Save S.p.a. è stata costituita nel 1987 e dallo stesso anno gestisce l'Aeroporto Marco Polo di Venezia.
Negli ultimi anni la Società ha assunto la dimensione di un moderno Gruppo a gestione manageriale che opera trasversalmente nel settore dei servizi ai viaggiatori articolando la Sua attività nelle seguenti tre aree di business:
Attività di gestione aeroportuale;
Attività di gestione di infrastrutture di mobilità e servizi correlati;
Servizi di ristorazione al pubblico e gestione di negozi per i viaggiatori (Food and Beverage & Retail) presso le infrastrutture di mobilità;
Lo sviluppo delle diverse attività di business contribuisce a rendere Save S.p.a. uno dei soggetti più importanti del mercato internazionale dei servizi al viaggiatore.
4. Group Overview
A Company listed on the Italian Stock Exchange market
Mission
To be a leading service provider for travelers managing three
different areas of business:
airport management
transport infrastructure management
food & beverage and retail
To manage the different Business Units in an innovative way, with
high responsibility and integrity, aiming at developing the territory
which it serves;
To manage all the three business units in an integrated way in
order to anticipate the travelers’ needs as they pass through the
infrastructures we manage.
Vision
To become a “mobility player” offering high quality services. SAVE
value chain focuses its attention on the passenger:
“Traveler Mobility Value”
To increase the time value of travelers during their stay in airports
and in the other mobility infrastructures:
“Pleasant travel experience”
4
5. Group Overview
Save’s Main Strategic Guidelines
To grow its position in the airport management business;
To develop and extend its management activities in the transport
infrastructure sector, utilising the know-how and skills learned in the
airport business;
To increase Food & Beverage and retail turnover, carrying abroad
Italian tastefulness
Growth through
Maximizing the potential of existing ventures;
Selective acquisition of other airport concessions;
Progressive acquisition of additional F&B and retail concessions
through tenders, direct negotiations or acquisition of competitors, in
Italy and abroad markets;
Acquisition of companies active in the transport infrastructure
management.
5
6. Group Overview - Save recent history
SAVE GROUP IMPLEMENTS NEW STRATEGIES
SAVE Group exits ground handling activities in Venice Airport;
New air terminal as well as cargo warehouse are opened in Venice Airport;
2001 - 2002 SAVE Group enters the food & beverage and retail business through its new subsidiary Airport Elite.
SAVE Group acquires 40% stake in Centostazioni (a company managing 103 medium size Italian railway stations)
SAVE GROUP IS LISTED IN THE ITALIAN STOCK EXCHANGE MARKET (MTA)
2005 IPO in the Milan Stock Exchange (SAVE.MI), trough an increase of capital of € 160 mln;
SAVE Group acquires more than 10% of Gemina Spa share capital, an Italian Company that owns 51% of ADR (Aeroporti
di Roma) share capital.
SAVE GROUP CONSOLIDATES ITS GROWTH STRATEGY
SAVE Group acquires 100% of AIREST share capital from Austrian Airlines (2006) and then sells its Catering divisions
focusing only on the F&B and Retail activities (2007)
SAVE Group acquires 100% of RISTOP share capital from Autostrada Brescia – Padova (2006);
2006-2008 SAVE Group sell its 10% stake of Gemina Spa share capital to Morgan Stanley giving a pre-tax capital gain of € 31,5 mln
New air terminal is opened in Treviso Airport (2007) and Save Group acquires additional 35% of Aertre (i.e. Treviso
Airport) capital share funded through Save shares
SAVE Group acquires 100% of FFS and ITPS share capital, two companies based in Czech Rep. both operating F&B
outlets in Prague Airport.
