787 ANIN T WA O TA - Boeing · 787 ANIN T WA O TA 2017 Copyright The Boeing Company 2017. All rights reserved. 5 The 787 was a result of discussions between Boeing, our …

787 CHANGING THE WAY PEOPLE TRAVEL | 2017 Copyright The Boeing Company 2017. All rights reserved.

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Today, travel is part of our everyday lives—connecting us with family, friends, business and vacation destinations. It has also become

much more convenient. A decade ago, if you wanted to travel between smaller cities in North America and Asia you’d make connections through a major hub on either side of your trip. Today, with the entry of the 787, the flexibility of the airplane has allowed airlines to connect smaller markets, bypassing the need to fly hub to hub and

making flying easier for passengers.

MAKING TRAVEL BETTER

The 787 continues tochange the aviationindustry


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Airlines have long known that their customers’ top priorities are price, non-stop flights and convenience. How do airlines

shape their strategies and networks based on this? First, the regulatory environment plays a key role in an airlines strategy. Does the regulatory environment they operate in allow them to provide the service they want to? Do they have the rights to fly to their desired locations? Secondly, the need to decide what type of airline they are going to be. Do they want to be a network airline or a low cost airline? Do they want to fly long-haul or short-haul? The answer to these and other questions will help determine what type of service they will provide to their target passengers.

Finally, is the right airplane available to provide this service? Are the aircraft manufacturers providing airplanes that have the ranged needed to fly to the destinations passenger want to go to? Does it provide the right amount of seats to serve the market? And key to what the passenger wants, does the airplane have a low operating cost in or-der for the airlines to be able to offer lower fares? n-addition, passengers are wanting a better cabin experience. When Boeing came to market with the 787, this is exactly the question we were trying to answer.

The 787 -The answer to passenger and airline requirements.

KNOWING YOUR CUSTOMER


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The 787 was a result of discussions between Boeing, our customers and other industry stake-holders that showed the need for a new generation, highly capable and highly efficient airplane family to serve the market for airplanes between the top of the single aisle category and below larger wide-body models like the 777. A key trend that came out of this was that over time, the growth in the airline industry has been driven by more non-stop flights being added, to more destinations, while the average number of seats on the airplane has remained relatively flat. This showed a need for a smaller widebody airplane rather than a larger airplane, which would allow airlines to open new routes that couldn’t be supported with the larger airplanes. allow airlines to open new routes that couldn’t be supported with the larger aiirplanes.

Showing that the 787 is continuing the trends in the market that we have seen historically.

There has always been a lot of focus on the wide-body airplanes smaller than the 747, due to the ability that these airlines have been able to fragment the market. By fragmenting the market we mean airlines have been able to open new destinations, more non-stop flights, while using smaller airplanes. Since 2000, 40 airlines around the world have used the 777 to open over 140 new routes, and these new routes span nearly every region in world. Out of the approximately 1,000 routes that are operated by a 777, many have replaced the 747s that previously flew the route. The versatility, efficiency, and reliability of the 777 have made it the backbone of many alliance carriers’ long-haul fleets. 35 percent of long-haul (flights over 4,000 miles) capacity is flown on a 777, which is the most of any one airplane type.

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1.0

1.5

2.0

2.5

1995 1999 2003 2007 2011 2015

FrequencyGrowth

NonstopMarkets

AverageAirplaneSize

Air TravelGrowth

Wor

ld

AIR TRAVEL GROWTH HAS BEEN MET BYINCREASED FREQUENCIES AND NONSTOPSMarket frgmentation drives growth

WIDEBODY MARKET GROWTH HAS BEEN DRIVEN BY MORE NONSTOPDESTINATIONS AND FLIGHTS

2,540,(+15%)

7,8407,840(+20%)

292292(+3%)

2011

20166,470

283

2,220

787 - Connecting the World.

Since the 787 entered service in 2011, the number of long-haul, non-stop markets increased by nearly 15 percent, the number of flights increased by nearly 20 percent and the average number of seats remained fairly flat, only increasing three percent.


