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Milan Airports Outstanding business opportunities for airlines Contents 2

Malpensa Airport

• The catchment area

• Surface connectivity and plans for the enlargement of the catchment area

• Traffic & network highlights

• Existing facilities and investments for the future

• International punctuality benchmark

• The primary southern gateway for international cargo traffic Malpensa Airport - The catchment area is located in , 4 the richest Italian region in the heart of Europe

Europe Lombardy

Trentino Val MIL Alto Adige Friuli d’ Venezia Giulia Sondrio Lombardia Iceland Piemonte Lecco Emilia Romagna MXP Bergamo to Russia Toscana Norway Marche LIN Umbria Latvia Milan Abruzzo Lazio Lodi Belarus Molise Cremona Ireland Pavia Mantova Campania Czech Ukraine Sardegna Republic Puglia Slovakia Moldova Basilicata Croatia Calabria MIL Jugoslavia Italy Bosnia and Herzegovina Macedonia Albania Sicilia With 10 mm inhabitants, the population of Lombardy equals 5 that of some important EU countries.

Lombardy Europe

Demography statistics: Trentino Iceland Val MIL Alto Adige Friuli d’Aosta Venezia In the 1Q of 2012 the total Giulia Lombardia Finland Piemonte Veneto number of people living in Sweden Emilia Romagna to Russia Norway

Estonia Lombardy has topped 10mm, Toscana Marche Latvia

Umbria Denmark Lithuania the equivalent of the whole Belarus Ireland Abruzzo United Kingdom Lazio Netherlands population of countries like Molise Poland Ukraine Belgium Germany Campania Luxembourg Slovakia Portugal, Belgium, Czech Sardegna Moldova Puglia Austria Switzerland Hungary Romania Basilicata France Slovenia Croatia Republic, Hungary or Sweden. MIL Jugoslavia Calabria Italy Bosnia and Herzegovina Bulgaria Macedonia Turkey Albania Spain Greece Sicilia Portugal Lombardy is at the crossroad 6 of primary European “corridors”

“Blue banana” area and the Trans European Network links

Key facts concerning Lombardia: • third EU 27 region in terms of GDP and per capita GDP, after and , "Two seas" Corridor I and by far the first in Italy London corridor 1 area • one of the areas of the “Blue banana ” Baden- (with London, Ile de France, Baden Ile de Wurtemberg France Lombardy Wurtenberg, Rhone Alpes Rhone Alpes Corridor VIII and Catalunia) which will boost Catalunia economic growth in Europe in the next future according to market analysts Corridor V • one of the main logistics platform in Europe • strongly involved by the development of TEN ( Trans European Network ) multimode links Lisbon – Kiev (Corridor V) • generates, together with the rest Bari – Varna (Corridor VIII) of , 5.2% of EU GDP Rotterdam – Genova ("Two seas" corridor) – Palermo (Corridor I) South Europe sea "highways"

1) Blue banana is the area where European production and consumption are mostly concentrated Milan catchment area is the strongest generator 7 of air traffic revenues

Within Within Switzerland Area 120 Km 250-300 Km (Canton )

O+D pax 34,000,000 62,000,000

Int’l air tkts sold in Italy (%) 40 66

MILAN Business class VENICE tkts sold in Italy (%) 45 62 Int’l air transport 42 74 Turnover (%)

Tons/year air freight BOLOGNA 1,000,000 1,200,000 generated

FLORENCE

Malpensa 120 km catchment area 250-300 Km catchment area Milan and Northern Italy are the business heart of Italy 8 and one of the richest areas in Europe

1°step High Speed Rail Switzerland Others (Canton Ticino) % on Florence- % on 120 km 250-300 TOTAL Main indicators Italy Bologna Km Italy

Area sqkm 49.324 16,4 7.216 19.607 76.147 25,3

Population 14.025.593 23,4 1.960.838 6.047.104 22.033.535 36,7 MILAN VENICE VERONA No. of companies 1.226.306 23,1 182.663 568.799 1.977.768 37,2 TURIN GDP (EUR MM) 450.364 28,8 66.763 186.505 703.632 45,0

