Creating significant value from CALEB Technologies’ proven decision support- based solutions

1. Creating significant value from CALEB Technologies’ proven decision support- based solutions AGIFORS Conference New York May 2003 Proprietary & Confidential

2. Problem Space • High • CALEB’sCompetitive Advantage • CALEB enables optimized decision making to those problems that have significant return on investment • ROI • Low • Low • High • Complexity The Essence of CALEB Patented application of mathematic algorithms enabled by information technology CALEB Proprietary

3. 2002Edelman Award Won the “Nobel Prize” of Operations Research Added three new major clients in 2002 Proven Track Record • Industry Recognition • Top Airlines as • Customers • Management team with proven track record • Deep OR expertise • Deep IT skills • Deep domain knowledge • Top Industry Professionals CALEB Proprietary

4. Planning • Re-planning • Operations • All are one of a kind or best-of-breed • Solutions collectively save a large airline more than $100 million annually • All in production or being installed at major airlines CALEB Current Portfolio of Solutions Resource-Solver PairingSolver RecoverySuite CALEB Proprietary

5. CrewSolver • OpsSolver • Crew ResourceSolver • CrewSolver • OpsSolver (Trial Period) • CrewSolver • CALEB is proud to be serving some of the world’s largest and most innovative carriers • PairingSolver • Integrated RecoverySuite • (CrewSolver/OpsSolver) New in 2002 • Integrated RecoverySuite • (CrewSolver/OpsSolver) • PairingSolver CALEB Clients CALEB Proprietary

6. Business Considerations RecoverySuite Recommendations • - Delay Flights • - Cancel Flights • - Ferry Aircraft • - Use Spare Aircraft • - Swap equipment • - Swap On-Line Crew • Deadhead/ Sit Crews • Move-ups • Extend-outs • Call Out Reserve Crews Aircraft Operations Crew Passengers Maintenance Facilities -Re-accommodate paxs - Upgrade/downgrade pax - Spill passengers OpsSolver’s Scope RecoverySuite – Business Problem Scope CrewSolver’s Scope PassengerSolver’s* Scope Minor / Major Disruptions • Weather • Mechanical Problems • ATC Delays • Facility Disruptions • Unavailable Crew • Security Delays • Labor Conflicts * Beta Version CALEB Proprietary

7. Inputs Integrated Recovery Suite Output Schedule Data Collaborative GUI MCS Schedule Data Passenger Data MCS Res / MCS Pairing Data Pairing Data CMS CMS Anticipatory Data Model Workflow Anticipatory Export Support Crew Data CMS Maintenance Data Solution Commit Maint Operational Data Reports CMS/MCS CALEB’s Integrated RecoverySuite Crew Solver Ops Solver Passenger Solver CALEB Proprietary

8. Satisfies multiple airline-specific objectives • Reduces costs with hard and soft cost considerations using penalties or constraints • Reduces cancellations and delay propagation • Returns airline to normal operations quicker Economic Benefits Customer and Crew Good-will • Increases on time performance and punctuality • Reduces passenger impact and considers crew quality of life • Localizes disruptions Solution Speed • Generates solutions in seconds or minutes • Supports delayed decisions for weather-based disruptions resulting in more informed decisions and better solutions • Allows for multiple solution alternatives Operational Effectiveness • Provides flexible priorities including protections, targets, • Improves cross-functional (aircraft, passenger, crew, maintenance) collaboration and considerations in solutions Consistent Solutions • Stores profiles of preferred settings tuned to management objectives • Provides consistency across experience levels RecoverySuite Value to an Airline CALEB Proprietary

9. PairingSolver Solution Approach Input PairingSolver Output • Global approach based on proprietary optimization methods and global constraints • Intelligent pairing generation based on proprietary look-ahead schemes • Adaptive solution refinement • Automated deadhead selection • External rules engine • Enhanced user interface Daily, Weekly, or Monthly Pairings Solutions Objective to Minimize Hard and Soft Costs Flight Schedule Reports • Constraints: • Crew Rules • Operational Requirements • Crew Preferences Stated proximity to optimality (>99%) CALEB Proprietary

10. Reduction in Crew Costs • Direct: crew pay and credit • Indirect: hotel, limo, meal, deadhead • Optimal solutions in a fraction of the time for cold starts; in most cases in minutes • Solution adjustment in minutes for last minute changes • Significant opportunity for “what-if” analysis Solution Speed • Portable solution; efficient memory handling (runs on laptop) • Reports proximity of solution to global optimum • Automatic deadhead selection from unlimited pool • Daily, weekly and monthly workflow integration; can solve • weekly problem without a daily solution Advanced Technology Improved Operational Robustness • Minimized number of crew connections • Reduced number of deadheads • Pairings match crew base capacities Improved Crew Quality of Life • Desired mix of of 1 to 5 day pairings • Control on number of deadheads, crew connections, etc. • Ability to limit crew swaps per duty period PairingSolver Offers Significant Value to an Airline CALEB Proprietary

11. Planning • Re-planning • Operations Dynamic Passenger Swaps (Replane) Dynamic Capacity Planning (Augmented RecoverySuite) CALEB’s Future Product Roadmap Optimal crew management (Resource-Solver) Optimal Crew Pairings (PairingSolver) Optimal Operations Recovery (RecoverySuite) CALEB Proprietary

12. For more information, please visit our booth and the Riverside Suite Esther Schuller Julian Pachon Kirk Nagy www.calebtech.com CALEB Proprietary