Helicopters 8 State of New South Wales 6 Tasmanian Helicopters 8 Stirling Helicopter Services 6 Webb Helicopters 8 Stock-Air Heliworks 6 Williambury Helicopters 8 Whitsunday Helicopter Group 6

ASIA PACIFIC REGION CIVIL HELICOPTER FLEET REPORT – YEAR END 2015 109 AUSTRALIA Top Operators Fleet by Model

43 33 32 32 27 25 22 20 19 18 18

43+33+32+32+27+25+22+20+19+18+18 Heliflite Helidoc Aviation Australia Cloncurry Australian Rotorwest Mustering Helicopters Helicopters Professional McDermoott Heli-Muster (NT) Heli-Muster North Australian Lloyd Helicopters Lloyd Bristow Helicopters Bristow Helicopter ServicesHelicopter Total AgustaWestland AW139 6 5 5 16 AS350 4 4 2 10 EC225 5 9 14 EC135 1 1 AS332L 2 3 5 AS332L1 2 1 3 Airbus AS355 4 1 5 Helicopters AS365 1 4 5 BK117 1 2 1 4 BO105 7 7 EC130 1 1 EC145 2 2 Bell 204 1 1 Bell 205 4 4 Bell Bell 206 5 3 1 8 5 1 23 Helicopter Bell 214 10 10 Bell 412 7 10 17 1 6 7 MD MD 500 2 2 R22 23 28 1 4 10 13 16 95 Robinson R44 14 4 1 4 7 5 2 37 R66 1 1 Schweizer S-300 4 4 S-76A+ 4 4 S-76A++ 1 1 Sikorsky S-76C++ 4 4 S-92 2 4 6 Total 43 33 32 32 27 25 22 20 19 18 18 289

110 ASIA PACIFIC REGION CIVIL HELICOPTER FLEET REPORT – YEAR END 2015 AUSTRALIA Fleet Breakdown by Mission & OEM

810

483 443

154 81 50 36 28 9

Law SAR 81+48+44+15+8+5+4+3+1EMS Private Charter Offshore Corporate Operations Enforcement Flight Traning Multi-Mission

Total AgustaWestland 5 12 11 13 2 5 48 Airbus Helicopters 168 7 36 5 40 12 15 8 7 298 Amateur-Built Aircraft 1 78 11 90 Bell Helicopter 271 44 52 29 4 23 11 11 2 447 Enstrom 1 13 4 18 Guimbal 1 1 2 4 Hiller Aircraft 3 1 1 2 7 MD 16 8 1 2 27 Robinson 335 308 313 102 1 2 1,061 Schweizer 7 31 3 15 56 Sikorsky 1 1 26 7 35 Others 1 1 1 3 Total 810 483 443 154 81 50 36 28 9 2,094

Total Fleet Age Distribution 2,094 in Total

160

140

120

100

80

60

40

20

0 1974 1971 1976 1977 1970 1972 1973 1975 1978 1979 1997 2010 2014 1957 2007 2011 1991 1987 1961 1981 2015 2013 2001 2012 1994 1952 1953 1954 1955 1956 1958 1959 1960 1962 1963 1965 1966 1967 1968 1969 1980 1982 1983 1985 1986 1988 1989 1990 1992 1993 1995 1996 1998 1999 1964 1984 2000 2002 2003 2004 2005 2006 2008 2009

ASIA PACIFIC REGION CIVIL HELICOPTER FLEET REPORT – YEAR END 2015 111 AUSTRALIA New Deliveries

Airbus Helicopters 4 (8%) Bell Helicopter 1 (2%)

Amateur-Built Aircraft 5 (11%)

+48 AgustaWestland 10 (21%) 58+21+11+8+2+G Robinson 28 (58%) Pre-owned Additions

Enstrom 1 (2%) Aéropastiale 1 (2%) Sikorsky 1 (2%) Amateur-Built Aircraft 1 (2%)

MD 3 (7%) Robinson 17 (38%) +45 Schweizer 3 (7%)

