The Ottawa International Airport Authority today released its audited year-end results for 2006.

Total passenger volumes of 3,807,756, set yet another record for the Ottawa International Airport. International traffic led the growth at 12%, followed by transborder at 2.3% and finally domestic at 1.0%, for a total year over year increase of 1.9%.

Financial results for the Airport Authority were equally positive with earnings before depreciation of $10.9 million compared to $9.0 million in 2005. Accounting depreciation of the terminal building, parking garage, and other facilities amounted to $14.2 million in 2006 as compared to $13.4 million in 2005. After depreciation, total expenses exceeded revenues by $3.3 million in 2006 as compared to $4.4 million in 2005.

“2006 was another great year for the Airport Authority both in terms of passenger growth and from a financial point of view” said Paul Benoit, Authority President and CEO. “Our positive financial results mean continued investment in the airport and by extension this community”.

Revenues

Total revenues increased by 5% to $75.8 million in 2006 as compared to $72.5 million in 2005. Aeronautical fees of $26.7 million in 2006 continued to be the largest source of revenue for the Authority, and represented growth of 6.8% over 2005. Airport improvement fees also grew from $24.5 million in 2005 to $24.9 million in 2006, commensurate with the growth in passenger volumes. Other sources of revenue included car parking, concessions and land and space rentals.

Expenses

Total expenses before depreciation increased from $63.5 million in 2005 to $64.9 million in 2006. The Government of Canada’s new rent policy had a positive impact on expenses with a 4% decrease in rent payable from $13.0 million in 2005 to $12.5 million in 2006. Further reductions will be phased in gradually over a transition period which extends to 2010.

Capital Expenditures

During 2006, the Authority made cash payments of $18.1 million for major capital expenditures related to planning, design, site preparation and construction of Phase II of the Airport Expansion Program. In addition, the Authority made cash payments of $4.1 million for sustaining capital expenditures.

OMCIAA operates Ottawa International Airport without government subsidies under a 60-year lease transfer agreement with Transport Canada. The OMCIAA’s mandate is to manage, operate and develop airport facilities and lands in support of the economic growth of the National Capital Region. Its state-of-the-art passenger terminal building opened for business on October 12, 2003, and is being expanded to accommodate growth in passenger volumes.

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