Bumpy landing for RIX

RIGA - Riga International Airport’s losses in 2010 reached 3 million lats (4.2 million euros), said the airport’s board chairman, Arnis Luhse, on March 3, reports Nozare.lv. According to Luhse, several important changes have taken place; in the first place, the airport’s income has dropped 3.5 million lats a year due to the arrival of a private ground handling operator.
Last year, income from non-aviation services in the airport’s total exceeded the proportion of aviation income. Renting out airport facilities brought in 557,240 lats this past January alone.

This past January, the airport’s income was 1.6 million lats - 3.5 percent more than in January 2010. Also, the number of flights and passenger turnover have also increased, from 297,829 passengers on 4,851 flights to 301,298 passengers on 5,217 flights.

At the same time, the airport’s profit in January increased sixfold, reaching 62,333 lats, said Luhse.
The airport’s costs, which stood at 1.7 million lats in January, are too high, and the airport will most probably have to cut back on labor spending. “Let us be frank, we have too many employees,” said Luhse.
The main problems that Luhse encountered when taking the job of the airport’s board chairman was the absence of a development plan, which will take at least a year to draw up, and the fact that the construction of a new passenger terminal has been delayed for four years. “Of course, you should also not forget the conflict with airBaltic, where we have the role of hostage,” added Luhse.

The airport’s current passenger terminal is close to capacity, and half-a-million passengers have to wait in line each year due to the inadequate planning of the airport. According to Luhse, if the new terminal project is approved, terminal expansion could start this year already, and the new terminal could open in 2012, increasing the airport’s capacity by 2.5 million passengers a year. Terminal expansion will cost around 17 million lats.

“At the new terminal, low-cost airline passengers must be separated from ‘normal’ airline passengers,” expressed Luhse.
It would also be nice if work on designs for the next terminal expansion stage could begin this year, with the goal to increase the airport’s annual capacity to 12 million passengers. Renovation of the airport’s runway is also important; it must be completed by 2013.

Riga Airport served 4.6 million passengers in 2010, or almost 600,000 passengers more than in 2009.