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The Real Robin Hood
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I'm almost certain there is no chance of the airport getting a second runway infact I doubt it will under go any type of extention unfortunatley.

The main reason for this is the new ownership structure of the Airport. It used to be owned by 5 local councils Newcastle, Gateshead, Sunderland, North Tyneside and Northumberland. But A private equity firm made an offer for the airport which worked out at about £7 million for each council. Sunderland took it straight away because its not really anywhere near Sunderland, Newcastle Northumberland and North Tyneside all accepted the offer as they all needed the money Gateshead initially refused the offer but under pressure from the other four acccepted the deal. This means that a Private equity firm owns the airport.

Not sure if everone knows about PE firms but basically they lever the firm up with debt so they avoid paying corporate tax (if your total debt is above a certain amount you can avoid corporate tax). Anyway the Airport now is almost fully levered with debt. This basically means that it is not in the best interest of the company to expand the airport.

Personally I'm upset that the councils sold off the Airport for such a small amount and that now it seems that any further expansion is doubtfull. I have flown from Newcastle twice before and its a great little airport I love it.
 

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Discussion Starter #43 (Edited)
Thread hasn't been updated in more than a month, so here is a recent article:

Newcastle to become one of Europes greenest airports

Also, the website has changed slightly, and they have added a future plans and development section. Runway expansion looking very likely post 2011, and it is expected an increse of 375m to 2,600m will be made. (info under masterplan). Large-scale terminal expansion is on the cards before 2016, when the capacity is expected to hit 9 to 9.5 million.
 

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The Real Robin Hood
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hmmmmmm looks like they didn't spend too much money on the 'masterplan' I really hope it does expand but now its in the hands of private equity they really have very little insentive to continue to expand, well not unless Durham tees valley starts to take away there existing custom.
 

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Discussion Starter #45
Tom, they will HAVE to expand. It isn't huge at the moment, and the passenger numbers are expected to pretty much double by 2016. You won't be able to get moved in there if that happens.
 

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The Real Robin Hood
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They don't HAVE to do anything they don't have any shareholders lol. I know its not huge at the moment I've been enough times, bare in mind 2016 is nine years away its hardly exponential growth is it.

Plus when ever I've been there has been plenty of room inside and in the future airports may become more efficient and so have a shorter holding period.
 

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Discussion Starter #47
They don't HAVE to do anything they don't have any shareholders lol
No, they have something just as, if not more important: Customers. Customers who will go somewhere else if the airport's development is not handled properly, or addressed at all as you seem to think will happen.

They would not have put that masterplan up if they didn't intend to extend the airport in the future, short or long term. And yeah, I'd say adding 4m passengers to the current 5.5m in less than 10 years is pretty good growth-wise.

Infact, I've just checked, and Newcastle wasn't bought out by a private equity firm, it is owned 51% by 7 local councils and 49% by Copenhagen Airport. I can find nothing saying it was bought out.
 

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The Real Robin Hood
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No, they have something just as, if not more important: Customers. Customers who will go somewhere else if the airport's development is not handled properly, or addressed at all as you seem to think will happen.

They would not have put that masterplan up if they didn't intend to extend the airport in the future, short or long term. And yeah, I'd say adding 4m passengers to the current 5.5m in less than 10 years is pretty good growth-wise.
Customers who at the moment have very little if any choice Tees Valley is not really comp at the min. Don't get me wrong I love Newcastle Airport and I love Newcastle even more!!!! My issue is with the current council who DID sell it off to a private equity firm who have since levered it up to its eye balls in debt. I really would love to see it grow I have very fond memories of my Grandad taking me to the Airport when I was little to watch the planes.
 

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Rock Lord
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Just reading the posts here is really sad, I can't believe the councils have been so daft as to sell such an asset as the airport for a paltry 7million each. I fear it's one of those short term decisions that future generations will say what the hell did you sell of such a gateway asset of for such a low price for.

Sure sell it to someone who is committed to expanding the airport as part of a partnership scheme but to sell it to private equity is crazy.
 

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The Real Robin Hood
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I know I totally agree I was so p*****d off when they did it!!!
 

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Discussion Starter #52
So where does it say they actually did it? I can't find anything? Has anyone got a link? My dad seems to think it's still owned by the councils.
 

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i don't remember that either. i remember when they sold half the company to Copenhagen Airport around 5 years ago tho.
 

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Discussion Starter #54
If the councils had sold it, it would have been reported. I just checked on the site.

They didn't sell to a private equity firm. It is still owned by the councils (51%) and Copenhagen Airport (49%).
 

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Well the first flights to and from Dubai started today I just hope they continue to experience high passenger numbers.

It is one of the biggest days in the airports history I just hope they manage to secure a New York service sometime in the near future, Preferably with American Airlines (who dropped the propesed route) but anyone will do really.
 

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Well, it looks as though the route to New York may be back on again in the near future as the airport is in discussions with 2 US carriers!

http://icnewcastle.icnetwork.co.uk/...12&siteid=50081-name_page.html#story_continue

Taken from the link:

He added: “The east side of the globe is now covered on a worldwide scale. If you go to Dubai from here you now have access to 87 sites across the world.


“From an airport prospective, our key ambition now is to establish a similar link going west, with New York still our number one preferred location. Work is still ongoing to achieve the golden ticket.


“We are in talks with two US carriers at the moment and we are confident we will make a breakthrough. What will help us attract them to the airport is the success we are enjoying with Emirates.”
 

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The Real Robin Hood
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The new tower will be opened tomorrow by Nick Brown MP minister for the North East and the Chief Exec of Emirates. Emirates are also going to Sponser the new tower so it looks as though there here to stay!!
 

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Discussion Starter #59
The control tower, or The Emirates Tower (to give it it's proper name) has opened for business. Story.

Saw it on the news, it's looking good. I personally like the lattice work and exposed core. It's the most technologically advanced control tower in the country, and apparently has views reaching the coast. That's a long way lol.

Great news that there is growing hope for a New York service. If Newcastle could have both, then the airport will have a huge boost, more so than it is having already. It's a shame the same isn't happening in the city. Why can't we have cutting edge new buildings there for god sakes!?!

Anyway, hopefully this will be two way, and we will have alot more visitors coming from the east... We could do with some of their creativity in Newcastle.





It's all looking up for our airport.
 

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Discussion Starter #60
BTW, I'm not sure if it has been posted yet, but planning permission was given for this 4* Ramada hotel airport:

 
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