Airbus Helicopters 8 (18%) Bell Helicopter 10 (22%)

Deductions

Bell Helicopter 2 (7%) Enstrom 1 (4%) AgustaWestland 2 (7%) 38+22+18+7+2+2+G Sikorsky 1 (4%) 48+26+7+4+4+G Amateur-Built Aircraft 1 (4%) Robinson 7 (26%) -27

Airbus Helicopters 13 (48%)

112 ASIA PACIFIC REGION CIVIL HELICOPTER FLEET REPORT – YEAR END 2015 AUSTRALIA Additions & Deductions Per Model 66 in total +1 Gazelle Gazelle HT MK2 1 Aérospatiale Aérospatiale

AW139 9 AW169 1 +8 AW109 -2 AgustaWestlnd

EC130 2 2 EC225 1 AS350 -3 2 2 BK117 1 EC120 -1 1

-1 AS355 -1 Airbus Airbus

Helicopters BO105 -2 1 EC155 -1 EC135 -1 EC145 -2 AS332L -2

MHP Y4P 2 Helicycle 1

+5 Mosquito XET 1 Deductions (-27) Aircraft Rotorway Exec 162 1

Amateur-Built Amateur-Built New Deliveries (+48) CH-7 -1 1 Pre-owned (+45)

Bell 206 7 Bell 205 2 Bell 412 1 +9 Bell Bell 429 1 Helicopter Bell 407 -1 Bell 212 -1

EN480 1 EN280 -1 Enstrom

MD600 2 MD +3 MD500 1

R22 11 12 R44 -7 16 5 Robinson R66 1

S-300 3 +3 +38 Schweier

S-76A -1 1 Sikorsky

ASIA PACIFIC REGION CIVIL HELICOPTER FLEET REPORT – YEAR END 2015 113 NEW ZEALAND

New Zealand is the 2nd largest helicopter market in the Asia Pacific region and grew a healthy 7% in 2015 adding net 53 helicopters. The market is dominated by 4 manufacturers: Robinson (37%), Airbus Helicopters (26%), MD Helicopters (12%) and Bell Helicopter (12%). The 4 manufacturers combined represent 87% of the total New Zealand fleet.

Uniquely, New Zealand has the largest fleet of MD Helicopters in the Asia Pacific region — 105 aircraft, representing 42% of the total Asia Pacific MD fleet. 87% of these 105 MD Helicopters are used in multi-mission work, with the fleet scattered over a significant numbers of operators where the largest, for instance, has only 5 MD500s.

Uniquely as well, the fleet in New Zealand is 90% made up of either pistons or singles with 79% engaged in either multi-mission, private, or corporate work. The most popular turbine helicopters are the AS350, MD500 and Bell 206.

Given the dominance of multi-mission applications in New Zealand where a cost-conscious approach to sourcing equipment is needed, a very strong pre- owned market exists. In 2015, 81% of the fleet additions were pre-owned typically from either Airbus Helicopters or Robinsons, and therefore typically either an AS350 or R22/44.

841 in Total

114 ASIA PACIFIC REGION CIVIL HELICOPTER FLEET REPORT – YEAR END 2015 NEW ZEALAND Net Fleet Growth by OEM

2014 (788) 2015 (841) 307 308 222 193

92 100 100 105 21 59 59 0+393+0 9 0+58 67+0 0+28 30+011 0+4 7+07 7 0+3 3+0 0+30 32+0 0+93 94+0 440+18 18+0 6 6 0+2 0+62+0 6+0 MD Others Sikorsky Guimbal Robinson Schweizer Hiller AircraftHiller Bell Helicopter Bell AgustaWestland Airbus Helicopters Airbus

Net Fleet Growth by Size Category 2014 (788) 2015 (841) 387 398 327 358 38+00+39 32+00+3533 35 3+00+340 49 4+00+51 1 1+00+1 Heavy Single Piston Medium Light Twin

ASIA PACIFIC REGION CIVIL HELICOPTER FLEET REPORT – YEAR END 2015 115 NEW ZEALAND Breakdown by Size Category Breakdown by Mission 841 in Total 841 in Total

