Goulter books ticket out

By DANIEL RIORDAN aviation writer

Auckland International Airport's managing director John Goulter will retire in September next year.

Goulter, 60, said that after 15 years in the top job it would be time to hand over to new management. He and his wife will move to Paihia to run a couple of "small tourism businesses" but he will consult for the airport company for a couple of years after that.

Goulter has run the show in his typically upfront, robust style since 1988 when the airport was first corporatised. Before that he spent 25 years at Ceramco after starting working life at Holeproof in Royal Oak.

In his time in charge the airport's net profit has risen from $3.7 million to $59 million. The company forecast $70 million in the latest June year, a target it said yesterday it expected to meet. Revenue since 1988 has grown from $65 million to about $1.8 billion. Its share price, $1.80 at listing four years ago, closed yesterday at $4.22, having peaked at $4.85 in May.

Goulter, whose decision was released to the market 20 minutes before it closed, said the timing of his retirement felt right.

"The company is in excellent shape. It has its finger on the pulse of everything it needs to be addressing.

"You can debate whether there ever is a right time or a wrong time, but having done 15 years I think that's an appropriate time. There's a very good management team here and no obvious gaps.

"We have permission to proceed with our second runway, our stand-by runway and retail facilities are in place. Our commercial property building programme is going from strength to strength, and we're about to give a special dividend back to shareholders."

That dividend is likely to be $212 million or about 50c a share.

Chairman Wayne Boyd said shareholders and the board were deeply indebted to Goulter for his "immense contribution to the development of the company. He has a passion for the company that cannot be underestimated and has been able to similarly motivate a strong management team to support him".

The board appreciated the lengthy notice Goulter had given it, said Boyd. Directors would use the time to ensure a smooth management transition.

JBWere analyst Peter Sigley said Goulter's decision was a surprise, and his successor would be on a hiding to nothing.

"He hasn't put a foot wrong; it'd be hard to operate it any better."

Boyd and Goulter gave no indication yesterday of who that successor might be. A five-strong executive management team reports directly to Goulter, but one observer said the company was likely to search internationally for a replacement.

Much could happen in the 13 months before Goulter's retirement, but as things stand the company is in rude health. Its status as one of the market's blue chips seems assured - its market capitalisation ranks it sixth on the exchange - and it sailed through last year's ructions in world and domestic aviation.

The one major uncertainty it faces is the fate of the 25.7 per cent stake Auckland City Council wants to sell.