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SHEREMETYEVOinternational airport

• POSITIVE OUTLOOK

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Joint Stock Company Sheremetyevo International
Airport results of 2004

• 153 k movements
• 12,9 mln passengers
• 141 k tons of cargo
• Revenue - RUR 4,5 billion
• Net profit - RUR 736 million

- with the exception of the affiliated and
dependent structures
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Revenue structure 2004
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Number of passengers serviced at the Moscow
airports SVO has significantly exceeded the
level of 1990
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Sheremetyevo is leading in SCHEDULED traffic
Year 2004 Source TKP
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SVOs leadership is vividly demonstrated in the
INTERNATIONAL scheduled traffic sector.
Year 2004 Source TKP
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SVO handles 34 of Moscow scheduled domestic
traffic
Year 2004 Source TKP
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Scheduled international traffic is Sheremetyevo
Airports priority
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EuroAsia is the main destination of SVO passenger
traffic
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Sheremetyevo International Airportadvantages
and disadvantages

• Advantages
• The largest volume of the scheduled international
  traffic in Russia
• Presence of two global alliances - Sky Team and
  Star Alliance
• Available space for the terminals and other
  passenger infrastructure expansion
• The shortest distance to Moscow downtown,
  business centers and the administration
  authorities of the State
• III-rd category from 2 directions
• Both way international domestic transfer
  services has been recently implemented
• Highest level of security, experience in
  servicing US bound flights

• Disadvantages
• Overcapacity of the out-of-date terminals
• Quality of services requires significant
  improvement
• Limited aerodrome and airspace handling capacity
• Reconstruction and development activities absence
  for a long period of time
• Low quality of ground transport service to/from
  the airport, no rail way

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SVO strategic prospects and values

• To represent Russia with dignity, to be the main
  air gateway to the country
• To become a global leader in the airport
  management sector
• To maximize stock value
• To establish trustworthy and transparent
  relationships with the partners
• To be reliable and powerful partner to airlines
• To be attractive and socially responsible employer

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Strategy targets

• To increase terminals, runways and airspace
  capacity
• To reorganize the ground-handling scheme, to
  bring quality in compliance with the
  international standards, passengers and airlines
  expectations.
• To attract co-businesses to the airport, to
  develop concession mechanism
• To increase transfer passenger throughput up to
  30 by 2010
• To organize speed ground transport links to
  Moscow (step by step, by 2007)
• Railway 30 minutes to downtown
• Express road 10 minutes to MKAD (Moscow Ring
  Road)
• Taxi service international quality and fixed
  rates.

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Perspective projects at Sheremetyevo 2005 2007
Moscow St. Petersburg Express road
New terminal (next to Terminal 1 reserve for
wave reconstruction
New rapid exit taxi ways construction and
runways reconstruction
Railway link to Moscow
Reconstruction and enlargement of Terminal 2
Fuel-supply complex reconstruction and expansion
Terminal 3
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Terminal1 development concept.

• A new building and a parking area in Terminal-1
  sector
• Total area 31250 sq. meters
• Capacity 5 mln passengers annually
• Commercial area 30
• Parking for 800 cars
• Total cost USD 76,5 mln
• Operational by Dec. 2006
• The reserve for possible future wave overall
  sector reconstruction

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Terminal 2 key element of Sheremetyevo airport
infrastructure

• Terminal 2 was opened for the Olympic Games on
  May 6, 1980 and has been intensely operating for
  25 years without any major repairs.
• Terminal area constitutes 100 K sq. meters, it
  was designed for up to 7 mln passengers per
  year. In 2004 Terminal 2 handled about 8 mln
  passengers.

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Terminal 2 expansion and its integration with
Terminal 3.

• Terminal 2 reconstruction and extension to
  Terminal 3.
• Total area 240000 sq. m.
• Terminal-2 capacity after reconstruction - 18 mln
  passengers annually
• Commercial area 30
• Parking area for 2500 cars
• Total cost USD 310,8 mln
• Operational by Dec. 2007
• In future, the symmetrical development in the
  opposite direction is highly possible

T3
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Terminal 3 project

• OAO Terminal, with 100 shares held by Aeroflot,
  has started Terminal 3 construction
• Total area 160 k sq. meters
• Capacity 9 mln passengers per year
• Total construction cost USD 500 mln
  approximately
• Commissioning term the end of 2007
• It is assumed that Aeroflot together with its
  SkyTeam partners will be quartered in Terminal 3

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The improvement of the terminals commercial
efficiency

• Today, the duty free trade at Sheremetyevo is
  mainly focused on alcohol, tobacco and cosmetics.
  The offered snacks are not adequate in terms of
  price-quality ratio.
• To increase the profitability of the commercial
  areas and to make the airport more attractive for
  passengers it is necessary to improve quality and
  to expand the range of the offered goods and
  services.
• At present, we are developing the concept of
  commercial areas reorganization and management of
  the tenants-concessionaires activities. The
  worlds leading duty free operator Dufry is
  involved and participates in the project.

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External traffic communicationdesign of the
motor and railway roads
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Sources of finance

• Own funds operation profitability and
  insignificant debt enables to make considerable
  investments for development purposes.
• Loans Sheremetyevo Airports financial and
  operational indices make the company an
  attractive borrower.
• The export credits the airport has a
  possibility to acquire the imported equipment on
  favorable conditions, with the support of the
  export-import agencies of the producing
  countries.
• Project finance all the reconstruction plans
  are drawn up in a form of the attractive
  investment projects.
• Concessionaires and partners funds.
• Federal budget for the development of the
  airfield and other infrastructure which are not
  subject to privatization.

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Sheremetyevo Airport the country insurance
policy leader.

• As a large international airport Sheremetyevo
  Airport is in charge of risk management and
  represents a reliable partner in particular, it
  is evidenced by the airports liability insurance
  program.
• The airport civil liability insurance program,
  implemented for the period August 15, 2005-
  August 14, 2006, complies with all international
  standards and requirements, qualifying the
  insurance coverage for the international
  airports.
• The combined limit of the airports liability
  constitutes record-breaking (for Russia) amount
  of USD 500 mln, without any sub limits
  restricting the insurance compensation payment to
  passengers, airlines and third parties. The
  insurance program as well includes the terrorism
  acts risks with the liability limit of USD 50
  mln.
• The program of insurance and re-insurance was
  developed jointly by the Russian and UK Aon
  Corporation specialists.
• Risks reinsurance shall be effected only in
  international insurance companies with the
  StandardPoors rating higher than BB.

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Insurance liability limits of world airports,
mln dollars
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Quick changes programredecoration and
terminal design improvement.
Replacement of ceilings and a new color solution
for Terminal 2 arrival zone Before After
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Quick changes program taxi service at
Terminal 2 - fixed rates and high quality
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Thanks for your attention!