BOLOGNA Work force 6.170.547 26,4 890.050 2.668.861 9.729.458 41,6 GENOA Exports ('000 EUR) 137.513.223 38,3 18.902.357 61.936.311 218.351.891 60,8 FLORENCE

Imports ('000 EUR) 149.299.814 42,6 11.128.808 47.576.900 208.005.522 59,4

Malpensa 120 km catchment area 250-300 Km catchment area 1°step HSR from September 2010 (1h40’ BLQ, 2h20’ FLR ) Italian & international business is headquartered in Milan 9

Key facts concerning Lombardia:

• 2,477 foreign multinational corporations based in Lombardy • More than 3,700 foreign invested enterprises doing business in Lombardy and employing 410,000 people • Turnover of foreign capital companies in Lombardy tops 207 billion euro. • Business with the biggest share of foreign investments in Lombardy: pharma & chemical industry (197 companies, 41,300 employees), engineering industry (215 companies, 32,900 employees), electrical devices (59 companies, 21,000 employees), electronics (20 companies, 17,000 emlpoyees), food & beverage (46 companies, 18,000 employees) Close to Malpensa, Fair is a worldwide 10 leading operator in the trade-show and exhibition industry

• Opened in 2005 • Located 10 Km North-West of Milan, 20 minutes driving from Malpensa • 345,000 sq m for indoor exhibitions and 60,000 sq m for outdoor exhibitions • 17,000 parking spaces and connection with Milan underground system • 1st Trade Fair in the world for rented sq m • Over 120 International fairs and exhibitions per year • 58,000 Italian and 22,000 foreign exhibitors per year • 5,500,000 Italian and 958,000 foreign visitors per year Fairs and exhibitions portfolio of Fiera Milano 11

The Fiera Milano exhibition Portfolio for business sectors

Food and Catering Electronics and electrical engineering Health and Environment • Very wide range of 3% 4% sectors represented, Communication and Office Textile, clothing and accessories especially those where 1% 4% 23% Commerce - Services Italian companies are 9% particularly strong and Chemistry connected with the 1% Building 2% “Made in Italy” style Antiques and crafted products 4%

5% 15% • A differentiated Industrial Machinery Homeware and gifts portfolio of exhibitions supports a high 7% Sport-Leisure of resilience to the 10% economic cycle 12% Vehicles and related equipments Furniture and Furnishing

Source: Fiera Milano Malpensa will be the main gateway to . Expo will 12 heavily contribute to the development of visitor flows in Milan

THE “EXPO EFFECTS” Expo 2015 – Facts & figures Additional passengers expected in Milan in 2015

20,0 15,8 • 2015 Universal Expo will take place in Milan

• The event will be held from 1st 8,4 6,0 May to 31st October 2015, under the theme “Feeding the planet, energy for life” • 20 million visitors (around 30% foreigners) with 24-29 million visits • 2,3 million additional air 4,2 passengers • 150 countries exhibiting 2,3 • Global investments on urban and 1,5 regional area: 11,8 billion Euros • Exhibition Site investments: 1,7 billion Euros Total By By plane Air pax 1) existing additional Milan • Exhibition Site area: 110 hectares visitors train/car apts

1) Hypothesis: one round trip for passenger Milan means a diversified and unique mix of business, cultural 13 and leisure traffic A number of drawcards attracts visitors to Milan

Tourism & Leisure Sport Culture Fashion, Shopping, Design Events

Castello Sforzesco Sport Culture Leonardo’s Last Supper Events Events

Duomo San Siro Stadium Theater International Furniture and Design Expo Italian Como Lake

Via Montenapoleone Garda Lake The 900 Museum Triennale Design Museum Motorcycle Expo

