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Presentation to Wall Street Analysts profiling commercial strategy
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ANDREW WATTERSONVice President
Planning and Revenue Management
Safe Harbor Statement
•The following information contains certain forward‐looking statements that reflect the Company’s current views with respect to certain current
and future events and financial performance, including but not limited to the Company’s operating and competitive environments, economic
conditions, new routes, fleet transition, 2012 second quarter outlook, marketing activities and strategies, sales distribution strategy, growth
opportunities, 2012 outlook, capacity growth and passenger revenue mix, and the Company’s business focus. These forward‐looking statements
are and will be, as the case may be, subject to many risks, uncertainties and factors relating to the Company’s operations and business
environment, which may cause the Company’s actual results to be materially different from any future results, expressed or implied, in these
forward‐looking statements. These risks, uncertainties and factors include, but are not limited to, the price and availability of aviation fuel, the
competitive environment, competitive advantages held by network carriers in the transpacific market, market demand, delays in scheduled
aircraft deliveries and other loss of fleet capacity, economic conditions in the United States and abroad and increased competition in the markets
in which the Company operates. The Company undertakes no obligation to publicly update or revise any forward‐looking statements to reflect
events or circumstances that may arise after the date hereof even if experience or future changes make it clear that any projected results
expressed or implied therein will not be realized. Additional information on risk factors that could potentially affect the Company’s operations and
financial results may be found in the Company’s Annual Report on Form 10‐K for the fiscal year ended December 31, 2011, the Company’s
Quarterly Report on Form 10‐Q for the quarter ended Sep 30, 2012 and other/subsequent filings with the Securities and Exchange Commission.
We’ve Changed
MANILA
SYDNEY
SAN FRANCISCO
LOS ANGELESLAS VEGAS
PAGO PAGO PAPEETE
SEATTLEPORTLAND
PHOENIXSAN DIEGO
SACRAMENTO
OAKLAND
SAN JOSE
2010 new routes
Neighbor Island NetworkLIHUE
KONAHILO
MAUIHONOLULU
MAUI
2010 seasonal routes
-3-
HONOLULU
MANILA
SEOUL
TOKYO / HANEDA
SYDNEY
OSAKA / KANSAISAN FRANCISCO
LOS ANGELESLAS VEGAS
PAGO PAGO PAPEETE
SEATTLEPORTLAND
PHOENIXSAN DIEGO
SACRAMENTO
OAKLAND
SAN JOSE
Neighbor Island NetworkLIHUE
KONAHILO
MAUIHONOLULU
HONOLULU
2011 new routes
2011seasonal routes
We’ve Changed
-4-
MAUI
MANILA
SEOUL
TOKYO / HANEDA
SYDNEY
OSAKA / KANSAI
FUKUOKASAN FRANCISCO
LOS ANGELESLAS VEGAS
PAGO PAGO PAPEETE
SEATTLEPORTLAND
PHOENIXSAN DIEGO
SACRAMENTO
OAKLAND
SAN JOSE
NEW YORK / JFK
BRISBANE
2012‐2013 (announced) new routes
SAPPORO / CHITOSE
AUCKLAND
2012 seasonal routes
Neighbor Island NetworkLIHUE
KONAHILO
MAUIHONOLULU
TAIPEI
We’ve Changed
-5-
HONOLULU
MAUI
Our Network is Broader
Largest US market without nonstop service to Hawaii
New JetBlue partnership provides feed from the
Eastern seaboard
Vibrant Japanese city with historic ties and growing
visitor levels to Hawaii
Location provides connections with Korea and
China
Large Japanese city with limited leisure service
Previously supported non-stop daily service to HNL
Queensland resource boom provides a new source of
visitors
Virgin Australia hub provides a gateway to
Australia
Underserved market with inbound and outbound
tourism
Attractive connections to/from US Mainland
increase potential demand sources
-6-
Our Network is Deeper and More Connected
Largest market to Hawaii continues to perform well
Seasonal Maui service among best performing
routes this summer
Oakland to Maui larger than HNL market
