Australia Pacific Airports Corporation Limited
Encyclopedia
Australia Pacific Airports Corporation Limited (APAC) is an unlisted company and owner of two Australian airports: Melbourne Airport
and Launceston Airport
. Each airport is operated by an airport lessee company, in which APAC has a controlling interest: Australia Pacific Airports (Melbourne) Pty Ltd (APAM) and Australia Pacific Airports (Launceston) Pty Ltd (APAL) respectively.
APAC acquired the lease for Melbourne Airport
for A$1.307 billion on 2 July 1997, and a 90% stake in Launceston Airport
for A$18.8 million on 29 May 1998. Launceston City Council owns the remaining 10% of Launceston Airport. Each airport is under a fifty year long term lease from the Australian Government, with options for a further forty-nine years.
The company is majority Australia
n owned by three Australian fund managers: 51% by AMP Limited
; 33% by Deutsche Asset Management; and 16% by Hastings Funds Management Limited. BAA Limited, a large UK-based airport operator, previously owned 19.8% of APAC, which it sold on 21 October 2006, shortly after it was acquired by a Ferrovial
-led consortium. Its interest was acquired by the other three shareholders equally.
The Chairman of the Board
is Don Mercer and the Chief Executive Officer
is Chris Woodruff.
APAC makes money from charging landing fee
s to airline
s, from retail operations and office accommodation within its airports and from parking fees. Most aspects of pricing at both airports are monitored by the Australian Competition and Consumer Commission
, and the Federal Department of Infrastructure, Transport, Regional Development and Local Government has jurisdiction over airport planning, environmental management and aviation safety and security. These were part of the conditions of privatisation of the airports.
Melbourne Airport
Melbourne Airport , also known as Tullamarine Airport, is the primary airport serving the city of Melbourne and the second busiest in Australia. It was opened in 1970 to replace the nearby Essendon Airport. Melbourne Airport is the sole international airport of the four airports serving the...
and Launceston Airport
Launceston Airport
Launceston Airport is a regional airport on the outskirts of Launceston, Tasmania. The airport is located in the rural area of Western Junction from Launceston city centre...
. Each airport is operated by an airport lessee company, in which APAC has a controlling interest: Australia Pacific Airports (Melbourne) Pty Ltd (APAM) and Australia Pacific Airports (Launceston) Pty Ltd (APAL) respectively.
APAC acquired the lease for Melbourne Airport
Melbourne Airport
Melbourne Airport , also known as Tullamarine Airport, is the primary airport serving the city of Melbourne and the second busiest in Australia. It was opened in 1970 to replace the nearby Essendon Airport. Melbourne Airport is the sole international airport of the four airports serving the...
for A$1.307 billion on 2 July 1997, and a 90% stake in Launceston Airport
Launceston Airport
Launceston Airport is a regional airport on the outskirts of Launceston, Tasmania. The airport is located in the rural area of Western Junction from Launceston city centre...
for A$18.8 million on 29 May 1998. Launceston City Council owns the remaining 10% of Launceston Airport. Each airport is under a fifty year long term lease from the Australian Government, with options for a further forty-nine years.
The company is majority Australia
Australia
Australia , officially the Commonwealth of Australia, is a country in the Southern Hemisphere comprising the mainland of the Australian continent, the island of Tasmania, and numerous smaller islands in the Indian and Pacific Oceans. It is the world's sixth-largest country by total area...
n owned by three Australian fund managers: 51% by AMP Limited
AMP Limited
AMP Limited is an Australian financial corporation. It operates primarily in Australia and New Zealand. AMP formed in 1849 as the Australian Mutual Provident Society, a non-profit life insurance company. In 1998 it was demutualised and listed on the Australian and New Zealand stock exchanges...
; 33% by Deutsche Asset Management; and 16% by Hastings Funds Management Limited. BAA Limited, a large UK-based airport operator, previously owned 19.8% of APAC, which it sold on 21 October 2006, shortly after it was acquired by a Ferrovial
Ferrovial
Ferrovial, S.A. is a Spanish multinational company involved in the design, build, financing, operation and maintenance of transport, urban and services infrastructure. It is a publicly-traded company and is part of the IBEX 35 market value-weighted stock market index...
-led consortium. Its interest was acquired by the other three shareholders equally.
The Chairman of the Board
Chair (official)
The chairman is the highest officer of an organized group such as a board, committee, or deliberative assembly. The person holding the office is typically elected or appointed by the members of the group. The chairman presides over meetings of the assembled group and conducts its business in an...
is Don Mercer and the Chief Executive Officer
Chief executive officer
A chief executive officer , managing director , Executive Director for non-profit organizations, or chief executive is the highest-ranking corporate officer or administrator in charge of total management of an organization...
is Chris Woodruff.
APAC makes money from charging landing fee
Landing fee
A landing fee is a charge paid by an aircraft to an airport company for landing at a particular airport. Landing fees can vary greatly between airports, with congested airports, ones where most of the landing slots are held by airlines being able to charge premium prices because of supply and...
s to airline
Airline
An airline provides air transport services for traveling passengers and freight. Airlines lease or own their aircraft with which to supply these services and may form partnerships or alliances with other airlines for mutual benefit...
s, from retail operations and office accommodation within its airports and from parking fees. Most aspects of pricing at both airports are monitored by the Australian Competition and Consumer Commission
Australian Competition and Consumer Commission
The Australian Competition and Consumer Commission is an independent authority of the Australia government. It was established in 1995 with the amalgamation of the Australian Trade Practices Commission and the Prices Surveillance Authority to administer the Trade Practices Act 1974...
, and the Federal Department of Infrastructure, Transport, Regional Development and Local Government has jurisdiction over airport planning, environmental management and aviation safety and security. These were part of the conditions of privatisation of the airports.