 Key tourist attractions  Multiple world class sporting  Over 50 leading cultural  Undisputed leadership for  Milan International Fair is a including: events including: attractions including: fashion and shopping worldwide leading operator – Monuments (i.e. Duomo – Monza Formula 1 – La Scala – “Quadrilatero della in the trade show and and ) – Monza Superbike – Brera Art Gallery Moda” exhibition industry – Lakes Area – FC Inter Milan – Leonardo Da Vinci's Last – Showrooms – Largest Trade Fair site in  On the European tourist – AC Milan Supper (Cenacolo)  Centre of excellence for the world for rented sq m route  Multiple golf courts – Duomo design (Furniture and – >120 international fairs – ~15 MM tourists for Milan – Triennale Accessories) and exhibitions and its region – – Both in Milan and – Diversified across – ~ 40 MM tourists for Brianza industry 15% Northern Italy – The Salone del Mobile is – 58,000 Italian and  Outbound tourist flows the global benchmark for 22,000 foreign exhibitors – ~12 MM tourists from the Home Furnishing – 5.5 MM Italian and Milan and its region Sector as well as an 1.0 MM foreign visitors – ~ 20 MM tourists from ongoing promotional Northern Italy vehicle

Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec ... 2015 14

Malpensa Airport - Surface connectivity and plans for the enlargement of the catchment area Malpensa can be easily reached from Milan Downtown 15 by bus, car, taxi or train

From September 2010 Malpensa is a High Speed Rail Terminal

Travelling time Frequency

1h55min to/from Bologna 4 High Speed Trains HSR 2h40min to/from Florence directly linking MXP T1 * 136 rail services per day

29 min (Cadorna Station) Every 15 min Train 43 min (Centrale Station) (in each direction)

Regular shuttle and rail Every 20 min services also to Southern Bus 50 min (average) (in each direction) Switzerland and all main cities in Northern Italy

Taxi 45 min (average) Available H24

Car 45 min (average) Electrical car-sharing

* Temporarily suspended Rail connectivity from Milan to Malpensa recently improved. 16 The terminal is now directly linked to the national railway network

Milan Malpensa is easily reached from the city centre by (Cadorna Station and Central Station) or Freccia Rossa trains

• CADORNA STATION 81 daily trips, every 30 minutes each, both directions: 1. 46 point-to-point daily trips (without intermediate stops). Travel time: 29 minutes. 2. 35 daily trips with intermediate stops at Milan , and . Travel time: 36 minutes.

• CENTRAL STATION 51 daily trips, both direction: 1. 37 daily trips with intermediate stops at Garibaldi, Bovisa, Saronno, , Castellanza, Busto Arsizio, . Travel time: 52 minutes. 2. 14 daily trips with intermediate stops at Garibaldi and Bovisa .Travel time: 43 minutes.

• HIGH SPEED RAIL 1. The airport is directly connected to the High Speed Railway System. 2 “Freccia Rossa” daily from Milan Central Station to coming from Florence and Naples, returning in the evening. The new High Speed Rail will significantly reduce journey 17 times from/to all major Northern and Central Italian cities

Rail connectivity within the catchment area

Development of High Speed Rail network in Northern Italy Routes Current Future

Milan-Verona 1h22m MXP

2009 Milan -Turin 54m 2015 (E) Milan-Bologna 1h05m 2014 (E) 2008 Milan-Genoa 2h30m 1h40m

Milan-Venice 2h35m 2h

Milan-Florence 1h45m 2009

Milan-Switzerland Direct lines to & by 2011

Operating Project phase (E): Estimated New highways are significantly increasing road accessibility 18 to Malpensa and expanding its catchment area

Development of highway network in Malpensa catchment area

Routes Current Future

MXP-Turin 1h30min Bergamo MXP 2014 (E) MXP-Verona 2h00m 1h40m 31 March 2008 Brescia MXP-Genoa 2h00m 1h50m 2012 (E) 2009-2012 2014 (E) MXP-Bologna 2h30m 2h10m 2014 (E)