A TOP FINANCIAL INSTITUTION JOINS THE MAJOR SHAREHOLDER OF SAVE GROUP
Morgan Stanley joins Finanziaria Internazionale and Generali Insurance in the shareholders’ agreement of Marco Polo
2008 Holding (the major shareholder of Save Group), with the aim to participate jointly in the acquisition of airport assets with less
than 10 mln pax located in Italy, Europe, Turkey and Middle East;
AIRPORT MANAGEMENT EXPANDS ABROAD
Save Group acquires 27,65% of Charleroi Airport (BSCA) capital share in partnership with Holding Communal
2009
Save Group obtains the approval of the Treviso Airport 40 year concession extension by ENAC
6
7. Group Overview: Group Consolidated P/L
The 2010 solid key indicators are obtained from the Group disciplined guidance on
disciplined
efficiencies
SAVE SpA
Airport Infrastructure Food & Beverage
Management Management and Retail
Financial Oveview 2010 vs 2009 : Key Rationales
change%
• Revenues: -0,8% in line, (Airport management+3%,
€ million 2008 2009 2009* 2010 2010/2009
Infrastructure management +6,5% and F&B and Retail -
Revenues 327,6 340,5 340,1 337,3 -0,8%
3,6%)
EBITDA 55,3 60,1 60,1 66,9 11,2% • EBITDA: +11,2% continuous strong margin
improvement, driven by positive performances of the three
EBIT* 26,7 34,2 34,7 40,8 17,6%
areas of business (+€ 1,1m Aviation Management, +€1,8m
Net Profit before taxes 22,9 30,7 31,3 42,0 34,1% Infrastructure management, +€3,7m F&B and Retail)
Net Profit 14,2 18,2 17,8 29,3 64,6% • EBIT: +17,6% due to the increase in operating
profitability and the reduction of depreciation
change%
€ million 31 Dec 2008 31 Dec 09 31 Dec 09* 31 Dec 2010 2010/2009 • Net Profit before taxes: +c. €10,7m for positive
balance of equity interests measured using equity method
Capital Employed 362,0 367,3 379,6 381,1 0,4% (in particular, BSCA +€2,3m) and the decrease in financial
Net Financial Position 65,8 68,4 68,4 61,4 -10,2% expenses (lower interest rates, mainly)
Equity ** 296,2 298,9 311,2 319,7 2,7% • Net profit: +€11,5m with an increase of profitability
about 3,5% YoY
* 2009 Restated based on IFRIC 12 and IFRS3 revised
7
8. Group Overview: financial results by business unit
Positive operating performances from all businesses
Save Group Revenues by SBU Save Group EBITDA by SBU
change% change%
€ million 2009** 2010 2010/2009 € million 2009** 2010 2010/2009
Consolidated Revenues 340,1 337,3 (0,8%) Consolidated EBITDA 60,1 66,9 11,2%
Airport Management* 114,4 117,9 3,0% Airport Management* 44,1 45,2 2,6%
Infrastructure Management* 29,0 30,9 6,5% Infrastructure Management* 6,0 7,8 30,0%
F&B and Retail* 206,4 199,1 (3,6%) F&B and Retail* 10,1 13,8 37,1%
* Gross of Intercompany Results and non allocated costs
** Restated based on IFRIC 12 and IFRS 3 revised
Revenues Breakdown per SBU 2010 Ebitda breakdown per SBU 2010
F&B and Retail
Airport
20,7%
Management
33%
Infrastructure
F&B and Retail management
58% 11,6%
Airport
Infrastrucutre management
Management 67,7%
9%
8
9. Group Overview: business units
A diversified businesses portfolio for successful growth
Airport Management (SBU1)
9,0 million passengers in 12M10 (+6,2% YoY)
31 years of remaining concession period for the Venice Marco Polo
Airport (until 2041);
40 years of remaining concession for the Treviso Airport;
Present in airport car parking, airport security, engineering etc.
Expanding abroad (Charleroi Airport stake acquisition closed in
December 2009).
Infrastructure Management (SBU2)
103 railway station properties in exclusive management
of commercial and real estate areas;
32 years of remaining concession period (until 2042);
Business model characterized by high return after a
short ramp up of commercial operations.
Food & Beverage and Retail (SBU3)
167 shops directly managed as of 31st Dec 2010;
Airports, Railway Stations, Motorways are the main targets for
Food and Beverage and Retail services;
The recent acquisitions in Italy and abroad upgrade Airest
Group among one of the most important Italian companies in F&B
and Retail business under concession.
