The challenges of growth, the growth of challenges Airports Canada 2013 April 11, 2013 JAMES C. CHERRY CEO Aéroports de Montréal
AGENDA THE CHALLENGES OF GROWTH, THE GROWTH OF CHALLENGES Trafic growth at Montréal-Trudeau Montréal-Trudeau expansion and modernization Technology Access roads and rail transport Financing challenges Environment and noise 2
MONTRÉAL TRUDEAU World-class terminal, recently expanded and modernized 2 parallel runways; 1 intersecting runway More than 200,000 movements/year Sufficient capacity for at least 50 years 3
PASSENGER TRAFFIC GROWTH In 2012, some 13.8 million passengers transited through Montréal Trudeau airport, a new all-time record -3 rd largest in Canada International traffic has enjoyed strong and sustained growth since 2003 its share has increased from 32 % to 38 % Average projected growth between 2% - 3% per year 4 4
PASSENGERS TRAFFIC 2000-2017p 5
MONTRÉAL TRUDEAU EXPANSION AND MODERNIZATION 2000-2006: About $750 million. Completed on budget and on schedule. Main components: transborder jetty, international jetty, international arrivals complex and international arrivals public hall. Significantly increased capacity and service level. 2007-2009: Modernization and expansion of the domestic sector (jetty, aeroquay, arrivals). New transborder (U.S.) departures sector, including indoor parking and envelope of the future rail shuttle station. Multitude of smaller projects, for a total of about $750 million. 6
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HOTEL AND TRANSBORDER(U.S.) DEPARTURES SECTOR 16
MAJOR PROJECTS UNDERWAY AND UPCOMING Expansion of the international jetty Redevelopment of the domestic/international departures area Expansion of international arrivals + a host of smaller maintenance and enhancement projects About $800 Million by 2016 17
EXPANSION OF THE INTERNATIONAL JETTY MAIN FEATURES 6 new gates 2 new PTV stands Tarmac expansion and remote parking stands 8 boarding lounges Restaurants, stores + VIP room 4-storey building Timeline: 2011 to 2016 18
EXPANSION OF THE INTERNATIONAL JETTY 19
EXPANSION OF THE INTERNATIONAL JETTY PHASING PLAN BUILDINGS D1098 AND D4032 D1098 January 2014 - July 2016 D4032 September 2011 - December 2012 20
REDEVELOPMENT OF THE DOMESTIC AND INTERNATIONAL DEPARTURES AREA MAIN FEATURES Improvement of passenger flow. Addition of 2 check-in islands with 54 positions each and installation of 40 kiosks per island to encourage electronic check-in. Consolidation of domestic and international screening checkpoints for greater flexibility, including 23 processing positions. Relocation of part of the commercial area in the new departures area. Timeline: 2009 to 2016 21
REDEVELOPMENT OF THE DOMESTIC AND INTERNATIONAL DEPARTURES AREAS 22
EXPANSION OF INTERNATIONAL ARRIVALS Secondary Canadian Customs Additional carrousels New outbound baggage sorting room Connecting facilities Timeline: 2011 to 2016 23
TECHNOLOGY 100 % common-use CUSSKS Self-tagging Self-service bagage drops Automated border control Other developments in planning Smoother passenger flow with a smaller terminal footprint 24
ACCESS ROADS AND RAIL TRANSPORT Redevelopment of ADM's road network in front of Montréal-Trudeau: Completed on time and budget MTQ's redevelopment of Dorval interchange : Links with H 520: 2013 Links with H 20 (east): 2015 Links with H 20 (west): 2019 Rail shuttle/urban transport system Need for fast, reliable access Light rail system for both airport and west island communities Decision on an optimal solution in 2013 25
REDEVELOPMENT OF THE ROAD NETWORK 26 26
PROPOSED RAIL LINK 27
FINANCIAL CHALLENGES Self-financing, no government subsidies Long-term debt: $1.6 B Key ratios: Debt/passenger Debt coverage EBITDA/Revenues AIF's and rates subject to competitive pressures Need to augment non-aeronautical revenues and be imaginative 28
ENVIRONMENT AND NOISE Aviation industry commitment to control and reduce GHG emissions Airports must do their share ADM leading the way (efficient thermal plant, automatic blinds, insulated buildings, energy-efficient vehicles, etc) Noise is the most important issue Quieter aircraft Commitment to best practices especially for night flights 29