Vision for the Next 10 Years at Narita Airport

26 May, 2008 Mike GAMO Executive Officer Vice President, Planning Department Narita International Airport Corporation (NAA) Narita International Airport Corporation All Rights Reserved. 1 Contents

◆ Part 1 Narita Airport Today 【Airport operations】 : 3

◆ Part 2 Airports in Today and Recent Developments : 13 at Airports

◆ Part 3 Future Concept for Narita Airport 10 Years Ahead : 31 【Future Initiatives 】

Narita International Airport Corporation All Rights Reserved. 2 Part 1 Narita Airport Today 【Airport operations】

Narita International Airport Corporation All Rights Reserved. 3 Narita Airport Facilities

Category Now After Completion 4,000m X 1 4,000m X 1 Bearing 2,180m X 1 2,500m X 1 Runway Inereim(Parallel)Runway

3,200m (NB) X1

Passenger Terminal 1 Terminal Terminal 2 Interim Parallel Runway 2,180m (NB) As discussed at the Roundtable Conference on Narita Airport Issues, the proposal for a crosswind runway will be resubmitted for local approval after the completion of the C parallel runway and an environmental impact survey. r o s Meanwhile, it will serve as a taxiway linking the two parallel s w runways. in d R u n Terminal 2 w a y 3 ,2 0 0 m

Southern Cargo Area

Cargo Area Maintenance Area Terminal 1

Runway A 4,000m

Narita International Airport Corporation All Rights Reserved. 4 Figures for Narita International Airport (1978-2007) Narita Airport handles 3.6 times more traffic movements than when it first opened, 5 times more passengers and 6.4 times more cargo. Mar.2003 Iraq war Apr.2003 SARS C P 4000 Apr.2002 250 Interim parallel M T a a Cargo(Kilo tonnes) runway o r r x 3500 ( commissioned v a g 200 Pax(000's) e f o 0 3000 ( m f 0 Traffic Movements(000's) 2500 e i K 0 150 n c i ' 2000 t l s ) 100 s l 1500 ( o Sep.2001 0 1000 Sep.11 0 t 50 0 o 500 ' n 0 0 s n 1978 1979 1980 1981 1982 1983 1984 1985 1986 1987 1988 1989 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 ) e s )

Narita International Airport Corporation All Rights Reserved. 5 Narita's Share of International Passengers, Cargo & Traffic Movements

Passengers Cargo Traffic Movements

Others 3.1% Chubu Others Others 6.9% 12.5% 15.5% Chubu Chubu 9.5% Kansai 10.8% Narita Narita Narita 23.7% Airport Airport Airport Kansai Kansai 52.2% 66.3% 21.0% 57.0% 21.5%

Narita is ranked No. 1 in Japan

Narita International Airport Corporation All Rights Reserved. 6 Dynamic Economic Region Supporting Narita

Japan's economic strength Countries GDP (millions of US dollars) US 13,163,870 Japan 4,368,435 Germany 2,896,876 China 2,644,681 UK 2,376,984 France 2,248,091 Italy 1,850,961 : Canada 1,271,593 1,577,138 Spain 1,224,676 Brazil 1,067,472 Total 33,113,639 Worldwide 48,461,854

Source: World Development Indicators database; World Bank(2006),

Narita International AirportGross Prefectural Product Report; Cabinet Office(2005) Corporation All Rights Reserved. 7 Narita Airport Network

Destinations (domestic) Destinations (International) Cities: 36 nations, 2 territories (9632 cities) nations, 2 territories , Komatsu, , Chubu, 1,725flights/week (95 cities) 1,714flts/week Osaka, , , Naha * 2007 summer schedule 8 cities, 126flights/week * 2008 summer schedule * As of April 2008 UK, France, Germany, Netherlands, Austria, Italy, Denmark, Swiss, Finland, Russia, Sapporo Uzbekistan, Kazakhstan

US, Canada Egypt, Iran, Turkey Sendai South Korea, China, Narita Airport (Taiwan), (Hong Kong), Mongol, Vietnam, Komatsu Itami Thailand, Philippines, Chubu Singapore, Indonesia, Hiroshima Narita Airport Australia, Fiji, Mexico,Brazil Malaysia, India, Pakistan, Fukuoka New Zealand Sri Lanka, Maldives Papua New Guinea

Narita International Airport Nah Corporation All Rights Reserved. a 8

Traffic Movements Global Ranking (International)

300 t000'shous 1 Traffic movements(000's) 11t h Rank 13t h 14th 250 15t h 16t h 16t h 18t h 18t h 19t h 20t h

