Dallas/Fort Worth International Airport Airport Overview and Air Service Development Transportation...

Dallas/Fort Worth International AirportAirport Overview and Air Service Development Transportation Club of Dallas/Fort WorthSeptember 10, 2007

2

TRANSPORTATION CLUB OF DALLAS/FORT WORTH, SEPTEMBER 10, 2007

Agenda

DFW Airport Overview International Air Service Development Impacts of the Wright Amendment Compromise

DFW Airport Overview

4


DFW Airport OverviewAn investment in 18,000+ acres of land will ultimately support eight runways and six terminals.

7 runways 4 are 13,400’

4 aircraft can land simultaneously

Hourly operations 279 VFR 186 IFR

Any aircraft at maximum payload can land at DFW

Source: FAA Airport Capacity Benchmark Report 2001

5


DFW Airport Overview DFW ranks 3rd in the world for daily operations and 6th for passengers.

959

0

200

400

600

800

1,000

1,200

1,400

ATL ORD DFW LAX LAS IAH DEN CDG PHX PHL CLT FRA DTW LHR MSP

DFW is one of only three airports averaging more than 900 departures per day.

Source: Airports Council International (ACI), 2006

60.2

0

10

20

30

40

50

60

70

80

90

ATL ORD LHR HND LAX DFW CDG FRA PEK DEN LAS AMS MAD HKG BKK

DFW serves more than 60 million passengers per year.

2006 Daily Departures (Thousands) 2006 Annual Passengers (Millions)

6


DFW Airport Overview DFW is the pre-eminent mid-continent hub.

Source: Seabury APGDat, OAG

135 Nonstop Domestic Destinations

36 Nonstop International Destinations

The Airport’s international route network is capable of supporting millions of local and connecting passengers every year.

7


DFW Airport Overview DFW is served by 21 passenger and 16 cargo carriers.

Passenger Cargo

8


DFW Airport Overview DFW has received top honors from Airports Council International and J. D. Power and Associates.

Ranked “Highest in Customer Satisfaction for Large Airports” in the J.D. Power and Associates 2007 North America Airport Satisfaction StudySM

Voted “Best Airport in the Americas” for Customer Service in the Airports Council International Survey 2006

Dallas/Fort Worth International Airport received the highest numerical score among large airports (30+ million passengers/year) in the proprietary J.D. Power and Associates 2007 North America Airport Satisfaction StudySM. Study based on 17,421 total evaluations from passengers measuring 17 large airports and measures opinions of passengers May 2006-April 2007. Proprietary study results are based on experiences and perceptions of passengers surveyed within one month of flight. Your experiences may vary. Visit jdpower.com

9


DFW Airport OverviewDFW Airport is a major catalyst to the regional economy.

$16.6 billion in total economic output 305,000 full-time jobs $7.6 billion in payroll

Source: The Economic Impact of Dallas/Fort Worth International Airport 2005, Texas Department of Transportation

International Air Service Development

11


International Air Service Development International O&D passengers were up year-over-year in 2006.

1.6 1.5 1.5

2.1

1.9

1.81.8

1

1.5

2

2.5

2000 2001 2002 2003 2004 2005 2006

DFW International O&D Passengers (Millions)

Note: Numbers do not include foreign flag carriers.Source: Seabury APGDat, U.S. DOT O&D.

+10.5%

12


International Air Service Development Europe is DFW’s largest international market, followed by Mexico, Asia and Canada.

Source: Sabre Consulting, Calendar Year 2006 adjusted MIDT data

DFW Airport International O&D Passengers (%)

13


International Air Service Development: EuropeDFW has targeted seven markets in Europe for new service.

BRU

DFW

LHRAMS

MUCCDG

MXP

MAD

DUB

14


International Air Service Development: Europe British Airways will move its DFW flights from London Gatwick to Heathrow.

New flights begin March 30, 2008

Jeff Fegan and Joe Lopano met with British Airways’ Willie Walsh to make the announcement at the airline’s headquarters in London

15


International Air Service Development: Europe There are more than142 logical connections available to the DFW traveler from London Heathrow.

Source: Seabury APGDat, June 2007 OAG Schedule

Connections include fast-growing areas such as India and the Middle-East.

16


International Air Service Development: AsiaDFW has identified at least six markets of interest in Asia.