Light Twin 35 (4%) SAR 25 (3%) Medium 49 (6%) Heavy 1 Charter 45 (5%) Offshore Operations 17 (2%)

Flight Training EMS 10 (1%) 82 (10%)

Turbine Multi-Mission 53% 49%

Corporate 11849+ (14%) 16+14+10+5+3+2+1+G Single 358 (43%) Piston 398 (47%) Private 131 (16%) Multi-Mission 413 (49%)

Breakdown by OEM Fleet Size Replacement Cost (USD)

Guimbal 21 (3%) AugustaWestland Others (4%) (5%) Schweizer 59 (7%) Others 17 (2%) Schweizer (2%)

Bell Helicopter 100 (12%) AgustaWestland Guimbal (1%) 9 (1%) Robinson (7%) MD 105 (12%)

MD (9%) 37+841 26+12+7+3+2+1+G $1,381M

Airbus Helicopters Robinson Bell 222 (26%) 308 (37%) Helicopter59 (13%) Airbus Helicopters+139+75421+G (59%)

116 ASIA PACIFIC REGION CIVIL HELICOPTER FLEET REPORT – YEAR END 2015 NEW ZEALAND Breakdown by Mission Breakdown by Helicopter Model – Turbine Only 841 in Total 443 in Total 3+3+2+1 AgustaWestland AW109 3 9 (2%) AW139 3

AW169 2

AW119 1 60+27+20+19+10+7+3+2+1+1 Airbus AS350 132 Helicopters 222 (50%) BK117 27

EC130 20

AS355 19

EC120 10

BO105 7

EC135 3

SA315 2

AS332L1 1

EC145 1 45+7++3+2+2+1+1 Bell Bell 206 78 Helicopter 94 (21%) Bell 205 7

Bell 429 3

Bell 222 2

Bell 427 2

Bell 407 1

Bell 212 1 4 Fairchild Hiller FH-1100 4

4 (1%) 44+20+5+1+1 MD 105 (24%) MD 500 78

MD 520 20

MD 530 5

MD 900 1

MD 600 1 1 Mil 1 Mi-34 1 5 Robinson R66 5 (1%) 5 3 Sikorsky 3 (1%) S-76A 3

ASIA PACIFIC REGION CIVIL HELICOPTER FLEET REPORT – YEAR END 2015 117 NEW ZEALAND Breakdown by Operator Top 37 – Out of 404 Operators (5 or more helicopters) 18+18+17+17+15+15+14+13+10+10+9+9+9+9+8+8+8+8+7+7+6+6+6+6+6+6+6+6+5+5+5+5 +5+5+5+5+5 Heliflite Pacific 18 Rotor Work 18 Helicopters Otago 17 HNZ Global 17 Garden City Helicopters 15 The Helicopter Line 15 Advanced Flight 14 Western Pacific Helicopters 13 Heli Resources 10 Precision Helicopters 10 Fox Glacier Helicopter Services 9 Helilink 9 Inflite Charters 9 Wanaka Helicopters 9 Hele-Tranz 8 Helipro 8 North Shore Helicopters 8 Search & Rescue Services 8 Ardmore Helicopters 7 Way to Go Heliservices 7 Airwork (NZ) 6 Alpine Helicopters 6 Christchurch Helicopters 6 Comerford Bryan James 6 Gisborne Helicopters 6 High Country Helicopters 6 Rick Lucas Helicopters 6 Southern Lakes Helicopters 6 Aspiring Helicopters 5 Beck Helicopters 5 Central South Island Helicopters 5 Heliops Southland 5 Outback Helicopters 5 Over The Top 5 Ravensdown Aerowork 5 Reid Helicopters Nelson 5 Skywork Helicopters 5

