It provides an insight (from 2016) about UAV / UAS technologies for Transportation, the challenges and also possibles solution or mitigations facing the regulation within the EU. It also review a Business Case for transportation in city using UAV for less than 25Kg drones.

1. Local and Regional B2B UAC
Services
Unmanned Air Cargo Conference
26 May 2016
become a world leader of Robotic Aerial Technologies to
support sustainable society development

2. Disclaimer
To the best of our knowledge all Information provided in this document is true at the time of publication.
Nevertheless any judgement based on Neva Aerospace information must be at your own risk and must
be backed up by your own due diligence. The technologies of Neva Aerospace are highly innovative
and new risks and/or new opportunities may be discovered in due course; these may well change the
business plan proposed to you in this document. Neva Aerospace shall not be held liable under any
circumstance for the non-realisation of any specific expectations of your organisation’s investment.
Copyright:
Information and images belongs to Neva Aerospace Ltd and cannot be reproduced without prior
written approval, otherwise when third party images are used, the images belongs to their respective
owner(s). Contact : public.relations@neva-aero.com
This presentation is authorised for distribution to delegates of the Unmanned Cargo Aircraft Conference
and the PUCA Members – 2016.
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Neva Aerospace – 2016 – UCA Conference

3. I - The Company
II - Neva Technologies
III - UAC for Regional & Local Transportation
IV - The Economics
V - RPAS, Logistic Business & UAC
VI - Summary
VII - Q&A
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Neva Aerospace – 2016 – UCA Conference

4. I – The Company
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Neva Aerospace – 2016 – UCA Conference

5. Neva Aerospace is a consortium company that is developing advanced electric
drones and flying robots (Unmanned Air Vehicles / UAVs), flying vehicles (Air Utility
Vehicles / AUVs) and associated technologies.
Our aim is to become a world leader of Robotic Aerial Technologies to support
sustainable society development.
Currently Available Technology :
• Neva Drones (UAVs)
• Neva Flying Robots (FlyBots)
Portfolio Technologies:
• Flying Vehicles (AUVs)
• Manned Air Vehicles (MAVs)
• Specialised Electric Ducted Fan technologies :
VTOL Turbines
High-reactivity EDF
Company Activity
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Neva Aerospace – 2016 – UCA Conference

6. Consortium Members:
as of Jan. 2016
Neva benefits from Consortium Members’s Expertise, Experience, Facilities and Resources
to achieve the common target : « The whole is greater than the sum of its parts”!
• Currently 5 Consortium Members totalling 100 people with Facilities:
Workshops & Offices:
• Assembly and flight testing are done by the Lithuanian Space & Science Institute (SSTI)
• Worldwide Telecom network coverage for drone control:
– Mobile European cover for 3G/4G
– Worldwide SATCOM coverage from ArcuNovus (SatGate Vilnius)

7. II - NEVA Technologies
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Neva Aerospace – 2016 – UCA Conference

8. Distributed Propulsion
a Game Changer
8
PLAY VIDEOS
Payload : 25% to 50% of total drone Weight
Based on 3 Dimensional Distributed Propulsion invented by Prof Brotherton-Ratcliffe – 10 years ago for Small airplanes.
Technology Key diferentiators :
1 – Using electric Turbine : Safe
2 - Using 3D Arrays of e-turbines : High-stability
3 – Scalability : Heavy Weight from 20kg to 2 Tonnes
Neva Aerospace – 2016 – UCA Conference

9. Critical Components Developed :
ATHENA Turbine 8in. VTOL CERES Turbine 18in. VTOL
CERES Modules
EOLE Module
(based on multiple Turbines) IRIS TELECOM Controller
Multi-Channel, Multi-
granularity Transmission
2G/3G/4G/WIFI/SATCOM
BACUS – Ultra-Light
Charger & Monitoring
System
MICRON CONTROLLER
Compact Flight Controller for
multi-engine (up to 128)
allowing for precision VTOL,
Linear Flight, general aviation
and remote operation.
Neva Aerospace – 2016 – UCA Conference