22nd 200

24th 171 173 157 152 150

126 127 124 116 117 117 119 111 113 115 114 115

100

50

0 0 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 200 5

Source : ICAO Statistics Narita International Airport Corporation All Rights Reserved. 9 Passengers Global Ranking (International)

50000 000's 1

5th Passengers(000's) Rank

40000 6th

6th 7th

8th 30000

26,514 26,969 24,760 24,022 22,941 22,666 22,460 22,503 22,241 22,433 21,488 20,681 20000 19,022 18,974 18,312 17,743

10000

0 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 0

Source : ICAO Statistics Narita International Airport Corporation All Rights Reserved. 10 Cargo Global Ranking (International)

4000 killo tonnes 1

1th C argo(killo tonnes) Rank

2nd

3000

2,311 2,233 2,089 1,942 2000 1,876 1,787 1,676 1,606 1,622 1,547 1,562 1,587 1,350 1,390 1,340 1,288

1000

0 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 200 5 0

Source : ICAO Statistics Narita International Airport Corporation All Rights Reserved. 11 Narita's Advantages and Disadvantages

Narita's Advantages Narita's Disadvantages ☺Strong demand in Tokyo area ☻Slot restrictions

☺Extensive network ☻Curfew

☺No. 1 share in Japan ☻Access from central Tokyo ☺Environment and Community

☺e-airport Project

Narita International Airport Corporation All Rights Reserved. 12 Part 2 Airports in Japan Today and Recent Developments at Tokyo Airports

Narita International Airport Corporation All Rights Reserved. 13 Airports in Japan

Chitose Airport

Naha Airport

Osaka Airport

Fukuoka Airport Japan

Tokyo

Narita Airport

Kansai Airport Narita International Airport Chubu Airport Corporation All Rights Reserved. 14 Traffic Movements (World and Japan) - 2006

Traffic movement(Japan) s T r affic movement International 2.15million + (3.0%) 2,148,707 Domestic

1,804,257

3,000,000

2,000,000 70.05million

1,000,000 (97.0%) 344,450 Japan

Wor ld (exc ept J apan)

0 International Domestic Total

Narita International Airport Corporation All Rights Reserved. 15 Passengers (World and Japan) - 2006

Passengers(Japan) Passenger International 257million + (5.8%) 256,793,151 Domestic

202,474,565

300,000,000

200,000,000 4,143million Japan (94.2%) 100,000,00054,318,586

World (exc ept J apan)

0 InternationalDomestic Total

Narita International Airport Corporation All Rights Reserved. 16 Cargo (World and Japan) - 2006

Cargo(Japan) Cargo International 5.2million + 5,189,612 (6.1%) Domestic

3,316,313 6,000,000

4,000,000 1,873,299 80.4million Japan (93.9%) 2,000,000 World (exc ept J apan)

0 International Domestic Total

Narita International Airport Corporation All Rights Reserved. 17 Internationalization of Haneda Airport ・ To open in October 2010 ・ Total slots 407,000 flights/year ・ International passenger service 30,000 flights/year ・ International passenger number 7 million/year ・ International cargo 500,000 tons/year

Expansion to increase capacity by 40% (Increase of 111,000flts/year 152flts/day

〔After 〔Present〕 expansion〕 30 Flights/hour 40flights/hour 296,000flts/year 407,000/year 405 arrivals & departures/day 557arrivals & departures/day

Narita International Airport Corporation All Rights Reserved. 18 Passengers by city (2006)

City Passengers Airports

Heathrow (67,530,197)、Gatwick (34,172,492)、 London 137,214,301 Stansted (23,686,800)、Luton (9,447,494)、 City (2,377,318)

JF Kennedy Intl (43,762,282)、 New York 107,057,595 La Guardia (26,571,146)、 Newark (36,724,167)

Narita (35,063,107)、 Tokyo 100,873,779 Haneda (65,810,672)

Chicago 95,708,797 O’Hare (77,028,134)、Midway (18,680,663)

Paris 82,471,719 Charles de Gaulle (56,849,567)、Orly (25,622,152)

Sources:ACI Worldwide Traffic Report 2006, NAA statistics

Narita International Airport Corporation All Rights Reserved. 19 Landing fee reduction

OvercomingOvercoming the the image image of of being being "expensive" "expensive" To pass on the benefits of privatization to airport users and to bolster Narita's international competitiveness in East Asia, landing fees were reduced in October 2005.

