OTTAWA INTERNATIONAL AIRPORT AUTHORITY REPORTS HEALTHY Q3 RESULTS

Release date: 
24 November 2005 :00am
November 24, 2005 (Ottawa) – The Ottawa International Airport Authority’s financial results for 2005 continue to outpace those of 2004.

For the first nine months of 2005, earnings before depreciation and amortization were $8.2 million as compared to $7.1 million for the same nine months of 2004. After depreciation and amortization, expenses exceeded revenues by $1.8 million, which is an improvement from $2.7 million over the first three quarters of 2004.

Passenger volumes continue to climb in all sectors. Year over year, the third quarter numbers were up by 5.4%, with the following breakdown by sector: domestic travel has increased by 3.4%; transborder by 13.6%; and international by 5.9%, for a year to date increase of 5.4%.

“Thanks to a sustained rally in the industry our passenger volumes continue to rise”, said Paul Benoit, Authority President and CEO. He continued, “barring any unexpected events, we are solidly on track to meet and exceed our financial objectives for 2005”.

Revenues
The Authority generated $54.6 million in total revenues in the first nine months of 2005 as compared to $51.6 million in the first nine months of 2004.

Airport improvement fees were higher for the period, coming in at $18.5 million compared to $17.5 million for the same period in 2004, as were parking revenues, which increased from $5.5 million in 2004 to $6.4 million to date in 2005.

Aeronautical revenues of $18.9 million, including terminal fees, loading bridge charges and landing fees charged to carriers were 2.4% higher than those of 2004.

Expenses
Total expenses before depreciation and amortization increased from $44.5 million for the first nine months of 2004 to $46.4 million in 2005. Ground rent payable to the Government of Canada increased by 11% to $9.7 million in the first three quarters of 2005.

Capital resources
In accordance with the Authority’s mandate, all earnings are retained and reinvested in airport operations and development, including investments in capital expenditures to meet ongoing operating requirements. During the first three quarters of 2005, the Authority made cash payments of $9.1 million for major capital expenditures including expansion of the Parkade, which is nearing completion, and preliminary work related to Phase II of the Airport Expansion Program.

OMCIAA operates the Ottawa International Airport without government subsidies under a 60-year lease transfer agreement with Transport Canada. The OMCIAA’s mandate is to manage, operate and develop airport facilities and lands in support of the economic growth of the National Capital Region. Its new state-of-the-art passenger terminal building opened for business on October 12, 2003.