1. Future Vision of Aeronautical Products and Technology: Commercial Airplanes Dr. Michael Romanowski Vice President, Civil Aviation June 8, 2005

2. What Drives Our Industry? Safety New Technologies 2005 Europe/U.S. International Aviation Safety Conference

3. Liberalization Has Led To More Frequencies And Non-stops. 2005 Europe/U.S. International Aviation Safety Conference

4. Regional Jets Continue Trend to Increased Point to Point Service

5. Turboprops ≤ 34 seats Turboprops > 34 seats Last new order (for 10) Nov ‘97 Regional Jets Regional Jets Have Entered the Fleet in Large Numbers 2005 Europe/U.S. International Aviation Safety Conference

6. The Introduction of Very Light Jets/Air Taxis is a Logical Extension of Conventional Point to Point Service Concentric Circles represent VLJ ranges as indicated 2005 Europe/U.S. International Aviation Safety Conference

7. Aviation System Capacity Air travel growth has been met by increased frequencies and non-stops, not by increased airplane size. 2005 Europe/U.S. International Aviation Safety Conference 325 300 275 250 225 200 175 150 125 100 75 Air Travel Growth 1980 1985 1990 1995 2000 Average Airplane Size Non-stop Markets Frequency Growth Index 1980=100

8. Airline and Industry Strategies 25,000 airplanes 2.0 trillion delivery dollars* *In year 2003 dollars Regional jets Single-aisle Twin-aisle 747 and larger 2004-2023 Airlines Will Need 25,000 New Airplanes * 2005 Europe/U.S. International Aviation Safety Conference * Additional Estimates Call for Thousands of VLJ’s/Air Taxi

9. Advanced Technology Contributions to Airplane Efficiencies Systems Materials Aerodynamics Engines 2005 Europe/U.S. International Aviation Safety Conference

10. Advanced Systems Technologies Span the Product Lines Common Core Open Systems Architecture Advanced Flight Controls More Electric Systems Architecture Wireless IFE Integrated Health Management e-Enabled Systems 2005 Europe/U.S. International Aviation Safety Conference

11. Head-up Display (HUD) GPS Landing System (GLS) Integrated Approach Navigation Surface Guidance System (SGS) Enhanced Vision System (EVS) Synthetic Vision System (SVS) Electronic Flight Bag (EFB) Navigation Performance Scales Vertical Situation Display (VSD) Quiet Climb System (QCS) Present Maturing Future Regulatory System Must Allow the Easy Insertion of New Safety Enhancements 2005 Europe/U.S. International Aviation Safety Conference

12. Additional Regulatory and Infrastructure Issues  System capacity— must transform the system to accommodate growth  Global business environment  Noise & emissions expectations 2005 Europe/U.S. International Aviation Safety Conference

13. 4001041404 Feet Meters 0 5000 0 1500 Source MS Mappoint, (c) Microsoft, Inc. 85 dBA contours 3,000 nmi mission London Heathrow Future noise footprint stays in the airport property Expectations Will Continue to Drive Quieter Aircraft Typical noise footprints extends well beyond airport property 2005 Europe/U.S. International Aviation Safety Conference

14. Summary  Trends towards increased use of point to point service across commercial product lines  Capacity will need to increase  Technology bringing new capabilities and safety improvements  Regulatory systems must keep pace with developments 2005 Europe/U.S. International Aviation Safety Conference