10. 10
2 Years Road To Certification
3 Main Product Lines Tracks
MICRON CONTROLLER
for precision VTOL, Linear
Flight, general aviation
and remote operation.
ROTORCRAFT Product line TRACK
WINGCRAFT Product Line TRACK
4 Patents
Alpha Demonstrator – 42
Kg, 17 Turbines
Eole-A Module
(commercial)
4 VTOL Athena Turbines
Vlinder
40 Turbines
(Commercial)
(Athena & Ceres)
Teayget
xxx Turbines
(Commercial)
(Athena & Ceres)
Athena 7in. Turbine
From 1kgf to 5Kgf
Ceres 17in. Turbine
From 5kgf to 20Kgf
Apollo 34in Turbine
From 30kgf to 90Kgf
Q1-2016 Q1-2018
Market
Verticals
2013
And earlier
Electric Ducted Fan Track (e-TURBINES/ e-Turbo Fans) Product Line TRACK
Micron-FR-01
18Kg – 8 turbines – VTOL
Transition Test
Micron-B
50Kg – 8 turbines – VTOL
Commercial
All information on this slide are ‘expected future results and are subject to change with prior notice
MAIA
500Kg – 50 turbines –
VTOL Commercial

11. 11CONFIDENTIAL INFORMATION – DO NOT FORWARD. NDA
APPLIES
NEVA Global Drones Information and Management
Infrastructure System (GDIMIS)
Providing more Safety, more control and alternate
to CPDLC for UAV/UAS
Neva GDIMIS PLATFORM
Microsoft Azure
Cloud Solution
Major SAP Native Components for Real Time Processing
• SAP HANA real time Big Data Management
• SAP Business Objects Business Intelligence (BI) platform
High Priority Data
Pilot Remote-Office (PiRO)
• Real Time position Control &
Flight Plan situation
• Emergency control Situation
• Support & Advise for
Maintenance
Medium Priority Data
Payload Data Management (PaDaM)
• Real Time Emergency Information from
Payload
• Payload Operators control systems
• Medium critical Payload Data
Low Priority Data
Non-Critical Data Management (NoCriDam)
• Full Mission data analysis for maintenance
• Full payload data for clients (sensors, HD camera,
etc..)
• Partial transmission during mission
• Request of specific data in case of emergency
request
• Big Data Post processing (MRO, CMMS, ERP, etc..
Pilot Local
Control (RLOS)
• Real Time RC Pilot
• Radio / Visual Line
of Sight Piloting
• Testing, landing &
take-off
Global Pilot
data center
Traffic control
(National)
Payload Client
DataCenter
SAP ERP & EAM
At Clients
Third Party Post-
processing Data
Analysis
Neva-GDIMIS Platform allows access to third parties to program their own modules
Flight
Controller
Payload
Controller
TELECOM
Module
1 000’s DRONES
Legacy 2.4GHz
rc transmission
BRLOS
Multi-channel type
transmission
SATCOM
2G/3G/WIFI
Global
Fly&Control
Neva Aerospace – 2016 – UCA Conference

12. III – UAC for Regional &
Local Transportation
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Neva Aerospace – 2016 – UCA Conference

13. Why UAC for Local Transportation ?
The Addressable Markets
Lightweight quad-
copters and Parrot-
drones for leisure
and non-critical
surveillance
No Heavy Payload
High Sensitivity to
Weather
Toys & Flying Sensors
50gr to 25kg (50 lb)
Lightweight drones:
• Toys & Flying sensors
• Mostly electrical
• Mostly VTOL only
• Slow
• Limited by weather conditions
Predator, Neuron
and other military
drones based on
standard aviation
No Civilian Use
Not VTOL
High Maintenance Cost
Army & Defence
500kg to 25T
Heavy Military Drones:
• Heavy
• Fuel based
• No VTOL
• Long Range
• Fast
B2B Heavy Industrial :
• 5kg to 2 000kg payload
• Electrical & Hybrid
• Medium range
• Engine failure resilient
• Fast & VTOL
13
Trucks’ Market $428b p.a.
Renewal & New :
$428b a year with more
than 3.7m Trucks sold in
2024 .
(source IBISWorld Research and Deloitte Truck Report 2014)
B2C & small UAV Market Size :
less than a $1.6b a year
Overcrowded market already
(+500 players).
Defence Market Size : few $xxb
surveillance & war machines.
Mostly robotic airplanes
(+50 players)
UAC – Logistics – Regional Transportation
According to Centre for Economics & Business
Research (London):
Traffic Jams did cost the industry more than $124b
in 2014 for USA and will cost US & EU more than
$294b from 2030