Service timed to connect at Maui hub for service to
Neighbor islands
Strong economy and Visa Waiver Program continues
to drive visitor growth
New service timed for connections to/from China
Strong Australian economy and dollar make Hawaii an
attractive destination
Increasing number of customers using HA for
multi-stop vacations
San Jose to Maui similar in size to HNL market
Service timed to connect at Maui hub for service to
Neighbor islands
-7-
Seasonal Flexibility
-8-
Our Newest Asia Gateway – Taipei, Taiwan
Ta i p e i , Ta i w a n
• Newest addition of US Visa Waiver program
• Largest city in Taiwan, with total metropolitan population of 6.9 million people
• Center of commerce and government for the country with world class amenities
*CIA World Factbook
A b o u t Ta i w a n
• Total population of 23 million people
• Historically significant visitor market to Hawaii, with over 350 Hawaii PDEW (during periods of daily non-stop service)
• Current service limited to one-stop service via Japan and Korea
• 4th highest Per Capita GDP in Asia with one of the fastest growing economies in the region*
-9-
Maui Hub
SEATTLE
OAKLAND
SAN JOSE
LOS ANGELES
LAS VEGAS
HONOLULU
Seasonal 7x200x14x
21x14x
LIHUE
KONA
HILO
-10-
0.3 0.4 0.3 0.3 0.5 0.6 0.7 1.6 2.5
9.8 10.2 9.1 9.2 7.9 7.7 7.88.0
9.2
0
5
10
15
20
25
2004 2005 2006 2007 2008 2009 2010 2011 2012
Billion
s
HA Non-HA
3.0 3.1 3.3 3.9 3.8 3.7 3.9 3.9 4.4
16.718.4 19.0 17.2
15.414.0
15.3 15.016.0
0
5
10
15
20
25
2004 2005 2006 2007 2008 2009 2010 2011 2012
Bill
ions
HA Non-HA
Increased Share of a Stable Market
3% 4% 4% 3% 6% 7% 8% 17% 21%
HA Market Share
HA Market Share
5%
‐1%
30%
‐1%
CAGR04‐12
CAGR04‐12
15% 14% 15% 18% 20% 21% 20% 21% 21% 18%
2%0%
-11-
Growing Capacity and Revenue
0%
5%
10%
15%
20%
25%
30%
35%
-5% 5% 15% 25% 35%
YOY
PA
SSEN
GER
REV
ENU
E G
RO
WTH
YOY ASM GROWTH
Source: US DOT Form 41 Data
-12-
0%
20%
40%
60%
80%
100%
0% 20% 40% 60% 80% 100%
HA
Pass
enge
r Sha
re
HA Seat Share
SFO-HNLLAX-HNL SJC-OGG
SEA-HNL OAK-OGG
SEA-OGG PDX-HNL
SAN-HNL
PHX-HNL
OAK-HNL
LAS-OGG
SJC-HNL
SMF-HNL
LAS-HNL
Customers Prefer HA
Market Market O&DHA O&D share HA Fare Premium
LAX‐HNL 1,031,538 31% $11
SFO‐HNL 490,467 29% $15
LAS‐HNL 438,445 81% $3
SEA‐HNL 365,172 37% $16
SEA‐OGG 279,939 52% $48
SAN‐HNL 225,139 48% $24
PDX‐HNL 200,153 51% $14
PHX‐HNL 164,346 59% ($25)
OAK‐OGG 161,641 38% $8
SJC‐HNL 143,474 80% ($3)
OAK‐HNL 141,667 78% $17
SJC‐OGG 127,302 31% ($8)
SMF‐HNL 122,847 87% $19
LAS‐OGG 76,802 69% $6
3,968,934 47% $9
Source: US DOT O&D and T‐100 Data, Q4 2011‐Q3 2012; US
Greater seat share than passenger share
Greater passenger share than seat share
-13-
Our Neighbor Island Network Serves as a Utility
I N T E R L I N E P A R T N E R S
CODESHARE PARTNERS
-14-
We are Expanding Virtually
FresnoMonterreySan DiegoSanta Barbara
Cleveland
BangkokSeoul (Incheon)Pusan
SapporoFukuokaHiroshimaOsaka (Itame)
Osaka (Kansai)KagoshimaOitaNaha
+ + + +
Portland, MEBurlington, VTBostonRochesterSyracuseBuffaloNew York-JFKCharlotteRaleigh-Durham
FresnoMonterreySan DiegoSanta Barbara
Cleveland SeattlePortlandLas VegasLos AngelesDallas-Ft. WorthChicago (O’Hare)PhiladelphiaWash-ReganWash.-Dulles
FresnoMonterreySan DiegoSanta BarbaraFt. LauderdaleOrlandoPalm BeachFt. MyersTampa
‐
BangkokSeoul (Incheon)PusanTokyo (Haneda)
-15-
Vancouver
Dallas
Philadelphia
Washington
Houston
Many Opportunities Remain
MANILA
TOKYO / HANEDA
SYDNEY
SEOULOSAKA / KANSAI
FUKUOKA SAN FRANCISCO
LAS VEGAS
PAGO PAGO
PAPEETE
SEATTLE
PORTLAND
PHOENIXSAN DIEGO
SACRAMENTOOAKLAND
SAN JOSE
NEW YORK / JFK
LOS ANGELES
BRISBANE
SAPPORO / CHITOSE
AUCKLAND
Singapore
Beijing
Jakarta
Guangzhou
Shanghai
Taipei
Hong Kong
Jakarta
Melbourne
Nagoya
Sendai
Boston
Montreal
Toronto
DetroitMinneapolis
St. Louis
Calgary
Edmonton
Mexico City
Miami
EXISTING / ANNOUNCED ROUTESSEASONAL ROUTES
2012 Metropolitan population
1‐2M 3‐5M 5‐10M 10‐20M >20M
Sao Paolo
Buenos Aires
London
Paris
Frankfurt
MadridChengdu
TAIPEI
MAUI
HONOLULU
-16-