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2016 Annual Report

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2016 Annual Report TABLE OF CONTENTS 1. Chair’s Message 2. President & CEO’s Message 3. Operations 4. Marketing and Business Development Review 5. Board Committees 6. Strategic Initiatives GREATER MONCTON AÉROPORT INTERNATIONAL 7. Financial Review ROMÉO LEBLANC ROMÉO-LEBLANC INTERNATIONAL AIRPORT DU GRAND MONCTON 8. 2016 Audited Financial Statements Dear Greater Moncton Community Stakeholders I am very proud of the many accomplishments this year by our Greater Moncton International Airport Authority (GMIAA) Board and management teams. A successful year Right Honourable Roméo LeBlanc amount totalled $441,744 in was called many things: father, 2016 and will continue to grow Passenger growth was up for the husband, teacher, journalist, as we ourselves grow. Rent was year while cargo revenue and Member of Parliament, Minister of responsible for a significant volumes remained steady when Fisheries, Senator, and Governor decline in our operating profit compared to 2015. We continue General. for the year. Fortunately, through to be the busiest airport in New the prudent financial planning Brunswick with flights daily to In all of these roles, he was of the management team, the Toronto, Ottawa, Halifax and always committed to – and Board, and Vantage Airport Group, Montreal, as well as many sun considerate of – those around we were able to absorb this new destinations in the cooler months. him. He was instrumental in expense. This is very important building relationships between given the competitive nature of Airport renamed francophones and anglophones as our business environment – some well as the Aboriginal peoples of would say the most competitive in One of the most significant events Canada. He was a strong promoter North America. this year was the renaming of of our region and its people. He Christopher our airport. In 2016, we became never forgot his roots right here in Privatization Bacich the Greater Moncton Roméo New Brunswick. LeBlanc International Airport. On the federal government This initiative, put forward by the Evolving business model side, we continue to see Minister of Transport, was well conversations about privatization. supported by our community and This year also marked the first As a smaller airport (under five our Board. year that our airport paid rent to million passengers), there are the federal government. Because both positives and negatives to CHAIR’S The announcement brought the of the commercial success of privatization for our airport. As Honourable Marc Garneau, federal the GMIAA, our rent factor is governments continue to divest Minister of Transport, to our airport considerably higher than other themselves of assets, I am sure the MESSAGE in August. Throughout his life, the airports in New Brunswick. This conversation will continue. 4 5 As a Board, we will work with the airports are now working in a are role models for the business Sincerely, CMY CY MY CM federal, provincial and municipal collective way. Airport Carbon community. K Y M C governments to ensure the Accreditation is empowering longevity and continued success their efforts to make further Given the ultra-competitive nature Chris Bacich signature.pdf 1 2017-04-25 11:22 AM of our airport. Many airports strides in managing, reducing of the airport business in Atlantic have taken an official position on and ultimately neutralizing their Canada, and more specifically privatization. At this point, we will carbon footprint.” New Brunswick, our airport is well take a wait-and-see approach. equipped for success. Your Board, Our Board continues to be very under the advice of management, Christopher Bacich Management team successes supportive of the changes that has made many key strategic Chair Bernard and his team are making investments in infrastructure. Greater Moncton International Bernard LeBlanc and his to their operation to ensure that We have the newest terminal Airport Authority Inc. management team had many we do our part to protect the building in the region. We have a accomplishments this year. One environment. Ultimately, there new Airport Operations Facility of these was their commitment can be short-term costs to being which houses all of our airside to the environment. In 2016, the green. Going forward, our Board, operations. We have a 10,001- GMIAA received an Airport Carbon Vantage Airport Group and our ft runway. We have a strong, Accreditation. The GMIAA joins an management team will need established integrator network exclusive list of only 21 airports in to consider all of the costs and for freight. Most importantly, North America who have achieved benefits of pursuing this program we have the support of our local this designation. further. For its efforts so far, the communities. While many airports Greater Moncton Chamber of are looking at large investments to To quote Airports Council Commerce honoured our airport move their business forward, we International (ACI): “Mobility