Company Presentation

August 2012

We make you fly.

Lufthansa Technik Philippines – Facts and Figures

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Founding date:

September 2000

Shareholders:

51% Lufthansa Technik AG and 49% MacroAsia Corporation

Specialization:

Base and heavy maintenance of Airbus A340, A330, A320

Hangar capacity:

Five (5) wide body and six (6) narrow body aircraft

Location:

Ninoy Aquino International Airport, Manila (MNL)

Employees:

2,700 Lufthansa Technik Philippines, Page 2 Copyright © 2011 Lufthansa Technik Philippines. All rights reserved. Subject to restrictions and disclaimer on last page.

Major Milestones

SEP 2000

Handover of technical handling - Philippine Airlines fleet of Airbus and Boeing aircraft

OCT 2005

Start of A320 heavy maintenance operation

FEB 2009

Granted an extension of Lufthansa Technik′s EASA Part-21 Design Organization certification enabling the development of change/repair designs

SEP 2010

Celebration of a decade of aviation excellence with a customer base spanning five continents

OCT 2002

Start of A330/A340 heavy maintenance operations, which also includes additional base maintenance services such as cabin modification

OCT 2007

Inauguration of additional one-bay wide body hangar Lufthansa Technik Philippines, Page 3 Copyright © 2011 Lufthansa Technik Philippines. All rights reserved. Subject to restrictions and disclaimer on last page.

NOV 2009

100 th A330/A340 heavy maintenance check further signifying expertise in these aircraft types

2012

Start of base maintenance services for the newest and most-technologically advanced aircraft – the Airbus A380

Location

     Largest majority-owned Lufthansa Technik subsidiary outside of Germany Strategic location in Southeast Asia along the Pacific Rim Within its 4-hour flight radius are main Asian hubs like HKG and SIN Main facility in Manila with satellite offices in Cebu, Clark and Davao Manila base within a special economic zone:  Simplified import –export procedures   Lower costs due to exemption from duties and taxes on merchandise Easy employment of specialists from outside the Philippines for supervisory, technical or advisory positions Lufthansa Technik Philippines, Page 4 Copyright © 2011 Lufthansa Technik Philippines. All rights reserved. Subject to restrictions and disclaimer on last page.

Facility

  Main base in Manila:   220,000 square-meters 11 hangar bays  16 aircraft parking slots Hangars are equipped with:      2 platform systems Engine docks Tail docks Wing docks Overhead cranes Lufthansa Technik Philippines, Page 5 Copyright © 2011 Lufthansa Technik Philippines. All rights reserved. Subject to restrictions and disclaimer on last page.

Base Maintenance

    Strong focus on base and heavy maintenance (C-, IL-, D-checks) of A340, A330 and A320 aircraft New capability for base maintenance of A380 More than 350 events (over 100 heavy checks) Over 30 customers across five continents

Aircraft Type A340-200/300/600 A330-200/300 A319/A320/A321 B747-400 A380-800

Lufthansa Technik Philippines, Page 6 Copyright © 2011 Lufthansa Technik Philippines. All rights reserved. Subject to restrictions and disclaimer on last page.

Base

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Heavy

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Cabin Reconfiguration/Retrofit Programs

 Cabin reconfigurations and retrofit programs on Airbus wide bodies and narrow bodies    Class conversion Customized cabin lay-out and theme Introduction of latest IFE systems Lufthansa Technik Philippines, Page 7 Copyright © 2011 Lufthansa Technik Philippines. All rights reserved. Subject to restrictions and disclaimer on last page.

Painting

   Painting of aircraft exterior and cabin parts   Chemical stripping Scuff sanding and exterior painting of aircraft   Interior painting using water- or solvent-based paint Graphic design of aircraft livery (decals, logos and technical markings) Modern equipment and facilities   electrostatic spray guns paint booths capable of solvent- and water-based paint system Recognized by the Philippines' Department of Environment and Natural Resources (DENR) for practicing waste reduction programs Lufthansa Technik Philippines, Page 8 Copyright © 2011 Lufthansa Technik Philippines. All rights reserved. Subject to restrictions and disclaimer on last page.

Base Maintenance Clientele

Your trust is important to us.

86% Long-term customers

Lufthansa Technik Philippines, Page 9 Copyright © 2011 Lufthansa Technik Philippines. All rights reserved. Subject to restrictions and disclaimer on last page.

14% Others

Line Maintenance

     Release to Service certification 24/7 AOG support Technical support 30 domestic and international customers Almost 2,000 flights per week

Aircraft Type A319/20/21 A330-200/30 A340-200/300/600 A380-800 B737-400 B747-300/400 B767-300 B777-200/300 ATR 72-500 MNL

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CEB

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DVO

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CRK

    Lufthansa Technik Philippines, Page 10 Copyright © 2011 Lufthansa Technik Philippines. All rights reserved. Subject to restrictions and disclaimer on last page.

Line Maintenance Clientele

Total flights in Philippines: 1,907 per week (jet aircraft) Total market share (RTS & TS) in Manila: 50%`

Lufthansa Technik Philippines, Page 11 Copyright © 2011 Lufthansa Technik Philippines. All rights reserved. Subject to restrictions and disclaimer on last page.

Component Maintenance

Component Wheels, brakes, tires Rescue and safety equipment Avionics Cabin interior items In-flight entertainment Electrical pneumatic and hydraulic components Window Cockpit doors Non-destructive inspection, testing and processing Inspection

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Repair

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Overhaul

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Modification

  Lufthansa Technik Philippines, Page 12 Copyright © 2011 Lufthansa Technik Philippines. All rights reserved. Subject to restrictions and disclaimer on last page.

