Presented by: Catalin Cotrut, Director Audit Programs

Presented by: Catalin Cotrut, Director Audit Programs

ISAGO Program History Program development was initiated in 2006 First Audit conducted in May 2008 Some Highlights Since Inception 2013-2017 ISAGO Strategy Operation (pool concept, simplification, IGOM and ISAGO alignment etc.) In 2015, introduction of SMS requirements for ground service providers based on the ICAO Framework for SMS (ISAGO SMS Strategy) Transition to a new audit program management (2016-2017) 2

500 Steady Growth 428 400 300 200 298 163 196 351 187 237 217 276 100 0 2014 2015 2016 Total Registrations GSPs in the Registry Airports Worlwide 3

ISAGO Registry

Value to IATA Membership Regulatory Endorsements North America FAA Transport Canada Latin America Guatemala Costa Rica Chile Peru Europe France Turkey Belgium Latvia Netherlands Mexico Autoridad Aeronautica Civil Panama Ministry of Transport Austria United Kingdom ECAC Africa Ethiopia Nigeria MENA Jordan Lebanon Kuwait UAE Oman Ministry of Transport North Asia Taiwan Hong Kong Macau Asia Pacific Singapore 5

Value to IATA Membership Airports and Airport Authority Endorsements North America Seattle Montreal Toronto Calgary Latin America Antigua & Barbuda Guayaquil Lima El Salvador Montego Bay Mexico Bogota Cartagena Quito Suriname Honduras Europe Amsterdam Venice Copenhagen Roma Fiumicino London Heathrow FINAVIA Cluj-Napoca Larnaka Africa South Africa s Airports Airports Company South Africa MENA Jordan Lebanon Kuwait UAE Oman RUS/CIS Kiev Moscow Domodedovo Yekaterinburg Koltsovo Group of Airports LLC Basel Aero Singapore Melbourne Perth Adelaide Brisbane Asia Pacific North Asia Hong Kong Hebei Chengdu Beijing Australian Airport Association Male Mumbai 6

The New ISAGO Project Approach 2014 SWOT Analysis Completed 2015 New Solution Proposed Project 2016-2017 Development of New Model September 2017 - Launch 2018 New Audit Model Operational In the meantime, ISAGO Strategy (2013-2017) Continues 7

Today Airlines Pool Auditors 2018 and onwards Charter of Professional Auditors Airlines Audits Coordination and Planning ISAGO Agents Audits Administration Limited Audit scope Audit scope expansion Audit Cost covered by Airlines Shared Cost Structure 8

What s in it for me? Self-Regulatory environment Reduction of risk in Ground Operations Driving global harmonization and standardization Cost sharing model Transparent Registration scheme of Providers Validation of SMS implementation by Providers Contribution to State Safety Program 9

Transition plan 10

Integrated Solution Regulatory Environment and Framework Standards Policies AHM IGOM Operational Procedures Procedures Job cards Hazard Identification Data analysis Feedback GDDB/ GADM ISAGO Verification Audit Registration 11

Global Aviation Data Management (GADM) FDA Web-based based Flight Data Analysis service Individualized Airline Service on comm/cost recovery basis Accident Database of commercial aviation accidents Data used to create the IATA Safety Report FDX GDDB STEADES Database of FDA and Database of ground Database of airline FOQA type events damage incident incident reports reports Global Data Exchange Programs 12

GDDB Six Monthly Analysis Report GDDB tracks key damage attributes Provides insight into the data Top 15 Equipment - Excluding Minor Severity 13

ISAGO Registered Provider - Performance 14

IOSA Program History Program development was initiated in 2001 First Audit conducted in September 2003 Some Highlights Since Inception Upgrade of Standards to include all cargo operations and passenger flights without cabin crew In 2010, upgrade of Standards to incorporate all elements of SMS contained in the ICAO Framework for SMS E-IOSA introducing continuous internal assessments (special project and BMA) 15

IOSA Vision To be the leader of operational safety auditing in an accident-free world. Safety Support and uphold improvement of global safety levels through implementation of IOSA Maintain and advance IOSA as world's leading operational safety Standard Support consistent implementation of SMS Adopt applicable ICAO safety requirements from the Annexes to the Convention on International Civil Aviation Strategic Pillars Effectiveness Minimize the number of redundant audits through effective use of IOSA Continuously improve effectiveness of IOSA Program processes and protocols Ensure robust Audit Program infrastructure is in place Constantly seek opportunities to simplify the program processes Integrity Protect and promote the integrity of the IOSA Program Apply and continuously strengthen control over Audit processes Operate in full alignment with IATA's vision and mission Exercise effective oversight over Audit Organizations 16

IOSA Program Overview Some 950 IOSA Standards and Recommended Practices (ISARPs) include ICAO safety and security provisions and industry best practices from ICAO Annexes 1, 2, 6, 8, 17, 18 and 19 ISARPs revised annually by 94 SMEs from IOC and IOSA Technical Groups Available to all commercial passenger & cargo airlines, regardless of IATA membership status 17

Statistics - IOSA Registered Airlines Displayed online to public (www.iata.org/registry) Americas 92 Europe 164 Africa & Middle East 65 China & North Asia 36 Asia-Pacific 61 Data: May 5 2017 Total: 418 Airlines 18

IOSA Safety Performance 19

Regional IOSA Safety Performance 20

IOSA and Regulators ICAO/EASA Complementary to ICAO USOAP Program AMC to EASA regulations for Code-Share arrangements, as source for evaluation of TCOs and for risk-based oversight of EU CAAs FAA/ CAAC Accepted by FAA under DOT/FAA Code-share Safety Guidelines CAAC Advisory Circular for code-share safety audits Other Regulators Trafi Finland reduces national oversight cycles using IOSA audit results Turkey, Chile, Madagascar, Brazil, Costa Rica, Panama, etc. support and use IOSA 21

EASA Assessment 2016 EASA uses IOSA for three different purposes As result, EASA conducted assessment of IOSA program in Feb 2016 Recommendations are being addressed through action plan (BMA) 22

Digital Transformation Create Value in Existing Business Process Use new capabilities to improve how customers are served Think about how digital capabilities can design and deliver the best possible experience, across all parts of the business Building foundational capabilities Use data to make better and faster decisions Develop necessary skills and capabilities Adjust system and data architecture Creating value at new frontiers Being digital requires being open to reexamining your entire way of doing business and understanding where the new frontiers of value are 23

Questions? 24