“There are many more airports than airlines. The airport is likely to fetch less than £10m, http://www.heraldscotland.com/news/transport/warning-prestwick-will-find-it-difficult-to-expand.17023644
24 September 2012 (BBC)
Central Ayrshire Labour MP Brian Donohoe claimed upkeep at the airport had suffered following a decision by Infratil to put it on the market.
Infratil announced in March it would sell its 100% stake in Prestwick.
It said interested parties would decide on any investment that may be required.
Prestwick has seen passenger numbers plummet in the past few years, with freight figures also suffering.
Speaking to BBC Radio Scotland, Mr Donohoe said: “The fact is that they (Infratil) have taken it off its balance sheet as an operation and that doesn’t help the situation obviously as a result of the non-investment that goes with that.
“You don’t take an airport into ownership on a short-term basis – you take it on the basis of long term.”
‘Tough market’
Infratil Airports Europe chief executive Tom Wilson told The Herald newspaper: “The sales process is running slowly, which is symptomatic of the general state of the economy rather than any particular investment policy Infratil has.
“It’s a tough market to enter – since 2008, aviation has been at best static and in many places in decline.
“The reality is that when a business is for sale, the current shareholder is unlikely to spend any more than they need to.
“And it’s also the case that anyone interested in purchasing the airport will look at the size of the operation and decide on any investment that may be required.”
Mr Wilson said there were a number of parties who had expressed interest in buying the airport but would not name them or discuss any details of the negotiations.
He added: “I believe Ryanair, with its 27 routes here, is still very pleased with its performance at Prestwick but that is in the context of the market being very tough.”
http://www.bbc.co.uk/news/uk-scotland-scotland-business-19706079#
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Earlier:
May 17, 2012 Passenger numbers at Prestwick in 2011 half the level of 2007. There were 1.2 million passengers in 2011. This fall in passengers has greatly reduced the price of the airport, which Infratil is trying to sell. Financial figures put the value of Prestwick and Kent Manston airports at £33 million ($64.7 million), down from £44m a year ago. Prestwick and Manston contributed an after-tax loss of $37.4 million (£17.9 million) in the year. Both airports were put on the market in March after Infratil said they were not performing. A buyer has yet to be identified for Prestwick. One reason for the slump of passenger numbers to the lowest level in a decade is the decision by Ryanair to focus growth at Edinburgh airport. Aviation analysts have questioned whether Prestwick would be able to recover from the decline that began late in 2008. It has long been reliant almost entirely on services offered by Ryanair. Click here to view full story…
“There are many more airports than airlines. The airport is likely to fetch less than £10m, http://www.heraldscotland.com/news/transport/warning-prestwick-will-find-it-difficult-to-expand.17023644
March 9, 2012 Prestwick has relied heavily on Ryanair flights, which have been cut back sharply in the past two years, as the airline moved business to Edinburgh. New Zealand-based Infratil said the sales are the result of a decision to refocus where it plans to invest. It has also decided to sell Manston. Prestwick Chief Executive Iain Cochrane said “Prestwick is a great airport with a great team and a great future. I believe this is an excellent opportunity for us to attract new investment into the airport to provide the stimulus for future growth.” In reality Prestwick saw a drop of nearly 20% in passenger numbers in July 2011, compared with the same month last year. Passengers for all of 2011 were around 1,295,600, down -21.9% on 2010. This is down hugely from the 1,817,200 or so in 2009. Click here to view full story…