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Highlands and Islands Airport's Annual Report (3MB pdf - Scottish ...

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6<br />

CHAIRMAN’S STATEMENT<br />

Volcanic Ash at the start of our year <strong>and</strong> severe winter weather<br />

towards the end has had a considerable effect on our results.<br />

The former cost the company £600,000 in lost revenues <strong>and</strong><br />

the latter £1,900,000 in costs. The fact that we were able to<br />

complete the year with a loss worse than budget of a reduced<br />

sum of £1,521,000 speaks volumes for our staff in finding<br />

savings during a most difficult period.<br />

A year ago we faced a reduction<br />

in our revenue grant from the <strong>Scottish</strong><br />

Government of £1,100,000. We have<br />

made huge efforts to achieve these<br />

savings through reducing operating<br />

costs, insurance costs, fuel <strong>and</strong> power<br />

costs, <strong>and</strong> payroll costs but we have<br />

not compromised safety in any way.<br />

Security <strong>and</strong> safety remain a constant<br />

subject of Board meetings. Our in-house<br />

security company has continued to train<br />

staff to a high level of commitment<br />

coupled with a user-friendly approach.<br />

Our safety systems <strong>and</strong> reporting thereof<br />

have been improved. The whole question<br />

of security in the isl<strong>and</strong>s has been the<br />

subject of discussion in the light of the<br />

EC 300 regulation (which regulates<br />

Aviation Security in the European Union)<br />

<strong>and</strong> any possible relaxation of the<br />

st<strong>and</strong>ards. This is a difficult subject<br />

<strong>and</strong> we await comments from the<br />

Westminster Parliament.<br />

The appointment of Roxhill Developments<br />

to spearhead our activities in Inverness<br />

Airport Business Park will result in<br />

real progress around Dalcross. This<br />

investment, with our partners, Moray<br />

Estates, <strong>Highl<strong>and</strong>s</strong> <strong>and</strong> Isl<strong>and</strong>s Enterprise<br />

<strong>and</strong> Highl<strong>and</strong> Regional Council should<br />

now start to provide construction work,<br />

jobs <strong>and</strong> future business for the airport.<br />

In its continuing efforts to engage with<br />

the public the Board held open days<br />

in Kirkwall, Lerwick <strong>and</strong> Stornoway. The<br />

attendance was modest but welcome.<br />

The feedback we received most helpful.<br />

One suggestion has resulted in a change<br />

in our website on reporting arrivals <strong>and</strong><br />

departures. Car parking charges were<br />

high on the agenda in these locations!<br />

We have decided to delay any decision<br />

on these charges.<br />

There have been no major changes in our<br />

airports. But it is worth recording that the<br />

Macrihanish Airport Community Company<br />

has indicated an interest in acquiring<br />

Campbeltown Airport from the Ministry<br />

of Defence. We remain in contact with<br />

them about the future arrangements.<br />

Since the end of our financial year <strong>and</strong><br />

looking ahead we congratulate our<br />

Managing Director <strong>and</strong> flybe on reaching<br />

agreement to commence a service to<br />

Amsterdam from Inverness on a daily<br />

basis. This is hugely significant for the<br />

<strong>Highl<strong>and</strong>s</strong> <strong>and</strong> I urge the population in<br />

our area to make full use of this excellent<br />

connectivity. All our airlines contribute<br />

hugely to our success but mention must<br />

be made of Loganair who provide the<br />

back bone of our isl<strong>and</strong> services <strong>and</strong><br />

do so extremely well.<br />

Dr Mike Cantley <strong>and</strong> Andrew Castell have<br />

been re-appointed to the Board for a<br />

further term of three years. I thank them<br />

<strong>and</strong> the rest of the Board for their support<br />

during a difficult year. However special<br />

praise goes to all our staff for their staunch<br />

support during a trying year as mentioned<br />

in my first paragraph. They never fail to be<br />

cheerful <strong>and</strong> have always gone the extra<br />

mile for our customers <strong>and</strong> airlines.<br />

Grenville Johnston<br />

Chairman<br />

7

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