MXP-Venice 3h20m 2h40m

MXP-Florence 3h50m 3h20m TURIN 2008 MXP-Bergamo 1h15m 55m

TO GENOA MXP-Brescia 1h40m 1h10m

A1 Current A4 – Malpensa junction Additional highway lanes New highways Activation year highways (under construction) New surface connectivity projects are significanlty enlarging 19 the catchment area

Population

Current catchment area within 120 Km 14,000,000

Catchment area connected with new HSR 16,000,000

Current catchment area within 250-300 Km 22,000,000 20

Malpensa Airport – Traffic and network highlights Milan handles 20% of Italian passenger traffic 21 and 50% of Italian air cargo flows

PASSENGERS % ON CARGO % ON 2012 [.000] TOTAL ITALY 2012 [tons .000] TOTAL ITALY

NorthernItaly 63,160 43 647 77

Milan 1) 27,505 19 434 51

Lombardy 36,400 25 582 69

Central Italy 48,837 33 175 21

Southern Italy 33,850 23 22 3

Total Italy 145,847 100 844 100

1) MXP + LIN p2p traffic in Malpensa has reacted positively after AZ 22 de-hubbing thanks to other carriers’ development

Evolution of passenger traffic in Malpensa [MM pax]

2007 2012 2007 2012

Other carriers Point to point market +30,9% +10,4% 23,7 12,3 23,7 16,3

18,3 16,1 18,3 18,0

11,4

7,4

2,2 0,3

Tot Others AZ Tot Others AZ Tot p2p Transfer Tot p2p Transfer

Alitalia Transfer -80,7% market -95,9% Milan Airport System: traffic volumes 2012 vs 2011 23

Pax [.MM] Movements [.000] Freight [.000, tons]

-4% -9% -8%

+2% +2%

19,0 18,3 187 450 171 414

9,0 9,2 94 96 0%

20 20

LIN MXP LIN MXP LIN MXP

2011 2012 Malpensa development 2002-2012: + 66% in number of 24 scheduled airlines and + 46% in direct destinations served

Number of scheduled airlines Direct destinations from Malpensa

+ 66% + 46%

100 180

123 60

2002 2012 2002 2012 The balanced customer mix ensures a regular distribution 25 of passengers all over the year

Passenger travel reason Monthly distribution of scheduled flights [MXP; pax 2012]

VFR 9% 9% 9% 9% 8% 7% 8% 8% 8% 7% 7% 7% 7%

42% Business

51% Leisure

Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Main international destinations 26

Los Angeles MALPENSA Navoi Almaty New York Baku Taskent Seoul Algiers Memphis Atlanta Tunisi Tel Aviv Beyrut Islamabad Beijing Casablanca Amman Teheran Miami Osaka Cayo Largo Tripoli Dubai Havana Sal Cairo Riyadh Shanghai Cancun Holguin Marrakech Bahrein Roatan La Romana Jeddah Abu Dhabi Hong Kong Dakar Taipei Montego Bay Antigua Boa Doha Banjul Muscat Bangkok PointeAPitre Vista Addis Ababa Colombo Phuket Mombasa Singapore Malè Fortaleza Natal Nossi Be

Maceio Mauritius

San Paolo

Passengers and cargo All cargo Our main non-European clients 27

AIR

AMERICAN AIRLINES ROYAL JORDANIAN

ASIANA AIRLINES FEDEX SAUDI ARABIAN AIRLINES

AZERBAIJAN AIRLINES

CATHAY PACIFIC TAM

CHINA CARGO AIRLINES NCA NIPPON CARGO

DELTA TUNIS AIR

EL AL P.I.A. PAKISTAN INT.

