August 11 International Business Task Force Meeting

International Business Development Task Force August 11, 2015

Tourism Economics

2014 INTERNATIONAL

1.2 MILLION +7% OVERSEAS ONLY

750,000 +10% Source: Tourism Economics

Overseas Trend

ATLANTA & UNITED STATES

15%

Year-over-Year Volume

10% 10%

7%

5% Atlanta United States 0% 2007

2008

2009

2010

2011

2012

2013

2014

-5%

-10%

Strongest: San Diego, Seattle, Tampa Bay, Miami, 20%-25% growth Weakest: Chicago, Honolulu, Detroit, San Jose, -5-0% year-over-year

Source: Tourism Economics

Top Countries 2014 Country

Visitors

Growth (YoY)

1.

UK

95,000

4%

2.

China

60,000

27%

3.

Germany

54,000

0%

4.

Brazil

54,000

16%

5.

South Korea

48,000

9%

6.

India

44,000

16%

7.

Japan

36,000

0%

Total Overseas

750,000

10%

Trend 2010 2011 2012 2013 2014

2015

Source: Tourism Economics

U.S. Year-to-Date “In short, things seem to be holding up well, supporting our view from earlier this year that international markets would slow considerably but not collapse due to the strong dollar.”

“China and Korea continue to set a brisk pace while Brazil is (amazingly) still posting growth despite its recession in relatively weak currency.”

“Spending has also been muted. All international travel spending in the US has increased a paltry .2% for the year through May, indicating that per visitor spending is declining.”

Source: Tourism Economics, July 2015

Brazil • Political Instability • Economic Difficulties

“…most of trade interviewed believe, new political climate will focus on stabilizing the real and consumer confidence.”

• Volatility in Exchange Rate to US • Shopping-driven travel in decline • New middle-class cutting back, wealthier Brazilians still traveling

“Some indicated that cultural, sports, events and family vacation will have the strongest appeal in 2015.”

“Others indicated the U.S. marketers have to do more to focus on first-class travelers to compete with the demand for travel to Western Europe.”

Source: NTA Courier, Scott Johnson August 2015

IPW Orlando 2015 Update  Met with over 125 tour operators and travel companies  Partners included: World of Coca-Cola, Georgia Aquarium, Inside CNN Studio Tour, Atlanta Movie Tours, Buckhead Atlanta, Sheraton Atlanta, Starwood Hotels and Explore Gwinnett  Rhythms of the South hosted a private reception for the United Kingdom delegation on the last night of IPW

U.S. China Tourism Leadership Summit  The U.S. – China Leadership Summit is a high level gathering of government officials and travel executives with the purpose of building and strengthening the relationships between the U.S. and China travel industries.  Main partners are Brand USA and China National Tourism Administration (CNTA). Summit switches between USA and China.  Atlanta was awarded the 2017 Summit. Mayor Reed is accompanying ACVB to Los Angeles in September to make the announcement at this year’s event.

Airport and Airline Initiatives

New Routes or Carriers

• Turkish Airlines – 2016 • Qatar Airways – 2016

• Virgin Atlantic Manchester – Spring 2015 • Delta – Cartagena and Medellin – Fall 2015 • World Routes Conference – Durban, South Africa – Sept. 2015

Airport Initiatives • International Videos at Baggage Claim • Brand USA’s “Market the Welcome”

Quarterly Wait Times at Top 10 International Airports

Marketing Updates

BBC: America Through Film

Music Voyager

International Sales Update • Travel South International Showcase •

Rhythms of the South Update

World of Coca-Cola/Georgia/Atlanta Efforts

America Unlimited (Germany)

Stopover Program (German Efforts)

International Press and Communications

First and Second Quarter Review

FAMS Q1 & Q2 FAMS 2015 Number of Fams 19 England Ireland Argentina Costa Rica

Total Number of People 75 List of Countries India Mexico China Guatemala

Total Number of Countries 11 Chile Vietnam Brazil

FAMS Continued • India FAM: February 18-19

• Virgin Atlantic, American Express: June 6 -8

• Mexico City, Mexico: February 25 -26

• Argentina: June 12 -14

• China FAM: March 14 -16

• Costa Rica: June 17 – 20

• India FAM: March 19

• United Kingdom, Activities Bank: June 28 -29

• Virgin Holiday Super FAM: March 29 -31

• United Kingdom, JetSet: June 28 – 30

• Viajes Tivoli, Guatemala: March 31 – April 1

• Chile, ATN: June 30

• Cocha, Chile: May 12 -14

• United Kingdom/Ireland: June 11-12

• Flight Centre/Virgin Atlantic: May 22 -24

• Brazil, FlyTour: August 6-8

• Chile, Travel Security: May 26 -27 • Vietnam: May 28 • Mexico City, Mexico: June 6 – 8

Upcoming FAMS • Chile, Security Travel: August 11-13 • Delta, Regional Managers: August 19 • Argentina, BCD Travel: August 22-24 • Carlson Wagonlit, United Kingdom: September 3-6 • BCD Regional Meeting: September 22-24

• Costa Rica Fam: October 2 – 4 • Argentina, Carlson Wagonlit Travel: October 35 • Nigeria Fam: October 25 -29

Tradeshows and Sales Missions • FITUR 2015, Madrid, Spain: January 27 – 30 • ANATO, Brazil: February 23-27 • ITB, Berlin: March 2-6 • Monterrey and Mexico City Sales Mission: March 17-19 • Encontro Ancoradouro, Campinas, Brazil: March 24-30 • Active America China, Las Vegas: April 7-10 • Atlanta Delta Business Seminar: April 16 -17

Tradeshows and Sales Missions Continued • New York Receptive Sales Call: May 6-8 • IPW Orlando: June 1 – 4

• New World Travel: June 9 • Pan Euro Sales Mission, Netherlands and Belgium: June 18 -25 • Delta Inaugural Flight Sales Mission, Medellin, Colombia: June 15 – 19 • Travel South USA- Pan European Sales Mission: June 19 – 26

Upcoming Activities • Brand USA Sales Mission, Mexico City, Mexico: August 5 – 7 • La Cita, Boca Raton Florida: September 2-4 • China U.S. Tourism Leadership Conference: September 8-11 • United Kingdom Sales Mission: September 14-15 • FIT 2015 Sales Mission, Buenos Aires, Argentina: September 26 -30 • Delta Experience: October 13 – 15 (Quito, Ecuador)

Questions/Comments