I do believe that the point of quoting those figures is in essence counter propaganda to people saying that the airports debt is massive and are using it as a political stick to beat the airport with. Personally I was surprised by how high Bristols debt is but it is an airport that shows how long term investment has lead to success and Cardiff can learn from that.

I agree and that's why I suggested the chairman 'cleverly cited' the debt level at the other airports he mentioned (for the purpose you point out).

He could have gone on to give more detail about the other airports to show how debt can be vital to growth and success, but as we've said so often it has to be manageable debt. In some ways I can understand that he might not have wanted to stray too far along the comparison trail as things can be taken out of context or in isolation by critics and thrown back, although by only giving some of the facts he has done that himself with people like me saying, "Yes, but............."

The Bristol debt is a high headline figure but perhaps not too surprising taking into account how much has been spent on the airport in the past two decades and how much continues to be spent and, if they get their planning application approved (by no means certain) they will be spending a lot more, so debt will probably rise above the current figure.

If they are stuck at 10 mppa for years to come by planning consents that would pose an interesting situation in all manner of ways, including financial, but it's something for the BRS threads if and when that arrived.
 
Genuine question: Is there anything new or am I missing something? We knew about the financial performance from press reports a few weeks ago as well as the increased loan facility.
 
It does appear to be just old info just a different article.
I wasn't trying to be clever.:) I wasn't sure if I was missing something.
 
Should or could the Welsh government make Cardiff airport a not for profit company?
If they could do it does anyone know how or if that would effect the airport? Ie in things like loans from the government.
 
Why would they want to do that if the goal is to sell it back to the private sector?
Is that the goal though? Part of me questions whether they actually want to bring on any investors at all.
I'm just wondering if being not for profit would be feasible for Cardiff airport.
 
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I suppose yours suggestion, Jerry, revolves around the WG's dual-purpose ownership of CWL: to help grow the Welsh economy and to provide a profitable airport - in time. Do you believe that the latter will never be achievable, therefore the economy-growth scenario should be recognised as the only realistic reason for public ownership of the airport?

I know little about not-for-profit companies. I know that they are often used for charitable purposes and/or to provide community benefits. There are different types and I know that there can be some taxation advantages The main difference is that any surplus they make is ploughed back into the reason for setting up the company in the first place, instead of going into the pockets of shareholders or owners via dividends or other payments.

In my area there is a bus company called Bristol Community Transport (BCT) which is part of the London-based HCT social enterprise group. HCT is a company limited by guarantee that runs bus services and other transport initiatives in several parts of the country. It invests its profits in community services. Bristol Community Transport provides main line bus services around Bristol and actually operates one of the metrobus routes under contract to First, the major bus company in the Bristol area. I suppose BCT could be a sort of very rough template for a not for profit CWL. The WG would certainly have to restructure the airport company if it went along the not for profit route.

Two obvious barrriers come to mind. The first has been mentioned - the private sector. As far as I'm aware the WG policy is to eventually seek a private sector partner, albet the WG would retain a majority share. The private sector would be looking to make money in return for any investment.

The other is the political aspect. There is enough party political mischief-making as it is with CWL being state-owned.
 
I suppose yours suggestion, Jerry, revolves around the WG's dual-purpose ownership of CWL: to help grow the Welsh economy and to provide a profitable airport - in time. Do you believe that the latter will never be achievable, therefore the economy-growth scenario should be recognised as the only realistic reason for public ownership of the airport?
I'm not really suggesting it as such but just wondering if it could be a valid option for CWL as i don't know enough about not for profit businesses to say whether there would be any sort of drawbacks or things the airport couldn't or could do.
As for whether the airport will ever make a profit there is part of me sceptical that it will as i wonder if CWL will ever get to the passenger numbers that will help it become profitable but politically the WG and the airport may well have to be seen to at least try.
 
I'm not really suggesting it as such but just wondering if it could be a valid option for CWL as i don't know enough about not for profit businesses to say whether there would be any sort of drawbacks or things the airport couldn't or could do.
As for whether the airport will ever make a profit there is part of me sceptical that it will as i wonder if CWL will ever get to the passenger numbers that will help it become profitable but politically the WG and the airport may well have to be seen to at least try.
Like you, I don't know enough about the subject to venture a meaningful opinion either way. Has this been talked about in, say, social media groups re CWL? I'm not a member of any so am not aware.
 
The major not for profit company in Wales is Welsh Water . All profits are ploughed back into funding improvements to water supply and water quality particularly sea water quality where improvements are made to sewage treatment at coastal towns.
 
That would be great if CWL was profitable. Profits would be invested back into the Airport, or even given to the WG to use. If CWL isn't making a profit, which it hasn't for some time, it would surely p*ss off more people with money being ploughed in to it.
Although as it currently stands, who stumps up the losses until/if it's sold to the private sector?
 
Although as it currently stands, who stumps up the losses until/if it's sold to the private sector?
I'd imagine that the Welsh government would through the loan. They did give the airport a loan extension of what £24 million?
 
Tailor Made Travel has just taken over another travel agency. They have just bought Morgan Travel in Caerphilly, and are awaiting confirmation of their first ATOL from the CAA, to launch an in house tour operation.
 

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