EMIRATES Main domestic and European destinations 28

KEF

FAE

OSL HEL LED ARN MOW MALPENSA DUB EDI CPH RIX MAN BHX LON AMS DUS BRS HAM MSQ ELB BER WAW HAJ BRU CGN FCO BRI FRA AHO CDG KBP BDS NTE STR PRG OLB NAP LUX MUC VIE BUD KIV BOD ZRH DEB BIO LYS CAG SUF TLS GVA PMO OPO MALPENSA BEG OTP TPS MAD BCN MRS AJA CTA SPU PRN LIS DBV SOF PNL MAH LMP ROME TIA PMI SKG IST AGP IBZ CFU ATH EFL KGS JMK TFS FUE ZTH RHO LPA JTR LCA HER MLA A long list of new services in the last years highlights 29 Malpensa potential

2008-2013 traffic evolution New carriers

2008 2009 2010 2011 2012 2013 1) TOTAL

New carriers 10 17 11 8 5 3 54

New destinations 8 11 23 9 7 4 62

New services 29 42 59 24 30 13 197

Services increased in nr of frequencies 38 49 30 40 38 14 209

Overall increase in nr Of weekly frequencies 376 420 323 209 244 73 1.645

1) Mar 2013 update SEA created ViaMilano, an innovative service that allows 30 to connect “via Malpensa” carriers without interline agreement

Innovative virtual hubbing strategy

• The target of this brand new aviation product is to create a connection between overseas legacy www.flyviamilano.eu carriers and low cost ones so as to capitalize on their own respective capacity and overcome the lack of a traditional hubbing carrier • The airport operator is covering all aspects of the project implementation (including the insurance assistance in case of missed connections) which has just overcome the testing phase • An innovative booking engine, that allows to find and purchase ViaMilano route, combining low cost and traditional carriers, is now available on ViaMilano website • ViaMilano booking engine is also integrated in Travelport and Amadeus selling platforms allowing distribution and sale of ViaMilano itineraries through travel agencies SEA sets up a range of services dedicated to ViaMilano 31 passengers to enhance “transfer experience” in Malpensa

Innovative virtual hubbing strategy

Landing in MXP with Arrival at oMilan Malpensa 1 Transfer to Milan Malpensa 1 Boarding at Milan … Take-off from MXP with long haul short/medium haul flight … or Milan Malpensa 2 Malpensa 1 network carrier

1 Ground Assistance • Dedicated desks at Malpensa arrivals for baggage drop-off and passenger assistance (baggage is sent to final destination) • Improved shuttle service for transfer between Terminals • Free access to the fast-track for rapid access through security checks

2 Commercial Offer • 10 EUR commercial voucher to be spent in Malpensa shops • Connection insurance with Axa (purchasable on-line) • Enrolment to the ViaMilano.Program loyalty program • Free Wi-Fi connection for 60” in the airport 3 Communication • Dedicated web-site www.flyviamilano.eu • On-line and off-line advertisement campaigns • ViaMilano dedicated brand and promotional material • Billboards in the airport 4 Distribution • On-line booking-engine for B2C distribution • Integration of a customized ViaMilano flight-connector on the web-site of the partner airline for on-line purchase of ViaMilano connections • Partnership with Travelport and Amadeus for B2B distribution • Partnerships with airlines and airports for joint promotion 32

Malpensa Airport – Existing facilities and investments for the future SEA is reshaping its business model across its three terminals 33

SEA defined a new balanced business model across the three terminals

Strategic actions currently in place by SEA: • a clear path to consolidate the role of Malpensa as intercontinental multi-carrier hub, also through an innovative model featuring the integration of LCC as feeders of network carriers on long-haul • the consolidation of Malpensa T2 as “low cost airport”, with a tailor-made commercial offer • the positioning of Linate as city airport for the Milan business community Milan Malpensa a tailor made concept for each terminal 34

