BAA losses rise on Gatwick sale

BAA slipped even further into the red in the first nine months of this year thanks to falling passenger numbers and the forced sale of Gatwick.



The Ferrovial-owned airport operator posted pre-tax losses of £785m over the first three quarters, even worse than last year’s £520m losses. The group blamed a £261m exceptional charge on its pension scheme deficit, a £225m gap between Gatwick’s £1.5bn sale price and its valuation on BAA’s books, and a further £136m loss on financial instruments.

Colin Matthews, the chief executive described the technical losses as a “distraction” yesterday. “The accounting losses we are reporting today reflect non-cash exceptional charges and do not reflect the strong underlying performance of the business,” he said.

Passenger numbers fell by 5.5 per cent to 91 million at BAA’s seven UK airports in the first nine months of this year, but the rate of decline is slowing from the massive 10 per cent drop in the first quarter. Heathrow is the best performer. Passenger traffic fell by just 2.3 per cent to 50 million over the whole period, and rose by 0.3 per cent in the third quarter.

BAA was forced to sell Gatwick by Competition Commission rule, and also has to find a buyer for Stansted and either Edinburgh or Glasgow airports.

PROMOTED VIDEO
Have you tried new the Independent Digital Edition apps?
Travel
ebookHow to enjoy the perfect short break in 20 great cities
Independent Travel Videos
Independent Travel Videos
Simon Calder in Amsterdam
Independent Travel Videos
Simon Calder in Giverny
Independent Travel Videos
Simon Calder in St John's
Independent Travel Videos
Latest stories from i100
Have you tried new the Independent Digital Edition apps?
Independent Dating
and  

By clicking 'Search' you
are agreeing to our
Terms of Use.

ES Rentals

    iJobs Job Widget
    iJobs Travel

    Old Royal Naval College: ORNC Visitor Experience Volunteer

    Unpaid voluntary work: Old Royal Naval College: Join our team of friendly volu...

    Recruitment Genius: Customer Service / Sales Assistant

    £8 per hour: Recruitment Genius: This airport parking organisation are looking...

    Recruitment Genius: PCV Bus Drivers

    £8 per hour: Recruitment Genius: Do you enjoy bus driving and are looking for ...

    Ashdown Group: IT Support Technician - York

    £18000 - £20000 per annum + Benefits: Ashdown Group: IT Support Technician - Y...

    Day In a Page

    Syria crisis: Celebrities call on David Cameron to take more refugees as one young mother tells of torture by Assad regime

    Celebrities call on David Cameron to take more Syrian refugees

    One young mother tells of torture by Assad regime
    The enemy within: People who hear voices in their heads are being encouraged to talk back – with promising results

    The enemy within

    People who hear voices in their heads are being encouraged to talk back
    'In Auschwitz you got used to anything'

    'In Auschwitz you got used to anything'

    Survivors of the Nazi concentration camp remember its horror, 70 years on
    Autumn/winter menswear 2015: The uniforms that make up modern life come to the fore

    Autumn/winter menswear 2015

    The uniforms that make up modern life come to the fore
    'I'm gay, and plan to fight military homophobia'

    'I'm gay, and plan to fight military homophobia'

    Army general planning to come out
    Iraq invasion 2003: The bloody warnings six wise men gave to Tony Blair as he prepared to launch poorly planned campaign

    What the six wise men told Tony Blair

    Months before the invasion of Iraq in 2003, experts sought to warn the PM about his plans. Here, four of them recall that day
    25 years of The Independent on Sunday: The stories, the writers and the changes over the last quarter of a century

    25 years of The Independent on Sunday

    The stories, the writers and the changes over the last quarter of a century
    Homeless Veterans appeal: 'Really caring is a dangerous emotion in this kind of work'

    Homeless Veterans appeal

    As head of The Soldiers' Charity, Martin Rutledge has to temper compassion with realism. He tells Chris Green how his Army career prepared him
    Wu-Tang Clan and The Sexual Objects offer fans a chance to own the only copies of their latest albums

    Smash hit go under the hammer

    It's nice to pick up a new record once in a while, but the purchasers of two latest releases can go a step further - by buying the only copy
    Geeks who rocked the world: Documentary looks back at origins of the computer-games industry

    The geeks who rocked the world

    A new documentary looks back at origins of the computer-games industry
    Belle & Sebastian interview: Stuart Murdoch reveals how the band is taking a new direction

    Belle & Sebastian is taking a new direction

    Twenty years ago, Belle & Sebastian was a fey indie band from Glasgow. It still is – except today, as prime mover Stuart Murdoch admits, it has a global cult following, from Hollywood to South Korea
    America: Land of the free, home of the political dynasty

    America: Land of the free, home of the political dynasty

    These days in the US things are pretty much stuck where they are, both in politics and society at large, says Rupert Cornwell
    A graphic history of US civil rights – in comic book form

    A graphic history of US civil rights – in comic book form

    A veteran of the Fifties campaigns is inspiring a new generation of activists
    Winston Churchill: the enigma of a British hero

    Winston Churchill: the enigma of a British hero

    A C Benson called him 'a horrid little fellow', George Orwell would have shot him, but what a giant he seems now, says DJ Taylor
    Growing mussels: Precious freshwater shellfish are thriving in a unique green project

    Growing mussels

    Precious freshwater shellfish are thriving in a unique green project