Investor Presentaiton

QANTAS DOMESTIC Return to stable domestic market Qantas Domestic expanding margin advantage in a stable market • Stable market conditions FY15 market capacity growth down¹ Demand and supply more balanced Improved passenger loads² Resources downturn mitigated by Qantas capacity response Expanding Margin Advantage: Unit Revenue and Unit Cost Profile QF RASK³ QF CASK4 VA CASK4 VA RASK³ Healthier demand from other sectors, East-West, East Coast, leisure FY12 FY13 FY14 1H15 FY15 est. 1. Based on ASKs. Source: BITRE, published schedules and company estimates. 2. Source BITRE. FY14 vs FY15 YTD (year to date). 3. Passenger revenue per ASK. Based on published company accounts and Qantas' estimates of the contribution of Velocity earnings at Virgin Australia. Dotted line indicates forecast. 4. Cost per ASK. Calculated as Underlying EBIT less passenger revenue per ASK. Based on published 68 company accounts and Qantas' estimates. Dotted line indicates forecast.

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