Milan Malpensa: airside

 24 hours opening: no curfew  Two runways

Fuel Storage  No capacity constraints at Milan – length: 3,920 m each Malpensa 1 and 2  Network of taxiways, recently  Max capacity of 70 mov/h upgraded 2 parallel runways (length 3.920m,, width 60m) accessible to all types of aircrafts 46 aircraft  185 aircraft stands (140 of which – Milan Malpensa’s infrastructure can stands (MXP2) to be used simultaneously) accommodate Airbus A380 139 aircraft stands (MPX1 and Cargo City) – 2 bridges over the railway

Milan Malpensa: landside

 Opened in October 1998  The only terminal at Milan Malpensa  Top Italian airport for cargo traffic  Focus on schedule and charter traffic until the opening of Milan Malpensa 1  Over 410,000 tonnes handled in 2012  Total surface: 300.000 sqm  Focus on low-cost traffic (easyJet)  16 all cargo carriers in operation – Commercial Area: 8,000 sqm  Total surface: 55,000 sqm  Capacity: 550,000 tonnes – Food & Beverage Area: 6,100 sqm – Commercial Area: 1,500 sqm  50,000 sqm of warehouses at Milan  256 check-in counters – Food & Beverage Area: 1,865 sqm Malpensa Cargo  80 boarding gates  57 check-in counters  41 airbridges  28 boarding gates  Railway station inside  Bus shuttle to Milan Malpensa 1 every 7 minutes From 2013, with third satellite first release, it is possible to 35 dedicate a terminal to Airlines Alliance, "One Roof Terminal" concept

Third satellite – Key elements

• 15 loading bridges, a total area of 35,000 square meters, 3,000 of which dedicated to VIP lounges

• With the opening of the new satellite, which has a total area of 35,000 square meters, 3,000 of which are dedicated to VIP lounges, the terminal capacity will increase by 50%.

• Milano Malpensa will then count 41 loading bridges and, novelty for the Italian airports, can simultaneously accommodate two Airbus A380, putting assengers through 3 docks (one for the upper deck and two for the main deck). Of these, one will connect the VIP lounge of the company directly with the aircraft without having to through the gate.

• The new loading bridges have a avant-garde technology, based on a moving mechanism that allows to adjust the height of the bridge maximizing the flexibility of use. A similar structure is present only at JFK Airport in New York.

• With the opening of the third satellite, non-Schengen flights pass to the new structure, while both flights of the and those Extra- Schengen area will be operated at satellite B. Schengen flights will be operated at satellite A.

• The whole structure of the third satellite will be operational by 2015 with a total area of ​​120,000 square meters. Malpensa is not just a hub, it is also an outstanding airport 36 providing a new travel experience

Main commercial activities in Malpensa

• A shopping mall with prestigious Italian and International brands and stylish restaurants, in the heart of the most renowned fashion and design region in the world • A broad range of services: lounges, currency exchange desks, car rentals, business center, hotel and transport reservation offices, internet points, Wi-Fi, limousine service, loyalty program, etc. • A Sheraton hotel with 400 rooms in the airport premises and several hotels already existing in the area • Plenty of customization opportunities for carriers (check-in desks, gates, fast track, lounges, etc.) and possibility to join our new loyalty “viaMilano program” SEA intends to further develop premium traffic in MXP by 37 providing high-end concepts and customized VIP services

• Complete renewal of Club SEA Lounges • Innovative concept, carried out with the support of primary design brands • Strong appreciation by carriers, which are very happy to offer access to the lounges to their premium clients: , Singapore Airlines, Etihad, , Thai Airways, Korean Air, just to mention a few. • Milan airports VIP Service: a customized top class assistance offered to each customer. VIP exclusive package of services includes: - Reception at the airport for individuals and groups - Multilingual Hostesses - Porter service - Assistance at Check-in - Access to VIP Lounges - Fast Track passage through Security checks and passport control - Transfer to aircraft with private vehicle Highly skilled technical facilities, thanks to SEA partnership 38 with Technik on maintenance

