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.
The Independent travel offers: Discover a world of inspiring destinations
Liam Neeson's Downton dreams
Thriller is set in the secret world of British espionage
Bomber jacket worn by Mary Berry sells out within an hour
- 2 Scottish independence: What you shouldn't tweet about if you want to avoid jail today
- 3 Scottish independence: Five reasons Salmond is secretly hoping for a 'No' vote
- 4 Isis plan to 'behead random member of the public' in Sydney thwarted by Australian police
- 5 Archbishop of Canterbury admits doubts about existence of God
Daniele Watts: Django Unchained actress detained by Los Angeles police after being mistaken for a prostitute
Scottish independence referendum: A nation divided against itself
Scottish independence: David Cameron is becoming the 'George Bush of Britain'
Russia freezes Ukraine into submission: Kiev admits country doesn't have enough fuel for winter
Scottish independence: The Queen breaks silence on referendum debate – as think tank warns of £14bn black hole if Scotland votes Yes
Portuguese academic says British are 'filthy, violent and drunk'
£18000 Per Annum: Clearwater People Solutions Ltd: ***EXCELLENT OPPORTUNITY FO...
Basic of £18,000 + commission, realistic OTE of £30-£50k : Ocean Holidays: Le...
£20 - 26k + Benefits: Guru Careers: A Marketing Executive / Member Services Ex...
£15,000 - £25,000: Recruitment Genius: A fantastic opportunity has arisen for ...