Business Context and Reporting Period
This Form 6-K filing by Grupo Aeroportuario del Pacifico, S.A.B. de C.V. (Pacific Airport Group or GAP) is dated November 7, 2008. The report addresses the suspension of operations by ALMA Airlines, a tenant at seven of GAP's twelve airports in Mexico's Pacific region.
Key Financial Metrics and Operational Data
The filing does not provide consolidated revenue, profit, cash flow, or debt figures for GAP. However, it discloses specific operational and receivable data related to ALMA Airlines:
- Accounts Receivable: As of September 30, 2008, ALMA owed GAP approximately Ps. 23 million.
- Departure Volume: ALMA departures at GAP airports decreased from 1,733 in October 2007 to 1,324 in October 2008.
- Passenger Volume (Jan-Oct 2008): ALMA transported 708,400 passengers across GAP airports, representing a 3.8% market share of total passengers (18,810,400).
- Security: ALMA holds performance bonds intended to guarantee its obligations to GAP.
Material Changes
The primary material change is the complete suspension of ALMA Airlines' operations. This follows a trend of gradual reduction in ALMA's activity at GAP facilities throughout 2008. The suspension affects routes connecting cities such as Guadalajara, Tijuana, Puerto Vallarta, and La Paz, including several exclusive routes previously held by ALMA.
Outlook, Risks, and Management Commentary
Management Outlook: GAP estimates that high-density routes previously operated by ALMA will likely be substituted by other airlines through new routes, increased frequencies, or absorption of passengers on existing seats.
Recovery of Indebtedness: The recovery of the Ps. 23 million receivable depends on the time required to execute ALMA's performance bonds.
Risks and Contingencies: The filing includes standard forward-looking statement disclaimers. Risks cited include general economic conditions in Mexico and the U.S., fuel prices, inflation, exchange rates, regulatory developments, and competition. The suspension of a tenant airline represents a specific operational contingency.
Investor Verification Checklist
- Verify the status and enforceability of ALMA's performance bonds to assess the likelihood of recovering the Ps. 23 million receivable.
- Monitor announcements from other airlines regarding the absorption of ALMA's exclusive routes and passenger volumes.
- Review GAP's most recent Form 20-F for detailed financial statements, as this 6-K does not contain consolidated financial results.
- Assess the impact of ALMA's suspension on specific airport revenue, particularly at La Paz and Los Mochis where ALMA held significant market shares (20.7% and 26.8% respectively).