ANA HOLDINGS NEWS
ANA Group Corporate Strategy for FY2013-15
TOKYO April 30, 2013 - ANA Group, Japan’s largest airline group, today sets out its corporate
strategy for FY2013-15. Despite the challenging global economic backdrop, ANA Group has a clear
strategic plan to position the Company for growth. The strategic plan focuses on the following
elements:
 Build upon the company’s new corporate structure and enhanced management team
 Pursue a multi-brand approach; expanding the portfolio to include ancillary airline services
 Target expansion in high growth markets, including Asia
 Continue to differentiate ANA Group as the Leading Global Airline Group
Market conditions
Due to Airline liberalization and deregulation, which has opened up markets in the airline industry, we
are seeing intense competition, not only from existing Japanese airlines, but also from major airlines
from Asia, Europe, US and Middle East, and from the full-scale entry of low-cost carriers to the
market. We anticipate that this trend will continue as liberalization and deregulation continue at a
rapid pace. In addition to this, slot expansion in Tokyo and increasing competition from other modes
of transportation, such as the extension of the Shinkansen bullet trains, have intensified competition
further.
ANA Group Strategy
2012-2013
In response to these challenges, and as the company entered its 60th anniversary year, ANA Group
has already undertaken a number of reforms, as set out in the ANA Group Corporate Strategy for
FY2012-13. These include management reforms, the establishment of a multi-brand strategy to
expand the portfolio to include ancillary airline services, and changes to the Group’s corporate
structure to strengthen cost competitiveness and the Group’s financial position.
2013-2015
Building on these changes, ANA Group’s FY2013-15 Corporate Strategy is designed to position the
Group as a best in class airline operator, leading the Japanese market. The strategy includes
capitalizing on the new corporate structure and continuing to strengthen the management team. In
addition, ANA is pursuing growth by capitalizing on the expansion of airport slots in the Tokyo area
and seeking profit diversification through expansion into new business areas which demand our
specialist expertise and strategic investment in Asia.
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Outline of the FY2013-2015 Mid-term Corporate Strategy
FY2012
FY2012
FY2013
FY2013
FY2014
FY2014
FY2015
FY2015
Narita + 20,000
(270,000）
Narita + 30,000
(300,000 ）
Haneda + 30,000
(60,000 during daytime）
Business
environment

 Intensified
Intensifiedcompetition
competitionwith
with
Japanese
Japaneseairlines
airlines
*Number of international slots
 Intensified
Intensifiedcompetition
competitionwith
with
Bullet
Bullettrains,
trains,etc.
etc.

 Expansion
Expansionof
ofJapanese
JapaneseLCCs,
LCCs,and
andentry
entryof
offoreign
foreignLCCs
LCCs
 Relationships
Relationshipswith
with
 Advancement
Advancementof
oftrade
tradeliberalization
liberalization
neighboring
neighboringcountries
countries
 Market
Marketfluctuations
fluctuationsof
ofoil
oilprices
prices
and
andexchange
exchangerates
rates
《FY2013-15 Corporate Strategy》
Creation of basis
for growth strategy
Strengthening of
financial status
Continued implementation along axis included in
FY2012-13 Corporate Strategy
Public Capital
Entry into new business areas utilizing business
increase
Toward further characteristics and know-how
through a
growth areas Provision and expansion of existing services outside the
group
public offering
Execution of strategic investment in Asia
in July 2012
Formation of
Corporate
Strategy
Multi-brand strategy
Multi
Multi-brand
strategy （March
（March 2012:
2012: Peach
Peach // August
August 2012:
2012: AirAsia
AirAsia Japan)
Japan)
Transition
Transition to
to holding
holding company
company (April
(April 2013)
2013)
Restructuring
100 billion
Restructuring of
of costs
costs // Reduction
Reduction of
of costs
costs by
by ¥¥100
billion (FY2011-14）
(FY2011-14）
Expansion of Growth Areas
Alongside ANA Group’s core portfolio, the Company will pursue revenue growth through a
multi-brand strategy; expanding into ancillary airline services, and by strengthening its operations in
both international and domestic markets. In particular, the Group is looking to capture growth in the
Asian market and increase its exposure to non-airline operations, including cargo.
