Tough times but airport keeps head above water

Hamilton International Airport does not need a further financial top-up from its shareholders for now.

After months of tough times, the airport finally had some good news to report to its largest shareholder.

At Hamilton City Council's finance and audit committee meeting yesterday, airport chairman Jerry Rickman and chief executive Chris Doak presented the company's financial position and future.

One of the key points was that no more capital was needed from the shareholding councils apart from the $12 million it asked for in March.

An interim report showed that the airport was keeping its head above water, recording a net surplus of $47,000 despite a drop in domestic passenger numbers.

However, the figures to March 31 had not taken into account Air New Zealand canning its international schedule in April.

The airport had since secured a new international service with budget carrier Pacific Blue, which starts its first flights in September.

"Yes, it's a relief, but we worked damn hard to get that," said Mr Rickman. "And now we have to make sure it works."

Mr Doak said of plans to extend the runway: "This is about having a future and it's not about building a runway today. We just have to preserve the option for the future or lose it."

Councillor Peter Bos signalled some concern about Air New Zealand returning to the international scene to push out any possible threat, such as Pacific Blue.

"Air New Zealand might be back on the doorstep again saying `we're ready to take these dudes on', or is that the game?"

Mr Doak said there was nothing to stop the national airline returning international flights in and out of Hamilton.

"The Commerce Commission says Air New Zealand are free to come back in if they want. From the airport's point of view, our position is neutral."

The $12 million capital call-up is to be paid by next month.