T r a n s it io n o f la n din g fee a t N arita A irpor t U n it s :J P Y 000' s be f o r e re v is io n 662

※ pr es en t 455 31% reduction for quiest aircraft (Average reduction of 21%)

0 100 200 300 400 500 600 700 ※ B777-200 Narita International Airport MTOW 276t Corporation All Rights Reserved. 20 Airline relocation

■ Situation before relocation

■ Disproportionate use of the two terminals

Congestion in Terminal 2

■ Almost 66% of code-share services were in separate terminals Inefficient Operation by Alliance

Inconvenience of Transit Passengers

Aim To overcome these problems

Narita International Airport Corporation All Rights Reserved. 21 Alliance Arrangement

Terminal 1

South North North Wing South Wing Wing Wing Sky Team Star Alliance NWA etc.. ANA etc... Terminal 2

One World JAL etc..

Narita International Airport Corporation All Rights Reserved. 22 Airline Distribution in Terminal Buildings

Terminal1 North Terminal2 Wing J A L J A Z I B E Q F A C P A N W A C O A C M I D A L K A L

F I N A A L A M X A F R K L M A Z A A F L One World

C S N Sky Team BAW A N Z C C A A C I V I R One World Sky Team Star Alliance South Wing A N A A J X A A R A C A A U A T H T F J I A L K T S O G I A

C S H S I A S W R S A S T H A C A L A N G C E S H V N P A L

T H Y U A L U S A D L H B B C P I A M X A M A S C X A

U Z B M G L E V A V R G Star Alliance I R A A I C M S R H D A

31 29 airlines airlines Narita International Airport Corporation All Rights Reserved. 23 Retail development in Terminal 1 Opening of “narita nakamise” in Terminal 1 , in 2006

South North Wing Wing

Newly Opened Area Existing Area Concept Concept „ Japanese tradition as area concept „ Calm environment „ Spacious shops, extensive selections

Cafés & Restaurants 2 331sqm

Tax-Free Shops 3 675sqm

Duty-Free Shops 14 2,679sqm

TOTAL 19 3,685sqm Narita International Airport Corporation All Rights Reserved. 24 Retail development in Terminal 2 Opening of “NARITA 5th AVENUE” in Terminal 2 , in 2007

Newly Opened Area Existing Area

Concept „ Timeless modern „ Sophisticated, universal interior „ Spacious shops, extensive selections Cafés & Restaurants 3 684sqm

Tax-Free Shops 4 495sqm

Duty-Free Shops 22 3,077sqm

Narita International Airport TOTAL 29 4,256sqm Corporation All Rights Reserved. 25 e-Airport Contents of e-airport

e-Information

Integrate public transport & flight information e-Navigation service

Comprehensive information service to Airport Net PDAs, mobile phones, etc. On-airport Internet access

Biometrics

e-Tag Automated gate Use of RFID tags to Integrated pax flow support Provide sophisticated baggage management 26 ©Copyright NARITA INTERNATIONL AIRPORT CORPORATION Automated Gate for Immigration Control (Overview)

◆ Implementation: November 20, 2007 ◆ Location: Departure and Arrival Immigration Areas at Terminal One South Wing and South- end of Terminal Two ◆ Eligibility: Japanese nationals and foreign nationals in possession of a re-entry permit ◆ Number of units: 4 units where each unit for use either by Japanese nationals or foreign nationals in possession of a re-entry permit. ◆ Objective: Simplify and reduce process times of immigration control, thus enhancing passenger convenience. ◆ Biometrics in use: Fingerprint (both index fingers)

Narita International Airport Corporation All Rights Reserved. 27 Automated Gate for Immigration Control (Process)

4) Once exit gate opens, Immigration control process is complete. Direction

1) Place MRZ page of passport on the reader.

2) When verified 3) Proceeds into unit and as a registrant, provides fingerprint. entry gate opens. When authenticated as registrant, exit gate opens.

