Saturday 20 January 2018

AWAS directors paid €9m as it records loss

AWAS Aviation Capital recorded a post-tax loss of €95m
AWAS Aviation Capital recorded a post-tax loss of €95m

Gordon Deegan

Thirteen directors at Dublin-based aircraft leasing firm AWAS Aviation Capital last year shared a pay pot of $10.7m (€9.09m).

New accounts show that the company last year plunged into the red to record post-tax losses of $112m (€95.2m) compared to a post-tax profit of $4.3m in 2015.

The main factor behind the loss was the company's asset impairment costs increasing almost eightfold to $177m.

The company also recorded the loss after revenues decreased by 21pc from €1.2bn to €946m.

AWAS last paid $502m in dividends.

The pay of $10.7m to directors is down sharply on the $27.34m which was paid out in 2015.

The $10.7m last year is made up of $7.42m in other emoluments; $2.6m in share-based payments; $169,000 in fees and $509,000 for 'loss of office'.

Six directors at the company resigned from the board last year.

Earlier this year, Dubai Aerospace purchased AWAS Aviation Capital from shareholders Terra Firma Capital and Canada's state pension reserve, creating a $14bn business.

The directors' report states that in 2016, the company completed 52 new leasing transactions with 33 customers.

The directors state that the group closed $1.33bn worth of financing for aircraft during the year.

The loss last year takes account of the asset impairment of $177m and combined non-cash depreciation and amortisation costs of $362m.

The company recorded an operating profit of $294.9m but net finance expenses of $417m resulted in the pre-tax loss of $121.5m.

The company's shareholder funds totalled $1.89bn. The company's cash during the year reduced from $464m to $189m.

Numbers employed decreased from 120 to 103.

Staff costs declined from $66m to $48m.

Irish Independent

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