Proprietary & Confidential May 2003 Creating significant value from CALEB Technologies’ proven decision support- based solutions AGIFORS Conference New York

1 CALEB Proprietary The Essence of CALEB ROI High Low High Complexity CALEB’s Competitive Advantage Problem Space Patented application of mathematic algorithms enabled by information technology CALEB enables optimized decision making to those problems that have significant return on investment

2 CALEB Proprietary Top Airlines as Customers Industry Recognition Top Industry Professionals Proven Track Record Added three new major clients in Edelman Award Won the “Nobel Prize” of Operations Research Management team with proven track record Deep OR expertise Deep IT skills Deep domain knowledge

3 CALEB Proprietary CALEB Current Portfolio of Solutions Planning Re-planning Operations RecoverySuite PairingSolver Resource- Solver All are one of a kind or best-of-breed Solutions collectively save a large airline more than $100 million annually All in production or being installed at major airlines

4 CALEB Proprietary CALEB Clients CALEB is proud to be serving some of the world’s largest and most innovative carriers  CrewSolver  OpsSolver  Crew ResourceSolver  CrewSolver  OpsSolver (Trial Period)  CrewSolver  PairingSolver  Integrated RecoverySuite  (CrewSolver/OpsSolver) New in 2002  Integrated RecoverySuite  (CrewSolver/OpsSolver)

5 CALEB Proprietary RecoverySuite – Business Problem Scope OpsSolver’s Scope CrewSolver’s Scope Business Considerations Aircraft Crew Passengers Maintenance Facilities Weather Mechanical Problems ATC Delays Facility Disruptions Unavailable Crew Security Delays Labor Conflicts Operations Minor / Major Disruptions RecoverySuite Recommendations - Delay Flights - Cancel Flights - Ferry Aircraft - Use Spare Aircraft - Swap equipment - Swap On-Line Crew - Deadhead/ Sit Crews - Move-ups - Extend-outs - Call Out Reserve Crews - Re-accommodate paxs - Upgrade/downgrade pax - Spill passengers PassengerSolver’s* Scope * Beta Version

6 CALEB Proprietary Inputs Schedule Data MCS Passenger Data Res / MCS Pairing Data CMS Maintenance Data Maint Crew Data CMS Operational Data CMS/MCS Output Schedule Data MCS Pairing Data CMS Anticipatory Export Support Solution Commit Integrated Recovery Suite Anticipatory Data Model Workflow Collaborative GUI Reports Ops Solver Crew Solver Passenger Solver CALEB’s Integrated RecoverySuite

7 CALEB Proprietary RecoverySuite Value to an Airline –Satisfies multiple airline-specific objectives –Reduces costs with hard and soft cost considerations using penalties or constraints –Reduces cancellations and delay propagation –Returns airline to normal operations quicker Economic Benefits – Increases on time performance and punctuality – Reduces passenger impact and considers crew quality of life – Localizes disruptions Customer and Crew Good-will – Generates solutions in seconds or minutes – Supports delayed decisions for weather-based disruptions resulting in more informed decisions and better solutions – Allows for multiple solution alternatives Solution Speed – Provides flexible priorities including protections, targets, –Improves cross-functional (aircraft, passenger, crew, maintenance) collaboration and considerations in solutions Operational Effectiveness Consistent Solutions –Stores profiles of preferred settings tuned to management objectives –Provides consistency across experience levels

8 CALEB Proprietary PairingSolver Solution Approach Global approach based on proprietary optimization methods and global constraints Intelligent pairing generation based on proprietary look-ahead schemes Adaptive solution refinement Automated deadhead selection External rules engine Enhanced user interface Objective to Minimize Hard and Soft Costs Flight Schedule Constraints: Crew Rules Operational Requirements Crew Preferences InputPairingSolverOutput Reports Daily, Weekly, or Monthly Pairings Solutions Stated proximity to optimality (>99%)

9 CALEB Proprietary PairingSolver Offers Significant Value to an Airline Solution Speed Optimal solutions in a fraction of the time for cold starts; in most cases in minutes Solution adjustment in minutes for last minute changes Significant opportunity for “what-if” analysis Direct: crew pay and credit Indirect: hotel, limo, meal, deadhead Reduction in Crew Costs Advanced Technology Portable solution; efficient memory handling (runs on laptop) Reports proximity of solution to global optimum Automatic deadhead selection from unlimited pool Daily, weekly and monthly workflow integration; can solve weekly problem without a daily solution Minimized number of crew connections Reduced number of deadheads Pairings match crew base capacities Improved Operational Robustness Desired mix of of 1 to 5 day pairings Control on number of deadheads, crew connections, etc. Ability to limit crew swaps per duty period Improved Crew Quality of Life

10 CALEB Proprietary CALEB’s Future Product Roadmap Planning Re-planning Operations Optimal Operations Recovery (RecoverySuite) Optimal Crew Pairings (PairingSolver) Optimal crew management (Resource- Solver) Dynamic Passenger Swaps (Replane) Dynamic Capacity Planning (Augmented RecoverySuite)

11 CALEB Proprietary For more information, please visit our booth and the Riverside Suite Esther Schuller Julian Pachon Kirk Nagy