118 ASIA PACIFIC REGION CIVIL HELICOPTER FLEET REPORT – YEAR END 2015 NEW ZEALAND Top Operator Fleets by Model

18 18 17 17 15 15 14 13 10 10 18+18+17+17+15+15+14+13+10+10+9+9+9+9+8+8+8+8+7+7+6+6+6+6+6+6+6+6+5+5+5+5 +5+5+5+5+5

18+18+17+16+15+15+14+13+10+10Line Otago Pacific Heliflite Precision Rotor Work Rotor Helicopters Helicopters Helicopters HNZ Global HNZ Garden City Garden Helicopters The Helicopter The Heli Resources Heli Western Pacific Western Advanced Flight Advanced Total AW109 1 1 AgustaWestland AW139 3 3 AS350 1 12 4 15 1 1 34 EC135 1 1 AS355 1 1 Airbus BK117 5 4 1 10 Helicopters EC120 1 1 EC130 1 7 1 9 EC145 1 1 Bell 205 3 3 Bell 206 2 10 3 2 17 Bell Helicopter Bell 429 3 3 Bell 47 1 1 Guimbal Cabri G2 1 1 MD MD 500 5 5 R22 14 2 4 1 21 Robinson R44 2 7 1 13 2 25 Schweizer S-300 2 8 10 Total 18 18 17 17 15 15 14 13 10 10 147

Fleet Breakdown by Mission & OEM

413

131 118 82 45 25 17 10 SAR 82+26+24+17+9+5+4+2EMS Private Charter Offshore Corporate Operations Multi-Mission Flight Training

Total AgustaWestland 1 2 1 1 4 9 Airbus Helicopters 126 7 14 6 35 19 9 6 222 Bell Helicopter 71 3 12 4 6 2 1 1 100 Brantly 1 1 Fairchild Hiller 3 1 4 Guimbal 2 2 5 11 1 21 Hiller Aircraft 2 3 2 7 MD 91 2 9 1 1 1 105 Mil 1 1 Robinson 96 84 74 51 1 2 308 Schweizer 20 27 3 9 59 Sikorsky 1 3 4 Total 413 131 118 82 45 25 17 10 841

ASIA PACIFIC REGION CIVIL HELICOPTER FLEET REPORT – YEAR END 2015 119 NEW ZEALAND Total Fleet Age Distribution 841 in Total

18

16

14

12

10

8

6

4

2

0 1974 1971 1976 1977 1978 1979 1997 1970 1972 1973 1975 2010 2014 1957 2007 2011 1991 1987 1981 2015 1961 2013 2001 2012 1994 1980 1982 1983 1985 1986 1988 1989 1990 1992 1993 1995 1996 1998 1999 1956 1958 1959 1960 1962 1963 1965 1966 1967 1968 1969 1964 1984 2000 2002 2003 2004 2005 2006 2008 2009

Year of Manufacture

120 ASIA PACIFIC REGION CIVIL HELICOPTER FLEET REPORT – YEAR END 2015 NEW ZEALAND New Deliveries

Robinson 1 (8%)

Airbus Helicopters 3 (25%) +12 67+25+8+G Guimbal 8 (67%) Pre-owned Additions

Bell Helicopter 8 (15%) MD 5 (10%)

Guimbal 2 (4%) 52+15+10+4+2+2+G Schweizer 1 (2%) AgustaWestland 1 (2%)

Robinson 8 (15%) +52

Airbus Helicopters 27 (52%)

Deductions

AgustaWestland 1 (9%) Airbus Helicopters 1 (9%)

Schweizer 1 (9%)

73+-11 9+9+G Robinson 8 (73%)

ASIA PACIFIC REGION CIVIL HELICOPTER FLEET REPORT – YEAR END 2015 121 NEW ZEALAND Additions & Deductions Per Model 53 in total

AW109 1 Agusta

Westland AW139 -1

AS350 1 17

BK117 8 Airbus Airbus +29 Helicopters EC130 -1 2 2

Bell 206 6

+8 1 Bell Bell 212 Helicopter Bell 222 1

Deductions (-11) New Deliveries (+12) Cabri G2 8 2 +10

Guimbal Pre-owned (+52)

