September 26, 2019 ACVB Board Presentation

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ACVB BOARD OF DIRECTORS MEETING THURSDAY, SEPTEMBER 26, 2019 | 8:00 a.m. THE GATHERING SPOT


CALL TO ORDER

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DEXTER WARRIOR CHAIR, BOARD OF DIRECTORS


WELCOME TK PETERSEN PLACE IMAGE HERE

CO-FOUNDER THE GATHERING SPOT


DESTINATION REPORT

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MARK VAUGHAN EVP/CSO


ATLANTA OCCUPANCY – AUGUST 2019 August 2019 YTD Occupancy ACVB Tax Revenue District

Atlanta Convention Hotels

Hotels within 1-mile radius of GWCC

Metro Atlanta

Source: STR

2018

2019

75.9%

76.2%

80.5%

81.4%

77.7%

79.2%

71.5%

71.3%


KEY SALES ACTIVITIES Through August 2019, we finished 104% of our room night goal and 105% of our lead goal. Direct Sales Events

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ASAE Five Star Trade Show Gold 100 HPN Annual Conference Midwest PCMA GAMPI Fall Classic American Express Intercon Coalition of Black Meeting Planners IAEE Expo! Expo! Holiday Showcase CVB Reps World Travel Market

Austin San Diego Seattle Chicago Atlanta Denver New Orleans Las Vegas Chicago Washington, D.C. London





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FINANCIAL REPORT GREGORY PIERCE

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EVP/CAO/CFO


ATLANTA CONVENTION & VISITORS BUREAU FINANCIAL STATEMENT SUMMARY WITH FORECAST THROUGH AUGUST 31, 2019

CONSOLIDATED

CONSOLIDATED

2019

2019

2018

2019

2019

2019

ACTUAL

BUDGET

ACTUAL

YTD

FULL YR

FULL YR

YTD

YTD

YTD

VARIANCE

BUDGET

FORECAST

SUPPORT & REVENUE Public Sector

19,691,264

17,732,168

17,175,989

1,959,096

26,400,437

28,000,000

Private Sector

3,487,192

3,359,740

2,811,796

127,452

8,842,000

8,950,000

23,178,456

21,091,908

19,987,785

2,086,548

35,242,437

36,950,000

6,389,482

6,205,117

5,988,031

(184,365)

9,989,241

10,075,000

723,473

605,705

720,861

(117,768)

837,000

915,000

12,342,657

11,457,606

10,884,902

(885,051)

22,121,989

23,371,989

1,347,154

1,212,230

1,185,249

(134,924)

1,899,000

2,000,000

20,802,766

19,480,658

18,779,043

(1,322,108)

34,847,230

36,361,989

2,375,690

1,611,250

1,208,742

764,440

395,207

588,011

TOTAL SUPPORT & REVENUE

EXPENSE Payroll & Related Expense

Other Operating Expense Direct Promotional Expense Capital Expense

TOTAL EXPENSE

EXCESS(DEFICIENCY) OF REVENUE OVER EXPENSE


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AIRPORT DEVELOPMENT UPDATE

JOHN SELDEN GENERAL MANAGER HARTSFIELD-JACKSON ATLANTA INTERNATIONAL AIRPORT


ATLANTA CONVENTION AND VISITORS BUREAU BOARD OF DIRECTORS MEETING SEPTEMBER 26, 2019

WORLD’S BUSIEST PASSENGER AIRPORT: AN OVERVIEW John Selden General Manager 13


HARTSFIELD-JACKSON

MANAGEMENT STRUCTURE


AIRPORT OVERVIEW ✓ 4,700-acre campus

✓ 7.1 million-square-foot terminal complex

✓ 5 parallel runways

7 concourses

Total of 192 domestic and international gates

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15


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HARTSFIELD-JACKSON

EFFICIENCY Geographic advantages • 80% of U.S. population lives within a 2-hour flight from ATL • Favorable weather conditions • Growing population High-efficiency facilities • Five parallel runways • Midfield terminal complex • Highly efficient, uncongested airspace • Closest competing airport 240 miles away 17 4


ATL served 107.4 million passengers in CY 2018

HARTSFIELD-JACKSON

Millions

THE WORLD’S BUSIEST AIRPORT

6%

ANNUAL ENPLANEMENTS (CY) 60 50

48

50.7

52

51.9

6.0%

5.0%

4.3%

53.7

4%

3.8% 2.4%

2% 0%

40

2014

2015

2016

2017

2018

-2% Internation al

30 8%

20

5.8%

6% 2%

-

3.3%

2.7%

4%

10

1.4%

0%

2014 2015 2016 2017 2018

-2%

Source: ATL records

18

2014

2015

2016 Domesti c

2017

-0.9%

2018


HARTSFIELD-JACKSON

COST PER ENPLANED PASSENGER (CPE)

Cost per Enplanement (CPE) $30.00 $25.00 $20.00 $15.00 $10.00 $5.00 $-

CLT

ATL DEN SEA DFW BOS SFO

Source: FAA CATS Form 127; ATL numbers adjusted to reflect all-in CPE as reported in the Airport's 19 CAFR.

