MASSACHUSETTS PORT AUTHORITY 2020 ANNUAL REPORT Resilient TO DAY. Stronger TOMORROW. MOVING FROM Disruptive Crisis TO Meaningful Change Massport’s ability to adapt to the changing tides has allowed us to navigate an evolving health pandemic and economic crisis while not losing sight of our mission to support the economy and our communities. This year’s annual report cover represents Massport’s role in cargo and air freight operations, bringing health and safety supplies and commercial goods to the Commonwealth and the New England region. MASSACHUSETTS PORT AUTHORITY 2020 ANNUAL REPORT THE MASSPORT MISSION A world-class organization of people moving people and goods—connecting Massachusetts and New England to the world safely, securely, and efficiently, with a commitment to sustainability, our neighboring communities, and diversity, equity, and inclusion. SEC Disclaimer Information that may be of interest to holders of bonds or notes issued by the Massachusetts Port Authority are presented in this report for general informational purposes only and are provided without warranty of any kind and, in particular, no representation or warranty, express or implied, is made or is to be inferred as to the accuracy, reliability, timeliness or completeness of any such information. The information set forth in this annual report is limited in scope and does not contain all material information concerning the Authority necessary to make an informed investment decision. This annual report addresses only the matters discussed therein, is dated as of a certain date and has not been updated since that date and, as a result, may not address all factors that may be material to an investor and may contain material misstatements or omissions of fact because of the passage of time or changes in facts or circumstances subsequent to the date of such document. Consequently, no person should make any investment decision in reliance upon the information contained in this annual report. UNDER NO CIRCUMSTANCES SHALL THE INFORMATION IN THIS REPORT CONSTITUTE AN OFFER TO SELL OR THE SOLICITATION OF AN OFFER TO SELL OR BUY ANY SECURITIES. OFFERS TO PURCHASE THE AUTHORITY’S BONDS OR NOTES MAY ONLY BE MADE THROUGH A REGISTERED BROKER-DEALER AND THROUGH AN OFFICIAL STATEMENT. 1 MASSACHUSETTS PORT AUTHORITY 2020 ANNUAL REPORT TABLE OF CONTENTS A MESSAGE FROM LEWIS EVANGELIDIS AND LISA WIELAND .......... 3 SAFETY, HEALTH AND SECURITY ......................................... 4 AVIATION .................................................................... 6 Boston Logan . 6 Worcester Regional Airport ............................................ 11 Hanscom Field ........................................................ 12 MARITIME ................................................................... 13 Conley Terminal ....................................................... 14 Flynn Cruiseport Boston .............................................. 16 REAL ESTATE AND ASSET MANAGEMENT .............................. 17 MASSPORT IN THE COMMUNITY ......................................... 21 DIVERSITY, EQUITY, AND INCLUSION ..................................... 24 SUSTAINABILITY AND RESILIENCE ....................................... 25 FISCAL RESPONSIBILITY ................................................... 26 SENIOR STAFF .............................................................. 28 BOARD OF DIRECTORS .................................................... 29 2 MASSACHUSETTS PORT AUTHORITY 2020 ANNUAL REPORT A MESSAGE FROM LEWIS EVANGELIDIS AND LISA WIELAND When 2020 began, we had extremely high expectations for the year ahead. We were experiencing record growth at Boston Logan International Airport, Conley Terminal, Flynn Cruiseport Boston, and Worcester Regional Airport. Then the pandemic hit. The world shifted dramatically and shook our sense of normalcy. But we didn’t stop. We pivoted. We adapted. The year was unlike any in Massport’s history. In a matter of days, the coronavirus turned into a global public health crisis impacting our families, communities, and every aspect of our operations. We saw significantly fewer planes in the sky and ships in the water; we saw empty terminals and restaurants in hibernation; we saw office spaces and hotel rooms in the dark; and the once-bustling streets of Boston were quiet. These new norms forced us to be nimble and to think creatively about how we carry out our mission. LEWIS EVANGELIDIS Working as One Massport, we navigated through the challenges and developed solutions dedicated to keeping our customers Chairman of the Board and staff safe and secure, while remaining committed to supporting the local economy, our surrounding neighborhoods, and the Sheriff of Worcester County environment. The actions we’ve taken lay