Routes and Airports Channel

Fraport AG seeks larger role as leading intercontinental hub

By Kurt Hofmann
ATW's Airports Today, October, 2009, p.2

Almost half the passengers at Frankfurt International Airport are there to change flights, making it the leading connecting airport in Europe, Fraport AG CEO Stefan Schulte told ATW's Airports Today. "Compared to airports like Paris CDG or London Heathrow which have a big city behind [to generate traffic], FRA has developed itself to be a transfer airport," he said.

He added that it is the only airport that offers direct services to 300 destinations in 110 countries. "But we want to see more widebody aircraft [to bring in more volume] and to extend intercontinental traffic." Some 24% of all aircraft movements at FRA are widebodies. Not surprisingly, it is dominated by Lufthansa, with 60% of all passenger traffic, and by Star Alliance. "FRA is the prime Star Alliance hub with 70% market share," Schulte noted.

He expects that the airport will have five A380s operated by LH next year. Two additional carriers also announced interest in serving FRA with A380s. "We offer 15 parking stands for large aircraft including 777-300ERs, 747-8s and A380s," he said, and he is open to other alliances.

Building intercontinental connections is not just a role for network airlines; EasyJet has asked for slots, he pointed out. "But we know airlines like Ryanair are not the companies which fit in our high-quality hub system," he added. The new fourth runway currently under construction could offer LCCs more capacity, which they need to operate the higher frequencies they require for profitably. The runway, being built at an estimated cost of €400-€500 million, should be completed by 2011. It will be dedicated primarily for landings. "Even now we have 15%-20% slots requirements from airlines which we cannot fulfill," Schulte said.

Fraport has begun construction of its $700 million A-Plus pier, which will be used exclusively by LH, have a capacity for 6 million passengers annually and provide four A380 gate positions. This will bring total capacity close to 66 million yearly. Plans for Terminal 3 are complete but construction will be two years later than originally planned. The economic downturn means less capacity while the project is on hold. "The first part could go in operation by 2016," he said. Currently, Fraport invests €1 billion annually in its infrastructure.

FRA handled around 53 million passengers in 2008, with 490,000 aircraft movements. Schulte expects a decrease of 5%-6% in passenger numbers this year.

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