Engine Support

   Engine:  Removal and installation   Quick engine change (QEC) build-up Inspection (up to fan core splitting/assembly and top case maintenance) Engine Parts and Accessories Repair (EPAR) specializing in shroud repair Engine teardown (disassembly of used engines into parts that can either be used or sold as component parts)

Engine Types CF6-80 series CFM56 series PW4000* RR Trent 500/700* IAE V2500*

* supported during aircraft maintenance Lufthansa Technik Philippines, Page 13 Copyright © 2011 Lufthansa Technik Philippines. All rights reserved. Subject to restrictions and disclaimer on last page.

Technical Services

 With extension of LHT‘s EASA.21J.019 Design Organization Approval       Maintenance program development Reliability improvement consulting Maintenance task card development Technical publication assessment Development of structural repair programs Support for cabin configuration changes       Flight data recorder readout Loadable software reconfiguration Engine trend data analysis Introduction of aircraft into a fleet Assistance in aircraft redeliveries Warranty management Lufthansa Technik Philippines, Page 14 Copyright © 2011 Lufthansa Technik Philippines. All rights reserved. Subject to restrictions and disclaimer on last page.

Fleet Management

 More than 10 years of managing the fleet of Philippine Airlines        Aircraft evaluation Reliability monitoring Airworthiness directives and service bulletins evaluation and monitoring; Review of maintenance programs Aircraft-related records keeping Lifetime control Testing, repair and modification of engines, components and aircraft systems Lufthansa Technik Philippines, Page 15 Copyright © 2011 Lufthansa Technik Philippines. All rights reserved. Subject to restrictions and disclaimer on last page.

Personnel Assigment

 Almost 30 customers composed of LHT subsidiaries and third party airlines since deployment started in 2004   Line Maintenance (Aircraft engineers, cabin mechanics) Base Maintenance (Aircraft engineers, cabin mechanics with special skills)   Non-Destructive Testing (Qualified personnel with NAS410 and EN4179 certification) Technical Services (Engineers providing SB and AD evaluation, Improvement Consultation, etc.) Lufthansa Technik Philippines, Page 16 Copyright © 2011 Lufthansa Technik Philippines. All rights reserved. Subject to restrictions and disclaimer on last page.

Approvals

 18 Maintenance Organization approvals worldwide including:   EASA Part 145 US-FAA 14CFR Part 145  CASA CAR 30  Kuwait DGCA  Malaysia DCA  Civil Aviation Authority  Lufthansa Technik Philippines, Page 17 Copyright © 2011 Lufthansa Technik Philippines. All rights reserved. Subject to restrictions and disclaimer on last page.

Manpower

    The Philippines is the largest English-speaking Asian country 100% of personnel undergo extensive training, to be authorized to work on aircraft from Europe, North America, South America, Asia and Australia Lufthansa Technical Training Philippines, which holds an EASA Part-1 47 certification as an approved Maintenance Training Organization, conducts EASA Part-66 compliant courses in its training center within LTP facility Frequent personnel transfers among the Lufthansa Technik subsidiaries assure optimum skills transfer within the Lufthansa Technik Group Lufthansa Technik Philippines, Page 18 Copyright © 2011 Lufthansa Technik Philippines. All rights reserved. Subject to restrictions and disclaimer on last page.

The Philippines – Our home

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Population:

101,833,938 (July 2011 est.)

Language:

Filipino (official; based on Tagalog), English

Geography:

consists of 7,107 islands

Area:

300,000 sq km

Location:

Southeastern Asia, archipelago between the Philippine Sea and the South China Sea, east of Vietnam

Timezone:

UTC/GMT +8hours

Jeepneys:

Most popular means of public transportation originally made from US military jeeps left over from World War II known for their flamboyant decoration.

Lufthansa Technik Philippines, Page 19 Copyright © 2011 Lufthansa Technik Philippines. All rights reserved. Subject to restrictions and disclaimer on last page.

Corporate Social Responsibility Program

  More than 50 education-based projects More than $600,000 contributed for the construction of public school buildings and facilities from Luzon to Mindanao.

    Improving the quality of elementary education in rural areas Reconstruction of schools Supporting typhoon victims Providing medical equipment Lufthansa Technik Philippines, Page 20 Copyright © 2011 Lufthansa Technik Philippines. All rights reserved. Subject to restrictions and disclaimer on last page.

Environmental Sustainability Development

     LTP complies with environmental regulations in the conduct of its operations LTP is continuously decreasing resource consumption Significant savings in power, fuel and water due to better resource utilization and less waste Part of the EU environment savings program in the Philippines Received green awards from the EU ′s GreenPhilippines Islands of Sustainability Initiative Lufthansa Technik Philippines, Page 21 Copyright © 2011 Lufthansa Technik Philippines. All rights reserved. Subject to restrictions and disclaimer on last page.

Thank you for your attention

Copyright © 2012 Lufthansa Technik Philippines. All rights reserved. The information contained in this presentation is proprietary to Lufthansa Technik Philippines and is disclosed in confidence. The presentation and the information contained herein shall be kept strictly confidential and shall not be used, disclosed to others or reproduced without the express written consent of Lufthansa Technik Philippines. Nothing contained in this publication shall constitute any warranty, guarantee or liability for Lufthansa Technik Philippines, but is for information purposes only. Accordingly, Lufthansa Technik Philippines neither expressly nor conclusively accepts responsibility or liability for the actuality, accuracy and completeness of the statements and information contained in this publication.

Board of Directors:

Washington Sycip – Chairman August Wilhelm Henningsen Dr. Peter Jansen Joseph Chua Lucio Tan, Jr.

Soeren Stark Gerald Frielinghaus