Finavia Group reports 2009 financial highlights

Finavia Group's operating result for 2009 was EUR 25.4 million (35.4). Turnover dropped by 4.5 per cent and was EUR 321.0 million (336.1). The Group's expenses decreased slightly and stood at EUR 242.4 million (243.1). The overall result was a loss of EUR 249.6 million (+35.4) and this figure includes expenses totalling EUR 275 million relating to the incorporation.

The non-recurring write-down of EUR 230 million relating to the incorporation is allocated against the airports' fixed assets. The write-down will assist the implementation of the network principle, which covers the entire country and is based on equal pricing. The depreciation of the network's least profitable airports will decrease and a return on capital requirement will not be placed on them. The write-down carried out and a provision of EUR 45 million for the ring rail line project will decrease Finavia's equity ratio to around the 50% level, which is the same level as the company's European competitors.

Investment expenditure stood at EUR 78.4 million (112.7). Between 2003 and 2009, Finavia made major investments in airport expansion and projects relating to the Via Helsinki strategy. These investments have allowed Finavia to diversify its service level. These investments include the third runway, the new multi-storey car park and the long-haul terminal at Helsinki Airport. The expansion programme will be completed this year, during which the investment ratio will also materially decrease.

The year 2009 was Finavia's last year of operation as a state-owned enterprise. From the beginning of 2010, operations have continued under a company called Finavia Oyj, which is wholly owned by the state.

"Incorporation was a natural step in Finavia's development. The balance sheet, measured in accordance with the expected yield in the sector, will improve Finavia's pricing position in international competition. Finavia will face a number of challenges in 2010. According to our forecast, the number of passengers in domestic traffic will decrease. However, the number of passengers in international traffic is expected to slightly rise at the end of the year. The trend in passenger numbers is largely dependent on the development in the entire global economy and especially the general economic situation in Finland," says Finavia's President and CEO Samuli Haapasalo.

Attachment

* result before the write-down and extraordinary items relating to incorporation, which total EUR 275 million.