Fraport’s executive board chairman Dr. Wilhelm Bender reported on “the very successful 2007 financial year” at the company’s Annual General Meeting (AGM) in Frankfurt. “Despite considerable capacity constraints at Frankfurt Airport, we were able to achieve noticeable growth in passenger and airfreight figures,” said Bender. “Moreover, 2007 was particularly successful because of the quantum leap taken toward Frankfurt Airport’s expansion, when the Hesse government’s zoning approval was issued last December.”  

With €2.329 billion, Fraport AG’s revenues exceeded the previous year’s level by 8.6 percent.   Rising 0.4 percent to €580.5 million, operating results (EBITDA or earnings before interest, taxes, depreciation and amortization) also achieved a new record level, despite positive one-off special effects in the previous year.  One-off effects in 2006 were also the reason why Group profits of €213.7 million in 2007 fell slightly short of the previous year’s record level. 

The executive and supervisory boards are recommending that shareholders again receive a dividend of €1.15 per share for fiscal year 2007 – despite the special effects in the previous year. “This demonstrates continuity on a high level,” stated Fraport’s executive board chairman.

Bender explained that the company plans to invest approximately €4 billion for expanding Frankfurt Airport’s (FRA) capacity – for the new runway and associated infrastructure as well as for constructing the planned Terminal 3 once the new runway is inaugurated. A further €3 billion will be spent on modernizing and optimizing existing airport facilities. “This total investment of about €7 billion – which, over the next seven years, is intended to maintain FRA’s future competitiveness – will be a considerable strain on us”, Bender emphasized.  However, the total budget is  financially feasible and imperative, if Frankfurt does not want to drop out of the “champions league of globally linked air transportation hubs.” 

The Airport Expansion Program will serve as a “giant privately-financed investment program” for the economies of the Frankfurt/Rhine-Main region, the state of Hesse, and the entire country. FRA’s  new runway is expected to go into operation by the Winter Timetable 2011. “This schedule is ambitious but realistic.”   

Bender further explained that the approved expansion program is also a necessary prerequisite for realizing the Frankfurt Airport City concept.  In terms of “intermodality”, Frankfurt Airport offers comprehensive connections to the international air transportation system and excellent links to rail and road networks:  “Global traffic streams are closely integrated at FRA to European and domestic transportation networks.”  Because land around the airport is scarce, Fraport is  developing with private and public partners “some of the most exciting real estate in the Rhine-Main region”.

The company’s external business also continues to develop successfully, Bender indicated. “We are constantly on the lookout for attractive opportunities where we can market and apply our airport management expertise  worldwide,” he said.  “We are maintaining good contacts, particularly in the booming markets of India and China.”  In the Far East, Viet Nam also offers exceptional potential.  “We are now  investigating possibilities for participating in the rapid development of this Asian country.”

“Fraport is again presenting itself today in excellent financial and strategic condition for the future,”  concluded Bender. “We are continuing to work hard to realize our plans and are concentrating already on quickly starting construction of the new runway, once the pending court decision is issued.”