1. Revolutionizing Aviation Pres Henne Senior Vice President, Programs Gulfstream Aerospace Corporation

2. Travel Demands Fuel Business Aviation Growth By the end of this decade, it is estimated that more than 1 billion passengers will fly on U.S. airlines annually.By the end of this decade, it is estimated that more than 1 billion passengers will fly on U.S. airlines annually. –Nearly 75% of all airline passengers travel to or from the top 30 air carrier hubs –Airline quality continues to decline...“The Misery Factor” –Think of today’s Wednesday before Thanksgiving as the norm The business jet fleet… 10,000 aircraft in 35 years (1965-2000).The business jet fleet… 10,000 aircraft in 35 years (1965-2000). Industry forecasters predict the delivery of 10,000+ new business jets during the 11 year period 2001-2011.Industry forecasters predict the delivery of 10,000+ new business jets during the 11 year period 2001-2011. Business aviation has a history of embracing new technologyBusiness aviation has a history of embracing new technology –Thirty-five years ago, people said no one will ever buy a $500,000 Learjet. Now, that’s the price of a satcom unit. –In the 1990’s, critics said people will never spend $42 million on a 6,500nm range business jet. The 6,500nm GV has more than 200 orders and 100 aircraft in service today.

3. Revolutionize Aviation with New Markets and Products Fractional ownership has created a new market...Fractional ownership has created a new market... –In 2000, there were 3,694 companies and individuals using fractional ownership compared to only 110 in 1993. –United Airlines is recognizing the value of fractional ownership and preparing to launch its own fractional program this year. Ultra-long range business jets, such as the GV and GV-SP, have revolutionized business aviation by allowing non-stop, point-to-point flights such as New York- Tokyo and Buenos Aires-London.Ultra-long range business jets, such as the GV and GV-SP, have revolutionized business aviation by allowing non-stop, point-to-point flights such as New York- Tokyo and Buenos Aires-London.

4. Revolutionize Aviation with Advanced Systems Visual Guidance System (VGS - next generation HUD)Visual Guidance System (VGS - next generation HUD) –Integral to PlaneView™ with smaller overhead unit Enhanced Vision System (EVS)Enhanced Vision System (EVS) –Visual-like operations in nearly all weather conditions –Improved safety - particularly in critical landing, takeoff and taxi –Improved night operations - runway incursions, terrain With EVS Without EVS

5. Revolutionize Aviation with Speed Today’s transportation system shortfalls drive a growing need for increased performance, reliability, convenience, flexibility, and efficiency. Increased point-to-point speed (supersonic capability) can help. Sonic Boom Minimization Reduced Airport Noise Reduced Engine Emissions Increased Efficiency –Aerodynamics –Propulsion –Materials / Structures Supersonic capability requires technology development. Quiet Supersonic Jet (QSJ)

6. QSJ Combines Speed with Flexibility to Yield Revolutionary Time Saving Airliners are typically limited to commercial airports and hubs. A small supersonic aircraft can operate from general aviation airports, commercial airports and hubs. Travel Time 6 Hrs 3.8 Hrs Non Stop Supersonic Flight Non Stop One Stop Transcontinental Time Savings QSJ Versus Commercial Air Travel

7. Environmentally Friendly Supersonic Flight -- A Revolutionary Step Demand is strong… Market Assessments FavorableDemand is strong… Market Assessments Favorable Sonic Boom Suppression -- “The” Key TechnologySonic Boom Suppression -- “The” Key Technology Focused R&D efforts supporting this and other business aviation initiatives are important to maintaining/strengthening world- wide competitive position.Focused R&D efforts supporting this and other business aviation initiatives are important to maintaining/strengthening world- wide competitive position. A successful QSJ provides a new level of value and leads the way toward a revolutionary, high-speed, transportation system.