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Investor & AnalystBreakfast
Le Bourget
22 June 2011
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Hans Peter RINGEADS CFO
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Louis GALLOISEADS CEO
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Innovation A350, NEO, X3,Ariane 5 ME, UAVs
Internationalisationand balance Acquisitions : Plant CML and
Vector Expansion in U.S and AsiaProfitability
Improvement Efficiency programmes :Power8, Power8+
Successful order bookmanagement
Operational marginimprovement
Programmesexecution
A380
A400M
A350XWB developmentmodel
Progresstowardslong-termobje
ctives
EADS strategic road map
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Tom ENDERSAirbus CEO
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7/31/2019 Presentation Investor Breakfast Le Bourget 2011
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A380
A350XWB
Long Range
Supply chain ramp-up
Single Aisle
The industry challenge:
Volume ramp-up +40% in 5 years
A400M
Tom Enders 3
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A320 Family
Ramp up to 42+
Continuous improvement of A320 Family Sharklets 2012
A320neo: 15% higher fuel efficiency incl.savings in costs, emissions and noise
4Tom Enders
A320neo: a new engine option but minimal change approach
protection of residual values
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EADS Le Bourget Investor Breakfast Meeting
A330
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789 A330 delivered, 87 customers and 91 operators
Backlog: almost 4 years production
Production rate:
9 A/C per month from Jan 2012
10 A/C per month from April 2013
A330-200 Freighter: 54 orders from 9 customers
5 aircraft delivered in 2010 to 3 customers with smooth EIS
Tom Enders 5
670 A330s sold since B787 launch
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EADS Le Bourget Investor Breakfast Meeting
A380
Challenges
Further RC reductionsRamp-up to R3+
with more Heads of Version at constant resource
Customization process improvement
51 in service
Rate increase: R2+Final Assembly lead time reductions
Airframe RC in 2011: -33% compared to 2009
Progress
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EADS Le Bourget Investor Breakfast Meeting
Airbus Military
A400M
4 aircraft in FT campaign: >1700hrs, >550 flights
Type Certification & Initial Operating Clearance
by year-endLRIP (low rate initial production) for first series a/c
A330Military conversion process now fully mature
4 customers: first deliveries in 2011 Australia (delivery in 2011)
Saudi Arabia (delivery in 2011) United Arab Emirates (delivery in 2012)
United Kingdom (delivery in 2011)
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238 aircraft, incl. 174 A400M and 28 MRTT, in backlog
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EADS Le Bourget Investor Breakfast Meeting
Flight path to profitability target8
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Production rate increase
Year on year pricing improvement
Continue P8+ efforts offsetting cost increase & escalation
A380: from significant loss contribution to gross margin/EBIT breakeven
R&D expenses decrease (A350 XWB)
Negative gross margin of early A350 XWB deliveries (RoS dilution)
2010-2015 drivers
Tom Enders
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Fabrice BREGIERAirbus COO
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A350 XWB a complete long-range family
EADS Le Bourget Investor Breakfast Meeting
A350-800
A350-900
A350-1000
369 seats
315 seats
276 seats
777
787
One New Family of technically superior aircraft Two aircraft types a generation apart
3Fabrice Brgier
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A350-8004
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Final assembly startFirstflight
EIS
Today
We satisfy customer demand by delivering A350-800 mid 2016
A market driven trend towards larger aircraft
Fabrice Brgier
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Main A350-1000 changes from A350-9005
EADS Le Bourget Investor Breakfast Meeting
6 wheel bogie
main landing gear1 frame longer MLG bay
Higher thrust engineTrent XWB 97,000 lb thrust
Revised wing trailing edge(high lift controls and actuators)
Increased
air conditioningsystem
Changes introduced for optimum performances
Fabrice Brgier
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Improved A350-1000 performance6
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A350-1000 is consistently more capable than 777-300ER
Smoother R & D timeframe
Final assembly startFirstflight
EIS
Today
Improved payload range on flights over 5000nm (50% of the flights)
Fabrice Brgier
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A350-900 Development Highlights
Main challenges related to new technologyhave been demonstrated in full scale(e.g. Wing covers, large fuselage panels ...)
Critical Design Reviews (CDRs) for systemsand airframe components have been
successfully closed together with partners- High design maturity before start of assembly
phase
Cabin definition and overall A/Cconfiguration for first customer aircraft havebeen frozen
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EADS Le Bourget Investor Breakfast Meeting
Fabrice Brgier
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A350-900 Development Highlights
Functional integration tests at Airbusand systems suppliers now inoperational mode more than one year
before first flight
Engine test at Rolls Royceprogressing well
- Engine for Flying Test Bed under
acceptance testing at Rolls Royce- Flying Test Bed working party has
started on A380
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EADS Le Bourget Investor Breakfast Meeting
Fabrice Brgier
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A350-900 Next steps
Summer: Start of Pre-FALs for major component structure assembly at Broughton,Saint-Nazaire, Hamburg, Getafe
- Driven by Risk Sharing Partners deliveries, closely followed by on-site representatives
Autumn: Start of system installation and equipping
- Tubes, pipes, harnesses for fuselage sections, stress gauges for static test specimen
End of 2011: Start of FAL
- First in: static tests specimen followed by MSN1
End of 2012: First flight, driven by:
- Sections assembly, FAL development tests, electrical systems integration
- Results of static tests- Flight clearance
End 2013: type certification and entry into service
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Fabrice Brgier
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EADS Le Bourget Investor Breakfast Meeting
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Detailed Design
Parts Manufacturing
-3Sections Assembly(Centre Wing Box)
Major ComponentAssembly Equipping
08 09 10 11 12 13
FAL Groundbreaking
Target Loads
First composite lay-up (4th Dec)
(5th Mar) First cut horizontal cruciform
Integration Testing
Sys. & Cabin Development
DetailedDefinition
End ofDetailed Design
StartProduction
DemoboxAssembly
FALStart First Flight
Barrel 1Bstart
Static Specimentest start
Fatigue Specimenstart
First metal cut (2nd Dec)
Functional Testing (AI & Suppliers)
Systems Installation
Tooling Manufacturing
Supplier Selections
FinalAssembly Flight Test
& Certification
today
Pre-FAL Start
EIS
A350-900 XWB Schedule UpdateFabrice Brgier
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A350-900 Programme risks
Potential programme risks in the next phase
Volume and quality of assembly and installation drawings
Supply chain readiness for detailed parts (clips, brackets, tubes and pipes) Learning of production support teams
Tools and processes to the Extended Enterprise in delivery phase
Travelled work from components to Pre-FAL and FALs
Preparation of the ramp-up : design cleaning, concessions closure, design cleaningand maturity, manufacturing processes capability, supply chain performance
Resources
Test results involving changes
Risks are being mitigated at each maturity gate and through Alert and Fixprinciple but no room in the planning for significant problem.
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Fabrice Brgier
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Conclusion
Successful aircraft family in line with market current and future demand
New CFRP technology is ready for manufacturing
Extended Enterprise provides collaborative working environment : Suppliers support actions are launched jointly when necessary
Systems maturity developing well and major integration test benches are already in
service
First Aircraft large parts now manufactured and focus moving to pre-FAL start forcomponent assembly and then systems installation
Challenges remain to reach FAL start end of 2011 with an appropriate level of quality to
enable the ramp-up
First flight end 2012 will prepare for entry into service end 2013
Risks are being managed through lessons learned from previous programmes
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EADS Le Bourget Investor Breakfast Meeting
...but A350 programme remains very challenging
Fabrice Brgier
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