AACO 5 th Technical Forum – Cairo November 2008 Connected Planning on the Ground Delivering Fuel Burn Reductions of 2% Gerard Berry Sales & Marketing Director

AACO 5 th Technical Forum – Cairo November 2008 Presentation Theme  Introduction to Liberator.aero  Airlines - Challenges & Operating Environment  View from the Cockpit & the Ground  The Liberator perspective  Adopt ‘Measure to Manage’ principle  Attitude is everything – Savings or Cost Reductions

AACO 5 th Technical Forum – Cairo November 2008 The Company Formed in 2003 and is owned and managed by airline professionals with in excess of 100 man years experience Based in Dublin with IT expertise in Hyderabad Investment by Irish Government Agency - Enterprise Ireland Member of the IATA Strategic Partnership Programme

AACO 5 th Technical Forum – Cairo November 2008 Airlines with whom we have worked

AACO 5 th Technical Forum – Cairo November 2008 The Challenges for Airlines Economic Downturn and Fluctuating exchange rates. Mergers and company consolidation for survival Managing costs in an ultra competitive market Order delays for new aircraft Extending further use of costly older aircraft Shortage of pilots to match fleet expansion

AACO 5 th Technical Forum – Cairo November 2008 Operating Environment Fluctuating fuel costs – airlines have to re-examine ops processes. Airlines are withdrawing own staff from outstations More airlines moving to centralised load planning Operational efficiency delivers competitive advantage

AACO 5 th Technical Forum – Cairo November 2008 The View from the Cockpit

AACO 5 th Technical Forum – Cairo November 2008 Flight Operations Variable Cost Index / Aircraft Performance & Engine Health Monitoring / Continuous Descent / Single Engine Taxi Design Blended Winglets Innovation Bio Fuel initiatives Combating Fuel Costs – Current Initiatives

AACO 5 th Technical Forum – Cairo November 2008 The View from the Ground up

AACO 5 th Technical Forum – Cairo November 2008 Maintenance Engine Wash / Aircraft Wash Ground Operations Aircraft tow to runway Conservative APU usage GPU upon arrival Culture Cargo IT / Commercial / Marketing Combating Fuel Costs – Current Initiatives

AACO 5 th Technical Forum – Cairo November 2008 Combating Fuel Costs – The final piece Ground Operations Weight & Balance A source of 2% savings of the fuel bill

AACO 5 th Technical Forum – Cairo November 2008 The Question… How can we achieve cost penalty reductions of 2% of the annual fuel bill ?

AACO 5 th Technical Forum – Cairo November 2008 Measure and highlight performance in Weight and Balance Management from a fuel burn perspective. The Answer…

AACO 5 th Technical Forum – Cairo November 2008 ‘Measure to Manage’ The Liberator.aero philosophy

AACO 5 th Technical Forum – Cairo November 2008 Loading Efficiency & Weight Reduction Airlines can do more to reduce fuel burn and costs by paying more attention to aircraft loading for all departing flights from all airports. Target the measurement of ‘below wing’ performance Planning Gaps – EZFW versus Actual ZFW Discretionary Fuel Achieve an optimised initial CG on the ground - Before the aircraft takes off. Apply a US$ value to the inefficiencies / cost penalties that are identified.

AACO 5 th Technical Forum – Cairo November 2008 The Focus Create awareness of how loading increases costs Express cost penalties in US$ for each departing flight Highlight ground handlers role in Fuel Savings Programme. Include loading efficiency as part of Service Level Agreements Consistently deliver optimised loading Start at home base and roll out to all airports

AACO 5 th Technical Forum – Cairo November 2008 LFI System Data Requirements (Automated) MVT/Fuel Info Loadsheets Flight Plans AHM560 Web-based, located in Dublin Flight / Weight / Balance / Seating EZFW / Required Fuel Fuel on board - O/O/O/I Timings

AACO 5 th Technical Forum – Cairo November 2008 LFI System Performance Monitoring Tool Finance & Budgetary Pilots & Fleet Captains All Bases Flight Planning & Operations Load Planning & Dispatch Executive Management & Departmental Heads Ground Handlers & Outstations Network Air Traffic Management Sales & Marketing Cargo

AACO 5 th Technical Forum – Cairo November 2008 W&B Fuel Management Programme Steps  Evaluate and confirm Ideal Trim policy for each aircraft type  Communicate loading policies to the loading community  Monitor loading performance across the network  Identify and fix any performance gaps  Sustain effective loading performance for all flight departures  Adopt a continuous monitoring programme to save fuel and emissions

AACO 5 th Technical Forum – Cairo November 2008 Carrying extra weight on board will result in additional fuel burn equivalent to about 4% per hour of the extra weight carried. (Source: Airbus) On a 7 hour flight for every extra 5,000 kg of fuel, it burns 1,300 kg of that fuel just to carry it. (Source: IATA Fuel Book) Our own extensive research over the last three years has shown us that 66% of flights dispatched with a forward trim resulted in higher fuel burn per block hour. (Source: Liberator.aero )

AACO 5 th Technical Forum – Cairo November 2008 ‘Measure to Manage’ - The Psychology of Airline Cultural Change Respect for Pilots on issue of Discretionary Fuel Attitude of accountable business owner is key Requires opening up – ‘stand up and be counted’ Deliver Savings – seen as a threat Deliver Cost Reduction – seen as an opportunity A collective challenge for survival

AACO 5 th Technical Forum – Cairo November 2008 The Benefits Target fuel cost savings of 2% annually Save 3kg of CO 2 for each 1kg of fuel Improved ground handling Increased fuel costs awareness Competitive advantage through enhanced operational efficiency

AACO 5 th Technical Forum – Cairo November 2008 “ Keep it simple but focussed. Starting from the ground up, use technology to build a team approach to reducing fuel burn and emissions” The Liberator.aero recommendation

AACO 5 th Technical Forum – Cairo November 2008 Thank You