Announcement no. 5 - 2010/11 - Cimber Sterling
6 July 2010
• Revenue increased by 20% in 2009/10 from DKK 1,298 million to DKK 1,551
million.
• An operating loss (EBIT ) for 2009/10 before special items affecting earnings
of DKK 197 million against a loss of DKK 2 million in 2008/09. The primary
reasons for the loss were the drop in demand from the corporate sector, which
resulted in fewer passengers during the winter of 2009/10, and lower fares as a
result of the significantly changed competitive situation.
• Special items affecting earnings, totalling DKK 97 million, included costs
and provisions related to the airspace closure caused by the ash cloud, the
unusually severe winter and costs related to structural changes and the IPO.
• The loss before tax was DKK 309 million against a loss of DKK 79 million in
2008/09, and the loss after tax was DKK 229 million against a loss of DKK 59
million in 2008/09.
• Performance in Q4 2009/10 was adversely affected by a number of special items
affecting earnings totalling DKK 60 million.
• The staff was increased by 58 in 2009/10 to an average of 820, up from 762 in
2008/09.
- Significant events in 2009/10:
- Initial public offering in 2009
- Full integration of the Sterling activities
- Implementation of the structural programmes ‘Odin' and ‘Thor'
- The most severe winter in 15 years
- Expansion of the Executive Board
- Full or partial airspace closure in April 2010 due to the ash cloud
• Cimber Sterling forecasts revenue for 2010/11 to be in the region of DKK 2
billion, equivalent to a 29% increase, and a major improvement of EBIT to a
loss in the range of DKK 20-80 million. This forecast is based on a changed
DKK/USD exchange rate of 6.0 and a fuel price of USD 700/tonne seen in relation
to the guidance previously provided.
• Cimber Sterling's cash resources will be strengthened through the expected
use of the Danish Act on a Government Rescue Package for the Airline Industry
and by refinancing of the fleet. See note 2 page 56.
“The past year was a very eventful period for Cimber Sterling with many changes
internally in the organisation as well as external challenges. The EBIT loss of
DKK 197 million before special items affecting earnings of DKK 97 million is
highly unsatisfactory, and the loss was substantially larger than we had
expected at the beginning of the year. However, 2009/10 was also a year in
which we strengthened our position as Denmark's airline and won market shares
within our three areas of focus: domestic, regional and leisure traffic. That
is the foundation we will build on in 2010/11,” said Jacob Krogsgaard, CEO
Contact:
Jacob Krogsgaard CEO
Telefon +45 50 45 46 54
E-mail: jacob.krogsgaard@cimber.dk
The Annual Report 2009/10 for Cimber Sterling (Announcement no. 5 - 2010/11,
6 July 2010) is enclosed.
