Annual General Meeting 2012 Fraport CEO Schulte: FRA's
New Runway Northwest Represents Important Milestone for
the Future of the Region
Dividend Proposed to Remain at €1.25 per Share
11.05.2012
18/2012
For Fraport AG's executive board chairman Dr. Stefan
Schulte, the year 2011 marks a decisive milestone in the
company's history. Speaking at Fraport AG's Annual
General Meeting (AGM) on Friday, May 11, 2012, in
Frankfurt,-Höchst, Schulte said: "With the opening of
Frankfurt Airport's Runway Northwest, we have laid the
foundation for the future development of our company -
while creating sustainable growth opportunities for the
city of Frankfurt and the entire state of Hesse. The new
runway finally provides us with the necessary capacity
gain to guarantee Hesse's and Germany's long-term
international connectivity."
Fraport's CEO could also present a positive operating
result for the year 2011: "With more than 56 million
passengers at Frankfurt Airport, we set a new record in
2011. This is an outstanding result, particularly in view
of the overall difficult economic environment and the
debt crisis in Europe," stressed Schulte. He also
highlighted two other successful operating results at
Franfkurt Airport (FRA): the excellent traffic
punctuality rates and higher passenger satisfaction,
which markedly improved thanks to Fraport' "Great to Have
You Here!" service initiative.
"From a financial point of view, Fraport also performed
well in business year 2011," said Schulte commenting on
the company's results. The Fraport Group's revenue rose
by eight percent to almost €2.4 billion, while EBITDA
(earnings before interest, tax, depreciation and
amortization) increased by about 13 percent to more than
€802 million. Adjusted for a base-year effect resulting
from the release of tax provisions, the underlying Group
result improved by about €60 million to €250.8 million.
Schulte stressed Fraport's four business segments all
played a role in the company's positive performance in
2011. As in previous years, Fraport's international
business in particular contributed to the overall
positive result: "Along with our Frankfurt Airport home
base, Fraport's majority-owned airports in Antalya
(Turkey), Lima (Peru), Varna and Burgas (Bulgaria)
represent a particularly successful part of our portfolio
of international airports - allowing us to participate in
attractive and growing markets," explained Schulte. Thus,
Fraport AG's executive and supervisory boards will
recommend to the shareholders a dividend of €1.25 per
share once again for fiscal year 2011.
Fraport's CEO also focused on the aircraft noise issue
and the ensuing protest action, pointing out that both
the positive and negative effects of Frankfurt Airport's
expansion were two sides of the same coin. On the one
hand, the construction of the new runway was in the
public interest and a key factor for the prosperity of
the Frankfurt/Rhine-Main region and the state of Hesse,
and for creating thousands of new jobs. On the other
hand, Schulte also confirmed his commitment to implement
further noise abatement measures as soon as possible: "As
a result of the airport's expansion, many residents are
now additionally and/or more affected by the impact of
air traffic - particularly those residents living in the
approach flight corridor of the new landing runway. For
many, this is a difficult situation and we take their
concerns very seriously. Thus, it is our duty to
implement as a matter of urgency all "active" and
"passive" noise abatement measures agreed upon in the new
'Alliance for Noise Protection 2012."
Equally clear, Schulte confirmed the need to ensure the
aviation industry's competitiveness in Germany and
Europe: "The aviation industry operates in an environment
of intensified global competition. Imposing ever-stricter
conditions and restrictions on airport companies,
regarding the management of airport buildings and
operational facilities, will impair the competitiveness
of our industry as a whole. Likewise, the introduction of
an air passenger tax by a single state, or the launch of
the emissions trading system (ETS) by the European Union
- if these policies are not sufficiently coordinated,
well in advance, within an international framework - will
have an equally negative effect on our industry's
competitiveness."
Schulte also expressed his incomprehension at the EU's
latest draft resolution for a new regulation concerning
slot allocation at European airports and the ground
handling market: "The resolution ignores the reality of
our industry and will lead to additional wage pressure as
well as inefficient utilization of key infrastructures
such as airports." Thus, Schulte called once again for
national and European policy makers to create a
legislative framework that supports the aviation
industry's global competitiveness: "As one of the top
industries in Germany and Europe, we connect the real
economy (production sector) with the world, thus securing
employment and creating new jobs. We want to maintain
this commitment in the future as well," said Schulte.
For the year 2012, Fraport's CEO expects passenger growth
at FRA not to exceed four percent, mainly due to the
constraints resulting from strikes and the sluggish
economy in many euro zone countries. Fraport's revenue is
expected to increase to more than €2.5 billion, while
EBITDA is forecast to grow by at least five percent. The
Group result is expected to remain at approximately the
same level as in 2011.
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