Air France 2008 Annual Report Download - page 45

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45
The Group is developing
a common operational model
for a reference network
Aeronautics maintenance is the Air France-KLM Group’s
third business. Revenues generated with third-party
customers contribute around 4% of total revenues for the
Group and around a third of revenues for Air France-
KLM’s maintenance activity.
Continued growth in the aeronautics
maintenance market
The aeronautics maintenance market, estimated at $45
billion in 2007, is expected to grow by around 3%* per
year over the next decade. However, the growth will be
characterized by some marked regional differences.
Currently, three zones represent more than 80% of the
market (North America with 36%, Europe with 27% and
South-East Asia with 18%) whose growth rate is close to
the market average, whereas the growth rate in China,
India and the Middle East should be significantly higher at
between 8% and 15%.
Furthermore, the proportion of outsourced maintenance is
growing and is expected to increase from 52% in 2007 to
more than 70% within ten years. Competition is, however,
increasing, with OEMs offering their customers integrated
maintenance solutions and independent players benefiting
from the consolidation in this sector.
*Source: Aerostrategy – 2008
2.9
billion euros
of total revenues
969
million euros of
third-party revenues