the foundation for a stronger future. • We cut expenses and put together a sustainable financial plan; • We collaborated with state, local, and federal partners to quickly develop safety and health protocols and adopted touchless technology throughout our facilities; • We supported the Commonwealth’s efforts to bring personal protective equipment (PPE) to health care and frontline workers; • We provided support to our airport and maritime tenants to help them get through this difficult economic time; LISA WIELAND • We provided summer jobs and scholarship opportunities for students and maintained our charitable giving programs to help Chief Executive Officer our neighboring communities in time of financial challenges; • We invested our resources to create a more agile organization and leveraged innovation and technology to drive greater efficiencies; and • We strategically prioritized several critical infrastructure improvement projects to prepare our airports and the working port for the economic rebound. As vaccines become more available, businesses reopen, and travel restrictions are eased, we look to better days ahead with a continued primary focus on safety, health and security as well as a renewed focus on the customer experience, sustainability, diversity, equity and inclusion, and advancements in technology and the way we operate. At Massport, we are reminded that overcoming hard times is what builds resilience. And recovering from life’s biggest challenges helps chart the course for a brighter tomorrow. Lewis Evangelidis Lisa Wieland 3 MASSACHUSETTS PORT AUTHORITY 2020 ANNUAL REPORT SAFETY, HEALTH AND SECURITY The unprecedented events of 2020 challenged important role in limiting the spread of the virus Massport like no other and demonstrated why in the community. our commitment to safety, health and security is Massport quickly implemented remote work more vital now than ever before. Whether it was options for administrative staff, made changes responding to the global COVID-19 pandemic; to allow social distancing, and stepped up ensuring the safety of our employees, disinfectant cleaning throughout all our passengers, and facilities; or strengthening facilities. All passengers were required to wear our cybersecurity and business continuity face masks in the terminals to comply with capabilities, Massport remained resilient. the Commonwealth of Massachusetts’ mask mandate. Personal protective equipment was PANDEMIC RESPONSE secured for all employees to reduce the spread of the virus among the workforce. We developed In partnership with the federal Centers for a comprehensive COVID-19 screening program Disease Control and Prevention (CDC) and for construction workers to allow essential Enhanced cleaning procedures in response to COVID-19. state and local public health agencies, we projects to proceed while avoiding outbreaks. updated our pandemic response plan in real All Massport team members performed time as medical experts learned more about personal health assessments before reporting Massport quickly implemented the coronavirus. Our contact tracing efforts to the workplace. We also performed internal remote work options for administrative not only focused on the safety of all of our contact tracing for employees possibly exposed passengers and employees, but also played an staff, made changes to allow social to the virus. distancing, and stepped up disinfectant cleaning throughout all our facilities. Terminal signage to encourage handwashing, social distancing, and mandatory face coverings. Our IT professionals quickly transitioned hundreds of employees to remote work, ensuring that critical functions continued uninterrupted. They also had to respond to the increased threat of cyberattacks, as criminal actors increased their efforts to capitalize on the vulnerabilities presented by extensive remote work. Massport enhanced our cyber incident response capabilities, strengthened our email and workstation security solutions, and coordinated with federal partners to obtain the most up-to-date cyber intelligence. 4 MASSACHUSETTS PORT AUTHORITY 2020 ANNUAL REPORT During the crisis, Massport reinforced our Massport was also engaged on other fronts of relationship with the Massachusetts Emergency safety, health and security throughout 2020. Management Agency (MEMA), deploying staff During periods of public demonstrations, to the MEMA Emergency Operations Center Massport Police and MSP Troop F patrolled and warehouse to assist the Commonwealth our parks and facilities to ensure that our in its efforts to distribute PPE. community members were able to exercise their right to assemble in a safe environment. We also developed new online employee training MANAGING OTHER RISKS on protecting sensitive information,