14. Regional & Local UAC
The most likely Scenario is B2B
From / To:
• Warehouses
• Logistic Centres
• Factories
• Airfields
• Airports
These sites are :
• Regulated to allow only professionals or trained personnel
• Restricted area from the general public
• Have specific EHS regulations and insurances
• Required professionals on site to be trained with personal
protective equipment (PPE)
• Civil & Industrial Risks for assets & people Insured
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Neva Aerospace – 2016 – UCA Conference

15. Regulatory EU Context
Weight & Air Worthiness Certificates
• Unmanned Aircraft Systems (UAS) and Remotely Piloted Aircraft Systems (RPAS)
• Regulation (EC) No 216/2008 mandates the Agency to regulate Unmanned Aircraft Systems (UAS) and in
particular Remotely Piloted Aircraft Systems (RPAS), when used for civil applications and with an
operating mass of 150 Kg or more.
• Experimental or amateur build RPAS, military and non-military governmental RPAS flights, civil RPAS below
150 Kg as well as model aircraft are regulated by individual Member States of the European Union. Toys,
even if capable of flying but not equipped with internal combustion engine, are subject to Directive
2009/48/EC.
and
• Agency is member of the Joint Authorities for Rulemaking on Unmanned Systems (JARUS) which is currently
developing recommended requirements for:
– Licensing of remote pilots;
– RPAS operations in Visual Line-of-Sight (VLOS) and beyond (BVLOS);
– Civil RPAS operators and Approved Training Organisations for remote pilots (JARUS-ORG);
– Certification specifications for light unmanned rotorcraft (CS-LURS) and aeroplanes (CS-LURS) below 600 Kg;
– Performance requirements for 'detect and avoid' to maintain the risk of mid-aid collision below a tolerable level of
safety (TLS) and taking into account all actors in the total aviation system;
– Performance requirements for command and control data link, whether in direct radio line-of-sight (RLOS) or beyond
(BRLOS) and in the latter case supported by a Communication Service Provider (COM SP);
– Safety objectives for airworthiness of RPAS ('1309') to minimize the risk of injuries to people on the ground; and
– Processes for airworthiness.
Source: https://www.easa.europa.eu/unmanned-aircraft-systems-uas-and-remotely-piloted-aircraft-systems-rpas
And http://jarus-rpas.org/content/jar-doc-04
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16. 16
LOCAL UAV/ARP/UAC Airspace Context
Flights below 10,000 feet MSL
Sources: Wikimedia , Foolfyer.com and various

17. Neva Aerospace – 2016 – UCA Conference
IV – The Economics
17

18. Unmanned Air Cargo Business
Local & Regional UAC – LT650Kg
18
1 3 5 7 10 20 50
802 €
540 €
439 €
396 €
363 €
326 €
303 €
0
100
200
300
400
500
600
700
800
900
1 2 3 4 5 6 7
Cost of Delivery vs Quantity of Drones in Fleet
with a Team of 3 Pilots(*) (Package Delivery Cost)
Drones in Fleet Costs per Deliveries
Assumptions:
• 50Km travel
• Inbound Full & Return Empty
• Delivery of 25KG to 50KG packages
• Cost of a drone: 600K€
• Cost of Hourly Pilot: 60€/hr
Results
• From €4/Km to €2.8/km
• €0.27 Kg.Km (€270 TKm)
(@3pilots.20Drones)
From 2 to 4 times higher than Trucks(**)
but Trucks hidden cost not accounted
for: Traffic Jam, Idle Time, Waiting time,
rest time, Accident rate, Driver’s default,
etc..
Key Points for UAC:
• No Traffic Jam
• 24/7 Operations
• Hybrid / Fully Electrical
• Aircraft Accident low
• RPAS Team of Pilots (24/7)
• Fleet of Drones
Neva Aerospace – 2016 – UCA Conference
Neva-UAC-Scenario-Economics-Methodology-V0.3
(*) first point calculated with 1 drone & 2 pilots
(**)“Average cost for trucks obtained from the model is $0.64/km. That is very close to the average cost from the survey of $0.69/km.
Average cost per truckload is about $250 per truckload in the survey and $232 from the model. Marginal cost per truckload is $6.51 and
marginal cost per kilometer is $0.65” from Operating Costs for Trucks David Levinson*, Michael Corbett, Maryam Hashami