Diagram of Business Expansion through Expansion of Growth Areas
Growth of seat-km for
international flights
（vs. FY2011 performance）
*includes AirAsia Japan
[FY2013-2015 Corporate Strategy]
125.9％
110.6％
Domestic
Passenger
Services
100.0％
FY2011
FY2012
FY2013
International
Passenger
Services
[FY2012-2013 Corporate Strategy]
Domestic
Passenger
Services
International
Passenger
Services
● Capturing Asian market
● Acquisition of growth areas
● Investment in diversified
businesses
Diversification
Expansion of
earnings of
entire group
LCC
Cargo
Others
Multi-brand
Multi-brand
strategy
strategy
LCC
*dotted circle is a mid-term image
Cargo
2
(1) International passenger business
With slot expansion in Tokyo, ANA will expand its network for international routes
departing/arriving from the Tokyo area. It will also incorporate non-Japanese demand traveling
both into and through Japan in addition to existing Japan-based business demand.
(2) Domestic passenger business
ANA will continue to differentiate its products & services on its domestic flights in order to
ensure the strength of its core business.
(3) Low-cost sector
ANA Group will continue to develop a profitable, low-cost business model for its LCC business,
by improving the level of brand recognition, capturing Asian market demand, and pursuing a
low-cost operating model.
(4) Cargo
ANA aims to drive profitability in its cargo business through a series of measures. It will improve
aircraft utilization rates to reduce costs, expand its cargo network by increasing the number of
freighters, and carry more freight on ANA’s passenger aircraft and flights made by other carriers.
ANA will also introduce a business management system to develop business solution for the
cargo business.
(5) Diversifying into Ancillary Airline Service
ANA plans to diversify into other aviation related businesses, in particular in the growth areas
of Asia, as well as looking for opportunities for the ANA brand in the airline sector.
Strategic Investment
・ Use funds obtained through 2012 public stock offering to invest overseas, to make strategic
investments abroad, in particular in Asia, where high economic growth is anticipated.
Consider plans to establish an investment management company in Singapore, in June, to
accelerate implementation of investment.
・ Invest in Asia to capture growth in that region, with additional synergy benefits to ANA
Group‘s airline business.
・ Diversify into other aviation related businesses, such as aircraft maintenance, utilizing the
company’s experience, knowledge, resource and brand value, to expand new profit areas.
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Strategic Investment in Asia Entering Execution Phase
Public
Publicstock
stockoffering
offering
(Implemented
(Implementedin
inJuly
July2012)
2012)
Enabling
Enabling balancing
balancing of
ofstrengthening
strengthening of
of
financial
financialposition
positionand
andstrategic
strategicinvestment
investment
Stable
Stablecash
cashflow
flow
(Highest
(Highestoperating
operatingincome
incomeon
on
record
record for
for22consecutive
consecutive years
years
Diversification of earnings areas through
strategic investment
Expansion of growth areas aimed at further
expansion of profits
Investment in the airline business
centered on Asia
Participation in airline-related
businesses in Japan and Asia
Mutual
synergies
FY2013:
FY2013:Formulation
Formulationof
ofspecific
specificimplementation
implementation
plans
plans
FY2014:
FY2014:Expansion
Expansion of
ofbusiness
businessin
inphases
phases
Establishment
Establishment of
of an
aninvestment
investment company
company
Date
Dateof
ofestablishment:
establishment:June
June2013
2013(scheduled)
(scheduled)
Location
of
establishment:
Singapore
Location of establishment: Singapore
Purpose
Purposeof
ofestablishment:
establishment:acceleration
accelerationof
of
investment,
investment,stabilization
stabilizationof
ofmanagement
management
Aiming
Aimingto
toutilize
utilizeANA
ANAGroup
Groupknowledge
knowledgeand
and
personnel
personnel
Maximization of earnings of the ANA Group
through business portfolio management
Format of Investment Company (Image)
ANA Holdings
Singapore
Investment
Company
SPC1
SPC3
SPC2
Country Ａ
Country B
Country C
Merging
Company
Company A
Company B
Company C
(SPC3)
SPC: Special Purpose Company
Company D
Strengthening the Management Base
Building on progress from the FY2012-2013 corporate strategy, ANA Group will continue to:
(1) Reform Group Corporate Structure
ANA Group will move to a Holding Company structure from this fiscal year in order to achieve
the separation of management and execution, fair and equitable group management, and
delegation of authority and responsibility to individual group companies.
