Fraport and airlines agree Frankfurt Airport increase of 12.5% airport charges over 2 years
Fraport AG and airline representatives agreed (01-Dec-2009) to a new schedule to increase airport charges by 12.5% at Frankfurt Airport over 2010 and 2011, following a hearing by the Hesse economics ministry. Increases will be as follows:
- +4% on 01-Jul-2010;
- +3% on 01-Oct-2010;
- +3% on 01-Apr-2011;
- +2.5% on 01-Oct-2011.
The new charges regulation will only become effective if the aviation partners reach consensus on the development of airport charges between 2012 and 2015, based on different traffic scenarios, by 19-Feb-2010. If no consensus is reached, the partners may cancel the agreement, resulting in a one-time rise in airport charges of 8.4%, effective 01-Apr-2010. Fraport now plans to immediately hold further talks with the airport's carriers. The airport owner is currently investing approximately EUR1 billion p/a in the modernisation and expansion of its airside facilities - including the Frankfurt Airport Expansion Program. [more]
Fraport: "In view of the enormous capital investments to be realised by Fraport in the coming years and the currently difficult economic situation faced particularly by the airlines, we have reached a result that provides the planning security we require...The increase in airport charges is an essential element for financing the immense capital expenditures for FRA's future viability and competitiveness. By staggering the increase well into 2010, we have also taken into account the currently difficult economic situation faced by the airlines - provided we can agree on the subsequent years and the phased increase becomes effective," Stefan Schulte, CEO. Source: Fraport AG, 01-Dec-2009.
Lufthansa responded to the announcement stating it would be better to raise the charges gradually, but that any increase is "painful, especially in times of crisis" (AFP, 01-Dec-2009).