19. The Economics
19
15%
3%
51%
7%
3%
21%
Drone Operation Main Costs
CAPEX cost (for one day) (Euro)*
Opex cost MRO (by flying time use) (euro)
Pilot Costs (+100% of Prep Time for regulatory) (euro)
Software (1 full day of use) (euro)
Insurance (one full day) (euro)
Fuel/Battery switch (euro)
2 Pilots & 1 Drone
34%
7%
9%1%1%
48%
Drone Operation Main Costs
CAPEX cost (for one day) (Euro)* (Total Fleet)
Opex cost MRO (by flying time use) (euro) (Total Fleet)
Pilot Costs (+100% of Prep Time for regulatory) (euro)
Software (1 full day of use) (euro)
Insurance (one full day) (euro)
Fuel/Battery switch (euro)
3 Pilots & 20 Drones
Not surprisingly, UAC Business model for Delivery is directly
impacted by human control & management
Neva Aerospace – 2016 – UCA Conference

20. Neva Aerospace – 2016 – UCA Conference
V –RPAS, Logistic Business & UAC
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21. Changes in the
Businesses
• We are at the very beginning of a new era:
– Logistic companies will be able to have 24/7
operations with fleets of drones running at all times
– Air Traffic Control will have to deal with an increase of
RPAS traffic, certification and interactions with IFR &
VFR Traffic.
– Pilots syndicates will have to come up with guidelines
– Air Safety Agencies will need to work out new
procedures for civilian UAC RPAS emergency
procedures.
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22. UAC Business Model
Team of Pilots
with a Fleet of Drones
• The business model implies a Team of Pilots with
a Fleet of Drones. This in turn implies:
– New ways of handling relation with Air Traffic Control
– New ways for the pilots to work together (RPAS
Centers and Emergency procedures & Training)
– New systems for data management (IS near Real Time
platform with Multi-channel connection: SatCom,
Radio, 3G/4G, ….) for Pilot Centers and link to ATC
– Link(s) to Datalink (CPDLC)…
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23. Regulator’s Approval
• The business model implies approval from the
regulator & Reviews:
– RPAS IFR Instruments within UAV
– VTOL airworthiness certification : light airplanes and/or
helicopters or both ?
– IFR Approval on BRLOS for UAV of 150Kg and more
– Systems redundancies ( how many ?)
– All-Time communication for emergency purpose (SATCOM)
(bandwidth ?)
– Communication System issue: Link(s) to Datalink
(CPDLC)…(Pilots-To-Air-Control)
– Transponder – ADS B (?)
– Going IFR through unregulated airspace : segregated
corridors, adapting VFR procedures ? 23

24. Neva Aerospace – 2016 – UCA Conference
VI – Summary
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25. Summary
• The beginning of a new era: Unmanned Air Cargo
– Logistic companies will be able to have 24/7
operations with teams of pilots based
– Air Traffic Control will have to set specific rules and
routes (?) for UAC traffic and certification of UAC
vehicles, as well Rules for UAC on IFR & VFR Airspace
transit will be needed
– Pilots will have to work in teams managing fleet of
heavy drones (from 10 to 20 at any time)
– Pilot team work procedure and civilian UAC emergency
procedures will have to be devised. 25
Neva Aerospace – 2016 – UCA Conference

26. Neva Aerospace – 2016 – UCA Conference
VII –Q&A
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27. Contacts
Contact :
Corporate.Development@Neva-Aero.com
Neva Aerospace Ltd.
Sussex Innovation Centre
Science Park Square
Falmer
Brighton
BN1 9SB
U.K.
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