PVGDFW

PEK

ICN

KIX

HKG

TPE

17


International Air Service Development: AsiaFurthermore, DFW is exploring opportunities to India.

DFW

BRU

DEL

BOM

These flights could be nonstop or via an intermediate point such as Brussels, Belgium.

18


International Air Service Development: MexicoAlthough DFW already has a good network to Mexico, there are several other markets that have been identified as opportunities.

DFW

CME

DGO

HUX

LOV

LTO

MID

MLM

OAX

PBC

QRO

SLW

TAM

TLC VER

VSA

ZLO

19


International Air Service Development: Cargo DFW’s international cargo network serves 12 major cargo hubs worldwide.

Source: OAG

SHJDXB

BRUFRACDG

MFM

HKGTPE

PVG

ICNDFW

PEK

SIN

20


International Air Service Development: Cargo International cargo at DFW has almost doubled since 2000.

143 143 162

192

245 249

281

0

50

100

150

200

250

300

350

2000 2001 2002 2003 2004 2005 2006

International Asian

International Cargo (Thousands of Metric Tonnes)

Source: DFW Monthly Flight Activity Reports

Asian freighters are the driving force behind the robust growth.

Impacts of the Wright Amendment Compromise

22


Impacts of the Wright Amendment CompromiseSouthwest flew nonstop to 14 destinations from Love Field prior to the Wright Amendment Reform Act.

ABQ

ELP

AMA

LBB

MAF

DAL

AUS

OKC

TUL

MCI

HOU MSYSAT

LIT

STL

Source: Seabury Database, OAG, and Southwest Airlines website.

23


Impacts of the Wright Amendment Compromise Subsequent to the Reform Act, Southwest added 29 cities.

LAX

OAK

SMF

PDX

SLC

SEA

LAS

PHXSAN

TUS

LBB

ABQ AMA

ELP MAF

DEN

OMA

MCI

LITOKC

TUL

AUS

DAL

HOUMSY

SAT

CRP

JAN

FLLHRL

BNA

STLSDF

MDW

IND

BHM

JAX

MCO

DTW

CLE

CMH PHLBWI

TPA

Legend:

Nonstop service

1 stop/connection

Source: Seabury Database, OAG, and Southwest Airlines website.

These cities were reachable by a one-stop through flight or connection.

24


Impacts of the Wright Amendment Compromise In response to Southwest, AA lowered its business fares out of DFW Airport.

$599 $599 $599 $599 $599 $599

$369$329

$306$289$235$214

$0

$200

$400

$600

$800

CHI PHX PHL LAX SJ C SFO

Nov. 2005 Nov. 2006

- 64.3% - 60.8% - 51.8% - 48.9% - 45.1% - 38.4%

One-Way Business Fares on AA From DFW Airport*

*Note: Prices reflect fully-refundable, advance purchase fares of up to 3 days.Source: Harrell Associates H100 Airfare Report.

25


Impacts of the Wright Amendment Compromise AA also lowered its leisure fares out of DFW Airport as much as 50%.

$119

$174

$144

$164

$99$109

$118$124

$100$89$79

$125

$89$89$89

$59

$0.0

$50.0

$100.0

$150.0

$200.0

CHI PHL SFO PHX BOS ATL LAX NYC

Nov. 2005 Nov. 2006

- 50%

- 49% - 38% - 28%

- 24%

- 20%-

18%

- 16%

One-Way Leisure Fares on AA from DFW Airport

Source: Harrell Associates H100 Airfare Report.

26


Impacts of the Wright Amendment Compromise In June 2007, DFW served more than 2.3 million O&D guests.

1.2

1.6

2

2.4

2.8

J ul Aug Sep Oct Nov Dec J an Feb Mar Apr May J un

12 Months Ending J un-06 12 Months Ending J un-07

Source: Sabre Consulting, Adjusted MIDT Bookings

Total DFW O&D Passengers (Millions)

+4.2%

CYTD 07 vs. 06 = +5.6%FYTD 07 vs. 06 = +5.5%

Dallas/Fort Worth International AirportAirport Overview and Air Service Development Transportation Club of Dallas/Fort WorthSeptember 10, 2007

Dallas/Fort Worth International Airport Airport Overview and Air Service Development Transportation...

Documents

Transcript of Dallas/Fort Worth International Airport Airport Overview and Air Service Development Transportation...