Fraport First Quarter 2003: Sales and Profits Increase Despite the Aviation Crisis

Frankfurt, Germany 15.05.2003 (PROTEXT/ots) - In the firstquarter of 2003, Fraport AG Frankfurt Airport Services Worldwideposted a 6.9 percent increase in sales to EUR 429.4 million.Earnings before interest, tax, depreciation and amortization(EBITDA) climbed 10.6 percent to EUR 110.8 million; Groupprofits jumped 42.5 percent to EUR 25.8 million. Despite the negative impact of the Iraq war, SARS (SevereAcute Respiratory Syndrome) and the weak economy on the aviationindustry, Fraport was clearly able to increase sales revenuesover the same quarter last year. A major contributing factor forthe almost seven percent increase was the positive incomedevelopment at the Frankfurt home base, which was helped by anincrease in airport charges at Frankfurt, the moderate trafficgrowth, and especially by the increasing demand for securityservices. In particular, Fraport's ICTS Europe subsidiary profited fromthe 100-percent hold-baggage screening required throughoutEurope since the beginning January this year. Because of thegrowing business of ICTS Europe, the Group's employment levelincreased 8.6 percent from 20,567 to 22,340 people for thecomparable time period. Because of this as well as the increasein negotiated wage rates, personnel expenditures rose 11.9percent to EUR 227.1 million. Positive sales development as well as dividend income fromFraport's investment in Antalya Airport decisively contributedto the increase in EBITDA by 10.9 percent to EUR 110.8 millionin the first quarter of the current year. With 0.7 percent,material expenditure fell negligibly short of the first quarter2002 level. With 25.8 percent, the EBITDA-margin rose 0.9percentage points over the previous year's comparable figure. Fraport achieved proceeds from ordinary operations of EUR 52.4million, one third more than in the period from January to March2002. This increase was due to both the EBITDA effects and to animprovement in interest income. Group profits could be increased by as much as 42.5 percent or7.7 million to EUR 25.8 million; earnings per share according toIFRS (International Financial Reporting Standards) increasedfrom EUR 0.20 to EUR 0.29. Growth in world air traffic in 2003 depends particularly onfurther development of the economy, containment of the SARSepidemic, and further development of the Iraq crisis. Againstthis background, Fraport expects passenger figures at FrankfurtAirport to just reach the previous year's level. Despite the many insecurities existing among consumers,Fraport AG plans to maintain the EBITDA and Group profit for2003 at the level of 2002, adjusted for the exceptional Manilaeffect. The prerequisite for this is that the expecteddevelopment in passenger figures is fulfilled and that no newrisks emerge in the current year. Thus, this would allowdividends to be paid out for fiscal year 2003.

ots Original Text Service: Fraport AG Internet:http://www.presseportal.de

For More Information, Please Contact: Fraport AG FrankfurtAirport Services Worldwide Attn: Robert A. Payne - ManagerInternational Press 60547 Frankfurt am Main, Germany Tel.:+49 69.690.78547 Fax: +49.69.690.60548 E-mail:r.payne@fraport.de Internet: www.fraport.com

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