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ACI: AIRPORTS REJECT AIRLINES? DEMANDS FOR SUBSIDIES

ACI: AIRPORTS REJECT AIRLINESÆ DEMANDS FOR SUBSIDIES

   Senior executives of member airports of the Airports Council International strongly rejected the call by airlines for further airport subsidies.

   'The failures of some airlines sadly have brought down many others in the industry,' said Ghanem Al-Hajri, chairman and ACI at the organization's annual meeting in Tokyo Thursday. 'Airports are not the problem and should not be expected to also make financial basket cases of themselves.'

   Executives spoke in response to allegations about airport charges and 'inefficiencies' made this week by Giovanni Bisignani, director general of the International Air Transport Association.

   ACI countered that since most airports are owned and operated by governmental entities, that IATA's attack on airport charges is 'a tactic to campaign to obtain further government subsidies for failing airlines.'

   ACI pointed out that data published by ACI, IATA and the International Civil Aviation Organization show that airport charges range from 4 to 5 percent of airline operating costs. ACI claimed that higher percentages cited by IATA under the term 'user chargers' include fees for air traffic control services, which are totally separate from airports.

   Robert J. Aaronson, ACI director general, said, 'With airport charges being such a small percentage of airline costs the loss-making airlines are simply avoiding the unpleasant reality of addressing much larger cost and revenue problems under their direct control which largely are the product of failed business strategies and their own inefficiencies.'

Despite the allegations, Aaronson called for ACI and IATA to continue cooperating 'in order to meet the needs of travelers and shippers for a secure, safe and convenient air transport system.'