9
10. Group Overview: Group Consolidated B/S and CF
*
Balance Sheet (consolidated)
€ million 31 Dec 2008 31 Dec 2009 31 Dec 2009 * 31 Dec 2010
NWC 1,8 (16,5) (12,9) (15,3)
Fixed Assets 387,7 412,2 444,2 442,8
Long Term Provisions (27,6) (28,1) (51,4) (46,5)
Assets and Liabilities held for sale 0,0 (0,3) (0,3) 0,1
Capital employed 362,0 367,3 379,6 381,1
Total Shareholders' Equity 296,2 298,9 311,2 319,7
Net indebtedness 65,8 68,4 68,4 61,4
D/E 0,22 0,23 0,22 0,19
* 2009 B/S restated based on IFRIC 12
Cash Flow and Net Financial Position: 31 December 2010
Consolidated Cash Flow 31 December 2010 (€/mln) 2010 Capex details by SBU
18,0 15,9
60 16,0 14,2
52,3
14,0
50
€ in milioni
12,0
€ in millions
40 9,3
10,0 7,5
30 8,0
(24,0)
20 (4,7) 6,0
7,0 4,0
10 1,5
(16,4) (0,2) 2,0 0,8
0
0,0
Gross Cash flow Investments (-) Company's ow n Dividens Others ∆ (increase)
+ ∆ NWC Disivenstments shares reduction Net
2009 2010
(+) Indebtedness
SBU1 SBU2 SBU3
10
11. Group overview: Group debt structure
Strengthened net indebtedness/ EBITDA ratio, driven primarily by a strong cash
flow from operations
Debt repayment – Principal (€ Mln) * Net indebtedness / Ebitda (€ Mln)
20,0
18,0
140 3,0
16,0 125,3
120
14,0 2,5
NET INDEBTEDNESS / EBITDA
12,0 100 2,4
2,0
€ in millions
10,0 80
17,9 18,0 65,8 68,4
8,0
61,4 1,5
60
6,0 1,0
9,9
1,2 1,1 0,9
40 31,1
4,0 8,8
7,8
5,8 0,5
2,0 20 0,6
0,0 0,7 0,7 0 0,0
2011 2012 2013 2014 2015 2016 2017 2018 2006 2007 2008 2009 2010
NET INDEBTEDNESS NET INDEBTEDNESS /EBITDA
* As of 31 December 2010
11
13. Airport Management: financials
2010 Revenue and EBITDA increase (+3,0% and +2,6% YoY, respectively) are driven by
YoY,
the good performances both of Venice and Treviso airports
150,0
Financial Oveview SBU1*
change%
100,0
€ million 2009 2010 2010/2009
€ mln
+4,1%
Revenues 114,4 117,9 3,0%
50,0
+3,5% EBITDA 44,1 45,2 2,6%
0,0 EBIT 32,4 32,7 0,8%
Revenues EBITDA
* Gross of Intercompany Results
2006 2007 2008 2009 2010 2009 P/L restated based on IFRIC 12 and IFRS 3 revised
x% = CAGR 2006-2010
2010 vs 2009 Key Rationales
2010 Revenues post an increase (+3,0%) due to the increase of both aeronautical revenue (+4.5%), primarily driven by increase in passengers (+ 6,2% YoY Venice airport
system) and of non aviation revenues ( +3,7% YoY), led by new parking and commercial activities, partially offset by other revenues decrease (-7,5% YoY).
2010 EBITDA (slight increase YoY +2,6%) had been primarily impacted by the higher labor cost (renewal of labor national contract and increase of organic, led by Treviso Airport
increase of passengers) and rise in marketing promos to carriers.
Aviation management Revenues breakdown
100% CAGR: +3,8%
28,4% 29,3% 29,1% 28,9% 29,1%
75%
Other revenues mainly include
Airport management
50%
intercompany recharges to third
62,3% 62,3% 61,1% 60,8% 61,7%
parties and other business units
25% CAGR: +4,7%
9,3% 8,4% 9,8% 10,3% 9,2%
0%
2006 2007 2008 2009 2010
Other revenues Aviation Revenues Non aviation revenues
13
14. Airport Management: Venice Airport System
Key figures Aviation (2010 data)
Key figures Aviation (2010 data)
Italian airport Passengers Passengers % chg.
12M09 12M10
6,9 million passengers in year 2010, with 74,700 movements
Roma FCO 33.808.456 36.337.523 7,5%
Milano MXP 17.551.635 18.947.808 8,0% Third Italian airport system with TSF
Milano LIN 8.295.099 8.296.450 0,0% 63 scheduled destinations: 8 intercontinental, 10 domestic,
Bergamo 7.160.008 7.677.224 7,2% 45 European
Venezia 6.717.600 6.868.968 2,3%
Catania 5.935.027 6.321.753 6,5% 5 non-stop scheduled flights to the US 3 flights to US
Napoli 5.322.161 5.584.114 4,9% operated by Delta Air Lines & US Airways and 2 flights to Canada
Bologna 4.782.284 5.511.669 15,3% operated by Air Transat. 1 daily non-stop service to Dubai
Roma CIA 4.800.259 4.564.464 -4,9% operated by Emirates.
Palermo 4.376.143 4.367.342 -0,2%
Pisa 4.018.662 4.067.012 1,2% 41 scheduled carriers and 32 countries linked
Torino 3.227.258 3.560.169 10,3% Connecting traffic represents 27% of airport yearly traffic
Cagliari 3.333.421 3.443.227 3,3%
Bari 2.825.456 3.398.110 20,3%
Venice is the third Italian airport for worldwide
Verona 3.065.968 3.023.897 -1,4% connectivity after Rome and Milan (source: ICCSAI Fact Book
Treviso 1.778.364 2.152.163 21,0% 2010)
Lamezia T. 1.645.730 1.916.187 16,4%
Low-cost traffic: ~ 30% of scheduled traffic
Olbia 1.687.687 1.737.904 3,0%
Others* 10.356.132 12.015.212 16,0% Passengers on international destination: 72% (Italy: 57%)
Italian Airports: breakdown by category
TOTAL ITALY 130.687.350 139.791.196 7,0%
Passengers Passengers % chg.
