Nominator Presentation
City of Prince George May 29, 2017 Chair Report Strategic Direction Vision To be the ‘Best in Class’ airport. Mission Operate a safe secure airport with quality customer oriented passenger facilities and services and a developing cargo business in an economically sustainable and environmentally responsible manner that contributes to regional economic development. Key Elements . Strategic Excellence . Build Capacity . Sustainable and Effective Business . Build Partnerships . Be Socially Responsible • Telling Our Story Partner Presentations . City of Prince George . Regional District of Fraser Fort George . Prince George Chamber of Commerce . Northern Development Initiative Trust . Canadian Airports Council Provincial Government Presentations . MLA Shirley Bond . MLA Mike Morris . Minister of Transportation: MLA Todd Stone Federal Government Presentation . Transport Canada . MP Todd Doherty . MP Bob Zimmer Asian Cargo Carriers Air Canada, WestJet, First Air, JetLines, Pacific Coastal and CMA . Wish List: Edmonton, Calgary, Las Vegas and another seasonal sunspot on the west coast of Mexico 2016 Industry Overview
World -wide passenger traffic: up ~ 6.1%
North American passenger traffic: ~3.9%
Canadian traffic in last 6 months: ~16%
Vancouver passenger traffic: 9.7%
General reduction in domestic fares: . 5% - 9.8% across Canada
World -wide cargo traffic: . Asia Pacific: 4.5% . North America: 1.7% • PGAA Passenger Activity 2016 was a strong and stable year at YXS . 2016 passengers through the terminal represent 3.5% growth over 2014 . Growth in 2016 has absorbed Q400 seating 2016 – 462,007 2015 – 470,849 2014 - 445,929 2013 - 426,709 2012 - 418,589 2011 - 402,438 2010 - 390,340 2009 - 376,030
2016 aircraft movements – 40,665 – down 2,179 over 2015 Current Air Service Air Canada Pacific Coastal Airlines daily 6 days a week
Vancouver: 5 arrivals, 5 departures Victoria: 1 arrival, 1 departure
Central Mountain Air WestJet 6 days a week daily
Terrace/Kitimat: 1 arrival, 1 departure Vancouver: 5 arrivals, 5 departures Smithers: 1 arrival, 1 departure Kelowna: 1 arrival, 1 departure Puerto Vallarta, Mexico: Kamloops: 1 arrival, 1 departure 1 weekly arrival, 1 weekly departure Fort St. John: 1 arrival, 1 departure (late October through April – annually) Fort Nelson: 1 arrival, 1 departure Vancouver: 1 arrival, 1 departure Dease Lake: (seasonal) Community Involvement Festival of Trees . “2016 People’s Choice Award – Big Tree Category” . All four YXS airlines participated, hosting their own trees Hope Air . PGAA hosted the 14th Annual Golf Tournament raising over $16,000 for Hope Air Canadian Cancer Society Fire Pit Cultural Centre Prince George Cougars YMCA of Northern BC Exploration Place School visits / airport tours Salvation Army Adopt a Family Christmas Campaign Salvation Army Kettle Campaign North Cariboo SPCA UNBC (wildlife research) 2016 Accomplishments The Airport Authority completed negotiations with the Public Service Alliance of Canada for another 5 years
Capital projects of 1.7 million: . Commenced replacement of Apron 1 . Installed new LED Precision Approach Path Indicators . Upgraded parking pay machines with chip readers (NDIT support) . Two additional fuel trucks were added
New significant fuel contracts for JetMark
Board of Directors conducted an Auditor RFP process and Deloitte was the successful candidate
Strong financial performance in 2016 2016 Financial Performance Statement of Operations
2016 2015
Revenue $ 7,875,149 $ 7,632,883
Expenses 6,637,784 6,628,563
Operating surplus (deficiency) 1,237,365 1,004,320
Other revenue / expenses 2,311,745 2,384,715
Excess of revenue over expenses $ 3,549,110 $ 3,389,035 Financial Progress Over 8 Years (in thousands of dollars)
2016 2015 2009
7,875 7,633 4,595 Revenues
6,638 6,629 4,946 Expenses
Operating earnings 1,237 1,004 (351)
Net earnings 3,549 3,389 670 PGAA 10 Year Capital
10 Year Capital Rehabilitation Plan: $50 to $60 million
2017 Capital Budget: $6.5 million
Possible future development programs . Air terminal building / passenger services: $20 to $30 million . Economic / land development: $6 to $20 million PGAA 10 Year Capital Challenge: Where do the funds come from? -Excess earnings -Developers -Air carrier fees -Parking fees -Airport Improvement Fee -Government
Federal Land Rent $300+ million
Actions: . Continued push for funding from federal and provincial governments Canadian Airport Issues
Federal Government Policy Issues . Privatize major airports to pay for infrastructure promises outside of aviation. Will cost the Canadian travellers more money. . Restructure Canadian Air Transport Security Agency (CATSA), develop customer service levels and change funding model. . Fund 6 small National Airport System airports. Money appears to be in the budget. Awaiting program definitions and criteria.
. Make Canadian airports more competitive from a cost and facilitation standpoint. 2017 Off to a Good Start First quarter of 2017: Passenger traffic up 3.78% over 2016
Provincial government BC Air Access Program funding for: . Elevator from long term parking lot to departures level: $1.5 million . Complete main apron rehabilitation: $0.5 million
Continued expansion of JetMark fueling contracts
15th Annual PGAA Charity Golf Tournament: June 24 . Registration information on the YXS website
• Thank You