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The 787 has continued to build on the 777’s ability to open new non-stop markets. The 787 has created more than 130 new non-stop markets that are in operation or announced, with many more on the way. Some routes between North America and different parts of Asia have

never been possible or profitable before 787 was introduced to the market. The capabilities of the 787 are now enabling airlines to open ultra-long, thin, routes. The 787 has been widely accepted by airlines and can be found in just about every region of the world.

OPENING NEW MARKETSOver 130 new nonstop markets now connected with the 787

Bergen

Bangkok

Brisbane

Boston

Guangzhou

Copenhagen

Chengdu

Dusseldorf

Doha

Denver

Edinburgh

Sao Paulo

Tokyo

Jakarta

AustinNew York

OsakaLos Angeles

Lagos

Orlando

Manchester

Nairobi

Oslo

Oakland Beijing

Shanghai

San Francisco

Ho Chi Minh

Wuhan

Helsinki

Cancun

Mauritius

Barbados

Warsaw

Xi'an

Toronto

Announced

In Operation

Vancouver

Aruba

MelbourneSydney

Dublin

Casablanca

Addis Ababa

Delhi

Rome Seoul

Calgary

Maputo

Tashkent

Santiago

Perth

March 3. 2017

787 FOUND IN FLEETS IN EARLY EVERY REGION OF THE WORLDPercentage in each region

N. America

15%L. America

9%SE Asia7%

S. Asia5%

Oceania4%

Europe

17% NE Asia(Japan)

18%China

8%

AFR6%

Middle East

11%

Source: Ascend, November 2016

OPENING NEW MARKETSOver 130 new nonstop markets now connected with the 787

Bergen

Bangkok

Brisbane

Boston

Guangzhou

Copenhagen

Chengdu

Dusseldorf

Doha

Denver

Edinburgh

Sao Paulo

Tokyo

Jakarta

AustinNew York

OsakaLos Angeles

Lagos

Orlando

Manchester

Nairobi

Oslo

Oakland Beijing

Shanghai

San Francisco

Ho Chi Minh

Wuhan

Helsinki

Cancun

Mauritius

Barbados

Warsaw

Xi'an

Toronto

Announced

In Operation

Vancouver

Aruba

MelbourneSydney

Dublin

Casablanca

Addis Ababa

Delhi

Rome Seoul

Calgary

Maputo

Tashkent

Santiago

Perth

March 3. 2017

787 FOUND IN FLEETS IN EARLY EVERY REGION OF THE WORLDPercentage in each region

N. America

15%L. America

9%SE Asia7%

S. Asia5%

Oceania4%

Europe

17% NE Asia(Japan)

18%China

8%

AFR6%

Middle East

11%

Source: Ascend, November 2016


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The 787 has been a fast growing airplane, since January 2016 the worldwide 787 fleet has been providing more airline capacity (measured in avail-able seat-kilometers, namely number of seats times flight distance in kilometers) than that of the A380, which entered service four years before the 787. This helps validate that the 787 was the right airplane to bring to market, enabling continued fragmentation of the aviation market.

The 500th production aircraft was delivered in December 2016. No other widebody aircraft programs have achieved this milestone as fast as the 787.

Today, more than 1,200 787’s have been ordered. Since the 787 entered service in 2011, more than 500 airplanes have been delivered to 40 customers.

As the needs of passengers continue to change, and airline business models continue to evolve, Boeing will continue to bring new super-efficient airplanes like the 787 to the market.

787 CAPACITY EXCEEDED A380S IN JANUARY 2016

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5

Monthly ASKs (billions)

2008 2010 2012

20

15

25

35

30

02014 2016

A380787

HOW MANY YEARS DID IT TAKE FOR500 DELIVERIES

787

767

777 A330

Less than 5 years

787

5 - 10 years More than10 years

HOW MANY YEARS DID IT TAKE FOR500 DELIVERIES

787

767

777 A330

Less than 5 years

787

5 - 10 years More than10 years

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787 ANIN T WA O TA - Boeing · 787 ANIN T WA O TA 2017 Copyright The Boeing Company 2017. All rights reserved. 5 The 787 was a result of discussions between Boeing, our …