Narita International Airport Corporation All Rights Reserved. 28 Hands Free Travel ⑤ Destination ① airport Narita Airport Home Baggage ④ collected Hands free check in at Pasenger Destination airport RFID ③ Antenna ② Held in temporary Baggage collected Baggage storage and delivered

Bar Code Customs

Airport delivery company system Delivery company system Airline system

Information integration system (to be created by airport operator)

| Passenger lodges | Delivery company | Baggage security | Baggage arrival | Passenger request for hands- collects baggage inspection confirmed at hands- collects baggage free travel with | Baggage is transported | Baggage held in free check in at destination airport delivery to airport temporary storage | Baggage is moved airport carousel company system until passenger onto conveyor line checks in for loading onto aircraft Hands-free travel offers both convenience and security Narita International Airport Corporation All Rights Reserved. 29 The Eco-Airport Master Plan

Global Environment Local Environment

Natural Environment Resource Recycling Scope of Activities

Environmental Environmental Activities at NAA Communications Environmental Management

Narita International Airport Corporation All Rights Reserved. 30 Part 3 Future Concept for Narita Airport 10 Years Ahead 【Future Initiatives】

Narita International Airport Corporation All Rights Reserved. 31 Global Trends in Air Transport and Tourism Demand Overall, global air passenger numbers are growing dramatically, particularly in Asia, and according to the Ministry of Economy, Trade and Industry, passenger figures will stand at 2.5 times the current number by 2025. International tourism demand is also growing strongly, particularly in Asia also, and World Tourism Organization statistics show an average growth rate of 7.1% in Asia between 2000 and 2005.

Global Trends in International Air Transport Demand Global Trends in International Tourism Demand

Revenue-passenger 2025 (share Global total: 9,541) kilometers Actual Projected Other next 20 Average Growth Rate p.a. De (%) 964 mand t (10%)

North America year o i Europ n e s crease Asia- Asia Pacific Other Pacific

World 2.5ti 3,064 (32%) m e

2005 share s in 3,807

Europe 2,581 (27%)

share North Source: World Tourism Organization (UNWTO) America (Data collected by the UNWTO until 2006) 2,931 (31%)

Narita International Airport CorporationSource: All W Rightshite Pape Reserved.r on Manufa cturing; Ministry of Economy, Trade and Industry. 32

Forecast International aircraft movements in Greater Tokyo

300,000Traffic Movements

280,000 Projected demand 260,000 Total capacity in greater Tokyo Excess 240,000

220,000

200,000 Opening of Haneda's Runway D (October 2010) 180,000

160,000

140,000 Completion of Runway B extension at Narita 120,000 (March 2010)

100,0002005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018

※ In 2010 when the fourth runway is opened, Haneda Airport will have 30,000 slots for scheduled international passenger services during daylight hours. This may be subject to change at a later date depending of circumstances. Scheduled international flights, including cargo flights, may operate during late-night, early morning hours, over and beyond the 30,000 slots available during daylight hours.

Narita International Airport Corporation All Rights Reserved. 33 Steps to Full Privatization

AfterAfter fullfull PhasePhase II PhasePhaseⅡⅡ PhasePhase ⅢⅢ privatizationprivatization

Special government Full privatization corporation IPO preparatory period preparatory period preparatory period All government- Cu rren owned shares t pos ition released Privatization

Full Public listing privatization 20XX 20XX

Corporate Special government Corporate Government Authority Private sector company ententityity corporation Owner Government (Ministry of Land, Infrastructure and Owner Investors (shareholder)(shareholder) Transport & Ministry of Finance)

After the Council for Transport Policy hands down its report, legislation will be prepared, preparatory studies will be launched, including selection of items required by the Fiscal System Council for sale of shares, and, after necessary procedures have been completed, NAA's shares will be listed on the market at the optimum time. *Official name: Narita International Airport Corporation

Narita International Airport Corporation All Rights Reserved. 34 Northward Extension Plan (After Completion)

:BRW出発・ARW到着 :BRW到着・ARW出発

① Northward extension of Runway B (2,180m → 2,500m)

② Construction of Taxiways C and D

R/w B dep R/w A arr

R/w B arr R/w A dep : 13スポット整備

Narita International Airport 200,000200,000→→220,000220,000 flightsflights Corporation All Rights Reserved. 35 A380 Flight operation at Narita

Narita International Airport Corporation All Rights Reserved. 36 Installation of A380 Direct Upper Deck Access (DUDA)

#92 #66 Terminal 2

Terminal 2 Terminal 1 South Wing

Terminal 1

Terminal 1 North Wing

#15 #46 #45 Planned DUDA gates Completion of DUDA in May Narita 2008International Airport #26 Corporation All Rights Reserved. 37 Plans for A380 Services at Narita Airport

As of May 2008 A/L Terminal Timing Route

1 20th May 2008 Changi-Narita (1 flight/day)

1 TBD -Narita

1 TBD Frankfurt-Narita

1 TBD -Narita

1 TBD -Narita

1 TBD London-Narita

2 TBD Sydney-Narita

1 TBD London-Narita

Narita International Airport Corporation All Rights Reserved. 38 Investment in railway access between Narita and Central Tokyo