MD 500 2

MD 520 1 MD +5 MD 530 1

MD 900 1

R44 -4 1 4 +1

Robinson R22 -4 4 -4

S-300 -1 1 Sikorsky

122 ASIA PACIFIC REGION CIVIL HELICOPTER FLEET REPORT – YEAR END 2015 PRE-OWNED AIRCRAFT – GLOBAL AVAILABILITY

Pre-owned Helicopters – % of Fleet for Sale

10% AugustaWestland

Enstrom 9%

Schweizer 8%

Sikorsky

7% Airbus

Bell

6%

MD

Robinson 5%

Jan-15 Feb-15 Mar-15 Apr-15 May-15 Jun-15 Jul-15 Aug-15 Sep-15 Oct-15 Nov-15 Dec-15

Source: Jetnet LLC Pre-owned Helicopters – Average Days on Market

900

850 Enstrom

800

Schweizer 750 AugustaWestland 700

650 Airbus

600 Bell MD Robinson 550 Sikorsky 500

Jan-15 Feb-15 Mar-15 Apr-15 May-15 Jun-15 Jul-15 Aug-15 Sep-15 Oct-15 Nov-15 Dec-15

Source: Jetnet LLC

ASIA PACIFIC REGION CIVIL HELICOPTER FLEET REPORT – YEAR END 2015 123 AIRCRAFT MODELS POSITIONING Aircraft Total Yearly Cost vs Maximum Range

8

AW189

AS332 L1e S-92 H225

4

S-76D Bell 412EPI H175

H145 H155

AW139

S-76C++ AC312* 2 EC145 Bell 430 AW109 GrandNew H135 Bell 429 AW109 Power MD 902

H130

Bell 407GXP AW119 Kx AC311* H125

Total Yearly Cost (Million USD/Year) Cost (Million Yearly Total 1 Bell 407 Heavy MD600N Bell 206L4

MD 520N Medium H120 MD 530F Light Twin EN480B MD 500E S-333 R66 Single

Piston 0.5

R44 Raven II

R22 Beta II

0.25 100 200 300 400 500 600 700 800 * Estimated cost using similar model categories Total Yearly Cost estimated using includes Conklin & de Decker 2015 industrial cost figures for aircraft acquisition cost on 10 years, plus yearly operating cost, plus adjustments to account for regional differences.

124 ASIA PACIFIC REGION CIVIL HELICOPTER FLEET REPORT – YEAR END 2015 Recent & Upcoming Aircraft Models

780 Recently Upcoming Delivered AW609 730

680

630 Mi-38

580 530 H160 480 Mi-171A2 Maximum Range (NM) 430 Bell 407GXP Ka-62 380 AW169 330

280 2015 2016 2017 2018 2019

32

Mi-38 29

26

Mi-171A2 23

20 Bell 525 Relentless

17 Ka-62 14

Maximum Passengers H160 11 AW169 AW609 8

Bell 407GXP 5

Bell 505 Jet Ranger X 2 2015 2016 2017 2018 2019

ASIA PACIFIC REGION CIVIL HELICOPTER FLEET REPORT – YEAR END 2015 125 AIRCRAFT PROFILE

The S-92 helicopter is the most advanced aircraft in Sikorsky’s The S-92 is available in a number of versions. The civil transport civil product line. It was developed after the 1973 oil crisis to version has an airliner-type interior, while the utility version has meet the demand for an aircraft with sufficient capabilities 22 side-facing seats with a full cabin-width rear ramp. The 68.1 when gas and oil companies began exploring further offshore. sq m interior cabin can be configured to accommodate up to From there, it further expanded into the VIP transport market, three airline-style LD3 cargo containers. The S-92’s spacious establishing itself as one of the finest and most versatile aircraft cabin allows for versatile seating arrangements, that can flying in private aviation today. Developed from Sikorsky’s S-70 incorporate custom features including a galley, wet bar, closets, military helicopter, the S-92 has similar parts, including the and even a lavatory. Unique custom interiors use only the finest flight control and rotor systems. The four-blade, twin-engine, materials enabling the cabin to be considerably quieter and the medium-lift S-92 is 17.10 m long and 4.71 m high. Powered flight smooth so passengers can relax, read, or get some work by two General Electric CT7-8A turboshaft engines, it has a done around the clock. The 1.83 m ceiling allows for ease of maximum speed of 306 km/h, and a cruise speed of 280 km/ movement throughout the cabin, and the wide spaces allow for h. Its range is 999 km, and its service ceiling 4,270 m. The S-92 greater comfort when seated. Satellite phones keep traveling flies with a 2-person crew, and has a standard capacity for 9-10 VIPs in touch anytime and anywhere with an advanced global passengers in its 6.09 meter long, 2 meter tall cabin. communication system.

