Debra Santos Managing Director Marketing - Europe Region November 11, 2016. The statements contained herein are based on good faith assumptions are to be used for general information purposes only. These statements do not constitute an offer, promise, warranty or guarantee of performance. Copyright 2016 Boeing. All rights reserved. BOEING 1
Agenda 100 Years of Boeing Current Market Outlook Product Material Copyright 2016 Boeing. All rights reserved. BOEING 2
A heritage that mirrors the history of flight Founded in 1916, Puget Sound, Washington Strategic mergers and acquisitions: McDonnell Douglas North American Aviation Rockwell International (space and defense) Hughes Space and Communications Jeppesen The world s leading aerospace company Copyright 2016 Boeing. All rights reserved. BOEING 3
Connect and protect people globally Design, assemble and support Commercial jetliners Defense systems Satellites and launch vehicles Integrate and support large-scale systems; develop networking technology and network-centric solutions Provide financing solutions Develop advanced systems and technology Copyright 2016 Boeing. All rights reserved. BOEING 4
Current business environment Copyright 2016 Boeing. All rights reserved. BOEING 5
Growth driven by emerging economies, LCCs Continued strong replacement demand New airplanes, capabilities opening new markets Copyright 2016 Boeing. All rights reserved. BOEING 6
Aviation s role in the global economy 3.1 billion passengers flown per year 8.7 million people work in the aviation industry 58 million people work in related tourism and travel industries Metal industry has enabled us to be successful. And we are just getting started! Copyright 2016 2016 Boeing. All All rights rights reserved. BOEING 7
Passenger traffic growth Cargo traffic growth Airline profits Copyright 2016 Boeing. All rights reserved. BOEING 8
Boeing commercial airplane family 747 Most fuel efficient 777 Lowest maintenance costs 787 Highest dispatch reliability 737 Most revenue payload Copyright 2016 2016 Boeing. All All rights rights reserved. BOEING 9
20-year airplane forecast Copyright 2016 Boeing. All rights reserved. BOEING 10
Passenger traffic, (RPKs) billions 18,000 16,000 14,000 12,000 10,000 8,000 6,000 Other Middle East China Asia (excl. China) 4,000 2,000 0 64% 48% 1995 2015 2035 Europe North America 37% SOURCE: Boeing 2015 CMO Copyright 2016 Boeing. All rights reserved. BOEING 11
RPKs, billions Within Asia* Within China Within North America Within Europe Middle East - Asia Europe - Asia North Atlantic Transpacific North America - Latin America Within Latin America Within/to CIS Europe - Latin America Africa - Europe 2015 traffic Added traffic 2016-2035 Annual growth % 6.1% 4.8% 4.7% 4.5% 5.4% 5.6% 4.1% 4.7% 2.9% 6.9% 3.2% 6.2% 2.6% World Traffic Growth: 4.8% World GDP Growth: 2.9% 0 500 1,000 1,500 2,000 2,500 3,000 3,500 *Does NOT include travel within China Copyright 2016 Boeing. All rights reserved. BOEING 12
1980 1981 1982 1983 1984 1985 1986 1987 1988 1989 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016F RPKs (trillions) Resilient travel, growing market expected to continue RPK = Revenue Passenger Kilometers 7.0 6.0 5.0 Trend: 5% long-term growth rate 4.0 3.0 Above trend since 2010 2.0 1.0 0.0 ICAO scheduled traffic Copyright 2016 Boeing. All rights reserved. BOEING 13
LARGE WIDEBODY 530 NEW AIRPLANES $220B MEDIUM WIDEBODY Current Market Outlook (2016-2035) New airplanes Valued at $5.9 trillion 3,470 NEW AIRPLANES $1,250B SMALL WIDEBODY 5,100 NEW AIRPLANES $1,350B SINGLE AISLE 28,140 NEW AIRPLANES $3,000B 8,330 NORTH AMERICA 2,960 LATIN AMERICA 7,570 EUROPE 3,310 MIDDLE EAST 1,150 AFRICA 1,170 CIS 15,130 ASIA REGIONAL JET 2,380 NEW AIRPLANES $110B Copyright 2016 Boeing. All rights reserved. BOEING 14
Product Copyright 2016 Boeing. All rights reserved. BOEING 17
Seats Seats Superior value, efficient market coverage Current Boeing Future Boeing 500 500 747-8 747-8 450 450 777-9 400 777-300ER 400 777-8 350 350 787-10 777-200ER 300 787-9 787-9 300 250 787-8 767-300ER 787-8 250 200 737 MAX 200 200 737-900ER 737 MAX 9 150 737-800 737 MAX 8 150 737-700 737 MAX 7 100 100 Boeing Standard Rules seat counts Copyright 2016 Boeing. All rights reserved. BOEING 18
Optimum material for success 787 747 777 737 777 747 787 Composite Steel Titanium Aluminum 737 Materials Miscellaneous Copyright 2016 2016 Boeing. All All rights rights reserved. BOEING 19
Material selection More than 70% of 747-8 material is metal Materials Composite Steel Titanium Aluminum Miscellaneous Composites 5% Other 8% Titanium 2% Aluminum 75% Steel 10% Diagram depicts airplane exterior surfaces material composition only; internal structural components may be significantly different Copyright 2016 Boeing. All rights reserved. BOEING 20
More than 50% of the material on 737 MAX and 777X is metal 737 MAX 777X Copyright 2016 Boeing. All rights reserved. BOEING 21
370 billion pounds of metal One 737 has more than 40,000 pounds of metal We have delivered more than 9,000 737s One 737 has approximately 600,000 total parts One 737 has 42 miles of wire Copyright 2016 Boeing. All rights reserved. BOEING 22
Copyright 2016 Boeing. All rights reserved. BOEING 23
Copyright 2016 Boeing. All rights reserved. BOEING 24