RailwayRailway access access at at present present

Skyliner[51min] Gunma Nippori-Narita airport Tochigi

Ibarki ①

Saitama埼玉県 埼玉県

Central Tokyo ① [53min] Tokyo-Narita airport Toky東京都o Narita airport ② Kanagawa神奈川県Haneda airport 千葉県

Narita International Airport Corporation All Rights Reserved. 39 Narita Rapid Railway Plan Narita Rapid Railway Plan Narita Rapid Railway Plan ・ Total project cost: 1.5 billion US$ (6hundred million US$ from NAA) ・ Planned opening year: 2010 ・ Nippori-Airport: 36 minutes ・ New high-speed Skyliner service operated by Keisei Railway

line uso Hok

e ei lin Keis

e in l R J

Chiba

Narita International Airport Corporation All Rights Reserved. 40 New Keisei Rapid Train (Skyliner)

Narita International Airport Corporation All Rights Reserved. 41 Rail Access between Airport and downtown

(min)

New York JFK 70 60 Narita 50 Los Angels O’Hare 40 Paris 30 Kansai Narita Hong Kong Haneda 20 London 10 Amsterdam Frankfult 0

(km) 0 10203040506070

Narita International Airport Corporation All Rights Reserved. 42 Flights on Runways A & B combined (now)

* Runway A handles 135,000 flights a year but Runway B can handle only 65,000 due to taxiway layout and other restrictions. * Capacity can be expanded by removing operational restrictions on Runway A.

Runway A Runway B R/w A : 370 slots capacity R/w B : 176 slots capacity Demand scarce in early hours

Slots capacity (hour) Slots capacity (hour)

32 32 32 32 32 32 3232 32 32 32 32 32 32 32

35

25 25 30

25 Demand and runway capacity but 35 additional flights no possible due to operational

20 32 31 31 restrictions. 30 29 27 TrafficMovements 26 26 15 24 24 25 22 21 21 10 10 14 14 14 1414 14 14 14 1414 14 14 14 14 16 20 T ra ffic M o v em en ts

11 11 135,000 10 11 11 15 5 8 10

10 0 14 14 14 14 14 13 13 13 12 11 11 hours 10 8 65,000 8

5 5

2 0

6 7 8 9 101112131415161718192021220

hours

Firebreak: Maximum 80% slot capacity periods set twice a day Narita International Airport to make room for aircraft delays/ Corporation All Rights Reserved. 43

6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 Narita Airport‘s Potential (Maximum Handling Capacity Possibilities) ~ How Far Can Narita Airport Expand ? ~

Approx. 150,000 Approx. 150,000 flights/year flights/year Runway can handle approx. 150,000 Runway B can handle flights/year if the same volume of operational limitations traffic as Runway A if are removed operational limitations are removed.

20,000 (Current) 135,000 (Current) flights/year 65,000 flights/year

Runway A Runway B (4,000m) (2,500m)

Even by maintaining the current operating hours(6:00am-11:00pm), it will be possible for Runways A and B to handle up to 300,000 flights a year if environmental, facility and operational limitations are removed.

Narita International Airport Corporation All Rights Reserved. 44 Future Capacity and Traffic Forecast in greater Tokyo

Narita airport (Traffic movements(international+domestics)) 400,000 Capacity 300,000 Tokyo area 300,000 800,000 700,000+α 190,636 200,000 600,000 100,000 407,000 400,000 0 300,000 2006 Actual Future Capacity 200,000

Haneda airport 0 (Traffic movements(international+domestics)) Narita Haneda T okyo area 500,000 407,000+α 400,000 approx.320,00 Passengers 300,000 0 Tokyo area(passengers(international+domestics))

200,000 150,000,000 Domestic passengers 123,000,000 Internationalp assengers 100,000 120,000,000 102,000,000 0 90,000,000 70,000,000 2006 Ac tual F uture C apac ity 66,000,000 60,000,000

30,000,000 53,000,000 36,000,000 0 2,006 2017(forecast) Narita International Airport Corporation All Rights Reserved. 45 Conclusion

◆ Strong air transport demand in Asia

◆ Japan is the powerhouse among Asian countries ◆ Narita Airport is ・Japan’s premier airport ・The leading airport in Asia

Develop airport facilities with a view to demand

Narita International Airport in 10 years time Corporation All Rights Reserved. 46 ThankThank you!!you!!

Narita International Airport Corporation All Rights Reserved. 47