Certified to meet the world’s most stringent safety The airframe of the S-92 is made of dynamic components, requirements, its advanced health and usage monitoring based on those from the S-70. In 2000, two year’s after the system sets a new standard for reliability, enabling cutting-edge aircraft’s maiden flight, the fuselage was lengthened by 40 cm fleet management services. aft of the cockpit, the tail pylon shortened, and the horizontal stabilizer repositioned, creating greater stability and allowing

126 ASIA PACIFIC REGION CIVIL HELICOPTER FLEET REPORT – YEAR END 2015 DIMENSIONS Length: 56’2” (17.10m) Rotor Diameter: 56’4” (17.17m) Height: 15’5” (4.71m) Width: 17’3” (5.26m) Cabin Size: 20’ Long x 6.6’ Tall x 6.4’ Wide

WEIGHTS Internal Load: 12,020 kg / 26,500 lb External Load: 12,837 kg / 28,300 lb Empty Weight: 7,030 kg / 15,500 lb

PAYLOAD Full Fuel Load (standard): 2,333 kg / 5,145 lb Max External Load: 3 ,622 kg / 7,988 lb

CAPACITY VIP: 2 crews + 10 passengers Offshore Operations: 2 crews + 19 passengers Search and Rescue: Crew Seats + up to 6 Patient Litters

ENGINES General Electric CT7-8A : 2,520 shp / 1,879 kW Maximum Emergency Power (OEI): 2,740 shp / 2,043 kW

PERFORMANCE Maximum Speed: 306 km/h / 165 kts Long Range Cruise Speed: 254 km/h / 137 kts OEI Service Ceiling: 1,676m / 5,500 ft Ceiling-Certified MTOW: 4,572m / 15,000 ft

the aircraft to be used for a broader range of applications, stretching well beyond its military roots. The S-92 features an MAXIMUM RANGE active vibration control system for greater flight comfort and 865 km / 467 NM - Normal Tanks lower acoustic levels. Safety features such as flaw tolerance, 1,485 km / 802 NM - with 210 gal. Aux. Tank bird strike capability, and engine burst containment have been incorporated into the design of the S-92.

Sikorsky has taken the rugged reliability of a cutting-edge military aircraft and modified it with the highest demands for comfort and luxury in mind. It is no surprise, then, that the S-92 has become the helicopter of choice for heads of state and VIPs around the world, including the president of the of America. To travel in an S-92 is to experience the comfort of a fixed-wing business aircraft with the freedom of a medium sized helicopter.

ASIA PACIFIC REGION CIVIL HELICOPTER FLEET REPORT – YEAR END 2015 127 128 ASIA PACIFIC REGION CIVIL HELICOPTER FLEET REPORT – YEAR END 2015 MISSION & SIZE CATEGORY DESCRIPTION

Mission Categories

In this report, mission categories include: The largest mission category is broadly defined as •Multi-Mission Multi-Mission, also referred to as “General Aviation” in the •Offshore Operations industry. Most helicopters in this category are active in •Search and Rescue (SAR) more than one mission and can be configured to perform •Emergency Medical Services (EMS) various tasks. This includes a number of subcategories: •Law Enforcement •Onshore Oil & Gas (distinct from offshore operations) •Flight Training •Forestry (surveying, logging and protection) •Corporate •FireFighting •Private (recreational) •Aerial Photography •Charter •Aerial Tours •Agriculture and Pest Control •Power-line Repair and Survey •News Gathering