Source Assaeroporti
12M09 12M10
In 2010 Italian air traffic recorded an increase of +7% Hubs * 51.360.091 55.285.331 7,6%
compared with 2009, as a result of gradual and continuing economic Medium size airports ** 47.880.417 50.375.699 5,2%
Airport with prevailing traffic of Ryanair *** 20.946.464 22.157.797 5,8%
recovery, despite of the volcanic ash in April, with volumes above Others 10.500.378 11.972.369 14,0%
2007 figures.
European accumulated traffic January to December 2010: +4,2% TOTALE 130.687.350 139.791.196 7,0%
(according to ACI Europe data). Source: Assaeroporti, ADI-Sabre
Venice airport system confirms itself as third Italian system, * Hubs: FCO, MXP
with over 9 million passengers (+6.2% vs 2009) ** Airports with over 3 MM pax and % Ryanair <50%: Bologna,Bari,Cagliari,Catania,Milan LInate,Naples,Palermo,
Turin, Venice, Verona
*** Airports with % Ryanair >50%: Alghero,Bergamo,Brescia,Rome Ciampino,Pisa,Pescara,Treviso,Trapani
14
16. Airport Management: key figures aviation - Venice Airport
Venice Airport: passenger traffic breakdown (2010)
Scheduled traffic by carrier – Top 10 carriers Scheduled international passengers by country
(by nbr. of onboard passengers) (nbr. of passengers onboard in thousands) 12M10 vs 12M09
Alitalia/
Airone Italy
Others 16% France
29% Germany
Easyjet Spain
14% United Kingdom
Klm
Holland
3%
Lufthansa United States
Air Berlin
9% United Arab Emirates
4% Windjet Sw itzerland
4% Vueling Iberia Air France Austria
British A. 4% 5% 8% Others
4%
0 500 1.000 1.500 2.000
2009 2010
Connecting passengers
Over 1,8 million passengers in
2009 - over 1,700,000 transited via: 2010 - over 1,800,000 transited via:
year 2010 continue their trip
Others FCO
VIE 16% VIE Others FCO after the first flight to reach
18%
3% 3% 19% 17%
their final destination
PHL MAD
MAD JFK Connecting traffic represents
3%
11% 3% 11%
27% of airport yearly traffic
ZRH
ZRH The 15% of connecting
6%
5%
AMS
CDG passengers travels via an
CDG
9% AMS MUC 10%
MUC 11%
DXB FRA intercontinental hub (DXB,
FRA 7% 8%
7% DXB 8% 9%
10%
6% PHL, JFK, ATL)
Source: SAVE 16
17. Airport Management: key figures aviation - Venice Airport
The 2010 scheduled traffic
Helsinki
Oslo
Moscow
Edinburgh Riga
Copenhagen
Manchester Leeds
Hamburg
Dublin East Midlands Berlin
Amsterdam Hanover
Düsseldorf Warsaw
North America Bristol
London
Cologne
non-stop destinations
non- Bruxelles Frankfurt
Prague
Stuttgart
Atlanta Paris
Basel
Munich
Vienna
Budapest
New York JFK Zurich
Geneva Timisoara
Lyon
Philadelphia Bucharest
Toronto VENICE Pristina
Montreal Nice
Istanbul
Lisbon Madrid Barcelona
Tirana
Athens
Sevilla Ibiza
Malaga
Tunis
Casablanca
Domestic
non-stop destinations
non- Middle East
Rome FCO – Naples – Bari - Brindisi – Lamezia Terme
non-stop destinations
non-
Reggio Calabria – Palermo - Catania – Olbia - Cagliari Dubai
17
18. Airport Management: key figures aviation - Venice Airport
Venice Airport traffic: 4 points strategy
Home base carrier ----------------------------------------------------------------
---------------------
A carrier that guarantees capillarity in the territory as well as connecting passenger flows North - South
BARI LAMEZIA T. REGGIO C.