JFK EWR


HARTSFIELD-JACKSON

ATL CONNECTS ATLANTA TO THE WORLD

From July 2000 to July 2019, the number of international destinations served from ATL has almost doubled from 40 to 79.

139 U.S. destinations are served nonstop from ATL.

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18 Fortune 500 Corporate Headquarters in the Atlanta Region

*SunTrust Banks, Inc., is expected to merge with BB&T Corporation which is headquartered in Winston-Salem, NC. However, SunTrust is expected to maintain a significant presence in the Atlanta metropolitan area.

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HARTSFIELD-JACKSON

AIRLINE MARKET SHARE BASED ON SEATS

ATL’S TRAFFIC MIX

O&D: 6th O&D airport in the U.S. with 40.6 million passengers

Top Markets: All top 20 markets from ATL served by multiple carriers

Strong LCC Service: Spirit is now 4th busiest carrier at ATL – 2.62 million in CY 2018

O&D Ratio: 38.1% in FY 2018, compared to 31.7% in FY 2014, representing 33% growth in originating enplanements from 15 M to 20 M over the past 5 fiscal years

(FY 2019)

United 1.6% Foreign Flag 2.2% Spirit Airlines 2.5%

Frontier Airlines 1%

jetBlue 0.8% Alaska & Others 0.2%

American Airlines 3.3% Southwest 10.3%

Delta 78.1%

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Note: Statements above are reflective of FY 2018, as FY 2019 data has not been released by US DOT.


HARTSFIELD-JACKSON

ATL’S TOP 15 DOMESTIC DESTINATIONS 1. 2. 3. 4. 5. 6. 7. 8.

NEW YORK WASHINGTON, DC CHICAGO DALLAS HOUSTON ORLANDO FORT LAUDERDALE LOS ANGELES

9. TAMPA 10. BOSTON 11. PHILADELPHIA 12. MIAMI 13. CHARLOTTE 14. DENVER 15. DETROIT 23


HARTSFIELD-JACKSON

ECONOMIC IMPACT (REVENUE) CATEGORY

REVENUE

Direct

$40 billion

Indirect

$12 billion

Induced

$14 billion

Total

$66 billion

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HARTSFIELD-JACKSON

ECONOMIC IMPACT (JOBS) SECTOR

JOBS

Direct

205,639 (includes 63,000 on-site)

Indirect

79,636

Induced

97,967

Total jobs

383,242 25


HARTSFIELD-JACKSON

WHAT IS ATLNEXT? •

ATLNext is the Airport’s multibillion-dollar capital improvement program.

ATLNext consists of a series of projects to boost capacity. They include projects to ...

1. 2. 3. 4. 5.

Modernize facilities Expand cargo operations Extend Concourse T Replace 2 parking decks Build a 6th runway

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ATLNEXT PROGRESS

CANOPY PROJECT •

North and South Terminal canopies completed

3 38 3,500 3,708

Football fields in length Steel trusses Tons of steel, equivalent to 9 Boeing 777 airliners Colored LED lights

27 7


ATLNEXT PROGRESS

REFURBISHED VESTIBULES โ ข

Vestibule and building faรงade work also ongoing

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ATLNEXT PROGRESS

T-NORTH EXPANSION •

5 additional gates

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HARTSFIELD-JACKSON

PARKING FACILITIES •

ATLWest parking: Construction underway near GICC

Replace North and South Domestic parking decks

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HARTSFIELD-JACKSON

PARKING FACILITIES •

ATLWest parking: Construction underway near GICC

Replace North and South Domestic parking decks

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HARTSFIELD-JACKSON

CARGO EXPANSION •

Construct more than 800,000 square feet of warehouse space.

Secured tenant for Cargo Building C

Trade and Logistics Corridor between ATL and Amsterdam

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HARTSFIELD-JACKSON

WEST CURB IMPROVEMENT

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HARTSFIELD-JACKSON

WEST CURB IMPROVEMENT

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HARTSFIELD-JACKSON

HOTEL

3535


HARTSFIELD-JACKSON

PEDESTRIAN WALKWAY

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HARTSFIELD-JACKSON

PLANE TRAIN TUNNEL WEST EXTENSION

SKY Train

MARTA

Terminal Building

CONSTRUCTION SHAFT

PLANE TRAIN TUNNEL WEST EXTENSION

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HARTSFIELD-JACKSON

RUNWAY 9L END-AROUND TAXIWAY

38 4


HARTSFIELD-JACKSON

RUNWAY 9L END-AROUND TAXIWAY

39 4


HARTSFIELD-JACKSON

RUNWAY 9L END-AROUND TAXIWAY

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HARTSFIELD-JACKSON

NEW RUNWAY •

Build a sixth runway

Create two end-around taxiways

Replace runway pavement

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HARTSFIELD-JACKSON

THE FUTURE ?

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HARTSFIELD-JACKSON

THANK YOU

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@christopherbw

PRESIDENT’S REPORT

WILLIAM PATE PRESIDENT & CEO


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OLD BUSINESS


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NEW BUSINESS


ADJOURN


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