1. E-TICKETING IMPLEMENTATION Vladimir Tepikin Reservations Systems Manager Ukraine International Airlines

2. Moscow, June 28 2006E-Ticketing - Vladimir Tepikin Ukraine International Airlines Origin Created 1992 – 1 year after Independence One of first companies with foreign investment Training to highest international standards Commenced operations using two new Boeing 737-400 aircraft

3. Moscow, June 28 2006E-Ticketing - Vladimir Tepikin Objectives Introduce advanced technology and management methods Attract direct Western investment Expand relations between Ukraine and foreign countries Integrate Ukraine's air transport into the international network Earn profits ALL ACHIEVED

4. Moscow, June 28 2006E-Ticketing - Vladimir Tepikin UIA Route Network 23 international routes, 16 of them – from KBP; 7 domestic routes, including code-share

5. Moscow, June 28 2006E-Ticketing - Vladimir Tepikin UIA fleet 4 x Boeing 737-300s 4 x Boeing 737-400s 4 x Boeing 737-500s

6. Moscow, June 28 2006E-Ticketing - Vladimir Tepikin Passengers carried

7. Moscow, June 28 2006E-Ticketing - Vladimir Tepikin Electronic Ticketing Pre-implementation situation Just theoretical knowledge Very limited human resources Ground Handling issues Revenue accounting is not clear

8. Moscow, June 28 2006E-Ticketing - Vladimir Tepikin Obstacles Lack of clear understanding by sales and revenue accounting people Ukrainian immigration and airport security authorities Native DCS had to be implemented at least in KBP Necessity to implement ETKT via all channels: - interline partners; - GDS; - self-ticketing

9. Moscow, June 28 2006E-Ticketing - Vladimir Tepikin E-Ticketing Project Milestones February 2005 - E-ticketing project launched April 2005 - contract for SITA E-Ticketing server signed October 19, 2005 – 1 st E-TKT on UIA flight was issued by Continental Airlines February 16, 2006 – 1 st E-TKT issued in UIA office

10. Moscow, June 28 2006E-Ticketing - Vladimir Tepikin CURRENT SITUATION 7 routes are E-ticket eligible: AMS, LON, PAR, BER, ZRH, BRU, FRA 4 deployed bilateral Interline Electronic Ticketing (IET) agreements: OCT05 – CO MAR06 - DL APR06 – NW JUN06 - KL

11. Moscow, June 28 2006E-Ticketing - Vladimir Tepikin CURRENT SITUATION – GDS Global Distribution Systems activated: OCT05 - Galileo NOV05 - Worldspan JAN06 - Sabre APR06 – Amadeus Points of Sale activated: GB, FR, NL, IE (1P+1A), DE, BE, CH, US,CA

12. Moscow, June 28 2006E-Ticketing - Vladimir Tepikin CURRENT SITUATION Ground Handling SITA DCS implemented in KBP, TXL, LWO, (BCN and MAD are expected in AUG 06 ) Codeco (AMS, LGW) - control method in OCT 06 Atraxis (BRU, ZRH) - control method evaluated

13. Moscow, June 28 2006E-Ticketing - Vladimir Tepikin CURRENT SITUATION – Ticketing Currently there are 27 UIA offices and airport counters worldwide equipped with Gabriel terminals, 16 of them are equipped with automated ticketing 3 offices (Kiev CTO+ATO and Zurich ATO) can issue E-TKTs Revenue Accounting system adapted to process nightly ETM files downloads

14. Moscow, June 28 2006E-Ticketing - Vladimir Tepikin ETKTs issued on UIA flights

15. Moscow, June 28 2006E-Ticketing - Vladimir Tepikin Current Challenges Ground Handling ETL method: - less reliable - no flexibility and interactivity Transition from TKT7 to TKT2 (for automated offices) Revenue Accounting / Sales Reporting Staff training synchronous with TKT2 transition Immigration in destination countries

16. Moscow, June 28 2006E-Ticketing - Vladimir Tepikin Future project development Replace ETL with interactive or control method Persuade agents to issue and passengers to buy electronic, not paper Further Interline E-Ticketing deployment E-ticketing via www.flyUIA.com Make all destination E-eligible, including domestic Launch E-ticketing over all outstations

17. Moscow, June 28 2006E-Ticketing - Vladimir Tepikin E-eligibility expansion over PS network Currently 9 destinations are not E-TKT eligible: BCN, DXB, HEL, KWI, LIS, MAD, MIL, ROM, VIE All the destinations are intended to be turned on by the end of the year.

18. Moscow, June 28 2006E-Ticketing - Vladimir Tepikin Future Interline e-tkt Agreements IB : 4Q06 OS&LH : 4Q06-1Q07 (depends on LH Systems readiness) VV : 4Q-2006 AF :4Q-2006 KU : 1Q-2Q07 AY :1Q-2Q07 Airlines which expressed their interest to deploy IET with Ukraine International:

19. Moscow, June 28 2006E-Ticketing - Vladimir Tepikin QUESTIONS, PLEASE? tepikin.vladimir@ps.kiev.ua