BRINDISI NAPLES ROME FCO
CAGLIARI OLBIA
CATANIA PALERMO
Link with hubs -------------------------------------------------------------------------------------
Guarantee to our catchment area accessibility to the world
10 flts/day 7 flts/day 4 flts/day 3 flts/day 3 flts/day 3 flts/day 3 flts/day
2 flts/day 2 flts/day 1 flt/day 1 flt/day 1 flt/day 1 flt/day 3 flt/day
1 flts/wk
Point to point -------------------------------------------------------------------------------------
Link Venice to niche high volume markets
Intercontientals -------------------------------------------------------------------------------------
Guarantee capillary penetration of far afield territories through regional hubs
JFK & ATL PHL DXB YYZ & YUL DOH
18
19. Airport Management: key figures aviation - Venice Airport
New scheduled flights and frequency increases
New scheduled destination - Venice Airport
Carrier Destination Frequency From
QATAR AIRWAYS Doha 7 15/06/2011
AIR CORSICA Marseille 3 14/02/2011
ARMAVIA Yerevan 2 02/04/2011
CROATIAN AIRLINES Dubrovnik 2 19/05/2011
EASYJET Madrid 4 27/03/2011
NORWEGIAN Copenhagen 1 02/07/2011
NORWEGIAN Stoccolma 1 02/07/2011
SUN D'OR Tel Aviv 1 27/03/2011
VUELING Palma di Maiorca 3 25/05/2011
VUELING Toulouse 4 26/04/2011
Frequency increases - Venice Airport
Carrier Destination Frequency From
TURKISH AIRLINES Istanbul 14 01/04/2011
NORWEGIAN Oslo 3 27/03/2011
SAS Stoccolma 2 27/03/2011
19
20. Airport Management: key figures aviation - Treviso Airport
Treviso Airport continues the strong growth in passengers, with over 2 millions of pax during
2010 (+21% YoY), driven by a diversified traffic base and new scheduled destinations
YoY), destinations
Oslo Stockholm
Low-cost carriers
connected Treviso with 44
Leeds
Liverpool
domestic and European
East Midlands
Dublin Bremen Warsaw destinations in year 2010
Amsterdam
London Düsseldorf
Bristol Katowice
Cologne Lviv Kiev
Bruxelles Frankfurt Prague Ryanair opened 15 new
Paris Cluj
destinations during the
Budapest year and Wizzair
Timisoara Bucharest
inaugurated the new
TREVISO Eastern Europe routes
Marseille
Barcelona Sofia
Alghero
Bari Warsaw and Lviv
Reus
Valencia Tirana
Sevilla Brindisi
Ibiza
Alicante Cagliari Palermo
Malaga
Trapani
Malta
Casablanca
New scheduled destination - Treviso Airport
Carrier Destination Frequency From
GERMANWINGS Hannover 3 27/03/2011
RYANAIR Lanzarote 2 05/06/2011
20
21. Airport Management: Charleroi airport growth
During 2010 Charleroi Airport traffic increases by+32% YoY,
YoY,
closing with over 5 millions of passengers
Airport overview Key numbers
Save acquired 27,65% of BSCA capital through a
Charleroi Airport is in concession to Brussels South Charleroi
consortium agreement between Save at 65% and Holding
Airport (BSCA) until 2040.
Communal at 35%.
10 New routes for summer: 10 new destinations had been Passengers:
announced by the carriers at Charleroi Airport:
2010: 5,2 mln passengers (+ 32% vs 2009).
8 new destination of Ryanair: Almeria (Spain), Rhodes,
Carriers:
Kos, Volos and Thessalonik (Greece), Lamezia, Pescara,
Perugia (Italy) - Ryanair represents ~ 80% of today scheduled traffic
with 69 scheduled routes and 13 based aircraft (14th
1 new destination of Jetairfly: Athens (Greece) based aircraft during May – August 2011)
1 new destination of Wizzair: Belgrado (Croazia) - TUI group is active with 18 routes and 3 based aircraft
as of April, Wizzair is active with 6 routes and Air
Arabia with 1 route.