• In October 2009 SEA and Lufthansa Technik signed an agreement for the development of a maintenance pole at Malpensa airport. The strategic partnership has been renewed in feb 2012 • Located in a hangar rented from SEA, Lufthansa Technik Milan has established itself as the main supplier for aircraft maintenance services on short- and long-haul aircraft in Malpensa. The Italian subsidiary delivers a variety of technical support services from line up to base maintenance to numerous carriers based in or operating through MXP. In addition, it provides supply chain services from aircraft component support up to integrated material services. • The company currently employs approximately 100 staff, and is expanding its product portfolio to support further aircraft types. The hangar of Malpensa airport has an area of 6,400 sqm and accommodates a long-range aircraft plus two short- range aircraft, or four narrow-bodies simultaneously. A second hangar of 1,500 sqm is available for smaller aircraft sizes. Aircraft components are stored in a warehouse adjacent to the hangar facility providing 24/7 access for customers. Malpensa development plan involves several projects. 39 The third is a key element of the airport development

Short-mid term developments in Malpensa

Completed December 2008

By the end of 2013

Completed July 2009 Budget Terminal 2 New South junction Hotel Re-styling

Third Satellite T1 New “W” junction Completed Cargo City February 2008 expansion By 2014

Sheraton hotel Opened in January 2013 Third runway Opened in October 2010 2014-2016 2,400 x 45 m SEA is proceeding with the infrastructural development 40 of Malpensa according to the communicated schedule

Main infrastructural developments in Malpensa – Key elements

Third satellite Hotel New South junction - Operational

• 120.000 sqm • Top-tier brand • Avoidance of of Terminal 35L RWY • Over 42.000 expansion crossing for A/C sqm departing from • 5.000 sqm • 436 rooms 35R of commercial areas, summing • 2 restaurants • 2,500 m length up to an overall • 1 Spa • 2 year works 20.500 sqm (+33%) • 1 Congress • Completion of 2 center with bridges over • State-of-the-art a 2.000 sqm the railway, styling and room with 700 capable of layout seats capacity bearing A380 • >100 workers and technicians in peak hours

Third • 2,400 x 25 m runway • Near Cargo City • The construction of the third runway (near Cargo City), parallel to the current, will enable the optimization of system movements In the long term (after 2020) Malpensa will further expand 41 with the completion of additional, primary infrastructures

Main infrastructural investments in the mid-long term

from 2020

New Central from 2017 terminal New logistic park

from 2020 from 2018 Rail Rail connection connection to from T1 to T2 Central terminal 42

Malpensa Airport – International punctuality benchmark An outstanding quality of service: 43 Malpensa is top performer for flights punctuality

European airport punctuality benchmark – Flight punctuality [MXP; % on total flights]

80,20 78,90 78,30

75,80

72,80

55,90

MXP MAD FCO CDG FRA LHR

Source: SEA; AEA punctuality report 44

Malpensa Airport – The primary Southern Europe gateway for international cargo traffic Milan shows a constant growth in all cargo volumes 45 and number of services

CARGO DEVELOPMENT IN MILAN ALL CARGO WEEKLY SERVICES

+88%

434.000 tons 296.000 75 tons out of cargo business

2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012

YEAR 2002 YEAR 2012 40

Courier Courier 7% 11%

43% Belly 32% 57% 50% Freighters Belly Freighters

2002 2012 New full freighter services boost cargo volumes at Milan 46 Malpensa

Cargo carriers setting up new operations or increasing services at MXP [2008-2013]

9 new all cargo airlines

51 new weekly services Consolidation of Italian leadership also through the recovery 47 of RFS volumes

Italian Air Cargo traffic distribution Air Cargo Market [.000 tons - 2012]

% FREIGHT 1.200 647 AIRPORT MARKET [.000 tons] SHARE

Milan 434 51 MXP 414 Rome 160 19

Bergamo 117 14 20 LIN Venice 33 4 Other APTS 213 553 Bologna 31 4

Brescia 30 3

Catania 7 1

Ancona 7 1

Pisa 7 1

Others 18 2 Total air cargo Airport mkt RFS TOTAL 844 100 mkt North Italy 54% 46% Malpensa ranks #6 among the Top European Cargo airports 48