Consolidation of shared back office functions will take place in order to improve efficiency, and
some activities may be outsourced.
(2) Reform Cost Structure
The company is in line to reduce costs by 100 billion yen by fiscal year 2014 (ca. unit cost 1.0
yen). ANA Group also plans to review its pension program and the mid-to-long-term cost impact.
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Progress on Cost Structure Reform
115.4％
106.7％
■ Production volume
100.1％
(domestic seat km + international
seat km)
(Initial FY2011 plan: 100)
10.83
10.56
FY2013-2015
Corporate strategy
10.xx
▲1.00
(Cost
(Costdown
downby
by
¥¥100
100billion)
billion)
Unit Cost
(Initial FY2011
plan: 100
Reference
Reference
point
point
FY2011
(Initial plan)
Unit
Unitcost
cost
▲
1-yen reduction
▲1-yen
reductionplan
plan
▲ ¥ 11.0B
FY2011
(Actual)
▲ ¥ 21.0B
▲ ¥ 25.0B
▲ ¥ 43.0B
FY2012
(Actual)
FY2013
(Plan)
FY2014
FY2015
ANA Group Goals
Following the creation of the holding company and its 60th anniversary last year, ANA Group will
benefit from the strategic oversight provided by the strengthened management team. ANA Group
has formulated a new group mission statement, management vision, policy on corporate social
responsibility, and group action guideline - The ANA’s Way.
Overview of the Mission Statement and Management Vision
(1) New Group Mission Statement
The ANA Group Mission Statement represents the corporate group’s long-term goals, mission,
and purpose. Security and trust are the basic defining responsibilities across the Group.
Through these values ANA Group will differentiate itself as the Leading Global Airline Group.
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(2) New Group Corporate Vision
The ANA Group Corporate Vision represents our long terms goals and our ambition to become
an important corporate player in the air transport business, leading the market in terms of
customer satisfaction and value creation.
(3) Group CSR Policy and Group Code of Conduct (ANA's Way)
The Group CSR policy sets forth ANA’s social responsibility to achieve a mission and vision
which represent our promise to society as a corporate group. We have already been working
on CSR centered on safety but we will shift to a more global level looking at wider range of
stakes holder globally. The Group Action Guideline (ANA's Way) forms the cornerstone of
actions that ANA Group employees should take to achieve the vision and principles.
Management and Financial Goals for FY2013
Target consolidated operating income for Fiscal 2013 of ¥110.0 billion, with a
consolidated operating margin of 6.8%.
The medium-term goal for consolidated operating income is ¥150 billion and a
consolidated operating margin of 10% or above.
FY2013
Forecast
(billion yen)
Operating Revenues
Operating Income
Profit Margin
Recurring Profit
Net Income
1,610.0
110.0
6.8%
80.0
45.0
% Growth in international seat km
% Growth in domestic seat km
+13.8%
+4.5%
+14.6%
+4.7%
% Growth in international cargo ton km
% Growth in domestic cargo ton km
* % Growth is the percent changed from the previous year
Contact: ANA Holdings Public Relations TEL +81-3-6735-1111
About ANA Holdings Inc.
ANA Holdings Inc. is an aviation group with global operations and a total of 57 consolidated
subsidiaries and 19 affiliates spanning passenger and cargo operations as well as airline-related
business such as catering and IT services. ANA Holdings Inc. was formed in April 2013 and is the
parent company of the full-service carrier ANA and AirAsia Japan. It also owns a 38.6% stake in
Peach, the low-cost carrier based in Kansai Airport. ANA Holdings Inc. promotes a multi-brand
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strategy to leverage the strength of ANA brand and stimulate demand in markets complementary to
its full-service airline offering enabling it to expand market share for the Group as a whole and
enhance value. ANA Holdings Inc. has 235 aircraft flying to 32 international destinations and 50
domestic cities, carrying more than 43 million passengers each year. It is number one in Asia and
eighth in the world, based on revenue. The goal of ANA Holdings Inc. is to be the world’s leading
airline group for customer satisfaction and value creation.
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