Charleroi Traffic growth 2000-2010
6.000 CAGR
+35,2%
5.000
4.000 CAGR
Pax in thousands +35,9%
3.000
2.000 CAGR
+32,0%
1.000
-
2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010
Passagers Ryanair Other carrier
21
22. Airport Management: key figures non aviation
Venice Airport system aviation and non aviation figures per pax in line YoY
Venice Airport (€)* (Venice Airport only – 2010 data)
10,0 8,8 8,8 €4,5 non aviation revenues per Pax 2010 (€ 4,5 in 2009) whereof
8,0 €1,4 parking revenues per Pax 2010 (€1,4 in 2009);
6,0 4,5 4,5
- 0,5% €7,3 average spending per pax on commercial activity 2010 (€ 7 in
4,0
-0,6% 2009);
2,0
0,0 5.673 total parking spaces (as of 31th December 2010, plus 375
Aviation Revenues per pax Non Aviation Revenues per pax spaces at Treviso Airport since June 2009)
12M09 12M10
Treviso Airport (€)**
8,0
5,8 5,8
6,0
4,0 -0,5%
1,6 1,7
2,0
0,0 +4,0 %
Aviation Revenues per pax Non Aviation Revenues per pax
12M09 12M10
Venice Airport system (€) ***
10,0 8,2 8,1 * VCE: aviation revenues increased by 1,7% driven by increase in passengers and
8,0
cargo activities; non aviation increased by 1.6% thanks to new parks and to
6,0
3,9 3,8 successful marketing actions ;
4,0 -1,6%
** TSF: aviation revenues +20,5% driven by passengers growth; non-aviation
2,0
-2,3% revenues increased by 25,8% thanks to the full year contribution of 2009 new
0,0
parks and to successful marketing actions;
Aviation Revenues per pax Non Aviation Revenues per pax
*** Venice Airport System: Venice Airport + Treviso Airport
12M09 12M10
22
23. Airport Management: key figures non aviation - Venice Airport
Commercial spending increase of Venice Airport highlights the strategic partnerships (i.e.
strategic
Mc Arthur Glen “Collezioni”) and the extended offer of Airest point of sales
Collezioni”
Growth of Commercial Spending (€/Pax*)
CAGR: +5,2 %
7,3
7,0
6,6
6,0 6,2
2006 2007 2008 2009 2010
Average spending per pax increased by 5,0% (2010 YoY growth), confirming the excellent performance of the new
commercial area dedicated to Mc Arthur Glen “Collezioni” outlets and the Airest point of sales.
* Total departing and arriving passengers
23
24. Airport Management: tariffs
Italian Airports tariff System: state of the art
State of the Art
• The Italian Government has approved the Decree whereby Italian
airports will receive a contribution/grant in order to finance their
investment plan to be approved by ENAC (Italian Civil Aviation Authority).
• In March 2010, ENAC has approved the Venice Airport investment plan,
about urgent aeronautical investment to be contributed with an increase
of €3 per departing passenger. The request is now under CIPE
(Interdepartmental Committee for Economic Planning) examination and
it’s very difficult to foresee when tariffs increase will be approved.
• Meanwhile the Government has approved the adjustment of aviation
tariffs by inflation (+1,5%) for 2010, which is effective starting from 10th
January 2011.
• Recently, Venice airport has been admitted by law to a faster and simpler
negotiation process of the “Contratto di Programma”, together with
Rome and Milan airport systems. The process with Enac has started in
order to define details and rules.
24
25. Airport Management: strategic guidelines
Venice’s strength has been to maintain strong drivers for resilient growth
Venice’ growth
SAVE main competitive advantages
Good growth track-record and significant organic growth
prospects (with no environmental constraints);
Strong catchment area and well diversified traffic (by
airline, destination, reason for travel, etc);
Demonstrated resilience to adverse events;
Low investment requirement in the short term.
Market trends and challenges Actions
Strengthening of mainline carriers Support for existing traditional carriers operating in Venice to increase
connecting transfers with Venice
Airline consolidation Diversification by looking at best fit carrier/destination
Capitalize on the recovery to be ready to implement new intercontinental
Slight world economic recovery
routes as soon as the market will bear them
Taylor the offer by introducing discount scheme that drives the
Pressure on Non-Aviation Revenues
pax to consume
25
27. Infrastructure Management: financials
All indicators up thanks to the increase of commercial activities and robust cost
activities
efficiencies policy
30,0 Financial Oveview SBU2*
Change%
20,0
€ million 2009 2010 2010/2009
+5,0%
€ mln
Revenues 29,0 30,9 6,5%
10,0 +25,5%
EBITDA 6,0 7,8 30,0%
0,0
Revenues EBITDA
EBIT ** 2,7 4,1 53,9%
2008 2009 2010 * Gross of Intercompany Results
x% = CAGR 2008-2010 ** Includes the concession amortization related to the acquisition of the company
2010 vs 2009 Key Rationales:
2010 revenues up (YoY increase 6,5%) as a result of the increase in commercial activities and the contractual compensation, offset by a decrease in revenues from facility
management.
2010 EBITDA strongly grows by 30% vs 2009 with an increase of marginality (up 4,5% YoY) thanks also to the continuous cost efficiencies .
