Local Govt | National News Video | Parliament Headlines | Politics Headlines | Search

 


Auckland ports and airport deliver value to ratepayers

Auckland ports and airport deliver value to ratepayers

Investment valuations increase by over $1 billion since November 2010.

21 May 2014, Auckland. Auckland Council Investments Ltd (ACIL), has published new figures today showing that the value of the Council’s key financial investments has grown by over $1 billion in the past four years. At inception of ACIL it was $1,509 million and its now $2,541 million, an increase of 69% over 3.5 years.

ACIL Chief Executive Gary Swift said the gains were mostly driven by the strong operating performance of the city’s ports and the airport.

“The strong operating performance of the city’s key trade and travel gateways has lifted the underlying value of the Council’s financial investments, by over $1 billion since November 2010,” Mr Swift said.

A new valuation of Ports of Auckland Ltd, conducted by PWC shows the valuation of the ports has increased from $623 million to $1.079 billion, a 73% increase on the last formal valuation as at June 2010.

“This increase in value reflects higher ongoing operating profits. A big contributor to this has been the success over the past three years in lifting the productivity and through-put of the port, combined with a strong focus on commercial governance to get the right result for Auckland,” he said.

The strong performance of the Council’s 22.4% shareholding in Auckland International Airport Ltd has also bolstered the City’s investment portfolio. The Council’s shareholding is valued at around $1.127 billion, an increase of $506 million or 81% over the November 2010 valuation.

Since its formation in 2010, ACIL has returned dividends of $88.3 million to Auckland Council. It is planning a further dividend payment of $156 million before 30 June this year including $101.5 million following the Auckland Airport capital return. As a result, the total distribution to Council in 2013/14 will be significantly above the $45 million ACIL had budgeted.

“A pleasing aspect is how all of the Council’s major financial assets have played their part in the recent value gains. This includes the $327 million Diversified Financial Asset portfolio which recorded gains of $67 million (26%) while also making distributions of $24 million in the period since November 2010.”

ACIL is a Council Controlled Organisation which owns and manages key financial investments on behalf of Auckland Council, and ultimately the people of Auckland. The key assets include the Ports of Auckland Ltd (100%), Auckland International Airport Ltd (22.5%), and 100% of Auckland Film Studios Limited (which has also grown in value). ACIL also manages the Council’s Diversified Financial Asset portfolio.

“The strong performance of all these investments ultimately means increased returns to Auckland Council where the proceeds are used to help make Auckland the world’s most liveable city,” Mr Swift said.

Ends

© Scoop Media

 
 
 
 
 
Parliament Headlines | Politics Headlines | Regional Headlines

 

Overseas Investment: Auditor-General To Examine OIO

The Auditor-General is to examine how the Overseas Investment Office collects and manages information following a request from the parliament's finance and expenditure committee. More>>

ALSO:

Gordon Campbell: On Bill English Living In Denial

The working poor have been a direct byproduct of the economic policies in vogue for the past 30 years or more, all over the Western world... That anger was evident in the Brexit vote, and it underlies the support for Donald Trump in the United States. More>>

ALSO:

Final Reading Of Parental Leave Bill: Families With New Babies Victims Of Veto

“For the first time ever, a Bill will have a third reading debate and no vote will be taken at the end because the National Government has used its veto – an extreme measure against families,” says the Bill’s sponsor, Labour MP Sue Moroney. More>>

ALSO:

Water, Pests, Erosion...: Commissioner Releases Mixed Report Card On Environment

The Parliamentary Commissioner for the Environment has released a mixed report card in her assessment of the state of New Zealand’s environment. “We are lucky to live in an exceptionally beautiful country, but we have some big issues to face up to” said Dr Jan Wright. More>>

ALSO:

Education: Private Schools Beneficiaries Of Extra Cash

“Not only did this year’s Budget freeze operational funding for state schools, but 86 per cent of secondary school principals say they don’t get enough funding, and the demand for school donations from parents is rising at 10 times the rate of inflation... Now we’ve got Hekia Parata proposing more cash for private schools." More>>

ALSO:

Shop Hours Bill Second Reading: Government Blocks Easter Trading Petition

The union representing retail workers is warning that the Government is out of touch with working people after passing the second reading of the Shop Trading Hours Amendment Bill, a law handing local authorities the power to permit trading on Easter Sunday. More>>

ALSO:

Get More From Scoop

 

LATEST HEADLINES

 
 
 
 
 
 
 
 
 
Regional
Search Scoop  
 
 
Powered by Vodafone
NZ independent news