with its 2016 Environmental have made the investments. We is a basic human need – but Excellence Award. have reduced our debt by more it goes hand-in-hand with than $4 million this year alone. energy consumption and all At the same time, our airport was Many other airports will require of its consequences. In today’s also honoured with the Excellence significant borrowing to catch up globalized world, the theme of in Business Award. This award is to the GMIAA. mobility surrounds us and air given to a business that has been travel is more prevalent than ever operating for 10 years or more. In closing, I would like to thank before. Airports bring undeniable Nominees have demonstrated each and every one of you for benefits to society - connecting excellence in business operations using your airport. The only way to places, people and products with in a number of areas such as keep it here and moving forward a range unmatched by any other production, marketing, sales, is to ensure that it continues to be mode of transport. quality control, customer service, your airport of choice. human resources, financial However, as the visible face of management, etc. As well, air transport on the ground, they candidates are clearly viewed by also need to work to improve their peers as a leader in business aviation’s reputation in relation excellence and have demonstrated to environmental efficiency and the best aspects of an carbon reduction. Following years entrepreneurial spirit. In addition, of working individually to address nominees have a proven record their local environmental impact, of community involvement and 6 7 2016 GMIAA Airport Team Accomplishments As with every year, 2016 has been full of excitement, new opportunities, as well as its share of challenges. Over the course of the year, union representing our employees first-time visit of a Lufthansa Cargo we have seen exciting new to finalize a five-year collective aircraft to pick up an estimated developments such as the agreement taking us to the 70 tonnes of live lobster. Although startup of a new ultra-low-cost end of 2020. This agreement this was short of our “dedicated carrier, NewLeaf, as well as some balanced the airport’s operational freighter” air cargo volume unfortunate departures early on, and competitive needs with a expectations for the year, it did such as KF Aerospace’s European consideration for our employees’ highlight that YQM has a role in cargo service and WestJet’s long-term concerns and welfare. this industry subject to the correct Ottawa and Hamilton routes. It also incorporated a new aircraft fit to our infrastructure. Airport Operations Specialist role Still, our team managed to work which, over the long term, will We also closed off the year with together to buffer the negative allow increased flexibility and the addition of new restaurant events and support the positive efficiencies in operating activities offerings and the expansion of developments – the result being by allowing operational personnel the Aramark restaurant menu Bernard F. that we ended up showing eight to also fulfil an emergency to include both airside and LeBlanc continuous months of passenger response and readiness role. groundside Tim Hortons offerings traffic growth in 2016 from May to as well as trendier CAVU sandwich December! This allowed positive We also had an airport name and salad offerings. The updated growth of 12,997 passengers (more change in mid-August to the restaurant looks great – and this than 2%) over the prior year and Greater Moncton Roméo LeBlanc should be a very welcome addition allowed the Greater Moncton International Airport – and got to by our airport users, as well as our PRESIDENT Roméo LeBlanc International meet a real-life astronaut, Minister tenants and staff. Airport (YQM) to recapture some of Transport Marc Garneau! As a of the mobile worker traffic result, an investment was made in The year 2016 was also the first & CEO’S volume lost over 2015. signage upgrading at the airport one in which YQM had to pay rent to best promote our airport and to the federal government. At In 2016, the management team new aerodrome designation. $441,744, this has a significant MESSAGE also worked together with the In December, we welcomed the impact on our surplus funds 8 9 available to reinvest in our airport this annual report and are a great Sincerely, facilities and thus forces us to reminder that achievement of our be even more efficient than we targets is only possible through already are. Although we did a coordinated team effort. For approach our profitability targets this, it is necessary to thank each for the year, it was necessary to and every YQM employee, as well mitigate the impact of reduced as our team of volunteers, our revenues stemming from airline tenants and service providers schedule and aircraft size changes and our partner airlines. In 2016, Bernard F. LeBlanc which resulted in lower landing we also had one of our long-term President & CEO and terminal fees.
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