Revenues Breakdown SBU2 - 2009 Revenues Breakdown SBU2 - 2010
Other revenues Other revenues
Engineering 3% Engineering 4%
2% 3%
Sales Sales
Facility Management 49%
52%
43% Facility Management
44%
27
28. Infrastructure Management: key figures and investments
Centostazioni: Ownership Structure Key figures
(as of December 31,st 2010)
73 stations refurbished;
13 stations under refurbishment and expected to be completed within
2011;
60%
116.929 total sqm rented of which 70.399 sqm to commercial
Archimede 1 40% activities and 46.530 sqm to railways companies;
Others
60%
Public 40% 160.000 total sqm expected at the end of the refurbishment process;
partner Private
partner 152,9 M€ capital expenditure out of a total plan of 188,5 M€ as of today;
of which 56,8 M€ spent by Centostazioni out of a total plan of 59,2 M€.
Operator
Profit and Loss Structure
Sales Facility management Engineering
Cost reimbursment plus a 6%
Revenues Rental; Fees; Royalties
mark up + bonus linked to CS
10% fee on investment managed
Costs 40% Sales to RFI Facility Costs Personnel Costs etc.. Cost of Structure
Cost reimbursements, Rentals contracts
fees, professional tariffs
Commercial
Business Partners
Model and Other
Partners
40% of rentals Royalties and Rentals
28
29. Infrastructure Management: key figures
Commercial Square meter Revenues per Square meter
80.000
€
70.000 350
60.000 CAGR: +6,7% 300
CAGR: +3,2%
50.000 250
40.000 200
66.413 65.736 69.567
30.000 62.334 150
55.311 287
50.192 244 262 252
215 233
20.000 100
10.000 50
0 0
2005 2006 2007 2008 2009 2010 2005 2006 2007 2008 2009 2010
The decrease in the Revenues per sqm is mainly due to the renegotiation of existing contracts and the commercialization of spaces with
lower value
Revenues per sqm grew from € 190 in 2004 to € 252 in 2010
Some examples in the Value Creation Model
Example of 15 refurbished railway station
Total 15 Station* Before Refurbishment After Refurbishment Delta %
The growth of efficiency and
Commercial Square metres 7.489 17.103 128% profitability of a railway station
after its refurbishment is
No. Of Shops 59 170 188% underlined by the huge increase in:
Revenues 1.296 7.220 457%
- revenues
Revenues per sqm 173 422 144% - revenues per sqm
* Brescia, Milano Lambrate, Roma Ostiense, Roma Trastevere, Treviso, Modena, Parma, Reggio Emilia, Udine, Milano P.G., Trieste, Novara, Vicenza,
Napoli Mergellina, Napoli C. Flegrei, Monza
29
30. Infrastructure Management: strategic guidelines
The infrastructure business is only partially hit by the current economic crisis
SAVE main competitive advantages
32-year exclusive concession;
Premium price location in many Italian cities;
Low risk business with low investment requirement;
High returns after a short ramp up for commercial operations;
Opportunity to increase the stake in Centostazioni.
Market trends and challenges Actions
Volume of railway passengers (mainly Reinforce current business model with more focus on commercial
commuters) slightly declining performance and cost efficiency
Develop alternative sources of revenues (advertising, temporary
Slow down of consumer spending promotions, automatic distributors, real estate, etc.)
Search for innovative retail formats more targeted to railway
Crisis of traditional retail operators passengers
30
32. Food & Beverage and Retail: financials
Margin improvements, primarily on COGS, leads the 2010 positive performance
Financial Oveview SBU3*
230,0
Change%
200,0
170,0 € million 2009 2010 2010/2009
140,0
€ mln
110,0
+0.8% Revenues 206,4 199,1 -3,6%
80,0
50,0 +40,6%
20,0 EBITDA 10,1 13,8 37,1%
-10,0
Revenues EBITDA **
EBIT (0,3) 4,0 n.a.
2008 2009 2010
* Gross of Intercompany Results
x% = CAGR 2008-2010 ** Including concession amortization
2010 vs 2009 Key Rationales:
2010 Revenues post a slightly 3,6% YoY decrease, for the expiring of some motorway channel concessions, positively offset by the sales increase of airport and urban channels,
as a result of the European traffic recovery and new openings.