Freight volumes at major European airports 1) [.000 tons – 2012]

1.987 1.950

1.483 1.465

615 414 395 359 292 272 214 178 177 143 97 97

FRA CDG AMS LHR LUX MXP BRU MAD ZRH MUC STN VIE HEL FCO MAN BCN

1) Excluding mainly courier stations Malpensa airport all cargo operators 49

ASIANA AIRLINES ETIHAD

FEDEX AIR BRIDGE CARGO

KOREAN AIR CARGO &

NCA NIPPON CARGO

CATHAY PACIFIC

QATAR AIRWAYS

CHINA CARGO AIRLINES SAUDI ARABIAN AIRLINES

DHL

EGYPT AIR Main cargo destinations directly connected with Malpensa 50

DESTINATION 2012 tons

Hong Kong 34,168 Luxembourg 32,146 Seoul 28,150

Shanghai 27,653 Moscow Dubai 23,795 Los Angeles Paris 21,256 MALPENSA Baku Almaty New York Doha 20,384 Memphis Navoi Seoul Istanbul Tokyo New York 20,112 Atlanta Damman Beijing Osaka Baku 19,607 Dubai Cairo Abu Dhabi 17,251 Riyadh Shanghai London 16,752 Jeddah Abu Dhabi Hong Kong Taipei Doha Moscow 16,525 Tokyo 15,450 SOUTH & CENTRAL AMERICA AFRICA Istanbul 10,641 NORTH AMERICA Memphis 8,533 9,0% 2,2% ASIA Delhi 7,751 1,3% 34,9% Singapore 7,704 24,6% Sao Paulo 6,469 Riyadh 5,567 San Paolo MIDDLE EAST Bangkok 5,205 28,0% EUROPE

Passengers and cargo 414.000 air freight tons in 2012: 43% import – 57% export All cargo SEA is undertaking new big investment projects for Cargo City 51

 The expansion of Milan Malpensa Cargo will allow, from early 2014, new aircraft parking areas and hangars

SEA INFRASTRUCTURE SEA covering approx. 48,000 sqm and some 10,000 sqm in office space to be made available  This infrastructure work will double the existing freight handling capacity of Milan Malpensa airport: from 500,000-560,000 tonnes to approx. 1 million tonnes per year  The Milan Malpensa Cargo expansion plan will be

completed, through partnership with third parties, with the Current cargo New development of a Logistics Park (total area of approx city logistics park 200 hectares)  The Logistics Park will be developed through several steps starting from a first phase of land development of approx 500.000 sqm meters (up to 250-300.000 sqm of

warehouses) Cargo city  These projects will enable SEA to consolidate Milan expansion Malpensa’s role as the leading Italian freight transport airport A full range of services at Malpensa Cargo City 52

Services at Malpensa Cargo City

Malpensa Cargo City is the first cargo platform in Southern Europe

• Perishable warehousing facilities with cold rooms and areas for livestock • Caveau with top security standards (biometric check access, temperature and humidity control, flood and vibration detection system, anti-flooding system) • Cross border health inspections with veterinary and phytohealth services • Full facilities to support all operation requirements including 24 hour import/ export custom clearance operations and payment of tolls and taxes • Express courier facilities • 24 hour opening: no curfew! An outstanding mix of opportunities for airlines 53 at Malpensa airport

Easier accessibility thanks to dramatic upgrading of rail and road system

Relevant point-to-point traffic flows in & out of all the main world regions 2015 will be held in Milan

Regular passengers traffic distribution all over Huge and balanced cargo flows the year to all major world destinations

Malpensa infrastructure development Strong business traffic potential with customization possibilities

The largest ethnic communities in Italy are hosted Great majority of Italian outgoing touristic flows in Milan catchment area

ViaMilano project to boost connectivity at MXP