17 Mar 2020 13:48
Business impact of coronavirus on NATS
The anticipated impact of coronavirus on the global economy and aviation in particular escalated significantly over recent weeks. It is clear this will reduce our revenues and profitability although we are not yet able to quantify the effect.
We are working with customers and authorities to understand the impact of the traffic reduction so far this year and a range of possible future scenarios to identify what action we need to take.
Our RP3 settlement is currently being reviewed by the CMA, the preliminary findings of which are anticipated to be published week commencing 23 March. We do not expect these to change materially the mechanism for sharing traffic risk which seeks to limit some of our exposure to a sudden drop in volume, but we do expect an updated traffic forecast to be adopted.
ENDS
Note to editors:
About NATS
NATS is a leading air traffic management and solutions company, established in the UK in 1962 and now operating in countries around the world.
NATS handled 2.6 million flights in 2019, covering the UK and eastern North Atlantic from its centres at Swanwick, Hampshire and Prestwick, Ayrshire. NATS also provides air traffic services at 13 UK airports; at Gibraltar Airport and, in a joint venture with Ferrovial, at a number of airport towers in Spain. Building on its reputation for operational excellence and innovation, NATS offers aerodrome, data, engineering, capacity, efficiency and environmental performance solutions to customers worldwide, including airports, airlines air traffic service providers and governments.
For more information visit the NATS website at www.nats.aero