2010 EBITDA is highly positive over the prior year (+37,1%% YoY) thanks to the positive results in foreign markets and higher efficiency in COGS
16.000 2010 vs 2009 Airest Group EBITDA bridge
1.136 13.836
14.000 411
9.972
12.000 (409)
10.089
+490*
10.000
‘000 €
8.000
6.000 10.089
4.000
2.000 (7.362)
-
FY 2009 Ebitda Revenues effect COGS effect Royalties Labour cost Other costs FY 2010 Ebitda
* 2009 extraordinary cost items to be accrued in 2008
32
33. Food & Beverage and Retail: history
Airest Group, born in 2001, is today an international player present in 8 countries with a
present
high quality food research & design and production facility, counting 2.071* employees
counting
2001 2002-2003 2004-2005 2006-2007 2008 2009 2010
May 2001 – Start New openings 2004 enter Italian Acquisition of Acquisition of Opening of Opening
up of operations at Catania, railways AIREST (Austrian FFS & ITPS 4 new F&B of a new
(5 F&B and 3 Treviso and concessions airport (Prague airport outlets at outlet at
Retail outlets at Olbia airports (through concessions) concessions) Rome Shanghai
Venice Marco Centostazioni) Openings in Airport EXPO
Polo Airport). Acquisition of
RISTOP (F&B France and First
motorways Abu Dhabi openings in
concessions) Commercial Russia
partnership (Moscow
First opening in
with McArthur Sheremety
China
Glen** evo Airport)
Start up of
production
facility (VIF)
AIREST
(Airest Italy & Holding)
AIREST
VIF
INTERNATIONAL
(Foreign companies) (Research, Design & Production)
Austria France
Slovenia Russia
Czech Rep. China
* As of 31 December 2010 UAE
** International Outlet / Shopping Mall operator
33
34. Food & Beverage and Retail: outlet development
The Airest Group keeps growing, not only through acquisitions, but also thanks to the
but
new concessions awarded in Italy and abroad
Points of sales evolution New openings in 2010
16 new openings in the 2010, whereof 11 in
Italy and 5 abroad
159 167*
150
Rest of the world
Italy 64
118 61
53
106
29
34
97 98 103
89
72
27
8
2001 2005 2006 2007 2008 2009 2010*
* As of 31st Dec 2010
34
35. Food & Beverage and Retail: geographic presence
Airest is consolidating its presence abroad:
~25% of total revenues come from international operations in 2010
Airest group geographic presence Revenues Breakdown Italy – Abroad
(2010)
Abroad
25%
Moscow Italy
(2009) 75%
Prague
Vienna
(2008)
(2006)
China
(2007)
Abu Dhabi
(2008)
Geographic presence of Airest Group
35
36. Food & Beverage and Retail: market presence
Airest Group is positioned both in airports (55% of total revenues) and motorways (30%) ,
revenues)
but is operating in shopping malls and railway station
Revenues Breakdown per channel (2010) Number of outlets by channel & country*
SBU 3: Outlets by Channel*
Motorways Italian Other European United Arab Total
Airports 29,5% Channel Market Markets ** Emirates China SBU3
55,1% Airports 48 54 0 0 102
Railway Stations 15 1 0 1 17
Motorways 23 0 0 0 23
Shopping Malls and
17 3 2 3 25
Business Centers
Total 103 58 2 4 167
Railways
Shopping Stations * As of 31st Dec 2010
Malls 6,4% ** Austria, Slovenia, Czech Republic, France, Russia
9,1%
Passenger traffic trend in relevant airports ***
( 2010 vs 2009)
Airest presence in Airports
21,0%
- In Italy: Venice, Treviso, Rome, Bari,
Bergamo, Catania, Verona 8,7%
7,5% 7,0%
- Abroad: Wien, Prague, Moscow, 2,3%
Lyon, Ljubljana, Graz, Klagenfurt,
-0,9%
Salzburg
Venice Treviso Rome Avg Italian Vienna Prague
Airports
*** Where Airest is present
Source: Assaeroporti and Management data
36
37. Food & Beverage and Retail: strategic guidelines
Airest Group is constantly improving margins despite the economic downturn is still
economic
depressing consumer consumption
Airest main competitive advantages
Excellent track record in infrastructure concessions;
Access to the rich Italian motorways concession business through
past acquisitions;
New business model (innovative formats for the open market
leveraging in-house food research & design, production);
Increasing economies of scale.
Airest branded VIF, centre of excellence for research and production
in the food sector
Market trends and challenges Actions
Slow recovery of passengers in transport Higher diversification per sales channel
infrastructure Renegotiation of royalties
New pricing policy and offering
Decrease of consumptions & change of life style Development of distinctive and innovative formats
Differentiation by food research, design & production in house (VIF)
More balanced Italy/foreign market sales weight
Global Market crisis
Development in foreign markets with a long term view
37
38. Food & Beverage and Retail: future developments
Airest future growth will come from an increased focus on foreign markets, partnerships
foreign
with key international players and the development of the Rustichelli & Mangione format
China: development of Bricco format
Geographic
Abu Dhabi (EAU)
growth
Moscow / Russian airports
Partnerships with primary international
Partnerships with
outlet mall operators
international
Partnerships with key local investors in
players foreign markets
Development of Direct management of new outlets
R&M** format Development of franchising
* Airest has been awarded a F&B outlet at Expo Shanghai 2010
** R&M = Rustichelli & Mangione
38