GOL: Increase in Supply Reduction for the Year Contributes to PRASK Growth of 24% in August, Year-Over-Year

GOL, the largest low-cost and low-fare airline in Latin America hereby announces its preliminary air traffic figures for August 2013.

PRASK, Yield and Fuel Prices
Net PRASK presented a 24% growth over August/12, even with a supply reduction of 7.6% in the domestic market in the period. The additional supply reduction announced at the end of June contributed to this expressive PRASK growth on an annual comparison. This is the 17th consecutive monthly PRASK increase, a result of the Company’s focus on maximizing the profitability of its supply.

Net yield in August posted a 33% increase year-over-year, registering between R$24.0 and R$24.5 cents. GOL maintained its strategy of always improving the attractiveness of its product for passengers who present a differentiated profile in terms of the consumption frequency and standard.
Fuel prices* moved up by 9% in the month when compared to August/12, driven by the continuous depreciation of the Real against the Dollar in the last months comprising the jet fuel price formation period, which carries a time lag. For the next months, the tendency is of further price hikes.

Domestic Market
In August, supply reduced by 7.6% the domestic market when compared to August/12. The decision of increasing the supply reduction in the domestic market from 7% to 9% on an annual comparison, announced in the end of June as a response to the new macroeconomic scenario, contributed to this decrease in August. The load factor in the domestic market reached 66.9%, a decrease of 4.8 percentage points over the same period in 2012. Again, it is possible to note that the Company presented a PRASK growth significantly above its supply reduction level, as demonstrated below.

International Market
In August, supply moved up by 22.4%, when compared to the same month in 2012, a reflection of the introduction of the flights to Santo Domingo, Miami and Orlando in the end of last year. Demand increased by 17.0% in the same period, mainly due to these new routes, while load factor decreased by 2.8 percentage points in the international market. The greater representativeness of our flights to Santo Domingo, where we provide around 85% of seats available for sale in our 737-800 NG aircraft creates pressure on our load factor indicator. As per ANAC’s methodology, the load factor is calculated considering the aircraft’s total capacity.