Wednesday, October 31, 2007

H A S Overview Enterprise Fund with 1,553 employees Financially Self- Sufficient Does not Rely on Local Taxes Serve Over 51 Million Passengers 4 th Largest Airport System in U.S. 6 th Largest in the World Growing as Global Gateway

H A S FY’08 Revenue Sources Landing Fees & Terminal Rentals $313 M 67% Parking & Concessions $122 M 26% 6% Interest Revenue $26 M 1% Other Revenue $3 M FY ’08 Budget Total = $ 464,492,800

H A S 2007 Highlights Hobby Airport ■ Celebrates 80 th Anniversary ■ JD Powers Award Winner #1 US Airport for Customer Satisfaction ■ Central Concourse Modernization 25 gates ■ New U S O Lounge

Ellington Field ■ New vintage Air Park and display ■ Joint reserve base facility construction ■ Predator UVA ■ EFD and 147 th celebrate 90 th anniversary ■ Wings Over Houston - 50,000 Attendees H A S 2007 Highlights

H A S Passenger Traffic 0 10M 20M 30M 40M 50M 60M * *51.8 M Projected

H A S On-Time Performance 3% 25% 1% 22% On-Time Arrivals Delays Cancellations 77% 72% National Avg.H A S

I A H Airline Market Shares Continental Airlines 87.5% Other Carriers 12.5% U.S. Carriers  American Airlines  Delta Airlines  Frontier  Northwest Airlines  United Airlines  US Airways Foreign Carriers  Aeromexico  Air Canada  Air France  Aviacsa  British Airways  China Airlines  Lufthansa  KLM  Grupo TACA

H O U Airline Market Shares Southwest Airlines 87.6% Other Carriers 12.4% ■ Air Tran ■ American Airlines ■ Delta Airlines ■ JetBlue Airways

New Air Service ◄ EVA Air Cargo Korean Air Cargo ► ◄ Air Bridge Cargo City Star Airlines ► ► New London-Heathrow Service

Emirates Airlines ■ Service begins December 3 rd ■ Nonstop service from Houston to Dubai ■ Longest flight in Emirates network ■ Daily flights begin February ‘08

IAH Ranks Third in Nonstop Destinations ATL ORD JFK DFW IAH LAXLASDEN EWR DTW 180

IAH Houston’s Global Reach ■ Approximately 120 Domestic Destinations ■ Approximately 66 International Destinations

H A S Cargo Growth 720M 740M 760M 780M 800M 820M 840M 700M 660M 640M 680M Volume in Millions of Pounds 853,159 Projected

H A S All-Cargo Carriers

H A S Customer Service ■ HOU rates #1 in customer service ■ IAH Volunteer Program 1 st anniversary ■ Houston Friendly Program ■ Launched EZ Tag for IAH and HOU Parking ■ Redesigned terminal and roadway signage

H A S Art Program

Model Port Program Rice-Chertoff Initiative  U.S. Department of State and Department of Homeland Security Purpose: Make international arrivals process more welcoming and efficient for foreign visitors Houston George Bush Intercontinental (IAH) and Washington Dulles International Airport (IAD) selected as pilot model ‘ports of entry’

GOALS: Improve passenger education and information  Multi-lingual videos, brochures, websites, signage Improve federal inspection process; reduce processing times Customer service training for U.S. Customs and Border Protection (CBP) Inspectors Collaborate with hospitality industry to learn best practices  Disney produced “Welcome to America” video Model Port Program

CBP Average Wait Times ATL MIA ORD SFO IAD IAH JFK LAX DTW EWR Minutes

H A S Expansion Program IAH: Terminal D Renovation Runway Rehabilitation Extension of APM HOU: Central Concourse Modernization Main Terminal Rehabilitation Runway Rehabilitation EFD: Airfield Improvements, New Taxilane Additional Fixed Based Operators 342 Acres to be Developed

H A S Partnerships Texas Medical Center Texas Medical Center FRIENDS of the AIRPORT Chambers of Commerce Universities Corporations Community Organizations Working together for “ “ Houston’s economic success

2007 Mutt Strut & Runway Race H A S Partnerships

Extensive community outreach program Focus is on women, minority and disadvantaged businesses Small Business Development

H A S Security Achievements Radar-Based Perimeter Intrusion Detection System Airport Rangers Inline Baggage Explosives Detection System New ID badge requirements and background checks for taxi drivers Behavior Pattern Recognition Training

H A S Development Corporation The Corporation is a non-profit Corporation formed solely for the purposes of promoting air transportation, trade and economic development for the benefit of the Houston Airport System “ ”

H A S Development Corporation The Corporation is a non-profit Corporation formed solely for the purposes of promoting air transportation, trade and economic development for the benefit of the Houston Airport System “ ” Quito Airport Project Quito, Ecuador

Latin America Quito, Ecuador China 89 of 132 Airports United States Texas A&M / HAS Aviation Academy Africa 9 Countries H A S D C Training