Size Categories

Heavy Medium Light Twin Single Piston AS332C AC312 AS355 AC301 A600 Talon AS332L AS365 AW109 AC311 B-2 AS332L1 AW139 Bell 230 AS350 Bell 47 AS332L2 AW169 Bell 427 AW119 Bell OH-13H AW101 AW189 BO105 Bell 206 Cabri G2 BV107 Bell 204 EC135 Bell 407 CH-7 BV234 Bell 205 MD 900 Bell AH-1 EN280 EC225 Bell 212 EC120 Exec 162F Mi-26 Bell 214 EC130 Exec 90 Mi-8 Bell 222 EN480 Gynali H2S S-61 Bell 412 FH-1100 Innovator Technologies XE S-64 Bell 429 Gazelle HT MK2 Jetexec T62 S-92 Bell 430 Helicycle MHP Y4P BK117 Hummingbird Mini 500 Dhruv K-Max Mosquito XE/XET EC145 MD 500 Phillicopter MK I EC155 MD 520 R22 KA-32 MD 530 R44 Mi-2 MD 600 Rotorway Exec 162 S-70A Mi-34 S-300 S-76A R66 S-55B S-76A+ Rotorway Jetexec Safari S-76A++ S-330 Skeeter S-76B S-333 UH-12 S-76C S-58 Ultrasport 331H S-76C+ SA313 S-76C++ SA315 S-76D SA316 Surion SA319 Z-9 SA341 SW-4 Z-11

ASIA PACIFIC REGION CIVILCIVIL HELICOPTERHELICOPTER FLEET FLEET REPORT REPORT – – YEAR YEAR END END 2015 2015 129 130 ASIA PACIFIC REGION CIVIL HELICOPTER FLEET REPORT – YEAR END 2015 ASIA PACIFIC REGION CIVIL HELICOPTER FLEET REPORT – YEAR END 2015 131

Financing Institutions The following list contains a number of Asia-Pacific and international financial institutions. The main difference between the bank and non-bank financial intermediaries is that banks are more focused on finance leases and leasing companies are more focus on operating leases.

China is becoming a large and important player in this area. Not only large banks in China have established their own aviation finance departments, but also many leasing companies have received support from the government allowing them to implement preferential leasing solutions.

Financing Institutions for Smaller Helicopters

Name Office Location Finance Lease Operating Lease CIT International BNP Paribas International Citi Bank International Credit Suisse International Bank of Scotland Corp. Asset Solutions International Amur Helicopter Financial Services, LLC International Macquarie Rotorcraft Leasing International Waypoint Leasing International Cessna Finance Corporation International Textron Aviation Finance Corporation International Lease Corporation International International Minsheng Bank China ICBC China Industrial Bank China China Development Bank China China Merchants Bank China Agriculture Bank of China China Changjiang Leasing China AVIC Leasing China Shanghai Guojin Leasing China Anbang Insurance China China Huarong Financial Leasing China CITIC Futong China China Trust Taiwan Chailease Finance Taiwan Fuyo General Lease Co., Ltd. Japan Century Tokyo Leasing Corporation Japan JA Mitsui Leasing, Ltd. Japan ITC-Leasing, Inc. Japan BOT Lease Co., Ltd. Japan Sannichi Leasing Japan Chikugin Lease KK Japan Naka Nihon Van Lease Co., Ltd. Japan Togin Lease Co., Ltd. Japan Toyota Finance Japan Nissei Lease K.K. Japan Ricoh Leasing Company, Ltd. Japan Kogin Lease Japan Showa Leasing Co., Ltd. Japan Mitsubishi UFJ Lease & Finance Company Japan KTB Leasing Co., Ltd. Thailand Resona Indonesia Finance PT Indonesia Capital Finance Australia Westpac Australia ANZ Australia National Australia Bank Australia MACQUARIE Australia Commonwealth Bank of Australia Australia Heli Holdings Ltd New Zealand

