Downturn eats into Irish Aviation Authority profits

The Irish Aviation Authority (IAA) has reported a drop in profits from €5.7 million in 2001 to €4

The Irish Aviation Authority (IAA) has reported a drop in profits from €5.7 million in 2001 to €4.8 million in 2002, according to figures released in its annual report this morning.

The reduction in profit, the report says, reflects a wider downturn in the aviation industry and increased financing costs for the IAA's capital building programme.

That programme includes a €108 million new Air Traffic Control and Training Centre at Ballycasey, Shannon, Co Clare and an upgraded Air Traffic Management system for its Air Traffic Control Centres at Shannon, Dublin and Cork.

However, turnover increased by 9.9 per cent to €95.8 million, up from €87.1 million in 2001 and the IAA.

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The Chairman of the IAA, Mr Donal Geaney, said the results were satisfactory in the current economic climate reflected an overall decline in international traffic levels during 2002.

"IAA's performance was satisfactory bearing in mind the economic conditions encountered," he said.

"International traffic levels declined during 2002 and this was reflected in each of the IAA's main areas of operation:

  • En-route traffic fell 3 per cent to 248,000 movements
  • Terminal traffic fell 7.3 per cent to 263,000 movements
  • Shanwick airspace communications traffic fell by 3.5 per cent to 319,000 contacts".

IAA Chief Executive, Mr Eamonn Brennan added that the €108 million investment in the new national Air Traffic Management system would help the Authority tosignificantly increase future productivity.

The new system, in particular, he said, would position the IAA to handle traffic increases which are likely to arise in the future.

The Irish Aviation Authority (IAA), which regulates safety standards for Irish civil aviation and provides air navigation services in Irish airspace, today published its Annual Report and Accounts for the year 2002.