Landing fee hold pleases airlines

Auckland Airport's landing fees are held until March 1. Photo / Dean Purcell

Airlines have welcomed a move by Auckland Airport to hold landing charges for another two months.

The airport company - which yesterday announced its profit to be at the high end of the $93 million to $100 million guidance range - has held aeronautical charges for six months from late July.

It said yesterday that although there had been some encouraging signs of returning confidence and stability among airlines, it had been decided to hold charges until March 1.

The Board of Airlines Representatives executive director John Becket said the airport had listened to members' concerns.

"We're pleased that it listened to us when we told them about the bad position they were in in the middle of the year."

Although the extension was for only two months, any help airlines could get was appreciated, he said.

The airport's updated profit guidance for 2010 followed an improvement in recent passenger volumes.

Total international and domestic passenger numbers for the first five months of the 2010 financial year had been ahead of its previous planning assumptions, the company said.

The improved passenger volumes had been seen consistently in the past three months, providing confidence in the sustainability of the improvement.

But the passenger benefits had been partially offset by landing charges running lower than assumed as airlines reduced the average size of aircraft.

Aeronautical charges had been due to rise from last July, with international fees due to rise from $12.15 per tonne to $12.45 per tonne and domestic fees due to rise from $12.50 a tonne to $12.81 per tonne.

Auckland Airport shares closed up 4c at $1.90 yesterday.