DAA deal puts Shannon value at under €35m
Published 10/05/2013 | 05:00
SHANNON Airport is valued at €35m under the deal that frees the airport from the Dublin Airport Authority (DAA), according to documents seen by the Irish Independent.
The DAA will take on €14m of Shannon debt under the deal, according to the documents.
Shannon Airport has been separated from the DAA following a government decision made at the end of last year, but it will remain in state hands.
Particulars of the sale contract were filed with the Companies Office earlier this week. They show that the DAA transferred ownership and control of Shannon Airport to local management on December 31 last year.
The purchase price is listed as €35m but the deal was sealed by payment of a single €1 share to Public Expenditure and Reform Minister Brendan Howlin.
Shannon's terminal buildings are valued at €9.86m and land and airfields are worth €15m, the filing states.
The business has €6.9m in cash on deposit and elsewhere, and other property valued at €5.4m.
The new management team at Shannon have been tasked with ending a six-year slide in traffic numbers. In 2012, the decline actually accelerated, hitting 14pc. Some 1.4 million journeys were made through Shannon in 2012, versus 1.6 million a year earlier.
In contrast, the rest of the DAA saw an overall rise in activity – led by Dublin Airport where traffic was up 2pc in 2012.
Last year's trading at Shannon was hit by the fall off in US troop flights stopping in Ireland en route between the US and Iraq and Afghanistan.