136 ASIA PACIFIC REGION CIVILCIVIL HELICOPTERHELICOPTER FLEET FLEET REPORT REPORT – – YEAR YEAR END END 2015 2015 Financing Institutions for Larger Oil & Gas, VIP, EMS Helicopters Name Office Location Finance Lease Operating Lease Barclays International CIT International BNP Paribas International Milestone Aviation Group Limited / GE Capital International RBS International Amur Helicopter Financial Services, LLC International Macquarie Rotorcraft Leasing International Waypoint Leasing International Lease Corporation International International Minsheng Bank China ICBC China Industrial Bank China AVIC Leasing China MACQUARIE Australia Commonwealth Bank of Australia Australia Westpac Australia ANZ Australia National Australia Bank Australia Helicopter Leasing New Zealand Heli Holdings Ltd New Zealand Legal Firms Involving an experience lawyer or law firm in the early stages of an aircraft sales and purchase is key to minimize both costs and potential problems relating to the aircraft for the long run. Aircraft transactions are complicated and involve a sizable number of documents, including sales and purchase agreement, financing agreement, aircraft management agreement, and all specification, registration, and importation documents, just to name a few. Due to the unique nature of aircraft transactions, industry experts and specialists in both the legal and commercial aspects of transactions will be needed to scrutinize each transaction as to ensure that seller or buyer’s legal interests are best protected and the best commercial terms are obtained.

ASG provides transaction support services with its team of aviation specialists in the industry. ASG will also liaise with top law firms should legal services be required, and thereby ensuring a smooth transaction both legally and commercially.

Law Firm Region Law Firm Region Herbert Smith Freehills Australia Shook Lin & Bok Indonesia Allens Australia Makarim & Taira S. Indonesia Minter Ellison Australia Bae, Kim & Lee Korea Allen & Overy LLP Australia Kim & Chang Korea King & Wood Mallesons Australia and China Lee & Ko Korea Run Ming Law Offices China Yulchon LLC Korea Jun He Law Offices China Yoon & Yang LLC Korea Clifford Chance Hong Kong Bell Gully New Zealand Clyde & Co Hong Kong Chapman Tripp New Zealand Bird & Bird Hong Kong Russell McVeagh New Zealand Holman Fenwick William Hong Kong Appleby Offshore Mayer Brown JSM Hong Kong Bedell Cristin Offshore Stephenson Harwood Hong Kong Carey Olsen Offshore William K K Ho & Co. Hong Kong Conyers Dill & Pearman Offshore Lee and Li Taiwan Harney Westwood & Riegels Offshore Tsar & Tsai Law Firm Taiwan Maples and Calder Offshore Bhasin & Co India Mourant Ozannes Offshore Wadia Ghandy & Co India Walkers Offshore Gagrats India SyCip Salazar Hernandez & Gatmaitan Philippines Mulla & Mulla & Craigie Blunt & Caroe India Hogan Lovells Singapore Anderson Mori & Tomotsune Japan Milbank Singapore Nagashima Ohno & Tsunematsu Japan Watson Farley & Williams Singapore and Hong Kong Nishimura & Asahi Japan Siam Premier Thailand Squire Sanders Japan

ASIA PACIFIC REGION CIVIL HELICOPTER FLEET REPORT – YEAR END 2015 137 The information contained in this report is provided free of charge for reference only. While such information was compiled using the best available data as of December 2015, ASG makes no warranties, either expressed or implied, concerning the accuracy, completeness, reliability, or suitability of such information. ASG is not responsible for, and expressly disclaims any and all liability for damages of any kind, either direct or indirect, arising out of use, reference to, or reliance on any information contained within this report.

ASIAN SKY GROUP THANKS TO Suite 3905, Far East Finance Centre, 16 Harcourt Road Admiralty, Hong Kong

Telephone +852 2235 9222 Facsimile +852 2528 2766 www.asianskygroup.com